Document_and_Entity_Informatio
Document and Entity Information | 9 Months Ended | |
Sep. 30, 2014 | Oct. 31, 2014 | |
Document And Entity Information [Abstract] | ' | ' |
Entity Registrant Name | 'NBT BANCORP INC | ' |
Entity Central Index Key | '0000790359 | ' |
Current Fiscal Year End Date | '--12-31 | ' |
Entity Well-known Seasoned Issuer | 'Yes | ' |
Entity Voluntary Filers | 'No | ' |
Entity Current Reporting Status | 'Yes | ' |
Entity Filer Category | 'Large Accelerated Filer | ' |
Entity Common Stock, Shares Outstanding | ' | 43,725,949 |
Document Fiscal Year Focus | '2014 | ' |
Document Fiscal Period Focus | 'Q3 | ' |
Document Type | '10-Q | ' |
Amendment Flag | 'false | ' |
Document Period End Date | 30-Sep-14 | ' |
Consolidated_Balance_Sheets_un
Consolidated Balance Sheets (unaudited) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Assets | ' | ' |
Cash and due from banks | $169,905 | $157,625 |
Short-term interest bearing accounts | 4,630 | 1,301 |
Securities available for sale, at fair value | 1,044,502 | 1,364,881 |
Securities held to maturity (fair value $454,787 and $113,276, respectively) | 459,620 | 117,283 |
Trading securities | 7,622 | 5,779 |
Federal Reserve and Federal Home Loan Bank stock | 34,652 | 46,864 |
Loans | 5,587,091 | 5,406,795 |
Less allowance for loan losses | 69,334 | 69,434 |
Net loans | 5,517,757 | 5,337,361 |
Premises and equipment, net | 89,023 | 88,327 |
Goodwill | 263,634 | 264,997 |
Intangible assets, net | 21,543 | 25,557 |
Bank owned life insurance | 117,102 | 114,966 |
Other assets | 137,041 | 127,234 |
Total assets | 7,867,031 | 7,652,175 |
Liabilities | ' | ' |
Demand (noninterest bearing) | 1,724,134 | 1,645,641 |
Savings, NOW, and money market | 3,514,155 | 3,223,441 |
Time | 1,076,650 | 1,021,142 |
Total deposits | 6,314,939 | 5,890,224 |
Short-term borrowings | 375,637 | 456,042 |
Long-term debt | 131,056 | 308,823 |
Junior subordinated debt | 101,196 | 101,196 |
Other liabilities | 86,763 | 79,321 |
Total liabilities | 7,009,591 | 6,835,606 |
Stockholders' equity | ' | ' |
Preferred stock, $0.01 par value. Authorized 2,500,000 shares at September 30, 2014 and December 31, 2013 | 0 | 0 |
Common stock, $0.01 par value. Authorized 100,000,000 shares at September 30, 2014 and December 31, 2013; issued 49,651,494 at September 30, 2014 and December 31, 2013 | 497 | 497 |
Additional paid-in-capital | 574,657 | 574,152 |
Retained earnings | 414,695 | 385,787 |
Accumulated other comprehensive loss | -8,750 | -16,765 |
Common stock in treasury, at cost, 5,944,696 and 6,138,444 shares at September 30, 2014 and December 31, 2013, respectively | -123,659 | -127,102 |
Total stockholders' equity | 857,440 | 816,569 |
Total liabilities and stockholders' equity | $7,867,031 | $7,652,175 |
Consolidated_Balance_Sheets_un1
Consolidated Balance Sheets (unaudited) (Parenthetical) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, except Share data, unless otherwise specified | ||
Assets | ' | ' |
Securities held to maturity fair value | $454,787 | $113,276 |
Stockholders' equity | ' | ' |
Preferred stock, par value (in dollars per share) | $0.01 | $0.01 |
Preferred stock, shares authorized (in shares) | 2,500,000 | 2,500,000 |
Common stock, par value (in dollars per share) | $0.01 | $0.01 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 49,651,494 | 49,651,494 |
Common stock in treasury, at cost (in shares) | 5,944,696 | 6,138,444 |
Consolidated_Statements_of_Inc
Consolidated Statements of Income (unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Per Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Interest, fee, and dividend income | ' | ' | ' | ' |
Interest and fees on loans | $61,173 | $61,773 | $181,747 | $177,499 |
Securities available for sale | 6,095 | 6,520 | 19,464 | 18,803 |
Securities held to maturity | 1,353 | 804 | 2,904 | 1,877 |
Other | 513 | 472 | 1,552 | 1,363 |
Total interest, fee, and dividend income | 69,134 | 69,569 | 205,667 | 199,542 |
Interest expense | ' | ' | ' | ' |
Deposits | 3,498 | 3,999 | 9,782 | 12,445 |
Short-term borrowings | 262 | 232 | 702 | 341 |
Long-term debt | 1,067 | 2,561 | 5,709 | 9,196 |
Junior subordinated debt | 544 | 551 | 1,620 | 1,539 |
Total interest expense | 5,371 | 7,343 | 17,813 | 23,521 |
Net interest income | 63,763 | 62,226 | 187,854 | 176,021 |
Provision for loan losses | 4,885 | 5,198 | 12,647 | 17,258 |
Net interest income after provision for loan losses | 58,878 | 57,028 | 175,207 | 158,763 |
Noninterest income | ' | ' | ' | ' |
Insurance and other financial services revenue | 6,179 | 6,038 | 18,510 | 18,686 |
Service charges on deposit accounts | 4,519 | 5,055 | 13,285 | 14,311 |
ATM and debit card fees | 4,440 | 4,276 | 12,869 | 11,562 |
Retirement plan administration fees | 3,272 | 3,062 | 9,167 | 8,701 |
Trust | 4,758 | 4,345 | 14,157 | 11,957 |
Bank owned life insurance | 1,095 | 913 | 3,455 | 2,648 |
Net securities gains | 38 | 329 | 59 | 1,413 |
Gain on the sale of equity investment | 0 | 0 | 19,401 | 0 |
Other | 2,376 | 3,129 | 8,078 | 8,635 |
Total noninterest income | 26,677 | 27,147 | 98,981 | 77,913 |
Noninterest expense | ' | ' | ' | ' |
Salaries and employee benefits | 28,933 | 29,267 | 89,609 | 85,474 |
Occupancy | 5,211 | 5,262 | 16,872 | 15,458 |
Data processing and communications | 4,029 | 4,059 | 12,045 | 11,368 |
Professional fees and outside services | 3,695 | 3,202 | 10,862 | 9,340 |
Equipment | 3,199 | 2,988 | 9,447 | 8,480 |
Office supplies and postage | 1,733 | 1,640 | 5,221 | 4,886 |
FDIC expenses | 1,134 | 1,285 | 3,641 | 3,688 |
Advertising | 403 | 722 | 1,868 | 2,445 |
Amortization of intangible assets | 1,275 | 1,346 | 3,821 | 3,548 |
Loan collection and other real estate owned | 705 | 886 | 2,546 | 2,025 |
Merger expenses | 0 | 326 | 0 | 12,276 |
Prepayment penalties on long-term debt | 13,349 | 0 | 17,903 | 0 |
Other | 5,401 | 5,303 | 15,485 | 14,453 |
Total noninterest expense | 69,067 | 56,286 | 189,320 | 173,441 |
Income before income tax expense | 16,488 | 27,889 | 84,868 | 63,235 |
Income tax expense | 5,576 | 8,632 | 28,307 | 19,413 |
Net income | $10,912 | $19,257 | $56,561 | $43,822 |
Earnings per share | ' | ' | ' | ' |
Basic (in dollars per share) | $0.25 | $0.44 | $1.29 | $1.06 |
Diluted (in dollars per share) | $0.25 | $0.44 | $1.28 | $1.05 |
Consolidated_Statements_of_Com
Consolidated Statements of Comprehensive Income (unaudited) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Consolidated Statements of Comprehensive Income (unaudited) [Abstract] | ' | ' | ' | ' |
Net income | $10,912 | $19,257 | $56,561 | $43,822 |
Other comprehensive (loss) income, net of tax | ' | ' | ' | ' |
Unrealized net holding (losses) gains arising during the period (pre-tax amounts of ($3,693), ($6,927), $13,199 and ($33,391)) | -2,124 | -4,184 | 8,075 | -20,167 |
Reclassification adjustment for net gains related to securities available for sale included in net income (pre-tax amounts of $38, $329, $58 and $1,413) | -23 | -197 | -35 | -848 |
Amortization of unrealized net gains and losses related to the reclassification of available for sale investment securities to held to maturity (pre-tax amounts of $99, $-, $99 and $-) | -59 | 0 | -59 | 0 |
Pension and other benefits: | ' | ' | ' | ' |
Amortization of prior service cost and actuarial gains (pre-tax amounts of $19, $709, $57 and $2,244) | 11 | 426 | 34 | 1,354 |
Increase in unrecognized actuarial gains (pre-tax amounts of $-, $4,036, $-, and $4,036) | 0 | 2,421 | 0 | 2,421 |
Total other comprehensive (loss) income | -2,195 | -1,534 | 8,015 | -17,240 |
Comprehensive income | $8,717 | $17,723 | $64,576 | $26,582 |
Consolidated_Statements_of_Com1
Consolidated Statements of Comprehensive Income (unaudited) (Parenthetical) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Other comprehensive (loss) income, net of tax | ' | ' | ' | ' |
Unrealized net holding (losses) gains arising during the period, pre-tax amounts | ($3,693) | ($6,927) | $13,199 | ($33,391) |
Reclassification adjustment for net gains related to securities available for sale included in net income, pre-tax amounts | 38 | 329 | 58 | 1,413 |
Amortization of unrealized net gains and losses related to the reclassification of available for sale investment securities to held to maturity, pre-tax amounts | 99 | 0 | 99 | 0 |
Amortization of prior service cost and actuarial gains, pre-tax amounts | 19 | 709 | 57 | 2,244 |
Increase in unrecognized actuarial gains, pre-tax amounts | $0 | $4,036 | $0 | $4,036 |
Consolidated_Statements_of_Sto
Consolidated Statements of Stockholders' Equity (unaudited) (USD $) | Common Stock [Member] | Additional Paid-in-Capital [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] | Common Stock in Treasury [Member] | Total |
In Thousands | ||||||
Beginning Balance at Dec. 31, 2012 | $393 | $346,692 | $357,558 | ($5,880) | ($116,490) | $582,273 |
Net income | 0 | 0 | 43,822 | 0 | 0 | 43,822 |
Cash dividends | 0 | 0 | -24,334 | 0 | 0 | -24,334 |
Purchases of treasury shares | 0 | 0 | 0 | 0 | -12,459 | -12,459 |
Issuance of shares, net of treasury shares, for acquisition | 104 | 225,447 | 0 | 0 | -5,779 | 219,772 |
Net issuance of shares to employee benefit plans and other stock plans, including tax benefit | 0 | -2,469 | 0 | 0 | 2,623 | 154 |
Stock-based compensation | 0 | 3,571 | 0 | 0 | 0 | 3,571 |
Other comprehensive (loss) income | 0 | 0 | 0 | -17,240 | 0 | -17,240 |
Ending Balance at Sep. 30, 2013 | 497 | 573,241 | 377,046 | -23,120 | -132,105 | 795,559 |
Beginning Balance at Dec. 31, 2013 | 497 | 574,152 | 385,787 | -16,765 | -127,102 | 816,569 |
Net income | 0 | 0 | 56,561 | 0 | 0 | 56,561 |
Cash dividends | 0 | 0 | -27,653 | 0 | 0 | -27,653 |
Purchases of treasury shares | 0 | 0 | 0 | 0 | -72 | -72 |
Net issuance of shares to employee benefit plans and other stock plans, including tax benefit | 0 | -2,312 | 0 | 0 | 3,515 | 1,203 |
Stock-based compensation | 0 | 2,817 | 0 | 0 | 0 | 2,817 |
Other comprehensive (loss) income | 0 | 0 | 0 | 8,015 | 0 | 8,015 |
Ending Balance at Sep. 30, 2014 | $497 | $574,657 | $414,695 | ($8,750) | ($123,659) | $857,440 |
Consolidated_Statements_of_Sto1
Consolidated Statements of Stockholders' Equity (unaudited) (Parenthetical) (USD $) | 9 Months Ended | |
Sep. 30, 2014 | Sep. 30, 2013 | |
Consolidated Statements of Stockholders' Equity (unaudited) [Abstract] | ' | ' |
Cash dividends - per share (in dollars per share) | $0.63 | $0.60 |
Purchase of treasury shares (in shares) | 3,288 | 584,925 |
Net issuance of shares for acquisition (in shares) | ' | 10,346,363 |
Treasury stock reissued in acquisition (in shares) | ' | 408,957 |
Net issuance of shares to employee benefit plans and other stock plans, including tax benefit (in shares) | 197,036 | 145,962 |
Consolidated_Statements_of_Cas
Consolidated Statements of Cash Flows (unaudited) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 |
Operating activities | ' | ' |
Net income | $56,561 | $43,822 |
Adjustments to reconcile net income to net cash provided by operating activities | ' | ' |
Provision for loan losses | 12,647 | 17,258 |
Depreciation and amortization of premises and equipment | 6,172 | 5,885 |
Net accretion on securities | 2,692 | 4,082 |
Amortization of intangible assets | 3,821 | 3,548 |
Stock based compensation | 2,817 | 3,571 |
Increase in surrender value of bank owned life insurance | -3,455 | -2,648 |
Purchases of trading securities | -1,618 | -1,022 |
Unrealized gains on trading securities | -225 | -345 |
Deferred income tax (benefit) expense | -1,654 | 1,126 |
Proceeds from sales of loans held for sale | 4,024 | 59,231 |
Originations and purchases of loans held for sale | -6,872 | -65,722 |
Net gains on sales of loans held for sale | -3 | -1,168 |
Net security gains | -59 | -1,413 |
Net gain on sales of other real estate owned | -351 | -654 |
Gain on sale of equity investment | -19,401 | 0 |
Prepayment penalties on long-term debt | 17,903 | 0 |
Net (increase) decrease in other assets | -17,463 | 12,016 |
Net increase in other liabilities | 3,239 | 8,694 |
Net cash provided by operating activities | 58,775 | 86,261 |
Investing activities | ' | ' |
Net cash used in acquisitions | 0 | 80,909 |
Securities available for sale: | ' | ' |
Proceeds from maturities, calls, and principal paydowns | 178,430 | 314,104 |
Proceeds from sales | 0 | 27,593 |
Purchases | -175,033 | -303,497 |
Securities held to maturity: | ' | ' |
Proceeds from maturities, calls, and principal paydowns | 26,830 | 24,582 |
Purchases | -33,601 | -75,808 |
Other: | ' | ' |
Proceeds from FHLB stock redemption | 63,186 | 0 |
Purchases of Federal Reserve and FHLB stock | -50,974 | -5,584 |
Net increase in loans | -191,327 | -198,057 |
Proceeds from settlement of bank owned life insurance | 1,319 | 0 |
Purchases of premises and equipment | -6,616 | -3,409 |
Proceeds from sales of equity investment | 19,639 | 0 |
Proceeds from the sale of other real estate owned | 2,863 | 3,470 |
Net cash used in investing activities | -165,284 | -135,697 |
Financing activities | ' | ' |
Net increase in deposits | 424,715 | 105,369 |
Net (decrease) increase in short-term borrowings | -80,405 | 188,689 |
Proceeds from long-term debt | 120,051 | 0 |
Repayments of long-term debt | -315,721 | -163,409 |
Proceeds from the issuance of shares to employee benefit plans and other stock plans | 1,203 | 154 |
Purchase of treasury stock | -72 | -12,459 |
Cash dividends and payment for fractional shares | -27,653 | -24,334 |
Net cash provided by financing activities | 122,118 | 94,010 |
Net increase in cash and cash equivalents | 15,609 | 44,574 |
Cash and cash equivalents at beginning of period | 158,926 | 163,668 |
Cash and cash equivalents at end of period | 174,535 | 208,242 |
Cash paid during the period for: | ' | ' |
Interest | 18,714 | 24,335 |
Income taxes paid | 36,978 | 12,885 |
Noncash investing activities: | ' | ' |
Loans transferred to other real estate owned | 1,135 | 785 |
Preferred stock acquired from sale of equity investment | 2,762 | 0 |
Transfer of available for sale securities to held to maturity portfolio | 332,115 | 0 |
Acquisitions: | ' | ' |
Fair value of assets acquired | 0 | 1,504,415 |
Fair value of liabilities assumed | $0 | $1,284,632 |
Description_of_Business
Description of Business | 9 Months Ended | |
Sep. 30, 2014 | ||
Description of Business [Abstract] | ' | |
Description of Business | ' | |
Note 1. | Description of Business | |
NBT Bancorp Inc. (the "Registrant" or the "Company") is a registered financial holding company incorporated in the state of Delaware in 1986, with its principal headquarters located in Norwich, New York. The principal assets of the Registrant consist of all of the outstanding shares of common stock of its subsidiaries, including: NBT Bank, National Association (the "Bank"), NBT Financial Services, Inc. ("NBT Financial"), NBT Holdings, Inc. ("NBT Holdings"), Hathaway Agency, Inc., and CNBF Capital Trust I, NBT Statutory Trust I and NBT Statutory Trust II (collectively, the "Trusts"). The Company's principal sources of revenue are the management fees and dividends it receives from the Bank, NBT Financial and NBT Holdings. | ||
The Company's business, primarily conducted through the Bank but also through its other subsidiaries, consists of providing commercial banking and financial services to customers in its market area, which includes central and upstate New York, northeastern Pennsylvania, southern New Hampshire, western Massachusetts, the greater Burlington, Vermont area, and southeren Maine. The Company has been, and intends to continue to be, a community-oriented financial institution offering a variety of financial services. The Company's business philosophy is to operate as a community bank with local decision-making, principally in non-metropolitan markets, providing a broad array of banking and financial services to retail, commercial, and municipal customers. |
Basis_of_Presentation
Basis of Presentation | 9 Months Ended | |
Sep. 30, 2014 | ||
Basis of Presentation [Abstract] | ' | |
Basis of Presentation | ' | |
Note 2. | Basis of Presentation | |
The accompanying unaudited interim consolidated financial statements include the accounts of the Registrant and its wholly owned subsidiaries, the Bank, NBT Financial and NBT Holdings. Collectively, the Registrant and its subsidiaries are referred to herein as "the Company." The interim data includes all adjustments, consisting only of normal recurring adjustments, necessary for a fair statement of the results for the interim periods in accordance with generally accepted accounting principles ("GAAP"). These consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in our 2013 Annual Report on Form 10-K. The results of operations for the interim periods are not necessarily indicative of the results that may be expected for the full year or any other interim period. All intercompany transactions have been eliminated in consolidation. Amounts in the prior period financial statements are reclassified whenever necessary to conform to current period presentation. The Company has evaluated subsequent events for potential recognition and/or disclosure and there were none identified. |
Securities
Securities | 9 Months Ended | ||||||||||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||||||||||
Securities [Abstract] | ' | ||||||||||||||||||||||||||||||||||||
Securities | ' | ||||||||||||||||||||||||||||||||||||
Note 3. | Securities | ||||||||||||||||||||||||||||||||||||
The amortized cost, estimated fair value, and unrealized gains and losses of securities available for sale are as follows: | |||||||||||||||||||||||||||||||||||||
(In thousands) | Amortized | Unrealized | Unrealized | Estimated | |||||||||||||||||||||||||||||||||
cost | gains | losses | fair value | ||||||||||||||||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||||||||||||||
U.S. Treasury | $ | 23,079 | $ | 134 | $ | - | $ | 23,213 | |||||||||||||||||||||||||||||
Federal Agency | 337,254 | 301 | 4,238 | 333,317 | |||||||||||||||||||||||||||||||||
State & municipal | 40,752 | 779 | 10 | 41,521 | |||||||||||||||||||||||||||||||||
Mortgage-backed: | |||||||||||||||||||||||||||||||||||||
Government-sponsored enterprises | 349,676 | 6,012 | 702 | 354,986 | |||||||||||||||||||||||||||||||||
U.S. government agency securities | 18,281 | 872 | 80 | 19,073 | |||||||||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||||||
Government-sponsored enterprises | 211,828 | 1,907 | 937 | 212,798 | |||||||||||||||||||||||||||||||||
U.S. government agency securities | 44,113 | 493 | 140 | 44,466 | |||||||||||||||||||||||||||||||||
Other securities | 12,904 | 2,466 | 242 | 15,128 | |||||||||||||||||||||||||||||||||
Total securities available for sale | $ | 1,037,887 | $ | 12,964 | $ | 6,349 | $ | 1,044,502 | |||||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||||
U.S. Treasury | $ | 43,279 | $ | 337 | $ | - | $ | 43,616 | |||||||||||||||||||||||||||||
Federal Agency | 285,880 | 343 | 7,308 | 278,915 | |||||||||||||||||||||||||||||||||
State & municipal | 113,435 | 1,842 | 1,612 | 113,665 | |||||||||||||||||||||||||||||||||
Mortgage-backed: | |||||||||||||||||||||||||||||||||||||
Government-sponsored enterprises | 337,666 | 5,788 | 2,131 | 341,323 | |||||||||||||||||||||||||||||||||
U.S. government agency securities | 21,924 | 1,002 | 85 | 22,841 | |||||||||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||||||
Government-sponsored enterprises | 521,257 | 1,777 | 18,141 | 504,893 | |||||||||||||||||||||||||||||||||
U.S. government agency securities | 43,943 | 794 | 102 | 44,635 | |||||||||||||||||||||||||||||||||
Other securities | 12,367 | 2,854 | 228 | 14,993 | |||||||||||||||||||||||||||||||||
Total securities available for sale | $ | 1,379,751 | $ | 14,737 | $ | 29,607 | $ | 1,364,881 | |||||||||||||||||||||||||||||
Other securities primarily represent marketable equity securities. | |||||||||||||||||||||||||||||||||||||
During the third quarter of 2014, the Company transferred approximately $340 million in securities from the available for sale portfolio to the held to maturity portfolio, which had unrealized losses at the time of transfer of approximately $8.3 million. This unrealized loss is amortized into interest income over the lives of the transferred securities. | |||||||||||||||||||||||||||||||||||||
Securities with amortized costs totaling $1.4 billion at September 30, 2014 and $1.4 billion at December 31, 2013 were pledged to secure public deposits and for other purposes required or permitted by law. At September 30, 2014 and December 31, 2013, securities with an amortized cost of $216.3 million and $218.4 million, respectively, were pledged as collateral for securities sold under repurchase agreements. | |||||||||||||||||||||||||||||||||||||
The amortized cost, estimated fair value, and unrealized gains and losses of securities held to maturity are as follows: | |||||||||||||||||||||||||||||||||||||
(In thousands) | Amortized cost | Unrealized gains | Unrealized losses | Estimated fair value | |||||||||||||||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||||||||||||||
Mortgage-backed | $ | 802 | $ | 118 | $ | - | $ | 920 | |||||||||||||||||||||||||||||
Collateralized mortgage obligations | 327,973 | 161 | 5,512 | 322,622 | |||||||||||||||||||||||||||||||||
State & municipal | 130,845 | 538 | 138 | 131,245 | |||||||||||||||||||||||||||||||||
Total securities held to maturity | $ | 459,620 | $ | 817 | $ | 5,650 | $ | 454,787 | |||||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||||
Mortgage-backed | $ | 953 | $ | 128 | $ | - | $ | 1,081 | |||||||||||||||||||||||||||||
Collateralized mortgage obligations | 62,025 | - | 4,569 | 57,456 | |||||||||||||||||||||||||||||||||
State & municipal | 54,305 | 442 | 8 | 54,739 | |||||||||||||||||||||||||||||||||
Total securities held to maturity | $ | 117,283 | $ | 570 | $ | 4,577 | $ | 113,276 | |||||||||||||||||||||||||||||
The following table sets forth information with regard to investment securities with unrealized losses for the periods presented: | |||||||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or longer | Total | |||||||||||||||||||||||||||||||||||
Security Type: | Fair Value | Unrealized losses | Number of Positions | Fair Value | Unrealized losses | Number of Positions | Fair Value | Unrealized losses | Number of Positions | ||||||||||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||||||||||||||
Investment securities available for sale: | |||||||||||||||||||||||||||||||||||||
Federal agency | $ | 51,549 | $ | (191 | ) | 7 | $ | 226,561 | $ | (4,047 | ) | 19 | $ | 278,110 | $ | (4,238 | ) | 26 | |||||||||||||||||||
State & municipal | 946 | (1 | ) | 4 | 2,109 | (9 | ) | 9 | 3,055 | (10 | ) | 13 | |||||||||||||||||||||||||
Mortgage-backed | 62,748 | (69 | ) | 18 | 47,138 | (713 | ) | 37 | 109,886 | (782 | ) | 55 | |||||||||||||||||||||||||
Collateralized mortgage obligations | 67,121 | (393 | ) | 9 | 42,329 | (684 | ) | 6 | 109,450 | (1,077 | ) | 15 | |||||||||||||||||||||||||
Other securities | 4,033 | (142 | ) | 3 | 2,735 | (100 | ) | 2 | 6,768 | (242 | ) | 5 | |||||||||||||||||||||||||
Total securities with unrealized losses | $ | 186,397 | $ | (796 | ) | 41 | $ | 320,872 | $ | (5,553 | ) | 73 | $ | 507,269 | $ | (6,349 | ) | 114 | |||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||||||||||||||
Investment securities held to maturity: | |||||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | $ | 21,279 | $ | (94 | ) | 3 | $ | 285,612 | $ | (5,418 | ) | 23 | $ | 306,891 | $ | (5,512 | ) | 26 | |||||||||||||||||||
State & municipal | 48,620 | (122 | ) | 128 | 5,322 | (16 | ) | 19 | 53,942 | (138 | ) | 147 | |||||||||||||||||||||||||
Total securities with unrealized losses | $ | 69,899 | $ | (216 | ) | 131 | $ | 290,934 | $ | (5,434 | ) | 42 | 360,833 | $ | (5,650 | ) | 173 | ||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||||
Investment securities available for sale: | |||||||||||||||||||||||||||||||||||||
Federal agency | $ | 233,935 | $ | (6,927 | ) | 20 | $ | 9,619 | $ | (381 | ) | 1 | $ | 243,554 | $ | (7,308 | ) | 21 | |||||||||||||||||||
State & municipal | 50,328 | (1,612 | ) | 177 | - | - | - | 50,328 | (1,612 | ) | 177 | ||||||||||||||||||||||||||
Mortgage-backed | 143,080 | (2,216 | ) | 79 | - | - | - | 143,080 | (2,216 | ) | 79 | ||||||||||||||||||||||||||
Collateralized mortgage obligations | 379,273 | (18,243 | ) | 36 | - | - | - | 379,273 | (18,243 | ) | 36 | ||||||||||||||||||||||||||
Other securities | 5,490 | (203 | ) | 2 | 223 | (25 | ) | 1 | 5,713 | (228 | ) | 3 | |||||||||||||||||||||||||
Total securities with unrealized losses | $ | 812,106 | $ | (29,201 | ) | 314 | $ | 9,842 | $ | (406 | ) | 2 | $ | 821,948 | $ | (29,607 | ) | 316 | |||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||||
Investment securities held to maturity: | |||||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | $ | 57,456 | $ | (4,569 | ) | 5 | $ | - | $ | - | - | $ | 57,456 | $ | (4,569 | ) | 5 | ||||||||||||||||||||
State & municipal | 1,012 | (8 | ) | 1 | - | - | - | 1,012 | (8 | ) | 1 | ||||||||||||||||||||||||||
Total securities with unrealized losses | $ | 58,468 | $ | (4,577 | ) | 6 | $ | - | $ | - | - | $ | 58,468 | $ | (4,577 | ) | 6 | ||||||||||||||||||||
Declines in the fair value of held-to-maturity and available-for-sale securities below their cost that are deemed to be other than temporary are reflected in earnings as realized losses or in other comprehensive income, depending on whether the Company intends to sell the security or more likely than not will be required to sell the security before recovery of its amortized cost basis less any current-period credit loss. If the Company intends to sell the security or more likely than not will be required to sell the security before recovery of its amortized cost basis less any current-period credit loss, the other-than-temporary impairment shall be recognized in earnings equal to the entire difference between the investment's amortized cost basis and its fair value at the balance sheet date. If the Company does not intend to sell the security and it is not more likely than not that the entity will be required to sell the security before recovery of its amortized cost basis less any current-period credit loss, the other-than-temporary impairment shall be separated into (a) the amount representing the credit loss and (b) the amount related to all other factors. The amount of the total other-than-temporary impairment related to the credit loss shall be recognized in earnings. The amount of the total other-than-temporary impairment related to other factors shall be recognized in other comprehensive income, net of applicable taxes. | |||||||||||||||||||||||||||||||||||||
In estimating other-than-temporary impairment losses, management considers, among other things, (i) the length of time and the extent to which the fair value has been less than cost, (ii) the financial condition and near-term prospects of the issuer, and (iii) the historical and implied volatility of the fair value of the security. | |||||||||||||||||||||||||||||||||||||
Management has the intent to hold the securities classified as held to maturity until they mature, at which time it is believed the Company will receive full value for the securities. Furthermore, as of September 30, 2014, management also had the intent to hold, and will not be required to sell, the securities classified as available for sale for a period of time sufficient for a recovery of cost, which may be until maturity. The unrealized losses are due to increases in market interest rates over the yields available at the time the underlying securities were purchased. When necessary, the Company has performed a discounted cash flow analysis to determine whether or not it will receive the contractual principal and interest on certain securities. The fair value is expected to recover as the bonds approach their maturity date or repricing date or if market yields for such investments decline. As of September 30, 2014, management believes the impairments detailed in the table above are temporary and no other-than-temporary impairment losses have been realized in the Company's consolidated statements of income. | |||||||||||||||||||||||||||||||||||||
The following tables set forth information with regard to contractual maturities of debt securities at September 30, 2014: | |||||||||||||||||||||||||||||||||||||
(In thousands) | Amortized cost | Estimated fair value | |||||||||||||||||||||||||||||||||||
Debt securities classified as available for sale | |||||||||||||||||||||||||||||||||||||
Within one year | $ | 28,387 | $ | 28,556 | |||||||||||||||||||||||||||||||||
From one to five years | 360,452 | 358,898 | |||||||||||||||||||||||||||||||||||
From five to ten years | 174,046 | 176,437 | |||||||||||||||||||||||||||||||||||
After ten years | 462,098 | 465,483 | |||||||||||||||||||||||||||||||||||
$ | 1,024,983 | $ | 1,029,374 | ||||||||||||||||||||||||||||||||||
Debt securities classified as held to maturity | |||||||||||||||||||||||||||||||||||||
Within one year | $ | 27,414 | $ | 27,530 | |||||||||||||||||||||||||||||||||
From one to five years | 16,404 | 16,551 | |||||||||||||||||||||||||||||||||||
From five to ten years | 84,702 | 84,831 | |||||||||||||||||||||||||||||||||||
After ten years | 331,100 | 325,875 | |||||||||||||||||||||||||||||||||||
$ | 459,620 | $ | 454,787 | ||||||||||||||||||||||||||||||||||
Maturities of mortgage-backed, collateralized mortgage obligations and asset-backed securities are stated based on their estimated average lives. Actual maturities may differ from estimated average lives or contractual maturities because, in certain cases, borrowers have the right to call or prepay obligations with or without call or prepayment penalties. | |||||||||||||||||||||||||||||||||||||
Except for U.S. Government securities, there were no holdings, when taken in the aggregate, of any single issuer that exceeded 10% of consolidated stockholders' equity at September 30, 2014. |
Allowance_for_Loan_Losses_and_
Allowance for Loan Losses and Credit Quality of Loans | 9 Months Ended | ||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||
Allowance for Loan Losses and Credit Quality of Loans [Abstract] | ' | ||||||||||||||||||||||||||||
Allowance for Loan Losses and Credit Quality of Loans | ' | ||||||||||||||||||||||||||||
Note 4. | Allowance for Loan Losses and Credit Quality of Loans | ||||||||||||||||||||||||||||
Allowance for Loan Losses | |||||||||||||||||||||||||||||
The allowance for loan losses is maintained at a level estimated by management to provide adequately for risk of probable losses inherent in the current loan portfolio. The adequacy of the allowance for loan losses is continuously monitored. It is assessed for adequacy using a methodology designed to ensure the level of the allowance reasonably reflects the loan portfolio's risk profile. It is evaluated to ensure that it is sufficient to absorb all reasonably estimable credit losses inherent in the current loan portfolio. | |||||||||||||||||||||||||||||
To develop and document a systematic methodology for determining the allowance for loan losses, the Company has divided the loan portfolio into three segments, each with different risk characteristics and methodologies for assessing risk. Those segments are further segregated between our loans accounted for under the amortized cost method (referred to as "originated" loans) and loans acquired in a business combination (referred to as "acquired" loans). Each portfolio segment is broken down into class segments where appropriate. Class segments contain unique measurement attributes, risk characteristics and methods for monitoring and assessing risk that are necessary to develop the allowance for loan losses. Unique characteristics such as borrower type, loan type, collateral type, and risk characteristics define each class segment. The following table illustrates the portfolio and class segments for the Company's loan portfolio: | |||||||||||||||||||||||||||||
Portfolio | Class | ||||||||||||||||||||||||||||
Commercial Loans | Commercial | ||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||||||||
Agricultural Real Estate | |||||||||||||||||||||||||||||
Business Banking | |||||||||||||||||||||||||||||
Consumer Loans | Indirect | ||||||||||||||||||||||||||||
Home Equity | |||||||||||||||||||||||||||||
Direct | |||||||||||||||||||||||||||||
Residential Real Estate Mortgages | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
The Company offers a variety of commercial loan products including commercial (non-real estate), commercial real estate, agricultural, agricultural real estate, and business banking loans. The Company's underwriting analysis for commercial loans typically includes credit verification, independent appraisals, a review of the borrower's financial condition, and a detailed analysis of the borrower's underlying cash flows. | |||||||||||||||||||||||||||||
Commercial – The Company offers a variety of loan options to meet the specific needs of our commercial customers including term loans, time notes and lines of credit. Such loans are made available to businesses for working capital needs such as inventory and receivables, business expansion and equipment purchases. Generally, a collateral lien is placed on equipment or other assets owned by the borrower. These loans carry a higher risk than commercial real estate loans due to the nature of the underlying collateral, which can be business assets such as equipment and accounts receivable. To reduce the risk, management also attempts to secure real estate as collateral and obtain personal guarantees of the borrowers. | |||||||||||||||||||||||||||||
Commercial Real Estate – The Company offers commercial real estate loans to finance real estate purchases, refinancings, expansions and improvements to commercial properties. Commercial real estate loans are made to finance the purchases of real estate, generally with completed structures. These commercial real estate loans are secured by first liens on the real estate, which may include apartments, commercial structures, housing businesses, healthcare facilities, and other non owner-occupied facilities. These loans are typically less risky than commercial loans, since they are secured by real estate and buildings, and are generally originated in amounts of no more than 80% of the appraised value of the property. | |||||||||||||||||||||||||||||
Agricultural – The Company offers a variety of agricultural loans to meet the needs of our agricultural customers including term loans, time notes, and lines of credit. These loans are made to purchase livestock, purchase and modernize equipment, and finance seasonal crop expenses. Generally, a collateral lien is placed on the livestock, equipment, produce inventories, and/or receivables owned by the borrower. These loans may carry a higher risk than commercial and agricultural real estate loans due to the industry price volatility, and in some cases, the perishable nature of the underlying collateral. To reduce these risks, management may attempt to secure these loans with additional real estate collateral, obtain personal guarantees of the borrowers, or obtain government loan guarantees to provide further support. | |||||||||||||||||||||||||||||
Agricultural Real Estate – The Company offers real estate loans to our agricultural customers to finance farm related real estate purchases, refinancings, expansions, and improvements to agricultural properties such as barns, production facilities, and land. The agricultural real estate loans are secured by first liens on the farm real estate. Because they are secured by land and buildings, these loans may be less risky than agricultural loans. These loans are typically originated in amounts of no more than 75% of the appraised value of the property. Government loan guarantees may be obtained to provide further support. | |||||||||||||||||||||||||||||
Business Banking - The Company offers a variety of loan options to meet the specific needs of our business banking customers including term loans, business banking mortgages and lines of credit. Such loans are generally less than $0.5 million and are made available to businesses for working capital such as inventory and receivables, business expansion, equipment purchases, and agricultural needs. Generally, a collateral lien is placed on equipment or other assets owned by the borrower such as inventory and/or receivables. These loans carry a higher risk than commercial loans due to the smaller size of the borrower and lower levels of capital. To reduce the risk, the Company obtains personal guarantees of the owners for a majority of the loans. | |||||||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
The Company offers a variety of consumer loan products including indirect, home equity, and direct loans. | |||||||||||||||||||||||||||||
Indirect – The Company maintains relationships with many dealers primarily in the communities that we serve. Through these relationships, the company primarily finances the purchases of automobiles and recreational vehicles (such as campers, boats, etc.) indirectly through dealer relationships. Approximately 75% of the indirect relationships represent automobile financing. Most of these loans carry a fixed rate of interest with principal repayment terms typically ranging from three to six years, based upon the nature of the collateral and the size of the loan. The majority of indirect consumer loans are underwritten on a secured basis using the underlying collateral being financed. | |||||||||||||||||||||||||||||
Home Equity – The Company offers fixed home equity loans as well as home equity lines of credit to consumers to finance home improvements, debt consolidation, education and other uses. Consumers are able to borrow up to 85% of the equity in their homes. The Company originates home equity lines of credit and second mortgage loans (loans secured by a second junior lien position on one-to-four-family residential real estate). These loans carry a higher risk than first mortgage residential loans as they are in a second position with respect to collateral. Risk is reduced through underwriting criteria, which include credit verification, appraisals, a review of the borrower's financial condition, and personal cash flows. A security interest, with title insurance when necessary, is taken in the underlying real estate. | |||||||||||||||||||||||||||||
Direct – The Company offers a variety of consumer installment loans to finance vehicle purchases, mobile home purchases and personal expenditures. Most of these loans carry a fixed rate of interest with principal repayment terms typically ranging from one to ten years, based upon the nature of the collateral and the size of the loan. The majority of consumer loans are underwritten on a secured basis using the underlying collateral being financed or a customer's deposit account. In addition to installment loans, the Company also offers personal lines of credit and overdraft protection. A minimal amount of loans are unsecured, which carry a higher risk of loss. | |||||||||||||||||||||||||||||
Residential Real Estate Mortgages | |||||||||||||||||||||||||||||
Residential real estate loans consist primarily of loans secured by first or second deeds of trust on primary residences. We originate adjustable-rate and fixed-rate, one-to-four-family residential real estate loans for the construction, purchase or refinancing of a mortgage. These loans are collateralized by owner-occupied properties located in the Company's market area. Loans on one-to-four-family residential real estate are generally originated in amounts of no more than 85% of the purchase price or appraised value (whichever is lower), or have private mortgage insurance. The Company's underwriting analysis for residential mortgage loans typically includes credit verification, independent appraisals, and a review of the borrower's financial condition. Mortgage title insurance and hazard insurance are normally required. Construction loans have a unique risk, because they are secured by an incomplete dwelling. This risk is reduced through periodic site inspections, including one at each loan draw period. | |||||||||||||||||||||||||||||
For purposes of evaluating the adequacy of the allowance, the Company considers a number of significant factors that affect the collectability of the portfolio. For individually analyzed loans, these include estimates of loss exposure, which reflect the facts and circumstances that affect the likelihood of repayment of such loans as of the evaluation date. For homogeneous pools of loans, estimates of the Company's exposure to credit loss reflect a current assessment of a number of factors, which could affect collectability. These factors include: past loss experience; size, trend, composition, and nature of loans; changes in lending policies and procedures, including underwriting standards and collection, charge-offs and recoveries; trends experienced in nonperforming and delinquent loans; current economic conditions in the Company's market; portfolio concentrations that may affect loss experienced across one or more components of the portfolio; the effect of external factors such as competition, legal and regulatory requirements; and the experience, ability, and depth of lending management and staff. In addition, various regulatory agencies, as an integral component of their examination process, periodically review the Company's allowance for loan losses. Such agencies may require the Company to make loan grade changes as well as recognize additions to the allowance based on their examinations. | |||||||||||||||||||||||||||||
After a thorough consideration of the factors discussed above, any required additions or reductions to the allowance for loan losses are made periodically by charges or credits to the provision for loan losses. These charges or credits are necessary to maintain the allowance at a level which management believes is reasonably reflective of overall inherent risk of probable loss in the portfolio. While management uses available information to recognize losses on loans, additions and reductions of the allowance may fluctuate from one reporting period to another. These fluctuations are reflective of changes in risk associated with portfolio content and/or changes in management's assessment of any or all of the determining factors discussed above. | |||||||||||||||||||||||||||||
The following tables illustrate the changes in the allowance for loan losses by our portfolio segments for the three and nine months ended September 30, 2014 and 2013: | |||||||||||||||||||||||||||||
Three months ended September 30, | Commercial Loans | Consumer Loans | Residential Real Estate Mortgages | Unallocated | Total | ||||||||||||||||||||||||
Balance as of June 30, 2014 | $ | 35,123 | $ | 27,973 | $ | 6,205 | $ | 233 | $ | 69,534 | |||||||||||||||||||
Charge-offs | (1,517 | ) | (3,979 | ) | (481 | ) | - | (5,977 | ) | ||||||||||||||||||||
Recoveries | 253 | 632 | 7 | - | 892 | ||||||||||||||||||||||||
Provision | 1,779 | 2,826 | 212 | 68 | 4,885 | ||||||||||||||||||||||||
Ending Balance as of September 30, 2014 | $ | 35,638 | $ | 27,452 | $ | 5,943 | $ | 301 | $ | 69,334 | |||||||||||||||||||
Balance as of June 30, 2013 | $ | 37,704 | $ | 26,456 | $ | 6,806 | $ | 218 | $ | 71,184 | |||||||||||||||||||
Charge-offs | (3,489 | ) | (3,746 | ) | (374 | ) | - | (7,609 | ) | ||||||||||||||||||||
Recoveries | 602 | 733 | 76 | - | 1,411 | ||||||||||||||||||||||||
Provision | 980 | 3,744 | 402 | 72 | 5,198 | ||||||||||||||||||||||||
Ending Balance as of September 30, 2013 | $ | 35,797 | $ | 27,187 | $ | 6,910 | $ | 290 | $ | 70,184 | |||||||||||||||||||
Nine months ended September 30, | Commercial Loans | Consumer Loans | Residential Real Estate Mortgages | Unallocated | Total | ||||||||||||||||||||||||
Balance as of December 31, 2013 | $ | 35,090 | $ | 27,694 | $ | 6,520 | $ | 130 | $ | 69,434 | |||||||||||||||||||
Charge-offs | (3,423 | ) | (11,659 | ) | (965 | ) | - | (16,047 | ) | ||||||||||||||||||||
Recoveries | 966 | 2,087 | 247 | - | 3,300 | ||||||||||||||||||||||||
Provision | 3,005 | 9,330 | 141 | 171 | 12,647 | ||||||||||||||||||||||||
Ending Balance as of September 30, 2014 | $ | 35,638 | $ | 27,452 | $ | 5,943 | $ | 301 | $ | 69,334 | |||||||||||||||||||
Balance as of December 31, 2012 | $ | 35,624 | $ | 27,162 | $ | 6,252 | $ | 296 | $ | 69,334 | |||||||||||||||||||
Charge-offs | (8,009 | ) | (11,122 | ) | (1,347 | ) | - | (20,478 | ) | ||||||||||||||||||||
Recoveries | 1,485 | 2,406 | 179 | - | 4,070 | ||||||||||||||||||||||||
Provision | 6,697 | 8,741 | 1,826 | (6 | ) | 17,258 | |||||||||||||||||||||||
Ending Balance as of September 30, 2013 | $ | 35,797 | $ | 27,187 | $ | 6,910 | $ | 290 | $ | 70,184 | |||||||||||||||||||
For acquired loans, to the extent that we experience deterioration in borrower credit quality resulting in a decrease in our expected cash flows subsequent to acquisition of the loans, an allowance for loan losses would be established based on our estimate of future credit losses over the remaining life of the loans. As of September 30, 2014, included in the above tables, there was $3.0 million in the allowance for loan losses related to an acquired commercial loan. There was no allowance as of September 30, 2013 related to acquired loans. Net charge-offs related to acquired loans totaled approximately $0.3 million and $0.1 million during the three months ended September 30, 2014 and 2013, respectively, and are included in the table above. Net charge-offs related to acquired loans totaled approximately $0.5 million during the nine months ended September 30, 2014 and 2013, respectively, and are included in the table above. | |||||||||||||||||||||||||||||
The following tables illustrate the allowance for loan losses and the recorded investment by portfolio segments as of September 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
Allowance for Loan Losses and Recorded Investment in Loans | |||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||
Commercial Loans | Consumer Loans | Residential Real Estate Mortgages | Unallocated | Total | |||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||||||
Allowance for loan losses | $ | 35,638 | $ | 27,452 | $ | 5,943 | $ | 301 | $ | 69,334 | |||||||||||||||||||
Allowance for loans individually evaluated for impairment | 3,600 | - | - | 3,600 | |||||||||||||||||||||||||
Allowance for loans collectively evaluated for impairment | $ | 32,038 | $ | 27,452 | $ | 5,943 | $ | 301 | $ | 65,734 | |||||||||||||||||||
Ending balance of loans | $ | 2,457,906 | $ | 2,029,046 | $ | 1,100,139 | $ | 5,587,091 | |||||||||||||||||||||
Ending balance of originated loans individually evaluated for impairment | 13,625 | 5,343 | 3,129 | 22,097 | |||||||||||||||||||||||||
Ending balance of acquired loans individually evaluated for impairment | 9,396 | - | - | 9,396 | |||||||||||||||||||||||||
Ending balance of acquired loans collectively evaluated for impairment | 348,017 | 163,019 | 277,759 | 788,795 | |||||||||||||||||||||||||
Ending balance of originated loans collectively evaluated for impairment | $ | 2,086,868 | $ | 1,860,684 | $ | 819,251 | $ | 4,766,803 | |||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||
Allowance for loan losses | $ | 35,090 | $ | 27,694 | $ | 6,520 | $ | 130 | $ | 69,434 | |||||||||||||||||||
Allowance for loans individually evaluated for impairment | 715 | - | - | 715 | |||||||||||||||||||||||||
Allowance for loans collectively evaluated for impairment | $ | 34,375 | $ | 27,694 | $ | 6,520 | $ | 130 | $ | 68,719 | |||||||||||||||||||
Ending balance of loans | $ | 2,392,621 | $ | 1,972,537 | $ | 1,041,637 | $ | 5,406,795 | |||||||||||||||||||||
Ending balance of originated loans individually evaluated for impairment | 16,120 | 3,248 | 2,012 | 21,380 | |||||||||||||||||||||||||
Ending balance of acquired loans individually evaluated for impairment | 10,060 | - | - | 10,060 | |||||||||||||||||||||||||
Ending balance of acquired loans collectively evaluated for impairment | 392,329 | 219,587 | 308,416 | 920,332 | |||||||||||||||||||||||||
Ending balance of originated loans collectively evaluated for impairment | $ | 1,974,112 | $ | 1,749,702 | $ | 731,209 | $ | 4,455,023 | |||||||||||||||||||||
Credit Quality of Loans | |||||||||||||||||||||||||||||
Loans are placed on nonaccrual status when timely collection of principal and interest in accordance with contractual terms is doubtful. Loans are transferred to nonaccrual status generally when principal or interest payments become ninety days delinquent, unless the loan is well secured and in the process of collection, or sooner when management concludes or circumstances indicate that borrowers may be unable to meet contractual principal or interest payments. When a loan is transferred to a nonaccrual status, all interest previously accrued in the current period but not collected is reversed against interest income in that period. Interest accrued in a prior period and not collected is charged-off against the allowance for loan losses. The Company's nonaccrual policies are the same for all classes of financing receivable. | |||||||||||||||||||||||||||||
If ultimate repayment of a nonaccrual loan is expected, any payments received are applied in accordance with contractual terms. If ultimate repayment of principal is not expected, any payment received on a nonaccrual loan is applied to principal until ultimate repayment becomes expected. Nonaccrual loans are returned to accrual status when they become current as to principal and interest and demonstrate a period of performance under the contractual terms and, in the opinion of management, are fully collectible as to principal and interest. When in the opinion of management the collection of principal appears unlikely, the loan balance is charged-off in total or in part. For loans in all portfolios, the principal amount is charged off in full or in part as soon as management determines, based on available facts, that the collection of principal in full is improbable. For commercial loans, management considers specific facts and circumstances relative to individual credits in making such a determination. For consumer and residential loan classes, management uses specific guidance and thresholds from the Federal Financial Institutions Examination Council's Uniform Retail Credit Classification and Account Management Policy. | |||||||||||||||||||||||||||||
The following table illustrates the Company's nonaccrual loans by loan class: | |||||||||||||||||||||||||||||
Loans on Nonaccrual Status as of: | |||||||||||||||||||||||||||||
(In thousands) | 30-Sep-14 | 31-Dec-13 | |||||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 2,890 | $ | 3,669 | |||||||||||||||||||||||||
Commercial Real Estate | 6,565 | 7,834 | |||||||||||||||||||||||||||
Agricultural | 993 | 1,135 | |||||||||||||||||||||||||||
Agricultural Real Estate | 963 | 961 | |||||||||||||||||||||||||||
Business Banking | 7,606 | 5,701 | |||||||||||||||||||||||||||
19,017 | 19,300 | ||||||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 1,606 | 1,461 | |||||||||||||||||||||||||||
Home Equity | 6,748 | 5,931 | |||||||||||||||||||||||||||
Direct | 104 | 86 | |||||||||||||||||||||||||||
8,458 | 7,478 | ||||||||||||||||||||||||||||
Residential Real Estate Mortgages | 8,388 | 7,105 | |||||||||||||||||||||||||||
$ | 35,863 | $ | 33,883 | ||||||||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 6,046 | $ | 6,599 | |||||||||||||||||||||||||
Commercial Real Estate | 3,369 | 3,559 | |||||||||||||||||||||||||||
Business Banking | 631 | 1,340 | |||||||||||||||||||||||||||
10,046 | 11,498 | ||||||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 125 | 93 | |||||||||||||||||||||||||||
Home Equity | 663 | 570 | |||||||||||||||||||||||||||
Direct | 34 | 49 | |||||||||||||||||||||||||||
822 | 712 | ||||||||||||||||||||||||||||
Residential Real Estate Mortgages | 3,800 | 3,872 | |||||||||||||||||||||||||||
14,668 | 16,082 | ||||||||||||||||||||||||||||
TOTAL NONACCRUAL LOANS | $ | 50,531 | $ | 49,965 | |||||||||||||||||||||||||
The following tables set forth information with regard to past due and nonperforming loans by loan class as of September 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
Age Analysis of Past Due Financing Receivables | |||||||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||
31-60 DaysPast DueAccruing | 61-90 DaysPast DueAccruing | Greater Than90 DaysPast DueAccruing | TotalPast DueAccruing | Non-Accrual | Current | RecordedTotalLoans | |||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 670 | $ | 270 | $ | - | $ | 940 | $ | 2,890 | $ | 618,680 | $ | 622,510 | |||||||||||||||
Commercial Real Estate | 104 | 561 | - | 665 | 6,565 | 1,013,177 | 1,020,407 | ||||||||||||||||||||||
Agricultural | 55 | 20 | - | 75 | 993 | 33,292 | 34,360 | ||||||||||||||||||||||
Agricultural Real Estate | - | - | - | - | 963 | 25,360 | 26,323 | ||||||||||||||||||||||
Business Banking | 1,415 | 53 | - | 1,468 | 7,606 | 387,819 | 396,893 | ||||||||||||||||||||||
2,244 | 904 | - | 3,148 | 19,017 | 2,078,328 | 2,100,493 | |||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 14,686 | 2,560 | 1,785 | 19,031 | 1,606 | 1,287,966 | 1,308,603 | ||||||||||||||||||||||
Home Equity | 3,955 | 1,528 | 686 | 6,169 | 6,748 | 488,674 | 501,591 | ||||||||||||||||||||||
Direct | 464 | 111 | 56 | 631 | 104 | 55,098 | 55,833 | ||||||||||||||||||||||
19,105 | 4,199 | 2,527 | 25,831 | 8,458 | 1,831,738 | 1,866,027 | |||||||||||||||||||||||
Residential Real Estate Mortgages | 2,943 | 172 | 1,404 | 4,519 | 8,388 | 809,473 | 822,380 | ||||||||||||||||||||||
$ | 24,292 | $ | 5,275 | $ | 3,931 | $ | 33,498 | $ | 35,863 | $ | 4,719,539 | $ | 4,788,900 | ||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | - | $ | - | $ | - | $ | - | $ | 6,046 | $ | 83,543 | $ | 89,589 | |||||||||||||||
Commercial Real Estate | - | - | - | - | 3,369 | 203,288 | 206,657 | ||||||||||||||||||||||
Business Banking | 202 | - | - | 202 | 631 | 60,334 | 61,167 | ||||||||||||||||||||||
202 | - | - | 202 | 10,046 | 347,165 | 357,413 | |||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 451 | 60 | 82 | 593 | 125 | 77,090 | 77,808 | ||||||||||||||||||||||
Home Equity | 185 | 61 | - | 246 | 663 | 78,627 | 79,536 | ||||||||||||||||||||||
Direct | 31 | 1 | 9 | 41 | 34 | 5,600 | 5,675 | ||||||||||||||||||||||
667 | 122 | 91 | 880 | 822 | 161,317 | 163,019 | |||||||||||||||||||||||
Residential Real Estate Mortgages | 1,539 | 445 | - | 1,984 | 3,800 | 271,975 | 277,759 | ||||||||||||||||||||||
$ | 2,408 | $ | 567 | $ | 91 | $ | 3,066 | $ | 14,668 | $ | 780,457 | $ | 798,191 | ||||||||||||||||
Total Loans | $ | 26,700 | $ | 5,842 | $ | 4,022 | $ | 36,564 | $ | 50,531 | $ | 5,499,996 | $ | 5,587,091 | |||||||||||||||
Age Analysis of Past Due Financing Receivables | |||||||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||
31-60 DaysPast DueAccruing | 61-90 DaysPast DueAccruing | Greater Than90 DaysPast DueAccruing | TotalPast DueAccruing | Non-Accrual | Current | RecordedTotalLoans | |||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 105 | $ | 247 | $ | - | $ | 352 | $ | 3,669 | $ | 612,402 | $ | 616,423 | |||||||||||||||
Commercial Real Estate | 1,366 | - | - | 1,366 | 7,834 | 925,116 | 934,316 | ||||||||||||||||||||||
Agricultural | 150 | 21 | - | 171 | 1,135 | 63,856 | 65,162 | ||||||||||||||||||||||
Agricultural Real Estate | 519 | - | - | 519 | 961 | 35,172 | 36,652 | ||||||||||||||||||||||
Business Banking | 1,228 | 122 | 105 | 1,455 | 5,701 | 330,523 | 337,679 | ||||||||||||||||||||||
3,368 | 390 | 105 | 3,863 | 19,300 | 1,967,069 | 1,990,232 | |||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 14,093 | 2,878 | 1,583 | 18,554 | 1,461 | 1,141,829 | 1,161,844 | ||||||||||||||||||||||
Home Equity | 6,033 | 1,888 | 1,115 | 9,036 | 5,931 | 517,856 | 532,823 | ||||||||||||||||||||||
Direct | 679 | 125 | 46 | 850 | 86 | 57,347 | 58,283 | ||||||||||||||||||||||
20,805 | 4,891 | 2,744 | 28,440 | 7,478 | 1,717,032 | 1,752,950 | |||||||||||||||||||||||
Residential Real Estate Mortgages | 3,951 | 379 | 808 | 5,138 | 7,105 | 720,978 | 733,221 | ||||||||||||||||||||||
$ | 28,124 | $ | 5,660 | $ | 3,657 | $ | 37,441 | $ | 33,883 | $ | 4,405,079 | $ | 4,476,403 | ||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 24 | $ | - | $ | - | $ | 24 | $ | 6,599 | $ | 96,603 | $ | 103,226 | |||||||||||||||
Commercial Real Estate | - | - | - | - | 3,559 | 225,455 | 229,014 | ||||||||||||||||||||||
Business Banking | 320 | 2 | - | 322 | 1,340 | 68,487 | 70,149 | ||||||||||||||||||||||
344 | 2 | - | 346 | 11,498 | 390,545 | 402,389 | |||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 939 | 113 | 71 | 1,123 | 93 | 123,870 | 125,086 | ||||||||||||||||||||||
Home Equity | 753 | 63 | - | 816 | 570 | 85,690 | 87,076 | ||||||||||||||||||||||
Direct | 76 | 56 | 9 | 141 | 49 | 7,235 | 7,425 | ||||||||||||||||||||||
1,768 | 232 | 80 | 2,080 | 712 | 216,795 | 219,587 | |||||||||||||||||||||||
Residential Real Estate Mortgages | 1,725 | - | - | 1,725 | 3,872 | 302,819 | 308,416 | ||||||||||||||||||||||
$ | 3,837 | $ | 234 | $ | 80 | $ | 4,151 | $ | 16,082 | $ | 910,159 | $ | 930,392 | ||||||||||||||||
Total Loans | $ | 31,961 | $ | 5,894 | $ | 3,737 | $ | 41,592 | $ | 49,965 | $ | 5,315,238 | $ | 5,406,795 | |||||||||||||||
There were no material commitments to extend further credit to borrowers with nonperforming loans. | |||||||||||||||||||||||||||||
Impaired Loans | |||||||||||||||||||||||||||||
The methodology used to establish the allowance for loan losses on impaired loans incorporates specific allocations on loans analyzed individually. Classified and nonperforming loans with outstanding balances of $0.5 million or more and all troubled debt restructured loans ("TDR") are evaluated for impairment through the Company's quarterly status review process. In determining that we will be unable to collect all principal and interest payments due in accordance with the contractual terms of the loan agreements, we consider factors such as payment history and changes in the financial condition of individual borrowers, local economic conditions, historical loss experience and the conditions of the various markets in which the collateral may be liquidated. For loans that are impaired as defined by accounting standards, impairment is measured by one of three methods: 1) the fair value of collateral less cost to sell, 2) present value of expected future cash flows or 3) the loan's observable market price. All impaired loans are reviewed on a quarterly basis for changes in the measurement of impairment. Any change to the previously recognized impairment loss is recognized as a change to the allowance account and recorded in the consolidated statement of income as a component of the provision for loan losses. | |||||||||||||||||||||||||||||
The following table provides information on loans specifically evaluated for impairment as of September 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
30-Sep-14 | 31-Dec-13 | ||||||||||||||||||||||||||||
(in thousands) | Recorded Investment Balance (Book) | Unpaid Principal Balance(Legal) | Related Allowance | Recorded Investment Balance(Book) | Unpaid Principal Balance(Legal) | Related Allowance | |||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 1,894 | $ | 2,019 | $ | 4,721 | $ | 4,777 | |||||||||||||||||||||
Commercial Real Estate | 6,830 | 6,845 | 4,613 | 5,164 | |||||||||||||||||||||||||
Agricultural | 98 | 168 | 125 | 195 | |||||||||||||||||||||||||
Agricultural Real Estate | 1,388 | 1,684 | 1,431 | 1,708 | |||||||||||||||||||||||||
Business Banking | 652 | 1,052 | 210 | 602 | |||||||||||||||||||||||||
Total Commercial Loans | 10,862 | 11,768 | 11,100 | 12,446 | |||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Home Equity | 5,343 | 5,849 | 3,248 | 3,472 | |||||||||||||||||||||||||
Residential Real Estate Mortgages | 3,129 | 3,494 | 2,012 | 2,255 | |||||||||||||||||||||||||
Total | 19,334 | 21,111 | 16,360 | 18,173 | |||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial Real Estate | 2,763 | 4,619 | $ | 600 | 5,020 | 6,877 | 715 | ||||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | - | - | 6,501 | 6,538 | |||||||||||||||||||||||||
Commercial Real Estate | 3,368 | 3,832 | 3,559 | 3,842 | |||||||||||||||||||||||||
Total Commercial Loans | 3,368 | 3,832 | 10,060 | 10,380 | |||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | 6,028 | 6,382 | 3,000 | - | - | - | |||||||||||||||||||||||
Total: | $ | 31,493 | $ | 35,944 | $ | 3,600 | $ | 31,440 | $ | 35,430 | $ | 715 | |||||||||||||||||
The following tables summarize the average recorded investments on impaired loans specifically evaluated for impairment and the interest income recognized for the three months ended September 30, 2014 and 2013: | |||||||||||||||||||||||||||||
For the three months ended | |||||||||||||||||||||||||||||
30-Sep-14 | 30-Sep-13 | ||||||||||||||||||||||||||||
(in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 1,957 | $ | - | $ | 2,727 | $ | 28 | |||||||||||||||||||||
Commercial Real Estate | 9,619 | 43 | 11,853 | 29 | |||||||||||||||||||||||||
Agricultural | 102 | - | 136 | - | |||||||||||||||||||||||||
Agricultural Real Estate | 1,395 | 12 | 1,381 | 12 | |||||||||||||||||||||||||
Business Banking | 677 | 10 | 50 | - | |||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Home Equity | 5,435 | 85 | 3,240 | 43 | |||||||||||||||||||||||||
Residential Real Estate Mortgage | 2,961 | 29 | 2,202 | 25 | |||||||||||||||||||||||||
Total Originated | $ | 22,146 | $ | 179 | $ | 21,589 | $ | 137 | |||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | 6,161 | - | - | - | |||||||||||||||||||||||||
Commercial Real Estate | 3,398 | - | 1,329 | - | |||||||||||||||||||||||||
Total Acquired | $ | 9,559 | $ | - | $ | 1,329 | $ | - | |||||||||||||||||||||
Total Loans | $ | 31,705 | $ | 179 | $ | 22,918 | $ | 137 | |||||||||||||||||||||
For the nine months ended | |||||||||||||||||||||||||||||
30-Sep-14 | 30-Sep-13 | ||||||||||||||||||||||||||||
(in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 2,001 | $ | - | $ | 3,789 | $ | 86 | |||||||||||||||||||||
Commercial Real Estate | 10,400 | 127 | 11,550 | 50 | |||||||||||||||||||||||||
Agricultural | 115 | 1 | 224 | 1 | |||||||||||||||||||||||||
Agricultural Real Estate | 1,410 | 35 | 1,091 | 36 | |||||||||||||||||||||||||
Business Banking | 509 | 33 | 66 | 3 | |||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Home Equity | 5,099 | 188 | 3,072 | 101 | |||||||||||||||||||||||||
Residential Real Estate Mortgage | 2,864 | 79 | 2,106 | 53 | |||||||||||||||||||||||||
Total Originated | $ | 22,398 | $ | 463 | $ | 21,898 | $ | 330 | |||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | 6,303 | - | - | - | |||||||||||||||||||||||||
Commercial Real Estate | 3,461 | - | 1,332 | - | |||||||||||||||||||||||||
Total Acquired | $ | 9,764 | $ | - | $ | 1,332 | $ | - | |||||||||||||||||||||
Total Loans | $ | 32,162 | $ | 463 | $ | 23,230 | $ | 330 | |||||||||||||||||||||
Credit Quality Indicators | |||||||||||||||||||||||||||||
The Company has developed an internal loan grading system to evaluate and quantify the Company's loan portfolio with respect to quality and risk. The system focuses on, among other things, financial strength of borrowers, experience and depth of borrower's management, primary and secondary sources of repayment, payment history, nature of the business, and outlook on particular industries. The internal grading system enables the Company to monitor the quality of the entire loan portfolio on a consistent basis and provide management with an early warning system, enabling recognition and response to problem loans and potential problem loans. | |||||||||||||||||||||||||||||
Commercial Grading System | |||||||||||||||||||||||||||||
For commercial and agricultural loans, the Company uses a grading system that relies on quantifiable and measurable characteristics when available. This would include comparison of financial strength to available industry averages, comparison of transaction factors (loan terms and conditions) to loan policy, and comparison of credit history to stated repayment terms and industry averages. Some grading factors are necessarily more subjective such as economic and industry factors, regulatory environment, and management. Classified commercial loans consist of loans graded substandard and below. The grading system for commercial and agricultural loans is as follows: | |||||||||||||||||||||||||||||
● | Doubtful | ||||||||||||||||||||||||||||
A doubtful loan has a high probability of total or substantial loss, but because of specific pending events that may strengthen the asset, its classification as a loss is deferred. Doubtful borrowers are usually in default, lack adequate liquidity or capital, and lack the resources necessary to remain an operating entity. Pending events can include mergers, acquisitions, liquidations, capital injections, the perfection of liens on additional collateral, the valuation of collateral, and refinancing. Generally, pending events should be resolved within a relatively short period and the ratings will be adjusted based on the new information. Nonaccrual treatment is required for doubtful assets because of the high probability of loss. | |||||||||||||||||||||||||||||
● | Substandard | ||||||||||||||||||||||||||||
Substandard loans have a high probability of payment default, or they have other well-defined weaknesses. They require more intensive supervision by bank management. Substandard loans are generally characterized by current or expected unprofitable operations, inadequate debt service coverage, inadequate liquidity, or marginal capitalization. Repayment may depend on collateral or other credit risk mitigants. For some Substandard loans, the likelihood of full collection of interest and principal may be in doubt and those loans should be placed on nonaccrual. Although Substandard assets in the aggregate will have a distinct potential for loss, an individual asset's loss potential does not have to be distinct for the asset to be rated Substandard. | |||||||||||||||||||||||||||||
● | Special Mention | ||||||||||||||||||||||||||||
Special Mention loans have potential weaknesses that may, if not checked or corrected, weaken the asset or inadequately protect the Company's position at some future date. These loans pose elevated risk, but their weakness does not yet justify a Substandard classification. Borrowers may be experiencing adverse operating trends (declining revenues or margins) or may be struggling with an ill-proportioned balance sheet (e.g., increasing inventory without an increase in sales, high leverage, tight liquidity). Adverse economic or market conditions, such as interest rate increases or the entry of a new competitor, may also support a Special Mention rating. Although a Special Mention loan has a higher probability of default than a pass asset, its default is not imminent. | |||||||||||||||||||||||||||||
● | Pass | ||||||||||||||||||||||||||||
Loans graded as Pass encompass all loans not graded as Doubtful, Substandard, or Special Mention. Pass loans are in compliance with loan covenants, and payments are generally made as agreed. Pass loans range from superior quality to fair quality. | |||||||||||||||||||||||||||||
Business Banking Grading System | |||||||||||||||||||||||||||||
Business banking loans are graded as either Classified or Non-classified: | |||||||||||||||||||||||||||||
● | Classified | ||||||||||||||||||||||||||||
Classified loans are inadequately protected by the current worth and paying capacity of the obligor or, if applicable, the collateral pledged. These loans have a well-defined weakness, or weaknesses, that jeopardize the liquidation of the debt, or in some cases make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. They are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. Classified loans have a high probability of payment default, or a high probability of total or substantial loss. These loans require more intensive supervision by management and are generally characterized by current or expected unprofitable operations, inadequate debt service coverage, inadequate liquidity, or marginal capitalization. Repayment may depend on collateral or other credit risk mitigants. When the likelihood of full collection of interest and principal may be in doubt; classified loans are considered to have a nonaccrual status. In some cases, Classified loans are considered uncollectible and of such little value that their continuance as assets is not warranted. | |||||||||||||||||||||||||||||
● | Non-classified | ||||||||||||||||||||||||||||
Loans graded as Non-classified encompass all loans not graded as Classified. Non-classified loans are in compliance with loan covenants, and payments are generally made as agreed. | |||||||||||||||||||||||||||||
Consumer and Residential Mortgage Grading System | |||||||||||||||||||||||||||||
Consumer and Residential Mortgage loans are graded as either Performing or Nonperforming. Nonperforming loans are loans that are 1) over 90 days past due and interest is still accruing, 2) on nonaccrual status or 3) restructured. All loans not meeting any of these three criteria are considered Performing. | |||||||||||||||||||||||||||||
The following tables illustrate the Company's credit quality by loan class as of September 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
Credit Quality Indicators | |||||||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Credit Exposure | Commercial | Commercial Real Estate | Agricultural | Agricultural Real Estate | Total | ||||||||||||||||||||||||
By Internally Assigned Grade: | |||||||||||||||||||||||||||||
Pass | $ | 574,661 | $ | 966,884 | $ | 31,793 | $ | 24,529 | $ | 1,597,867 | |||||||||||||||||||
Special Mention | 10,153 | 18,044 | 291 | 42 | 28,530 | ||||||||||||||||||||||||
Substandard | 37,696 | 35,479 | 2,264 | 1,752 | 77,191 | ||||||||||||||||||||||||
Doubtful | - | - | 12 | - | 12 | ||||||||||||||||||||||||
Total | $ | 622,510 | $ | 1,020,407 | $ | 34,360 | $ | 26,323 | $ | 1,703,600 | |||||||||||||||||||
Business Banking Credit Exposure | Business Banking | Total | |||||||||||||||||||||||||||
By Internally Assigned Grade: | |||||||||||||||||||||||||||||
Non-classified | $ | 377,043 | $ | 377,043 | |||||||||||||||||||||||||
Classified | 19,850 | 19,850 | |||||||||||||||||||||||||||
Total | $ | 396,893 | $ | 396,893 | |||||||||||||||||||||||||
Consumer Credit Exposure | Indirect | Home Equity | Direct | Total | |||||||||||||||||||||||||
By Payment Activity: | |||||||||||||||||||||||||||||
Performing | $ | 1,305,212 | $ | 494,157 | $ | 55,673 | $ | 1,855,042 | |||||||||||||||||||||
Nonperforming | 3,391 | 7,434 | 160 | 10,985 | |||||||||||||||||||||||||
Total | $ | 1,308,603 | $ | 501,591 | $ | 55,833 | $ | 1,866,027 | |||||||||||||||||||||
Residential Mortgage Credit Exposure | Residential Mortgage | Total | |||||||||||||||||||||||||||
By Payment Activity: | |||||||||||||||||||||||||||||
Performing | $ | 812,588 | $ | 812,588 | |||||||||||||||||||||||||
Nonperforming | 9,792 | 9,792 | |||||||||||||||||||||||||||
Total | $ | 822,380 | $ | 822,380 | |||||||||||||||||||||||||
Credit Quality Indicators | |||||||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Credit Exposure By Internally Assigned Grade: | Commercial | Commercial Real Estate | Agricultural | Total | |||||||||||||||||||||||||
Pass | $ | 76,876 | $ | 190,740 | $ | - | $ | 267,616 | |||||||||||||||||||||
Special Mention | 3,633 | 4,213 | - | 7,846 | |||||||||||||||||||||||||
Substandard | 9,080 | 11,704 | - | 20,784 | |||||||||||||||||||||||||
Total | $ | 89,589 | $ | 206,657 | $ | - | $ | 296,246 | |||||||||||||||||||||
Business Banking Credit Exposure By Internally Assigned Grade: | Business Banking | Total | |||||||||||||||||||||||||||
Non-classified | $ | 56,370 | $ | 56,370 | |||||||||||||||||||||||||
Classified | 4,797 | 4,797 | |||||||||||||||||||||||||||
Total | $ | 61,167 | $ | 61,167 | |||||||||||||||||||||||||
Consumer Credit Exposure By Payment Activity: | Indirect | Home Equity | Direct | Total | |||||||||||||||||||||||||
Performing | $ | 77,601 | $ | 78,873 | $ | 5,632 | $ | 162,106 | |||||||||||||||||||||
Nonperforming | 207 | 663 | 43 | 913 | |||||||||||||||||||||||||
Total | $ | 77,808 | $ | 79,536 | $ | 5,675 | $ | 163,019 | |||||||||||||||||||||
Residential Mortgage Credit Exposure By Payment Activity: | Residential Mortgage | Total | |||||||||||||||||||||||||||
Performing | $ | 273,959 | $ | 273,959 | |||||||||||||||||||||||||
Nonperforming | 3,800 | 3,800 | |||||||||||||||||||||||||||
Total | $ | 277,759 | $ | 277,759 | |||||||||||||||||||||||||
Credit Quality Indicators | |||||||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Credit Exposure By Internally Assigned Grade: | Commercial | Commercial Real Estate | Agricultural | Agricultural Real Estate | Total | ||||||||||||||||||||||||
Pass | $ | 576,079 | $ | 878,411 | $ | 60,043 | $ | 33,136 | $ | 1,547,669 | |||||||||||||||||||
Special Mention | 16,836 | 22,777 | 381 | 43 | 40,037 | ||||||||||||||||||||||||
Substandard | 23,508 | 33,128 | 4,726 | 3,473 | 64,835 | ||||||||||||||||||||||||
Doubtful | - | - | 12 | - | 12 | ||||||||||||||||||||||||
Total | $ | 616,423 | $ | 934,316 | $ | 65,162 | $ | 36,652 | $ | 1,652,553 | |||||||||||||||||||
Business Banking Credit Exposure By Internally Assigned Grade: | Business Banking | Total | |||||||||||||||||||||||||||
Non-classified | $ | 319,578 | $ | 319,578 | |||||||||||||||||||||||||
Classified | 18,101 | 18,101 | |||||||||||||||||||||||||||
Total | $ | 337,679 | $ | 337,679 | |||||||||||||||||||||||||
Total | |||||||||||||||||||||||||||||
Consumer Credit Exposure By Payment Activity: | Indirect | Home Equity | Direct | Total | |||||||||||||||||||||||||
Performing | $ | 1,158,800 | $ | 525,777 | $ | 58,151 | $ | 1,742,728 | |||||||||||||||||||||
Nonperforming | 3,044 | 7,046 | 132 | 10,222 | |||||||||||||||||||||||||
Total | $ | 1,161,844 | $ | 532,823 | $ | 58,283 | $ | 1,752,950 | |||||||||||||||||||||
Residential Mortgage Credit Exposure By Payment Activity: | Residential Mortgage | Total | |||||||||||||||||||||||||||
Performing | $ | 725,308 | $ | 725,308 | |||||||||||||||||||||||||
Nonperforming | 7,913 | 7,913 | |||||||||||||||||||||||||||
Total | $ | 733,221 | $ | 733,221 | |||||||||||||||||||||||||
Credit Quality Indicators | |||||||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Credit Exposure By Internally Assigned Grade: | Commercial | Commercial Real Estate | Agricultural | Total | |||||||||||||||||||||||||
Pass | $ | 85,692 | $ | 205,010 | $ | - | $ | 290,702 | |||||||||||||||||||||
Special Mention | 2,230 | 6,183 | - | 8,413 | |||||||||||||||||||||||||
Substandard | 15,304 | 17,821 | - | 33,125 | |||||||||||||||||||||||||
Total | $ | 103,226 | $ | 229,014 | $ | - | $ | 332,240 | |||||||||||||||||||||
Business Banking Credit Exposure By Internally Assigned Grade: | Business Banking | Total | |||||||||||||||||||||||||||
Non-classified | $ | 65,437 | $ | 65,437 | |||||||||||||||||||||||||
Classified | 4,712 | 4,712 | |||||||||||||||||||||||||||
Total | $ | 70,149 | $ | 70,149 | |||||||||||||||||||||||||
Consumer Credit Exposure By Payment Activity: | Indirect | Home Equity | Direct | Total | |||||||||||||||||||||||||
Performing | $ | 124,922 | $ | 86,506 | $ | 7,367 | $ | 218,795 | |||||||||||||||||||||
Nonperforming | 164 | 570 | 58 | 792 | |||||||||||||||||||||||||
Total | $ | 125,086 | $ | 87,076 | $ | 7,425 | $ | 219,587 | |||||||||||||||||||||
Residential Mortgage Credit Exposure By Payment Activity: | Residential Mortgage | Total | |||||||||||||||||||||||||||
Performing | $ | 304,544 | $ | 304,544 | |||||||||||||||||||||||||
Nonperforming | 3,872 | 3,872 | |||||||||||||||||||||||||||
Total | $ | 308,416 | $ | 308,416 | |||||||||||||||||||||||||
Troubled Debt Restructured Loans | |||||||||||||||||||||||||||||
The Company's loan portfolio includes certain loans that have been modified where economic concessions have been granted to borrowers who have experienced or are expected to experience financial difficulties. These concessions typically result from the Company's loss mitigation activities and could include reductions in the interest rate, payment extensions, forgiveness of principal, forbearance or other actions. Certain TDRs are classified as nonperforming at the time of restructure and may only be returned to performing status after considering the borrower's sustained repayment performance for a reasonable period, generally six months. Substantially all of these modifications included one or a combination of the following: an extension of the maturity date at a stated rate of interest lower than the current market rate for new debt with similar risk; temporary reduction in the interest rate; or change in scheduled payment amount. | |||||||||||||||||||||||||||||
When the Company modifies a loan, management evaluates any possible impairment based on the present value of the expected future cash flows, discounted at the contractual interest rate of the original loan agreement, except when the sole (remaining) source of repayment for the loan is the operation or liquidation of the collateral. In these cases, management uses the current fair value of the collateral, less selling costs, instead of discounted cash flows. If management determines that the value of the modified loan is less than the recorded investment in the loan (net of previous charge-offs, deferred loan fees or costs and unamortized premium or discount), impairment is recognized by segment or class of loan as applicable, through an allowance estimate or a charge-off to the allowance. Segment and class status is determined by the loan's classification at origination. | |||||||||||||||||||||||||||||
TDRs that occurred during the three month period ending September 30, 2014 consisted of one home equity loan totaling $25,000, seven direct consumer loans totaling $0.2 million, and three residential real estate mortgages totaling $0.2 million. For all such modifications, the pre and post outstanding recorded investment amount remained unchanged. During the three month period ending September 30, 2014 there was one default on a home equity loan TDR totaling $25,000 and one default on a residential real estate mortgage loan TDR totaling $48,000. | |||||||||||||||||||||||||||||
TDRs that occurred during the nine month period ending September 30, 2014 consisted of seven home equity loans totaling $0.3 million, two commercial loans totaling $0.6 million, 40 direct consumer loans totaling $2.7 million, 19 residential real estate mortgages totaling $2.2 million and two indirect consumer loans totaling $0.1 million. For all such modifications, the pre and post outstanding recorded investment amount remained unchanged. During the nine month period ending September 30, 2014 there were seven defaults on home equity loan TDRs totaling $0.5 million. | |||||||||||||||||||||||||||||
TDRs that occurred during the three month period ending September 30, 2013 consisted of three commercial loans totaling $6.1 million, nine home equity loans totaling $0.4 million, and five residential real estate mortgage totaling $0.3 million. For all such modifications, the pre and post outstanding recorded investment amount remained unchanged. During the three month period ending September 30, 2013 there was one default on home equity loan TDR totaling $0.1 million. | |||||||||||||||||||||||||||||
TDRs that occurred during the nine month period ending September 30, 2013 consisted of four commercial loans totaling $7.0 million, 20 home equity loans totaling $1.0 million, and six residential real estate mortgage totaling $0.5 million. For all such modifications, the pre and post outstanding recorded investment amount remained unchanged. During the nine month period ending September 30, 2013 there was one default on a home equity loan TDR totaling $25,000, two defaults on indirect consumer loan TDRs totaling $0.1 million, three defaults on direct consumer loan TDRs totaling $0.1 million, and three defaults on residential real estate mortgage loan TDRs totaling $0.2 million. |
LongTerm_Debt
Long-Term Debt | 9 Months Ended |
Sep. 30, 2014 | |
Long-Term Debt [Abstract] | ' |
Long-Term Debt | ' |
Note 5. Long-Term Debt | |
. | |
As part of a debt restructuring strategy initiated during the second quarter of 2014, the Company repaid $165.0 million in long-term borrowings, resulting in $17.9 million in prepayment penalties. Prepayment penalties of $4.6 million were recognized as expense in the second quarter of 2014 and $13.3 million were recognized in the third quarter of 2014 upon completion of the restructure strategy. |
Defined_Benefit_Postretirement
Defined Benefit Postretirement Plans | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Defined Benefit Postretirement Plans [Abstract] | ' | ||||||||||||||||
Defined Benefit Postretirement Plans | ' | ||||||||||||||||
Note 6. | Defined Benefit Postretirement Plans | ||||||||||||||||
The Company has a qualified, noncontributory, defined benefit pension plan ("the Plan") covering substantially all of its employees at September 30, 2014. Benefits paid from the plan are based on age, years of service, compensation and social security benefits, and are determined in accordance with defined formulas. The Company's policy is to fund the pension plan in accordance with Employee Retirement Income Security Act of 1974 ("ERISA") standards. Assets of the plan are invested in publicly traded stocks and bonds. The Company is not required to make contributions to the Plan in 2014, and did not do so during the nine months ended September 30, 2014. | |||||||||||||||||
The Company assumed a noncontributory, defined benefit pension plan in the Alliance Financial Corporation ("Alliance") acquisition. This plan covers certain Alliance full-time employees who met eligibility requirements on October 6, 2006, at which time all benefits were frozen. Under the plan, retirement benefits are primarily a function of both the years of service and the level of compensation. Effective May 1, 2013, this plan was merged into the Plan. | |||||||||||||||||
Market conditions can result in an unusually high degree of volatility and increase the risks and short term liquidity associated with certain investments held by the Plan which could impact the value of these investments. | |||||||||||||||||
In addition to the Plan, the Company also provides supplemental employee retirement plans to certain current and former executives. These supplemental employee retirement plans and the Plan are collectively referred to herein as "Pension Benefits." | |||||||||||||||||
Also, the Company provides certain health care benefits for retired employees. Benefits are accrued over the employees' active service period. Only employees that were employed by the Company on or before January 1, 2000 are eligible to receive postretirement health care benefits. In addition, the Company assumed post-retirement medical life insurance benefits for certain Alliance employees, retirees and their spouses, if applicable, in the Alliance acquisition. These postretirement benefits are referred to herein as "Other Benefits." The components of expense for Pension Benefits and Other Benefits are set forth below (in thousands): | |||||||||||||||||
Pension Benefits | Other Benefits | ||||||||||||||||
Three months ended September 30, | Three months ended September 30, | ||||||||||||||||
Components of net periodic (benefit) cost: | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Service cost | $ | 587 | $ | 604 | $ | 4 | $ | 6 | |||||||||
Interest cost | 1,040 | 830 | 90 | 75 | |||||||||||||
Expected return on plan assets | (2,175 | ) | (1,929 | ) | - | - | |||||||||||
Net amortization | 25 | 711 | (6 | ) | (2 | ) | |||||||||||
Total cost (benefit) | $ | (523 | ) | $ | 216 | $ | 88 | $ | 79 | ||||||||
Pension Benefits | Other Benefits | ||||||||||||||||
Nine months ended September 30, | Nine months ended September 30, | ||||||||||||||||
Components of net periodic (benefit) cost: | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Service cost | $ | 1,761 | $ | 1,813 | $ | 12 | $ | 18 | |||||||||
Interest cost | 3,120 | 2,489 | 270 | 224 | |||||||||||||
Expected return on plan assets | (6,525 | ) | (5,786 | ) | - | - | |||||||||||
Net amortization | 75 | 2,025 | (18 | ) | 219 | ||||||||||||
Total cost (benefit) | $ | (1,569 | ) | $ | 541 | $ | 264 | $ | 461 | ||||||||
Earnings_Per_Share
Earnings Per Share | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Earnings Per Share | ' | ||||||||
Note 7. | Earnings Per Share | ||||||||
Basic earnings per share excludes dilution and is computed by dividing income available to common stockholders by the weighted average number of common shares outstanding for the period. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity (such as the Company's dilutive stock options and restricted stock units). | |||||||||
The following is a reconciliation of basic and diluted earnings per share for the periods presented in the consolidated statements of income. | |||||||||
Three months ended September 30, | 2014 | 2013 | |||||||
(in thousands, except per share data) | |||||||||
Basic EPS: | |||||||||
Weighted average common shares outstanding | 43,882 | 43,711 | |||||||
Net income available to common shareholders | 10,912 | 19,257 | |||||||
Basic EPS | $ | 0.25 | $ | 0.44 | |||||
Diluted EPS: | |||||||||
Weighted average common shares outstanding | 43,882 | 43,711 | |||||||
Dilutive effect of common stock options and restricted stock | 523 | 424 | |||||||
Weighted average common shares and common share equivalents | 44,405 | 44,135 | |||||||
Net income available to common shareholders | 10,912 | 19,257 | |||||||
Diluted EPS | $ | 0.25 | $ | 0.44 | |||||
Nine months ended September 30, | 2014 | 2013 | |||||||
(in thousands, except per share data) | |||||||||
Basic EPS: | |||||||||
Weighted average common shares outstanding | 43,847 | 41,375 | |||||||
Net income available to common shareholders | 56,561 | 43,822 | |||||||
Basic EPS | $ | 1.29 | $ | 1.06 | |||||
Diluted EPS: | |||||||||
Weighted average common shares outstanding | 43,847 | 41,375 | |||||||
Dilutive effect of common stock options and restricted stock | 507 | 394 | |||||||
Weighted average common shares and common share equivalents | 44,354 | 41,769 | |||||||
Net income available to common shareholders | 56,561 | 43,822 | |||||||
Diluted EPS | $ | 1.28 | $ | 1.05 | |||||
There were 501,843 stock options for the quarter ended September 30, 2014 and 972,403 stock options for the quarter ended September 30, 2013 that were not considered in the calculation of diluted earnings per share since the stock options' exercise price was greater than the average market price during these periods. | |||||||||
There were 502,836 stock options for the nine months ended September 30, 2014 and 1,157,135 stock options for the nine months ended September 30, 2013 that were not considered in the calculation of diluted earnings per share since the stock options' exercise price was greater than the average market price during these periods. |
Reclassification_Adjustments_O
Reclassification Adjustments Out of Other Comprehensive Income (Loss) | 9 Months Ended | |||||||||
Sep. 30, 2014 | ||||||||||
Reclassification Adjustments Out of Other Comprehensive Income (Loss) [Abstract] | ' | |||||||||
Reclassification Adjustments Out of Other Comprehensive Income (Loss) | ' | |||||||||
Note 8. | Reclassification Adjustments Out of Other Comprehensive Income (Loss) | |||||||||
The following table summarizes the reclassification adjustments out of accumulated other comprehensive income (loss) (in thousands): | ||||||||||
Detail About Accumulated Other Comprehensive Income (Loss) Components | Amount reclassified from accumulated other comprehensive income (loss) | Affected line item in the consolidated statement of comprehensive income (loss) | ||||||||
Three months ended | ||||||||||
30-Sep-14 | 30-Sep-13 | |||||||||
Securities: | ||||||||||
Gains on available for sale securities | $ | (38 | ) | $ | (329 | ) | Net securities (gains) losses | |||
Amortization of unrealized gains and losses related to securities transfer | (99 | ) | - | Interest income | ||||||
Tax expense (benefit) | 55 | 132 | Income tax expense | |||||||
Net of tax | $ | (82 | ) | $ | (197 | ) | ||||
Pension and other benefits: | ||||||||||
Amortization of net gains | $ | 74 | $ | 765 | Salaries and employee benefits | |||||
Amortization of prior service costs | (56 | ) | (56 | ) | Salaries and employee benefits | |||||
Tax benefit | 7 | 283 | Income tax expense | |||||||
Net of tax | $ | 11 | $ | 426 | ||||||
Total reclassifications during the period, net of tax | $ | (71 | ) | $ | 229 | |||||
Detail About Accumulated Other Comprehensive Income (Loss) Components | Amount reclassified from accumulated other comprehensive income (loss) | Affected line item in the consolidated statement of comprehensive income (loss) | ||||||||
Nine months ended | ||||||||||
30-Sep-14 | 30-Sep-13 | |||||||||
Securities: | ||||||||||
Gains on available for sale securities | $ | (58 | ) | (1,413 | ) | Net securities gains | ||||
Amortization of unrealized gains and losses related to securities transfer | (99 | ) | - | Interest income | ||||||
Tax expense | 63 | 565 | Income tax expense | |||||||
Net of tax | $ | (94 | ) | $ | (848 | ) | ||||
Pension and other benefits: | ||||||||||
Amortization of net gains | $ | 222 | $ | 2,411 | Salaries and employee benefits | |||||
Amortization of prior service costs | (166 | ) | (167 | ) | Salaries and employee benefits | |||||
Tax benefit | 22 | 890 | Income tax expense | |||||||
Net of tax | $ | 34 | $ | 1,354 | ||||||
Total reclassifications during the period, net of tax | $ | (60 | ) | $ | 506 |
Fair_Values_Measurements_and_F
Fair Values Measurements and Fair Value of Financial Instruments | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Fair Value Measurements and Fair Value of Financial Instruments [Abstract] | ' | ||||||||||||||||||||
Fair Value Measurements and Fair Value of Financial Instruments | ' | ||||||||||||||||||||
Note 9. | Fair Value Measurements and Fair Value of Financial Instruments | ||||||||||||||||||||
U.S. GAAP states that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. Fair value measurements are not adjusted for transaction costs. A fair value hierarchy exists within U.S. GAAP that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements). The three levels of the fair value hierarchy are described below: | |||||||||||||||||||||
Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; | |||||||||||||||||||||
Level 2 - Quoted prices for similar assets or liabilities in active markets, quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; | |||||||||||||||||||||
Level 3 - Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity). | |||||||||||||||||||||
A financial instrument's level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. | |||||||||||||||||||||
The types of instruments valued based on quoted market prices in active markets include most U.S. government and agency securities, many other sovereign government obligations, liquid mortgage products, active listed equities and most money market securities. Such instruments are generally classified within level 1 or level 2 of the fair value hierarchy. The Company does not adjust the quoted price for such instruments. | |||||||||||||||||||||
The types of instruments valued based on quoted prices in markets that are not active, broker or dealer quotations, or alternative pricing sources with reasonable levels of price transparency include most investment-grade and high-yield corporate bonds, less liquid mortgage products, less liquid agency securities, less liquid listed equities, state, municipal and provincial obligations, and certain physical commodities. Such instruments are generally classified within level 2 of the fair value hierarchy. | |||||||||||||||||||||
Level 3 is for positions that are not traded in active markets or are subject to transfer restrictions, valuations are adjusted to reflect illiquidity and/or non-transferability, and such adjustments are generally based on available market evidence. In the absence of such evidence, management's best estimate will be used. Management's best estimate consists of both internal and external support on certain Level 3 investments. Subsequent to inception, management only changes level 3 inputs and assumptions when corroborated by evidence such as transactions in similar instruments, completed or pending third-party transactions in the underlying investment or comparable entities, subsequent rounds of financing, recapitalizations and other transactions across the capital structure, offerings in the equity or debt markets, and changes in financial ratios or cash flows. | |||||||||||||||||||||
For the nine month period ending September 30, 2014, the Company has made no transfers of assets between Level 1 and Level 2, and has had no Level 3 activity. | |||||||||||||||||||||
The following tables set forth the Company's financial assets and liabilities measured on a recurring basis that were accounted for at fair value. Assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement (in thousands): | |||||||||||||||||||||
September 30, 2014: | |||||||||||||||||||||
Quoted Prices inActive Markets forIdentical Assets | SignificantOtherObservable Inputs | SignificantUnobservableInputs | Balanceas of | ||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | 30-Sep-14 | ||||||||||||||||||
Assets: | |||||||||||||||||||||
Securities Available for Sale: | |||||||||||||||||||||
U.S. Treasury | $ | 23,213 | $ | - | $ | - | $ | 23,213 | |||||||||||||
Federal Agency | - | 333,317 | - | 333,317 | |||||||||||||||||
State & municipal | - | 41,521 | - | 41,521 | |||||||||||||||||
Mortgage-backed | - | 374,059 | - | 374,059 | |||||||||||||||||
Collateralized mortgage obligations | - | 257,264 | - | 257,264 | |||||||||||||||||
Other securities | 7,079 | 8,049 | - | 15,128 | |||||||||||||||||
Total Securities Available for Sale | $ | 30,292 | $ | 1,014,210 | $ | - | $ | 1,044,502 | |||||||||||||
Trading Securities | 7,622 | - | - | 7,622 | |||||||||||||||||
Interest Rate Swaps | - | 2,520 | - | 2,520 | |||||||||||||||||
Total | $ | 37,914 | $ | 1,016,730 | $ | - | $ | 1,054,644 | |||||||||||||
Liabilities: | |||||||||||||||||||||
Interest Rate Swaps | $ | - | $ | 2,520 | $ | - | $ | 2,520 | |||||||||||||
Total | $ | - | $ | 2,520 | $ | - | $ | 2,520 | |||||||||||||
December 31, 2013: | |||||||||||||||||||||
Quoted Prices inActive Markets forIdentical Assets | SignificantOtherObservable Inputs | SignificantUnobservableInputs | Balanceas ofDecember 31, 2013 | ||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||||||
Assets: | |||||||||||||||||||||
Securities Available for Sale: | |||||||||||||||||||||
U.S. Treasury | $ | 43,616 | $ | - | $ | - | $ | 43,616 | |||||||||||||
Federal Agency | - | 278,915 | - | 278,915 | |||||||||||||||||
State & municipal | - | 113,665 | - | 113,665 | |||||||||||||||||
Mortgage-backed | - | 364,164 | - | 364,164 | |||||||||||||||||
Collateralized mortgage obligations | - | 549,528 | - | 549,528 | |||||||||||||||||
Other securities | 6,796 | 8,197 | - | 14,993 | |||||||||||||||||
Total Securities Available for Sale | $ | 50,412 | $ | 1,314,469 | $ | - | $ | 1,364,881 | |||||||||||||
Trading Securities | 5,779 | - | - | 5,779 | |||||||||||||||||
Interest Rate Swaps | - | 281 | - | 281 | |||||||||||||||||
Total | $ | 56,191 | $ | 1,314,750 | $ | - | $ | 1,370,941 | |||||||||||||
Liabilities: | |||||||||||||||||||||
Interest Rate Swaps | $ | - | $ | 281 | $ | - | $ | 281 | |||||||||||||
Total | $ | - | $ | 281 | $ | - | $ | 281 | |||||||||||||
Certain common equity securities are reported at fair value utilizing Level 1 inputs (exchange quoted prices). The majority of the other investment securities are reported at fair value utilizing Level 2 inputs. The prices for these instruments are obtained through an independent pricing service or dealer market participants with whom the Company has historically transacted both purchases and sales of investment securities. Prices obtained from these sources include prices derived from market quotations and matrix pricing. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond's terms and conditions, among other things. Management reviews the methodologies used in pricing the securities by its third party providers. | |||||||||||||||||||||
U.S. GAAP requires disclosure of assets and liabilities measured and recorded at fair value on a nonrecurring basis such as goodwill, loans held for sale, other real estate owned, collateral-dependent impaired loans, mortgage servicing rights, and held-to-maturity securities. The only nonrecurring fair value measurements recorded during the nine month period ended September 30, 2014 were related to impaired loans and the aforementioned held to maturity securities that were transfered from available for sale during the period. During the nine month period ending September 30, 2014, the Company recorded $8.8 million of loans at fair value resulting in a loss of $3.6 million. The Company uses the fair value of underlying collateral, less costs to sell, to estimate the specific reserves for collateral dependent impaired loans. The appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses ranging from 10% to 35%. Based on the valuation techniques used, the fair value measurements for collateral dependent impaired loans are classified as Level 3. | |||||||||||||||||||||
The following table sets forth information with regard to estimated fair values of financial instruments at September 30, 2014 and December 31, 2013. This table excludes financial instruments for which the carrying amount approximates fair value. Financial instruments for which the fair value approximates carrying value include cash and cash equivalents, securities available for sale, trading securities, accrued interest receivable, non-maturity deposits, short-term borrowings, accrued interest payable, and interest rate swaps. | |||||||||||||||||||||
30-Sep-14 | 31-Dec-13 | ||||||||||||||||||||
(In thousands) | Fair Value Hierarchy | Carrying amount | Estimated fair value | Carrying amount | Estimated fair value | ||||||||||||||||
Financial assets | |||||||||||||||||||||
Securities held to maturity | 2 | $ | 459,620 | $ | 454,787 | $ | 117,283 | $ | 113,276 | ||||||||||||
Net loans | 3 | 5,517,757 | 5,561,963 | 5,337,361 | 5,386,520 | ||||||||||||||||
Financial liabilities | |||||||||||||||||||||
Time deposits | 2 | $ | 1,076,650 | $ | 1,071,564 | $ | 1,021,142 | $ | 1,023,982 | ||||||||||||
Long-term debt | 2 | 131,056 | 132,341 | 308,823 | 325,195 | ||||||||||||||||
Junior subordinated debt | 2 | 101,196 | 106,054 | 101,196 | 105,121 | ||||||||||||||||
Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company's entire holdings of a particular financial instrument. Because no market exists for a significant portion of the Company's financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. | |||||||||||||||||||||
Fair value estimates are based on existing on and off balance sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. For example, the Company has a substantial trust and investment management operation that contributes net fee income annually. The trust and investment management operation is not considered a financial instrument, and its value has not been incorporated into the fair value estimates. Other significant assets and liabilities include the benefits resulting from the low-cost funding of deposit liabilities as compared to the cost of borrowing funds in the market, and premises and equipment. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimate of fair value. | |||||||||||||||||||||
Securities Held to Maturity | |||||||||||||||||||||
The fair value of the Company's investment securities held to maturity is primarily measured using information from a third party pricing service. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond's terms and conditions, among other things. | |||||||||||||||||||||
Net Loans | |||||||||||||||||||||
The fair value of the Company's loans was estimated by discounting the expected future cash flows using the current interest rates at which similar loans would be made for the same remaining maturities. Loans were first segregated by type, and then further segmented into fixed and variable rate and loan quality categories. Expected future cash flows were projected based on contractual cash flows, adjusted for estimated prepayments. | |||||||||||||||||||||
Time Deposits | |||||||||||||||||||||
The fair value of time deposits was estimated using a discounted cash flow approach that applies prevailing market interest rates for similar maturity instruments. The fair values of the Company's time deposit liabilities do not take into consideration the value of the Company's long-term relationships with depositors, which may have significant value. | |||||||||||||||||||||
Long-Term Debt | |||||||||||||||||||||
The fair value of long-term debt was estimated using a discounted cash flow approach that applies prevailing market interest rates for similar maturity instruments. | |||||||||||||||||||||
Junior Subordinated Debt | |||||||||||||||||||||
The fair value of junior subordinated debt has been estimated using a discounted cash flow analysis. |
Commitments_and_Contingencies
Commitments and Contingencies | 9 Months Ended | |
Sep. 30, 2014 | ||
Commitments and Contingencies [Abstract] | ' | |
Commitments and Contingencies | ' | |
Note 10. | Commitments and Contingencies | |
The Company is a party to financial instruments in the normal course of business to meet the financing needs of its customers and to reduce its own exposure to fluctuating interest rates. These financial instruments include commitments to extend credit, unused lines of credit, and standby letters of credit. Exposure to credit loss in the event of nonperformance by the other party to the financial instrument for commitments to make loans and standby letters of credit is represented by the contractual amount of those instruments. The Company uses the same credit origination guidelines, portfolio maintenance and management procedures as other credit and off-balance sheet products. Commitments to extend credit and unused lines of credit totaled $1.2 billion at September 30, 2014 and $1.1 billion at December 31, 2013. Since commitments to extend credit and unused lines of credit may expire without being fully drawn upon, this amount does not necessarily represent future cash commitments. Collateral obtained upon exercise of the commitment is determined using management's credit evaluation of the borrower and may include accounts receivable, inventory, property, land and other items. | ||
The Company guarantees the obligations or performance of customers by issuing standby letters of credit to third parties. These standby letters of credit are frequently issued in support of third party debt, such as corporate debt issuances, industrial revenue bonds and municipal securities. The credit risk involved in issuing standby letters of credit is essentially the same as the credit risk involved in extending loan facilities to customers, and they are subject to the same credit origination guidelines, portfolio maintenance and management procedures as other credit and off-balance sheet products. Typically, these instruments have terms of five years or less and expire unused; therefore, the total amounts do not necessarily represent future cash commitments. Standby letters of credit totaled $37.6 million at September 30, 2014 and $36.8 million at December 31, 2013. As of September 30, 2014, the fair value of standby letters of credit was not significant to the Company's consolidated financial statements. | ||
The Company has also entered into commercial letter of credit agreements on behalf of its customers. Under these agreements, the Company, on the request of its customer, opens the letter of credit and makes a commitment to honor draws made under the agreement, whereby the beneficiary is normally the provider of goods and/or services and the Company essentially replaces the customer as the payee. The credit risk involved in issuing commercial letters of credit is essentially the same as the credit risk involved in extending loan facilities to customers, and they are subject to the same credit origination guidelines, portfolio maintenance and management procedures as other credit and off-balance sheet products. Typically, these agreements vary in terms and the total amounts do not necessarily represent future cash commitments. Commercial letters of credit totaled $38.9 million at September 30, 2014 and $41.3 million at December 31, 2013. As of September 30, 2014, the fair value of commercial letters of credit was not significant to the Company's consolidated financial statements. |
Sale_of_Equity_Investment
Sale of Equity Investment | 9 Months Ended | |
Sep. 30, 2014 | ||
Sale of Equity Investment [Abstract] | ' | |
Sale of Equity Investments | ' | |
Note 11. | Sale of Equity Investment | |
On April 17, 2014, NBT Capital Corp., a wholly-owned subsidiary of NBT, sold to LendingClub Corporation, its 20% ownership interest in Springstone Financial, LLC, which NBT originally acquired in exchange for a $3 million investment, as part of LendingClub's acquisition of all of the outstanding equity in Springstone. In total, LendingClub paid the group of selling equityholders a purchase price equal to $140 million in cash and preferred stock. As a result of this sale, the Company recognized a gain of $19.4 million during the second quarter of 2014. There is $5.2 million in proceeds being held in escrow for indemnification provisions of the sale contract which will be recognized into income in 2015 when the conditions of the contract have been deemed to be satisfied |
Description_of_Business_Polici
Description of Business (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Description of Business [Abstract] | ' |
Nature of Operations | ' |
NBT Bancorp Inc. (the "Registrant" or the "Company") is a registered financial holding company incorporated in the state of Delaware in 1986, with its principal headquarters located in Norwich, New York. The principal assets of the Registrant consist of all of the outstanding shares of common stock of its subsidiaries, including: NBT Bank, National Association (the "Bank"), NBT Financial Services, Inc. ("NBT Financial"), NBT Holdings, Inc. ("NBT Holdings"), Hathaway Agency, Inc., and CNBF Capital Trust I, NBT Statutory Trust I and NBT Statutory Trust II (collectively, the "Trusts"). The Company's principal sources of revenue are the management fees and dividends it receives from the Bank, NBT Financial and NBT Holdings. | |
The Company's business, primarily conducted through the Bank but also through its other subsidiaries, consists of providing commercial banking and financial services to customers in its market area, which includes central and upstate New York, northeastern Pennsylvania, southern New Hampshire, western Massachusetts, the greater Burlington, Vermont area, and southeren Maine. The Company has been, and intends to continue to be, a community-oriented financial institution offering a variety of financial services. The Company's business philosophy is to operate as a community bank with local decision-making, principally in non-metropolitan markets, providing a broad array of banking and financial services to retail, commercial, and municipal customers. |
Securities_Policies
Securities (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Securities [Abstract] | ' |
Investment, Policy | ' |
Declines in the fair value of held-to-maturity and available-for-sale securities below their cost that are deemed to be other than temporary are reflected in earnings as realized losses or in other comprehensive income, depending on whether the Company intends to sell the security or more likely than not will be required to sell the security before recovery of its amortized cost basis less any current-period credit loss. If the Company intends to sell the security or more likely than not will be required to sell the security before recovery of its amortized cost basis less any current-period credit loss, the other-than-temporary impairment shall be recognized in earnings equal to the entire difference between the investment's amortized cost basis and its fair value at the balance sheet date. If the Company does not intend to sell the security and it is not more likely than not that the entity will be required to sell the security before recovery of its amortized cost basis less any current-period credit loss, the other-than-temporary impairment shall be separated into (a) the amount representing the credit loss and (b) the amount related to all other factors. The amount of the total other-than-temporary impairment related to the credit loss shall be recognized in earnings. The amount of the total other-than-temporary impairment related to other factors shall be recognized in other comprehensive income, net of applicable taxes. | |
In estimating other-than-temporary impairment losses, management considers, among other things, (i) the length of time and the extent to which the fair value has been less than cost, (ii) the financial condition and near-term prospects of the issuer, and (iii) the historical and implied volatility of the fair value of the security. | |
Management has the intent to hold the securities classified as held to maturity until they mature, at which time it is believed the Company will receive full value for the securities. Furthermore, as of September 30, 2014, management also had the intent to hold, and will not be required to sell, the securities classified as available for sale for a period of time sufficient for a recovery of cost, which may be until maturity. The unrealized losses are due to increases in market interest rates over the yields available at the time the underlying securities were purchased. When necessary, the Company has performed a discounted cash flow analysis to determine whether or not it will receive the contractual principal and interest on certain securities. The fair value is expected to recover as the bonds approach their maturity date or repricing date or if market yields for such investments decline. As of September 30, 2014, management believes the impairments detailed in the table above are temporary and no other-than-temporary impairment losses have been realized in the Company's consolidated statements of income. | |
Allowance_for_Loan_Losses_and_1
Allowance for Loan Losses and Credit Quality of Loans (Policies) | 9 Months Ended | ||
Sep. 30, 2014 | |||
Allowance for Loan Losses and Credit Quality of Loans [Abstract] | ' | ||
Allowance for Loan Losses | ' | ||
Allowance for Loan Losses | |||
The allowance for loan losses is maintained at a level estimated by management to provide adequately for risk of probable losses inherent in the current loan portfolio. The adequacy of the allowance for loan losses is continuously monitored. It is assessed for adequacy using a methodology designed to ensure the level of the allowance reasonably reflects the loan portfolio's risk profile. It is evaluated to ensure that it is sufficient to absorb all reasonably estimable credit losses inherent in the current loan portfolio. | |||
To develop and document a systematic methodology for determining the allowance for loan losses, the Company has divided the loan portfolio into three segments, each with different risk characteristics and methodologies for assessing risk. Those segments are further segregated between our loans accounted for under the amortized cost method (referred to as "originated" loans) and loans acquired in a business combination (referred to as "acquired" loans). Each portfolio segment is broken down into class segments where appropriate. Class segments contain unique measurement attributes, risk characteristics and methods for monitoring and assessing risk that are necessary to develop the allowance for loan losses. Unique characteristics such as borrower type, loan type, collateral type, and risk characteristics define each class segment. The following table illustrates the portfolio and class segments for the Company's loan portfolio: | |||
Portfolio | Class | ||
Commercial Loans | Commercial | ||
Commercial Real Estate | |||
Agricultural | |||
Agricultural Real Estate | |||
Business Banking | |||
Consumer Loans | Indirect | ||
Home Equity | |||
Direct | |||
Residential Real Estate Mortgages | |||
Commercial Loans | |||
The Company offers a variety of commercial loan products including commercial (non-real estate), commercial real estate, agricultural, agricultural real estate, and business banking loans. The Company's underwriting analysis for commercial loans typically includes credit verification, independent appraisals, a review of the borrower's financial condition, and a detailed analysis of the borrower's underlying cash flows. | |||
Commercial – The Company offers a variety of loan options to meet the specific needs of our commercial customers including term loans, time notes and lines of credit. Such loans are made available to businesses for working capital needs such as inventory and receivables, business expansion and equipment purchases. Generally, a collateral lien is placed on equipment or other assets owned by the borrower. These loans carry a higher risk than commercial real estate loans due to the nature of the underlying collateral, which can be business assets such as equipment and accounts receivable. To reduce the risk, management also attempts to secure real estate as collateral and obtain personal guarantees of the borrowers. | |||
Commercial Real Estate – The Company offers commercial real estate loans to finance real estate purchases, refinancings, expansions and improvements to commercial properties. Commercial real estate loans are made to finance the purchases of real estate, generally with completed structures. These commercial real estate loans are secured by first liens on the real estate, which may include apartments, commercial structures, housing businesses, healthcare facilities, and other non owner-occupied facilities. These loans are typically less risky than commercial loans, since they are secured by real estate and buildings, and are generally originated in amounts of no more than 80% of the appraised value of the property. | |||
Agricultural – The Company offers a variety of agricultural loans to meet the needs of our agricultural customers including term loans, time notes, and lines of credit. These loans are made to purchase livestock, purchase and modernize equipment, and finance seasonal crop expenses. Generally, a collateral lien is placed on the livestock, equipment, produce inventories, and/or receivables owned by the borrower. These loans may carry a higher risk than commercial and agricultural real estate loans due to the industry price volatility, and in some cases, the perishable nature of the underlying collateral. To reduce these risks, management may attempt to secure these loans with additional real estate collateral, obtain personal guarantees of the borrowers, or obtain government loan guarantees to provide further support. | |||
Agricultural Real Estate – The Company offers real estate loans to our agricultural customers to finance farm related real estate purchases, refinancings, expansions, and improvements to agricultural properties such as barns, production facilities, and land. The agricultural real estate loans are secured by first liens on the farm real estate. Because they are secured by land and buildings, these loans may be less risky than agricultural loans. These loans are typically originated in amounts of no more than 75% of the appraised value of the property. Government loan guarantees may be obtained to provide further support. | |||
Business Banking - The Company offers a variety of loan options to meet the specific needs of our business banking customers including term loans, business banking mortgages and lines of credit. Such loans are generally less than $0.5 million and are made available to businesses for working capital such as inventory and receivables, business expansion, equipment purchases, and agricultural needs. Generally, a collateral lien is placed on equipment or other assets owned by the borrower such as inventory and/or receivables. These loans carry a higher risk than commercial loans due to the smaller size of the borrower and lower levels of capital. To reduce the risk, the Company obtains personal guarantees of the owners for a majority of the loans. | |||
Consumer Loans | |||
The Company offers a variety of consumer loan products including indirect, home equity, and direct loans. | |||
Indirect – The Company maintains relationships with many dealers primarily in the communities that we serve. Through these relationships, the company primarily finances the purchases of automobiles and recreational vehicles (such as campers, boats, etc.) indirectly through dealer relationships. Approximately 75% of the indirect relationships represent automobile financing. Most of these loans carry a fixed rate of interest with principal repayment terms typically ranging from three to six years, based upon the nature of the collateral and the size of the loan. The majority of indirect consumer loans are underwritten on a secured basis using the underlying collateral being financed. | |||
Home Equity – The Company offers fixed home equity loans as well as home equity lines of credit to consumers to finance home improvements, debt consolidation, education and other uses. Consumers are able to borrow up to 85% of the equity in their homes. The Company originates home equity lines of credit and second mortgage loans (loans secured by a second junior lien position on one-to-four-family residential real estate). These loans carry a higher risk than first mortgage residential loans as they are in a second position with respect to collateral. Risk is reduced through underwriting criteria, which include credit verification, appraisals, a review of the borrower's financial condition, and personal cash flows. A security interest, with title insurance when necessary, is taken in the underlying real estate. | |||
Direct – The Company offers a variety of consumer installment loans to finance vehicle purchases, mobile home purchases and personal expenditures. Most of these loans carry a fixed rate of interest with principal repayment terms typically ranging from one to ten years, based upon the nature of the collateral and the size of the loan. The majority of consumer loans are underwritten on a secured basis using the underlying collateral being financed or a customer's deposit account. In addition to installment loans, the Company also offers personal lines of credit and overdraft protection. A minimal amount of loans are unsecured, which carry a higher risk of loss. | |||
Residential Real Estate Mortgages | |||
Residential real estate loans consist primarily of loans secured by first or second deeds of trust on primary residences. We originate adjustable-rate and fixed-rate, one-to-four-family residential real estate loans for the construction, purchase or refinancing of a mortgage. These loans are collateralized by owner-occupied properties located in the Company's market area. Loans on one-to-four-family residential real estate are generally originated in amounts of no more than 85% of the purchase price or appraised value (whichever is lower), or have private mortgage insurance. The Company's underwriting analysis for residential mortgage loans typically includes credit verification, independent appraisals, and a review of the borrower's financial condition. Mortgage title insurance and hazard insurance are normally required. Construction loans have a unique risk, because they are secured by an incomplete dwelling. This risk is reduced through periodic site inspections, including one at each loan draw period. | |||
For purposes of evaluating the adequacy of the allowance, the Company considers a number of significant factors that affect the collectability of the portfolio. For individually analyzed loans, these include estimates of loss exposure, which reflect the facts and circumstances that affect the likelihood of repayment of such loans as of the evaluation date. For homogeneous pools of loans, estimates of the Company's exposure to credit loss reflect a current assessment of a number of factors, which could affect collectability. These factors include: past loss experience; size, trend, composition, and nature of loans; changes in lending policies and procedures, including underwriting standards and collection, charge-offs and recoveries; trends experienced in nonperforming and delinquent loans; current economic conditions in the Company's market; portfolio concentrations that may affect loss experienced across one or more components of the portfolio; the effect of external factors such as competition, legal and regulatory requirements; and the experience, ability, and depth of lending management and staff. In addition, various regulatory agencies, as an integral component of their examination process, periodically review the Company's allowance for loan losses. Such agencies may require the Company to make loan grade changes as well as recognize additions to the allowance based on their examinations. | |||
After a thorough consideration of the factors discussed above, any required additions or reductions to the allowance for loan losses are made periodically by charges or credits to the provision for loan losses. These charges or credits are necessary to maintain the allowance at a level which management believes is reasonably reflective of overall inherent risk of probable loss in the portfolio. While management uses available information to recognize losses on loans, additions and reductions of the allowance may fluctuate from one reporting period to another. These fluctuations are reflective of changes in risk associated with portfolio content and/or changes in management's assessment of any or all of the determining factors discussed above. | |||
Credit Quality Indicators | ' | ||
Credit Quality Indicators | |||
The Company has developed an internal loan grading system to evaluate and quantify the Company's loan portfolio with respect to quality and risk. The system focuses on, among other things, financial strength of borrowers, experience and depth of borrower's management, primary and secondary sources of repayment, payment history, nature of the business, and outlook on particular industries. The internal grading system enables the Company to monitor the quality of the entire loan portfolio on a consistent basis and provide management with an early warning system, enabling recognition and response to problem loans and potential problem loans. | |||
Commercial Grading System | |||
For commercial and agricultural loans, the Company uses a grading system that relies on quantifiable and measurable characteristics when available. This would include comparison of financial strength to available industry averages, comparison of transaction factors (loan terms and conditions) to loan policy, and comparison of credit history to stated repayment terms and industry averages. Some grading factors are necessarily more subjective such as economic and industry factors, regulatory environment, and management. Classified commercial loans consist of loans graded substandard and below. The grading system for commercial and agricultural loans is as follows: | |||
● | Doubtful | ||
A doubtful loan has a high probability of total or substantial loss, but because of specific pending events that may strengthen the asset, its classification as a loss is deferred. Doubtful borrowers are usually in default, lack adequate liquidity or capital, and lack the resources necessary to remain an operating entity. Pending events can include mergers, acquisitions, liquidations, capital injections, the perfection of liens on additional collateral, the valuation of collateral, and refinancing. Generally, pending events should be resolved within a relatively short period and the ratings will be adjusted based on the new information. Nonaccrual treatment is required for doubtful assets because of the high probability of loss. | |||
● | Substandard | ||
Substandard loans have a high probability of payment default, or they have other well-defined weaknesses. They require more intensive supervision by bank management. Substandard loans are generally characterized by current or expected unprofitable operations, inadequate debt service coverage, inadequate liquidity, or marginal capitalization. Repayment may depend on collateral or other credit risk mitigants. For some Substandard loans, the likelihood of full collection of interest and principal may be in doubt and those loans should be placed on nonaccrual. Although Substandard assets in the aggregate will have a distinct potential for loss, an individual asset's loss potential does not have to be distinct for the asset to be rated Substandard. | |||
● | Special Mention | ||
Special Mention loans have potential weaknesses that may, if not checked or corrected, weaken the asset or inadequately protect the Company's position at some future date. These loans pose elevated risk, but their weakness does not yet justify a Substandard classification. Borrowers may be experiencing adverse operating trends (declining revenues or margins) or may be struggling with an ill-proportioned balance sheet (e.g., increasing inventory without an increase in sales, high leverage, tight liquidity). Adverse economic or market conditions, such as interest rate increases or the entry of a new competitor, may also support a Special Mention rating. Although a Special Mention loan has a higher probability of default than a pass asset, its default is not imminent. | |||
● | Pass | ||
Loans graded as Pass encompass all loans not graded as Doubtful, Substandard, or Special Mention. Pass loans are in compliance with loan covenants, and payments are generally made as agreed. Pass loans range from superior quality to fair quality. | |||
Business Banking Grading System | |||
Business banking loans are graded as either Classified or Non-classified: | |||
● | Classified | ||
Classified loans are inadequately protected by the current worth and paying capacity of the obligor or, if applicable, the collateral pledged. These loans have a well-defined weakness, or weaknesses, that jeopardize the liquidation of the debt, or in some cases make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. They are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. Classified loans have a high probability of payment default, or a high probability of total or substantial loss. These loans require more intensive supervision by management and are generally characterized by current or expected unprofitable operations, inadequate debt service coverage, inadequate liquidity, or marginal capitalization. Repayment may depend on collateral or other credit risk mitigants. When the likelihood of full collection of interest and principal may be in doubt; classified loans are considered to have a nonaccrual status. In some cases, Classified loans are considered uncollectible and of such little value that their continuance as assets is not warranted. | |||
● | Non-classified | ||
Loans graded as Non-classified encompass all loans not graded as Classified. Non-classified loans are in compliance with loan covenants, and payments are generally made as agreed. | |||
Consumer and Residential Mortgage Grading System | |||
Consumer and Residential Mortgage loans are graded as either Performing or Nonperforming. Nonperforming loans are loans that are 1) over 90 days past due and interest is still accruing, 2) on nonaccrual status or 3) restructured. All loans not meeting any of these three criteria are considered Performing. | |||
Troubled Debt Restructured Loans | ' | ||
Troubled Debt Restructured Loans | |||
The Company's loan portfolio includes certain loans that have been modified where economic concessions have been granted to borrowers who have experienced or are expected to experience financial difficulties. These concessions typically result from the Company's loss mitigation activities and could include reductions in the interest rate, payment extensions, forgiveness of principal, forbearance or other actions. Certain TDRs are classified as nonperforming at the time of restructure and may only be returned to performing status after considering the borrower's sustained repayment performance for a reasonable period, generally six months. Substantially all of these modifications included one or a combination of the following: an extension of the maturity date at a stated rate of interest lower than the current market rate for new debt with similar risk; temporary reduction in the interest rate; or change in scheduled payment amount. | |||
When the Company modifies a loan, management evaluates any possible impairment based on the present value of the expected future cash flows, discounted at the contractual interest rate of the original loan agreement, except when the sole (remaining) source of repayment for the loan is the operation or liquidation of the collateral. In these cases, management uses the current fair value of the collateral, less selling costs, instead of discounted cash flows. If management determines that the value of the modified loan is less than the recorded investment in the loan (net of previous charge-offs, deferred loan fees or costs and unamortized premium or discount), impairment is recognized by segment or class of loan as applicable, through an allowance estimate or a charge-off to the allowance. Segment and class status is determined by the loan's classification at origination. |
Defined_Benefit_Postretirement1
Defined Benefit Postretirement Plans (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Defined Benefit Postretirement Plans [Abstract] | ' |
Postemployment Benefit Plans, Policy | ' |
The Company has a qualified, noncontributory, defined benefit pension plan ("the Plan") covering substantially all of its employees at September 30, 2014. Benefits paid from the plan are based on age, years of service, compensation and social security benefits, and are determined in accordance with defined formulas. The Company's policy is to fund the pension plan in accordance with Employee Retirement Income Security Act of 1974 ("ERISA") standards. Assets of the plan are invested in publicly traded stocks and bonds. The Company is not required to make contributions to the Plan in 2014, and did not do so during the nine months ended September 30, 2014. | |
The Company assumed a noncontributory, defined benefit pension plan in the Alliance Financial Corporation ("Alliance") acquisition. This plan covers certain Alliance full-time employees who met eligibility requirements on October 6, 2006, at which time all benefits were frozen. Under the plan, retirement benefits are primarily a function of both the years of service and the level of compensation. Effective May 1, 2013, this plan was merged into the Plan. | |
Market conditions can result in an unusually high degree of volatility and increase the risks and short term liquidity associated with certain investments held by the Plan which could impact the value of these investments. | |
In addition to the Plan, the Company also provides supplemental employee retirement plans to certain current and former executives. These supplemental employee retirement plans and the Plan are collectively referred to herein as "Pension Benefits." | |
Also, the Company provides certain health care benefits for retired employees. Benefits are accrued over the employees' active service period. Only employees that were employed by the Company on or before January 1, 2000 are eligible to receive postretirement health care benefits. In addition, the Company assumed post-retirement medical life insurance benefits for certain Alliance employees, retirees and their spouses, if applicable, in the Alliance acquisition. These postretirement benefits are referred to herein as "Other Benefits." The components of expense for Pension Benefits and Other Benefits are set forth below (in thousands): |
Fair_Values_Measurements_and_F1
Fair Values Measurements and Fair Value of Financial Instruments (Policies) | 9 Months Ended |
Sep. 30, 2014 | |
Fair Value Measurements and Fair Value of Financial Instruments [Abstract] | ' |
Fair Value of Financial Instruments, Policy | ' |
U.S. GAAP states that fair value is an exit price, representing the amount that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants. Fair value measurements are not adjusted for transaction costs. A fair value hierarchy exists within U.S. GAAP that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (level 1 measurements) and the lowest priority to unobservable inputs (level 3 measurements). The three levels of the fair value hierarchy are described below: | |
Level 1 - Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; | |
Level 2 - Quoted prices for similar assets or liabilities in active markets, quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; | |
Level 3 - Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity). | |
A financial instrument's level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. | |
The types of instruments valued based on quoted market prices in active markets include most U.S. government and agency securities, many other sovereign government obligations, liquid mortgage products, active listed equities and most money market securities. Such instruments are generally classified within level 1 or level 2 of the fair value hierarchy. The Company does not adjust the quoted price for such instruments. | |
The types of instruments valued based on quoted prices in markets that are not active, broker or dealer quotations, or alternative pricing sources with reasonable levels of price transparency include most investment-grade and high-yield corporate bonds, less liquid mortgage products, less liquid agency securities, less liquid listed equities, state, municipal and provincial obligations, and certain physical commodities. Such instruments are generally classified within level 2 of the fair value hierarchy. | |
Level 3 is for positions that are not traded in active markets or are subject to transfer restrictions, valuations are adjusted to reflect illiquidity and/or non-transferability, and such adjustments are generally based on available market evidence. In the absence of such evidence, management's best estimate will be used. Management's best estimate consists of both internal and external support on certain Level 3 investments. Subsequent to inception, management only changes level 3 inputs and assumptions when corroborated by evidence such as transactions in similar instruments, completed or pending third-party transactions in the underlying investment or comparable entities, subsequent rounds of financing, recapitalizations and other transactions across the capital structure, offerings in the equity or debt markets, and changes in financial ratios or cash flows. | |
For the nine month period ending September 30, 2014, the Company has made no transfers of assets between Level 1 and Level 2, and has had no Level 3 activity. | |
Certain common equity securities are reported at fair value utilizing Level 1 inputs (exchange quoted prices). The majority of the other investment securities are reported at fair value utilizing Level 2 inputs. The prices for these instruments are obtained through an independent pricing service or dealer market participants with whom the Company has historically transacted both purchases and sales of investment securities. Prices obtained from these sources include prices derived from market quotations and matrix pricing. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond's terms and conditions, among other things. Management reviews the methodologies used in pricing the securities by its third party providers. | |
U.S. GAAP requires disclosure of assets and liabilities measured and recorded at fair value on a nonrecurring basis such as goodwill, loans held for sale, other real estate owned, collateral-dependent impaired loans, mortgage servicing rights, and held-to-maturity securities. The only nonrecurring fair value measurements recorded during the nine month period ended September 30, 2014 were related to impaired loans and the aforementioned held to maturity securities that were transfered from available for sale during the period. During the nine month period ending September 30, 2014, the Company recorded $8.8 million of loans at fair value resulting in a loss of $3.6 million. The Company uses the fair value of underlying collateral, less costs to sell, to estimate the specific reserves for collateral dependent impaired loans. The appraisals may be adjusted by management for qualitative factors such as economic conditions and estimated liquidation expenses ranging from 10% to 35%. Based on the valuation techniques used, the fair value measurements for collateral dependent impaired loans are classified as Level 3. | |
Fair value estimates are made at a specific point in time, based on relevant market information and information about the financial instrument. These estimates do not reflect any premium or discount that could result from offering for sale at one time the Company's entire holdings of a particular financial instrument. Because no market exists for a significant portion of the Company's financial instruments, fair value estimates are based on judgments regarding future expected loss experience, current economic conditions, risk characteristics of various financial instruments, and other factors. These estimates are subjective in nature and involve uncertainties and matters of significant judgment and therefore cannot be determined with precision. Changes in assumptions could significantly affect the estimates. | |
Fair value estimates are based on existing on and off balance sheet financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. For example, the Company has a substantial trust and investment management operation that contributes net fee income annually. The trust and investment management operation is not considered a financial instrument, and its value has not been incorporated into the fair value estimates. Other significant assets and liabilities include the benefits resulting from the low-cost funding of deposit liabilities as compared to the cost of borrowing funds in the market, and premises and equipment. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimate of fair value. | |
Securities Held to Maturity | |
The fair value of the Company's investment securities held to maturity is primarily measured using information from a third party pricing service. The fair value measurements consider observable data that may include dealer quotes, market spreads, cash flows, the U.S. Treasury yield curve, live trading levels, trade execution data, market consensus prepayment speeds, credit information and the bond's terms and conditions, among other things. | |
Net Loans | |
The fair value of the Company's loans was estimated by discounting the expected future cash flows using the current interest rates at which similar loans would be made for the same remaining maturities. Loans were first segregated by type, and then further segmented into fixed and variable rate and loan quality categories. Expected future cash flows were projected based on contractual cash flows, adjusted for estimated prepayments. | |
Time Deposits | |
The fair value of time deposits was estimated using a discounted cash flow approach that applies prevailing market interest rates for similar maturity instruments. The fair values of the Company's time deposit liabilities do not take into consideration the value of the Company's long-term relationships with depositors, which may have significant value. | |
Long-Term Debt | |
The fair value of long-term debt was estimated using a discounted cash flow approach that applies prevailing market interest rates for similar maturity instruments. | |
Junior Subordinated Debt | |
The fair value of junior subordinated debt has been estimated using a discounted cash flow analysis. |
Securities_Tables
Securities (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||||||||||
Securities [Abstract] | ' | ||||||||||||||||||||||||||||||||||||
Amortized cost, estimated fair value, and unrealized gains and losses of securities available for sale | ' | ||||||||||||||||||||||||||||||||||||
The amortized cost, estimated fair value, and unrealized gains and losses of securities available for sale are as follows: | |||||||||||||||||||||||||||||||||||||
(In thousands) | Amortized | Unrealized | Unrealized | Estimated | |||||||||||||||||||||||||||||||||
cost | gains | losses | fair value | ||||||||||||||||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||||||||||||||
U.S. Treasury | $ | 23,079 | $ | 134 | $ | - | $ | 23,213 | |||||||||||||||||||||||||||||
Federal Agency | 337,254 | 301 | 4,238 | 333,317 | |||||||||||||||||||||||||||||||||
State & municipal | 40,752 | 779 | 10 | 41,521 | |||||||||||||||||||||||||||||||||
Mortgage-backed: | |||||||||||||||||||||||||||||||||||||
Government-sponsored enterprises | 349,676 | 6,012 | 702 | 354,986 | |||||||||||||||||||||||||||||||||
U.S. government agency securities | 18,281 | 872 | 80 | 19,073 | |||||||||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||||||
Government-sponsored enterprises | 211,828 | 1,907 | 937 | 212,798 | |||||||||||||||||||||||||||||||||
U.S. government agency securities | 44,113 | 493 | 140 | 44,466 | |||||||||||||||||||||||||||||||||
Other securities | 12,904 | 2,466 | 242 | 15,128 | |||||||||||||||||||||||||||||||||
Total securities available for sale | $ | 1,037,887 | $ | 12,964 | $ | 6,349 | $ | 1,044,502 | |||||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||||
U.S. Treasury | $ | 43,279 | $ | 337 | $ | - | $ | 43,616 | |||||||||||||||||||||||||||||
Federal Agency | 285,880 | 343 | 7,308 | 278,915 | |||||||||||||||||||||||||||||||||
State & municipal | 113,435 | 1,842 | 1,612 | 113,665 | |||||||||||||||||||||||||||||||||
Mortgage-backed: | |||||||||||||||||||||||||||||||||||||
Government-sponsored enterprises | 337,666 | 5,788 | 2,131 | 341,323 | |||||||||||||||||||||||||||||||||
U.S. government agency securities | 21,924 | 1,002 | 85 | 22,841 | |||||||||||||||||||||||||||||||||
Collateralized mortgage obligations: | |||||||||||||||||||||||||||||||||||||
Government-sponsored enterprises | 521,257 | 1,777 | 18,141 | 504,893 | |||||||||||||||||||||||||||||||||
U.S. government agency securities | 43,943 | 794 | 102 | 44,635 | |||||||||||||||||||||||||||||||||
Other securities | 12,367 | 2,854 | 228 | 14,993 | |||||||||||||||||||||||||||||||||
Total securities available for sale | $ | 1,379,751 | $ | 14,737 | $ | 29,607 | $ | 1,364,881 | |||||||||||||||||||||||||||||
Amortized cost, estimated fair value, and unrealized gains and losses of securities held to maturity | ' | ||||||||||||||||||||||||||||||||||||
The amortized cost, estimated fair value, and unrealized gains and losses of securities held to maturity are as follows: | |||||||||||||||||||||||||||||||||||||
(In thousands) | Amortized cost | Unrealized gains | Unrealized losses | Estimated fair value | |||||||||||||||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||||||||||||||
Mortgage-backed | $ | 802 | $ | 118 | $ | - | $ | 920 | |||||||||||||||||||||||||||||
Collateralized mortgage obligations | 327,973 | 161 | 5,512 | 322,622 | |||||||||||||||||||||||||||||||||
State & municipal | 130,845 | 538 | 138 | 131,245 | |||||||||||||||||||||||||||||||||
Total securities held to maturity | $ | 459,620 | $ | 817 | $ | 5,650 | $ | 454,787 | |||||||||||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||||
Mortgage-backed | $ | 953 | $ | 128 | $ | - | $ | 1,081 | |||||||||||||||||||||||||||||
Collateralized mortgage obligations | 62,025 | - | 4,569 | 57,456 | |||||||||||||||||||||||||||||||||
State & municipal | 54,305 | 442 | 8 | 54,739 | |||||||||||||||||||||||||||||||||
Total securities held to maturity | $ | 117,283 | $ | 570 | $ | 4,577 | $ | 113,276 | |||||||||||||||||||||||||||||
Investment securities with unrealized losses | ' | ||||||||||||||||||||||||||||||||||||
The following table sets forth information with regard to investment securities with unrealized losses for the periods presented: | |||||||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or longer | Total | |||||||||||||||||||||||||||||||||||
Security Type: | Fair Value | Unrealized losses | Number of Positions | Fair Value | Unrealized losses | Number of Positions | Fair Value | Unrealized losses | Number of Positions | ||||||||||||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||||||||||||||
Investment securities available for sale: | |||||||||||||||||||||||||||||||||||||
Federal agency | $ | 51,549 | $ | (191 | ) | 7 | $ | 226,561 | $ | (4,047 | ) | 19 | $ | 278,110 | $ | (4,238 | ) | 26 | |||||||||||||||||||
State & municipal | 946 | (1 | ) | 4 | 2,109 | (9 | ) | 9 | 3,055 | (10 | ) | 13 | |||||||||||||||||||||||||
Mortgage-backed | 62,748 | (69 | ) | 18 | 47,138 | (713 | ) | 37 | 109,886 | (782 | ) | 55 | |||||||||||||||||||||||||
Collateralized mortgage obligations | 67,121 | (393 | ) | 9 | 42,329 | (684 | ) | 6 | 109,450 | (1,077 | ) | 15 | |||||||||||||||||||||||||
Other securities | 4,033 | (142 | ) | 3 | 2,735 | (100 | ) | 2 | 6,768 | (242 | ) | 5 | |||||||||||||||||||||||||
Total securities with unrealized losses | $ | 186,397 | $ | (796 | ) | 41 | $ | 320,872 | $ | (5,553 | ) | 73 | $ | 507,269 | $ | (6,349 | ) | 114 | |||||||||||||||||||
30-Sep-14 | |||||||||||||||||||||||||||||||||||||
Investment securities held to maturity: | |||||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | $ | 21,279 | $ | (94 | ) | 3 | $ | 285,612 | $ | (5,418 | ) | 23 | $ | 306,891 | $ | (5,512 | ) | 26 | |||||||||||||||||||
State & municipal | 48,620 | (122 | ) | 128 | 5,322 | (16 | ) | 19 | 53,942 | (138 | ) | 147 | |||||||||||||||||||||||||
Total securities with unrealized losses | $ | 69,899 | $ | (216 | ) | 131 | $ | 290,934 | $ | (5,434 | ) | 42 | 360,833 | $ | (5,650 | ) | 173 | ||||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||||
Investment securities available for sale: | |||||||||||||||||||||||||||||||||||||
Federal agency | $ | 233,935 | $ | (6,927 | ) | 20 | $ | 9,619 | $ | (381 | ) | 1 | $ | 243,554 | $ | (7,308 | ) | 21 | |||||||||||||||||||
State & municipal | 50,328 | (1,612 | ) | 177 | - | - | - | 50,328 | (1,612 | ) | 177 | ||||||||||||||||||||||||||
Mortgage-backed | 143,080 | (2,216 | ) | 79 | - | - | - | 143,080 | (2,216 | ) | 79 | ||||||||||||||||||||||||||
Collateralized mortgage obligations | 379,273 | (18,243 | ) | 36 | - | - | - | 379,273 | (18,243 | ) | 36 | ||||||||||||||||||||||||||
Other securities | 5,490 | (203 | ) | 2 | 223 | (25 | ) | 1 | 5,713 | (228 | ) | 3 | |||||||||||||||||||||||||
Total securities with unrealized losses | $ | 812,106 | $ | (29,201 | ) | 314 | $ | 9,842 | $ | (406 | ) | 2 | $ | 821,948 | $ | (29,607 | ) | 316 | |||||||||||||||||||
31-Dec-13 | |||||||||||||||||||||||||||||||||||||
Investment securities held to maturity: | |||||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | $ | 57,456 | $ | (4,569 | ) | 5 | $ | - | $ | - | - | $ | 57,456 | $ | (4,569 | ) | 5 | ||||||||||||||||||||
State & municipal | 1,012 | (8 | ) | 1 | - | - | - | 1,012 | (8 | ) | 1 | ||||||||||||||||||||||||||
Total securities with unrealized losses | $ | 58,468 | $ | (4,577 | ) | 6 | $ | - | $ | - | - | $ | 58,468 | $ | (4,577 | ) | 6 | ||||||||||||||||||||
Contractual maturities of debt securities | ' | ||||||||||||||||||||||||||||||||||||
The following tables set forth information with regard to contractual maturities of debt securities at September 30, 2014: | |||||||||||||||||||||||||||||||||||||
(In thousands) | Amortized cost | Estimated fair value | |||||||||||||||||||||||||||||||||||
Debt securities classified as available for sale | |||||||||||||||||||||||||||||||||||||
Within one year | $ | 28,387 | $ | 28,556 | |||||||||||||||||||||||||||||||||
From one to five years | 360,452 | 358,898 | |||||||||||||||||||||||||||||||||||
From five to ten years | 174,046 | 176,437 | |||||||||||||||||||||||||||||||||||
After ten years | 462,098 | 465,483 | |||||||||||||||||||||||||||||||||||
$ | 1,024,983 | $ | 1,029,374 | ||||||||||||||||||||||||||||||||||
Debt securities classified as held to maturity | |||||||||||||||||||||||||||||||||||||
Within one year | $ | 27,414 | $ | 27,530 | |||||||||||||||||||||||||||||||||
From one to five years | 16,404 | 16,551 | |||||||||||||||||||||||||||||||||||
From five to ten years | 84,702 | 84,831 | |||||||||||||||||||||||||||||||||||
After ten years | 331,100 | 325,875 | |||||||||||||||||||||||||||||||||||
$ | 459,620 | $ | 454,787 | ||||||||||||||||||||||||||||||||||
Allowance_for_Loan_Losses_and_2
Allowance for Loan Losses and Credit Quality of Loans (Tables) | 9 Months Ended | ||||||||||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||||||||||
Allowance for Loan Losses and Credit Quality of Loans [Abstract] | ' | ||||||||||||||||||||||||||||
Portfolio and class segments | ' | ||||||||||||||||||||||||||||
To develop and document a systematic methodology for determining the allowance for loan losses, the Company has divided the loan portfolio into three segments, each with different risk characteristics and methodologies for assessing risk. Those segments are further segregated between our loans accounted for under the amortized cost method (referred to as "originated" loans) and loans acquired in a business combination (referred to as "acquired" loans). Each portfolio segment is broken down into class segments where appropriate. Class segments contain unique measurement attributes, risk characteristics and methods for monitoring and assessing risk that are necessary to develop the allowance for loan losses. Unique characteristics such as borrower type, loan type, collateral type, and risk characteristics define each class segment. The following table illustrates the portfolio and class segments for the Company's loan portfolio: | |||||||||||||||||||||||||||||
Portfolio | Class | ||||||||||||||||||||||||||||
Commercial Loans | Commercial | ||||||||||||||||||||||||||||
Commercial Real Estate | |||||||||||||||||||||||||||||
Agricultural | |||||||||||||||||||||||||||||
Agricultural Real Estate | |||||||||||||||||||||||||||||
Business Banking | |||||||||||||||||||||||||||||
Consumer Loans | Indirect | ||||||||||||||||||||||||||||
Home Equity | |||||||||||||||||||||||||||||
Direct | |||||||||||||||||||||||||||||
Residential Real Estate Mortgages | |||||||||||||||||||||||||||||
Allowance for loan losses by portfolio | ' | ||||||||||||||||||||||||||||
The following tables illustrate the changes in the allowance for loan losses by our portfolio segments for the three and nine months ended September 30, 2014 and 2013: | |||||||||||||||||||||||||||||
Three months ended September 30, | Commercial Loans | Consumer Loans | Residential Real Estate Mortgages | Unallocated | Total | ||||||||||||||||||||||||
Balance as of June 30, 2014 | $ | 35,123 | $ | 27,973 | $ | 6,205 | $ | 233 | $ | 69,534 | |||||||||||||||||||
Charge-offs | (1,517 | ) | (3,979 | ) | (481 | ) | - | (5,977 | ) | ||||||||||||||||||||
Recoveries | 253 | 632 | 7 | - | 892 | ||||||||||||||||||||||||
Provision | 1,779 | 2,826 | 212 | 68 | 4,885 | ||||||||||||||||||||||||
Ending Balance as of September 30, 2014 | $ | 35,638 | $ | 27,452 | $ | 5,943 | $ | 301 | $ | 69,334 | |||||||||||||||||||
Balance as of June 30, 2013 | $ | 37,704 | $ | 26,456 | $ | 6,806 | $ | 218 | $ | 71,184 | |||||||||||||||||||
Charge-offs | (3,489 | ) | (3,746 | ) | (374 | ) | - | (7,609 | ) | ||||||||||||||||||||
Recoveries | 602 | 733 | 76 | - | 1,411 | ||||||||||||||||||||||||
Provision | 980 | 3,744 | 402 | 72 | 5,198 | ||||||||||||||||||||||||
Ending Balance as of September 30, 2013 | $ | 35,797 | $ | 27,187 | $ | 6,910 | $ | 290 | $ | 70,184 | |||||||||||||||||||
Nine months ended September 30, | Commercial Loans | Consumer Loans | Residential Real Estate Mortgages | Unallocated | Total | ||||||||||||||||||||||||
Balance as of December 31, 2013 | $ | 35,090 | $ | 27,694 | $ | 6,520 | $ | 130 | $ | 69,434 | |||||||||||||||||||
Charge-offs | (3,423 | ) | (11,659 | ) | (965 | ) | - | (16,047 | ) | ||||||||||||||||||||
Recoveries | 966 | 2,087 | 247 | - | 3,300 | ||||||||||||||||||||||||
Provision | 3,005 | 9,330 | 141 | 171 | 12,647 | ||||||||||||||||||||||||
Ending Balance as of September 30, 2014 | $ | 35,638 | $ | 27,452 | $ | 5,943 | $ | 301 | $ | 69,334 | |||||||||||||||||||
Balance as of December 31, 2012 | $ | 35,624 | $ | 27,162 | $ | 6,252 | $ | 296 | $ | 69,334 | |||||||||||||||||||
Charge-offs | (8,009 | ) | (11,122 | ) | (1,347 | ) | - | (20,478 | ) | ||||||||||||||||||||
Recoveries | 1,485 | 2,406 | 179 | - | 4,070 | ||||||||||||||||||||||||
Provision | 6,697 | 8,741 | 1,826 | (6 | ) | 17,258 | |||||||||||||||||||||||
Ending Balance as of September 30, 2013 | $ | 35,797 | $ | 27,187 | $ | 6,910 | $ | 290 | $ | 70,184 | |||||||||||||||||||
The following tables illustrate the allowance for loan losses and the recorded investment by portfolio segments as of September 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
Allowance for Loan Losses and Recorded Investment in Loans | |||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||
Commercial Loans | Consumer Loans | Residential Real Estate Mortgages | Unallocated | Total | |||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||||||
Allowance for loan losses | $ | 35,638 | $ | 27,452 | $ | 5,943 | $ | 301 | $ | 69,334 | |||||||||||||||||||
Allowance for loans individually evaluated for impairment | 3,600 | - | - | 3,600 | |||||||||||||||||||||||||
Allowance for loans collectively evaluated for impairment | $ | 32,038 | $ | 27,452 | $ | 5,943 | $ | 301 | $ | 65,734 | |||||||||||||||||||
Ending balance of loans | $ | 2,457,906 | $ | 2,029,046 | $ | 1,100,139 | $ | 5,587,091 | |||||||||||||||||||||
Ending balance of originated loans individually evaluated for impairment | 13,625 | 5,343 | 3,129 | 22,097 | |||||||||||||||||||||||||
Ending balance of acquired loans individually evaluated for impairment | 9,396 | - | - | 9,396 | |||||||||||||||||||||||||
Ending balance of acquired loans collectively evaluated for impairment | 348,017 | 163,019 | 277,759 | 788,795 | |||||||||||||||||||||||||
Ending balance of originated loans collectively evaluated for impairment | $ | 2,086,868 | $ | 1,860,684 | $ | 819,251 | $ | 4,766,803 | |||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||
Allowance for loan losses | $ | 35,090 | $ | 27,694 | $ | 6,520 | $ | 130 | $ | 69,434 | |||||||||||||||||||
Allowance for loans individually evaluated for impairment | 715 | - | - | 715 | |||||||||||||||||||||||||
Allowance for loans collectively evaluated for impairment | $ | 34,375 | $ | 27,694 | $ | 6,520 | $ | 130 | $ | 68,719 | |||||||||||||||||||
Ending balance of loans | $ | 2,392,621 | $ | 1,972,537 | $ | 1,041,637 | $ | 5,406,795 | |||||||||||||||||||||
Ending balance of originated loans individually evaluated for impairment | 16,120 | 3,248 | 2,012 | 21,380 | |||||||||||||||||||||||||
Ending balance of acquired loans individually evaluated for impairment | 10,060 | - | - | 10,060 | |||||||||||||||||||||||||
Ending balance of acquired loans collectively evaluated for impairment | 392,329 | 219,587 | 308,416 | 920,332 | |||||||||||||||||||||||||
Ending balance of originated loans collectively evaluated for impairment | $ | 1,974,112 | $ | 1,749,702 | $ | 731,209 | $ | 4,455,023 | |||||||||||||||||||||
Past due and nonperforming loans by loan class | ' | ||||||||||||||||||||||||||||
The following table illustrates the Company's nonaccrual loans by loan class: | |||||||||||||||||||||||||||||
Loans on Nonaccrual Status as of: | |||||||||||||||||||||||||||||
(In thousands) | 30-Sep-14 | 31-Dec-13 | |||||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 2,890 | $ | 3,669 | |||||||||||||||||||||||||
Commercial Real Estate | 6,565 | 7,834 | |||||||||||||||||||||||||||
Agricultural | 993 | 1,135 | |||||||||||||||||||||||||||
Agricultural Real Estate | 963 | 961 | |||||||||||||||||||||||||||
Business Banking | 7,606 | 5,701 | |||||||||||||||||||||||||||
19,017 | 19,300 | ||||||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 1,606 | 1,461 | |||||||||||||||||||||||||||
Home Equity | 6,748 | 5,931 | |||||||||||||||||||||||||||
Direct | 104 | 86 | |||||||||||||||||||||||||||
8,458 | 7,478 | ||||||||||||||||||||||||||||
Residential Real Estate Mortgages | 8,388 | 7,105 | |||||||||||||||||||||||||||
$ | 35,863 | $ | 33,883 | ||||||||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 6,046 | $ | 6,599 | |||||||||||||||||||||||||
Commercial Real Estate | 3,369 | 3,559 | |||||||||||||||||||||||||||
Business Banking | 631 | 1,340 | |||||||||||||||||||||||||||
10,046 | 11,498 | ||||||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 125 | 93 | |||||||||||||||||||||||||||
Home Equity | 663 | 570 | |||||||||||||||||||||||||||
Direct | 34 | 49 | |||||||||||||||||||||||||||
822 | 712 | ||||||||||||||||||||||||||||
Residential Real Estate Mortgages | 3,800 | 3,872 | |||||||||||||||||||||||||||
14,668 | 16,082 | ||||||||||||||||||||||||||||
TOTAL NONACCRUAL LOANS | $ | 50,531 | $ | 49,965 | |||||||||||||||||||||||||
The following tables set forth information with regard to past due and nonperforming loans by loan class as of September 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
Age Analysis of Past Due Financing Receivables | |||||||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||
31-60 DaysPast DueAccruing | 61-90 DaysPast DueAccruing | Greater Than90 DaysPast DueAccruing | TotalPast DueAccruing | Non-Accrual | Current | RecordedTotalLoans | |||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 670 | $ | 270 | $ | - | $ | 940 | $ | 2,890 | $ | 618,680 | $ | 622,510 | |||||||||||||||
Commercial Real Estate | 104 | 561 | - | 665 | 6,565 | 1,013,177 | 1,020,407 | ||||||||||||||||||||||
Agricultural | 55 | 20 | - | 75 | 993 | 33,292 | 34,360 | ||||||||||||||||||||||
Agricultural Real Estate | - | - | - | - | 963 | 25,360 | 26,323 | ||||||||||||||||||||||
Business Banking | 1,415 | 53 | - | 1,468 | 7,606 | 387,819 | 396,893 | ||||||||||||||||||||||
2,244 | 904 | - | 3,148 | 19,017 | 2,078,328 | 2,100,493 | |||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 14,686 | 2,560 | 1,785 | 19,031 | 1,606 | 1,287,966 | 1,308,603 | ||||||||||||||||||||||
Home Equity | 3,955 | 1,528 | 686 | 6,169 | 6,748 | 488,674 | 501,591 | ||||||||||||||||||||||
Direct | 464 | 111 | 56 | 631 | 104 | 55,098 | 55,833 | ||||||||||||||||||||||
19,105 | 4,199 | 2,527 | 25,831 | 8,458 | 1,831,738 | 1,866,027 | |||||||||||||||||||||||
Residential Real Estate Mortgages | 2,943 | 172 | 1,404 | 4,519 | 8,388 | 809,473 | 822,380 | ||||||||||||||||||||||
$ | 24,292 | $ | 5,275 | $ | 3,931 | $ | 33,498 | $ | 35,863 | $ | 4,719,539 | $ | 4,788,900 | ||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | - | $ | - | $ | - | $ | - | $ | 6,046 | $ | 83,543 | $ | 89,589 | |||||||||||||||
Commercial Real Estate | - | - | - | - | 3,369 | 203,288 | 206,657 | ||||||||||||||||||||||
Business Banking | 202 | - | - | 202 | 631 | 60,334 | 61,167 | ||||||||||||||||||||||
202 | - | - | 202 | 10,046 | 347,165 | 357,413 | |||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 451 | 60 | 82 | 593 | 125 | 77,090 | 77,808 | ||||||||||||||||||||||
Home Equity | 185 | 61 | - | 246 | 663 | 78,627 | 79,536 | ||||||||||||||||||||||
Direct | 31 | 1 | 9 | 41 | 34 | 5,600 | 5,675 | ||||||||||||||||||||||
667 | 122 | 91 | 880 | 822 | 161,317 | 163,019 | |||||||||||||||||||||||
Residential Real Estate Mortgages | 1,539 | 445 | - | 1,984 | 3,800 | 271,975 | 277,759 | ||||||||||||||||||||||
$ | 2,408 | $ | 567 | $ | 91 | $ | 3,066 | $ | 14,668 | $ | 780,457 | $ | 798,191 | ||||||||||||||||
Total Loans | $ | 26,700 | $ | 5,842 | $ | 4,022 | $ | 36,564 | $ | 50,531 | $ | 5,499,996 | $ | 5,587,091 | |||||||||||||||
Age Analysis of Past Due Financing Receivables | |||||||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||
(in thousands) | |||||||||||||||||||||||||||||
31-60 DaysPast DueAccruing | 61-90 DaysPast DueAccruing | Greater Than90 DaysPast DueAccruing | TotalPast DueAccruing | Non-Accrual | Current | RecordedTotalLoans | |||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 105 | $ | 247 | $ | - | $ | 352 | $ | 3,669 | $ | 612,402 | $ | 616,423 | |||||||||||||||
Commercial Real Estate | 1,366 | - | - | 1,366 | 7,834 | 925,116 | 934,316 | ||||||||||||||||||||||
Agricultural | 150 | 21 | - | 171 | 1,135 | 63,856 | 65,162 | ||||||||||||||||||||||
Agricultural Real Estate | 519 | - | - | 519 | 961 | 35,172 | 36,652 | ||||||||||||||||||||||
Business Banking | 1,228 | 122 | 105 | 1,455 | 5,701 | 330,523 | 337,679 | ||||||||||||||||||||||
3,368 | 390 | 105 | 3,863 | 19,300 | 1,967,069 | 1,990,232 | |||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 14,093 | 2,878 | 1,583 | 18,554 | 1,461 | 1,141,829 | 1,161,844 | ||||||||||||||||||||||
Home Equity | 6,033 | 1,888 | 1,115 | 9,036 | 5,931 | 517,856 | 532,823 | ||||||||||||||||||||||
Direct | 679 | 125 | 46 | 850 | 86 | 57,347 | 58,283 | ||||||||||||||||||||||
20,805 | 4,891 | 2,744 | 28,440 | 7,478 | 1,717,032 | 1,752,950 | |||||||||||||||||||||||
Residential Real Estate Mortgages | 3,951 | 379 | 808 | 5,138 | 7,105 | 720,978 | 733,221 | ||||||||||||||||||||||
$ | 28,124 | $ | 5,660 | $ | 3,657 | $ | 37,441 | $ | 33,883 | $ | 4,405,079 | $ | 4,476,403 | ||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 24 | $ | - | $ | - | $ | 24 | $ | 6,599 | $ | 96,603 | $ | 103,226 | |||||||||||||||
Commercial Real Estate | - | - | - | - | 3,559 | 225,455 | 229,014 | ||||||||||||||||||||||
Business Banking | 320 | 2 | - | 322 | 1,340 | 68,487 | 70,149 | ||||||||||||||||||||||
344 | 2 | - | 346 | 11,498 | 390,545 | 402,389 | |||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Indirect | 939 | 113 | 71 | 1,123 | 93 | 123,870 | 125,086 | ||||||||||||||||||||||
Home Equity | 753 | 63 | - | 816 | 570 | 85,690 | 87,076 | ||||||||||||||||||||||
Direct | 76 | 56 | 9 | 141 | 49 | 7,235 | 7,425 | ||||||||||||||||||||||
1,768 | 232 | 80 | 2,080 | 712 | 216,795 | 219,587 | |||||||||||||||||||||||
Residential Real Estate Mortgages | 1,725 | - | - | 1,725 | 3,872 | 302,819 | 308,416 | ||||||||||||||||||||||
$ | 3,837 | $ | 234 | $ | 80 | $ | 4,151 | $ | 16,082 | $ | 910,159 | $ | 930,392 | ||||||||||||||||
Total Loans | $ | 31,961 | $ | 5,894 | $ | 3,737 | $ | 41,592 | $ | 49,965 | $ | 5,315,238 | $ | 5,406,795 | |||||||||||||||
Impaired loans and specific reserve allocations | ' | ||||||||||||||||||||||||||||
The following table provides information on loans specifically evaluated for impairment as of September 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
30-Sep-14 | 31-Dec-13 | ||||||||||||||||||||||||||||
(in thousands) | Recorded Investment Balance (Book) | Unpaid Principal Balance(Legal) | Related Allowance | Recorded Investment Balance(Book) | Unpaid Principal Balance(Legal) | Related Allowance | |||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 1,894 | $ | 2,019 | $ | 4,721 | $ | 4,777 | |||||||||||||||||||||
Commercial Real Estate | 6,830 | 6,845 | 4,613 | 5,164 | |||||||||||||||||||||||||
Agricultural | 98 | 168 | 125 | 195 | |||||||||||||||||||||||||
Agricultural Real Estate | 1,388 | 1,684 | 1,431 | 1,708 | |||||||||||||||||||||||||
Business Banking | 652 | 1,052 | 210 | 602 | |||||||||||||||||||||||||
Total Commercial Loans | 10,862 | 11,768 | 11,100 | 12,446 | |||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Home Equity | 5,343 | 5,849 | 3,248 | 3,472 | |||||||||||||||||||||||||
Residential Real Estate Mortgages | 3,129 | 3,494 | 2,012 | 2,255 | |||||||||||||||||||||||||
Total | 19,334 | 21,111 | 16,360 | 18,173 | |||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial Real Estate | 2,763 | 4,619 | $ | 600 | 5,020 | 6,877 | 715 | ||||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | - | - | 6,501 | 6,538 | |||||||||||||||||||||||||
Commercial Real Estate | 3,368 | 3,832 | 3,559 | 3,842 | |||||||||||||||||||||||||
Total Commercial Loans | 3,368 | 3,832 | 10,060 | 10,380 | |||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | 6,028 | 6,382 | 3,000 | - | - | - | |||||||||||||||||||||||
Total: | $ | 31,493 | $ | 35,944 | $ | 3,600 | $ | 31,440 | $ | 35,430 | $ | 715 | |||||||||||||||||
The following tables summarize the average recorded investments on impaired loans specifically evaluated for impairment and the interest income recognized for the three months ended September 30, 2014 and 2013: | |||||||||||||||||||||||||||||
For the three months ended | |||||||||||||||||||||||||||||
30-Sep-14 | 30-Sep-13 | ||||||||||||||||||||||||||||
(in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 1,957 | $ | - | $ | 2,727 | $ | 28 | |||||||||||||||||||||
Commercial Real Estate | 9,619 | 43 | 11,853 | 29 | |||||||||||||||||||||||||
Agricultural | 102 | - | 136 | - | |||||||||||||||||||||||||
Agricultural Real Estate | 1,395 | 12 | 1,381 | 12 | |||||||||||||||||||||||||
Business Banking | 677 | 10 | 50 | - | |||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Home Equity | 5,435 | 85 | 3,240 | 43 | |||||||||||||||||||||||||
Residential Real Estate Mortgage | 2,961 | 29 | 2,202 | 25 | |||||||||||||||||||||||||
Total Originated | $ | 22,146 | $ | 179 | $ | 21,589 | $ | 137 | |||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | 6,161 | - | - | - | |||||||||||||||||||||||||
Commercial Real Estate | 3,398 | - | 1,329 | - | |||||||||||||||||||||||||
Total Acquired | $ | 9,559 | $ | - | $ | 1,329 | $ | - | |||||||||||||||||||||
Total Loans | $ | 31,705 | $ | 179 | $ | 22,918 | $ | 137 | |||||||||||||||||||||
For the nine months ended | |||||||||||||||||||||||||||||
30-Sep-14 | 30-Sep-13 | ||||||||||||||||||||||||||||
(in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 2,001 | $ | - | $ | 3,789 | $ | 86 | |||||||||||||||||||||
Commercial Real Estate | 10,400 | 127 | 11,550 | 50 | |||||||||||||||||||||||||
Agricultural | 115 | 1 | 224 | 1 | |||||||||||||||||||||||||
Agricultural Real Estate | 1,410 | 35 | 1,091 | 36 | |||||||||||||||||||||||||
Business Banking | 509 | 33 | 66 | 3 | |||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Home Equity | 5,099 | 188 | 3,072 | 101 | |||||||||||||||||||||||||
Residential Real Estate Mortgage | 2,864 | 79 | 2,106 | 53 | |||||||||||||||||||||||||
Total Originated | $ | 22,398 | $ | 463 | $ | 21,898 | $ | 330 | |||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | 6,303 | - | - | - | |||||||||||||||||||||||||
Commercial Real Estate | 3,461 | - | 1,332 | - | |||||||||||||||||||||||||
Total Acquired | $ | 9,764 | $ | - | $ | 1,332 | $ | - | |||||||||||||||||||||
Total Loans | $ | 32,162 | $ | 463 | $ | 23,230 | $ | 330 | |||||||||||||||||||||
Financing receivable credit quality by loan class | ' | ||||||||||||||||||||||||||||
The following table provides information on loans specifically evaluated for impairment as of September 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
30-Sep-14 | 31-Dec-13 | ||||||||||||||||||||||||||||
(in thousands) | Recorded Investment Balance (Book) | Unpaid Principal Balance(Legal) | Related Allowance | Recorded Investment Balance(Book) | Unpaid Principal Balance(Legal) | Related Allowance | |||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 1,894 | $ | 2,019 | $ | 4,721 | $ | 4,777 | |||||||||||||||||||||
Commercial Real Estate | 6,830 | 6,845 | 4,613 | 5,164 | |||||||||||||||||||||||||
Agricultural | 98 | 168 | 125 | 195 | |||||||||||||||||||||||||
Agricultural Real Estate | 1,388 | 1,684 | 1,431 | 1,708 | |||||||||||||||||||||||||
Business Banking | 652 | 1,052 | 210 | 602 | |||||||||||||||||||||||||
Total Commercial Loans | 10,862 | 11,768 | 11,100 | 12,446 | |||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Home Equity | 5,343 | 5,849 | 3,248 | 3,472 | |||||||||||||||||||||||||
Residential Real Estate Mortgages | 3,129 | 3,494 | 2,012 | 2,255 | |||||||||||||||||||||||||
Total | 19,334 | 21,111 | 16,360 | 18,173 | |||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial Real Estate | 2,763 | 4,619 | $ | 600 | 5,020 | 6,877 | 715 | ||||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
With no related allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | - | - | 6,501 | 6,538 | |||||||||||||||||||||||||
Commercial Real Estate | 3,368 | 3,832 | 3,559 | 3,842 | |||||||||||||||||||||||||
Total Commercial Loans | 3,368 | 3,832 | 10,060 | 10,380 | |||||||||||||||||||||||||
With an allowance recorded: | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | 6,028 | 6,382 | 3,000 | - | - | - | |||||||||||||||||||||||
Total: | $ | 31,493 | $ | 35,944 | $ | 3,600 | $ | 31,440 | $ | 35,430 | $ | 715 | |||||||||||||||||
The following tables summarize the average recorded investments on impaired loans specifically evaluated for impairment and the interest income recognized for the three months ended September 30, 2014 and 2013: | |||||||||||||||||||||||||||||
For the three months ended | |||||||||||||||||||||||||||||
30-Sep-14 | 30-Sep-13 | ||||||||||||||||||||||||||||
(in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 1,957 | $ | - | $ | 2,727 | $ | 28 | |||||||||||||||||||||
Commercial Real Estate | 9,619 | 43 | 11,853 | 29 | |||||||||||||||||||||||||
Agricultural | 102 | - | 136 | - | |||||||||||||||||||||||||
Agricultural Real Estate | 1,395 | 12 | 1,381 | 12 | |||||||||||||||||||||||||
Business Banking | 677 | 10 | 50 | - | |||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Home Equity | 5,435 | 85 | 3,240 | 43 | |||||||||||||||||||||||||
Residential Real Estate Mortgage | 2,961 | 29 | 2,202 | 25 | |||||||||||||||||||||||||
Total Originated | $ | 22,146 | $ | 179 | $ | 21,589 | $ | 137 | |||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | 6,161 | - | - | - | |||||||||||||||||||||||||
Commercial Real Estate | 3,398 | - | 1,329 | - | |||||||||||||||||||||||||
Total Acquired | $ | 9,559 | $ | - | $ | 1,329 | $ | - | |||||||||||||||||||||
Total Loans | $ | 31,705 | $ | 179 | $ | 22,918 | $ | 137 | |||||||||||||||||||||
For the nine months ended | |||||||||||||||||||||||||||||
30-Sep-14 | 30-Sep-13 | ||||||||||||||||||||||||||||
(in thousands) | Average Recorded Investment | Interest Income Recognized | Average Recorded Investment | Interest Income Recognized | |||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | $ | 2,001 | $ | - | $ | 3,789 | $ | 86 | |||||||||||||||||||||
Commercial Real Estate | 10,400 | 127 | 11,550 | 50 | |||||||||||||||||||||||||
Agricultural | 115 | 1 | 224 | 1 | |||||||||||||||||||||||||
Agricultural Real Estate | 1,410 | 35 | 1,091 | 36 | |||||||||||||||||||||||||
Business Banking | 509 | 33 | 66 | 3 | |||||||||||||||||||||||||
Consumer Loans | |||||||||||||||||||||||||||||
Home Equity | 5,099 | 188 | 3,072 | 101 | |||||||||||||||||||||||||
Residential Real Estate Mortgage | 2,864 | 79 | 2,106 | 53 | |||||||||||||||||||||||||
Total Originated | $ | 22,398 | $ | 463 | $ | 21,898 | $ | 330 | |||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Loans | |||||||||||||||||||||||||||||
Commercial | 6,303 | - | - | - | |||||||||||||||||||||||||
Commercial Real Estate | 3,461 | - | 1,332 | - | |||||||||||||||||||||||||
Total Acquired | $ | 9,764 | $ | - | $ | 1,332 | $ | - | |||||||||||||||||||||
Total Loans | $ | 32,162 | $ | 463 | $ | 23,230 | $ | 330 | |||||||||||||||||||||
The following tables illustrate the Company's credit quality by loan class as of September 30, 2014 and December 31, 2013: | |||||||||||||||||||||||||||||
Credit Quality Indicators | |||||||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Credit Exposure | Commercial | Commercial Real Estate | Agricultural | Agricultural Real Estate | Total | ||||||||||||||||||||||||
By Internally Assigned Grade: | |||||||||||||||||||||||||||||
Pass | $ | 574,661 | $ | 966,884 | $ | 31,793 | $ | 24,529 | $ | 1,597,867 | |||||||||||||||||||
Special Mention | 10,153 | 18,044 | 291 | 42 | 28,530 | ||||||||||||||||||||||||
Substandard | 37,696 | 35,479 | 2,264 | 1,752 | 77,191 | ||||||||||||||||||||||||
Doubtful | - | - | 12 | - | 12 | ||||||||||||||||||||||||
Total | $ | 622,510 | $ | 1,020,407 | $ | 34,360 | $ | 26,323 | $ | 1,703,600 | |||||||||||||||||||
Business Banking Credit Exposure | Business Banking | Total | |||||||||||||||||||||||||||
By Internally Assigned Grade: | |||||||||||||||||||||||||||||
Non-classified | $ | 377,043 | $ | 377,043 | |||||||||||||||||||||||||
Classified | 19,850 | 19,850 | |||||||||||||||||||||||||||
Total | $ | 396,893 | $ | 396,893 | |||||||||||||||||||||||||
Consumer Credit Exposure | Indirect | Home Equity | Direct | Total | |||||||||||||||||||||||||
By Payment Activity: | |||||||||||||||||||||||||||||
Performing | $ | 1,305,212 | $ | 494,157 | $ | 55,673 | $ | 1,855,042 | |||||||||||||||||||||
Nonperforming | 3,391 | 7,434 | 160 | 10,985 | |||||||||||||||||||||||||
Total | $ | 1,308,603 | $ | 501,591 | $ | 55,833 | $ | 1,866,027 | |||||||||||||||||||||
Residential Mortgage Credit Exposure | Residential Mortgage | Total | |||||||||||||||||||||||||||
By Payment Activity: | |||||||||||||||||||||||||||||
Performing | $ | 812,588 | $ | 812,588 | |||||||||||||||||||||||||
Nonperforming | 9,792 | 9,792 | |||||||||||||||||||||||||||
Total | $ | 822,380 | $ | 822,380 | |||||||||||||||||||||||||
Credit Quality Indicators | |||||||||||||||||||||||||||||
As of September 30, 2014 | |||||||||||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Credit Exposure By Internally Assigned Grade: | Commercial | Commercial Real Estate | Agricultural | Total | |||||||||||||||||||||||||
Pass | $ | 76,876 | $ | 190,740 | $ | - | $ | 267,616 | |||||||||||||||||||||
Special Mention | 3,633 | 4,213 | - | 7,846 | |||||||||||||||||||||||||
Substandard | 9,080 | 11,704 | - | 20,784 | |||||||||||||||||||||||||
Total | $ | 89,589 | $ | 206,657 | $ | - | $ | 296,246 | |||||||||||||||||||||
Business Banking Credit Exposure By Internally Assigned Grade: | Business Banking | Total | |||||||||||||||||||||||||||
Non-classified | $ | 56,370 | $ | 56,370 | |||||||||||||||||||||||||
Classified | 4,797 | 4,797 | |||||||||||||||||||||||||||
Total | $ | 61,167 | $ | 61,167 | |||||||||||||||||||||||||
Consumer Credit Exposure By Payment Activity: | Indirect | Home Equity | Direct | Total | |||||||||||||||||||||||||
Performing | $ | 77,601 | $ | 78,873 | $ | 5,632 | $ | 162,106 | |||||||||||||||||||||
Nonperforming | 207 | 663 | 43 | 913 | |||||||||||||||||||||||||
Total | $ | 77,808 | $ | 79,536 | $ | 5,675 | $ | 163,019 | |||||||||||||||||||||
Residential Mortgage Credit Exposure By Payment Activity: | Residential Mortgage | Total | |||||||||||||||||||||||||||
Performing | $ | 273,959 | $ | 273,959 | |||||||||||||||||||||||||
Nonperforming | 3,800 | 3,800 | |||||||||||||||||||||||||||
Total | $ | 277,759 | $ | 277,759 | |||||||||||||||||||||||||
Credit Quality Indicators | |||||||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||
ORIGINATED | |||||||||||||||||||||||||||||
Commercial Credit Exposure By Internally Assigned Grade: | Commercial | Commercial Real Estate | Agricultural | Agricultural Real Estate | Total | ||||||||||||||||||||||||
Pass | $ | 576,079 | $ | 878,411 | $ | 60,043 | $ | 33,136 | $ | 1,547,669 | |||||||||||||||||||
Special Mention | 16,836 | 22,777 | 381 | 43 | 40,037 | ||||||||||||||||||||||||
Substandard | 23,508 | 33,128 | 4,726 | 3,473 | 64,835 | ||||||||||||||||||||||||
Doubtful | - | - | 12 | - | 12 | ||||||||||||||||||||||||
Total | $ | 616,423 | $ | 934,316 | $ | 65,162 | $ | 36,652 | $ | 1,652,553 | |||||||||||||||||||
Business Banking Credit Exposure By Internally Assigned Grade: | Business Banking | Total | |||||||||||||||||||||||||||
Non-classified | $ | 319,578 | $ | 319,578 | |||||||||||||||||||||||||
Classified | 18,101 | 18,101 | |||||||||||||||||||||||||||
Total | $ | 337,679 | $ | 337,679 | |||||||||||||||||||||||||
Total | |||||||||||||||||||||||||||||
Consumer Credit Exposure By Payment Activity: | Indirect | Home Equity | Direct | Total | |||||||||||||||||||||||||
Performing | $ | 1,158,800 | $ | 525,777 | $ | 58,151 | $ | 1,742,728 | |||||||||||||||||||||
Nonperforming | 3,044 | 7,046 | 132 | 10,222 | |||||||||||||||||||||||||
Total | $ | 1,161,844 | $ | 532,823 | $ | 58,283 | $ | 1,752,950 | |||||||||||||||||||||
Residential Mortgage Credit Exposure By Payment Activity: | Residential Mortgage | Total | |||||||||||||||||||||||||||
Performing | $ | 725,308 | $ | 725,308 | |||||||||||||||||||||||||
Nonperforming | 7,913 | 7,913 | |||||||||||||||||||||||||||
Total | $ | 733,221 | $ | 733,221 | |||||||||||||||||||||||||
Credit Quality Indicators | |||||||||||||||||||||||||||||
As of December 31, 2013 | |||||||||||||||||||||||||||||
ACQUIRED | |||||||||||||||||||||||||||||
Commercial Credit Exposure By Internally Assigned Grade: | Commercial | Commercial Real Estate | Agricultural | Total | |||||||||||||||||||||||||
Pass | $ | 85,692 | $ | 205,010 | $ | - | $ | 290,702 | |||||||||||||||||||||
Special Mention | 2,230 | 6,183 | - | 8,413 | |||||||||||||||||||||||||
Substandard | 15,304 | 17,821 | - | 33,125 | |||||||||||||||||||||||||
Total | $ | 103,226 | $ | 229,014 | $ | - | $ | 332,240 | |||||||||||||||||||||
Business Banking Credit Exposure By Internally Assigned Grade: | Business Banking | Total | |||||||||||||||||||||||||||
Non-classified | $ | 65,437 | $ | 65,437 | |||||||||||||||||||||||||
Classified | 4,712 | 4,712 | |||||||||||||||||||||||||||
Total | $ | 70,149 | $ | 70,149 | |||||||||||||||||||||||||
Consumer Credit Exposure By Payment Activity: | Indirect | Home Equity | Direct | Total | |||||||||||||||||||||||||
Performing | $ | 124,922 | $ | 86,506 | $ | 7,367 | $ | 218,795 | |||||||||||||||||||||
Nonperforming | 164 | 570 | 58 | 792 | |||||||||||||||||||||||||
Total | $ | 125,086 | $ | 87,076 | $ | 7,425 | $ | 219,587 | |||||||||||||||||||||
Residential Mortgage Credit Exposure By Payment Activity: | Residential Mortgage | Total | |||||||||||||||||||||||||||
Performing | $ | 304,544 | $ | 304,544 | |||||||||||||||||||||||||
Nonperforming | 3,872 | 3,872 | |||||||||||||||||||||||||||
Total | $ | 308,416 | $ | 308,416 | |||||||||||||||||||||||||
Defined_Benefit_Postretirement2
Defined Benefit Postretirement Plans (Tables) | 9 Months Ended | ||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||
Defined Benefit Postretirement Plans [Abstract] | ' | ||||||||||||||||
Components of Net Periodic Pension Benefits and Other Benefit Costs | ' | ||||||||||||||||
Pension Benefits | Other Benefits | ||||||||||||||||
Three months ended September 30, | Three months ended September 30, | ||||||||||||||||
Components of net periodic (benefit) cost: | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Service cost | $ | 587 | $ | 604 | $ | 4 | $ | 6 | |||||||||
Interest cost | 1,040 | 830 | 90 | 75 | |||||||||||||
Expected return on plan assets | (2,175 | ) | (1,929 | ) | - | - | |||||||||||
Net amortization | 25 | 711 | (6 | ) | (2 | ) | |||||||||||
Total cost (benefit) | $ | (523 | ) | $ | 216 | $ | 88 | $ | 79 | ||||||||
Pension Benefits | Other Benefits | ||||||||||||||||
Nine months ended September 30, | Nine months ended September 30, | ||||||||||||||||
Components of net periodic (benefit) cost: | 2014 | 2013 | 2014 | 2013 | |||||||||||||
Service cost | $ | 1,761 | $ | 1,813 | $ | 12 | $ | 18 | |||||||||
Interest cost | 3,120 | 2,489 | 270 | 224 | |||||||||||||
Expected return on plan assets | (6,525 | ) | (5,786 | ) | - | - | |||||||||||
Net amortization | 75 | 2,025 | (18 | ) | 219 | ||||||||||||
Total cost (benefit) | $ | (1,569 | ) | $ | 541 | $ | 264 | $ | 461 | ||||||||
Earnings_Per_Share_Tables
Earnings Per Share (Tables) | 9 Months Ended | ||||||||
Sep. 30, 2014 | |||||||||
Earnings Per Share [Abstract] | ' | ||||||||
Reconciliation of basic and diluted earnings per share | ' | ||||||||
The following is a reconciliation of basic and diluted earnings per share for the periods presented in the consolidated statements of income. | |||||||||
Three months ended September 30, | 2014 | 2013 | |||||||
(in thousands, except per share data) | |||||||||
Basic EPS: | |||||||||
Weighted average common shares outstanding | 43,882 | 43,711 | |||||||
Net income available to common shareholders | 10,912 | 19,257 | |||||||
Basic EPS | $ | 0.25 | $ | 0.44 | |||||
Diluted EPS: | |||||||||
Weighted average common shares outstanding | 43,882 | 43,711 | |||||||
Dilutive effect of common stock options and restricted stock | 523 | 424 | |||||||
Weighted average common shares and common share equivalents | 44,405 | 44,135 | |||||||
Net income available to common shareholders | 10,912 | 19,257 | |||||||
Diluted EPS | $ | 0.25 | $ | 0.44 | |||||
Nine months ended September 30, | 2014 | 2013 | |||||||
(in thousands, except per share data) | |||||||||
Basic EPS: | |||||||||
Weighted average common shares outstanding | 43,847 | 41,375 | |||||||
Net income available to common shareholders | 56,561 | 43,822 | |||||||
Basic EPS | $ | 1.29 | $ | 1.06 | |||||
Diluted EPS: | |||||||||
Weighted average common shares outstanding | 43,847 | 41,375 | |||||||
Dilutive effect of common stock options and restricted stock | 507 | 394 | |||||||
Weighted average common shares and common share equivalents | 44,354 | 41,769 | |||||||
Net income available to common shareholders | 56,561 | 43,822 | |||||||
Diluted EPS | $ | 1.28 | $ | 1.05 | |||||
Reclassification_Adjustments_O1
Reclassification Adjustments Out of Other Comprehensive Income (Loss) (Tables) | 9 Months Ended | |||||||||
Sep. 30, 2014 | ||||||||||
Reclassification Adjustments Out of Other Comprehensive Income (Loss) [Abstract] | ' | |||||||||
Reclassification out of Accumulated Other Comprehensive Income (Loss) | ' | |||||||||
The following table summarizes the reclassification adjustments out of accumulated other comprehensive income (loss) (in thousands): | ||||||||||
Detail About Accumulated Other Comprehensive Income (Loss) Components | Amount reclassified from accumulated other comprehensive income (loss) | Affected line item in the consolidated statement of comprehensive income (loss) | ||||||||
Three months ended | ||||||||||
30-Sep-14 | 30-Sep-13 | |||||||||
Securities: | ||||||||||
Gains on available for sale securities | $ | (38 | ) | $ | (329 | ) | Net securities (gains) losses | |||
Amortization of unrealized gains and losses related to securities transfer | (99 | ) | - | Interest income | ||||||
Tax expense (benefit) | 55 | 132 | Income tax expense | |||||||
Net of tax | $ | (82 | ) | $ | (197 | ) | ||||
Pension and other benefits: | ||||||||||
Amortization of net gains | $ | 74 | $ | 765 | Salaries and employee benefits | |||||
Amortization of prior service costs | (56 | ) | (56 | ) | Salaries and employee benefits | |||||
Tax benefit | 7 | 283 | Income tax expense | |||||||
Net of tax | $ | 11 | $ | 426 | ||||||
Total reclassifications during the period, net of tax | $ | (71 | ) | $ | 229 | |||||
Detail About Accumulated Other Comprehensive Income (Loss) Components | Amount reclassified from accumulated other comprehensive income (loss) | Affected line item in the consolidated statement of comprehensive income (loss) | ||||||||
Nine months ended | ||||||||||
30-Sep-14 | 30-Sep-13 | |||||||||
Securities: | ||||||||||
Gains on available for sale securities | $ | (58 | ) | (1,413 | ) | Net securities gains | ||||
Amortization of unrealized gains and losses related to securities transfer | (99 | ) | - | Interest income | ||||||
Tax expense | 63 | 565 | Income tax expense | |||||||
Net of tax | $ | (94 | ) | $ | (848 | ) | ||||
Pension and other benefits: | ||||||||||
Amortization of net gains | $ | 222 | $ | 2,411 | Salaries and employee benefits | |||||
Amortization of prior service costs | (166 | ) | (167 | ) | Salaries and employee benefits | |||||
Tax benefit | 22 | 890 | Income tax expense | |||||||
Net of tax | $ | 34 | $ | 1,354 | ||||||
Total reclassifications during the period, net of tax | $ | (60 | ) | $ | 506 |
Fair_Values_Measurements_and_F2
Fair Values Measurements and Fair Value of Financial Instruments (Tables) | 9 Months Ended | ||||||||||||||||||||
Sep. 30, 2014 | |||||||||||||||||||||
Fair Value Measurements and Fair Value of Financial Instruments [Abstract] | ' | ||||||||||||||||||||
Fair Value of Financial Assets and Liabilities Measured on a Recurring Basis | ' | ||||||||||||||||||||
The following tables set forth the Company's financial assets and liabilities measured on a recurring basis that were accounted for at fair value. Assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement (in thousands): | |||||||||||||||||||||
September 30, 2014: | |||||||||||||||||||||
Quoted Prices inActive Markets forIdentical Assets | SignificantOtherObservable Inputs | SignificantUnobservableInputs | Balanceas of | ||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | 30-Sep-14 | ||||||||||||||||||
Assets: | |||||||||||||||||||||
Securities Available for Sale: | |||||||||||||||||||||
U.S. Treasury | $ | 23,213 | $ | - | $ | - | $ | 23,213 | |||||||||||||
Federal Agency | - | 333,317 | - | 333,317 | |||||||||||||||||
State & municipal | - | 41,521 | - | 41,521 | |||||||||||||||||
Mortgage-backed | - | 374,059 | - | 374,059 | |||||||||||||||||
Collateralized mortgage obligations | - | 257,264 | - | 257,264 | |||||||||||||||||
Other securities | 7,079 | 8,049 | - | 15,128 | |||||||||||||||||
Total Securities Available for Sale | $ | 30,292 | $ | 1,014,210 | $ | - | $ | 1,044,502 | |||||||||||||
Trading Securities | 7,622 | - | - | 7,622 | |||||||||||||||||
Interest Rate Swaps | - | 2,520 | - | 2,520 | |||||||||||||||||
Total | $ | 37,914 | $ | 1,016,730 | $ | - | $ | 1,054,644 | |||||||||||||
Liabilities: | |||||||||||||||||||||
Interest Rate Swaps | $ | - | $ | 2,520 | $ | - | $ | 2,520 | |||||||||||||
Total | $ | - | $ | 2,520 | $ | - | $ | 2,520 | |||||||||||||
December 31, 2013: | |||||||||||||||||||||
Quoted Prices inActive Markets forIdentical Assets | SignificantOtherObservable Inputs | SignificantUnobservableInputs | Balanceas ofDecember 31, 2013 | ||||||||||||||||||
(Level 1) | (Level 2) | (Level 3) | |||||||||||||||||||
Assets: | |||||||||||||||||||||
Securities Available for Sale: | |||||||||||||||||||||
U.S. Treasury | $ | 43,616 | $ | - | $ | - | $ | 43,616 | |||||||||||||
Federal Agency | - | 278,915 | - | 278,915 | |||||||||||||||||
State & municipal | - | 113,665 | - | 113,665 | |||||||||||||||||
Mortgage-backed | - | 364,164 | - | 364,164 | |||||||||||||||||
Collateralized mortgage obligations | - | 549,528 | - | 549,528 | |||||||||||||||||
Other securities | 6,796 | 8,197 | - | 14,993 | |||||||||||||||||
Total Securities Available for Sale | $ | 50,412 | $ | 1,314,469 | $ | - | $ | 1,364,881 | |||||||||||||
Trading Securities | 5,779 | - | - | 5,779 | |||||||||||||||||
Interest Rate Swaps | - | 281 | - | 281 | |||||||||||||||||
Total | $ | 56,191 | $ | 1,314,750 | $ | - | $ | 1,370,941 | |||||||||||||
Liabilities: | |||||||||||||||||||||
Interest Rate Swaps | $ | - | $ | 281 | $ | - | $ | 281 | |||||||||||||
Total | $ | - | $ | 281 | $ | - | $ | 281 | |||||||||||||
Fair Value of Financial Instruments By Balance Sheet Grouping | ' | ||||||||||||||||||||
The following table sets forth information with regard to estimated fair values of financial instruments at September 30, 2014 and December 31, 2013. This table excludes financial instruments for which the carrying amount approximates fair value. Financial instruments for which the fair value approximates carrying value include cash and cash equivalents, securities available for sale, trading securities, accrued interest receivable, non-maturity deposits, short-term borrowings, accrued interest payable, and interest rate swaps. | |||||||||||||||||||||
30-Sep-14 | 31-Dec-13 | ||||||||||||||||||||
(In thousands) | Fair Value Hierarchy | Carrying amount | Estimated fair value | Carrying amount | Estimated fair value | ||||||||||||||||
Financial assets | |||||||||||||||||||||
Securities held to maturity | 2 | $ | 459,620 | $ | 454,787 | $ | 117,283 | $ | 113,276 | ||||||||||||
Net loans | 3 | 5,517,757 | 5,561,963 | 5,337,361 | 5,386,520 | ||||||||||||||||
Financial liabilities | |||||||||||||||||||||
Time deposits | 2 | $ | 1,076,650 | $ | 1,071,564 | $ | 1,021,142 | $ | 1,023,982 | ||||||||||||
Long-term debt | 2 | 131,056 | 132,341 | 308,823 | 325,195 | ||||||||||||||||
Junior subordinated debt | 2 | 101,196 | 106,054 | 101,196 | 105,121 |
Securities_Details
Securities (Details) (USD $) | 3 Months Ended | |
Sep. 30, 2014 | Dec. 31, 2013 | |
Position | Position | |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized cost | $1,037,887,000 | $1,379,751,000 |
Unrealized gains | 12,964,000 | 14,737,000 |
Unrealized losses | 6,349,000 | 29,607,000 |
Estimated fair value | 1,044,502,000 | 1,364,881,000 |
Amortized costs of securities available for sale pledged to secure public deposits | 1,400,000,000 | 1,400,000,000 |
Amortized costs of securities available for sale pledged as collateral for repurchase agreements | 216,300,000 | 218,400,000 |
Unrealized Loss Position, Fair Value [Abstract] | ' | ' |
Less Than 12 Months, Fair Value | 186,397,000 | 812,106,000 |
12 Months or Longer, Fair Value | 320,872,000 | 9,842,000 |
Total, Fair Value | 507,269,000 | 821,948,000 |
Unrealized Loss Position, Unrealized Losses [Abstract] | ' | ' |
Less than 12 months Unrealized Losses | -796,000 | -29,201,000 |
12 months or longer Unrealized Losses | -5,553,000 | -406,000 |
Total Unrealized Losses | -6,349,000 | -29,607,000 |
Unrealized Loss Position, Number of Positions [Abstract] | ' | ' |
Less Than 12 Months, Number of Positions | 41 | 314 |
12 Months or Longer, Number of Positions | 73 | 2 |
Total, Number of Positions | 114 | 316 |
Schedule of Held-to-maturity Securities [Line Items] | ' | ' |
Amortized cost | 459,620,000 | 117,283,000 |
Unrealized gains | 817,000 | 570,000 |
Unrealized losses | 5,650,000 | 4,577,000 |
Estimated fair value | 454,787,000 | 113,276,000 |
Unrealized Loss Position, Fair Value [Abstract] | ' | ' |
Less Than 12 Months, Fair Value | 69,899,000 | 58,468,000 |
12 Months or Longer, Fair Value | 290,934,000 | 0 |
Total, Fair Value | 360,833,000 | 58,468,000 |
Unrealized Loss Position, Unrealized Losses [Abstract] | ' | ' |
Less Than 12 Months, Unrealized Losses | -216,000 | -4,577,000 |
12 Months or Longer, Unrealized Losses | -5,434,000 | 0 |
Total, Unrealized Losses | -5,650,000 | -4,577,000 |
Unrealized Loss Position, Number of Positions [Abstract] | ' | ' |
Less Than 12 Months, Number of Positions | 131 | 6 |
12 Months or Longer, Number of Positions | 42 | 0 |
Total, Number of Positions | 173 | 6 |
Consolidated stockholders' equity threshold percentage that no single issuer of securities exceeded except for U.S. Government securities. (in hundredths) | 10.00% | ' |
Securities Transfer from AFS to HTM | 340,000,000 | ' |
Unrealized loss on transfer of securities at time of transfer | 8,300,000 | ' |
Available-for-sale Securities, Debt Maturities, Amortized Cost Basis [Abstract] | ' | ' |
Within one year | 28,387,000 | ' |
From one to five years | 360,452,000 | ' |
From five to ten years | 174,046,000 | ' |
After ten years | 462,098,000 | ' |
Total, Amortized Cost | 1,024,983,000 | ' |
Available-for-sale Securities, Debt Maturities, Fair Value [Abstract] | ' | ' |
Within one year | 28,556,000 | ' |
From one to five years | 358,898,000 | ' |
From five to ten years | 176,437,000 | ' |
After ten years | 465,483,000 | ' |
Total, Fair Value | 1,029,374,000 | ' |
Held-to-maturity Securities, Debt Maturities, Net Carrying Amount [Abstract] | ' | ' |
Within one year | 27,414,000 | ' |
From one to five years | 16,404,000 | ' |
From five to ten years | 84,702,000 | ' |
After ten years | 331,100,000 | ' |
Amortized cost | 459,620,000 | 117,283,000 |
Held-to-maturity Securities, Debt Maturities, Fair Value [Abstract] | ' | ' |
Within one year | 27,530,000 | ' |
From one to five years | 16,551,000 | ' |
From five to ten years | 84,831,000 | ' |
After ten years | 325,875,000 | ' |
Total, Fair Value | 454,787,000 | 113,276,000 |
Mortgage-Backed [Member] | ' | ' |
Schedule of Held-to-maturity Securities [Line Items] | ' | ' |
Amortized cost | 802,000 | 953,000 |
Unrealized gains | 118,000 | 128,000 |
Unrealized losses | 0 | 0 |
Estimated fair value | 920,000 | 1,081,000 |
Held-to-maturity Securities, Debt Maturities, Net Carrying Amount [Abstract] | ' | ' |
Amortized cost | 802,000 | 953,000 |
Held-to-maturity Securities, Debt Maturities, Fair Value [Abstract] | ' | ' |
Total, Fair Value | 920,000 | 1,081,000 |
State & Municipal [Member] | ' | ' |
Schedule of Held-to-maturity Securities [Line Items] | ' | ' |
Amortized cost | 130,845,000 | 54,305,000 |
Unrealized gains | 538,000 | 442,000 |
Unrealized losses | 138,000 | 8,000 |
Estimated fair value | 131,245,000 | 54,739,000 |
Unrealized Loss Position, Fair Value [Abstract] | ' | ' |
Less Than 12 Months, Fair Value | 48,620,000 | 1,012,000 |
12 Months or Longer, Fair Value | 5,322,000 | 0 |
Total, Fair Value | 53,942,000 | 1,012,000 |
Unrealized Loss Position, Unrealized Losses [Abstract] | ' | ' |
Less Than 12 Months, Unrealized Losses | -122,000 | -8,000 |
12 Months or Longer, Unrealized Losses | -16,000 | 0 |
Total, Unrealized Losses | -138,000 | -8,000 |
Unrealized Loss Position, Number of Positions [Abstract] | ' | ' |
Less Than 12 Months, Number of Positions | 128 | 1 |
12 Months or Longer, Number of Positions | 19 | 0 |
Total, Number of Positions | 147 | 1 |
Held-to-maturity Securities, Debt Maturities, Net Carrying Amount [Abstract] | ' | ' |
Amortized cost | 130,845,000 | 54,305,000 |
Held-to-maturity Securities, Debt Maturities, Fair Value [Abstract] | ' | ' |
Total, Fair Value | 131,245,000 | 54,739,000 |
Collateralized Mortgage Obligations [Member] | ' | ' |
Schedule of Held-to-maturity Securities [Line Items] | ' | ' |
Amortized cost | 327,973,000 | 62,025,000 |
Unrealized gains | 161,000 | 0 |
Unrealized losses | 5,512,000 | 4,569,000 |
Estimated fair value | 322,622,000 | 57,456,000 |
Unrealized Loss Position, Fair Value [Abstract] | ' | ' |
Less Than 12 Months, Fair Value | 21,279,000 | 57,456,000 |
12 Months or Longer, Fair Value | 285,612,000 | 0 |
Total, Fair Value | 306,891,000 | 57,456,000 |
Unrealized Loss Position, Unrealized Losses [Abstract] | ' | ' |
Less Than 12 Months, Unrealized Losses | -94,000 | -4,569,000 |
12 Months or Longer, Unrealized Losses | -5,418,000 | 0 |
Total, Unrealized Losses | -5,512,000 | -4,569,000 |
Unrealized Loss Position, Number of Positions [Abstract] | ' | ' |
Less Than 12 Months, Number of Positions | 3 | 5 |
12 Months or Longer, Number of Positions | 23 | 0 |
Total, Number of Positions | 26 | 5 |
Held-to-maturity Securities, Debt Maturities, Net Carrying Amount [Abstract] | ' | ' |
Amortized cost | 327,973,000 | 62,025,000 |
Held-to-maturity Securities, Debt Maturities, Fair Value [Abstract] | ' | ' |
Total, Fair Value | 322,622,000 | 57,456,000 |
US Treasury [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized cost | 23,079,000 | 43,279,000 |
Unrealized gains | 134,000 | 337,000 |
Unrealized losses | 0 | 0 |
Estimated fair value | 23,213,000 | 43,616,000 |
Federal Agency [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized cost | 337,254,000 | 285,880,000 |
Unrealized gains | 301,000 | 343,000 |
Unrealized losses | 4,238,000 | 7,308,000 |
Estimated fair value | 333,317,000 | 278,915,000 |
Unrealized Loss Position, Fair Value [Abstract] | ' | ' |
Less Than 12 Months, Fair Value | 51,549,000 | 233,935,000 |
12 Months or Longer, Fair Value | 226,561,000 | 9,619,000 |
Total, Fair Value | 278,110,000 | 243,554,000 |
Unrealized Loss Position, Unrealized Losses [Abstract] | ' | ' |
Less than 12 months Unrealized Losses | -191,000 | -6,927,000 |
12 months or longer Unrealized Losses | -4,047,000 | -381,000 |
Total Unrealized Losses | -4,238,000 | -7,308,000 |
Unrealized Loss Position, Number of Positions [Abstract] | ' | ' |
Less Than 12 Months, Number of Positions | 7 | 20 |
12 Months or Longer, Number of Positions | 19 | 1 |
Total, Number of Positions | 26 | 21 |
State & Municipal [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized cost | 40,752,000 | 113,435,000 |
Unrealized gains | 779,000 | 1,842,000 |
Unrealized losses | 10,000 | 1,612,000 |
Estimated fair value | 41,521,000 | 113,665,000 |
Unrealized Loss Position, Fair Value [Abstract] | ' | ' |
Less Than 12 Months, Fair Value | 946,000 | 50,328,000 |
12 Months or Longer, Fair Value | 2,109,000 | 0 |
Total, Fair Value | 3,055,000 | 50,328,000 |
Unrealized Loss Position, Unrealized Losses [Abstract] | ' | ' |
Less than 12 months Unrealized Losses | -1,000 | -1,612,000 |
12 months or longer Unrealized Losses | -9,000 | 0 |
Total Unrealized Losses | -10,000 | -1,612,000 |
Unrealized Loss Position, Number of Positions [Abstract] | ' | ' |
Less Than 12 Months, Number of Positions | 4 | 177 |
12 Months or Longer, Number of Positions | 9 | 0 |
Total, Number of Positions | 13 | 177 |
Mortgage-Backed [Member] | ' | ' |
Unrealized Loss Position, Fair Value [Abstract] | ' | ' |
Less Than 12 Months, Fair Value | 62,748,000 | 143,080,000 |
12 Months or Longer, Fair Value | 47,138,000 | 0 |
Total, Fair Value | 109,886,000 | 143,080,000 |
Unrealized Loss Position, Unrealized Losses [Abstract] | ' | ' |
Less than 12 months Unrealized Losses | -69,000 | -2,216,000 |
12 months or longer Unrealized Losses | -713,000 | 0 |
Total Unrealized Losses | -782,000 | -2,216,000 |
Unrealized Loss Position, Number of Positions [Abstract] | ' | ' |
Less Than 12 Months, Number of Positions | 18 | 79 |
12 Months or Longer, Number of Positions | 37 | 0 |
Total, Number of Positions | 55 | 79 |
Mortgage-Backed [Member] | Government-sponsored Enterprises [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized cost | 349,676,000 | 337,666,000 |
Unrealized gains | 6,012,000 | 5,788,000 |
Unrealized losses | 702,000 | 2,131,000 |
Estimated fair value | 354,986,000 | 341,323,000 |
Mortgage-Backed [Member] | U.S. Government Agency Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized cost | 18,281,000 | 21,924,000 |
Unrealized gains | 872,000 | 1,002,000 |
Unrealized losses | 80,000 | 85,000 |
Estimated fair value | 19,073,000 | 22,841,000 |
Collateralized Mortgage Obligations [Member] | ' | ' |
Unrealized Loss Position, Fair Value [Abstract] | ' | ' |
Less Than 12 Months, Fair Value | 67,121,000 | 379,273,000 |
12 Months or Longer, Fair Value | 42,329,000 | 0 |
Total, Fair Value | 109,450,000 | 379,273,000 |
Unrealized Loss Position, Unrealized Losses [Abstract] | ' | ' |
Less than 12 months Unrealized Losses | -393,000 | -18,243,000 |
12 months or longer Unrealized Losses | -684,000 | 0 |
Total Unrealized Losses | -1,077,000 | -18,243,000 |
Unrealized Loss Position, Number of Positions [Abstract] | ' | ' |
Less Than 12 Months, Number of Positions | 9 | 36 |
12 Months or Longer, Number of Positions | 6 | 0 |
Total, Number of Positions | 15 | 36 |
Collateralized Mortgage Obligations [Member] | Government-sponsored Enterprises [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized cost | 211,828,000 | 521,257,000 |
Unrealized gains | 1,907,000 | 1,777,000 |
Unrealized losses | 937,000 | 18,141,000 |
Estimated fair value | 212,798,000 | 504,893,000 |
Collateralized Mortgage Obligations [Member] | U.S. Government Agency Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized cost | 44,113,000 | 43,943,000 |
Unrealized gains | 493,000 | 794,000 |
Unrealized losses | 140,000 | 102,000 |
Estimated fair value | 44,466,000 | 44,635,000 |
Other Securities [Member] | ' | ' |
Schedule of Available-for-sale Securities [Line Items] | ' | ' |
Amortized cost | 12,904,000 | 12,367,000 |
Unrealized gains | 2,466,000 | 2,854,000 |
Unrealized losses | 242,000 | 228,000 |
Estimated fair value | 15,128,000 | 14,993,000 |
Unrealized Loss Position, Fair Value [Abstract] | ' | ' |
Less Than 12 Months, Fair Value | 4,033,000 | 5,490,000 |
12 Months or Longer, Fair Value | 2,735,000 | 223,000 |
Total, Fair Value | 6,768,000 | 5,713,000 |
Unrealized Loss Position, Unrealized Losses [Abstract] | ' | ' |
Less than 12 months Unrealized Losses | -142,000 | -203,000 |
12 months or longer Unrealized Losses | -100,000 | -25,000 |
Total Unrealized Losses | ($242,000) | ($228,000) |
Unrealized Loss Position, Number of Positions [Abstract] | ' | ' |
Less Than 12 Months, Number of Positions | 3 | 2 |
12 Months or Longer, Number of Positions | 2 | 1 |
Total, Number of Positions | 5 | 3 |
Allowance_for_Loan_Losses_and_3
Allowance for Loan Losses and Credit Quality of Loans (Details) (USD $) | 9 Months Ended |
In Millions, unless otherwise specified | Sep. 30, 2014 |
Segment | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' |
Loan portfolio segments | 3 |
Commercial Real Estate [Member] | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' |
Real estate loan amount, percentage of appraised value or purchase price of the property, maximum (in hundredths) | 80.00% |
Agricultural Real Estate [Member] | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' |
Real estate loan amount, percentage of appraised value or purchase price of the property, maximum (in hundredths) | 75.00% |
Business Banking [Member] | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' |
Business banking loans, maximum amount | 0.5 |
Indirect [Member] | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' |
Percentage of automobile financing to indirect relationships with dealers (in hundredths) | 75.00% |
Principal repayment term of loan, minimum | '3 years |
Principal repayment term of loan, maximum | '6 years |
Home Equity [Member] | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' |
Home equity loan amount, percentage of equity in home, maximum (in hundredths) | 85.00% |
Direct [Member] | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' |
Principal repayment term of loan, minimum | '1 year |
Principal repayment term of loan, maximum | '10 years |
Residential Real Estate Mortgages [Member] | ' |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ' |
Real estate loan amount, percentage of appraised value or purchase price of the property, maximum (in hundredths) | 85.00% |
Allowance_for_Loan_Losses_and_4
Allowance for Loan Losses and Credit Quality of Loans, Allowance for Loan Losses (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ' | ' | ' | ' | ' |
Balance as of Beginning of Period | $69,534,000 | $71,184,000 | $69,434,000 | $69,334,000 | ' |
Charge-offs | -5,977,000 | -7,609,000 | -16,047,000 | -20,478,000 | ' |
Recoveries | 892,000 | 1,411,000 | 3,300,000 | 4,070,000 | ' |
Provision | 4,885,000 | 5,198,000 | 12,647,000 | 17,258,000 | ' |
Balance as of Ending of Period | 69,334,000 | 70,184,000 | 69,334,000 | 70,184,000 | ' |
Allowance for loan losses for acquired loan portfolio | 3 | 0 | ' | ' | ' |
Provision expense and net charge-offs related to acquired loans | 300,000 | 100,000 | 500,000 | 500,000 | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Allowance for loan losses | 69,334,000 | 70,184,000 | 69,334,000 | 70,184,000 | ' |
Allowance for loans individually evaluated for impairment | 3,600,000 | ' | 3,600,000 | ' | 715,000 |
Allowance for loans collectively evaluated for impairment | 65,734,000 | ' | 65,734,000 | ' | 68,719,000 |
Ending balance of loans | 5,587,091,000 | ' | 5,587,091,000 | ' | 5,406,795,000 |
Commercial Loans [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ' | ' | ' | ' | ' |
Balance as of Beginning of Period | 35,123,000 | 37,704,000 | 35,090,000 | 35,624,000 | ' |
Charge-offs | -1,517,000 | -3,489,000 | -3,423,000 | -8,009,000 | ' |
Recoveries | 253,000 | 602,000 | 966,000 | 1,485,000 | ' |
Provision | 1,779,000 | 980,000 | 3,005,000 | 6,697,000 | ' |
Balance as of Ending of Period | 35,638,000 | 35,797,000 | 35,638,000 | 35,797,000 | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Allowance for loan losses | 35,638,000 | 35,797,000 | 35,638,000 | 35,797,000 | ' |
Allowance for loans individually evaluated for impairment | 3,600,000 | ' | 3,600,000 | ' | 715,000 |
Allowance for loans collectively evaluated for impairment | 32,038,000 | ' | 32,038,000 | ' | 34,375,000 |
Ending balance of loans | 2,457,906,000 | ' | 2,457,906,000 | ' | 2,392,621,000 |
Consumer Loans [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ' | ' | ' | ' | ' |
Balance as of Beginning of Period | 27,973,000 | 26,456,000 | 27,694,000 | 27,162,000 | ' |
Charge-offs | -3,979,000 | -3,746,000 | -11,659,000 | -11,122,000 | ' |
Recoveries | 632,000 | 733,000 | 2,087,000 | 2,406,000 | ' |
Provision | 2,826,000 | 3,744,000 | 9,330,000 | 8,741,000 | ' |
Balance as of Ending of Period | 27,452,000 | 27,187,000 | 27,452,000 | 27,187,000 | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Allowance for loan losses | 27,452,000 | 27,187,000 | 27,452,000 | 27,187,000 | ' |
Allowance for loans individually evaluated for impairment | 0 | ' | 0 | ' | 0 |
Allowance for loans collectively evaluated for impairment | 27,452,000 | ' | 27,452,000 | ' | 27,694,000 |
Ending balance of loans | 2,029,046,000 | ' | 2,029,046,000 | ' | 1,972,537,000 |
Residential Real Estate Mortgages [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ' | ' | ' | ' | ' |
Balance as of Beginning of Period | 6,205,000 | 6,806,000 | 6,520,000 | 6,252,000 | ' |
Charge-offs | -481,000 | -374,000 | -965,000 | -1,347,000 | ' |
Recoveries | 7,000 | 76,000 | 247,000 | 179,000 | ' |
Provision | 212,000 | 402,000 | 141,000 | 1,826,000 | ' |
Balance as of Ending of Period | 5,943,000 | 6,910,000 | 5,943,000 | 6,910,000 | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Allowance for loan losses | 5,943,000 | 6,910,000 | 5,943,000 | 6,910,000 | ' |
Allowance for loans individually evaluated for impairment | 0 | ' | 0 | ' | 0 |
Allowance for loans collectively evaluated for impairment | 5,943,000 | ' | 5,943,000 | ' | 6,520,000 |
Ending balance of loans | 1,100,139,000 | ' | 1,100,139,000 | ' | 1,041,637,000 |
Unallocated [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Allowance for Credit Losses [Roll Forward] | ' | ' | ' | ' | ' |
Balance as of Beginning of Period | 233,000 | 218,000 | 130,000 | 296,000 | ' |
Charge-offs | 0 | 0 | 0 | 0 | ' |
Recoveries | 0 | 0 | 0 | 0 | ' |
Provision | 68,000 | 72,000 | 171,000 | -6,000 | ' |
Balance as of Ending of Period | 301,000 | 290,000 | 301,000 | 290,000 | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Allowance for loan losses | 301,000 | 290,000 | 301,000 | 290,000 | ' |
Allowance for loans collectively evaluated for impairment | 301,000 | ' | 301,000 | ' | 130,000 |
Originated Loans [Member] | ' | ' | ' | ' | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Ending balance of loans | 4,788,900,000 | ' | 4,788,900,000 | ' | 4,476,403,000 |
Ending balance of loans individually evaluated for impairment | 22,097,000 | ' | 22,097,000 | ' | 21,380,000 |
Ending balance of loans collectively evaluated for impairment | 4,766,803,000 | ' | 4,766,803,000 | ' | 4,455,023,000 |
Originated Loans [Member] | Commercial Loans [Member] | ' | ' | ' | ' | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Ending balance of loans | 2,100,493,000 | ' | 2,100,493,000 | ' | 1,990,232,000 |
Ending balance of loans individually evaluated for impairment | 13,625,000 | ' | 13,625,000 | ' | 16,120,000 |
Ending balance of loans collectively evaluated for impairment | 2,086,868,000 | ' | 2,086,868,000 | ' | 1,974,112,000 |
Originated Loans [Member] | Consumer Loans [Member] | ' | ' | ' | ' | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Ending balance of loans | 1,866,027,000 | ' | 1,866,027,000 | ' | 1,752,950,000 |
Ending balance of loans individually evaluated for impairment | 5,343,000 | ' | 5,343,000 | ' | 3,248,000 |
Ending balance of loans collectively evaluated for impairment | 1,860,684,000 | ' | 1,860,684,000 | ' | 1,749,702,000 |
Originated Loans [Member] | Residential Real Estate Mortgages [Member] | ' | ' | ' | ' | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Ending balance of loans | 822,380,000 | ' | 822,380,000 | ' | 733,221,000 |
Ending balance of loans individually evaluated for impairment | 3,129,000 | ' | 3,129,000 | ' | 2,012,000 |
Ending balance of loans collectively evaluated for impairment | 819,251,000 | ' | 819,251,000 | ' | 731,209,000 |
Acquired Loans [Member] | ' | ' | ' | ' | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Ending balance of loans | 798,191,000 | ' | 798,191,000 | ' | 930,392,000 |
Ending balance of loans individually evaluated for impairment | 9,396,000 | ' | 9,396,000 | ' | 10,060,000 |
Ending balance of loans collectively evaluated for impairment | 788,795,000 | ' | 788,795,000 | ' | 920,332,000 |
Acquired Loans [Member] | Commercial Loans [Member] | ' | ' | ' | ' | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Ending balance of loans | 357,413,000 | ' | 357,413,000 | ' | 402,389,000 |
Ending balance of loans individually evaluated for impairment | 9,396,000 | ' | 9,396,000 | ' | 10,060,000 |
Ending balance of loans collectively evaluated for impairment | 348,017,000 | ' | 348,017,000 | ' | 392,329,000 |
Acquired Loans [Member] | Consumer Loans [Member] | ' | ' | ' | ' | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Ending balance of loans | 163,019,000 | ' | 163,019,000 | ' | 219,587,000 |
Ending balance of loans individually evaluated for impairment | 0 | ' | 0 | ' | 0 |
Ending balance of loans collectively evaluated for impairment | 163,019,000 | ' | 163,019,000 | ' | 219,587,000 |
Acquired Loans [Member] | Residential Real Estate Mortgages [Member] | ' | ' | ' | ' | ' |
Allowance loan losses [Abstract] | ' | ' | ' | ' | ' |
Ending balance of loans | 277,759,000 | ' | 277,759,000 | ' | 308,416,000 |
Ending balance of loans individually evaluated for impairment | 0 | ' | 0 | ' | 0 |
Ending balance of loans collectively evaluated for impairment | $277,759,000 | ' | $277,759,000 | ' | $308,416,000 |
Allowance_for_Loan_Losses_and_5
Allowance for Loan Losses and Credit Quality of Loans, Past Due Loans (Details) (USD $) | 9 Months Ended | |
In Thousands, unless otherwise specified | Sep. 30, 2014 | Dec. 31, 2013 |
Financing Receivable, Recorded Investment, Aging [Abstract] | ' | ' |
Minimum number of days past due for nonaccrual loan status | '90 days | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | $26,700 | $31,961 |
61 - 90 Days Past Due Accruing | 5,842 | 5,894 |
Greater Than 90 Days Past Due Accruing | 4,022 | 3,737 |
Total Past Due Accruing | 36,564 | 41,592 |
Non-Accrual | 50,531 | 49,965 |
Current | 5,499,996 | 5,315,238 |
Ending balance of loans | 5,587,091 | 5,406,795 |
Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 24,292 | 28,124 |
61 - 90 Days Past Due Accruing | 5,275 | 5,660 |
Greater Than 90 Days Past Due Accruing | 3,931 | 3,657 |
Total Past Due Accruing | 33,498 | 37,441 |
Non-Accrual | 35,863 | 33,883 |
Current | 4,719,539 | 4,405,079 |
Ending balance of loans | 4,788,900 | 4,476,403 |
Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 2,408 | 3,837 |
61 - 90 Days Past Due Accruing | 567 | 234 |
Greater Than 90 Days Past Due Accruing | 91 | 80 |
Total Past Due Accruing | 3,066 | 4,151 |
Non-Accrual | 14,668 | 16,082 |
Current | 780,457 | 910,159 |
Ending balance of loans | 798,191 | 930,392 |
Commercial Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
Ending balance of loans | 2,457,906 | 2,392,621 |
Commercial Loans [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 2,244 | 3,368 |
61 - 90 Days Past Due Accruing | 904 | 390 |
Greater Than 90 Days Past Due Accruing | 0 | 105 |
Total Past Due Accruing | 3,148 | 3,863 |
Non-Accrual | 19,017 | 19,300 |
Current | 2,078,328 | 1,967,069 |
Ending balance of loans | 2,100,493 | 1,990,232 |
Commercial Loans [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 202 | 344 |
61 - 90 Days Past Due Accruing | 0 | 2 |
Greater Than 90 Days Past Due Accruing | 0 | 0 |
Total Past Due Accruing | 202 | 346 |
Non-Accrual | 10,046 | 11,498 |
Current | 347,165 | 390,545 |
Ending balance of loans | 357,413 | 402,389 |
Commercial [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 670 | 105 |
61 - 90 Days Past Due Accruing | 270 | 247 |
Greater Than 90 Days Past Due Accruing | 0 | 0 |
Total Past Due Accruing | 940 | 352 |
Non-Accrual | 2,890 | 3,669 |
Current | 618,680 | 612,402 |
Ending balance of loans | 622,510 | 616,423 |
Commercial [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 0 | 24 |
61 - 90 Days Past Due Accruing | 0 | 0 |
Greater Than 90 Days Past Due Accruing | 0 | 0 |
Total Past Due Accruing | 0 | 24 |
Non-Accrual | 6,046 | 6,599 |
Current | 83,543 | 96,603 |
Ending balance of loans | 89,589 | 103,226 |
Commercial Real Estate [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 104 | 1,366 |
61 - 90 Days Past Due Accruing | 561 | 0 |
Greater Than 90 Days Past Due Accruing | 0 | 0 |
Total Past Due Accruing | 665 | 1,366 |
Non-Accrual | 6,565 | 7,834 |
Current | 1,013,177 | 925,116 |
Ending balance of loans | 1,020,407 | 934,316 |
Commercial Real Estate [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 0 | 0 |
61 - 90 Days Past Due Accruing | 0 | 0 |
Greater Than 90 Days Past Due Accruing | 0 | 0 |
Total Past Due Accruing | 0 | 0 |
Non-Accrual | 3,369 | 3,559 |
Current | 203,288 | 225,455 |
Ending balance of loans | 206,657 | 229,014 |
Agricultural [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 55 | 150 |
61 - 90 Days Past Due Accruing | 20 | 21 |
Greater Than 90 Days Past Due Accruing | 0 | 0 |
Total Past Due Accruing | 75 | 171 |
Non-Accrual | 993 | 1,135 |
Current | 33,292 | 63,856 |
Ending balance of loans | 34,360 | 65,162 |
Agricultural Real Estate [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 0 | 519 |
61 - 90 Days Past Due Accruing | 0 | 0 |
Greater Than 90 Days Past Due Accruing | 0 | 0 |
Total Past Due Accruing | 0 | 519 |
Non-Accrual | 963 | 961 |
Current | 25,360 | 35,172 |
Ending balance of loans | 26,323 | 36,652 |
Business Banking [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 1,415 | 1,228 |
61 - 90 Days Past Due Accruing | 53 | 122 |
Greater Than 90 Days Past Due Accruing | 0 | 105 |
Total Past Due Accruing | 1,468 | 1,455 |
Non-Accrual | 7,606 | 5,701 |
Current | 387,819 | 330,523 |
Ending balance of loans | 396,893 | 337,679 |
Business Banking [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 202 | 320 |
61 - 90 Days Past Due Accruing | 0 | 2 |
Greater Than 90 Days Past Due Accruing | 0 | 0 |
Total Past Due Accruing | 202 | 322 |
Non-Accrual | 631 | 1,340 |
Current | 60,334 | 68,487 |
Ending balance of loans | 61,167 | 70,149 |
Consumer Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
Ending balance of loans | 2,029,046 | 1,972,537 |
Consumer Loans [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 19,105 | 20,805 |
61 - 90 Days Past Due Accruing | 4,199 | 4,891 |
Greater Than 90 Days Past Due Accruing | 2,527 | 2,744 |
Total Past Due Accruing | 25,831 | 28,440 |
Non-Accrual | 8,458 | 7,478 |
Current | 1,831,738 | 1,717,032 |
Ending balance of loans | 1,866,027 | 1,752,950 |
Consumer Loans [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 667 | 1,768 |
61 - 90 Days Past Due Accruing | 122 | 232 |
Greater Than 90 Days Past Due Accruing | 91 | 80 |
Total Past Due Accruing | 880 | 2,080 |
Non-Accrual | 822 | 712 |
Current | 161,317 | 216,795 |
Ending balance of loans | 163,019 | 219,587 |
Indirect [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 14,686 | 14,093 |
61 - 90 Days Past Due Accruing | 2,560 | 2,878 |
Greater Than 90 Days Past Due Accruing | 1,785 | 1,583 |
Total Past Due Accruing | 19,031 | 18,554 |
Non-Accrual | 1,606 | 1,461 |
Current | 1,287,966 | 1,141,829 |
Ending balance of loans | 1,308,603 | 1,161,844 |
Indirect [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 451 | 939 |
61 - 90 Days Past Due Accruing | 60 | 113 |
Greater Than 90 Days Past Due Accruing | 82 | 71 |
Total Past Due Accruing | 593 | 1,123 |
Non-Accrual | 125 | 93 |
Current | 77,090 | 123,870 |
Ending balance of loans | 77,808 | 125,086 |
Home Equity Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 3,955 | 6,033 |
61 - 90 Days Past Due Accruing | 1,528 | 1,888 |
Greater Than 90 Days Past Due Accruing | 686 | 1,115 |
Total Past Due Accruing | 6,169 | 9,036 |
Non-Accrual | 6,748 | 5,931 |
Current | 488,674 | 517,856 |
Ending balance of loans | 501,591 | 532,823 |
Home Equity Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 185 | 753 |
61 - 90 Days Past Due Accruing | 61 | 63 |
Greater Than 90 Days Past Due Accruing | 0 | 0 |
Total Past Due Accruing | 246 | 816 |
Non-Accrual | 663 | 570 |
Current | 78,627 | 85,690 |
Ending balance of loans | 79,536 | 87,076 |
Direct [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 464 | 679 |
61 - 90 Days Past Due Accruing | 111 | 125 |
Greater Than 90 Days Past Due Accruing | 56 | 46 |
Total Past Due Accruing | 631 | 850 |
Non-Accrual | 104 | 86 |
Current | 55,098 | 57,347 |
Ending balance of loans | 55,833 | 58,283 |
Direct [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 31 | 76 |
61 - 90 Days Past Due Accruing | 1 | 56 |
Greater Than 90 Days Past Due Accruing | 9 | 9 |
Total Past Due Accruing | 41 | 141 |
Non-Accrual | 34 | 49 |
Current | 5,600 | 7,235 |
Ending balance of loans | 5,675 | 7,425 |
Residential Real Estate Mortgages [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
Ending balance of loans | 1,100,139 | 1,041,637 |
Residential Real Estate Mortgages [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 2,943 | 3,951 |
61 - 90 Days Past Due Accruing | 172 | 379 |
Greater Than 90 Days Past Due Accruing | 1,404 | 808 |
Total Past Due Accruing | 4,519 | 5,138 |
Non-Accrual | 8,388 | 7,105 |
Current | 809,473 | 720,978 |
Ending balance of loans | 822,380 | 733,221 |
Residential Real Estate Mortgages [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment, Past Due [Abstract] | ' | ' |
31 - 60 Days Past Due Accruing | 1,539 | 1,725 |
61 - 90 Days Past Due Accruing | 445 | 0 |
Greater Than 90 Days Past Due Accruing | 0 | 0 |
Total Past Due Accruing | 1,984 | 1,725 |
Non-Accrual | 3,800 | 3,872 |
Current | 271,975 | 302,819 |
Ending balance of loans | $277,759 | $308,416 |
Allowance_for_Loan_Losses_and_6
Allowance for Loan Losses and Credit Quality of Loans, Impaired Loans (Details) (USD $) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | Dec. 31, 2013 | |
Allowance for Loan Losses and Credit Quality of Loans [Abstract] | ' | ' | ' | ' | ' |
Minimum balance for classified loans to be evaluated individually for impairment | $500,000 | ' | $500,000 | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 31,493,000 | ' | 31,493,000 | ' | 31,440,000 |
Unpaid Principal Balance (Legal) | 35,944,000 | ' | 35,944,000 | ' | 35,430,000 |
Related Allowance | 3,600,000 | ' | 3,600,000 | ' | 715,000 |
Average Recorded Investment | 31,705,000 | 22,918,000 | 32,162,000 | 23,230,000 | ' |
Interest Income Recognized | 179,000 | 137,000 | 463,000 | 330,000 | ' |
Originated Loans [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 22,146,000 | 21,589,000 | 22,398,000 | 21,898,000 | ' |
Interest Income Recognized | 179,000 | 137,000 | 463,000 | 330,000 | ' |
Originated Loans [Member] | Commercial [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 1,957,000 | 2,727,000 | 2,001,000 | 3,789,000 | ' |
Interest Income Recognized | 0 | 28,000 | 0 | 86,000 | ' |
Originated Loans [Member] | Commercial Real Estate [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 9,619,000 | 11,853,000 | 10,400,000 | 11,550,000 | ' |
Interest Income Recognized | 43,000 | 29,000 | 127,000 | 50,000 | ' |
Originated Loans [Member] | Agricultural [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 102,000 | 136,000 | 115,000 | 224,000 | ' |
Interest Income Recognized | 0 | 0 | 1,000 | 1,000 | ' |
Originated Loans [Member] | Agricultural Real Estate [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 1,395,000 | 1,381,000 | 1,410,000 | 1,091,000 | ' |
Interest Income Recognized | 12,000 | 12,000 | 35,000 | 36,000 | ' |
Originated Loans [Member] | Business Banking [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 677,000 | 50,000 | 509,000 | 66,000 | ' |
Interest Income Recognized | 10,000 | 0 | 33,000 | 3,000 | ' |
Originated Loans [Member] | Home Equity [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 5,435,000 | 3,240,000 | 5,099,000 | 3,072,000 | ' |
Interest Income Recognized | 85,000 | 43,000 | 188,000 | 101,000 | ' |
Originated Loans [Member] | Residential Real Estate Mortgages [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 2,961,000 | 2,202,000 | 2,864,000 | 2,106,000 | ' |
Interest Income Recognized | 29,000 | 25,000 | 79,000 | 53,000 | ' |
Acquired Loans [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 9,559,000 | 1,329,000 | 9,764,000 | 1,332,000 | ' |
Interest Income Recognized | 0 | 0 | 0 | 0 | ' |
Acquired Loans [Member] | Commercial [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 6,161,000 | 0 | 6,303,000 | 0 | ' |
Interest Income Recognized | 0 | 0 | 0 | 0 | ' |
Acquired Loans [Member] | Commercial Real Estate [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Average Recorded Investment | 3,398,000 | 1,329,000 | 3,461,000 | 1,332,000 | ' |
Interest Income Recognized | 0 | 0 | 0 | 0 | ' |
With No Allowance Recorded [Member] | Originated Loans [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 19,334,000 | ' | 19,334,000 | ' | 16,360,000 |
Unpaid Principal Balance (Legal) | 21,111,000 | ' | 21,111,000 | ' | 18,173,000 |
With No Allowance Recorded [Member] | Originated Loans [Member] | Commercial Loans [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 10,862,000 | ' | 10,862,000 | ' | 11,100,000 |
Unpaid Principal Balance (Legal) | 11,768,000 | ' | 11,768,000 | ' | 12,446,000 |
With No Allowance Recorded [Member] | Originated Loans [Member] | Commercial [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 1,894,000 | ' | 1,894,000 | ' | 4,721,000 |
Unpaid Principal Balance (Legal) | 2,019,000 | ' | 2,019,000 | ' | 4,777,000 |
With No Allowance Recorded [Member] | Originated Loans [Member] | Commercial Real Estate [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 6,830,000 | ' | 6,830,000 | ' | 4,613,000 |
Unpaid Principal Balance (Legal) | 6,845,000 | ' | 6,845,000 | ' | 5,164,000 |
With No Allowance Recorded [Member] | Originated Loans [Member] | Agricultural [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 98,000 | ' | 98,000 | ' | 125,000 |
Unpaid Principal Balance (Legal) | 168,000 | ' | 168,000 | ' | 195,000 |
With No Allowance Recorded [Member] | Originated Loans [Member] | Agricultural Real Estate [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 1,388,000 | ' | 1,388,000 | ' | 1,431,000 |
Unpaid Principal Balance (Legal) | 1,684,000 | ' | 1,684,000 | ' | 1,708,000 |
With No Allowance Recorded [Member] | Originated Loans [Member] | Business Banking [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 652,000 | ' | 652,000 | ' | 210,000 |
Unpaid Principal Balance (Legal) | 1,052,000 | ' | 1,052,000 | ' | 602,000 |
With No Allowance Recorded [Member] | Originated Loans [Member] | Home Equity [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 5,343,000 | ' | 5,343,000 | ' | 3,248,000 |
Unpaid Principal Balance (Legal) | 5,849,000 | ' | 5,849,000 | ' | 3,472,000 |
With No Allowance Recorded [Member] | Originated Loans [Member] | Residential Real Estate Mortgages [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 3,129,000 | ' | 3,129,000 | ' | 2,012,000 |
Unpaid Principal Balance (Legal) | 3,494,000 | ' | 3,494,000 | ' | 2,255,000 |
With No Allowance Recorded [Member] | Acquired Loans [Member] | Commercial Loans [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 3,368,000 | ' | 3,368,000 | ' | 10,060,000 |
Unpaid Principal Balance (Legal) | 3,832,000 | ' | 3,832,000 | ' | 10,380,000 |
With No Allowance Recorded [Member] | Acquired Loans [Member] | Commercial [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 0 | ' | 0 | ' | 6,501,000 |
Unpaid Principal Balance (Legal) | 0 | ' | 0 | ' | 6,538,000 |
With No Allowance Recorded [Member] | Acquired Loans [Member] | Commercial Real Estate [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 3,368,000 | ' | 3,368,000 | ' | 3,559,000 |
Unpaid Principal Balance (Legal) | 3,832,000 | ' | 3,832,000 | ' | 3,842,000 |
With An Allowance Recorded [Member] | Originated Loans [Member] | Commercial Real Estate [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 2,763,000 | ' | 2,763,000 | ' | 5,020,000 |
Unpaid Principal Balance (Legal) | 4,619,000 | ' | 4,619,000 | ' | 6,877,000 |
Related Allowance | 600,000 | ' | 600,000 | ' | 715,000 |
With An Allowance Recorded [Member] | Acquired Loans [Member] | Commercial [Member] | ' | ' | ' | ' | ' |
Financing Receivable, Impaired [Line Items] | ' | ' | ' | ' | ' |
Recorded Investment Balance (Book) | 6,028,000 | ' | 6,028,000 | ' | 0 |
Unpaid Principal Balance (Legal) | 6,382,000 | ' | 6,382,000 | ' | 0 |
Related Allowance | $3,000,000 | ' | $3,000,000 | ' | $0 |
Allowance_for_Loan_Losses_and_7
Allowance for Loan Losses and Credit Quality of Loans, Credit Quality by Loan Class (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
In Thousands, unless otherwise specified | ||
Commercial Credit Exposure [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | $296,246 | $332,240 |
Commercial Credit Exposure [Member] | Pass [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 267,616 | 290,702 |
Commercial Credit Exposure [Member] | Special Mention [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 7,846 | 8,413 |
Commercial Credit Exposure [Member] | Substandard [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 20,784 | 33,125 |
Commercial Credit Exposure [Member] | Commercial Loans [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 1,703,600 | 1,652,553 |
Commercial Credit Exposure [Member] | Commercial Loans [Member] | Pass [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 1,597,867 | 1,547,669 |
Commercial Credit Exposure [Member] | Commercial Loans [Member] | Special Mention [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 28,530 | 40,037 |
Commercial Credit Exposure [Member] | Commercial Loans [Member] | Substandard [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 77,191 | 64,835 |
Commercial Credit Exposure [Member] | Commercial Loans [Member] | Doubtful [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 12 | 12 |
Commercial Credit Exposure [Member] | Commercial [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 89,589 | 103,226 |
Commercial Credit Exposure [Member] | Commercial [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 622,510 | 616,423 |
Commercial Credit Exposure [Member] | Commercial [Member] | Pass [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 76,876 | 85,692 |
Commercial Credit Exposure [Member] | Commercial [Member] | Pass [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 574,661 | 576,079 |
Commercial Credit Exposure [Member] | Commercial [Member] | Special Mention [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 3,633 | 2,230 |
Commercial Credit Exposure [Member] | Commercial [Member] | Special Mention [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 10,153 | 16,836 |
Commercial Credit Exposure [Member] | Commercial [Member] | Substandard [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 9,080 | 15,304 |
Commercial Credit Exposure [Member] | Commercial [Member] | Substandard [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 37,696 | 23,508 |
Commercial Credit Exposure [Member] | Commercial [Member] | Doubtful [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 0 | 0 |
Commercial Credit Exposure [Member] | Commercial Real Estate [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 206,657 | 229,014 |
Commercial Credit Exposure [Member] | Commercial Real Estate [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 1,020,407 | 934,316 |
Commercial Credit Exposure [Member] | Commercial Real Estate [Member] | Pass [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 190,740 | 205,010 |
Commercial Credit Exposure [Member] | Commercial Real Estate [Member] | Pass [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 966,884 | 878,411 |
Commercial Credit Exposure [Member] | Commercial Real Estate [Member] | Special Mention [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 4,213 | 6,183 |
Commercial Credit Exposure [Member] | Commercial Real Estate [Member] | Special Mention [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 18,044 | 22,777 |
Commercial Credit Exposure [Member] | Commercial Real Estate [Member] | Substandard [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 11,704 | 17,821 |
Commercial Credit Exposure [Member] | Commercial Real Estate [Member] | Substandard [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 35,479 | 33,128 |
Commercial Credit Exposure [Member] | Commercial Real Estate [Member] | Doubtful [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 0 | 0 |
Commercial Credit Exposure [Member] | Agricultural [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 0 | 0 |
Commercial Credit Exposure [Member] | Agricultural [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 34,360 | 65,162 |
Commercial Credit Exposure [Member] | Agricultural [Member] | Pass [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 0 | 0 |
Commercial Credit Exposure [Member] | Agricultural [Member] | Pass [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 31,793 | 60,043 |
Commercial Credit Exposure [Member] | Agricultural [Member] | Special Mention [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 0 | 0 |
Commercial Credit Exposure [Member] | Agricultural [Member] | Special Mention [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 291 | 381 |
Commercial Credit Exposure [Member] | Agricultural [Member] | Substandard [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 0 | 0 |
Commercial Credit Exposure [Member] | Agricultural [Member] | Substandard [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 2,264 | 4,726 |
Commercial Credit Exposure [Member] | Agricultural [Member] | Doubtful [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 12 | 12 |
Commercial Credit Exposure [Member] | Agricultural Real Estate [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 26,323 | 36,652 |
Commercial Credit Exposure [Member] | Agricultural Real Estate [Member] | Pass [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 24,529 | 33,136 |
Commercial Credit Exposure [Member] | Agricultural Real Estate [Member] | Special Mention [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 42 | 43 |
Commercial Credit Exposure [Member] | Agricultural Real Estate [Member] | Substandard [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 1,752 | 3,473 |
Commercial Credit Exposure [Member] | Agricultural Real Estate [Member] | Doubtful [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 0 | 0 |
Consumer Credit Exposure [Member] | Consumer Loans [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 163,019 | 219,587 |
Consumer Credit Exposure [Member] | Consumer Loans [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 1,866,027 | 1,752,950 |
Consumer Credit Exposure [Member] | Consumer Loans [Member] | Nonperforming [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 913 | 792 |
Consumer Credit Exposure [Member] | Consumer Loans [Member] | Nonperforming [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 10,985 | 10,222 |
Consumer Credit Exposure [Member] | Consumer Loans [Member] | Performing [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 162,106 | 218,795 |
Consumer Credit Exposure [Member] | Consumer Loans [Member] | Performing [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 1,855,042 | 1,742,728 |
Consumer Credit Exposure [Member] | Indirect [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 77,808 | 125,086 |
Consumer Credit Exposure [Member] | Indirect [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 1,308,603 | 1,161,844 |
Consumer Credit Exposure [Member] | Indirect [Member] | Nonperforming [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 207 | 164 |
Consumer Credit Exposure [Member] | Indirect [Member] | Nonperforming [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 3,391 | 3,044 |
Consumer Credit Exposure [Member] | Indirect [Member] | Performing [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 77,601 | 124,922 |
Consumer Credit Exposure [Member] | Indirect [Member] | Performing [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 1,305,212 | 1,158,800 |
Consumer Credit Exposure [Member] | Home Equity Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 79,536 | 87,076 |
Consumer Credit Exposure [Member] | Home Equity Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 501,591 | 532,823 |
Consumer Credit Exposure [Member] | Home Equity Member] | Nonperforming [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 663 | 570 |
Consumer Credit Exposure [Member] | Home Equity Member] | Nonperforming [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 7,434 | 7,046 |
Consumer Credit Exposure [Member] | Home Equity Member] | Performing [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 78,873 | 86,506 |
Consumer Credit Exposure [Member] | Home Equity Member] | Performing [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 494,157 | 525,777 |
Consumer Credit Exposure [Member] | Direct [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 5,675 | 7,425 |
Consumer Credit Exposure [Member] | Direct [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 55,833 | 58,283 |
Consumer Credit Exposure [Member] | Direct [Member] | Nonperforming [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 43 | 58 |
Consumer Credit Exposure [Member] | Direct [Member] | Nonperforming [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 160 | 132 |
Consumer Credit Exposure [Member] | Direct [Member] | Performing [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 5,632 | 7,367 |
Consumer Credit Exposure [Member] | Direct [Member] | Performing [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 55,673 | 58,151 |
Residential Mortgage Credit Exposure [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 277,759 | 308,416 |
Residential Mortgage Credit Exposure [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 822,380 | 733,221 |
Residential Mortgage Credit Exposure [Member] | Nonperforming [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 3,800 | 3,872 |
Residential Mortgage Credit Exposure [Member] | Nonperforming [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 9,792 | 7,913 |
Residential Mortgage Credit Exposure [Member] | Performing [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 273,959 | 304,544 |
Residential Mortgage Credit Exposure [Member] | Performing [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 812,588 | 725,308 |
Residential Mortgage Credit Exposure [Member] | Residential Mortgage [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 277,759 | 308,416 |
Residential Mortgage Credit Exposure [Member] | Residential Mortgage [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 822,380 | 733,221 |
Residential Mortgage Credit Exposure [Member] | Residential Mortgage [Member] | Nonperforming [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 3,800 | 3,872 |
Residential Mortgage Credit Exposure [Member] | Residential Mortgage [Member] | Nonperforming [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 9,792 | 7,913 |
Residential Mortgage Credit Exposure [Member] | Residential Mortgage [Member] | Performing [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 273,959 | 304,544 |
Residential Mortgage Credit Exposure [Member] | Residential Mortgage [Member] | Performing [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 812,588 | 725,308 |
Business Banking Credit Exposure [Member] | Commercial Loans [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 61,167 | 70,149 |
Business Banking Credit Exposure [Member] | Commercial Loans [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 396,893 | 337,679 |
Business Banking Credit Exposure [Member] | Commercial Loans [Member] | Non-classified [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 56,370 | 65,437 |
Business Banking Credit Exposure [Member] | Commercial Loans [Member] | Non-classified [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 377,043 | 319,578 |
Business Banking Credit Exposure [Member] | Commercial Loans [Member] | Classified [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 4,797 | 4,712 |
Business Banking Credit Exposure [Member] | Commercial Loans [Member] | Classified [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 19,850 | 18,101 |
Business Banking Credit Exposure [Member] | Business Banking [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 61,167 | 70,149 |
Business Banking Credit Exposure [Member] | Business Banking [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 396,893 | 337,679 |
Business Banking Credit Exposure [Member] | Business Banking [Member] | Non-classified [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 56,370 | 65,437 |
Business Banking Credit Exposure [Member] | Business Banking [Member] | Non-classified [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 377,043 | 319,578 |
Business Banking Credit Exposure [Member] | Business Banking [Member] | Classified [Member] | Acquired Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | 4,797 | 4,712 |
Business Banking Credit Exposure [Member] | Business Banking [Member] | Classified [Member] | Originated Loans [Member] | ' | ' |
Financing Receivable, Recorded Investment [Line Items] | ' | ' |
Financing Receivable | $19,850 | $18,101 |
Allowance_for_Loan_Losses_and_8
Allowance for Loan Losses and Credit Quality of Loans, Troubled Debt Restructurings (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Contract | Contract | Contract | Contract | |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Period of sustained repayment performance for nonperforming TDRs to be returned to performing status | ' | ' | '6 months | ' |
Home Equity [Member] | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of contracts | 1 | 9 | 7 | 20 |
Pre-modification outstanding recorded investment | $25,000 | $400,000 | $300,000 | $1,000,000 |
Direct Consumer [Member] | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of contracts | 7 | ' | 40 | ' |
Pre-modification outstanding recorded investment | 200,000 | ' | 2,700,000 | ' |
Indirect Consumer [Member] | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of contracts | ' | ' | 2 | ' |
Pre-modification outstanding recorded investment | ' | ' | 100,000 | ' |
Residential Real Estate Mortgages [Member] | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of contracts | 3 | 5 | 19 | 6 |
Pre-modification outstanding recorded investment | 200,000 | 300,000 | 2,200,000 | 500,000 |
Commercial Real Estate Other Receivable [Member] | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of contracts | ' | 0 | ' | 0 |
Pre-modification outstanding recorded investment | ' | 0 | ' | 0 |
Commercial Segment [Member] | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of contracts | 0 | 3 | 2 | 4 |
Pre-modification outstanding recorded investment | 0 | 6,100,000 | 600,000 | 7,000,000 |
Subsequent Default [Member] | Home Equity [Member] | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of contracts | 1 | 1 | 7 | 1 |
Pre-modification outstanding recorded investment | 25,000 | 100,000 | 500,000 | 25,000 |
Subsequent Default [Member] | Direct Consumer [Member] | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of contracts | ' | ' | ' | 3 |
Pre-modification outstanding recorded investment | ' | ' | ' | 100,000 |
Subsequent Default [Member] | Indirect Consumer [Member] | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of contracts | ' | ' | ' | 2 |
Pre-modification outstanding recorded investment | ' | ' | ' | 0.1 |
Subsequent Default [Member] | Residential Real Estate Mortgages [Member] | ' | ' | ' | ' |
Financing Receivable, Modifications [Line Items] | ' | ' | ' | ' |
Number of contracts | 1 | ' | ' | 3 |
Pre-modification outstanding recorded investment | $48,000 | ' | ' | $200,000 |
LongTerm_Debt_Details
Long-Term Debt (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Jun. 30, 2014 | Sep. 30, 2014 | Sep. 30, 2013 | |
Long-Term Debt [Abstract] | ' | ' | ' | ' |
Long-term borrowings repaid | ' | $165,000,000 | ' | ' |
Prepayment penalties incurred | ' | 17,900,000 | ' | ' |
Prepayment penalties recognized as expense | ' | 4,554,000 | 17,903,000 | 0 |
Prepayment penalties recognized as expense in third quarter | $13,349,000 | ' | ' | ' |
Defined_Benefit_Postretirement3
Defined Benefit Postretirement Plans (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Pension Benefits [Member] | ' | ' | ' | ' |
Components of net periodic benefit cost [Abstract] | ' | ' | ' | ' |
Service cost | $587 | $604 | $1,761 | $1,813 |
Interest cost | 1,040 | 830 | 3,120 | 2,489 |
Expected return on plan assets | -2,175 | -1,929 | -6,525 | -5,786 |
Net amortization | 25 | 711 | 75 | 2,025 |
Total cost (benefit) | -523 | 216 | -1,569 | 541 |
Other Benefits [Member] | ' | ' | ' | ' |
Components of net periodic benefit cost [Abstract] | ' | ' | ' | ' |
Service cost | 4 | 6 | 12 | 18 |
Interest cost | 90 | 75 | 270 | 224 |
Expected return on plan assets | 0 | 0 | 0 | 0 |
Net amortization | -6 | -2 | -18 | 219 |
Total cost (benefit) | $88 | $79 | $264 | $461 |
Earnings_Per_Share_Details
Earnings Per Share (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, except Share data, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Basic EPS [Abstract] | ' | ' | ' | ' |
Weighted average common shares outstanding (in shares) | 43,882,000 | 43,711,000 | 43,847,000 | 41,375,000 |
Net income available to common shareholders | $10,912 | $19,257 | $56,561 | $43,822 |
Basic EPS (in dollars per share) | $0.25 | $0.44 | $1.29 | $1.06 |
Diluted EPS [Abstract] | ' | ' | ' | ' |
Weighted average common shares outstanding (in shares) | 43,882,000 | 43,711,000 | 43,847,000 | 41,375,000 |
Dilutive effect of common stock options and restricted stock (in shares) | 523,000 | 424,000 | 507,000 | 394,000 |
Weighted average common shares and common share equivalents (in shares) | 44,405,000 | 44,135,000 | 44,354,000 | 41,769,000 |
Net income available to common shareholders | $10,912 | $19,257 | $56,561 | $43,822 |
Diluted EPS (in dollars per share) | $0.25 | $0.44 | $1.28 | $1.05 |
Stock Options [Member] | ' | ' | ' | ' |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ' | ' | ' | ' |
Stock options excluded from calculation of diluted EPS (in shares) | 501,843 | 972,403 | 502,836 | 1,157,135 |
Reclassification_Adjustments_O2
Reclassification Adjustments Out of Other Comprehensive Income (Loss) (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
In Thousands, unless otherwise specified | Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' |
Net securities gains | $38 | $329 | $59 | $1,413 |
Interest income | 63,763 | 62,226 | 187,854 | 176,021 |
Income tax expense | 5,576 | 8,632 | 28,307 | 19,413 |
Net of tax | 10,912 | 19,257 | 56,561 | 43,822 |
Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' |
Net of tax | -71 | 229 | -60 | 506 |
Accumulated Net Unrealized Investment Gain (Loss) [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' |
Net securities gains | -38 | -329 | -58 | -1,413 |
Interest income | -99 | 0 | -99 | 0 |
Income tax expense | 55 | 132 | 63 | 565 |
Net of tax | -82 | -197 | -94 | -848 |
Accumulated Defined Benefit Plans Adjustment [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' |
Income tax expense | 7 | 283 | 22 | 890 |
Net of tax | 11 | 426 | 34 | 1,354 |
Amortization of Net Gains [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' |
Interest income | 74 | 765 | 222 | 2,411 |
Amortization of Prior Service Costs [Member] | Reclassification out of Accumulated Other Comprehensive Income [Member] | ' | ' | ' | ' |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ' | ' | ' | ' |
Interest income | ($56) | ($56) | ($166) | ($167) |
Fair_Values_Measurements_and_F3
Fair Values Measurements and Fair Value of Financial Instruments (Details) (USD $) | Sep. 30, 2014 | Dec. 31, 2013 |
Securities Available for Sale [Abstract] | ' | ' |
Total Securities Available for Sale | $1,044,502,000 | $1,364,881,000 |
Trading Securities | 7,622,000 | 5,779,000 |
Liabilities [Abstract] | ' | ' |
Collateral dependent impaired financing receivable with specific reserves | 8,800,000 | ' |
Allowance for loan and lease losses collateral dependent impaired loans with specific reserves | 3,600,000 | ' |
Liquidation expense ratio on impaired collateral minimum (in hundredths) | 10.00% | ' |
Liquidation expense ratio on impaired collateral maximum (in hundredths) | 35.00% | ' |
Financial assets [Abstract] | ' | ' |
Securities held to maturity | 454,787,000 | 113,276,000 |
Financial liabilities [Abstract] | ' | ' |
Time deposits | 1,076,650,000 | 1,021,142,000 |
Long-term debt | 131,056,000 | 308,823,000 |
Junior subordinated debt | 101,196,000 | 101,196,000 |
Significant Other Observable Inputs (Level 2) [Member] | Carrying Amount [Member] | ' | ' |
Financial assets [Abstract] | ' | ' |
Securities held to maturity | 459,620,000 | 117,283,000 |
Financial liabilities [Abstract] | ' | ' |
Time deposits | 1,076,650,000 | 1,021,142,000 |
Long-term debt | 131,056,000 | 308,823,000 |
Junior subordinated debt | 101,196,000 | 101,196,000 |
Significant Other Observable Inputs (Level 2) [Member] | Estimated Fair Value [Member] | ' | ' |
Financial assets [Abstract] | ' | ' |
Securities held to maturity | 454,787,000 | 113,276,000 |
Financial liabilities [Abstract] | ' | ' |
Time deposits | 1,071,564,000 | 1,023,982,000 |
Long-term debt | 132,341,000 | 325,195,000 |
Junior subordinated debt | 106,054,000 | 105,121,000 |
Significant Unobservable Inputs (Level 3) [Member] | Carrying Amount [Member] | ' | ' |
Financial assets [Abstract] | ' | ' |
Net Loans | 5,517,757,000 | 5,337,361,000 |
Significant Unobservable Inputs (Level 3) [Member] | Estimated Fair Value [Member] | ' | ' |
Financial assets [Abstract] | ' | ' |
Net Loans | 5,561,963,000 | 5,386,520,000 |
Recurring Basis [Member] | ' | ' |
Securities Available for Sale [Abstract] | ' | ' |
U.S. Treasury | 23,213,000 | 43,616,000 |
Federal Agency | 333,317,000 | 278,915,000 |
State & municipal | 41,521,000 | 113,665,000 |
Mortgage-backed | 374,059,000 | 364,164,000 |
Collateralized mortgage obligations | 257,264,000 | 549,528,000 |
Other securities | 15,128,000 | 14,993,000 |
Total Securities Available for Sale | 1,044,502,000 | 1,364,881,000 |
Trading Securities | 7,622,000 | 5,779,000 |
Interest Rate Swaps | 2,520,000 | 281,000 |
Total | 1,054,644,000 | 1,370,941,000 |
Liabilities [Abstract] | ' | ' |
Interest Rate Swaps | 2,520,000 | 281,000 |
Total | 2,520,000 | 281,000 |
Recurring Basis [Member] | Quoted Prices in Active Market for Identical Assets (Level I) [Member] | ' | ' |
Securities Available for Sale [Abstract] | ' | ' |
U.S. Treasury | 23,213,000 | 43,616,000 |
Federal Agency | 0 | 0 |
State & municipal | 0 | 0 |
Mortgage-backed | 0 | 0 |
Collateralized mortgage obligations | 0 | 0 |
Other securities | 7,079,000 | 6,796,000 |
Total Securities Available for Sale | 30,292,000 | 50,412,000 |
Trading Securities | 7,622,000 | 5,779,000 |
Interest Rate Swaps | 0 | 0 |
Total | 37,914,000 | 56,191,000 |
Liabilities [Abstract] | ' | ' |
Interest Rate Swaps | 0 | 0 |
Total | 0 | 0 |
Recurring Basis [Member] | Significant Other Observable Inputs (Level 2) [Member] | ' | ' |
Securities Available for Sale [Abstract] | ' | ' |
U.S. Treasury | 0 | 0 |
Federal Agency | 333,317,000 | 278,915,000 |
State & municipal | 41,521,000 | 113,665,000 |
Mortgage-backed | 374,059,000 | 364,164,000 |
Collateralized mortgage obligations | 257,264,000 | 549,528,000 |
Other securities | 8,049,000 | 8,197,000 |
Total Securities Available for Sale | 1,014,210,000 | 1,314,469,000 |
Trading Securities | 0 | 0 |
Interest Rate Swaps | 2,520,000 | 281,000 |
Total | 1,016,730,000 | 1,314,750,000 |
Liabilities [Abstract] | ' | ' |
Interest Rate Swaps | 2,520,000 | 281,000 |
Total | 2,520,000 | 281,000 |
Recurring Basis [Member] | Significant Unobservable Inputs (Level 3) [Member] | ' | ' |
Securities Available for Sale [Abstract] | ' | ' |
U.S. Treasury | 0 | 0 |
Federal Agency | 0 | 0 |
State & municipal | 0 | 0 |
Mortgage-backed | 0 | 0 |
Collateralized mortgage obligations | 0 | 0 |
Other securities | 0 | 0 |
Total Securities Available for Sale | 0 | 0 |
Trading Securities | 0 | 0 |
Interest Rate Swaps | 0 | 0 |
Total | 0 | 0 |
Liabilities [Abstract] | ' | ' |
Interest Rate Swaps | 0 | 0 |
Total | $0 | $0 |
Commitments_and_Contingencies_
Commitments and Contingencies (Details) (USD $) | 9 Months Ended | |
In Millions, unless otherwise specified | Sep. 30, 2014 | Dec. 31, 2013 |
Commitment to Extend Credits and Unused Lines of Credit [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Commitments - maximum potential obligation | $1,200 | $1,100 |
Standby Letters of Credit [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Commitments - maximum potential obligation | 37.6 | 36.8 |
Obligation instrument term | '5 years | ' |
Commercial Letters of Credit [Member] | ' | ' |
Guarantor Obligations [Line Items] | ' | ' |
Commitments - maximum potential obligation | $38.90 | $41.30 |
Sale_of_Equity_Investment_Deta
Sale of Equity Investment (Details) (USD $) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2014 | Sep. 30, 2013 | Sep. 30, 2014 | Sep. 30, 2013 | |
Sale of Equity Investment [Abstract] | ' | ' | ' | ' |
Date of disposal | ' | ' | 17-Apr-14 | ' |
Percentage of ownership interest sold (in hundredths) | 20.00% | ' | 20.00% | ' |
Book value | $3,000,000 | ' | $3,000,000 | ' |
Total sale price of investment | 140,000,000 | ' | 140,000,000 | ' |
Gain on sale of equity investments | 0 | 0 | 19,401,000 | 0 |
Proceeds of sale held in escrow | $5,200,000 | ' | $5,200,000 | ' |