Document and Entity Information
Document and Entity Information - shares | 9 Months Ended | |
Sep. 30, 2023 | Oct. 30, 2023 | |
Entity Listings [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Sep. 30, 2023 | |
Entity File Number | 001-34096 | |
Entity Registrant Name | DIME COMMUNITY BANCSHARES, INC | |
Entity Incorporation, State or Country Code | NY | |
Entity Tax Identification Number | 11-2934195 | |
Entity Address, Address Line One | 898 Veterans Memorial Highway | |
Entity Address, City or Town | Suite 560, Hauppauge | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 11788 | |
City Area Code | 631 | |
Local Phone Number | 537-1000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 38,820,886 | |
Entity Central Index Key | 0000846617 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2023 | |
Document Fiscal Period Focus | Q3 | |
Amendment Flag | false | |
Common Stock | ||
Entity Listings [Line Items] | ||
Title of 12(b) Security | Common Stock, $0.01 Par Value | |
Trading Symbol | DCOM | |
Security Exchange Name | NASDAQ | |
Preferred Stock, Series A | ||
Entity Listings [Line Items] | ||
Title of 12(b) Security | Preferred Stock, Series A, $0.01 Par Value | |
Trading Symbol | DCOMP | |
Security Exchange Name | NASDAQ |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Assets: | ||
Cash and due from banks | $ 358,824 | $ 169,297 |
Securities available-for-sale, at fair value | 869,879 | 950,587 |
Securities held-to-maturity | 600,291 | 585,798 |
Loans held for sale | 3,924 | |
Loans held for investment, net of fees and costs | 10,850,611 | 10,566,831 |
Allowance for credit losses | (72,563) | (83,507) |
Total loans held for investment, net | 10,778,048 | 10,483,324 |
Premises and fixed assets, net | 45,064 | 46,749 |
Premises held for sale | 905 | |
Restricted stock | 90,085 | 88,745 |
Bank Owned Life Insurance ("BOLI") | 347,400 | 333,292 |
Goodwill | 155,797 | 155,797 |
Other intangible assets | 5,409 | 6,484 |
Operating lease assets | 55,600 | 57,857 |
Derivative assets | 177,369 | 154,485 |
Accrued interest receivable | 53,608 | 48,561 |
Other assets | 109,202 | 108,945 |
Total assets | 13,651,405 | 13,189,921 |
Due to depositors: | ||
Interest-bearing deposits | 7,593,622 | 6,734,997 |
Non-interest-bearing deposits | 2,935,156 | 3,449,763 |
Deposits (excluding mortgage escrow deposits) | 10,528,778 | 10,184,760 |
Non-interest-bearing mortgage escrow deposits | 107,545 | 69,455 |
Interest-bearing mortgage escrow deposits | 223 | 192 |
Total mortgage escrow deposits | 107,768 | 69,647 |
Federal Home Loan Bank of New York ("FHLBNY") advances | 1,123,000 | 1,131,000 |
Other short-term borrowings | 1,360 | |
Subordinated debt, net | 200,218 | 200,283 |
Derivative cash collateral | 185,620 | 153,040 |
Operating lease liabilities | 58,281 | 60,340 |
Derivative liabilities | 160,712 | 137,335 |
Other liabilities | 82,684 | 82,573 |
Total liabilities | 12,447,061 | 12,020,338 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock, Series A ($0.01 par, $25.00 liquidation value, 10,000,000 shares authorized and 5,299,200 shares issued and outstanding at September 30, 2023 and December 31, 2022) | 116,569 | 116,569 |
Common stock ($0.01 par, 80,000,000 shares authorized, 41,632,327 and 41,621,772 shares issued at September 30, 2023 and December 31, 2022, and 38,810,546 shares and 38,573,000 shares outstanding at September 30, 2023 and December 31, 2022, respectively) | 416 | 416 |
Additional paid-in capital | 494,470 | 495,410 |
Retained earnings | 808,235 | 762,762 |
Accumulated other comprehensive loss, net of deferred taxes | (106,913) | (94,379) |
Unearned equity awards | (10,170) | (8,078) |
Treasury stock, at cost (2,821,781 shares and 3,048,772 shares at September 30, 2023 and December 31, 2022, respectively) | (98,263) | (103,117) |
Total stockholders' equity | 1,204,344 | 1,169,583 |
Total liabilities and stockholders' equity | $ 13,651,405 | $ 13,189,921 |
CONSOLIDATED STATEMENTS OF FI_2
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) (Parenthetical) - $ / shares | Sep. 30, 2023 | Dec. 31, 2022 |
Stockholders' equity: | ||
Preferred stock, Series A, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, Series A, liquidation value (in dollars per share) | $ 25 | $ 25 |
Preferred stock, Series A, shares authorized (in shares) | 10,000,000 | 10,000,000 |
Preferred stock, Series A, shares issued (in shares) | 5,299,200 | 5,299,200 |
Preferred stock, Series A, shares outstanding (in shares) | 5,299,200 | 5,299,200 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 80,000,000 | 80,000,000 |
Common stock, shares issued (in shares) | 41,632,327 | 41,621,772 |
Common stock, shares outstanding (in shares) | 38,810,546 | 38,573,000 |
Treasury stock (in shares) | 2,821,781 | 3,048,772 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Interest income: | ||||
Loans | $ 142,995 | $ 106,306 | $ 409,744 | $ 285,828 |
Securities | 7,916 | 7,374 | 24,261 | 21,572 |
Other short-term investments | 6,930 | 847 | 16,599 | 1,956 |
Total interest income | 157,841 | 114,527 | 450,604 | 309,356 |
Interest expense: | ||||
Deposits and escrow | 62,507 | 10,154 | 152,395 | 16,416 |
Borrowed funds | 16,925 | 3,483 | 50,855 | 9,334 |
Derivative cash collateral | 1,930 | 452 | 4,904 | 547 |
Total interest expense | 81,362 | 14,089 | 208,154 | 26,297 |
Net interest income | 76,479 | 100,438 | 242,450 | 283,059 |
Provision (recovery) for credit losses | 1,806 | 6,587 | (950) | 5,039 |
Net interest income after provision (recovery) for credit losses | 74,673 | 93,851 | 243,400 | 278,020 |
Non-interest income: | ||||
Service charges and other fees | 3,963 | 3,866 | 12,633 | 12,261 |
Title fees | 291 | 474 | 829 | 1,578 |
Loan level derivative income | 783 | 549 | 6,353 | 2,240 |
BOLI income | 2,317 | 2,177 | 7,332 | 8,159 |
Gain on sale of Small Business Administration ("SBA") loans | 335 | 211 | 1,061 | 1,176 |
Gain on sale of residential loans | 21 | 54 | 103 | 393 |
Loss on equity securities | (299) | (1,079) | ||
Net loss on sale of securities and other assets | (22) | 1,397 | (1,469) | 1,397 |
Other | 539 | 634 | 1,571 | 1,485 |
Total non-interest income | 7,928 | 9,362 | 27,334 | 28,689 |
Non-interest expense: | ||||
Salaries and employee benefits | 30,520 | 29,188 | 87,054 | 88,476 |
Severance | 8,562 | 9,068 | 2,193 | |
Occupancy and equipment | 7,277 | 7,884 | 21,794 | 22,864 |
Data processing costs | 4,309 | 3,434 | 12,744 | 11,152 |
Marketing | 2,079 | 1,531 | 5,016 | 4,341 |
Professional services | 1,277 | 2,116 | 4,876 | 6,238 |
Federal deposit insurance premiums | 1,866 | 800 | 5,613 | 3,100 |
Loss from extinguishment of debt | 740 | |||
Amortization of other intangible assets | 349 | 431 | 1,075 | 1,447 |
Other | 3,284 | 2,918 | 11,944 | 9,477 |
Total non-interest expense | 59,523 | 48,302 | 159,184 | 150,028 |
Income before income taxes | 23,078 | 54,911 | 111,550 | 156,681 |
Income tax expense | 8,093 | 15,430 | 31,764 | 44,184 |
Net income | 14,985 | 39,481 | 79,786 | 112,497 |
Preferred stock dividends | 1,822 | 1,822 | 5,465 | 5,465 |
Net income available to common stockholders | $ 13,163 | $ 37,659 | $ 74,321 | $ 107,032 |
Earnings per common share: | ||||
Basic (in dollars per share) | $ 0.34 | $ 0.98 | $ 1.92 | $ 2.74 |
Diluted (in dollars per share) | $ 0.34 | $ 0.98 | $ 1.92 | $ 2.74 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) | ||||
Net income | $ 14,985 | $ 39,481 | $ 79,786 | $ 112,497 |
Other comprehensive income (loss): | ||||
Change in net unrealized loss during the period | (4,374) | (39,692) | (17,967) | (142,980) |
Reclassification adjustment for net losses included in net loss on sale of securities and other assets | 1,447 | |||
Accretion of net unrealized loss on securities transferred to held-to-maturity | 788 | 1,112 | 2,341 | 2,111 |
Change in pension and other postretirement obligations: | ||||
Reclassification adjustment for expense included in other expense | (370) | (935) | (1,110) | (2,805) |
Change in the net actuarial gain | 518 | 997 | 1,553 | 2,992 |
Change in unrealized gain (loss) on derivatives: | ||||
Change in net unrealized (loss) gain during the period | (246) | 5,387 | (771) | 14,548 |
Reclassification adjustment for expense included in interest expense | 293 | (546) | 279 | (569) |
Other comprehensive loss before income taxes | (3,391) | (33,677) | (14,228) | (126,703) |
Deferred tax benefit | (863) | (10,591) | (1,694) | (39,848) |
Total other comprehensive loss, net of tax | (2,528) | (23,086) | (12,534) | (86,855) |
Total comprehensive income | $ 12,457 | $ 16,395 | $ 67,252 | $ 25,642 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Thousands | Preferred Stock | Common Stock | Additional Paid-in Capital | Retained Earnings | Accumulated Other Comprehensive Loss, Net of Deferred Taxes | Unearned Equity Awards | Treasury Stock, at Cost | Total |
Balance at Dec. 31, 2021 | $ 116,569 | $ 416 | $ 494,125 | $ 654,726 | $ (6,181) | $ (7,842) | $ 1,192,620 | |
Balance (in shares) at Dec. 31, 2021 | 39,877,833 | |||||||
Treasury Stock, at cost, beginning balance at Dec. 31, 2021 | $ (59,193) | |||||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 34,531 | 34,531 | ||||||
Other comprehensive loss, net of tax | (43,199) | (43,199) | ||||||
Release of shares, net of forfeitures | 844 | (3,939) | 3,284 | 189 | ||||
Release of shares, net of forfeitures (in shares) | 127,812 | |||||||
Stock-based compensation | 1,219 | 1,219 | ||||||
Shares received related to tax withholding | (1,414) | (1,414) | ||||||
Shares received related to tax withholding (in shares) | (40,731) | |||||||
Cash dividends declared and paid to preferred stockholders | (1,821) | (1,821) | ||||||
Cash dividends declared and paid to common stockholders | (9,446) | (9,446) | ||||||
Purchase of treasury stock | (17,392) | (17,392) | ||||||
Purchase of treasury stock (in shares) | (505,005) | |||||||
Balance at Mar. 31, 2022 | 116,569 | $ 416 | 494,969 | 677,990 | (49,380) | (10,562) | 1,155,287 | |
Balance (in shares) at Mar. 31, 2022 | 39,459,909 | |||||||
Treasury Stock, at cost, ending balance at Mar. 31, 2022 | (74,715) | |||||||
Balance at Dec. 31, 2021 | 116,569 | $ 416 | 494,125 | 654,726 | (6,181) | (7,842) | 1,192,620 | |
Balance (in shares) at Dec. 31, 2021 | 39,877,833 | |||||||
Treasury Stock, at cost, beginning balance at Dec. 31, 2021 | (59,193) | |||||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 112,497 | |||||||
Other comprehensive loss, net of tax | (86,855) | (86,855) | ||||||
Balance at Sep. 30, 2022 | 116,569 | $ 416 | 495,232 | 733,783 | (93,036) | (9,177) | 1,140,791 | |
Balance (in shares) at Sep. 30, 2022 | 38,571,572 | |||||||
Treasury Stock, at cost, ending balance at Sep. 30, 2022 | (102,996) | |||||||
Balance at Mar. 31, 2022 | 116,569 | $ 416 | 494,969 | 677,990 | (49,380) | (10,562) | 1,155,287 | |
Balance (in shares) at Mar. 31, 2022 | 39,459,909 | |||||||
Treasury Stock, at cost, beginning balance at Mar. 31, 2022 | (74,715) | |||||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 38,485 | 38,485 | ||||||
Other comprehensive loss, net of tax | (20,570) | (20,570) | ||||||
Release of shares, net of forfeitures | 297 | (644) | 726 | 379 | ||||
Release of shares, net of forfeitures (in shares) | 27,125 | |||||||
Stock-based compensation | 946 | 946 | ||||||
Shares received related to tax withholding | (1) | (1) | ||||||
Shares received related to tax withholding (in shares) | (37) | |||||||
Cash dividends declared and paid to preferred stockholders | (1,822) | (1,822) | ||||||
Cash dividends declared and paid to common stockholders | (9,282) | (9,282) | ||||||
Purchase of treasury stock | (22,900) | (22,900) | ||||||
Purchase of treasury stock (in shares) | (717,644) | |||||||
Balance at Jun. 30, 2022 | 116,569 | $ 416 | 495,266 | 705,371 | (69,950) | (10,260) | 1,140,522 | |
Balance (in shares) at Jun. 30, 2022 | 38,769,353 | |||||||
Treasury Stock, at cost, ending balance at Jun. 30, 2022 | (96,890) | |||||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 39,481 | 39,481 | ||||||
Other comprehensive loss, net of tax | (23,086) | (23,086) | ||||||
Release of shares, net of forfeitures | (33) | 20 | 241 | 228 | ||||
Release of shares, net of forfeitures (in shares) | 7,227 | |||||||
Stock-based compensation | 1,063 | 1,063 | ||||||
Shares received related to tax withholding | (1) | (141) | (142) | |||||
Shares received related to tax withholding (in shares) | (4,662) | |||||||
Cash dividends declared and paid to preferred stockholders | (1,822) | (1,822) | ||||||
Cash dividends declared and paid to common stockholders | (9,247) | (9,247) | ||||||
Purchase of treasury stock | (6,206) | (6,206) | ||||||
Purchase of treasury stock (in shares) | (200,346) | |||||||
Balance at Sep. 30, 2022 | 116,569 | $ 416 | 495,232 | 733,783 | (93,036) | (9,177) | 1,140,791 | |
Balance (in shares) at Sep. 30, 2022 | 38,571,572 | |||||||
Treasury Stock, at cost, ending balance at Sep. 30, 2022 | (102,996) | |||||||
Balance at Dec. 31, 2022 | 116,569 | $ 416 | 495,410 | 762,762 | (94,379) | (8,078) | $ 1,169,583 | |
Balance (in shares) at Dec. 31, 2022 | 38,573,000 | 38,573,000 | ||||||
Treasury Stock, at cost, beginning balance at Dec. 31, 2022 | (103,117) | $ (103,117) | ||||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 37,303 | 37,303 | ||||||
Other comprehensive loss, net of tax | (4,259) | (4,259) | ||||||
Release of shares, net of forfeitures | (1,608) | (6,692) | 8,507 | 207 | ||||
Release of shares, net of forfeitures (in shares) | 293,106 | |||||||
Stock-based compensation | 1,302 | 1,302 | ||||||
Shares received related to tax withholding | (1) | (1,112) | (1,113) | |||||
Shares received related to tax withholding (in shares) | (36,932) | |||||||
Cash dividends declared and paid to preferred stockholders | (1,821) | (1,821) | ||||||
Cash dividends declared and paid to common stockholders | (9,234) | (9,234) | ||||||
Purchase of treasury stock | (715) | (715) | ||||||
Purchase of treasury stock (in shares) | (24,813) | |||||||
Balance at Mar. 31, 2023 | 116,569 | $ 416 | 493,801 | 789,010 | (98,638) | (13,468) | 1,191,253 | |
Balance (in shares) at Mar. 31, 2023 | 38,804,361 | |||||||
Treasury Stock, at cost, ending balance at Mar. 31, 2023 | (96,437) | |||||||
Balance at Dec. 31, 2022 | 116,569 | $ 416 | 495,410 | 762,762 | (94,379) | (8,078) | $ 1,169,583 | |
Balance (in shares) at Dec. 31, 2022 | 38,573,000 | 38,573,000 | ||||||
Treasury Stock, at cost, beginning balance at Dec. 31, 2022 | (103,117) | $ (103,117) | ||||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 79,786 | |||||||
Other comprehensive loss, net of tax | (12,534) | (12,534) | ||||||
Balance at Sep. 30, 2023 | 116,569 | $ 416 | 494,470 | 808,235 | (106,913) | (10,170) | $ 1,204,344 | |
Balance (in shares) at Sep. 30, 2023 | 38,810,546 | 38,810,546 | ||||||
Treasury Stock, at cost, ending balance at Sep. 30, 2023 | (98,263) | $ (98,263) | ||||||
Balance at Mar. 31, 2023 | 116,569 | $ 416 | 493,801 | 789,010 | (98,638) | (13,468) | 1,191,253 | |
Balance (in shares) at Mar. 31, 2023 | 38,804,361 | |||||||
Treasury Stock, at cost, beginning balance at Mar. 31, 2023 | (96,437) | |||||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 27,498 | 27,498 | ||||||
Other comprehensive loss, net of tax | (5,747) | (5,747) | ||||||
Release of shares, net of forfeitures | 154 | 364 | (123) | 395 | ||||
Release of shares, net of forfeitures (in shares) | 13,262 | |||||||
Stock-based compensation | 1,358 | 1,358 | ||||||
Shares received related to tax withholding | (46) | (46) | ||||||
Shares received related to tax withholding (in shares) | (2,504) | |||||||
Cash dividends declared and paid to preferred stockholders | (1,822) | (1,822) | ||||||
Cash dividends declared and paid to common stockholders | (10,154) | (10,154) | ||||||
Purchase of treasury stock | (232) | (232) | ||||||
Purchase of treasury stock (in shares) | (12,000) | |||||||
Balance at Jun. 30, 2023 | 116,569 | $ 416 | 493,955 | 804,532 | (104,385) | (11,746) | 1,202,503 | |
Balance (in shares) at Jun. 30, 2023 | 38,803,119 | |||||||
Treasury Stock, at cost, ending balance at Jun. 30, 2023 | (96,838) | |||||||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 14,985 | 14,985 | ||||||
Other comprehensive loss, net of tax | (2,528) | (2,528) | ||||||
Release of shares, net of forfeitures | 515 | 1,038 | (1,332) | 221 | ||||
Release of shares, net of forfeitures (in shares) | 12,598 | |||||||
Stock-based compensation | 538 | 538 | ||||||
Shares received related to tax withholding | (93) | (93) | ||||||
Shares received related to tax withholding (in shares) | (5,171) | |||||||
Cash dividends declared and paid to preferred stockholders | (1,822) | (1,822) | ||||||
Cash dividends declared and paid to common stockholders | (9,460) | (9,460) | ||||||
Balance at Sep. 30, 2023 | $ 116,569 | $ 416 | $ 494,470 | $ 808,235 | $ (106,913) | $ (10,170) | $ 1,204,344 | |
Balance (in shares) at Sep. 30, 2023 | 38,810,546 | 38,810,546 | ||||||
Treasury Stock, at cost, ending balance at Sep. 30, 2023 | $ (98,263) | $ (98,263) |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2023 | Sep. 30, 2022 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net income | $ 79,786 | $ 112,497 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Net loss (gain) on sales of securities available-for-sale and other assets | 1,469 | (1,397) |
Loss on equity securities | 1,079 | |
Net gain on sale of loans held for sale | (1,164) | (1,569) |
Net depreciation, amortization and accretion | 4,560 | 6,426 |
Amortization of other intangible assets | 1,075 | 1,447 |
Loss on extinguishment of debt | 740 | |
Stock-based compensation | 3,198 | 3,228 |
(Recovery) provision for credit losses | (950) | 5,039 |
Originations of loans held for sale | (6,440) | (17,128) |
Proceeds from sale of loans originated for sale | 22,171 | 34,029 |
Increase in cash surrender value of BOLI | (6,687) | (6,003) |
Gain from death benefits from BOLI | (645) | (2,156) |
Decrease (Increase) in other assets | 3,679 | (27,052) |
Increase in other liabilities | 29,785 | 139,350 |
Net cash provided by operating activities | 130,916 | 247,451 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Proceeds from sales of securities available-for-sale | 77,804 | |
Purchases of securities available-for-sale | (80,625) | (29,742) |
Purchases of securities held-to-maturity | (28,328) | (63,210) |
Proceeds from calls and principal repayments of securities available-for-sale | 60,167 | 139,974 |
Proceeds from calls and principal repayments of securities held-to-maturity | 16,433 | 25,260 |
Purchase of BOLI | (8,000) | (30,000) |
Proceeds received from cash surrender value of BOLI | 1,224 | 2,843 |
Proceeds from the sale of portfolio loans transferred to held for sale | 4,192 | 13,201 |
Net increase in loans | (316,784) | (903,287) |
Purchases of fixed assets, net | (4,230) | (2,621) |
Proceeds from the sale of fixed assets and premises held for sale | 25 | |
Purchases of restricted stock, net | (1,340) | (27,924) |
Net cash used in investing activities | (279,462) | (875,506) |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Increase in deposits | 382,274 | 29,972 |
(Repayments) proceeds from FHLBNY advances, short-term, net | (170,000) | 395,000 |
Proceeds from FHLBNY advances, long-term | 162,000 | 200,000 |
(Repayments) proceeds of other short-term borrowings, net | (1,360) | 262 |
Proceeds from subordinated debentures issuance, net | 157,559 | |
Redemption of subordinated debentures | (155,000) | |
Release of stock for benefit plan awards | 823 | 796 |
Payments related to tax withholding for equity awards | (1,252) | (1,557) |
Purchase of treasury stock | (947) | (46,498) |
Cash dividends paid to preferred stockholders | (5,465) | (5,465) |
Cash dividends paid to common stockholders | (28,000) | (27,740) |
Net cash provided by financing activities | 338,073 | 547,329 |
Increase (decrease) in cash and cash equivalents | 189,527 | (80,726) |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 169,297 | 393,722 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 358,824 | 312,996 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||
Cash paid for income taxes | 31,270 | 35,127 |
Cash paid for interest | 193,529 | 22,619 |
Securities available-for-sale transferred to held-to-maturity | 372,154 | |
Loans transferred to held for sale | 22,500 | 27,426 |
Loans transferred to held for investment | 4,051 | |
Premises transferred to held for sale | 905 | |
Operating lease assets in exchange for operating lease liabilities | $ 6,333 | $ 2,274 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 9 Months Ended |
Sep. 30, 2023 | |
BASIS OF PRESENTATION | |
BASIS OF PRESENTATION | 1. Dime Community Bancshares, Inc. (the “ Holding Company”) is engaged in commercial banking and financial services through its wholly-owned subsidiary, Dime Community Bank (“the Bank”). The Bank was established in 1910 and is headquartered in Hauppauge, New York. The Holding Company was incorporated under the laws of the State of New York in 1988 to serve as the holding company for the Bank. The Holding Company functions primarily as the holder of all of the Bank’s common stock. Our bank operations include Dime Community Inc., a real estate investment trust subsidiary which was formerly known as Bridgehampton Community, Inc., as an operating subsidiary. Our bank operations also include Dime Abstract LLC (“Dime Abstract”), a wholly-owned subsidiary of the Bank, which is a broker of title insurance services. In September 2021, the Company dissolved two REITs, DSBW Preferred Funding Corporation and DSBW Residential Preferred Funding Corporation, which were wholly-owned subsidiaries of the Bank, and the preferred shares outstanding were redeemed by their shareholders. As of September 30, 2023, we operated 60 branch locations throughout Long Island and the New York City boroughs of Brooklyn, Queens, Manhattan, Bronx and Staten Island. The unaudited consolidated financial statements presented in this Quarterly Report on Form 10-Q include the collective results of the Holding Company and its wholly-owned subsidiary, the Bank, which are collectively herein referred to as “we”, “us”, “our” and the “Company.” The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. The unaudited consolidated financial statements included herein reflect all normal recurring adjustments that are, in the opinion of management, necessary for a fair presentation of the results for the interim periods presented. In preparing the interim financial statements, management has made estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during the reported periods. Such estimates are subject to change in the future as additional information becomes available or previously existing circumstances are modified. Actual future results could differ significantly from those estimates. The annualized results of operations for the three and nine months ended September 30, 2023 are not necessarily indicative of the results of operations that may be expected for the entire fiscal year. Certain information and note disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain reclassifications have been made to prior year amounts, and the related discussion and analysis, to conform to the current year presentation. These reclassifications did not have an impact on net income or total stockholders' equity. The unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022, which remain significantly unchanged and have been followed similarly as in prior periods. |
SUMMARY OF ACCOUNTING POLICIES
SUMMARY OF ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2023 | |
SUMMARY OF ACCOUNTING POLICIES | |
SUMMARY OF ACCOUNTING POLICIES | 2 . Summary of Significant Accounting Policies In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary for a fair presentation of the Company’s financial condition as of September 30, 2023 and December 31, 2022, the results of operations and statements of comprehensive income for the three and nine months ended September 30, 2023 and 2022, the changes in stockholders’ equity for the three and nine months ended September 30, 2023 and 2022, and cash flows for the nine months ended September 30, 2023 and 2022. Please see "Part I - Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations - Critical Accounting Policies" for a discussion of areas in the accompanying unaudited condensed consolidated financial statements utilizing significant estimates. Adoption of Recent Accounting Standards ASU 2022-01, Derivatives and Hedging (Topic 815): Fair Value Hedging-Portfolio Layer Method On March 28, 2022, the Financial Accounting Standards Board issued Accounting Standards Update (ASU) 2022-01, Derivatives and Hedging (Topic 815): Fair Value Hedging – Portfolio Layer Method. The purpose of this updated guidance is to further align risk management objectives with hedge accounting results on the application of the last-of-layer method, which was first introduced in ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities. ASU 2022-01 became effective for public business entities for fiscal years beginning after December 15, 2022, with early adoption in the interim period, permitted. For entities who have already adopted ASU 2017-12, immediate adoption is allowed. This ASU became effective for the Company on January 1, 2023, on a prospective basis; therefore, there was no impact to the consolidated financial statements. ASU 2022-02, Financial Instruments-Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures ASU 2022-02 eliminates troubled debt restructuring (“TDR”) recognition and measurement guidance and, instead, requires that an entity evaluate whether the modification represents a new loan or a continuation of an existing loan. ASU 2022-02 enhances existing disclosure requirements and introduces new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. For entities that have adopted the amendments of ASU 2016-13, the amendments in ASU 2022-02 are effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. This ASU became effective for the Company on January 1, 2023. The Company adopted ASU 2022-02 on its effective date using the modified retrospective method. The adoption of ASU 2022-02 did not have a material impact on the Company's consolidated financial statements. ASU 2020-04, Reference Rate Reform (Topic 848) ASU 2020-04 provides optional expedients and exceptions for applying GAAP to loan and lease agreements, derivative contracts, and other transactions affected by the anticipated transition away from LIBOR toward new interest rate benchmarks. ASU 2020-04 also provides numerous optional expedients for derivative accounting. ASU 2020-04 is effective March 12, 2020 through December 31, 2022. Once optional expedients are elected, the amendments in this ASU must be applied prospectively for all eligible contract modifications for that Topic or Industry Subtopic within the Codification. As of July 1, 2023, the Company has transitioned LIBOR based transactions to other indexes. The LIBOR transition is not anticipated to have a material effect on the Company's consolidated financial statements. ASU 2021-01, Reference Rate Reform (Topic 848): Scope ASU 2021-01 clarifies that all derivative instruments affected by changes to the interest rates used for discounting, margining, or contract price alignment due to reference rate reform are in the scope of ASC 848. Entities may apply certain optional expedients in ASC 848 to derivative instruments that do not reference LIBOR or another rate expected to be discontinued as a result of reference rate reform if there is a change to the interest rate used for discounting, margining or contract price alignment. ASU 2021-01 became effective upon issuance and generally can be applied through December 31, 2022. As of July 1, 2023, the Company has transitioned LIBOR based derivatives to other indexes such as fallback rate SOFR. The LIBOR transition is not anticipated to have a material effect on the Company's consolidated financial statements. |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 9 Months Ended |
Sep. 30, 2023 | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS). | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 3 . Activity in accumulated other comprehensive (loss) income, net of tax, was as follows: Total Accumulated Defined Other Benefit Comprehensive (In thousands) Securities Plans Derivatives Income (Loss) Balance as of January 1, 2023 $ (100,870) $ (5,266) $ 11,757 $ (94,379) Other comprehensive (loss) income before reclassifications (15,338) 952 (229) (14,615) Amounts reclassified from accumulated other comprehensive loss 2,666 (781) 196 2,081 Net other comprehensive (loss) income during the period (12,672) 171 (33) (12,534) Balance as of September 30, 2023 $ (113,542) $ (5,095) $ 11,724 $ (106,913) Balance as of January 1, 2022 $ (7,864) $ (1,306) $ 2,989 $ (6,181) Other comprehensive (loss) income before reclassifications (96,565) 2,051 9,972 (84,542) Amounts reclassified from accumulated other comprehensive loss — (1,923) (390) (2,313) Net other comprehensive (loss) income during the period (96,565) 128 9,582 (86,855) Balance as of September 30, 2022 $ (104,429) $ (1,178) $ 12,571 $ (93,036) The before and after tax amounts allocated to each component of other comprehensive (loss) income are presented in the table below for the periods indicated. Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Change in unrealized gain (loss) on securities: Change in net unrealized loss during the period $ (4,374) $ (39,692) $ (17,967) $ (142,980) Reclassification adjustment for net losses included in net loss on sale of securities and other assets — — 1,447 — Accretion of net unrealized loss on securities transferred to held-to-maturity 788 1,112 2,341 2,111 Net change (3,586) (38,580) (14,179) (140,869) Tax benefit (1,062) (12,133) (1,507) (44,304) Net change in unrealized loss on securities, net of reclassification adjustments and tax (2,524) (26,447) (12,672) (96,565) Change in pension and other postretirement obligations: Reclassification adjustment for expense included in other expense (370) (935) (1,110) (2,805) Change in the net actuarial gain 518 997 1,553 2,992 Net change 148 62 443 187 Tax expense 185 20 272 59 Net change in pension and other postretirement obligations (37) 42 171 128 Change in unrealized gain (loss) on derivatives: Change in net unrealized (loss) gain during the period (246) 5,387 (771) 14,548 Reclassification adjustment for expense included in interest expense 293 (546) 279 (569) Net change 47 4,841 (492) 13,979 Tax expense (benefit) 14 1,522 (459) 4,397 Net change in unrealized gain (loss) on derivatives, net of reclassification adjustments and tax 33 3,319 (33) 9,582 Other comprehensive loss, net of tax $ (2,528) $ (23,086) $ (12,534) $ (86,855) |
EARNINGS PER COMMON SHARE
EARNINGS PER COMMON SHARE | 9 Months Ended |
Sep. 30, 2023 | |
EARNINGS PER COMMON SHARE | |
EARNINGS PER COMMON SHARE | 4 . Basic earnings per share (“EPS”) is computed by dividing net income available to common stockholders by the weighted-average common shares outstanding during the reporting period. Diluted EPS is computed using the same method as basic EPS, but reflects the potential dilution that would occur if "in the money" stock options were exercised and converted into common stock. In determining the weighted-average shares outstanding for basic and diluted EPS, treasury shares are excluded. Vested restricted stock award (“RSA”) shares are included in the calculation of the weighted-average shares outstanding for basic and diluted EPS. Unvested RSA and performance-based share awards (“PSA”) shares not yet awarded are recognized as a special class of participating securities under ASC 260, and are included in the calculation of the weighted-average shares outstanding for basic and diluted EPS. The following is a reconciliation of the numerators and denominators of basic and diluted EPS for the periods presented: Three Months Ended Nine Months Ended September 30, September 30, (In thousands except share and per share amounts) 2023 2022 2023 2022 Net income available to common stockholders $ 13,163 $ 37,659 $ 74,321 $ 107,032 Less: Dividends paid and earnings allocated to participating securities (209) (438) (1,015) (1,244) Income attributable to common stock $ 12,954 $ 37,221 $ 73,306 $ 105,788 Weighted-average common shares outstanding, including participating securities 38,821,541 38,614,436 38,732,963 39,125,192 Less: weighted-average participating securities (617,580) (448,755) (555,259) (446,298) Weighted-average common shares outstanding 38,203,961 38,165,681 38,177,704 38,678,894 Basic EPS $ 0.34 $ 0.98 $ 1.92 $ 2.74 Income attributable to common stock $ 12,954 $ 37,221 $ 73,306 $ 105,788 Weighted-average common shares outstanding 38,203,961 38,165,681 38,177,704 38,678,894 Weighted-average common equivalent shares outstanding — — — — Weighted-average common and equivalent shares outstanding 38,203,961 38,165,681 38,177,704 38,678,894 Diluted EPS $ 0.34 $ 0.98 $ 1.92 $ 2.74 Common and equivalent shares resulting from the dilutive effect of "in-the-money" outstanding stock options are calculated based upon the excess of the average market value of the common stock over the exercise price of outstanding in-the-money stock options during the period. There were 92,137 weighted-average stock options outstanding for the three and nine months ended September 30, 2023, which were not considered in the calculation of diluted EPS since their exercise prices exceeded the average market price during the period. There were 102,581 and 114,961 weighted-average stock options outstanding for the three and nine months ended September 30, 2022, which were not considered in the calculation of diluted EPS since their exercise prices exceeded the average market price during the period. |
PREFERRED STOCK
PREFERRED STOCK | 9 Months Ended |
Sep. 30, 2023 | |
PREFERRED STOCK. | |
PREFERRED STOCK | 5 . On February 5, 2020, Legacy Dime completed an underwritten public offering of 2,999,200 shares, or $75.0 million in aggregate liquidation preference, of its 5.50% Fixed-Rate Non-Cumulative Perpetual Preferred Stock, Series A, par value $0.01 per share, with a liquidation preference of $25.00 per share (the “Legacy Dime Preferred Stock”). The net proceeds received from the issuance of preferred stock at the time of closing were $72.2 million. On June 10, 2020, Legacy Dime completed an underwritten public offering, a reopening of its February 5, 2020, original issuance, of 2,300,000 shares, or $57.5 million in aggregate liquidation preference, of the Legacy Dime Preferred Stock. The net proceeds received from the issuance of preferred stock at the time of closing were $44.3 million. At the Effective Time of the Merger, each outstanding share of the Legacy Dime Preferred Stock was converted into the right to receive one share of a newly created series of the Company’s preferred stock having the same powers, preferences and rights as the Legacy Dime Preferred Stock. The Company expects to pay dividends when, as, and if declared by its board of directors, at a fixed rate of 5.50% per annum, payable quarterly, in arrears, on February 15, May 15, August 15 and November 15 of each year. The preferred stock is perpetual and has no stated maturity. The Company may redeem the preferred stock at its option at a redemption price equal to $25.00 per share, plus any declared and unpaid dividends (without regard to any undeclared dividends), subject to regulatory approval, on or after June 15, 2025, or within 90 days following a regulatory capital treatment event, as described in the prospectus supplement and accompanying prospectus relating to the offering. |
SECURITIES
SECURITIES | 9 Months Ended |
Sep. 30, 2023 | |
SECURITIES | |
SECURITIES | 6 . The following tables summarize the major categories of securities as of the dates indicated: September 30, 2023 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Securities available-for-sale: Agency notes $ 10,000 $ — $ (857) $ 9,143 Treasury securities 246,135 — (16,262) 229,873 Corporate securities 169,549 — (28,462) 141,087 Pass-through mortgage-backed securities ("MBS") issued by government sponsored entities ("GSEs") 239,509 — (33,306) 206,203 Agency collateralized mortgage obligations ("CMOs") 311,632 21 (56,011) 255,642 State and municipal obligations 30,845 — (2,914) 27,931 Total securities available-for-sale $ 1,007,670 $ 21 $ (137,812) $ 869,879 September 30, 2023 Gross Gross Amortized Unrecognized Unrecognized Fair (In thousands) Cost Gains Losses Value Securities held-to-maturity: Agency notes $ 89,461 $ — $ (15,305) $ 74,156 Corporate securities 9,000 — (1,945) 7,055 Pass-through MBS issued by GSEs 283,258 — (53,777) 229,481 Agency CMOs 218,572 — (33,278) 185,294 Total securities held-to-maturity $ 600,291 $ — $ (104,305) $ 495,986 December 31, 2022 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Securities available-for-sale: Treasury securities $ 246,899 $ — $ (19,643) $ 227,256 Corporate securities 183,791 57 (17,075) 166,773 Pass-through MBS issued by GSEs 272,774 — (31,534) 241,240 Agency CMOs 331,394 2 (50,057) 281,339 State and municipal obligations 37,000 — (3,021) 33,979 Total securities available-for-sale $ 1,071,858 $ 59 $ (121,330) $ 950,587 December 31, 2022 Gross Gross Amortized Unrecognized Unrecognized Fair (In thousands) Cost Gains Losses Value Securities held-to-maturity: Agency notes $ 89,157 $ — $ (14,095) $ 75,062 Corporate securities 9,000 — (553) 8,447 Pass-through MBS issued by GSEs 278,281 — (40,960) 237,321 Agency CMOs 209,360 — (24,431) 184,929 Total securities held-to-maturity $ 585,798 $ — $ (80,039) $ 505,759 There were no transfers to or from securities held-to-maturity during the three or nine months ended September 30, 2023. During the nine months ended September 30, 2022, the Company transferred securities with an amortized cost of $400.0 million from available-for-sale to held-to-maturity. The transfers occurred at fair value totaling $372.2 million. The related unrealized losses of $27.8 million were converted to a discount that is being accreted through interest income on a level-yield method over the term of the securities, while the unrealized losses recorded in other comprehensive income are amortized out of other comprehensive income through interest income on a level-yield method over the remaining term of securities, with no net change to interest income. No gain or loss was recorded at the time of transfer. There were no transfers of securities held-to-maturity to securities available-for-sale during the three or nine months ended September 30, 2022. The carrying amount of securities pledged at September 30, 2023 December 31, 2022 At September 30, 2023 and December 31, 2022, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders' equity. The amortized cost and fair value of securities are shown by contractual maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. September 30, 2023 Amortized Fair (In thousands) Cost Value Available-for-sale Within one year $ 83,132 $ 80,015 One to five years 206,284 188,885 Five to ten years 167,113 139,134 Beyond ten years — — Pass-through MBS issued by GSEs and agency CMO 551,141 461,845 Total $ 1,007,670 $ 869,879 Held-to-maturity Within one year $ — $ — One to five years 19,772 17,743 Five to ten years 78,689 63,468 Beyond ten years — — Pass-through MBS issued by GSEs and agency CMO 501,830 414,775 Total $ 600,291 $ 495,986 The following table presents the information related to sales of securities available-for-sale as of the periods indicated: Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Securities available-for-sale Proceeds $ — $ — $ 77,804 $ — Gross gains — — 130 — Tax expense on gains — — 39 — Gross losses — — 1,577 — Tax benefit on losses — — 467 — There were no sales of securities held-to-maturity during the three or nine months ended September 30, 2023 and 2022. The following table summarizes the gross unrealized losses and fair value of securities available-for-sale aggregated by investment category and the length of time the securities were in a continuous unrealized loss position as of the dates indicated: September 30, 2023 Less than 12 12 Consecutive Consecutive Months Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) Value Losses Value Losses Value Losses Securities available-for-sale: Agency notes $ — $ — $ 9,143 $ 857 $ 9,143 $ 857 Treasury securities — — 229,873 16,262 229,873 16,262 Corporate securities 19,118 2,248 121,969 26,214 141,087 28,462 Pass-through MBS issued by GSEs 904 12 205,299 33,294 206,203 33,306 Agency CMOs 2,427 41 248,193 55,970 250,620 56,011 State and municipal obligations 1,713 137 26,218 2,777 27,931 2,914 December 31, 2022 Less than 12 12 Consecutive Consecutive Months Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) Value Losses Value Losses Value Losses Securities available-for-sale: Treasury securities $ — $ — $ 227,256 $ 19,643 $ 227,256 $ 19,643 Corporate securities 110,707 8,494 50,116 8,581 160,823 17,075 Pass-through MBS issued by GSEs 50,813 2,010 190,427 29,524 241,240 31,534 Agency CMOs 55,924 3,454 220,413 46,603 276,337 50,057 State and municipal obligations 10,848 174 22,681 2,847 33,529 3,021 As of September 30, 2023, none of the Company’s available-for-sale debt securities were in an unrealized loss position due to credit and therefore no allowance for credit losses on available-for-sale debt securities was required. Additionally, given the high-quality composition of the Company’s held-to-maturity portfolio, the Company did not record an allowance for credit losses on the held-to-maturity portfolio. With respect to certain classes of debt securities, primarily U.S. Treasuries and securities issued by Government Sponsored Entities, the Company considers the history of credit losses, current conditions and reasonable and supportable forecasts, which may indicate that the expectation that nonpayment of the amortized cost basis is or continues to be zero, even if the U.S. government were to technically default. Accrued interest receivable on securities totaling $3.3 million and $5.4 million at September 30, 2023 and December 31, 2022, respectively, was included in other assets in the consolidated balance sheet and excluded from the amortized cost and estimated fair value totals in the table above. Management evaluates available-for-sale debt securities in unrealized loss positions to determine whether the impairment is due to credit-related factors or noncredit-related factors. Consideration is given to (1) the extent to which the fair value is less than cost, (2) the financial condition and near-term prospects of the issuer, and (3) the intent and ability of the Company to retain its investment in the security for a period of time sufficient to allow for any anticipated recovery in fair value. At September 30, 2023, substantially all of the securities in an unrealized loss position had a fixed interest rate and the cause of the temporary impairment was directly related to changes in interest rates. The Company generally views changes in fair value caused by changes in interest rates as temporary, which is consistent with its experience. The following major security types held by the Company are all issued by U.S. government entities and agencies and therefore either explicitly or implicitly guaranteed by the U.S. government: Agency Notes, Treasury Securities, Pass-through MBS issued by GSEs, Agency Collateralized Mortgage Obligations. Substantially all of the corporate bonds within the portfolio have maintained an investment grade rating by either Kroll, Egan-Jones, Fitch, Moody’s or Standard and Poor’s. None of the unrealized losses are related to credit quality of the issuer. Substantially all of the state and municipal obligations within the portfolio have all maintained an investment grade rating by either Moody’s or Standard and Poor’s. The Company does not have the intent to sell these securities and it is more likely than not that it will not be required to sell the securities before their anticipated recovery. The issuers continue to make timely principal and interest payments on the debt. The fair value is expected to recover as the securities approach maturity. |
LOANS HELD FOR INVESTMENT, NET
LOANS HELD FOR INVESTMENT, NET | 9 Months Ended |
Sep. 30, 2023 | |
LOANS HELD FOR INVESTMENT, NET | |
LOANS HELD FOR INVESTMENT, NET | 7. The following table presents the loan categories for the period ended as indicated: (In thousands) September 30, 2023 December 31, 2022 Business loans (1) $ 2,271,768 $ 2,211,857 One-to-four family residential and cooperative/condominium apartment 892,869 773,321 Multifamily residential and residential mixed-use 4,102,024 4,026,826 Non-owner-occupied commercial real estate 3,374,281 3,317,485 Acquisition, development, and construction ("ADC") 203,402 229,663 Other loans 6,267 7,679 Total 10,850,611 10,566,831 Allowance for credit losses (72,563) (83,507) Loans held for investment, net $ 10,778,048 $ 10,483,324 (1) The following tables present data regarding the allowance for credit losses activity for the periods indicated: At or for the Three Months Ended September 30, 2023 One-to-Four Family Multifamily Residential and Residential Cooperative/ and Non-Owner-Occupied Business Condominium Residential Commercial Other (In thousands) Loans Apartment Mixed-Use Real Estate ADC Loans Total Allowance for credit losses: Beginning balance $ 39,700 $ 6,419 $ 8,190 $ 18,440 $ 2,558 $ 339 $ 75,646 (Credit) provision for credit losses 1,822 787 (621) (10) (220) 23 1,781 Charge-offs (5,147) — (2) — — (26) (5,175) Recoveries 305 — — — — 6 311 Ending balance $ 36,680 $ 7,206 $ 7,567 $ 18,430 $ 2,338 $ 342 $ 72,563 At or for the Three Months Ended September 30, 2022 One-to-Four Family Multifamily Residential and Residential Cooperative/ and Non-Owner-Occupied Business Condominium Residential Commercial Other (In thousands) Loans Apartment Mixed-Use Real Estate ADC Loans Total Allowance for credit losses: Beginning balance $ 45,128 $ 4,514 $ 7,003 $ 18,707 $ 3,788 $ 286 $ 79,426 (Credit) provision for credit losses 3,246 544 1,051 1,800 (169) (32) 6,440 Charge-offs (5,462) — — — — (49) (5,511) Recoveries 1,580 — — — — — 1,580 Ending balance $ 44,492 $ 5,058 $ 8,054 $ 20,507 $ 3,619 $ 205 $ 81,935 At or for the Nine Months Ended September 30, 2023 Real Estate Loans One-to-Four Family Multifamily Residential and Residential Cooperative/ and Non-Owner-Occupied Business Condominium Residential Commercial Other (In thousands) Loans Apartment Mixed-Use Real Estate ADC Loans Total Allowance for credit losses: Beginning balance $ 47,029 $ 5,969 $ 8,360 $ 20,153 $ 1,723 $ 273 $ 83,507 Provision (recovery) for credit losses (328) 1,251 (791) (1,723) 615 116 (860) Charge-offs (10,921) (14) (2) — — (60) (10,997) Recoveries 900 — — — — 13 913 Ending balance $ 36,680 $ 7,206 $ 7,567 $ 18,430 $ 2,338 $ 342 $ 72,563 At or for the Nine Months Ended September 30, 2022 One-to-Four Family Multifamily Residential and Residential Cooperative/ and Non-Owner-Occupied Business Condominium Residential Commercial Other (In thousands) Loans Apartment Mixed-Use Real Estate ADC Loans Total Allowance for credit losses: Beginning balance $ 62,366 $ 5,932 $ 7,816 $ 2,131 $ 4,857 $ 751 $ 83,853 (Recovery) provision for credit losses (10,799) (874) 236 18,322 (1,238) (495) 5,152 Charge-offs (8,742) — — — — (52) (8,794) Recoveries 1,667 — 2 54 — 1 1,724 Ending balance $ 44,492 $ 5,058 $ 8,054 $ 20,507 $ 3,619 $ 205 $ 81,935 The following tables present the amortized cost basis of loans on non-accrual status as of the periods indicated: September 30, 2023 Non-accrual with Non-accrual with (In thousands) No Allowance Allowance Reserve Business loans $ 3,809 $ 15,746 $ 14,065 One-to-four family residential and cooperative/condominium apartment — 2,874 140 Multifamily residential and residential mixed-use — — — Non-owner-occupied commercial real estate — 15 15 Acquisition, development, and construction — 657 305 Other loans — 219 219 Total $ 3,809 $ 19,511 $ 14,744 December 31, 2022 Non-accrual with Non-accrual with (In thousands) No Allowance Allowance Reserve Business loans $ 5,403 $ 22,384 $ 20,812 One-to-four family residential and cooperative/condominium apartment — 3,203 181 Multifamily residential and residential mixed-use — — — Non-owner-occupied commercial real estate 15 2,476 1,297 Acquisition, development, and construction 657 — — Other loans — 99 99 Total $ 6,075 $ 28,162 $ 22,389 The Company did not recognize interest income on non-accrual loans held for investment during the three or nine months ended September 30, 2023 and 2022. The following tables summarize the past due status of the Company’s investment in loans as of the dates indicated: September 30, 2023 Loans 90 Days or Total 30 to 59 60 to 89 More Past Due Past Due Days Days and Still and Total (In thousands) Past Due Past Due Accruing Interest Non-accrual Non-accrual Current Loans Business loans $ 16,693 $ 1,151 $ — $ 19,555 $ 37,399 $ 2,234,369 $ 2,271,768 One-to-four family residential, including condominium and cooperative apartment 439 2,644 — 2,874 5,957 886,912 892,869 Multifamily residential and residential mixed-use 2,976 818 — — 3,794 4,098,230 4,102,024 Non-owner-occupied commercial real estate 2,851 6,787 — 15 9,653 3,364,628 3,374,281 Acquisition, development, and construction — 650 — 657 1,307 202,095 203,402 Other 2 — — 219 221 6,046 6,267 Total $ 22,961 $ 12,050 $ — $ 23,320 $ 58,331 $ 10,792,280 $ 10,850,611 December 31, 2022 Loans 90 Days or Total 30 to 59 60 to 89 More Past Due Past Due Days Days and Still and Total (In thousands) Past Due Past Due Accruing Interest Non-accrual Non-accrual Current Loans Business loans $ 5,861 $ 741 $ — $ 27,787 $ 34,389 $ 2,177,468 $ 2,211,857 One-to-four family residential, including condominium and cooperative apartment 686 — — 3,203 3,889 769,432 773,321 Multifamily residential and residential mixed-use 4,817 — — — 4,817 4,022,009 4,026,826 Non-owner-occupied commercial real estate 11,889 — — 2,491 14,380 3,303,105 3,317,485 Acquisition, development, and construction — — — 657 657 229,006 229,663 Other 264 1 — 99 364 7,315 7,679 Total $ 23,517 $ 742 $ — $ 34,237 $ 58,496 $ 10,508,335 $ 10,566,831 Accruing Loans 90 Days or More Past Due: The Company did not have accruing loans 90 days or more past due as of September 30, 2023 or December 31, 2022. Collateral Dependent Loans: The Company had collateral dependent loans which were individually evaluated to determine expected credit losses as of the dates indicated: September 30, 2023 December 31, 2022 Real Estate Associated Allowance Real Estate Associated Allowance (In thousands) Collateral Dependent for Credit Losses Collateral Dependent for Credit Losses Business loans $ 3,771 $ — $ 5,849 $ — One-to-four family residential, including condominium and cooperative apartment — — — — Multifamily residential and residential mixed-use — — — — Non-owner-occupied commercial real estate — — 2,491 1,297 Acquisition, development, and construction 657 305 657 — Other — — — — Total $ 4,428 $ 305 $ 8,997 $ 1,297 Loan Restructurings The Company adopted ASU No. 2022-02 on January 1, 2023, which eliminates the recognition and measurement of a TDR. Due to the removal of the TDR designation, the Company applies the loan refinancing and restructuring guidance to determine whether a modification or other form of restructuring results in a new loan or a continuation of an existing loan. Loan modifications to borrowers experiencing financial difficulty that result in a direct change in the timing or amount of contractual cash flows include conditions where there is principal forgiveness, interest rate reductions, other-than-insignificant payment delays, term extensions, and/or a combinations of these modifications. The disclosures related to loan restructuring are only for modifications that directly affect cash flows. The following tables shows the amortized cost basis as of September 30, 2023 of the loans modified to borrowers experiencing financial difficulty, disaggregated by loan category and type of concession granted: For the Three Months Ended September 30, 2023 Significant Term Extension Significant Payment Delay % of Total Class Term Payment and Significant and Interest of Financing (Dollars in thousands) Extension Delay Payment Delay Rate Reduction Total Receivable Business loans $ — $ 9,290 $ — $ 29 $ 9,319 0.4 % One-to-four family residential, including condominium and cooperative apartment — — — — — 0.0 Multifamily residential and residential mixed-use — — — — — 0.0 Non-owner-occupied commercial real estate — 24,705 — — 24,705 0.7 Acquisition, development, and construction — — — — — 0.0 Other — — — — — 0.0 Total $ — $ 33,995 $ — $ 29 $ 34,024 0.3 % For the Nine Months Ended September 30, 2023 Significant Term Extension Significant Payment Delay % of Total Class Term Payment and Significant and Interest of Financing (Dollars in thousands) Extension Delay Payment Delay Rate Reduction Total Receivable Business loans $ 126 $ 9,290 $ 471 $ 301 $ 10,188 0.4 % One-to-four family residential, including condominium and cooperative apartment — 2,854 — — 2,854 0.3 Multifamily residential and residential mixed-use — — — — — 0.0 Non-owner-occupied commercial real estate — 24,705 — — 24,705 0.7 Acquisition, development, and construction — — — — — 0.0 Other — — — — — 0.0 Total $ 126 $ 36,849 $ 471 $ 301 $ 37,747 0.3 % The following tables describes the financial effect of the modifications made to borrowers experiencing financial difficulty: For the Three Months Ended September 30, 2023 Weighted Average Weighted Average Weighted Average Payment Delay Interest Rate Months of or Principal (Dollars in thousands) Reductions Term Extensions Forgiveness Business loans 4.50 % $ — $ 1,417 One-to-four family residential, including condominium and cooperative apartment — — — Multifamily residential and residential mixed-use — — — Non-owner-occupied commercial real estate — — 988 Acquisition, development, and construction — — — Other loans — — — Total 4.50 % $ — $ 2,405 For the Nine Months Ended September 30, 2023 Weighted Average Weighted Average Weighted Average Payment Delay Interest Rate Months of or Principal (Dollars in thousands) Reductions Term Extensions Forgiveness Business loans 4.27 % $ 20 $ 1,314 One-to-four family residential, including condominium and cooperative apartment — — 72 Multifamily residential and residential mixed-use — — — Non-owner-occupied commercial real estate — — 988 Acquisition, development, and construction — — — Other loans — — — Total 4.27 % $ 20 $ 2,374 The Bank monitors the performance of loans modified to borrowers experiencing financial difficulty to understand the effectiveness of its modification efforts. The following table describes the performance of loans that have been modified during the nine months ended September 30, 2023. September 30, 2023 30-59 60-89 90+ (Dollars in thousands) Current Days Past Due Days Past Due Days Past Due Non-Accrual Total Business loans $ 9,290 $ — $ — $ — $ 898 $ 10,188 One-to-four family residential, including condominium and cooperative apartment 2,854 — — — — 2,854 Multifamily residential and residential mixed-use — — — — — — Non-owner-occupied commercial real estate 24,705 — — — — 24,705 Acquisition, development, and construction — — — — — — Other loans — — — — — — Total $ 36,849 $ — $ — $ — $ 898 $ 37,747 There were no loans made to borrowers experiencing financial difficulty that were modified during the three and nine months ended September 30, 2023, and that subsequently defaulted. For the purposes of this disclosure, a payment default is defined as 90 or more days past due and still accruing. Non-accrual loans that are modified to borrowers experiencing financial difficulty remain on non-accrual status until the borrower has demonstrated performance under the modified terms. Prior to our adoption of ASU 2022-02, as of December 31, 2022, the Company had TDRs totaling $22.1 million. The Company has allocated $9.1 million of allowance for those loans at December 31, 2022, with no commitments to lend additional amounts. The following table presents the loans by category modified as TDRs that occurred during the year ended December 31, 2022. Modifications During the Year Ended December 31, 2022 Pre- Post- Modification Modification Number Outstanding Outstanding of Recorded Recorded (Dollars in thousands) Loans Investment Investment Business loans 7 $ 21,934 $ 21,938 One-to-four family residential, including condominium and cooperative apartment 2 762 762 Multifamily residential and residential mixed-use — — — Non-owner-occupied commercial real estate 1 991 991 Acquisition, development, and construction 1 13,500 13,500 Other 1 276 276 Total 12 $ 37,463 $ 37,467 Credit Quality Indicators The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit structure, loan documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually by classifying them based on credit risk. The Company uses the following definitions for risk ratings: Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the Bank’s credit position at some future date. Substandard. Doubtful. The following is a summary of the credit risk profile of loans by internally assigned grade as of the periods indicated, the years represent the year of origination for non-revolving loans: September 30, 2023 (In thousands) 2023 2022 2021 2020 2019 2018 and Prior Revolving Revolving-Term Total Business loans Pass $ 197,831 $ 428,588 $ 199,606 $ 167,826 $ 159,084 $ 316,910 $ 640,980 $ 39,015 $ 2,149,840 Special mention 506 3,184 1,279 923 4,850 13,541 22,962 9,125 56,370 Substandard 1 1,950 2,446 6,845 2,737 30,088 8,290 8,286 60,643 Doubtful — — — — 4,166 749 — — 4,915 Total business loans 198,338 433,722 203,331 175,594 170,837 361,288 672,232 56,426 2,271,768 YTD Gross Charge-Offs — — 77 38 4,166 2,229 1,021 3,390 10,921 One-to-four family residential, and condominium/cooperative apartment: Pass 161,750 217,184 103,310 69,919 63,299 215,385 33,259 12,825 876,931 Special mention — — — — — 756 159 710 1,625 Substandard — — — 1,010 1,218 11,299 — 786 14,313 Doubtful — — — — — — — — — Total one-to-four family residential, and condominium/cooperative apartment 161,750 217,184 103,310 70,929 64,517 227,440 33,418 14,321 892,869 YTD Gross Charge-Offs — — — — — — — 14 14 Multifamily residential and residential mixed-use: Pass 244,041 1,367,753 589,048 285,272 389,601 1,086,015 12,715 4,340 3,978,785 Special mention — — 4,223 22,096 3,905 30,476 — — 60,700 Substandard — — — 10,656 5,109 46,774 — — 62,539 Doubtful — — — — — — — — — Total multifamily residential and residential mixed-use 244,041 1,367,753 593,271 318,024 398,615 1,163,265 12,715 4,340 4,102,024 YTD Gross Charge-Offs — — — — — 2 — — 2 Non-owner-occupied commercial real estate Pass 196,881 728,514 667,899 478,381 358,916 782,593 11,237 7,987 3,232,408 Special mention — — — 78,099 4,585 14,757 — — 97,441 Substandard — — 15 25,740 6,285 12,392 — — 44,432 Doubtful — — — — — — — — — Total non-owner-occupied commercial real estate 196,881 728,514 667,914 582,220 369,786 809,742 11,237 7,987 3,374,281 YTD Gross Charge-Offs — — — — — — — — — Acquisition, development, and construction Pass 7,668 51,454 81,045 7,647 15,644 495 23,597 238 187,788 Special mention — — 14,957 — — — — — 14,957 Substandard — — 657 — — — — — 657 Doubtful — — — — — — — — — Total acquisition, development, and construction 7,668 51,454 96,659 7,647 15,644 495 23,597 238 203,402 YTD Gross Charge-Offs — — — — — — — — — Total: Pass 808,171 2,793,493 1,640,908 1,009,045 986,544 2,401,398 721,788 64,405 10,425,752 Special mention 506 3,184 20,459 101,118 13,340 59,530 23,121 9,835 231,093 Substandard 1 1,950 3,118 44,251 15,349 100,553 8,290 9,072 182,584 Doubtful — — — — 4,166 749 — — 4,915 Total Loans $ 808,678 $ 2,798,627 $ 1,664,485 $ 1,154,414 $ 1,019,399 $ 2,562,230 $ 753,199 $ 83,312 $ 10,844,344 YTD Gross Charge-Offs $ — $ — $ 77 $ 38 $ 4,166 $ 2,231 $ 1,021 $ 3,404 $ 10,937 December 31, 2022 (In thousands) 2022 2021 2020 2019 2018 2017 and Prior Revolving Revolving-Term Total Business loans Pass $ 449,699 $ 228,143 $ 187,522 $ 173,527 $ 130,576 $ 240,131 $ 650,960 $ 43,552 $ 2,104,110 Special mention 6,634 - 894 1,529 15,893 4,213 9,062 478 38,703 Substandard 5,242 1,380 8,843 4,706 2,101 14,938 11,290 9,412 57,912 Doubtful — — — 8,332 752 2,048 — — 11,132 Total business loans 461,575 229,523 197,259 188,094 149,322 261,330 671,312 53,442 2,211,857 YTD Gross Charge-Offs — 477 4,720 2,088 — 2,414 1,460 242 11,401 One-to-four family residential, and condominium/cooperative apartment: Pass 225,031 108,185 72,732 65,515 66,038 164,338 41,172 12,563 755,574 Special mention — — — — 735 1,175 579 726 3,215 Substandard — — 1,026 1,227 407 10,779 — 1,093 14,532 Doubtful — — — — — — — — — Total one-to-four family residential, and condominium/cooperative apartment 225,031 108,185 73,758 66,742 67,180 176,292 41,751 14,382 773,321 YTD Gross Charge-Offs — — — — — — — — — Multifamily residential and residential mixed-use: Pass 1,386,549 582,393 316,424 395,933 127,074 1,107,281 12,584 — 3,928,238 Special mention — — — 11,183 — 14,168 — — 25,351 Substandard — — 12,294 7,001 20,311 33,631 — — 73,237 Doubtful — — — — — — — — — Total multifamily residential and residential mixed-use 1,386,549 582,393 328,718 414,117 147,385 1,155,080 12,584 — 4,026,826 YTD Gross Charge-Offs — — — — — — — — — Non-owner-occupied commercial real estate Pass 747,272 662,608 608,133 373,835 198,317 661,311 11,963 3,453 3,266,892 Special mention — — 19,655 4,652 — 12,108 — — 36,415 Substandard — 15 1,070 6,209 — 6,884 — — 14,178 Doubtful — — — — — — — — — Total non-owner-occupied commercial real estate 747,272 662,623 628,858 384,696 198,317 680,303 11,963 3,453 3,317,485 YTD Gross Charge-Offs — — — — — — — — — Acquisition, development, and construction Pass 36,877 152,543 11,242 15,943 — 2,087 10,033 281 229,006 Special mention — — — — — — — — — Substandard — 657 — — — — — — 657 Doubtful — — — — — — — — — Total acquisition, development, and construction 36,877 153,200 11,242 15,943 — 2,087 10,033 281 229,663 YTD Gross Charge-Offs — — — — — — — — — Total: Pass 2,845,428 1,733,872 1,196,053 1,024,753 522,005 2,175,148 726,712 59,849 10,283,820 Special mention 6,634 — 20,549 17,364 16,628 31,664 9,641 1,204 103,684 Substandard 5,242 2,052 23,233 19,143 22,819 66,232 11,290 10,505 160,516 Doubtful — — — 8,332 752 2,048 — — 11,132 Total Loans $ 2,857,304 $ 1,735,924 $ 1,239,835 $ 1,069,592 $ 562,204 $ 2,275,092 $ 747,643 $ 71,558 $ 10,559,152 YTD Gross Charge-Offs $ — $ 477 $ 4,720 $ 2,088 $ — $ 2,414 $ 1,460 $ 242 $ 11,401 For other loans, the Company evaluates credit quality based on payment activity. Other loans that are 90 days or more past due are placed on non-accrual status, while all remaining other loans are classified and evaluated as performing. The following is a summary of the credit risk profile of other loans by internally assigned grade: (In thousands) September 30, 2023 December 31, 2022 Performing $ 6,048 $ 7,580 Non-accrual 219 99 Total $ 6,267 $ 7,679 |
LEASES
LEASES | 9 Months Ended |
Sep. 30, 2023 | |
LEASES | |
LEASES | 8 . Maturities of the Company’s operating lease liabilities at September 30, 2023 are as follows: Rent to be (In thousands) Capitalized 2023 $ 3,242 2024 13,009 2025 12,833 2026 12,173 2027 10,217 Thereafter 10,557 Total undiscounted lease payments 62,031 Less amounts representing interest (3,750) Operating lease liabilities $ 58,281 Other information related to the Company’s operating leases was as follows: Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Operating lease cost $ 3,236 $ 3,336 $ 9,529 $ 9,869 Cash paid for amounts included in the measurement of operating lease liabilities 3,171 3,253 9,330 9,232 September 30, December 31, 2023 2022 Weighted average remaining lease term 5.2 years 5.9 years Weighted average discount rate 2.33 % 2.03 % |
DERIVATIVES AND HEDGING ACTIVIT
DERIVATIVES AND HEDGING ACTIVITIES | 9 Months Ended |
Sep. 30, 2023 | |
DERIVATIVES AND HEDGING ACTIVITIES | |
DERIVATIVES AND HEDGING ACTIVITIES | 9. The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its assets and liabilities and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s loan portfolio. The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. The Company engages in both cash flow hedges and freestanding derivatives. Cash Flow Hedges Cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. The Company uses these types of derivatives to hedge the variable cash flows associated with existing or forecasted issuances of short-term borrowings. For derivatives designated and that qualify as cash flow hedges of interest rate risk, the gain or loss on the derivative is recorded in accumulated other comprehensive income (loss) and subsequently reclassified into interest expense in the same periods during which the hedged transaction affects earnings. Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s debt. During the next twelve months, the Company estimates that an additional $7.2 million will be reclassified as a decrease to interest expense. The Company did not terminate any derivatives during the three and nine months ended September 30, 2023 and September 30 2022, respectively. The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the consolidated statements of financial condition as of the dates indicated. September 30, 2023 December 31, 2022 Notional Fair Value Fair Value Notional Fair Value Fair Value (Dollars in thousands) Count Amount Assets Liabilities Count Amount Assets Liabilities Included in derivative assets/(liabilities): Interest rate swaps related to FHLBNY advances 4 $ 150,000 $ 16,657 $ — 4 $ 150,000 $ 17,150 $ — The table below presents the effect of the cash flow hedge accounting on accumulated other comprehensive income (loss) for the periods indicated: Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 (Loss) gain recognized in other comprehensive income (loss) $ (246) $ 5,387 $ (771) $ 14,548 (Loss) gain reclassified from other comprehensive income into interest expense (293) 546 (279) 569 All cash flow hedges are recorded gross on the balance sheet. The cash flow hedges involve derivative agreements with third-party counterparties that contain provisions requiring the Company to post cash collateral if the derivative exposure exceeds a threshold amount and receive collateral for agreements in a net asset position. As of September 30, 2023 and December 31, 2022, the Company did not post collateral to the third-party counterparties. As of September 30, 2023, the Company received $18.0 million in collateral from its third-party counterparties under the agreements in a net asset position. As of December 31, 2022, the Company received $17.8 million in collateral from its third-party counterparties. Freestanding Derivatives The Company maintains an interest-rate risk protection program for its loan portfolio in order to offer loan level derivatives with certain borrowers and to generate loan level derivative income. The Company enters into interest rate swap or interest rate floor agreements with borrowers. These interest rate derivatives are designed such that the borrower synthetically attains a fixed-rate loan, while the Company receives floating rate loan payments. The Company offsets the loan level interest rate swap exposure by entering into an offsetting interest rate swap or interest rate floor with an unaffiliated and reputable bank counterparty. These interest rate derivatives do not qualify as designated hedges, under ASU 815; therefore, each interest rate derivative is accounted for as a freestanding derivative. The notional amounts of the interest rate derivatives do not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual interest rate derivative agreements. The following tables reflect freestanding derivatives included in the consolidated statements of financial condition as of the dates indicated: September 30, 2023 Notional Fair Value Fair Value (In thousands) Count Amount Assets Liabilities Included in derivative assets/(liabilities): Loan level interest rate swaps with borrower 4 $ 34,050 $ 360 $ — Loan level interest rate swaps with borrower 219 1,549,816 — 158,976 Loan level interest rate floors with borrower 3 17,625 — — Loan level interest rate floors with borrower 25 178,032 — 1,376 Loan level interest rate swaps with third-party counterparties 4 34,050 — 360 Loan level interest rate swaps with third-party counterparties 219 1,549,816 158,976 — Loan level interest rate floors with third-party counterparties 3 17,625 — — Loan level interest rate floors with third-party counterparties 25 178,032 1,376 — December 31, 2022 Notional Fair Value Fair Value (In thousands) Count Amount Assets Liabilities Included in derivative assets/(liabilities): Loan level interest rate swaps with borrower 3 $ 53,311 $ 1,524 $ — Loan level interest rate swaps with borrower 185 1,214,736 — 126,751 Loan level interest rate floors with borrower 40 326,309 — 9,060 Loan level interest rate swaps with third-party counterparties 3 53,311 — 1,524 Loan level interest rate swaps with third-party counterparties 185 1,214,736 126,751 — Loan level interest rate floors with third-party counterparties 40 326,309 9,060 — Loan level derivative income is recognized on the mark-to-market of the interest rate swap as a fair value adjustment at the time the transaction is closed. Total loan level derivative income is included in non-interest income as follows: Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Loan level derivative income $ 783 $ 549 $ 6,353 $ 2,240 The interest rate swap product with the borrower is cross collateralized with the underlying loan and, therefore, there is no posted collateral. Certain interest rate swap agreements with third-party counterparties contain provisions that require the Company to post collateral if the derivative exposure exceeds a threshold amount and receive collateral for agreements in a net asset position. As of September 30, 2023 and December 31, 2022, the Company did not post collateral to its third-party counterparties. As of September 30, 2023, the Company received $167.6 million in collateral from its third-party counterparties under the agreements in a net asset position. As of December 31, 2022, the Company received $135.3 million in collateral from its third-party counterparties under the agreements in a net asset position. Risk Participation Agreements The Company enters into risk participation agreements to manage economic risks but does not designate the instruments in hedge relationships. As of September 30, 2023 and December 31, 2022, the notional amounts of risk participation agreements for derivative liabilities were $94.0 million and $71.1 million, respectively. The related fair values of the Company’s risk participation agreements were immaterial as of September 30, 2023 and December 31, 2022. Credit Risk Related Contingent Features The Company’s agreements with each of its derivative counterparties state that if the Company defaults on any of its indebtedness, it could also be declared in default on its derivative obligations and could be required to terminate its derivative positions with the counterparty. The Company’s agreements with certain of its derivative counterparties state that if the Bank fails to maintain its status as a well-capitalized institution, the Bank could be required to terminate its derivative positions with the counterparty. For derivatives in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, any breach of the above provisions by the Company may require settlement of its obligations under the agreements at the termination value with the respective counterparty. There were no provisions breached for the three or nine months ended September 30, 2023 and September 30, 2022. |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS | 9 Months Ended |
Sep. 30, 2023 | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | 10. Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values: Level 1 Inputs Level 2 Inputs e.g. Level 3 Inputs – Assets and Liabilities Measured at Fair Value on a Recurring Basis Securities The Company’s available-for-sale securities are reported at fair value, which were determined utilizing prices obtained from independent parties. The valuations obtained are based upon market data, and often utilize evaluated pricing models that vary by asset and incorporate available trade, bid and other market information. For securities that do not trade on a daily basis, pricing applications apply available information such as benchmarking and matrix pricing. The market inputs normally sought in the evaluation of securities include benchmark yields, reported trades, broker/dealer quotes (obtained only from market makers or broker/dealers recognized as market participants), issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data. For certain securities, additional inputs may be used or some market inputs may not be applicable. Prioritization of inputs may vary on any given day based on market conditions. All MBS, CMOs, treasury securities, and agency notes are guaranteed either implicitly or explicitly by GSEs as of September 30, 2023 and December 31, 2022. In accordance with the Company’s investment policy, corporate securities are rated "investment grade" at the time of purchase and the financials of the issuers are reviewed quarterly. Obtaining market values as of September 30, 2023 and December 31, 2022 for these securities utilizing significant observable inputs was not difficult due to their liquid nature. Derivatives Derivatives represent interest rate swaps and estimated fair values are based on valuation models using observable market data as of the measurement date. The following tables present financial assets and liabilities measured at fair value on a recurring basis as of the dates indicated, segmented by level within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Fair Value Measurements at September 30, 2023 Using Level 1 Level 2 Level 3 (In thousands) Total Inputs Inputs Inputs Financial Assets: Securities available-for-sale: Agency notes $ 9,143 $ — $ 9,143 $ — Treasury securities 229,873 — 229,873 — Corporate securities 141,087 — 141,087 — Pass-through MBS issued by GSEs 206,203 — 206,203 — Agency CMOs 255,642 — 255,642 — State and municipal obligations 27,931 — 27,931 — Derivative – cash flow hedges 16,657 — 16,657 — Derivative – freestanding derivatives, net 160,712 — 160,712 — Financial Liabilities: Derivative – freestanding derivatives, net 160,712 — 160,712 — Fair Value Measurements at December 31, 2022 Using Level 1 Level 2 Level 3 (In thousands) Total Inputs Inputs Inputs Financial Assets: Securities available-for-sale: Treasury securities $ 227,256 $ — $ 227,256 $ — Corporate securities 166,773 — 166,773 — Pass-through MBS issued by GSEs 241,240 — 241,240 — Agency CMOs 281,339 — 281,339 — State and municipal obligations 33,979 — 33,979 — Derivative – cash flow hedges 17,150 — 17,150 — Derivative – freestanding derivatives, net 137,335 — 137,335 — Financial Liabilities: Derivative – freestanding derivatives, net 137,335 — 137,335 — Assets and Liabilities Measured at Fair Value on a Non-recurring Basis Certain financial assets and financial liabilities are measured at fair value on a non-recurring basis. That is, they are subject to fair value adjustments in certain circumstances. Financial assets measured at fair value on a non-recurring basis include certain individually evaluated loans (or impaired loans prior to the adoption of ASC 326) reported at the fair value of the underlying collateral if repayment is expected solely from the collateral. September 30, 2023 Fair Value Measurements Using: Quoted Prices In Active Significant Markets for Other Significant Identical Observable Unobservable Carrying Assets Inputs Inputs (In thousands) Value (Level 1) (Level 2) (Level 3) Individually evaluated loans $ 352 $ — $ — $ 352 December 31, 2022 Fair Value Measurements Using: Quoted Prices In Active Significant Markets for Other Significant Identical Observable Unobservable Carrying Assets Inputs Inputs (In thousands) Value (Level 1) (Level 2) (Level 3) Individually evaluated loans $ 1,179 $ — $ — $ 1,179 Collateral dependent individually evaluated loans with an allowance for credit losses at September 30, 2023 had a carrying amount of $352 thousand. There was no credit loss recovery or provision on collateral dependent individually evaluated loans during the three months ended September 30, 2023. There was a credit loss recovery of $992 thousand for the nine months ended September 30, 2023 on collateral dependent individually evaluated loans, which is included in the amounts reported in the consolidated statements of income. Individually evaluated loans with an allowance for credit losses at December 31, 2022 had a carrying amount of $1.2 million, which is made up of the outstanding balance of $2.5 million, net of a valuation allowance of $1.3 million. Financial Instruments Not Measured at Fair Value The following tables present the carrying amounts and estimated fair values of financial instruments other than those measured at fair value on either a recurring or nonrecurring basis for the dates indicated, segmented by level within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Fair Value Measurements at September 30, 2023 Using Carrying Level 1 Level 2 Level 3 (In thousands) Amount Inputs Inputs Inputs Total Financial Assets: Cash and due from banks $ 358,824 $ 358,824 $ — $ — $ 358,824 Securities held-to-maturity 600,291 — 495,986 — 495,986 Loans held for investment, net 10,777,696 — — 10,255,764 10,255,764 Accrued interest receivable 53,608 — 5,525 48,083 53,608 Financial Liabilities: Savings, money market and checking accounts (1) 9,194,247 9,194,247 — — 9,194,247 Certificates of Deposits ("CDs") 1,442,299 — 1,433,548 — 1,433,548 FHLBNY advances 1,123,000 — 1,119,564 — 1,119,564 Subordinated debt, net 200,218 — 162,218 — 162,218 Accrued interest payable 19,948 — 19,948 — 19,948 (1) Fair Value Measurements at December 31, 2022 Using Carrying Level 1 Level 2 Level 3 (In thousands) Amount Inputs Inputs Inputs Total Financial Assets: Cash and due from banks $ 169,297 $ 169,297 $ — $ — $ 169,297 Securities held-to-maturity 585,798 — 505,759 — 505,759 Loans held for investment, net 10,482,145 — — 10,005,121 10,005,121 Accrued interest receivable 48,561 — 6,105 42,456 48,561 Financial Liabilities: Savings, money market and checking accounts (1) 9,139,043 9,139,043 — — 9,139,043 Certificates of Deposits ("CDs") 1,115,364 — 1,096,808 — 1,096,808 FHLBNY advances 1,131,000 — 1,131,217 — 1,131,217 Subordinated debt, net 200,283 — 180,583 — 180,583 Other short-term borrowings 1,360 1,360 — — 1,360 Accrued interest payable 5,323 — 5,323 — 5,323 (1) |
OTHER INTANGIBLE ASSETS
OTHER INTANGIBLE ASSETS | 9 Months Ended |
Sep. 30, 2023 | |
OTHER INTANGIBLE ASSETS | |
OTHER INTANGIBLE ASSETS | 11. The following table presents the carrying amount and accumulated amortization of intangible assets that are amortizable. (Dollars in thousands) Core Deposit Intangibles September 30, 2023 December 31, 2022 Gross carrying value $ 10,204 $ 10,204 Accumulated amortization (4,795) (3,720) Net carrying amount $ 5,409 $ 6,484 Amortization expense recognized on intangible assets was $349 thousand and $1.1 million for the three and nine months ended September 30, 2023. Amortization expense recognized on intangible assets was $431 thousand and $1.4 million for the three and nine months ended September 30, 2022. Estimated amortization expense for the remainder of 2023 through 2027 and thereafter is as follows: (In thousands) Total 2023 $ 349 2024 1,164 2025 958 2026 795 2027 664 Thereafter 1,479 Total $ 5,409 |
FHLBNY ADVANCES
FHLBNY ADVANCES | 9 Months Ended |
Sep. 30, 2023 | |
FHLBNY ADVANCES | |
FHLBNY ADVANCES | 12. The Bank had borrowings from the FHLBNY Advances totaling $1.12 billion and $1.13 billion at September 30, 2023 and December 31, 2022, respectively, all of which were fixed rate. In accordance with its Advances, Collateral Pledge and Security Agreement with the FHLBNY, the Bank was eligible to borrow an additional $4.09 billion as of September 30, 2023 and $4.13 billion as of December 31, 2022, and maintained sufficient qualifying collateral, as defined by the FHLBNY. At September 30, 2023 there were no callable Advances. The Company did not have extinguishment of debt during the three or nine months ended September 30, 2023 or 2022. The following tables present the contractual maturities and weighted average interest rates of FHLBNY advances for each of the next five years. There were no FHLBNY advances with an overnight contractual maturity at September 30, 2023 and December 31, 2022, respectively. As of September 30, 2023, there were $425.0 million of FHLBNY advances with contractual maturities during 2023 and $698.0 million of FHLBNY advances with contractual maturities after 2023. As of December 31, 2022, there were $1.10 billion of FHLBNY advances with contractual maturities during 2023 and $36.0 million of FHLBNY advances with contractual maturities after 2022. (Dollars in thousands) Contractual Maturity September 30, 2023 December 31, 2022 2023, fixed rate at rates from 5.18% to 5.65% 425,000 1,095,000 2024, fixed rate at rates from 4.85% to 5.16% 650,000 — 2027, fixed rate at 4.25% 36,000 36,000 2028, fixed rate at 4.04% 12,000 — Total FHLBNY advances $ 1,123,000 $ 1,131,000 Total FHLBNY advances had a weighted average interest rate of 5.11% and 4.55% at September 30, 2023 and December 31, 2022, respectively. |
SUBORDINATED DEBENTURES
SUBORDINATED DEBENTURES | 9 Months Ended |
Sep. 30, 2023 | |
SUBORDINATED DEBENTURES. | |
SUBORDINATED DEBENTURES | 13. On May 6, 2022, the Company issued $160.0 million aggregate principal amount of fixed-to-floating rate subordinated notes due 2032 (“the Notes”). The Notes are callable at par after five years The Company used the net proceeds of the offering for the repayment of $115.0 million of the Company’s 4.50% fixed-to-floating rate subordinated notes due 2027 on June 15, 2022, and $40.0 million of the Company’s 5.25% fixed-to-floating rate subordinated debentures due 2025 on June 30, 2022. The repayment of the subordinated notes due 2027 resulted in a pre-tax write-off of debt issuance costs of $740 thousand, which was recognized in loss on extinguishment of debt in non-interest expense. The subordinated debentures totaled $200.2 million at September 30, 2023 and $200.3 million at December 31, 2022. Interest expense related to the subordinated debentures was $2.6 million during the three months ended September 30, 2023 and 2022, respectively. Interest expense related to the subordinated debentures was $7.7 million and $8.1 million during the nine months ended September 30, 2023 and 2022, respectively. The subordinated debentures are included in tier 2 capital (with certain limitations applicable) under current regulatory guidelines and interpretations. |
RETIREMENT AND POSTRETIREMENT P
RETIREMENT AND POSTRETIREMENT PLANS | 9 Months Ended |
Sep. 30, 2023 | |
RETIREMENT AND POSTRETIREMENT PLANS | |
RETIREMENT AND POSTRETIREMENT PLANS | 14. The Bank maintains two noncontributory pension plans that existed before the Merger: (i) the Retirement Plan of Dime Community Bank (“Employee Retirement Plan”) and (ii) the BNB Bank Pension Plan, covering all eligible employees. Employee Retirement Plan The Bank sponsors the Employee Retirement Plan, a tax-qualified, noncontributory, defined-benefit retirement plan. Prior to April 1, 2000, substantially all full-time employees of at least 21 years of age were eligible for participation after one year of service. Effective April 1, 2000, the Bank froze all participant benefits under the Employee Retirement Plan. BNB Bank Pension Plan During 2012, Bridge amended the BNB Bank Pension Plan by revising the formula for determining benefits effective January 1, 2013, except for certain grandfathered Bridge employees. Additionally, new Bridge employees hired on or after October 1, 2012 were not eligible for the BNB Bank Pension Plan. The following table represents the components of net periodic benefit (credit) cost included in other non-interest expense, except for service cost which is reported in salaries and employee benefits expense, in the consolidated statements of income. Net expenses associated with these plans were comprised of the following components: Three Months Ended September 30, 2023 2022 BNB Bank Employee BNB Bank Employee (In thousands) Pension Plan Retirement Plan Pension Plan Retirement Plan Service cost $ 175 $ — $ 267 $ — Interest cost 330 222 195 155 Expected return on assets (687) (382) (857) (490) Amortization of unrealized loss — 147 — 63 Net periodic credit $ (182) $ (13) $ (395) $ (272) Nine Months Ended September 30, 2023 2022 BNB Bank Employee BNB Bank Employee (In thousands) Pension Plan Retirement Plan Pension Plan Retirement Plan Service cost $ 525 $ — $ 802 $ — Interest cost 990 667 585 465 Expected return on assets (2,062) (1,147) (2,572) (1,470) Amortization of unrealized loss — 442 — 188 Net periodic credit $ (547) $ (38) $ (1,185) $ (817) There were no contributions to the BNB Bank Pension Plan or the Employee Retirement Plan for the nine months ended September 30, 2023. 401(k) Plan The Company maintains a 401(k) Plan (the “401(k) Plan”) that existed before the Merger. The 401(k) Plan covers substantially all current employees. Newly hired employees are automatically enrolled in the plan on the first day of the month following the 60 th employee’s compensation. Participants can invest their account balances into several investment alternatives. The 401(k) Plan does not allow for investment in the Company’s common stock. The 401(k) Plan held Company common stock within the accounts of participants totaling $4.8 million at September 30, 2023. During the three and nine months ended September 30, 2023, total expense recognized as a component of salaries and employee benefits expense for the 401(k) Plan was $513 thousand and $2.0 million, respectively. During the three and nine months ended September 30, 2022, total expense recognized as a component of salaries and employee benefits expense for the 401(k) Plan was $509 thousand and $1.8 million, respectively. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 9 Months Ended |
Sep. 30, 2023 | |
STOCK-BASED COMPENSATION | |
STOCK-BASED COMPENSATION | 15. In May 2021, the Company’s shareholders approved the Dime Community Bancshares, Inc. 2021 Equity Incentive Plan (the “2021 Equity Incentive Plan”) to provide the Company with sufficient equity compensation to meet the objectives of appropriately incentivizing its officers, other employees, and directors to execute our strategic plan to build shareholder value, while providing appropriate shareholder protections. The Company no longer makes grants under the Legacy Stock Plans. Awards outstanding under the Legacy Stock Plans will continue to remain outstanding and subject to the terms and conditions of the Legacy Stock Plans. At September 30, 2023, there were 635,622 shares reserved for issuance under the 2021 Equity Incentive Plan. Stock Option Awards The following table presents a summary of activity related to stock options granted under the Legacy Stock Plans, and changes during the period then ended: Weighted- Average Aggregate Weighted- Remaining Intrinsic Number of Average Exercise Contractual Value Options Price Years (In thousands) Options outstanding at January 1, 2023 92,137 $ 35.39 6.2 — Options exercised — — Options forfeited — — Options outstanding at September 30, 2023 92,137 $ 35.39 5.5 $ — Options vested and exercisable at September 30, 2023 92,137 $ 35.39 5.5 $ — Information related to stock options during each period is as follows: Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Cash received for option exercise cost $ — $ — $ — $ — Income tax (expense) benefit recognized on stock option exercises — — — — Intrinsic value of options exercised — — — — The range of exercise prices and weighted-average remaining contractual lives of both outstanding and vested options (by option exercise cost) as of September 30, 2023 were as follows: Outstanding Options Vested Options Weighted Weighted Average Average Contractual Contractual Years Years Amount Remaining Amount Remaining Exercise Prices: $34.87 35,671 6.4 35,671 6.4 $35.35 32,079 5.4 32,079 5.4 $36.19 24,387 4.4 24,387 4.4 Total 92,137 5.5 92,137 5.5 Restricted Stock Awards The Company has made RSA grants to outside Directors and certain officers under the Legacy Stock Plans and the 2021 Equity Incentive Plan. Typically, awards to outside Directors fully vest on the first anniversary of the grant date, while awards to officers’ vest over a pre-determined requisite period. All awards were made at the fair value of the Company’s common stock on the grant date. Compensation expense on all RSAs is based upon the fair value of the shares on the respective dates of the grant. The following table presents a summary of activity related to the RSAs granted, and changes during the period then ended: Weighted- Average Number of Grant-Date Shares Fair Value Unvested allocated shares outstanding at January 1, 2023 350,758 $ 28.63 Shares granted 220,750 25.47 Shares vested (133,732) 29.34 Shares forfeited (75,624) 26.43 Unvested allocated shares outstanding at September 30, 2023 362,152 $ 26.89 Information related to RSAs during each period is as follows: Three Months Ended Nine Months Ended September 30, September 30, (Dollars in thousands) 2023 2022 2023 2022 Compensation expense recognized $ 604 $ 1,035 $ 2,924 $ 2,823 Income tax (expense) benefit recognized on vesting of RSAs (72) (10) (184) 178 As of September 30, 2023, there was $6.8 million of total unrecognized compensation cost related to unvested RSAs to be recognized over a weighted-average period of 1.9 years. Performance-Based Share Awards The Company maintains a long-term incentive award program (“LTIP”) for certain officers, which meets the criteria for equity-based accounting. For each award, threshold (50% of target), target (100% of target) and stretch (150% of target) opportunities are eligible to be earned over a three-year performance period based on the Company’s relative performance on certain goals that were established at the onset of the performance period and cannot be altered subsequently. Shares of common stock are issued on the grant date and held as unvested stock awards until the end of the performance period. Shares are issued at the stretch opportunity in order to ensure that an adequate number of shares are allocated for shares expected to vest at the end of the performance period. Compensation expense on PSAs is based upon the fair value of the shares on the date of the grant for the expected aggregate share payout as of the period end. The following table presents a summary of activity related to the PSAs granted, and changes during the period then ended: Weighted- Average Number of Grant-Date Shares Fair Value Maximum aggregate share payout at January 1, 2023 95,831 $ 30.35 Shares granted 195,066 17.69 Shares forfeited (60,987) 25.21 Maximum aggregate share payout at September 30, 2023 229,910 $ 20.97 Minimum aggregate share payout — — Expected aggregate share payout 210,820 $ 20.21 Information related to PSAs during each period is as follows: Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Compensation (benefit) expense recognized $ (66) $ 193 $ 274 $ 570 Income tax expense recognized on vesting of PSAs — — — — As of September 30, 2023, there was $3.1 million of total unrecognized compensation cost related to unvested PSAs based on the expected aggregate share payout to be recognized over a weighted-average period of 2.5 years. |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2023 | |
INCOME TAXES | |
INCOME TAXES | 16. During the three months ended September 30, 2023 and 2022, the Company’s consolidated effective tax rates were 35.1% and 28.1%, respectively. During the nine months ended September 30, 2023 and 2022, the Company’s consolidated effective tax rates were 28.5% and 28.2%, respectively. The increase in tax rate for the three and nine months ended September 30, 2023 was primarily due to non-deductible severance expense during the period. |
SUMMARY OF ACCOUNTING POLICIES
SUMMARY OF ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Sep. 30, 2023 | |
SUMMARY OF ACCOUNTING POLICIES | |
Nature of Operations and Principles of Consolidation | In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary for a fair presentation of the Company’s financial condition as of September 30, 2023 and December 31, 2022, the results of operations and statements of comprehensive income for the three and nine months ended September 30, 2023 and 2022, the changes in stockholders’ equity for the three and nine months ended September 30, 2023 and 2022, and cash flows for the nine months ended September 30, 2023 and 2022. |
Adoption of Recent Accounting Standards | Adoption of Recent Accounting Standards ASU 2022-01, Derivatives and Hedging (Topic 815): Fair Value Hedging-Portfolio Layer Method On March 28, 2022, the Financial Accounting Standards Board issued Accounting Standards Update (ASU) 2022-01, Derivatives and Hedging (Topic 815): Fair Value Hedging – Portfolio Layer Method. The purpose of this updated guidance is to further align risk management objectives with hedge accounting results on the application of the last-of-layer method, which was first introduced in ASU 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities. ASU 2022-01 became effective for public business entities for fiscal years beginning after December 15, 2022, with early adoption in the interim period, permitted. For entities who have already adopted ASU 2017-12, immediate adoption is allowed. This ASU became effective for the Company on January 1, 2023, on a prospective basis; therefore, there was no impact to the consolidated financial statements. ASU 2022-02, Financial Instruments-Credit Losses (Topic 326): Troubled Debt Restructurings and Vintage Disclosures ASU 2022-02 eliminates troubled debt restructuring (“TDR”) recognition and measurement guidance and, instead, requires that an entity evaluate whether the modification represents a new loan or a continuation of an existing loan. ASU 2022-02 enhances existing disclosure requirements and introduces new requirements related to certain modifications of receivables made to borrowers experiencing financial difficulty. For entities that have adopted the amendments of ASU 2016-13, the amendments in ASU 2022-02 are effective for fiscal years beginning after December 15, 2022, including interim periods within those fiscal years. This ASU became effective for the Company on January 1, 2023. The Company adopted ASU 2022-02 on its effective date using the modified retrospective method. The adoption of ASU 2022-02 did not have a material impact on the Company's consolidated financial statements. ASU 2020-04, Reference Rate Reform (Topic 848) ASU 2020-04 provides optional expedients and exceptions for applying GAAP to loan and lease agreements, derivative contracts, and other transactions affected by the anticipated transition away from LIBOR toward new interest rate benchmarks. ASU 2020-04 also provides numerous optional expedients for derivative accounting. ASU 2020-04 is effective March 12, 2020 through December 31, 2022. Once optional expedients are elected, the amendments in this ASU must be applied prospectively for all eligible contract modifications for that Topic or Industry Subtopic within the Codification. As of July 1, 2023, the Company has transitioned LIBOR based transactions to other indexes. The LIBOR transition is not anticipated to have a material effect on the Company's consolidated financial statements. ASU 2021-01, Reference Rate Reform (Topic 848): Scope ASU 2021-01 clarifies that all derivative instruments affected by changes to the interest rates used for discounting, margining, or contract price alignment due to reference rate reform are in the scope of ASC 848. Entities may apply certain optional expedients in ASC 848 to derivative instruments that do not reference LIBOR or another rate expected to be discontinued as a result of reference rate reform if there is a change to the interest rate used for discounting, margining or contract price alignment. ASU 2021-01 became effective upon issuance and generally can be applied through December 31, 2022. As of July 1, 2023, the Company has transitioned LIBOR based derivatives to other indexes such as fallback rate SOFR. The LIBOR transition is not anticipated to have a material effect on the Company's consolidated financial statements. |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS). | |
Schedule of activity in accumulated other comprehensive (loss) income, net of tax | Total Accumulated Defined Other Benefit Comprehensive (In thousands) Securities Plans Derivatives Income (Loss) Balance as of January 1, 2023 $ (100,870) $ (5,266) $ 11,757 $ (94,379) Other comprehensive (loss) income before reclassifications (15,338) 952 (229) (14,615) Amounts reclassified from accumulated other comprehensive loss 2,666 (781) 196 2,081 Net other comprehensive (loss) income during the period (12,672) 171 (33) (12,534) Balance as of September 30, 2023 $ (113,542) $ (5,095) $ 11,724 $ (106,913) Balance as of January 1, 2022 $ (7,864) $ (1,306) $ 2,989 $ (6,181) Other comprehensive (loss) income before reclassifications (96,565) 2,051 9,972 (84,542) Amounts reclassified from accumulated other comprehensive loss — (1,923) (390) (2,313) Net other comprehensive (loss) income during the period (96,565) 128 9,582 (86,855) Balance as of September 30, 2022 $ (104,429) $ (1,178) $ 12,571 $ (93,036) |
Schedule of before and after tax amounts allocated to each component of other comprehensive (loss) income | Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Change in unrealized gain (loss) on securities: Change in net unrealized loss during the period $ (4,374) $ (39,692) $ (17,967) $ (142,980) Reclassification adjustment for net losses included in net loss on sale of securities and other assets — — 1,447 — Accretion of net unrealized loss on securities transferred to held-to-maturity 788 1,112 2,341 2,111 Net change (3,586) (38,580) (14,179) (140,869) Tax benefit (1,062) (12,133) (1,507) (44,304) Net change in unrealized loss on securities, net of reclassification adjustments and tax (2,524) (26,447) (12,672) (96,565) Change in pension and other postretirement obligations: Reclassification adjustment for expense included in other expense (370) (935) (1,110) (2,805) Change in the net actuarial gain 518 997 1,553 2,992 Net change 148 62 443 187 Tax expense 185 20 272 59 Net change in pension and other postretirement obligations (37) 42 171 128 Change in unrealized gain (loss) on derivatives: Change in net unrealized (loss) gain during the period (246) 5,387 (771) 14,548 Reclassification adjustment for expense included in interest expense 293 (546) 279 (569) Net change 47 4,841 (492) 13,979 Tax expense (benefit) 14 1,522 (459) 4,397 Net change in unrealized gain (loss) on derivatives, net of reclassification adjustments and tax 33 3,319 (33) 9,582 Other comprehensive loss, net of tax $ (2,528) $ (23,086) $ (12,534) $ (86,855) |
EARNINGS PER COMMON SHARE (Tabl
EARNINGS PER COMMON SHARE (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
EARNINGS PER COMMON SHARE | |
Schedule of reconciliation of numerators and denominators of basic and diluted EPS | Three Months Ended Nine Months Ended September 30, September 30, (In thousands except share and per share amounts) 2023 2022 2023 2022 Net income available to common stockholders $ 13,163 $ 37,659 $ 74,321 $ 107,032 Less: Dividends paid and earnings allocated to participating securities (209) (438) (1,015) (1,244) Income attributable to common stock $ 12,954 $ 37,221 $ 73,306 $ 105,788 Weighted-average common shares outstanding, including participating securities 38,821,541 38,614,436 38,732,963 39,125,192 Less: weighted-average participating securities (617,580) (448,755) (555,259) (446,298) Weighted-average common shares outstanding 38,203,961 38,165,681 38,177,704 38,678,894 Basic EPS $ 0.34 $ 0.98 $ 1.92 $ 2.74 Income attributable to common stock $ 12,954 $ 37,221 $ 73,306 $ 105,788 Weighted-average common shares outstanding 38,203,961 38,165,681 38,177,704 38,678,894 Weighted-average common equivalent shares outstanding — — — — Weighted-average common and equivalent shares outstanding 38,203,961 38,165,681 38,177,704 38,678,894 Diluted EPS $ 0.34 $ 0.98 $ 1.92 $ 2.74 |
SECURITIES (Tables)
SECURITIES (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
SECURITIES | |
Schedule of major categories of securities owned by entity | September 30, 2023 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Securities available-for-sale: Agency notes $ 10,000 $ — $ (857) $ 9,143 Treasury securities 246,135 — (16,262) 229,873 Corporate securities 169,549 — (28,462) 141,087 Pass-through mortgage-backed securities ("MBS") issued by government sponsored entities ("GSEs") 239,509 — (33,306) 206,203 Agency collateralized mortgage obligations ("CMOs") 311,632 21 (56,011) 255,642 State and municipal obligations 30,845 — (2,914) 27,931 Total securities available-for-sale $ 1,007,670 $ 21 $ (137,812) $ 869,879 September 30, 2023 Gross Gross Amortized Unrecognized Unrecognized Fair (In thousands) Cost Gains Losses Value Securities held-to-maturity: Agency notes $ 89,461 $ — $ (15,305) $ 74,156 Corporate securities 9,000 — (1,945) 7,055 Pass-through MBS issued by GSEs 283,258 — (53,777) 229,481 Agency CMOs 218,572 — (33,278) 185,294 Total securities held-to-maturity $ 600,291 $ — $ (104,305) $ 495,986 December 31, 2022 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Securities available-for-sale: Treasury securities $ 246,899 $ — $ (19,643) $ 227,256 Corporate securities 183,791 57 (17,075) 166,773 Pass-through MBS issued by GSEs 272,774 — (31,534) 241,240 Agency CMOs 331,394 2 (50,057) 281,339 State and municipal obligations 37,000 — (3,021) 33,979 Total securities available-for-sale $ 1,071,858 $ 59 $ (121,330) $ 950,587 December 31, 2022 Gross Gross Amortized Unrecognized Unrecognized Fair (In thousands) Cost Gains Losses Value Securities held-to-maturity: Agency notes $ 89,157 $ — $ (14,095) $ 75,062 Corporate securities 9,000 — (553) 8,447 Pass-through MBS issued by GSEs 278,281 — (40,960) 237,321 Agency CMOs 209,360 — (24,431) 184,929 Total securities held-to-maturity $ 585,798 $ — $ (80,039) $ 505,759 |
Schedule of amortized cost and fair value of debt securities | September 30, 2023 Amortized Fair (In thousands) Cost Value Available-for-sale Within one year $ 83,132 $ 80,015 One to five years 206,284 188,885 Five to ten years 167,113 139,134 Beyond ten years — — Pass-through MBS issued by GSEs and agency CMO 551,141 461,845 Total $ 1,007,670 $ 869,879 Held-to-maturity Within one year $ — $ — One to five years 19,772 17,743 Five to ten years 78,689 63,468 Beyond ten years — — Pass-through MBS issued by GSEs and agency CMO 501,830 414,775 Total $ 600,291 $ 495,986 |
Summary of sale of available-for-sale securities | Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Securities available-for-sale Proceeds $ — $ — $ 77,804 $ — Gross gains — — 130 — Tax expense on gains — — 39 — Gross losses — — 1,577 — Tax benefit on losses — — 467 — |
Schedule of gross unrealized losses and fair value of investment securities by investment category and length of time in a continuous unrealized loss position | September 30, 2023 Less than 12 12 Consecutive Consecutive Months Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) Value Losses Value Losses Value Losses Securities available-for-sale: Agency notes $ — $ — $ 9,143 $ 857 $ 9,143 $ 857 Treasury securities — — 229,873 16,262 229,873 16,262 Corporate securities 19,118 2,248 121,969 26,214 141,087 28,462 Pass-through MBS issued by GSEs 904 12 205,299 33,294 206,203 33,306 Agency CMOs 2,427 41 248,193 55,970 250,620 56,011 State and municipal obligations 1,713 137 26,218 2,777 27,931 2,914 December 31, 2022 Less than 12 12 Consecutive Consecutive Months Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) Value Losses Value Losses Value Losses Securities available-for-sale: Treasury securities $ — $ — $ 227,256 $ 19,643 $ 227,256 $ 19,643 Corporate securities 110,707 8,494 50,116 8,581 160,823 17,075 Pass-through MBS issued by GSEs 50,813 2,010 190,427 29,524 241,240 31,534 Agency CMOs 55,924 3,454 220,413 46,603 276,337 50,057 State and municipal obligations 10,848 174 22,681 2,847 33,529 3,021 |
LOANS HELD FOR INVESTMENT, NET
LOANS HELD FOR INVESTMENT, NET (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
LOANS HELD FOR INVESTMENT, NET | |
Schedule of loan categories | (In thousands) September 30, 2023 December 31, 2022 Business loans (1) $ 2,271,768 $ 2,211,857 One-to-four family residential and cooperative/condominium apartment 892,869 773,321 Multifamily residential and residential mixed-use 4,102,024 4,026,826 Non-owner-occupied commercial real estate 3,374,281 3,317,485 Acquisition, development, and construction ("ADC") 203,402 229,663 Other loans 6,267 7,679 Total 10,850,611 10,566,831 Allowance for credit losses (72,563) (83,507) Loans held for investment, net $ 10,778,048 $ 10,483,324 (1) |
Schedule of activity in allowance for loan losses | At or for the Three Months Ended September 30, 2023 One-to-Four Family Multifamily Residential and Residential Cooperative/ and Non-Owner-Occupied Business Condominium Residential Commercial Other (In thousands) Loans Apartment Mixed-Use Real Estate ADC Loans Total Allowance for credit losses: Beginning balance $ 39,700 $ 6,419 $ 8,190 $ 18,440 $ 2,558 $ 339 $ 75,646 (Credit) provision for credit losses 1,822 787 (621) (10) (220) 23 1,781 Charge-offs (5,147) — (2) — — (26) (5,175) Recoveries 305 — — — — 6 311 Ending balance $ 36,680 $ 7,206 $ 7,567 $ 18,430 $ 2,338 $ 342 $ 72,563 At or for the Three Months Ended September 30, 2022 One-to-Four Family Multifamily Residential and Residential Cooperative/ and Non-Owner-Occupied Business Condominium Residential Commercial Other (In thousands) Loans Apartment Mixed-Use Real Estate ADC Loans Total Allowance for credit losses: Beginning balance $ 45,128 $ 4,514 $ 7,003 $ 18,707 $ 3,788 $ 286 $ 79,426 (Credit) provision for credit losses 3,246 544 1,051 1,800 (169) (32) 6,440 Charge-offs (5,462) — — — — (49) (5,511) Recoveries 1,580 — — — — — 1,580 Ending balance $ 44,492 $ 5,058 $ 8,054 $ 20,507 $ 3,619 $ 205 $ 81,935 At or for the Nine Months Ended September 30, 2023 Real Estate Loans One-to-Four Family Multifamily Residential and Residential Cooperative/ and Non-Owner-Occupied Business Condominium Residential Commercial Other (In thousands) Loans Apartment Mixed-Use Real Estate ADC Loans Total Allowance for credit losses: Beginning balance $ 47,029 $ 5,969 $ 8,360 $ 20,153 $ 1,723 $ 273 $ 83,507 Provision (recovery) for credit losses (328) 1,251 (791) (1,723) 615 116 (860) Charge-offs (10,921) (14) (2) — — (60) (10,997) Recoveries 900 — — — — 13 913 Ending balance $ 36,680 $ 7,206 $ 7,567 $ 18,430 $ 2,338 $ 342 $ 72,563 At or for the Nine Months Ended September 30, 2022 One-to-Four Family Multifamily Residential and Residential Cooperative/ and Non-Owner-Occupied Business Condominium Residential Commercial Other (In thousands) Loans Apartment Mixed-Use Real Estate ADC Loans Total Allowance for credit losses: Beginning balance $ 62,366 $ 5,932 $ 7,816 $ 2,131 $ 4,857 $ 751 $ 83,853 (Recovery) provision for credit losses (10,799) (874) 236 18,322 (1,238) (495) 5,152 Charge-offs (8,742) — — — — (52) (8,794) Recoveries 1,667 — 2 54 — 1 1,724 Ending balance $ 44,492 $ 5,058 $ 8,054 $ 20,507 $ 3,619 $ 205 $ 81,935 |
Schedule of financing receivable, nonaccrual | September 30, 2023 Non-accrual with Non-accrual with (In thousands) No Allowance Allowance Reserve Business loans $ 3,809 $ 15,746 $ 14,065 One-to-four family residential and cooperative/condominium apartment — 2,874 140 Multifamily residential and residential mixed-use — — — Non-owner-occupied commercial real estate — 15 15 Acquisition, development, and construction — 657 305 Other loans — 219 219 Total $ 3,809 $ 19,511 $ 14,744 December 31, 2022 Non-accrual with Non-accrual with (In thousands) No Allowance Allowance Reserve Business loans $ 5,403 $ 22,384 $ 20,812 One-to-four family residential and cooperative/condominium apartment — 3,203 181 Multifamily residential and residential mixed-use — — — Non-owner-occupied commercial real estate 15 2,476 1,297 Acquisition, development, and construction 657 — — Other loans — 99 99 Total $ 6,075 $ 28,162 $ 22,389 |
Schedule of past due financing receivables | The following tables summarize the past due status of the Company’s investment in loans as of the dates indicated: September 30, 2023 Loans 90 Days or Total 30 to 59 60 to 89 More Past Due Past Due Days Days and Still and Total (In thousands) Past Due Past Due Accruing Interest Non-accrual Non-accrual Current Loans Business loans $ 16,693 $ 1,151 $ — $ 19,555 $ 37,399 $ 2,234,369 $ 2,271,768 One-to-four family residential, including condominium and cooperative apartment 439 2,644 — 2,874 5,957 886,912 892,869 Multifamily residential and residential mixed-use 2,976 818 — — 3,794 4,098,230 4,102,024 Non-owner-occupied commercial real estate 2,851 6,787 — 15 9,653 3,364,628 3,374,281 Acquisition, development, and construction — 650 — 657 1,307 202,095 203,402 Other 2 — — 219 221 6,046 6,267 Total $ 22,961 $ 12,050 $ — $ 23,320 $ 58,331 $ 10,792,280 $ 10,850,611 December 31, 2022 Loans 90 Days or Total 30 to 59 60 to 89 More Past Due Past Due Days Days and Still and Total (In thousands) Past Due Past Due Accruing Interest Non-accrual Non-accrual Current Loans Business loans $ 5,861 $ 741 $ — $ 27,787 $ 34,389 $ 2,177,468 $ 2,211,857 One-to-four family residential, including condominium and cooperative apartment 686 — — 3,203 3,889 769,432 773,321 Multifamily residential and residential mixed-use 4,817 — — — 4,817 4,022,009 4,026,826 Non-owner-occupied commercial real estate 11,889 — — 2,491 14,380 3,303,105 3,317,485 Acquisition, development, and construction — — — 657 657 229,006 229,663 Other 264 1 — 99 364 7,315 7,679 Total $ 23,517 $ 742 $ — $ 34,237 $ 58,496 $ 10,508,335 $ 10,566,831 |
Schedule of collateral dependent loans | September 30, 2023 December 31, 2022 Real Estate Associated Allowance Real Estate Associated Allowance (In thousands) Collateral Dependent for Credit Losses Collateral Dependent for Credit Losses Business loans $ 3,771 $ — $ 5,849 $ — One-to-four family residential, including condominium and cooperative apartment — — — — Multifamily residential and residential mixed-use — — — — Non-owner-occupied commercial real estate — — 2,491 1,297 Acquisition, development, and construction 657 305 657 — Other — — — — Total $ 4,428 $ 305 $ 8,997 $ 1,297 |
Schedule of amortized cost basis of loans modified to borrowers | For the Three Months Ended September 30, 2023 Significant Term Extension Significant Payment Delay % of Total Class Term Payment and Significant and Interest of Financing (Dollars in thousands) Extension Delay Payment Delay Rate Reduction Total Receivable Business loans $ — $ 9,290 $ — $ 29 $ 9,319 0.4 % One-to-four family residential, including condominium and cooperative apartment — — — — — 0.0 Multifamily residential and residential mixed-use — — — — — 0.0 Non-owner-occupied commercial real estate — 24,705 — — 24,705 0.7 Acquisition, development, and construction — — — — — 0.0 Other — — — — — 0.0 Total $ — $ 33,995 $ — $ 29 $ 34,024 0.3 % For the Nine Months Ended September 30, 2023 Significant Term Extension Significant Payment Delay % of Total Class Term Payment and Significant and Interest of Financing (Dollars in thousands) Extension Delay Payment Delay Rate Reduction Total Receivable Business loans $ 126 $ 9,290 $ 471 $ 301 $ 10,188 0.4 % One-to-four family residential, including condominium and cooperative apartment — 2,854 — — 2,854 0.3 Multifamily residential and residential mixed-use — — — — — 0.0 Non-owner-occupied commercial real estate — 24,705 — — 24,705 0.7 Acquisition, development, and construction — — — — — 0.0 Other — — — — — 0.0 Total $ 126 $ 36,849 $ 471 $ 301 $ 37,747 0.3 % |
Schedule of financial effect of loans modified to borrowers | The following tables describes the financial effect of the modifications made to borrowers experiencing financial difficulty: For the Three Months Ended September 30, 2023 Weighted Average Weighted Average Weighted Average Payment Delay Interest Rate Months of or Principal (Dollars in thousands) Reductions Term Extensions Forgiveness Business loans 4.50 % $ — $ 1,417 One-to-four family residential, including condominium and cooperative apartment — — — Multifamily residential and residential mixed-use — — — Non-owner-occupied commercial real estate — — 988 Acquisition, development, and construction — — — Other loans — — — Total 4.50 % $ — $ 2,405 For the Nine Months Ended September 30, 2023 Weighted Average Weighted Average Weighted Average Payment Delay Interest Rate Months of or Principal (Dollars in thousands) Reductions Term Extensions Forgiveness Business loans 4.27 % $ 20 $ 1,314 One-to-four family residential, including condominium and cooperative apartment — — 72 Multifamily residential and residential mixed-use — — — Non-owner-occupied commercial real estate — — 988 Acquisition, development, and construction — — — Other loans — — — Total 4.27 % $ 20 $ 2,374 |
Schedule of performance of loans that have been modified | September 30, 2023 30-59 60-89 90+ (Dollars in thousands) Current Days Past Due Days Past Due Days Past Due Non-Accrual Total Business loans $ 9,290 $ — $ — $ — $ 898 $ 10,188 One-to-four family residential, including condominium and cooperative apartment 2,854 — — — — 2,854 Multifamily residential and residential mixed-use — — — — — — Non-owner-occupied commercial real estate 24,705 — — — — 24,705 Acquisition, development, and construction — — — — — — Other loans — — — — — — Total $ 36,849 $ — $ — $ — $ 898 $ 37,747 |
Schedule of loans by class modified as trouble debt restructurings | Modifications During the Year Ended December 31, 2022 Pre- Post- Modification Modification Number Outstanding Outstanding of Recorded Recorded (Dollars in thousands) Loans Investment Investment Business loans 7 $ 21,934 $ 21,938 One-to-four family residential, including condominium and cooperative apartment 2 762 762 Multifamily residential and residential mixed-use — — — Non-owner-occupied commercial real estate 1 991 991 Acquisition, development, and construction 1 13,500 13,500 Other 1 276 276 Total 12 $ 37,463 $ 37,467 |
Schedule of Credit risk profile of the real estate loans | September 30, 2023 (In thousands) 2023 2022 2021 2020 2019 2018 and Prior Revolving Revolving-Term Total Business loans Pass $ 197,831 $ 428,588 $ 199,606 $ 167,826 $ 159,084 $ 316,910 $ 640,980 $ 39,015 $ 2,149,840 Special mention 506 3,184 1,279 923 4,850 13,541 22,962 9,125 56,370 Substandard 1 1,950 2,446 6,845 2,737 30,088 8,290 8,286 60,643 Doubtful — — — — 4,166 749 — — 4,915 Total business loans 198,338 433,722 203,331 175,594 170,837 361,288 672,232 56,426 2,271,768 YTD Gross Charge-Offs — — 77 38 4,166 2,229 1,021 3,390 10,921 One-to-four family residential, and condominium/cooperative apartment: Pass 161,750 217,184 103,310 69,919 63,299 215,385 33,259 12,825 876,931 Special mention — — — — — 756 159 710 1,625 Substandard — — — 1,010 1,218 11,299 — 786 14,313 Doubtful — — — — — — — — — Total one-to-four family residential, and condominium/cooperative apartment 161,750 217,184 103,310 70,929 64,517 227,440 33,418 14,321 892,869 YTD Gross Charge-Offs — — — — — — — 14 14 Multifamily residential and residential mixed-use: Pass 244,041 1,367,753 589,048 285,272 389,601 1,086,015 12,715 4,340 3,978,785 Special mention — — 4,223 22,096 3,905 30,476 — — 60,700 Substandard — — — 10,656 5,109 46,774 — — 62,539 Doubtful — — — — — — — — — Total multifamily residential and residential mixed-use 244,041 1,367,753 593,271 318,024 398,615 1,163,265 12,715 4,340 4,102,024 YTD Gross Charge-Offs — — — — — 2 — — 2 Non-owner-occupied commercial real estate Pass 196,881 728,514 667,899 478,381 358,916 782,593 11,237 7,987 3,232,408 Special mention — — — 78,099 4,585 14,757 — — 97,441 Substandard — — 15 25,740 6,285 12,392 — — 44,432 Doubtful — — — — — — — — — Total non-owner-occupied commercial real estate 196,881 728,514 667,914 582,220 369,786 809,742 11,237 7,987 3,374,281 YTD Gross Charge-Offs — — — — — — — — — Acquisition, development, and construction Pass 7,668 51,454 81,045 7,647 15,644 495 23,597 238 187,788 Special mention — — 14,957 — — — — — 14,957 Substandard — — 657 — — — — — 657 Doubtful — — — — — — — — — Total acquisition, development, and construction 7,668 51,454 96,659 7,647 15,644 495 23,597 238 203,402 YTD Gross Charge-Offs — — — — — — — — — Total: Pass 808,171 2,793,493 1,640,908 1,009,045 986,544 2,401,398 721,788 64,405 10,425,752 Special mention 506 3,184 20,459 101,118 13,340 59,530 23,121 9,835 231,093 Substandard 1 1,950 3,118 44,251 15,349 100,553 8,290 9,072 182,584 Doubtful — — — — 4,166 749 — — 4,915 Total Loans $ 808,678 $ 2,798,627 $ 1,664,485 $ 1,154,414 $ 1,019,399 $ 2,562,230 $ 753,199 $ 83,312 $ 10,844,344 YTD Gross Charge-Offs $ — $ — $ 77 $ 38 $ 4,166 $ 2,231 $ 1,021 $ 3,404 $ 10,937 December 31, 2022 (In thousands) 2022 2021 2020 2019 2018 2017 and Prior Revolving Revolving-Term Total Business loans Pass $ 449,699 $ 228,143 $ 187,522 $ 173,527 $ 130,576 $ 240,131 $ 650,960 $ 43,552 $ 2,104,110 Special mention 6,634 - 894 1,529 15,893 4,213 9,062 478 38,703 Substandard 5,242 1,380 8,843 4,706 2,101 14,938 11,290 9,412 57,912 Doubtful — — — 8,332 752 2,048 — — 11,132 Total business loans 461,575 229,523 197,259 188,094 149,322 261,330 671,312 53,442 2,211,857 YTD Gross Charge-Offs — 477 4,720 2,088 — 2,414 1,460 242 11,401 One-to-four family residential, and condominium/cooperative apartment: Pass 225,031 108,185 72,732 65,515 66,038 164,338 41,172 12,563 755,574 Special mention — — — — 735 1,175 579 726 3,215 Substandard — — 1,026 1,227 407 10,779 — 1,093 14,532 Doubtful — — — — — — — — — Total one-to-four family residential, and condominium/cooperative apartment 225,031 108,185 73,758 66,742 67,180 176,292 41,751 14,382 773,321 YTD Gross Charge-Offs — — — — — — — — — Multifamily residential and residential mixed-use: Pass 1,386,549 582,393 316,424 395,933 127,074 1,107,281 12,584 — 3,928,238 Special mention — — — 11,183 — 14,168 — — 25,351 Substandard — — 12,294 7,001 20,311 33,631 — — 73,237 Doubtful — — — — — — — — — Total multifamily residential and residential mixed-use 1,386,549 582,393 328,718 414,117 147,385 1,155,080 12,584 — 4,026,826 YTD Gross Charge-Offs — — — — — — — — — Non-owner-occupied commercial real estate Pass 747,272 662,608 608,133 373,835 198,317 661,311 11,963 3,453 3,266,892 Special mention — — 19,655 4,652 — 12,108 — — 36,415 Substandard — 15 1,070 6,209 — 6,884 — — 14,178 Doubtful — — — — — — — — — Total non-owner-occupied commercial real estate 747,272 662,623 628,858 384,696 198,317 680,303 11,963 3,453 3,317,485 YTD Gross Charge-Offs — — — — — — — — — Acquisition, development, and construction Pass 36,877 152,543 11,242 15,943 — 2,087 10,033 281 229,006 Special mention — — — — — — — — — Substandard — 657 — — — — — — 657 Doubtful — — — — — — — — — Total acquisition, development, and construction 36,877 153,200 11,242 15,943 — 2,087 10,033 281 229,663 YTD Gross Charge-Offs — — — — — — — — — Total: Pass 2,845,428 1,733,872 1,196,053 1,024,753 522,005 2,175,148 726,712 59,849 10,283,820 Special mention 6,634 — 20,549 17,364 16,628 31,664 9,641 1,204 103,684 Substandard 5,242 2,052 23,233 19,143 22,819 66,232 11,290 10,505 160,516 Doubtful — — — 8,332 752 2,048 — — 11,132 Total Loans $ 2,857,304 $ 1,735,924 $ 1,239,835 $ 1,069,592 $ 562,204 $ 2,275,092 $ 747,643 $ 71,558 $ 10,559,152 YTD Gross Charge-Offs $ — $ 477 $ 4,720 $ 2,088 $ — $ 2,414 $ 1,460 $ 242 $ 11,401 (In thousands) September 30, 2023 December 31, 2022 Performing $ 6,048 $ 7,580 Non-accrual 219 99 Total $ 6,267 $ 7,679 |
LEASES (Tables)
LEASES (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
LEASES | |
Summary of maturities of operating lease liabilities | Rent to be (In thousands) Capitalized 2023 $ 3,242 2024 13,009 2025 12,833 2026 12,173 2027 10,217 Thereafter 10,557 Total undiscounted lease payments 62,031 Less amounts representing interest (3,750) Operating lease liabilities $ 58,281 |
Summary of other information related to operating leases | Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Operating lease cost $ 3,236 $ 3,336 $ 9,529 $ 9,869 Cash paid for amounts included in the measurement of operating lease liabilities 3,171 3,253 9,330 9,232 September 30, December 31, 2023 2022 Weighted average remaining lease term 5.2 years 5.9 years Weighted average discount rate 2.33 % 2.03 % |
DERIVATIVES AND HEDGING ACTIV_2
DERIVATIVES AND HEDGING ACTIVITIES (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
Derivatives, Fair Value [Line Items] | |
Schedule of effect of cash flow hedge accounting on accumulated other comprehensive income (loss) | Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 (Loss) gain recognized in other comprehensive income (loss) $ (246) $ 5,387 $ (771) $ 14,548 (Loss) gain reclassified from other comprehensive income into interest expense (293) 546 (279) 569 |
Designated as Hedging Instrument | |
Derivatives, Fair Value [Line Items] | |
Schedule of fair value of derivative financial instruments and classification on consolidated statements of financial condition | September 30, 2023 December 31, 2022 Notional Fair Value Fair Value Notional Fair Value Fair Value (Dollars in thousands) Count Amount Assets Liabilities Count Amount Assets Liabilities Included in derivative assets/(liabilities): Interest rate swaps related to FHLBNY advances 4 $ 150,000 $ 16,657 $ — 4 $ 150,000 $ 17,150 $ — |
Not Designated as Hedging Instrument | |
Derivatives, Fair Value [Line Items] | |
Schedule of fair value of derivative financial instruments and classification on consolidated statements of financial condition | September 30, 2023 Notional Fair Value Fair Value (In thousands) Count Amount Assets Liabilities Included in derivative assets/(liabilities): Loan level interest rate swaps with borrower 4 $ 34,050 $ 360 $ — Loan level interest rate swaps with borrower 219 1,549,816 — 158,976 Loan level interest rate floors with borrower 3 17,625 — — Loan level interest rate floors with borrower 25 178,032 — 1,376 Loan level interest rate swaps with third-party counterparties 4 34,050 — 360 Loan level interest rate swaps with third-party counterparties 219 1,549,816 158,976 — Loan level interest rate floors with third-party counterparties 3 17,625 — — Loan level interest rate floors with third-party counterparties 25 178,032 1,376 — December 31, 2022 Notional Fair Value Fair Value (In thousands) Count Amount Assets Liabilities Included in derivative assets/(liabilities): Loan level interest rate swaps with borrower 3 $ 53,311 $ 1,524 $ — Loan level interest rate swaps with borrower 185 1,214,736 — 126,751 Loan level interest rate floors with borrower 40 326,309 — 9,060 Loan level interest rate swaps with third-party counterparties 3 53,311 — 1,524 Loan level interest rate swaps with third-party counterparties 185 1,214,736 126,751 — Loan level interest rate floors with third-party counterparties 40 326,309 9,060 — |
Schedule of loan level derivative income | Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Loan level derivative income $ 783 $ 549 $ 6,353 $ 2,240 |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | |
Schedule of fair value, assets and liabilities measured on recurring basis | Fair Value Measurements at September 30, 2023 Using Level 1 Level 2 Level 3 (In thousands) Total Inputs Inputs Inputs Financial Assets: Securities available-for-sale: Agency notes $ 9,143 $ — $ 9,143 $ — Treasury securities 229,873 — 229,873 — Corporate securities 141,087 — 141,087 — Pass-through MBS issued by GSEs 206,203 — 206,203 — Agency CMOs 255,642 — 255,642 — State and municipal obligations 27,931 — 27,931 — Derivative – cash flow hedges 16,657 — 16,657 — Derivative – freestanding derivatives, net 160,712 — 160,712 — Financial Liabilities: Derivative – freestanding derivatives, net 160,712 — 160,712 — Fair Value Measurements at December 31, 2022 Using Level 1 Level 2 Level 3 (In thousands) Total Inputs Inputs Inputs Financial Assets: Securities available-for-sale: Treasury securities $ 227,256 $ — $ 227,256 $ — Corporate securities 166,773 — 166,773 — Pass-through MBS issued by GSEs 241,240 — 241,240 — Agency CMOs 281,339 — 281,339 — State and municipal obligations 33,979 — 33,979 — Derivative – cash flow hedges 17,150 — 17,150 — Derivative – freestanding derivatives, net 137,335 — 137,335 — Financial Liabilities: Derivative – freestanding derivatives, net 137,335 — 137,335 — |
Schedule of assets measured at fair value on a non-recurring basis | September 30, 2023 Fair Value Measurements Using: Quoted Prices In Active Significant Markets for Other Significant Identical Observable Unobservable Carrying Assets Inputs Inputs (In thousands) Value (Level 1) (Level 2) (Level 3) Individually evaluated loans $ 352 $ — $ — $ 352 December 31, 2022 Fair Value Measurements Using: Quoted Prices In Active Significant Markets for Other Significant Identical Observable Unobservable Carrying Assets Inputs Inputs (In thousands) Value (Level 1) (Level 2) (Level 3) Individually evaluated loans $ 1,179 $ — $ — $ 1,179 |
Schedule of fair value measurements, nonrecurring | Fair Value Measurements at September 30, 2023 Using Carrying Level 1 Level 2 Level 3 (In thousands) Amount Inputs Inputs Inputs Total Financial Assets: Cash and due from banks $ 358,824 $ 358,824 $ — $ — $ 358,824 Securities held-to-maturity 600,291 — 495,986 — 495,986 Loans held for investment, net 10,777,696 — — 10,255,764 10,255,764 Accrued interest receivable 53,608 — 5,525 48,083 53,608 Financial Liabilities: Savings, money market and checking accounts (1) 9,194,247 9,194,247 — — 9,194,247 Certificates of Deposits ("CDs") 1,442,299 — 1,433,548 — 1,433,548 FHLBNY advances 1,123,000 — 1,119,564 — 1,119,564 Subordinated debt, net 200,218 — 162,218 — 162,218 Accrued interest payable 19,948 — 19,948 — 19,948 (1) Fair Value Measurements at December 31, 2022 Using Carrying Level 1 Level 2 Level 3 (In thousands) Amount Inputs Inputs Inputs Total Financial Assets: Cash and due from banks $ 169,297 $ 169,297 $ — $ — $ 169,297 Securities held-to-maturity 585,798 — 505,759 — 505,759 Loans held for investment, net 10,482,145 — — 10,005,121 10,005,121 Accrued interest receivable 48,561 — 6,105 42,456 48,561 Financial Liabilities: Savings, money market and checking accounts (1) 9,139,043 9,139,043 — — 9,139,043 Certificates of Deposits ("CDs") 1,115,364 — 1,096,808 — 1,096,808 FHLBNY advances 1,131,000 — 1,131,217 — 1,131,217 Subordinated debt, net 200,283 — 180,583 — 180,583 Other short-term borrowings 1,360 1,360 — — 1,360 Accrued interest payable 5,323 — 5,323 — 5,323 |
OTHER INTANGIBLE ASSETS (Tables
OTHER INTANGIBLE ASSETS (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
OTHER INTANGIBLE ASSETS | |
Schedule of acquired intangible assets | (Dollars in thousands) Core Deposit Intangibles September 30, 2023 December 31, 2022 Gross carrying value $ 10,204 $ 10,204 Accumulated amortization (4,795) (3,720) Net carrying amount $ 5,409 $ 6,484 |
Schedule of estimated amortization expense | (In thousands) Total 2023 $ 349 2024 1,164 2025 958 2026 795 2027 664 Thereafter 1,479 Total $ 5,409 |
FHLBNY ADVANCES (Tables)
FHLBNY ADVANCES (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
FHLBNY ADVANCES | |
Schedule of contractual maturities and weighted average interest rates of FHLBNY advances | (Dollars in thousands) Contractual Maturity September 30, 2023 December 31, 2022 2023, fixed rate at rates from 5.18% to 5.65% 425,000 1,095,000 2024, fixed rate at rates from 4.85% to 5.16% 650,000 — 2027, fixed rate at 4.25% 36,000 36,000 2028, fixed rate at 4.04% 12,000 — Total FHLBNY advances $ 1,123,000 $ 1,131,000 |
RETIREMENT AND POSTRETIREMENT_2
RETIREMENT AND POSTRETIREMENT PLANS (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
RETIREMENT AND POSTRETIREMENT PLANS | |
Schedule of components of net periodic benefit (credit) cost included in other non-interest expense | Three Months Ended September 30, 2023 2022 BNB Bank Employee BNB Bank Employee (In thousands) Pension Plan Retirement Plan Pension Plan Retirement Plan Service cost $ 175 $ — $ 267 $ — Interest cost 330 222 195 155 Expected return on assets (687) (382) (857) (490) Amortization of unrealized loss — 147 — 63 Net periodic credit $ (182) $ (13) $ (395) $ (272) Nine Months Ended September 30, 2023 2022 BNB Bank Employee BNB Bank Employee (In thousands) Pension Plan Retirement Plan Pension Plan Retirement Plan Service cost $ 525 $ — $ 802 $ — Interest cost 990 667 585 465 Expected return on assets (2,062) (1,147) (2,572) (1,470) Amortization of unrealized loss — 442 — 188 Net periodic credit $ (547) $ (38) $ (1,185) $ (817) |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 9 Months Ended |
Sep. 30, 2023 | |
STOCK-BASED COMPENSATION | |
Schedule of activity related to stock options | Weighted- Average Aggregate Weighted- Remaining Intrinsic Number of Average Exercise Contractual Value Options Price Years (In thousands) Options outstanding at January 1, 2023 92,137 $ 35.39 6.2 — Options exercised — — Options forfeited — — Options outstanding at September 30, 2023 92,137 $ 35.39 5.5 $ — Options vested and exercisable at September 30, 2023 92,137 $ 35.39 5.5 $ — |
Schedule of information related to stock option plan | Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Cash received for option exercise cost $ — $ — $ — $ — Income tax (expense) benefit recognized on stock option exercises — — — — Intrinsic value of options exercised — — — — |
Schedule of exercise prices and weighted-average remaining contractual lives of both outstanding and vested options | Outstanding Options Vested Options Weighted Weighted Average Average Contractual Contractual Years Years Amount Remaining Amount Remaining Exercise Prices: $34.87 35,671 6.4 35,671 6.4 $35.35 32,079 5.4 32,079 5.4 $36.19 24,387 4.4 24,387 4.4 Total 92,137 5.5 92,137 5.5 |
Schedule of activity related to restricted stock awards | Weighted- Average Number of Grant-Date Shares Fair Value Unvested allocated shares outstanding at January 1, 2023 350,758 $ 28.63 Shares granted 220,750 25.47 Shares vested (133,732) 29.34 Shares forfeited (75,624) 26.43 Unvested allocated shares outstanding at September 30, 2023 362,152 $ 26.89 |
Schedule of information related to restricted stock award plan | Three Months Ended Nine Months Ended September 30, September 30, (Dollars in thousands) 2023 2022 2023 2022 Compensation expense recognized $ 604 $ 1,035 $ 2,924 $ 2,823 Income tax (expense) benefit recognized on vesting of RSAs (72) (10) (184) 178 |
Schedule of activity related to performance based equity awards | Weighted- Average Number of Grant-Date Shares Fair Value Maximum aggregate share payout at January 1, 2023 95,831 $ 30.35 Shares granted 195,066 17.69 Shares forfeited (60,987) 25.21 Maximum aggregate share payout at September 30, 2023 229,910 $ 20.97 Minimum aggregate share payout — — Expected aggregate share payout 210,820 $ 20.21 |
Schedule of information related to performance based share award plan | Three Months Ended Nine Months Ended September 30, September 30, (In thousands) 2023 2022 2023 2022 Compensation (benefit) expense recognized $ (66) $ 193 $ 274 $ 570 Income tax expense recognized on vesting of PSAs — — — — |
BASIS OF PRESENTATION (Details)
BASIS OF PRESENTATION (Details) | 1 Months Ended | 9 Months Ended |
Sep. 30, 2021 subsidiary | Sep. 30, 2023 location | |
SUMMARY OF ACCOUNTING POLICIES | ||
Number of real estate investments dissolved | subsidiary | 2 | |
Number of branch locations | location | 60 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Accumulated Other Comprehensive (loss) income (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Accumulated other comprehensive (loss) income, net of tax: | ||||||||
Balance | $ 1,202,503 | $ 1,191,253 | $ 1,169,583 | $ 1,140,522 | $ 1,155,287 | $ 1,192,620 | $ 1,169,583 | $ 1,192,620 |
Total other comprehensive loss, net of tax | (2,528) | (5,747) | (4,259) | (23,086) | (20,570) | (43,199) | (12,534) | (86,855) |
Balance | 1,204,344 | 1,202,503 | 1,191,253 | 1,140,791 | 1,140,522 | 1,155,287 | 1,204,344 | 1,140,791 |
Accumulated Other Comprehensive Loss, Net of Deferred Taxes | ||||||||
Accumulated other comprehensive (loss) income, net of tax: | ||||||||
Balance | (104,385) | (98,638) | (94,379) | (69,950) | (49,380) | (6,181) | (94,379) | (6,181) |
Other comprehensive (loss) income before reclassifications | (14,615) | (84,542) | ||||||
Amounts reclassified from accumulated other comprehensive loss | 2,081 | (2,313) | ||||||
Total other comprehensive loss, net of tax | (2,528) | (5,747) | (4,259) | (23,086) | (20,570) | (43,199) | (12,534) | (86,855) |
Balance | (106,913) | $ (104,385) | (98,638) | (93,036) | $ (69,950) | (49,380) | (106,913) | (93,036) |
Securities | ||||||||
Accumulated other comprehensive (loss) income, net of tax: | ||||||||
Balance | (100,870) | (7,864) | (100,870) | (7,864) | ||||
Other comprehensive (loss) income before reclassifications | (15,338) | (96,565) | ||||||
Amounts reclassified from accumulated other comprehensive loss | 2,666 | |||||||
Total other comprehensive loss, net of tax | (12,672) | (96,565) | ||||||
Balance | (113,542) | (104,429) | (113,542) | (104,429) | ||||
Defined Benefit Plans | ||||||||
Accumulated other comprehensive (loss) income, net of tax: | ||||||||
Balance | (5,266) | (1,306) | (5,266) | (1,306) | ||||
Other comprehensive (loss) income before reclassifications | 952 | 2,051 | ||||||
Amounts reclassified from accumulated other comprehensive loss | (781) | (1,923) | ||||||
Total other comprehensive loss, net of tax | 171 | 128 | ||||||
Balance | (5,095) | (1,178) | (5,095) | (1,178) | ||||
Derivatives | ||||||||
Accumulated other comprehensive (loss) income, net of tax: | ||||||||
Balance | $ 11,757 | $ 2,989 | 11,757 | 2,989 | ||||
Other comprehensive (loss) income before reclassifications | (229) | 9,972 | ||||||
Amounts reclassified from accumulated other comprehensive loss | 196 | (390) | ||||||
Total other comprehensive loss, net of tax | (33) | 9,582 | ||||||
Balance | $ 11,724 | $ 12,571 | $ 11,724 | $ 12,571 |
ACCUMULATED OTHER COMPREHENSI_4
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Before and After Tax Amounts by Component (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Change in unrealized gain (loss) on securities: | ||||||||
Change in net unrealized loss during the period | $ (4,374) | $ (39,692) | $ (17,967) | $ (142,980) | ||||
Reclassification adjustment for net losses included in net loss on sale of securities and other assets | 1,447 | |||||||
Accretion of net unrealized loss on securities transferred to held-to-maturity | 788 | 1,112 | 2,341 | 2,111 | ||||
Net change | (3,586) | (38,580) | (14,179) | (140,869) | ||||
Tax benefit | (1,062) | (12,133) | (1,507) | (44,304) | ||||
Net change in unrealized loss on securities, net of reclassification adjustments and tax | (2,524) | (26,447) | (12,672) | (96,565) | ||||
Change in pension and other postretirement obligations: | ||||||||
Reclassification adjustment for expense included in other expense | (370) | (935) | (1,110) | (2,805) | ||||
Change in the net actuarial gain | 518 | 997 | 1,553 | 2,992 | ||||
Net change | 148 | 62 | 443 | 187 | ||||
Tax expense | 185 | 20 | 272 | 59 | ||||
Net change in pension and other postretirement obligations | (37) | 42 | 171 | 128 | ||||
Change in unrealized gain (loss) on derivatives: | ||||||||
Change in net unrealized (loss) gain during the period | (246) | 5,387 | (771) | 14,548 | ||||
Reclassification adjustment for expense included in interest expense | 293 | (546) | 279 | (569) | ||||
Net change | 47 | 4,841 | (492) | 13,979 | ||||
Tax expense (benefit) | 14 | 1,522 | (459) | 4,397 | ||||
Net change in unrealized gain (loss) on derivatives, net of reclassification adjustments and tax | 33 | 3,319 | (33) | 9,582 | ||||
Total other comprehensive loss, net of tax | $ (2,528) | $ (5,747) | $ (4,259) | $ (23,086) | $ (20,570) | $ (43,199) | $ (12,534) | $ (86,855) |
EARNINGS PER COMMON SHARE (Deta
EARNINGS PER COMMON SHARE (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Abstract] | ||||
Net income available to common stockholders | $ 13,163 | $ 37,659 | $ 74,321 | $ 107,032 |
Less: Dividends paid and earnings allocated to participating securities | (209) | (438) | (1,015) | (1,244) |
Income attributable to common stock | $ 12,954 | $ 37,221 | $ 73,306 | $ 105,788 |
Weighted-average common shares outstanding, including participating securities (in shares) | 38,821,541 | 38,614,436 | 38,732,963 | 39,125,192 |
Less: weighted-average participating securities (in shares) | (617,580) | (448,755) | (555,259) | (446,298) |
Weighted-average common shares outstanding (in shares) | 38,203,961 | 38,165,681 | 38,177,704 | 38,678,894 |
Basic EPS (in dollars per share) | $ 0.34 | $ 0.98 | $ 1.92 | $ 2.74 |
Weighted-average common shares outstanding (in shares) | 38,203,961 | 38,165,681 | 38,177,704 | 38,678,894 |
Weighted-average common and equivalent shares outstanding (in shares) | 38,203,961 | 38,165,681 | 38,177,704 | 38,678,894 |
Diluted EPS (in dollars per share) | $ 0.34 | $ 0.98 | $ 1.92 | $ 2.74 |
Employee Stock Option | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Abstract] | ||||
Weighted average shares excluded from earnings per share calculation (in shares) | 92,137 | 102,581 | 92,137 | 114,961 |
PREFERRED STOCK (Details)
PREFERRED STOCK (Details) $ / shares in Units, $ in Millions | 9 Months Ended | ||||
Feb. 01, 2021 | Jun. 10, 2020 USD ($) shares | Feb. 05, 2020 USD ($) $ / shares shares | Sep. 30, 2023 $ / shares | Dec. 31, 2022 $ / shares | |
Public Offering [Abstract] | |||||
Preferred stock, Series A, par value (in dollars per share) | $ 0.01 | $ 0.01 | |||
Preferred stock, Series A, liquidation value (in dollars per share) | $ 25 | $ 25 | |||
Preferred Stock, Series A | |||||
Public Offering [Abstract] | |||||
Number of share issued in public offering (in shares) | shares | 2,300,000 | 2,999,200 | |||
Preferred stock, liquidation preference | $ | $ 57.5 | $ 75 | |||
Preferred stock, interest rate | 5.50% | 5.50% | |||
Preferred stock, Series A, par value (in dollars per share) | $ 0.01 | ||||
Preferred stock, Series A, liquidation value (in dollars per share) | $ 25 | ||||
Proceeds from issuance of preferred stock | $ | $ 44.3 | $ 72.2 | |||
Preferred stock, redemption price (in dollars per share) | $ 25 | ||||
Preferred Stock | |||||
Public Offering [Abstract] | |||||
Share conversion ratio | 1 |
SECURITIES - Available-for-sale
SECURITIES - Available-for-sale (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Securities available-for-sale: | ||
Amortized Cost | $ 1,007,670 | $ 1,071,858 |
Gross Unrealized Gains | 21 | 59 |
Gross Unrealized Losses | (137,812) | (121,330) |
Fair Value | 869,879 | 950,587 |
Agency notes | ||
Securities available-for-sale: | ||
Amortized Cost | 10,000 | |
Gross Unrealized Losses | (857) | |
Fair Value | 9,143 | |
Treasury securities | ||
Securities available-for-sale: | ||
Amortized Cost | 246,135 | 246,899 |
Gross Unrealized Losses | (16,262) | (19,643) |
Fair Value | 229,873 | 227,256 |
Corporate securities | ||
Securities available-for-sale: | ||
Amortized Cost | 169,549 | 183,791 |
Gross Unrealized Gains | 57 | |
Gross Unrealized Losses | (28,462) | (17,075) |
Fair Value | 141,087 | 166,773 |
Pass-through MBS issued by GSEs | ||
Securities available-for-sale: | ||
Amortized Cost | 239,509 | 272,774 |
Gross Unrealized Losses | (33,306) | (31,534) |
Fair Value | 206,203 | 241,240 |
Agency CMOs | ||
Securities available-for-sale: | ||
Amortized Cost | 311,632 | 331,394 |
Gross Unrealized Gains | 21 | 2 |
Gross Unrealized Losses | (56,011) | (50,057) |
Fair Value | 255,642 | 281,339 |
State and municipal obligations. | ||
Securities available-for-sale: | ||
Amortized Cost | 30,845 | 37,000 |
Gross Unrealized Losses | (2,914) | (3,021) |
Fair Value | $ 27,931 | $ 33,979 |
SECURITIES - Held-to-maturity (
SECURITIES - Held-to-maturity (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Securities held-to-maturity: | ||
Amortized Cost | $ 600,291 | $ 585,798 |
Gross Unrecognized Losses | (104,305) | (80,039) |
Fair Value | 495,986 | 505,759 |
US Government Agencies Debt Securities [Member] | ||
Securities held-to-maturity: | ||
Amortized Cost | 89,461 | 89,157 |
Gross Unrecognized Losses | (15,305) | (14,095) |
Fair Value | 74,156 | 75,062 |
Corporate Debt Securities [Member] | ||
Securities held-to-maturity: | ||
Amortized Cost | 9,000 | 9,000 |
Gross Unrecognized Losses | (1,945) | (553) |
Fair Value | 7,055 | 8,447 |
Pass-through mortgage-backed securities ("MBS") issued by government sponsored entities ("GSEs") | ||
Securities held-to-maturity: | ||
Amortized Cost | 283,258 | 278,281 |
Gross Unrecognized Losses | (53,777) | (40,960) |
Fair Value | 229,481 | 237,321 |
Agency collateralized mortgage obligations ("CMOs") | ||
Securities held-to-maturity: | ||
Amortized Cost | 218,572 | 209,360 |
Gross Unrecognized Losses | (33,278) | (24,431) |
Fair Value | $ 185,294 | $ 184,929 |
SECURITIES - Narrative (Details
SECURITIES - Narrative (Details) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Securities available-for-sale: | |||||
Transfer from securities held-to-maturity | $ 0 | $ 0 | $ 400,000,000 | ||
Securities available-for-sale transferred to held-to-maturity | 372,154,000 | ||||
Unrealized loss on transfer of securities to held to maturity | (27,800,000) | ||||
Gain (loss) on transfer of securities to held-to-maturity | 0 | ||||
Transfers to or from securities held-to-maturity | $ 0 | 0 | |||
Securities held-to-maturity | $ 495,986,000 | $ 495,986,000 | $ 505,759,000 | ||
Number of holdings of securities of any one issuer in an amount greater than 10% of stockholders equity | 0 | 0 | 0 | ||
Threshold for disclosure percentage | 10% | 10% | |||
Available for sale debt securities, unrealized loss position due to credit | $ 0 | $ 0 | |||
Allowance for credit losses on available for sale debt securities | 0 | 0 | |||
Accrued interest receivable on securities | 3,300,000 | $ 5,400,000 | |||
Unrealized losses are related to credit losses | 0 | 0 | |||
Securities pledged | |||||
Securities available-for-sale: | |||||
Carrying amount of securities pledged | $ 470,000,000 | $ 470,000,000 | $ 631,400,000 | ||
Financial Instrument, Owned, Pledged Status [Extensible Enumeration] | Securities pledged | Securities pledged | Securities pledged | ||
Carrying Amount | |||||
Securities available-for-sale: | |||||
Securities held-to-maturity | $ 600,291,000 | $ 600,291,000 | $ 585,798,000 | ||
Fair Value | |||||
Securities available-for-sale: | |||||
Securities available-for-sale transferred to held-to-maturity | $ 372,200,000 | ||||
Securities held-to-maturity | $ 495,986,000 | $ 495,986,000 | $ 505,759,000 |
SECURITIES - Amortized Cost and
SECURITIES - Amortized Cost and Fair Value By Contractual Maturity, Available-for-sale (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Available-for-sale, Amortized Cost | ||
Within one year | $ 83,132 | |
One to five years | 206,284 | |
Five to ten years | 167,113 | |
Pass-through MBS issued by GSEs and Agency CMO | 551,141 | |
Amortized Cost | 1,007,670 | $ 1,071,858 |
Available for sale, Fair Value | ||
Within one year | 80,015 | |
One to five years | 188,885 | |
Five to ten years | 139,134 | |
Pass-through MBS issued by GSEs and Agency CMO | 461,845 | |
Total Fair Value | $ 869,879 | $ 950,587 |
SECURITIES - Amortized Cost a_2
SECURITIES - Amortized Cost and Fair Value By Contractual Maturity, Held-to-maturity (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Held-to-maturity, Amortized Cost | ||
One to five years | $ 19,772 | |
Five to ten years | 78,689 | |
Pass-through MBS issued by GSEs and agency CMO | 501,830 | |
Total Amortized Cost | 600,291 | |
Held-to-maturity, Fair Value | ||
One to five years | 17,743 | |
Five to ten years | 63,468 | |
Pass-through MBS issued by GSEs and agency CMO | 414,775 | |
Total Fair Value | $ 495,986 | $ 505,759 |
SECURITIES - Sales Information
SECURITIES - Sales Information and Marketable Equity Securities (Details) - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Sales of Available-for-sale Securities: | ||||
Proceeds from sales of securities available-for-sale | $ 77,804,000 | |||
Sales of securities held-to-maturity | $ 0 | $ 0 | 0 | $ 0 |
US Government Agencies Debt Securities [Member] | ||||
Sales of Available-for-sale Securities: | ||||
Proceeds from sales of securities available-for-sale | 77,804,000 | |||
Gross gains | 130,000 | |||
Tax expense on gains | 39,000 | |||
Gross losses | 1,577,000 | |||
Tax benefit on losses | $ 467,000 |
SECURITIES - Continuous Unreali
SECURITIES - Continuous Unrealized Loss Position (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Fair Value | ||
Total | $ 0 | |
Pass-through mortgage-backed securities ("MBS") issued by government sponsored entities ("GSEs") | ||
Fair Value | ||
Less than 12 Consecutive Months | 904 | $ 50,813 |
12 Consecutive Months or Longer | 205,299 | 190,427 |
Total | 206,203 | 241,240 |
Unrealized Losses | ||
Less than 12 Consecutive Months | 12 | 2,010 |
12 Consecutive Months or Longer | 33,294 | 29,524 |
Total | 33,306 | 31,534 |
US Treasury Securities [Member] | ||
Fair Value | ||
12 Consecutive Months or Longer | 229,873 | 227,256 |
Total | 229,873 | 227,256 |
Unrealized Losses | ||
12 Consecutive Months or Longer | 16,262 | 19,643 |
Total | 16,262 | 19,643 |
State and municipal obligations | ||
Fair Value | ||
Less than 12 Consecutive Months | 1,713 | 10,848 |
12 Consecutive Months or Longer | 26,218 | 22,681 |
Total | 27,931 | 33,529 |
Unrealized Losses | ||
Less than 12 Consecutive Months | 137 | 174 |
12 Consecutive Months or Longer | 2,777 | 2,847 |
Total | 2,914 | 3,021 |
US Government Agencies Debt Securities [Member] | ||
Fair Value | ||
12 Consecutive Months or Longer | 9,143 | |
Total | 9,143 | |
Unrealized Losses | ||
12 Consecutive Months or Longer | 857 | |
Total | 857 | |
Corporate Notes | ||
Fair Value | ||
Less than 12 Consecutive Months | 19,118 | 110,707 |
12 Consecutive Months or Longer | 121,969 | 50,116 |
Total | 141,087 | 160,823 |
Unrealized Losses | ||
Less than 12 Consecutive Months | 2,248 | 8,494 |
12 Consecutive Months or Longer | 26,214 | 8,581 |
Total | 28,462 | 17,075 |
Agency collateralized mortgage obligations ("CMOs") | ||
Fair Value | ||
Less than 12 Consecutive Months | 2,427 | 55,924 |
12 Consecutive Months or Longer | 248,193 | 220,413 |
Total | 250,620 | 276,337 |
Unrealized Losses | ||
Less than 12 Consecutive Months | 41 | 3,454 |
12 Consecutive Months or Longer | 55,970 | 46,603 |
Total | $ 56,011 | $ 50,057 |
LOANS HELD FOR INVESTMENT, NE_2
LOANS HELD FOR INVESTMENT, NET - Loan Categories (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Loans held for investment, net: | ||||||
Total Loans | $ 10,850,611 | $ 10,566,831 | ||||
Allowance for loan losses | (72,563) | (83,507) | ||||
Total loans held for investment, net | 10,778,048 | 10,483,324 | ||||
Business loans | ||||||
Loans held for investment, net: | ||||||
Total Loans | 2,271,768 | 2,211,857 | ||||
Allowance for loan losses | (36,680) | $ (39,700) | (47,029) | $ (44,492) | $ (45,128) | $ (62,366) |
One-to-four family residential and cooperative/condominium apartment | ||||||
Loans held for investment, net: | ||||||
Total Loans | 892,869 | 773,321 | ||||
Allowance for loan losses | (7,206) | (6,419) | (5,969) | (5,058) | (4,514) | (5,932) |
Multifamily residential and residential mixed-use | ||||||
Loans held for investment, net: | ||||||
Total Loans | 4,102,024 | 4,026,826 | ||||
Allowance for loan losses | (7,567) | (8,190) | (8,360) | (8,054) | (7,003) | (7,816) |
Non-owner-occupied commercial real estate | ||||||
Loans held for investment, net: | ||||||
Total Loans | 3,374,281 | 3,317,485 | ||||
Allowance for loan losses | (18,430) | (18,440) | (20,153) | (20,507) | (18,707) | (2,131) |
Non-owner-occupied commercial real estate | Total real estate loans | ||||||
Loans held for investment, net: | ||||||
Total Loans | 3,374,281 | 3,317,485 | ||||
Acquisition, development, and construction ("ADC") | ||||||
Loans held for investment, net: | ||||||
Total Loans | 203,402 | 229,663 | ||||
Allowance for loan losses | (2,338) | (2,558) | (3,619) | (3,788) | ||
Acquisition, development, and construction ("ADC") | Total real estate loans | ||||||
Loans held for investment, net: | ||||||
Allowance for loan losses | (2,338) | (1,723) | (3,619) | (4,857) | ||
Other Loans | ||||||
Loans held for investment, net: | ||||||
Total Loans | 6,267 | 7,679 | ||||
Allowance for loan losses | $ (342) | $ (339) | $ (273) | $ (205) | $ (286) | $ (751) |
LOANS HELD FOR INVESTMENT, NE_3
LOANS HELD FOR INVESTMENT, NET - Allowance for Credit Losses Activity (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Allowance for loan losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | $ 83,507 | ||||
(Recovery) provision for credit losses | $ 1,806 | $ 6,587 | (950) | $ 5,039 | |
Charge-offs | (10,937) | $ (11,401) | |||
Allowance for credit losses, Ending balance | 72,563 | 72,563 | 83,507 | ||
Non-accrual with No Allowance | 3,809 | 3,809 | 6,075 | ||
Non-accrual with Allowance | 19,511 | 19,511 | 28,162 | ||
Reserve | 14,744 | 14,744 | 22,389 | ||
Interest income on non-accrual loans held for investment | |||||
Interest income on non-accrual loans | 0 | 0 | 0 | 0 | |
Business loans | |||||
Allowance for loan losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 39,700 | 45,128 | 47,029 | 62,366 | 62,366 |
(Recovery) provision for credit losses | 1,822 | 3,246 | (328) | (10,799) | |
Charge-offs | (5,147) | (5,462) | (10,921) | (8,742) | (11,401) |
Recoveries | 305 | 1,580 | 900 | 1,667 | |
Allowance for credit losses, Ending balance | 36,680 | 44,492 | 36,680 | 44,492 | 47,029 |
Non-accrual with No Allowance | 3,809 | 3,809 | 5,403 | ||
Non-accrual with Allowance | 15,746 | 15,746 | 22,384 | ||
Reserve | 14,065 | 14,065 | 20,812 | ||
One-to-four family residential and cooperative/condominium apartment | |||||
Allowance for loan losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 6,419 | 4,514 | 5,969 | 5,932 | 5,932 |
(Recovery) provision for credit losses | 787 | 544 | 1,251 | (874) | |
Charge-offs | (14) | ||||
Allowance for credit losses, Ending balance | 7,206 | 5,058 | 7,206 | 5,058 | 5,969 |
Non-accrual with Allowance | 2,874 | 2,874 | 3,203 | ||
Reserve | 140 | 140 | 181 | ||
Multifamily residential and residential mixed-use | |||||
Allowance for loan losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 8,190 | 7,003 | 8,360 | 7,816 | 7,816 |
(Recovery) provision for credit losses | (621) | 1,051 | (791) | 236 | |
Charge-offs | (2) | (2) | |||
Recoveries | 2 | ||||
Allowance for credit losses, Ending balance | 7,567 | 8,054 | 7,567 | 8,054 | 8,360 |
Non-owner-occupied commercial real estate | |||||
Allowance for loan losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 18,440 | 18,707 | 20,153 | 2,131 | 2,131 |
(Recovery) provision for credit losses | (10) | 1,800 | (1,723) | 18,322 | |
Recoveries | 54 | ||||
Allowance for credit losses, Ending balance | 18,430 | 20,507 | 18,430 | 20,507 | 20,153 |
Non-accrual with No Allowance | 15 | ||||
Non-accrual with Allowance | 15 | 15 | 2,476 | ||
Reserve | 15 | 15 | 1,297 | ||
Acquisition, development, and construction ("ADC") | |||||
Allowance for loan losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 2,558 | 3,788 | |||
(Recovery) provision for credit losses | (220) | (169) | |||
Allowance for credit losses, Ending balance | 2,338 | 3,619 | 2,338 | 3,619 | |
Non-accrual with No Allowance | 657 | ||||
Non-accrual with Allowance | 657 | 657 | |||
Reserve | 305 | 305 | |||
Acquisition, development, and construction ("ADC") | Total real estate loans | |||||
Allowance for loan losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 1,723 | 4,857 | 4,857 | ||
(Recovery) provision for credit losses | 615 | (1,238) | |||
Allowance for credit losses, Ending balance | 2,338 | 3,619 | 2,338 | 3,619 | 1,723 |
Other Loans | |||||
Allowance for loan losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 339 | 286 | 273 | 751 | 751 |
(Recovery) provision for credit losses | 23 | (32) | 116 | (495) | |
Charge-offs | (26) | (49) | (60) | (52) | |
Recoveries | 6 | 13 | 1 | ||
Allowance for credit losses, Ending balance | 342 | 205 | 342 | 205 | 273 |
Non-accrual with Allowance | 219 | 219 | 99 | ||
Reserve | 219 | 219 | 99 | ||
Includes other loans | |||||
Allowance for loan losses [Roll Forward] | |||||
Allowance for credit losses, Beginning balance | 75,646 | 79,426 | 83,507 | 83,853 | 83,853 |
(Recovery) provision for credit losses | 1,781 | 6,440 | (860) | 5,152 | |
Charge-offs | (5,175) | (5,511) | (10,997) | (8,794) | |
Recoveries | 311 | 1,580 | 913 | 1,724 | |
Allowance for credit losses, Ending balance | $ 72,563 | $ 81,935 | $ 72,563 | $ 81,935 | $ 83,507 |
LOANS HELD FOR INVESTMENT, NE_4
LOANS HELD FOR INVESTMENT, NET - Past Due Status (Details) - USD ($) | Sep. 30, 2023 | Dec. 31, 2022 |
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | $ 10,850,611,000 | $ 10,566,831,000 |
Non-accrual | 23,320,000 | 34,237,000 |
Accruing Loans 90 Days or More Past Due | 0 | 0 |
Total Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 58,331,000 | 58,496,000 |
30 to 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 22,961,000 | 23,517,000 |
60 to 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 12,050,000 | 742,000 |
Current | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 10,792,280,000 | 10,508,335,000 |
Business loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 2,271,768,000 | 2,211,857,000 |
Non-accrual | 19,555,000 | 27,787,000 |
Business loans | Total Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 37,399,000 | 34,389,000 |
Business loans | 30 to 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 16,693,000 | 5,861,000 |
Business loans | 60 to 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 1,151,000 | 741,000 |
Business loans | Current | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 2,234,369,000 | 2,177,468,000 |
One-to-four family residential and cooperative/condominium apartment | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 892,869,000 | 773,321,000 |
Non-accrual | 2,874,000 | 3,203,000 |
One-to-four family residential and cooperative/condominium apartment | Total Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 5,957,000 | 3,889,000 |
One-to-four family residential and cooperative/condominium apartment | 30 to 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 439,000 | 686,000 |
One-to-four family residential and cooperative/condominium apartment | 60 to 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 2,644,000 | |
One-to-four family residential and cooperative/condominium apartment | Current | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 886,912,000 | 769,432,000 |
Multifamily residential and residential mixed-use | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 4,102,024,000 | 4,026,826,000 |
Non-accrual | 0 | |
Multifamily residential and residential mixed-use | Total Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 3,794,000 | 4,817,000 |
Multifamily residential and residential mixed-use | 30 to 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 2,976,000 | 4,817,000 |
Multifamily residential and residential mixed-use | 60 to 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 818,000 | |
Multifamily residential and residential mixed-use | Loans 90 Days or More Past Due and Still Accruing Interest | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 0 | |
Multifamily residential and residential mixed-use | Current | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 4,098,230,000 | 4,022,009,000 |
Non-owner-occupied commercial real estate | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 3,374,281,000 | 3,317,485,000 |
Non-owner-occupied commercial real estate | Total real estate loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 3,374,281,000 | 3,317,485,000 |
Non-accrual | 15,000 | 2,491,000 |
Non-owner-occupied commercial real estate | Total real estate loans | Total Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 9,653,000 | 14,380,000 |
Non-owner-occupied commercial real estate | Total real estate loans | 30 to 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 2,851,000 | 11,889,000 |
Non-owner-occupied commercial real estate | Total real estate loans | 60 to 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 6,787,000 | |
Non-owner-occupied commercial real estate | Total real estate loans | Current | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 3,364,628,000 | 3,303,105,000 |
Acquisition, development, and construction ("ADC") | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 203,402,000 | 229,663,000 |
Non-accrual | 657,000 | 657,000 |
Acquisition, development, and construction ("ADC") | Total Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 1,307,000 | 657,000 |
Acquisition, development, and construction ("ADC") | 30 to 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 0 | |
Acquisition, development, and construction ("ADC") | 60 to 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 650,000 | |
Acquisition, development, and construction ("ADC") | Loans 90 Days or More Past Due and Still Accruing Interest | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 0 | |
Acquisition, development, and construction ("ADC") | Current | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 202,095,000 | 229,006,000 |
Other Loans | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 6,267,000 | 7,679,000 |
Non-accrual | 219,000 | 99,000 |
Other Loans | Total Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 221,000 | 364,000 |
Other Loans | 30 to 59 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 2,000 | 264,000 |
Other Loans | 60 to 89 Days Past Due | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 0 | 1,000 |
Other Loans | Loans 90 Days or More Past Due and Still Accruing Interest | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | 0 | |
Other Loans | Current | ||
Financing Receivable, Recorded Investment, Aging [Abstract] | ||
Total Loans | $ 6,046,000 | $ 7,315,000 |
LOANS HELD FOR INVESTMENT, NE_5
LOANS HELD FOR INVESTMENT, NET - Collateral Dependent Loans (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Jun. 30, 2023 | Dec. 31, 2022 | Sep. 30, 2022 | Jun. 30, 2022 | Dec. 31, 2021 |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | $ 10,850,611 | $ 10,566,831 | ||||
Allowance for credit losses | 72,563 | 83,507 | ||||
Real Estate Collateral Dependent | Total real estate loans | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 4,428 | 8,997 | ||||
Allowance for credit losses | 305 | 1,297 | ||||
Business loans | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 2,271,768 | 2,211,857 | ||||
Allowance for credit losses | 36,680 | $ 39,700 | 47,029 | $ 44,492 | $ 45,128 | $ 62,366 |
Business loans | Real Estate Collateral Dependent | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 3,771 | 5,849 | ||||
One-to-four family residential and cooperative/condominium apartment | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 892,869 | 773,321 | ||||
Allowance for credit losses | 7,206 | 6,419 | 5,969 | 5,058 | 4,514 | 5,932 |
Multifamily residential and residential mixed-use | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 4,102,024 | 4,026,826 | ||||
Allowance for credit losses | 7,567 | 8,190 | 8,360 | 8,054 | 7,003 | 7,816 |
Non-owner-occupied commercial real estate | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 3,374,281 | 3,317,485 | ||||
Allowance for credit losses | 18,430 | 18,440 | 20,153 | 20,507 | 18,707 | 2,131 |
Non-owner-occupied commercial real estate | Total real estate loans | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 3,374,281 | 3,317,485 | ||||
Non-owner-occupied commercial real estate | Real Estate Collateral Dependent | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 2,491 | |||||
Allowance for credit losses | 1,297 | |||||
Acquisition, development, and construction ("ADC") | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 203,402 | 229,663 | ||||
Allowance for credit losses | 2,338 | 2,558 | 3,619 | 3,788 | ||
Acquisition, development, and construction ("ADC") | Total real estate loans | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Allowance for credit losses | 2,338 | 1,723 | 3,619 | 4,857 | ||
Acquisition, development, and construction ("ADC") | Real Estate Collateral Dependent | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 657 | 657 | ||||
Allowance for credit losses | 305 | |||||
Other Loans | ||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||||||
Total Loans | 6,267 | 7,679 | ||||
Allowance for credit losses | $ 342 | $ 339 | $ 273 | $ 205 | $ 286 | $ 751 |
LOANS HELD FOR INVESTMENT, NE_6
LOANS HELD FOR INVESTMENT, NET - Amortized cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2023 | Sep. 30, 2023 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 34,024 | $ 37,747 |
% of Total Class of Financing Receivable | 0.30% | 0.30% |
Term Extension | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 126 | |
Significant Payment Delay | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 33,995 | 36,849 |
Term Extension and Significant Payment Delay | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | 471 | |
Significant Payment Delay And Interest Rate Deduction | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | 29 | 301 |
Business loans | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 9,319 | $ 10,188 |
% of Total Class of Financing Receivable | 0.40% | 0.40% |
Business loans | Term Extension | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 126 | |
Business loans | Significant Payment Delay | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 9,290 | 9,290 |
Business loans | Term Extension and Significant Payment Delay | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | 471 | |
Business loans | Significant Payment Delay And Interest Rate Deduction | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 29 | 301 |
One-to-four family residential and cooperative/condominium apartment | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 2,854 | |
% of Total Class of Financing Receivable | 0% | 0.30% |
One-to-four family residential and cooperative/condominium apartment | Significant Payment Delay | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 2,854 | |
Multifamily residential and residential mixed-use | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
% of Total Class of Financing Receivable | 0% | 0% |
Non-owner-occupied commercial real estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 24,705 | $ 24,705 |
% of Total Class of Financing Receivable | 0.70% | 0.70% |
Non-owner-occupied commercial real estate | Significant Payment Delay | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 24,705 | $ 24,705 |
Acquisition, development, and construction ("ADC") | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
% of Total Class of Financing Receivable | 0% | 0% |
Other Loans | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
% of Total Class of Financing Receivable | 0% | 0% |
LOANS HELD FOR INVESTMENT, NE_7
LOANS HELD FOR INVESTMENT, NET - Financial effect of the modifications to borrowers experiencing financial difficulty (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2023 | Sep. 30, 2023 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Weighted Average Interest Rate Reductions | 4.50% | 4.27% |
Weighted Average months of Term Extensions | 20 months | |
Weighted Average Payment Delay or Principal Forgiveness | $ 2,405 | $ 2,374 |
Business loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Weighted Average Interest Rate Reductions | 4.50% | 4.27% |
Weighted Average months of Term Extensions | 20 months | |
Weighted Average Payment Delay or Principal Forgiveness | $ 1,417 | $ 1,314 |
One-to-four family residential and cooperative/condominium apartment | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Weighted Average Payment Delay or Principal Forgiveness | 72 | |
Non-owner-occupied commercial real estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Weighted Average Payment Delay or Principal Forgiveness | $ 988 | $ 988 |
LOANS HELD FOR INVESTMENT, NE_8
LOANS HELD FOR INVESTMENT, NET - Performance of Loans that have been Modified (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended |
Sep. 30, 2023 | Sep. 30, 2023 | |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 34,024 | $ 37,747 |
Current | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | 36,849 | |
Non-Accrual | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | 898 | |
Business loans | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | 9,319 | 10,188 |
Business loans | Current | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | 9,290 | |
Business loans | Non-Accrual | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | 898 | |
One-to-four family residential and cooperative/condominium apartment | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | 2,854 | |
One-to-four family residential and cooperative/condominium apartment | Current | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | 2,854 | |
Non-owner-occupied commercial real estate | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 24,705 | 24,705 |
Non-owner-occupied commercial real estate | Current | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Total loans that have been modified | $ 24,705 |
LOANS HELD FOR INVESTMENT, NE_9
LOANS HELD FOR INVESTMENT, NET - Loans by Category Modified as TDRs (Details) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Sep. 30, 2023 USD ($) item | Sep. 30, 2023 USD ($) item | Dec. 31, 2022 USD ($) loan | Jun. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Jun. 30, 2022 USD ($) | Dec. 31, 2021 USD ($) | |
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||||
Allowance for credit losses | $ 72,563,000 | $ 72,563,000 | $ 83,507,000 | ||||
Number of Loans | 0 | 0 | 12 | ||||
Pre-Modification Outstanding Recorded Investment | $ 37,463,000 | ||||||
Post-Modification Outstanding Recorded Investment | 37,467,000 | ||||||
TDRs | |||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||||
Commitments to lend any additional funds on restructured loans | 0 | ||||||
Modifications recorded investment | 22,100,000 | ||||||
Allowance for credit losses | 9,100,000 | ||||||
Business loans | |||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||||
Allowance for credit losses | $ 36,680,000 | $ 36,680,000 | $ 47,029,000 | $ 39,700,000 | $ 44,492,000 | $ 45,128,000 | $ 62,366,000 |
Number of Loans | loan | 7 | ||||||
Pre-Modification Outstanding Recorded Investment | $ 21,934,000 | ||||||
Post-Modification Outstanding Recorded Investment | 21,938,000 | ||||||
One-to-four family residential and cooperative/condominium apartment | |||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||||
Allowance for credit losses | 7,206,000 | 7,206,000 | $ 5,969,000 | 6,419,000 | 5,058,000 | 4,514,000 | 5,932,000 |
Number of Loans | loan | 2 | ||||||
Pre-Modification Outstanding Recorded Investment | $ 762,000 | ||||||
Post-Modification Outstanding Recorded Investment | 762,000 | ||||||
Non-owner-occupied commercial real estate | |||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||||
Allowance for credit losses | 18,430,000 | 18,430,000 | $ 20,153,000 | 18,440,000 | 20,507,000 | 18,707,000 | 2,131,000 |
Number of Loans | loan | 1 | ||||||
Pre-Modification Outstanding Recorded Investment | $ 991,000 | ||||||
Post-Modification Outstanding Recorded Investment | $ 991,000 | ||||||
Acquisition, development, and construction ("ADC") | |||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||||
Allowance for credit losses | 2,338,000 | 2,338,000 | 2,558,000 | 3,619,000 | 3,788,000 | ||
Number of Loans | loan | 1 | ||||||
Pre-Modification Outstanding Recorded Investment | $ 13,500,000 | ||||||
Post-Modification Outstanding Recorded Investment | 13,500,000 | ||||||
Other Loans | |||||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||||
Allowance for credit losses | $ 342,000 | $ 342,000 | $ 273,000 | $ 339,000 | $ 205,000 | $ 286,000 | $ 751,000 |
Number of Loans | loan | 1 | ||||||
Pre-Modification Outstanding Recorded Investment | $ 276,000 | ||||||
Post-Modification Outstanding Recorded Investment | $ 276,000 |
LOANS HELD FOR INVESTMENT, N_10
LOANS HELD FOR INVESTMENT, NET - Credit Quality Indicators (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
Total Loans | $ 10,850,611 | $ 10,850,611 | $ 10,566,831 | ||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff, by Origination Year [Abstract] | |||||
YTD Gross Charge-Offs 2022/2021 | 477 | ||||
YTD Gross Charge-Offs 2021/2020 | 77 | 4,720 | |||
YTD Gross Charge-Offs 2020/2019 | 38 | 2,088 | |||
YTD Gross Charge-Offs 2019/2018 | 4,166 | ||||
YTD Gross Charge-Offs 2018 and Prior/2017 and Prior | 2,231 | 2,414 | |||
YTD Gross Charge-Offs Revolving | 1,021 | 1,460 | |||
YTD Gross Charge-Offs Revolving-Term | 3,404 | 242 | |||
YTD Gross Charge-Offs | 10,937 | 11,401 | |||
Pass | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 808,171 | 808,171 | |||
2022/2021 | 2,793,493 | 2,793,493 | 2,845,428 | ||
2021/2020 | 1,640,908 | 1,640,908 | 1,733,872 | ||
2020/2019 | 1,009,045 | 1,009,045 | 1,196,053 | ||
2019/2018 | 986,544 | 986,544 | 1,024,753 | ||
2018/2017 and Prior | 2,401,398 | 2,401,398 | 522,005 | ||
2016 and Prior | 2,175,148 | ||||
Revolving | 721,788 | 721,788 | 726,712 | ||
Revolving-Term | 64,405 | 64,405 | 59,849 | ||
Total Loans | 10,425,752 | 10,425,752 | 10,283,820 | ||
Special Mention | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 506 | 506 | |||
2022/2021 | 3,184 | 3,184 | 6,634 | ||
2021/2020 | 20,459 | 20,459 | |||
2020/2019 | 101,118 | 101,118 | 20,549 | ||
2019/2018 | 13,340 | 13,340 | 17,364 | ||
2018/2017 and Prior | 59,530 | 59,530 | 16,628 | ||
2016 and Prior | 31,664 | ||||
Revolving | 23,121 | 23,121 | 9,641 | ||
Revolving-Term | 9,835 | 9,835 | 1,204 | ||
Total Loans | 231,093 | 231,093 | 103,684 | ||
Substandard | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 1 | 1 | |||
2022/2021 | 1,950 | 1,950 | 5,242 | ||
2021/2020 | 3,118 | 3,118 | 2,052 | ||
2020/2019 | 44,251 | 44,251 | 23,233 | ||
2019/2018 | 15,349 | 15,349 | 19,143 | ||
2018/2017 and Prior | 100,553 | 100,553 | 22,819 | ||
2016 and Prior | 66,232 | ||||
Revolving | 8,290 | 8,290 | 11,290 | ||
Revolving-Term | 9,072 | 9,072 | 10,505 | ||
Total Loans | 182,584 | 182,584 | 160,516 | ||
Doubtful | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2019/2018 | 4,166 | 4,166 | 8,332 | ||
2018/2017 and Prior | 749 | 749 | 752 | ||
2016 and Prior | 2,048 | ||||
Total Loans | 4,915 | 4,915 | 11,132 | ||
Excludes Other Loans | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 808,678 | 808,678 | |||
2022/2021 | 2,798,627 | 2,798,627 | 2,857,304 | ||
2021/2020 | 1,664,485 | 1,664,485 | 1,735,924 | ||
2020/2019 | 1,154,414 | 1,154,414 | 1,239,835 | ||
2019/2018 | 1,019,399 | 1,019,399 | 1,069,592 | ||
2018/2017 and Prior | 2,562,230 | 2,562,230 | 562,204 | ||
2016 and Prior | 2,275,092 | ||||
Revolving | 753,199 | 753,199 | 747,643 | ||
Revolving-Term | 83,312 | 83,312 | 71,558 | ||
Total Loans | 10,844,344 | 10,844,344 | 10,559,152 | ||
Business loans | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 198,338 | 198,338 | |||
2022/2021 | 433,722 | 433,722 | 461,575 | ||
2021/2020 | 203,331 | 203,331 | 229,523 | ||
2020/2019 | 175,594 | 175,594 | 197,259 | ||
2019/2018 | 170,837 | 170,837 | 188,094 | ||
2018/2017 and Prior | 361,288 | 361,288 | 149,322 | ||
2016 and Prior | 261,330 | ||||
Revolving | 672,232 | 672,232 | 671,312 | ||
Revolving-Term | 56,426 | 56,426 | 53,442 | ||
Total Loans | 2,271,768 | 2,271,768 | 2,211,857 | ||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff, by Origination Year [Abstract] | |||||
YTD Gross Charge-Offs 2022/2021 | 477 | ||||
YTD Gross Charge-Offs 2021/2020 | 77 | 4,720 | |||
YTD Gross Charge-Offs 2020/2019 | 38 | 2,088 | |||
YTD Gross Charge-Offs 2019/2018 | 4,166 | ||||
YTD Gross Charge-Offs 2018 and Prior/2017 and Prior | 2,229 | 2,414 | |||
YTD Gross Charge-Offs Revolving | 1,021 | 1,460 | |||
YTD Gross Charge-Offs Revolving-Term | 3,390 | 242 | |||
YTD Gross Charge-Offs | 5,147 | $ 5,462 | 10,921 | $ 8,742 | 11,401 |
Business loans | Pass | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 197,831 | 197,831 | |||
2022/2021 | 428,588 | 428,588 | 449,699 | ||
2021/2020 | 199,606 | 199,606 | 228,143 | ||
2020/2019 | 167,826 | 167,826 | 187,522 | ||
2019/2018 | 159,084 | 159,084 | 173,527 | ||
2018/2017 and Prior | 316,910 | 316,910 | 130,576 | ||
2016 and Prior | 240,131 | ||||
Revolving | 640,980 | 640,980 | 650,960 | ||
Revolving-Term | 39,015 | 39,015 | 43,552 | ||
Total Loans | 2,149,840 | 2,149,840 | 2,104,110 | ||
Business loans | Special Mention | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 506 | 506 | |||
2022/2021 | 3,184 | 3,184 | 6,634 | ||
2021/2020 | 1,279 | 1,279 | |||
2020/2019 | 923 | 923 | 894 | ||
2019/2018 | 4,850 | 4,850 | 1,529 | ||
2018/2017 and Prior | 13,541 | 13,541 | 15,893 | ||
2016 and Prior | 4,213 | ||||
Revolving | 22,962 | 22,962 | 9,062 | ||
Revolving-Term | 9,125 | 9,125 | 478 | ||
Total Loans | 56,370 | 56,370 | 38,703 | ||
Business loans | Substandard | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 1 | 1 | |||
2022/2021 | 1,950 | 1,950 | 5,242 | ||
2021/2020 | 2,446 | 2,446 | 1,380 | ||
2020/2019 | 6,845 | 6,845 | 8,843 | ||
2019/2018 | 2,737 | 2,737 | 4,706 | ||
2018/2017 and Prior | 30,088 | 30,088 | 2,101 | ||
2016 and Prior | 14,938 | ||||
Revolving | 8,290 | 8,290 | 11,290 | ||
Revolving-Term | 8,286 | 8,286 | 9,412 | ||
Total Loans | 60,643 | 60,643 | 57,912 | ||
Business loans | Doubtful | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2019/2018 | 4,166 | 4,166 | 8,332 | ||
2018/2017 and Prior | 749 | 749 | 752 | ||
2016 and Prior | 2,048 | ||||
Total Loans | 4,915 | 4,915 | 11,132 | ||
One-to-four family residential and cooperative/condominium apartment | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 161,750 | 161,750 | |||
2022/2021 | 217,184 | 217,184 | 225,031 | ||
2021/2020 | 103,310 | 103,310 | 108,185 | ||
2020/2019 | 70,929 | 70,929 | 73,758 | ||
2019/2018 | 64,517 | 64,517 | 66,742 | ||
2018/2017 and Prior | 227,440 | 227,440 | 67,180 | ||
2016 and Prior | 176,292 | ||||
Revolving | 33,418 | 33,418 | 41,751 | ||
Revolving-Term | 14,321 | 14,321 | 14,382 | ||
Total Loans | 892,869 | 892,869 | 773,321 | ||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff, by Origination Year [Abstract] | |||||
YTD Gross Charge-Offs Revolving-Term | 14 | ||||
YTD Gross Charge-Offs | 14 | ||||
One-to-four family residential and cooperative/condominium apartment | Pass | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 161,750 | 161,750 | |||
2022/2021 | 217,184 | 217,184 | 225,031 | ||
2021/2020 | 103,310 | 103,310 | 108,185 | ||
2020/2019 | 69,919 | 69,919 | 72,732 | ||
2019/2018 | 63,299 | 63,299 | 65,515 | ||
2018/2017 and Prior | 215,385 | 215,385 | 66,038 | ||
2016 and Prior | 164,338 | ||||
Revolving | 33,259 | 33,259 | 41,172 | ||
Revolving-Term | 12,825 | 12,825 | 12,563 | ||
Total Loans | 876,931 | 876,931 | 755,574 | ||
One-to-four family residential and cooperative/condominium apartment | Special Mention | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2018/2017 and Prior | 756 | 756 | 735 | ||
2016 and Prior | 1,175 | ||||
Revolving | 159 | 159 | 579 | ||
Revolving-Term | 710 | 710 | 726 | ||
Total Loans | 1,625 | 1,625 | 3,215 | ||
One-to-four family residential and cooperative/condominium apartment | Substandard | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2020/2019 | 1,010 | 1,010 | 1,026 | ||
2019/2018 | 1,218 | 1,218 | 1,227 | ||
2018/2017 and Prior | 11,299 | 11,299 | 407 | ||
2016 and Prior | 10,779 | ||||
Revolving-Term | 786 | 786 | 1,093 | ||
Total Loans | 14,313 | 14,313 | 14,532 | ||
Multifamily residential and residential mixed-use | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 244,041 | 244,041 | |||
2022/2021 | 1,367,753 | 1,367,753 | 1,386,549 | ||
2021/2020 | 593,271 | 593,271 | 582,393 | ||
2020/2019 | 318,024 | 318,024 | 328,718 | ||
2019/2018 | 398,615 | 398,615 | 414,117 | ||
2018/2017 and Prior | 1,163,265 | 1,163,265 | 147,385 | ||
2016 and Prior | 1,155,080 | ||||
Revolving | 12,715 | 12,715 | 12,584 | ||
Revolving-Term | 4,340 | 4,340 | |||
Total Loans | 4,102,024 | 4,102,024 | 4,026,826 | ||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff, by Origination Year [Abstract] | |||||
YTD Gross Charge-Offs 2018 and Prior/2017 and Prior | 2 | ||||
YTD Gross Charge-Offs | 2 | 2 | |||
Multifamily residential and residential mixed-use | Pass | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 244,041 | 244,041 | |||
2022/2021 | 1,367,753 | 1,367,753 | 1,386,549 | ||
2021/2020 | 589,048 | 589,048 | 582,393 | ||
2020/2019 | 285,272 | 285,272 | 316,424 | ||
2019/2018 | 389,601 | 389,601 | 395,933 | ||
2018/2017 and Prior | 1,086,015 | 1,086,015 | 127,074 | ||
2016 and Prior | 1,107,281 | ||||
Revolving | 12,715 | 12,715 | 12,584 | ||
Revolving-Term | 4,340 | 4,340 | |||
Total Loans | 3,978,785 | 3,978,785 | 3,928,238 | ||
Multifamily residential and residential mixed-use | Special Mention | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2021/2020 | 4,223 | 4,223 | |||
2020/2019 | 22,096 | 22,096 | |||
2019/2018 | 3,905 | 3,905 | 11,183 | ||
2018/2017 and Prior | 30,476 | 30,476 | |||
2016 and Prior | 14,168 | ||||
Total Loans | 60,700 | 60,700 | 25,351 | ||
Multifamily residential and residential mixed-use | Substandard | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2020/2019 | 10,656 | 10,656 | 12,294 | ||
2019/2018 | 5,109 | 5,109 | 7,001 | ||
2018/2017 and Prior | 46,774 | 46,774 | 20,311 | ||
2016 and Prior | 33,631 | ||||
Total Loans | 62,539 | 62,539 | 73,237 | ||
Non-owner-occupied commercial real estate | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 196,881 | 196,881 | |||
2022/2021 | 728,514 | 728,514 | 747,272 | ||
2021/2020 | 667,914 | 667,914 | 662,623 | ||
2020/2019 | 582,220 | 582,220 | 628,858 | ||
2019/2018 | 369,786 | 369,786 | 384,696 | ||
2018/2017 and Prior | 809,742 | 809,742 | 198,317 | ||
2016 and Prior | 680,303 | ||||
Revolving | 11,237 | 11,237 | 11,963 | ||
Revolving-Term | 7,987 | 7,987 | 3,453 | ||
Total Loans | 3,374,281 | 3,374,281 | 3,317,485 | ||
Non-owner-occupied commercial real estate | Pass | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 196,881 | 196,881 | |||
2022/2021 | 728,514 | 728,514 | 747,272 | ||
2021/2020 | 667,899 | 667,899 | 662,608 | ||
2020/2019 | 478,381 | 478,381 | 608,133 | ||
2019/2018 | 358,916 | 358,916 | 373,835 | ||
2018/2017 and Prior | 782,593 | 782,593 | 198,317 | ||
2016 and Prior | 661,311 | ||||
Revolving | 11,237 | 11,237 | 11,963 | ||
Revolving-Term | 7,987 | 7,987 | 3,453 | ||
Total Loans | 3,232,408 | 3,232,408 | 3,266,892 | ||
Non-owner-occupied commercial real estate | Special Mention | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2020/2019 | 78,099 | 78,099 | 19,655 | ||
2019/2018 | 4,585 | 4,585 | 4,652 | ||
2018/2017 and Prior | 14,757 | 14,757 | |||
2016 and Prior | 12,108 | ||||
Total Loans | 97,441 | 97,441 | 36,415 | ||
Non-owner-occupied commercial real estate | Substandard | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2021/2020 | 15 | 15 | 15 | ||
2020/2019 | 25,740 | 25,740 | 1,070 | ||
2019/2018 | 6,285 | 6,285 | 6,209 | ||
2018/2017 and Prior | 12,392 | 12,392 | |||
2016 and Prior | 6,884 | ||||
Total Loans | 44,432 | 44,432 | 14,178 | ||
Non-owner-occupied commercial real estate | Total real estate loans | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
Total Loans | 3,374,281 | 3,374,281 | 3,317,485 | ||
Acquisition, development, and construction ("ADC") | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 7,668 | 7,668 | |||
2022/2021 | 51,454 | 51,454 | 36,877 | ||
2021/2020 | 96,659 | 96,659 | 153,200 | ||
2020/2019 | 7,647 | 7,647 | 11,242 | ||
2019/2018 | 15,644 | 15,644 | 15,943 | ||
2018/2017 and Prior | 495 | 495 | |||
2016 and Prior | 2,087 | ||||
Revolving | 23,597 | 23,597 | 10,033 | ||
Revolving-Term | 238 | 238 | 281 | ||
Total Loans | 203,402 | 203,402 | 229,663 | ||
Acquisition, development, and construction ("ADC") | Pass | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2023/2022 | 7,668 | 7,668 | |||
2022/2021 | 51,454 | 51,454 | 36,877 | ||
2021/2020 | 81,045 | 81,045 | 152,543 | ||
2020/2019 | 7,647 | 7,647 | 11,242 | ||
2019/2018 | 15,644 | 15,644 | 15,943 | ||
2018/2017 and Prior | 495 | 495 | |||
2016 and Prior | 2,087 | ||||
Revolving | 23,597 | 23,597 | 10,033 | ||
Revolving-Term | 238 | 238 | 281 | ||
Total Loans | 187,788 | 187,788 | 229,006 | ||
Acquisition, development, and construction ("ADC") | Special Mention | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2021/2020 | 14,957 | 14,957 | |||
Total Loans | 14,957 | 14,957 | |||
Acquisition, development, and construction ("ADC") | Substandard | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
2021/2020 | 657 | 657 | 657 | ||
Total Loans | 657 | 657 | 657 | ||
Other Loans | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
Total Loans | 6,267 | 6,267 | 7,679 | ||
Financing Receivable, Excluding Accrued Interest, Allowance for Credit Loss, Writeoff, by Origination Year [Abstract] | |||||
YTD Gross Charge-Offs | 26 | $ 49 | 60 | $ 52 | |
Other Loans | Credit Risk Profile | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
Total Loans | 6,267 | 6,267 | 7,679 | ||
Other Loans | Performing | Credit Risk Profile | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
Total Loans | 6,048 | 6,048 | 7,580 | ||
Other Loans | Non-Accrual | Credit Risk Profile | |||||
Credit Risk Profile of Real Estate Loans [Abstract] | |||||
Total Loans | $ 219 | $ 219 | $ 99 |
LEASES - Maturities of the Comp
LEASES - Maturities of the Company's operating lease liabilities (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Rent to be Capitalized | ||
2023 | $ 3,242 | |
2024 | 13,009 | |
2025 | 12,833 | |
2026 | 12,173 | |
2027 | 10,217 | |
Thereafter | 10,557 | |
Total undiscounted lease payments | 62,031 | |
Less amounts representing interest | (3,750) | |
Operating lease liabilities | $ 58,281 | $ 60,340 |
LEASES - Other information rela
LEASES - Other information related to operating leases (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Other information related to operating leases: | |||||
Operating lease cost | $ 3,236 | $ 3,336 | $ 9,529 | $ 9,869 | |
Cash paid for amounts included in the measurement of operating lease liabilities | $ 3,171 | $ 3,253 | $ 9,330 | $ 9,232 | |
Weighted average remaining lease term | 5 years 2 months 12 days | 5 years 2 months 12 days | 5 years 10 months 24 days | ||
Weighted average discount rate | 2.33% | 2.33% | 2.03% |
DERIVATIVES AND HEDGING ACTIV_3
DERIVATIVES AND HEDGING ACTIVITIES - Cash Flow Hedges Narrative (Details) $ in Millions | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2023 USD ($) DerivativeInstrument | Sep. 30, 2023 USD ($) DerivativeInstrument | Dec. 31, 2022 USD ($) | |
DERIVATIVES AND HEDGING ACTIVITIES | |||
Estimated reclassification as a decrease to interest expense during next twelve months | $ 7.2 | $ 7.2 | |
Number of derivatives terminated | DerivativeInstrument | 0 | 0 | |
Collateral from its third-party counterparties under the agreements in a net asset position | $ 18 | $ 18 | |
Collateral received against obligations in net asset position | $ 17.8 |
DERIVATIVES AND HEDGING ACTIV_4
DERIVATIVES AND HEDGING ACTIVITIES - Classification on Consolidated Statements of Financial Condition (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 USD ($) DerivativeInstrument | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) DerivativeInstrument | Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) DerivativeInstrument | |
Cash Flow Hedges | |||||
Collateral received against obligations in net asset position | $ 17,800,000 | ||||
Not Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Loan level derivative income | $ 783,000 | $ 549,000 | $ 6,353,000 | $ 2,240,000 | |
Interest Rate Swaps Related to FHLBNY Advances | Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Count, assets | DerivativeInstrument | 4 | 4 | 4 | ||
Notional amount, assets | $ 150,000,000 | $ 150,000,000 | $ 150,000,000 | ||
Fair value assets | $ 16,657,000 | $ 16,657,000 | $ 17,150,000 | ||
Loan Level Interest Rate Swaps with Borrower (Assets) | Not Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Count, assets | DerivativeInstrument | 4 | 4 | 3 | ||
Notional amount, assets | $ 34,050,000 | $ 34,050,000 | $ 53,311,000 | ||
Fair value assets | $ 360,000 | $ 360,000 | $ 1,524,000 | ||
Loan Level Interest Rate Swaps with Borrower (Liabilities) | Not Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Count, liabilities | DerivativeInstrument | 219 | 219 | 185 | ||
Notional amount, liabilities | $ 1,549,816,000 | $ 1,549,816,000 | $ 1,214,736,000 | ||
Fair value liabilities | 158,976,000 | 158,976,000 | $ 126,751,000 | ||
Posted collateral | $ 0 | $ 0 | |||
Loan level interest rate floors with borrower | Not Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Count, assets | DerivativeInstrument | 3 | 3 | |||
Notional amount, assets | $ 17,625,000 | $ 17,625,000 | |||
Loan level interest rate floors with borrower (liabilities) | Not Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Count, liabilities | DerivativeInstrument | 25 | 25 | 40 | ||
Notional amount, liabilities | $ 178,032,000 | $ 178,032,000 | $ 326,309,000 | ||
Fair value liabilities | 1,376,000 | 1,376,000 | 9,060,000 | ||
Loan level interest rate swaps with third party counterparties (assets) | Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Posted collateral | $ 0 | $ 0 | $ 0 | ||
Loan level interest rate swaps with third party counterparties (assets) | Not Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Count, assets | DerivativeInstrument | 185 | ||||
Count, liabilities | DerivativeInstrument | 219 | 219 | |||
Notional amount, assets | $ 1,549,816,000 | $ 1,549,816,000 | $ 1,214,736,000 | ||
Fair value assets | 158,976,000 | 158,976,000 | 126,751,000 | ||
Posted collateral | 0 | 0 | 0 | ||
Collateral received against obligations in net asset position | $ 167,600,000 | $ 167,600,000 | $ 135,300,000 | ||
Loan level interest rate swaps with third party counterparties (liabilities) | Not Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Count, assets | DerivativeInstrument | 4 | 4 | |||
Count, liabilities | DerivativeInstrument | 3 | ||||
Notional amount, assets | $ 34,050,000 | $ 34,050,000 | |||
Notional amount, liabilities | $ 53,311,000 | ||||
Fair value liabilities | $ 360,000 | $ 360,000 | $ 1,524,000 | ||
Loan level interest rate floors with third party counterparties (assets) | Not Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Count, assets | DerivativeInstrument | 40 | ||||
Notional amount, assets | $ 326,309,000 | ||||
Fair value assets | $ 9,060,000 | ||||
Loan level interest rate floors with third party counterparties | Not Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Count, liabilities | DerivativeInstrument | 3 | 3 | |||
Notional amount, assets | $ 17,625,000 | $ 17,625,000 | |||
Loan level interest rate floors with third party counterparties (liabilities) | Not Designated as Hedging Instrument | |||||
Cash Flow Hedges | |||||
Count, liabilities | DerivativeInstrument | 25 | 25 | |||
Notional amount, assets | $ 178,032,000 | $ 178,032,000 | |||
Fair value assets | $ 1,376,000 | $ 1,376,000 |
DERIVATIVES AND HEDGING ACTIV_5
DERIVATIVES AND HEDGING ACTIVITIES - Effect on Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Effect of cash flow hedge accounting on Accumulated Other Comprehensive Income (Loss): | ||||
(Loss) gain recognized in other comprehensive income (loss) | $ (246) | $ 5,387 | $ (771) | $ 14,548 |
Interest Rate Products | Other Comprehensive Income | ||||
Effect of cash flow hedge accounting on Accumulated Other Comprehensive Income (Loss): | ||||
(Loss) gain recognized in other comprehensive income (loss) | (246) | 5,387 | (771) | 14,548 |
Interest Rate Products | Other Comprehensive Income | Interest Expense | ||||
Effect of cash flow hedge accounting on Accumulated Other Comprehensive Income (Loss): | ||||
(Loss) gain reclassified from other comprehensive income into interest expense | $ (293) | $ 546 | $ (279) | $ 569 |
DERIVATIVES AND HEDGING ACTIV_6
DERIVATIVES AND HEDGING ACTIVITIES - Risk Participation and Credit Risk Related Contingent Features (Details) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Sep. 30, 2023 USD ($) | Sep. 30, 2022 USD ($) | Dec. 31, 2022 USD ($) | |
DERIVATIVES AND HEDGING ACTIVITIES | |||||
Risk Participation Agreements, Liabilities, Notional Value | $ 94,000,000 | $ 94,000,000 | $ 71,100,000 | ||
Credit Risk Related Contingent Features [Abstract] | |||||
Number of provisions breached | 0 | 0 | 0 | 0 |
FAIR VALUE OF FINANCIAL INSTR_3
FAIR VALUE OF FINANCIAL INSTRUMENTS - Assets and Liabilities Measured at Fair Value on a Recurring and Nonrecurring Basis (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Financial Assets | ||
Derivative assets | $ 177,369 | $ 154,485 |
Financial Liabilities | ||
Derivative liabilities | 160,712 | 137,335 |
Recurring | Cash flow hedges | ||
Financial Assets | ||
Derivative assets | 16,657 | 17,150 |
Recurring | Freestanding derivatives, net | ||
Financial Assets | ||
Derivative assets | 160,712 | 137,335 |
Financial Liabilities | ||
Derivative liabilities | 160,712 | 137,335 |
Recurring | Level 2 Inputs | Cash flow hedges | ||
Financial Assets | ||
Derivative assets | 16,657 | 17,150 |
Recurring | Level 2 Inputs | Freestanding derivatives, net | ||
Financial Assets | ||
Derivative assets | 160,712 | 137,335 |
Financial Liabilities | ||
Derivative liabilities | 160,712 | 137,335 |
Nonrecurring | Level 3 Inputs | ||
Certain individually evaluated loans | ||
Individually evaluated loans | 352 | 1,179 |
Carrying Amount | ||
Certain individually evaluated loans | ||
Individually evaluated loans | 10,777,696 | 10,482,145 |
Carrying Amount | Nonrecurring | ||
Certain individually evaluated loans | ||
Individually evaluated loans | 352 | 1,179 |
US Government Agencies Debt Securities [Member] | Recurring | ||
Financial Assets | ||
Securities available-for-sale: | 9,143 | |
US Government Agencies Debt Securities [Member] | Recurring | Level 2 Inputs | ||
Financial Assets | ||
Securities available-for-sale: | 9,143 | |
US Treasury Securities [Member] | Recurring | ||
Financial Assets | ||
Securities available-for-sale: | 229,873 | 227,256 |
US Treasury Securities [Member] | Recurring | Level 2 Inputs | ||
Financial Assets | ||
Securities available-for-sale: | 229,873 | 227,256 |
Corporate securities | Recurring | ||
Financial Assets | ||
Securities available-for-sale: | 141,087 | 166,773 |
Corporate securities | Recurring | Level 2 Inputs | ||
Financial Assets | ||
Securities available-for-sale: | 141,087 | 166,773 |
Pass-through mortgage-backed securities ("MBS") issued by government sponsored entities ("GSEs") | Recurring | ||
Financial Assets | ||
Mortgage-backed securities | 206,203 | 241,240 |
Pass-through mortgage-backed securities ("MBS") issued by government sponsored entities ("GSEs") | Recurring | Level 2 Inputs | ||
Financial Assets | ||
Mortgage-backed securities | 206,203 | 241,240 |
Agency collateralized mortgage obligations ("CMOs") | Recurring | ||
Financial Assets | ||
Securities available-for-sale: | 255,642 | 281,339 |
Agency collateralized mortgage obligations ("CMOs") | Recurring | Level 2 Inputs | ||
Financial Assets | ||
Securities available-for-sale: | 255,642 | 281,339 |
State and municipal obligations. | Recurring | ||
Financial Assets | ||
Securities available-for-sale: | 27,931 | 33,979 |
State and municipal obligations. | Recurring | Level 2 Inputs | ||
Financial Assets | ||
Securities available-for-sale: | $ 27,931 | $ 33,979 |
FAIR VALUE OF FINANCIAL INSTR_4
FAIR VALUE OF FINANCIAL INSTRUMENTS - Individually evaluated loans (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis [Abstract] | |||||
Individually evaluated loans outstanding balance, net of a valuation allowance | $ 10,778,048,000 | $ 10,778,048,000 | $ 10,483,324,000 | ||
Allowance for credit losses | 72,563,000 | 72,563,000 | 83,507,000 | ||
Provision (recovery) for credit losses | 1,806,000 | $ 6,587,000 | (950,000) | $ 5,039,000 | |
Nonrecurring | |||||
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis [Abstract] | |||||
Individually evaluated loans outstanding balance, net of a valuation allowance | 2,500,000 | ||||
Allowance for credit losses | 1,300,000 | ||||
Nonrecurring | Level 3 Inputs | |||||
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis [Abstract] | |||||
Individually evaluated loans | 352,000 | 352,000 | 1,179,000 | ||
Carrying Amount | |||||
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis [Abstract] | |||||
Individually evaluated loans | 10,777,696,000 | 10,777,696,000 | 10,482,145,000 | ||
Carrying Amount | Nonrecurring | |||||
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis [Abstract] | |||||
Individually evaluated loans | 352,000 | 352,000 | $ 1,179,000 | ||
Collateral dependent loans | Nonrecurring | |||||
Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis [Abstract] | |||||
Provision (recovery) for credit losses | $ 0 | $ 992,000 |
FAIR VALUE OF FINANCIAL INSTR_5
FAIR VALUE OF FINANCIAL INSTRUMENTS - Financial Instruments Not Measured at Fair Value (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Financial Assets [Abstract] | ||
Securities held-to-maturity | $ 495,986 | $ 505,759 |
Carrying Amount | ||
Financial Assets [Abstract] | ||
Cash and due from banks | 358,824 | 169,297 |
Securities held-to-maturity | 600,291 | 585,798 |
Loans held for investment, net | 10,777,696 | 10,482,145 |
Accrued interest receivable | 53,608 | 48,561 |
Financial Liabilities [Abstract] | ||
Savings, money market and checking accounts | 9,194,247 | 9,139,043 |
Certificates of Deposits ("CDs") | 1,442,299 | 1,115,364 |
FHLBNY Advances | 1,123,000 | 1,131,000 |
Subordinated debt, net | 200,218 | 200,283 |
Other short-term borrowings | 1,360 | |
Accrued interest payable | 19,948 | 5,323 |
Fair Value | ||
Financial Assets [Abstract] | ||
Cash and due from banks | 358,824 | 169,297 |
Securities held-to-maturity | 495,986 | 505,759 |
Loans held for investment, net | 10,255,764 | 10,005,121 |
Accrued interest receivable | 53,608 | 48,561 |
Financial Liabilities [Abstract] | ||
Savings, money market and checking accounts | 9,194,247 | 9,139,043 |
Certificates of Deposits ("CDs") | 1,433,548 | 1,096,808 |
FHLBNY Advances | 1,119,564 | 1,131,217 |
Subordinated debt, net | 162,218 | 180,583 |
Other short-term borrowings | 1,360 | |
Accrued interest payable | 19,948 | 5,323 |
Level 1 Inputs | Fair Value | ||
Financial Assets [Abstract] | ||
Cash and due from banks | 358,824 | 169,297 |
Financial Liabilities [Abstract] | ||
Savings, money market and checking accounts | 9,194,247 | 9,139,043 |
Other short-term borrowings | 1,360 | |
Level 2 Inputs | Fair Value | ||
Financial Assets [Abstract] | ||
Securities held-to-maturity | 495,986 | 505,759 |
Accrued interest receivable | 5,525 | 6,105 |
Financial Liabilities [Abstract] | ||
Certificates of Deposits ("CDs") | 1,433,548 | 1,096,808 |
FHLBNY Advances | 1,119,564 | 1,131,217 |
Subordinated debt, net | 162,218 | 180,583 |
Accrued interest payable | 19,948 | 5,323 |
Level 3 Inputs | Fair Value | ||
Financial Assets [Abstract] | ||
Loans held for investment, net | 10,255,764 | 10,005,121 |
Accrued interest receivable | $ 48,083 | $ 42,456 |
OTHER INTANGIBLE ASSETS - Carry
OTHER INTANGIBLE ASSETS - Carrying amount and accumulated amortization of intangible assets amortizable (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Acquired intangible assets: | ||
Total | $ 5,409 | |
Core Deposit Intangibles | ||
Acquired intangible assets: | ||
Gross carrying value | 10,204 | $ 10,204 |
Accumulated amortization | (4,795) | (3,720) |
Total | $ 5,409 | $ 6,484 |
OTHER INTANGIBLE ASSETS - Narra
OTHER INTANGIBLE ASSETS - Narrative (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
OTHER INTANGIBLE ASSETS | ||||
Amortization expense recognized on intangible assets | $ 349 | $ 431 | $ 1,075 | $ 1,447 |
OTHER INTANGIBLE ASSETS - Estim
OTHER INTANGIBLE ASSETS - Estimated amortization expense (Details) $ in Thousands | Sep. 30, 2023 USD ($) |
OTHER INTANGIBLE ASSETS | |
2023 | $ 349 |
2024 | 1,164 |
2025 | 958 |
2026 | 795 |
2027 | 664 |
Thereafter | 1,479 |
Total | $ 5,409 |
FHLBNY ADVANCES - Narrative (De
FHLBNY ADVANCES - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||||
FHLBNY advances with an overnight contractual maturity | $ 0 | $ 0 | |||
Federal Home Loan Bank of New York | |||||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||||
Borrowings total | 1,120 | 1,120 | $ 1,130 | ||
Borrowings | 4,090 | 4,090 | $ 4,130 | ||
Callable advances | 0 | 0 | |||
Extinguishment of debt | $ 0 | $ 0 | $ 0 | $ 0 | |
Weighted average rate | 5.11% | 4.55% |
FHLBNY ADVANCES (Details)
FHLBNY ADVANCES (Details) - USD ($) $ in Thousands | Sep. 30, 2023 | Dec. 31, 2022 |
Contractual Maturity, Amount | ||
2023/2024 | $ 425,000 | $ 1,100,000 |
2024 | 698,000 | 36,000 |
Federal Home Loan Bank of New York | ||
Contractual Maturity, Amount | ||
2023 | 425,000 | 1,095,000 |
2023/2024 | 650,000 | |
2027 | 36,000 | 36,000 |
2028 | 12,000 | |
Total FHLBNY advances, amount | $ 1,123,000 | $ 1,131,000 |
Minimum | Federal Home Loan Bank of New York | ||
Contractual Maturity, Weighted Average Rate | ||
2023 | 5.18% | 5.18% |
2024 | 4.85% | 4.85% |
Maximum | Federal Home Loan Bank of New York | ||
Contractual Maturity, Weighted Average Rate | ||
2023 | 5.65% | 5.65% |
2024 | 5.16% | 5.16% |
Weighted Average Rate | Federal Home Loan Bank of New York | ||
Contractual Maturity, Weighted Average Rate | ||
2027 | 4.25% | 4.25% |
2028 | 4.04% | 4.04% |
SUBORDINATED DEBENTURES (Detail
SUBORDINATED DEBENTURES (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Jun. 30, 2022 | May 06, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | Dec. 31, 2022 | Jun. 15, 2022 | |
Debt Instrument [Line Items] | ||||||||
Subordinated notes payable, net | $ 200,200 | $ 200,200 | $ 200,300 | |||||
Interest expense related to the subordinated debt | $ 2,600 | $ 2,600 | $ 7,700 | $ 8,100 | ||||
Fixed to Floating Rate Subordinated Notes Due 2032 (the Notes) | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate principal amount issued | $ 160,000 | |||||||
Date after debt becomes callable | May 15, 2027 | |||||||
Fixed to Floating Rate Subordinated Notes Due 2032 (the Notes) | Prior to May 15, 2027 | ||||||||
Debt Instrument [Line Items] | ||||||||
Fixed annual interest rate | 5% | |||||||
Fixed to Floating Rate Subordinated Notes Due 2032 (the Notes) | On or after August 15, 2027 | SOFR | ||||||||
Debt Instrument [Line Items] | ||||||||
Basis points added to benchmark rate | 2.18% | |||||||
Fixed to Floating Rate Subordinated Notes Due 2027 (4.50%) | ||||||||
Debt Instrument [Line Items] | ||||||||
Fixed annual interest rate | 4.50% | |||||||
Net proceeds of the offering for the repayment | $ 115,000 | |||||||
Write-off of debt issuance costs | $ 740 | |||||||
Fixed to Floating Rate Subordinated Notes Due 2025 (5.25%) | ||||||||
Debt Instrument [Line Items] | ||||||||
Fixed annual interest rate | 5.25% | |||||||
Net proceeds of the offering for the repayment | $ 40,000 |
RETIREMENT AND POSTRETIREMENT_3
RETIREMENT AND POSTRETIREMENT PLANS - Net periodic benefit (credit) cost for the Employee Retirement Plan (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
BNB Bank Pension Plan | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Service cost | $ 175 | $ 267 | $ 525 | $ 802 |
Interest cost | $ 330 | $ 195 | $ 990 | $ 585 |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Interest Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Other | Other | Other | Other |
Expected return on assets | $ (687) | $ (857) | $ (2,062) | $ (2,572) |
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Expected Return (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other | Other | Other | Other |
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Amortization of Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other | Other | Other | Other |
Net periodic credit | $ (182) | $ (395) | $ (547) | $ (1,185) |
Employee Retirement Plan | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Interest cost | $ 222 | $ 155 | $ 667 | $ 465 |
Defined Benefit Plan, Net Periodic Benefit Cost (Credit), Interest Cost, Statement of Income or Comprehensive Income [Extensible Enumeration] | Other | Other | Other | Other |
Expected return on assets | $ (382) | $ (490) | $ (1,147) | $ (1,470) |
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Expected Return (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other | Other | Other | Other |
Amortization of unrealized loss | $ 147 | $ 63 | $ 442 | $ 188 |
Defined Benefit Plan, Net Periodic Benefit (Cost) Credit, Amortization of Gain (Loss), Statement of Income or Comprehensive Income [Extensible Enumeration] | Other | Other | Other | Other |
Net periodic credit | $ (13) | $ (272) | $ (38) | $ (817) |
Retirement Plans | ||||
Defined Benefit Plan, Net Periodic Benefit Cost (Credit) [Abstract] | ||||
Contributions to the BNB Bank Pension Plan or the Employee Retirement Plan | $ 0 |
RETIREMENT AND POSTRETIREMENT_4
RETIREMENT AND POSTRETIREMENT PLANS - 401(K) Plan - (Details) - 401 K Plan - USD ($) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Jun. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Defined Benefit Plan Disclosure [Line Items] | ||||
Maximum contribution by employee, for the calendar year | $ 22,500 | |||
Percentage of match for first 1% of employee contributions | 100% | |||
Percentage of employee contribution on which 100% match by employer | 1% | |||
Percentage of match on next 1% of employee contributions | 50% | |||
Common stock within the accounts of participants | $ 4,800,000 | $ 4,800,000 | ||
Total expense recognized as a component of salaries and employee benefits expense | $ 513,000 | $ 509,000 | $ 2,000,000 | $ 1,800,000 |
Maximum | ||||
Defined Benefit Plan Disclosure [Line Items] | ||||
Percentage of employee contribution on which 50% match by employer | 6% | |||
Maximum Percentage of participating employee contribution | 3.50% |
STOCK-BASED COMPENSATION (Detai
STOCK-BASED COMPENSATION (Details) | Sep. 30, 2023 shares |
2021 Equity Incentive Plan | |
STOCK-BASED COMPENSATION | |
Shares reserved for issuance | 635,622 |
STOCK-BASED COMPENSATION - Stoc
STOCK-BASED COMPENSATION - Stock Option Awards (Details) - Employee Stock Option [Member] $ / shares in Units, $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 USD ($) $ / shares shares | Dec. 31, 2022 USD ($) $ / shares shares | |
Number of Options | ||
Options outstanding, beginning of period (in shares) | shares | 92,137 | |
Options outstanding, end of period (in shares) | shares | 92,137 | 92,137 |
Options vested and exercisable, end of period (in shares) | shares | 92,137 | |
Weighted-Average Exercise Price | ||
Options outstanding, beginning of period (in dollars per share) | $ / shares | $ 35.39 | |
Options outstanding, end of period (in dollars per share) | $ / shares | 35.39 | $ 35.39 |
Options vested and exercisable. end of period (in dollars per share) | $ / shares | $ 35.39 | |
Weighted-Average Remaining Contractual Years | ||
Outstanding options, weighted average remaining contractual years | 5 years 6 months | 6 years 2 months 12 days |
Options vested and exercisable, weighted average remaining contractual years | 5 years 6 months | |
Aggregate Intrinsic Value | ||
Options outstanding | $ | $ 0 | $ 0 |
Options vested and exercisable | $ | $ 0 |
STOCK-BASED COMPENSATION - St_2
STOCK-BASED COMPENSATION - Stock Option Awards Exercise Price Range (Details) - $ / shares | 9 Months Ended | 12 Months Ended |
Sep. 30, 2023 | Dec. 31, 2022 | |
$34.87 | ||
STOCK-BASED COMPENSATION | ||
Exercise Prices | $ 34.87 | |
$35.35 | ||
STOCK-BASED COMPENSATION | ||
Exercise Prices | 35.35 | |
$36.19 | ||
STOCK-BASED COMPENSATION | ||
Exercise Prices | 36.19 | |
Employee Stock Option [Member] | ||
STOCK-BASED COMPENSATION | ||
Exercise Prices | $ 35.39 | $ 35.39 |
Outstanding Options, Amount | 92,137 | 92,137 |
Outstanding options, weighted average remaining contractual years | 5 years 6 months | 6 years 2 months 12 days |
Vested Options, Amount | 92,137 | |
Vested Options, Weighted Average Contractual Years Remaining | 5 years 6 months | |
Employee Stock Option [Member] | $34.87 | ||
STOCK-BASED COMPENSATION | ||
Outstanding Options, Amount | 35,671 | |
Outstanding options, weighted average remaining contractual years | 6 years 4 months 24 days | |
Vested Options, Amount | 35,671 | |
Vested Options, Weighted Average Contractual Years Remaining | 6 years 4 months 24 days | |
Employee Stock Option [Member] | $35.35 | ||
STOCK-BASED COMPENSATION | ||
Outstanding Options, Amount | 32,079 | |
Outstanding options, weighted average remaining contractual years | 5 years 4 months 24 days | |
Vested Options, Amount | 32,079 | |
Vested Options, Weighted Average Contractual Years Remaining | 5 years 4 months 24 days | |
Employee Stock Option [Member] | $36.19 | ||
STOCK-BASED COMPENSATION | ||
Outstanding Options, Amount | 24,387 | |
Outstanding options, weighted average remaining contractual years | 4 years 4 months 24 days | |
Vested Options, Amount | 24,387 | |
Vested Options, Weighted Average Contractual Years Remaining | 4 years 4 months 24 days |
STOCK-BASED COMPENSATION - Rest
STOCK-BASED COMPENSATION - Restricted Stock Awards (Details) - Restricted Stock Awards - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Restricted Stock Awards [Abstract] | ||||
Unrecognized compensation cost | $ 6,800 | $ 6,800 | ||
Weighted average remaining years for which compensation expense is to be recognized | 1 year 10 months 24 days | |||
Number of Shares | ||||
Unvested allocated shares outstanding, beginning of period (in shares) | 350,758 | |||
Shares granted (in shares) | 220,750 | |||
Shares vested (in shares) | (133,732) | |||
Shares forfeited (in shares) | (75,624) | |||
Unvested allocated shares outstanding, end of period (in shares) | 362,152 | 362,152 | ||
Weighted-Average Grant-Date Fair Value | ||||
Unvested allocated shares outstanding, beginning of period (in dollars per share) | $ 28.63 | |||
Shares granted (in dollars per share) | 25.47 | |||
Shares vested (in dollars per share) | 29.34 | |||
Shares forfeited (in dollars per share) | 26.43 | |||
Unvested allocated shares outstanding, end of period (in dollars per share) | $ 26.89 | $ 26.89 | ||
Information Related to RSAs | ||||
Compensation (benefit) expense recognized | $ 604 | $ 1,035 | $ 2,924 | $ 2,823 |
Income tax (expense) benefit recognized on vesting of RSAs | $ (72) | $ (10) | $ (184) | $ 178 |
STOCK-BASED COMPENSATION - Perf
STOCK-BASED COMPENSATION - Performance Based Equity Awards (Details) - Performance Shares - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Performance Based Equity Awards [Abstract] | ||||
Percentage of threshold target for each award eligible to be earned based on relative performance | 50% | |||
Percentage of target for each award eligible to be earned based on relative performance | 100% | |||
Percentage of maximum target for each award eligible to be earned based on relative performance | 150% | |||
Award vesting period | 3 years | |||
Number of Shares | ||||
Shares granted, Number of Shares | 195,066 | |||
Shares forfeited (in shares) | (60,987) | |||
Minimum aggregate share payout, Number of Shares | 0 | |||
Expected aggregate share payout, Number of Shares | 210,820 | |||
Weighted-Average Grant-Date Fair Value | ||||
Shares granted, Weighted-Average Grant-Date Fair Value | $ 17.69 | |||
Shares forfeited, Weighted-Average Grant-Date Fair Value | 25.21 | |||
Minimum aggregate share payout, Weighted-Average Grant-Date Fair Value | 0 | |||
Expected aggregate share payout, Weighted-Average Grant-Date Fair Value | $ 20.21 | |||
Information related to PSAs | ||||
Compensation (benefit) expense recognized | $ (66) | $ 193 | $ 274 | $ 570 |
Unrecognized compensation cost | $ 3,100 | $ 3,100 | ||
Weighted average remaining years for which compensation expense is to be recognized | 2 years 6 months | |||
Maximum | ||||
Number of Shares | ||||
Maximum aggregate share payout beginning balance, Number of Shares | 95,831 | |||
Maximum aggregate share payout ending balance, Number of Shares | 229,910 | 229,910 | ||
Weighted-Average Grant-Date Fair Value | ||||
Maximum aggregate share payout beginning balance, Weighted-Average Grant-Date Fair Value | $ 30.35 | |||
Maximum aggregate share payout ending balance, Weighted-Average Grant-Date Fair Value | $ 20.97 | $ 20.97 |
INCOME TAXES (Details)
INCOME TAXES (Details) | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2023 | Sep. 30, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
INCOME TAXES | ||||
Effective tax rate | 35.10% | 28.10% | 28.50% | 28.20% |
Pay vs Performance Disclosure
Pay vs Performance Disclosure - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||||
Sep. 30, 2023 | Jun. 30, 2023 | Mar. 31, 2023 | Sep. 30, 2022 | Jun. 30, 2022 | Mar. 31, 2022 | Sep. 30, 2023 | Sep. 30, 2022 | |
Pay vs Performance Disclosure | ||||||||
Net Income (Loss) | $ 14,985 | $ 27,498 | $ 37,303 | $ 39,481 | $ 38,485 | $ 34,531 | $ 79,786 | $ 112,497 |
Insider Trading Arrangements
Insider Trading Arrangements | 3 Months Ended |
Sep. 30, 2023 | |
Trading Arrangements, by Individual | |
Rule 10b5-1 Arrangement Adopted | false |
Non-Rule 10b5-1 Arrangement Adopted | false |
Rule 10b5-1 Arrangement Terminated | false |
Non-Rule 10b5-1 Arrangement Terminated | false |