Loans, Notes, Trade and Other Receivables Disclosure [Text Block] | 8 . Loans Most of the Company’s business activities are with customers located in the high-density Asian-populated areas of Southern and Northern California; New York City, New York; Dallas and Houston, Texas; Seattle, Washington; Boston, Massachusetts; Chicago, Illinois; Edison, New Jersey; Rockville, Maryland; and Las Vegas, Nevada. The Company also has loan customers in Hong Kong. The Company has no The types of loans in the Company’s Condensed Consolidated Balance Sheets as of June 30, 2020, December 31, 2019, June 30, 2020 December 31, 2019 (In thousands) Commercial loans $ 3,007,966 $ 2,778,744 Residential mortgage loans 4,184,721 4,088,586 Commercial mortgage loans 7,391,502 7,275,262 Real estate construction loans 624,199 579,864 Equity lines 399,207 347,975 Installment and other loans 688 5,050 Gross loans $ 15,608,283 $ 15,075,481 Allowance for loan losses (169,680 ) (123,224 ) Unamortized deferred loan fees, net (4,507 ) (626 ) Total loans, net $ 15,434,096 $ 14,951,631 As of June 30, 2020, December 31, 2019, June 30, 2020 December 31, 2019, The following table presents the average recorded investment and interest income recognized on impaired loans for the periods indicated: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 Average Interest Average Interest Average Interest Average Interest (In thousands) Commercial loans $ 33,695 $ 71 $ 46,792 $ 587 $ 30,913 $ 95 $ 42,388 $ 820 Real estate construction loans 4,458 49 4,726 — 4,482 147 4,771 — Commercial mortgage loans 36,225 375 54,404 448 36,225 824 56,724 942 Residential mortgage loans and equity lines 17,724 78 12,983 81 14,547 149 13,123 165 Total impaired loans $ 92,102 $ 573 $ 118,905 $ 1,116 $ 86,167 $ 1,215 $ 117,006 $ 1,927 The following table presents impaired loans and the related allowance for loan losses as of the dates indicated: June 30, 2020 December 31, 2019 Unpaid Recorded Allowance Unpaid Recorded Allowance (In thousands) With no allocated allowance Commercial loans $ 16,181 $ 13,391 $ — $ 20,134 $ 15,857 $ — Real estate construction loans 5,776 4,433 — 5,776 4,580 — Commercial mortgage loans 16,274 15,867 — 9,234 9,030 — Residential mortgage loans and equity lines 9,586 9,532 — 6,171 6,073 — Subtotal $ 47,817 $ 43,223 $ — $ 41,315 $ 35,540 $ — With allocated allowance Commercial loans $ 15,919 $ 15,863 $ 6,895 $ 8,769 $ 8,739 $ 2,543 Commercial mortgage loans 19,806 19,762 323 26,117 26,040 473 Residential mortgage loans and equity lines 10,280 9,281 307 6,740 5,540 220 Subtotal $ 46,005 $ 44,906 $ 7,525 $ 41,626 $ 40,319 $ 3,236 Total impaired loans $ 93,822 $ 88,129 $ 7,525 $ 82,941 $ 75,859 $ 3,236 The following tables present the aging of the loan portfolio by type as of June 30, 2020, December 31, 2019: June 30, 2020 30-59 Days 60-89 Days 90 Days or Non-accrual Total Past Loans Not Total (In thousands) Commercial loans $ 18,968 $ 1,706 $ 18,718 $ 27,125 $ 66,517 $ 2,941,449 $ 3,007,966 Real estate construction loans — — — 4,433 4,433 619,766 624,199 Commercial mortgage loans 15,556 3,003 2,228 10,896 31,683 7,359,819 7,391,502 Residential mortgage loans and equity lines 1,715 7,816 428 14,004 23,963 4,559,965 4,583,928 Installment and other loans — 4 — — 4 684 688 Total loans $ 36,239 $ 12,529 $ 21,374 $ 56,458 $ 126,600 $ 15,481,683 $ 15,608,283 December 31, 2019 30-59 Days 60-89 Days 90 Days or Non-accrual Total Past Loans Not Total (In thousands) Commercial loans $ 24,681 $ 9,954 $ 6,409 $ 19,381 $ 60,425 $ 2,718,319 $ 2,778,744 Real estate construction loans 5,846 6,753 — 4,580 17,179 562,685 579,864 Commercial mortgage loans 7,694 2,609 — 9,928 20,231 7,255,031 7,275,262 Residential mortgage loans and equity lines 26,028 965 — 6,634 33,627 4,402,934 4,436,561 Installment and other loans — — — — — 5,050 5,050 Total loans $ 64,249 $ 20,281 $ 6,409 $ 40,523 $ 131,462 $ 14,944,019 $ 15,075,481 The determination of the amount of the allowance for loan losses for impaired loans is based on management’s current judgment about the credit quality of the loan portfolio and takes into consideration known relevant internal and external factors that affect collectability when determining the appropriate level for the allowance for loan losses. The nature of the process by which the Bank determines the appropriate allowance for loan losses requires the exercise of considerable judgment. This allowance evaluation process is also applied to TDRs since they are considered to be impaired loans. The allowance for loan losses and the reserve for off-balance sheet credit commitments are significant estimates that can and do change based on management’s process in analyzing the loan portfolio and on management’s assumptions about specific borrowers, underlying collateral, and applicable economic, market and environmental conditions, among other factors. Although the Company took steps to incorporate the impact of the COVID- 19 19 A TDR is a formal modification of the terms of a loan when the lender, for economic or legal reasons related to the borrower’s financial difficulties, grants a concession to the borrower. The concessions may TDRs on accrual status are comprised of the loans that have, pursuant to the Bank’s policy, performed under the restructured terms and have demonstrated sustained performance under the modified terms for six As of June 30, 2020, December 31, 2019. June 30, 2020, December 31, 2019. three six June 30, 2020 2019, June 30, 2020 2019, three six June 30, 2020 2019: Three Months Ended June 30, 2020 June 30, 2020 No. of Pre-Modification Post-Modification Charge-offs Specific Reserve (In thousands) Commercial loans 1 $ 1,900 $ 1,900 $ — $ 86 Total 1 $ 1,900 $ 1,900 $ — $ 86 Three Months Ended June 30, 2019 June 30, 2019 No. of Pre-Modification Post-Modification Charge-offs Specific Reserve (In thousands) Commercial loans 19 $ 16,405 $ 15,551 $ 811 $ 37 Total 19 $ 16,405 $ 15,551 $ 811 $ 37 Six Months Ended June 30, 2020 June 30, 2020 No. of Pre-Modification Post-Modification Charge-offs Specific Reserve (In thousands) Commercial loans 3 $ 2,434 $ 2,434 $ — $ 86 Total 3 $ 2,434 $ 2,434 $ — $ 86 Six Months Ended June 30, 2019 June 30, 2019 No. of Pre-Modification Post-Modification Charge-offs Specific Reserve (In thousands) Commercial loans 20 $ 18,352 $ 16,381 $ 811 $ 37 Total 20 $ 18,352 $ 16,381 $ 811 $ 37 Modifications of the loan terms in the six June 30, 2020 three twelve We expect that the TDRs on accruing status as of June 30, 2020, June 30, 2020, December 31, 2019, June 30, 2020 Payment Rate Rate Reduction Total (In thousands) Accruing TDRs Commercial loans $ 2,129 $ — $ — $ 2,129 Commercial mortgage loans 585 5,689 18,459 24,733 Residential mortgage loans 2,413 299 2,097 4,809 Total accruing TDRs $ 5,127 $ 5,988 $ 20,556 $ 31,671 June 30, 2020 Payment Rate Rate Reduction Deferral Total (In thousands) Non-accrual TDRs Commercial loans $ 11,371 $ — $ — $ 11,371 Residential mortgage loans 1,177 — 122 1,299 Total non-accrual TDRs $ 12,548 $ — $ 122 $ 12,670 December 31, 2019 Payment Rate Rate Reduction Total (In thousands) Accruing TDRs Commercial loans $ 5,215 $ — $ — $ 5,215 Commercial mortgage loans 615 5,748 18,779 25,142 Residential mortgage loans 2,525 311 2,143 4,979 Total accruing TDRs $ 8,355 $ 6,059 $ 20,922 $ 35,336 December 31, 2019 Payment Rate Rate Reduction Total (In thousands) Non-accrual TDRs Commercial loans $ 16,692 $ — $ — $ 16,692 Commercial mortgage loans 1,220 — 136 1,356 Total non-accrual TDRs $ 17,912 $ — $ 136 $ 18,048 The activity within TDRs for the periods indicated is set forth below: Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 (In thousands) Accruing TDRs Beginning balance $ 34,364 $ 62,948 $ 35,336 $ 65,071 New restructurings 1,900 13,244 2,434 15,192 Payments (4,593 ) (9,998 ) (6,099 ) (14,069 ) Restructured loans placed on non-accrual status — (1,296 ) — (1,296 ) Ending balance $ 31,671 $ 64,898 $ 31,671 $ 64,898 Three Months Ended June 30, Six Months Ended June 30, 2020 2019 2020 2019 (In thousands) Non-accrual TDRs Beginning balance $ 17,889 $ 23,301 $ 18,048 $ 24,189 New restructurings — 3,160 — 3,160 Restructured loans placed on non-accrual status — 1,296 — 1,296 Charge-offs (4,970 ) (811 ) (4,970 ) (1,218 ) Payments (249 ) (4,489 ) (408 ) (4,970 ) Ending balance $ 12,670 $ 22,457 $ 12,670 $ 22,457 The Company considers a loan to be in payment default once it is 60 to 90 days contractually past due under the modified terms. The Company did not twelve June 30, 2020. Under the Company’s internal underwriting policy, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without the modification in order to determine whether a borrower is experiencing financial difficulty. As of June 30, 2020, no The CARES Act, signed into law on March 27, 2020, 19 March 1, 2020 December 31, 2020 60 not 30 December 31, 2019. 19 19 As part of the on-going monitoring of the credit quality of our loan portfolio, the Company utilizes a risk grading matrix to assign a risk grade to each loan. The risk rating categories can be generally described by the following grouping for non-homogeneous loans: ● Pass/Watch– ● Special Mention – not may ● Substandard – may not not ● Doubtful – may ● Loss – no June 30, 2020 December 31, 2019: June 30, 2020 Pass/Watch Special Substandard Doubtful Total (In thousands) Commercial loans $ 2,760,857 $ 138,410 $ 108,699 $ — $ 3,007,966 Real estate construction loans 490,388 129,378 4,433 — 624,199 Commercial mortgage loans 7,155,796 144,903 90,803 — 7,391,502 Residential mortgage loans and equity lines 4,558,199 889 24,840 — 4,583,928 Installment and other loans 684 — 4 — 688 Total gross loans $ 14,965,924 $ 413,580 $ 228,779 $ — $ 15,608,283 December 31, 2019 Pass/Watch Special Substandard Doubtful Total (In thousands) Commercial loans $ 2,528,944 $ 166,016 $ 83,784 $ — $ 2,778,744 Real estate construction loans 461,597 113,687 4,580 — 579,864 Commercial mortgage loans 6,992,933 196,454 85,875 — 7,275,262 Residential mortgage loans and equity lines 4,427,205 914 8,442 — 4,436,561 Installment and other loans 5,050 — — — 5,050 Total gross loans $ 14,415,729 $ 477,071 $ 182,681 $ — $ 15,075,481 The following tables set forth the balance in the allowance for loan losses by portfolio segment and based on impairment method as of June 30, 2020 December 31, 2019: June 30, 2020 Real Estate Commercial Residential Installment Commercial Construction Mortgage Mortgage Loans and Loans Loans Loans and Equity Lines Other Loans Total (In thousands) Loans individually evaluated for impairment Allowance $ 6,895 $ — $ 323 $ 307 $ — $ 7,525 Balance $ 29,254 $ 4,433 $ 35,629 $ 18,813 $ — $ 88,129 Loans collectively evaluated for impairment Allowance $ 75,361 $ 26,700 $ 40,809 $ 19,285 $ — $ 162,155 Balance $ 2,978,712 $ 619,766 $ 7,355,873 $ 4,565,115 $ 688 $ 15,520,154 Total allowance $ 82,256 $ 26,700 $ 41,132 $ 19,592 $ — $ 169,680 Total balance $ 3,007,966 $ 624,199 $ 7,391,502 $ 4,583,928 $ 688 $ 15,608,283 December 31, 2019 Real Estate Commercial Residential Installment Commercial Construction Mortgage Mortgage Loans and Loans Loans Loans and Equity Lines Other Loans Total (In thousands) Loans individually evaluated for impairment Allowance $ 2,543 $ — $ 473 $ 220 $ — $ 3,236 Balance $ 24,596 $ 4,580 $ 35,070 $ 11,613 $ — $ 75,859 Loans collectively evaluated for impairment Allowance $ 54,478 $ 19,474 $ 33,129 $ 12,888 $ 19 $ 119,988 Balance $ 2,754,148 $ 575,284 $ 7,240,192 $ 4,424,948 $ 5,050 $ 14,999,622 Total allowance $ 57,021 $ 19,474 $ 33,602 $ 13,108 $ 19 $ 123,224 Total balance $ 2,778,744 $ 579,864 $ 7,275,262 $ 4,436,561 $ 5,050 $ 15,075,481 The following tables set forth activity in the allowance for loan losses by portfolio segment for the three six June 30, 2020, June 30, 2019. one not Three months ended June 30, 2020 and 2019 Residential Real Estate Commercial Mortgage Loans Installment Commercial Construction Mortgage and and Other Loans Loans Loans Equity Lines Loans Total (In thousands) March 31, 2020 Ending Balance $ 67,799 $ 23,222 $ 39,886 $ 17,366 $ — $ 148,273 Provision for possible credit losses 18,213 3,478 1,151 2,158 — 25,000 Charge-offs (5,106 ) — — — — (5,106 ) Recoveries 1,350 — 95 68 — 1,513 Net (charge-offs)/recoveries (3,756 ) — 95 68 — (3,593 ) June 30, 2020 Ending Balance $ 82,256 $ 26,700 $ 41,132 $ 19,592 $ — $ 169,680 Residential Real Estate Commercial Mortgage Loans Installment Commercial Construction Mortgage and and Other Loans Loans Loans Equity Lines Loans Total (In thousands) March 31, 2019 Ending Balance $ 54,750 $ 20,723 $ 33,073 $ 13,975 $ 34 $ 122,555 (Reversal)/provision for possible credit losses (100 ) 257 (180 ) 27 (4 ) — Charge-offs (1,713 ) — — — — (1,713 ) Recoveries 1,356 30 261 162 — 1,809 Net (charge-offs)/recoveries (357 ) 30 261 162 — 96 June 30, 2019 Ending Balance $ 54,293 $ 21,010 $ 33,154 $ 14,164 $ 30 $ 122,651 Six months ended June 30, 2020 and 2019 Residential Real Estate Commercial Mortgage Loans Installment Commercial Construction Mortgage and and Other Loans Loans Loans Equity Lines Loans Total (In thousands) 2020 Beginning Balance $ 57,021 $ 19,474 $ 33,602 $ 13,108 $ 19 $ 123,224 Provision/(reversal) for possible credit losses 29,104 7,226 7,280 6,409 (19 ) 50,000 Charge-offs (6,427 ) — — — — (6,427 ) Recoveries 2,558 — 250 75 — 2,883 Net (charge-offs)/recoveries (3,869 ) — 250 75 — (3,544 ) June 30, 2020 Ending Balance $ 82,256 $ 26,700 $ 41,132 $ 19,592 $ — $ 169,680 Reserve for impaired loans $ 6,895 $ — $ 323 $ 307 $ — $ 7,525 Reserve for non-impaired loans $ 75,361 $ 26,700 $ 40,809 $ 19,285 $ — $ 162,155 Reserve for off-balance sheet credit commitments $ 3,581 $ 666 $ 117 $ 297 $ 2 $ 4,663 Residential Real Estate Commercial Mortgage Loans Installment Commercial Construction Mortgage and and Other Loans Loans Loans Equity Lines Loans Total (In thousands) 2019 Beginning Balance $ 54,978 $ 19,626 $ 33,487 $ 14,282 $ 18 $ 122,391 Provision/(reversal) for possible credit losses 862 310 (746 ) (438 ) 12 — Charge-offs (2,944 ) — — — — (2,944 ) Recoveries 1,397 1,074 413 320 — 3,204 Net (charge-offs)/recoveries (1,547 ) 1,074 413 320 — 260 June 30, 2019 Ending Balance $ 54,293 $ 21,010 $ 33,154 $ 14,164 $ 30 $ 122,651 Reserve for impaired loans $ 832 $ — $ 620 $ 234 $ — $ 1,686 Reserve for non-impaired loans $ 53,461 $ 21,010 $ 32,534 $ 13,930 $ 30 $ 120,965 Reserve for off-balance sheet credit commitments $ 2,090 $ 2,029 $ 137 $ 290 $ 4 $ 4,550 The ongoing COVID- 19 19 • Providing loans through the SBA's Paycheck Protection Program, or “PPP”. As of June 30, 2020, • The Company has implemented modifications on approximately 723 commercial real estate loans totaling $1.5 billion as of June 30, 2020, • Approved forbearance requests on approximately 1,198 residential mortgage loans totaling $518.1 million as of June 30, 2020, |