Cover
Cover - USD ($) $ in Billions | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 24, 2020 | Jun. 30, 2019 | |
Entity Information [Line Items] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 001-37532 | ||
Entity Registrant Name | IBERIABANK Corp | ||
Entity Incorporation, State or Country Code | LA | ||
Entity Tax Identification Number | 72-1280718 | ||
Entity Address, Address Line One | 200 West Congress Street | ||
Entity Address, City or Town | Lafayette, | ||
Entity Address, State or Province | LA | ||
Entity Address, Postal Zip Code | 70501 | ||
City Area Code | 337 | ||
Local Phone Number | 521-4003 | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
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 Public Float | $ 4 | ||
Entity Common Stock, Shares Outstanding | 52,583,117 | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000933141 | ||
Current Fiscal Year End Date | --12-31 | ||
Common Stock | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | Common Stock (par value $1.00 per share) | ||
Trading Symbol | IBKC | ||
Security Exchange Name | NASDAQ | ||
Series B Preferred Stock | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | a Share of 6.625% Perpetual Preferred Stock, Series B | ||
Trading Symbol | IBKCP | ||
Security Exchange Name | NASDAQ | ||
Series C Preferred Stock | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | a Share of 6.60% Perpetual Preferred Stock, Series C | ||
Trading Symbol | IBKCO | ||
Security Exchange Name | NASDAQ | ||
Series D Preferred Stock | |||
Entity Information [Line Items] | |||
Title of 12(b) Security | a Share of 6.100% Perpetual Preferred Stock, Series D | ||
Trading Symbol | IBKCN | ||
Security Exchange Name | NASDAQ |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets | ||
Cash and due from banks | $ 289,794 | $ 294,186 |
Interest-bearing deposits in other banks | 604,929 | 396,267 |
Total cash and cash equivalents | 894,723 | 690,453 |
Securities available for sale, at fair value | 3,933,360 | 4,783,579 |
Securities held to maturity (fair values of $189,899 and $204,277, respectively) | 182,961 | 207,446 |
Mortgage loans held for sale, at fair value | 213,357 | 107,734 |
Loans and leases, net of unearned income | 24,021,499 | 22,519,815 |
Allowance for loan and lease losses | (146,588) | (140,571) |
Loans and leases, net | 23,874,911 | 22,379,244 |
Premises and equipment, net | 296,688 | 300,507 |
Goodwill | 1,235,533 | 1,235,533 |
Other intangible assets | 77,168 | 88,736 |
Other assets | 1,004,749 | 1,039,783 |
Total Assets | 31,713,450 | 30,833,015 |
Deposits: | ||
Non-interest-bearing | 6,319,806 | 6,542,490 |
Interest-bearing | 18,899,543 | 17,220,941 |
Total deposits | 25,219,349 | 23,763,431 |
Short-term borrowings | 204,208 | 1,482,882 |
Long-term debt | 1,343,687 | 1,166,151 |
Other liabilities | 609,472 | 364,274 |
Total Liabilities | 27,376,716 | 26,776,738 |
Shareholders’ Equity | ||
Preferred Stock, $1 par value - 5,000,000 shares authorized Non-cumulative perpetual, liquidation preference $10,000 per share; 23,750 and 13,750 shares issued and outstanding, respectively, including related surplus | 228,485 | 132,097 |
Common stock, $1 par value - 100,000,000 shares authorized; 52,419,519 and 54,796,231 shares issued and outstanding, respectively | 52,420 | 54,796 |
Additional paid-in capital | 2,688,263 | 2,869,416 |
Retained earnings | 1,322,805 | 1,042,718 |
Accumulated other comprehensive income (loss) | 44,761 | (42,750) |
Total Shareholders’ Equity | 4,336,734 | 4,056,277 |
Total Liabilities and Shareholders’ Equity | $ 31,713,450 | $ 30,833,015 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Securities held to maturity, fair values | $ 189,899 | $ 204,277 |
Preferred stock, par value (in usd per share) | $ 1 | $ 1 |
Preferred stock, shares authorized (in shares) | 5,000,000 | 5,000,000 |
Liquidation preference (in usd per share) | $ 10,000 | $ 10,000 |
Preferred stock, shares issued (in shares) | 23,750 | 13,750 |
Preferred stock, shares outstanding (in shares) | 23,750 | 13,750 |
Common stock, par value (in usd per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 52,419,519 | 54,796,231 |
Common stock, shares outstanding (in shares) | 52,419,519 | 54,796,231 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Interest and dividend income | |||
Loans and leases, including fees | $ 1,160,919 | $ 1,086,662 | $ 802,947 |
Mortgage loans held for sale, including fees | 6,710 | 3,748 | 4,679 |
Taxable securities | 117,428 | 107,137 | 87,359 |
Tax-exempt securities | 8,358 | 10,634 | 8,835 |
Other | 16,593 | 13,448 | 9,963 |
Total interest and dividend income | 1,310,008 | 1,221,629 | 913,783 |
Interest expense | |||
Deposits | 267,227 | 160,952 | 79,833 |
Short-term borrowings | 15,739 | 14,682 | 7,557 |
Long-term debt | 37,396 | 32,747 | 17,547 |
Total interest expense | 320,362 | 208,381 | 104,937 |
Net interest income | 989,646 | 1,013,248 | 808,846 |
Provision for credit losses | 41,657 | 40,385 | 51,708 |
Net interest income after provision for credit losses | 947,989 | 972,863 | 757,138 |
Non-interest income | |||
Loss on sale of available-for-sale securities | (979) | (49,900) | (148) |
Other non-interest income | 19,945 | 15,896 | 18,004 |
Total non-interest income | 234,360 | 152,562 | 202,147 |
Non-interest expense | |||
Salaries and employee benefits | 411,869 | 414,741 | 379,527 |
Net occupancy and equipment | 79,773 | 77,246 | 70,663 |
Communication and delivery | 14,578 | 15,951 | 14,252 |
Marketing and business development | 14,161 | 18,371 | 13,999 |
Computer services expense | 38,108 | 39,680 | 36,790 |
Professional services | 33,284 | 28,698 | 48,545 |
Credit and other loan-related expense | 14,448 | 19,088 | 18,411 |
Insurance | 17,365 | 25,274 | 21,815 |
Travel and entertainment | 10,432 | 10,035 | 11,287 |
Amortization of acquisition intangibles | 18,464 | 21,678 | 12,590 |
Impairment of long-lived assets and other losses | 925 | 27,780 | 12,246 |
Other non-interest expense | 29,349 | 24,356 | 26,281 |
Total non-interest expense | 682,756 | 722,898 | 666,406 |
Income before income tax expense | 499,593 | 402,527 | 292,879 |
Income tax expense | 115,438 | 32,278 | 150,466 |
Net income | 384,155 | 370,249 | 142,413 |
Less: Preferred stock dividends | 12,602 | 9,095 | 9,095 |
Net income available to common shareholders | 371,553 | 361,154 | 133,318 |
Less: Earnings allocated to unvested restricted stock | 3,559 | 3,583 | 1,210 |
Earnings allocated to common shareholders | $ 367,994 | $ 357,571 | $ 132,108 |
Earnings per common share - basic (in usd per share) | $ 6.97 | $ 6.50 | $ 2.61 |
Earnings per common share - diluted (in usd per share) | 6.92 | 6.46 | 2.59 |
Cash dividends declared per common share (in usd per share) | $ 1.76 | $ 1.56 | $ 1.46 |
Comprehensive income | |||
Net income | $ 384,155 | $ 370,249 | $ 142,413 |
Unrealized gains (losses) on securities: | |||
Unrealized holding gains (losses) arising during the period (net of tax effects of $24,266, $10,870, and $6,244, respectively) | 85,308 | (40,895) | (11,596) |
Less: Reclassification adjustment for gains (losses) included in net income (net of tax effects of $242, $10,479, and $52, respectively) | (737) | (39,421) | (96) |
Unrealized gains (losses) on securities, net of tax | 86,045 | (1,474) | (11,500) |
Fair value of derivative instruments designated as cash flow hedges: | |||
Change in fair value of derivative instruments designated as cash flow hedges during the period (net of tax effects of $495, $1,174, and $329, respectively) | 1,078 | 4,416 | (611) |
Less: Reclassification adjustment for gains (losses) included in net income (net of tax effects of $120, $52, and $210, respectively) | (388) | (196) | (390) |
Fair value of derivative instruments designated as cash flow hedges, net of tax | 1,466 | 4,612 | (221) |
Other comprehensive income (loss), net of tax | 87,511 | 3,138 | (11,721) |
Comprehensive income | 471,666 | 373,387 | 130,692 |
Mortgage income | |||
Non-interest income | |||
Non-interest income | 63,030 | 46,424 | 63,570 |
Service charges on deposit accounts | |||
Non-interest income | |||
Non-interest income | 51,836 | 52,803 | 47,678 |
Title revenue | |||
Non-interest income | |||
Non-interest income | 25,928 | 24,149 | 21,972 |
Commission income | |||
Non-interest income | |||
Non-interest income | 16,937 | 8,869 | 6,020 |
Broker commissions | |||
Non-interest income | |||
Non-interest income | 8,280 | 9,195 | 9,161 |
ATM and debit card fee income | |||
Non-interest income | |||
Non-interest income | 11,871 | 10,295 | 10,199 |
Credit card and merchant-related income | |||
Non-interest income | |||
Non-interest income | 13,260 | 12,540 | 10,904 |
Trust department income | |||
Non-interest income | |||
Non-interest income | 17,058 | 15,981 | 9,705 |
Income from bank owned life insurance | |||
Non-interest income | |||
Non-interest income | $ 7,194 | $ 6,310 | $ 5,082 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Statement [Abstract] | |||
Unrealized holding gains (losses), taxes | $ 24,278 | $ 10,870 | $ 6,244 |
Reclassification adjustment for gains included in net income , taxes | 230 | 10,479 | 52 |
Change in fair value of derivative instruments designated as cash flow hedges, taxes | 495 | 1,174 | 329 |
Reclassification adjustment for losses included in net income, taxes | $ 120 | $ 52 | $ 210 |
Consolidated Statements of Shar
Consolidated Statements of Shareholders' Equity - USD ($) $ in Thousands | Total | Preferred Stock | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) | |
Beginning balance (in shares) at Dec. 31, 2016 | 13,750 | 44,795,386 | |||||
Beginning balance at Dec. 31, 2016 | $ 2,939,694 | $ 132,097 | $ 44,795 | $ 2,084,446 | $ 704,391 | $ (26,035) | |
Increase (Decrease) in Shareholders' Equity | |||||||
Net income | 142,413 | 142,413 | |||||
Other comprehensive income (loss) | (11,721) | (11,721) | |||||
Cash dividends declared | (76,615) | (76,615) | |||||
Reclassification of AOCI to RE due to Tax Act | [1] | 8,132 | (8,132) | ||||
Preferred stock dividends | (9,095) | (9,095) | |||||
Common stock issued under incentive plans, net of shares surrendered in payment (in shares) | 366,582 | ||||||
Common stock issued under incentive plans, net of shares surrendered in payment | (515) | $ 367 | (882) | ||||
Stock issued (in shares) | 6,100,000 | ||||||
Stock issued | 485,151 | $ 6,100 | 479,051 | ||||
Common stock issued for acquisitions (in shares) | 2,610,304 | ||||||
Common stock issued for acquisitions | 211,043 | $ 2,610 | 208,433 | ||||
Share-based compensation expense | 16,436 | 16,436 | |||||
Ending balance (in shares) at Dec. 31, 2017 | 13,750 | 53,872,272 | |||||
Ending balance at Dec. 31, 2017 | 3,696,791 | $ 132,097 | $ 53,872 | 2,787,484 | 769,226 | (45,888) | |
Increase (Decrease) in Shareholders' Equity | |||||||
Net income | 370,249 | 370,249 | |||||
Other comprehensive income (loss) | 3,138 | 3,138 | |||||
Cash dividends declared | (87,317) | (87,317) | |||||
Preferred stock dividends | (9,095) | (9,095) | |||||
Common stock issued under incentive plans, net of shares surrendered in payment (in shares) | 108,686 | ||||||
Common stock issued under incentive plans, net of shares surrendered in payment | (3,226) | $ 109 | (3,335) | ||||
Common stock issued for acquisitions (in shares) | 2,787,773 | ||||||
Common stock issued for acquisitions | 214,659 | $ 2,788 | 211,871 | ||||
Share-based compensation expense | 20,278 | 20,278 | |||||
Common stock repurchases (in shares) | (1,972,500) | ||||||
Common stock repurchases | (148,855) | $ (1,973) | (146,882) | ||||
Ending balance (in shares) at Dec. 31, 2018 | 13,750 | 54,796,231 | |||||
Ending balance at Dec. 31, 2018 | 4,056,277 | $ 132,097 | $ 54,796 | 2,869,416 | 1,042,718 | (42,750) | |
Increase (Decrease) in Shareholders' Equity | |||||||
Net income | 384,155 | 384,155 | |||||
Other comprehensive income (loss) | 87,511 | 87,511 | |||||
Cash dividends declared | (93,313) | (93,313) | |||||
Preferred stock dividends | (12,602) | (12,602) | |||||
Common stock issued under incentive plans, net of shares surrendered in payment (in shares) | 323,288 | ||||||
Common stock issued under incentive plans, net of shares surrendered in payment | (3,373) | $ 324 | (3,697) | ||||
Stock issued (in shares) | 10,000 | ||||||
Stock issued | 96,388 | $ 96,388 | |||||
Share-based compensation expense | 24,584 | 24,584 | |||||
Common stock repurchases (in shares) | (2,700,000) | ||||||
Common stock repurchases | (204,740) | $ (2,700) | (202,040) | ||||
Ending balance (in shares) at Dec. 31, 2019 | 23,750 | 52,419,519 | |||||
Ending balance at Dec. 31, 2019 | $ 4,336,734 | $ 228,485 | $ 52,420 | $ 2,688,263 | $ 1,322,805 | $ 44,761 | |
[1] | (1) One-time reclassification from accumulated other comprehensive income ("AOCI") to retained earnings ("RE") for stranded tax effects resulting from the Tax Cuts and Jobs Act (the "Tax Act"), enacted on December 22, 2017. |
Consolidated Statements of Sh_2
Consolidated Statements of Shareholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash dividends declared per common share (in usd per share) | $ 1.76 | $ 1.56 | $ 1.46 |
Retained Earnings | |||
Cash dividends declared per common share (in usd per share) | $ 1.76 | $ 1.56 | $ 1.46 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash Flows from Operating Activities | |||
Net income | $ 384,155 | $ 370,249 | $ 142,413 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation, amortization, and accretion, including amortization of purchase accounting adjustments and market value adjustments | 16,360 | (7,534) | (4,113) |
Provision for credit losses | 41,657 | 40,385 | 51,708 |
Share-based compensation expense - equity awards | 24,584 | 20,278 | 16,436 |
(Gain) loss on sale of OREO and long-lived assets, net of impairment | (1,740) | 4,429 | 1,581 |
Loss on sale of securities available-for-sale | 979 | 49,900 | 148 |
Gain on early termination of FDIC loss share agreements | 0 | (2,708) | 0 |
Cash paid for early termination of FDIC loss share agreements | 0 | (5,637) | 0 |
Deferred income tax expense | 30,703 | 153,518 | 71,257 |
Originations of mortgage loans held for sale | (1,967,532) | (1,469,847) | (1,844,358) |
Proceeds from sales of mortgage loans held for sale | 1,933,973 | 1,543,724 | 1,922,003 |
Realized and unrealized gain on mortgage loans held for sale, net | (64,825) | (45,338) | (62,438) |
Other operating activities, net | 180,506 | (204,998) | (30,991) |
Net Cash Provided by Operating Activities | 578,820 | 446,421 | 263,646 |
Cash Flows from Investing Activities | |||
Proceeds from sales of securities available-for-sale | 299,513 | 1,035,482 | 682,349 |
Proceeds from maturities, prepayments and calls of securities available-for-sale | 845,726 | 635,183 | 568,250 |
Purchases of securities available-for-sale, net of securities available-for-sale acquired | (210,237) | (1,959,952) | (1,475,008) |
Proceeds from maturities, prepayments and calls of securities held to maturity | 21,727 | 16,841 | 8,687 |
Purchases of held to maturity securities | 0 | 0 | (148,234) |
Purchases of equity securities, net of equity securities acquired | (15,154) | (30,904) | (71,684) |
Proceeds from sales of equity securities | 43,284 | 88,200 | 21,532 |
Increase in loans, net of loans acquired | (1,477,677) | (949,953) | (976,488) |
Proceeds from sales of premises and equipment | 11,806 | 6,374 | 354 |
Purchases of premises and equipment, net of premises and equipment acquired | (35,000) | (13,730) | (37,763) |
Proceeds from dispositions of OREO | 13,136 | 15,810 | 25,624 |
Cash paid for additional investment in tax credit entities | (11,414) | (18,818) | (16,401) |
Cash received (paid) for acquisition of a business, net of cash paid | 0 | 99,318 | (490,435) |
Purchase of bank owned life insurance policies | 0 | (50,000) | 0 |
Other investing activities, net | 1,000 | 343 | 636 |
Net Cash Used in Investing Activities | (513,290) | (1,125,806) | (1,908,581) |
Cash Flows from Financing Activities | |||
Increase (decrease) in deposits, net of deposits acquired | 1,455,918 | 1,232,603 | (323,257) |
Net change in short-term borrowings, net of borrowings acquired | (1,278,674) | 491,585 | (38,377) |
Proceeds from long-term debt, net of long-term debt acquired | 500,000 | 937,917 | 964,974 |
Repayments of long-term debt | (321,987) | (1,672,033) | (97,259) |
Cash dividends paid on common stock | (92,190) | (84,782) | (72,772) |
Cash dividends paid on preferred stock | (12,602) | (9,095) | (9,095) |
Shares Issued, Value, Share-based Payment Arrangement, before Forfeiture | (3,373) | (3,226) | (832) |
Payments to repurchase common stock | (204,740) | (148,855) | 0 |
Net proceeds from issuance of common stock | 0 | 0 | 485,151 |
Net proceeds from issuance of preferred stock | 96,388 | 0 | 0 |
Net Cash Provided by Financing Activities | 138,740 | 744,114 | 908,533 |
Net Increase (Decrease) In Cash and Cash Equivalents | 204,270 | 64,729 | (736,402) |
Cash and Cash Equivalents at Beginning of Period | 690,453 | 625,724 | 1,362,126 |
Cash and Cash Equivalents at End of Period | 894,723 | 690,453 | 625,724 |
Supplemental Schedule of Non-cash Activities | |||
Acquisition of real estate in settlement of loans | 10,847 | 12,557 | 18,170 |
Common stock issued in acquisitions | 0 | 214,659 | 211,043 |
Cash paid (received) for: | |||
Interest on deposits and borrowings, net of acquired | 319,675 | 198,905 | 102,558 |
Income taxes, net | $ (107,401) | $ 34,313 | $ 77,034 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES General The accompanying consolidated financial statements have been prepared in accordance with GAAP and practices generally accepted in the banking industry. The consolidated financial statements include the accounts of the Company and its subsidiaries. Certain amounts reported in prior periods have been reclassified to conform to the current period presentation. These reclassifications did not have a material effect on previously reported consolidated financial statements. Proposed Merger with First Horizon National Corporation On November 4, 2019, the Company announced it had entered into a definitive agreement to merge with First Horizon National Corporation ("First Horizon") in an all-stock merger of equals. Under the terms of the agreement, the Company's shareholders will receive 4.584 shares of First Horizon common stock for each share of IBERIABANK Corporation common stock. The combined holding company and bank will operate under the First Horizon name and will be headquartered in Memphis, Tennessee. The merger is expected to close in the second quarter of 2020, subject to satisfaction of customary closing conditions, including receipt of regulatory approvals and approval by the shareholders of each company. Principles of Consolidation All significant intercompany balances and transactions have been eliminated in consolidation. The Company’s consolidated financial statements include all entities in which the Company has a controlling financial interest under either the voting interest or variable interest model. The assessment of whether or not the Company has a controlling interest (i.e., the primary beneficiary) in a variable interest entity (VIE) is performed on an on-going basis. All equity investments in non-consolidated VIEs are included in other assets in the Company’s consolidated balance sheets. The Company’s maximum exposure to loss as a result of its involvement with non-consolidated VIEs was approximately $271.5 million and $230.2 million at December 31, 2019 and 2018, respectively. The Company's maximum exposure to loss was equivalent to the carrying value of its investments and any related outstanding loans to the non-consolidated VIEs. Investments in entities that are not consolidated are accounted for under either the equity, fair value, or proportional amortization method of accounting. Prior to January 1, 2018, investments in entities that were not consolidated were accounted for under either the equity, cost, or proportional amortization method of accounting. Investments for which the Company has the ability to exercise significant influence over the operating and financing decisions of the entity are accounted for under the equity method. Investments for which the Company does not hold such ability are accounted for at cost less impairment plus or minus changes resulting from observable price changes, which approximates fair value. Prior to January 1, 2018, investments for which the Company did not hold such ability were accounted for under the cost method. Investments in qualified affordable housing projects, which meet certain criteria, are accounted for under the proportional amortization method. Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Material estimates that are susceptible to significant change in the near term are the allowance for credit losses, the valuation of goodwill and other intangible assets, and income taxes. Concentration of Credit Risks Most of the Company’s business activity is with customers located in the southeastern United States. The Company’s lending activity is concentrated in its market areas within those states. The Company has emphasized originations of commercial loans and private banking loans, defined as loans to higher net worth clients. Repayments on loans are expected to come from cash flows of the borrower and/or guarantor. Losses on secured loans are limited by the net realizable value of the collateral upon default of the borrowers and guarantor support. The Company believes it does not have any excessive concentrations to any one industry, loan type, or customer. Business Combinations Assets and liabilities acquired in business combinations are recorded at their acquisition date fair values. The Company generally records provisional amounts at the time of acquisition based on the information available to the Company. The provisional estimates of fair values may be adjusted for a period of up to one year (“measurement period”) from the date of acquisition if new information is obtained about facts and circumstances that existed as of the acquisition date that, if known, would have affected the measurement of the amounts recognized as of that date. Adjustments recorded during the measurement period are recognized in the current reporting period. Loans generally represent a significant portion of the assets acquired in the Company’s business acquisitions. If the Company discovers that it has materially underestimated the credit losses expected in the loan portfolio based on information available at the acquisition date within the measurement period, it will reduce or eliminate the gain and/or increase goodwill recorded on the acquisition in the period the adjustment is recorded. If the Company determines that losses arose subsequent to the acquisition date, such losses are reflected as a provision for credit losses. Cash and Cash Equivalents For purposes of presentation in the consolidated statements of cash flows, cash and cash equivalents are defined as cash on hand, interest-bearing deposits, and non-interest-bearing demand deposits at other financial institutions with original maturities less than three months . IBERIABANK may be required to maintain average cash balances on hand or with the Federal Reserve Bank to meet regulatory reserve and clearing requirements. At December 31, 2019 and 2018, IBERIABANK had sufficient cash deposited with the Federal Reserve Bank to cover the required reserve balance. Investment Securities Management determines the appropriate accounting classification of debt and equity securities at the time of acquisition and re-evaluates such designations at least quarterly. Debt securities that management has the ability and intent to hold to maturity are classified as HTM and carried at cost, adjusted for amortization of premiums and accretion of discounts using methods approximating the interest method. Securities acquired with the intention of recognizing short-term profits or which are actively bought and sold are classified as trading securities and reported at fair value, with unrealized gains and losses recognized in earnings. Securities not classified as HTM or trading are classified as AFS and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in OCI. Prior to January 1, 2018, equity securities with readily determinable fair values were also classified as AFS and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in OCI. Credit-related declines in the fair value of debt securities that are considered OTTI are recorded in earnings. Prior to January 1, 2018, credit-related declines in the fair value of marketable equity securities that were considered OTTI were recorded in earnings. The Company evaluates its investment securities portfolio on a quarterly basis for indicators of OTTI. Declines in the fair value of individual HTM and AFS securities below their amortized cost basis are reviewed to determine whether the declines are other than temporary. In estimating OTTI losses, management considers 1) the length of time and the extent to which the fair value has been less than the amortized cost basis, 2) the financial condition and near-term prospects of the issuer, 3) its intent to sell and whether it is more likely than not that the Company would be required to sell those securities before the anticipated recovery of the amortized cost basis, and 4) for debt securities, the recovery of contractual principal and interest. For securities that the Company does not expect to sell, or it is not more likely than not it will be required to sell prior to recovery of its amortized cost basis, the credit component of an OTTI is recognized in earnings and the non-credit component is recognized in OCI. For securities that the Company does expect to sell, or it is more likely than not that it will be required to sell prior to recovery of its amortized cost basis, both the credit and non-credit component of an OTTI are recognized in earnings. Subsequent to recognition of OTTI, an increase in expected cash flows is recognized as a yield adjustment over the remaining expected life of the security based on an evaluation of the nature of the increase. Other equity securities primarily consist of stock acquired for regulatory purposes, such as Federal Home Loan Bank stock and Federal Reserve Bank stock and are included in other assets. Gains or losses on securities sold are recorded on the trade date, using the specific identification method. Loans Held for Sale Loans which the Company does not have the intent and ability to hold for the foreseeable future or until maturity or payoff are classified as loans held for sale at the time of origination or acquisition. Subsequent to origination or acquisition, if the Company no longer has the intent or ability to hold a loan for the foreseeable future, generally a decision has been made to sell the loan and it is classified within loans held for sale. Unless the fair value option has been elected at origination or acquisition, loans classified as held for sale are carried at the lower of cost or fair value. Amortization/accretion of remaining unamortized net deferred loan fees or costs and discounts or premiums (if applicable) ceases when a loan is classified as held for sale. Loans held for sale primarily consist of fixed rate single-family residential mortgage loans originated and committed to be sold in the secondary market. Mortgage loans originated and held for sale are recorded at fair value under the fair value option. For mortgage loans for which the Company has elected the fair value option, gains and losses are included in mortgage income. For any other loans held for sale, net unrealized losses, if any, are recognized through a valuation allowance that is recorded as a charge to non-interest income. See Note 19 for further discussion of the determination of fair value for loans held for sale. In most cases, loans in this category are sold within thirty days and are generally sold with the mortgage servicing rights released. Buyers generally have recourse to return a purchased loan or request reimbursement for the loan premium or consideration transferred for servicing rights under limited circumstances. Recourse conditions may include prepayment, payment default, breach of representations or warranties, and documentation deficiencies. During 2019 and 2018, an insignificant number of loans were returned to the Company. At December 31, 2019 and 2018, the recorded repurchase liability associated with transferred loans was not material. Loans Legacy (Loans originated or renewed and underwritten by the Company) The Company originates mortgage, commercial, and consumer loans for customers. Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the unpaid principal balances, less the ALL, charge-offs, and unamortized net loan origination fees and direct costs, except for loans carried at fair value. Interest income is accrued as earned over the term of the loans based on the principal balance outstanding. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield. Accrued interest is reported within other assets in the consolidated balance sheets. Acquired (Loans acquired through Business Combinations) Acquired loans are recorded at fair value on the acquisition date. Credit risk assumptions and any resulting credit discounts are included in the determination of fair value. Therefore, an ALL is not recorded at the acquisition date. The determination of fair value includes estimates related to discount rates, expected prepayments, and the amount and timing of undiscounted expected principal, interest, and other cash flows. All acquired loans are evaluated for impairment at the time of acquisition. At the time of acquisition, acquired loans that reflect credit deterioration since origination to the extent that it is probable that the Company will be unable to collect all contractually required payments are classified as purchased impaired loans (“acquired impaired loans”). All other acquired loans are classified as purchased non-impaired loans (“acquired non-impaired loans”). At the time of acquisition, acquired impaired loans are accounted for individually or aggregated into loan pools with similar characteristics, which include: • whether the loan is performing according to contractual terms at the time of acquisition, • the loan type based on regulatory reporting guidelines, primarily whether the loan was a mortgage, consumer, or commercial loan, • the nature of the collateral, • the interest rate type, whether fixed or variable rate, and • the loan payment type, primarily whether the loan is amortizing or interest-only. From these pools, the Company uses certain loan information, including outstanding principal balance, estimated expected losses, weighted average maturity, weighted average term to re-price for a variable rate loan, weighted average margin and weighted average interest rate to estimate the expected cash flows for each loan pool. For acquired impaired loans, expected cash flows at the acquisition date in excess of the fair value of loans are recorded as interest income over the life of the loans using a level yield method if the timing and amount of future cash flows is reasonably estimable. For acquired non-impaired loans, the difference between the fair value and unpaid principal balance of the loan at acquisition, referred to as a purchase premium or discount, is amortized or accreted to income over the estimated life of the loans as an adjustment to yield. Subsequent to acquisition, the Company performs cash flow re-estimations at least quarterly for each acquired impaired loan or loan pool. Increases in estimated cash flows above those expected at the time of acquisition are recognized on a prospective basis as interest income over the remaining life of the loan and/or pool. Decreases in expected cash flows subsequent to acquisition generally result in recognition of a provision for credit loss. The measurement of cash flows involves several assumptions and judgments, including prepayments, default rates and loss severity among other factors. All of these factors are inherently subjective and significant changes in the cash flow estimations can result over the life of the loan. Classification The Company’s loan portfolio is disaggregated into portfolio segments for purposes of determining the ACL. The Company’s portfolio segments include commercial, residential mortgage, and consumer and other loans. The Company further disaggregates each commercial, residential mortgage, and consumer and other loans portfolio segment into classes for purposes of monitoring and assessing credit quality based on certain risk characteristics. Classes within the commercial loan portfolio segment include commercial real estate-construction, commercial real estate-owner-occupied, commercial real estate-non-owner occupied, and commercial and industrial. Classes within the consumer and other loans portfolio segment include home equity, and other. Troubled Debt Restructurings The Company periodically grants concessions to its customers in an attempt to protect as much of its investment as possible and minimize risk of loss. These concessions may include restructuring the terms of a loan to alleviate the burden of the customer’s near-term cash requirements. In order to be classified as a TDR, the Company must conclude that the restructuring constitutes a concession and the customer is experiencing financial difficulties. The Company defines a concession to the customer as a modification of existing terms for economic or legal reasons that it would otherwise not consider. The concession is either granted through an agreement with the customer or is imposed by a court of law. Concessions include modifying original loan terms to reduce or defer cash payments required as part of the loan agreement, including but not limited to: • a reduction of the stated interest rate for the remaining original life of the loan, • an extension of the maturity date or dates at a stated interest rate lower than the current market rate for new loans with similar risk characteristics, • a reduction of the face amount or maturity amount of the loan as stated in the agreement, or • a reduction of accrued interest receivable on the loan. In its determination of whether the customer is experiencing financial difficulties, the Company considers numerous indicators, including, but not limited to: • whether the customer is currently in default on its existing loan(s), or is in an economic position where it is probable the customer will be in default on its loan(s) in the foreseeable future without a modification, • whether the customer has declared bankruptcy, • whether there is substantial doubt about the customer’s ability to continue as a going concern, • whether, based on its projections of the customer’s current capabilities, the Company believes the customer’s future cash flows will be insufficient to service the loan, including interest, in accordance with the contractual terms of the existing agreement for the foreseeable future, and • whether the customer cannot obtain sufficient funds from other sources at an effective interest rate equal to the current market rate for a similar loan for a non-troubled debtor. If the Company concludes that both a concession has been granted and the customer is experiencing financial difficulties, the Company identifies the loan as a TDR. All TDRs are considered impaired loans. Non-accrual and Past Due Loans (Including Loan Charge-offs) Loans are generally considered past due when contractual payments of principal and interest have not been received within 30 days from the contractual due date. Residential mortgage loans are considered past due when contractual payments have not been received for two consecutive payment dates. Legacy and acquired non-impaired loans are placed on non-accrual status when any of the following occur: 1) the loan is maintained on a cash basis because of deterioration in the financial condition of the borrower; 2) collection of the full contractual amount of principal and interest is not expected even if the loan is currently paying as agreed; or 3) when principal or interest has been in default for a period of 90 days or more, unless the loan is both well-secured and in the process of collection. Factors considered in determining the collection of the full contractual amount of principal and interest include assessment of the borrower’s cash flow, valuation of underlying collateral, and the ability and willingness of guarantors to provide credit support. Certain commercial loans are also placed on non-accrual status when payment is not past due and full payment of principal and interest is expected, but the Company has doubt about the borrower’s ability to comply with existing repayment terms. Consideration will be given to placing a loan on non-accrual due to the deterioration of the debtor’s repayment ability, the repayment of the loan becoming dependent on the liquidation of collateral, an existing collateral deficiency, the loan being classified as "doubtful" or "loss," the client filing for bankruptcy, and/or foreclosure being initiated. Regarding all classes within the C&I and CRE portfolios, the determination of a borrower’s ability to make the required principal and interest payments is based on an examination of the borrower’s current financial statements, industry, management capabilities, and other qualitative factors. Acquired impaired loans are placed on non-accrual status when the Company cannot reasonably estimate cash flows on a loan or loan pool. Legacy and acquired non-impaired loans are evaluated for potential charge-off in accordance with the parameters discussed in the following paragraph or when the loan is placed on non-accrual status, whichever is earlier. Loans within the commercial portfolio (except for acquired impaired loans) are generally evaluated for charge-off at 90 days past due, unless both well-secured and in the process of collection. Closed and open-end residential mortgage and consumer loans (except for acquired impaired loans) are evaluated for charge-off no later than 120 days past due. Any outstanding loan balance in excess of the fair value of the collateral less costs to sell is charged-off no later than 120 days days past due for loans secured by real estate. For non-real estate secured loans, in lieu of charging off the entire loan balance, loans may be written down to the fair value of the collateral less costs to sell if repossession of collateral is assured and in process. The accrual of interest, as well as the amortization/accretion of any remaining unamortized net deferred fees or costs and discount or premium, is discontinued at the time the loan is placed on non-accrual status. All accrued but uncollected interest for loans that are placed on non-accrual status is reversed through interest income. Cash receipts received on non-accrual loans are generally applied against principal until the loan has been collected in full, after which time any additional cash receipts are recognized as interest income (i.e., cost recovery method). However, interest may be accounted for under the cash-basis method as long as the remaining recorded investment in the loan is deemed fully collectible. Loans are returned to accrual status when the borrower has demonstrated a capacity to continue payment of the debt (generally a minimum of six months of sustained repayment performance) and collection of contractually required principal and interest associated with the debt is reasonably assured. Additionally, for a non-accrual TDR to be returned to accrual status, a current, well-documented credit analysis is required and the borrower must have complied with all terms of the modification. At such time, the accrual of interest and amortization/accretion of any remaining unamortized net deferred fees or costs and discount or premium shall resume. Any interest income which was applied to the principal balance shall not be reversed and subsequently will be recognized as an adjustment to yield over the remaining life of the loan. Impaired Loans Within the commercial portfolio, all loans classified as "substandard", "doubtful" or "loss" with an outstanding commitment balance above a specific threshold are evaluated on a quarterly basis for potential impairment. Generally, residential mortgage and consumer loans within any class are not individually evaluated on a regular basis for impairment. All TDRs, regardless of the outstanding balance amount or portfolio classification, and all acquired impaired loans are considered to be impaired. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal and/or interest in accordance with the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the likelihood of collecting scheduled principal and interest payments when contractually due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Impairment losses are measured on a loan-by-loan basis for commercial and certain residential mortgage or consumer loans, based on either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s observable market price, or the fair value of the collateral if the loan is collateral-dependent. This measurement requires significant judgment and use of estimates, and the actual loss ultimately recognized by the Company may differ significantly from the estimates. Allowance for Credit Losses The Company maintains the ACL at a level that management believes appropriate to absorb estimated probable credit losses incurred in the loan portfolios, including unfunded commitments, as of the consolidated balance sheet date. The ACL consists of the allowance for loan losses (contra asset) and the reserve for unfunded commitments (liability). The manner in which the ACL is determined is based on 1) the accounting method applied to the underlying loans and 2) whether the loan is required to be measured for impairment. The Company delineates between loans accounted for under the contractual yield method, legacy and acquired non-impaired loans, and acquired impaired loans. Further, for legacy and acquired non-impaired loans, the Company attributes portions of the ACL to loans and loan commitments that it measures individually, and groups of homogeneous loans and loan commitments that it measures collectively for impairment. Determination of the appropriate ACL involves a high degree of complexity and requires significant judgment regarding the credit quality of the loan portfolio. Several factors are taken into consideration in the determination of the overall ACL, including a qualitative component. These factors include, but are not limited to, the overall risk profiles of the loan portfolios, net charge-off experience, the extent of impaired loans, the level of non-accrual loans, the level of 90 days past due loans, the value of collateral, the ability to monetize guarantor support, and the overall percentage level of the allowance relative to the loan portfolio, amongst other factors. The Company also considers overall asset quality trends, changes in lending practices and procedures, trends in the nature and volume of the loan portfolio, including the existence and effect of any portfolio concentrations, changes in experience and depth of lending staff, the Company’s legal, regulatory and competitive environment, national and regional economic trends, data availability and applicability that might impact the portfolio or the manner in which it estimates losses, and risk rating accuracy and risk identification. The allowance for loan losses for all impaired loans (excluding acquired impaired loans) is determined on an individual loan basis, considering the facts and circumstances specific to each borrower. The allowance is based on the difference between the recorded investment in the loan and generally either the estimated net present value of projected cash flows or the estimated value of the collateral associated with a collateral-dependent loan. The allowance for loan losses for all non-impaired loans (excluding acquired impaired loans) is calculated based on pools of loans with similar characteristics. The pool-level allowance is calculated through the application of probability of default (PD) and loss given default (LGD) factors for each individual loan. PDs and LGDs are determined based on historical default and loss information for similar loans. For purposes of establishing estimated loss percentages for pools of loans that share common risk characteristics, the Company’s loan portfolio is segmented by various loan characteristics including loan type, risk rating for commercial, Vantage or FICO score for residential mortgage and consumer, past due status for residential mortgage and consumer, and call report code. The default and loss information is measured over an appropriate period for each loan pool and adjusted as deemed appropriate. Qualitative adjustments are incorporated into the pool-level analysis to accommodate for the imprecision of certain assumptions and uncertainties inherent in the calculation. See the "Loans" section of this note for discussion of the determination of the ACL for acquired impaired loans. Certain inherent, but unconfirmed losses are probable within the loan portfolio. The Company’s current methodology for determining the level of inherent losses is based on historical loss rates, current credit grades, specific allocation, and other qualitative adjustments. In a stable or deteriorating credit environment, heavy reliance on historical loss rates and the credit grade rating process results in model-derived reserves that tend to slightly lag behind portfolio deterioration. Similar lags can occur in an improving credit environment whereby required reserves can lag slightly behind portfolio improvement. Given these and other model limitations, qualitative adjustment factors may be incremental or decremental to the quantitative model results. The reserve for unfunded commitments is determined using similar methodologies described above for non-impaired loans. The loss factors used in the reserve for unfunded commitments are equivalent to the loss factors used in the allowance for loan losses, while also considering utilization of unused commitments. Premises and Equipment Land is carried at cost. Buildings, furniture, fixtures, and equipment are carried at cost, less accumulated depreciation computed on a straight-line basis over the estimated useful lives of 10 to 40 years for buildings and related improvements and generally 3 to 20 years for furniture, fixtures, and equipment. Leasehold improvements are amortized over the lease term, including any renewal periods that are reasonably assured, or the asset’s useful life, whichever is shorter. Premises and equipment are evaluated for impairment whenever events or changes in circumstances indicate that the carrying amount of the asset may not be recoverable. Goodwill and Other Intangible Assets Goodwill Goodwill represents the excess of the consideration paid in a business combination over the fair value of the identifiable net assets acquired. Goodwill is not amortized, but is assessed for potential impairment at a reporting unit level on an annual basis, as of October 1 st , or whenever events or changes in circumstances indicate that it is more likely than not the fair value of a reporting unit is less than its respective carrying amount. For the annual October 1, 2019 impairment evaluation, management elected to bypass the qualitative assessment for each respective reporting unit (IBERIABANK, Mortgage, and LTC) and performed Step 1 of the goodwill impairment test. Step 1 of the goodwill impairment test requires the Company to compare the fair value of each reporting unit with its carrying amount, including goodwill. Accordingly, the Company determined the fair value of each reporting unit and compared the fair value to each respective reporting unit’s carrying amount. The Company determined that none of the reporting units’ fair values were below their respective carrying amounts. The Company concluded goodwill was not impaired as of October 1, 2019. Further, no events or changes in circumstances between October 1, 2019 and December 31, 2019 indicated that it was more likely than not the fair value of any reporting unit had been reduced below its carrying value. Based on the testing performed in 2019 and 2018, management concluded that for the IBERIABANK, Mortgage, and LTC reporting units, goodwill was not impaired at any time during those periods. Intangible assets subject to amortization The Company’s acquired intangible assets that are subject to amortization primarily include core deposit intangibles, which are amortized on a straight-line or accelerated basis, and a customer relationship intangible asset, which is amortized on an accelerated basis, over average lives not to exceed 10 years. The Company reviews intangible assets for impairment whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. Impairment is identified if the sum of the undiscounted estimated future cash flows is less than the carrying value of the asset. Intangible assets are recorded within other |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | INVESTMENT SECURITIES The amortized cost and estimated fair values of investment securities, with gross unrealized gains and losses, consisted of the following: December 31, 2019 (in thousands) Amortized Gross Gross Estimated Securities available for sale: U.S. Government-sponsored enterprise obligations $ 39,916 $ 281 $ — $ 40,197 Obligations of state and political subdivisions 160,873 7,607 — 168,480 Mortgage-backed securities: Residential agency 2,876,069 27,423 (3,836 ) 2,899,656 Commercial agency 704,661 17,202 (404 ) 721,459 Other securities 101,022 2,779 (233 ) 103,568 Total securities available for sale $ 3,882,541 $ 55,292 $ (4,473 ) $ 3,933,360 Securities held to maturity: Obligations of state and political subdivisions $ 166,386 $ 7,147 $ — $ 173,533 Mortgage-backed securities: Residential agency 16,575 30 (239 ) 16,366 Total securities held to maturity $ 182,961 $ 7,177 $ (239 ) $ 189,899 December 31, 2018 (in thousands) Amortized Gross Gross Estimated Securities available for sale: U.S. Government-sponsored enterprise obligations $ 995 $ 3 $ — $ 998 Obligations of state and political subdivisions 177,566 2,045 (723 ) 178,888 Mortgage-backed securities: Residential agency 3,837,584 8,886 (57,073 ) 3,789,397 Commercial agency 730,148 2,363 (14,799 ) 717,712 Other securities 97,020 351 (787 ) 96,584 Total securities available for sale $ 4,843,313 $ 13,648 $ (73,382 ) $ 4,783,579 Securities held to maturity: Obligations of state and political subdivisions $ 188,684 $ 309 $ (2,497 ) $ 186,496 Mortgage-backed securities: Residential agency 18,762 30 (1,011 ) 17,781 Total securities held to maturity $ 207,446 $ 339 $ (3,508 ) $ 204,277 Securities with carrying values of $2.2 billion and $2.4 billion were pledged to support repurchase transactions, public funds deposits, and certain long-term borrowings at December 31, 2019 and 2018 , respectively. Information pertaining to securities with gross unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous loss position, was as follows: December 31, 2019 Less Than Twelve Months Twelve Months or More Total (in thousands) Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Securities available for sale: Obligations of state and political subdivisions $ — $ 590 $ — $ — $ — $ 590 Mortgage-backed securities: Residential agency (1,893 ) 441,332 (1,943 ) 268,383 (3,836 ) 709,715 Commercial agency (252 ) 56,728 (152 ) 10,301 (404 ) 67,029 Other securities (133 ) 13,241 (100 ) 4,492 (233 ) 17,733 Total securities available for sale $ (2,278 ) $ 511,891 $ (2,195 ) $ 283,176 $ (4,473 ) $ 795,067 Securities held to maturity: Mortgage-backed securities: Residential agency $ (52 ) $ 6,308 $ (187 ) $ 9,074 $ (239 ) $ 15,382 Total securities held to maturity $ (52 ) $ 6,308 $ (187 ) $ 9,074 $ (239 ) $ 15,382 December 31, 2018 Less Than Twelve Months Twelve Months or More Total (in thousands) Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Securities available for sale: Obligations of state and political subdivisions $ (9 ) $ 4,112 $ (714 ) $ 30,268 $ (723 ) $ 34,380 Mortgage-backed securities: Residential agency (816 ) 197,057 (56,257 ) 2,193,862 (57,073 ) 2,390,919 Commercial agency (43 ) 18,190 (14,756 ) 483,565 (14,799 ) 501,755 Other securities (94 ) 18,025 (693 ) 32,577 (787 ) 50,602 Total securities available for sale $ (962 ) $ 237,384 $ (72,420 ) $ 2,740,272 $ (73,382 ) $ 2,977,656 Securities held to maturity: Obligations of state and political subdivisions $ (3 ) $ 2,059 $ (2,494 ) $ 151,699 $ (2,497 ) $ 153,758 Mortgage-backed securities: Residential agency — — (1,011 ) 17,478 (1,011 ) 17,478 Total securities held to maturity $ (3 ) $ 2,059 $ (3,505 ) $ 169,177 $ (3,508 ) $ 171,236 The Company held certain investment securities where amortized cost exceeded fair value, resulting in unrealized loss positions, as shown in the tables above. Management evaluates securities for other-than-temporary impairment on at least a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. Impairment is considered to be other-than-temporary if the Company (1) intends to sell the security, (2) more likely than not will be required to sell the security before recovering its cost, or (3) does not expect to recover the security's entire amortized cost basis. As of December 31, 2019, the Company did not intend to sell any of these securities, did not expect to be required to sell these securities, and expected to recover the entire amortized cost of all these securities. As a result of the Company's analysis, no declines in the estimated fair value of the Company's investment securities were deemed to be other-than-temporary at December 31, 2019 or 2018 . At December 31, 2019 , 123 debt securities had unrealized losses of 0.58% of the securities’ amortized cost basis. At December 31, 2018 , 488 debt securities had unrealized losses of 2.38% of the securities’ amortized cost basis. The unrealized losses for each of the securities related to market interest rate changes and not credit concerns of the issuers. Additional information on securities that have been in a continuous loss position for over twelve months at December 31 is presented in the following table. (in thousands) 2019 2018 Number of securities Mortgage-backed securities: Residential agency 59 302 Commercial agency 6 72 Obligations of state and political subdivisions — 60 Other securities 4 7 69 441 Amortized Cost Basis Mortgage-backed securities: Residential agency $ 279,587 $ 2,268,608 Commercial agency 10,453 498,321 Obligations of state and political subdivisions — 185,175 Other securities 4,591 33,270 $ 294,631 $ 2,985,374 Unrealized Loss Mortgage-backed securities: Residential agency $ 2,130 $ 57,268 Commercial agency 152 14,756 Obligations of state and political subdivisions — 3,208 Other securities 100 693 $ 2,382 $ 75,925 The amortized cost and estimated fair value of investment securities by maturity at December 31, 2019 are presented in the following table. Securities are classified according to their contractual maturities without consideration of principal amortization, potential prepayments or call options. Accordingly, actual maturities may differ from contractual maturities. Weighted average yields are calculated on the basis of the yield to maturity based on the amortized cost of each security. Securities Available for Sale Securities Held to Maturity (in thousands) Weighted Amortized Estimated Weighted Amortized Estimated Within one year or less 2.61 % $ 40,875 $ 41,158 3.29 % $ 330 $ 331 One through five years 2.52 127,588 130,809 2.60 5,350 5,380 After five through ten years 2.72 706,365 725,592 2.37 42,775 44,314 Over ten years 2.45 3,007,713 3,035,801 2.57 134,506 139,874 2.50 % $ 3,882,541 $ 3,933,360 2.53 % $ 182,961 $ 189,899 The following is a summary of realized gains and losses from the sale of securities classified as available for sale. Gains or losses on securities sold are recorded on the trade date, using the specific identification method. Years Ended December 31, (in thousands) 2019 2018 2017 Realized gains $ 1,332 $ 40 $ 1,651 Realized losses (2,311 ) (49,940 ) (1,799 ) $ (979 ) $ (49,900 ) $ (148 ) In addition to the gains above, the Company realized certain gains on calls of securities held to maturity that were not significant to the consolidated financial statements. Other Equity Securities The Company accounts for the following securities at cost less impairment plus or minus any observable price changes, which approximates fair value, with the exception of CRA and Community Development Investment Funds, which are recorded at fair value. Other equity securities, which are presented in other assets on the consolidated balance sheets, were as follows: (in thousands) 2019 2018 Federal Home Loan Bank stock $ 70,386 $ 95,213 Federal Reserve Bank stock 85,630 85,630 CRA and Community Development Investment Funds 1,948 1,884 Other investments 21,118 9,709 $ 179,082 $ 192,436 |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Changes and Error Corrections [Abstract] | |
Recent Accounting Pronouncements | RECENT ACCOUNTING PRONOUNCEMENTS Pronouncements adopted during the year ended December 31, 2019: ASU No. 2016-02, ASU No. 2018-11, ASU No. 2018-20, and ASU 2019-01 In February 2016, the FASB issued ASU No. 2016-02, Leases (ASC 842) which requires lessees to recognize ROU assets and lease liabilities on the balance sheet for most leases, including operating leases. The lessor accounting model was relatively unchanged by this ASU. Additional quantitative and qualitative disclosures are also required. During 2018 and early 2019, the FASB issued ASU No. 2018-11, Targeted Improvements , ASU No. 2018-20, Narrow-Scope Improvements for Lessors , and ASU No. 2019-01, Codification Improvements , which clarified certain implementation issues, provided an additional optional transition method and clarified the disclosure requirements during the period of adopting ASC 842, among others. The Company adopted ASU No. 2016-02 and the related ASUs discussed above effective January 1, 2019 using the optional transition method. The Company elected the package of practical expedients that does not require the reassessment of whether expired or existing contracts contain leases, the reassessment of the lease classification for any expired or existing leases, or the reassessment of initial direct costs for existing leases. Additionally, the Company did not elect the hindsight practical expedient. The Company conducted a review of all existing lease contracts and service contracts which might contain embedded leases. Some of the Company’s leases contain variable lease payments, the majority of which depend on an index or rate, such as the Consumer Price Index. At transition, the present value of variable payments was based on the index or rate as of January 1, 2019. To determine the present value of lease payments at transition, the Company applied a portfolio approach utilizing an FHLB Advance rate based on the weighted average remaining term of the Company’s existing leases as of January 1, 2019. As a result of adopting ASC 842, the Company established an ROU asset and a lease liability as of January 1, 2019 of $94.2 million and $118.9 million , respectively. Additionally, as part of the adoption of ASC 842, $24.7 million in pre-existing liabilities were reclassified to the ROU asset on January 1, 2019. This resulted in a gross-up of the balance sheet of $94.2 million as a result of recognizing lease liabilities and corresponding right-of-use assets for operating leases. The adoption of ASC 842 also required the recognition of previously deferred gains on sale-leaseback transactions which resulted in an insignificant increase to retained earnings on January 1, 2019. The related impact on the Company’s regulatory capital ratios was not significant. The Company does not expect material changes to the recognition of lease expense in future periods as a result of the adoption of ASC 842. See Note 10, Leases, for additional disclosures required by ASC 842. ASU No. 2018-16 In October 2018, the FASB released ASU No. 2018-16, Derivatives and Hedging (ASC 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes , which permits the use of the OIS rate based on SOFR as a U.S. benchmark interest rate for hedge accounting purposes under ASC 815 in addition to the interest rates on direct Treasury obligations of the UST, the LIBOR swap rate, the OIS Rate based on the Fed Funds Effective Rate, and the SIFMA Municipal Swap Rate. The required effective date of this ASU was dependent upon when an entity adopted the provisions of ASU No. 2017-12. The Company adopted ASU No. 2018-16 effective January 1, 2019 on a prospective basis for qualifying new or redesignated hedging relations as ASU No. 2017-12 had previously been adopted on January 1, 2018. The implementation of this ASU did not have a significant impact on the Company’s consolidated financial statements. ASU No. 2017-08 In March 2017, the FASB issued ASU No. 2017-08, Receivables-Nonrefundable Fees and Other Costs (ASC 310-20): Premium Amortization on Purchased Callable Debt Securities , which shortens the amortization period for callable debt securities held at a premium to the earliest call date instead of the maturity date. The amendments do not require an accounting change for securities held at a discount, which will continue to be amortized to the maturity date. The Company adopted ASU No. 2017-08 effective January 1, 2019. The adoption of the ASU did not have a material impact on the Company’s consolidated financial statements. Pronouncements issued but not yet adopted: ASU No. 2016-13, ASU No. 2019-04 (portion related to ASC 326), ASU No. 2019-05, and ASU 2019-11 In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (ASC 326): Measurement of Credit Losses on Financial Instruments . The guidance, along with subsequent related updates issued during 2019 (ASU Nos. 2019-04, 2019-05 and 2019-11), introduces an impairment model that is based on expected credit losses (ECL), rather than incurred losses, to estimate credit losses on certain types of financial instruments such as loans and held-to-maturity securities, including certain off-balance sheet financial instruments such as loan commitments. The measurement of ECL should consider historical information, current information, and reasonable and supportable forecasts, including estimates of prepayments, over the contractual term. Financial instruments with similar risk characteristics must be grouped together when estimating ECL. ASC 326 also expands credit quality disclosures. ASC 326 provides for a simplified accounting model for purchased financial assets with a more-than-insignificant amount of credit deterioration since their origination (purchase credit deteriorated). The initial estimate of expected credit losses for purchase credit deteriorated financial assets will be recognized as an ACL with an offset (i.e., increase) to the cost basis of the related financial asset at acquisition. Additionally, ASC 326 amends the current AFS security impairment model for debt securities. The new model will require an estimate of ECL when the fair value is below the amortized cost of the asset. The credit-related impairment (and subsequent recoveries) are recognized as an allowance on the balance sheet with a corresponding adjustment to the income statement. Non-credit related losses will continue to be recognized through OCI. The Company will adopt these ASUs as of January 1, 2020 through a modified-retrospective approach. The Company elected to not measure an allowance for credit losses for accrued interest as it reverses uncollectible accrued interest through interest income in a timely manner and to continue to report accrued interest within other assets in the consolidated balance sheets. The Company did not elect the one-time fair value option transition expedient for financial instruments recorded at amortized cost. Additionally, the Company elected to discontinue the use of pools to account for purchase credit deteriorated financial assets. Prior to adoption, the Company established a cross-function implementation team and engaged third-party consultants who jointly developed multiple current expected credit loss models which segment the Company’s loan and lease portfolio by borrower type (i.e. commercial and consumer) and loan type to estimate lifetime expected credit losses. These current expected credit loss models primarily use a probability-of-default methodology to estimate expected credit losses. Within each model, loans are further segregated based on additional risk characteristics specific to that loan type, such as risk rating, industry sector, company and/or loan size, collateral type, geographic location and FICO score. The Company uses both internal and external historical loss data, as appropriate, and a blend of multiple economic forecasts to estimate expected credit losses over a reasonable and supportable forecast period and then reverts to longer term historical loss experience to arrive at lifetime expected credit losses at implementation. The transition adjustment as of January 1, 2020 primarily relates to establishing lifetime expected credit losses on its loan portfolio as the impact of the new accounting guidance for held-for-sale and available-for-sale investment securities was immaterial. The transition adjustment is expected to result in an ACL to loans ratio between 0.98% and 1.04% . The increase in the ACL primarily relates to required increases for residential mortgage and home equity loans due to the requirement to estimate lifetime expected credit losses and the remaining length of time to maturity for these loans, as well as an increase in reserves on certain acquired loans which had low reserve levels under the previous accounting guidance. While the Company recognizes the economy is currently vulnerable to major shocks, fiscal policy, other geopolitical events and the outcome of the pending U.S. elections, the transition adjustment reflects the Company’s view of a relatively stable macroeconomic environment over the next eighteen months. The transition adjustment to increase the ACL is expected to result in a decrease to the opening shareholders’ equity balance, net of income taxes, as of January 1, 2020. While these ASUs increased the ACL, they did not change the overall credit risk in the Company’s loan and lease portfolios or the ultimate losses therein. ASU No. 2018-13 In August 2018, the FASB released ASU No. 2018-13, Fair Value Measurement (ASC 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds and modifies certain disclosure requirements for fair value measurements. The ASU is effective for fiscal years beginning after December 15, 2019, including interim periods, with early adoption permitted. The Company will adopt ASU No. 2018-13 as of January 1, 2020. While adoption of this ASU will result in changes to existing disclosures, it did not have an impact on the Company’s financial position or results of operations. ASU No. 2018-17 In October 2018, the FASB released ASU No. 2018-17, Consolidation (ASC 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities, which improves the consistency of the application of the variable interest entity (VIE) related party guidance for common control arrangements. This ASU requires reporting entities to consider indirect interests held through related parties under common control on a proportional basis rather than as the equivalent of a direct interest in its entirety (as currently required in GAAP) when determining whether a decision-making fee is a variable interest. ASU No. 2018-17 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, and early adoption is permitted. The guidance will be applied retrospectively with a cumulative-effect adjustment to retained earnings at the beginning of the earliest period presented. The Company will adopt ASU No. 2018-17 as of January 1, 2020. The adoption of the ASU did not have a material impact to the Company’s consolidated financial statements. Based on the Company’s invested interests at adoption, no transition adjustment was needed. ASU No. 2019-04 In April 2019, the FASB released ASU No. 2019-04, Codification Improvements to Financial Instruments-Credit Losses (ASC 326), Derivatives and Hedging (ASC 815), and Financial Instruments (ASC 825) . The amendments in the ASU improve the Codification by eliminating inconsistencies and providing clarifications. The amendments related to the credit losses standard are discussed above under ASU 2016-13. With respect to hedge accounting, the ASU addresses partial-term fair value hedges, fair value hedge basis adjustments, and certain transition requirements, among other things. For recognizing and measuring financial instruments, the ASU addresses the scope of the guidance, the requirement for re-measurement under ASC 820 when using the measurement alternative, certain disclosure requirements and which equity securities have to be re-measured at historical exchange rates. Since the Company early adopted the guidance in ASU No. 2017-12, Derivatives and Hedging (ASC 815): Targeted Improvements to Accounting for Hedging Activities in 2018, the amended hedge accounting guidance in ASU No. 2019-04 is effective as of the beginning of the first annual reporting period beginning after April 25, 2019 with early adoption permitted on any date after the issuance of this ASU. The Company will adopt ASU No. 2017-08 as of January 1, 2020. The adoption of the ASU did not have a material impact to the Company’s consolidated financial statements. ASU No. 2019-12 In December 2019, the FASB released ASU No. 2019-12, Income Taxes (ASC 740): Simplifying the Accounting for Income Taxes , as part of their initiative to reduce complexity in accounting standards. The ASU simplifies the accounting for income taxes by eliminating certain exceptions to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The ASU also simplifies aspects of the accounting for enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. ASU No. 2019-12 will be effective for fiscal years beginning after December 15, 2020, including interim periods, with early adoption permitted. The transition method for ASU No. 2019-12 varies between the simplification items. The Company is currently evaluating the impact of the ASU on the Company’s consolidated financial statements. ASU No. 2020-01 In January 2020, the FASB released ASU No. 2020-01, Investments-Equity Securities (ASC 321), Investments-Equity Method and Joint Ventures (ASC 323), and Derivatives and Hedging (ASC 815): Clarifying the Interactions between ASC 321, ASC 323, and ASC 815 , a consensus of the FASB’s Emerging Issues Task Force (EITF). The ASU clarifies that a company should consider observable transactions that require a company to either apply or discontinue the equity method of accounting under ASC 323 for the purposes of applying the measurement alternative in accordance with ASC 321 immediately before applying or upon discontinuing the equity method. The ASU also clarifies that, when determining the accounting for certain forward contracts and purchased options, a company should not consider, whether upon settlement or exercise, if the underlying securities would be accounted for under the equity method or fair value option. ASU No. 2020-01 will be effective for fiscal years beginning after December 15, 2020, including interim periods, with early adoption permitted. The Company is currently evaluating the impact of the ASU on the Company’s consolidated financial statements. |
Loans and Leases
Loans and Leases | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Loans and Leases | LOANS AND LEASES Loans and leases by portfolio segment and class consisted of the following at December 31: (in thousands) 2019 2018 Commercial loans and leases: Real estate - construction $ 1,321,663 $ 1,196,366 Real estate - owner-occupied 2,475,326 2,395,822 Real estate - non-owner-occupied 6,267,106 5,796,117 Commercial and industrial (1) 6,547,538 5,737,017 Total commercial loans and leases 16,611,633 15,125,322 Residential mortgage loans 4,739,075 4,359,156 Consumer and other loans: Home equity 1,987,336 2,304,694 Other 683,455 730,643 Total consumer and other loans 2,670,791 3,035,337 Total loans and leases $ 24,021,499 $ 22,519,815 (1) Includes equipment financing leases of $1.0 billion and $431.7 million at December 31, 2019 and 2018 , respectively. Net deferred loan origination fees were $36.8 million and $30.2 million at December 31, 2019 and 2018 , respectively. Total net discount on the Company's loans was $89.3 million and $136.8 million at December 31, 2019 and 2018 , respectively, of which $56.4 million and $81.6 million was related to non-impaired loans. In addition to loans issued in the normal course of business, the Company considers overdrafts on customer deposit accounts to be loans and reclassifies these overdrafts as loans in its consolidated balance sheets. At December 31, 2019 and 2018 , overdrafts of $7.7 million and $9.2 million , respectively, had been reclassified to loans. Loans with carrying values of $8.6 billion and $7.6 billion were pledged as collateral for borrowings at December 31, 2019 and 2018 , respectively. Aging Analysis The following tables provide an analysis of the aging of loans and leases as of December 31, 2019 and 2018 . Past due and non-accrual loan amounts exclude acquired impaired loans, even if contractually past due or if the Company does not expect to receive payment in full, as the Company is currently accreting interest income over the expected life of the loans. For additional information on the determination of past due status and the Company's policies for recording payments received, placing loans and leases on non-accrual status, and the resumption of interest accrual on non-accruing loans and leases, See Note 1, Summary of Significant Accounting Policies. December 31, 2019 Accruing (in thousands) Current or less than 30 Days Past Due 30-59 Days 60-89 Days > 90 Days Total Past Due Non-accrual Loans (1) Acquired Impaired Loans Total Real estate - construction $ 1,311,458 $ 244 $ — $ — $ 244 $ 1,394 $ 8,567 $ 1,321,663 Real estate - owner-occupied 2,384,204 15,619 1,118 1,035 17,772 17,817 55,533 2,475,326 Real estate - non-owner-occupied 6,194,061 2,831 2,459 58 5,348 15,440 52,257 6,267,106 Commercial and industrial 6,474,894 6,414 1,126 887 8,427 41,636 22,581 6,547,538 Residential mortgage 4,608,767 2,335 16,052 1,277 19,664 34,833 75,811 4,739,075 Consumer - home equity 1,899,490 12,916 2,141 — 15,057 24,404 48,385 1,987,336 Consumer - other 672,931 3,760 1,189 — 4,949 3,381 2,194 683,455 Total loans and leases $ 23,545,805 $ 44,119 $ 24,085 $ 3,257 $ 71,461 $ 138,905 $ 265,328 $ 24,021,499 (1) Of the total non-accrual loans at December 31, 2019 , $8.7 million were past due 30-59 days, $4.3 million were past due 60-89 days, and $73.2 million were past due more than 90 days. December 31, 2018 Accruing (in thousands) Current or less than 30 Days Past Due 30-59 Days 60-89 Days > 90 Days Total Past Due Non-accrual Loans (1) Acquired Impaired Loans Total Real estate - construction $ 1,167,795 $ 1,054 $ — $ — $ 1,054 $ 1,094 $ 26,423 $ 1,196,366 Real estate - owner-occupied 2,305,743 7,167 — — 7,167 10,260 72,652 2,395,822 Real estate - non-owner-occupied 5,703,131 7,473 360 — 7,833 15,898 69,255 5,796,117 Commercial and industrial 5,645,304 5,139 1,320 553 7,012 57,860 26,841 5,737,017 Residential mortgage 4,218,146 2,768 13,063 1,575 17,406 30,396 93,208 4,359,156 Consumer - home equity 2,200,517 10,283 2,409 — 12,692 18,830 72,655 2,304,694 Consumer - other 719,122 4,695 1,601 — 6,296 2,846 2,379 730,643 Total loans and leases $ 21,959,758 $ 38,579 $ 18,753 $ 2,128 $ 59,460 $ 137,184 $ 363,413 $ 22,519,815 (1) Of the total non-accrual loans at December 31, 2018 , $7.0 million were past due 30-59 days, $3.7 million were past due 60-89 days, and $66.9 million were past due more than 90 days. Acquired Loans The Company acquired certain loans from Sabadell United to customers with addresses outside of the United States. Foreign loans, denominated in U.S. dollars, totaled $182.4 million and $202.6 million at December 31, 2019 and 2018 , respectively. The following is a summary of changes in the accretable difference for all loans accounted for under ASC 310-30 during the years ended December 31: (in thousands) 2019 2018 2017 Balance at beginning of period $ 133,342 $ 152,623 $ 175,054 Additions — 5,574 32,937 Transfers from non-accretable difference to accretable yield (2,150 ) 3,623 4,912 Accretion (36,512 ) (47,962 ) (56,337 ) Changes in expected cash flows not affecting non-accretable differences (1) (4,529 ) 19,484 (3,943 ) Balance at end of period $ 90,151 $ 133,342 $ 152,623 (1) Includes changes in cash flows expected to be collected due to the impact of changes in actual or expected timing of liquidation events, modifications, changes in interest rates and changes in prepayment assumptions. Troubled Debt Restructurings Information about the Company’s TDRs is presented in the following tables. Modifications of loans that are accounted for within a pool under ASC Topic 310-30 are excluded as TDRs. Accordingly, such modifications do not result in the removal of those loans from the pool, even if the modification of those loans would otherwise be considered a TDR. As a result, all such acquired loans that would otherwise meet the criteria for classification as a TDR are excluded from the tables below. TDRs totaling $57.9 million , $53.2 million , and $70.5 million occurred during the years ended December 31, 2019 , 2018 , and 2017 , respectively, through modification of the original loan terms. The following table provides information on how the TDRs were modified during the years ended December 31: (in thousands) 2019 2018 2017 Extended maturities $ 11,741 $ 23,262 $ 26,561 Interest rate adjustment 68 99 24 Maturity and interest rate adjustment 1,729 554 4,932 Movement to or extension of interest-rate only payments 1,791 881 4,161 Forbearance 22,319 4,432 7,226 Other concession(s) (1) 20,226 23,943 27,555 Total $ 57,874 $ 53,171 $ 70,459 (1) Other concessions may include covenant waivers, forgiveness of principal or interest associated with a customer bankruptcy, or a combination of any of the above concessions. Of the $57.9 million of TDRs occurring during the year ended December 31, 2019 , $25.1 million were on accrual status and $32.8 million were on non-accrual status. Of the $53.2 million of TDRs occurring during the year ended December 31, 2018 , $31.5 million were on accrual status and $21.7 million were on non-accrual status. Of the $70.5 million of TDRs occuring during the year ended December 31, 2017 , $46.3 million were on accrual status and $24.2 million were on non-accrual status. The following table presents the end of period balance for loans modified in a TDR during the years ended December 31: 2019 2018 2017 (In thousands, except number of loans) Number of Loans Pre-modification Outstanding Recorded Investment Post-modification Outstanding Recorded Investment Number of Loans Pre-modification Outstanding Recorded Investment Post-modification Outstanding Recorded Investment Number of Loans Pre-modification Outstanding Recorded Investment Post-modification Outstanding Recorded Investment Commercial real estate - construction 2 $ 6,377 $ 9,258 3 $ 4,819 $ 3,830 4 $ 9,404 $ 9,628 Commercial real estate - owner-occupied 11 10,081 9,587 14 4,257 3,912 11 5,779 5,706 Commercial real estate - non-owner-occupied 27 9,264 8,436 20 3,719 3,428 19 11,974 13,738 Commercial and industrial 66 30,536 18,803 52 39,796 30,295 57 21,651 20,883 Residential mortgage 36 2,729 2,511 19 1,706 1,529 24 1,897 1,771 Consumer - home equity 86 8,775 8,262 65 10,607 8,951 123 16,346 15,862 Consumer - other 54 1,150 1,018 73 1,491 1,226 121 3,182 2,871 Total 282 $ 68,912 $ 57,875 246 $ 66,395 $ 53,171 359 $ 70,233 $ 70,459 Information detailing TDRs that defaulted during the years ended December 31, 2019 , 2018 , and 2017 and were modified in the previous twelve months (i.e., the twelve months prior to the default) is presented in the following table. The Company has defined a default as any loan with a loan payment that is currently past due greater than 30 days , or was past due greater than 30 days at any point during the previous twelve months, or since the date of modification, whichever is shorter. 2019 2018 2017 (In thousands, except number of loans) Number of Loans Recorded Investment Number of Loans Recorded Investment Number of Loans Recorded Investment Commercial real estate - construction — $ — — $ — 2 $ 3,572 Commercial real estate - owner-occupied 6 4,357 2 142 6 4,668 Commercial real estate - non-owner-occupied 9 4,215 5 1,039 13 8,060 Commercial and industrial 27 7,027 13 3,757 32 6,550 Residential mortgage 15 1,287 8 773 16 1,218 Consumer - home equity 28 2,178 15 1,354 32 3,285 Consumer - other 32 545 38 447 62 1,381 Total 117 $ 19,609 81 $ 7,512 163 $ 28,734 |
Allowance for Credit Losses and
Allowance for Credit Losses and Credit Quality | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Allowance for Credit Losses and Credit Quality | ALLOWANCE FOR CREDIT LOSSES AND CREDIT QUALITY Allowance for Credit Losses Activity The following tables present the activity in the allowance for credit losses by loan portfolio type for the years ended December 31, 2019, 2018, and 2017: 2019 (in thousands) Commercial Commercial Residential Consumer and Other Total Allowance for loan and lease losses at beginning of period $ 51,806 $ 54,096 $ 12,998 $ 21,671 $ 140,571 Provision for loan and lease losses 9,262 19,177 — 11,411 39,850 Transfer of balance to OREO and other (636 ) 235 (3,221 ) 335 (3,287 ) Charge-offs (2,613 ) (21,966 ) (309 ) (13,482 ) (38,370 ) Recoveries 475 4,092 179 3,078 7,824 Allowance for loan and lease losses at end of period $ 58,294 $ 55,634 $ 9,647 $ 23,013 $ 146,588 Reserve for unfunded commitments at beginning of period $ 4,869 $ 6,198 $ 866 $ 2,897 $ 14,830 Provision for (reversal of) unfunded commitments 1,115 280 (304 ) 716 1,807 Reserve for unfunded commitments at end of period $ 5,984 $ 6,478 $ 562 $ 3,613 $ 16,637 Allowance for credit losses at end of period $ 64,278 $ 62,112 $ 10,209 $ 26,626 $ 163,225 Allowance - individually evaluated for impairment $ 5,600 $ 11,763 $ 285 $ 3,249 $ 20,897 Allowance - collectively evaluated for impairment 47,308 42,346 5,400 19,417 114,471 Allowance - acquired with deteriorated credit quality 5,386 1,525 3,962 347 11,220 Loans and leases, net of unearned income: Individually evaluated for impairment 69,819 48,834 29,402 40,219 188,274 Collectively evaluated for impairment 9,877,919 6,476,123 4,633,862 2,579,993 23,567,897 Acquired with deteriorated credit quality 116,357 22,581 75,811 50,579 265,328 Total loans and leases, net of unearned income $ 10,064,095 $ 6,547,538 $ 4,739,075 $ 2,670,791 $ 24,021,499 2018 (in thousands) Commercial Commercial Residential Consumer and Other Total Allowance for loan and lease losses at beginning of period $ 54,201 $ 53,916 $ 9,117 $ 23,657 $ 140,891 Provision for (reversal of) loan and lease losses (829 ) 23,866 4,200 12,235 39,472 Transfer of balance to OREO and other (2,256 ) (812 ) (106 ) (3,998 ) (7,172 ) Charge-offs (1,611 ) (29,578 ) (334 ) (14,024 ) (45,547 ) Recoveries 2,301 6,704 121 3,801 12,927 Allowance for loan and lease losses at end of period $ 51,806 $ 54,096 $ 12,998 $ 21,671 $ 140,571 Reserve for unfunded commitments at beginning of period $ 4,531 $ 5,309 $ 555 $ 2,813 $ 13,208 Balance created in acquisition accounting 118 40 551 — 709 Provision for (reversal of) unfunded commitments 220 849 (240 ) 84 913 Reserve for unfunded commitments at end of period $ 4,869 $ 6,198 $ 866 $ 2,897 $ 14,830 Allowance for credit losses at end of period $ 56,675 $ 60,294 $ 13,864 $ 24,568 $ 155,401 Allowance - individually evaluated for impairment $ 636 $ 12,646 $ 145 $ 2,915 $ 16,342 Allowance - collectively evaluated for impairment 45,651 39,949 6,961 18,705 111,266 Allowance - acquired with deteriorated credit quality 5,519 1,501 5,892 51 12,963 Loans and leases, net of unearned income: Individually evaluated for impairment 53,905 71,801 6,579 37,440 169,725 Collectively evaluated for impairment 9,166,070 5,638,375 4,259,369 2,922,863 21,986,677 Acquired with deteriorated credit quality 168,330 26,841 93,208 75,034 363,413 Total loans and leases, net of unearned income $ 9,388,305 $ 5,737,017 $ 4,359,156 $ 3,035,337 $ 22,519,815 2017 (in thousands) Commercial Commercial Residential Consumer and Other Total Allowance for loan and lease losses at beginning of period $ 49,231 $ 60,939 $ 11,249 $ 23,300 $ 144,719 Provision for (reversal of) loan and lease losses 10,433 31,891 (2,206 ) 10,993 51,111 Transfer of balance to OREO and other 853 (68 ) 2 147 934 Charge-offs (7,433 ) (40,015 ) (365 ) (14,653 ) (62,466 ) Recoveries 1,117 1,169 437 3,870 6,593 Allowance for loan and lease losses at end of period $ 54,201 $ 53,916 $ 9,117 $ 23,657 $ 140,891 Reserve for unfunded commitments at beginning of period $ 3,207 $ 4,537 $ 657 $ 2,840 $ 11,241 Balance created in acquisition accounting 253 783 327 7 1,370 Provision for (reversal of) unfunded commitments 1,071 (11 ) (429 ) (34 ) 597 Reserve for unfunded commitments at end of period $ 4,531 $ 5,309 $ 555 $ 2,813 $ 13,208 Allowance for credit losses at end of period $ 58,732 $ 59,225 $ 9,672 $ 26,470 $ 154,099 Allowance - individually evaluated for impairment $ 1,588 $ 12,736 $ 172 $ 2,856 $ 17,352 Allowance - collectively evaluated for impairment 30,360 38,944 3,141 17,210 89,655 Allowance - acquired with deteriorated credit quality 22,253 2,236 5,804 3,591 33,884 Loans and leases, net of unearned income: Individually evaluated for impairment 91,785 102,416 6,749 37,177 238,127 Collectively evaluated for impairment 8,616,924 5,001,505 2,911,222 2,828,848 19,358,499 Acquired with deteriorated credit quality 229,521 31,146 138,381 82,507 481,555 Total loans and leases, net of unearned income $ 8,938,230 $ 5,135,067 $ 3,056,352 $ 2,948,532 $ 20,078,181 Portfolio Segment Risk Factors Commercial real estate loans include loans to commercial customers for medium-term financing of land and buildings or for land development or construction of a building. These loans are repaid through revenues from operations of the businesses, rents of properties, sales of properties and refinances. Commercial and industrial loans and leases represent loans to commercial customers to finance general working capital needs, equipment purchases and leases and other projects where repayment is derived from cash flows resulting from business operations. The Company originates commercial and industrial loans on both a secured and, to a lesser extent, unsecured basis. Residential mortgage loans consist of loans to consumers to finance a primary residence. The vast majority of the residential mortgage loan portfolio is comprised of non-conforming 1-4 family mortgage loans secured by properties located in the Company's market areas and originated under terms and documentation that permit their sale in a secondary market. Consumer loans are offered by the Company in order to provide a full range of retail financial services to its customers and include home equity, credit card and other direct consumer installment loans. The Company originates substantially all of its consumer loans in its primary market areas. Consumer loans are sensitive to unemployment and other key consumer economic measures. Credit Quality Indicators For commercial loans and leases, the Company utilizes regulatory asset risk classification ratings to monitor credit quality. Loans with a "pass" rating are those that the Company believes will be fully repaid in accordance with the contractual loan terms. Commercial loans and leases that are "criticized" are those that have some weakness or potential weakness that indicate an increased probability of future loss. "Criticized" loans are grouped into three categories: "special mention", "substandard", and "doubtful". Special mention loans have potential weaknesses that, if left uncorrected, may result in deterioration of the Company's credit position at some future date. Substandard commercial loans have well-defined weaknesses and are characterized by the distinct possibility that the Company will sustain some loss if the deficiencies are not corrected. Doubtful commercial loans have the same weaknesses as substandard loans with the added characteristics that the probability of loss is high and collection of the full amount is improbable. Substandard and doubtful loans are collectively referred to as "classified" loans. For residential mortgage loans and consumer loans, the Company primarily uses the loan's payment and delinquency status to monitor credit quality. These credit quality indicators are continually updated and monitored. The recorded investment in loans and leases by credit quality indicator is presented in the following tables. Asset risk classifications for commercial loans and leases reflect the classification as of December 31, 2019 and 2018. Credit quality information in the tables below includes total loans acquired (including acquired impaired loans) at the net loan balance, after the application of premiums and discounts. Loan premiums and discounts represent the adjustment of acquired loans to fair value at the acquisition date, as adjusted for income accretion and changes in cash flow estimates in subsequent periods. December 31, 2019 December 31, 2018 (in thousands) Pass Special Mention Sub- Doubtful Total Pass Special Mention Sub- Doubtful Total Commercial real estate - construction $ 1,300,953 $ 10,801 $ 9,909 $ — $ 1,321,663 $ 1,182,554 $ 1,062 $ 12,740 $ 10 $ 1,196,366 Commercial real estate - owner-occupied 2,412,953 19,430 40,570 2,373 2,475,326 2,328,999 25,526 41,297 — 2,395,822 Commercial real estate - non-owner-occupied 6,185,185 45,938 35,726 257 6,267,106 5,687,963 78,009 26,512 3,633 5,796,117 Commercial and industrial 6,426,235 51,605 56,691 13,007 6,547,538 5,586,482 52,632 73,853 24,050 5,737,017 Total commercial loans and leases $ 16,325,326 $ 127,774 $ 142,896 $ 15,637 $ 16,611,633 $ 14,785,998 $ 157,229 $ 154,402 $ 27,693 $ 15,125,322 December 31, 2019 December 31, 2018 (in thousands) Current 30+ Days Past Due Total Current 30+ Days Past Due Total Residential mortgage $ 4,673,266 $ 65,809 $ 4,739,075 $ 4,290,152 $ 69,004 $ 4,359,156 Consumer - home equity 1,942,091 45,245 1,987,336 2,258,659 46,035 2,304,694 Consumer - other 675,014 8,441 683,455 721,231 9,412 730,643 Total $ 7,290,371 $ 119,495 $ 7,409,866 $ 7,270,042 $ 124,451 $ 7,394,493 Impaired Loans Information on impaired loans, which include all TDRs and all other non-accrual loans evaluated or measured individually for impairment for purposes of determining the ALLL, is presented in the following tables as of and for the periods indicated. As of December 31, 2019 , 2018 , and 2017 , the Company was not committed to lend a material amount of additional funds to any customer whose loan was classified as impaired or as a TDR. December 31, 2019 (in thousands) Unpaid Principal Balance Recorded Investment Related Average Interest With no related allowance recorded: Commercial real estate - construction $ 11,150 $ 10,141 $ — $ 7,609 $ 336 Commercial real estate - owner-occupied 32,849 32,398 — 33,378 1,439 Commercial real estate - non-owner-occupied 14,340 12,903 — 13,378 364 Commercial and industrial 19,315 16,070 — 17,485 453 Residential mortgage 19,800 19,500 — 16,403 224 Consumer - home equity 4,465 4,461 — 4,390 167 With an allowance recorded: Commercial real estate - construction 141 126 2 138 3 Commercial real estate - owner-occupied 5,074 4,795 2,591 4,927 118 Commercial real estate - non-owner-occupied 9,828 9,456 3,007 9,620 208 Commercial and industrial 37,509 32,764 11,763 32,807 790 Residential mortgage 10,871 9,902 285 10,327 355 Consumer - home equity 31,581 30,798 2,630 30,762 1,228 Consumer - other 5,262 4,960 619 5,251 263 Total impaired loans $ 202,185 $ 188,274 $ 20,897 $ 186,475 $ 5,948 Total commercial loans and leases $ 130,206 $ 118,653 $ 17,363 $ 119,342 $ 3,711 Total residential mortgage loans 30,671 29,402 285 26,730 579 Total consumer and other loans 41,308 40,219 3,249 40,403 1,658 December 31, 2018 (in thousands) Unpaid Principal Balance Recorded Investment Related Average Interest With no related allowance recorded: Commercial real estate - construction $ 10,261 $ 9,262 $ — $ 9,189 $ 496 Commercial real estate - owner-occupied 25,037 19,044 — 19,559 807 Commercial real estate - non-owner-occupied 15,265 14,288 — 14,873 590 Commercial and industrial 55,554 43,886 — 47,268 2,422 Residential mortgage 1,244 1,221 — 1,261 46 Consumer - home equity 4,183 4,176 — 2,867 39 With an allowance recorded: Commercial real estate - construction 228 140 11 148 1 Commercial real estate - owner-occupied 5,032 4,773 520 4,976 196 Commercial real estate - non-owner-occupied 6,445 6,398 105 6,229 294 Commercial and industrial 46,387 27,915 12,646 40,653 795 Residential mortgage 5,870 5,358 145 5,494 225 Consumer - home equity 29,284 28,818 2,427 27,911 1,202 Consumer - other 4,956 4,446 488 4,822 273 Total impaired loans $ 209,746 $ 169,725 $ 16,342 $ 185,250 $ 7,386 Total commercial loans and leases $ 164,209 $ 125,706 $ 13,282 $ 142,895 $ 5,601 Total residential mortgage loans 7,114 6,579 145 6,755 271 Total consumer and other loans 38,423 37,440 2,915 35,600 1,514 December 31, 2017 (in thousands) Unpaid Principal Balance Recorded Investment Related Average Interest With no related allowance recorded: Commercial real estate - construction $ 13,763 $ 13,013 $ — $ 9,104 $ 441 Commercial real estate - owner-occupied 50,867 44,482 — 53,282 1,389 Commercial real estate - non-owner-occupied 15,370 14,975 — 15,127 692 Commercial and industrial 103,013 70,254 — 92,312 2,279 Residential mortgage 2,004 2,001 — 2,044 85 Consumer - home equity 5,906 5,634 — 5,747 231 Consumer - other 75 75 — 11 1 With an allowance recorded: Commercial real estate - construction 238 156 19 197 6 Commercial real estate - owner-occupied 13,314 13,287 949 13,498 414 Commercial real estate - non-owner-occupied 6,051 5,872 620 6,196 154 Commercial and industrial 35,306 32,162 12,736 42,874 1,220 Residential mortgage 5,179 4,748 172 4,861 180 Consumer - home equity 27,189 26,575 2,358 23,546 1,007 Consumer - other 5,354 4,893 498 4,455 269 Total $ 283,629 $ 238,127 $ 17,352 $ 273,254 $ 8,368 Total commercial loans and leases $ 237,922 $ 194,201 $ 14,324 $ 232,590 $ 6,595 Total residential mortgage loans 7,183 6,749 172 6,905 265 Total consumer and other loans 38,524 37,177 2,856 33,759 1,508 |
Transfers and Servicing of Fina
Transfers and Servicing of Financial Assets (Including Mortgage Banking Activity) | 12 Months Ended |
Dec. 31, 2019 | |
Transfers and Servicing [Abstract] | |
Transfers and Servicing of Financial Assets (Including Mortgage Banking Activity) | TRANSFERS AND SERVICING OF FINANCIAL ASSETS (INCLUDING MORTGAGE BANKING ACTIVITY) Commercial Banking Activity The unpaid principal balances of loans serviced for others were $2.4 billion and $1.6 billion at December 31, 2019 and 2018, respectively. Custodial escrow balances maintained in connection with the foregoing portfolio of loans serviced for others, which are included in demand deposits, were not significant at December 31, 2019 and 2018. Mortgage Banking Activity IBERIABANK through one of its reportable segments, Mortgage, originates mortgage loans for sale into the secondary market. The loans originated for sale primarily consist of residential first mortgages that conform to standards established by the GSEs, but can also consist of junior lien loans secured by residential property. These loans are primarily sold to private companies that are unaffiliated with the GSEs on a servicing-released basis. Changes to the carrying amount of mortgage loans held for sale at December 31 are presented in the following table. (in thousands) 2019 2018 2017 Balance at beginning of period $ 107,734 $ 134,916 $ 157,041 Originations and purchases 1,967,532 1,469,847 1,844,358 Sales, net of gains (1,869,148 ) (1,498,386 ) (1,859,565 ) Mortgage loans transferred from (transferred to) held for investment 7,239 1,058 (6,918 ) Other — 299 — Balance at end of period $ 213,357 $ 107,734 $ 134,916 The following table details the components of mortgage income for the years ended December 31: (in thousands) 2019 2018 2017 Mortgage loans held for sale and derivatives $ 2,752 $ 6,490 $ (7,047 ) Derivative settlements, net (8,481 ) (4,039 ) 1,229 Gains on sales 68,110 42,887 68,255 Servicing and other income, net 1,392 1,339 1,133 Other losses (743 ) (253 ) — $ 63,030 $ 46,424 $ 63,570 Mortgage Servicing Rights Mortgage servicing rights are recorded at the lower of cost or market value in other intangible assets on the Company's consolidated balance sheets and amortized over the remaining servicing life of the loans, with consideration given to prepayment assumptions. Mortgage servicing rights had the following carrying values as of the periods indicated: December 31, 2019 December 31, 2018 Gross Carrying Amount Valuation Allowance Accumulated Amortization Net Carrying Amount Gross Carrying Amount Valuation Allowance Accumulated Amortization Net Carrying Amount (in thousands) Mortgage servicing rights $ 22,476 $ (250 ) $ (6,621 ) $ 15,605 $ 13,612 $ — $ (4,806 ) $ 8,806 In addition, there was an insignificant amount of non-mortgage servicing rights related to SBA loans as of December 31, 2019 and 2018. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | PREMISES AND EQUIPMENT Premises and equipment consisted of the following at December 31: (in thousands) 2019 2018 Land $ 80,475 $ 81,194 Buildings 255,375 241,284 Furniture, fixtures and equipment 138,353 137,469 Total premises and equipment 474,203 459,947 Accumulated depreciation (177,515 ) (159,440 ) Total premises and equipment, net $ 296,688 $ 300,507 Depreciation expense was $25.7 million , $22.4 million , and $21.0 million , for the years ended December 31, 2019, 2018, and 2017, respectively. |
Goodwill and Other Acquired Int
Goodwill and Other Acquired Intangible Assets | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Acquired Intangible Assets | GOODWILL AND OTHER ACQUIRED INTANGIBLE ASSETS Goodwill Changes to the carrying amount of goodwill by reporting unit for the years ended December 31, 2019 and 2018 are provided in the following table: (in thousands) IBERIABANK Mortgage LTC Total Balance, December 31, 2017 $ 1,160,559 $ 23,178 $ 5,165 $ 1,188,902 Goodwill acquired and adjustments during the year 43,251 — 3,380 46,631 Balance, December 31, 2018 $ 1,203,810 $ 23,178 $ 8,545 $ 1,235,533 Goodwill acquired and adjustments during the year — — — — Balance, December 31, 2019 $ 1,203,810 $ 23,178 $ 8,545 $ 1,235,533 The goodwill acquired and adjustments made during 2018 were the result of the Sabadell United, Gibraltar, and SolomonParks acquisitions. There were no changes to goodwill during 2019. The Company performed the required annual goodwill impairment test as of October 1, 2019. The Company’s annual impairment test did not indicate impairment in any of the Company’s reporting units as of the testing date. Following the testing date, management evaluated the events and changes in certain circumstances that could indicate that goodwill might be impaired and concluded that a subsequent test was not necessary. Intangible assets subject to amortization Definite-lived intangible assets included in other intangible assets on the Company’s consolidated balance sheets had the following carrying values as of December 31: 2019 2018 (in thousands) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Core deposit intangible assets $ 136,183 $ (81,493 ) $ 54,690 $ 136,183 $ (63,213 ) $ 72,970 Customer relationship intangible asset 1,385 (1,371 ) 14 1,385 (1,323 ) 62 Non-compete agreement 206 (110 ) 96 206 (72 ) 134 Total $ 137,774 $ (82,974 ) $ 54,800 $ 137,774 $ (64,608 ) $ 73,166 The related amortization expense of intangible assets was as follows: (in thousands) Amount Aggregate amortization expense for the years ended December 31: 2017 $ 12,590 2018 21,678 2019 18,464 (in thousands) Estimated amortization expense for the years ended December 31: 2020 $ 14,504 2021 10,211 2022 7,715 2023 6,396 2024 5,333 2025 and thereafter 10,641 |
Derivative Instruments and Othe
Derivative Instruments and Other Hedging Activities | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Instruments and Other Hedging Activities | DERIVATIVE INSTRUMENTS AND OTHER HEDGING ACTIVITIES The Company enters into derivative financial instruments to manage interest rate risk, exposures related to liquidity and credit risk, and to facilitate customer transactions. The primary types of derivatives utilized by the Company for its risk management strategies include interest rate swap agreements, interest rate collars, interest rate floors, foreign exchange contracts, interest rate lock commitments, forward sales commitments, written and purchased options, and credit derivatives. All derivative instruments are recognized on the consolidated balance sheets as other assets or other liabilities at fair value, regardless of whether a right of offset exists. Cash flow hedge relationships mitigate exposure to the variability of future cash flows or other forecasted transactions. The Company enters into interest rate swap agreements in a cash flow hedge to convert forecasted variable interest payments to a fixed rate on its junior subordinated debt. In addition, the Company has entered into interest rate collars and interest rate floors and designated the instruments as cash flow hedges of the risk of fluctuations in interest rates, thereby reducing the Company's exposure to variability in cash flows from variable-rate loans. For cash flow hedges, the effective and ineffective portions of the gain or loss related to the derivative instrument is initially reported as a component of other comprehensive income and subsequently reclassified into earnings when the forecasted transaction affects earnings or when the hedge is terminated. In applying hedge accounting for derivatives, the Company establishes and documents a method for assessing the effectiveness of the hedging derivative and a measurement approach for determining the ineffective aspect of the hedge upon the inception of the hedge. For derivative instruments that are not designated as hedging instruments, changes in the fair value of the derivatives are recognized in earnings immediately. Information pertaining to outstanding derivative instruments was as follows: Derivative Assets - Fair Value Derivative Liabilities - Fair Value (in thousands) December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 Derivatives designated as hedging instruments: Interest rate contracts $ 18,967 $ 3,469 $ — $ — Total derivatives designated as hedging instruments $ 18,967 $ 3,469 $ — $ — Derivatives not designated as hedging instruments: Interest rate contracts: Customer swaps - upstream $ 9 $ 474 $ 5,055 $ 191 Customer swaps - downstream 77,934 16,946 1,680 17,812 Foreign exchange contracts — 18 — 18 Forward sales contracts 420 630 986 750 Written and purchased options 6,755 5,490 3,899 3,310 Other contracts 66 21 179 43 Total derivatives not designated as hedging instruments $ 85,184 $ 23,579 $ 11,799 $ 22,124 Total $ 104,151 $ 27,048 $ 11,799 $ 22,124 Derivative Assets - Notional Amount Derivative Liabilities - Notional Amount (in thousands) December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 Derivatives designated as hedging instruments: Interest rate contracts $ 800,000 $ 408,500 $ 108,500 $ — Total derivatives designated as hedging instruments $ 800,000 $ 408,500 $ 108,500 $ — Derivatives not designated as hedging instruments: Interest rate contracts: Customer swaps - upstream $ 430,808 $ 919,653 $ 2,237,542 $ 701,257 Customer swaps - downstream 2,237,542 701,257 430,808 919,653 Foreign exchange contracts — 1,202 — 1,202 Forward sales contracts 44,011 1,140 230,998 143,179 Written and purchased options 268,590 229,333 121,981 140,645 Other contracts 108,008 50,527 183,243 85,623 Total derivatives not designated as hedging instruments $ 3,088,959 $ 1,903,112 $ 3,204,572 $ 1,991,559 Total $ 3,888,959 $ 2,311,612 $ 3,313,072 $ 1,991,559 The Company has entered into risk participation agreements with counterparties to transfer or assume credit exposures related to interest rate derivatives. The notional amounts of risk participation agreements sold were $183.2 million and $85.6 million at December 31, 2019 and 2018, respectively. Assuming all underlying third party customers referenced in the swap contracts defaulted at December 31, 2019 and December 31, 2018, the exposure from these agreements would not be material based on the fair value of the underlying swaps. The Company is party to collateral agreements with certain derivative counterparties. Such agreements require that the Company maintain collateral based on the fair values of individual derivative transactions. In the event of default by the Company, the counterparty would be entitled to the collateral. At December 31, 2019 and 2018, the Company was required to post $79.6 million and $35.8 million , respectively, in variation margin payments for its derivative transactions, which is required to be netted against the fair value of the derivatives in other assets or other liabilities on the consolidated balance sheets. The Company does not anticipate additional assets will be required to be posted as collateral, nor does it believe additional assets would be required to settle its derivative instruments immediately if contingent features were triggered at December 31, 2019. The Company’s master netting agreements represent written, legally enforceable bilateral agreements that (1) create a single legal obligation for all individual transactions covered by the master agreement and (2) in the event of default, provide the non-defaulting counterparty the right to accelerate, terminate, and close-out on a net basis all transactions under the agreement and to promptly liquidate or set-off collateral posted by the defaulting counterparty. The Company does not offset fair value amounts recognized for the right to reclaim cash collateral or the obligation to return cash collateral against recognized fair value amounts of derivatives executed with the same counterparty under a master netting agreement. The following table reconciles the gross amounts presented in the consolidated balance sheets to the net amounts that would result in the event of offset. December 31, 2019 Gross Amounts Presented in the Balance Sheet Gross Amounts Not Offset in the Balance Sheet Net (in thousands) Derivatives Collateral Derivatives subject to master netting arrangements Derivative assets Interest rate contracts designated as hedging instruments $ 18,967 $ — $ — $ 18,967 Interest rate contracts not designated as hedging instruments 77,943 (5,111 ) — 72,832 Written and purchased options 3,871 — — 3,871 Total derivative assets subject to master netting arrangements $ 100,781 $ (5,111 ) $ — $ 95,670 Derivative liabilities Interest rate contracts not designated as hedging instruments $ 6,735 $ (5,111 ) $ — $ 1,624 Written and purchased options 3,871 — — 3,871 Total derivative liabilities subject to master netting arrangements $ 10,606 $ (5,111 ) $ — $ 5,495 December 31, 2018 Gross Amounts Presented in the Balance Sheet Gross Amounts Not Offset in the Balance Sheet Net (in thousands) Derivatives Collateral Derivatives subject to master netting arrangements Derivative assets Interest rate contracts designated as hedging instruments $ 3,469 $ — $ — $ 3,469 Interest rate contracts not designated as hedging instruments 17,420 (619 ) — 16,801 Written and purchased options 3,285 — — 3,285 Total derivative assets subject to master netting arrangements $ 24,174 $ (619 ) $ — $ 23,555 Derivative liabilities Interest rate contracts not designated as hedging instruments $ 18,003 $ (619 ) $ — $ 17,384 Written and purchased options 3,285 — — 3,285 Total derivative liabilities subject to master netting arrangements $ 21,288 $ (619 ) $ — $ 20,669 During the years ended December 31, 2019 and 2018, the Company did not reclassify into earnings any gain or loss as a result of the discontinuance of cash flow hedges because it was probable the original forecasted transaction would not occur by the end of the originally specified term. At December 31, 2019, the Company did not expect to reclassify a material amount from accumulated other comprehensive income into interest income over the next twelve months for derivatives that will be settled. At December 31, 2019, 2018, and 2017, and for the years then ended, information pertaining to the effect of the hedging instruments on the consolidated financial statements was as follows: Amount of Gain (Loss) Recognized in OCI, net of taxes Location of Gain (Loss) Reclassified from AOCI into Income Amount of Gain (Loss) Reclassified from AOCI into Income, net of taxes Location of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing) Amount of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing) Total Including Component Excluding Component Total Including Component Excluding Component Total Including Component Excluding Component (in thousands) For the Year Ended December 31, Derivatives in Cash Flow Hedging Relationships 2019 2019 2019 Interest rate contracts $ 1,078 $ 2,340 $ (1,262 ) Interest expense $ (388 ) $ 559 $ (947 ) Interest expense $ — $ — $ — 2018 2018 2018 Interest rate contracts $ 4,416 $ 4,835 $ (419 ) Interest expense $ (196 ) $ (150 ) $ (46 ) Interest expense $ — $ — $ — Amount of Gain (Loss) Recognized in OCI, net of taxes Location of Gain (Loss) Reclassified from AOCI into Income Amount of Gain (Loss) Reclassified from AOCI into Income, net of taxes Location of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing) Amount of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing) (in thousands) For the Year Ended December 31, Derivatives in Cash Flow Hedging Relationships 2017 2017 2017 Interest rate contracts $ (611 ) Interest expense $ (390 ) Interest expense $ — Information pertaining to the effect of derivatives not designated as hedging instruments on the consolidated financial statements as of December 31, was as follows: Location of Gain (Loss) Recognized in Income on Derivatives Amount of Gain (Loss) Recognized in Income on Derivatives (in thousands) 2019 2018 2017 Interest rate contracts (1) Commission income $ 15,071 $ 6,962 $ 4,750 Foreign exchange contracts Other income 15 29 43 Forward sales contracts Mortgage income (8,909 ) 4,064 (4,115 ) Written and purchased options Mortgage income 677 180 (2,028 ) Other contracts Other income (91 ) (24 ) 51 Total $ 6,763 $ 11,211 $ (1,299 ) (1) Includes fees associated with customer interest rate contracts |
Leases
Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Leases | LEASES IBERIABANK as Lessee The Company leases certain branch and corporate offices, land and ATM facilities through operating leases with terms ranging from less than one year to 44 years. The Company has no financing leases (formerly capital leases). As discussed in Note 2, Recent Accounting Pronouncements, the Company adopted new guidance for leases on January 1, 2019 which requires that leases, whether classified as operating leases or financing leases, to be accounted for as the acquisition of a right-of-use asset (ROU asset) and a related lease liability recorded at the present value of the lease payments less any lease incentives. The ROU asset represents the Company’s right to use an underlying asset for the lease term and is included in other assets on the Company’s consolidated balance sheets. The lease liability represents the Company’s obligation to make lease payments and is included in other liabilities in the Company’s consolidated balance sheets. The cost of the lease is recognized on a straight-line basis over the lease term as lease expense. Prior to January 1, 2019, operating leases were not recorded on the balance sheet. See Note 2, Recent Accounting Pronouncements, for further discussion of the adoption of this new guidance. Subsequent to the adoption of ASC 842 on January 1, 2019, the Company reviews new lease and service contracts to determine if the contracts contain an embedded lease. Since the Company’s lease agreements do not provide an implicit rate, the Company uses the corresponding FHLB Advance rate based on the lease term at commencement in determining the present value of lease payments. For leases with variable lease payments based on an index or rate, the present value will be determined using the index or rate at the lease commencement date. Changes in variable rent payments due to subsequent changes in the index or rate do not result in a re-measurement of the ROU asset or lease liability, but are recognized as expense in the period in which they occur. Certain of the Company’s leases contain options to either renew, extend or terminate the lease. During 2019, the exercise of existing renewal options became reasonably certain for several of the Company’s leases with current noncancelable terms ending in 2020. These renewal options had varying term lengths ranging from 1 to 5 years, and the payments associated with the renewal options were included in the measurement of the lease liability and ROU asset as of December 31, 2019. The Company also has lease agreements with lease and non-lease components, which are generally accounted for separately. Non-lease components, which primarily consist of common area maintenance, utilities, and janitorial services, are based on the stand-alone price of the services and expensed as incurred. Operating lease expense for the years ended December 31, 2019, 2018, and 2017 totaled $27.3 million, $22.5 million, and $19.1 million, respectively. During the year ended December 31, 2019, the Company paid $27.7 million for amounts included in the measurement of lease liabilities and $44.2 million to obtain ROU assets. The following summarizes the ROU asset and lease liabilities as of December 31, 2019: (in thousands) Right-of-use assets $ 119,774 Lease liabilities 138,766 Weighted average remaining lease term 10.78 years Weighted average discount rate 3.07 % Maturities of operating lease liabilities as of December 31, 2019 were as follows: (in thousands) 2020 $ 25,928 2021 24,083 2022 21,663 2023 16,916 2024 12,598 2025 and thereafter 63,912 Total operating lease payments $ 165,100 Less: Imputed interest 26,334 Total lease liabilities $ 138,766 As of December 31, 2019, the Company had not entered into any material leases that had not yet commenced. Minimum future annual rent commitments under lease agreements as of December 31, 2018 were as follows: (in thousands) 2019 $ 21,750 2020 19,991 2021 16,921 2022 14,195 2023 9,182 2024 and thereafter 34,652 $ 116,691 IBERIABANK as Lessor As a lessor, the Company engages in the leasing of equipment to commercial customers primarily through direct financing and sales-type leases. Direct financing and sales-type leases are similar to other forms of installment lending in that lessors generally do not retain benefits and risks incidental to ownership of the property subject to leases. Such arrangements are essentially financing transactions that permit lessees to acquire and use property. The new guidance on leases discussed above did not have a significant impact on the lessor model of accounting. As lessor, the sum of all minimum lease payments over the lease term and the estimated residual value, less unearned interest income, is recorded as the net investment in the lease on the commencement date and is included in loans and leases, net of unearned income in the consolidated balance sheet. Interest income is accrued as earned over the term of the lease based on the net investment in leases. Fees incurred to originate the lease are deferred on the commencement date and recognized as an adjustment of the yield on the lease. The Company’s portfolio of direct financing and sales-type leases contains terms of 2 to 20 years. Some of these leases contain options to extend the leases for up to 12 months and/or to terminate the lease within one year. These direct financing and sales-type leases typically include a payment structure set at lease inception and do not provide any additional services. Expenses associated with the leased equipment, such as maintenance and insurance, are paid by the lessee directly to third parties. The lease agreement typically contains an option for the purchase of the leased property by the lessee at the end of the lease term at either the property’s residual value or a specified price. In all cases, the Company expects to sell or re-lease the equipment at the end of the lease term. Due to the nature and structure of the Company’s direct financing and sales-type leases, there is no selling profit or loss on these transactions. At a lease’s inception, the Company determines the expected residual value of the leased property at the end of the lease term based on the type of equipment leased, location and usage, as well as the contractual return provisions in the lease agreement. Additionally, the Company utilizes multiple market sources of data to establish equipment values and in many cases engages certified appraisers to provide valuation analyses. In order to manage the risk associated with the residual value of its leased assets, lease agreements typically include various provisions designed to protect the value of the leased property, such as contractual equipment maintenance, use and return provisions, remarketing agreements, and lessee guarantees. In a few cases, the Company also obtains third-party guarantees to further manage residual risk in the portfolio. On an annual basis, leased properties with material residual values are reviewed for impairment. The components of the Company’s net investment in leases as of December 31, 2019 were as follows: (in thousands) Lease payment receivable $ 388,514 Unguaranteed residual assets 39,289 Total net investment in leases $ 427,803 For the year ended December 31, 2019, interest income for direct financing or sales-type leases totaled $11.8 million. During the year ended December 31, 2019, there was no profit or loss recognized at the commencement date for direct financing or sales-type leases. Maturities of the Company's lease receivables as of December 31, 2019 were as follows: (in thousands) 2020 $ 87,184 2021 71,601 2022 65,336 2023 51,356 2024 35,746 2025 and thereafter 81,581 Total future minimum lease payments $ 392,804 Less: Imputed interest 4,290 Lease receivables $ 388,514 |
Leases | LEASES IBERIABANK as Lessee The Company leases certain branch and corporate offices, land and ATM facilities through operating leases with terms ranging from less than one year to 44 years. The Company has no financing leases (formerly capital leases). As discussed in Note 2, Recent Accounting Pronouncements, the Company adopted new guidance for leases on January 1, 2019 which requires that leases, whether classified as operating leases or financing leases, to be accounted for as the acquisition of a right-of-use asset (ROU asset) and a related lease liability recorded at the present value of the lease payments less any lease incentives. The ROU asset represents the Company’s right to use an underlying asset for the lease term and is included in other assets on the Company’s consolidated balance sheets. The lease liability represents the Company’s obligation to make lease payments and is included in other liabilities in the Company’s consolidated balance sheets. The cost of the lease is recognized on a straight-line basis over the lease term as lease expense. Prior to January 1, 2019, operating leases were not recorded on the balance sheet. See Note 2, Recent Accounting Pronouncements, for further discussion of the adoption of this new guidance. Subsequent to the adoption of ASC 842 on January 1, 2019, the Company reviews new lease and service contracts to determine if the contracts contain an embedded lease. Since the Company’s lease agreements do not provide an implicit rate, the Company uses the corresponding FHLB Advance rate based on the lease term at commencement in determining the present value of lease payments. For leases with variable lease payments based on an index or rate, the present value will be determined using the index or rate at the lease commencement date. Changes in variable rent payments due to subsequent changes in the index or rate do not result in a re-measurement of the ROU asset or lease liability, but are recognized as expense in the period in which they occur. Certain of the Company’s leases contain options to either renew, extend or terminate the lease. During 2019, the exercise of existing renewal options became reasonably certain for several of the Company’s leases with current noncancelable terms ending in 2020. These renewal options had varying term lengths ranging from 1 to 5 years, and the payments associated with the renewal options were included in the measurement of the lease liability and ROU asset as of December 31, 2019. The Company also has lease agreements with lease and non-lease components, which are generally accounted for separately. Non-lease components, which primarily consist of common area maintenance, utilities, and janitorial services, are based on the stand-alone price of the services and expensed as incurred. Operating lease expense for the years ended December 31, 2019, 2018, and 2017 totaled $27.3 million, $22.5 million, and $19.1 million, respectively. During the year ended December 31, 2019, the Company paid $27.7 million for amounts included in the measurement of lease liabilities and $44.2 million to obtain ROU assets. The following summarizes the ROU asset and lease liabilities as of December 31, 2019: (in thousands) Right-of-use assets $ 119,774 Lease liabilities 138,766 Weighted average remaining lease term 10.78 years Weighted average discount rate 3.07 % Maturities of operating lease liabilities as of December 31, 2019 were as follows: (in thousands) 2020 $ 25,928 2021 24,083 2022 21,663 2023 16,916 2024 12,598 2025 and thereafter 63,912 Total operating lease payments $ 165,100 Less: Imputed interest 26,334 Total lease liabilities $ 138,766 As of December 31, 2019, the Company had not entered into any material leases that had not yet commenced. Minimum future annual rent commitments under lease agreements as of December 31, 2018 were as follows: (in thousands) 2019 $ 21,750 2020 19,991 2021 16,921 2022 14,195 2023 9,182 2024 and thereafter 34,652 $ 116,691 IBERIABANK as Lessor As a lessor, the Company engages in the leasing of equipment to commercial customers primarily through direct financing and sales-type leases. Direct financing and sales-type leases are similar to other forms of installment lending in that lessors generally do not retain benefits and risks incidental to ownership of the property subject to leases. Such arrangements are essentially financing transactions that permit lessees to acquire and use property. The new guidance on leases discussed above did not have a significant impact on the lessor model of accounting. As lessor, the sum of all minimum lease payments over the lease term and the estimated residual value, less unearned interest income, is recorded as the net investment in the lease on the commencement date and is included in loans and leases, net of unearned income in the consolidated balance sheet. Interest income is accrued as earned over the term of the lease based on the net investment in leases. Fees incurred to originate the lease are deferred on the commencement date and recognized as an adjustment of the yield on the lease. The Company’s portfolio of direct financing and sales-type leases contains terms of 2 to 20 years. Some of these leases contain options to extend the leases for up to 12 months and/or to terminate the lease within one year. These direct financing and sales-type leases typically include a payment structure set at lease inception and do not provide any additional services. Expenses associated with the leased equipment, such as maintenance and insurance, are paid by the lessee directly to third parties. The lease agreement typically contains an option for the purchase of the leased property by the lessee at the end of the lease term at either the property’s residual value or a specified price. In all cases, the Company expects to sell or re-lease the equipment at the end of the lease term. Due to the nature and structure of the Company’s direct financing and sales-type leases, there is no selling profit or loss on these transactions. At a lease’s inception, the Company determines the expected residual value of the leased property at the end of the lease term based on the type of equipment leased, location and usage, as well as the contractual return provisions in the lease agreement. Additionally, the Company utilizes multiple market sources of data to establish equipment values and in many cases engages certified appraisers to provide valuation analyses. In order to manage the risk associated with the residual value of its leased assets, lease agreements typically include various provisions designed to protect the value of the leased property, such as contractual equipment maintenance, use and return provisions, remarketing agreements, and lessee guarantees. In a few cases, the Company also obtains third-party guarantees to further manage residual risk in the portfolio. On an annual basis, leased properties with material residual values are reviewed for impairment. The components of the Company’s net investment in leases as of December 31, 2019 were as follows: (in thousands) Lease payment receivable $ 388,514 Unguaranteed residual assets 39,289 Total net investment in leases $ 427,803 For the year ended December 31, 2019, interest income for direct financing or sales-type leases totaled $11.8 million. During the year ended December 31, 2019, there was no profit or loss recognized at the commencement date for direct financing or sales-type leases. Maturities of the Company's lease receivables as of December 31, 2019 were as follows: (in thousands) 2020 $ 87,184 2021 71,601 2022 65,336 2023 51,356 2024 35,746 2025 and thereafter 81,581 Total future minimum lease payments $ 392,804 Less: Imputed interest 4,290 Lease receivables $ 388,514 |
Leases | LEASES IBERIABANK as Lessee The Company leases certain branch and corporate offices, land and ATM facilities through operating leases with terms ranging from less than one year to 44 years. The Company has no financing leases (formerly capital leases). As discussed in Note 2, Recent Accounting Pronouncements, the Company adopted new guidance for leases on January 1, 2019 which requires that leases, whether classified as operating leases or financing leases, to be accounted for as the acquisition of a right-of-use asset (ROU asset) and a related lease liability recorded at the present value of the lease payments less any lease incentives. The ROU asset represents the Company’s right to use an underlying asset for the lease term and is included in other assets on the Company’s consolidated balance sheets. The lease liability represents the Company’s obligation to make lease payments and is included in other liabilities in the Company’s consolidated balance sheets. The cost of the lease is recognized on a straight-line basis over the lease term as lease expense. Prior to January 1, 2019, operating leases were not recorded on the balance sheet. See Note 2, Recent Accounting Pronouncements, for further discussion of the adoption of this new guidance. Subsequent to the adoption of ASC 842 on January 1, 2019, the Company reviews new lease and service contracts to determine if the contracts contain an embedded lease. Since the Company’s lease agreements do not provide an implicit rate, the Company uses the corresponding FHLB Advance rate based on the lease term at commencement in determining the present value of lease payments. For leases with variable lease payments based on an index or rate, the present value will be determined using the index or rate at the lease commencement date. Changes in variable rent payments due to subsequent changes in the index or rate do not result in a re-measurement of the ROU asset or lease liability, but are recognized as expense in the period in which they occur. Certain of the Company’s leases contain options to either renew, extend or terminate the lease. During 2019, the exercise of existing renewal options became reasonably certain for several of the Company’s leases with current noncancelable terms ending in 2020. These renewal options had varying term lengths ranging from 1 to 5 years, and the payments associated with the renewal options were included in the measurement of the lease liability and ROU asset as of December 31, 2019. The Company also has lease agreements with lease and non-lease components, which are generally accounted for separately. Non-lease components, which primarily consist of common area maintenance, utilities, and janitorial services, are based on the stand-alone price of the services and expensed as incurred. Operating lease expense for the years ended December 31, 2019, 2018, and 2017 totaled $27.3 million, $22.5 million, and $19.1 million, respectively. During the year ended December 31, 2019, the Company paid $27.7 million for amounts included in the measurement of lease liabilities and $44.2 million to obtain ROU assets. The following summarizes the ROU asset and lease liabilities as of December 31, 2019: (in thousands) Right-of-use assets $ 119,774 Lease liabilities 138,766 Weighted average remaining lease term 10.78 years Weighted average discount rate 3.07 % Maturities of operating lease liabilities as of December 31, 2019 were as follows: (in thousands) 2020 $ 25,928 2021 24,083 2022 21,663 2023 16,916 2024 12,598 2025 and thereafter 63,912 Total operating lease payments $ 165,100 Less: Imputed interest 26,334 Total lease liabilities $ 138,766 As of December 31, 2019, the Company had not entered into any material leases that had not yet commenced. Minimum future annual rent commitments under lease agreements as of December 31, 2018 were as follows: (in thousands) 2019 $ 21,750 2020 19,991 2021 16,921 2022 14,195 2023 9,182 2024 and thereafter 34,652 $ 116,691 IBERIABANK as Lessor As a lessor, the Company engages in the leasing of equipment to commercial customers primarily through direct financing and sales-type leases. Direct financing and sales-type leases are similar to other forms of installment lending in that lessors generally do not retain benefits and risks incidental to ownership of the property subject to leases. Such arrangements are essentially financing transactions that permit lessees to acquire and use property. The new guidance on leases discussed above did not have a significant impact on the lessor model of accounting. As lessor, the sum of all minimum lease payments over the lease term and the estimated residual value, less unearned interest income, is recorded as the net investment in the lease on the commencement date and is included in loans and leases, net of unearned income in the consolidated balance sheet. Interest income is accrued as earned over the term of the lease based on the net investment in leases. Fees incurred to originate the lease are deferred on the commencement date and recognized as an adjustment of the yield on the lease. The Company’s portfolio of direct financing and sales-type leases contains terms of 2 to 20 years. Some of these leases contain options to extend the leases for up to 12 months and/or to terminate the lease within one year. These direct financing and sales-type leases typically include a payment structure set at lease inception and do not provide any additional services. Expenses associated with the leased equipment, such as maintenance and insurance, are paid by the lessee directly to third parties. The lease agreement typically contains an option for the purchase of the leased property by the lessee at the end of the lease term at either the property’s residual value or a specified price. In all cases, the Company expects to sell or re-lease the equipment at the end of the lease term. Due to the nature and structure of the Company’s direct financing and sales-type leases, there is no selling profit or loss on these transactions. At a lease’s inception, the Company determines the expected residual value of the leased property at the end of the lease term based on the type of equipment leased, location and usage, as well as the contractual return provisions in the lease agreement. Additionally, the Company utilizes multiple market sources of data to establish equipment values and in many cases engages certified appraisers to provide valuation analyses. In order to manage the risk associated with the residual value of its leased assets, lease agreements typically include various provisions designed to protect the value of the leased property, such as contractual equipment maintenance, use and return provisions, remarketing agreements, and lessee guarantees. In a few cases, the Company also obtains third-party guarantees to further manage residual risk in the portfolio. On an annual basis, leased properties with material residual values are reviewed for impairment. The components of the Company’s net investment in leases as of December 31, 2019 were as follows: (in thousands) Lease payment receivable $ 388,514 Unguaranteed residual assets 39,289 Total net investment in leases $ 427,803 For the year ended December 31, 2019, interest income for direct financing or sales-type leases totaled $11.8 million. During the year ended December 31, 2019, there was no profit or loss recognized at the commencement date for direct financing or sales-type leases. Maturities of the Company's lease receivables as of December 31, 2019 were as follows: (in thousands) 2020 $ 87,184 2021 71,601 2022 65,336 2023 51,356 2024 35,746 2025 and thereafter 81,581 Total future minimum lease payments $ 392,804 Less: Imputed interest 4,290 Lease receivables $ 388,514 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Deposits | DEPOSITS Interest-bearing deposits at December 31 are summarized as follows: (in thousands) 2019 2018 Interest-bearing demand deposits $ 4,821,252 $ 4,514,113 Money market accounts 9,121,283 8,237,291 Savings accounts 683,366 828,914 Time deposits 4,273,642 3,640,623 Total interest-bearing deposits $ 18,899,543 $ 17,220,941 Time deposits that exceed the FDIC insurance limit of $250,000 at December 31, 2019 and 2018 were $1.5 billion and $1.1 billion , respectively. Scheduled maturities of time deposits as of December 31, 2019 were as follows: (in thousands) Years ending December 31, 2020 $ 3,844,086 2021 308,955 2022 86,967 2023 17,440 2024 15,519 2025 and thereafter 675 $ 4,273,642 |
Short-Term Borrowings
Short-Term Borrowings | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Short-Term Borrowings | SHORT-TERM BORROWINGS Short-term borrowings at December 31 are summarized as follows: (in thousands) 2019 2018 2017 Federal Home Loan Bank advances $ — $ 1,167,000 $ 475,000 Securities sold under agreements to repurchase 204,208 315,882 516,297 $ 204,208 $ 1,482,882 $ 991,297 Balances of FHLB advances and securities sold under agreements to repurchase can fluctuate significantly on a day-to-day basis, depending on funding needs and which sources are used to satisfy those needs. All such arrangements are considered typical of the banking and brokerage industries and are accounted for as borrowings. Securities sold under agreements to repurchase, which are classified as secured borrowings, generally mature daily and are reflected at the amount of cash received in connection with the transaction. The Company may be required to provide additional collateral based on the fair value of the underlying securities. Additional information on the Company’s short-term borrowings for the years indicated was as follows: (in thousands) 2019 2018 2017 Outstanding at December 31 $ 204,208 $ 1,482,882 $ 991,297 Maximum month-end outstanding balance 1,354,567 1,482,882 2,197,105 Average daily outstanding balance 814,653 1,052,088 905,755 Average rate during the year 1.93 % 1.40 % 0.83 % Average rate at year end 0.47 % 2.12 % 0.82 % |
Long-Term Debt
Long-Term Debt | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Long-Term Debt | LONG-TERM DEBT Long-term debt at December 31 is summarized as follows: (in thousands) 2019 2018 IBERIABANK: Federal Home Loan Bank advances, 0.98% to 7.04% $ 1,188,584 $ 986,027 Notes payable - Investment fund contribution, 7 to 35 year term, 1.28% to 4.95% fixed, 7 to 35 year term, 1.28% to 6.82% fixed, respectively 34,993 60,014 1,223,577 1,046,041 IBERIABANK Corporation (junior subordinated debt): Statutory Trust I, 3 month LIBOR (1) , plus 3.25%, issued November 2002 10,310 10,310 Statutory Trust II, 3 month LIBOR (1) , plus 3.15%, issued June 2003 10,310 10,310 Statutory Trust III, 3 month LIBOR (1) , plus 2.00%, issued September 2004 10,310 10,310 Statutory Trust IV, 3 month LIBOR (1) , plus 1.60%, issued October 2006 15,464 15,464 American Horizons Statutory Trust I, 3 month LIBOR (1) , plus 3.15%, assumed January 2005 6,186 6,186 Statutory Trust V, 3 month LIBOR (1) , plus 1.435%, issued June 2007 10,310 10,310 Statutory Trust VI, 3 month LIBOR (1) , plus 2.75%, issued November 2007 12,372 12,372 Statutory Trust VII, 3 month LIBOR (1) , plus 2.54%, issued November 2007 13,403 13,403 Statutory Trust VIII, 3 month LIBOR (1) , plus 3.50%, issued March 2008 7,217 7,217 OMNI Trust I, 3 month LIBOR (1) , plus 3.30%, assumed May 2011 8,248 8,248 OMNI Trust II, 3 month LIBOR (1) , plus 2.79%, assumed May 2011 7,732 7,732 GA Commerce Trust II, 3 month LIBOR (1) , plus 1.64%, assumed May 2015 8,248 8,248 120,110 120,110 $ 1,343,687 $ 1,166,151 (1) The interest rate on the Company’s long-term debt indexed to LIBOR is based on the 3-month LIBOR rate. The 3-month LIBOR rate w as 1.91% and 2.81% at December 31, 2019 and 2018, respectively. Outstanding FHLB advances are a mix of bullet and amortizing structures. Amortizing FHLB advances are amortized over periods ranging from 1.3 to 20.1 years , a nd have a balloon feature at maturity. Advances are collateralized by a blanket pledge of eligible loans, subject to contractual adjustments which reduce the borrowing base, as well as a secondary pledge of FHLB stock and FHLB demand deposits, the amount of which can exceed the amounts borrowed based on contractually required adjustments. Total additional FHLB advances available for both short-term borrowings and long-term debt at December 31, 2019 w ere $8.4 billion und er the blanket floating lien including $1.3 billion from pledges of investment securities. The weighted average advance rate was 2.34% an d 2.15% at December 31, 2019 and 2018, respectively. Junior subordinated debt consists of a total of $120.1 million in junior subordinated deferrable interest debentures of the Company issued to statutory trusts that were funded by the issuance of floating rate capital securities of the trusts. The terms of the junior subordinated debt are 30 years , and they are callable at par by the Company any time after 5 years . Interest is payable quarterly and may be deferred at any time at the election of the Company for up to 20 consecutive quarterly periods. During a deferral period, the Company is subject to certain restrictions, including being prohibited from declaring and paying dividends to its common shareholders. Advances and long-term debt at December 31, 2019 have maturities or call dates in future years as follows: (in thousands) 2020 $ 582,371 2021 175,255 2022 10,564 2023 58,597 2024 6,242 2025 and thereafter 510,658 $ 1,343,687 |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES The provision for income tax expense consisted of the following for the years ended December 31: (in thousands) 2019 2018 2017 Current expense (benefit) $ 114,221 $ (115,195 ) $ 84,827 Deferred expense 30,703 153,518 71,257 Tax credits (4,363 ) (5,179 ) (5,618 ) Items charged to shareholders' equity (25,123 ) (866 ) — $ 115,438 $ 32,278 $ 150,466 There was a balance receivable of $4.3 million , $208.0 million , and $4.5 million for federal and state income taxes at December 31, 2019, 2018, and 2017, respectively. The provision for federal income taxes differs from the amount computed by applying the federal income tax statutory rate of 21 percent for the years ended December 31, 2019 and 2018 and 35 percent for the year ended December 31, 2017 on income before income tax expense as indicated in the following analysis for the years ended December 31: (in thousands) 2019 2018 2017 Federal tax based on statutory rate $ 104,914 $ 84,531 $ 102,508 Increase (decrease) resulting from: Effect of tax-exempt income (6,314 ) (5,801 ) (9,435 ) Interest and other nondeductible expenses 10,429 6,464 9,605 State taxes, net of federal benefit 18,073 12,459 6,970 Tax credits (4,363 ) (5,179 ) (5,618 ) Other (1) (7,301 ) (60,196 ) 46,436 $ 115,438 $ 32,278 $ 150,466 Effective tax rate 23.1 % 8.0 % 51.4 % (1) The composition of other items resulting in a net tax benefit of $7.3 million for the year ended December 31, 2019 included $3.5 million in an unrecognized state tax credit, $2.3 million related to the remeasurement of deferred tax assets as a result of state statutory rate changes and changes to the state nexus, and $0.9 million related to equity based compensation. The composition of other items resulting in a net tax benefit of $60.2 million for the year ended December 31, 2018 included a $6.6 million expense related to the finalization of accounting for the Sabadell United acquisition and its net impact from the remeasurement of deferred tax assets as a result of the passage of the Tax Act. In connection with filing its 2017 income tax returns, the Company recorded a non-core, permanent net income tax benefit of $65.3 million as a result of deductions associated with unrealized losses on securities and loans and depreciation on real and personal property. The composition of other items resulting in a net tax expense of $46.4 million for the year ended December 31, 2017 included $51.0 million related to the estimated net impact from the remeasurement of deferred tax assets and liabilities as a result of the passage of the Tax Act in December 2017. This was partially offset by $3.0 million related to equity based compensation, $1.0 million resulting from the reversal of a prior year deferred tax asset impairment, and a $600 thousand benefit due to a deferred REIT distribution. Significant components of deferred tax assets and liabilities at December 31 were as follows: (in thousands) 2019 2018 Deferred tax assets: NOL and credit carryforward $ 18,061 $ 42,837 Allowance for credit losses 38,384 38,571 Deferred compensation 6,807 5,482 Basis difference in acquired assets and liabilities 8,967 9,228 OREO 1,234 32 Other 46,259 19,395 Gross deferred tax assets 119,712 115,545 Deferred tax liabilities: Unrealized gains on loans and securities (64,535 ) (98,807 ) Premises and equipment (7,941 ) (10,626 ) Acquisition intangibles (11,789 ) (9,757 ) Deferred loan costs (6,834 ) (5,814 ) Basis difference in acquired assets and liabilities (12,488 ) (17,628 ) Lease receivable (79,795 ) (37,844 ) Other (38,449 ) (6,485 ) Gross deferred tax liabilities (221,831 ) (186,961 ) Net deferred tax liabilities $ (102,119 ) $ (71,416 ) At December 31, 2019, the Company had cumulative federal net operating loss carryforwards of $35.7 million. These net operating loss carryforwards arising from acquisitions during 2015 expire over a 20 -year period and will be utilized subject to annual Internal Revenue Code Section 382 limitations. No benefit was recognized at acquisition for net operating losses that will expire unused due to the IRS limitations. At December 31, 2019, the Company had state net operating loss carryforwards of $169.5 million, resulting in a net state deferred tax asset of $7.7 million. These state carryforwards, if not utilized, will gradually expire through 2039. The Company does not believe it has any unrecognized tax benefits included in its consolidated financial statements. The Company has not had any settlements in the current period with taxing authorities, nor has it recognized tax benefits as a result of a lapse of the applicable statute of limitations. During the years ended December 31, 2019, 2018 and 2017, an immaterial amount of interest and penalty expense associated with state filings was recorded. The Company files federal income tax returns, as well as returns in various state jurisdictions. The Company is subject to income tax examination by the IRS for the tax years 2014 and forward and is currently under examination by the IRS for the years 2014 to 2017. |
Shareholders' Equity, Capital R
Shareholders' Equity, Capital Ratios and Other Regulatory Matters | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Shareholders' Equity, Capital Ratios and Other Regulatory Matters | SHAREHOLDERS' EQUITY, CAPITAL RATIOS AND OTHER REGULATORY MATTERS Preferred Stock On April 4, 2019, the Company issued and sold an aggregate of 4,000,000 depositary shares, each representing a 1/400th ownership interest in a share of the Company’s 6.100% Fixed-to-Floating Non-Cumulative Perpetual Preferred Stock, Series D, par value $1.00 per share, (“Series D Preferred Stock”), with a liquidation preference of $10,000 per share of Series D Preferred Stock (equivalent to $25 per depositary share), which represents $100.0 million in aggregate liquidation preference. The following table presents a summary of the Company's non-cumulative perpetual preferred stock at December 31: 2019 2018 Issuance Date Earliest Redemption Date Annual Dividend Rate Liquidation Amount Carrying Amount Carrying Amount (in thousands) Series B Preferred Stock 8/5/2015 8/1/2025 6.625 % $ 80,000 $ 76,812 $ 76,812 Series C Preferred Stock 5/9/2016 5/1/2026 6.600 % 57,500 55,285 55,285 Series D Preferred Stock 4/4/2019 5/1/2024 6.100 % 100,000 96,388 — $ 237,500 $ 228,485 $ 132,097 Dividends will accrue and be payable on the Series B Preferred Stock, if declared by the Company's Board of Directors, and will be paid semi-annually, in arrears, at an annual rate equal to 6.625% for each period from the issuance date up to and including August 1, 2025 and will be paid quarterly, in arrears, at an annual rate equal to three-month LIBOR plus 4.262% for each period after August 1, 2025. The Company may redeem the Series B Preferred Stock at its option, subject to regulatory approval, as described in the Company’s Registration Statement on Form 8-A, filed with the Securities and Exchange Commission on August 5, 2015. Dividends will accrue and be payable on the Series C Preferred Stock, if declared by the Company's Board of Directors, and will be paid quarterly, in arrears, at an annual rate equal to (i) 6.600% for each period from the issuance date to May 1, 2026 and (ii) three-month LIBOR plus 4.920% for each period on or after May 1, 2026. The Company may redeem the Series C Preferred Stock at its option, subject to regulatory approval, as described in the Company’s Registration Statement on Form 8-A, filed with the Securities and Exchange Commission on May 9, 2016. Dividends will accrue and be payable on the Series D Preferred Stock, if declared by the Company's Board of Directors, and (i) will be paid semi-annually, in arrears, at an annual rate equal to 6.100% for each period from the issuance date to May 1, 2024 and (ii) will be paid quarterly at an annual rate equal to three-month LIBOR plus 3.859% for each period on or after August 1, 2024. The Company may redeem the Series D Preferred Stock at its option, subject to regulatory approval, as described in the Company’s Registration Statement on Form 8-A, filed with the Securities and Exchange Commission on April 4, 2019. Common Stock In 2018, the Company's Board of Directors authorized the repurchase of up to 2,765,000 shares of IBERIABANK Corporation's outstanding common stock. The remaining shares available under this plan were repurchased during 2019. During 2019, the Company announced a new Board-approved share repurchase program for up to 1,600,000 shares, or approximately 3% of total common shares outstanding at the time of the announcement. During 2019, the Company repurchased 2,700,000 common shares for approximately $204.7 million at a weighted average price of $75.83 per common share. During 2018, the Company repurchased 1,972,500 common shares for approximately $148.9 million, at a weighted average price of $75.46 per common share. The Company did not repurchase any common shares during 2017. At December 31, 2019 , there were approximately 1,165,000 remaining shares that may be repurchased under the current Board-approved plan. No further common stock repurchases are expected due to the pending merger with First Horizon. Regulatory Capital The Company and its subsidiary bank, IBERIABANK, are subject to various regulatory capital requirements administered by federal and state banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s consolidated financial statements. Under capital adequacy regulations and the regulatory framework for prompt corrective action, specific capital guidelines that involve quantitative measures of assets, liabilities and certain off-balance sheet items as calculated under regulatory accounting practices must be met. The capital amounts and classification are also subject to qualitative judgments by the regulators about capital components, asset risk weightings and other factors. Management believes that, as of December 31, 2019 , the Company and IBERIABANK met all capital adequacy requirements to which they were subject. As of December 31, 2019 , the most recent notification from the FRB categorized IBERIABANK as well-capitalized under the regulatory framework for prompt corrective action (the prompt corrective action requirements are not applicable to the Company). To be categorized as well-capitalized, an institution must maintain minimum Total Risk-Based, Tier 1 Risk-Based, Common Equity Tier 1, and Tier 1 Leverage ratios as set forth in the following table. There are no conditions or events since the notification that management believes have changed that categorization. The Company’s and IBERIABANK’s actual capital amounts and ratios as of December 31 are presented in the following table. (in thousands) 2019 Minimum Well-Capitalized Actual Amount Ratio Amount Ratio Amount Ratio Tier 1 Leverage Consolidated $ 1,220,289 4.00 % N/A N/A $ 3,021,004 9.90 % IBERIABANK 1,217,638 4.00 $ 1,522,048 5.00 2,949,533 9.69 Common Equity Tier 1 (CET1) Consolidated $ 1,194,765 4.50 % N/A N/A $ 2,792,520 10.52 % IBERIABANK 1,191,062 4.50 $ 1,720,423 6.50 2,949,533 11.14 Tier 1 Risk-Based Capital Consolidated $ 1,593,020 6.00 % N/A N/A $ 3,021,004 11.38 % IBERIABANK 1,588,083 6.00 $ 2,117,444 8.00 2,949,533 11.14 Total Risk-Based Capital Consolidated $ 2,124,026 8.00 % N/A N/A $ 3,300,730 12.43 % IBERIABANK 2,117,444 8.00 $ 2,648,805 10.00 3,112,758 11.76 2018 Minimum Well-Capitalized Actual (in thousands) Amount Ratio Amount Ratio Amount Ratio Tier 1 Leverage Consolidated $ 1,168,343 4.00 % N/A N/A $ 2,812,863 9.63 % IBERIABANK 1,165,537 4.00 $ 1,456,921 5.00 2,733,099 9.38 Common Equity Tier 1 (CET1) Consolidated $ 1,125,405 4.50 % N/A N/A $ 2,680,766 10.72 % IBERIABANK 1,122,712 4.50 $ 1,621,695 6.50 2,733,099 10.95 Tier 1 Risk-Based Capital Consolidated $ 1,500,540 6.00 % N/A N/A $ 2,812,863 11.25 % IBERIABANK 1,496,949 6.00 $ 1,995,932 8.00 2,733,099 10.95 Total Risk-Based Capital Consolidated $ 2,000,720 8.00 % N/A N/A $ 3,084,764 12.33 % IBERIABANK 1,995,932 8.00 $ 2,494,915 10.00 2,888,500 11.58 Minimum capital ratios are subject to a capital conservation buffer. In order to avoid limitations on distributions, including dividend payments, and certain discretionary bonus payments to executive officers, an institution must hold a capital conservation buffer above its minimum risk-based capital requirements. This capital conservation buffer is calculated as the lowest of the differences between the actual CET1 ratio, Tier 1 Risk-Based Capital ratio, and Total Risk-Based Capital ratio and the corresponding minimum ratios. At December 31, 2019 , the required minimum capital conservation buffer was 2.50% , At December 31, 2019 , the capital conservation buffers of the Company and IBERIABANK were 4.43% and 3.76% , respectively. Restrictions on Dividends, Loans and Advances IBERIABANK is restricted under applicable laws in the payment of dividends to an amount equal to current year earnings plus undistributed earnings for the immediately preceding year, unless prior permission is received from the Commissioner of Financial Institutions for the State of Louisiana. Dividends payable by IBERIABANK in 2020 without permission are limited to 2020 earnings plus an additional $199.6 million . Funds available for loans or advances by IBERIABANK to the Parent amounted to $311.3 million . In addition, any dividends that may be paid by IBERIABANK to the Parent would be restricted if IBERIABANK did not comply with the above-described capital conservation buffer requirements and would be prohibited if the effect thereof would cause IBERIABANK’s capital to be reduced below applicable minimum capital requirements. During any deferral period under the Company’s junior subordinated debt, the Company would be prohibited from declaring and paying dividends to preferred and common shareholders. See Note 13 to the Consolidated Financial Statements for additional information. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | EARNINGS PER SHARE The computations of basic and diluted earnings per share were as follows: For the Years Ended December 31, (in thousands, except per share data) 2019 2018 2017 Earnings per common share - Basic Net income $ 384,155 $ 370,249 $ 142,413 Preferred stock dividends (12,602 ) (9,095 ) (9,095 ) Dividends and undistributed earnings allocated to unvested restricted shares (3,559 ) (3,583 ) (1,210 ) Earnings allocated to common shareholders - basic $ 367,994 $ 357,571 $ 132,108 Weighted average common shares outstanding 52,826 55,008 50,640 Earnings per common share - basic 6.97 6.50 2.61 Earnings per common share - Diluted Earnings allocated to common shareholders - basic $ 367,994 $ 357,571 $ 132,108 Dividends and undistributed earnings allocated to unvested restricted shares 6 (49 ) (1 ) Earnings allocated to common shareholders - diluted $ 368,000 $ 357,522 $ 132,107 Weighted average common shares outstanding 52,826 55,008 50,640 Dilutive potential common shares 327 352 352 Weighted average common shares outstanding - diluted 53,153 55,360 50,992 Earnings per common share - diluted $ 6.92 $ 6.46 $ 2.59 For the years ended December 31, 2019 , 2018 , and 2017 , the calculations for basic shares outstanding exclude the weighted average shares owned by the RRP of 512,969 , 564,973 , and 467,601 , respectively. The effects from the assumed exercises of 152,416 , 154,397 , and 71,260 stock options were not included in the computation of diluted earnings per share for the years ended December 31, 2019 , 2018 , and 2017 , respectively, because they were antidilutive. |
Share-Based Compensation and Ot
Share-Based Compensation and Other Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Share-Based Compensation and Other Employee Benefit Plans | SHARE-BASED COMPENSATION AND OTHER EMPLOYEE BENEFIT PLANS The Company has various types of share-based compensation plans that permit the granting of awards in the form of stock options, restricted stock, restricted share units, and phantom stock. These plans are administered by the Compensation Committee of the Board of Directors, which selects persons eligible to receive awards and determines the terms, conditions and other provisions of the awards. At December 31, 2019, awards of 3,205,153 shares could be made under approved incentive compensation plans. The Company issues shares to fulfill stock option exercises and restricted share units and restricted stock awards vesting from available authorized common shares. At December 31, 2019, the Company believes there were adequate authorized shares to satisfy anticipated stock option exercises and restricted share unit and restricted stock award vesting. Stock option awards The Company issues stock options under various plans to directors, officers and other key employees. The option exercise price cannot be less than the fair value of the underlying common stock as of the date of the option grant and the maximum option term cannot exceed ten years . The following table represents the activity related to stock options during the periods indicated: Number of Shares Weighted Average Exercise Price Aggregate Intrinsic Value (in thousands) Weighted Average Remaining Contract Life (in years) Outstanding options, December 31, 2016 721,538 $ 55.38 Granted 80,557 84.78 Exercised (85,221 ) 55.45 $ 2,098 Forfeited or expired (30,508 ) 68.46 Outstanding options, December 31, 2017 686,366 $ 58.24 Granted 97,620 82.02 Exercised (42,047 ) 53.07 1,242 Forfeited or expired (27,519 ) 68.30 Outstanding options, December 31, 2018 714,420 $ 61.41 Granted 127,090 70.34 Exercised (122,143 ) 54.39 2,575 Forfeited or expired (13,570 ) 72.52 Outstanding options, December 31, 2019 705,797 $ 64.02 $ 8,926 5.4 Exercisable options, December 31, 2017 455,010 $ 55.77 Exercisable options, December 31, 2018 501,815 56.75 Exercisable options, December 31, 2019 463,595 59.13 $ 7,796 3.9 The Company uses the Black-Scholes option pricing model to estimate the fair value of stock option awards. The following weighted-average assumptions were used for option awards issued during the years ended December 31: 2019 2018 2017 Expected dividends 2.3 % 1.8 % 1.7 % Expected volatility 24.5 % 24.3 % 25.0 % Risk-free interest rate 2.5 % 2.7 % 2.1 % Expected term (in years) 5.7 5.8 5.8 Weighted-average grant-date fair value $ 14.44 $ 18.48 $ 18.86 The assumptions above are based on multiple factors, including historical stock option exercise patterns and post-vesting employment termination behaviors, expected future exercise patterns and the expected volatility of the Company’s stock price. The following table represents the compensation expense that is included in non-interest expense and related income tax benefits in the accompanying consolidated statements of comprehensive income related to stock options for the years ended December 31: (in thousands) 2019 2018 2017 Compensation expense related to stock options $ 1,408 $ 1,280 $ 1,470 Income tax benefit related to stock options 103 93 124 At December 31, 2019, there was $2.1 million of unrecognized compensation expense related to stock options that is expected to be recognized over a weighted-average period of 2.6 years . Restricted stock awards The Company issues restricted stock under various plans for certain officers and directors. The restricted stock awards may not be sold or otherwise transferred until certain restrictions have lapsed. The holders of the restricted stock receive dividends and have the right to vote the shares. The compensation expense for these awards is determined based on the market price of the Company's common stock at the date of grant applied to the total number of shares granted and is recognized over the vesting period (generally three to five years). As of December 31, 2019 and 2018, unrecognized share-based compensation expense associated with these awards totaled $27.5 million and $27.1 million , respectively. The unrecognized compensation expense related to restricted stock awards at December 31, 2019 is expected to be recognized over a weighted-average period of 1.1 years. In connection with the merger agreement with First Horizon, the Compensation Committee of the Board of Directors accelerated the vesting of the performance-based restricted stock awards previously awarded as a special acquisition incentive, held by certain executive officers, such that the restricted stock awards became fully vested upon the execution of the merger agreement. The value of these shares at the merger execution date was $7.3 million. In addition, 123,274 restricted stock awards were granted to certain executive officers on November 18, 2019 in connection with the merger agreement. These awards do not have any performance criteria attached to them. Restricted share units The Company issues restricted share units to certain of its executive officers. Restricted share units vest after the end of a three year performance period, based on satisfaction of the market and performance conditions set forth in the restricted share unit agreements. Recipients do not possess voting or investment power over the common stock underlying such units until vesting. The grant date fair value of these restricted share units is the same as the value of the corresponding number of shares of common stock, adjusted for assumptions surrounding the market-based conditions contained in the respective agreements. See Note 1, Summary of Significant Accounting Policies, for further discussion of restricted share units with market or performance conditions. The following table represents the compensation expense that was included in non-interest expense and related income tax benefits in the accompanying consolidated statements of comprehensive income related to restricted stock awards and restricted share units for the years ended December 31: (in thousands) 2019 2018 2017 Compensation expense related to restricted stock awards and restricted share units $ 23,176 $ 18,998 $ 14,966 Income tax benefit related to restricted stock awards and restricted share units 4,395 3,990 2,809 The following table represents unvested restricted stock award and restricted share unit activity for the years ended December 31: 2019 2018 2017 Number of shares at beginning of period 700,628 738,187 543,261 Granted 344,018 231,064 421,198 Forfeited (21,656 ) (72,217 ) (31,699 ) Vested (342,077 ) (196,406 ) (194,573 ) Number of shares at end of period 680,913 700,628 738,187 The weighted average grant date fair value of restricted stock awards and restricted share units granted was $71.81 , $80.98 , and $82.49 for the years ended December 31, 2019, 2018, and 2017, respectively. The total fair value of restricted stock awards and restricted share units vested during the years ended December 31, 2019, 2018, and 2017 was $28.5 million , $16.3 million , and $16.4 million , respectively. Phantom stock awards The Company issues phantom stock awards to certain key officers and employees. The awards are subject to a vesting period of five years and are paid out in cash upon vesting. The amount paid per vesting period is calculated as the number of vested “share equivalents” multiplied by the closing market price of a share of the Company’s common stock on the vesting date. Share equivalents are calculated on the date of grant as the total award’s dollar value divided by the closing market price of a share of the Company’s common stock on the grant date. The following table represents compensation expense recorded for phantom stock based on the number of share equivalents vested at December 31 of the years indicated and the current market price of the Company’s stock at that time: (in thousands) 2019 2018 2017 Compensation expense related to phantom stock $ 10,160 $ 8,141 $ 10,756 The following table represents phantom stock award activity during the periods indicated: (in thousands) Number of share equivalents (1) Value of share equivalents (2) Balance, December 31, 2016 472,830 $ 39,600 Granted 118,408 9,177 Forfeited share equivalents (34,968 ) 2,710 Vested share equivalents (162,426 ) 13,515 Balance, December 31, 2017 393,844 $ 30,523 Granted 157,044 10,095 Forfeited share equivalents (63,276 ) 4,067 Vested share equivalents (134,205 ) 11,156 Balance, December 31, 2018 353,407 $ 22,717 Granted 192,524 14,407 Forfeited share equivalents (34,362 ) 2,571 Vested share equivalents (112,052 ) 34,566 Balance, December 31, 2019 399,517 $ 29,896 (1) Number of share equivalents includes all reinvested dividend equivalents for the years indicated. (2) Except for share equivalents at the beginning of each period, which are based on the value at that time, and vested share payments, which are based on the cash paid at the time of vesting, the value of share equivalents is calculated based on the market price of the Company’s stock at the end of the respective periods. The market price of the Company’s stock was $74.83 , $64.28 and $77.50 on December 31, 2019, 2018, and 2017, respectively. 401(k) defined contribution plan The Company has a 401(k) Profit Sharing Plan covering substantially all of its employees. Annual employer contributions to the Plan are set by the Board of Directors. The Company made contributions of $4.0 million , $3.7 million , and $3.5 million for the years ended December 31, 2019, 2018, and 2017, respectively. The Plan provides, among other things, that participants in the Plan be able to direct the investment of their account balances within the Profit Sharing Plan into alternative investment funds. Participant deferrals under the salary reduction election may be matched by the employer based on a percentage to be determined annually by the employer. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Off-balance sheet commitments In the normal course of business, to meet the financing needs of its customers, the Company is a party to credit-related financial instruments, with risk not reflected in the consolidated financial statements. These financial instruments include commitments to extend credit, standby letters of credit, and commercial letters of credit. Such commitments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the consolidated balance sheets. The credit policies used for these commitments are consistent with those used for on-balance sheet instruments. The Company’s exposure to credit loss in the event of non-performance by its customers under such commitments or letters of credit represents the contractual amount of the financial instruments as indicated in the table below. At December 31, 2019 and 2018, the fair value of guarantees under commercial and standby letters of credit was $3.3 million and $2.4 million , respectively. This fair value will decrease as the existing commercial and standby letters of credit approach their expiration dates. At December 31, 2019 and 2018, respectively, the Company had the following financial instruments outstanding and related reserves, whose contract amounts represent credit risk: (in thousands) December 31, 2019 December 31, 2018 Commitments to extend credit $ 806,164 $ 642,162 Unfunded commitments under lines of credit 7,240,808 6,883,963 Commercial and standby letters of credit 327,336 240,436 Reserve for unfunded lending commitments 16,637 14,830 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee by the borrower. Since many of the commitments are expected to be drawn upon, the total commitment amount generally represents future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral, if any, is based on management’s credit evaluation of the customer. Unfunded commitments under commercial lines of credit, revolving credit lines, and overdraft protection agreements are commitments for possible future extensions of credit to existing customers. Many of these types of commitments do not contain a specified maturity date and may not be drawn upon to the total extent to which the Company is committed. See Note 5, Allowance for Credit Losses and Credit Quality, for additional information related to the Company’s reserve for unfunded lending commitments. Commercial and standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. These guarantees are primarily issued to support public and private borrowing arrangements, including commercial paper issuance, bond financing, and similar transactions. The credit risk involved in issuing letters of credit is essentially the same as that involved in extending loan facilities to customers. When necessary, they are collateralized, generally in the form of marketable securities and cash equivalents. Legal proceedings The nature of the business of the Company’s banking and other subsidiaries ordinarily results in a certain amount of claims, litigation, investigations, and legal and administrative cases and proceedings, which are considered incidental to the normal conduct of business. Some of these claims are against entities or assets of which the Company is a successor or acquired in business acquisitions. The Company has asserted defenses to these claims and, with respect to such legal proceedings, intends to continue to defend itself vigorously, litigating or settling cases according to management’s judgment as to what is in the best interest of the Company and its shareholders. In July of 2016, the Company received a subpoena from the Office of Inspector General of the U.S. Department of Housing and Urban Development (“HUD”) requesting information on certain previously originated loans insured by the Federal Housing Administration ("FHA") as well as other documents regarding the Company's FHA-related policies and practices. After the Company complied with the subpoena, attorneys from the Department of Justice (“DOJ”) informed the Company in late March of 2017 that a civil qui tam suit had been filed against the Company in federal court involving the subject matter of the HUD subpoena. The HUD lawsuit was settled on December 11, 2017 in the amount of $11.7 million . On February 2, 2018, IBERIABANK filed a lawsuit in the United States District Court for the Eastern District of Louisiana (New Orleans) against Illinois Union Insurance Company and Travelers Casualty and Surety Company of America in an effort to recover the $11.7 million it paid to settle the HUD matter. IBERIABANK filed that lawsuit to recover the insurance proceeds to which it claims to be entitled under certain Bankers’ Professional Liability insurance policies issued by defendants Illinois Union and Travelers. More specifically, IBERIABANK alleges that the insurers have failed to honor their obligations under the policies to pay IBERIABANK’s losses in connection with the $11.7 million settlement of disputed allegations relating to IBERIABANK’s professional services in connection with certain mortgage loans insured by the FHA. The judge in the federal lawsuit granted a motion for summary judgment thereby dismissing the case. The Company has appealed that decision to the United States Court of Appeals for the Fifth Circuit. The appeal seeks reversal of the summary judgment such that the case can be remanded to the district court in an effort to recover the $11.7 million. Four purported holders of IBKC common stock have filed four putative stockholder class action complaints against IBKC and the members of IBKC’s board of directors. The complaints are captioned as follows: Wang v. IBKC, et al., No. 20-0105-LAP (S.D.N.Y filed January 6, 2020); Parshall v. IBKC, et al. , No.20-00027-LPS (D. Del. filed January 8, 2020, includes First Horizon as a Defendant); Hertz v. IBKC, et al., No. 20-00267-MKB-LB (E.D.N.Y filed January 16, 2020); and Cooksey v. IBKC, et al., No. 20-00431-FB-RER (E.D.N.Y. filed January 26, 2020). The complaints assert claims under Section 14(a) of the Exchange Act and Rule 14a-9 thereunder against IBKC and the members of IBKC’s board of directors and under Section 20(a) of the Exchange Act against the members of IBKC’s board of directors for allegedly disseminating a false and misleading registration statement on Form S-4, filed by First Horizon with the SEC on December 31, 2019. Among other remedies, the plaintiffs seeks to enjoin the Merger and any shareholder vote on the Merger and rescind the Merger or recover damages in the event the Merger is completed. The courts have not acted on the complaints, and no relief has been granted in any of the lawsuits as of this time. The defendants believe the claims and allegations are without merit. The Company assesses its liabilities and contingencies in connection with outstanding legal proceedings utilizing the latest information available. Where it is probable that the Company will incur a loss and the amount of the loss can be reasonably estimated, the Company records a liability in its consolidated financial statements. These legal reserves may be increased or decreased to reflect any relevant developments on a quarterly basis. Where a loss is not probable or the amount of loss is not estimable, the Company does not accrue legal reserves. While the outcome of legal proceedings is inherently uncertain, based on information currently available and available insurance coverage, the Company’s management believes that it has established appropriate legal reserves. Any incremental liabilities arising from pending legal proceedings are not expected to have a material adverse effect on the Company’s consolidated financial statements. However, it is possible that the ultimate resolution of these matters, if unfavorable, may be material to the Company’s consolidated financial statements. As of the date of this filing, the Company believes the amount of losses associated with legal proceedings that it is reasonably possible to incur above amounts already accrued and reported as of December 31, 2019 is not material. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS Recurring fair value measurements The following table presents information about the Company's assets and liabilities that are measured at fair value on a recurring basis as of December 31, 2019 and 2018 and their classification within the fair value hierarchy. See Note 1, Summary of Significant Accounting Policies, for a description of how fair value measurements are determined. December 31, 2019 (in thousands) Level 1 Level 2 Level 3 Total Assets Securities available for sale $ — $ 3,933,360 $ — $ 3,933,360 Mortgage loans held for sale — 213,357 — 213,357 Mortgage loans held for investment, at fair value option — — 2,792 2,792 Derivative instruments — 104,151 — 104,151 Total $ — $ 4,250,868 $ 2,792 $ 4,253,660 Liabilities Derivative instruments $ — $ 11,799 $ — $ 11,799 Total $ — $ 11,799 $ — $ 11,799 December 31, 2018 Level 1 Level 2 Level 3 Total Assets Securities available for sale $ — $ 4,783,579 $ — $ 4,783,579 Mortgage loans held for sale — 107,734 — 107,734 Mortgage loans held for investment, at fair value option — — 3,143 3,143 Derivative instruments — 27,048 — 27,048 Total $ — $ 4,918,361 $ 3,143 $ 4,921,504 Liabilities Derivative instruments $ — $ 22,124 $ — $ 22,124 Total $ — $ 22,124 $ — $ 22,124 During 2019 and 2018, there were no transfers between the Level 1 and Level 2 fair value categories. Non-recurring fair value measurements The Company holds certain assets that are measured at fair value only in certain circumstances, such as impairment. The following table presents information about the Company's assets that are measured at fair value and still held as of December 31, 2019 and 2018 for which a non-recurring fair value adjustment was recorded during the years then ended. See Note 1, Summary of Significant Accounting Policies, for a description of how fair value measurements are determined. December 31, 2019 (in thousands) Level 1 Level 2 Level 3 Total Assets Impaired loans $ — $ — $ 74,763 $ 74,763 OREO, net — — 4,907 4,907 Total $ — $ — $ 79,670 $ 79,670 December 31, 2018 Level 1 Level 2 Level 3 Total Assets Impaired loans $ — $ — $ 65,914 $ 65,914 OREO, net — — 6,433 6,433 Total $ — $ — $ 72,347 $ 72,347 The Company did not record any liabilities at fair value for which measurement of the fair value was made on a non-recurring basis as of December 31, 2019 and 2018. Fair value option The Company has elected the fair value option for originated residential mortgage loans held for sale, which allows for a more effective offset of the changes in fair values of the loans and the derivative instruments used to hedge them without the burden of complying with the requirements for hedge accounting. The Company also has a portion of mortgage loans held for investment for which the fair value option was elected upon origination and which continue to be accounted for at fair value at December 31, 2019 and 2018, respectively. The following table summarizes the difference between the aggregate fair value and the aggregate unpaid principal balance for mortgage loans held for sale and mortgage loans held for investment measured at fair value: December 31, 2019 December 31, 2018 (in thousands) Aggregate Fair Value Aggregate Unpaid Principal Aggregate Fair Value Less Unpaid Principal Aggregate Fair Value Aggregate Unpaid Principal Aggregate Fair Value Less Unpaid Principal Mortgage loans held for sale, at fair value $ 213,357 $ 207,481 $ 5,876 $ 107,734 $ 104,345 $ 3,389 Mortgage loans held for investment, at fair value 2,792 2,922 (130 ) 3,143 3,595 (452 ) Interest income on mortgage loans held for sale and mortgage loans held for investment at fair value option is recognized based on contractual rates and is reflected in interest income on loans held for sale in the consolidated statements of comprehensive income. The following table details net gains (losses) resulting from the change in fair value of loans that were recorded in mortgage income in the consolidated statements of comprehensive income for the years ended December 31, 2019, 2018 and 2017. The changes in fair value are mostly offset by economic hedging activities, with an insignificant portion of these changes attributable to changes in instrument-specific credit risk. Net Gains (Losses) Resulting From Changes in Fair Value For the Years Ended December 31, (in thousands) 2019 2018 2017 Fair value option Mortgage loans held for sale, at fair value $ 2,486 $ (251 ) $ 944 Mortgage loans held for investment, at fair value 18 (1,542 ) (204 ) |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value of Financial Instruments | FAIR VALUE OF FINANCIAL INSTRUMENTS The carrying amount and estimated fair values of the Company's financial instruments, as well as the level within the fair value hierarchy, are included in the tables below. See Note 1, Summary of Significant Accounting Policies, for a description of how fair value measurements are determined. December 31, 2019 (in thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Measurement Category Fair Value Financial Assets Securities available for sale $ 3,933,360 $ 3,933,360 $ — $ 3,933,360 $ — Mortgage loans held for sale 213,357 213,357 — 213,357 — Mortgage loans held for investment, at fair value option 2,792 2,792 — — 2,792 Derivative instruments 104,151 104,151 — 104,151 — Financial Liabilities Derivative instruments 11,799 11,799 — 11,799 — Amortized Cost Financial Assets Cash and cash equivalents $ 894,723 $ 894,723 $ 894,723 $ — $ — Securities held to maturity 182,961 189,899 — 189,899 — Loans and leases, carried at amortized cost, net of unearned income and allowance for loan and lease losses 23,874,911 23,732,650 — — 23,732,650 Financial Liabilities Deposits 25,219,349 25,229,566 — 25,229,566 — Short-term borrowings 204,208 204,208 204,208 — — Long-term debt 1,343,687 1,296,696 — — 1,296,696 December 31, 2018 (in thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Measurement Category Fair Value Financial Assets Securities available for sale $ 4,783,579 $ 4,783,579 $ — $ 4,783,579 $ — Mortgage loans held for sale 107,734 107,734 — 107,734 — Mortgage loans held for investment, at fair value option 3,143 3,143 — — 3,143 Derivative instruments 27,048 27,048 — 27,048 — Financial Liabilities Derivative instruments 22,124 22,124 — 22,124 — Amortized Cost Financial Assets Cash and cash equivalents $ 690,453 $ 690,453 $ 690,453 $ — $ — Securities held to maturity 207,446 204,277 — 204,277 — Loans and leases, carried at amortized cost, net of unearned income and allowance for loan and lease losses 22,376,101 22,088,236 — — 22,088,236 Financial Liabilities Deposits 23,763,431 23,752,139 — 23,752,139 — Short-term borrowings 1,482,882 1,482,882 315,882 1,167,000 — Long-term debt 1,166,151 1,154,062 — — 1,154,062 The fair value estimates presented herein are based upon pertinent information available to management as of December 31, 2019 and 2018. Although management is not aware of any factors that would significantly affect the estimated fair value amounts, such amounts have not been comprehensively revalued for purposes of these financial statements since these dates and, therefore, current estimates of fair value may differ significantly from the amounts presented herein. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | RELATED PARTY TRANSACTIONS In the ordinary course of business, the Company may execute transactions with various related parties. Examples of such transactions may include lending or deposit arrangements, transfers of financial assets, services for administrative support, and other miscellaneous items. The Company has granted loans to executive officers and directors and their affiliates. These loans, including the related principal additions, principal payments, and unfunded commitments are not material to the consolidated financial statements at December 31, 2019 and 2018. There were no outstanding loans to such related parties classified as non-accrual, past due, or troubled debt restructurings at December 31, 2019 and 2018. Deposits from related parties held by the Company were not material at December 31, 2019 and 2018. |
Business Segments
Business Segments | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Business Segments | BUSINESS SEGMENTS Each of the Company’s reportable operating segments serves the specific needs of the Company’s customers based on the products and services it offers. The reportable segments are based upon those revenue-producing components for which separate financial information is produced internally and primarily reflect the manner in which resources are allocated and performance is assessed. Further, the reportable operating segments are also determined based on the quantitative thresholds prescribed within ASC Topic 280, Segment Reporting , and consideration of the usefulness of the information to the users of the consolidated financial statements. The Company reports the results of its operations through three reportable segments: IBERIABANK, Mortgage, and LTC. The IBERIABANK segment represents the Company’s commercial and retail banking functions, including its lending, investment, and deposit activities. IBERIABANK also includes the Company’s wealth management, capital markets, and other corporate functions. The Mortgage segment represents the Company’s origination, funding, and subsequent sale of one-to-four family residential mortgage loans. The LTC segment represents the Company’s title insurance and loan closing services. Certain expenses not directly attributable to a specific reportable segment are allocated to segments based on pre-determined methods that reflect utilization. Also within IBERIABANK are certain reconciling items that translate reportable segment results into consolidated results. The following tables present certain information regarding operations by reportable segment, including a reconciliation of segment results to reported consolidated results for the periods presented. Reconciling items between segment results and reported results include: • Elimination of interest income and interest expense representing interest earned by IBERIABANK on interest-bearing checking accounts held by related companies, as well as the elimination of the related deposit balances at the IBERIABANK segment; • Elimination of investment in subsidiary balances on certain operating segments included in total and average segment assets; and • Elimination of intercompany due to and due from balances on certain operating segments that are included in total and average segment assets. Year Ended December 31, 2019 (in thousands) IBERIABANK Mortgage LTC Consolidated Interest and dividend income $ 1,301,901 $ 8,104 $ 3 $ 1,310,008 Interest expense 320,362 — — 320,362 Net interest income 981,539 8,104 3 989,646 Provision for (reversal of) credit losses 41,710 (53 ) — 41,657 Mortgage income — 63,030 — 63,030 Title revenue — — 25,928 25,928 Other non-interest income (expense) 145,317 104 (19 ) 145,402 Allocated expenses (income) (14,495 ) 10,640 3,855 — Non-interest expense 611,794 51,734 19,228 682,756 Income before income tax expense 487,847 8,917 2,829 499,593 Income tax expense 112,624 2,051 763 115,438 Net income $ 375,223 $ 6,866 $ 2,066 $ 384,155 Total loans, leases, and loans held for sale, net of unearned income $ 24,003,854 $ 231,002 $ — $ 24,234,856 Total assets 31,413,998 271,382 28,070 31,713,450 Total deposits 25,200,205 19,144 — 25,219,349 Average assets 31,121,870 230,241 25,757 31,377,868 Year Ended December 31, 2018 (in thousands) IBERIABANK Mortgage LTC Consolidated Interest and dividend income $ 1,215,668 $ 5,958 $ 3 $ 1,221,629 Interest expense 208,381 — — 208,381 Net interest income 1,007,287 5,958 3 1,013,248 Provision for (reversal of) credit losses 40,429 (44 ) — 40,385 Mortgage income — 46,424 — 46,424 Title revenue — — 24,149 24,149 Other non-interest income (expense) 81,588 (95 ) 496 81,989 Allocated expenses (income) (13,437 ) 9,847 3,590 — Non-interest expense 660,804 43,021 19,073 722,898 Income (loss) before income tax expense 401,079 (537 ) 1,985 402,527 Income tax expense (benefit) 32,436 (52 ) (106 ) 32,278 Net income (loss) $ 368,643 $ (485 ) $ 2,091 $ 370,249 Total loans, leases, and loans held for sale, net of unearned income $ 22,493,809 $ 133,740 $ — $ 22,627,549 Total assets 30,645,000 162,599 25,416 30,833,015 Total deposits 23,754,512 8,919 — 23,763,431 Average assets 29,400,755 153,717 23,554 29,578,026 Year Ended December 31, 2017 (in thousands) IBERIABANK Mortgage LTC Consolidated Interest and dividend income $ 906,521 $ 7,260 $ 2 $ 913,783 Interest expense 104,937 — — 104,937 Net interest income 801,584 7,260 2 808,846 Provision for (reversal of) credit losses 51,797 (89 ) — 51,708 Mortgage income — 63,570 — 63,570 Title revenue — — 21,972 21,972 Other non-interest income (expense) 116,659 (42 ) (12 ) 116,605 Allocated expenses (income) (13,293 ) 10,041 3,252 — Non-interest expense 575,865 73,587 16,954 666,406 Income (loss) before income tax expense 303,874 (12,751 ) 1,756 292,879 Income tax expense (benefit) 156,407 (5,771 ) (170 ) 150,466 Net income (loss) $ 147,467 $ (6,980 ) $ 1,926 $ 142,413 Total loans, leases, and loans held for sale, net of unearned income $ 20,028,840 $ 184,257 $ — $ 20,213,097 Total assets 27,672,906 208,710 22,513 27,904,129 Total deposits 21,462,776 3,941 — 21,466,717 Average assets 24,228,436 229,364 22,856 24,480,656 |
Condensed Parent Company Only F
Condensed Parent Company Only Financial Statements | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Parent Company Only Financial Statements | CONDENSED PARENT COMPANY ONLY FINANCIAL STATEMENTS Condensed financial statements of the Parent are shown below. The Parent has no significant operating activities. Condensed Balance Sheets (in thousands) December 31, 2019 2018 Assets Cash in bank $ 160,171 $ 179,545 Investments in subsidiaries 4,308,843 4,008,802 Other assets 63,205 53,832 $ 4,532,219 $ 4,242,179 Liabilities and Shareholders’ Equity Liabilities $ 195,485 $ 185,902 Shareholders’ equity 4,336,734 4,056,277 $ 4,532,219 $ 4,242,179 Condensed Statements of Income Year Ended December 31, (in thousands) 2019 2018 2017 Operating income Reimbursement of management expenses $ 85,796 $ 83,262 $ 76,177 Other income 190,407 245,213 146,796 Total operating income 276,203 328,475 222,973 Operating expenses Interest expense 6,088 6,008 5,168 Salaries and employee benefits expense 62,938 55,436 55,013 Other expenses 25,106 28,963 32,965 Total operating expenses 94,132 90,407 93,146 Income before income tax (benefit) expense and equity in undistributed earnings of subsidiaries 182,071 238,068 129,827 Income tax (benefit) expense (600 ) 799 3,123 Income before equity in undistributed earnings of subsidiaries 182,671 237,269 126,704 Equity in undistributed earnings of subsidiaries 201,484 132,980 15,709 Net income 384,155 370,249 142,413 Less: Preferred stock dividends 12,602 9,095 9,095 Net income available to common shareholders $ 371,553 $ 361,154 $ 133,318 Condensed Statements of Cash Flows (in thousands) Year Ended December 31, 2019 2018 2017 Cash Flows from Operating Activities Net income $ 384,155 $ 370,249 $ 142,413 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Depreciation and amortization 309 145 62 Net income of subsidiaries (391,484 ) (377,974 ) (160,206 ) Share-based compensation expense - equity awards 24,584 20,278 16,436 Other operating activities, net (9,828 ) 491 (4,256 ) Net Cash Provided by (Used in) Operating Activities 7,736 13,189 (5,551 ) Cash Flows from Investing Activities Cash paid in excess of cash received for acquisitions — (7 ) (809,159 ) Purchases of premises and equipment (292 ) (52 ) (105 ) Return of capital from subsidiary 190,000 245,000 144,500 Other investing activities, net (301 ) (1,500 ) — Net Cash Provided by (Used in) Investing Activities 189,407 243,441 (664,764 ) Cash Flows from Financing Activities Cash dividends paid on common stock (92,190 ) (84,782 ) (72,772 ) Cash dividends paid on preferred stock (12,602 ) (9,095 ) (9,095 ) Net share-based compensation stock transactions (3,373 ) (3,226 ) (832 ) Payments to repurchase common stock (204,740 ) (148,855 ) — Net proceeds from issuance of common stock — — 485,151 Net proceeds from issuance of preferred stock 96,388 — — Other financing activities, net — — (56 ) Net Cash Provided by (Used In) Financing Activities (216,517 ) (245,958 ) 402,396 Net Increase (Decrease) in Cash and Cash Equivalents (19,374 ) 10,672 (267,919 ) Cash and Cash Equivalents at Beginning of Period 179,545 168,873 436,792 Cash and Cash Equivalents at End of Period $ 160,171 $ 179,545 $ 168,873 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Reclassification | Certain amounts reported in prior periods have been reclassified to conform to the current period presentation. These reclassifications did not have a material effect on previously reported consolidated financial statements. |
Proposed Merger with First Horizon National Corporation | Proposed Merger with First Horizon National Corporation On November 4, 2019, the Company announced it had entered into a definitive agreement to merge with First Horizon National Corporation ("First Horizon") in an all-stock merger of equals. Under the terms of the agreement, the Company's shareholders will receive 4.584 shares of First Horizon common stock for each share of IBERIABANK Corporation common stock. The combined holding company and bank will operate under the First Horizon name and will be headquartered in Memphis, Tennessee. The merger is expected to close in the second quarter of 2020, subject to satisfaction of customary closing conditions, including receipt of regulatory approvals and approval by the shareholders of each company. |
Principles of Consolidation | Principles of Consolidation All significant intercompany balances and transactions have been eliminated in consolidation. The Company’s consolidated financial statements include all entities in which the Company has a controlling financial interest under either the voting interest or variable interest model. The assessment of whether or not the Company has a controlling interest (i.e., the primary beneficiary) in a variable interest entity (VIE) is performed on an on-going basis. All equity investments in non-consolidated VIEs are included in other assets in the Company’s consolidated balance sheets. The Company’s maximum exposure to loss as a result of its involvement with non-consolidated VIEs was approximately $271.5 million and $230.2 million at December 31, 2019 and 2018, respectively. The Company's maximum exposure to loss was equivalent to the carrying value of its investments and any related outstanding loans to the non-consolidated VIEs. Investments in entities that are not consolidated are accounted for under either the equity, fair value, or proportional amortization method of accounting. Prior to January 1, 2018, investments in entities that were not consolidated were accounted for under either the equity, cost, or proportional amortization method of accounting. Investments for which the Company has the ability to exercise significant influence over the operating and financing decisions of the entity are accounted for under the equity method. Investments for which the Company does not hold such ability are accounted for at cost less impairment plus or minus changes resulting from observable price changes, which approximates fair value. Prior to January 1, 2018, investments for which the Company did not hold such ability were accounted for under the cost method. Investments in qualified affordable housing projects, which meet certain criteria, are accounted for under the proportional amortization method. |
Use of Estimates | Use of Estimates The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the amounts reported in the consolidated financial statements and accompanying notes. Actual results could differ from those estimates. Material estimates that are susceptible to significant change in the near term are the allowance for credit losses, the valuation of goodwill and other intangible assets, and income taxes. |
Concentration of Credit Risk | Concentration of Credit Risks Most of the Company’s business activity is with customers located in the southeastern United States. The Company’s lending activity is concentrated in its market areas within those states. The Company has emphasized originations of commercial loans and private banking loans, defined as loans to higher net worth clients. Repayments on loans are expected to come from cash flows of the borrower and/or guarantor. Losses on secured loans are limited by the net realizable value of the collateral upon default of the borrowers and guarantor support. The Company believes it does not have any excessive concentrations to any one industry, loan type, or customer. |
Business Combinations | Business Combinations Assets and liabilities acquired in business combinations are recorded at their acquisition date fair values. The Company generally records provisional amounts at the time of acquisition based on the information available to the Company. The provisional estimates of fair values may be adjusted for a period of up to one year (“measurement period”) from the date of acquisition if new information is obtained about facts and circumstances that existed as of the acquisition date that, if known, would have affected the measurement of the amounts recognized as of that date. Adjustments recorded during the measurement period are recognized in the current reporting period. Loans generally represent a significant portion of the assets acquired in the Company’s business acquisitions. If the Company discovers that it has materially underestimated the credit losses expected in the loan portfolio based on information available at the acquisition date within the measurement period, it will reduce or eliminate the gain and/or increase goodwill recorded on the acquisition in the period the adjustment is recorded. If the Company determines that losses arose subsequent to the acquisition date, such losses are reflected as a provision for credit losses. |
Cash and Cash Equivalents | Cash and Cash Equivalents For purposes of presentation in the consolidated statements of cash flows, cash and cash equivalents are defined as cash on hand, interest-bearing deposits, and non-interest-bearing demand deposits at other financial institutions with original maturities less than three months . IBERIABANK may be required to maintain average cash balances on hand or with the Federal Reserve Bank to meet regulatory reserve and clearing requirements. At December 31, 2019 and 2018, IBERIABANK had sufficient cash deposited with the Federal Reserve Bank to cover the required reserve balance. |
Investment Securities | Investment Securities Management determines the appropriate accounting classification of debt and equity securities at the time of acquisition and re-evaluates such designations at least quarterly. Debt securities that management has the ability and intent to hold to maturity are classified as HTM and carried at cost, adjusted for amortization of premiums and accretion of discounts using methods approximating the interest method. Securities acquired with the intention of recognizing short-term profits or which are actively bought and sold are classified as trading securities and reported at fair value, with unrealized gains and losses recognized in earnings. Securities not classified as HTM or trading are classified as AFS and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in OCI. Prior to January 1, 2018, equity securities with readily determinable fair values were also classified as AFS and recorded at fair value, with unrealized gains and losses excluded from earnings and reported in OCI. Credit-related declines in the fair value of debt securities that are considered OTTI are recorded in earnings. Prior to January 1, 2018, credit-related declines in the fair value of marketable equity securities that were considered OTTI were recorded in earnings. The Company evaluates its investment securities portfolio on a quarterly basis for indicators of OTTI. Declines in the fair value of individual HTM and AFS securities below their amortized cost basis are reviewed to determine whether the declines are other than temporary. In estimating OTTI losses, management considers 1) the length of time and the extent to which the fair value has been less than the amortized cost basis, 2) the financial condition and near-term prospects of the issuer, 3) its intent to sell and whether it is more likely than not that the Company would be required to sell those securities before the anticipated recovery of the amortized cost basis, and 4) for debt securities, the recovery of contractual principal and interest. For securities that the Company does not expect to sell, or it is not more likely than not it will be required to sell prior to recovery of its amortized cost basis, the credit component of an OTTI is recognized in earnings and the non-credit component is recognized in OCI. For securities that the Company does expect to sell, or it is more likely than not that it will be required to sell prior to recovery of its amortized cost basis, both the credit and non-credit component of an OTTI are recognized in earnings. Subsequent to recognition of OTTI, an increase in expected cash flows is recognized as a yield adjustment over the remaining expected life of the security based on an evaluation of the nature of the increase. Other equity securities primarily consist of stock acquired for regulatory purposes, such as Federal Home Loan Bank stock and Federal Reserve Bank stock and are included in other assets. Gains or losses on securities sold are recorded on the trade date, using the specific identification method. |
Loans Held for Sale | Loans Held for Sale Loans which the Company does not have the intent and ability to hold for the foreseeable future or until maturity or payoff are classified as loans held for sale at the time of origination or acquisition. Subsequent to origination or acquisition, if the Company no longer has the intent or ability to hold a loan for the foreseeable future, generally a decision has been made to sell the loan and it is classified within loans held for sale. Unless the fair value option has been elected at origination or acquisition, loans classified as held for sale are carried at the lower of cost or fair value. Amortization/accretion of remaining unamortized net deferred loan fees or costs and discounts or premiums (if applicable) ceases when a loan is classified as held for sale. Loans held for sale primarily consist of fixed rate single-family residential mortgage loans originated and committed to be sold in the secondary market. Mortgage loans originated and held for sale are recorded at fair value under the fair value option. For mortgage loans for which the Company has elected the fair value option, gains and losses are included in mortgage income. For any other loans held for sale, net unrealized losses, if any, are recognized through a valuation allowance that is recorded as a charge to non-interest income. See Note 19 for further discussion of the determination of fair value for loans held for sale. In most cases, loans in this category are sold within thirty days and are generally sold with the mortgage servicing rights released. Buyers generally have recourse to return a purchased loan or request reimbursement for the loan premium or consideration transferred for servicing rights under limited circumstances. Recourse conditions may include prepayment, payment default, breach of representations or warranties, and documentation deficiencies. During 2019 and 2018, an insignificant number of loans were returned to the Company. At December 31, 2019 and 2018, the recorded repurchase liability associated with transferred loans was not material. |
Loans | Loans Legacy (Loans originated or renewed and underwritten by the Company) The Company originates mortgage, commercial, and consumer loans for customers. Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the unpaid principal balances, less the ALL, charge-offs, and unamortized net loan origination fees and direct costs, except for loans carried at fair value. Interest income is accrued as earned over the term of the loans based on the principal balance outstanding. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield. Accrued interest is reported within other assets in the consolidated balance sheets. Acquired (Loans acquired through Business Combinations) Acquired loans are recorded at fair value on the acquisition date. Credit risk assumptions and any resulting credit discounts are included in the determination of fair value. Therefore, an ALL is not recorded at the acquisition date. The determination of fair value includes estimates related to discount rates, expected prepayments, and the amount and timing of undiscounted expected principal, interest, and other cash flows. All acquired loans are evaluated for impairment at the time of acquisition. At the time of acquisition, acquired loans that reflect credit deterioration since origination to the extent that it is probable that the Company will be unable to collect all contractually required payments are classified as purchased impaired loans (“acquired impaired loans”). All other acquired loans are classified as purchased non-impaired loans (“acquired non-impaired loans”). At the time of acquisition, acquired impaired loans are accounted for individually or aggregated into loan pools with similar characteristics, which include: • whether the loan is performing according to contractual terms at the time of acquisition, • the loan type based on regulatory reporting guidelines, primarily whether the loan was a mortgage, consumer, or commercial loan, • the nature of the collateral, • the interest rate type, whether fixed or variable rate, and • the loan payment type, primarily whether the loan is amortizing or interest-only. From these pools, the Company uses certain loan information, including outstanding principal balance, estimated expected losses, weighted average maturity, weighted average term to re-price for a variable rate loan, weighted average margin and weighted average interest rate to estimate the expected cash flows for each loan pool. For acquired impaired loans, expected cash flows at the acquisition date in excess of the fair value of loans are recorded as interest income over the life of the loans using a level yield method if the timing and amount of future cash flows is reasonably estimable. For acquired non-impaired loans, the difference between the fair value and unpaid principal balance of the loan at acquisition, referred to as a purchase premium or discount, is amortized or accreted to income over the estimated life of the loans as an adjustment to yield. Subsequent to acquisition, the Company performs cash flow re-estimations at least quarterly for each acquired impaired loan or loan pool. Increases in estimated cash flows above those expected at the time of acquisition are recognized on a prospective basis as interest income over the remaining life of the loan and/or pool. Decreases in expected cash flows subsequent to acquisition generally result in recognition of a provision for credit loss. The measurement of cash flows involves several assumptions and judgments, including prepayments, default rates and loss severity among other factors. All of these factors are inherently subjective and significant changes in the cash flow estimations can result over the life of the loan. Classification The Company’s loan portfolio is disaggregated into portfolio segments for purposes of determining the ACL. The Company’s portfolio segments include commercial, residential mortgage, and consumer and other loans. The Company further disaggregates each commercial, residential mortgage, and consumer and other loans portfolio segment into classes for purposes of monitoring and assessing credit quality based on certain risk characteristics. Classes within the commercial loan portfolio segment include commercial real estate-construction, commercial real estate-owner-occupied, commercial real estate-non-owner occupied, and commercial and industrial. Classes within the consumer and other loans portfolio segment include home equity, and other. |
Troubled Debt Restructurings | Troubled Debt Restructurings The Company periodically grants concessions to its customers in an attempt to protect as much of its investment as possible and minimize risk of loss. These concessions may include restructuring the terms of a loan to alleviate the burden of the customer’s near-term cash requirements. In order to be classified as a TDR, the Company must conclude that the restructuring constitutes a concession and the customer is experiencing financial difficulties. The Company defines a concession to the customer as a modification of existing terms for economic or legal reasons that it would otherwise not consider. The concession is either granted through an agreement with the customer or is imposed by a court of law. Concessions include modifying original loan terms to reduce or defer cash payments required as part of the loan agreement, including but not limited to: • a reduction of the stated interest rate for the remaining original life of the loan, • an extension of the maturity date or dates at a stated interest rate lower than the current market rate for new loans with similar risk characteristics, • a reduction of the face amount or maturity amount of the loan as stated in the agreement, or • a reduction of accrued interest receivable on the loan. In its determination of whether the customer is experiencing financial difficulties, the Company considers numerous indicators, including, but not limited to: • whether the customer is currently in default on its existing loan(s), or is in an economic position where it is probable the customer will be in default on its loan(s) in the foreseeable future without a modification, • whether the customer has declared bankruptcy, • whether there is substantial doubt about the customer’s ability to continue as a going concern, • whether, based on its projections of the customer’s current capabilities, the Company believes the customer’s future cash flows will be insufficient to service the loan, including interest, in accordance with the contractual terms of the existing agreement for the foreseeable future, and • whether the customer cannot obtain sufficient funds from other sources at an effective interest rate equal to the current market rate for a similar loan for a non-troubled debtor. If the Company concludes that both a concession has been granted and the customer is experiencing financial difficulties, the Company identifies the loan as a TDR. All TDRs are considered impaired loans. |
Non-accrual and Past Due Loans (Including Loan Charge-offs) | Non-accrual and Past Due Loans (Including Loan Charge-offs) Loans are generally considered past due when contractual payments of principal and interest have not been received within 30 days from the contractual due date. Residential mortgage loans are considered past due when contractual payments have not been received for two consecutive payment dates. Legacy and acquired non-impaired loans are placed on non-accrual status when any of the following occur: 1) the loan is maintained on a cash basis because of deterioration in the financial condition of the borrower; 2) collection of the full contractual amount of principal and interest is not expected even if the loan is currently paying as agreed; or 3) when principal or interest has been in default for a period of 90 days or more, unless the loan is both well-secured and in the process of collection. Factors considered in determining the collection of the full contractual amount of principal and interest include assessment of the borrower’s cash flow, valuation of underlying collateral, and the ability and willingness of guarantors to provide credit support. Certain commercial loans are also placed on non-accrual status when payment is not past due and full payment of principal and interest is expected, but the Company has doubt about the borrower’s ability to comply with existing repayment terms. Consideration will be given to placing a loan on non-accrual due to the deterioration of the debtor’s repayment ability, the repayment of the loan becoming dependent on the liquidation of collateral, an existing collateral deficiency, the loan being classified as "doubtful" or "loss," the client filing for bankruptcy, and/or foreclosure being initiated. Regarding all classes within the C&I and CRE portfolios, the determination of a borrower’s ability to make the required principal and interest payments is based on an examination of the borrower’s current financial statements, industry, management capabilities, and other qualitative factors. Acquired impaired loans are placed on non-accrual status when the Company cannot reasonably estimate cash flows on a loan or loan pool. Legacy and acquired non-impaired loans are evaluated for potential charge-off in accordance with the parameters discussed in the following paragraph or when the loan is placed on non-accrual status, whichever is earlier. Loans within the commercial portfolio (except for acquired impaired loans) are generally evaluated for charge-off at 90 days past due, unless both well-secured and in the process of collection. Closed and open-end residential mortgage and consumer loans (except for acquired impaired loans) are evaluated for charge-off no later than 120 days past due. Any outstanding loan balance in excess of the fair value of the collateral less costs to sell is charged-off no later than 120 days days past due for loans secured by real estate. For non-real estate secured loans, in lieu of charging off the entire loan balance, loans may be written down to the fair value of the collateral less costs to sell if repossession of collateral is assured and in process. The accrual of interest, as well as the amortization/accretion of any remaining unamortized net deferred fees or costs and discount or premium, is discontinued at the time the loan is placed on non-accrual status. All accrued but uncollected interest for loans that are placed on non-accrual status is reversed through interest income. Cash receipts received on non-accrual loans are generally applied against principal until the loan has been collected in full, after which time any additional cash receipts are recognized as interest income (i.e., cost recovery method). However, interest may be accounted for under the cash-basis method as long as the remaining recorded investment in the loan is deemed fully collectible. Loans are returned to accrual status when the borrower has demonstrated a capacity to continue payment of the debt (generally a minimum of six months of sustained repayment performance) and collection of contractually required principal and interest associated with the debt is reasonably assured. Additionally, for a non-accrual TDR to be returned to accrual status, a current, well-documented credit analysis is required and the borrower must have complied with all terms of the modification. At such time, the accrual of interest and amortization/accretion of any remaining unamortized net deferred fees or costs and discount or premium shall resume. Any interest income which was applied to the principal balance shall not be reversed and subsequently will be recognized as an adjustment to yield over the remaining life of the loan. |
Impaired Loans | Impaired Loans Within the commercial portfolio, all loans classified as "substandard", "doubtful" or "loss" with an outstanding commitment balance above a specific threshold are evaluated on a quarterly basis for potential impairment. Generally, residential mortgage and consumer loans within any class are not individually evaluated on a regular basis for impairment. All TDRs, regardless of the outstanding balance amount or portfolio classification, and all acquired impaired loans are considered to be impaired. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal and/or interest in accordance with the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the likelihood of collecting scheduled principal and interest payments when contractually due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Impairment losses are measured on a loan-by-loan basis for commercial and certain residential mortgage or consumer loans, based on either the present value of expected future cash flows discounted at the loan’s effective interest rate, the loan’s observable market price, or the fair value of the collateral if the loan is collateral-dependent. This measurement requires significant judgment and use of estimates, and the actual loss ultimately recognized by the Company may differ significantly from the estimates. |
Allowance for Credit Losses | The Company maintains the ACL at a level that management believes appropriate to absorb estimated probable credit losses incurred in the loan portfolios, including unfunded commitments, as of the consolidated balance sheet date. The ACL consists of the allowance for loan losses (contra asset) and the reserve for unfunded commitments (liability). The manner in which the ACL is determined is based on 1) the accounting method applied to the underlying loans and 2) whether the loan is required to be measured for impairment. The Company delineates between loans accounted for under the contractual yield method, legacy and acquired non-impaired loans, and acquired impaired loans. Further, for legacy and acquired non-impaired loans, the Company attributes portions of the ACL to loans and loan commitments that it measures individually, and groups of homogeneous loans and loan commitments that it measures collectively for impairment. Determination of the appropriate ACL involves a high degree of complexity and requires significant judgment regarding the credit quality of the loan portfolio. Several factors are taken into consideration in the determination of the overall ACL, including a qualitative component. These factors include, but are not limited to, the overall risk profiles of the loan portfolios, net charge-off experience, the extent of impaired loans, the level of non-accrual loans, the level of 90 days past due loans, the value of collateral, the ability to monetize guarantor support, and the overall percentage level of the allowance relative to the loan portfolio, amongst other factors. The Company also considers overall asset quality trends, changes in lending practices and procedures, trends in the nature and volume of the loan portfolio, including the existence and effect of any portfolio concentrations, changes in experience and depth of lending staff, the Company’s legal, regulatory and competitive environment, national and regional economic trends, data availability and applicability that might impact the portfolio or the manner in which it estimates losses, and risk rating accuracy and risk identification. The allowance for loan losses for all impaired loans (excluding acquired impaired loans) is determined on an individual loan basis, considering the facts and circumstances specific to each borrower. The allowance is based on the difference between the recorded investment in the loan and generally either the estimated net present value of projected cash flows or the estimated value of the collateral associated with a collateral-dependent loan. The allowance for loan losses for all non-impaired loans (excluding acquired impaired loans) is calculated based on pools of loans with similar characteristics. The pool-level allowance is calculated through the application of probability of default (PD) and loss given default (LGD) factors for each individual loan. PDs and LGDs are determined based on historical default and loss information for similar loans. For purposes of establishing estimated loss percentages for pools of loans that share common risk characteristics, the Company’s loan portfolio is segmented by various loan characteristics including loan type, risk rating for commercial, Vantage or FICO score for residential mortgage and consumer, past due status for residential mortgage and consumer, and call report code. The default and loss information is measured over an appropriate period for each loan pool and adjusted as deemed appropriate. Qualitative adjustments are incorporated into the pool-level analysis to accommodate for the imprecision of certain assumptions and uncertainties inherent in the calculation. See the "Loans" section of this note for discussion of the determination of the ACL for acquired impaired loans. Certain inherent, but unconfirmed losses are probable within the loan portfolio. The Company’s current methodology for determining the level of inherent losses is based on historical loss rates, current credit grades, specific allocation, and other qualitative adjustments. In a stable or deteriorating credit environment, heavy reliance on historical loss rates and the credit grade rating process results in model-derived reserves that tend to slightly lag behind portfolio deterioration. Similar lags can occur in an improving credit environment whereby required reserves can lag slightly behind portfolio improvement. Given these and other model limitations, qualitative adjustment factors may be incremental or decremental to the quantitative model results. The reserve for unfunded commitments is determined using similar methodologies described above for non-impaired loans. The loss factors used in the reserve for unfunded commitments are equivalent to the loss factors used in the allowance for loan losses, while also considering utilization of unused commitments. |
Premises and Equipment | Premises and Equipment Land is carried at cost. Buildings, furniture, fixtures, and equipment are carried at cost, less accumulated depreciation computed on a straight-line basis over the estimated useful lives of 10 to 40 years for buildings and related improvements and generally 3 to 20 |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill Goodwill represents the excess of the consideration paid in a business combination over the fair value of the identifiable net assets acquired. Goodwill is not amortized, but is assessed for potential impairment at a reporting unit level on an annual basis, as of October 1 st , or whenever events or changes in circumstances indicate that it is more likely than not the fair value of a reporting unit is less than its respective carrying amount. For the annual October 1, 2019 impairment evaluation, management elected to bypass the qualitative assessment for each respective reporting unit (IBERIABANK, Mortgage, and LTC) and performed Step 1 of the goodwill impairment test. Step 1 of the goodwill impairment test requires the Company to compare the fair value of each reporting unit with its carrying amount, including goodwill. Accordingly, the Company determined the fair value of each reporting unit and compared the fair value to each respective reporting unit’s carrying amount. The Company determined that none of the reporting units’ fair values were below their respective carrying amounts. The Company concluded goodwill was not impaired as of October 1, 2019. Further, no events or changes in circumstances between October 1, 2019 and December 31, 2019 indicated that it was more likely than not the fair value of any reporting unit had been reduced below its carrying value. Based on the testing performed in 2019 and 2018, management concluded that for the IBERIABANK, Mortgage, and LTC reporting units, goodwill was not impaired at any time during those periods. Intangible assets subject to amortization The Company’s acquired intangible assets that are subject to amortization primarily include core deposit intangibles, which are amortized on a straight-line or accelerated basis, and a customer relationship intangible asset, which is amortized on an accelerated basis, over average lives not to exceed 10 years. The Company reviews intangible assets for impairment whenever events or changes in circumstances indicate that their carrying amounts may not be recoverable. Impairment is identified if the sum of the undiscounted estimated future cash flows is less than the carrying value of the asset. Intangible assets are recorded within other intangible assets on the Company’s consolidated balance sheets. |
Other Real Estate Owned | Other Real Estate Owned Other real estate owned includes all real estate, other than bank premises used in bank operations, owned or controlled by the Company, including real estate acquired in settlement of loans. Properties are initially recognized at the lower of the recorded investment in the loan or its estimated fair value less costs to sell, generally when the Company has received physical possession. The amount by which the recorded investment of the loan exceeds the fair value less costs to sell of the property is charged to the ALL. Subsequent to foreclosure, the assets are carried at the lower of cost or fair value less costs to sell. Former bank properties transferred to OREO are recorded at the lower of cost or market. Subsequent declines in the fair value of other real estate are recorded as adjustments to the carrying amount through a valuation allowance. Revenue and expenses from operations, gain or loss on sale, and changes in the valuation allowance are included in net expenses from foreclosed assets. OREO is recorded within other assets on the Company’s consolidated balance sheets. |
Derivative Financial Instruments | The Company enters into various derivative financial instruments to manage interest rate risk, asset sensitivity and other exposures such as liquidity and credit risk, as well as to facilitate customer transactions. The primary types of derivatives utilized by the Company for its risk management strategies include interest rate swap agreements, interest rate collars, interest rate floors, foreign exchange contracts, interest rate lock commitments, forward sales commitments, written and purchased options, and credit derivatives. All derivative instruments are recognized on the consolidated balance sheets as other assets or other liabilities at fair value, regardless of whether a right of offset exists. Changes in the fair value of a derivative instrument are recorded based on whether it has been designated and qualifies as part of a hedging relationship. Interest rate swap and foreign exchange contracts are entered into by the Company to allow its commercial customers to manage their exposure to market rate fluctuations. To mitigate the Company's exposure to the rate risk associated with customer contracts, offsetting derivative positions are entered into with reputable counterparties. The Company manages its credit risk, or potential risk of default, from the customer contracts through credit limit approval and monitoring procedures. These contracts are not designated for hedge accounting (i.e., treated as economic hedges). Derivatives Designated in Hedging Relationships For cash flow hedges, the effective and ineffective portions of the gain or loss related to the derivative instrument is initially reported as a component of OCI and subsequently reclassified into earnings when the forecasted transaction affects earnings or when the hedge is terminated. Prior to January 1, 2018, the ineffective portion of the gain or loss, if any, was reported in earnings immediately in either other income or other expense, respectively. In applying hedge accounting for derivatives, the Company establishes and documents a method for assessing the effectiveness of the hedging derivative and a measurement approach for determining the ineffective aspect of the hedge upon the inception of the hedge. The Company has designated interest rate swaps in a cash flow hedge to convert forecasted variable interest payments to a fixed rate on its junior subordinated debt. The Company has also designated interest rate collars and interest rate floors in a cash flow hedge to reduce the risk of fluctuations in interest rates and thereby reduce the Company’s exposure to variability in cash flows from variable-rate loans. The Company has concluded that the forecasted transactions are probable of occurring. Derivatives Not Designated in Hedging Relationships For derivative instruments that are not designated as hedging instruments, changes in the fair value of the derivatives are recognized in earnings immediately. Common Types of Derivatives • Interest rate swap agreements Interest rate swaps are agreements to exchange interest payments based upon notional amounts. The exchange of payments typically involves paying a fixed rate and receiving a variable rate or vice versa. The Company primarily utilizes these instruments, which the Company designates as cash flow hedges, to manage interest rate risk by converting a portion of its variable-rate loans or debt to a fixed rate. The Company also utilizes these instruments, which are not designated as hedging instruments, to allow its commercial customers to manage their exposure to market rate fluctuations. • Interest rate collars Interest rate collars are agreements that create a range within which interest rates can fluctuate. The interest rate collar protects against significant decreases in interest rates but limits the benefits when interest rates increase. These instruments are designated as cash flow hedges and are used by the Company to manage interest rate risk by reducing the variability in cash flows that can occur with variable-rate loans. • Interest rate floors Interest rate floors are agreements that protect against significant decreases in interest rates if interest rates fall below a specified level over an agreed period of time. These instruments are designated as cash flow hedges and are used by the Company to manage interest rate risk by reducing the variability in cash flows that can occur with variable-rate loans. • Interest rate lock commitments The Company enters into commitments to originate mortgage loans intended for sale whereby the interest rate on the prospective loan is determined prior to funding (“rate lock”). A rate lock is provided to a borrower, subject to conditional performance obligations, for a specified period of time that typically does not exceed 60 days. Rate lock commitments on mortgage loans that are intended to be sold are recognized as derivatives. Accordingly, such commitments are recorded at fair value as derivative assets or liabilities, with changes in fair value recorded in mortgage income on the consolidated statements of comprehensive income. • Forward sales commitments The Company uses forward sales commitments to protect the value of its rate locks and mortgage loans held for sale from changes in interest rates and pricing between the origination of the rate lock and sale of these loans, as changes in interest rates have the potential to cause a decline in value of rate locks and mortgage loans included in the held for sale portfolio. These commitments are recognized as derivatives and recorded at fair value as derivative assets or liabilities, with changes in fair value recorded in mortgage income on the consolidated statements of comprehensive income. • Equity-indexed certificates of deposit IBERIABANK offers its customers a certificate of deposit that provides the purchaser a guaranteed return of principal at maturity plus a potential return, which allows IBERIABANK to identify a known cost of funds. The rate of return is based on the performance of a group of publicly traded stocks that represent a variety of industry segments. Because it is based on an equity index, the rate of return represents an embedded derivative that is not clearly and closely related to the host instrument and is to be accounted for separately. Accordingly, the certificate of deposit is separated into two components: a zero coupon certificate of deposit (the host instrument) and a written option purchased by the depositor (an embedded derivative). The discount on the zero coupon deposit is amortized over the life of the deposit, and the written option is carried at fair value on the Company’s consolidated balance sheets, with changes in fair value recorded through earnings. IBERIABANK offsets the risks of the written option by purchasing an option with terms that mirror the written option, which is also carried at fair value on the Company’s consolidated balance sheets. |
Recognition of Revenue From Contracts With Customers | Recognition of Revenue from Contracts with Customers Non-interest income from service charges on deposit accounts, broker commissions, ATM/debit card fee income, credit card and merchant-related income (e.g., interchange fees), and transactional income from traditional banking services, including asset management services as well as title revenue, (part of other non-interest income) are the significant sources of revenue from contracts with customers. The Company generally acts in a principal capacity in the performance of these services. The Company’s performance obligations are generally satisfied as the services are rendered and typically do not extend beyond a reporting period. Fees, which are typically billed and collected after services are rendered, are readily determinable and allocated individually to each service. Some contracts contain variable consideration; however, the variable consideration is generally based on the occurrence or nonoccurrence of a contingent event. The Company records any variable consideration when the contingent event occurs and the fee is determinable. In the normal course of business, the Company does not generally grant refunds for services provided. As such, the Company does not establish provisions for estimated returns. |
Off-balance-Sheet Credit-related Financial Instruments | Off-Balance Sheet Credit-Related Financial Instruments In the ordinary course of business, the Company executes various commitments to extend credit, including commitments under commercial construction arrangements, commercial and home equity lines of credit, credit card arrangements, commercial letters of credit, and standby letters of credit. These off-balance sheet financial instruments are generally exercisable at the market rate prevailing at the date the underlying transaction will be completed. Such financial instruments are recorded on the funding date. At December 31, 2019 and 2018, the fair value of guarantees under commercial and standby letters of credit was not material. |
Transfers of Financial Assets | Transfers of Financial Assets Transfers of financial assets, or portions thereof which meet the definition of a participating interest, are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when 1) the assets have been legally isolated from the Company, 2) the transferee has the right to pledge or exchange the assets with no conditions that constrain the transferee and provide more than a trivial benefit to the Company, and 3) the Company does not maintain effective control over the transferred assets. If the transfer does not satisfy all three criteria, the transaction is recorded as a secured borrowing. If the transfer is accounted for as a sale, the transferred assets are derecognized from the Company’s balance sheet and a gain or loss on sale is recognized. If the transfer is accounted for as a secured borrowing, the transferred assets remain on the Company’s balance sheet and the proceeds from the transaction are recognized as a liability. Servicing Rights The Company recognizes the rights to service mortgage and other loans as separate assets, which are recorded in other assets in the consolidated balance sheets, when purchased or when servicing is contractually separated from the underlying loans by sale with servicing rights retained. For loan sales with servicing retained, a servicing right, generally an asset, is recorded at fair value at the time of sale for the right to service the loans sold. All servicing rights are identified by class and amortized over the remaining service life of the loan. |
Income Taxes | Income Taxes The Company and all subsidiaries file a consolidated Federal income tax return on a calendar year basis. The Company files income tax returns in the U.S. Federal jurisdiction and various state and local jurisdictions through IBERIABANK Corporation (Parent), IBERIABANK, and their respective subsidiaries. In lieu of Louisiana state income tax, IBERIABANK is subject to the Louisiana bank shares tax, portions of which are included in both non-interest expense and income tax expense in the Company’s consolidated statements of comprehensive income. With few exceptions, the Company is no longer subject to U.S. federal, state or local income tax examinations for years before 2014. Deferred income tax assets and liabilities are determined using the liability or balance sheet method. Under this method, the net deferred tax asset or liability is determined based on the tax effects of the temporary differences between the book and tax bases of the various balance sheet assets and liabilities and gives current recognition to changes in tax rates and laws. The measurement of deferred tax assets is reduced, if necessary, by the amount of any tax benefits that, based on available evidence, are not expected to be realized. The Company recognizes interest and penalties accrued related to unrecognized tax benefits, if applicable, in non-interest expense. Investments in qualified affordable housing projects that meet certain criteria are accounted for under the proportional amortization method. Under this method, the expense associated with the investments is recognized in income tax expense rather than non-interest expense. The Company has also elected to utilize the deferral method for investments that generate investment tax credits. Under this approach, the investment tax credits are recognized as a reduction of the related asset rather than income tax expense. |
Share-based Compensation Plans | Share-based Compensation Plans The Company issues stock options, restricted stock awards, restricted share units, and phantom stock awards under various plans to directors, officers, and other key employees. Compensation cost for all awards is recognized on a straight-line basis over the requisite service period, which is generally the vesting period, taking into account retirement eligibility. The majority of the Company's share-based awards qualify for equity accounting and contain service conditions. The fair value of awards is measured at the grant date and not subsequently remeasured. The Company accounts for share-based forfeitures as they occur. For awards that contain a market condition, the Company includes the market condition in the determination of the grant date fair value of the award. Compensation cost for an award with a market condition is recognized regardless of whether the market condition is satisfied, assuming the requisite service is met. The Company does not include performance conditions in the determination of the grant date fair value of the award. Compensation cost for an award with a performance condition is not recognized if the performance condition is not satisfied. Phantom stock awards are accounted for as liability awards and are remeasured at each reporting period based on their fair value until the date of settlement. Compensation cost for each reporting period until settlement is based on the change (or a portion of the change, depending on the percentage of the requisite service that has been rendered at the reporting date) in the fair value of the phantom stock award for each reporting period. Compensation expense relating to share-based awards is recognized in net income as part of salaries and employee benefits on the consolidated statements of comprehensive income for employees and professional services for non-employee directors. The exercise price for the options granted by the Company is not less than the fair market value of the underlying stock at the grant date. |
Earnings Per Common Share | Earnings Per Common Share Basic earnings per share represents income available to common shareholders divided by the weighted average number of common shares outstanding during the period. Diluted earnings per share reflects additional common shares that would have been outstanding if dilutive potential common shares, in the form of stock options or restricted stock units, had been issued, as well as any adjustment to income that would result from the assumed issuance. Participating common shares issued by the Company relate to unvested outstanding restricted stock awards, the earnings allocated to which are used in determining income available to common shareholders under the two-class method. The two-class method allocates earnings for the period between common shareholders and other participating securities holders. The participating awards receiving dividends are allocated the same percentage of income as if they were outstanding shares. |
Share Repurchases | Share Repurchases The Company classifies repurchased shares as a reduction to issued shares of common stock and adjusts the stated value of common stock and paid-in-capital. |
Comprehensive Income | Comprehensive Income Accounting principles generally require that recognized revenue, expenses, gains, and losses be included in net income. Although certain changes in assets and liabilities, such as unrealized gains and losses on available-for-sale securities and cash flow hedges, are reported as a separate component of the shareholders’ equity section of the consolidated balance sheets, such items along with net income are components of comprehensive income. |
Fair Value Measurements | Fair Value Measurements 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. The Company estimates fair value based on the assumptions market participants would use when selling an asset or transferring a liability and characterizes such measurements within the fair value hierarchy based on the inputs used to develop those assumptions and measure fair value. The hierarchy requires the Company to maximize the use of observable inputs and minimize the use of unobservable inputs. The three levels of inputs used to measure fair value are as follows: • Level 1 - Quoted prices in active markets for identical assets or liabilities. • Level 2 - Observable inputs other than quoted prices included in Level 1, such as quoted prices for similar assets and liabilities in active markets; quoted prices for identical or similar assets and liabilities in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. • Level 3 - Unobservable inputs that are supported by little or no market activity and that are significant to the fair value of the assets or liabilities. This includes certain pricing models, discounted cash flow methodologies, and similar techniques that use significant unobservable inputs. Following is a description of the valuation methodologies used for financial instruments or other assets measured at fair value, as well as the classification of such instruments within the valuation hierarchy. The descriptions below are exclusive of assets or liabilities acquired in business combinations, as all such instruments are required to initially be measured at fair value. • Cash and cash equivalents The carrying amounts of cash and cash equivalents approximate their fair value and are classified within Level 1 of the fair value hierarchy. • Investment securities Securities are classified within Level 1 where quoted market prices are available in an active market. If quoted market prices are unavailable, fair value is estimated using quoted prices of securities with similar characteristics and the securities are classified within Level 2 of the fair value hierarchy. • Mortgage loans held for sale Mortgage loans originated and held for sale are recorded at fair value under the fair value option. When determining the fair value of loans held for sale, the Company obtains quotes or bids on these loans directly from the purchasing financial institutions. Mortgage loans held for sale are classified within Level 2 of the fair value hierarchy. • Mortgage loans held for investment at fair value option The fair value of mortgage loans held for investment at fair value option is determined by a third party using a discounted cash flow model using various assumptions about future loan performance and market discount rates. Mortgage loans held for investment at fair value option are classified within Level 3 of the fair value hierarchy. • Loans The fair values of mortgage loans are estimated using an exit price methodology that is based on present values using interest rate that would be charged for a similar loan to a borrower with similar risk, weighted for varying maturity dates and adjusted for a liquidity discount based on the estimated time period to complete a sale transaction with a market participant. Other loans and leases are valued based on present values using the interest rate that would be charged for a similar instrument to a borrower with similar risk, applicable to each category of instruments, and adjusted for a liquidity discount based on the estimated time period to complete a sale transaction with a market participant. Mortgage and other loans and leases are classified within Level 3 of the fair value hierarchy. • Impaired loans Fair value measurements for impaired loans are determined using either a present value of expected future cash flows discounted using the loan’s effective interest rate or the fair value of the collateral, if the loan is collateral-dependent (Level 3 of the fair value hierarchy). Fair value of the collateral is determined by appraisals or independent valuation less costs to sell. Impaired loans for which the fair value of the collateral is higher than the recorded investment in the loan are not adjusted to fair value and therefore not recorded in the Company’s non-recurring fair value measurements section of the Fair Value Measurements note. • Other real estate owned Fair values of OREO are determined by sales agreement or appraisal and costs to sell are based on estimation per the terms and conditions of the sales agreement or amounts commonly used in real estate transactions. Inputs include appraisal values on the properties or recent sales activity for similar assets in the property’s market. Updated appraisals are obtained on at least an annual basis. OREO measured at fair value is classified within Level 3 of the fair value hierarchy. • Derivative financial instruments Fair values of interest rate swaps, interest rate locks, interest rate collars, interest rate floors, foreign exchange contracts, forward sales contracts, and written and purchased options are estimated using prices of financial instruments with similar characteristics and thus are classified within Level 2 of the fair value hierarchy. • Deposits The fair value of non-interest-bearing deposits, interest-bearing demand deposits, money market accounts and savings accounts are the amounts payable on demand at the reporting date. Time deposits are valued using a discounted cash flow model based on the weighted-average rate at December 31, 2019 and 2018 for deposits with similar remaining maturities. The Company evaluated the inputs to the fair value estimate and based on our use of quoted prices for similar liabilities determined that the fair value of deposits should be classified within Level 2 of the fair value hierarchy. • Short-term borrowings Securities sold under agreements to repurchase, which are classified as secured borrowings, generally mature daily, are reflected at the amount of cash received in connection with the transaction, and are classified within Level 1 of the fair value hierarchy. The carrying amounts of other short-term borrowings maturing within ninety days approximate their fair values and are classified within Level 2 of the fair value hierarchy as similar instruments are traded in active markets. • Long-term debt |
Recent Accounting Pronouncements | RECENT ACCOUNTING PRONOUNCEMENTS Pronouncements adopted during the year ended December 31, 2019: ASU No. 2016-02, ASU No. 2018-11, ASU No. 2018-20, and ASU 2019-01 In February 2016, the FASB issued ASU No. 2016-02, Leases (ASC 842) which requires lessees to recognize ROU assets and lease liabilities on the balance sheet for most leases, including operating leases. The lessor accounting model was relatively unchanged by this ASU. Additional quantitative and qualitative disclosures are also required. During 2018 and early 2019, the FASB issued ASU No. 2018-11, Targeted Improvements , ASU No. 2018-20, Narrow-Scope Improvements for Lessors , and ASU No. 2019-01, Codification Improvements , which clarified certain implementation issues, provided an additional optional transition method and clarified the disclosure requirements during the period of adopting ASC 842, among others. The Company adopted ASU No. 2016-02 and the related ASUs discussed above effective January 1, 2019 using the optional transition method. The Company elected the package of practical expedients that does not require the reassessment of whether expired or existing contracts contain leases, the reassessment of the lease classification for any expired or existing leases, or the reassessment of initial direct costs for existing leases. Additionally, the Company did not elect the hindsight practical expedient. The Company conducted a review of all existing lease contracts and service contracts which might contain embedded leases. Some of the Company’s leases contain variable lease payments, the majority of which depend on an index or rate, such as the Consumer Price Index. At transition, the present value of variable payments was based on the index or rate as of January 1, 2019. To determine the present value of lease payments at transition, the Company applied a portfolio approach utilizing an FHLB Advance rate based on the weighted average remaining term of the Company’s existing leases as of January 1, 2019. As a result of adopting ASC 842, the Company established an ROU asset and a lease liability as of January 1, 2019 of $94.2 million and $118.9 million , respectively. Additionally, as part of the adoption of ASC 842, $24.7 million in pre-existing liabilities were reclassified to the ROU asset on January 1, 2019. This resulted in a gross-up of the balance sheet of $94.2 million as a result of recognizing lease liabilities and corresponding right-of-use assets for operating leases. The adoption of ASC 842 also required the recognition of previously deferred gains on sale-leaseback transactions which resulted in an insignificant increase to retained earnings on January 1, 2019. The related impact on the Company’s regulatory capital ratios was not significant. The Company does not expect material changes to the recognition of lease expense in future periods as a result of the adoption of ASC 842. See Note 10, Leases, for additional disclosures required by ASC 842. ASU No. 2018-16 In October 2018, the FASB released ASU No. 2018-16, Derivatives and Hedging (ASC 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting Purposes , which permits the use of the OIS rate based on SOFR as a U.S. benchmark interest rate for hedge accounting purposes under ASC 815 in addition to the interest rates on direct Treasury obligations of the UST, the LIBOR swap rate, the OIS Rate based on the Fed Funds Effective Rate, and the SIFMA Municipal Swap Rate. The required effective date of this ASU was dependent upon when an entity adopted the provisions of ASU No. 2017-12. The Company adopted ASU No. 2018-16 effective January 1, 2019 on a prospective basis for qualifying new or redesignated hedging relations as ASU No. 2017-12 had previously been adopted on January 1, 2018. The implementation of this ASU did not have a significant impact on the Company’s consolidated financial statements. ASU No. 2017-08 In March 2017, the FASB issued ASU No. 2017-08, Receivables-Nonrefundable Fees and Other Costs (ASC 310-20): Premium Amortization on Purchased Callable Debt Securities , which shortens the amortization period for callable debt securities held at a premium to the earliest call date instead of the maturity date. The amendments do not require an accounting change for securities held at a discount, which will continue to be amortized to the maturity date. The Company adopted ASU No. 2017-08 effective January 1, 2019. The adoption of the ASU did not have a material impact on the Company’s consolidated financial statements. Pronouncements issued but not yet adopted: ASU No. 2016-13, ASU No. 2019-04 (portion related to ASC 326), ASU No. 2019-05, and ASU 2019-11 In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments - Credit Losses (ASC 326): Measurement of Credit Losses on Financial Instruments . The guidance, along with subsequent related updates issued during 2019 (ASU Nos. 2019-04, 2019-05 and 2019-11), introduces an impairment model that is based on expected credit losses (ECL), rather than incurred losses, to estimate credit losses on certain types of financial instruments such as loans and held-to-maturity securities, including certain off-balance sheet financial instruments such as loan commitments. The measurement of ECL should consider historical information, current information, and reasonable and supportable forecasts, including estimates of prepayments, over the contractual term. Financial instruments with similar risk characteristics must be grouped together when estimating ECL. ASC 326 also expands credit quality disclosures. ASC 326 provides for a simplified accounting model for purchased financial assets with a more-than-insignificant amount of credit deterioration since their origination (purchase credit deteriorated). The initial estimate of expected credit losses for purchase credit deteriorated financial assets will be recognized as an ACL with an offset (i.e., increase) to the cost basis of the related financial asset at acquisition. Additionally, ASC 326 amends the current AFS security impairment model for debt securities. The new model will require an estimate of ECL when the fair value is below the amortized cost of the asset. The credit-related impairment (and subsequent recoveries) are recognized as an allowance on the balance sheet with a corresponding adjustment to the income statement. Non-credit related losses will continue to be recognized through OCI. The Company will adopt these ASUs as of January 1, 2020 through a modified-retrospective approach. The Company elected to not measure an allowance for credit losses for accrued interest as it reverses uncollectible accrued interest through interest income in a timely manner and to continue to report accrued interest within other assets in the consolidated balance sheets. The Company did not elect the one-time fair value option transition expedient for financial instruments recorded at amortized cost. Additionally, the Company elected to discontinue the use of pools to account for purchase credit deteriorated financial assets. Prior to adoption, the Company established a cross-function implementation team and engaged third-party consultants who jointly developed multiple current expected credit loss models which segment the Company’s loan and lease portfolio by borrower type (i.e. commercial and consumer) and loan type to estimate lifetime expected credit losses. These current expected credit loss models primarily use a probability-of-default methodology to estimate expected credit losses. Within each model, loans are further segregated based on additional risk characteristics specific to that loan type, such as risk rating, industry sector, company and/or loan size, collateral type, geographic location and FICO score. The Company uses both internal and external historical loss data, as appropriate, and a blend of multiple economic forecasts to estimate expected credit losses over a reasonable and supportable forecast period and then reverts to longer term historical loss experience to arrive at lifetime expected credit losses at implementation. The transition adjustment as of January 1, 2020 primarily relates to establishing lifetime expected credit losses on its loan portfolio as the impact of the new accounting guidance for held-for-sale and available-for-sale investment securities was immaterial. The transition adjustment is expected to result in an ACL to loans ratio between 0.98% and 1.04% . The increase in the ACL primarily relates to required increases for residential mortgage and home equity loans due to the requirement to estimate lifetime expected credit losses and the remaining length of time to maturity for these loans, as well as an increase in reserves on certain acquired loans which had low reserve levels under the previous accounting guidance. While the Company recognizes the economy is currently vulnerable to major shocks, fiscal policy, other geopolitical events and the outcome of the pending U.S. elections, the transition adjustment reflects the Company’s view of a relatively stable macroeconomic environment over the next eighteen months. The transition adjustment to increase the ACL is expected to result in a decrease to the opening shareholders’ equity balance, net of income taxes, as of January 1, 2020. While these ASUs increased the ACL, they did not change the overall credit risk in the Company’s loan and lease portfolios or the ultimate losses therein. ASU No. 2018-13 In August 2018, the FASB released ASU No. 2018-13, Fair Value Measurement (ASC 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement, which eliminates, adds and modifies certain disclosure requirements for fair value measurements. The ASU is effective for fiscal years beginning after December 15, 2019, including interim periods, with early adoption permitted. The Company will adopt ASU No. 2018-13 as of January 1, 2020. While adoption of this ASU will result in changes to existing disclosures, it did not have an impact on the Company’s financial position or results of operations. ASU No. 2018-17 In October 2018, the FASB released ASU No. 2018-17, Consolidation (ASC 810): Targeted Improvements to Related Party Guidance for Variable Interest Entities, which improves the consistency of the application of the variable interest entity (VIE) related party guidance for common control arrangements. This ASU requires reporting entities to consider indirect interests held through related parties under common control on a proportional basis rather than as the equivalent of a direct interest in its entirety (as currently required in GAAP) when determining whether a decision-making fee is a variable interest. ASU No. 2018-17 is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years, and early adoption is permitted. The guidance will be applied retrospectively with a cumulative-effect adjustment to retained earnings at the beginning of the earliest period presented. The Company will adopt ASU No. 2018-17 as of January 1, 2020. The adoption of the ASU did not have a material impact to the Company’s consolidated financial statements. Based on the Company’s invested interests at adoption, no transition adjustment was needed. ASU No. 2019-04 In April 2019, the FASB released ASU No. 2019-04, Codification Improvements to Financial Instruments-Credit Losses (ASC 326), Derivatives and Hedging (ASC 815), and Financial Instruments (ASC 825) . The amendments in the ASU improve the Codification by eliminating inconsistencies and providing clarifications. The amendments related to the credit losses standard are discussed above under ASU 2016-13. With respect to hedge accounting, the ASU addresses partial-term fair value hedges, fair value hedge basis adjustments, and certain transition requirements, among other things. For recognizing and measuring financial instruments, the ASU addresses the scope of the guidance, the requirement for re-measurement under ASC 820 when using the measurement alternative, certain disclosure requirements and which equity securities have to be re-measured at historical exchange rates. Since the Company early adopted the guidance in ASU No. 2017-12, Derivatives and Hedging (ASC 815): Targeted Improvements to Accounting for Hedging Activities in 2018, the amended hedge accounting guidance in ASU No. 2019-04 is effective as of the beginning of the first annual reporting period beginning after April 25, 2019 with early adoption permitted on any date after the issuance of this ASU. The Company will adopt ASU No. 2017-08 as of January 1, 2020. The adoption of the ASU did not have a material impact to the Company’s consolidated financial statements. ASU No. 2019-12 In December 2019, the FASB released ASU No. 2019-12, Income Taxes (ASC 740): Simplifying the Accounting for Income Taxes , as part of their initiative to reduce complexity in accounting standards. The ASU simplifies the accounting for income taxes by eliminating certain exceptions to the approach for intraperiod tax allocation, the methodology for calculating income taxes in an interim period and the recognition of deferred tax liabilities for outside basis differences. The ASU also simplifies aspects of the accounting for enacted changes in tax laws or rates and clarifies the accounting for transactions that result in a step-up in the tax basis of goodwill. ASU No. 2019-12 will be effective for fiscal years beginning after December 15, 2020, including interim periods, with early adoption permitted. The transition method for ASU No. 2019-12 varies between the simplification items. The Company is currently evaluating the impact of the ASU on the Company’s consolidated financial statements. ASU No. 2020-01 In January 2020, the FASB released ASU No. 2020-01, Investments-Equity Securities (ASC 321), Investments-Equity Method and Joint Ventures (ASC 323), and Derivatives and Hedging (ASC 815): Clarifying the Interactions between ASC 321, ASC 323, and ASC 815 , a consensus of the FASB’s Emerging Issues Task Force (EITF). The ASU clarifies that a company should consider observable transactions that require a company to either apply or discontinue the equity method of accounting under ASC 323 for the purposes of applying the measurement alternative in accordance with ASC 321 immediately before applying or upon discontinuing the equity method. The ASU also clarifies that, when determining the accounting for certain forward contracts and purchased options, a company should not consider, whether upon settlement or exercise, if the underlying securities would be accounted for under the equity method or fair value option. ASU No. 2020-01 will be effective for fiscal years beginning after December 15, 2020, including interim periods, with early adoption permitted. The Company is currently evaluating the impact of the ASU on the Company’s consolidated financial statements. |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Available-for-sale Securities | Information pertaining to securities with gross unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous loss position, was as follows: December 31, 2019 Less Than Twelve Months Twelve Months or More Total (in thousands) Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Securities available for sale: Obligations of state and political subdivisions $ — $ 590 $ — $ — $ — $ 590 Mortgage-backed securities: Residential agency (1,893 ) 441,332 (1,943 ) 268,383 (3,836 ) 709,715 Commercial agency (252 ) 56,728 (152 ) 10,301 (404 ) 67,029 Other securities (133 ) 13,241 (100 ) 4,492 (233 ) 17,733 Total securities available for sale $ (2,278 ) $ 511,891 $ (2,195 ) $ 283,176 $ (4,473 ) $ 795,067 Securities held to maturity: Mortgage-backed securities: Residential agency $ (52 ) $ 6,308 $ (187 ) $ 9,074 $ (239 ) $ 15,382 Total securities held to maturity $ (52 ) $ 6,308 $ (187 ) $ 9,074 $ (239 ) $ 15,382 December 31, 2018 Less Than Twelve Months Twelve Months or More Total (in thousands) Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Securities available for sale: Obligations of state and political subdivisions $ (9 ) $ 4,112 $ (714 ) $ 30,268 $ (723 ) $ 34,380 Mortgage-backed securities: Residential agency (816 ) 197,057 (56,257 ) 2,193,862 (57,073 ) 2,390,919 Commercial agency (43 ) 18,190 (14,756 ) 483,565 (14,799 ) 501,755 Other securities (94 ) 18,025 (693 ) 32,577 (787 ) 50,602 Total securities available for sale $ (962 ) $ 237,384 $ (72,420 ) $ 2,740,272 $ (73,382 ) $ 2,977,656 Securities held to maturity: Obligations of state and political subdivisions $ (3 ) $ 2,059 $ (2,494 ) $ 151,699 $ (2,497 ) $ 153,758 Mortgage-backed securities: Residential agency — — (1,011 ) 17,478 (1,011 ) 17,478 Total securities held to maturity $ (3 ) $ 2,059 $ (3,505 ) $ 169,177 $ (3,508 ) $ 171,236 The amortized cost and estimated fair values of investment securities, with gross unrealized gains and losses, consisted of the following: December 31, 2019 (in thousands) Amortized Gross Gross Estimated Securities available for sale: U.S. Government-sponsored enterprise obligations $ 39,916 $ 281 $ — $ 40,197 Obligations of state and political subdivisions 160,873 7,607 — 168,480 Mortgage-backed securities: Residential agency 2,876,069 27,423 (3,836 ) 2,899,656 Commercial agency 704,661 17,202 (404 ) 721,459 Other securities 101,022 2,779 (233 ) 103,568 Total securities available for sale $ 3,882,541 $ 55,292 $ (4,473 ) $ 3,933,360 Securities held to maturity: Obligations of state and political subdivisions $ 166,386 $ 7,147 $ — $ 173,533 Mortgage-backed securities: Residential agency 16,575 30 (239 ) 16,366 Total securities held to maturity $ 182,961 $ 7,177 $ (239 ) $ 189,899 December 31, 2018 (in thousands) Amortized Gross Gross Estimated Securities available for sale: U.S. Government-sponsored enterprise obligations $ 995 $ 3 $ — $ 998 Obligations of state and political subdivisions 177,566 2,045 (723 ) 178,888 Mortgage-backed securities: Residential agency 3,837,584 8,886 (57,073 ) 3,789,397 Commercial agency 730,148 2,363 (14,799 ) 717,712 Other securities 97,020 351 (787 ) 96,584 Total securities available for sale $ 4,843,313 $ 13,648 $ (73,382 ) $ 4,783,579 Securities held to maturity: Obligations of state and political subdivisions $ 188,684 $ 309 $ (2,497 ) $ 186,496 Mortgage-backed securities: Residential agency 18,762 30 (1,011 ) 17,781 Total securities held to maturity $ 207,446 $ 339 $ (3,508 ) $ 204,277 |
Held-to-maturity Securities | The amortized cost and estimated fair values of investment securities, with gross unrealized gains and losses, consisted of the following: December 31, 2019 (in thousands) Amortized Gross Gross Estimated Securities available for sale: U.S. Government-sponsored enterprise obligations $ 39,916 $ 281 $ — $ 40,197 Obligations of state and political subdivisions 160,873 7,607 — 168,480 Mortgage-backed securities: Residential agency 2,876,069 27,423 (3,836 ) 2,899,656 Commercial agency 704,661 17,202 (404 ) 721,459 Other securities 101,022 2,779 (233 ) 103,568 Total securities available for sale $ 3,882,541 $ 55,292 $ (4,473 ) $ 3,933,360 Securities held to maturity: Obligations of state and political subdivisions $ 166,386 $ 7,147 $ — $ 173,533 Mortgage-backed securities: Residential agency 16,575 30 (239 ) 16,366 Total securities held to maturity $ 182,961 $ 7,177 $ (239 ) $ 189,899 December 31, 2018 (in thousands) Amortized Gross Gross Estimated Securities available for sale: U.S. Government-sponsored enterprise obligations $ 995 $ 3 $ — $ 998 Obligations of state and political subdivisions 177,566 2,045 (723 ) 178,888 Mortgage-backed securities: Residential agency 3,837,584 8,886 (57,073 ) 3,789,397 Commercial agency 730,148 2,363 (14,799 ) 717,712 Other securities 97,020 351 (787 ) 96,584 Total securities available for sale $ 4,843,313 $ 13,648 $ (73,382 ) $ 4,783,579 Securities held to maturity: Obligations of state and political subdivisions $ 188,684 $ 309 $ (2,497 ) $ 186,496 Mortgage-backed securities: Residential agency 18,762 30 (1,011 ) 17,781 Total securities held to maturity $ 207,446 $ 339 $ (3,508 ) $ 204,277 Information pertaining to securities with gross unrealized losses, aggregated by investment category and length of time that individual securities have been in a continuous loss position, was as follows: December 31, 2019 Less Than Twelve Months Twelve Months or More Total (in thousands) Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Securities available for sale: Obligations of state and political subdivisions $ — $ 590 $ — $ — $ — $ 590 Mortgage-backed securities: Residential agency (1,893 ) 441,332 (1,943 ) 268,383 (3,836 ) 709,715 Commercial agency (252 ) 56,728 (152 ) 10,301 (404 ) 67,029 Other securities (133 ) 13,241 (100 ) 4,492 (233 ) 17,733 Total securities available for sale $ (2,278 ) $ 511,891 $ (2,195 ) $ 283,176 $ (4,473 ) $ 795,067 Securities held to maturity: Mortgage-backed securities: Residential agency $ (52 ) $ 6,308 $ (187 ) $ 9,074 $ (239 ) $ 15,382 Total securities held to maturity $ (52 ) $ 6,308 $ (187 ) $ 9,074 $ (239 ) $ 15,382 December 31, 2018 Less Than Twelve Months Twelve Months or More Total (in thousands) Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Gross Unrealized Losses Estimated Fair Value Securities available for sale: Obligations of state and political subdivisions $ (9 ) $ 4,112 $ (714 ) $ 30,268 $ (723 ) $ 34,380 Mortgage-backed securities: Residential agency (816 ) 197,057 (56,257 ) 2,193,862 (57,073 ) 2,390,919 Commercial agency (43 ) 18,190 (14,756 ) 483,565 (14,799 ) 501,755 Other securities (94 ) 18,025 (693 ) 32,577 (787 ) 50,602 Total securities available for sale $ (962 ) $ 237,384 $ (72,420 ) $ 2,740,272 $ (73,382 ) $ 2,977,656 Securities held to maturity: Obligations of state and political subdivisions $ (3 ) $ 2,059 $ (2,494 ) $ 151,699 $ (2,497 ) $ 153,758 Mortgage-backed securities: Residential agency — — (1,011 ) 17,478 (1,011 ) 17,478 Total securities held to maturity $ (3 ) $ 2,059 $ (3,505 ) $ 169,177 $ (3,508 ) $ 171,236 |
Additional Information on Securities in a Continuous Loss Position | Additional information on securities that have been in a continuous loss position for over twelve months at December 31 is presented in the following table. (in thousands) 2019 2018 Number of securities Mortgage-backed securities: Residential agency 59 302 Commercial agency 6 72 Obligations of state and political subdivisions — 60 Other securities 4 7 69 441 Amortized Cost Basis Mortgage-backed securities: Residential agency $ 279,587 $ 2,268,608 Commercial agency 10,453 498,321 Obligations of state and political subdivisions — 185,175 Other securities 4,591 33,270 $ 294,631 $ 2,985,374 Unrealized Loss Mortgage-backed securities: Residential agency $ 2,130 $ 57,268 Commercial agency 152 14,756 Obligations of state and political subdivisions — 3,208 Other securities 100 693 $ 2,382 $ 75,925 |
Schedule of Amortized Cost and Estimated Fair Value of Investment Securities by Maturity | The amortized cost and estimated fair value of investment securities by maturity at December 31, 2019 are presented in the following table. Securities are classified according to their contractual maturities without consideration of principal amortization, potential prepayments or call options. Accordingly, actual maturities may differ from contractual maturities. Weighted average yields are calculated on the basis of the yield to maturity based on the amortized cost of each security. Securities Available for Sale Securities Held to Maturity (in thousands) Weighted Amortized Estimated Weighted Amortized Estimated Within one year or less 2.61 % $ 40,875 $ 41,158 3.29 % $ 330 $ 331 One through five years 2.52 127,588 130,809 2.60 5,350 5,380 After five through ten years 2.72 706,365 725,592 2.37 42,775 44,314 Over ten years 2.45 3,007,713 3,035,801 2.57 134,506 139,874 2.50 % $ 3,882,541 $ 3,933,360 2.53 % $ 182,961 $ 189,899 |
Schedule of Realized Gains and Losses from Sale of Securities Classified as Available for Sale | The following is a summary of realized gains and losses from the sale of securities classified as available for sale. Gains or losses on securities sold are recorded on the trade date, using the specific identification method. Years Ended December 31, (in thousands) 2019 2018 2017 Realized gains $ 1,332 $ 40 $ 1,651 Realized losses (2,311 ) (49,940 ) (1,799 ) $ (979 ) $ (49,900 ) $ (148 ) |
Schedule of Securities in Other Assets on Company's Consolidated Balance Sheets | The Company accounts for the following securities at cost less impairment plus or minus any observable price changes, which approximates fair value, with the exception of CRA and Community Development Investment Funds, which are recorded at fair value. Other equity securities, which are presented in other assets on the consolidated balance sheets, were as follows: (in thousands) 2019 2018 Federal Home Loan Bank stock $ 70,386 $ 95,213 Federal Reserve Bank stock 85,630 85,630 CRA and Community Development Investment Funds 1,948 1,884 Other investments 21,118 9,709 $ 179,082 $ 192,436 |
Loans and Leases (Tables)
Loans and Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Schedule of Non-Covered and Covered Loans | Loans and leases by portfolio segment and class consisted of the following at December 31: (in thousands) 2019 2018 Commercial loans and leases: Real estate - construction $ 1,321,663 $ 1,196,366 Real estate - owner-occupied 2,475,326 2,395,822 Real estate - non-owner-occupied 6,267,106 5,796,117 Commercial and industrial (1) 6,547,538 5,737,017 Total commercial loans and leases 16,611,633 15,125,322 Residential mortgage loans 4,739,075 4,359,156 Consumer and other loans: Home equity 1,987,336 2,304,694 Other 683,455 730,643 Total consumer and other loans 2,670,791 3,035,337 Total loans and leases $ 24,021,499 $ 22,519,815 (1) |
Schedule of Aging of Loans | The following tables provide an analysis of the aging of loans and leases as of December 31, 2019 and 2018 . Past due and non-accrual loan amounts exclude acquired impaired loans, even if contractually past due or if the Company does not expect to receive payment in full, as the Company is currently accreting interest income over the expected life of the loans. For additional information on the determination of past due status and the Company's policies for recording payments received, placing loans and leases on non-accrual status, and the resumption of interest accrual on non-accruing loans and leases, See Note 1, Summary of Significant Accounting Policies. December 31, 2019 Accruing (in thousands) Current or less than 30 Days Past Due 30-59 Days 60-89 Days > 90 Days Total Past Due Non-accrual Loans (1) Acquired Impaired Loans Total Real estate - construction $ 1,311,458 $ 244 $ — $ — $ 244 $ 1,394 $ 8,567 $ 1,321,663 Real estate - owner-occupied 2,384,204 15,619 1,118 1,035 17,772 17,817 55,533 2,475,326 Real estate - non-owner-occupied 6,194,061 2,831 2,459 58 5,348 15,440 52,257 6,267,106 Commercial and industrial 6,474,894 6,414 1,126 887 8,427 41,636 22,581 6,547,538 Residential mortgage 4,608,767 2,335 16,052 1,277 19,664 34,833 75,811 4,739,075 Consumer - home equity 1,899,490 12,916 2,141 — 15,057 24,404 48,385 1,987,336 Consumer - other 672,931 3,760 1,189 — 4,949 3,381 2,194 683,455 Total loans and leases $ 23,545,805 $ 44,119 $ 24,085 $ 3,257 $ 71,461 $ 138,905 $ 265,328 $ 24,021,499 (1) Of the total non-accrual loans at December 31, 2019 , $8.7 million were past due 30-59 days, $4.3 million were past due 60-89 days, and $73.2 million were past due more than 90 days. December 31, 2018 Accruing (in thousands) Current or less than 30 Days Past Due 30-59 Days 60-89 Days > 90 Days Total Past Due Non-accrual Loans (1) Acquired Impaired Loans Total Real estate - construction $ 1,167,795 $ 1,054 $ — $ — $ 1,054 $ 1,094 $ 26,423 $ 1,196,366 Real estate - owner-occupied 2,305,743 7,167 — — 7,167 10,260 72,652 2,395,822 Real estate - non-owner-occupied 5,703,131 7,473 360 — 7,833 15,898 69,255 5,796,117 Commercial and industrial 5,645,304 5,139 1,320 553 7,012 57,860 26,841 5,737,017 Residential mortgage 4,218,146 2,768 13,063 1,575 17,406 30,396 93,208 4,359,156 Consumer - home equity 2,200,517 10,283 2,409 — 12,692 18,830 72,655 2,304,694 Consumer - other 719,122 4,695 1,601 — 6,296 2,846 2,379 730,643 Total loans and leases $ 21,959,758 $ 38,579 $ 18,753 $ 2,128 $ 59,460 $ 137,184 $ 363,413 $ 22,519,815 (1) Of the total non-accrual loans at December 31, 2018 , $7.0 million were past due 30-59 days, $3.7 million were past due 60-89 days, and $66.9 million were past due more than 90 days. |
Summary of Changes in Accretable Yields of Acquired Loans | The following is a summary of changes in the accretable difference for all loans accounted for under ASC 310-30 during the years ended December 31: (in thousands) 2019 2018 2017 Balance at beginning of period $ 133,342 $ 152,623 $ 175,054 Additions — 5,574 32,937 Transfers from non-accretable difference to accretable yield (2,150 ) 3,623 4,912 Accretion (36,512 ) (47,962 ) (56,337 ) Changes in expected cash flows not affecting non-accretable differences (1) (4,529 ) 19,484 (3,943 ) Balance at end of period $ 90,151 $ 133,342 $ 152,623 (1) Includes changes in cash flows expected to be collected due to the impact of changes in actual or expected timing of liquidation events, modifications, changes in interest rates and changes in prepayment assumptions. |
Schedule of Modified TDRs | The following table provides information on how the TDRs were modified during the years ended December 31: (in thousands) 2019 2018 2017 Extended maturities $ 11,741 $ 23,262 $ 26,561 Interest rate adjustment 68 99 24 Maturity and interest rate adjustment 1,729 554 4,932 Movement to or extension of interest-rate only payments 1,791 881 4,161 Forbearance 22,319 4,432 7,226 Other concession(s) (1) 20,226 23,943 27,555 Total $ 57,874 $ 53,171 $ 70,459 (1) Other concessions may include covenant waivers, forgiveness of principal or interest associated with a customer bankruptcy, or a combination of any of the above concessions. |
Schedule of Subsequently Defaulted TDRs | The following table presents the end of period balance for loans modified in a TDR during the years ended December 31: 2019 2018 2017 (In thousands, except number of loans) Number of Loans Pre-modification Outstanding Recorded Investment Post-modification Outstanding Recorded Investment Number of Loans Pre-modification Outstanding Recorded Investment Post-modification Outstanding Recorded Investment Number of Loans Pre-modification Outstanding Recorded Investment Post-modification Outstanding Recorded Investment Commercial real estate - construction 2 $ 6,377 $ 9,258 3 $ 4,819 $ 3,830 4 $ 9,404 $ 9,628 Commercial real estate - owner-occupied 11 10,081 9,587 14 4,257 3,912 11 5,779 5,706 Commercial real estate - non-owner-occupied 27 9,264 8,436 20 3,719 3,428 19 11,974 13,738 Commercial and industrial 66 30,536 18,803 52 39,796 30,295 57 21,651 20,883 Residential mortgage 36 2,729 2,511 19 1,706 1,529 24 1,897 1,771 Consumer - home equity 86 8,775 8,262 65 10,607 8,951 123 16,346 15,862 Consumer - other 54 1,150 1,018 73 1,491 1,226 121 3,182 2,871 Total 282 $ 68,912 $ 57,875 246 $ 66,395 $ 53,171 359 $ 70,233 $ 70,459 Information detailing TDRs that defaulted during the years ended December 31, 2019 , 2018 , and 2017 and were modified in the previous twelve months (i.e., the twelve months prior to the default) is presented in the following table. The Company has defined a default as any loan with a loan payment that is currently past due greater than 30 days , or was past due greater than 30 days at any point during the previous twelve months, or since the date of modification, whichever is shorter. 2019 2018 2017 (In thousands, except number of loans) Number of Loans Recorded Investment Number of Loans Recorded Investment Number of Loans Recorded Investment Commercial real estate - construction — $ — — $ — 2 $ 3,572 Commercial real estate - owner-occupied 6 4,357 2 142 6 4,668 Commercial real estate - non-owner-occupied 9 4,215 5 1,039 13 8,060 Commercial and industrial 27 7,027 13 3,757 32 6,550 Residential mortgage 15 1,287 8 773 16 1,218 Consumer - home equity 28 2,178 15 1,354 32 3,285 Consumer - other 32 545 38 447 62 1,381 Total 117 $ 19,609 81 $ 7,512 163 $ 28,734 |
Allowance for Credit Losses a_2
Allowance for Credit Losses and Credit Quality (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Schedule of Allowance for Loan Losses for Covered and Non-Covered Loan Portfolios | The following tables present the activity in the allowance for credit losses by loan portfolio type for the years ended December 31, 2019, 2018, and 2017: 2019 (in thousands) Commercial Commercial Residential Consumer and Other Total Allowance for loan and lease losses at beginning of period $ 51,806 $ 54,096 $ 12,998 $ 21,671 $ 140,571 Provision for loan and lease losses 9,262 19,177 — 11,411 39,850 Transfer of balance to OREO and other (636 ) 235 (3,221 ) 335 (3,287 ) Charge-offs (2,613 ) (21,966 ) (309 ) (13,482 ) (38,370 ) Recoveries 475 4,092 179 3,078 7,824 Allowance for loan and lease losses at end of period $ 58,294 $ 55,634 $ 9,647 $ 23,013 $ 146,588 Reserve for unfunded commitments at beginning of period $ 4,869 $ 6,198 $ 866 $ 2,897 $ 14,830 Provision for (reversal of) unfunded commitments 1,115 280 (304 ) 716 1,807 Reserve for unfunded commitments at end of period $ 5,984 $ 6,478 $ 562 $ 3,613 $ 16,637 Allowance for credit losses at end of period $ 64,278 $ 62,112 $ 10,209 $ 26,626 $ 163,225 Allowance - individually evaluated for impairment $ 5,600 $ 11,763 $ 285 $ 3,249 $ 20,897 Allowance - collectively evaluated for impairment 47,308 42,346 5,400 19,417 114,471 Allowance - acquired with deteriorated credit quality 5,386 1,525 3,962 347 11,220 Loans and leases, net of unearned income: Individually evaluated for impairment 69,819 48,834 29,402 40,219 188,274 Collectively evaluated for impairment 9,877,919 6,476,123 4,633,862 2,579,993 23,567,897 Acquired with deteriorated credit quality 116,357 22,581 75,811 50,579 265,328 Total loans and leases, net of unearned income $ 10,064,095 $ 6,547,538 $ 4,739,075 $ 2,670,791 $ 24,021,499 2018 (in thousands) Commercial Commercial Residential Consumer and Other Total Allowance for loan and lease losses at beginning of period $ 54,201 $ 53,916 $ 9,117 $ 23,657 $ 140,891 Provision for (reversal of) loan and lease losses (829 ) 23,866 4,200 12,235 39,472 Transfer of balance to OREO and other (2,256 ) (812 ) (106 ) (3,998 ) (7,172 ) Charge-offs (1,611 ) (29,578 ) (334 ) (14,024 ) (45,547 ) Recoveries 2,301 6,704 121 3,801 12,927 Allowance for loan and lease losses at end of period $ 51,806 $ 54,096 $ 12,998 $ 21,671 $ 140,571 Reserve for unfunded commitments at beginning of period $ 4,531 $ 5,309 $ 555 $ 2,813 $ 13,208 Balance created in acquisition accounting 118 40 551 — 709 Provision for (reversal of) unfunded commitments 220 849 (240 ) 84 913 Reserve for unfunded commitments at end of period $ 4,869 $ 6,198 $ 866 $ 2,897 $ 14,830 Allowance for credit losses at end of period $ 56,675 $ 60,294 $ 13,864 $ 24,568 $ 155,401 Allowance - individually evaluated for impairment $ 636 $ 12,646 $ 145 $ 2,915 $ 16,342 Allowance - collectively evaluated for impairment 45,651 39,949 6,961 18,705 111,266 Allowance - acquired with deteriorated credit quality 5,519 1,501 5,892 51 12,963 Loans and leases, net of unearned income: Individually evaluated for impairment 53,905 71,801 6,579 37,440 169,725 Collectively evaluated for impairment 9,166,070 5,638,375 4,259,369 2,922,863 21,986,677 Acquired with deteriorated credit quality 168,330 26,841 93,208 75,034 363,413 Total loans and leases, net of unearned income $ 9,388,305 $ 5,737,017 $ 4,359,156 $ 3,035,337 $ 22,519,815 2017 (in thousands) Commercial Commercial Residential Consumer and Other Total Allowance for loan and lease losses at beginning of period $ 49,231 $ 60,939 $ 11,249 $ 23,300 $ 144,719 Provision for (reversal of) loan and lease losses 10,433 31,891 (2,206 ) 10,993 51,111 Transfer of balance to OREO and other 853 (68 ) 2 147 934 Charge-offs (7,433 ) (40,015 ) (365 ) (14,653 ) (62,466 ) Recoveries 1,117 1,169 437 3,870 6,593 Allowance for loan and lease losses at end of period $ 54,201 $ 53,916 $ 9,117 $ 23,657 $ 140,891 Reserve for unfunded commitments at beginning of period $ 3,207 $ 4,537 $ 657 $ 2,840 $ 11,241 Balance created in acquisition accounting 253 783 327 7 1,370 Provision for (reversal of) unfunded commitments 1,071 (11 ) (429 ) (34 ) 597 Reserve for unfunded commitments at end of period $ 4,531 $ 5,309 $ 555 $ 2,813 $ 13,208 Allowance for credit losses at end of period $ 58,732 $ 59,225 $ 9,672 $ 26,470 $ 154,099 Allowance - individually evaluated for impairment $ 1,588 $ 12,736 $ 172 $ 2,856 $ 17,352 Allowance - collectively evaluated for impairment 30,360 38,944 3,141 17,210 89,655 Allowance - acquired with deteriorated credit quality 22,253 2,236 5,804 3,591 33,884 Loans and leases, net of unearned income: Individually evaluated for impairment 91,785 102,416 6,749 37,177 238,127 Collectively evaluated for impairment 8,616,924 5,001,505 2,911,222 2,828,848 19,358,499 Acquired with deteriorated credit quality 229,521 31,146 138,381 82,507 481,555 Total loans and leases, net of unearned income $ 8,938,230 $ 5,135,067 $ 3,056,352 $ 2,948,532 $ 20,078,181 |
Investment in Legacy and Acquired Loans by Credit Quality Indicator | The recorded investment in loans and leases by credit quality indicator is presented in the following tables. Asset risk classifications for commercial loans and leases reflect the classification as of December 31, 2019 and 2018. Credit quality information in the tables below includes total loans acquired (including acquired impaired loans) at the net loan balance, after the application of premiums and discounts. Loan premiums and discounts represent the adjustment of acquired loans to fair value at the acquisition date, as adjusted for income accretion and changes in cash flow estimates in subsequent periods. December 31, 2019 December 31, 2018 (in thousands) Pass Special Mention Sub- Doubtful Total Pass Special Mention Sub- Doubtful Total Commercial real estate - construction $ 1,300,953 $ 10,801 $ 9,909 $ — $ 1,321,663 $ 1,182,554 $ 1,062 $ 12,740 $ 10 $ 1,196,366 Commercial real estate - owner-occupied 2,412,953 19,430 40,570 2,373 2,475,326 2,328,999 25,526 41,297 — 2,395,822 Commercial real estate - non-owner-occupied 6,185,185 45,938 35,726 257 6,267,106 5,687,963 78,009 26,512 3,633 5,796,117 Commercial and industrial 6,426,235 51,605 56,691 13,007 6,547,538 5,586,482 52,632 73,853 24,050 5,737,017 Total commercial loans and leases $ 16,325,326 $ 127,774 $ 142,896 $ 15,637 $ 16,611,633 $ 14,785,998 $ 157,229 $ 154,402 $ 27,693 $ 15,125,322 December 31, 2019 December 31, 2018 (in thousands) Current 30+ Days Past Due Total Current 30+ Days Past Due Total Residential mortgage $ 4,673,266 $ 65,809 $ 4,739,075 $ 4,290,152 $ 69,004 $ 4,359,156 Consumer - home equity 1,942,091 45,245 1,987,336 2,258,659 46,035 2,304,694 Consumer - other 675,014 8,441 683,455 721,231 9,412 730,643 Total $ 7,290,371 $ 119,495 $ 7,409,866 $ 7,270,042 $ 124,451 $ 7,394,493 |
Schedule of Investment in Legacy Impaired Loans | Information on impaired loans, which include all TDRs and all other non-accrual loans evaluated or measured individually for impairment for purposes of determining the ALLL, is presented in the following tables as of and for the periods indicated. As of December 31, 2019 , 2018 , and 2017 , the Company was not committed to lend a material amount of additional funds to any customer whose loan was classified as impaired or as a TDR. December 31, 2019 (in thousands) Unpaid Principal Balance Recorded Investment Related Average Interest With no related allowance recorded: Commercial real estate - construction $ 11,150 $ 10,141 $ — $ 7,609 $ 336 Commercial real estate - owner-occupied 32,849 32,398 — 33,378 1,439 Commercial real estate - non-owner-occupied 14,340 12,903 — 13,378 364 Commercial and industrial 19,315 16,070 — 17,485 453 Residential mortgage 19,800 19,500 — 16,403 224 Consumer - home equity 4,465 4,461 — 4,390 167 With an allowance recorded: Commercial real estate - construction 141 126 2 138 3 Commercial real estate - owner-occupied 5,074 4,795 2,591 4,927 118 Commercial real estate - non-owner-occupied 9,828 9,456 3,007 9,620 208 Commercial and industrial 37,509 32,764 11,763 32,807 790 Residential mortgage 10,871 9,902 285 10,327 355 Consumer - home equity 31,581 30,798 2,630 30,762 1,228 Consumer - other 5,262 4,960 619 5,251 263 Total impaired loans $ 202,185 $ 188,274 $ 20,897 $ 186,475 $ 5,948 Total commercial loans and leases $ 130,206 $ 118,653 $ 17,363 $ 119,342 $ 3,711 Total residential mortgage loans 30,671 29,402 285 26,730 579 Total consumer and other loans 41,308 40,219 3,249 40,403 1,658 December 31, 2018 (in thousands) Unpaid Principal Balance Recorded Investment Related Average Interest With no related allowance recorded: Commercial real estate - construction $ 10,261 $ 9,262 $ — $ 9,189 $ 496 Commercial real estate - owner-occupied 25,037 19,044 — 19,559 807 Commercial real estate - non-owner-occupied 15,265 14,288 — 14,873 590 Commercial and industrial 55,554 43,886 — 47,268 2,422 Residential mortgage 1,244 1,221 — 1,261 46 Consumer - home equity 4,183 4,176 — 2,867 39 With an allowance recorded: Commercial real estate - construction 228 140 11 148 1 Commercial real estate - owner-occupied 5,032 4,773 520 4,976 196 Commercial real estate - non-owner-occupied 6,445 6,398 105 6,229 294 Commercial and industrial 46,387 27,915 12,646 40,653 795 Residential mortgage 5,870 5,358 145 5,494 225 Consumer - home equity 29,284 28,818 2,427 27,911 1,202 Consumer - other 4,956 4,446 488 4,822 273 Total impaired loans $ 209,746 $ 169,725 $ 16,342 $ 185,250 $ 7,386 Total commercial loans and leases $ 164,209 $ 125,706 $ 13,282 $ 142,895 $ 5,601 Total residential mortgage loans 7,114 6,579 145 6,755 271 Total consumer and other loans 38,423 37,440 2,915 35,600 1,514 December 31, 2017 (in thousands) Unpaid Principal Balance Recorded Investment Related Average Interest With no related allowance recorded: Commercial real estate - construction $ 13,763 $ 13,013 $ — $ 9,104 $ 441 Commercial real estate - owner-occupied 50,867 44,482 — 53,282 1,389 Commercial real estate - non-owner-occupied 15,370 14,975 — 15,127 692 Commercial and industrial 103,013 70,254 — 92,312 2,279 Residential mortgage 2,004 2,001 — 2,044 85 Consumer - home equity 5,906 5,634 — 5,747 231 Consumer - other 75 75 — 11 1 With an allowance recorded: Commercial real estate - construction 238 156 19 197 6 Commercial real estate - owner-occupied 13,314 13,287 949 13,498 414 Commercial real estate - non-owner-occupied 6,051 5,872 620 6,196 154 Commercial and industrial 35,306 32,162 12,736 42,874 1,220 Residential mortgage 5,179 4,748 172 4,861 180 Consumer - home equity 27,189 26,575 2,358 23,546 1,007 Consumer - other 5,354 4,893 498 4,455 269 Total $ 283,629 $ 238,127 $ 17,352 $ 273,254 $ 8,368 Total commercial loans and leases $ 237,922 $ 194,201 $ 14,324 $ 232,590 $ 6,595 Total residential mortgage loans 7,183 6,749 172 6,905 265 Total consumer and other loans 38,524 37,177 2,856 33,759 1,508 |
Transfers and Servicing of Fi_2
Transfers and Servicing of Financial Assets (Including Mortgage Banking Activity) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Transfers and Servicing [Abstract] | |
Changes in Carrying Amount of Mortgage Loans Held-for-sale | Changes to the carrying amount of mortgage loans held for sale at December 31 are presented in the following table. (in thousands) 2019 2018 2017 Balance at beginning of period $ 107,734 $ 134,916 $ 157,041 Originations and purchases 1,967,532 1,469,847 1,844,358 Sales, net of gains (1,869,148 ) (1,498,386 ) (1,859,565 ) Mortgage loans transferred from (transferred to) held for investment 7,239 1,058 (6,918 ) Other — 299 — Balance at end of period $ 213,357 $ 107,734 $ 134,916 |
Components of Mortgage Income | The following table details the components of mortgage income for the years ended December 31: (in thousands) 2019 2018 2017 Mortgage loans held for sale and derivatives $ 2,752 $ 6,490 $ (7,047 ) Derivative settlements, net (8,481 ) (4,039 ) 1,229 Gains on sales 68,110 42,887 68,255 Servicing and other income, net 1,392 1,339 1,133 Other losses (743 ) (253 ) — $ 63,030 $ 46,424 $ 63,570 |
Schedule of Mortgage Servicing Rights at Carrying Value | Mortgage servicing rights had the following carrying values as of the periods indicated: December 31, 2019 December 31, 2018 Gross Carrying Amount Valuation Allowance Accumulated Amortization Net Carrying Amount Gross Carrying Amount Valuation Allowance Accumulated Amortization Net Carrying Amount (in thousands) Mortgage servicing rights $ 22,476 $ (250 ) $ (6,621 ) $ 15,605 $ 13,612 $ — $ (4,806 ) $ 8,806 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Schedule of Premises and Equipment | Premises and equipment consisted of the following at December 31: (in thousands) 2019 2018 Land $ 80,475 $ 81,194 Buildings 255,375 241,284 Furniture, fixtures and equipment 138,353 137,469 Total premises and equipment 474,203 459,947 Accumulated depreciation (177,515 ) (159,440 ) Total premises and equipment, net $ 296,688 $ 300,507 |
Goodwill and Other Acquired I_2
Goodwill and Other Acquired Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Carrying Amount of Goodwill | Changes to the carrying amount of goodwill by reporting unit for the years ended December 31, 2019 and 2018 are provided in the following table: (in thousands) IBERIABANK Mortgage LTC Total Balance, December 31, 2017 $ 1,160,559 $ 23,178 $ 5,165 $ 1,188,902 Goodwill acquired and adjustments during the year 43,251 — 3,380 46,631 Balance, December 31, 2018 $ 1,203,810 $ 23,178 $ 8,545 $ 1,235,533 Goodwill acquired and adjustments during the year — — — — Balance, December 31, 2019 $ 1,203,810 $ 23,178 $ 8,545 $ 1,235,533 |
Schedule of Definite-Lived Intangible Assets | Definite-lived intangible assets included in other intangible assets on the Company’s consolidated balance sheets had the following carrying values as of December 31: 2019 2018 (in thousands) Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount Core deposit intangible assets $ 136,183 $ (81,493 ) $ 54,690 $ 136,183 $ (63,213 ) $ 72,970 Customer relationship intangible asset 1,385 (1,371 ) 14 1,385 (1,323 ) 62 Non-compete agreement 206 (110 ) 96 206 (72 ) 134 Total $ 137,774 $ (82,974 ) $ 54,800 $ 137,774 $ (64,608 ) $ 73,166 |
Schedule of Amortization Expense of Intangible Assets | The related amortization expense of intangible assets was as follows: (in thousands) Amount Aggregate amortization expense for the years ended December 31: 2017 $ 12,590 2018 21,678 2019 18,464 (in thousands) Estimated amortization expense for the years ended December 31: 2020 $ 14,504 2021 10,211 2022 7,715 2023 6,396 2024 5,333 2025 and thereafter 10,641 |
Derivative Instruments and Ot_2
Derivative Instruments and Other Hedging Activities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Outstanding Derivative Instruments | Information pertaining to outstanding derivative instruments was as follows: Derivative Assets - Fair Value Derivative Liabilities - Fair Value (in thousands) December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 Derivatives designated as hedging instruments: Interest rate contracts $ 18,967 $ 3,469 $ — $ — Total derivatives designated as hedging instruments $ 18,967 $ 3,469 $ — $ — Derivatives not designated as hedging instruments: Interest rate contracts: Customer swaps - upstream $ 9 $ 474 $ 5,055 $ 191 Customer swaps - downstream 77,934 16,946 1,680 17,812 Foreign exchange contracts — 18 — 18 Forward sales contracts 420 630 986 750 Written and purchased options 6,755 5,490 3,899 3,310 Other contracts 66 21 179 43 Total derivatives not designated as hedging instruments $ 85,184 $ 23,579 $ 11,799 $ 22,124 Total $ 104,151 $ 27,048 $ 11,799 $ 22,124 Derivative Assets - Notional Amount Derivative Liabilities - Notional Amount (in thousands) December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 Derivatives designated as hedging instruments: Interest rate contracts $ 800,000 $ 408,500 $ 108,500 $ — Total derivatives designated as hedging instruments $ 800,000 $ 408,500 $ 108,500 $ — Derivatives not designated as hedging instruments: Interest rate contracts: Customer swaps - upstream $ 430,808 $ 919,653 $ 2,237,542 $ 701,257 Customer swaps - downstream 2,237,542 701,257 430,808 919,653 Foreign exchange contracts — 1,202 — 1,202 Forward sales contracts 44,011 1,140 230,998 143,179 Written and purchased options 268,590 229,333 121,981 140,645 Other contracts 108,008 50,527 183,243 85,623 Total derivatives not designated as hedging instruments $ 3,088,959 $ 1,903,112 $ 3,204,572 $ 1,991,559 Total $ 3,888,959 $ 2,311,612 $ 3,313,072 $ 1,991,559 |
Offsetting Assets | The following table reconciles the gross amounts presented in the consolidated balance sheets to the net amounts that would result in the event of offset. December 31, 2019 Gross Amounts Presented in the Balance Sheet Gross Amounts Not Offset in the Balance Sheet Net (in thousands) Derivatives Collateral Derivatives subject to master netting arrangements Derivative assets Interest rate contracts designated as hedging instruments $ 18,967 $ — $ — $ 18,967 Interest rate contracts not designated as hedging instruments 77,943 (5,111 ) — 72,832 Written and purchased options 3,871 — — 3,871 Total derivative assets subject to master netting arrangements $ 100,781 $ (5,111 ) $ — $ 95,670 Derivative liabilities Interest rate contracts not designated as hedging instruments $ 6,735 $ (5,111 ) $ — $ 1,624 Written and purchased options 3,871 — — 3,871 Total derivative liabilities subject to master netting arrangements $ 10,606 $ (5,111 ) $ — $ 5,495 December 31, 2018 Gross Amounts Presented in the Balance Sheet Gross Amounts Not Offset in the Balance Sheet Net (in thousands) Derivatives Collateral Derivatives subject to master netting arrangements Derivative assets Interest rate contracts designated as hedging instruments $ 3,469 $ — $ — $ 3,469 Interest rate contracts not designated as hedging instruments 17,420 (619 ) — 16,801 Written and purchased options 3,285 — — 3,285 Total derivative assets subject to master netting arrangements $ 24,174 $ (619 ) $ — $ 23,555 Derivative liabilities Interest rate contracts not designated as hedging instruments $ 18,003 $ (619 ) $ — $ 17,384 Written and purchased options 3,285 — — 3,285 Total derivative liabilities subject to master netting arrangements $ 21,288 $ (619 ) $ — $ 20,669 |
Offsetting Liabilities | The following table reconciles the gross amounts presented in the consolidated balance sheets to the net amounts that would result in the event of offset. December 31, 2019 Gross Amounts Presented in the Balance Sheet Gross Amounts Not Offset in the Balance Sheet Net (in thousands) Derivatives Collateral Derivatives subject to master netting arrangements Derivative assets Interest rate contracts designated as hedging instruments $ 18,967 $ — $ — $ 18,967 Interest rate contracts not designated as hedging instruments 77,943 (5,111 ) — 72,832 Written and purchased options 3,871 — — 3,871 Total derivative assets subject to master netting arrangements $ 100,781 $ (5,111 ) $ — $ 95,670 Derivative liabilities Interest rate contracts not designated as hedging instruments $ 6,735 $ (5,111 ) $ — $ 1,624 Written and purchased options 3,871 — — 3,871 Total derivative liabilities subject to master netting arrangements $ 10,606 $ (5,111 ) $ — $ 5,495 December 31, 2018 Gross Amounts Presented in the Balance Sheet Gross Amounts Not Offset in the Balance Sheet Net (in thousands) Derivatives Collateral Derivatives subject to master netting arrangements Derivative assets Interest rate contracts designated as hedging instruments $ 3,469 $ — $ — $ 3,469 Interest rate contracts not designated as hedging instruments 17,420 (619 ) — 16,801 Written and purchased options 3,285 — — 3,285 Total derivative assets subject to master netting arrangements $ 24,174 $ (619 ) $ — $ 23,555 Derivative liabilities Interest rate contracts not designated as hedging instruments $ 18,003 $ (619 ) $ — $ 17,384 Written and purchased options 3,285 — — 3,285 Total derivative liabilities subject to master netting arrangements $ 21,288 $ (619 ) $ — $ 20,669 |
Effect of Derivatives on the Consolidated Financial Statements | At December 31, 2019, 2018, and 2017, and for the years then ended, information pertaining to the effect of the hedging instruments on the consolidated financial statements was as follows: Amount of Gain (Loss) Recognized in OCI, net of taxes Location of Gain (Loss) Reclassified from AOCI into Income Amount of Gain (Loss) Reclassified from AOCI into Income, net of taxes Location of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing) Amount of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing) Total Including Component Excluding Component Total Including Component Excluding Component Total Including Component Excluding Component (in thousands) For the Year Ended December 31, Derivatives in Cash Flow Hedging Relationships 2019 2019 2019 Interest rate contracts $ 1,078 $ 2,340 $ (1,262 ) Interest expense $ (388 ) $ 559 $ (947 ) Interest expense $ — $ — $ — 2018 2018 2018 Interest rate contracts $ 4,416 $ 4,835 $ (419 ) Interest expense $ (196 ) $ (150 ) $ (46 ) Interest expense $ — $ — $ — Amount of Gain (Loss) Recognized in OCI, net of taxes Location of Gain (Loss) Reclassified from AOCI into Income Amount of Gain (Loss) Reclassified from AOCI into Income, net of taxes Location of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing) Amount of Gain (Loss) Recognized in Income on Derivatives (Amount Excluded from Effectiveness Testing) (in thousands) For the Year Ended December 31, Derivatives in Cash Flow Hedging Relationships 2017 2017 2017 Interest rate contracts $ (611 ) Interest expense $ (390 ) Interest expense $ — Information pertaining to the effect of derivatives not designated as hedging instruments on the consolidated financial statements as of December 31, was as follows: Location of Gain (Loss) Recognized in Income on Derivatives Amount of Gain (Loss) Recognized in Income on Derivatives (in thousands) 2019 2018 2017 Interest rate contracts (1) Commission income $ 15,071 $ 6,962 $ 4,750 Foreign exchange contracts Other income 15 29 43 Forward sales contracts Mortgage income (8,909 ) 4,064 (4,115 ) Written and purchased options Mortgage income 677 180 (2,028 ) Other contracts Other income (91 ) (24 ) 51 Total $ 6,763 $ 11,211 $ (1,299 ) (1) Includes fees associated with customer interest rate contracts |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Assets And Liabilities, Leases | The following summarizes the ROU asset and lease liabilities as of December 31, 2019: (in thousands) Right-of-use assets $ 119,774 Lease liabilities 138,766 Weighted average remaining lease term 10.78 years Weighted average discount rate 3.07 % |
Lessee, Operating Lease, Liability, Maturity | Maturities of operating lease liabilities as of December 31, 2019 were as follows: (in thousands) 2020 $ 25,928 2021 24,083 2022 21,663 2023 16,916 2024 12,598 2025 and thereafter 63,912 Total operating lease payments $ 165,100 Less: Imputed interest 26,334 Total lease liabilities $ 138,766 As of December 31, 2019, the Company had not entered into any material leases that had not yet commenced. Minimum future annual rent commitments under lease agreements as of December 31, 2018 were as follows: (in thousands) 2019 $ 21,750 2020 19,991 2021 16,921 2022 14,195 2023 9,182 2024 and thereafter 34,652 $ 116,691 |
Lessor, Net Investment in in Leases | The components of the Company’s net investment in leases as of December 31, 2019 were as follows: (in thousands) Lease payment receivable $ 388,514 Unguaranteed residual assets 39,289 Total net investment in leases $ 427,803 |
Sales-type and Direct Financing Leases, Lease Receivable, Maturity | Maturities of the Company's lease receivables as of December 31, 2019 were as follows: (in thousands) 2020 $ 87,184 2021 71,601 2022 65,336 2023 51,356 2024 35,746 2025 and thereafter 81,581 Total future minimum lease payments $ 392,804 Less: Imputed interest 4,290 Lease receivables $ 388,514 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Schedule of Deposits by Type | Interest-bearing deposits at December 31 are summarized as follows: (in thousands) 2019 2018 Interest-bearing demand deposits $ 4,821,252 $ 4,514,113 Money market accounts 9,121,283 8,237,291 Savings accounts 683,366 828,914 Time deposits 4,273,642 3,640,623 Total interest-bearing deposits $ 18,899,543 $ 17,220,941 |
Schedule of Maturities of Certificates of Deposit | Scheduled maturities of time deposits as of December 31, 2019 were as follows: (in thousands) Years ending December 31, 2020 $ 3,844,086 2021 308,955 2022 86,967 2023 17,440 2024 15,519 2025 and thereafter 675 $ 4,273,642 |
Short-Term Borrowings (Tables)
Short-Term Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Summary of Short-Term Borrowings | Short-term borrowings at December 31 are summarized as follows: (in thousands) 2019 2018 2017 Federal Home Loan Bank advances $ — $ 1,167,000 $ 475,000 Securities sold under agreements to repurchase 204,208 315,882 516,297 $ 204,208 $ 1,482,882 $ 991,297 Balances of FHLB advances and securities sold under agreements to repurchase can fluctuate significantly on a day-to-day basis, depending on funding needs and which sources are used to satisfy those needs. All such arrangements are considered typical of the banking and brokerage industries and are accounted for as borrowings. Securities sold under agreements to repurchase, which are classified as secured borrowings, generally mature daily and are reflected at the amount of cash received in connection with the transaction. The Company may be required to provide additional collateral based on the fair value of the underlying securities. Additional information on the Company’s short-term borrowings for the years indicated was as follows: (in thousands) 2019 2018 2017 Outstanding at December 31 $ 204,208 $ 1,482,882 $ 991,297 Maximum month-end outstanding balance 1,354,567 1,482,882 2,197,105 Average daily outstanding balance 814,653 1,052,088 905,755 Average rate during the year 1.93 % 1.40 % 0.83 % Average rate at year end 0.47 % 2.12 % 0.82 % |
Long-Term Debt (Tables)
Long-Term Debt (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Schedule of Long-Term Debt | Long-term debt at December 31 is summarized as follows: (in thousands) 2019 2018 IBERIABANK: Federal Home Loan Bank advances, 0.98% to 7.04% $ 1,188,584 $ 986,027 Notes payable - Investment fund contribution, 7 to 35 year term, 1.28% to 4.95% fixed, 7 to 35 year term, 1.28% to 6.82% fixed, respectively 34,993 60,014 1,223,577 1,046,041 IBERIABANK Corporation (junior subordinated debt): Statutory Trust I, 3 month LIBOR (1) , plus 3.25%, issued November 2002 10,310 10,310 Statutory Trust II, 3 month LIBOR (1) , plus 3.15%, issued June 2003 10,310 10,310 Statutory Trust III, 3 month LIBOR (1) , plus 2.00%, issued September 2004 10,310 10,310 Statutory Trust IV, 3 month LIBOR (1) , plus 1.60%, issued October 2006 15,464 15,464 American Horizons Statutory Trust I, 3 month LIBOR (1) , plus 3.15%, assumed January 2005 6,186 6,186 Statutory Trust V, 3 month LIBOR (1) , plus 1.435%, issued June 2007 10,310 10,310 Statutory Trust VI, 3 month LIBOR (1) , plus 2.75%, issued November 2007 12,372 12,372 Statutory Trust VII, 3 month LIBOR (1) , plus 2.54%, issued November 2007 13,403 13,403 Statutory Trust VIII, 3 month LIBOR (1) , plus 3.50%, issued March 2008 7,217 7,217 OMNI Trust I, 3 month LIBOR (1) , plus 3.30%, assumed May 2011 8,248 8,248 OMNI Trust II, 3 month LIBOR (1) , plus 2.79%, assumed May 2011 7,732 7,732 GA Commerce Trust II, 3 month LIBOR (1) , plus 1.64%, assumed May 2015 8,248 8,248 120,110 120,110 $ 1,343,687 $ 1,166,151 (1) The interest rate on the Company’s long-term debt indexed to LIBOR is based on the 3-month LIBOR rate. The 3-month LIBOR rate w as 1.91% and 2.81% at December 31, 2019 and 2018, respectively. |
Maturities of Long-Term Debt | Advances and long-term debt at December 31, 2019 have maturities or call dates in future years as follows: (in thousands) 2020 $ 582,371 2021 175,255 2022 10,564 2023 58,597 2024 6,242 2025 and thereafter 510,658 $ 1,343,687 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Provision for Income Tax Expense | The provision for income tax expense consisted of the following for the years ended December 31: (in thousands) 2019 2018 2017 Current expense (benefit) $ 114,221 $ (115,195 ) $ 84,827 Deferred expense 30,703 153,518 71,257 Tax credits (4,363 ) (5,179 ) (5,618 ) Items charged to shareholders' equity (25,123 ) (866 ) — $ 115,438 $ 32,278 $ 150,466 |
Reconciliation of Effective Tax Rate | The provision for federal income taxes differs from the amount computed by applying the federal income tax statutory rate of 21 percent for the years ended December 31, 2019 and 2018 and 35 percent for the year ended December 31, 2017 on income before income tax expense as indicated in the following analysis for the years ended December 31: (in thousands) 2019 2018 2017 Federal tax based on statutory rate $ 104,914 $ 84,531 $ 102,508 Increase (decrease) resulting from: Effect of tax-exempt income (6,314 ) (5,801 ) (9,435 ) Interest and other nondeductible expenses 10,429 6,464 9,605 State taxes, net of federal benefit 18,073 12,459 6,970 Tax credits (4,363 ) (5,179 ) (5,618 ) Other (1) (7,301 ) (60,196 ) 46,436 $ 115,438 $ 32,278 $ 150,466 Effective tax rate 23.1 % 8.0 % 51.4 % (1) The composition of other items resulting in a net tax benefit of $7.3 million for the year ended December 31, 2019 included $3.5 million in an unrecognized state tax credit, $2.3 million related to the remeasurement of deferred tax assets as a result of state statutory rate changes and changes to the state nexus, and $0.9 million related to equity based compensation. |
Deferred Tax Assets and Liabilities | Significant components of deferred tax assets and liabilities at December 31 were as follows: (in thousands) 2019 2018 Deferred tax assets: NOL and credit carryforward $ 18,061 $ 42,837 Allowance for credit losses 38,384 38,571 Deferred compensation 6,807 5,482 Basis difference in acquired assets and liabilities 8,967 9,228 OREO 1,234 32 Other 46,259 19,395 Gross deferred tax assets 119,712 115,545 Deferred tax liabilities: Unrealized gains on loans and securities (64,535 ) (98,807 ) Premises and equipment (7,941 ) (10,626 ) Acquisition intangibles (11,789 ) (9,757 ) Deferred loan costs (6,834 ) (5,814 ) Basis difference in acquired assets and liabilities (12,488 ) (17,628 ) Lease receivable (79,795 ) (37,844 ) Other (38,449 ) (6,485 ) Gross deferred tax liabilities (221,831 ) (186,961 ) Net deferred tax liabilities $ (102,119 ) $ (71,416 ) |
Shareholders' Equity, Capital_2
Shareholders' Equity, Capital Ratios and Other Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Schedule of Preferred Stock | The following table presents a summary of the Company's non-cumulative perpetual preferred stock at December 31: 2019 2018 Issuance Date Earliest Redemption Date Annual Dividend Rate Liquidation Amount Carrying Amount Carrying Amount (in thousands) Series B Preferred Stock 8/5/2015 8/1/2025 6.625 % $ 80,000 $ 76,812 $ 76,812 Series C Preferred Stock 5/9/2016 5/1/2026 6.600 % 57,500 55,285 55,285 Series D Preferred Stock 4/4/2019 5/1/2024 6.100 % 100,000 96,388 — $ 237,500 $ 228,485 $ 132,097 |
Actual Capital Amounts and Ratios | The Company’s and IBERIABANK’s actual capital amounts and ratios as of December 31 are presented in the following table. (in thousands) 2019 Minimum Well-Capitalized Actual Amount Ratio Amount Ratio Amount Ratio Tier 1 Leverage Consolidated $ 1,220,289 4.00 % N/A N/A $ 3,021,004 9.90 % IBERIABANK 1,217,638 4.00 $ 1,522,048 5.00 2,949,533 9.69 Common Equity Tier 1 (CET1) Consolidated $ 1,194,765 4.50 % N/A N/A $ 2,792,520 10.52 % IBERIABANK 1,191,062 4.50 $ 1,720,423 6.50 2,949,533 11.14 Tier 1 Risk-Based Capital Consolidated $ 1,593,020 6.00 % N/A N/A $ 3,021,004 11.38 % IBERIABANK 1,588,083 6.00 $ 2,117,444 8.00 2,949,533 11.14 Total Risk-Based Capital Consolidated $ 2,124,026 8.00 % N/A N/A $ 3,300,730 12.43 % IBERIABANK 2,117,444 8.00 $ 2,648,805 10.00 3,112,758 11.76 2018 Minimum Well-Capitalized Actual (in thousands) Amount Ratio Amount Ratio Amount Ratio Tier 1 Leverage Consolidated $ 1,168,343 4.00 % N/A N/A $ 2,812,863 9.63 % IBERIABANK 1,165,537 4.00 $ 1,456,921 5.00 2,733,099 9.38 Common Equity Tier 1 (CET1) Consolidated $ 1,125,405 4.50 % N/A N/A $ 2,680,766 10.72 % IBERIABANK 1,122,712 4.50 $ 1,621,695 6.50 2,733,099 10.95 Tier 1 Risk-Based Capital Consolidated $ 1,500,540 6.00 % N/A N/A $ 2,812,863 11.25 % IBERIABANK 1,496,949 6.00 $ 1,995,932 8.00 2,733,099 10.95 Total Risk-Based Capital Consolidated $ 2,000,720 8.00 % N/A N/A $ 3,084,764 12.33 % IBERIABANK 1,995,932 8.00 $ 2,494,915 10.00 2,888,500 11.58 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Calculation of Basic and Diluted Earnings Per Share | The computations of basic and diluted earnings per share were as follows: For the Years Ended December 31, (in thousands, except per share data) 2019 2018 2017 Earnings per common share - Basic Net income $ 384,155 $ 370,249 $ 142,413 Preferred stock dividends (12,602 ) (9,095 ) (9,095 ) Dividends and undistributed earnings allocated to unvested restricted shares (3,559 ) (3,583 ) (1,210 ) Earnings allocated to common shareholders - basic $ 367,994 $ 357,571 $ 132,108 Weighted average common shares outstanding 52,826 55,008 50,640 Earnings per common share - basic 6.97 6.50 2.61 Earnings per common share - Diluted Earnings allocated to common shareholders - basic $ 367,994 $ 357,571 $ 132,108 Dividends and undistributed earnings allocated to unvested restricted shares 6 (49 ) (1 ) Earnings allocated to common shareholders - diluted $ 368,000 $ 357,522 $ 132,107 Weighted average common shares outstanding 52,826 55,008 50,640 Dilutive potential common shares 327 352 352 Weighted average common shares outstanding - diluted 53,153 55,360 50,992 Earnings per common share - diluted $ 6.92 $ 6.46 $ 2.59 |
Share-Based Compensation and _2
Share-Based Compensation and Other Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Schedule of Share-based Compensation Arrangements by Share-based Payment Award | The following table represents the activity related to stock options during the periods indicated: Number of Shares Weighted Average Exercise Price Aggregate Intrinsic Value (in thousands) Weighted Average Remaining Contract Life (in years) Outstanding options, December 31, 2016 721,538 $ 55.38 Granted 80,557 84.78 Exercised (85,221 ) 55.45 $ 2,098 Forfeited or expired (30,508 ) 68.46 Outstanding options, December 31, 2017 686,366 $ 58.24 Granted 97,620 82.02 Exercised (42,047 ) 53.07 1,242 Forfeited or expired (27,519 ) 68.30 Outstanding options, December 31, 2018 714,420 $ 61.41 Granted 127,090 70.34 Exercised (122,143 ) 54.39 2,575 Forfeited or expired (13,570 ) 72.52 Outstanding options, December 31, 2019 705,797 $ 64.02 $ 8,926 5.4 Exercisable options, December 31, 2017 455,010 $ 55.77 Exercisable options, December 31, 2018 501,815 56.75 Exercisable options, December 31, 2019 463,595 59.13 $ 7,796 3.9 The following table represents unvested restricted stock award and restricted share unit activity for the years ended December 31: 2019 2018 2017 Number of shares at beginning of period 700,628 738,187 543,261 Granted 344,018 231,064 421,198 Forfeited (21,656 ) (72,217 ) (31,699 ) Vested (342,077 ) (196,406 ) (194,573 ) Number of shares at end of period 680,913 700,628 738,187 The following table represents phantom stock award activity during the periods indicated: (in thousands) Number of share equivalents (1) Value of share equivalents (2) Balance, December 31, 2016 472,830 $ 39,600 Granted 118,408 9,177 Forfeited share equivalents (34,968 ) 2,710 Vested share equivalents (162,426 ) 13,515 Balance, December 31, 2017 393,844 $ 30,523 Granted 157,044 10,095 Forfeited share equivalents (63,276 ) 4,067 Vested share equivalents (134,205 ) 11,156 Balance, December 31, 2018 353,407 $ 22,717 Granted 192,524 14,407 Forfeited share equivalents (34,362 ) 2,571 Vested share equivalents (112,052 ) 34,566 Balance, December 31, 2019 399,517 $ 29,896 (1) Number of share equivalents includes all reinvested dividend equivalents for the years indicated. (2) Except for share equivalents at the beginning of each period, which are based on the value at that time, and vested share payments, which are based on the cash paid at the time of vesting, the value of share equivalents is calculated based on the market price of the Company’s stock at the end of the respective periods. The market price of the Company’s stock was $74.83 , $64.28 and $77.50 on December 31, 2019, 2018, and 2017, respectively. |
Schedule of Valuation Assumptions | The following weighted-average assumptions were used for option awards issued during the years ended December 31: 2019 2018 2017 Expected dividends 2.3 % 1.8 % 1.7 % Expected volatility 24.5 % 24.3 % 25.0 % Risk-free interest rate 2.5 % 2.7 % 2.1 % Expected term (in years) 5.7 5.8 5.8 Weighted-average grant-date fair value $ 14.44 $ 18.48 $ 18.86 |
Schedule of Allocation for Share-based Compensation Expense | The following table represents compensation expense recorded for phantom stock based on the number of share equivalents vested at December 31 of the years indicated and the current market price of the Company’s stock at that time: (in thousands) 2019 2018 2017 Compensation expense related to phantom stock $ 10,160 $ 8,141 $ 10,756 The following table represents the compensation expense that was included in non-interest expense and related income tax benefits in the accompanying consolidated statements of comprehensive income related to restricted stock awards and restricted share units for the years ended December 31: (in thousands) 2019 2018 2017 Compensation expense related to restricted stock awards and restricted share units $ 23,176 $ 18,998 $ 14,966 Income tax benefit related to restricted stock awards and restricted share units 4,395 3,990 2,809 The following table represents the compensation expense that is included in non-interest expense and related income tax benefits in the accompanying consolidated statements of comprehensive income related to stock options for the years ended December 31: (in thousands) 2019 2018 2017 Compensation expense related to stock options $ 1,408 $ 1,280 $ 1,470 Income tax benefit related to stock options 103 93 124 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Summary of Financial Instruments Outstanding | At December 31, 2019 and 2018, respectively, the Company had the following financial instruments outstanding and related reserves, whose contract amounts represent credit risk: (in thousands) December 31, 2019 December 31, 2018 Commitments to extend credit $ 806,164 $ 642,162 Unfunded commitments under lines of credit 7,240,808 6,883,963 Commercial and standby letters of credit 327,336 240,436 Reserve for unfunded lending commitments 16,637 14,830 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial Asset and Liabilities Measured at Fair Value on Recurring Basis | The following table presents information about the Company's assets and liabilities that are measured at fair value on a recurring basis as of December 31, 2019 and 2018 and their classification within the fair value hierarchy. See Note 1, Summary of Significant Accounting Policies, for a description of how fair value measurements are determined. December 31, 2019 (in thousands) Level 1 Level 2 Level 3 Total Assets Securities available for sale $ — $ 3,933,360 $ — $ 3,933,360 Mortgage loans held for sale — 213,357 — 213,357 Mortgage loans held for investment, at fair value option — — 2,792 2,792 Derivative instruments — 104,151 — 104,151 Total $ — $ 4,250,868 $ 2,792 $ 4,253,660 Liabilities Derivative instruments $ — $ 11,799 $ — $ 11,799 Total $ — $ 11,799 $ — $ 11,799 December 31, 2018 Level 1 Level 2 Level 3 Total Assets Securities available for sale $ — $ 4,783,579 $ — $ 4,783,579 Mortgage loans held for sale — 107,734 — 107,734 Mortgage loans held for investment, at fair value option — — 3,143 3,143 Derivative instruments — 27,048 — 27,048 Total $ — $ 4,918,361 $ 3,143 $ 4,921,504 Liabilities Derivative instruments $ — $ 22,124 $ — $ 22,124 Total $ — $ 22,124 $ — $ 22,124 |
Financial Asset and Liabilities Measured at Fair Value on Nonrecurring Basis | The following table presents information about the Company's assets that are measured at fair value and still held as of December 31, 2019 and 2018 for which a non-recurring fair value adjustment was recorded during the years then ended. See Note 1, Summary of Significant Accounting Policies, for a description of how fair value measurements are determined. December 31, 2019 (in thousands) Level 1 Level 2 Level 3 Total Assets Impaired loans $ — $ — $ 74,763 $ 74,763 OREO, net — — 4,907 4,907 Total $ — $ — $ 79,670 $ 79,670 December 31, 2018 Level 1 Level 2 Level 3 Total Assets Impaired loans $ — $ — $ 65,914 $ 65,914 OREO, net — — 6,433 6,433 Total $ — $ — $ 72,347 $ 72,347 |
Summary of Difference Between the Aggregate Fair Value and the Aggregate Unpaid Principal Balance for Mortgage Loans Held for Sale | The following table summarizes the difference between the aggregate fair value and the aggregate unpaid principal balance for mortgage loans held for sale and mortgage loans held for investment measured at fair value: December 31, 2019 December 31, 2018 (in thousands) Aggregate Fair Value Aggregate Unpaid Principal Aggregate Fair Value Less Unpaid Principal Aggregate Fair Value Aggregate Unpaid Principal Aggregate Fair Value Less Unpaid Principal Mortgage loans held for sale, at fair value $ 213,357 $ 207,481 $ 5,876 $ 107,734 $ 104,345 $ 3,389 Mortgage loans held for investment, at fair value 2,792 2,922 (130 ) 3,143 3,595 (452 ) |
Fair Value Option, Disclosures | The following table details net gains (losses) resulting from the change in fair value of loans that were recorded in mortgage income in the consolidated statements of comprehensive income for the years ended December 31, 2019, 2018 and 2017. The changes in fair value are mostly offset by economic hedging activities, with an insignificant portion of these changes attributable to changes in instrument-specific credit risk. Net Gains (Losses) Resulting From Changes in Fair Value For the Years Ended December 31, (in thousands) 2019 2018 2017 Fair value option Mortgage loans held for sale, at fair value $ 2,486 $ (251 ) $ 944 Mortgage loans held for investment, at fair value 18 (1,542 ) (204 ) |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Estimated Fair Values and Carrying Amounts of Financial Instruments | The carrying amount and estimated fair values of the Company's financial instruments, as well as the level within the fair value hierarchy, are included in the tables below. See Note 1, Summary of Significant Accounting Policies, for a description of how fair value measurements are determined. December 31, 2019 (in thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Measurement Category Fair Value Financial Assets Securities available for sale $ 3,933,360 $ 3,933,360 $ — $ 3,933,360 $ — Mortgage loans held for sale 213,357 213,357 — 213,357 — Mortgage loans held for investment, at fair value option 2,792 2,792 — — 2,792 Derivative instruments 104,151 104,151 — 104,151 — Financial Liabilities Derivative instruments 11,799 11,799 — 11,799 — Amortized Cost Financial Assets Cash and cash equivalents $ 894,723 $ 894,723 $ 894,723 $ — $ — Securities held to maturity 182,961 189,899 — 189,899 — Loans and leases, carried at amortized cost, net of unearned income and allowance for loan and lease losses 23,874,911 23,732,650 — — 23,732,650 Financial Liabilities Deposits 25,219,349 25,229,566 — 25,229,566 — Short-term borrowings 204,208 204,208 204,208 — — Long-term debt 1,343,687 1,296,696 — — 1,296,696 December 31, 2018 (in thousands) Carrying Amount Fair Value Level 1 Level 2 Level 3 Measurement Category Fair Value Financial Assets Securities available for sale $ 4,783,579 $ 4,783,579 $ — $ 4,783,579 $ — Mortgage loans held for sale 107,734 107,734 — 107,734 — Mortgage loans held for investment, at fair value option 3,143 3,143 — — 3,143 Derivative instruments 27,048 27,048 — 27,048 — Financial Liabilities Derivative instruments 22,124 22,124 — 22,124 — Amortized Cost Financial Assets Cash and cash equivalents $ 690,453 $ 690,453 $ 690,453 $ — $ — Securities held to maturity 207,446 204,277 — 204,277 — Loans and leases, carried at amortized cost, net of unearned income and allowance for loan and lease losses 22,376,101 22,088,236 — — 22,088,236 Financial Liabilities Deposits 23,763,431 23,752,139 — 23,752,139 — Short-term borrowings 1,482,882 1,482,882 315,882 1,167,000 — Long-term debt 1,166,151 1,154,062 — — 1,154,062 |
Business Segments (Tables)
Business Segments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information | The following tables present certain information regarding operations by reportable segment, including a reconciliation of segment results to reported consolidated results for the periods presented. Reconciling items between segment results and reported results include: • Elimination of interest income and interest expense representing interest earned by IBERIABANK on interest-bearing checking accounts held by related companies, as well as the elimination of the related deposit balances at the IBERIABANK segment; • Elimination of investment in subsidiary balances on certain operating segments included in total and average segment assets; and • Elimination of intercompany due to and due from balances on certain operating segments that are included in total and average segment assets. Year Ended December 31, 2019 (in thousands) IBERIABANK Mortgage LTC Consolidated Interest and dividend income $ 1,301,901 $ 8,104 $ 3 $ 1,310,008 Interest expense 320,362 — — 320,362 Net interest income 981,539 8,104 3 989,646 Provision for (reversal of) credit losses 41,710 (53 ) — 41,657 Mortgage income — 63,030 — 63,030 Title revenue — — 25,928 25,928 Other non-interest income (expense) 145,317 104 (19 ) 145,402 Allocated expenses (income) (14,495 ) 10,640 3,855 — Non-interest expense 611,794 51,734 19,228 682,756 Income before income tax expense 487,847 8,917 2,829 499,593 Income tax expense 112,624 2,051 763 115,438 Net income $ 375,223 $ 6,866 $ 2,066 $ 384,155 Total loans, leases, and loans held for sale, net of unearned income $ 24,003,854 $ 231,002 $ — $ 24,234,856 Total assets 31,413,998 271,382 28,070 31,713,450 Total deposits 25,200,205 19,144 — 25,219,349 Average assets 31,121,870 230,241 25,757 31,377,868 Year Ended December 31, 2018 (in thousands) IBERIABANK Mortgage LTC Consolidated Interest and dividend income $ 1,215,668 $ 5,958 $ 3 $ 1,221,629 Interest expense 208,381 — — 208,381 Net interest income 1,007,287 5,958 3 1,013,248 Provision for (reversal of) credit losses 40,429 (44 ) — 40,385 Mortgage income — 46,424 — 46,424 Title revenue — — 24,149 24,149 Other non-interest income (expense) 81,588 (95 ) 496 81,989 Allocated expenses (income) (13,437 ) 9,847 3,590 — Non-interest expense 660,804 43,021 19,073 722,898 Income (loss) before income tax expense 401,079 (537 ) 1,985 402,527 Income tax expense (benefit) 32,436 (52 ) (106 ) 32,278 Net income (loss) $ 368,643 $ (485 ) $ 2,091 $ 370,249 Total loans, leases, and loans held for sale, net of unearned income $ 22,493,809 $ 133,740 $ — $ 22,627,549 Total assets 30,645,000 162,599 25,416 30,833,015 Total deposits 23,754,512 8,919 — 23,763,431 Average assets 29,400,755 153,717 23,554 29,578,026 Year Ended December 31, 2017 (in thousands) IBERIABANK Mortgage LTC Consolidated Interest and dividend income $ 906,521 $ 7,260 $ 2 $ 913,783 Interest expense 104,937 — — 104,937 Net interest income 801,584 7,260 2 808,846 Provision for (reversal of) credit losses 51,797 (89 ) — 51,708 Mortgage income — 63,570 — 63,570 Title revenue — — 21,972 21,972 Other non-interest income (expense) 116,659 (42 ) (12 ) 116,605 Allocated expenses (income) (13,293 ) 10,041 3,252 — Non-interest expense 575,865 73,587 16,954 666,406 Income (loss) before income tax expense 303,874 (12,751 ) 1,756 292,879 Income tax expense (benefit) 156,407 (5,771 ) (170 ) 150,466 Net income (loss) $ 147,467 $ (6,980 ) $ 1,926 $ 142,413 Total loans, leases, and loans held for sale, net of unearned income $ 20,028,840 $ 184,257 $ — $ 20,213,097 Total assets 27,672,906 208,710 22,513 27,904,129 Total deposits 21,462,776 3,941 — 21,466,717 Average assets 24,228,436 229,364 22,856 24,480,656 |
Condensed Parent Company Only_2
Condensed Parent Company Only Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Balance Sheets | Condensed Balance Sheets (in thousands) December 31, 2019 2018 Assets Cash in bank $ 160,171 $ 179,545 Investments in subsidiaries 4,308,843 4,008,802 Other assets 63,205 53,832 $ 4,532,219 $ 4,242,179 Liabilities and Shareholders’ Equity Liabilities $ 195,485 $ 185,902 Shareholders’ equity 4,336,734 4,056,277 $ 4,532,219 $ 4,242,179 |
Condensed Statements of Income | Condensed Statements of Income Year Ended December 31, (in thousands) 2019 2018 2017 Operating income Reimbursement of management expenses $ 85,796 $ 83,262 $ 76,177 Other income 190,407 245,213 146,796 Total operating income 276,203 328,475 222,973 Operating expenses Interest expense 6,088 6,008 5,168 Salaries and employee benefits expense 62,938 55,436 55,013 Other expenses 25,106 28,963 32,965 Total operating expenses 94,132 90,407 93,146 Income before income tax (benefit) expense and equity in undistributed earnings of subsidiaries 182,071 238,068 129,827 Income tax (benefit) expense (600 ) 799 3,123 Income before equity in undistributed earnings of subsidiaries 182,671 237,269 126,704 Equity in undistributed earnings of subsidiaries 201,484 132,980 15,709 Net income 384,155 370,249 142,413 Less: Preferred stock dividends 12,602 9,095 9,095 Net income available to common shareholders $ 371,553 $ 361,154 $ 133,318 |
Condensed Statements of Cash Flows | Condensed Statements of Cash Flows (in thousands) Year Ended December 31, 2019 2018 2017 Cash Flows from Operating Activities Net income $ 384,155 $ 370,249 $ 142,413 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Depreciation and amortization 309 145 62 Net income of subsidiaries (391,484 ) (377,974 ) (160,206 ) Share-based compensation expense - equity awards 24,584 20,278 16,436 Other operating activities, net (9,828 ) 491 (4,256 ) Net Cash Provided by (Used in) Operating Activities 7,736 13,189 (5,551 ) Cash Flows from Investing Activities Cash paid in excess of cash received for acquisitions — (7 ) (809,159 ) Purchases of premises and equipment (292 ) (52 ) (105 ) Return of capital from subsidiary 190,000 245,000 144,500 Other investing activities, net (301 ) (1,500 ) — Net Cash Provided by (Used in) Investing Activities 189,407 243,441 (664,764 ) Cash Flows from Financing Activities Cash dividends paid on common stock (92,190 ) (84,782 ) (72,772 ) Cash dividends paid on preferred stock (12,602 ) (9,095 ) (9,095 ) Net share-based compensation stock transactions (3,373 ) (3,226 ) (832 ) Payments to repurchase common stock (204,740 ) (148,855 ) — Net proceeds from issuance of common stock — — 485,151 Net proceeds from issuance of preferred stock 96,388 — — Other financing activities, net — — (56 ) Net Cash Provided by (Used In) Financing Activities (216,517 ) (245,958 ) 402,396 Net Increase (Decrease) in Cash and Cash Equivalents (19,374 ) 10,672 (267,919 ) Cash and Cash Equivalents at Beginning of Period 179,545 168,873 436,792 Cash and Cash Equivalents at End of Period $ 160,171 $ 179,545 $ 168,873 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Accounts, Notes, Loans and Financing Receivable | ||
Maximum loss exposure | $ 271.5 | $ 230.2 |
Fair value adjustment period | 1 year | |
Maturity period for cash and cash equivalents | 3 months | |
Threshold period of past due status of financing receivable | 30 days | |
Threshold period for unsecured and in process of collection loans | 90 days | |
Past due loans threshold period for write-off | 120 days | |
Period due to be considered for accrual of interest on loans Is discontinued | 90 days | |
Rate lock period | 60 days | |
Commercial Loans | ||
Accounts, Notes, Loans and Financing Receivable | ||
Past due loans threshold period for write-off | 90 days | |
Residential and Consumer Portfolio | ||
Accounts, Notes, Loans and Financing Receivable | ||
Past due loans threshold period evaluation for charge-off | 120 days | |
Buildings | Minimum | ||
Accounts, Notes, Loans and Financing Receivable | ||
Useful life of property and equipment | 10 years | |
Buildings | Maximum | ||
Accounts, Notes, Loans and Financing Receivable | ||
Useful life of property and equipment | 40 years | |
Furniture, fixtures and equipment | Minimum | ||
Accounts, Notes, Loans and Financing Receivable | ||
Useful life of property and equipment | 3 years | |
Furniture, fixtures and equipment | Maximum | ||
Accounts, Notes, Loans and Financing Receivable | ||
Useful life of property and equipment | 20 years | |
Customer relationship intangible asset | Maximum | ||
Accounts, Notes, Loans and Financing Receivable | ||
Useful life of finite-lived intangible asset | 10 years |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands | Jan. 01, 2020 | Dec. 31, 2019 | Jan. 01, 2019 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
ROU asset | $ 119,774 | ||
Lease liabilities | $ 138,766 | ||
Accounting Standards Update 2016-02 | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
ROU asset | $ 94,200 | ||
Lease liabilities | 118,900 | ||
Right-of-use asset reclassification adjustment | $ 24,700 | ||
Forecast | Subsequent Event | Minimum | Accounting Standards Update 2016-13 [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
ACL to loans ratio | 0.98% | ||
Forecast | Subsequent Event | Maximum | Accounting Standards Update 2016-13 [Member] | |||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||
ACL to loans ratio | 1.04% |
Investment Securities - Schedul
Investment Securities - Schedule of Amortized Cost and Fair Values of Investment Securities, with Gross Unrealized Gains and Losses (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Available-for-sale Securities | ||
Amortized Cost | $ 3,882,541 | $ 4,843,313 |
Gross Unrealized Gains | 55,292 | 13,648 |
Gross Unrealized Losses | (4,473) | (73,382) |
Estimated Fair Value | 3,933,360 | 4,783,579 |
Schedule of Held-to-maturity Securities | ||
Amortized Cost | 182,961 | 207,446 |
Gross Unrealized Gains | 7,177 | 339 |
Gross Unrealized Losses | (239) | (3,508) |
Estimated Fair Value | 189,899 | 204,277 |
Fair value of securities held as collateral | 2,200,000 | 2,400,000 |
U.S. Government-sponsored enterprise obligations | ||
Schedule of Available-for-sale Securities | ||
Amortized Cost | 39,916 | 995 |
Gross Unrealized Gains | 281 | 3 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 40,197 | 998 |
Obligations of state and political subdivisions | ||
Schedule of Available-for-sale Securities | ||
Amortized Cost | 160,873 | 177,566 |
Gross Unrealized Gains | 7,607 | 2,045 |
Gross Unrealized Losses | 0 | (723) |
Estimated Fair Value | 168,480 | 178,888 |
Schedule of Held-to-maturity Securities | ||
Amortized Cost | 166,386 | 188,684 |
Gross Unrealized Gains | 7,147 | 309 |
Gross Unrealized Losses | 0 | (2,497) |
Estimated Fair Value | 173,533 | 186,496 |
Residential agency | ||
Schedule of Available-for-sale Securities | ||
Amortized Cost | 2,876,069 | 3,837,584 |
Gross Unrealized Gains | 27,423 | 8,886 |
Gross Unrealized Losses | (3,836) | (57,073) |
Estimated Fair Value | 2,899,656 | 3,789,397 |
Schedule of Held-to-maturity Securities | ||
Amortized Cost | 16,575 | 18,762 |
Gross Unrealized Gains | 30 | 30 |
Gross Unrealized Losses | (239) | (1,011) |
Estimated Fair Value | 16,366 | 17,781 |
Commercial agency | ||
Schedule of Available-for-sale Securities | ||
Amortized Cost | 704,661 | 730,148 |
Gross Unrealized Gains | 17,202 | 2,363 |
Gross Unrealized Losses | (404) | (14,799) |
Estimated Fair Value | 721,459 | 717,712 |
Other securities | ||
Schedule of Available-for-sale Securities | ||
Amortized Cost | 101,022 | 97,020 |
Gross Unrealized Gains | 2,779 | 351 |
Gross Unrealized Losses | (233) | (787) |
Estimated Fair Value | $ 103,568 | $ 96,584 |
Investment Securities - Sched_2
Investment Securities - Schedule of Securities with Gross Unrealized Losses Aggregated by Investment Category (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Gross Unrealized Losses | ||
Less Than Twelve Months | $ (2,278) | $ (962) |
Twelve Months or More | (2,195) | (72,420) |
Total | (4,473) | (73,382) |
Estimated Fair Value | ||
Less Than Twelve Months | 511,891 | 237,384 |
Twelve Months or More | 283,176 | 2,740,272 |
Total | 795,067 | 2,977,656 |
Gross Unrealized Losses | ||
Less than twelve months | (52) | (3) |
Over twelve months | (187) | (3,505) |
Total | (239) | (3,508) |
Estimated Fair Value | ||
Less than twelve months | 6,308 | 2,059 |
Over twelve months | 9,074 | 169,177 |
Total | 15,382 | 171,236 |
Obligations of state and political subdivisions | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | 0 | (9) |
Twelve Months or More | 0 | (714) |
Total | 0 | (723) |
Estimated Fair Value | ||
Less Than Twelve Months | 590 | 4,112 |
Twelve Months or More | 0 | 30,268 |
Total | 590 | 34,380 |
Gross Unrealized Losses | ||
Less than twelve months | (3) | |
Over twelve months | (2,494) | |
Total | (2,497) | |
Estimated Fair Value | ||
Less than twelve months | 2,059 | |
Over twelve months | 151,699 | |
Total | 153,758 | |
Residential agency | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | (1,893) | (816) |
Twelve Months or More | (1,943) | (56,257) |
Total | (3,836) | (57,073) |
Estimated Fair Value | ||
Less Than Twelve Months | 441,332 | 197,057 |
Twelve Months or More | 268,383 | 2,193,862 |
Total | 709,715 | 2,390,919 |
Gross Unrealized Losses | ||
Less than twelve months | (52) | 0 |
Over twelve months | (187) | (1,011) |
Total | (239) | (1,011) |
Estimated Fair Value | ||
Less than twelve months | 6,308 | 0 |
Over twelve months | 9,074 | 17,478 |
Total | 15,382 | 17,478 |
Commercial agency | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | (252) | (43) |
Twelve Months or More | (152) | (14,756) |
Total | (404) | (14,799) |
Estimated Fair Value | ||
Less Than Twelve Months | 56,728 | 18,190 |
Twelve Months or More | 10,301 | 483,565 |
Total | 67,029 | 501,755 |
Other securities | ||
Gross Unrealized Losses | ||
Less Than Twelve Months | (133) | (94) |
Twelve Months or More | (100) | (693) |
Total | (233) | (787) |
Estimated Fair Value | ||
Less Than Twelve Months | 13,241 | 18,025 |
Twelve Months or More | 4,492 | 32,577 |
Total | $ 17,733 | $ 50,602 |
Investment Securities - Additio
Investment Securities - Additional Information on Securities in a Continuous Loss Position (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)Security | Dec. 31, 2018USD ($)Security | |
Schedule of Available-for-sale Securities | ||
Number of debt securities with unrealized losses | Security | 123 | 488 |
Debt securities with unrealized losses (percentage of amortized cost) | 0.58% | 2.38% |
Number of securities | Security | 69 | 441 |
Amortized cost basis | $ 294,631 | $ 2,985,374 |
Unrealized loss | $ 2,382 | $ 75,925 |
Residential agency | ||
Schedule of Available-for-sale Securities | ||
Number of securities | Security | 59 | 302 |
Amortized cost basis | $ 279,587 | $ 2,268,608 |
Unrealized loss | $ 2,130 | $ 57,268 |
Commercial agency | ||
Schedule of Available-for-sale Securities | ||
Number of securities | Security | 6 | 72 |
Amortized cost basis | $ 10,453 | $ 498,321 |
Unrealized loss | $ 152 | $ 14,756 |
Obligations of state and political subdivisions | ||
Schedule of Available-for-sale Securities | ||
Number of securities | Security | 0 | 60 |
Amortized cost basis | $ 0 | $ 185,175 |
Unrealized loss | $ 0 | $ 3,208 |
Other securities | ||
Schedule of Available-for-sale Securities | ||
Number of securities | Security | 4 | 7 |
Amortized cost basis | $ 4,591 | $ 33,270 |
Unrealized loss | $ 100 | $ 693 |
Investment Securities - Sched_3
Investment Securities - Schedule of Amortized Cost and Estimated Fair Value of Investment Securities by Maturity (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Weighted Average Yield | ||
Within one year or less | 2.61% | |
One through five years | 2.52% | |
After five through ten years | 2.72% | |
Over ten years | 2.45% | |
Weighted average yield | 2.50% | |
Amortized Cost | ||
Within one year or less | $ 40,875 | |
One through five years | 127,588 | |
After five through ten years | 706,365 | |
Over ten years | 3,007,713 | |
Amortized Cost | 3,882,541 | $ 4,843,313 |
Estimated Fair Value | ||
Within one year or less | 41,158 | |
One through five years | 130,809 | |
After five through ten years | 725,592 | |
Over ten years | 3,035,801 | |
Estimated fair value | $ 3,933,360 | 4,783,579 |
Weighted Average Yield | ||
Within one year or less | 3.29% | |
One through five years | 2.60% | |
After five through ten years | 2.37% | |
Over ten years | 2.57% | |
Weighted average yield | 2.53% | |
Amortized Cost | ||
Within one year or less | $ 330 | |
One through five years | 5,350 | |
After five through ten years | 42,775 | |
Over ten years | 134,506 | |
Amortized Cost | 182,961 | 207,446 |
Estimated Fair Value | ||
Within one year or less | 331 | |
One through five years | 5,380 | |
After five through ten years | 44,314 | |
Over ten years | 139,874 | |
Estimated fair value | $ 189,899 | $ 204,277 |
Investment Securities - Sched_4
Investment Securities - Schedule of Realized Gains and Losses from Sale of Securities Classified as Available for Sale (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |||
Realized gains | $ 1,332 | $ 40 | $ 1,651 |
Realized losses | (2,311) | (49,940) | (1,799) |
Net realized gains (losses) | $ (979) | $ (49,900) | $ (148) |
Investment Securities - Sched_5
Investment Securities - Schedule of Securities in Other Assets on Company's Consolidated Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Investments, Debt and Equity Securities [Abstract] | ||
Federal Home Loan Bank stock | $ 70,386 | $ 95,213 |
Federal Reserve Bank stock | 85,630 | 85,630 |
CRA and Community Development Investment Funds | 1,948 | 1,884 |
Other investments | 21,118 | 9,709 |
Marketable Securities | $ 179,082 | $ 192,436 |
Loans and Leases - Schedule of
Loans and Leases - Schedule of Non-Covered Loans (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts, Notes, Loans and Financing Receivable | ||
Loans and leases, net of unearned income | $ 24,021,499 | $ 22,519,815 |
Commercial Loans | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans and leases, net of unearned income | 16,611,633 | 15,125,322 |
Commercial Loans | Real estate - construction | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans and leases, net of unearned income | 1,321,663 | 1,196,366 |
Commercial Loans | Real estate - owner-occupied | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans and leases, net of unearned income | 2,475,326 | 2,395,822 |
Commercial Loans | Real estate - non-owner-occupied | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans and leases, net of unearned income | 6,267,106 | 5,796,117 |
Commercial Loans | Commercial and industrial | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans and leases, net of unearned income | 6,547,538 | 5,737,017 |
Residential mortgage loans | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans and leases, net of unearned income | 4,739,075 | 4,359,156 |
Consumer and Other Loans | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans and leases, net of unearned income | 2,670,791 | 3,035,337 |
Consumer and Other Loans | Home Equity | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans and leases, net of unearned income | 1,987,336 | 2,304,694 |
Consumer and Other Loans | Other | ||
Accounts, Notes, Loans and Financing Receivable | ||
Loans and leases, net of unearned income | $ 683,455 | $ 730,643 |
Loans and Leases (Details)
Loans and Leases (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accounts, Notes, Loans and Financing Receivable | |||
Net deferred loan origination fees | $ 36,800 | $ 30,200 | |
Net discount | 89,300 | 136,800 | |
Deposit liabilities reclassified as loans receivable | 7,700 | 9,200 | |
Loans with carrying value pledged to secure public deposits and other borrowings | 8,600,000 | 7,600,000 | |
Sabadell United | Non-US | |||
Accounts, Notes, Loans and Financing Receivable | |||
Covered loans acquired | 182,400 | 202,600 | |
TDRs Occurring during the Period | TDRs | |||
Accounts, Notes, Loans and Financing Receivable | |||
TDRs during period | 57,874 | 53,171 | $ 70,459 |
TDRs during period on accrual status | 25,100 | 31,500 | 46,300 |
TDRs during period on non-accrual status | 32,800 | 21,700 | $ 24,200 |
Acquired Loans | |||
Accounts, Notes, Loans and Financing Receivable | |||
Net discount | $ 56,400 | $ 81,600 |
Loans and Leases - Schedule o_2
Loans and Leases - Schedule of Aging of Loans (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | $ 71,461 | $ 59,460 | |
Non-accrual Loans | 138,905 | 137,184 | |
Acquired Impaired Loans | 188,274 | 169,725 | $ 238,127 |
Total Loans | 24,021,499 | 22,519,815 | |
Non-accrual loans past due, 30-59 days | 8,700 | 7,000 | |
Non-accrual loan past due, 60-89 days | 4,300 | 3,700 | |
Non-accrual loans past due, more than 90 days | 73,200 | 66,900 | |
Commercial Loans | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 118,653 | 125,706 | 194,201 |
Total Loans | 16,611,633 | 15,125,322 | |
Commercial Loans | Real estate - construction | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 244 | 1,054 | |
Non-accrual Loans | 1,394 | 1,094 | |
Total Loans | 1,321,663 | 1,196,366 | |
Commercial Loans | Real estate - owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 17,772 | 7,167 | |
Non-accrual Loans | 17,817 | 10,260 | |
Total Loans | 2,475,326 | 2,395,822 | |
Commercial Loans | Real estate - non-owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 5,348 | 7,833 | |
Non-accrual Loans | 15,440 | 15,898 | |
Total Loans | 6,267,106 | 5,796,117 | |
Commercial Loans | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 8,427 | 7,012 | |
Non-accrual Loans | 41,636 | 57,860 | |
Total Loans | 6,547,538 | 5,737,017 | |
Residential mortgage loans | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 29,402 | 6,579 | 6,749 |
Residential mortgage loans | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 4,673,266 | 4,290,152 | |
Accruing | 19,664 | 17,406 | |
Non-accrual Loans | 34,833 | 30,396 | |
Total Loans | 4,739,075 | 4,359,156 | |
Consumer and Other Loans | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 40,219 | 37,440 | $ 37,177 |
Consumer and Other Loans | Consumer - home equity | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 1,942,091 | 2,258,659 | |
Accruing | 15,057 | 12,692 | |
Non-accrual Loans | 24,404 | 18,830 | |
Total Loans | 1,987,336 | 2,304,694 | |
Consumer and Other Loans | Consumer - other | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 675,014 | 721,231 | |
Accruing | 4,949 | 6,296 | |
Non-accrual Loans | 3,381 | 2,846 | |
Total Loans | 683,455 | 730,643 | |
Acquired Loans | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 265,328 | 363,413 | |
Acquired Loans | Commercial Loans | Real estate - construction | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 8,567 | 26,423 | |
Acquired Loans | Commercial Loans | Real estate - owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 55,533 | 72,652 | |
Acquired Loans | Commercial Loans | Real estate - non-owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 52,257 | 69,255 | |
Acquired Loans | Commercial Loans | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 22,581 | 26,841 | |
Acquired Loans | Residential mortgage loans | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 75,811 | 93,208 | |
Acquired Loans | Consumer and Other Loans | Consumer - home equity | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 48,385 | 72,655 | |
Acquired Loans | Consumer and Other Loans | Consumer - other | |||
Accounts, Notes, Loans and Financing Receivable | |||
Acquired Impaired Loans | 2,194 | 2,379 | |
Current or Less Than 30 days past due | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 23,545,805 | 21,959,758 | |
Current or Less Than 30 days past due | Commercial Loans | Real estate - construction | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 1,311,458 | 1,167,795 | |
Current or Less Than 30 days past due | Commercial Loans | Real estate - owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 2,384,204 | 2,305,743 | |
Current or Less Than 30 days past due | Commercial Loans | Real estate - non-owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 6,194,061 | 5,703,131 | |
Current or Less Than 30 days past due | Commercial Loans | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 6,474,894 | 5,645,304 | |
Current or Less Than 30 days past due | Residential mortgage loans | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 4,608,767 | 4,218,146 | |
Current or Less Than 30 days past due | Consumer and Other Loans | Consumer - home equity | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 1,899,490 | 2,200,517 | |
Current or Less Than 30 days past due | Consumer and Other Loans | Consumer - other | |||
Accounts, Notes, Loans and Financing Receivable | |||
Current | 672,931 | 719,122 | |
30-59 days | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 44,119 | 38,579 | |
30-59 days | Commercial Loans | Real estate - construction | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 244 | 1,054 | |
30-59 days | Commercial Loans | Real estate - owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 15,619 | 7,167 | |
30-59 days | Commercial Loans | Real estate - non-owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 2,831 | 7,473 | |
30-59 days | Commercial Loans | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 6,414 | 5,139 | |
30-59 days | Residential mortgage loans | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 2,335 | 2,768 | |
30-59 days | Consumer and Other Loans | Consumer - home equity | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 12,916 | 10,283 | |
30-59 days | Consumer and Other Loans | Consumer - other | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 3,760 | 4,695 | |
60-89 days | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 24,085 | 18,753 | |
60-89 days | Commercial Loans | Real estate - construction | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 0 | 0 | |
60-89 days | Commercial Loans | Real estate - owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 1,118 | 0 | |
60-89 days | Commercial Loans | Real estate - non-owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 2,459 | 360 | |
60-89 days | Commercial Loans | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 1,126 | 1,320 | |
60-89 days | Residential mortgage loans | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 16,052 | 13,063 | |
60-89 days | Consumer and Other Loans | Consumer - home equity | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 2,141 | 2,409 | |
60-89 days | Consumer and Other Loans | Consumer - other | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 1,189 | 1,601 | |
Greater than 90 days | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 3,257 | 2,128 | |
Greater than 90 days | Commercial Loans | Real estate - construction | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 0 | 0 | |
Greater than 90 days | Commercial Loans | Real estate - owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 1,035 | 0 | |
Greater than 90 days | Commercial Loans | Real estate - non-owner-occupied | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 58 | 0 | |
Greater than 90 days | Commercial Loans | Commercial and industrial | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 887 | 553 | |
Greater than 90 days | Residential mortgage loans | Residential mortgage | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 1,277 | 1,575 | |
Greater than 90 days | Consumer and Other Loans | Consumer - home equity | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | 0 | 0 | |
Greater than 90 days | Consumer and Other Loans | Consumer - other | |||
Accounts, Notes, Loans and Financing Receivable | |||
Accruing | $ 0 | $ 0 |
Loans and Leases - Summary of C
Loans and Leases - Summary of Changes in Accretable Yields of Acquired Loans (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | |||
Balance at beginning of period | $ 133,342 | $ 152,623 | $ 175,054 |
Additions | 0 | 5,574 | 32,937 |
Transfers from non-accretable difference to accretable yield | (2,150) | 3,623 | 4,912 |
Accretion | (36,512) | (47,962) | (56,337) |
Changes in expected cash flows not affecting non-accretable differences | (4,529) | 19,484 | (3,943) |
Balance at end of period | $ 90,151 | $ 133,342 | $ 152,623 |
Loans and Leases - Schedule o_3
Loans and Leases - Schedule of Modified TDRs (Detail) - TDRs Occurring during the Period - TDRs - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable, Modifications | |||
Extended maturities | $ 11,741 | $ 23,262 | $ 26,561 |
Interest rate adjustment | 68 | 99 | 24 |
Maturity and interest rate adjustment | 1,729 | 554 | 4,932 |
Movement to or extension of interest-rate only payments | 1,791 | 881 | 4,161 |
Forbearance | 22,319 | 4,432 | 7,226 |
Other concession(s) | 20,226 | 23,943 | 27,555 |
Total | $ 57,874 | $ 53,171 | $ 70,459 |
Loans and Leases - Schedule o_4
Loans and Leases - Schedule of Subsequently Defaulted TDRs (Detail) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019USD ($)SecurityLoan | Dec. 31, 2018USD ($)SecurityLoan | Dec. 31, 2017USD ($)SecurityLoan | |
Accounts, Notes, Loans and Financing Receivable | |||
Threshold period for loans in default (in days) | 30 days | ||
TDRs | TDRs Occurring during the Period | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of Loans | SecurityLoan | 282 | 246 | 359 |
Pre-modification Outstanding Recorded Investment | $ 68,912 | $ 66,395 | $ 70,233 |
Post-modification Outstanding Recorded Investment | $ 53,171 | $ 70,459 | |
Number of loans | SecurityLoan | 117 | 81 | 163 |
Recorded investment | $ 19,609 | $ 7,512 | $ 28,734 |
TDRs | Commercial Loans | Real estate - construction | TDRs Occurring during the Period | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of Loans | SecurityLoan | 2 | 3 | 4 |
Pre-modification Outstanding Recorded Investment | $ 6,377 | $ 4,819 | $ 9,404 |
Post-modification Outstanding Recorded Investment | $ 9,258 | $ 3,830 | $ 9,628 |
Number of loans | SecurityLoan | 0 | 0 | 2 |
Recorded investment | $ 0 | $ 0 | $ 3,572 |
TDRs | Commercial Loans | Real estate - owner-occupied | TDRs Occurring during the Period | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of Loans | SecurityLoan | 11 | 14 | 11 |
Pre-modification Outstanding Recorded Investment | $ 10,081 | $ 4,257 | $ 5,779 |
Post-modification Outstanding Recorded Investment | $ 9,587 | $ 3,912 | $ 5,706 |
Number of loans | SecurityLoan | 6 | 2 | 6 |
Recorded investment | $ 4,357 | $ 142 | $ 4,668 |
TDRs | Commercial Loans | Real estate - non-owner-occupied | TDRs Occurring during the Period | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of Loans | SecurityLoan | 27 | 20 | 19 |
Pre-modification Outstanding Recorded Investment | $ 9,264 | $ 3,719 | $ 11,974 |
Post-modification Outstanding Recorded Investment | $ 8,436 | $ 3,428 | $ 13,738 |
Number of loans | SecurityLoan | 9 | 5 | 13 |
Recorded investment | $ 4,215 | $ 1,039 | $ 8,060 |
TDRs | Commercial Loans | Commercial and industrial | TDRs Occurring during the Period | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of Loans | SecurityLoan | 66 | 52 | 57 |
Pre-modification Outstanding Recorded Investment | $ 30,536 | $ 39,796 | $ 21,651 |
Post-modification Outstanding Recorded Investment | $ 18,803 | $ 30,295 | $ 20,883 |
Number of loans | SecurityLoan | 27 | 13 | 32 |
Recorded investment | $ 7,027 | $ 3,757 | $ 6,550 |
TDRs | Residential mortgage loans | Residential mortgage | TDRs Occurring during the Period | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of Loans | SecurityLoan | 36 | 19 | 24 |
Pre-modification Outstanding Recorded Investment | $ 2,729 | $ 1,706 | $ 1,897 |
Post-modification Outstanding Recorded Investment | $ 2,511 | $ 1,529 | $ 1,771 |
Number of loans | SecurityLoan | 15 | 8 | 16 |
Recorded investment | $ 1,287 | $ 773 | $ 1,218 |
TDRs | Consumer and Other Loans | Consumer - home equity | TDRs Occurring during the Period | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of Loans | SecurityLoan | 86 | 65 | 123 |
Pre-modification Outstanding Recorded Investment | $ 8,775 | $ 10,607 | $ 16,346 |
Post-modification Outstanding Recorded Investment | $ 8,262 | $ 8,951 | $ 15,862 |
Number of loans | SecurityLoan | 28 | 15 | 32 |
Recorded investment | $ 2,178 | $ 1,354 | $ 3,285 |
TDRs | Consumer and Other Loans | Consumer - other | TDRs Occurring during the Period | |||
Accounts, Notes, Loans and Financing Receivable | |||
Number of Loans | SecurityLoan | 54 | 73 | 121 |
Pre-modification Outstanding Recorded Investment | $ 1,150 | $ 1,491 | $ 3,182 |
Post-modification Outstanding Recorded Investment | $ 1,018 | $ 1,226 | $ 2,871 |
Number of loans | SecurityLoan | 32 | 38 | 62 |
Recorded investment | $ 545 | $ 447 | $ 1,381 |
Allowance for Credit Losses a_3
Allowance for Credit Losses and Credit Quality - Schedule of Allowance for Loan Losses for Legacy and Acquired Loans, by Loan Portfolio (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable, Allowance for Credit Losses | |||
Allowance for loan losses at beginning of period | $ 140,571 | $ 140,891 | $ 144,719 |
Provision for loan and lease losses | 39,850 | 39,472 | 51,111 |
Transfer of balance to OREO and other | (3,287) | (7,172) | 934 |
Charge-offs | (38,370) | (45,547) | (62,466) |
Recoveries | 7,824 | 12,927 | 6,593 |
Allowance for loan losses at end of period | 146,588 | 140,571 | 140,891 |
Financing Receivable, Reserve For Unfunded Commitments | |||
Reserve for unfunded commitments at beginning of period | 14,830 | 13,208 | 11,241 |
Balance created in acquisition accounting | 709 | 1,370 | |
Provision for (Reversal of) unfunded commitments | 1,807 | 913 | (597) |
Reserve for unfunded commitments at end of period | 16,637 | 14,830 | 13,208 |
Allowance for credit losses at end of period | 163,225 | 155,401 | 154,099 |
Allowance on loans individually evaluated for impairment | 20,897 | 16,342 | 17,352 |
Allowance on loans collectively evaluated for impairment | 114,471 | 111,266 | 89,655 |
Loans, net of unearned income: | |||
Individually evaluated for impairment | 188,274 | 169,725 | 238,127 |
Collectively evaluated for impairment | 23,567,897 | 21,986,677 | 19,358,499 |
Total loans and leases, net of unearned income | 24,021,499 | 22,519,815 | 20,078,181 |
Commercial Loans | Commercial Real Estate | |||
Financing Receivable, Allowance for Credit Losses | |||
Allowance for loan losses at beginning of period | 51,806 | 54,201 | 49,231 |
Provision for loan and lease losses | 9,262 | (829) | 10,433 |
Transfer of balance to OREO and other | (636) | (2,256) | 853 |
Charge-offs | (2,613) | (1,611) | (7,433) |
Recoveries | 475 | 2,301 | 1,117 |
Allowance for loan losses at end of period | 58,294 | 51,806 | 54,201 |
Financing Receivable, Reserve For Unfunded Commitments | |||
Reserve for unfunded commitments at beginning of period | 4,869 | 4,531 | 3,207 |
Balance created in acquisition accounting | 118 | 253 | |
Provision for (Reversal of) unfunded commitments | 1,115 | 220 | (1,071) |
Reserve for unfunded commitments at end of period | 5,984 | 4,869 | 4,531 |
Allowance for credit losses at end of period | 64,278 | 56,675 | 58,732 |
Allowance on loans individually evaluated for impairment | 5,600 | 636 | 1,588 |
Allowance on loans collectively evaluated for impairment | 47,308 | 45,651 | 30,360 |
Loans, net of unearned income: | |||
Individually evaluated for impairment | 69,819 | 53,905 | 91,785 |
Collectively evaluated for impairment | 9,877,919 | 9,166,070 | 8,616,924 |
Total loans and leases, net of unearned income | 10,064,095 | 9,388,305 | 8,938,230 |
Commercial Loans | Commercial and industrial | |||
Financing Receivable, Allowance for Credit Losses | |||
Allowance for loan losses at beginning of period | 54,096 | 53,916 | 60,939 |
Provision for loan and lease losses | 19,177 | 23,866 | 31,891 |
Transfer of balance to OREO and other | 235 | (812) | (68) |
Charge-offs | (21,966) | (29,578) | (40,015) |
Recoveries | 4,092 | 6,704 | 1,169 |
Allowance for loan losses at end of period | 55,634 | 54,096 | 53,916 |
Financing Receivable, Reserve For Unfunded Commitments | |||
Reserve for unfunded commitments at beginning of period | 6,198 | 5,309 | 4,537 |
Balance created in acquisition accounting | 40 | 783 | |
Provision for (Reversal of) unfunded commitments | 280 | 849 | 11 |
Reserve for unfunded commitments at end of period | 6,478 | 6,198 | 5,309 |
Allowance for credit losses at end of period | 62,112 | 60,294 | 59,225 |
Allowance on loans individually evaluated for impairment | 11,763 | 12,646 | 12,736 |
Allowance on loans collectively evaluated for impairment | 42,346 | 39,949 | 38,944 |
Loans, net of unearned income: | |||
Individually evaluated for impairment | 48,834 | 71,801 | 102,416 |
Collectively evaluated for impairment | 6,476,123 | 5,638,375 | 5,001,505 |
Total loans and leases, net of unearned income | 6,547,538 | 5,737,017 | 5,135,067 |
Residential Mortgage | |||
Financing Receivable, Allowance for Credit Losses | |||
Allowance for loan losses at beginning of period | 12,998 | 9,117 | 11,249 |
Provision for loan and lease losses | 0 | 4,200 | (2,206) |
Transfer of balance to OREO and other | (3,221) | (106) | 2 |
Charge-offs | (309) | (334) | (365) |
Recoveries | 179 | 121 | 437 |
Allowance for loan losses at end of period | 9,647 | 12,998 | 9,117 |
Financing Receivable, Reserve For Unfunded Commitments | |||
Reserve for unfunded commitments at beginning of period | 866 | 555 | 657 |
Balance created in acquisition accounting | 551 | 327 | |
Provision for (Reversal of) unfunded commitments | (304) | (240) | 429 |
Reserve for unfunded commitments at end of period | 562 | 866 | 555 |
Allowance for credit losses at end of period | 10,209 | 13,864 | 9,672 |
Allowance on loans individually evaluated for impairment | 285 | 145 | 172 |
Allowance on loans collectively evaluated for impairment | 5,400 | 6,961 | 3,141 |
Loans, net of unearned income: | |||
Individually evaluated for impairment | 29,402 | 6,579 | 6,749 |
Collectively evaluated for impairment | 4,633,862 | 4,259,369 | 2,911,222 |
Total loans and leases, net of unearned income | 4,739,075 | 4,359,156 | 3,056,352 |
Consumer and Other Loans | |||
Financing Receivable, Allowance for Credit Losses | |||
Allowance for loan losses at beginning of period | 21,671 | 23,657 | 23,300 |
Provision for loan and lease losses | 11,411 | 12,235 | 10,993 |
Transfer of balance to OREO and other | 335 | (3,998) | 147 |
Charge-offs | (13,482) | (14,024) | (14,653) |
Recoveries | 3,078 | 3,801 | 3,870 |
Allowance for loan losses at end of period | 23,013 | 21,671 | 23,657 |
Financing Receivable, Reserve For Unfunded Commitments | |||
Reserve for unfunded commitments at beginning of period | 2,897 | 2,813 | 2,840 |
Balance created in acquisition accounting | 0 | 7 | |
Provision for (Reversal of) unfunded commitments | 716 | 84 | 34 |
Reserve for unfunded commitments at end of period | 3,613 | 2,897 | 2,813 |
Allowance for credit losses at end of period | 26,626 | 24,568 | 26,470 |
Allowance on loans individually evaluated for impairment | 3,249 | 2,915 | 2,856 |
Allowance on loans collectively evaluated for impairment | 19,417 | 18,705 | 17,210 |
Loans, net of unearned income: | |||
Individually evaluated for impairment | 40,219 | 37,440 | 37,177 |
Collectively evaluated for impairment | 2,579,993 | 2,922,863 | 2,828,848 |
Total loans and leases, net of unearned income | 2,670,791 | 3,035,337 | 2,948,532 |
Receivables Acquired with Deteriorated Credit Quality | |||
Financing Receivable, Reserve For Unfunded Commitments | |||
Allowance on loans acquired with deteriorated credit quality | 11,220 | 12,963 | 33,884 |
Loans, net of unearned income: | |||
Acquired with deteriorated credit quality | 265,328 | 363,413 | 481,555 |
Receivables Acquired with Deteriorated Credit Quality | Commercial Loans | Commercial Real Estate | |||
Financing Receivable, Reserve For Unfunded Commitments | |||
Allowance on loans acquired with deteriorated credit quality | 5,386 | 5,519 | 22,253 |
Loans, net of unearned income: | |||
Acquired with deteriorated credit quality | 116,357 | 168,330 | 229,521 |
Receivables Acquired with Deteriorated Credit Quality | Commercial Loans | Commercial and industrial | |||
Financing Receivable, Reserve For Unfunded Commitments | |||
Allowance on loans acquired with deteriorated credit quality | 1,525 | 1,501 | 2,236 |
Loans, net of unearned income: | |||
Acquired with deteriorated credit quality | 22,581 | 26,841 | 31,146 |
Receivables Acquired with Deteriorated Credit Quality | Residential Mortgage | |||
Financing Receivable, Reserve For Unfunded Commitments | |||
Allowance on loans acquired with deteriorated credit quality | 3,962 | 5,892 | 5,804 |
Loans, net of unearned income: | |||
Acquired with deteriorated credit quality | 75,811 | 93,208 | 138,381 |
Receivables Acquired with Deteriorated Credit Quality | Consumer and Other Loans | |||
Financing Receivable, Reserve For Unfunded Commitments | |||
Allowance on loans acquired with deteriorated credit quality | 347 | 51 | 3,591 |
Loans, net of unearned income: | |||
Acquired with deteriorated credit quality | $ 50,579 | $ 75,034 | $ 82,507 |
Allowance for Credit Losses a_4
Allowance for Credit Losses and Credit Quality - Investment in Legacy and Acquired Loans by Credit Quality Indicator (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Allowance for Credit Losses | ||
Total Loans | $ 24,021,499 | $ 22,519,815 |
Commercial Loans | ||
Financing Receivable, Allowance for Credit Losses | ||
Total Loans | 16,611,633 | 15,125,322 |
Commercial Loans | Real estate - construction | ||
Financing Receivable, Allowance for Credit Losses | ||
Total Loans | 1,321,663 | 1,196,366 |
Commercial Loans | Real estate - owner-occupied | ||
Financing Receivable, Allowance for Credit Losses | ||
Total Loans | 2,475,326 | 2,395,822 |
Commercial Loans | Real estate - non-owner-occupied | ||
Financing Receivable, Allowance for Credit Losses | ||
Total Loans | 6,267,106 | 5,796,117 |
Commercial Loans | Commercial and industrial | ||
Financing Receivable, Allowance for Credit Losses | ||
Total Loans | 6,547,538 | 5,737,017 |
Residential and Consumer Portfolio | ||
Financing Receivable, Allowance for Credit Losses | ||
Current | 7,290,371 | 7,270,042 |
30 or more days past due | 119,495 | 124,451 |
Total Loans | 7,409,866 | 7,394,493 |
Residential Mortgage | Residential mortgage | ||
Financing Receivable, Allowance for Credit Losses | ||
Current | 4,673,266 | 4,290,152 |
30 or more days past due | 65,809 | 69,004 |
Total Loans | 4,739,075 | 4,359,156 |
Consumer and Other Loans | Consumer - home equity | ||
Financing Receivable, Allowance for Credit Losses | ||
Current | 1,942,091 | 2,258,659 |
30 or more days past due | 45,245 | 46,035 |
Total Loans | 1,987,336 | 2,304,694 |
Consumer and Other Loans | Consumer - other | ||
Financing Receivable, Allowance for Credit Losses | ||
Current | 675,014 | 721,231 |
30 or more days past due | 8,441 | 9,412 |
Total Loans | 683,455 | 730,643 |
Pass | Commercial Loans | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 16,325,326 | 14,785,998 |
Pass | Commercial Loans | Real estate - construction | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 1,300,953 | 1,182,554 |
Pass | Commercial Loans | Real estate - owner-occupied | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 2,412,953 | 2,328,999 |
Pass | Commercial Loans | Real estate - non-owner-occupied | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 6,185,185 | 5,687,963 |
Pass | Commercial Loans | Commercial and industrial | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 6,426,235 | 5,586,482 |
Special Mention | Commercial Loans | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 127,774 | 157,229 |
Special Mention | Commercial Loans | Real estate - construction | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 10,801 | 1,062 |
Special Mention | Commercial Loans | Real estate - owner-occupied | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 19,430 | 25,526 |
Special Mention | Commercial Loans | Real estate - non-owner-occupied | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 45,938 | 78,009 |
Special Mention | Commercial Loans | Commercial and industrial | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 51,605 | 52,632 |
Sub- standard | Commercial Loans | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 142,896 | 154,402 |
Sub- standard | Commercial Loans | Real estate - construction | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 9,909 | 12,740 |
Sub- standard | Commercial Loans | Real estate - owner-occupied | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 40,570 | 41,297 |
Sub- standard | Commercial Loans | Real estate - non-owner-occupied | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 35,726 | 26,512 |
Sub- standard | Commercial Loans | Commercial and industrial | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 56,691 | 73,853 |
Doubtful | Commercial Loans | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 15,637 | 27,693 |
Doubtful | Commercial Loans | Real estate - construction | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 0 | 10 |
Doubtful | Commercial Loans | Real estate - owner-occupied | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 2,373 | 0 |
Doubtful | Commercial Loans | Real estate - non-owner-occupied | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | 257 | 3,633 |
Doubtful | Commercial Loans | Commercial and industrial | ||
Financing Receivable, Allowance for Credit Losses | ||
Gross loans and leases receivable | $ 13,007 | $ 24,050 |
Allowance for Credit Losses a_5
Allowance for Credit Losses and Credit Quality - Schedule of Investment in Legacy Impaired Loans (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable, Impaired | |||
Unpaid Principal Balance | $ 202,185 | $ 209,746 | $ 283,629 |
Recorded Investment | 188,274 | 169,725 | 238,127 |
Related Allowance | (20,897) | (16,342) | (17,352) |
Average Recorded Investment | 186,475 | 185,250 | 273,254 |
Interest Income Recognized | 5,948 | 7,386 | 8,368 |
Commercial Loans | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 130,206 | 164,209 | 237,922 |
Recorded Investment | 118,653 | 125,706 | 194,201 |
Related Allowance | (17,363) | (13,282) | (14,324) |
Average Recorded Investment | 119,342 | 142,895 | 232,590 |
Interest Income Recognized | 3,711 | 5,601 | 6,595 |
Residential Mortgage | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 30,671 | 7,114 | 7,183 |
Recorded Investment | 29,402 | 6,579 | 6,749 |
Related Allowance | (285) | (145) | (172) |
Average Recorded Investment | 26,730 | 6,755 | 6,905 |
Interest Income Recognized | 579 | 271 | 265 |
Consumer and Other Loans | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 41,308 | 38,423 | 38,524 |
Recorded Investment | 40,219 | 37,440 | 37,177 |
Related Allowance | (3,249) | (2,915) | (2,856) |
Average Recorded Investment | 40,403 | 35,600 | 33,759 |
Interest Income Recognized | 1,658 | 1,514 | 1,508 |
With no related allowance recorded | Consumer - home equity | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 5,906 | ||
Recorded Investment | 5,634 | ||
Average Recorded Investment | 5,747 | ||
Interest Income Recognized | 231 | ||
With no related allowance recorded | Consumer - other | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 75 | ||
Recorded Investment | 75 | ||
Average Recorded Investment | 11 | ||
Interest Income Recognized | 1 | ||
With no related allowance recorded | Commercial Loans | Real estate - construction | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 11,150 | 10,261 | 13,763 |
Recorded Investment | 10,141 | 9,262 | 13,013 |
Average Recorded Investment | 7,609 | 9,189 | 9,104 |
Interest Income Recognized | 336 | 496 | 441 |
With no related allowance recorded | Commercial Loans | Real estate - owner-occupied | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 32,849 | 25,037 | 50,867 |
Recorded Investment | 32,398 | 19,044 | 44,482 |
Average Recorded Investment | 33,378 | 19,559 | 53,282 |
Interest Income Recognized | 1,439 | 807 | 1,389 |
With no related allowance recorded | Commercial Loans | Real estate - non-owner-occupied | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 14,340 | 15,265 | 15,370 |
Recorded Investment | 12,903 | 14,288 | 14,975 |
Average Recorded Investment | 13,378 | 14,873 | 15,127 |
Interest Income Recognized | 364 | 590 | 692 |
With no related allowance recorded | Commercial Loans | Commercial and industrial | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 19,315 | 55,554 | 103,013 |
Recorded Investment | 16,070 | 43,886 | 70,254 |
Average Recorded Investment | 17,485 | 47,268 | 92,312 |
Interest Income Recognized | 453 | 2,422 | 2,279 |
With no related allowance recorded | Residential Mortgage | Residential mortgage | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 19,800 | 1,244 | 2,004 |
Recorded Investment | 19,500 | 1,221 | 2,001 |
Average Recorded Investment | 16,403 | 1,261 | 2,044 |
Interest Income Recognized | 224 | 46 | 85 |
With no related allowance recorded | Consumer and Other Loans | Consumer - home equity | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 4,465 | 4,183 | |
Recorded Investment | 4,461 | 4,176 | |
Average Recorded Investment | 4,390 | 2,867 | |
Interest Income Recognized | 167 | 39 | |
With and allowance recorded | Commercial Loans | Real estate - construction | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 141 | 228 | 238 |
Recorded Investment | 126 | 140 | 156 |
Related Allowance | (2) | (11) | (19) |
Average Recorded Investment | 138 | 148 | 197 |
Interest Income Recognized | 3 | 1 | 6 |
With and allowance recorded | Commercial Loans | Real estate - owner-occupied | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 5,074 | 5,032 | 13,314 |
Recorded Investment | 4,795 | 4,773 | 13,287 |
Related Allowance | (2,591) | (520) | (949) |
Average Recorded Investment | 4,927 | 4,976 | 13,498 |
Interest Income Recognized | 118 | 196 | 414 |
With and allowance recorded | Commercial Loans | Real estate - non-owner-occupied | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 9,828 | 6,445 | 6,051 |
Recorded Investment | 9,456 | 6,398 | 5,872 |
Related Allowance | (3,007) | (105) | (620) |
Average Recorded Investment | 9,620 | 6,229 | 6,196 |
Interest Income Recognized | 208 | 294 | 154 |
With and allowance recorded | Commercial Loans | Commercial and industrial | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 37,509 | 46,387 | 35,306 |
Recorded Investment | 32,764 | 27,915 | 32,162 |
Related Allowance | (11,763) | (12,646) | (12,736) |
Average Recorded Investment | 32,807 | 40,653 | 42,874 |
Interest Income Recognized | 790 | 795 | 1,220 |
With and allowance recorded | Residential Mortgage | Residential mortgage | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 10,871 | 5,870 | 5,179 |
Recorded Investment | 9,902 | 5,358 | 4,748 |
Related Allowance | (285) | (145) | (172) |
Average Recorded Investment | 10,327 | 5,494 | 4,861 |
Interest Income Recognized | 355 | 225 | 180 |
With and allowance recorded | Consumer and Other Loans | Consumer - home equity | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 31,581 | 29,284 | 27,189 |
Recorded Investment | 30,798 | 28,818 | 26,575 |
Related Allowance | (2,630) | (2,427) | (2,358) |
Average Recorded Investment | 30,762 | 27,911 | 23,546 |
Interest Income Recognized | 1,228 | 1,202 | 1,007 |
With and allowance recorded | Consumer and Other Loans | Consumer - other | |||
Financing Receivable, Impaired | |||
Unpaid Principal Balance | 5,262 | 4,956 | 5,354 |
Recorded Investment | 4,960 | 4,446 | 4,893 |
Related Allowance | (619) | (488) | (498) |
Average Recorded Investment | 5,251 | 4,822 | 4,455 |
Interest Income Recognized | $ 263 | $ 273 | $ 269 |
Transfers and Servicing of Fi_3
Transfers and Servicing of Financial Assets (Including Mortgage Banking Activity) (Detail) - USD ($) $ in Billions | Dec. 31, 2019 | Dec. 31, 2018 |
Transfers and Servicing [Abstract] | ||
Unpaid principal balances of loans serviced | $ 2.4 | $ 1.6 |
Transfers and Servicing of Fi_4
Transfers and Servicing of Financial Assets (Including Mortgage Banking Activity) - Changes in Carrying Amount of Mortgage Loans Held-for-sale (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Loans Receivable Held-for-sale, Net, Reconciliation to Cash Flow [Roll Forward] | |||
Balance at beginning of period | $ 107,734 | $ 134,916 | $ 157,041 |
Originations and purchases | 1,967,532 | 1,469,847 | 1,844,358 |
Sales, net of gains | (1,869,148) | (1,498,386) | (1,859,565) |
Mortgage loans transferred from (transferred to) held for investment | 7,239 | 1,058 | (6,918) |
Other | 0 | (299) | 0 |
Balance at end of period | 213,357 | 107,734 | 134,916 |
Mortgage loans held for sale | |||
Loans Receivable Held-for-sale, Net, Reconciliation to Cash Flow [Roll Forward] | |||
Balance at beginning of period | 107,734 | 134,916 | |
Balance at end of period | $ 213,357 | $ 107,734 | $ 134,916 |
Transfers and Servicing of Fi_5
Transfers and Servicing of Financial Assets (Including Mortgage Banking Activity) - Components of Mortgage Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Participating Mortgage Loans | |||
Gains on sales | $ 64,825 | $ 45,338 | $ 62,438 |
Mortgage income | |||
Participating Mortgage Loans | |||
Mortgage loans held for sale and derivatives | 2,752 | 6,490 | (7,047) |
Derivative settlements, net | (8,481) | (4,039) | 1,229 |
Gains on sales | 68,110 | 42,887 | 68,255 |
Servicing and other income, net | 1,392 | 1,339 | 1,133 |
Other losses | (743) | (253) | 0 |
Total mortgage income | $ 63,030 | $ 46,424 | $ 63,570 |
Transfers and Servicing of Fi_6
Transfers and Servicing of Financial Assets (Including Mortgage Banking Activity) - Schedule of Mortgage Servicing Rights at Carrying Value (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Acquired Finite-Lived Intangible Assets | ||
Gross Carrying Amount | $ 137,774 | $ 137,774 |
Accumulated Amortization | (82,974) | (64,608) |
Net Carrying Amount | 54,800 | 73,166 |
Mortgage servicing rights | ||
Acquired Finite-Lived Intangible Assets | ||
Gross Carrying Amount | 22,476 | 13,612 |
Valuation Allowance | (250) | 0 |
Accumulated Amortization | (6,621) | (4,806) |
Net Carrying Amount | $ 15,605 | $ 8,806 |
Premises and Equipment (Detail)
Premises and Equipment (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation expense | $ 25.7 | $ 22.4 | $ 21 |
Premises and Equipment - Schedu
Premises and Equipment - Schedule of Premises and Equipment (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment [Abstract] | ||
Land | $ 80,475 | $ 81,194 |
Buildings | 255,375 | 241,284 |
Furniture, fixtures and equipment | 138,353 | 137,469 |
Total premises and equipment | 474,203 | 459,947 |
Accumulated depreciation | (177,515) | (159,440) |
Total premises and equipment, net | $ 296,688 | $ 300,507 |
Goodwill and Other Acquired I_3
Goodwill and Other Acquired Intangible Assets - Schedule of Carrying Amount of Goodwill (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Goodwill | ||
Balance at beginning of the period | $ 1,235,533 | $ 1,188,902 |
Goodwill acquired and adjustments during the year | 0 | 46,631 |
Balance at end of the period | 1,235,533 | 1,235,533 |
Operating Segments | IBERIABANK | ||
Goodwill | ||
Balance at beginning of the period | 1,203,810 | 1,160,559 |
Goodwill acquired and adjustments during the year | 0 | 43,251 |
Balance at end of the period | 1,203,810 | 1,203,810 |
Operating Segments | Mortgage | ||
Goodwill | ||
Balance at beginning of the period | 23,178 | 23,178 |
Goodwill acquired and adjustments during the year | 0 | 0 |
Balance at end of the period | 23,178 | 23,178 |
Operating Segments | LTC | ||
Goodwill | ||
Balance at beginning of the period | 8,545 | 5,165 |
Goodwill acquired and adjustments during the year | 0 | 3,380 |
Balance at end of the period | $ 8,545 | $ 8,545 |
Goodwill and Other Acquired I_4
Goodwill and Other Acquired Intangible Assets Goodwill and Other Acquired Intangible Assets (Detail) $ in Millions | Dec. 31, 2018USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Title plant assets | $ 6.8 |
Goodwill and Other Acquired I_5
Goodwill and Other Acquired Intangible Assets - Schedule of Definite-Lived Intangible Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Acquired Finite-Lived Intangible Assets | ||
Gross Carrying Amount | $ 137,774 | $ 137,774 |
Accumulated Amortization | (82,974) | (64,608) |
Net Carrying Amount | 54,800 | 73,166 |
Core deposit intangible assets | ||
Acquired Finite-Lived Intangible Assets | ||
Gross Carrying Amount | 136,183 | 136,183 |
Accumulated Amortization | (81,493) | (63,213) |
Net Carrying Amount | 54,690 | 72,970 |
Customer relationship intangible asset | ||
Acquired Finite-Lived Intangible Assets | ||
Gross Carrying Amount | 1,385 | 1,385 |
Accumulated Amortization | (1,371) | (1,323) |
Net Carrying Amount | 14 | 62 |
Non-compete agreement | ||
Acquired Finite-Lived Intangible Assets | ||
Gross Carrying Amount | 206 | 206 |
Accumulated Amortization | (110) | (72) |
Net Carrying Amount | $ 96 | $ 134 |
Goodwill and Other Acquired I_6
Goodwill and Other Acquired Intangible Assets - Schedule of Amortization Expense of Intangible Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Aggregate amortization expense | $ 18,464 | $ 21,678 | $ 12,590 |
Estimated amortization expense for the years ended December 31: | |||
2020 | 14,504 | ||
2021 | 10,211 | ||
2022 | 7,715 | ||
2023 | 6,396 | ||
2024 | 5,333 | ||
2025 and thereafter | $ 10,641 |
Derivative Instruments and Ot_3
Derivative Instruments and Other Hedging Activities - Schedule of Outstanding Derivative Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value of Derivatives | ||
Derivative Asset | $ 104,151 | $ 27,048 |
Derivative Liabilities | 11,799 | 22,124 |
Notional Amount of Derivatives | ||
Derivative assets | 3,888,959 | 2,311,612 |
Derivative liabilities | 3,313,072 | 1,991,559 |
Derivatives designated as hedging instruments | ||
Fair Value of Derivatives | ||
Derivative Asset | 18,967 | 3,469 |
Derivative Liabilities | 0 | 0 |
Notional Amount of Derivatives | ||
Derivative assets | 800,000 | 408,500 |
Derivative liabilities | 108,500 | 0 |
Derivatives designated as hedging instruments | Customer swaps - downstream | ||
Notional Amount of Derivatives | ||
Derivative assets | 800,000 | 408,500 |
Derivative liabilities | 108,500 | 0 |
Derivatives designated as hedging instruments | Customer swaps - downstream | Other Assets | ||
Fair Value of Derivatives | ||
Derivative Asset | 18,967 | 3,469 |
Derivatives designated as hedging instruments | Customer swaps - downstream | Other Liabilities | ||
Fair Value of Derivatives | ||
Derivative Liabilities | 0 | 0 |
Derivatives not designated as hedging instruments | ||
Notional Amount of Derivatives | ||
Derivative assets | 3,088,959 | 1,903,112 |
Derivative liabilities | 3,204,572 | 1,991,559 |
Derivatives not designated as hedging instruments | Other Assets | ||
Fair Value of Derivatives | ||
Derivative Asset | 85,184 | 23,579 |
Derivatives not designated as hedging instruments | Other Liabilities | ||
Fair Value of Derivatives | ||
Derivative Liabilities | 11,799 | 22,124 |
Derivatives not designated as hedging instruments | Customer swaps - upstream | ||
Notional Amount of Derivatives | ||
Derivative assets | 430,808 | 919,653 |
Derivative liabilities | 2,237,542 | 701,257 |
Derivatives not designated as hedging instruments | Customer swaps - upstream | Other Assets | ||
Fair Value of Derivatives | ||
Derivative Asset | 9 | 474 |
Derivatives not designated as hedging instruments | Customer swaps - upstream | Other Liabilities | ||
Fair Value of Derivatives | ||
Derivative Liabilities | 5,055 | 191 |
Derivatives not designated as hedging instruments | Customer swaps - downstream | ||
Notional Amount of Derivatives | ||
Derivative assets | 2,237,542 | 701,257 |
Derivative liabilities | 430,808 | 919,653 |
Derivatives not designated as hedging instruments | Customer swaps - downstream | Other Assets | ||
Fair Value of Derivatives | ||
Derivative Asset | 77,934 | 16,946 |
Derivatives not designated as hedging instruments | Customer swaps - downstream | Other Liabilities | ||
Fair Value of Derivatives | ||
Derivative Liabilities | 1,680 | 17,812 |
Derivatives not designated as hedging instruments | Foreign exchange contracts | ||
Notional Amount of Derivatives | ||
Derivative assets | 0 | 1,202 |
Derivative liabilities | 0 | 1,202 |
Derivatives not designated as hedging instruments | Foreign exchange contracts | Other Assets | ||
Fair Value of Derivatives | ||
Derivative Asset | 0 | 18 |
Derivatives not designated as hedging instruments | Foreign exchange contracts | Other Liabilities | ||
Fair Value of Derivatives | ||
Derivative Liabilities | 0 | 18 |
Derivatives not designated as hedging instruments | Forward sales contracts | ||
Notional Amount of Derivatives | ||
Derivative assets | 44,011 | 1,140 |
Derivative liabilities | 230,998 | 143,179 |
Derivatives not designated as hedging instruments | Forward sales contracts | Other Assets | ||
Fair Value of Derivatives | ||
Derivative Asset | 420 | 630 |
Derivatives not designated as hedging instruments | Forward sales contracts | Other Liabilities | ||
Fair Value of Derivatives | ||
Derivative Liabilities | 986 | 750 |
Derivatives not designated as hedging instruments | Written and purchased options | ||
Notional Amount of Derivatives | ||
Derivative assets | 268,590 | 229,333 |
Derivative liabilities | 121,981 | 140,645 |
Derivatives not designated as hedging instruments | Written and purchased options | Other Assets | ||
Fair Value of Derivatives | ||
Derivative Asset | 6,755 | 5,490 |
Derivatives not designated as hedging instruments | Written and purchased options | Other Liabilities | ||
Fair Value of Derivatives | ||
Derivative Liabilities | 3,899 | 3,310 |
Derivatives not designated as hedging instruments | Other contracts | ||
Notional Amount of Derivatives | ||
Derivative assets | 108,008 | 50,527 |
Derivative liabilities | 183,243 | 85,623 |
Derivatives not designated as hedging instruments | Other contracts | Other Assets | ||
Fair Value of Derivatives | ||
Derivative Asset | 66 | 21 |
Derivatives not designated as hedging instruments | Other contracts | Other Liabilities | ||
Fair Value of Derivatives | ||
Derivative Liabilities | $ 179 | $ 43 |
Derivative Instruments and Ot_4
Derivative Instruments and Other Hedging Activities (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Derivative [Line Items] | ||
Notional amount of derivative liabilities | $ 3,313,072 | $ 1,991,559 |
Cash posted as variation margin for derivatives | 79,600 | 35,800 |
Derivatives not designated as hedging instruments | ||
Derivative [Line Items] | ||
Notional amount of derivative liabilities | 3,204,572 | 1,991,559 |
Derivatives not designated as hedging instruments | Other contracts | ||
Derivative [Line Items] | ||
Notional amount of derivative liabilities | $ 183,243 | $ 85,623 |
Derivative Instruments and Ot_5
Derivative Instruments and Other Hedging Activities - Reconciliation of Gross Amounts in Consolidated Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Derivative assets | ||
Gross derivative assets | $ 100,781 | $ 24,174 |
Gross amounts not offset in the Balance Sheet, derivatives | (5,111) | (619) |
Gross amounts not offset in the Balance Sheet, collateral | 0 | 0 |
Net derivative assets | 95,670 | 23,555 |
Derivative liabilities | ||
Gross derivative liabilities | 10,606 | 21,288 |
Gross amounts not offset in the Balance Sheet, derivatives | (5,111) | (619) |
Gross amounts not offset in the Balance Sheet, collateral | 0 | 0 |
Net derivative liabilities | 5,495 | 20,669 |
Written and purchased options | ||
Derivative assets | ||
Gross derivative assets | 3,871 | 3,285 |
Gross amounts not offset in the Balance Sheet, derivatives | 0 | 0 |
Gross amounts not offset in the Balance Sheet, collateral | 0 | 0 |
Net derivative assets | 3,871 | 3,285 |
Derivative liabilities | ||
Gross derivative liabilities | 3,871 | 3,285 |
Gross amounts not offset in the Balance Sheet, derivatives | 0 | 0 |
Gross amounts not offset in the Balance Sheet, collateral | 0 | 0 |
Net derivative liabilities | 3,871 | 3,285 |
Derivatives designated as hedging instruments | Interest rate contracts | ||
Derivative assets | ||
Gross derivative assets | 18,967 | 3,469 |
Gross amounts not offset in the Balance Sheet, derivatives | 0 | 0 |
Gross amounts not offset in the Balance Sheet, collateral | 0 | 0 |
Net derivative assets | 18,967 | 3,469 |
Derivatives not designated as hedging instruments | Interest rate contracts | ||
Derivative assets | ||
Gross derivative assets | 77,943 | 17,420 |
Gross amounts not offset in the Balance Sheet, derivatives | (5,111) | (619) |
Gross amounts not offset in the Balance Sheet, collateral | 0 | 0 |
Net derivative assets | 72,832 | 16,801 |
Derivative liabilities | ||
Gross derivative liabilities | 6,735 | 18,003 |
Gross amounts not offset in the Balance Sheet, derivatives | (5,111) | (619) |
Gross amounts not offset in the Balance Sheet, collateral | 0 | 0 |
Net derivative liabilities | $ 1,624 | $ 17,384 |
Derivative Instruments and Ot_6
Derivative Instruments and Other Hedging Activities - Effect of Hedging Instruments on Consolidated Financial Statements (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Derivatives designated as hedging instruments | Cash Flow Hedging | Interest rate contracts | Interest expense | |||
Derivative Instruments and Hedging Activities Disclosures | |||
Amount of gain (loss) recognized | $ (388) | $ (196) | $ (390) |
Derivative, included component, gain (loss) recognized in earnings | 559 | (150) | |
Amount of gain (loss) recognized in income on derivatives (amount excluded from effectiveness testing) | (947) | (46) | 0 |
Other Comprehensive Income (Loss), Net of Tax | 0 | 0 | |
Gain (Loss) from Components Included in Assessment of Cash Flow Hedge Effectiveness | 0 | 0 | |
Gain (Loss) from Components Excluded from Assessment of Cash Flow Hedge Effectiveness, Net | 0 | 0 | |
Derivatives not designated as hedging instruments | |||
Derivative Instruments and Hedging Activities Disclosures | |||
Amount of gain (loss) recognized | 6,763 | 11,211 | (1,299) |
Derivatives not designated as hedging instruments | Interest rate contracts | Commission income | |||
Derivative Instruments and Hedging Activities Disclosures | |||
Amount of gain (loss) recognized | 15,071 | 6,962 | 4,750 |
Derivatives not designated as hedging instruments | Foreign exchange contracts | Commission income | |||
Derivative Instruments and Hedging Activities Disclosures | |||
Amount of gain (loss) recognized | 15 | 29 | 43 |
Derivatives not designated as hedging instruments | Forward sales contracts | Mortgage income | |||
Derivative Instruments and Hedging Activities Disclosures | |||
Amount of gain (loss) recognized | (8,909) | 4,064 | (4,115) |
Derivatives not designated as hedging instruments | Written and purchased options | Mortgage income | |||
Derivative Instruments and Hedging Activities Disclosures | |||
Amount of gain (loss) recognized | 677 | 180 | (2,028) |
Derivatives not designated as hedging instruments | Other contracts | Commission income | |||
Derivative Instruments and Hedging Activities Disclosures | |||
Amount of gain (loss) recognized | (91) | (24) | 51 |
OCI | Derivatives designated as hedging instruments | Cash Flow Hedging | Interest rate contracts | |||
Derivative Instruments and Hedging Activities Disclosures | |||
Amount of gain (loss) recognized | 1,078 | 4,416 | $ (611) |
Derivative, included component, gain (loss) recognized in earnings | 2,340 | 4,835 | |
Amount of gain (loss) recognized in income on derivatives (amount excluded from effectiveness testing) | $ (1,262) | $ (419) |
Leases - Right-of-use Assets a
Leases - Right-of-use Assets and Lease Liabilities (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Leases [Abstract] | |
Right-of-use assets | $ 119,774 |
Lease liabilities | $ 138,766 |
Weighted average remaining lease term | 10 years 9 months 10 days |
Weighted average discount rate | 3.07% |
Leases - Maturities of Operatin
Leases - Maturities of Operating Leases, Lessee (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Leases [Abstract] | |
2020 | $ 25,928 |
2021 | 24,083 |
2022 | 21,663 |
2023 | 16,916 |
2024 | 12,598 |
2025 and thereafter | 63,912 |
Total operating lease payments | 165,100 |
Less: Imputed interest | 26,334 |
Total lease liabilities | $ 138,766 |
Leases - Components of Net Inve
Leases - Components of Net Investment in Leases (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Leases [Abstract] | |
Lease payment receivable | $ 388,514 |
Unguaranteed residual assets | 39,289 |
Total net investment in leases | $ 427,803 |
Leases - Direct Finance and Sal
Leases - Direct Finance and Sales Type Leases (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Leases [Abstract] | |
2020 | $ 87,184 |
2021 | 71,601 |
2022 | 65,336 |
2023 | 51,356 |
2024 | 35,746 |
2025 and thereafter | 81,581 |
Total future minimum lease payments | 392,804 |
Less: Imputed interest | 4,290 |
Lease receivables | $ 388,514 |
Leases - Rental Commitments (De
Leases - Rental Commitments (Details) $ in Thousands | Dec. 31, 2018USD ($) |
Leases [Abstract] | |
2019 | $ 21,750 |
2020 | 19,991 |
2021 | 16,921 |
2022 | 14,195 |
2023 | 9,182 |
2024 and thereafter | 34,652 |
Total | $ 116,691 |
Deposits - Schedule of Deposits
Deposits - Schedule of Deposits by Type (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Banking and Thrift [Abstract] | ||
Interest-bearing demand deposits | $ 4,821,252 | $ 4,514,113 |
Money market accounts | 9,121,283 | 8,237,291 |
Savings accounts | 683,366 | 828,914 |
Time deposits | 4,273,642 | 3,640,623 |
Total deposits | $ 18,899,543 | $ 17,220,941 |
Deposits (Details)
Deposits (Details) - USD ($) $ in Billions | Dec. 31, 2019 | Dec. 31, 2018 |
Banking and Thrift [Abstract] | ||
Time Deposits, at or Above FDIC Insurance Limit | $ 1.5 | $ 1.1 |
Deposits - Schedule of Maturiti
Deposits - Schedule of Maturities of Certificates of Deposit (Detail) $ in Thousands | Dec. 31, 2019USD ($) |
Banking and Thrift [Abstract] | |
2020 | $ 3,844,086 |
2021 | 308,955 |
2022 | 86,967 |
2023 | 17,440 |
2024 | 15,519 |
2025 and thereafter | 675 |
Total time deposits | $ 4,273,642 |
Short-Term Borrowings - Summary
Short-Term Borrowings - Summary of Short-Term Borrowings (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Disclosure [Abstract] | |||
Federal Home Loan Bank advances | $ 0 | $ 1,167,000 | $ 475,000 |
Securities sold under agreements to repurchase | 204,208 | 315,882 | 516,297 |
Total short-term borrowings | 204,208 | 1,482,882 | 991,297 |
Short-term Debt, Other Disclosures | |||
Outstanding at December 31 | 204,208 | 1,482,882 | 991,297 |
Maximum month-end outstanding balance | 1,354,567 | 1,482,882 | 2,197,105 |
Average daily outstanding balance | $ 814,653 | $ 1,052,088 | $ 905,755 |
Average rate during the year | 1.93% | 1.40% | 0.83% |
Average rate at year end | 0.47% | 2.12% | 0.82% |
Long-Term Debt - Schedule of Lo
Long-Term Debt - Schedule of Long-Term Debt (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Debt Instrument | ||
Long-term debt | $ 1,343,687 | $ 1,166,151 |
IBERIABANK | ||
Debt Instrument | ||
Long-term debt | 1,223,577 | 1,046,041 |
IBERIABANK | Federal Home Loan Bank Notes | ||
Debt Instrument | ||
Long-term debt | $ 1,188,584 | $ 986,027 |
IBERIABANK | Federal Home Loan Bank Notes | Minimum | ||
Debt Instrument | ||
Interest rate | 0.98% | 0.98% |
IBERIABANK | Federal Home Loan Bank Notes | Maximum | ||
Debt Instrument | ||
Interest rate | 7.04% | 7.04% |
IBERIABANK | Notes Payable | ||
Debt Instrument | ||
Long-term debt | $ 34,993 | $ 60,014 |
IBERIABANK | Notes Payable | Minimum | ||
Debt Instrument | ||
Interest rate | 1.28% | 1.28% |
Debt Instrument term | 7 years | 7 years |
IBERIABANK | Notes Payable | Maximum | ||
Debt Instrument | ||
Interest rate | 4.95% | 6.82% |
Debt Instrument term | 35 years | 35 years |
IBERIABANK Corporation | Junior Subordinated Debt | ||
Debt Instrument | ||
Long-term debt | $ 120,110 | $ 120,110 |
Debt Instrument term | 30 years | |
IBERIABANK Corporation | Junior Subordinated Debt | Statutory Trust I, 3 month LIBOR, plus 3.25% | ||
Debt Instrument | ||
Long-term debt | $ 10,310 | 10,310 |
IBERIABANK Corporation | Junior Subordinated Debt | Statutory Trust II, 3 month LIBOR, plus 3.15% | ||
Debt Instrument | ||
Long-term debt | 10,310 | 10,310 |
IBERIABANK Corporation | Junior Subordinated Debt | Statutory Trust III, 3 month LIBOR, plus 2.00% | ||
Debt Instrument | ||
Long-term debt | 10,310 | 10,310 |
IBERIABANK Corporation | Junior Subordinated Debt | Statutory Trust IV, 3 month LIBOR, plus 1.60% | ||
Debt Instrument | ||
Long-term debt | 15,464 | 15,464 |
IBERIABANK Corporation | Junior Subordinated Debt | American Horizons Statutory Trust I, 3 month LIBOR, plus 3.15% | ||
Debt Instrument | ||
Long-term debt | 6,186 | 6,186 |
IBERIABANK Corporation | Junior Subordinated Debt | Statutory Trust V, 3 month LIBOR, plus 1.435% | ||
Debt Instrument | ||
Long-term debt | 10,310 | 10,310 |
IBERIABANK Corporation | Junior Subordinated Debt | Statutory Trust VI, 3 month LIBOR, plus 2.75% | ||
Debt Instrument | ||
Long-term debt | 12,372 | 12,372 |
IBERIABANK Corporation | Junior Subordinated Debt | Statutory Trust VII, 3 month LIBOR, plus 2.54% | ||
Debt Instrument | ||
Long-term debt | 13,403 | 13,403 |
IBERIABANK Corporation | Junior Subordinated Debt | Statutory Trust VIII, 3 month LIBOR, plus 3.50% | ||
Debt Instrument | ||
Long-term debt | 7,217 | 7,217 |
IBERIABANK Corporation | Junior Subordinated Debt | OMNI Trust I, 3 month LIBOR, plus 3.30% | ||
Debt Instrument | ||
Long-term debt | 8,248 | 8,248 |
IBERIABANK Corporation | Junior Subordinated Debt | OMNI Trust II, 3 Month LIBOR, plus 2.79% | ||
Debt Instrument | ||
Long-term debt | 7,732 | 7,732 |
IBERIABANK Corporation | Junior Subordinated Debt | GA Commerce Trust II, 3 Month LIBOR, plus 1.64% | ||
Debt Instrument | ||
Long-term debt | $ 8,248 | $ 8,248 |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | ||
Debt Instrument | ||
Three month LIBOR rate during period | 1.91% | 2.81% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | Statutory Trust I, 3 month LIBOR, plus 3.25% | ||
Debt Instrument | ||
Basis spread on variable rate | 3.25% | 3.25% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | Statutory Trust II, 3 month LIBOR, plus 3.15% | ||
Debt Instrument | ||
Basis spread on variable rate | 3.15% | 3.15% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | Statutory Trust III, 3 month LIBOR, plus 2.00% | ||
Debt Instrument | ||
Basis spread on variable rate | 2.00% | 2.00% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | Statutory Trust IV, 3 month LIBOR, plus 1.60% | ||
Debt Instrument | ||
Basis spread on variable rate | 1.60% | 1.60% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | American Horizons Statutory Trust I, 3 month LIBOR, plus 3.15% | ||
Debt Instrument | ||
Basis spread on variable rate | 3.15% | 3.15% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | Statutory Trust V, 3 month LIBOR, plus 1.435% | ||
Debt Instrument | ||
Basis spread on variable rate | 1.435% | 1.435% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | Statutory Trust VI, 3 month LIBOR, plus 2.75% | ||
Debt Instrument | ||
Basis spread on variable rate | 2.75% | 2.75% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | Statutory Trust VII, 3 month LIBOR, plus 2.54% | ||
Debt Instrument | ||
Basis spread on variable rate | 2.54% | 2.54% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | Statutory Trust VIII, 3 month LIBOR, plus 3.50% | ||
Debt Instrument | ||
Basis spread on variable rate | 3.50% | 3.50% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | OMNI Trust I, 3 month LIBOR, plus 3.30% | ||
Debt Instrument | ||
Basis spread on variable rate | 3.30% | 3.30% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | OMNI Trust II, 3 Month LIBOR, plus 2.79% | ||
Debt Instrument | ||
Basis spread on variable rate | 2.79% | 2.79% |
IBERIABANK Corporation | Junior Subordinated Debt | 3 Month LIBOR Rate | GA Commerce Trust II, 3 Month LIBOR, plus 1.64% | ||
Debt Instrument | ||
Basis spread on variable rate | 1.64% | 1.64% |
Long-Term Debt (Detail)
Long-Term Debt (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Debt Instrument | ||
Long-term debt | $ 1,343,687 | $ 1,166,151 |
IBERIABANK | ||
Debt Instrument | ||
Long-term debt | $ 1,223,577 | 1,046,041 |
IBERIABANK | Federal Home Loan Bank Notes | ||
Debt Instrument | ||
Minimum FHLB advance amortization period | 1 year 3 months 18 days | |
Maximum FHLB advance amortization period | 20 years 1 month 6 days | |
Long-term debt | $ 1,188,584 | 986,027 |
IBERIABANK | Federal Home Loan Bank Notes | Blanket Floating Lien | ||
Debt Instrument | ||
Additional advances available from FHLB | 8,400,000 | |
IBERIABANK | Federal Home Loan Bank Notes | Pledge of Investment Securities | ||
Debt Instrument | ||
Additional advances available from FHLB | 1,300,000 | |
IBERIABANK Corporation | Junior Subordinated Debt | ||
Debt Instrument | ||
Long-term debt | $ 120,110 | $ 120,110 |
Debt Instrument term | 30 years | |
Earliest call date after issue | 5 years | |
Earliest interest payment deferral date (in years or 20 consecutive quarters) | 5 years | |
Weighted Average | IBERIABANK | Federal Home Loan Bank Notes | ||
Debt Instrument | ||
Weighted average advance rate on FHLB advances | 2.34% | 2.15% |
Long-Term Debt - Maturities of
Long-Term Debt - Maturities of Long-Term Debt (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Disclosure [Abstract] | ||
2020 | $ 582,371 | |
2021 | 175,255 | |
2022 | 10,564 | |
2023 | 58,597 | |
2024 | 6,242 | |
2025 and thereafter | 510,658 | |
Total long-term debt | $ 1,343,687 | $ 1,166,151 |
Income Taxes - Schedule of Prov
Income Taxes - Schedule of Provision for Income Tax Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Current expense (benefit) | $ 114,221 | $ (115,195) | $ 84,827 |
Deferred expense | 30,703 | 153,518 | 71,257 |
Tax credits | (4,363) | (5,179) | (5,618) |
Tax benefits attributable to items charged to equity and goodwill | (25,123) | (866) | 0 |
Total income tax expense | 115,438 | 32,278 | 150,466 |
Other items, net tax benefit | (7,301) | $ (60,196) | 46,436 |
Other items, unrecognized state tax credit | 3,500 | ||
Other items, TCJA remeasurement | 2,300 | 51,000 | |
Other Items, equity based compensation | $ 900 | $ 3,000 |
Income Taxes (Detail)
Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Income taxes receivable | $ 4,300 | $ 208,000 | $ 4,500 |
Discrete tax items | 6,600 | ||
Tax and Jobs Act of 2017, Income Tax Expense (Benefit) | (65,300) | ||
Other items, net tax benefit | 7,301 | $ 60,196 | (46,436) |
Other items, TCJA remeasurement | 2,300 | 51,000 | |
Other Items, equity based compensation | $ 900 | 3,000 | |
Reversal of prior year deferred tax asset impairment | 1,000 | ||
Deferred REIT distribution | $ 600 | ||
Operating loss carryforwards expiration period | 20 years | ||
Effective tax rate | 23.10% | 8.00% | 51.40% |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Effective Tax Rate (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Federal tax based on statutory rate | $ 104,914 | $ 84,531 | $ 102,508 |
Effect of tax-exempt income | (6,314) | (5,801) | (9,435) |
Interest and other nondeductible expenses | 10,429 | 6,464 | 9,605 |
State taxes, net of federal benefit | 18,073 | 12,459 | 6,970 |
Tax credits | (4,363) | (5,179) | (5,618) |
Other | (7,301) | (60,196) | 46,436 |
Total income tax expense | $ 115,438 | $ 32,278 | $ 150,466 |
Effective tax rate | 23.10% | 8.00% | 51.40% |
Discrete tax items | $ 6,600 | ||
TCJA one-time tax expense | $ 2,300 | $ 51,000 | |
Equity based compensation | $ 900 | 3,000 | |
Reversal of prior year deferred tax asset impairment | 1,000 | ||
Deferred REIT distribution | $ 600 |
Income Taxes - Deferred Tax Ass
Income Taxes - Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax asset: | ||
NOL and credit carryforward | $ 18,061 | $ 42,837 |
Allowance for credit losses | 38,384 | 38,571 |
Deferred compensation | 6,807 | 5,482 |
Basis difference in acquired assets and liabilities | 8,967 | 9,228 |
OREO | 1,234 | 32 |
Other | 46,259 | 19,395 |
Gross deferred tax assets | 119,712 | 115,545 |
Deferred tax liability: | ||
Unrealized gains on loans and securities | (64,535) | (98,807) |
Premises and equipment | (7,941) | (10,626) |
Acquisition intangibles | (11,789) | (9,757) |
Deferred loan costs | (6,834) | (5,814) |
Basis difference in acquired assets and liabilities | (12,488) | (17,628) |
Lease receivable | (79,795) | (37,844) |
Other | (38,449) | (6,485) |
Gross deferred tax liabilities | (221,831) | (186,961) |
Net deferred tax liability | $ (102,119) | $ (71,416) |
Shareholders' Equity, Capital_3
Shareholders' Equity, Capital Ratios and Other Regulatory Matters - Shareholders' Equity, Capital Ratios and Other Regulatory Matters (Details) - USD ($) $ / shares in Units, $ in Thousands | Aug. 01, 2024 | May 01, 2024 | Apr. 04, 2019 | May 09, 2016 | Aug. 05, 2015 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 |
Class of Stock [Line Items] | ||||||||
Preferred stock, shares issued (in shares) | 23,750 | 13,750 | ||||||
Preferred stock, par value (in usd per share) | $ 1 | $ 1 | ||||||
Liquidation preference (in usd per share) | $ 10,000 | $ 10,000 | ||||||
Liquidation Amount | $ 237,500 | |||||||
Shares authorized to be repurchased (in shares) | 1,165,000 | |||||||
Series B Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Annual Dividend Rate | 6.625% | |||||||
Liquidation Amount | $ 80,000 | |||||||
Series B Preferred Stock | 3 Month LIBOR Rate | ||||||||
Class of Stock [Line Items] | ||||||||
Variable dividend rate per share | 4.262% | |||||||
Series C Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Annual Dividend Rate | 6.60% | |||||||
Liquidation Amount | $ 57,500 | |||||||
Series C Preferred Stock | 3 Month LIBOR Rate | ||||||||
Class of Stock [Line Items] | ||||||||
Variable dividend rate per share | 4.92% | |||||||
Series D Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred Stock, Ownership Interest Per Depositary Share | 0.25% | |||||||
Annual Dividend Rate | 6.10% | |||||||
Preferred stock, par value (in usd per share) | $ 1 | |||||||
Liquidation preference (in usd per share) | $ 10,000 | |||||||
Liquidation Amount | $ 100,000 | |||||||
Series D Depositary Shares | ||||||||
Class of Stock [Line Items] | ||||||||
Preferred stock, shares issued (in shares) | 4,000,000 | |||||||
Liquidation preference (in usd per share) | $ 25 | |||||||
Common Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Common stock repurchases (in shares) | (2,700,000) | (1,972,500) | ||||||
2018 Share Repurchase Plan | Common Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Number of shares authorized to be repurchased (in shares) | 2,765,000 | |||||||
2019 Share Repurchase Program | Common Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Number of shares authorized to be repurchased (in shares) | 1,600,000 | |||||||
Stock repurchase percentage | 3.00% | |||||||
2016 and 2018 Share Repurchase Program | ||||||||
Class of Stock [Line Items] | ||||||||
Average cost of common stock shares repurchased (in usd per share) | $ 75.83 | $ 75.46 | ||||||
2016 and 2018 Share Repurchase Program | Common Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Common stock repurchases (in shares) | 2,700,000 | 1,972,500 | ||||||
Common stock repurchased, weighted average price | $ 204,700 | $ 148,900 | ||||||
IBERIABANK | ||||||||
Class of Stock [Line Items] | ||||||||
Additional amount of dividends after annual earnings | 199,600 | |||||||
Funds available for loans or advances by parent | $ 311,300 | |||||||
Forecast | Series D Preferred Stock | ||||||||
Class of Stock [Line Items] | ||||||||
Annual Dividend Rate | 6.10% | |||||||
Variable dividend rate per share | 3.859% |
Shareholders' Equity, Capital_4
Shareholders' Equity, Capital Ratios and Other Regulatory Matters - Actual Capital Amounts and Ratios (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Consolidated | ||
Tier 1 Leverage | ||
Minimum amount | $ 1,220,289 | $ 1,168,343 |
Minimum ratio | 4.00% | 4.00% |
Actual amount | $ 3,021,004 | $ 2,812,863 |
Actual ratio | 9.90% | 9.63% |
Common Equity Tier 1 (CET1) | ||
Minimum amount | $ 1,194,765 | $ 1,125,405 |
Minimum ratio | 4.50% | 4.50% |
Actual amount | $ 2,792,520 | $ 2,680,766 |
Actual ratio | 10.52% | 10.72% |
Tier 1 Risk-Based Capital | ||
Minimum amount | $ 1,593,020 | $ 1,500,540 |
Minimum ratio | 6.00% | 6.00% |
Actual amount | $ 3,021,004 | $ 2,812,863 |
Actual ratio | 11.38% | 11.25% |
Total Risk-Based Capital | ||
Minimum amount | $ 2,124,026 | $ 2,000,720 |
Minimum ratio | 8.00% | 8.00% |
Actual amount | $ 3,300,730 | $ 3,084,764 |
Actual ratio | 12.43% | 12.33% |
IBERIABANK | ||
Tier 1 Leverage | ||
Minimum amount | $ 1,217,638 | $ 1,165,537 |
Minimum ratio | 4.00% | 4.00% |
Well capitalized amount | $ 1,522,048 | $ 1,456,921 |
Well capitalized ratio | 5.00% | 5.00% |
Actual amount | $ 2,949,533 | $ 2,733,099 |
Actual ratio | 9.69% | 9.38% |
Common Equity Tier 1 (CET1) | ||
Minimum amount | $ 1,191,062 | $ 1,122,712 |
Minimum ratio | 4.50% | 4.50% |
Well capitalized amount | $ 1,720,423 | $ 1,621,695 |
Well capitalized ratio | 6.50% | 6.50% |
Actual amount | $ 2,949,533 | $ 2,733,099 |
Actual ratio | 11.14% | 10.95% |
Tier 1 Risk-Based Capital | ||
Minimum amount | $ 1,588,083 | $ 1,496,949 |
Minimum ratio | 6.00% | 6.00% |
Well capitalized amount | $ 2,117,444 | $ 1,995,932 |
Well capitalized ratio | 8.00% | 8.00% |
Actual amount | $ 2,949,533 | $ 2,733,099 |
Actual ratio | 11.14% | 10.95% |
Total Risk-Based Capital | ||
Minimum amount | $ 2,117,444 | $ 1,995,932 |
Minimum ratio | 8.00% | 8.00% |
Well capitalized amount | $ 2,648,805 | $ 2,494,915 |
Well capitalized ratio | 10.00% | 10.00% |
Actual amount | $ 3,112,758 | $ 2,888,500 |
Actual ratio | 11.76% | 11.58% |
Shareholders' Equity, Capital_5
Shareholders' Equity, Capital Ratios and Other Regulatory Matters - Summary of Non-cumulative Perpetual Preferred Stock (Details) - USD ($) $ in Thousands | Apr. 04, 2019 | May 09, 2016 | Aug. 05, 2015 | Dec. 31, 2019 | Dec. 31, 2018 |
Class of Stock [Line Items] | |||||
Liquidation Amount | $ 237,500 | ||||
Carrying Amount | $ 228,485 | $ 132,097 | |||
Series B Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Annual Dividend Rate | 6.625% | ||||
Liquidation Amount | $ 80,000 | ||||
Carrying Amount | 76,812 | 76,812 | |||
Series C Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Annual Dividend Rate | 6.60% | ||||
Liquidation Amount | $ 57,500 | ||||
Carrying Amount | 55,285 | 55,285 | |||
Series D Preferred Stock | |||||
Class of Stock [Line Items] | |||||
Annual Dividend Rate | 6.10% | ||||
Liquidation Amount | $ 100,000 | ||||
Carrying Amount | $ 96,388 | $ 0 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Calculation of Basic and Diluted Earnings Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Earnings per common share - Basic | |||
Net income | $ 384,155 | $ 370,249 | $ 142,413 |
Preferred stock dividends | (12,602) | (9,095) | (9,095) |
Dividends and undistributed earnings allocated to unvested restricted shares | (3,559) | (3,583) | (1,210) |
Earnings allocated to common shareholders - basic | $ 367,994 | $ 357,571 | $ 132,108 |
Weighted average common shares outstanding (in shares) | 52,826 | 55,008 | 50,640 |
Earnings per common share - basic (in usd per share) | $ 6.97 | $ 6.50 | $ 2.61 |
Earnings per common share - Diluted | |||
Earnings allocated to common shareholders - basic | $ 367,994 | $ 357,571 | $ 132,108 |
Dividends and undistributed earnings allocated to unvested restricted shares | 6 | (49) | (1) |
Earnings allocated to common shareholders - diluted | $ 368,000 | $ 357,522 | $ 132,107 |
Weighted average common shares outstanding (in shares) | 52,826 | 55,008 | 50,640 |
Dilutive potential common shares (in shares) | 327 | 352 | 352 |
Weighted average common shares outstanding - diluted (in shares) | 53,153 | 55,360 | 50,992 |
Earnings per common share - diluted (in usd per share) | $ 6.92 | $ 6.46 | $ 2.59 |
Earnings Per Share (Detail)
Earnings Per Share (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share | |||
Weighted average shares owned by the RRP (in shares) | 512,969 | 564,973 | 467,601 |
Stock Options | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share | |||
Antidilutive securities excluded from the computation of earnings per share (in shares) | 152,416 | 154,397 | 71,260 |
Share-Based Compensation and _3
Share-Based Compensation and Other Employee Benefit Plans (Detail) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Future awards shares under approved incentive compensation plans (in shares) | 3,205,153 | ||
Share-based compensation maximum option term (in years) | 10 years | ||
Contributions made by the company to 401(k) plan | $ 4 | $ 3.7 | $ 3.5 |
Stock Option Awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unearned share-based compensation associated with awards | $ 2.1 | ||
Weighted-average period for unrecognized compensation expense | 2 years 7 months 6 days | ||
Restricted Stock And Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Weighted average grant date fair value (in usd per share) | $ 71.81 | $ 80.98 | $ 82.49 |
Fair value of restricted stock and restricted share units vested during the period | $ 28.5 | $ 16.3 | $ 16.4 |
Restricted Stock Awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unearned share-based compensation associated with awards | $ 27.5 | $ 27.1 | |
Restricted Share Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period (in years) | 3 years | ||
Phantom Stock Awards | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Vesting period (in years) | 5 years |
Share-Based Compensation and _4
Share-Based Compensation and Other Employee Benefit Plans - Activity Related to Stock Options (Detail) - Stock Option Awards - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Number of shares | |||
Balance at beginning of the period (in shares) | 714,420 | 686,366 | 721,538 |
Granted (in shares) | 127,090 | 97,620 | 80,557 |
Exercised (in shares) | (122,143) | (42,047) | (85,221) |
Forfeited or expired (in shares) | (13,570) | (27,519) | (30,508) |
Balance at end of the period (in shares) | 705,797 | 714,420 | 686,366 |
Exercisable at period end (in shares) | 463,595 | 501,815 | 455,010 |
Weighted Average Exercise Price | |||
Balance at beginning of the period (in usd per share) | $ 61.41 | $ 58.24 | $ 55.38 |
Granted (in usd per share) | 70.34 | 82.02 | 84.78 |
Exercised (in usd per share) | 54.39 | 53.07 | 55.45 |
Forfeited or expired (in usd per share) | 72.52 | 68.30 | 68.46 |
Balance at end of the period (in usd per share) | 64.02 | 61.41 | 58.24 |
Exercisable at period end (in usd per share) | $ 59.13 | $ 56.75 | $ 55.77 |
Aggregate Intrinsic Value (Dollars in thousands) | |||
Exercised | $ 2,575 | $ 1,242 | $ 2,098 |
Balance at end of period | 8,926 | ||
Exercisable at period end | $ 7,796 | ||
Weighted Average Remaining Contract Life (in years) | |||
Weighted average remaining contract life at period end | 5 years 4 months 24 days | ||
Exercisable at period end | 3 years 10 months 24 days |
Share-Based Compensation and _5
Share-Based Compensation and Other Employee Benefit Plans - Estimate Fair Value of Stock Option Awards with Weighted-Average Assumptions (Detail) - Stock Option Awards - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expected dividends | 2.30% | 1.80% | 1.70% |
Expected volatility | 24.50% | 24.30% | 25.00% |
Risk-free interest rate | 2.50% | 2.70% | 2.10% |
Expected term (in years) | 5 years 8 months 12 days | 5 years 9 months 18 days | 5 years 9 months 18 days |
Weighted-average grant-date fair value (in dollars per share) | $ 14.44 | $ 18.48 | $ 18.86 |
Share-Based Compensation and _6
Share-Based Compensation and Other Employee Benefit Plans - Compensation Expense Included in Non-Interest Expense and Related Income Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Stock Option Awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | $ 1,408 | $ 1,280 | $ 1,470 |
Income tax benefit | 103 | 93 | 124 |
Restricted Stock And Restricted Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | 23,176 | 18,998 | 14,966 |
Income tax benefit | 4,395 | 3,990 | 2,809 |
Phantom Stock and Performance Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Compensation expense | $ 10,160 | $ 8,141 | $ 10,756 |
Share-Based Compensation and _7
Share-Based Compensation and Other Employee Benefit Plans - Unvested Restricted Stock Award Activity (Detail) - Restricted Stock And Restricted Stock Units - shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Balance at beginning of the period (in shares) | 700,628 | 738,187 | 543,261 |
Granted (in shares) | 344,018 | 231,064 | 421,198 |
Forfeited (in shares) | (21,656) | (72,217) | (31,699) |
Earned and issued (in shares) | (342,077) | (196,406) | (194,573) |
Balance at end of the period (in shares) | 680,913 | 700,628 | 738,187 |
Share-Based Compensation and _8
Share-Based Compensation and Other Employee Benefit Plans - Schedule of Share and Dividend Equivalent Share Award Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Value of share equivalents | |||
Market price of Company's stock (in dollars per share) | $ 74.83 | $ 64.28 | $ 77.50 |
Phantom Stock and Performance Stock Units | |||
Number of share equivalents | |||
Balance at beginning of the period (in shares) | 353,407 | 393,844 | 472,830 |
Granted (in shares) | 192,524 | 157,044 | 118,408 |
Forfeited share equivalents (in shares) | (34,362) | (63,276) | (34,968) |
Vested share equivalents (in shares) | (112,052) | (134,205) | (162,426) |
Balance at end of the period (in shares) | 399,517 | 353,407 | 393,844 |
Value of share equivalents | |||
Balance at beginning of the period | $ 22,717 | $ 30,523 | $ 39,600 |
Granted | 14,407 | 10,095 | 9,177 |
Forfeited share equivalents | 2,571 | 4,067 | 2,710 |
Vested share equivalents | 34,566 | 11,156 | 13,515 |
Balance at end of the period | $ 29,896 | $ 22,717 | $ 30,523 |
Commitments and Contingencies_2
Commitments and Contingencies (Detail) - USD ($) $ in Millions | Dec. 11, 2017 | Sep. 30, 2018 | Dec. 31, 2019 | Dec. 31, 2018 |
Commitments and Contingencies Disclosure [Abstract] | ||||
Fair value of guarantees under commercial and standby letters of credit | $ 3.3 | $ 2.4 | ||
Settled Litigation | ||||
Loss Contingencies [Line Items] | ||||
Settlement amount | $ 11.7 | |||
Pending Litigation | ||||
Loss Contingencies [Line Items] | ||||
Damages sought | $ 11.7 |
Commitments and Contingencies -
Commitments and Contingencies - Summary of Financial Instruments Outstanding (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Commitments and Contingencies Disclosure [Abstract] | ||||
Commitments to extend credit | $ 806,164 | $ 642,162 | ||
Unfunded commitments under lines of credit | 7,240,808 | 6,883,963 | ||
Commercial and standby letters of credit | 327,336 | 240,436 | ||
Reserve for unfunded lending commitments | $ 16,637 | $ 14,830 | $ 13,208 | $ 11,241 |
Fair Value Measurements - Finan
Fair Value Measurements - Financial Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Assets | ||
Securities available for sale, at fair value | $ 3,933,360,000 | $ 4,783,579,000 |
Mortgage loans held for sale | 213,357,000 | 107,734,000 |
Mortgage loans held for investment, at fair value option | 2,792,000 | 3,143,000 |
Derivative instruments | 100,781,000 | 24,174,000 |
Liabilities | ||
Derivative instruments | 10,606,000 | 21,288,000 |
Fair value assets transferred from Level 1 to Level 2 | 0 | 0 |
Level 1 | ||
Assets | ||
Securities available for sale, at fair value | 0 | 0 |
Mortgage loans held for investment, at fair value option | 0 | 0 |
Level 2 | ||
Assets | ||
Securities available for sale, at fair value | 3,933,360,000 | 4,783,579,000 |
Mortgage loans held for investment, at fair value option | 0 | 0 |
Level 3 | ||
Assets | ||
Securities available for sale, at fair value | 0 | 0 |
Mortgage loans held for investment, at fair value option | 2,792,000 | 3,143,000 |
Recurring | ||
Assets | ||
Securities available for sale, at fair value | 3,933,360,000 | 4,783,579,000 |
Mortgage loans held for sale | 213,357,000 | 107,734,000 |
Mortgage loans held for investment, at fair value option | 2,792,000 | 3,143,000 |
Derivative instruments | 104,151,000 | 27,048,000 |
Total | 4,253,660,000 | 4,921,504,000 |
Liabilities | ||
Derivative instruments | 11,799,000 | 22,124,000 |
Total | 11,799,000 | 22,124,000 |
Recurring | Level 1 | ||
Assets | ||
Securities available for sale, at fair value | 0 | 0 |
Mortgage loans held for sale | 0 | 0 |
Mortgage loans held for investment, at fair value option | 0 | 0 |
Derivative instruments | 0 | 0 |
Total | 0 | 0 |
Liabilities | ||
Derivative instruments | 0 | 0 |
Total | 0 | 0 |
Recurring | Level 2 | ||
Assets | ||
Securities available for sale, at fair value | 3,933,360,000 | 4,783,579,000 |
Mortgage loans held for sale | 213,357,000 | 107,734,000 |
Mortgage loans held for investment, at fair value option | 0 | 0 |
Derivative instruments | 104,151,000 | 27,048,000 |
Total | 4,250,868,000 | 4,918,361,000 |
Liabilities | ||
Derivative instruments | 11,799,000 | 22,124,000 |
Total | 11,799,000 | 22,124,000 |
Recurring | Level 3 | ||
Assets | ||
Securities available for sale, at fair value | 0 | 0 |
Mortgage loans held for sale | 0 | 0 |
Mortgage loans held for investment, at fair value option | 2,792,000 | 3,143,000 |
Derivative instruments | 0 | 0 |
Total | 2,792,000 | 3,143,000 |
Liabilities | ||
Derivative instruments | 0 | 0 |
Total | $ 0 | $ 0 |
Fair Value Measurements - Fin_2
Fair Value Measurements - Financial Assets and Liabilities Measured at Fair Value on Nonrecurring Basis (Detail) - Nonrecurring - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets | ||
Impaired loans | $ 74,763 | $ 65,914 |
OREO, net | 4,907 | 6,433 |
Total | 79,670 | 72,347 |
Level 1 | ||
Assets | ||
Impaired loans | 0 | 0 |
OREO, net | 0 | 0 |
Total | 0 | 0 |
Level 2 | ||
Assets | ||
Impaired loans | 0 | 0 |
OREO, net | 0 | 0 |
Total | 0 | 0 |
Level 3 | ||
Assets | ||
Impaired loans | 74,763 | 65,914 |
OREO, net | 4,907 | 6,433 |
Total | $ 79,670 | $ 72,347 |
Fair Value Measurements - Summa
Fair Value Measurements - Summary of Difference Between the Aggregate Fair Value and the Aggregate Unpaid Principal Balance for Mortgage Loans Held for Sale (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Mortgage loans held for sale, at fair value | ||
Aggregate Fair Value | $ 213,357 | $ 107,734 |
Aggregate Unpaid Principal | 207,481 | 104,345 |
Aggregate Fair Value Less Unpaid Principal | 5,876 | 3,389 |
Mortgage loans held for investment, at fair value | ||
Aggregate Fair Value | 2,792 | 3,143 |
Aggregate Unpaid Principal | 2,922 | 3,595 |
Aggregate Fair Value Less Unpaid Principal | $ (130) | $ (452) |
Fair Value Measurements - Amoun
Fair Value Measurements - Amount of Net Gains (Losses) from Fair Value Changes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Fair Value Disclosures [Abstract] | |||
Mortgage loans held for sale, at fair value | $ 2,486 | $ (251) | $ 944 |
Mortgage loans held for investment, at fair value | $ 18 | $ (1,542) | $ (204) |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Estimated Fair Values and Carrying Amounts of Financial Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Financial Assets | ||||
Securities available for sale, at fair value | $ 3,933,360 | $ 4,783,579 | ||
Mortgage loans held for sale, at fair value | 213,357 | 107,734 | $ 134,916 | $ 157,041 |
Mortgage loans held for investment, at fair value option | 2,792 | 3,143 | ||
Derivative instruments | 104,151 | 27,048 | ||
Cash and cash equivalents | 894,723 | 690,453 | ||
Securities held to maturity | 182,961 | 207,446 | ||
Financial Liabilities | ||||
Derivative instruments | 11,799 | 22,124 | ||
Deposits | 25,219,349 | 23,763,431 | 21,466,717 | |
Short-term borrowings | 204,208 | 1,482,882 | 991,297 | |
Long-term debt | 1,343,687 | 1,166,151 | ||
Level 1 | ||||
Financial Assets | ||||
Securities available for sale, at fair value | 0 | 0 | ||
Mortgage loans held for investment, at fair value option | 0 | 0 | ||
Derivative instruments | 0 | 0 | ||
Cash and cash equivalents | 894,723 | 690,453 | ||
Securities held to maturity | 0 | 0 | ||
Loans and leases, carried at amortized cost, net of unearned income and allowance for loan and lease losses | 0 | 0 | ||
Financial Liabilities | ||||
Derivative instruments | 0 | 0 | ||
Deposits | 0 | 0 | ||
Short-term borrowings | 204,208 | 315,882 | ||
Long-term debt | 0 | 0 | ||
Level 2 | ||||
Financial Assets | ||||
Securities available for sale, at fair value | 3,933,360 | 4,783,579 | ||
Mortgage loans held for investment, at fair value option | 0 | 0 | ||
Derivative instruments | 104,151 | 27,048 | ||
Cash and cash equivalents | 0 | 0 | ||
Securities held to maturity | 189,899 | 204,277 | ||
Loans and leases, carried at amortized cost, net of unearned income and allowance for loan and lease losses | 0 | 0 | ||
Financial Liabilities | ||||
Derivative instruments | 11,799 | 22,124 | ||
Deposits | 25,229,566 | 23,752,139 | ||
Short-term borrowings | 0 | 1,167,000 | ||
Long-term debt | 0 | 0 | ||
Level 3 | ||||
Financial Assets | ||||
Securities available for sale, at fair value | 0 | 0 | ||
Mortgage loans held for investment, at fair value option | 2,792 | 3,143 | ||
Derivative instruments | 0 | 0 | ||
Cash and cash equivalents | 0 | 0 | ||
Securities held to maturity | 0 | 0 | ||
Loans and leases, carried at amortized cost, net of unearned income and allowance for loan and lease losses | 23,732,650 | 22,088,236 | ||
Financial Liabilities | ||||
Derivative instruments | 0 | 0 | ||
Deposits | 0 | 0 | ||
Short-term borrowings | 0 | 0 | ||
Long-term debt | 1,296,696 | 1,154,062 | ||
Carrying Amount | ||||
Financial Assets | ||||
Securities available for sale, at fair value | 3,933,360 | 4,783,579 | ||
Mortgage loans held for investment, at fair value option | 2,792 | 3,143 | ||
Derivative instruments | 104,151 | 27,048 | ||
Cash and cash equivalents | 894,723 | 690,453 | ||
Securities held to maturity | 182,961 | 207,446 | ||
Loans and leases, carried at amortized cost, net of unearned income and allowance for loan and lease losses | 23,874,911 | 22,376,101 | ||
Financial Liabilities | ||||
Derivative instruments | 11,799 | 22,124 | ||
Deposits | 25,219,349 | 23,763,431 | ||
Short-term borrowings | 204,208 | 1,482,882 | ||
Long-term debt | 1,343,687 | 1,166,151 | ||
Fair Value | ||||
Financial Assets | ||||
Securities available for sale, at fair value | 3,933,360 | 4,783,579 | ||
Mortgage loans held for investment, at fair value option | 2,792 | 3,143 | ||
Derivative instruments | 104,151 | 27,048 | ||
Cash and cash equivalents | 894,723 | 690,453 | ||
Securities held to maturity | 189,899 | 204,277 | ||
Loans and leases, carried at amortized cost, net of unearned income and allowance for loan and lease losses | 23,732,650 | 22,088,236 | ||
Financial Liabilities | ||||
Derivative instruments | 11,799 | 22,124 | ||
Deposits | 25,229,566 | 23,752,139 | ||
Short-term borrowings | 204,208 | 1,482,882 | ||
Long-term debt | 1,296,696 | 1,154,062 | ||
Mortgage loans held for sale | ||||
Financial Assets | ||||
Mortgage loans held for sale, at fair value | 213,357 | 107,734 | $ 134,916 | |
Mortgage loans held for sale | Level 1 | ||||
Financial Assets | ||||
Mortgage loans held for sale, at fair value | 0 | 0 | ||
Mortgage loans held for sale | Level 2 | ||||
Financial Assets | ||||
Mortgage loans held for sale, at fair value | 213,357 | 107,734 | ||
Mortgage loans held for sale | Level 3 | ||||
Financial Assets | ||||
Mortgage loans held for sale, at fair value | 0 | 0 | ||
Mortgage loans held for sale | Carrying Amount | ||||
Financial Assets | ||||
Mortgage loans held for sale, at fair value | 213,357 | 107,734 | ||
Mortgage loans held for sale | Fair Value | ||||
Financial Assets | ||||
Mortgage loans held for sale, at fair value | $ 213,357 | $ 107,734 |
Business Segments (Detail)
Business Segments (Detail) | 12 Months Ended |
Dec. 31, 2019Segment | |
Segment Reporting [Abstract] | |
Number of business segments | 3 |
Business Segments - Schedule of
Business Segments - Schedule of Segment Reporting Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information | |||
Interest and dividend income | $ 1,310,008 | $ 1,221,629 | $ 913,783 |
Interest expense | 320,362 | 208,381 | 104,937 |
Net interest income | 989,646 | 1,013,248 | 808,846 |
Provision for credit losses | 41,657 | 40,385 | 51,708 |
Other non-interest income (expense) | 145,402 | 81,989 | 116,605 |
Allocated expenses (income) | 0 | 0 | 0 |
Non-interest expense | 682,756 | 722,898 | 666,406 |
Income before income tax expense | 499,593 | 402,527 | 292,879 |
Income tax expense | 115,438 | 32,278 | 150,466 |
Net income | 384,155 | 370,249 | 142,413 |
Total loans, leases, and loans held for sale, net of unearned income | 24,234,856 | 22,627,549 | 20,213,097 |
Total assets | 31,713,450 | 30,833,015 | 27,904,129 |
Total deposits | 25,219,349 | 23,763,431 | 21,466,717 |
Average assets | 31,377,868 | 29,578,026 | 24,480,656 |
Operating Segments | IBERIABANK | |||
Segment Reporting Information | |||
Interest and dividend income | 1,301,901 | 1,215,668 | 906,521 |
Interest expense | 320,362 | 208,381 | 104,937 |
Net interest income | 981,539 | 1,007,287 | 801,584 |
Provision for credit losses | 41,710 | 40,429 | 51,797 |
Other non-interest income (expense) | 145,317 | 81,588 | 116,659 |
Allocated expenses (income) | (14,495) | (13,437) | (13,293) |
Non-interest expense | 611,794 | 660,804 | 575,865 |
Income before income tax expense | 487,847 | 401,079 | 303,874 |
Income tax expense | 112,624 | 32,436 | 156,407 |
Net income | 375,223 | 368,643 | 147,467 |
Total loans, leases, and loans held for sale, net of unearned income | 24,003,854 | 22,493,809 | 20,028,840 |
Total assets | 31,413,998 | 30,645,000 | 27,672,906 |
Total deposits | 25,200,205 | 23,754,512 | 21,462,776 |
Average assets | 31,121,870 | 29,400,755 | 24,228,436 |
Operating Segments | Mortgage | |||
Segment Reporting Information | |||
Interest and dividend income | 8,104 | 5,958 | 7,260 |
Interest expense | 0 | 0 | 0 |
Net interest income | 8,104 | 5,958 | 7,260 |
Provision for credit losses | (53) | (44) | (89) |
Other non-interest income (expense) | 104 | (95) | (42) |
Allocated expenses (income) | 10,640 | 9,847 | 10,041 |
Non-interest expense | 51,734 | 43,021 | 73,587 |
Income before income tax expense | 8,917 | (537) | (12,751) |
Income tax expense | 2,051 | (52) | (5,771) |
Net income | 6,866 | (485) | (6,980) |
Total loans, leases, and loans held for sale, net of unearned income | 231,002 | 133,740 | 184,257 |
Total assets | 271,382 | 162,599 | 208,710 |
Total deposits | 19,144 | 8,919 | 3,941 |
Average assets | 230,241 | 153,717 | 229,364 |
Operating Segments | LTC | |||
Segment Reporting Information | |||
Interest and dividend income | 3 | 3 | 2 |
Interest expense | 0 | 0 | 0 |
Net interest income | 3 | 3 | 2 |
Provision for credit losses | 0 | 0 | 0 |
Other non-interest income (expense) | (19) | 496 | (12) |
Allocated expenses (income) | 3,855 | 3,590 | 3,252 |
Non-interest expense | 19,228 | 19,073 | 16,954 |
Income before income tax expense | 2,829 | 1,985 | 1,756 |
Income tax expense | 763 | (106) | (170) |
Net income | 2,066 | 2,091 | 1,926 |
Total loans, leases, and loans held for sale, net of unearned income | 0 | 0 | 0 |
Total assets | 28,070 | 25,416 | 22,513 |
Total deposits | 0 | 0 | 0 |
Average assets | 25,757 | 23,554 | 22,856 |
Mortgage income | |||
Segment Reporting Information | |||
Non-interest income | 63,030 | 46,424 | 63,570 |
Mortgage income | Operating Segments | IBERIABANK | |||
Segment Reporting Information | |||
Non-interest income | 0 | 0 | 0 |
Mortgage income | Operating Segments | Mortgage | |||
Segment Reporting Information | |||
Non-interest income | 63,030 | 46,424 | 63,570 |
Mortgage income | Operating Segments | LTC | |||
Segment Reporting Information | |||
Non-interest income | 0 | 0 | 0 |
Title revenue | |||
Segment Reporting Information | |||
Non-interest income | 25,928 | 24,149 | 21,972 |
Title revenue | Operating Segments | IBERIABANK | |||
Segment Reporting Information | |||
Non-interest income | 0 | 0 | 0 |
Title revenue | Operating Segments | Mortgage | |||
Segment Reporting Information | |||
Non-interest income | 0 | 0 | 0 |
Title revenue | Operating Segments | LTC | |||
Segment Reporting Information | |||
Non-interest income | $ 25,928 | $ 24,149 | $ 21,972 |
Condensed Parent Company Only_3
Condensed Parent Company Only Financial Statements - Condensed Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||||
Cash in bank | $ 289,794 | $ 294,186 | ||
Other assets | 1,004,749 | 1,039,783 | ||
Total Assets | 31,713,450 | 30,833,015 | $ 27,904,129 | |
Liabilities and Shareholders’ Equity | ||||
Liabilities | 27,376,716 | 26,776,738 | ||
Shareholders’ equity | 4,336,734 | 4,056,277 | $ 3,696,791 | $ 2,939,694 |
Total Liabilities and Shareholders’ Equity | 31,713,450 | 30,833,015 | ||
IBERIABANK Corporation | ||||
Assets | ||||
Cash in bank | 160,171 | 179,545 | ||
Investments in subsidiaries | 4,308,843 | 4,008,802 | ||
Other assets | 63,205 | 53,832 | ||
Total Assets | 4,532,219 | 4,242,179 | ||
Liabilities and Shareholders’ Equity | ||||
Liabilities | 195,485 | 185,902 | ||
Shareholders’ equity | 4,336,734 | 4,056,277 | ||
Total Liabilities and Shareholders’ Equity | $ 4,532,219 | $ 4,242,179 |
Condensed Parent Company Only_4
Condensed Parent Company Only Financial Statements - Condensed Statements of Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Operating income | |||
Other income | $ 19,945 | $ 15,896 | $ 18,004 |
Operating expenses | |||
Interest expense | 320,362 | 208,381 | 104,937 |
Salaries and employee benefits expense | 411,869 | 414,741 | 379,527 |
Other expenses | 29,349 | 24,356 | 26,281 |
Income (loss) before income tax benefit and increase in equity in undistributed earnings of subsidiaries | 499,593 | 402,527 | 292,879 |
Income tax expense (benefit) | 115,438 | 32,278 | 150,466 |
Net income | 384,155 | 370,249 | 142,413 |
Less: Preferred stock dividends | (12,602) | (9,095) | (9,095) |
Net income available to common shareholders | 371,553 | 361,154 | 133,318 |
IBERIABANK Corporation | |||
Operating income | |||
Reimbursement of management expenses | 85,796 | 83,262 | 76,177 |
Other income | 190,407 | 245,213 | 146,796 |
Total operating income | 276,203 | 328,475 | 222,973 |
Operating expenses | |||
Interest expense | 6,088 | 6,008 | 5,168 |
Salaries and employee benefits expense | 62,938 | 55,436 | 55,013 |
Other expenses | 25,106 | 28,963 | 32,965 |
Total operating expenses | 94,132 | 90,407 | 93,146 |
Income (loss) before income tax benefit and increase in equity in undistributed earnings of subsidiaries | 182,071 | 238,068 | 129,827 |
Income tax expense (benefit) | (600) | 799 | 3,123 |
Income (loss) before equity in undistributed earnings of subsidiaries | 182,671 | 237,269 | 126,704 |
Equity in undistributed earnings of subsidiaries | 201,484 | 132,980 | 15,709 |
Net income | 384,155 | 370,249 | 142,413 |
Less: Preferred stock dividends | 12,602 | 9,095 | 9,095 |
Net income available to common shareholders | $ 371,553 | $ 361,154 | $ 133,318 |
Condensed Parent Company Only_5
Condensed Parent Company Only Financial Statements - Condensed Statements of Cash Flows (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Cash Flow from Operating Activities | |||
Net income | $ 384,155 | $ 370,249 | $ 142,413 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 16,360 | (7,534) | (4,113) |
Other operating activities, net | 180,506 | (204,998) | (30,991) |
Cash Flow from Investing Activities | |||
Purchases of premises and equipment, net of premises and equipment acquired | (35,000) | (13,730) | (37,763) |
Other investing activities, net | 1,000 | 343 | 636 |
Cash Flow from Financing Activities | |||
Cash dividends paid on common stock | (92,190) | (84,782) | (72,772) |
Cash dividends paid on preferred stock | (12,602) | (9,095) | (9,095) |
Payments to repurchase common stock | (204,740) | (148,855) | 0 |
Net proceeds from issuance of common stock | 0 | 0 | 485,151 |
Net proceeds from issuance of preferred stock | 96,388 | 0 | 0 |
Cash and Cash Equivalents at Beginning of Period | 690,453 | ||
Cash and Cash Equivalents at End of Period | 894,723 | 690,453 | |
IBERIABANK Corporation | |||
Cash Flow from Operating Activities | |||
Net income | 384,155 | 370,249 | 142,413 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 309 | 145 | 62 |
Net income of subsidiaries | (391,484) | (377,974) | (160,206) |
Share-based compensation cost | 24,584 | 20,278 | 16,436 |
Other operating activities, net | (9,828) | 491 | (4,256) |
Net Cash Provided by Operating Activities | 7,736 | 13,189 | (5,551) |
Cash Flow from Investing Activities | |||
Cash paid in excess of cash received for acquisitions | 0 | (7) | (809,159) |
Purchases of premises and equipment, net of premises and equipment acquired | (292) | (52) | (105) |
Return of capital from (Capital contributed to) subsidiary | 190,000 | 245,000 | 144,500 |
Other investing activities, net | (301) | (1,500) | 0 |
Net Cash Used in Investing Activities | 189,407 | 243,441 | (664,764) |
Cash Flow from Financing Activities | |||
Cash dividends paid on common stock | (92,190) | (84,782) | (72,772) |
Cash dividends paid on preferred stock | (12,602) | (9,095) | (9,095) |
Net share-based compensation stock transactions | (3,373) | (3,226) | (832) |
Payments to repurchase common stock | (204,740) | (148,855) | 0 |
Net proceeds from issuance of common stock | 0 | 0 | 485,151 |
Net proceeds from issuance of preferred stock | 96,388 | 0 | 0 |
Other financing activities, net | 0 | 0 | (56) |
Net Cash Provided by Financing Activities | (216,517) | (245,958) | 402,396 |
Net Increase (Decrease) In Cash and Cash Equivalents | (19,374) | 10,672 | (267,919) |
Cash and Cash Equivalents at Beginning of Period | 179,545 | 168,873 | 436,792 |
Cash and Cash Equivalents at End of Period | $ 160,171 | $ 179,545 | $ 168,873 |
Uncategorized Items - a10-k1231
Label | Element | Value | |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ (345,000) | [1] |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | 1,847,000 | [2] |
Retained Earnings [Member] | |||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | (345,000) | [1] |
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 1,847,000 | [2] |
[1] | (2) Cumulative-effect adjustment to beginning retained earnings for fair value adjustments related to the reclassification of certain equity investments in accordance with ASU 2016-01, adopted as of January 1, 2018. | ||
[2] | (3) Cumulative-effect adjustment to beginning retained earnings related to the recognition of pre-existing lease liabilities and previously deferred gains on sale-leaseback transactions in accordance with ASU 2016-02, adopted as of January 1, 2019. |