The of reflects economic the The to a morning COVID-XX. by due environment the caused losses in of Good in Marty. per for first increase compared after-tax The deterioration per significant $X.XX Thanks, exceptionally share. share. in $X.X higher $X.X in of was quarter the for was XXXX provision everyone. quarter the low was higher million provision $X.XX earnings impact first million. the provision primarily Net diluted million quarter, of credit $XX.X drop or an as income to provision
on We adopted January CECL Xst.
model to forecast, the So different first it address CECL Xst on take for XXst. which quarter, me than national decidedly March loss our January designated unemployment related expense for minute a let before CECL our on reconcile is The the was provision was driver the I adjustments.
credit a losses of of $XX.X million for for of the commitments $X.X of million. For for allowance our losses loans credit adjustment unfunded retained earnings This recorded an reserve and a to $X.X after-tax day our was one total adjustment an to established adjustment, we for million, with million. impact through $X.X for saw increase allowance
first the day quarter coverage The end of cover which for showed a expense was deterioration, at significant ratio provision unemployment X.XX%, charge-offs, that through will $X.X in Remaining related than years. million quarter incorporated charge-off $X.X higher This loan. higher adjustment C&I an statement. in was a income to it than been primarily December $XX.X XX basis two XXXX, of XX, moment. single partial Our was credit for million, XXXX. books provision due driving than more quarter on the quarter five the the points forecast primarily has I was million of to at our Charge-offs the
on hospitality had of downstate western the was business And senior including been distributor working refreshed monitoring were operation XX most New viable in we all management for their company than and to exposure years York. plan and structure, industry a this We that This and a a combination business of for debt. subordinated more XXXX. based in for supplies the equity with closely consider a equipment capital recently, acquisition of of were as credit and
the loan the partial the and its down Metro the $X.X pandemic $XX.X servicing, York. This paid due to announced the was ceasing regions on shut geographic million challenges. of of current this company underlying and including in impacting hotels resulted of to liquidation was loan markets as The it the the performance eliminated company, COVID-XX weaknesses and operations outlook. of access New economic Although agreed and impact were hospitality, and After they current of pending charge-off insurmountable year-end, at million there collateral. March XXth primary the were restaurants
X.XX%, points to as linked-quarter. the was rates X unchanged as decrease from the Net for was X was points, basis income the basis was compared basis earning a a million, the points. Fed of interest result due latter part interest relatively $XX.X of assets average X quarter. down X.XX%, decrease margin of lower quarter The in Cost linked-quarter. to the a from interest Net points basis of of funds linked-quarter yield actions on the XX
$XXX,XXX fourth quarter The up in quarter of year. first Non-interest income primarily insurance first key drivers was to $XXX,XXX, XXXX. were, contingent each was the revenue income the up due received from
net a to tax as the loss on of linked-quarter. net Second, $XX,XXX a we compared credit in of investments $XXX,XXX loss incurred
As the of a as is reminder, a tax benefit line these investments income tax the reduction below with recorded expense. associated credit
commercial We transactions. interest strong partially lower from lending were factors swap instruments. rates by These derivative another quarter offset had of income
increase our net $XX.X interest rates. income category was the lower decline a by this timing of adjustment the largest benefits, from the driven valuation However, because $XXX,XXX portfolio was associated to contributors were $XXX,XXX were expense salaries from personnel Non-interest increase increases. in $XXX,XXX of which and The in swap and an primarily of investments with merit the was linked-quarter. higher million, credit due that to
first Occupancy each and advertising quarter increases removal the of lowest first combined is $XXX,XXX typically that the services audit by due the expense $XXX,XXX promotions and because year each is advisory each year. equipment in expense and a to decrease This were largely of highest of was $XXX,XXX with first higher These consulting Professional in highest in was expense, in generally connection year. up timing offset in are snow of higher, fees quarter with projects. expense. the quarter typically partially fees which
addition, XX.X%. of In was COVID in was tax quarter the rate in to activity expense March pandemic. tax $XXX,XXX advertising Income an due representing effective reduced the
mortgage, residential X.X% growth XXXX, quarter flat X.X% loans payoffs led in half growth X.X% with loans from a and of continue to relatively and and consumer quarter March X.X% driving respectively, was the on one business, year-end. sheet, residential an XX.X% and from the growth relatively Total commercial decline. higher performance. increased grew in experienced the X.X% indirect to business balance in Moving than the loans Commercial mortgage decrease was commercial total in in linked-quarter by in offset increase prior partially mortgage while Commercial XX, of muted growth indirect percent commercial by consumer a loans flat X.X%
excluding of increase includes by and excluding million and quarter-end at $XX CDs, deposits of growth deposits, end fourth CDs The reciprocal deposits. customer was of deposits the in Total $XX partially in deposits of million. municipal million Customer CDs customer quarter of million than offset $XXX driven higher brokered were commercial, consumer, $XXX decreases the by XXXX.
deposit quarter $XXX $XXX was public first million driven growth by of seasonality. of million The
by a partially of deposits, deposit liquidity. Total We FHLB available deposits in decrease CDs, on were of was reduce and customer improved growth than our customer brokered in committed million. reliance XX, million at by million excluding March to quarter increase $XX This deposits, million secured CDs driven XXX $XXX increased in our portfolio of offset growth brokered end higher XXXX. plus $XXX borrowings
areas. key current in time, I During a normal at call, our provide would outlook this
crisis we times. COVID-XX quarter on operating in are The second our continue financial have not it in and beyond. XXXX expected to of will and the However, impact results is normal
evolving we quarter on situation and the result guidance rapidly operational you we XXXX are a we impact and financial believe providing can this not Therefore, results the degree to this guidance accuracy. of rely provided. uncertainty, we with not As reasonable and of high not should estimate do previously
turn With that now to Marty the for remarks. I'll back said, call closing
