Delaware | 16-1268674 | |
(State or other jurisdiction of incorporation or organization) | ( |
Title of each | Trading Symbol(s) | Name of each exchange on which |
Common Stock, par value $0.01 per share | NBTB | The NASDAQ Stock Market LLC |
Large accelerated filer | Accelerated filer | Non-accelerated filer |
Smaller reporting company | Emerging growth company |
PART I | ||
ITEM | ||
3 | ||
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15 | ||
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23 | ||
ITEM | 23 | |
ITEM 2. | ||
24 | ||
ITEM | ||
24 | ||
ITEM | ||
PART II | ||
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25 | ||
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26 | ||
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27 | ||
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ITEM | 49 | |
49 | ||
57 | ||
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ITEM 9C. | 103 | |
PART III | ||
ITEM | ||
103 | ||
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PART IV | ||
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104 | ||
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107 |
County | State | Deposits in thousands* | Market Share | Market Rank | Number of Branches* | Number of ATMs* | |||||||||||||||
Chenango | NY | $ | 912,559 | 95.23 | % | 1 | 11 | 12 | |||||||||||||
Fulton | NY | 469,501 | 63.14 | % | 1 | 5 | 6 | ||||||||||||||
Schoharie | NY | 220,361 | 48.22 | % | 1 | 4 | 4 | ||||||||||||||
Hamilton | NY | 44,578 | 44.66 | % | 2 | 1 | 1 | ||||||||||||||
Cortland | NY | 278,943 | 40.65 | % | 1 | 5 | 7 | ||||||||||||||
Montgomery | NY | 264,234 | 36.53 | % | 2 | 5 | 4 | ||||||||||||||
Otsego | NY | 355,933 | 32.80 | % | 2 | 8 | 11 | ||||||||||||||
Delaware | NY | 312,890 | 31.89 | % | 1 | 5 | 5 | ||||||||||||||
Essex | NY | 199,357 | 27.62 | % | 2 | 3 | 5 | ||||||||||||||
Madison | NY | 223,268 | 25.35 | % | 2 | 4 | 8 | ||||||||||||||
Susquehanna | PA | 174,753 | 20.41 | % | 2 | 5 | 7 | ||||||||||||||
Broome | NY | 370,208 | 13.75 | % | 2 | 7 | 10 | ||||||||||||||
Saint Lawrence | NY | 165,489 | 13.68 | % | 3 | 5 | 5 | ||||||||||||||
Oneida | NY | 475,730 | 13.38 | % | 4 | 7 | 9 | ||||||||||||||
Pike | PA | 82,836 | 11.45 | % | 5 | 2 | 2 | ||||||||||||||
Oswego | NY | 140,096 | 11.28 | % | 4 | 4 | 6 | ||||||||||||||
Wayne | PA | 118,528 | 9.20 | % | 4 | 3 | 4 | ||||||||||||||
Herkimer | NY | 59,319 | 9.02 | % | 4 | 2 | 1 | ||||||||||||||
Tioga | NY | 34,906 | 7.75 | % | 5 | 1 | 1 | ||||||||||||||
Clinton | NY | 105,184 | 7.63 | % | 5 | 3 | 3 | ||||||||||||||
Lackawanna | PA | 413,114 | 7.28 | % | 6 | 12 | 17 | ||||||||||||||
Schenectady | NY | 158,950 | 5.79 | % | 5 | 2 | 2 | ||||||||||||||
Franklin | NY | 28,894 | 5.54 | % | 4 | 1 | 1 | ||||||||||||||
Onondaga | NY | 454,061 | 4.22 | % | 6 | 11 | 13 | ||||||||||||||
Saratoga | NY | 153,381 | 3.42 | % | 8 | 4 | 4 | ||||||||||||||
Monroe | PA | 79,468 | 2.96 | % | 8 | 4 | 4 | ||||||||||||||
Berkshire | MA | 124,705 | 2.93 | % | 7 | 6 | 6 | ||||||||||||||
Greene | NY | 39,733 | 2.84 | % | 5 | 2 | 2 | ||||||||||||||
Warren | NY | 45,380 | 2.56 | % | 7 | 2 | 3 | ||||||||||||||
Chittenden | VT | 81,225 | 1.84 | % | 7 | 3 | 3 | ||||||||||||||
Cheshire | NH | 27,215 | 1.81 | % | 7 | 1 | - | ||||||||||||||
Rensselaer | NY | 31,153 | 1.62 | % | 10 | 1 | 1 | ||||||||||||||
Luzerne | PA | 79,314 | 1.32 | % | 13 | 4 | 6 | ||||||||||||||
Albany | NY | 226,583 | 1.14 | % | 9 | 4 | 5 | ||||||||||||||
Hillsborough | NH | 74,688 | 0.66 | % | 12 | 2 | 2 | ||||||||||||||
Rutland | VT | 4,281 | 0.43 | % | 9 | 1 | 1 | ||||||||||||||
Rockingham | NH | 9,923 | 0.13 | % | 22 | 1 | 2 | ||||||||||||||
Cumberland | ME | 7,712 | 0.09 | % | 16 | 1 | - | ||||||||||||||
$ | 7,048,453 | 152 | 183 |
● | 4.5% CET1 to risk-weighted assets; |
● | 6.0% Tier 1 capital (CET1 plus Additional Tier 1 capital) to risk-weighted assets; |
● | 8.0% Total capital (Tier 1 capital plus Tier 2 capital) to risk-weighted assets; and |
● | 4.0% Tier 1 capital to average consolidated assets as reported on consolidated financial statements (known as the “leverage ratio”). |
● | the Truth-In-Lending Act, governing disclosures of credit terms to consumer borrowers; |
● | the Equal Credit Opportunity Act (“ECOA”), prohibiting discrimination in connection with the extension of credit; |
● | the Home Mortgage Disclosure Act (“HMDA”), requiring home mortgage lenders, including the Bank, to make available to the public expanded information regarding the pricing of home mortgage loans, including the “rate spread” between the annual percentage rate and the average prime offer rate for mortgage loans of a comparable type; |
● | the Fair Credit Reporting Act (“FCRA”), governing the provision of consumer information to credit reporting agencies and the use of consumer information; and |
● | the Fair Debt Collection Practices Act, governing the manner in which consumer debts may be collected by collection agencies. |
● | investors may have less confidence in the equity markets in general and in financial services industry stocks in particular, which could place downward pressure on the Company’s stock price and resulting market valuation; |
● | consumer and business confidence levels could be lowered and cause declines in credit usage and adverse changes in payment patterns, causing increases in delinquencies and default rates; |
● | the Company’s ability to assess the creditworthiness of its customers may be impaired if the models and approaches the Company uses to select, manage and underwrite its customers become less predictive of future behaviors; |
● | the Company could suffer decreases in demand for loans or other financial products and services or decreased deposits or other investments in accounts with the Company; |
● | demand for and income received from the Company’s fee-based services could decline; |
● | customers of the Company’s trust and benefit plan administration business may liquidate investments, which together with lower asset values, may reduce the level of assets under management and administration and thereby decrease the Company’s investment management and administration revenues; |
● | competition in the financial services industry could intensify as a result of the increasing consolidation of financial services companies in connection with current market conditions or otherwise; and |
● | the value of loans and other assets or collateral securing loans may decrease. |
● | the ability to develop, maintain and build upon long-term customer relationships based on |
● | the ability to expand the Company’s market position; |
● | the scope, relevance and pricing of products and services offered to meet customer needs and demands; |
● | the rate at which the Company introduces new products, services and technologies relative to its competitors; |
● | customer satisfaction with the Company’s level of service; |
● | industry and general economic trends; and |
● | the ability to attract and retain talented employees. |
● | applicability of Volcker Rule requirements and restrictions; |
● | increased capital, leverage, liquidity and risk management standards; |
● | examinations by the CFPB for compliance with federal consumer financial protection laws and regulations; and |
● | limits on interchange fees from debit card transactions. |
● | exposure to potential asset quality issues of the acquired business; |
● | potential exposure to unknown or contingent liabilities of the acquired business; |
● | our ability to realize anticipated cost savings; |
● | the difficulty of integrating operations and personnel (including the operations and personnel of Salisbury) and the potential loss of key employees; |
● | the potential disruption of our or the acquired company’s ongoing business in such a way that could result in decreased revenues or the inability of our management to maximize our financial and strategic position; |
● | the inability to maintain uniform standards, controls, procedures and policies; and |
● | the impairment of relationships with the acquired company’s employees and customers as a result of changes in ownership and management. |
ITEM 1B. | UNRESOLVED STAFF COMMENTS |
County | Branches | ATMs | County | Branches | ATMs | ||||||||||||
New York | Pennsylvania | ||||||||||||||||
Albany | 4 | 5 | Lackawanna | 12 | 17 | ||||||||||||
Broome | 7 | 10 | Luzerne | 4 | 6 | ||||||||||||
Chenango | 11 | 12 | Monroe | 4 | 4 | ||||||||||||
Clinton | 3 | 3 | Pike | 2 | 2 | ||||||||||||
Cortland | 5 | 7 | Susquehanna | 5 | 7 | ||||||||||||
Delaware | 5 | 5 | Wayne | 3 | 4 | ||||||||||||
Essex | 3 | 5 | |||||||||||||||
Franklin | 1 | 1 | New Hampshire | ||||||||||||||
Fulton | 5 | 6 | Cheshire | 1 | - | ||||||||||||
Greene | 2 | 2 | Hillsborough | 2 | 2 | ||||||||||||
Hamilton | 1 | 1 | Rockingham | 1 | 2 | ||||||||||||
Herkimer | 2 | 1 | |||||||||||||||
Madison | 4 | 8 | Vermont | ||||||||||||||
Montgomery | 5 | 4 | Chittenden | 3 | 3 | ||||||||||||
Oneida | 7 | 9 | Rutland | 1 | 1 | ||||||||||||
Onondaga | 11 | 13 | |||||||||||||||
Oswego | 4 | 6 | Massachusetts | ||||||||||||||
Otsego | 8 | 11 | Berkshire | 6 | 6 | ||||||||||||
Rensselaer | 1 | 1 | |||||||||||||||
Saint Lawrence | 5 | 5 | Maine | ||||||||||||||
Saratoga | 4 | 4 | Cumberland | 1 | - | ||||||||||||
Schenectady | 2 | 2 | |||||||||||||||
Schoharie | 4 | 4 | |||||||||||||||
Tioga | 1 | 1 | |||||||||||||||
Warren | 2 | 3 | |||||||||||||||
Total | 152 | 183 |
High | Low | Dividend | ||||||||||
2017 | ||||||||||||
1st quarter | $ | 42.56 | $ | 35.96 | $ | 0.23 | ||||||
2nd quarter | 40.85 | 34.80 | 0.23 | |||||||||
3rd quarter | 38.03 | 31.28 | 0.23 | |||||||||
4th quarter | 40.47 | 35.18 | 0.23 | |||||||||
2016 | ||||||||||||
1st quarter | $ | 27.50 | $ | 23.81 | $ | 0.22 | ||||||
2nd quarter | 29.55 | 25.67 | 0.22 | |||||||||
3rd quarter | 33.04 | 27.31 | 0.23 | |||||||||
4th quarter | 42.49 | 32.26 | 0.23 |
Period Ending | Period Ending | |||||||||||||||||||||||||||||||||||||||||||||||
Index | 12/31/12 | 12/31/13 | 12/31/14 | 12/31/15 | 12/31/16 | 12/31/17 | 12/31/18 | 12/31/19 | 12/31/20 | 12/31/21 | 12/31/22 | 12/31/23 | ||||||||||||||||||||||||||||||||||||
NBT Bancorp | $ | 100.00 | $ | 132.34 | $ | 138.95 | $ | 152.36 | $ | 235.43 | $ | 212.08 | $ | 100.00 | $ | 120.59 | $ | 98.73 | $ | 122.06 | $ | 141.64 | $ | 141.51 | ||||||||||||||||||||||||
KBW Regional Bank Index | $ | 100.00 | $ | 146.72 | $ | 150.21 | $ | 159.19 | $ | 221.23 | $ | 225.15 | $ | 100.00 | $ | 123.87 | $ | 113.11 | $ | 154.57 | $ | 143.87 | $ | 143.30 | ||||||||||||||||||||||||
NASDAQ Composite Index | $ | 100.00 | $ | 140.11 | $ | 160.85 | $ | 172.31 | $ | 187.68 | $ | 243.42 | $ | 100.00 | $ | 136.73 | $ | 198.33 | $ | 242.38 | $ | 163.58 | $ | 236.70 |
ITEM 6. | [RESERVED] |
7. |
Year ended December 31, | ||||||||||||||||||||
(In thousands, except share and per share data) | 2017 | 2016 | 2015 | 2014 | 2013 (1) | |||||||||||||||
Interest, fee and dividend income | $ | 309,407 | $ | 286,947 | $ | 273,224 | $ | 275,081 | $ | 268,723 | ||||||||||
Interest expense | 25,914 | 22,506 | 20,616 | 23,203 | 30,644 | |||||||||||||||
Net interest income | 283,493 | 264,441 | 252,608 | 251,878 | 238,079 | |||||||||||||||
Provision for loan losses | 30,988 | 25,431 | 18,285 | 19,539 | 22,424 | |||||||||||||||
Noninterest income excluding net securities gains (losses) | 119,437 | 116,357 | 115,394 | 125,935 | 101,789 | |||||||||||||||
Net securities gains (losses) | 1,867 | (644 | ) | 3,087 | 92 | 1,426 | ||||||||||||||
Noninterest expense | 245,648 | 235,922 | 236,176 | 246,063 | 228,927 | |||||||||||||||
Income before income taxes | 128,161 | 118,801 | 116,628 | 112,303 | 89,943 | |||||||||||||||
Net income | 82,151 | 78,409 | 76,425 | 75,074 | 61,747 | |||||||||||||||
Per common share | ||||||||||||||||||||
Basic earnings | $ | 1.89 | $ | 1.81 | $ | 1.74 | $ | 1.71 | $ | 1.47 | ||||||||||
Diluted earnings | 1.87 | 1.80 | 1.72 | 1.69 | 1.46 | |||||||||||||||
Cash dividends paid | 0.92 | 0.90 | 0.87 | 0.84 | 0.81 | |||||||||||||||
Book value at year-end | 22.01 | 21.11 | 20.31 | 19.69 | 18.77 | |||||||||||||||
Tangible book value at year-end (2) | 15.54 | 14.61 | 13.79 | 13.22 | 12.09 | |||||||||||||||
Average diluted common shares outstanding | 43,905 | 43,622 | 44,389 | 44,395 | 42,351 | |||||||||||||||
Securities available for sale, at fair value | $ | 1,255,925 | $ | 1,338,290 | $ | 1,174,544 | $ | 1,013,171 | $ | 1,364,881 | ||||||||||
Securities held to maturity, at amortized cost | 484,073 | 527,948 | 471,031 | 454,361 | 117,283 | |||||||||||||||
Loans | 6,584,773 | 6,198,057 | 5,883,133 | 5,595,271 | 5,406,795 | |||||||||||||||
Allowance for loan losses | 69,500 | 65,200 | 63,018 | 66,359 | 69,434 | |||||||||||||||
Assets | 9,136,812 | 8,867,268 | 8,262,646 | 7,807,340 | 7,652,175 | |||||||||||||||
Deposits | 7,170,636 | 6,973,688 | 6,604,843 | 6,299,605 | 5,890,224 | |||||||||||||||
Borrowings | 909,188 | 886,986 | 674,124 | 548,943 | 866,061 | |||||||||||||||
Stockholders’ equity | 958,177 | 913,316 | 882,004 | 864,181 | 816,569 | |||||||||||||||
Key ratios | ||||||||||||||||||||
Return on average assets | 0.91 | % | 0.92 | % | 0.96 | % | 0.97 | % | 0.85 | % | ||||||||||
Return on average equity | 8.71 | % | 8.74 | % | 8.70 | % | 8.84 | % | 8.09 | % | ||||||||||
Average equity to average assets | 10.45 | % | 10.49 | % | 10.98 | % | 10.95 | % | 10.50 | % | ||||||||||
Net interest margin | 3.47 | % | 3.43 | % | 3.50 | % | 3.61 | % | 3.66 | % | ||||||||||
Dividend payout ratio | 49.20 | % | 50.00 | % | 49.92 | % | 49.16 | % | 55.48 | % | ||||||||||
Tier 1 leverage | 9.14 | % | 9.11 | % | 9.44 | % | 9.39 | % | 8.93 | % | ||||||||||
Common equity tier 1 capital ratio | 10.06 | % | 9.98 | % | 10.20 | % | N/A | N/A | ||||||||||||
Tier 1 risk-based capital | 11.42 | % | 11.42 | % | 11.73 | % | 12.32 | % | 11.74 | % | ||||||||||
Total risk-based capital | 12.42 | % | 12.39 | % | 12.74 | % | 13.50 | % | 12.99 | % |
Year ended December 31, | ||||||||||||||||||||
(In thousands, except share and per share data) | 2017 | 2016 | 2015 | 2014 | 2013 | |||||||||||||||
Stockholders' equity | $ | 958,177 | $ | 913,316 | $ | 882,004 | $ | 864,181 | $ | 816,569 | ||||||||||
Intangibles | 281,463 | 281,254 | 283,222 | 283,951 | 290,554 | |||||||||||||||
Tangible equity | $ | 676,714 | $ | 632,062 | $ | 598,782 | $ | 580,230 | $ | 526,015 | ||||||||||
Diluted common shares outstanding | 43,543 | 43,258 | 43,431 | 43,896 | 43,513 | |||||||||||||||
Tangible book value | $ | 15.54 | $ | 14.61 | $ | 13.79 | $ | 13.22 | $ | 12.09 |
2017 | 2016 | |||||||||||||||||||||||||||||||
(In thousands, except share and per share data) | Fourth | Third | Second | First | Fourth | Third | Second | First | ||||||||||||||||||||||||
Interest, fee and dividend income | $ | 80,230 | $ | 78,847 | $ | 75,894 | $ | 74,436 | $ | 73,109 | $ | 72,509 | $ | 71,375 | $ | 69,954 | ||||||||||||||||
Interest expense | 6,779 | 6,917 | 6,273 | 5,945 | 5,684 | 5,847 | 5,598 | 5,377 | ||||||||||||||||||||||||
Net interest income | 73,451 | 71,930 | 69,621 | 68,491 | 67,425 | 66,662 | 65,777 | 64,577 | ||||||||||||||||||||||||
Provision for loan losses | 8,153 | 7,889 | 7,567 | 7,379 | 8,165 | 6,388 | 4,780 | 6,098 | ||||||||||||||||||||||||
Noninterest income excluding net securities gains (losses) | 29,603 | 30,782 | 30,302 | 28,750 | 28,762 | 29,644 | 29,613 | 28,338 | ||||||||||||||||||||||||
Net securities gains (losses) | 1,869 | (4 | ) | 2 | - | (674 | ) | - | 1 | 29 | ||||||||||||||||||||||
Noninterest expense | 63,444 | 60,601 | 60,321 | 61,282 | 57,639 | 59,614 | 60,445 | 58,224 | ||||||||||||||||||||||||
Net income | 17,637 | 22,876 | 21,359 | 20,279 | 19,608 | 20,001 | 19,909 | 18,891 | ||||||||||||||||||||||||
Basic earnings per share | $ | 0.40 | $ | 0.52 | $ | 0.49 | $ | 0.47 | $ | 0.45 | $ | 0.46 | $ | 0.46 | $ | 0.44 | ||||||||||||||||
Diluted earnings per share | $ | 0.40 | $ | 0.52 | $ | 0.49 | $ | 0.46 | $ | 0.45 | $ | 0.46 | $ | 0.46 | $ | 0.43 | ||||||||||||||||
Annualized net interest margin | 3.52 | % | 3.47 | % | 3.44 | % | 3.46 | % | 3.41 | % | 3.40 | % | 3.44 | % | 3.47 | % | ||||||||||||||||
Annualized return on average assets | 0.77 | % | 1.00 | % | 0.95 | % | 0.92 | % | 0.89 | % | 0.92 | % | 0.94 | % | 0.92 | % | ||||||||||||||||
Annualized return on average equity | 7.27 | % | 9.55 | % | 9.11 | % | 8.94 | % | 8.54 | % | 8.80 | % | 9.00 | % | 8.63 | % | ||||||||||||||||
Weighted average diluted common shares outstanding | 43,958 | 43,915 | 43,901 | 43,883 | 43,703 | 43,562 | 43,454 | 43,707 |
● |
● | net income for |
● | diluted earnings per share of $2.65 for the |
● | operating net income(1), a non-GAAP measure, which excludes acquisition expenses, acquisition-related provision for credit losses, securities (losses) gains and an impairment of a minority interest equity investment, net of tax, was $144.7 million, or $3.23 per diluted common share, for the year ended December 31, 2023; |
● | excluding securities (losses) gains, noninterest income represented 29% of total revenues and was $151.5 million for the year ended December 31, 2023, down $5.2 million, or 3.3% from the year ended December 31, 2022; |
● | noninterest expense, excluding $10.0 million of acquisition expenses for the year ended December 31, 2023 and $1.0 million for the year ended December 31, 2022, respectively, was up $28.2 million, or 9.3%, from |
● | period end total loans were $9.65 billion, up $1.50 billion, or 18.4% from December 31, 2022, excluding the $1.18 billion of loans acquired from Salisbury, loans grew $320.6 million, |
● | period end total deposits were $10.97 billion, up $1.47 billion, or 15.5% from December 31, 2022, excluding the $1.31 billion of deposits acquired from Salisbury, deposits increased $164.1 million, or 1.7%, since December 31, 2022; |
● | credit quality metrics including net charge-offs of 0.19% and allowance for loan losses to total loans at 1.19%; |
● | book value per share of $30.26 at December 31, 2023; tangible book value per share was $21.72(1) at December 31, 2023. |
(1) |
● | Operating net income(1), a non-GAAP measure, which excludes the impact of acquisition expenses, acquisition-related provision for credit losses, securities (losses) gains and an impairment of a minority interest equity investment, the Company generated $3.23 per diluted share of earnings in 2023, compared to $3.56 per diluted share in 2022. |
● | The Company incurred a $4.5 million ($0.08 per diluted share) securities loss on the sale of two subordinated debt securities held in the available for sale (“AFS”) portfolio and a $5.0 million ($0.09 per diluted share) securities loss on the write-off of a subordinated debt security of a failed financial institution. |
● | The Company incurred acquisition expenses of $10.0 million ($0.18 per diluted share) and $1.0 million ($0.02 per diluted share) related to the merger with Salisbury in 2023 and 2022, respectively. |
● | The Company recorded a full $4.8 million ($0.08 per diluted share) impairment of its minority interest equity investment in a provider of financial and technology services to residential solar equipment installers due to the uncertainty in the realizability of the investment in other noninterest expense in the consolidated statements of income. |
● | Net interest income in 2023 increased $16.0 million in comparison to 2022, primarily due to the impact of the Salisbury acquisition. |
● | The Company recorded a provision for loan losses of $25.3 million ($0.44 per diluted share) in 2023, compared to $17.1 million ($0.31 per diluted share) in 2022. Included in the provision expense for 2023 was $8.8 million of acquisition-related provision for loan losses. |
● | Card services income decreased $8.2 million from prior year outcomes driven by the impact of the Company being subject to the statutory price cap provisions of the Durbin Amendment to the Dodd-Frank Act (“Durbin Amendment”). |
Years Ended December 31, | ||||||||||||
2023 | 2022 | 2021 | ||||||||||
Performance: | ||||||||||||
Diluted earnings per share | $ | 2.65 | $ | 3.52 | $ | 3.54 | ||||||
Return on average assets | 0.95 | % | 1.29 | % | 1.33 | % | ||||||
Return on average equity | 9.34 | % | 12.67 | % | 12.71 | % | ||||||
Return on average tangible common equity | 13.02 | % | 16.89 | % | 16.92 | % | ||||||
Net interest margin (FTE) | 3.29 | % | 3.34 | % | 3.03 | % | ||||||
Capital: | ||||||||||||
Equity to assets | 10.71 | % | 10.00 | % | 10.41 | % | ||||||
Tangible equity ratio | 7.93 | % | 7.73 | % | 8.20 | % | ||||||
Book value per share | $ | 30.26 | $ | 27.38 | $ | 28.97 | ||||||
Tangible book value per share | $ | 21.72 | $ | 20.65 | $ | 22.26 | ||||||
Leverage ratio | 9.71 | % | 10.32 | % | 9.41 | % | ||||||
Common equity tier 1 capital ratio | 11.57 | % | 12.12 | % | 12.25 | % | ||||||
Tier 1 capital ratio | 12.50 | % | 13.19 | % | 13.43 | % | ||||||
Total risk-based capital ratio | 14.75 | % | 15.38 | % | 15.73 | % |
Years Ended December 31, | ||||||||||||
(In thousands, except per share data) | 2023 | 2022 | 2021 | |||||||||
Return on average tangible common equity: | ||||||||||||
Net income | $ | 118,782 | $ | 151,995 | $ | 154,885 | ||||||
Amortization of intangible assets (net of tax) | 3,551 | 1,698 | 2,106 | |||||||||
Net income, excluding intangible amortization | $ | 122,333 | $ | 153,693 | $ | 156,991 | ||||||
Average stockholders’ equity | $ | 1,272,333 | $ | 1,199,383 | $ | 1,218,449 | ||||||
Less: average goodwill and other intangibles | 332,667 | 289,238 | 290,838 | |||||||||
Average tangible common equity | $ | 939,666 | $ | 910,145 | $ | 927,611 | ||||||
Return on average tangible common equity | 13.02 | % | 16.89 | % | 16.92 | % | ||||||
Tangible equity ratio: | ||||||||||||
Stockholders’ equity | $ | 1,425,691 | $ | 1,173,554 | $ | 1,250,453 | ||||||
Intangibles | 402,294 | 288,545 | 289,468 | |||||||||
Assets | $ | 13,309,040 | $ | 11,739,296 | $ | 12,012,111 | ||||||
Tangible equity ratio | 7.93 | % | 7.73 | % | 8.20 | % | ||||||
Tangible book value: | ||||||||||||
Stockholders’ equity | $ | 1,425,691 | $ | 1,173,554 | $ | 1,250,453 | ||||||
Intangibles | 402,294 | 288,545 | 289,468 | |||||||||
Tangible equity | $ | 1,023,397 | $ | 885,009 | $ | 960,985 | ||||||
Diluted common shares outstanding | 47,110 | 42,858 | 43,168 | |||||||||
Tangible book value per share | $ | 21.72 | $ | 20.65 | $ | 22.26 | ||||||
Operating net income: | ||||||||||||
Net income | $ | 118,782 | $ | 151,995 | $ | 154,885 | ||||||
Acquisition expenses | 9,978 | 967 | - | |||||||||
Acquisition-related provision for credit losses | 8,750 | - | - | |||||||||
Acquisition-related reserve for unfunded loan commitments | 836 | - | - | |||||||||
Impairment of a minority interest equity investment | 4,750 | - | - | |||||||||
Litigation settlement cost | - | - | 4,250 | |||||||||
Securities losses (gains) | 9,315 | 1,131 | (566 | ) | ||||||||
Adjustment to net income | $ | 33,629 | $ | 2,098 | $ | 3,684 | ||||||
Adjustment to net income (net of tax) | $ | 25,965 | $ | 1,623 | $ | 2,854 | ||||||
Operating net income | $ | 144,747 | $ | 153,618 | $ | 157,739 | ||||||
Operating diluted earnings per share | $ | 3.23 | $ | 3.56 | $ | 3.61 |
● |
ο | loan growth may |
ο | cost of deposits as well as overall cost of funds could |
ο | higher short-term interest rates have continued to afford deposit customers investment opportunities outside the banking system resulting in deposit declines across the industry, however, a decline to short-term interest rates could potentially mitigate this; |
ο | Investment purchases have slowed as runoff of investment cash flows have been utilized as a source of funding. |
● | The |
ο | this reduced inflation has had a material impact on current and expected Federal Reserve monetary policy; |
the tightening of monetary policy through measures to raise interest rates seen in 2022 and 2023 could begin to reverse itself in 2024 given softening inflation; |
ο | the loosening of monetary policy through the reduction to short term interest rates in 2024 could have a negative impact on overall net interest income given the |
● | The |
● | The Company’s |
2017 | 2016 | 2015 | 2023 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Average Balance | Interest | Yield/ Rate | Average Balance | Interest | Yield/ Rate | Average Balance | Interest | Yield/ Rate | Average Balance | Interest | Yield/ Rate | Average Balance | Interest | Yield/ Rate | Average Balance | Interest | Yield/ Rate | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Short-term interest bearing accounts | $ | 9,636 | $ | 179 | 1.86 | % | $ | 16,301 | $ | 95 | 0.58 | % | $ | 10,157 | $ | 33 | 0.33 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities available for sale (1)(2) | 1,350,995 | 28,969 | 2.14 | % | 1,237,930 | 24,450 | 1.98 | % | 1,059,284 | 20,888 | 1.97 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities held to maturity (1) | 507,583 | 13,490 | 2.66 | % | 487,837 | 12,255 | 2.51 | % | 459,589 | 11,296 | 2.46 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Short-term interest-bearing accounts | $ | 126,765 | $ | 6,259 | 4.94 | % | $ | 440,429 | $ | 3,072 | 0.70 | % | $ | 932,086 | $ | 1,229 | 0.13 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities taxable(1) | 2,377,596 | 45,176 | 1.90 | % | 2,424,925 | 43,229 | 1.78 | % | 1,910,641 | 31,962 | 1.67 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Securities tax-exempt(1) (3) | 214,053 | 6,730 | 3.14 | % | 233,515 | 5,070 | 2.17 | % | 220,759 | 4,929 | 2.23 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Federal Reserve Bank and FHLB stock | 46,673 | 2,634 | 5.64 | % | 38,867 | 1,973 | 5.08 | % | 33,044 | 1,712 | 5.18 | % | 48,641 | 3,368 | 6.92 | % | 27,040 | 995 | 3.68 | % | 25,255 | 616 | 2.44 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Loans (3) | 6,359,447 | 267,934 | 4.21 | % | 6,035,513 | 251,723 | 4.17 | % | 5,743,860 | 242,587 | 4.22 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total interest earning assets | $ | 8,274,334 | $ | 313,206 | 3.79 | % | $ | 7,816,448 | $ | 290,496 | 3.72 | % | $ | 7,305,934 | $ | 276,516 | 3.78 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans(2) (3) | 8,803,228 | 463,290 | 5.26 | % | 7,772,962 | 333,008 | 4.28 | % | 7,543,149 | 302,331 | 4.01 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total interest-earning assets | $ | 11,570,283 | $ | 524,823 | 4.54 | % | $ | 10,898,871 | $ | 385,374 | 3.54 | % | $ | 10,631,890 | $ | 341,067 | 3.21 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other assets | 752,258 | 740,506 | 691,583 | 923,850 | 893,197 | 983,809 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total assets | $ | 9,026,592 | $ | 8,556,954 | $ | 7,997,517 | $ | 12,494,133 | $ | 11,792,068 | $ | 11,615,699 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities and Stockholders' Equity: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Liabilities and stockholders’ equity: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Money market deposit accounts | $ | 1,697,386 | $ | 3,864 | 0.23 | % | $ | 1,668,555 | $ | 3,599 | 0.22 | % | $ | 1,582,078 | $ | 3,351 | 0.21 | % | $ | 2,418,450 | $ | 62,475 | 2.58 | % | $ | 2,447,978 | $ | 4,955 | 0.20 | % | $ | 2,587,748 | $ | 5,117 | 0.20 | % | ||||||||||||||||||||||||||||||||||||
NOW deposit accounts | 1,153,361 | 1,051 | 0.09 | % | 1,077,581 | 546 | 0.05 | % | 987,638 | 515 | 0.05 | % | 1,555,414 | 8,298 | 0.53 | % | 1,578,831 | 2,600 | 0.16 | % | 1,452,560 | 738 | 0.05 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Savings deposits | 1,214,480 | 683 | 0.06 | % | 1,135,182 | 652 | 0.06 | % | 1,071,753 | 651 | 0.06 | % | 1,715,749 | 650 | 0.04 | % | 1,829,360 | 592 | 0.03 | % | 1,656,893 | 829 | 0.05 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Time deposits | 817,370 | 8,877 | 1.09 | % | 905,126 | 9,569 | 1.06 | % | 960,188 | 9,740 | 1.01 | % | 1,006,867 | 33,218 | 3.30 | % | 464,912 | 1,776 | 0.38 | % | 577,150 | 4,030 | 0.70 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Total interest bearing deposits | $ | 4,882,597 | $ | 14,475 | 0.30 | % | $ | 4,786,444 | $ | 14,366 | 0.30 | % | $ | 4,601,657 | $ | 14,257 | 0.31 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing deposits | $ | 6,696,480 | $ | 104,641 | 1.56 | % | $ | 6,321,081 | $ | 9,923 | 0.16 | % | $ | 6,274,351 | $ | 10,714 | 0.17 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Federal funds purchased | 24,575 | 1,269 | 5.16 | % | 14,644 | 588 | 4.02 | % | 17 | - | - | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Repurchase agreements | 70,251 | 747 | 1.06 | % | 69,561 | 67 | 0.10 | % | 100,519 | 132 | 0.13 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Short-term borrowings | 690,036 | 5,996 | 0.87 | % | 497,654 | 2,309 | 0.46 | % | 339,885 | 783 | 0.23 | % | 450,377 | 23,592 | 5.24 | % | 46,371 | 1,968 | 4.24 | % | 1,302 | 26 | 2.00 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Long-term debt | 93,389 | 2,299 | 2.46 | % | 118,860 | 3,204 | 2.70 | % | 130,705 | 3,355 | 2.57 | % | 24,247 | 925 | 3.81 | % | 6,579 | 161 | 2.45 | % | 15,479 | 389 | 2.51 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Subordinated debt, net | 105,756 | 6,076 | 5.75 | % | 98,439 | 5,424 | 5.51 | % | 98,259 | 5,437 | 5.53 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Junior subordinated debt | 101,196 | 3,144 | 3.11 | % | 101,196 | 2,627 | 2.60 | % | 101,196 | 2,221 | 2.19 | % | 101,196 | 7,320 | 7.23 | % | 101,196 | 3,749 | 3.70 | % | 101,196 | 2,090 | 2.07 | % | ||||||||||||||||||||||||||||||||||||||||||||||||
Total interest bearing liabilities | $ | 5,767,218 | $ | 25,914 | 0.45 | % | $ | 5,504,154 | $ | 22,506 | 0.41 | % | $ | 5,173,443 | $ | 20,616 | 0.40 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total interest-bearing liabilities | $ | 7,472,882 | $ | 144,570 | 1.93 | % | $ | 6,657,871 | $ | 21,880 | 0.33 | % | $ | 6,591,123 | $ | 18,788 | 0.29 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Demand deposits | 2,217,785 | 2,045,465 | 1,857,027 | 3,463,608 | 3,696,957 | 3,565,693 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Other liabilities | 97,913 | 110,105 | 88,937 | 285,310 | 237,857 | 240,434 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders' equity | 943,676 | 897,230 | 878,110 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and stockholders' equity | $ | 9,026,592 | $ | 8,556,954 | $ | 7,997,517 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net FTE interest income | $ | 287,292 | $ | 267,990 | $ | 255,900 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stockholders’ equity | 1,272,333 | 1,199,383 | 1,218,449 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total liabilities and stockholders’ equity | $ | 12,494,133 | $ | 11,792,068 | $ | 11,615,699 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income (FTE) | $ | 380,253 | $ | 363,494 | $ | 322,279 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Interest rate spread | 3.34 | % | 3.31 | % | 3.38 | % | 2.61 | % | 3.21 | % | 2.92 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest margin | 3.47 | % | 3.43 | % | 3.50 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest margin (FTE) | 3.29 | % | 3.34 | % | 3.03 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Taxable equivalent adjustment | $ | 3,799 | $ | 3,549 | $ | 3,292 | $ | 2,034 | $ | 1,304 | $ | 1,191 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Net interest income | $ | 283,493 | $ | 264,441 | $ | 252,608 | $ | 378,219 | $ | 362,190 | $ | 321,088 |
(1) | Securities are shown at average amortized cost. |
(2) |
For purposes of these computations, nonaccrual loans and loans held for sale are included in the average loan balances outstanding. |
Interest income for tax-exempt securities and loans |
Increase (Decrease) 2017 over 2016 | Increase (Decrease) 2016 over 2015 | Increase (Decrease) 2023 over 2022 | Increase (Decrease) 2022 over 2021 | |||||||||||||||||||||||||||||||||||||||||||||
(In thousands) | Volume | Rate | Total | Volume | Rate | Total | Volume | Rate | Total | Volume | Rate | Total | ||||||||||||||||||||||||||||||||||||
Short-term interest-bearing accounts | $ | (52 | ) | $ | 136 | $ | 84 | $ | 27 | $ | 35 | $ | 62 | $ | (3,583 | ) | $ | 6,770 | $ | 3,187 | $ | (953 | ) | $ | 2,796 | $ | 1,843 | |||||||||||||||||||||
Securities available for sale | 2,331 | 2,188 | 4,519 | 3,527 | 35 | 3,562 | ||||||||||||||||||||||||||||||||||||||||||
Securities held to maturity | 508 | 727 | 1,235 | 706 | 253 | 959 | ||||||||||||||||||||||||||||||||||||||||||
Securities taxable | (856 | ) | 2,803 | 1,947 | 9,057 | 2,210 | 11,267 | |||||||||||||||||||||||||||||||||||||||||
Securities tax-exempt | (452 | ) | 2,112 | 1,660 | 279 | (138 | ) | 141 | ||||||||||||||||||||||||||||||||||||||||
Federal Reserve Bank and FHLB stock | 425 | 236 | 661 | 296 | (35 | ) | 261 | 1,128 | 1,245 | 2,373 | 46 | 333 | 379 | |||||||||||||||||||||||||||||||||||
Loans | 13,627 | 2,584 | 16,211 | 12,194 | (3,058 | ) | 9,136 | 47,841 | 82,441 | 130,282 | 9,406 | 21,271 | 30,677 | |||||||||||||||||||||||||||||||||||
Total FTE interest income | $ | 16,839 | $ | 5,871 | $ | 22,710 | $ | 16,750 | $ | (2,770 | ) | $ | 13,980 | $ | 44,077 | $ | 95,372 | $ | 139,449 | $ | 17,835 | $ | 26,472 | $ | 44,307 | |||||||||||||||||||||||
Money market deposit accounts | 63 | 202 | 265 | 186 | 62 | 248 | (60 | ) | 57,580 | 57,520 | (281 | ) | 119 | (162 | ) | |||||||||||||||||||||||||||||||||
NOW deposit accounts | 41 | 464 | 505 | 46 | (15 | ) | 31 | (39 | ) | 5,737 | 5,698 | 70 | 1,792 | 1,862 | ||||||||||||||||||||||||||||||||||
Savings deposits | 45 | (14 | ) | 31 | 37 | (36 | ) | 1 | (38 | ) | 96 | 58 | 79 | (316 | ) | (237 | ) | |||||||||||||||||||||||||||||||
Time deposits | (948 | ) | 256 | (692 | ) | (572 | ) | 401 | (171 | ) | 4,164 | 27,278 | 31,442 | (677 | ) | (1,577 | ) | (2,254 | ) | |||||||||||||||||||||||||||||
Federal funds purchased | 479 | 202 | 681 | 588 | - | 588 | ||||||||||||||||||||||||||||||||||||||||||
Repurchase agreements | 1 | 679 | 680 | (35 | ) | (30 | ) | (65 | ) | |||||||||||||||||||||||||||||||||||||||
Short-term borrowings | 1,132 | 2,555 | 3,687 | 479 | 1,047 | 1,526 | 21,058 | 566 | 21,624 | 1,881 | 61 | 1,942 | ||||||||||||||||||||||||||||||||||||
Long-term debt | (644 | ) | (261 | ) | (905 | ) | (314 | ) | 163 | (151 | ) | 632 | 132 | 764 | (218 | ) | (10 | ) | (228 | ) | ||||||||||||||||||||||||||||
Subordinated debt, net | 414 | 238 | 652 | 10 | (23 | ) | (13 | ) | ||||||||||||||||||||||||||||||||||||||||
Junior subordinated debt | - | 517 | 517 | - | 406 | 406 | - | 3,571 | 3,571 | - | 1,659 | 1,659 | ||||||||||||||||||||||||||||||||||||
Total FTE interest expense | $ | (311 | ) | $ | 3,719 | $ | 3,408 | $ | (138 | ) | $ | 2,028 | $ | 1,890 | $ | 26,610 | $ | 96,080 | $ | 122,690 | $ | 1,417 | $ | 1,675 | $ | 3,092 | ||||||||||||||||||||||
Change in FTE net interest income | $ | 17,150 | $ | 2,152 | $ | 19,302 | $ | 16,888 | $ | (4,798 | ) | $ | 12,090 | $ | 17,467 | $ | (708 | ) | $ | 16,759 | $ | 16,418 | $ | 24,797 | $ | 41,215 |
December 31, | ||||||||||||||||||||
(In thousands) | 2017 | 2016 | 2015 | 2014 | 2013 | |||||||||||||||
Residential real estate mortgages | $ | 1,321,695 | $ | 1,262,614 | $ | 1,196,780 | $ | 1,115,715 | $ | 1,041,502 | ||||||||||
Commercial | 1,317,174 | 1,242,701 | 1,159,089 | 1,144,761 | 1,180,995 | |||||||||||||||
Commercial real estate | 1,711,095 | 1,543,301 | 1,430,618 | 1,334,984 | 1,218,988 | |||||||||||||||
Consumer | 1,740,038 | 1,641,657 | 1,568,204 | 1,430,216 | 1,345,395 | |||||||||||||||
Home equity | 494,771 | 507,784 | 528,442 | 569,595 | 619,915 | |||||||||||||||
Total | $ | 6,584,773 | $ | 6,198,057 | $ | 5,883,133 | $ | 5,595,271 | $ | 5,406,795 |
December 31, | ||||||||||||||||||||
(In thousands) | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
Commercial & industrial | $ | 1,353,725 | $ | 1,265,082 | $ | 1,155,240 | $ | 1,121,224 | $ | 1,112,616 | ||||||||||
Commercial real estate | 3,626,910 | 2,807,941 | 2,655,367 | 2,526,813 | 2,331,650 | |||||||||||||||
Paycheck protection program | 523 | 949 | 101,222 | 430,810 | - | |||||||||||||||
Residential real estate | 2,125,804 | 1,649,870 | 1,571,232 | 1,466,662 | 1,445,156 | |||||||||||||||
Indirect auto | 1,130,132 | 989,587 | 859,454 | 931,286 | 1,193,635 | |||||||||||||||
Residential solar | 917,755 | 856,798 | 440,016 | 282,224 | 219,210 | |||||||||||||||
Home equity | 337,214 | 314,124 | 330,357 | 387,974 | 444,082 | |||||||||||||||
Other consumer | 158,650 | 265,796 | 385,571 | 351,892 | 389,749 | |||||||||||||||
Total loans | $ | 9,650,713 | $ | 8,150,147 | $ | 7,498,459 | $ | 7,498,885 | $ | 7,136,098 |
(1) | Loans are summarized by business line which does not align with how the Company assesses credit risk in the estimate for credit losses under CECL. |
Remaining maturity at December 31, 2017 | ||||||||||||||||
(In thousands) | Within One Year | After One Year But Within Five Years | After Five Years | Total | ||||||||||||
Floating/adjustable rate: | ||||||||||||||||
Commercial, commercial real estate, agricultural and agricultural real estate | $ | 474,290 | $ | 419,618 | $ | 1,335,712 | $ | 2,229,620 | ||||||||
Fixed rate: | ||||||||||||||||
Commercial, commercial real estate, agricultural and agricultural real estate | 65,990 | 441,692 | 290,967 | 798,649 | ||||||||||||
Total | $ | 540,280 | $ | 861,310 | $ | 1,626,679 | $ | 3,028,269 |
Remaining Maturity at December 31, 2023 | ||||||||||||||||||||||||||||
(In thousands) | C&I | CRE | Indirect Auto | Residential Solar | Other Consumer | Residential | Total | |||||||||||||||||||||
Within one year | $ | 263,204 | $ | 158,227 | $ | 13,380 | $ | 167 | $ | 22,393 | $ | 622 | $ | 457,993 | ||||||||||||||
From one to five years | 523,893 | 962,542 | 630,046 | 13,457 | 147,382 | 38,549 | 2,315,869 | |||||||||||||||||||||
From five to fifteen years | 325,814 | 2,195,525 | 486,706 | 297,119 | 319,739 | 421,967 | 4,046,870 | |||||||||||||||||||||
After fifteen years | 241,337 | 310,616 | - | 607,012 | 6,350 | 1,664,666 | 2,829,981 | |||||||||||||||||||||
Total | $ | 1,354,248 | $ | 3,626,910 | $ | 1,130,132 | $ | 917,755 | $ | 495,864 | $ | 2,125,804 | $ | 9,650,713 | ||||||||||||||
Interest rate terms on amounts due after one year: | ||||||||||||||||||||||||||||
Fixed | $ | 760,886 | $ | 828,425 | $ | 1,116,713 | $ | 917,403 | $ | 240,404 | $ | 1,829,553 | $ | 5,693,384 | ||||||||||||||
Variable | $ | 330,158 | $ | 2,640,258 | $ | 39 | $ | 185 | $ | 233,067 | $ | 295,629 | $ | 3,499,336 |
As of December 31, | As of December 31, | |||||||||||||||||||||||||||||||||||||||||||||||
2017 | 2016 | 2015 | 2023 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||
(In thousands) | Amortized Cost | Fair Value | Amortized Cost | Fair Value | Amortized Cost | Fair Value | Amortized Cost | Fair Value | Amortized Cost | Fair Value | Amortized Cost | Fair Value | ||||||||||||||||||||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||||||||||||||||||||||||||
U.S. treasury | $ | 133,302 | $ | 125,024 | $ | 132,891 | $ | 121,658 | $ | 73,016 | $ | 73,069 | ||||||||||||||||||||||||||||||||||||
Federal agency | $ | 109,862 | $ | 108,899 | $ | 175,135 | $ | 174,408 | $ | 312,580 | $ | 311,272 | 248,384 | 214,740 | 248,419 | 206,419 | 248,454 | 239,931 | ||||||||||||||||||||||||||||||
State & municipal | 42,171 | 41,956 | 47,053 | 46,726 | 31,208 | 31,637 | 96,251 | 86,306 | 97,036 | 82,851 | 95,531 | 94,088 | ||||||||||||||||||||||||||||||||||||
Mortgage-backed | 556,755 | 554,927 | 528,769 | 529,844 | 406,277 | 409,896 | 473,813 | 422,268 | 536,021 | 473,694 | 603,375 | 606,675 | ||||||||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 546,754 | 535,994 | 574,253 | 566,573 | 405,635 | 404,971 | 614,886 | 541,544 | 669,111 | 588,363 | 623,930 | 621,595 | ||||||||||||||||||||||||||||||||||||
Other securities | 10,623 | 14,149 | 15,849 | 20,739 | 13,637 | 16,768 | ||||||||||||||||||||||||||||||||||||||||||
Corporate | 48,442 | 40,976 | 60,404 | 54,240 | 50,500 | 52,003 | ||||||||||||||||||||||||||||||||||||||||||
Total AFS securities | $ | 1,266,165 | $ | 1,255,925 | $ | 1,341,059 | $ | 1,338,290 | $ | 1,169,337 | $ | 1,174,544 | $ | 1,615,078 | $ | 1,430,858 | $ | 1,743,882 | $ | 1,527,225 | $ | 1,694,806 | $ | 1,687,361 | ||||||||||||||||||||||||
HTM securities: | ||||||||||||||||||||||||||||||||||||||||||||||||
Federal agency | $ | 100,000 | $ | 82,216 | $ | 100,000 | $ | 79,322 | $ | 100,000 | $ | 95,635 | ||||||||||||||||||||||||||||||||||||
Mortgage-backed | $ | 96,775 | $ | 96,107 | $ | 97,201 | $ | 96,112 | $ | 10,043 | $ | 10,031 | 245,806 | 213,630 | 267,907 | 230,473 | 170,574 | 172,001 | ||||||||||||||||||||||||||||||
Collateralized mortgage obligations | 186,327 | 183,974 | 225,213 | 224,765 | 272,550 | 272,401 | 251,335 | 228,463 | 274,366 | 249,848 | 138,815 | 140,280 | ||||||||||||||||||||||||||||||||||||
State & municipal | 200,971 | 201,790 | 205,534 | 204,173 | 188,438 | 190,708 | 308,126 | 290,215 | 277,244 | 253,004 | 323,821 | 327,344 | ||||||||||||||||||||||||||||||||||||
Total HTM securities | $ | 484,073 | $ | 481,871 | $ | 527,948 | $ | 525,050 | $ | 471,031 | $ | 473,140 | $ | 905,267 | $ | 814,524 | $ | 919,517 | $ | 812,647 | $ | 733,210 | $ | 735,260 |
(Dollars in thousands) | Amortized cost | Estimated fair value | Weighted Average Yield | |||||||||
AFS debt securities: | ||||||||||||
Within one year | $ | 63,309 | $ | 63,186 | 2.06 | % | ||||||
From one to five years | 90,119 | 89,275 | 2.13 | % | ||||||||
From five to ten years | 178,128 | 177,961 | 2.67 | % | ||||||||
After ten years | 923,986 | 911,354 | 2.50 | % | ||||||||
Total AFS debt securities | $ | 1,255,542 | $ | 1,241,776 | ||||||||
HTM debt securities: | �� | |||||||||||
Within one year | $ | 31,412 | $ | 31,413 | 2.03 | % | ||||||
From one to five years | 42,363 | 42,588 | 3.10 | % | ||||||||
From five to ten years | 174,950 | 174,937 | 2.39 | % | ||||||||
After ten years | 235,348 | 232,933 | 2.27 | % | ||||||||
Total HTM debt securities | $ | 484,073 | $ | 481,871 |
Less than 1 Year | 1 Year to 5 Years | 5 Years to 10 Years | Over 10 Years | Total | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | $ | % | $ | % | $ | % | $ | % | $ | % | ||||||||||||||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||||||||||||||||||
U.S. treasury | $ | 34,955 | 2.59 | % | $ | 98,347 | 1.42 | % | $ | - | - | $ | - | - | $ | 133,302 | 1.73 | % | ||||||||||||||||||||||
Federal agency | - | - | 150,600 | 0.96 | % | 97,784 | 1.15 | % | - | - | 248,384 | 1.04 | % | |||||||||||||||||||||||||||
State & municipal | - | - | 74,390 | 1.33 | % | 21,861 | 1.55 | % | - | - | 96,251 | 1.38 | % | |||||||||||||||||||||||||||
Mortgage-backed | 108 | 0.55 | % | 88,454 | 1.30 | % | 158,468 | 2.32 | % | 226,783 | 1.52 | % | 473,813 | 1.74 | % | |||||||||||||||||||||||||
Collateralized mortgage obligations | 15,326 | 2.95 | % | 124,306 | 1.90 | % | 30,389 | 1.54 | % | 444,865 | 1.99 | % | 614,886 | 1.97 | % | |||||||||||||||||||||||||
Corporate | - | - | - | - | 48,442 | 4.03 | % | - | - | 48,442 | 4.03 | % | ||||||||||||||||||||||||||||
Total AFS securities | $ | 50,389 | 2.69 | % | $ | 536,097 | 1.37 | % | $ | 356,944 | 2.12 | % | $ | 671,648 | 1.83 | % | $ | 1,615,078 | 1.77 | % | ||||||||||||||||||||
HTM securities: | ||||||||||||||||||||||||||||||||||||||||
Federal agency | $ | - | - | $ | - | - | $ | 100,000 | 1.11 | % | $ | - | - | $ | 100,000 | 1.11 | % | |||||||||||||||||||||||
Mortgage-backed | - | - | 4,501 | 3.51 | % | 12,585 | 4.23 | % | 228,720 | 2.02 | % | 245,806 | 2.16 | % | ||||||||||||||||||||||||||
Collateralized mortgage obligations | - | - | 27,339 | 2.60 | % | 87,106 | 3.01 | % | 136,890 | 2.80 | % | 251,335 | 2.85 | % | ||||||||||||||||||||||||||
State & municipal | 92,757 | 3.92 | % | 81,235 | 2.34 | % | 63,252 | 1.91 | % | 70,882 | 1.82 | % | 308,126 | 2.61 | % | |||||||||||||||||||||||||
Total HTM securities | $ | 92,757 | 3.92 | % | $ | 113,075 | 2.45 | % | $ | 262,943 | 2.08 | % | $ | 436,492 | 2.23 | % | $ | 905,267 | 2.39 | % |
Years Ended December 31, | ||||||||||||||||||||||||
2023 | 2022 | 2021 | ||||||||||||||||||||||
(In thousands) | Average Balance | Yield/Rate | Average Balance | Yield Rate | Average Balance | Yield/Rate | ||||||||||||||||||
Demand deposits | $ | 3,463,608 | $ | 3,696,957 | $ | 3,565,693 | ||||||||||||||||||
Money market deposit accounts | 2,418,450 | 2.58 | % | 2,447,978 | 0.20 | % | 2,587,748 | 0.20 | % | |||||||||||||||
NOW deposit accounts | 1,555,414 | 0.53 | % | 1,578,831 | 0.16 | % | 1,452,560 | 0.05 | % | |||||||||||||||
Savings deposits | 1,715,749 | 0.04 | % | 1,829,360 | 0.03 | % | 1,656,893 | 0.05 | % | |||||||||||||||
Time deposits | 1,006,867 | 3.30 | % | 464,912 | 0.38 | % | 577,150 | 0.70 | % | |||||||||||||||
Total interest-bearing deposits | $ | 6,696,480 | 1.56 | % | $ | 6,321,081 | 0.16 | % | $ | 6,274,351 | 0.17 | % |
As of December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Estimated amount of uninsured deposits | $ | 4,077,186 | $ | 3,555,342 | $ | 4,175,208 |
(In thousands) | December 31, 2017 | |||
Within three months | $ | 17,792 | ||
After three but within twelve months | 28,133 | |||
After one but within three years | 33,335 | |||
Over three years | 13,571 | |||
Total | $ | 92,831 |
(In thousands) | December 31, 2023 | |||
Portion of time deposits in excess of insurance limit | $ | 113,317 | ||
Time deposits otherwise uninsured with a maturity of: | ||||
Within three months | $ | 45,070 | ||
After three but within six months | 32,967 | |||
After six but within twelve months | 18,131 | |||
Over twelve months | 17,149 |
Years ended December 31, | ||||||||||||
(In thousands) | 2017 | 2016 | 2015 | |||||||||
Insurance and other financial services revenue | $ | 23,532 | $ | 24,396 | $ | 24,211 | ||||||
Service charges on deposit accounts | 16,750 | 16,729 | 17,056 | |||||||||
ATM and debit card fees | 21,372 | 19,448 | 18,248 | |||||||||
Retirement plan administration fees | 20,213 | 16,063 | 14,146 | |||||||||
Trust | 19,586 | 18,565 | 19,026 | |||||||||
Bank owned life insurance income | 5,175 | 5,195 | 4,334 | |||||||||
Net securities gains (losses) | 1,867 | (644 | ) | 3,087 | ||||||||
Gain on the sale of equity investment | 818 | - | 4,179 | |||||||||
Other | 11,991 | 15,961 | 14,194 | |||||||||
Total noninterest income | $ | 121,304 | $ | 115,713 | $ | 118,481 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Service charges on deposit account | $ | 15,425 | $ | 14,630 | $ | 13,348 | ||||||
Card services income | 20,829 | 29,058 | 34,682 | |||||||||
Retirement plan administration fees | 47,221 | 48,112 | 42,188 | |||||||||
Wealth management | 34,763 | 33,311 | 33,718 | |||||||||
Insurance services | 15,667 | 14,696 | 14,083 | |||||||||
Bank owned life insurance income | 6,750 | 6,044 | 6,217 | |||||||||
Net securities (losses) gains | (9,315 | ) | (1,131 | ) | 566 | |||||||
Other | 10,838 | 10,858 | 12,992 | |||||||||
Total noninterest income | $ | 142,178 | $ | 155,578 | $ | 157,794 |
Years ended December 31, | Years Ended December 31, | |||||||||||||||||||||||
(In thousands) | 2017 | 2016 | 2015 | 2023 | 2022 | 2021 | ||||||||||||||||||
Salaries and employee benefits | $ | 133,610 | $ | 131,284 | $ | 125,633 | $ | 194,250 | $ | 187,830 | $ | 172,580 | ||||||||||||
Technology and data services | 38,163 | 35,712 | 34,717 | |||||||||||||||||||||
Occupancy | 21,808 | 20,940 | 22,095 | 28,408 | 26,282 | 26,048 | ||||||||||||||||||
Data processing and communications | 17,068 | 16,495 | 16,588 | |||||||||||||||||||||
Professional fees and outside services | 13,499 | 13,617 | 13,407 | 17,601 | 16,810 | 16,306 | ||||||||||||||||||
Equipment | 15,225 | 14,295 | 13,408 | |||||||||||||||||||||
Office supplies and postage | 6,284 | 6,168 | 6,367 | 6,917 | 6,140 | 6,006 | ||||||||||||||||||
FDIC expenses | 4,767 | 5,111 | 5,145 | |||||||||||||||||||||
FDIC assessment | 6,257 | 3,197 | 3,041 | |||||||||||||||||||||
Advertising | 2,744 | 2,556 | 2,654 | 3,054 | 2,822 | 2,521 | ||||||||||||||||||
Amortization of intangible assets | 3,960 | 3,928 | 4,864 | 4,734 | 2,263 | 2,808 | ||||||||||||||||||
Loan collection and other real estate owned, net | 4,763 | 3,458 | 2,620 | 2,618 | 2,647 | 2,915 | ||||||||||||||||||
Acquisition expenses | 9,978 | 967 | - | |||||||||||||||||||||
Other | 21,920 | 18,070 | 23,395 | 29,684 | 19,795 | 20,339 | ||||||||||||||||||
Total noninterest expense | $ | 245,648 | $ | 235,922 | $ | 236,176 | $ | 341,664 | $ | 304,465 | $ | 287,281 |
As of December 31, | ||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2023 | % | 2022 | % | 2021 | % | 2020 | % | ||||||||||||||||||||||||
Nonaccrual loans: | ||||||||||||||||||||||||||||||||
Commercial | $ | 21,567 | 63 | % | $ | 7,664 | 44 | % | $ | 15,942 | 53 | % | $ | 23,557 | 53 | % | ||||||||||||||||
Residential | 9,632 | 28 | % | 4,835 | 28 | % | 8,862 | 29 | % | 13,082 | 29 | % | ||||||||||||||||||||
Consumer | 2,566 | 8 | % | 1,667 | 10 | % | 1,511 | 5 | % | 3,020 | 7 | % | ||||||||||||||||||||
Troubled loan modifications(1) | 448 | 1 | % | 3,067 | 18 | % | 3,970 | 13 | % | 4,988 | 11 | % | ||||||||||||||||||||
Total nonaccrual loans | $ | 34,213 | 100 | % | $ | 17,233 | 100 | % | $ | 30,285 | 100 | % | $ | 44,647 | 100 | % | ||||||||||||||||
Loans over 90 days past due and still accruing: | ||||||||||||||||||||||||||||||||
Commercial | $ | 1 | - | $ | 4 | - | $ | - | - | $ | 493 | 16 | % | |||||||||||||||||||
Residential | 554 | 15 | % | 771 | 20 | % | 808 | 33 | % | 518 | 16 | % | ||||||||||||||||||||
Consumer | 3,106 | 85 | % | 3,048 | 80 | % | 1,650 | 67 | % | 2,138 | 68 | % | ||||||||||||||||||||
Total loans over 90 days past due and still accruing | $ | 3,661 | 100 | % | $ | 3,823 | 100 | % | $ | 2,458 | 100 | % | $ | 3,149 | 100 | % | ||||||||||||||||
Total nonperforming loans | $ | 37,874 | $ | 21,056 | $ | 32,743 | $ | 47,796 | ||||||||||||||||||||||||
OREO | - | 105 | 167 | 1,458 | ||||||||||||||||||||||||||||
Total nonperforming assets | $ | 37,874 | $ | 21,161 | $ | 32,910 | $ | 49,254 | ||||||||||||||||||||||||
Total nonaccrual loans to total loans | 0.35 | % | 0.21 | % | 0.40 | % | 0.60 | % | ||||||||||||||||||||||||
Total nonperforming loans to total loans | 0.39 | % | 0.26 | % | 0.44 | % | 0.64 | % | ||||||||||||||||||||||||
Total nonperforming assets to total assets | 0.28 | % | 0.18 | % | 0.27 | % | 0.45 | % | ||||||||||||||||||||||||
Total allowance for loan losses to nonperforming loans | 302.05 | % | 478.72 | % | 280.98 | % | 230.14 | % | ||||||||||||||||||||||||
Total allowance for loan losses to nonaccrual loans | 334.38 | % | 584.92 | % | 303.78 | % | 246.38 | % |
(1) | TDRs prior to adoption of ASU 2022-02. |
As of December 31, | ||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2017 | % | 2016 | % | 2015 | % | 2014 | % | 2013 | % | ||||||||||||||||||||||||||||||
Nonaccrual loans: | ||||||||||||||||||||||||||||||||||||||||
Commercial, agricultural and real estate loans | $ | 12,485 | 48 | % | $ | 19,351 | 54 | % | $ | 14,655 | 43 | % | $ | 18,226 | 45 | % | $ | 27,033 | 54 | % | ||||||||||||||||||||
Real estate mortgages | 5,919 | 23 | % | 8,027 | 23 | % | 8,625 | 26 | % | 10,867 | 26 | % | 10,296 | 21 | % | |||||||||||||||||||||||||
Consumer | 4,324 | 17 | % | 4,653 | 13 | % | 6,009 | 18 | % | 8,086 | 20 | % | 7,213 | 14 | % | |||||||||||||||||||||||||
Troubled debt restructured loans | 2,980 | 12 | % | 3,681 | 10 | % | 4,455 | 13 | % | 3,895 | 9 | % | 5,423 | 11 | % | |||||||||||||||||||||||||
Total nonaccrual loans | $ | 25,708 | 100 | % | $ | 35,712 | 100 | % | $ | 33,744 | 100 | % | $ | 41,074 | 100 | % | $ | 49,965 | 100 | % | ||||||||||||||||||||
Loans 90 days or more past due and still accruing: | ||||||||||||||||||||||||||||||||||||||||
Commercial, agricultural and real estate loans | $ | - | - | % | $ | - | - | % | $ | - | - | % | $ | 84 | 2 | % | $ | 105 | 3 | % | ||||||||||||||||||||
Real estate mortgages | 1,402 | 26 | % | 1,733 | 36 | % | 1,022 | 28 | % | 1,927 | 39 | % | 808 | 22 | % | |||||||||||||||||||||||||
Consumer | 4,008 | 74 | % | 3,077 | 64 | % | 2,640 | 72 | % | 2,930 | 59 | % | 2,824 | 75 | % | |||||||||||||||||||||||||
Total loans 90 days or more past due and still accruing | $ | 5,410 | 100 | % | $ | 4,810 | 100 | % | $ | 3,662 | 100 | % | $ | 4,941 | 100 | % | $ | 3,737 | 100 | % | ||||||||||||||||||||
Total nonperforming loans | $ | 31,118 | $ | 40,522 | $ | 37,406 | $ | 46,015 | $ | 53,702 | ||||||||||||||||||||||||||||||
Other real estate owned | 4,529 | 5,581 | 4,666 | 3,964 | 2,904 | |||||||||||||||||||||||||||||||||||
Total nonperforming assets | $ | 35,647 | $ | 46,103 | $ | 42,072 | $ | 49,979 | $ | 56,606 | ||||||||||||||||||||||||||||||
Total nonperforming loans to total loans | 0.47 | % | 0.65 | % | 0.64 | % | 0.82 | % | 0.99 | % | ||||||||||||||||||||||||||||||
Total nonperforming assets to total assets | 0.39 | % | 0.52 | % | 0.51 | % | 0.64 | % | 0.74 | % | ||||||||||||||||||||||||||||||
Total allowance for loan losses to nonperforming loans | 223.34 | % | 160.90 | % | 168.47 | % | 144.21 | % | 129.29 | % |
As of December 31, | ||||||||
(Dollars in thousands) | 2019 | % | ||||||
Nonaccrual loans: | ||||||||
Commercial | $ | 12,379 | 49 | % | ||||
Residential real estate | 5,233 | 21 | % | |||||
Consumer | 4,046 | 16 | % | |||||
Troubled debt restructured loans | 3,516 | 14 | % | |||||
Total nonaccrual loans | $ | 25,174 | 100 | % | ||||
Loans over 90 days past due and still accruing: | ||||||||
Residential real estate | $ | 927 | 25 | % | ||||
Consumer | 2,790 | 75 | % | |||||
Total loans over 90 days past due and still accruing | $ | 3,717 | 100 | % | ||||
Total nonperforming loans | $ | 28,891 | ||||||
OREO | 1,458 | |||||||
Total nonperforming assets | $ | 30,349 | ||||||
Total nonaccrual loans to total loans | 0.35 | % | ||||||
Total nonperforming loans to total loans | 0.40 | % | ||||||
Total nonperforming assets to total assets | 0.31 | % | ||||||
Total allowance for loan losses to nonperforming loans | 252.55 | % | ||||||
Total allowance for loan losses to nonaccrual loans | 289.84 | % |
(Dollars in thousands) | 2017 | 2016 | 2015 | 2014 | 2013 | |||||||||||||||
Balance at January 1, | $ | 65,200 | $ | 63,018 | $ | 66,359 | $ | 69,434 | $ | 69,334 | ||||||||||
Loans charged-off: | ||||||||||||||||||||
Commercial and agricultural | 4,169 | 4,592 | 5,718 | 9,414 | 10,459 | |||||||||||||||
Residential real estate mortgages | 1,846 | 1,343 | 2,229 | 1,417 | 1,771 | |||||||||||||||
Consumer* | 27,072 | 23,364 | 18,140 | 16,642 | 15,459 | |||||||||||||||
Total loans charged-off | $ | 33,087 | $ | 29,299 | $ | 26,087 | $ | 27,473 | $ | 27,689 | ||||||||||
Recoveries: | ||||||||||||||||||||
Commercial and agricultural | $ | 1,077 | $ | 1,887 | $ | 1,014 | $ | 1,774 | $ | 1,956 | ||||||||||
Residential real estate mortgages | 180 | 293 | 320 | 285 | 272 | |||||||||||||||
Consumer* | 5,142 | 3,870 | 3,127 | 2,800 | 3,137 | |||||||||||||||
Total recoveries | $ | 6,399 | $ | 6,050 | $ | 4,461 | $ | 4,859 | $ | 5,365 | ||||||||||
Net loans charged-off | $ | 26,688 | $ | 23,249 | $ | 21,626 | $ | 22,614 | $ | 22,324 | ||||||||||
Provision for loan losses | $ | 30,988 | $ | 25,431 | $ | 18,285 | $ | 19,539 | $ | 22,424 | ||||||||||
Balance at December 31, | $ | 69,500 | $ | 65,200 | $ | 63,018 | $ | 66,359 | $ | 69,434 | ||||||||||
Allowance for loan losses to loans outstanding at end of year | 1.06 | % | 1.05 | % | 1.07 | % | 1.19 | % | 1.28 | % | ||||||||||
Net charge-offs to average loans outstanding | 0.42 | % | 0.39 | % | 0.38 | % | 0.41 | % | 0.44 | % |
(Dollars in thousands) | 2023 | 2022 | 2021 | 2020 | ||||||||||||
Balance at January 1* | $ | 100,152 | $ | 92,000 | $ | 110,000 | $ | 75,999 | ||||||||
Loans charged-off | ||||||||||||||||
Commercial | 4,154 | 1,870 | 4,638 | 4,005 | ||||||||||||
Residential | 517 | 633 | 979 | 1,135 | ||||||||||||
Consumer** | 22,107 | 16,140 | 14,489 | 21,938 | ||||||||||||
Total loans charged-off | $ | 26,778 | $ | 18,643 | $ | 20,106 | $ | 27,078 | ||||||||
Recoveries | ||||||||||||||||
Commercial | $ | 3,625 | $ | 2,430 | $ | 723 | $ | 786 | ||||||||
Residential | 496 | 852 | 1,069 | 618 | ||||||||||||
Consumer** | 5,859 | 7,014 | 8,571 | 8,541 | ||||||||||||
Total recoveries | $ | 9,980 | $ | 10,296 | $ | 10,363 | $ | 9,945 | ||||||||
Net loans charged-off | $ | 16,798 | $ | 8,347 | $ | 9,743 | $ | 17,133 | ||||||||
Allowance for credit loss on PCD acquired loans | $ | 5,772 | $ | - | $ | - | $ | - | ||||||||
Provision for loan losses | 25,274 | 17,147 | (8,257 | ) | 51,134 | |||||||||||
Balance at December 31 | $ | 114,400 | $ | 100,800 | $ | 92,000 | $ | 110,000 | ||||||||
Allowance for loan losses to loans outstanding at end of year | 1.19 | % | 1.24 | % | 1.23 | % | 1.47 | % | ||||||||
Commercial net charge-offs to average loans outstanding | 0.01 | % | (0.01 | )% | 0.05 | % | 0.04 | % | ||||||||
Residential net charge-offs to average loans outstanding | - | - | - | 0.01 | % | |||||||||||
Consumer net charge-offs to average loans outstanding | 0.18 | % | 0.12 | % | 0.08 | % | 0.18 | % | ||||||||
Net charge-offs to average loans outstanding | 0.19 | % | 0.11 | % | 0.13 | % | 0.23 | % |
* | 2020 includes an adjustment of $3.0 million as a result of the January 1, 2020, adoption of ASC 326 and 2023 includes an adjustment of $0.6 million as a result of the January 1, 2023, adoption of ASU 2022-02. |
** | Consumer charge-off and recoveries include consumer and home equity. |
(Dollars in thousands) | 2019 | |||
Balance at January 1 | $ | 72,505 | ||
Loans charged-off | ||||
Commercial and agricultural | 3,151 | |||
Residential real estate | 991 | |||
Consumer | 28,398 | |||
Total loans charged-off | $ | 32,540 | ||
Recoveries | ||||
Commercial and agricultural | $ | 534 | ||
Residential real estate | 141 | |||
Consumer | 6,913 | |||
Total recoveries | $ | 7,588 | ||
Net loans charged-off | $ | 24,952 | ||
Provision for loan losses | $ | 25,412 | ||
Balance at December 31 | $ | 72,965 | ||
Allowance for loan losses to loans outstanding at end of year | 1.02 | % | ||
Commercial and agricultural net charge-offs to average loans outstanding | 0.04 | % | ||
Residential real estate net charge-offs to average loans outstanding | 0.01 | % | ||
Consumer net charge-offs to average loans outstanding | 0.31 | % | ||
Net charge-offs to average loans outstanding | 0.36 | % |
December 31, | December 31, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2017 | 2016 | 2015 | 2014 | 2013 | 2023 | 2022 | 2021 | 2020 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | Allowance | Category Percent of of Loans | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial and agricultural | $ | 27,606 | 46 | % | $ | 25,444 | 45 | % | $ | 25,545 | 44 | % | $ | 32,433 | 44 | % | $ | 35,090 | 44 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||
Real estate mortgages | 5,064 | 20 | % | 6,381 | 20 | % | 7,960 | 20 | % | 7,130 | 20 | % | 6,520 | 19 | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Commercial | $ | 45,903 | 50 | % | $ | 34,722 | 48 | % | $ | 28,941 | 51 | % | $ | 50,942 | 53 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Residential | 22,070 | 27 | % | 15,127 | 26 | % | 18,806 | 27 | % | 21,255 | 26 | % | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Consumer | 36,830 | 34 | % | 33,375 | 35 | % | 29,253 | 36 | % | 26,720 | 36 | % | 27,694 | 37 | % | 46,427 | 23 | % | 50,951 | 26 | % | 44,253 | 22 | % | 37,803 | 21 | % | |||||||||||||||||||||||||||||||||||||||||||||
Unallocated | - | - | % | - | - | % | 260 | - | % | 76 | - | % | 130 | - | % | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total | $ | 69,500 | 100 | % | $ | 65,200 | 100 | % | $ | 63,018 | 100 | % | $ | 66,359 | 100 | % | $ | 69,434 | 100 | % | $ | 114,400 | 100 | % | $ | 100,800 | 100 | % | $ | 92,000 | 100 | % | $ | 110,000 | 100 | % |
December 31, | ||||||||
2019 | ||||||||
(Dollars in thousands) | Allowance | Category Percent of Loans | ||||||
Commercial and agricultural | $ | 34,525 | 48 | % | ||||
Residential real estate | 2,793 | 20 | % | |||||
Consumer | 35,647 | 32 | % | |||||
Total | $ | 72,965 | 100 | % |
Payments Due by Period | ||||||||||||||||||||||||||||
(In thousands) | 2018 | 2019 | 2020 | 2021 | 2022 | Thereafter | Total | |||||||||||||||||||||
Long-term debt obligations | $ | 40,037 | $ | 20,000 | $ | 25,000 | $ | 56 | $ | - | $ | 3,776 | $ | 88,869 | ||||||||||||||
Junior subordinated debt | - | - | - | - | - | 101,196 | 101,196 | |||||||||||||||||||||
Operating lease obligations | 7,910 | 7,227 | 6,547 | 5,352 | 4,646 | 16,660 | 48,342 | |||||||||||||||||||||
Capital lease obligations | 201 | 188 | 149 | 78 | 8 | - | 624 | |||||||||||||||||||||
IT/Software obligations | 6,826 | 1,695 | 850 | 11 | - | - | 9,382 | |||||||||||||||||||||
Data processing commitments | 3,186 | 3,186 | 3,186 | 1,140 | 1,140 | - | 11,838 | |||||||||||||||||||||
Total contractual obligations | $ | 58,160 | $ | 32,296 | $ | 35,732 | $ | 6,637 | $ | 5,794 | $ | 121,632 | $ | 260,251 |
December 31, | ||||||||||||||||||||
(In thousands) | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
Commercial & industrial | $ | 1,353,725 | $ | 1,265,082 | $ | 1,155,240 | $ | 1,121,224 | $ | 1,112,616 | ||||||||||
Commercial real estate | 3,626,910 | 2,807,941 | 2,655,367 | 2,526,813 | 2,331,650 | |||||||||||||||
Paycheck protection program | 523 | 949 | 101,222 | 430,810 | - | |||||||||||||||
Residential real estate | 2,125,804 | 1,649,870 | 1,571,232 | 1,466,662 | 1,445,156 | |||||||||||||||
Indirect auto | 1,130,132 | 989,587 | 859,454 | 931,286 | 1,193,635 | |||||||||||||||
Residential solar | 917,755 | 856,798 | 440,016 | 282,224 | 219,210 | |||||||||||||||
Home equity | 337,214 | 314,124 | 330,357 | 387,974 | 444,082 | |||||||||||||||
Other consumer | 158,650 | 265,796 | 385,571 | 351,892 | 389,749 | |||||||||||||||
Total loans | $ | 9,650,713 | $ | 8,150,147 | $ | 7,498,459 | $ | 7,498,885 | $ | 7,136,098 |
(1) | Loans are summarized by business line which does not align with how the Company assesses credit risk in the estimate for credit losses under CECL. |
Remaining Maturity at December 31, 2023 | ||||||||||||||||||||||||||||
(In thousands) | C&I | CRE | Indirect Auto | Residential Solar | Other Consumer | Residential | Total | |||||||||||||||||||||
Within one year | $ | 263,204 | $ | 158,227 | $ | 13,380 | $ | 167 | $ | 22,393 | $ | 622 | $ | 457,993 | ||||||||||||||
From one to five years | 523,893 | 962,542 | 630,046 | 13,457 | 147,382 | 38,549 | 2,315,869 | |||||||||||||||||||||
From five to fifteen years | 325,814 | 2,195,525 | 486,706 | 297,119 | 319,739 | 421,967 | 4,046,870 | |||||||||||||||||||||
After fifteen years | 241,337 | 310,616 | - | 607,012 | 6,350 | 1,664,666 | 2,829,981 | |||||||||||||||||||||
Total | $ | 1,354,248 | $ | 3,626,910 | $ | 1,130,132 | $ | 917,755 | $ | 495,864 | $ | 2,125,804 | $ | 9,650,713 | ||||||||||||||
Interest rate terms on amounts due after one year: | ||||||||||||||||||||||||||||
Fixed | $ | 760,886 | $ | 828,425 | $ | 1,116,713 | $ | 917,403 | $ | 240,404 | $ | 1,829,553 | $ | 5,693,384 | ||||||||||||||
Variable | $ | 330,158 | $ | 2,640,258 | $ | 39 | $ | 185 | $ | 233,067 | $ | 295,629 | $ | 3,499,336 |
As of December 31, | ||||||||||||||||||||||||
2023 | 2022 | 2021 | ||||||||||||||||||||||
(In thousands) | Amortized Cost | Fair Value | Amortized Cost | Fair Value | Amortized Cost | Fair Value | ||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||
U.S. treasury | $ | 133,302 | $ | 125,024 | $ | 132,891 | $ | 121,658 | $ | 73,016 | $ | 73,069 | ||||||||||||
Federal agency | 248,384 | 214,740 | 248,419 | 206,419 | 248,454 | 239,931 | ||||||||||||||||||
State & municipal | 96,251 | 86,306 | 97,036 | 82,851 | 95,531 | 94,088 | ||||||||||||||||||
Mortgage-backed | 473,813 | 422,268 | 536,021 | 473,694 | 603,375 | 606,675 | ||||||||||||||||||
Collateralized mortgage obligations | 614,886 | 541,544 | 669,111 | 588,363 | 623,930 | 621,595 | ||||||||||||||||||
Corporate | 48,442 | 40,976 | 60,404 | 54,240 | 50,500 | 52,003 | ||||||||||||||||||
Total AFS securities | $ | 1,615,078 | $ | 1,430,858 | $ | 1,743,882 | $ | 1,527,225 | $ | 1,694,806 | $ | 1,687,361 | ||||||||||||
HTM securities: | ||||||||||||||||||||||||
Federal agency | $ | 100,000 | $ | 82,216 | $ | 100,000 | $ | 79,322 | $ | 100,000 | $ | 95,635 | ||||||||||||
Mortgage-backed | 245,806 | 213,630 | 267,907 | 230,473 | 170,574 | 172,001 | ||||||||||||||||||
Collateralized mortgage obligations | 251,335 | 228,463 | 274,366 | 249,848 | 138,815 | 140,280 | ||||||||||||||||||
State & municipal | 308,126 | 290,215 | 277,244 | 253,004 | 323,821 | 327,344 | ||||||||||||||||||
Total HTM securities | $ | 905,267 | $ | 814,524 | $ | 919,517 | $ | 812,647 | $ | 733,210 | $ | 735,260 |
Less than 1 Year | 1 Year to 5 Years | 5 Years to 10 Years | Over 10 Years | Total | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | $ | % | $ | % | $ | % | $ | % | $ | % | ||||||||||||||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||||||||||||||||||
U.S. treasury | $ | 34,955 | 2.59 | % | $ | 98,347 | 1.42 | % | $ | - | - | $ | - | - | $ | 133,302 | 1.73 | % | ||||||||||||||||||||||
Federal agency | - | - | 150,600 | 0.96 | % | 97,784 | 1.15 | % | - | - | 248,384 | 1.04 | % | |||||||||||||||||||||||||||
State & municipal | - | - | 74,390 | 1.33 | % | 21,861 | 1.55 | % | - | - | 96,251 | 1.38 | % | |||||||||||||||||||||||||||
Mortgage-backed | 108 | 0.55 | % | 88,454 | 1.30 | % | 158,468 | 2.32 | % | 226,783 | 1.52 | % | 473,813 | 1.74 | % | |||||||||||||||||||||||||
Collateralized mortgage obligations | 15,326 | 2.95 | % | 124,306 | 1.90 | % | 30,389 | 1.54 | % | 444,865 | 1.99 | % | 614,886 | 1.97 | % | |||||||||||||||||||||||||
Corporate | - | - | - | - | 48,442 | 4.03 | % | - | - | 48,442 | 4.03 | % | ||||||||||||||||||||||||||||
Total AFS securities | $ | 50,389 | 2.69 | % | $ | 536,097 | 1.37 | % | $ | 356,944 | 2.12 | % | $ | 671,648 | 1.83 | % | $ | 1,615,078 | 1.77 | % | ||||||||||||||||||||
HTM securities: | ||||||||||||||||||||||||||||||||||||||||
Federal agency | $ | - | - | $ | - | - | $ | 100,000 | 1.11 | % | $ | - | - | $ | 100,000 | 1.11 | % | |||||||||||||||||||||||
Mortgage-backed | - | - | 4,501 | 3.51 | % | 12,585 | 4.23 | % | 228,720 | 2.02 | % | 245,806 | 2.16 | % | ||||||||||||||||||||||||||
Collateralized mortgage obligations | - | - | 27,339 | 2.60 | % | 87,106 | 3.01 | % | 136,890 | 2.80 | % | 251,335 | 2.85 | % | ||||||||||||||||||||||||||
State & municipal | 92,757 | 3.92 | % | 81,235 | 2.34 | % | 63,252 | 1.91 | % | 70,882 | 1.82 | % | 308,126 | 2.61 | % | |||||||||||||||||||||||||
Total HTM securities | $ | 92,757 | 3.92 | % | $ | 113,075 | 2.45 | % | $ | 262,943 | 2.08 | % | $ | 436,492 | 2.23 | % | $ | 905,267 | 2.39 | % |
Years Ended December 31, | ||||||||||||||||||||||||
2023 | 2022 | 2021 | ||||||||||||||||||||||
(In thousands) | Average Balance | Yield/Rate | Average Balance | Yield Rate | Average Balance | Yield/Rate | ||||||||||||||||||
Demand deposits | $ | 3,463,608 | $ | 3,696,957 | $ | 3,565,693 | ||||||||||||||||||
Money market deposit accounts | 2,418,450 | 2.58 | % | 2,447,978 | 0.20 | % | 2,587,748 | 0.20 | % | |||||||||||||||
NOW deposit accounts | 1,555,414 | 0.53 | % | 1,578,831 | 0.16 | % | 1,452,560 | 0.05 | % | |||||||||||||||
Savings deposits | 1,715,749 | 0.04 | % | 1,829,360 | 0.03 | % | 1,656,893 | 0.05 | % | |||||||||||||||
Time deposits | 1,006,867 | 3.30 | % | 464,912 | 0.38 | % | 577,150 | 0.70 | % | |||||||||||||||
Total interest-bearing deposits | $ | 6,696,480 | 1.56 | % | $ | 6,321,081 | 0.16 | % | $ | 6,274,351 | 0.17 | % |
As of December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Estimated amount of uninsured deposits | $ | 4,077,186 | $ | 3,555,342 | $ | 4,175,208 |
(In thousands) | December 31, 2023 | |||
Portion of time deposits in excess of insurance limit | $ | 113,317 | ||
Time deposits otherwise uninsured with a maturity of: | ||||
Within three months | $ | 45,070 | ||
After three but within six months | 32,967 | |||
After six but within twelve months | 18,131 | |||
Over twelve months | 17,149 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Service charges on deposit account | $ | 15,425 | $ | 14,630 | $ | 13,348 | ||||||
Card services income | 20,829 | 29,058 | 34,682 | |||||||||
Retirement plan administration fees | 47,221 | 48,112 | 42,188 | |||||||||
Wealth management | 34,763 | 33,311 | 33,718 | |||||||||
Insurance services | 15,667 | 14,696 | 14,083 | |||||||||
Bank owned life insurance income | 6,750 | 6,044 | 6,217 | |||||||||
Net securities (losses) gains | (9,315 | ) | (1,131 | ) | 566 | |||||||
Other | 10,838 | 10,858 | 12,992 | |||||||||
Total noninterest income | $ | 142,178 | $ | 155,578 | $ | 157,794 |
(In thousands) | December 31, 2017 | |||
Within one year | $ | 18,545 | ||
After one but within three years | 19,645 | |||
After three but within five years | 2,044 | |||
After five years | 901 | |||
Total | $ | 41,135 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Salaries and employee benefits | $ | 194,250 | $ | 187,830 | $ | 172,580 | ||||||
Technology and data services | 38,163 | 35,712 | 34,717 | |||||||||
Occupancy | 28,408 | 26,282 | 26,048 | |||||||||
Professional fees and outside services | 17,601 | 16,810 | 16,306 | |||||||||
Office supplies and postage | 6,917 | 6,140 | 6,006 | |||||||||
FDIC assessment | 6,257 | 3,197 | 3,041 | |||||||||
Advertising | 3,054 | 2,822 | 2,521 | |||||||||
Amortization of intangible assets | 4,734 | 2,263 | 2,808 | |||||||||
Loan collection and other real estate owned, net | 2,618 | 2,647 | 2,915 | |||||||||
Acquisition expenses | 9,978 | 967 | - | |||||||||
Other | 29,684 | 19,795 | 20,339 | |||||||||
Total noninterest expense | $ | 341,664 | $ | 304,465 | $ | 287,281 |
As of December 31, | ||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2023 | % | 2022 | % | 2021 | % | 2020 | % | ||||||||||||||||||||||||
Nonaccrual loans: | ||||||||||||||||||||||||||||||||
Commercial | $ | 21,567 | 63 | % | $ | 7,664 | 44 | % | $ | 15,942 | 53 | % | $ | 23,557 | 53 | % | ||||||||||||||||
Residential | 9,632 | 28 | % | 4,835 | 28 | % | 8,862 | 29 | % | 13,082 | 29 | % | ||||||||||||||||||||
Consumer | 2,566 | 8 | % | 1,667 | 10 | % | 1,511 | 5 | % | 3,020 | 7 | % | ||||||||||||||||||||
Troubled loan modifications(1) | 448 | 1 | % | 3,067 | 18 | % | 3,970 | 13 | % | 4,988 | 11 | % | ||||||||||||||||||||
Total nonaccrual loans | $ | 34,213 | 100 | % | $ | 17,233 | 100 | % | $ | 30,285 | 100 | % | $ | 44,647 | 100 | % | ||||||||||||||||
Loans over 90 days past due and still accruing: | ||||||||||||||||||||||||||||||||
Commercial | $ | 1 | - | $ | 4 | - | $ | - | - | $ | 493 | 16 | % | |||||||||||||||||||
Residential | 554 | 15 | % | 771 | 20 | % | 808 | 33 | % | 518 | 16 | % | ||||||||||||||||||||
Consumer | 3,106 | 85 | % | 3,048 | 80 | % | 1,650 | 67 | % | 2,138 | 68 | % | ||||||||||||||||||||
Total loans over 90 days past due and still accruing | $ | 3,661 | 100 | % | $ | 3,823 | 100 | % | $ | 2,458 | 100 | % | $ | 3,149 | 100 | % | ||||||||||||||||
Total nonperforming loans | $ | 37,874 | $ | 21,056 | $ | 32,743 | $ | 47,796 | ||||||||||||||||||||||||
OREO | - | 105 | 167 | 1,458 | ||||||||||||||||||||||||||||
Total nonperforming assets | $ | 37,874 | $ | 21,161 | $ | 32,910 | $ | 49,254 | ||||||||||||||||||||||||
Total nonaccrual loans to total loans | 0.35 | % | 0.21 | % | 0.40 | % | 0.60 | % | ||||||||||||||||||||||||
Total nonperforming loans to total loans | 0.39 | % | 0.26 | % | 0.44 | % | 0.64 | % | ||||||||||||||||||||||||
Total nonperforming assets to total assets | 0.28 | % | 0.18 | % | 0.27 | % | 0.45 | % | ||||||||||||||||||||||||
Total allowance for loan losses to nonperforming loans | 302.05 | % | 478.72 | % | 280.98 | % | 230.14 | % | ||||||||||||||||||||||||
Total allowance for loan losses to nonaccrual loans | 334.38 | % | 584.92 | % | 303.78 | % | 246.38 | % |
(1) | TDRs prior to adoption of ASU 2022-02. |
As of December 31, | ||||||||
(Dollars in thousands) | 2019 | % | ||||||
Nonaccrual loans: | ||||||||
Commercial | $ | 12,379 | 49 | % | ||||
Residential real estate | 5,233 | 21 | % | |||||
Consumer | 4,046 | 16 | % | |||||
Troubled debt restructured loans | 3,516 | 14 | % | |||||
Total nonaccrual loans | $ | 25,174 | 100 | % | ||||
Loans over 90 days past due and still accruing: | ||||||||
Residential real estate | $ | 927 | 25 | % | ||||
Consumer | 2,790 | 75 | % | |||||
Total loans over 90 days past due and still accruing | $ | 3,717 | 100 | % | ||||
Total nonperforming loans | $ | 28,891 | ||||||
OREO | 1,458 | |||||||
Total nonperforming assets | $ | 30,349 | ||||||
Total nonaccrual loans to total loans | 0.35 | % | ||||||
Total nonperforming loans to total loans | 0.40 | % | ||||||
Total nonperforming assets to total assets | 0.31 | % | ||||||
Total allowance for loan losses to nonperforming loans | 252.55 | % | ||||||
Total allowance for loan losses to nonaccrual loans | 289.84 | % |
(Dollars in thousands) | 2023 | 2022 | 2021 | 2020 | ||||||||||||
Balance at January 1* | $ | 100,152 | $ | 92,000 | $ | 110,000 | $ | 75,999 | ||||||||
Loans charged-off | ||||||||||||||||
Commercial | 4,154 | 1,870 | 4,638 | 4,005 | ||||||||||||
Residential | 517 | 633 | 979 | 1,135 | ||||||||||||
Consumer** | 22,107 | 16,140 | 14,489 | 21,938 | ||||||||||||
Total loans charged-off | $ | 26,778 | $ | 18,643 | $ | 20,106 | $ | 27,078 | ||||||||
Recoveries | ||||||||||||||||
Commercial | $ | 3,625 | $ | 2,430 | $ | 723 | $ | 786 | ||||||||
Residential | 496 | 852 | 1,069 | 618 | ||||||||||||
Consumer** | 5,859 | 7,014 | 8,571 | 8,541 | ||||||||||||
Total recoveries | $ | 9,980 | $ | 10,296 | $ | 10,363 | $ | 9,945 | ||||||||
Net loans charged-off | $ | 16,798 | $ | 8,347 | $ | 9,743 | $ | 17,133 | ||||||||
Allowance for credit loss on PCD acquired loans | $ | 5,772 | $ | - | $ | - | $ | - | ||||||||
Provision for loan losses | 25,274 | 17,147 | (8,257 | ) | 51,134 | |||||||||||
Balance at December 31 | $ | 114,400 | $ | 100,800 | $ | 92,000 | $ | 110,000 | ||||||||
Allowance for loan losses to loans outstanding at end of year | 1.19 | % | 1.24 | % | 1.23 | % | 1.47 | % | ||||||||
Commercial net charge-offs to average loans outstanding | 0.01 | % | (0.01 | )% | 0.05 | % | 0.04 | % | ||||||||
Residential net charge-offs to average loans outstanding | - | - | - | 0.01 | % | |||||||||||
Consumer net charge-offs to average loans outstanding | 0.18 | % | 0.12 | % | 0.08 | % | 0.18 | % | ||||||||
Net charge-offs to average loans outstanding | 0.19 | % | 0.11 | % | 0.13 | % | 0.23 | % |
* | 2020 includes an adjustment of $3.0 million as a result of the January 1, 2020, adoption of ASC 326 and 2023 includes an adjustment of $0.6 million as a result of the January 1, 2023, adoption of ASU 2022-02. |
** | Consumer charge-off and recoveries include consumer and home equity. |
(Dollars in thousands) | 2019 | |||
Balance at January 1 | $ | 72,505 | ||
Loans charged-off | ||||
Commercial and agricultural | 3,151 | |||
Residential real estate | 991 | |||
Consumer | 28,398 | |||
Total loans charged-off | $ | 32,540 | ||
Recoveries | ||||
Commercial and agricultural | $ | 534 | ||
Residential real estate | 141 | |||
Consumer | 6,913 | |||
Total recoveries | $ | 7,588 | ||
Net loans charged-off | $ | 24,952 | ||
Provision for loan losses | $ | 25,412 | ||
Balance at December 31 | $ | 72,965 | ||
Allowance for loan losses to loans outstanding at end of year | 1.02 | % | ||
Commercial and agricultural net charge-offs to average loans outstanding | 0.04 | % | ||
Residential real estate net charge-offs to average loans outstanding | 0.01 | % | ||
Consumer net charge-offs to average loans outstanding | 0.31 | % | ||
Net charge-offs to average loans outstanding | 0.36 | % |
December 31, | ||||||||||||||||||||||||||||||||
2023 | 2022 | 2021 | 2020 | |||||||||||||||||||||||||||||
(Dollars in thousands) | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | ||||||||||||||||||||||||
Commercial | $ | 45,903 | 50 | % | $ | 34,722 | 48 | % | $ | 28,941 | 51 | % | $ | 50,942 | 53 | % | ||||||||||||||||
Residential | 22,070 | 27 | % | 15,127 | 26 | % | 18,806 | 27 | % | 21,255 | 26 | % | ||||||||||||||||||||
Consumer | 46,427 | 23 | % | 50,951 | 26 | % | 44,253 | 22 | % | 37,803 | 21 | % | ||||||||||||||||||||
Total | $ | 114,400 | 100 | % | $ | 100,800 | 100 | % | $ | 92,000 | 100 | % | $ | 110,000 | 100 | % |
December 31, | ||||||||
2019 | ||||||||
(Dollars in thousands) | Allowance | Category Percent of Loans | ||||||
Commercial and agricultural | $ | 34,525 | 48 | % | ||||
Residential real estate | 2,793 | 20 | % | |||||
Consumer | 35,647 | 32 | % | |||||
Total | $ | 72,965 | 100 | % |
December 31, | ||||||||||||||||||||
(In thousands) | 2023 | 2022 | 2021 | 2020 | 2019 | |||||||||||||||
Commercial & industrial | $ | 1,353,725 | $ | 1,265,082 | $ | 1,155,240 | $ | 1,121,224 | $ | 1,112,616 | ||||||||||
Commercial real estate | 3,626,910 | 2,807,941 | 2,655,367 | 2,526,813 | 2,331,650 | |||||||||||||||
Paycheck protection program | 523 | 949 | 101,222 | 430,810 | - | |||||||||||||||
Residential real estate | 2,125,804 | 1,649,870 | 1,571,232 | 1,466,662 | 1,445,156 | |||||||||||||||
Indirect auto | 1,130,132 | 989,587 | 859,454 | 931,286 | 1,193,635 | |||||||||||||||
Residential solar | 917,755 | 856,798 | 440,016 | 282,224 | 219,210 | |||||||||||||||
Home equity | 337,214 | 314,124 | 330,357 | 387,974 | 444,082 | |||||||||||||||
Other consumer | 158,650 | 265,796 | 385,571 | 351,892 | 389,749 | |||||||||||||||
Total loans | $ | 9,650,713 | $ | 8,150,147 | $ | 7,498,459 | $ | 7,498,885 | $ | 7,136,098 |
(1) | Loans are summarized by business line which does not align with how the Company assesses credit risk in the estimate for credit losses under CECL. |
Remaining Maturity at December 31, 2023 | ||||||||||||||||||||||||||||
(In thousands) | C&I | CRE | Indirect Auto | Residential Solar | Other Consumer | Residential | Total | |||||||||||||||||||||
Within one year | $ | 263,204 | $ | 158,227 | $ | 13,380 | $ | 167 | $ | 22,393 | $ | 622 | $ | 457,993 | ||||||||||||||
From one to five years | 523,893 | 962,542 | 630,046 | 13,457 | 147,382 | 38,549 | 2,315,869 | |||||||||||||||||||||
From five to fifteen years | 325,814 | 2,195,525 | 486,706 | 297,119 | 319,739 | 421,967 | 4,046,870 | |||||||||||||||||||||
After fifteen years | 241,337 | 310,616 | - | 607,012 | 6,350 | 1,664,666 | 2,829,981 | |||||||||||||||||||||
Total | $ | 1,354,248 | $ | 3,626,910 | $ | 1,130,132 | $ | 917,755 | $ | 495,864 | $ | 2,125,804 | $ | 9,650,713 | ||||||||||||||
Interest rate terms on amounts due after one year: | ||||||||||||||||||||||||||||
Fixed | $ | 760,886 | $ | 828,425 | $ | 1,116,713 | $ | 917,403 | $ | 240,404 | $ | 1,829,553 | $ | 5,693,384 | ||||||||||||||
Variable | $ | 330,158 | $ | 2,640,258 | $ | 39 | $ | 185 | $ | 233,067 | $ | 295,629 | $ | 3,499,336 |
As of December 31, | ||||||||||||||||||||||||
2023 | 2022 | 2021 | ||||||||||||||||||||||
(In thousands) | Amortized Cost | Fair Value | Amortized Cost | Fair Value | Amortized Cost | Fair Value | ||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||
U.S. treasury | $ | 133,302 | $ | 125,024 | $ | 132,891 | $ | 121,658 | $ | 73,016 | $ | 73,069 | ||||||||||||
Federal agency | 248,384 | 214,740 | 248,419 | 206,419 | 248,454 | 239,931 | ||||||||||||||||||
State & municipal | 96,251 | 86,306 | 97,036 | 82,851 | 95,531 | 94,088 | ||||||||||||||||||
Mortgage-backed | 473,813 | 422,268 | 536,021 | 473,694 | 603,375 | 606,675 | ||||||||||||||||||
Collateralized mortgage obligations | 614,886 | 541,544 | 669,111 | 588,363 | 623,930 | 621,595 | ||||||||||||||||||
Corporate | 48,442 | 40,976 | 60,404 | 54,240 | 50,500 | 52,003 | ||||||||||||||||||
Total AFS securities | $ | 1,615,078 | $ | 1,430,858 | $ | 1,743,882 | $ | 1,527,225 | $ | 1,694,806 | $ | 1,687,361 | ||||||||||||
HTM securities: | ||||||||||||||||||||||||
Federal agency | $ | 100,000 | $ | 82,216 | $ | 100,000 | $ | 79,322 | $ | 100,000 | $ | 95,635 | ||||||||||||
Mortgage-backed | 245,806 | 213,630 | 267,907 | 230,473 | 170,574 | 172,001 | ||||||||||||||||||
Collateralized mortgage obligations | 251,335 | 228,463 | 274,366 | 249,848 | 138,815 | 140,280 | ||||||||||||||||||
State & municipal | 308,126 | 290,215 | 277,244 | 253,004 | 323,821 | 327,344 | ||||||||||||||||||
Total HTM securities | $ | 905,267 | $ | 814,524 | $ | 919,517 | $ | 812,647 | $ | 733,210 | $ | 735,260 |
Less than 1 Year | 1 Year to 5 Years | 5 Years to 10 Years | Over 10 Years | Total | ||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | $ | % | $ | % | $ | % | $ | % | $ | % | ||||||||||||||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||||||||||||||||||
U.S. treasury | $ | 34,955 | 2.59 | % | $ | 98,347 | 1.42 | % | $ | - | - | $ | - | - | $ | 133,302 | 1.73 | % | ||||||||||||||||||||||
Federal agency | - | - | 150,600 | 0.96 | % | 97,784 | 1.15 | % | - | - | 248,384 | 1.04 | % | |||||||||||||||||||||||||||
State & municipal | - | - | 74,390 | 1.33 | % | 21,861 | 1.55 | % | - | - | 96,251 | 1.38 | % | |||||||||||||||||||||||||||
Mortgage-backed | 108 | 0.55 | % | 88,454 | 1.30 | % | 158,468 | 2.32 | % | 226,783 | 1.52 | % | 473,813 | 1.74 | % | |||||||||||||||||||||||||
Collateralized mortgage obligations | 15,326 | 2.95 | % | 124,306 | 1.90 | % | 30,389 | 1.54 | % | 444,865 | 1.99 | % | 614,886 | 1.97 | % | |||||||||||||||||||||||||
Corporate | - | - | - | - | 48,442 | 4.03 | % | - | - | 48,442 | 4.03 | % | ||||||||||||||||||||||||||||
Total AFS securities | $ | 50,389 | 2.69 | % | $ | 536,097 | 1.37 | % | $ | 356,944 | 2.12 | % | $ | 671,648 | 1.83 | % | $ | 1,615,078 | 1.77 | % | ||||||||||||||||||||
HTM securities: | ||||||||||||||||||||||||||||||||||||||||
Federal agency | $ | - | - | $ | - | - | $ | 100,000 | 1.11 | % | $ | - | - | $ | 100,000 | 1.11 | % | |||||||||||||||||||||||
Mortgage-backed | - | - | 4,501 | 3.51 | % | 12,585 | 4.23 | % | 228,720 | 2.02 | % | 245,806 | 2.16 | % | ||||||||||||||||||||||||||
Collateralized mortgage obligations | - | - | 27,339 | 2.60 | % | 87,106 | 3.01 | % | 136,890 | 2.80 | % | 251,335 | 2.85 | % | ||||||||||||||||||||||||||
State & municipal | 92,757 | 3.92 | % | 81,235 | 2.34 | % | 63,252 | 1.91 | % | 70,882 | 1.82 | % | 308,126 | 2.61 | % | |||||||||||||||||||||||||
Total HTM securities | $ | 92,757 | 3.92 | % | $ | 113,075 | 2.45 | % | $ | 262,943 | 2.08 | % | $ | 436,492 | 2.23 | % | $ | 905,267 | 2.39 | % |
Years Ended December 31, | ||||||||||||||||||||||||
2023 | 2022 | 2021 | ||||||||||||||||||||||
(In thousands) | Average Balance | Yield/Rate | Average Balance | Yield Rate | Average Balance | Yield/Rate | ||||||||||||||||||
Demand deposits | $ | 3,463,608 | $ | 3,696,957 | $ | 3,565,693 | ||||||||||||||||||
Money market deposit accounts | 2,418,450 | 2.58 | % | 2,447,978 | 0.20 | % | 2,587,748 | 0.20 | % | |||||||||||||||
NOW deposit accounts | 1,555,414 | 0.53 | % | 1,578,831 | 0.16 | % | 1,452,560 | 0.05 | % | |||||||||||||||
Savings deposits | 1,715,749 | 0.04 | % | 1,829,360 | 0.03 | % | 1,656,893 | 0.05 | % | |||||||||||||||
Time deposits | 1,006,867 | 3.30 | % | 464,912 | 0.38 | % | 577,150 | 0.70 | % | |||||||||||||||
Total interest-bearing deposits | $ | 6,696,480 | 1.56 | % | $ | 6,321,081 | 0.16 | % | $ | 6,274,351 | 0.17 | % |
As of December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Estimated amount of uninsured deposits | $ | 4,077,186 | $ | 3,555,342 | $ | 4,175,208 |
(In thousands) | December 31, 2023 | |||
Portion of time deposits in excess of insurance limit | $ | 113,317 | ||
Time deposits otherwise uninsured with a maturity of: | ||||
Within three months | $ | 45,070 | ||
After three but within six months | 32,967 | |||
After six but within twelve months | 18,131 | |||
Over twelve months | 17,149 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Service charges on deposit account | $ | 15,425 | $ | 14,630 | $ | 13,348 | ||||||
Card services income | 20,829 | 29,058 | 34,682 | |||||||||
Retirement plan administration fees | 47,221 | 48,112 | 42,188 | |||||||||
Wealth management | 34,763 | 33,311 | 33,718 | |||||||||
Insurance services | 15,667 | 14,696 | 14,083 | |||||||||
Bank owned life insurance income | 6,750 | 6,044 | 6,217 | |||||||||
Net securities (losses) gains | (9,315 | ) | (1,131 | ) | 566 | |||||||
Other | 10,838 | 10,858 | 12,992 | |||||||||
Total noninterest income | $ | 142,178 | $ | 155,578 | $ | 157,794 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Salaries and employee benefits | $ | 194,250 | $ | 187,830 | $ | 172,580 | ||||||
Technology and data services | 38,163 | 35,712 | 34,717 | |||||||||
Occupancy | 28,408 | 26,282 | 26,048 | |||||||||
Professional fees and outside services | 17,601 | 16,810 | 16,306 | |||||||||
Office supplies and postage | 6,917 | 6,140 | 6,006 | |||||||||
FDIC assessment | 6,257 | 3,197 | 3,041 | |||||||||
Advertising | 3,054 | 2,822 | 2,521 | |||||||||
Amortization of intangible assets | 4,734 | 2,263 | 2,808 | |||||||||
Loan collection and other real estate owned, net | 2,618 | 2,647 | 2,915 | |||||||||
Acquisition expenses | 9,978 | 967 | - | |||||||||
Other | 29,684 | 19,795 | 20,339 | |||||||||
Total noninterest expense | $ | 341,664 | $ | 304,465 | $ | 287,281 |
As of December 31, | ||||||||||||||||||||||||||||||||
(Dollars in thousands) | 2023 | % | 2022 | % | 2021 | % | 2020 | % | ||||||||||||||||||||||||
Nonaccrual loans: | ||||||||||||||||||||||||||||||||
Commercial | $ | 21,567 | 63 | % | $ | 7,664 | 44 | % | $ | 15,942 | 53 | % | $ | 23,557 | 53 | % | ||||||||||||||||
Residential | 9,632 | 28 | % | 4,835 | 28 | % | 8,862 | 29 | % | 13,082 | 29 | % | ||||||||||||||||||||
Consumer | 2,566 | 8 | % | 1,667 | 10 | % | 1,511 | 5 | % | 3,020 | 7 | % | ||||||||||||||||||||
Troubled loan modifications(1) | 448 | 1 | % | 3,067 | 18 | % | 3,970 | 13 | % | 4,988 | 11 | % | ||||||||||||||||||||
Total nonaccrual loans | $ | 34,213 | 100 | % | $ | 17,233 | 100 | % | $ | 30,285 | 100 | % | $ | 44,647 | 100 | % | ||||||||||||||||
Loans over 90 days past due and still accruing: | ||||||||||||||||||||||||||||||||
Commercial | $ | 1 | - | $ | 4 | - | $ | - | - | $ | 493 | 16 | % | |||||||||||||||||||
Residential | 554 | 15 | % | 771 | 20 | % | 808 | 33 | % | 518 | 16 | % | ||||||||||||||||||||
Consumer | 3,106 | 85 | % | 3,048 | 80 | % | 1,650 | 67 | % | 2,138 | 68 | % | ||||||||||||||||||||
Total loans over 90 days past due and still accruing | $ | 3,661 | 100 | % | $ | 3,823 | 100 | % | $ | 2,458 | 100 | % | $ | 3,149 | 100 | % | ||||||||||||||||
Total nonperforming loans | $ | 37,874 | $ | 21,056 | $ | 32,743 | $ | 47,796 | ||||||||||||||||||||||||
OREO | - | 105 | 167 | 1,458 | ||||||||||||||||||||||||||||
Total nonperforming assets | $ | 37,874 | $ | 21,161 | $ | 32,910 | $ | 49,254 | ||||||||||||||||||||||||
Total nonaccrual loans to total loans | 0.35 | % | 0.21 | % | 0.40 | % | 0.60 | % | ||||||||||||||||||||||||
Total nonperforming loans to total loans | 0.39 | % | 0.26 | % | 0.44 | % | 0.64 | % | ||||||||||||||||||||||||
Total nonperforming assets to total assets | 0.28 | % | 0.18 | % | 0.27 | % | 0.45 | % | ||||||||||||||||||||||||
Total allowance for loan losses to nonperforming loans | 302.05 | % | 478.72 | % | 280.98 | % | 230.14 | % | ||||||||||||||||||||||||
Total allowance for loan losses to nonaccrual loans | 334.38 | % | 584.92 | % | 303.78 | % | 246.38 | % |
(1) | TDRs prior to adoption of ASU 2022-02. |
As of December 31, | ||||||||
(Dollars in thousands) | 2019 | % | ||||||
Nonaccrual loans: | ||||||||
Commercial | $ | 12,379 | 49 | % | ||||
Residential real estate | 5,233 | 21 | % | |||||
Consumer | 4,046 | 16 | % | |||||
Troubled debt restructured loans | 3,516 | 14 | % | |||||
Total nonaccrual loans | $ | 25,174 | 100 | % | ||||
Loans over 90 days past due and still accruing: | ||||||||
Residential real estate | $ | 927 | 25 | % | ||||
Consumer | 2,790 | 75 | % | |||||
Total loans over 90 days past due and still accruing | $ | 3,717 | 100 | % | ||||
Total nonperforming loans | $ | 28,891 | ||||||
OREO | 1,458 | |||||||
Total nonperforming assets | $ | 30,349 | ||||||
Total nonaccrual loans to total loans | 0.35 | % | ||||||
Total nonperforming loans to total loans | 0.40 | % | ||||||
Total nonperforming assets to total assets | 0.31 | % | ||||||
Total allowance for loan losses to nonperforming loans | 252.55 | % | ||||||
Total allowance for loan losses to nonaccrual loans | 289.84 | % |
(Dollars in thousands) | 2023 | 2022 | 2021 | 2020 | ||||||||||||
Balance at January 1* | $ | 100,152 | $ | 92,000 | $ | 110,000 | $ | 75,999 | ||||||||
Loans charged-off | ||||||||||||||||
Commercial | 4,154 | 1,870 | 4,638 | 4,005 | ||||||||||||
Residential | 517 | 633 | 979 | 1,135 | ||||||||||||
Consumer** | 22,107 | 16,140 | 14,489 | 21,938 | ||||||||||||
Total loans charged-off | $ | 26,778 | $ | 18,643 | $ | 20,106 | $ | 27,078 | ||||||||
Recoveries | ||||||||||||||||
Commercial | $ | 3,625 | $ | 2,430 | $ | 723 | $ | 786 | ||||||||
Residential | 496 | 852 | 1,069 | 618 | ||||||||||||
Consumer** | 5,859 | 7,014 | 8,571 | 8,541 | ||||||||||||
Total recoveries | $ | 9,980 | $ | 10,296 | $ | 10,363 | $ | 9,945 | ||||||||
Net loans charged-off | $ | 16,798 | $ | 8,347 | $ | 9,743 | $ | 17,133 | ||||||||
Allowance for credit loss on PCD acquired loans | $ | 5,772 | $ | - | $ | - | $ | - | ||||||||
Provision for loan losses | 25,274 | 17,147 | (8,257 | ) | 51,134 | |||||||||||
Balance at December 31 | $ | 114,400 | $ | 100,800 | $ | 92,000 | $ | 110,000 | ||||||||
Allowance for loan losses to loans outstanding at end of year | 1.19 | % | 1.24 | % | 1.23 | % | 1.47 | % | ||||||||
Commercial net charge-offs to average loans outstanding | 0.01 | % | (0.01 | )% | 0.05 | % | 0.04 | % | ||||||||
Residential net charge-offs to average loans outstanding | - | - | - | 0.01 | % | |||||||||||
Consumer net charge-offs to average loans outstanding | 0.18 | % | 0.12 | % | 0.08 | % | 0.18 | % | ||||||||
Net charge-offs to average loans outstanding | 0.19 | % | 0.11 | % | 0.13 | % | 0.23 | % |
* | 2020 includes an adjustment of $3.0 million as a result of the January 1, 2020, adoption of ASC 326 and 2023 includes an adjustment of $0.6 million as a result of the January 1, 2023, adoption of ASU 2022-02. |
** | Consumer charge-off and recoveries include consumer and home equity. |
(Dollars in thousands) | 2019 | |||
Balance at January 1 | $ | 72,505 | ||
Loans charged-off | ||||
Commercial and agricultural | 3,151 | |||
Residential real estate | 991 | |||
Consumer | 28,398 | |||
Total loans charged-off | $ | 32,540 | ||
Recoveries | ||||
Commercial and agricultural | $ | 534 | ||
Residential real estate | 141 | |||
Consumer | 6,913 | |||
Total recoveries | $ | 7,588 | ||
Net loans charged-off | $ | 24,952 | ||
Provision for loan losses | $ | 25,412 | ||
Balance at December 31 | $ | 72,965 | ||
Allowance for loan losses to loans outstanding at end of year | 1.02 | % | ||
Commercial and agricultural net charge-offs to average loans outstanding | 0.04 | % | ||
Residential real estate net charge-offs to average loans outstanding | 0.01 | % | ||
Consumer net charge-offs to average loans outstanding | 0.31 | % | ||
Net charge-offs to average loans outstanding | 0.36 | % |
December 31, | ||||||||||||||||||||||||||||||||
2023 | 2022 | 2021 | 2020 | |||||||||||||||||||||||||||||
(Dollars in thousands) | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | Allowance | Category Percent of Loans | ||||||||||||||||||||||||
Commercial | $ | 45,903 | 50 | % | $ | 34,722 | 48 | % | $ | 28,941 | 51 | % | $ | 50,942 | 53 | % | ||||||||||||||||
Residential | 22,070 | 27 | % | 15,127 | 26 | % | 18,806 | 27 | % | 21,255 | 26 | % | ||||||||||||||||||||
Consumer | 46,427 | 23 | % | 50,951 | 26 | % | 44,253 | 22 | % | 37,803 | 21 | % | ||||||||||||||||||||
Total | $ | 114,400 | 100 | % | $ | 100,800 | 100 | % | $ | 92,000 | 100 | % | $ | 110,000 | 100 | % |
December 31, | ||||||||
2019 | ||||||||
(Dollars in thousands) | Allowance | Category Percent of Loans | ||||||
Commercial and agricultural | $ | 34,525 | 48 | % | ||||
Residential real estate | 2,793 | 20 | % | |||||
Consumer | 35,647 | 32 | % | |||||
Total | $ | 72,965 | 100 | % |
(In thousands) | December 31, 2023 | |||
Within one year | $ | 39,521 | ||
After one but within three years | 4,781 | |||
After three but within five years | 110 | |||
After five years | 323 | |||
Total | $ | 44,735 |
Change in interest rates (in bps points) | Percent change in net interest income | ||||
+200 | (0.06 | %) | |||
+100 | 0.27 | % | |||
-200 | (0.36 | %) |
Change in interest rates (In basis points) | Percent change in net interest income | ||||
+200 | (3.43 | %) | |||
-100 | (1.85 | %) |
Change in interest rates (In basis points) | Percent change in net portfolio value | ||||
+200 | (1.98 | %) | |||
-100 | 8.98 | % |
As of December 31, | As of December 31, | |||||||||||||||
(In thousands, except share and per share data) | 2017 | 2016 | ||||||||||||||
(In thousands except share and per share data) | 2023 | 2022 | ||||||||||||||
Assets | ||||||||||||||||
Cash and due from banks | $ | 156,852 | $ | 147,789 | $ | 173,811 | $ | 166,488 | ||||||||
Short-term interest bearing accounts | 2,812 | 1,392 | ||||||||||||||
Short-term interest-bearing accounts | 31,378 | 30,862 | ||||||||||||||
Equity securities, at fair value | 37,591 | 30,784 | ||||||||||||||
Securities available for sale, at fair value | 1,255,925 | 1,338,290 | 1,430,858 | 1,527,225 | ||||||||||||
Securities held to maturity (fair value $481,871 and $525,050) | 484,073 | 527,948 | ||||||||||||||
Trading securities | 11,467 | 9,259 | ||||||||||||||
Federal Reserve Bank and Federal Home Loan Bank stock | 46,706 | 47,033 | ||||||||||||||
Securities held to maturity (fair value $814,524 and $812,647, respectively) | 905,267 | 919,517 | ||||||||||||||
Federal Reserve and Federal Home Loan Bank stock | 45,861 | 44,713 | ||||||||||||||
Loans held for sale | 3,371 | 562 | ||||||||||||||
Loans | 6,584,773 | 6,198,057 | 9,650,713 | 8,150,147 | ||||||||||||
Less allowance for loan losses | 69,500 | 65,200 | 114,400 | 100,800 | ||||||||||||
Net loans | $ | 6,515,273 | $ | 6,132,857 | $ | 9,536,313 | $ | 8,049,347 | ||||||||
Premises and equipment, net | 81,305 | 84,187 | 80,675 | 69,047 | ||||||||||||
Goodwill | 268,043 | 265,439 | 361,851 | 281,204 | ||||||||||||
Intangible assets, net | 13,420 | 15,815 | 40,443 | 7,341 | ||||||||||||
Bank owned life insurance | 172,388 | 168,012 | 265,732 | 232,409 | ||||||||||||
Other assets | 128,548 | 129,247 | 395,889 | 379,797 | ||||||||||||
Total assets | $ | 9,136,812 | $ | 8,867,268 | $ | 13,309,040 | $ | 11,739,296 | ||||||||
Liabilities | ||||||||||||||||
Demand (noninterest bearing) | $ | 2,286,892 | $ | 2,195,845 | $ | 3,413,829 | $ | 3,617,324 | ||||||||
Savings, NOW and money market | 4,076,978 | 3,905,432 | 6,230,456 | 5,444,837 | ||||||||||||
Time | 806,766 | 872,411 | 1,324,709 | 433,772 | ||||||||||||
Total deposits | $ | 7,170,636 | $ | 6,973,688 | $ | 10,968,994 | $ | 9,495,933 | ||||||||
Short-term borrowings | 719,123 | 681,703 | 386,651 | 585,012 | ||||||||||||
Long-term debt | 88,869 | 104,087 | 29,796 | 4,815 | ||||||||||||
Subordinated debt, net | 119,744 | 96,927 | ||||||||||||||
Junior subordinated debt | 101,196 | 101,196 | 101,196 | 101,196 | ||||||||||||
Other liabilities | 98,811 | 93,278 | 276,968 | 281,859 | ||||||||||||
Total liabilities | $ | 8,178,635 | $ | 7,953,952 | $ | 11,883,349 | $ | 10,565,742 | ||||||||
Stockholders’ equity | ||||||||||||||||
Preferred stock, $0.01 par value; authorized 2,500,000 shares at December 31, 2017 and 2016 | $ | - | $ | - | ||||||||||||
Common stock, $0.01 par value; authorized 100,000,000 shares at December 31, 2017 and 2016, respectively; issued 49,651,493 at December 31, 2017 and 2016 | 497 | 497 | ||||||||||||||
Preferred stock, $0.01 par value, 2,500,000 shares authorized | $ | - | $ | - | ||||||||||||
Common stock, $0.01 par value, 100,000,000 shares authorized; 53,974,492 and 49,651,493 shares issued, respectively | 540 | 497 | ||||||||||||||
Additional paid-in-capital | 574,209 | 575,078 | 740,943 | 577,853 | ||||||||||||
Retained earnings | 543,713 | 501,761 | 1,021,831 | 958,433 | ||||||||||||
Accumulated other comprehensive loss | (22,077 | ) | (21,520 | ) | (160,934 | ) | (190,034 | ) | ||||||||
Common stock in treasury, at cost, 6,108,684 and 6,393,743 shares at December 31, 2017 and 2016, respectively | (138,165 | ) | (142,500 | ) | ||||||||||||
Common stock in treasury, at cost, 6,864,593 and 6,793,670 shares, respectively | (176,689 | ) | (173,195 | ) | ||||||||||||
Total stockholders’ equity | $ | 958,177 | $ | 913,316 | $ | 1,425,691 | $ | 1,173,554 | ||||||||
Total liabilities and stockholders’ equity | $ | 9,136,812 | $ | 8,867,268 | $ | 13,309,040 | $ | 11,739,296 |
Years ended December 31, | ||||||||||||
(In thousands, except per share data) | 2017 | 2016 | 2015 | |||||||||
Interest, fee and dividend income | ||||||||||||
Interest and fees on loans | $ | 267,096 | $ | 250,994 | $ | 241,828 | ||||||
Securities available for sale | 28,564 | 24,033 | 20,418 | |||||||||
Securities held to maturity | 10,934 | 9,852 | 9,233 | |||||||||
Other | 2,813 | 2,068 | 1,745 | |||||||||
Total interest, fee and dividend income | $ | 309,407 | $ | 286,947 | $ | 273,224 | ||||||
Interest expense | ||||||||||||
Deposits | 14,475 | 14,366 | 14,257 | |||||||||
Short-term borrowings | 5,996 | 2,309 | 783 | |||||||||
Long-term debt | 2,299 | 3,204 | 3,355 | |||||||||
Junior subordinated debt | 3,144 | 2,627 | 2,221 | |||||||||
Total interest expense | $ | 25,914 | $ | 22,506 | $ | 20,616 | ||||||
Net interest income | $ | 283,493 | $ | 264,441 | $ | 252,608 | ||||||
Provision for loan losses | 30,988 | 25,431 | 18,285 | |||||||||
Net interest income after provision for loan losses | $ | 252,505 | $ | 239,010 | $ | 234,323 | ||||||
Noninterest income | ||||||||||||
Insurance and other financial services revenue | $ | 23,532 | $ | 24,396 | $ | 24,211 | ||||||
Service charges on deposit accounts | 16,750 | 16,729 | 17,056 | |||||||||
ATM and debit card fees | 21,372 | 19,448 | 18,248 | |||||||||
Retirement plan administration fees | 20,213 | 16,063 | 14,146 | |||||||||
Trust | 19,586 | 18,565 | 19,026 | |||||||||
Bank owned life insurance income | 5,175 | 5,195 | 4,334 | |||||||||
Net securities gains (losses) | 1,867 | (644 | ) | 3,087 | ||||||||
Gain on the sale of equity investment | 818 | - | 4,179 | |||||||||
Other | 11,991 | 15,961 | 14,194 | |||||||||
Total noninterest income | $ | 121,304 | $ | 115,713 | $ | 118,481 | ||||||
Noninterest expense | ||||||||||||
Salaries and employee benefits | $ | 133,610 | $ | 131,284 | $ | 125,633 | ||||||
Occupancy | 21,808 | 20,940 | 22,095 | |||||||||
Data processing and communications | 17,068 | 16,495 | 16,588 | |||||||||
Professional fees and outside services | 13,499 | 13,617 | 13,407 | |||||||||
Equipment | 15,225 | 14,295 | 13,408 | |||||||||
Office supplies and postage | 6,284 | 6,168 | 6,367 | |||||||||
FDIC expenses | 4,767 | 5,111 | 5,145 | |||||||||
Advertising | 2,744 | 2,556 | 2,654 | |||||||||
Amortization of intangible assets | 3,960 | 3,928 | 4,864 | |||||||||
Loan collection and other real estate owned, net | 4,763 | 3,458 | 2,620 | |||||||||
Other | 21,920 | 18,070 | 23,395 | |||||||||
Total noninterest expense | $ | 245,648 | $ | 235,922 | $ | 236,176 | ||||||
Income before income tax expense | $ | 128,161 | $ | 118,801 | $ | 116,628 | ||||||
Income tax expense | 46,010 | 40,392 | 40,203 | |||||||||
Net income | $ | 82,151 | $ | 78,409 | $ | 76,425 | ||||||
Earnings per share | ||||||||||||
Basic | $ | 1.89 | $ | 1.81 | $ | 1.74 | ||||||
Diluted | $ | 1.87 | $ | 1.80 | $ | 1.72 |
Years Ended December 31, | ||||||||||||
(In thousands, except per share data) | 2023 | 2022 | 2021 | |||||||||
Interest, fee and dividend income | ||||||||||||
Interest and fees on loans | $ | 462,669 | $ | 332,768 | $ | 302,175 | ||||||
Securities available for sale | 29,812 | 29,653 | 23,305 | |||||||||
Securities held to maturity | 20,681 | 17,582 | 12,551 | |||||||||
Other | 9,627 | 4,067 | 1,845 | |||||||||
Total interest, fee and dividend income | $ | 522,789 | $ | 384,070 | $ | 339,876 | ||||||
Interest expense | ||||||||||||
Deposits | $ | 104,641 | $ | 9,923 | $ | 10,714 | ||||||
Short-term borrowings | 25,608 | 2,623 | 158 | |||||||||
Long-term debt | 925 | 161 | 389 | |||||||||
Subordinated debt | 6,076 | 5,424 | 5,437 | |||||||||
Junior subordinated debt | 7,320 | 3,749 | 2,090 | |||||||||
Total interest expense | $ | 144,570 | $ | 21,880 | $ | 18,788 | ||||||
Net interest income | $ | 378,219 | $ | 362,190 | $ | 321,088 | ||||||
Provision for loan losses | 25,274 | 17,147 | (8,257 | ) | ||||||||
Net interest income after provision for loan losses | $ | 352,945 | $ | 345,043 | $ | 329,345 | ||||||
Noninterest income | ||||||||||||
Service charges on deposit accounts | $ | 15,425 | $ | 14,630 | $ | 13,348 | ||||||
Card services income | 20,829 | 29,058 | 34,682 | |||||||||
Retirement plan administration fees | 47,221 | 48,112 | 42,188 | |||||||||
Wealth management | 34,763 | 33,311 | 33,718 | |||||||||
Insurance services | 15,667 | 14,696 | 14,083 | |||||||||
Bank owned life insurance income | 6,750 | 6,044 | 6,217 | |||||||||
Net securities (losses) gains | (9,315 | ) | (1,131 | ) | 566 | |||||||
Other | 10,838 | 10,858 | 12,992 | |||||||||
Total noninterest income | $ | 142,178 | $ | 155,578 | $ | 157,794 | ||||||
Noninterest expense | ||||||||||||
Salaries and employee benefits | $ | 194,250 | $ | 187,830 | $ | 172,580 | ||||||
Technology and data services | 38,163 | 35,712 | 34,717 | |||||||||
Occupancy | 28,408 | 26,282 | 26,048 | |||||||||
Professional fees and outside services | 17,601 | 16,810 | 16,306 | |||||||||
Office supplies and postage | 6,917 | 6,140 | 6,006 | |||||||||
FDIC assessment | 6,257 | 3,197 | 3,041 | |||||||||
Advertising | 3,054 | 2,822 | 2,521 | |||||||||
Amortization of intangible assets | 4,734 | 2,263 | 2,808 | |||||||||
Loan collection and other real estate owned, net | 2,618 | 2,647 | 2,915 | |||||||||
Acquisition expenses | 9,978 | 967 | - | |||||||||
Other | 29,684 | 19,795 | 20,339 | |||||||||
Total noninterest expense | $ | 341,664 | $ | 304,465 | $ | 287,281 | ||||||
Income before income tax expense | $ | 153,459 | $ | 196,156 | $ | 199,858 | ||||||
Income tax expense | 34,677 | 44,161 | 44,973 | |||||||||
Net income | $ | 118,782 | $ | 151,995 | $ | 154,885 | ||||||
Earnings per share | ||||||||||||
Basic | $ | 2.67 | $ | 3.54 | $ | 3.57 | ||||||
Diluted | $ | 2.65 | $ | 3.52 | $ | 3.54 |
Years ended December 31, | ||||||||||||
(In thousands) | 2017 | 2016 | 2015 | |||||||||
Net income | $ | 82,151 | $ | 78,409 | $ | 76,425 | ||||||
Other comprehensive (loss) income, net of tax: | ||||||||||||
Unrealized net holding (losses) arising during the year (pre-tax amounts of $(6,915), $(8,618) and $(3,159)) | $ | (4,070 | ) | $ | (5,265 | ) | $ | (1,930 | ) | |||
Reclassification adjustment for net (gains) losses related to securities available for sale included in net income (pre-tax amounts of $(1,869), $644 and $(3,087)) | (1,153 | ) | 393 | (1,886 | ) | |||||||
Reclassification adjustment for an impairment write-down of an equity security (pre-tax amounts of $1,312, $- and $-) | 811 | - | - | |||||||||
Unrealized gains on derivatives (cash flow hedges) (pre-tax amounts of $609, $2,901 and $-) | 372 | 1,772 | - | |||||||||
Amortization of unrealized net gains and losses related to the reclassification of available for sale investment securities to held to maturity (pre-tax amounts of $875, $1,094 and $1,311) | 540 | 668 | 801 | |||||||||
Pension and other benefits: | ||||||||||||
Amortization of prior service cost and actuarial gains (pre-tax amounts of $1,852, $2,370 and $2,239) | 1,112 | 1,421 | 1,371 | |||||||||
Decrease (increase) in unrecognized actuarial loss (pre-tax amounts of $2,401, $3,154 and $(6,144)) | 1,831 | 1,909 | (3,747 | ) | ||||||||
Total other comprehensive (loss) income | $ | (557 | ) | $ | 898 | $ | (5,391 | ) | ||||
Comprehensive income | $ | 81,594 | $ | 79,307 | $ | 71,034 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Net income | $ | 118,782 | $ | 151,995 | $ | 154,885 | ||||||
Other comprehensive income (loss), net of tax: | ||||||||||||
Securities available for sale: | ||||||||||||
Unrealized net holding gains (losses) arising during the period, gross | $ | 22,987 | $ | (209,212 | ) | $ | (37,432 | ) | ||||
Tax effect | (5,746 | ) | 52,303 | 9,358 | ||||||||
Unrealized net holding gains (losses) arising during the period, net | $ | 17,241 | $ | (156,909 | ) | $ | (28,074 | ) | ||||
Reclassification adjustment for net losses in net income, gross | $ | 9,450 | $ | - | $ | - | ||||||
Tax effect | (2,363 | ) | - | - | ||||||||
Reclassification adjustment for net losses in net income, net | $ | 7,087 | $ | - | $ | - | ||||||
Amortization of unrealized net gains for the reclassification of available for sale securities to held to maturity, gross | $ | 427 | $ | 513 | $ | 577 | ||||||
Tax effect | (107 | ) | (128 | ) | (145 | ) | ||||||
Amortization of unrealized net gains for the reclassification of available for sale securities to held to maturity, net | $ | 320 | $ | 385 | $ | 432 | ||||||
Total securities available for sale, net | $ | 24,648 | $ | (156,524 | ) | $ | (27,642 | ) | ||||
Cash flow hedges: | ||||||||||||
Reclassification of net unrealized losses on cash flow hedges to interest expense, gross | $ | - | $ | - | $ | 21 | ||||||
Tax effect | - | - | (5 | ) | ||||||||
Reclassification of net unrealized losses on cash flow hedges to interest expense, net | $ | - | $ | - | $ | 16 | ||||||
Total cash flow hedges, net | $ | - | $ | - | $ | 16 | ||||||
Pension and other benefits: | ||||||||||||
Amortization of prior service cost and actuarial losses, gross | $ | 2,640 | $ | 737 | $ | 1,373 | ||||||
Tax effect | (660 | ) | (184 | ) | (343 | ) | ||||||
Amortization of prior service cost and actuarial losses, net | $ | 1,980 | $ | 553 | $ | 1,030 | ||||||
Decrease (increase) in unrecognized actuarial loss, gross | $ | 3,296 | $ | (14,292 | ) | $ | 3,780 | |||||
Tax effect | (824 | ) | 3,573 | (945 | ) | |||||||
Decrease (increase) in unrecognized actuarial loss, net | $ | 2,472 | $ | (10,719 | ) | $ | 2,835 | |||||
Total pension and other benefits, net | $ | 4,452 | $ | (10,166 | ) | $ | 3,865 | |||||
Total other comprehensive income (loss) | $ | 29,100 | $ | (166,690 | ) | $ | (23,761 | ) | ||||
Comprehensive income (loss) | $ | 147,882 | $ | (14,695 | ) | $ | 131,124 |
(In thousands, except share and per share data) | Common Stock | Additional Paid-in- Capital | Retained Earnings | Accumulated Other Comprehensive (Loss) Income | Common Stock in Treasury | Total | ||||||||||||||||||
Balance at December 31, 2014 | $ | 497 | $ | 576,504 | $ | 423,956 | $ | (17,027 | ) | $ | (119,749 | ) | $ | 864,181 | ||||||||||
Net income | - | - | 76,425 | - | - | 76,425 | ||||||||||||||||||
Cash dividends - $0.87 per share | - | - | (38,149 | ) | - | - | (38,149 | ) | ||||||||||||||||
Purchase of 1,047,152 treasury shares | - | - | - | - | (26,797 | ) | (26,797 | ) | ||||||||||||||||
Net issuance of 581,400 shares to employee and other stock plans, including tax benefit | - | (3,864 | ) | - | - | 11,513 | 7,649 | |||||||||||||||||
Stock-based compensation | - | 4,086 | - | - | - | 4,086 | ||||||||||||||||||
Other comprehensive loss | - | - | - | (5,391 | ) | - | (5,391 | ) | ||||||||||||||||
Balance at December 31, 2015 | $ | 497 | $ | 576,726 | $ | 462,232 | $ | (22,418 | ) | $ | (135,033 | ) | $ | 882,004 | ||||||||||
Net income | - | - | 78,409 | - | - | 78,409 | ||||||||||||||||||
Cash dividends - $0.90 per share | - | - | (38,880 | ) | - | - | (38,880 | ) | ||||||||||||||||
Purchase of 675,535 treasury shares | - | - | - | - | (17,193 | ) | (17,193 | ) | ||||||||||||||||
Net issuance of 502,585 shares to employee and other stock plans, including tax benefit | - | (6,026 | ) | - | - | 9,726 | 3,700 | |||||||||||||||||
Stock-based compensation | - | 4,378 | - | - | - | 4,378 | ||||||||||||||||||
Other comprehensive income | - | - | - | 898 | - | 898 | ||||||||||||||||||
Balance at December 31, 2016 | $ | 497 | $ | 575,078 | $ | 501,761 | $ | (21,520 | ) | $ | (142,500 | ) | $ | 913,316 | ||||||||||
Net income | - | - | 82,151 | - | - | 82,151 | ||||||||||||||||||
Cash dividends - $0.92 per share | - | - | (40,104 | ) | - | - | (40,104 | ) | ||||||||||||||||
Net issuance of 285,059 shares to employee and other stock plans | - | (4,608 | ) | - | - | 4,335 | (273 | ) | ||||||||||||||||
Stock-based compensation | - | 3,739 | (95 | ) | - | - | 3,644 | |||||||||||||||||
Other comprehensive loss | - | - | - | (557 | ) | - | (557 | ) | ||||||||||||||||
Balance at December 31, 2017 | $ | 497 | $ | 574,209 | $ | 543,713 | $ | (22,077 | ) | $ | (138,165 | ) | $ | 958,177 |
(In thousands, except share and per share data) | Common Stock | Additional Paid-in- Capital | Retained Earnings | Accumulated Other Comprehensive (Loss) Income | Common Stock in Treasury | Total | ||||||||||||||||||
Balance at December 31, 2020 | $ | 497 | $ | 578,082 | $ | 749,056 | $ | 417 | $ | (140,434 | ) | $ | 1,187,618 | |||||||||||
Net income | - | - | 154,885 | - | - | 154,885 | ||||||||||||||||||
Cash dividends - $1.10 per share | - | - | (47,738 | ) | - | - | (47,738 | ) | ||||||||||||||||
Purchase of 604,637 treasury shares | - | - | - | - | (21,714 | ) | (21,714 | ) | ||||||||||||||||
Net issuance of 143,555 shares to employee and other stock plans | - | (5,520 | ) | - | - | 2,269 | (3,251 | ) | ||||||||||||||||
Stock-based compensation | - | 4,414 | - | - | - | 4,414 | ||||||||||||||||||
Other comprehensive (loss) | - | - | - | (23,761 | ) | - | (23,761 | ) | ||||||||||||||||
Balance at December 31, 2021 | $ | 497 | $ | 576,976 | $ | 856,203 | $ | (23,344 | ) | $ | (159,879 | ) | $ | 1,250,453 | ||||||||||
Net income | - | - | 151,995 | - | - | 151,995 | ||||||||||||||||||
Cash dividends - $1.16 per share | - | - | (49,765 | ) | - | - | (49,765 | ) | ||||||||||||||||
Purchase of 400,000 treasury shares | - | - | - | - | (14,713 | ) | (14,713 | ) | ||||||||||||||||
Net issuance of 89,811 shares to employee and other stock plans | - | (3,653 | ) | - | - | 1,397 | (2,256 | ) | ||||||||||||||||
Stock-based compensation | - | 4,530 | - | - | - | 4,530 | ||||||||||||||||||
Other comprehensive (loss) | - | - | - | (166,690 | ) | - | (166,690 | ) | ||||||||||||||||
Balance at December 31, 2022 | $ | 497 | $ | 577,853 | $ | 958,433 | $ | (190,034 | ) | $ | (173,195 | ) | $ | 1,173,554 | ||||||||||
Cumulative effect adjustment for ASU 2022-02 implementation as of January 1, 2023 | - | - | 502 | - | - | 502 | ||||||||||||||||||
Net income | - | - | 118,782 | - | - | 118,782 | ||||||||||||||||||
Cash dividends - $1.24 per share | - | - | (55,886 | ) | - | - | (55,886 | ) | ||||||||||||||||
Issuance of 4,322,999 shares of common stock for acquisition | 43 | 161,680 | - | - | - | 161,723 | ||||||||||||||||||
Purchase of 155,500 treasury shares | - | - | - | - | (4,944 | ) | (4,944 | ) | ||||||||||||||||
Net issuance of 84,577 shares to employee and other stock plans | - | (3,692 | ) | - | - | 1,450 | (2,242 | ) | ||||||||||||||||
Stock-based compensation | - | 5,102 | - | - | - | 5,102 | ||||||||||||||||||
Other comprehensive income | - | - | - | 29,100 | - | 29,100 | ||||||||||||||||||
Balance at December 31, 2023 | $ | 540 | $ | 740,943 | $ | 1,021,831 | $ | (160,934 | ) | $ | (176,689 | ) | $ | 1,425,691 |
Years ended December 31, | ||||||||||||
(In thousands) | 2017 | 2016 | 2015 | |||||||||
Operating activities | ||||||||||||
Net income | $ | 82,151 | $ | 78,409 | $ | 76,425 | ||||||
Adjustments to reconcile net income to net cash provided by operating activities | ||||||||||||
Provision for loan losses | 30,988 | 25,431 | 18,285 | |||||||||
Depreciation and amortization of premises and equipment | 9,056 | 9,023 | 8,646 | |||||||||
Net accretion on securities | 4,786 | 5,278 | 2,554 | |||||||||
Amortization of intangible assets | 3,960 | 3,928 | 4,864 | |||||||||
Excess tax benefit on stock-based compensation | 1,769 | 1,055 | (43 | ) | ||||||||
Stock-based compensation expense | 3,644 | 4,378 | 4,086 | |||||||||
Bank owned life insurance income | (5,175 | ) | (5,195 | ) | (4,334 | ) | ||||||
Trading security purchases | (1,586 | ) | (287 | ) | (810 | ) | ||||||
Net unrealized (gains) losses in trading securities | (623 | ) | (594 | ) | 226 | |||||||
Proceeds from sales of loans held for sale | 111,284 | 96,603 | 72,498 | |||||||||
Originations and purchases of loans held for sale | (111,206 | ) | (96,692 | ) | (69,677 | ) | ||||||
Net gains on sales of loans held for sale | (349 | ) | (499 | ) | (239 | ) | ||||||
Net security (gains) losses | (1,867 | ) | 644 | (3,087 | ) | |||||||
Net (gains) on sales and write-down of other real estate owned | (221 | ) | (687 | ) | (1,337 | ) | ||||||
(Gain) on sale of equity investment | (818 | ) | - | (4,179 | ) | |||||||
Impairment write-down of equity security | 1,312 | - | - | |||||||||
Impairment write-down of goodwill and intangible assets | 1,530 | 2,565 | - | |||||||||
(Gain) on asset sold | - | (2,462 | ) | - | ||||||||
Re-evaluation of deferred tax amounts from Tax Act | 4,407 | - | - | |||||||||
Net decrease in other assets | 28 | 364 | 15,386 | |||||||||
Net increase (decrease) in other liabilities | 3,834 | (10,697 | ) | 5,236 | ||||||||
Net cash provided by operating activities | $ | 136,904 | $ | 110,565 | $ | 124,500 | ||||||
Investing activities | ||||||||||||
Net cash (used in) acquisitions | $ | (4,000 | ) | $ | (2,000 | ) | $ | (3,100 | ) | |||
Securities available for sale: | ||||||||||||
Proceeds from maturities, calls and principal paydowns | 290,613 | 324,781 | 299,302 | |||||||||
Proceeds from sales | 14,788 | 98,466 | 15,091 | |||||||||
Purchases | (233,804 | ) | (597,428 | ) | (481,262 | ) | ||||||
Securities held to maturity: | ||||||||||||
Proceeds from maturities, calls and principal paydowns | 103,759 | 100,893 | 79,212 | |||||||||
Proceeds from sales | 764 | - | - | |||||||||
Purchases | (60,706 | ) | (157,418 | ) | (95,272 | ) | ||||||
Other: | ||||||||||||
Net increase in loans | (419,114 | ) | (344,448 | ) | (315,363 | ) | ||||||
Proceeds from Federal Home Loan Bank stock redemption | 248,887 | 158,818 | 60,852 | |||||||||
Purchases of Federal Reserve Bank and Federal Home Loan Bank stock | (248,560 | ) | (169,178 | ) | (64,899 | ) | ||||||
Proceeds from settlement of bank owned life insurance | 799 | 1,477 | 1,541 | |||||||||
Purchase of bank owned life insurance | - | (47,250 | ) | - | ||||||||
Purchases of premises and equipment, net | (6,691 | ) | (3,308 | ) | (8,193 | ) | ||||||
Proceeds from sale of equity investment | 818 | - | 4,179 | |||||||||
Proceeds from sales of other real estate owned | 7,254 | 6,635 | 3,908 | |||||||||
Net cash (used in) investing activities | $ | (305,193 | ) | $ | (629,960 | ) | $ | (504,004 | ) | |||
Financing activities | ||||||||||||
Net increase in deposits | $ | 196,948 | $ | 368,845 | $ | 305,238 | ||||||
Net increase in short-term borrowings | 37,419 | 239,222 | 125,679 | |||||||||
Proceeds from issuance of long-term debt | 25,000 | 23,880 | - | |||||||||
Repayments of long-term debt | (40,218 | ) | (50,240 | ) | (498 | ) | ||||||
Proceeds from the issuance of shares to employee benefit plans and other stock plans | 3,309 | 6,032 | 9,356 | |||||||||
Cash paid by employer for tax-withholding on stock issuance | (3,582 | ) | (3,387 | ) | (1,664 | ) | ||||||
Purchase of treasury stock | - | (17,193 | ) | (26,797 | ) | |||||||
Cash dividends | (40,104 | ) | (38,880 | ) | (38,149 | ) | ||||||
Net cash provided by financing activities | $ | 178,772 | $ | 528,279 | $ | 373,165 | ||||||
Net increase (decrease) in cash and cash equivalents | $ | 10,483 | $ | 8,884 | $ | (6,339 | ) | |||||
Cash and cash equivalents at beginning of year | 149,181 | 140,297 | 146,636 | |||||||||
Cash and cash equivalents at end of year | $ | 159,664 | $ | 149,181 | $ | 140,297 |
Supplemental disclosure of cash flow information: | ||||||||||||
Years ended December 31, | ||||||||||||
Cash paid during the year for: | 2017 | 2016 | 2015 | |||||||||
Interest expense | $ | 25,887 | $ | 22,466 | $ | 20,908 | ||||||
Income taxes paid, net of refund | 33,675 | 40,879 | 28,684 | |||||||||
Noncash investing activities: | ||||||||||||
Loans transferred to other real estate owned | $ | 5,981 | $ | 6,863 | $ | 3,293 | ||||||
Acquisitions: | ||||||||||||
Fair value of assets acquired | $ | 3,096 | $ | 2,584 | $ | 1,756 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Operating activities | ||||||||||||
Net income | $ | 118,782 | $ | 151,995 | $ | 154,885 | ||||||
Adjustments to reconcile net income to net cash provided by operating activities | ||||||||||||
Provision for loan losses | 25,274 | 17,147 | (8,257 | ) | ||||||||
Depreciation and amortization of premises and equipment | 10,695 | 10,155 | 9,896 | |||||||||
Net amortization on securities | 2,736 | 3,460 | 5,832 | |||||||||
Amortization of intangible assets | 4,734 | 2,263 | 2,808 | |||||||||
Amortization of operating lease right-of-use assets | 6,843 | 6,643 | 7,176 | |||||||||
Excess tax benefit on stock-based compensation | (296 | ) | (288 | ) | (385 | ) | ||||||
Stock-based compensation expense | 5,102 | 4,530 | 4,414 | |||||||||
Bank owned life insurance income | (6,750 | ) | (6,044 | ) | (6,217 | ) | ||||||
Amortization of subordinated debt issuance costs | 437 | 437 | 438 | |||||||||
Discount on repurchase of subordinated debt | - | (106 | ) | - | ||||||||
Proceeds from sale of loans held for sale | 53,969 | 5,674 | 55,065 | |||||||||
Originations of loans held for sale | (55,960 | ) | (5,475 | ) | (54,608 | ) | ||||||
Net gains on sales of loans held for sale | (156 | ) | (122 | ) | (361 | ) | ||||||
Net security losses (gains) | 9,315 | 1,131 | (566 | ) | ||||||||
Net (gains) losses on sale of other real estate owned | (69 | ) | (259 | ) | 182 | |||||||
Impairment of a minority interest equity investment | 4,750 | - | - | |||||||||
Net deferred income tax expense (benefit) | 5,958 | (19,850 | ) | 864 | ||||||||
Net change in other assets and other liabilities | (27,907 | ) | 11,932 | (11,981 | ) | |||||||
Net cash provided by operating activities | $ | 157,457 | $ | 183,223 | $ | 159,185 | ||||||
Investing activities | ||||||||||||
Net cash provided by (used in) acquisitions | $ | 44,564 | $ | (2,616 | ) | $ | (1,550 | ) | ||||
Securities available for sale: | ||||||||||||
Proceeds from maturities, calls and principal paydowns | 116,453 | 213,722 | 395,386 | |||||||||
Proceeds from sales | 124,577 | - | - | |||||||||
Purchases | - | (264,569 | ) | (775,963 | ) | |||||||
Securities held to maturity: | ||||||||||||
Proceeds from maturities, calls and principal paydowns | 100,954 | 177,554 | 181,620 | |||||||||
Purchases | (88,022 | ) | (365,033 | ) | (299,014 | ) | ||||||
Equity securities: | ||||||||||||
Proceeds from calls | - | - | 1,000 | |||||||||
Purchases | (11 | ) | (1,000 | ) | - | |||||||
Other: | ||||||||||||
Net increase in loans | (338,111 | ) | (659,949 | ) | (9,305 | ) | ||||||
Proceeds from Federal Home Loan Bank stock redemption | 91,535 | 36,125 | 2,422 | |||||||||
Purchases of Federal Reserve Bank and Federal Home Loan Bank stock | (90,945 | ) | (55,740 | ) | (167 | ) | ||||||
Proceeds from settlement of bank owned life insurance | 3,766 | 1,873 | 4,413 | |||||||||
Purchase of bank owned life insurance | - | - | (40,000 | ) | ||||||||
Purchases of premises and equipment, net | (9,254 | ) | (7,009 | ) | (7,740 | ) | ||||||
Proceeds from sales of other real estate owned | 268 | 426 | 1,290 | |||||||||
Net cash used in investing activities | $ | (44,226 | ) | $ | (926,216 | ) | $ | (547,608 | ) | |||
Financing activities | ||||||||||||
Net increase (decrease) in deposits | $ | 164,085 | $ | (738,536 | ) | $ | 1,152,777 | |||||
Net (decrease) increase in short-term borrowings | (231,743 | ) | 487,217 | (70,592 | ) | |||||||
Repurchase of subordinated debt | - | (2,000 | ) | - | ||||||||
Proceeds from long-term debt | 25,000 | 1,519 | - | |||||||||
Repayments of long-term debt | (118 | ) | (10,699 | ) | (25,101 | ) | ||||||
Proceeds from the issuance of shares to employee and other stock plans | 91 | - | 112 | |||||||||
Cash paid by employer for tax-withholding on stock issuance | (1,877 | ) | (1,751 | ) | (2,931 | ) | ||||||
Purchase of treasury stock | (4,944 | ) | (14,713 | ) | (21,714 | ) | ||||||
Cash dividends | (55,886 | ) | (49,765 | ) | (47,738 | ) | ||||||
Net cash (used in) provided by financing activities | $ | (105,392 | ) | $ | (328,728 | ) | $ | 984,813 | ||||
Net increase (decrease) in cash and cash equivalents | $ | 7,839 | $ | (1,071,721 | ) | $ | 596,390 | |||||
Cash and cash equivalents at beginning of year | 197,350 | 1,269,071 | 672,681 | |||||||||
Cash and cash equivalents at end of year | $ | 205,189 | $ | 197,350 | $ | 1,269,071 |
Years Ended December 31, | ||||||||||||
2023 | 2022 | 2021 | ||||||||||
Supplemental disclosure of cash flow information: | ||||||||||||
Cash paid during the year for: | ||||||||||||
Interest expense | $ | 130,180 | $ | 20,608 | $ | 20,285 | ||||||
Income taxes paid, net of refund | 27,636 | 62,795 | 46,097 | |||||||||
Noncash investing activities: | ||||||||||||
Loans transferred to other real estate owned | $ | 94 | $ | 105 | $ | 181 | ||||||
Acquisitions: | ||||||||||||
Fair value of assets acquired, excluding acquired cash and goodwill | $ | 1,415,712 | $ | 705 | $ | - | ||||||
Fair value of liabilities assumed | 1,380,386 | - | - | |||||||||
Common stock issued | 161,723 | - | - |
1. Summary of Significant Accounting Policies |
Portfolio Segment | Class |
Commercial Loans | Commercial & Industrial Commercial Real Estate |
Consumer Loans | Auto Residential Solar Other Consumer |
Residential Loans |
(In thousands) | Amortized Cost | Unrealized Gains | Unrealized Losses | Estimated Fair Value | ||||||||||||
As of December 31, 2017 | ||||||||||||||||
Federal agency | $ | 109,862 | $ | - | $ | 963 | $ | 108,899 | ||||||||
State & municipal | 42,171 | 62 | 277 | 41,956 | ||||||||||||
Mortgage-backed: | ||||||||||||||||
Government-sponsored enterprises | 530,392 | 1,406 | 3,345 | 528,453 | ||||||||||||
U.S. government agency securities | 26,363 | 334 | 223 | 26,474 | ||||||||||||
Collateralized mortgage obligations: | ||||||||||||||||
Government-sponsored enterprises | 496,033 | 254 | 10,114 | 486,173 | ||||||||||||
U.S. government agency securities | 50,721 | 165 | 1,065 | 49,821 | ||||||||||||
Other securities | 10,623 | 3,672 | 146 | 14,149 | ||||||||||||
Total AFS securities | $ | 1,266,165 | $ | 5,893 | $ | 16,133 | $ | 1,255,925 | ||||||||
As of December 31, 2016 | ||||||||||||||||
Federal agency | $ | 175,135 | $ | 78 | $ | 805 | $ | 174,408 | ||||||||
State & municipal | 47,053 | 153 | 480 | 46,726 | ||||||||||||
Mortgage-backed: | ||||||||||||||||
Government-sponsored enterprises | 513,814 | 3,345 | 2,492 | 514,667 | ||||||||||||
U.S. government securities | 14,955 | 411 | 189 | 15,177 | ||||||||||||
Collateralized mortgage obligations: | ||||||||||||||||
Government-sponsored enterprises | 513,431 | 532 | 7,688 | 506,275 | ||||||||||||
U.S. government securities | 60,822 | 184 | 708 | 60,298 | ||||||||||||
Other securities | 15,849 | 6,394 | 1,504 | 20,739 | ||||||||||||
Total AFS securities | $ | 1,341,059 | $ | 11,097 | $ | 13,866 | $ | 1,338,290 |
Years ended December 31, | ||||||||||||
(In thousands) | 2017 | 2016 | 2015 | |||||||||
Gross realized gains | $ | 2,241 | $ | 683 | $ | 3,099 | ||||||
Gross realized (losses) | (372 | ) | (1,327 | ) | (12 | ) | ||||||
Net AFS realized gains (losses) | $ | 1,869 | $ | (644 | ) | $ | 3,087 |
(In thousands) | Amortized Cost | Unrealized Gains | Unrealized Losses | Estimated Fair Value | ||||||||||||
As of December 31, 2017 | ||||||||||||||||
Mortgage-backed: | ||||||||||||||||
Government-sponsored enterprises | $ | 96,357 | $ | 85 | $ | 810 | $ | 95,632 | ||||||||
U.S. government agency securities | 418 | 57 | - | 475 | ||||||||||||
Collateralized mortgage obligations: | ||||||||||||||||
Government-sponsored enterprises | 186,327 | 224 | 2,577 | 183,974 | ||||||||||||
State & municipal | 200,971 | 1,439 | 620 | 201,790 | ||||||||||||
Total HTM securities | $ | 484,073 | $ | 1,805 | $ | 4,007 | $ | 481,871 | ||||||||
As of December 31, 2016 | ||||||||||||||||
Mortgage-backed: | ||||||||||||||||
Government-sponsored enterprises | $ | 96,668 | $ | - | $ | 1,176 | $ | 95,492 | ||||||||
U.S. government agency securities | 533 | 87 | - | 620 | ||||||||||||
Collateralized mortgage obligations: | ||||||||||||||||
Government-sponsored enterprises | 225,213 | 1,060 | 1,508 | 224,765 | ||||||||||||
State & municipal | 205,534 | 434 | 1,795 | 204,173 | ||||||||||||
Total HTM securities | $ | 527,948 | $ | 1,581 | $ | 4,479 | $ | 525,050 |
Less than 12 months | 12 months or longer | Total | ||||||||||||||||||||||||||||||||||
(In thousands) | Fair Value | Unrealized Losses | Number of Positions | Fair Value | Unrealized Losses | Number of Positions | Fair Value | Unrealized Losses | Number of Positions | |||||||||||||||||||||||||||
As of December 31, 2017 | ||||||||||||||||||||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||||||||||||||
Federal agency | $ | 64,653 | $ | (242 | ) | 5 | $ | 44,246 | $ | (721 | ) | 4 | $ | 108,899 | $ | (963 | ) | 9 | ||||||||||||||||||
State & municipal | 23,566 | (200 | ) | 39 | 5,994 | (77 | ) | 8 | 29,560 | (277 | ) | 47 | ||||||||||||||||||||||||
Mortgage-backed | 317,630 | (2,381 | ) | 55 | 58,316 | (1,188 | ) | 24 | 375,946 | (3,569 | ) | 79 | ||||||||||||||||||||||||
Collateralized mortgage obligations | 227,917 | (2,658 | ) | 35 | 275,303 | (8,521 | ) | 42 | 503,220 | (11,179 | ) | 77 | ||||||||||||||||||||||||
Other securities | - | - | - | 2,959 | (146 | ) | 1 | 2,959 | (146 | ) | 1 | |||||||||||||||||||||||||
Total securities with unrealized losses | $ | 633,766 | $ | (5,481 | ) | 134 | $ | 386,818 | $ | (10,653 | ) | 79 | $ | 1,020,584 | $ | (16,134 | ) | 213 | ||||||||||||||||||
HTM securities: | ||||||||||||||||||||||||||||||||||||
Mortgage-backed | $ | 15,477 | $ | (140 | ) | 2 | $ | 33,703 | $ | (670 | ) | 2 | $ | 49,180 | $ | (810 | ) | 4 | ||||||||||||||||||
Collateralized mortgage obligations | 118,476 | (1,064 | ) | 17 | 37,614 | (1,513 | ) | 6 | 156,090 | (2,577 | ) | 23 | ||||||||||||||||||||||||
State & municipal | 22,387 | (132 | ) | 40 | 15,720 | (488 | ) | 24 | 38,107 | (620 | ) | 64 | ||||||||||||||||||||||||
Total securities with unrealized losses | $ | 156,340 | $ | (1,336 | ) | 59 | $ | 87,037 | $ | (2,671 | ) | 32 | $ | 243,377 | $ | (4,007 | ) | 91 | ||||||||||||||||||
As of December 31, 2016 | ||||||||||||||||||||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||||||||||||||
Federal agency | $ | 119,363 | $ | (805 | ) | 10 | $ | - | $ | - | - | $ | 119,363 | $ | (805 | ) | 10 | |||||||||||||||||||
State & municipal | 31,873 | (478 | ) | 55 | 483 | (2 | ) | 1 | 32,356 | (480 | ) | 56 | ||||||||||||||||||||||||
Mortgage-backed | 277,524 | (2,668 | ) | 49 | 985 | (13 | ) | 4 | 278,509 | (2,681 | ) | 53 | ||||||||||||||||||||||||
Collateralized mortgage obligations | 473,746 | (8,396 | ) | 57 | - | - | - | 473,746 | (8,396 | ) | 57 | |||||||||||||||||||||||||
Other securities | - | - | - | 4,363 | (1,504 | ) | 2 | 4,363 | (1,504 | ) | 2 | |||||||||||||||||||||||||
Total securities with unrealized losses | $ | 902,506 | $ | (12,347 | ) | 171 | $ | 5,831 | $ | (1,519 | ) | 7 | $ | 908,337 | $ | (13,866 | ) | 178 | ||||||||||||||||||
HTM securities: | ||||||||||||||||||||||||||||||||||||
Mortgage-backed | $ | 95,492 | $ | (1,176 | ) | 5 | $ | - | $ | - | - | $ | 95,492 | $ | (1,176 | ) | 5 | |||||||||||||||||||
Collateralized mortgage obligations | 108,587 | (319 | ) | 12 | 35,209 | (1,189 | ) | 4 | 143,796 | (1,508 | ) | 16 | ||||||||||||||||||||||||
State & municipal | 81,984 | (1,795 | ) | 155 | - | - | - | 81,984 | (1,795 | ) | 155 | |||||||||||||||||||||||||
Total securities with unrealized losses | $ | 286,063 | $ | (3,290 | ) | 172 | $ | 35,209 | $ | (1,189 | ) | 4 | $ | 321,272 | $ | (4,479 | ) | 176 |
(In thousands) | Amortized Cost | Estimated Fair Value | ||||||
AFS debt securities: | ||||||||
Within one year | $ | 63,309 | $ | 63,186 | ||||
From one to five years | 90,119 | 89,275 | ||||||
From five to ten years | 178,128 | 177,961 | ||||||
After ten years | 923,987 | 911,354 | ||||||
Total AFS debt securities | $ | 1,255,543 | $ | 1,241,776 | ||||
HTM debt securities: | ||||||||
Within one year | $ | 31,412 | $ | 31,413 | ||||
From one to five years | 42,363 | 42,588 | ||||||
From five to ten years | 174,950 | 174,937 | ||||||
After ten years | 235,348 | 232,933 | ||||||
Total HTM debt securities | $ | 484,073 | $ | 481,871 |
At December 31, | ||||||||
(In thousands) | 2017 | 2016 | ||||||
Residential real estate mortgages | $ | 1,321,695 | $ | 1,262,614 | ||||
Commercial | 1,317,174 | 1,242,701 | ||||||
Commercial real estate | 1,711,095 | 1,543,301 | ||||||
Consumer | 1,740,038 | 1,641,657 | ||||||
Home equity | 494,771 | 507,784 | ||||||
Total loans | $ | 6,584,773 | $ | 6,198,057 |
(In thousands) | 2017 | 2016 | ||||||
Balance at January 1, | $ | 2,050 | $ | 2,346 | ||||
New loans | 297 | 936 | ||||||
Adjustment due to change in composition of related parties | 198 | (406 | ) | |||||
Repayments | (968 | ) | (826 | ) | ||||
Balance at December 31, | $ | 1,577 | $ | 2,050 |
Consumer | |
(In thousands) | Commercial Loans | Consumer Loans | Residential Real Estate Mortgages | Unallocated | Total | |||||||||||||||
Balance as of December 31, 2016 | $ | 25,444 | $ | 33,375 | $ | 6,381 | $ | - | $ | 65,200 | ||||||||||
Charge-offs | (4,169 | ) | (27,072 | ) | (1,846 | ) | - | (33,087 | ) | |||||||||||
Recoveries | 1,077 | 5,142 | 180 | - | 6,399 | |||||||||||||||
Provision | 5,254 | 25,385 | 349 | - | 30,988 | |||||||||||||||
Ending Balance as of December 31, 2017 | $ | 27,606 | $ | 36,830 | $ | 5,064 | $ | - | $ | 69,500 | ||||||||||
Balance as of December 31, 2015 | $ | 25,545 | $ | 29,253 | $ | 7,960 | $ | 260 | $ | 63,018 | ||||||||||
Charge-offs | (4,592 | ) | (23,364 | ) | (1,343 | ) | - | (29,299 | ) | |||||||||||
Recoveries | 1,887 | 3,870 | 293 | - | 6,050 | |||||||||||||||
Provision | 2,604 | 23,616 | (529 | ) | (260 | ) | 25,431 | |||||||||||||
Ending Balance as of December 31, 2016 | $ | 25,444 | $ | 33,375 | $ | 6,381 | $ | - | $ | 65,200 | ||||||||||
Balance as of December 31, 2014 | $ | 32,433 | $ | 26,720 | $ | 7,130 | $ | 76 | $ | 66,359 | ||||||||||
Charge-offs | (5,718 | ) | (18,140 | ) | (2,229 | ) | - | (26,087 | ) | |||||||||||
Recoveries | 1,014 | 3,127 | 320 | - | 4,461 | |||||||||||||||
Provision | (2,184 | ) | 17,546 | 2,739 | 184 | 18,285 | ||||||||||||||
Ending Balance as of December 31, 2015 | $ | 25,545 | $ | 29,253 | $ | 7,960 | $ | 260 | $ | 63,018 |
(In thousands) | Commercial Loans | Consumer Loans | Residential Real Estate Mortgages | Total | ||||||||||||
As of December 31, 2017 | ||||||||||||||||
Allowance for loan losses | $ | 27,606 | $ | 36,830 | $ | 5,064 | $ | 69,500 | ||||||||
Allowance for loans individually evaluated for impairment | 57 | - | - | 57 | ||||||||||||
Allowance for loans collectively evaluated for impairment | 27,549 | 36,830 | 5,064 | 69,443 | ||||||||||||
Ending balance of loans | 3,028,269 | 2,234,809 | 1,321,695 | 6,584,773 | ||||||||||||
Ending balance of originated loans individually evaluated for impairment | 5,876 | 8,432 | 6,830 | 21,138 | ||||||||||||
Ending balance of acquired loans collectively evaluated for impairment | 187,313 | 43,906 | 170,472 | 401,691 | ||||||||||||
Ending balance of originated loans collectively evaluated for impairment | $ | 2,835,080 | $ | 2,182,471 | $ | 1,144,393 | $ | 6,161,944 | ||||||||
As of December 31, 2016 | ||||||||||||||||
Allowance for loan losses | $ | 25,444 | $ | 33,375 | $ | 6,381 | $ | 65,200 | ||||||||
Allowance for loans individually evaluated for impairment | 1,517 | - | - | 1,517 | ||||||||||||
Allowance for loans collectively evaluated for impairment | 23,927 | 33,375 | 6,381 | 63,683 | ||||||||||||
Ending balance of loans | 2,786,002 | 2,149,441 | 1,262,614 | 6,198,057 | ||||||||||||
Ending balance of originated loans individually evaluated for impairment | 13,070 | 8,488 | 6,111 | 27,669 | ||||||||||||
Ending balance of acquired loans individually evaluated for impairment | 1,205 | - | - | 1,205 | ||||||||||||
Ending balance of acquired loans collectively evaluated for impairment | 236,413 | 63,005 | 199,471 | 498,889 | ||||||||||||
Ending balance of originated loans collectively evaluated for impairment | $ | 2,535,314 | $ | 2,077,948 | $ | 1,057,032 | $ | 5,670,294 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Noninterest income | ||||||||||||
In-Scope of ASC 606: | ||||||||||||
Service charges on deposit accounts | $ | 15,424 | $ | 14,630 | $ | 13,348 | ||||||
Card services income | 20,829 | 29,058 | 34,682 | |||||||||
Retirement plan administration fees | 47,221 | 48,112 | 42,188 | |||||||||
Wealth management | 34,763 | 33,311 | 33,718 | |||||||||
Insurance services | 15,667 | 14,696 | 14,083 | |||||||||
Other | 10,838 | 10,858 | 12,992 | |||||||||
Total noninterest income in-scope of ASC 606 | $ | 144,742 | $ | 150,665 | $ | 151,011 | ||||||
Total noninterest income out-of-scope of ASC 606 | $ | (2,564 | ) | $ | 4,913 | $ | 6,783 | |||||
Total noninterest income | $ | 142,178 | $ | 155,578 | $ | 157,794 |
2. | Recent Accounting Pronouncements |
3. | Acquisitions |
August 11, 2023 | ||||
(In thousands) | Salisbury Bancorp, Inc. | |||
Consideration: | ||||
Cash paid to shareholders (fractional shares) | $ | 15 | ||
Common stock issuance | 161,723 | |||
Total net consideration | $ | 161,738 | ||
Recognized amounts of identifiable assets acquired and (liabilities) assumed: | ||||
Cash and cash equivalents | $ | 48,665 | ||
Securities available for sale | 122,667 | |||
Loans, net of allowance for credit losses on purchased credit deteriorated loans | 1,174,237 | |||
Premises and equipment, net | 13,026 | |||
Core deposit intangibles | 31,188 | |||
Wealth management customer intangible | 4,654 | |||
Bank owned life insurance | 30,315 | |||
Other assets | 37,631 | |||
Total identifiable assets acquired | $ | 1,462,383 | ||
Deposits | $ | (1,308,976 | ) | |
Borrowings | (55,461 | ) | ||
Other liabilities | (15,949 | ) | ||
Total liabilities assumed | $ | (1,380,386 | ) | |
Total identifiable assets, net | $ | 81,997 | ||
Goodwill | $ | 79,741 |
(In thousands) | PCD Loans | |||
Par value of PCD loans at acquisition | $ | 219,076 | ||
Allowance for credit losses at acquisition | 5,772 | |||
Discount at acquisition | (24,512 | ) | ||
Fair value of PCD loans at acquisition | $ | 200,336 |
Pro Forma (Unaudited) | ||||||||
Years Ended December 31, | ||||||||
(In thousands) | 2023 | 2022 | ||||||
Total revenue, net of interest expense | $ | 542,241 | $ | 578,543 | ||||
Net income | 112,330 | 168,101 |
4. | Securities |
(In thousands) | Amortized Cost | Unrealized Gains | Unrealized Losses | Estimated Fair Value | ||||||||||||
As of December 31, 2023 | ||||||||||||||||
U.S. treasury | $ | 133,302 | $ | - | $ | (8,278 | ) | $ | 125,024 | |||||||
Federal agency | 248,384 | - | (33,644 | ) | 214,740 | |||||||||||
State & municipal | 96,251 | 11 | (9,956 | ) | 86,306 | |||||||||||
Mortgage-backed: | ||||||||||||||||
Government-sponsored enterprises | 399,532 | 7 | (44,264 | ) | 355,275 | |||||||||||
U.S. government agency securities | 74,281 | 14 | (7,302 | ) | 66,993 | |||||||||||
Collateralized mortgage obligations: | ||||||||||||||||
Government-sponsored enterprises | 452,715 | 15 | (48,257 | ) | 404,473 | |||||||||||
U.S. government agency securities | 162,171 | - | (25,100 | ) | 137,071 | |||||||||||
Corporate | 48,442 | - | (7,466 | ) | 40,976 | |||||||||||
Total AFS securities | $ | 1,615,078 | $ | 47 | $ | (184,267 | ) | $ | 1,430,858 | |||||||
As of December 31, 2022 | ||||||||||||||||
U.S. treasury | $ | 132,891 | $ | - | $ | (11,233 | ) | $ | 121,658 | |||||||
Federal agency | 248,419 | - | (42,000 | ) | 206,419 | |||||||||||
State & municipal | 97,036 | 5 | (14,190 | ) | 82,851 | |||||||||||
Mortgage-backed: | ||||||||||||||||
Government-sponsored enterprises | 454,177 | 9 | (54,675 | ) | 399,511 | |||||||||||
U.S. government securities | 81,844 | 15 | (7,676 | ) | 74,183 | |||||||||||
Collateralized mortgage obligations: | ||||||||||||||||
Government-sponsored enterprises | 498,021 | 9 | (59,473 | ) | 438,557 | |||||||||||
U.S. government securities | 171,090 | - | (21,284 | ) | 149,806 | |||||||||||
Corporate | 60,404 | - | (6,164 | ) | 54,240 | |||||||||||
Total AFS securities | $ | 1,743,882 | $ | 38 | $ | (216,695 | ) | $ | 1,527,225 |
(In thousands) | Amortized Cost | Unrealized Gains | Unrealized Losses | Estimated Fair Value | ||||||||||||
As of December 31, 2023 | ||||||||||||||||
Federal agency | $ | 100,000 | $ | - | $ | (17,784 | ) | $ | 82,216 | |||||||
Mortgage-backed: | ||||||||||||||||
Government-sponsored enterprises | 228,720 | - | (31,613 | ) | 197,107 | |||||||||||
U.S. government agency securities | 17,086 | 3 | (566 | ) | 16,523 | |||||||||||
Collateralized mortgage obligations: | ||||||||||||||||
Government-sponsored enterprises | 187,457 | 57 | (12,021 | ) | 175,493 | |||||||||||
U.S. government agency securities | 63,878 | - | (10,908 | ) | 52,970 | |||||||||||
State & municipal | 308,126 | 211 | (18,122 | ) | 290,215 | |||||||||||
Total HTM securities | $ | 905,267 | $ | 271 | $ | (91,014 | ) | $ | 814,524 | |||||||
As of December 31, 2022 | ||||||||||||||||
Federal agency | $ | 100,000 | $ | - | $ | (20,678 | ) | $ | 79,322 | |||||||
Mortgage-backed: | ||||||||||||||||
Government-sponsored enterprises | 249,511 | - | (36,819 | ) | 212,692 | |||||||||||
U.S. government agency securities | 18,396 | 4 | (619 | ) | 17,781 | |||||||||||
Collateralized mortgage obligations: | ||||||||||||||||
Government-sponsored enterprises | 207,738 | 200 | (14,876 | ) | 193,062 | |||||||||||
U.S. government agency securities | 66,628 | - | (9,842 | ) | 56,786 | |||||||||||
State & municipal | 277,244 | 5 | (24,245 | ) | 253,004 | |||||||||||
Total HTM securities | $ | 919,517 | $ | 209 | $ | (107,079 | ) | $ | 812,647 |
Years Ended December 31, | ||||||||
(In thousands) | 2023 | 2022 | ||||||
Net gains and (losses) recognized on equity securities | $ | 135 | $ | (1,135 | ) | |||
Less: Net gains and (losses) recognized on equity securities sold during the period | - | - | ||||||
Unrealized gains and (losses) recognized on equity securities still held | $ | 135 | $ | (1,135 | ) |
(In thousands) | Amortized Cost | Estimated Fair Value | ||||||
AFS debt securities: | ||||||||
Within one year | $ | 50,389 | $ | 49,462 | ||||
From one to five years | 536,097 | 483,546 | ||||||
From five to ten years | 356,944 | 315,359 | ||||||
After ten years | 671,648 | 582,491 | ||||||
Total AFS debt securities | $ | 1,615,078 | $ | 1,430,858 | ||||
HTM debt securities: | ||||||||
Within one year | $ | 92,757 | $ | 92,724 | ||||
From one to five years | 113,075 | 109,686 | ||||||
From five to ten years | 262,943 | 231,113 | ||||||
After ten years | 436,492 | 381,001 | ||||||
Total HTM debt securities | $ | 905,267 | $ | 814,524 |
Less Than 12 Months | 12 Months or Longer | Total | ||||||||||||||||||||||||||||||||||
(In thousands) | Fair Value | Unrealized Losses | Number of Positions | Fair Value | Unrealized Losses | Number of Positions | Fair Value | Unrealized Losses | Number of Positions | |||||||||||||||||||||||||||
As of December 31, 2023 | ||||||||||||||||||||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||||||||||||||
U.S. treasury | $ | - | $ | - | - | $ | 125,024 | $ | (8,278 | ) | 8 | $ | 125,024 | $ | (8,278 | ) | 8 | |||||||||||||||||||
Federal agency | - | - | - | 214,740 | (33,644 | ) | 16 | 214,740 | (33,644 | ) | 16 | |||||||||||||||||||||||||
State & municipal | - | - | - | 85,528 | (9,956 | ) | 66 | 85,528 | (9,956 | ) | 66 | |||||||||||||||||||||||||
Mortgage-backed | 53 | (1 | ) | 7 | 421,259 | (51,565 | ) | 156 | 421,312 | (51,566 | ) | 163 | ||||||||||||||||||||||||
Collateralized mortgage obligations | 1,333 | (6 | ) | 2 | 536,678 | (73,351 | ) | 118 | 538,011 | (73,357 | ) | 120 | ||||||||||||||||||||||||
Corporate | 1,379 | (75 | ) | 1 | 39,597 | (7,391 | ) | 14 | 40,976 | (7,466 | ) | 15 | ||||||||||||||||||||||||
Total securities with unrealized losses | $ | 2,765 | $ | (82 | ) | 10 | $ | 1,422,826 | $ | (184,185 | ) | 378 | $ | 1,425,591 | $ | (184,267 | ) | 388 | ||||||||||||||||||
HTM securities: | ||||||||||||||||||||||||||||||||||||
Federal agency | $ | - | $ | - | - | $ | 82,216 | $ | (17,784 | ) | 4 | $ | 82,216 | $ | (17,784 | ) | 4 | |||||||||||||||||||
Mortgage-backed | 12,221 | (365 | ) | 1 | 201,320 | (31,814 | ) | 33 | 213,541 | (32,179 | ) | 34 | ||||||||||||||||||||||||
Collateralize mortgage obligations | - | - | - | 219,820 | (22,929 | ) | 54 | 219,820 | (22,929 | ) | 54 | |||||||||||||||||||||||||
State & municipal | 14,422 | (127 | ) | 21 | 171,904 | (17,995 | ) | 189 | 186,326 | (18,122 | ) | 210 | ||||||||||||||||||||||||
Total securities with unrealized losses | $ | 26,643 | $ | (492 | ) | 22 | $ | 675,260 | $ | (90,522 | ) | 280 | $ | 701,903 | $ | (91,014 | ) | 302 | ||||||||||||||||||
As of December 31, 2022 | ||||||||||||||||||||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||||||||||||||
U.S. treasury | $ | 55,616 | $ | (3,864 | ) | 5 | $ | 66,042 | $ | (7,369 | ) | 3 | $ | 121,658 | $ | (11,233 | ) | 8 | ||||||||||||||||||
Federal agency | - | - | - | 206,419 | (42,000 | ) | 16 | 206,419 | (42,000 | ) | 16 | |||||||||||||||||||||||||
State & municipal | 3,679 | (341 | ) | 2 | 78,395 | (13,849 | ) | 64 | 82,074 | (14,190 | ) | 66 | ||||||||||||||||||||||||
Mortgage-backed | 204,447 | (15,048 | ) | 149 | 267,926 | (47,303 | ) | 32 | 472,373 | (62,351 | ) | 181 | ||||||||||||||||||||||||
Collateralized mortgage obligations | 211,612 | (14,458 | ) | 77 | 374,376 | (66,299 | ) | 49 | 585,988 | (80,757 | ) | 126 | ||||||||||||||||||||||||
Corporate | 34,434 | (2,970 | ) | 12 | 19,806 | (3,194 | ) | 6 | 54,240 | (6,164 | ) | 18 | ||||||||||||||||||||||||
Total securities with unrealized losses | $ | 509,788 | $ | (36,681 | ) | 245 | $ | 1,012,964 | $ | (180,014 | ) | 170 | $ | 1,522,752 | $ | (216,695 | ) | 415 | ||||||||||||||||||
HTM securities: | ||||||||||||||||||||||||||||||||||||
Federal agency | $ | - | $ | - | - | $ | 79,322 | $ | (20,678 | ) | 4 | $ | 79,322 | $ | (20,678 | ) | 4 | |||||||||||||||||||
Mortgage-backed | 91,417 | (9,096 | ) | 21 | 138,936 | (28,342 | ) | 13 | 230,353 | (37,438 | ) | 34 | ||||||||||||||||||||||||
Collateralized mortgage obligations | 191,644 | (13,863 | ) | 47 | 48,289 | (10,855 | ) | 8 | 239,933 | (24,718 | ) | 55 | ||||||||||||||||||||||||
State & municipal | 110,727 | (4,930 | ) | 149 | 82,949 | (19,315 | ) | 76 | 193,676 | (24,245 | ) | 225 | ||||||||||||||||||||||||
Total securities with unrealized losses | $ | 393,788 | $ | (27,889 | ) | 217 | $ | 349,496 | $ | (79,190 | ) | 101 | $ | 743,284 | $ | (107,079 | ) | 318 |
At December 31, | ||||||||
(In thousands) | 2023 | 2022 | ||||||
Commercial & industrial | $ | 1,354,248 | $ | 1,266,031 | ||||
Commercial real estate | 3,626,910 | 2,807,941 | ||||||
Residential real estate | 2,125,804 | 1,649,870 | ||||||
Indirect auto | 1,130,132 | 989,587 | ||||||
Residential solar | 917,755 | 856,798 | ||||||
Home equity | 337,214 | 314,124 | ||||||
Other consumer | 158,650 | 265,796 | ||||||
Total loans | $ | 9,650,713 | $ | 8,150,147 |
(In thousands) | 2023 | 2022 | ||||||
Balance at January 1 | $ | 2,516 | $ | 3,292 | ||||
New loans | 705 | 576 | ||||||
Adjustment due to change in composition of related parties | - | (37 | ) | |||||
Repayments | (2,134 | ) | (1,315 | ) | ||||
Balance at December 31 | $ | 1,087 | $ | 2,516 |
(In thousands) | Commercial Loans | Consumer Loans | Residential | Total | ||||||||||||
Balance as of January 1, 2023 (after adoption of ASU 2022-02) | $ | 34,662 | $ | 50,951 | $ | 14,539 | $ | 100,152 | ||||||||
Allowance for credit loss on PCD acquired loans | 5,300 | 19 | 453 | 5,772 | ||||||||||||
Charge-offs | (4,154 | ) | (22,107 | ) | (517 | ) | (26,778 | ) | ||||||||
Recoveries | 3,625 | 5,859 | 496 | 9,980 | ||||||||||||
Provision | 6,470 | 11,705 | 7,099 | 25,274 | ||||||||||||
Ending Balance as of December 31, 2023 | $ | 45,903 | $ | 46,427 | $ | 22,070 | $ | 114,400 | ||||||||
Balance as of December 31, 2021 | $ | 28,941 | $ | 44,253 | $ | 18,806 | $ | 92,000 | ||||||||
Charge-offs | (1,870 | ) | (16,140 | ) | (633 | ) | (18,643 | ) | ||||||||
Recoveries | 2,430 | 7,014 | 852 | 10,296 | ||||||||||||
Provision | 5,221 | 15,824 | (3,898 | ) | 17,147 | |||||||||||
Ending Balance as of December 31, 2022 | $ | 34,722 | $ | 50,951 | $ | 15,127 | $ | 100,800 | ||||||||
Balance as of December 31, 2020 | $ | 50,942 | $ | 37,803 | $ | 21,255 | $ | 110,000 | ||||||||
Charge-offs | (4,638 | ) | (14,489 | ) | (979 | ) | (20,106 | ) | ||||||||
Recoveries | 723 | 8,571 | 1,069 | 10,363 | ||||||||||||
Provision | (18,086 | ) | 12,368 | (2,539 | ) | (8,257 | ) | |||||||||
Ending Balance as of December 31, 2021 | $ | 28,941 | $ | 44,253 | $ | 18,806 | $ | 92,000 |
(In thousands) | 31-60 Days Past Due Accruing | 61-90 Days Past Due Accruing | Greater Than 90 Days Past Due Accruing | Total Past Due Accruing | Nonaccrual | Current | Recorded Total Loans | |||||||||||||||||||||
As of December 31, 2017 | ||||||||||||||||||||||||||||
Originated | ||||||||||||||||||||||||||||
Commercial Loans: | ||||||||||||||||||||||||||||
Commercial | $ | - | $ | - | $ | - | $ | - | $ | 202 | $ | 753,577 | $ | 753,779 | ||||||||||||||
Commercial Real Estate | 161 | 138 | - | 299 | 3,178 | 1,533,065 | 1,536,542 | |||||||||||||||||||||
Agricultural | 117 | - | - | 117 | 1,043 | 34,386 | 35,546 | |||||||||||||||||||||
Agricultural Real Estate | 493 | - | - | 493 | 2,736 | 30,905 | 34,134 | |||||||||||||||||||||
Business Banking | 1,907 | 597 | - | 2,504 | 5,304 | 473,147 | 480,955 | |||||||||||||||||||||
Total Commercial Loans | $ | 2,678 | $ | 735 | $ | - | $ | 3,413 | $ | 12,463 | $ | 2,825,080 | $ | 2,840,956 | ||||||||||||||
Consumer Loans: | ||||||||||||||||||||||||||||
Indirect | $ | 18,747 | $ | 4,033 | $ | 3,492 | $ | 26,272 | $ | 2,115 | $ | 1,642,664 | $ | 1,671,051 | ||||||||||||||
Home Equity | 2,887 | 854 | 341 | 4,082 | 2,736 | 448,081 | 454,899 | |||||||||||||||||||||
Direct | 341 | 108 | 70 | 519 | 35 | 64,399 | 64,953 | |||||||||||||||||||||
Total Consumer Loans | $ | 21,975 | $ | 4,995 | $ | 3,903 | $ | 30,873 | $ | 4,886 | $ | 2,155,144 | $ | 2,190,903 | ||||||||||||||
Residential Real Estate Mortgages | $ | 3,730 | $ | 667 | $ | 1,262 | $ | 5,659 | $ | 5,987 | $ | 1,139,577 | $ | 1,151,223 | ||||||||||||||
Total Originated Loans | $ | 28,383 | $ | 6,397 | $ | 5,165 | $ | 39,945 | $ | 23,336 | $ | 6,119,801 | $ | 6,183,082 | ||||||||||||||
Acquired | ||||||||||||||||||||||||||||
Commercial Loans: | ||||||||||||||||||||||||||||
Commercial | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 39,575 | $ | 39,575 | ||||||||||||||
Commercial Real Estate | - | - | - | - | 2 | 106,632 | 106,634 | |||||||||||||||||||||
Business Banking | 354 | - | - | 354 | 669 | 40,081 | 41,104 | |||||||||||||||||||||
Total Commercial Loans | $ | 354 | $ | - | $ | - | $ | 354 | $ | 671 | $ | 186,288 | $ | 187,313 | ||||||||||||||
Consumer Loans: | ||||||||||||||||||||||||||||
Indirect | $ | 38 | $ | - | $ | 1 | $ | 39 | $ | 22 | $ | 1,157 | $ | 1,218 | ||||||||||||||
Home Equity | 254 | 34 | 103 | 391 | 225 | 39,256 | 39,872 | |||||||||||||||||||||
Direct | 6 | 1 | 1 | 8 | 23 | 2,785 | 2,816 | |||||||||||||||||||||
Total Consumer Loans | $ | 298 | $ | 35 | $ | 105 | $ | 438 | $ | 270 | $ | 43,198 | $ | 43,906 | ||||||||||||||
Residential Real Estate Mortgages | $ | 627 | $ | 226 | $ | 140 | $ | 993 | $ | 1,431 | $ | 168,048 | $ | 170,472 | ||||||||||||||
Total Acquired Loans | $ | 1,279 | $ | 261 | $ | 245 | $ | 1,785 | $ | 2,372 | $ | 397,534 | $ | 401,691 | ||||||||||||||
Total Loans | $ | 29,662 | $ | 6,658 | $ | 5,410 | $ | 41,730 | $ | 25,708 | $ | 6,517,335 | $ | 6,584,773 |
(In thousands) | 31-60 Days Past Due Accruing | 61-90 Days Past Due Accruing | Greater Than 90 Days Past Due Accruing | Total Past Due Accruing | Nonaccrual | Current | Recorded Total Loans | |||||||||||||||||||||
As of December 31, 2023 | ||||||||||||||||||||||||||||
Commercial loans: | ||||||||||||||||||||||||||||
C&I | $ | 414 | $ | 33 | $ | 1 | $ | 448 | $ | 3,441 | $ | 1,393,616 | $ | 1,397,505 | ||||||||||||||
CRE | 803 | 835 | - | 1,638 | 18,126 | 3,413,984 | 3,433,748 | |||||||||||||||||||||
Total commercial loans | $ | 1,217 | $ | 868 | $ | 1 | $ | 2,086 | $ | 21,567 | $ | 4,807,600 | $ | 4,831,253 | ||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||
Auto | $ | 10,115 | $ | 2,011 | $ | 1,067 | $ | 13,193 | $ | 2,106 | $ | 1,084,143 | $ | 1,099,442 | ||||||||||||||
Residential solar | 3,074 | 1,301 | 915 | 5,290 | 245 | 912,220 | 917,755 | |||||||||||||||||||||
Other consumer | 2,343 | 1,811 | 1,124 | 5,278 | 215 | 164,867 | 170,360 | |||||||||||||||||||||
Total consumer loans | $ | 15,532 | $ | 5,123 | $ | 3,106 | $ | 23,761 | $ | 2,566 | $ | 2,161,230 | $ | 2,187,557 | ||||||||||||||
Residential | $ | 3,836 | $ | 399 | $ | 554 | $ | 4,789 | $ | 10,080 | $ | 2,617,034 | $ | 2,631,903 | ||||||||||||||
Total loans | $ | 20,585 | $ | 6,390 | $ | 3,661 | $ | 30,636 | $ | 34,213 | $ | 9,585,864 | $ | 9,650,713 |
(In thousands) | 31-60 Days Past Due Accruing | 61-90 Days Past Due Accruing | Greater Than 90 Days Past Due Accruing | Total Past Due Accruing | Nonaccrual | Current | Recorded Total Loans | |||||||||||||||||||||
As of December 31, 2022 | ||||||||||||||||||||||||||||
Commercial loans: | ||||||||||||||||||||||||||||
C&I | $ | 342 | $ | 99 | $ | 4 | $ | 445 | $ | 2,244 | $ | 1,238,468 | $ | 1,241,157 | ||||||||||||||
CRE | 336 | 96 | - | 432 | 5,780 | 2,689,196 | 2,695,408 | |||||||||||||||||||||
Total commercial loans | $ | 678 | $ | 195 | $ | 4 | $ | 877 | $ | 8,024 | $ | 3,927,664 | $ | 3,936,565 | ||||||||||||||
Consumer loans: | ||||||||||||||||||||||||||||
Auto | $ | 8,640 | $ | 1,393 | $ | 785 | $ | 10,818 | $ | 1,494 | $ | 950,389 | $ | 962,701 | ||||||||||||||
Residential solar | 2,858 | 731 | 474 | 4,063 | 79 | 852,656 | 856,798 | |||||||||||||||||||||
Other consumer | 3,483 | 1,838 | 1,789 | 7,110 | 94 | 272,384 | 279,588 | |||||||||||||||||||||
Total consumer loans | $ | 14,981 | $ | 3,962 | $ | 3,048 | $ | 21,991 | $ | 1,667 | $ | 2,075,429 | $ | 2,099,087 | ||||||||||||||
Residential | $ | 2,496 | $ | 555 | $ | 771 | $ | 3,822 | $ | 7,542 | $ | 2,103,131 | $ | 2,114,495 | ||||||||||||||
Total loans | $ | 18,155 | $ | 4,712 | $ | 3,823 | $ | 26,690 | $ | 17,233 | $ | 8,106,224 | $ | 8,150,147 |
(In thousands) | 31-60 Days Past Due Accruing | 61-90 Days Past Due Accruing | Greater Than 90 Days Past Due Accruing | Total Past Due Accruing | Nonaccrual | Current | Recorded Total Loans | |||||||||||||||||||||
As of December 31, 2016 | ||||||||||||||||||||||||||||
Originated | ||||||||||||||||||||||||||||
Commercial Loans: | ||||||||||||||||||||||||||||
Commercial | $ | 33 | $ | 5 | $ | - | $ | 38 | $ | 2,964 | $ | 650,568 | $ | 653,570 | ||||||||||||||
Commercial Real Estate | - | - | - | - | 7,935 | 1,343,854 | 1,351,789 | |||||||||||||||||||||
Agricultural | - | - | - | - | 730 | 37,186 | 37,916 | |||||||||||||||||||||
Agricultural Real Estate | - | - | - | - | 1,803 | 30,619 | 32,422 | |||||||||||||||||||||
Business Banking | 1,609 | 318 | - | 1,927 | 4,860 | 465,900 | 472,687 | |||||||||||||||||||||
Total Commercial Loans | $ | 1,642 | $ | 323 | $ | - | $ | 1,965 | $ | 18,292 | $ | 2,528,127 | $ | 2,548,384 | ||||||||||||||
Consumer Loans: | ||||||||||||||||||||||||||||
Indirect | $ | 19,253 | $ | 4,185 | $ | 2,499 | $ | 25,937 | $ | 2,145 | $ | 1,538,593 | $ | 1,566,675 | ||||||||||||||
Home Equity | 3,416 | 1,065 | 528 | 5,009 | 2,851 | 448,797 | 456,657 | |||||||||||||||||||||
Direct | 452 | 125 | 20 | 597 | 107 | 62,400 | 63,104 | |||||||||||||||||||||
Total Consumer Loans | $ | 23,121 | $ | 5,375 | $ | 3,047 | $ | 31,543 | $ | 5,103 | $ | 2,049,790 | $ | 2,086,436 | ||||||||||||||
Residential Real Estate Mortgages | $ | 2,725 | $ | 172 | $ | 1,406 | $ | 4,303 | $ | 6,682 | $ | 1,052,158 | $ | 1,063,143 | ||||||||||||||
Total Originated Loans | $ | 27,488 | $ | 5,870 | $ | 4,453 | $ | 37,811 | $ | 30,077 | $ | 5,630,075 | $ | 5,697,963 | ||||||||||||||
Acquired | ||||||||||||||||||||||||||||
Commercial Loans: | ||||||||||||||||||||||||||||
Commercial | $ | - | $ | - | $ | - | $ | - | $ | - | $ | 49,447 | $ | 49,447 | ||||||||||||||
Commercial Real Estate | - | - | - | - | 1,891 | 135,398 | 137,289 | |||||||||||||||||||||
Business Banking | 236 | - | - | 236 | 804 | 49,842 | 50,882 | |||||||||||||||||||||
Total Commercial Loans | $ | 236 | $ | - | $ | - | $ | 236 | $ | 2,695 | $ | 234,687 | $ | 237,618 | ||||||||||||||
Consumer Loans: | ||||||||||||||||||||||||||||
Indirect | $ | 100 | $ | 5 | $ | - | $ | 105 | $ | 47 | $ | 8,541 | $ | 8,693 | ||||||||||||||
Home Equity | 254 | 53 | 30 | 337 | 237 | 50,553 | 51,127 | |||||||||||||||||||||
Direct | 30 | 2 | - | 32 | 20 | 3,133 | 3,185 | |||||||||||||||||||||
Total Consumer Loans | $ | 384 | $ | 60 | $ | 30 | $ | 474 | $ | 304 | $ | 62,227 | $ | 63,005 | ||||||||||||||
Residential Real Estate Mortgages | $ | 609 | $ | 28 | $ | 327 | $ | 964 | $ | 2,636 | $ | 195,871 | $ | 199,471 | ||||||||||||||
Total Acquired Loans | $ | 1,229 | $ | 88 | $ | 357 | $ | 1,674 | $ | 5,635 | $ | 492,785 | $ | 500,094 | ||||||||||||||
Total Loans | $ | 28,717 | $ | 5,958 | $ | 4,810 | $ | 39,485 | $ | 35,712 | $ | 6,122,860 | $ | 6,198,057 |
December 31, 2017 | December 31, 2016 | |||||||||||||||||||||||
(In thousands) | Recorded Investment Balance (Book) | Unpaid Principal Balance (Legal) | Related Allowance | Recorded Investment Balance (Book) | Unpaid Principal Balance (Legal) | Related Allowance | ||||||||||||||||||
Originated | ||||||||||||||||||||||||
With no related allowance recorded: | ||||||||||||||||||||||||
Commercial Loans: | ||||||||||||||||||||||||
Commercial | $ | - | $ | 251 | $ | 1,278 | $ | 1,697 | ||||||||||||||||
Commercial Real Estate | 2,211 | 3,979 | 3,816 | 3,841 | ||||||||||||||||||||
Agricultural | 452 | 465 | 130 | 137 | ||||||||||||||||||||
Agricultural Real Estate | 2,250 | 2,423 | 1,434 | 1,567 | ||||||||||||||||||||
Business Banking | 860 | 1,730 | 655 | 728 | ||||||||||||||||||||
Total Commercial Loans | $ | 5,773 | $ | 8,848 | $ | 7,313 | $ | 7,970 | ||||||||||||||||
Consumer Loans: | ||||||||||||||||||||||||
Indirect | $ | 131 | $ | 143 | $ | 5 | $ | 16 | ||||||||||||||||
Home Equity | 8,027 | 9,966 | 8,483 | 9,429 | ||||||||||||||||||||
Direct | 274 | 274 | - | - | ||||||||||||||||||||
Total Consumer Loans | $ | 8,432 | $ | 10,383 | $ | 8,488 | $ | 9,445 | ||||||||||||||||
Residential Real Estate Mortgages | $ | 6,830 | $ | 8,780 | $ | 6,111 | $ | 6,906 | ||||||||||||||||
Total | $ | 21,035 | $ | 28,011 | $ | 21,912 | $ | 24,321 | ||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||
Commercial Loans: | ||||||||||||||||||||||||
Commercial Real Estate | $ | 76 | $ | 82 | $ | 30 | $ | 5,553 | $ | 5,736 | $ | 735 | ||||||||||||
Agricultural | 27 | 27 | 27 | 49 | 49 | 37 | ||||||||||||||||||
Agricultural Real Estate | - | - | - | 155 | 155 | 54 | ||||||||||||||||||
Total Commercial Loans | $ | 103 | $ | 109 | $ | 57 | $ | 5,757 | $ | 5,940 | $ | 826 | ||||||||||||
Acquired | ||||||||||||||||||||||||
With an allowance recorded: | ||||||||||||||||||||||||
Commercial Loans: | ||||||||||||||||||||||||
Commercial Real Estate | $ | - | $ | - | $ | - | $ | 1,205 | $ | 1,321 | $ | 691 | ||||||||||||
Total Commercial Loans | $ | - | $ | - | $ | - | $ | 1,205 | $ | 1,321 | $ | 691 | ||||||||||||
Total | $ | 21,138 | $ | 28,120 | $ | 57 | $ | 28,874 | $ | 31,582 | $ | 1,517 |
December 31, 2017 | December 31, 2016 | December 31, 2015 | ||||||||||||||||||||||
(In thousands) | Average Recorded Investment | Interest Income Recognized Accrual | Average Recorded Investment | Interest Income Recognized Accrual | Average Recorded Investment | Interest Income Recognized Accrual | ||||||||||||||||||
Originated | ||||||||||||||||||||||||
Commercial Loans: | ||||||||||||||||||||||||
Commercial | $ | 1,841 | $ | - | $ | 6,217 | $ | - | $ | 2,219 | $ | 71 | ||||||||||||
Commercial Real Estate | 3,534 | 115 | 5,828 | 167 | 8,538 | 164 | ||||||||||||||||||
Agricultural | 224 | 1 | 715 | 1 | 148 | 1 | ||||||||||||||||||
Agricultural Real Estate | 1,709 | 43 | 908 | 44 | 628 | 45 | ||||||||||||||||||
Business Banking | 875 | 12 | 830 | 9 | 960 | 21 | ||||||||||||||||||
Total Commerical Loans | $ | 8,183 | $ | 171 | $ | 14,498 | $ | 221 | $ | 12,493 | $ | 302 | ||||||||||||
Consumer Loans: | ||||||||||||||||||||||||
Indirect | $ | 35 | $ | 3 | $ | 8 | $ | - | $ | - | $ | - | ||||||||||||
Home Equity | 8,226 | 446 | 8,278 | 480 | 7,070 | 374 | ||||||||||||||||||
Direct | 178 | 8 | - | - | - | - | ||||||||||||||||||
Total Consumer Loans | $ | 8,439 | $ | 457 | $ | 8,286 | $ | 480 | $ | 7,070 | $ | 374 | ||||||||||||
Residential Real Estate Mortgages | $ | 6,523 | 296 | 6,143 | 269 | 5,128 | 219 | |||||||||||||||||
Total Originated | $ | 23,145 | $ | 924 | $ | 28,927 | $ | 970 | $ | 24,691 | $ | 895 | ||||||||||||
Acquired | ||||||||||||||||||||||||
Commercial Loans | ||||||||||||||||||||||||
Commercial | $ | - | $ | - | $ | - | $ | - | $ | 2,045 | $ | - | ||||||||||||
Commercial Real Estate | 93 | - | 1,205 | - | 5,734 | - | ||||||||||||||||||
Total Commerical Loans | $ | 93 | $ | - | $ | 1,205 | $ | - | $ | 7,779 | $ | - | ||||||||||||
Total Acquired | $ | 93 | $ | - | $ | 1,205 | $ | - | $ | 7,779 | $ | - | ||||||||||||
Total | $ | 23,238 | $ | 924 | $ | 30,132 | $ | 970 | $ | 32,470 | $ | 895 |
Doubtful |
Substandard |
Pass |
Nonperforming |
Performing |
(In thousands) | December 31, 2017 | |||||||||||||||||||
Originated | ||||||||||||||||||||
Commercial Credit Exposure | ||||||||||||||||||||
By Internally Assigned Grade: | Commercial | Commercial Real Estate | Agricultural | Agricultural Real Estate | Total | |||||||||||||||
Pass | $ | 708,567 | $ | 1,481,926 | $ | 31,142 | $ | 23,381 | $ | 2,245,016 | ||||||||||
Special Mention | 30,337 | 28,264 | 2,294 | 2,441 | 63,336 | |||||||||||||||
Substandard | 14,875 | 26,352 | 2,110 | 8,312 | 51,649 | |||||||||||||||
Total | $ | 753,779 | $ | 1,536,542 | $ | 35,546 | $ | 34,134 | $ | 2,360,001 |
(In thousands) | 2023 | 2022 | 2021 | 2020 | 2019 | Prior | Revolving Loans Amortized Cost Basis | Revolving Loans Converted to Term | Total | |||||||||||||||||||||||||||
As of December 31, 2023 | ||||||||||||||||||||||||||||||||||||
C&I | ||||||||||||||||||||||||||||||||||||
By internally assigned grade: | ||||||||||||||||||||||||||||||||||||
Pass | $ | 229,249 | $ | 270,796 | $ | 241,993 | $ | 158,051 | $ | 74,469 | $ | 63,826 | $ | 299,248 | $ | 2,923 | $ | 1,340,555 | ||||||||||||||||||
Special mention | 420 | 1,672 | 277 | 3,524 | 87 | 1,854 | 19,489 | - | 27,323 | |||||||||||||||||||||||||||
Substandard | 1,496 | 2,461 | 1,609 | 282 | 2,266 | 5,632 | 14,266 | 1,607 | 29,619 | |||||||||||||||||||||||||||
Doubtful | - | 1 | 2 | - | 4 | 1 | - | - | 8 | |||||||||||||||||||||||||||
Total C&I | $ | 231,165 | $ | 274,930 | $ | 243,881 | $ | 161,857 | $ | 76,826 | $ | 71,313 | $ | 333,003 | $ | 4,530 | $ | 1,397,505 | ||||||||||||||||||
Current-period gross charge-offs | $ | (24 | ) | $ | (3,021 | ) | $ | (5 | ) | $ | (86 | ) | $ | - | $ | (600 | ) | $ | - | $ | - | $ | (3,736 | ) | ||||||||||||
CRE | ||||||||||||||||||||||||||||||||||||
By internally assigned grade: | ||||||||||||||||||||||||||||||||||||
Pass | $ | 353,161 | $ | 518,201 | $ | 561,897 | $ | 452,110 | $ | 327,804 | $ | 739,189 | $ | 294,039 | $ | 33,705 | $ | 3,280,106 | ||||||||||||||||||
Special mention | 3,577 | 4,472 | 10,711 | 7,055 | 9,967 | 39,460 | 2,970 | - | 78,212 | |||||||||||||||||||||||||||
Substandard | 370 | 731 | 21,807 | 1,146 | 2,996 | 37,418 | 10,962 | - | 75,430 | |||||||||||||||||||||||||||
Total CRE | $ | 357,108 | $ | 523,404 | $ | 594,415 | $ | 460,311 | $ | 340,767 | $ | 816,067 | $ | 307,971 | $ | 33,705 | $ | 3,433,748 | ||||||||||||||||||
Current-period gross charge-offs | $ | - | $ | - | $ | - | $ | - | $ | (114 | ) | $ | (304 | ) | $ | - | $ | - | $ | (418 | ) | |||||||||||||||
Auto | ||||||||||||||||||||||||||||||||||||
By payment activity: | ||||||||||||||||||||||||||||||||||||
Performing | $ | 474,369 | $ | 363,516 | $ | 157,251 | $ | 42,644 | $ | 45,406 | $ | 13,071 | $ | 12 | $ | - | $ | 1,096,269 | ||||||||||||||||||
Nonperforming | 532 | 1,241 | 830 | 190 | 306 | 74 | - | - | 3,173 | |||||||||||||||||||||||||||
Total auto | $ | 474,901 | $ | 364,757 | $ | 158,081 | $ | 42,834 | $ | 45,712 | $ | 13,145 | $ | 12 | $ | - | $ | 1,099,442 | ||||||||||||||||||
Current-period gross charge-offs | $ | (102 | ) | $ | (1,183 | ) | $ | (1,066 | ) | $ | (340 | ) | $ | (301 | ) | $ | (295 | ) | $ | - | $ | - | $ | (3,287 | ) | |||||||||||
Residential solar | ||||||||||||||||||||||||||||||||||||
By payment activity: | ||||||||||||||||||||||||||||||||||||
Performing | $ | 155,425 | $ | 430,855 | $ | 178,839 | $ | 65,382 | $ | 46,554 | $ | 39,540 | $ | - | $ | - | $ | 916,595 | ||||||||||||||||||
Nonperforming | - | 837 | 205 | 18 | 47 | 53 | - | - | 1,160 | |||||||||||||||||||||||||||
Total residential solar | $ | 155,425 | $ | 431,692 | $ | 179,044 | $ | 65,400 | $ | 46,601 | $ | 39,593 | $ | - | $ | - | $ | 917,755 | ||||||||||||||||||
Current-period gross charge-offs | $ | (150 | ) | $ | (1,930 | ) | $ | (923 | ) | $ | (45 | ) | $ | (558 | ) | $ | (345 | ) | $ | - | $ | - | $ | (3,951 | ) | |||||||||||
Other consumer | ||||||||||||||||||||||||||||||||||||
By payment activity: | ||||||||||||||||||||||||||||||||||||
Performing | $ | 13,089 | $ | 27,394 | $ | 57,876 | $ | 21,087 | $ | 14,548 | $ | 15,964 | $ | 19,042 | $ | 21 | $ | 169,021 | ||||||||||||||||||
Nonperforming | - | 244 | 685 | 144 | 56 | 161 | 4 | 45 | 1,339 | |||||||||||||||||||||||||||
Total other consumer | $ | 13,089 | $ | 27,638 | $ | 58,561 | $ | 21,231 | $ | 14,604 | $ | 16,125 | $ | 19,046 | $ | 66 | $ | 170,360 | ||||||||||||||||||
Current-period gross charge-offs | $ | (885 | ) | $ | (3,744 | ) | $ | (7,511 | ) | $ | (1,329 | ) | $ | (832 | ) | $ | (568 | ) | $ | - | $ | - | $ | (14,869 | ) | |||||||||||
Residential | ||||||||||||||||||||||||||||||||||||
By payment activity: | ||||||||||||||||||||||||||||||||||||
Performing | $ | 212,799 | $ | 366,860 | $ | 453,206 | $ | 267,845 | $ | 167,860 | $ | 876,563 | $ | 260,836 | $ | 15,300 | $ | 2,621,269 | ||||||||||||||||||
Nonperforming | 134 | 430 | 1,121 | 385 | 591 | 7,460 | - | 513 | 10,634 | |||||||||||||||||||||||||||
Total residential | $ | 212,933 | $ | 367,290 | $ | 454,327 | $ | 268,230 | $ | 168,451 | $ | 884,023 | $ | 260,836 | $ | 15,813 | $ | 2,631,903 | ||||||||||||||||||
Current-period gross charge-offs | $ | - | $ | - | $ | (81 | ) | $ | (30 | ) | $ | - | $ | (406 | ) | $ | - | $ | - | $ | (517 | ) | ||||||||||||||
Total loans | $ | 1,444,621 | $ | 1,989,711 | $ | 1,688,309 | $ | 1,019,863 | $ | 692,961 | $ | 1,840,266 | $ | 920,868 | $ | 54,114 | $ | 9,650,713 | ||||||||||||||||||
Current-period gross charge-offs | $ | (1,161 | ) | $ | (9,878 | ) | $ | (9,586 | ) | $ | (1,830 | ) | $ | (1,805 | ) | $ | (2,518 | ) | $ | - | $ | - | $ | (26,778 | ) |
Business Banking Credit Exposure | ||||||||
By Internally Assigned Grade: | Business Banking | Total | ||||||
Non-classified | $ | 468,898 | $ | 468,898 | ||||
Classified | 12,057 | 12,057 | ||||||
Total | $ | 480,955 | $ | 480,955 |
Consumer Credit Exposure | ||||||||||||||||
By Payment Activity: | Indirect | Home Equity | Direct | Total | ||||||||||||
Performing | $ | 1,665,444 | $ | 451,822 | $ | 64,848 | $ | 2,182,114 | ||||||||
Nonperforming | 5,607 | 3,077 | 105 | 8,789 | ||||||||||||
Total | $ | 1,671,051 | $ | 454,899 | $ | 64,953 | $ | 2,190,903 |
Residential Mortgage Credit Exposure | ||||||||
By Payment Activity: | Residential Mortgage | Total | ||||||
Performing | $ | 1,143,974 | $ | 1,143,974 | ||||
Nonperforming | 7,249 | 7,249 | ||||||
Total | $ | 1,151,223 | $ | 1,151,223 |
(In thousands) | 2022 | 2021 | 2020 | 2019 | 2018 | Prior | Revolving Loans Amortized Cost Basis | Revolving Loans Converted to Term | Total | |||||||||||||||||||||||||||
As of December 31, 2022 | ||||||||||||||||||||||||||||||||||||
C&I | ||||||||||||||||||||||||||||||||||||
By internally assigned grade: | ||||||||||||||||||||||||||||||||||||
Pass | $ | 296,562 | $ | 252,480 | $ | 164,976 | $ | 91,497 | $ | 39,394 | $ | 32,413 | $ | 327,166 | $ | 3,133 | $ | 1,207,621 | ||||||||||||||||||
Special mention | 1,044 | 524 | 4,531 | 194 | 1,108 | 417 | 5,234 | - | 13,052 | |||||||||||||||||||||||||||
Substandard | 76 | 459 | 231 | 3,098 | 91 | 3,969 | 12,348 | 163 | 20,435 | |||||||||||||||||||||||||||
Doubtful | - | 20 | - | 28 | - | 1 | - | - | 49 | |||||||||||||||||||||||||||
Total C&I | $ | 297,682 | $ | 253,483 | $ | 169,738 | $ | 94,817 | $ | 40,593 | $ | 36,800 | $ | 344,748 | $ | 3,296 | $ | 1,241,157 | ||||||||||||||||||
CRE | ||||||||||||||||||||||||||||||||||||
By internally assigned grade: | ||||||||||||||||||||||||||||||||||||
Pass | $ | 374,313 | $ | 465,990 | $ | 439,012 | $ | 333,568 | $ | 217,141 | $ | 566,783 | $ | 201,563 | $ | 24,735 | $ | 2,623,105 | ||||||||||||||||||
Special mention | 605 | 764 | 868 | 2,641 | 4,649 | 24,023 | 850 | - | 34,400 | |||||||||||||||||||||||||||
Substandard | 309 | - | 2,316 | 3,937 | 1,822 | 23,819 | 713 | 4,987 | 37,903 | |||||||||||||||||||||||||||
Total CRE | $ | 375,227 | $ | 466,754 | $ | 442,196 | $ | 340,146 | $ | 223,612 | $ | 614,625 | $ | 203,126 | $ | 29,722 | $ | 2,695,408 | ||||||||||||||||||
Auto | ||||||||||||||||||||||||||||||||||||
By payment activity: | ||||||||||||||||||||||||||||||||||||
Performing | $ | 488,776 | $ | 239,090 | $ | 75,853 | $ | 99,615 | $ | 44,061 | $ | 13,027 | $ | - | $ | - | $ | 960,422 | ||||||||||||||||||
Nonperforming | 590 | 655 | 404 | 385 | 216 | 29 | - | - | 2,279 | |||||||||||||||||||||||||||
Total auto | $ | 489,366 | $ | 239,745 | $ | 76,257 | $ | 100,000 | $ | 44,277 | $ | 13,056 | $ | - | $ | - | $ | 962,701 | ||||||||||||||||||
Residential solar | ||||||||||||||||||||||||||||||||||||
By payment activity: | ||||||||||||||||||||||||||||||||||||
Performing | $ | 485,942 | $ | 193,971 | $ | 74,532 | $ | 54,662 | $ | 36,119 | $ | 11,019 | $ | - | $ | - | $ | 856,245 | ||||||||||||||||||
Nonperforming | 320 | 98 | 50 | 25 | 16 | 44 | - | - | 553 | |||||||||||||||||||||||||||
Total residential solar | $ | 486,262 | $ | 194,069 | $ | 74,582 | $ | 54,687 | $ | 36,135 | $ | 11,063 | $ | - | $ | - | $ | 856,798 | ||||||||||||||||||
Other consumer | ||||||||||||||||||||||||||||||||||||
By payment activity: | ||||||||||||||||||||||||||||||||||||
Performing | $ | 52,545 | $ | 110,624 | $ | 36,412 | $ | 27,383 | $ | 15,536 | $ | 15,735 | $ | 19,218 | $ | 250 | $ | 277,703 | ||||||||||||||||||
Nonperforming | 238 | 838 | 395 | 247 | 57 | 87 | 8 | 15 | 1,885 | |||||||||||||||||||||||||||
Total other consumer | $ | 52,783 | $ | 111,462 | $ | 36,807 | $ | 27,630 | $ | 15,593 | $ | 15,822 | $ | 19,226 | $ | 265 | $ | 279,588 | ||||||||||||||||||
Residential | ||||||||||||||||||||||||||||||||||||
By payment activity: | ||||||||||||||||||||||||||||||||||||
Performing | $ | 251,012 | $ | 349,498 | $ | 212,161 | $ | 156,957 | $ | 157,755 | $ | 717,621 | $ | 233,056 | $ | 28,122 | $ | 2,106,182 | ||||||||||||||||||
Nonperforming | 267 | 384 | 408 | 555 | 1,028 | 5,651 | - | 20 | 8,313 | |||||||||||||||||||||||||||
Total residential | $ | 251,279 | $ | 349,882 | $ | 212,569 | $ | 157,512 | $ | 158,783 | $ | 723,272 | $ | 233,056 | $ | 28,142 | $ | 2,114,495 | ||||||||||||||||||
Total loans | $ | 1,952,599 | $ | 1,615,395 | $ | 1,012,149 | $ | 774,792 | $ | 518,993 | $ | 1,414,638 | $ | 800,156 | $ | 61,425 | $ | 8,150,147 |
Acquired | ||||||||||||
Commercial Credit Exposure | ||||||||||||
By Internally Assigned Grade: | Commercial | Commercial Real Estate | Total | |||||||||
Pass | $ | 37,825 | $ | 103,248 | $ | 141,073 | ||||||
Special Mention | 425 | 498 | 923 | |||||||||
Substandard | 1,325 | 2,888 | 4,213 | |||||||||
Total | $ | 39,575 | $ | 106,634 | $ | 146,209 |
Business Banking Credit Exposure | ||||||||
By Internally Assigned Grade: | Business Banking | Total | ||||||
Non-classified | $ | 38,236 | $ | 38,236 | ||||
Classified | 2,868 | 2,868 | ||||||
Total | $ | 41,104 | $ | 41,104 |
Consumer Credit Exposure | ||||||||||||||||
By Payment Activity: | Indirect | Home E quity | Direct | Total | ||||||||||||
Performing | $ | 1,195 | $ | 39,544 | $ | 2,792 | $ | 43,531 | ||||||||
Nonperforming | 23 | 328 | 24 | 375 | ||||||||||||
Total | $ | 1,218 | $ | 39,872 | $ | 2,816 | $ | 43,906 |
Residential Mortgage Credit Exposure | ||||||||
By Payment Activity: | Residential Mortgage | Total | ||||||
Performing | $ | 168,901 | $ | 168,901 | ||||
Nonperforming | 1,571 | 1,571 | ||||||
Total | $ | 170,472 | $ | 170,472 |
(In thousands) | December 31, 2016 | |||||||||||||||||||
Originated | ||||||||||||||||||||
Commercial Credit Exposure | ||||||||||||||||||||
By Internally Assigned Grade: | Commercial | Commercial Real Estate | Agricultural | Agricultural Real Estate | Total | |||||||||||||||
Pass | $ | 616,829 | $ | 1,288,409 | $ | 36,762 | $ | 28,912 | $ | 1,970,912 | ||||||||||
Special Mention | 7,750 | 31,053 | 25 | 1,896 | 40,724 | |||||||||||||||
Substandard | 28,991 | 32,327 | 1,124 | 1,614 | 64,056 | |||||||||||||||
Doubtful | - | - | 5 | - | 5 | |||||||||||||||
Total | $ | 653,570 | $ | 1,351,789 | $ | 37,916 | $ | 32,422 | $ | 2,075,697 |
Business Banking Credit Exposure | ||||||||
By Internally Assigned Grade: | Business Banking | Total | ||||||
Non-classified | $ | 458,864 | $ | 458,864 | ||||
Classified | 13,823 | 13,823 | ||||||
Total | $ | 472,687 | $ | 472,687 |
Consumer Credit Exposure | ||||||||||||||||
By Payment Activity: | Indirect | Home Equity | Direct | Total | ||||||||||||
Performing | $ | 1,562,031 | $ | 453,278 | $ | 62,977 | $ | 2,078,286 | ||||||||
Nonperforming | 4,644 | 3,379 | 127 | 8,150 | ||||||||||||
Total | $ | 1,566,675 | $ | 456,657 | $ | 63,104 | $ | 2,086,436 |
Residential Mortgage Credit Exposure | ||||||||
By Payment Activity: | Residential Mortgage | Total | ||||||
Performing | $ | 1,055,055 | $ | 1,055,055 | ||||
Nonperforming | 8,088 | 8,088 | ||||||
Total | $ | 1,063,143 | $ | 1,063,143 |
Acquired | ||||||||||||
Commercial Credit Exposure | ||||||||||||
By Internally Assigned Grade: | Commercial | Commercial Real Estate | Total | |||||||||
Pass | $ | 48,194 | $ | 127,660 | $ | 175,854 | ||||||
Special Mention | 76 | 1,231 | 1,307 | |||||||||
Substandard | 1,177 | 7,193 | 8,370 | |||||||||
Doubtful | - | 1,205 | 1,205 | |||||||||
Total | $ | 49,447 | $ | 137,289 | $ | 186,736 |
Business Banking Credit Exposure | ||||||||
By Internally Assigned Grade: | Business Banking | Total | ||||||
Non-classified | $ | 47,347 | $ | 47,347 | ||||
Classified | 3,535 | 3,535 | ||||||
Total | $ | 50,882 | $ | 50,882 |
Consumer Credit Exposure | ||||||||||||||||
By Payment Activity: | Indirect | Home Equity | Direct | Total | ||||||||||||
Performing | $ | 8,646 | $ | 50,860 | $ | 3,165 | $ | 62,671 | ||||||||
Nonperforming | 47 | 267 | 20 | 334 | ||||||||||||
Total | $ | 8,693 | $ | 51,127 | $ | 3,185 | $ | 63,005 |
Residential Mortgage Credit Exposure | ||||||||
By Payment Activity: | Residential Mortgage | Total | ||||||
Performing | $ | 196,508 | $ | 196,508 | ||||
Nonperforming | 2,963 | 2,963 | ||||||
Total | $ | 199,471 | $ | 199,471 |
Year Ended December 31, 2023 | ||||||||||||||||||||||||
Interest Rate Reduction | Term Extension | Combination - Term Extension and Interest Rate Reduction | ||||||||||||||||||||||
(Dollars in thousands) | Amortized Cost | % of Total Class of Financing Receivables | Amortized Cost | % of Total Class of Financing Receivables | Amortized Cost | % of Total Class of Financing Receivables | ||||||||||||||||||
Residential | $ | 174 | 0.007 | % | $ | 311 | 0.012 | % | $ | 160 | 0.006 | % | ||||||||||||
Total | $ | 174 | $ | 311 | $ | 160 |
Year Ended December 31, 2023 | ||||
Loan Type | Term Extension | Interest Rate Reduction | ||
Residential | Added a weighted-average 12 years to the life of loans, which reduced monthly payment amounts for the borrowers. | Interest rates were reduced by an average of one and a half percent |
Year Ended December 31, 2023 | ||||||||
Amortized Cost Basis of Modified Financing Receivables that Subsequently Defaulted | ||||||||
(In thousands) | Interest Rate Reduction | Term Extension | ||||||
Residential | $ | 31 | $ | 124 | ||||
Total | $ | 31 | $ | 124 |
Payment Status (Amortized Cost Basis) | ||||||||||||||||
(In thousands) | Current | 31-60 Days Past Due | 61-90 Days Past Due | Greater than 90 Days Past Due | ||||||||||||
Year Ended December 31, 2023 | ||||||||||||||||
Residential | $ | 490 | $ | 124 | $ | - | $ | 31 | ||||||||
Total | $ | 490 | $ | 124 | $ | - | $ | 31 |
Year ended December 31, 2017 | ||||||||||||
(In thousands) | Number of Contracts | Pre- Modification Outstanding Recorded Investment | Post- Modification Outstanding Recorded Investment | |||||||||
Commercial Loans: | ||||||||||||
Commercial | 1 | $ | 3,300 | $ | 3,239 | |||||||
Business Banking | 3 | 385 | 381 | |||||||||
Total Commercial Loans | 4 | $ | 3,685 | $ | 3,620 | |||||||
Consumer Loans: | ||||||||||||
Indirect | 8 | $ | 145 | $ | 143 | |||||||
Home Equity | 13 | 552 | 600 | |||||||||
Direct | 2 | 279 | 279 | |||||||||
Total Consumer Loans | 23 | $ | 976 | $ | 1,022 | |||||||
Residential Real Estate Mortgages | 15 | $ | 1,454 | $ | 1,474 | |||||||
Total Troubled Debt Restructurings | 42 | $ | 6,115 | $ | 6,116 |
Year Ended December 31, 2022 | ||||||||||||
(Dollars in thousands) | Number of Contracts | Pre- Modification Outstanding Recorded Investment | Post- Modification Outstanding Recorded Investment | |||||||||
Residential | 10 | $ | 829 | $ | 928 | |||||||
Total TDRs | 10 | $ | 829 | $ | 928 |
Year ended December 31, 2016 | ||||||||||||
(In thousands) | Number of contracts | Pre- Modification Outstanding Recorded Investment | Post- Modification Outstanding Recorded Investment | |||||||||
Consumer Loans: | ||||||||||||
Home Equity | 28 | $ | 1,886 | $ | 1,743 | |||||||
Total Consumer Loans | 28 | $ | 1,886 | $ | 1,743 | |||||||
Residential Real Estate Mortgages | 13 | $ | 1,084 | $ | 843 | |||||||
Total Troubled Debt Restructurings | 41 | $ | 2,970 | $ | 2,586 |
Year ended December 31, 2017 | Year ended December 31, 2016 | |||||||||||||||
(In thousands) | Number of contracts | Recorded Investment | Number of contracts | Recorded Investment | ||||||||||||
Commercial Loans: | ||||||||||||||||
Commercial | 1 | $ | 145 | 1 | $ | 169 | ||||||||||
Commercial Real Estate | - | - | 1 | 1,573 | ||||||||||||
Business Banking | 1 | 329 | 1 | 67 | ||||||||||||
Total Commercial Loans | 2 | $ | 474 | 3 | $ | 1,809 | ||||||||||
Consumer Loans: | ||||||||||||||||
Indirect | 2 | $ | 19 | - | $ | - | ||||||||||
Home Equity | 34 | 1,720 | 34 | 1,770 | ||||||||||||
Total Consumer Loans | 36 | $ | 1,739 | 34 | $ | 1,770 | ||||||||||
Residential Real Estate Mortgages | 19 | $ | 1,302 | 16 | $ | 1,109 | ||||||||||
Total Troubled Debt Restructurings | 57 | $ | 3,515 | 53 | $ | 4,688 |
Year Ended December 31, 2022 | Year Ended December 31, 2021 | |||||||||||||||
(Dollars in thousands) | Number of Contracts | Recorded Investment | Number of Contracts | Recorded Investment | ||||||||||||
Commercial loans: | ||||||||||||||||
C&I | 1 | $ | 320 | - | $ | - | ||||||||||
Total commercial loans | 1 | $ | 320 | - | $ | - | ||||||||||
Consumer loans: | ||||||||||||||||
Auto | 2 | $ | 20 | 3 | $ | 36 | ||||||||||
Total consumer loans | 2 | $ | 20 | 3 | $ | 36 | ||||||||||
Residential | 50 | $ | 3,387 | 49 | $ | 2,830 | ||||||||||
Total TDRs | 53 | $ | 3,727 | 52 | $ | 2,866 |
December 31, | December 31, | |||||||||||||||
(In thousands) | 2017 | 2016 | 2023 | 2022 | ||||||||||||
Land, buildings and improvements | $ | 121,771 | $ | 121,037 | $ | 146,564 | $ | 121,156 | ||||||||
Equipment | 57,080 | 56,243 | ||||||||||||||
Furniture and equipment | 96,928 | 68,653 | ||||||||||||||
Premises and equipment before accumulated depreciation | $ | 178,851 | $ | 177,280 | $ | 243,492 | $ | 189,809 | ||||||||
Accumulated depreciation | 97,546 | 93,093 | (162,817 | ) | (120,762 | ) | ||||||||||
Total premises and equipment | $ | 81,305 | $ | 84,187 | $ | 80,675 | $ | 69,047 |
December 31, | ||||||||
(In thousands) | 2023 | 2022 | ||||||
Operating lease cost | $ | 6,843 | $ | 6,643 | ||||
Variable lease cost | 2,457 | 2,041 | ||||||
Short-term lease cost | 415 | 297 | ||||||
Sublease income | (286 | ) | (266 | ) | ||||
Total operating lease cost | $ | 9,429 | $ | 8,715 |
(In thousands) | ||||
2024 | $ | 7,102 | ||
2025 | 5,778 | |||
2026 | 4,856 | |||
2027 | 4,065 | |||
2028 | 2,739 | |||
Thereafter | 7,528 | |||
Total lease payments | $ | 32,068 | ||
Less: interest | (3,842 | ) | ||
Present value of lease liabilities | $ | 28,226 |
December 31, | ||||||||
(In thousands except for percent and period data) | 2023 | 2022 | ||||||
Weighted average remaining lease term, in years | 6.55 | 6.42 | ||||||
Weighted average discount rate | 3.68 | % | 3.10 | % | ||||
Cash paid for amounts included in the measurement of lease liabilities: | ||||||||
Operating cash flows from operating leases | $ | 6,138 | $ | 8,371 | ||||
ROU assets obtained in exchange for lease liabilities | 8,797 | 7,377 |
(In thousands) | December 31, 2017 | |||
2018 | $ | 7,910 | ||
2019 | 7,227 | |||
2020 | 6,547 | |||
2021 | 5,352 | |||
2022 | 4,646 | |||
Thereafter | 16,660 | |||
Total | $ | 48,342 |
(In thousands) | ||||
January 1, 2017 | $ | 265,439 | ||
Goodwill Acquired | 2,604 | |||
December 31, 2017 | $ | 268,043 | ||
January 1, 2016 | $ | 265,957 | ||
Goodwill Acquired | 2,047 | |||
Goodwill Adjustments | (2,565 | ) | ||
December 31, 2016 | $ | 265,439 |
(In thousands) | ||||
January 1, 2023 | $ | 281,204 | ||
Goodwill acquired | 80,647 | |||
December 31, 2023 | $ | 361,851 | ||
January 1, 2022 | $ | 280,541 | ||
Goodwill acquired | 663 | |||
December 31, 2022 | $ | 281,204 |
December 31, | December 31, | |||||||||||||||
(In thousands) | 2017 | 2016 | 2023 | 2022 | ||||||||||||
Core deposit intangibles: | ||||||||||||||||
Gross carrying amount | $ | 8,975 | $ | 8,975 | $ | 31,188 | $ | 6,161 | ||||||||
Less: accumulated amortization | 6,581 | 5,626 | 2,363 | 6,133 | ||||||||||||
Net carrying amount | $ | 2,394 | $ | 3,349 | $ | 28,825 | $ | 28 | ||||||||
Identified intangible assets: | ||||||||||||||||
Gross carrying amount | $ | 33,632 | $ | 32,338 | $ | 31,826 | $ | 25,179 | ||||||||
Less: accumulated amortization | 22,606 | 19,872 | 20,208 | 17,866 | ||||||||||||
Net carrying amount | $ | 11,026 | $ | 12,466 | $ | 11,618 | $ | 7,313 | ||||||||
Total intangibles: | ||||||||||||||||
Gross carrying amount | $ | 42,607 | $ | 41,313 | $ | 63,014 | $ | 31,340 | ||||||||
Less: accumulated amortization | 29,187 | 25,498 | 22,571 | 23,999 | ||||||||||||
Net carrying amount | $ | 13,420 | $ | 15,815 | $ | 40,443 | $ | 7,341 |
(In thousands) | December 31, 2017 | December 31, 2023 | ||||||
Within one year | $ | 394,674 | $ | 1,206,689 | ||||
After one but within two years | 259,710 | 57,989 | ||||||
After two but within three years | 62,536 | 32,950 | ||||||
After three but within four years | 40,151 | 19,217 | ||||||
After four but within five years | 28,525 | 7,209 | ||||||
After five years | 21,170 | 655 | ||||||
Total | $ | 806,766 | $ | 1,324,709 |
10. Borrowings |
December 31, | ||||||||||||||||||||||||
(Dollars in thousands) | 2017 | 2016 | 2015 | 2023 | 2022 | 2021 | ||||||||||||||||||
Federal funds purchased: | ||||||||||||||||||||||||
Balance at year-end | $ | 60,000 | $ | 50,000 | $ | 99,500 | $ | - | $ | 60,000 | $ | - | ||||||||||||
Average during the year | 54,162 | 65,257 | 97,424 | 24,575 | 14,644 | 17 | ||||||||||||||||||
Maximum month end balance | 80,000 | 85,000 | 159,000 | 60,000 | 80,000 | - | ||||||||||||||||||
Weighted average rate during the year | 2.16 | % | 0.98 | % | 0.36 | % | 5.16 | % | 4.02 | % | 0.11 | % | ||||||||||||
Weighted average rate at year-end | 2.41 | % | 1.19 | % | 0.51 | % | 5.63 | % | 4.28 | % | - | |||||||||||||
Securities sold under repurchase agreements: | ||||||||||||||||||||||||
Balance at year-end | $ | 182,123 | $ | 173,703 | $ | 167,981 | $ | 93,651 | $ | 86,012 | $ | 97,795 | ||||||||||||
Average during the year | 175,539 | 168,821 | 162,201 | 70,251 | 69,561 | 100,519 | ||||||||||||||||||
Maximum month end balance | 190,326 | 189,875 | 178,326 | 96,195 | 88,637 | 135,623 | ||||||||||||||||||
Weighted average rate during the year | 0.07 | % | 0.06 | % | 0.06 | % | 1.06 | % | 0.10 | % | 0.13 | % | ||||||||||||
Weighted average rate at year-end | 0.07 | % | 0.07 | % | 0.06 | % | 1.49 | % | 0.11 | % | 0.11 | % | ||||||||||||
Other short-term borrowings: | ||||||||||||||||||||||||
Balance at year-end | $ | 477,000 | $ | 458,000 | $ | 175,000 | $ | 293,000 | $ | 439,000 | $ | - | ||||||||||||
Average during the year | 460,334 | 263,575 | 80,260 | 450,377 | 46,371 | 1,302 | ||||||||||||||||||
Maximum month end balance | 591,000 | 424,000 | 175,000 | 593,000 | 439,000 | - | ||||||||||||||||||
Weighted average rate during the year | 1.02 | % | 0.59 | % | 0.42 | % | 5.24 | % | 4.24 | % | 2.02 | % | ||||||||||||
Weighted average rate at year-end | 1.18 | % | 0.70 | % | 0.56 | % | 5.28 | % | 4.45 | % | - |
(Dollars in thousands) | December 31, 2017 | December 31, 2016 | ||||||||||||||||||||||||||||||
Maturity | Amount | Weighted Average Rate | Callable Amount | Weighted Average Rate | Amount | Weighted Average Rate | Callable Amount | Weighted Average Rate | ||||||||||||||||||||||||
2017 | $ | - | - | $ | - | - | $ | 40,150 | 2.67 | % | $ | 25,000 | 3.48 | % | ||||||||||||||||||
2018 | 40,037 | 2.57 | % | 25,000 | 3.15 | % | 40,000 | 2.57 | % | 25,000 | 3.15 | % | ||||||||||||||||||||
2019 | 20,000 | 1.96 | % | - | - | 20,000 | 1.96 | % | - | - | ||||||||||||||||||||||
2020 | 25,000 | 2.34 | % | - | - | - | - | - | - | |||||||||||||||||||||||
2021 | 56 | 4.00 | % | - | - | 72 | 4.00 | % | - | - | ||||||||||||||||||||||
2031 | 3,776 | 2.45 | % | - | - | 3,865 | 2.45 | % | - | - | ||||||||||||||||||||||
Total | $ | 88,869 | $ | 25,000 | $ | 104,087 | $ | 50,000 |
(Dollars in thousands) | December 31, 2023 | December 31, 2022 | ||||||||||||||
Maturity | Amount | Weighted Average Rate | Amount | Weighted Average Rate | ||||||||||||
2025 | $ | 26,603 | 4.35 | % | $ | 1,519 | 4.39 | % | ||||||||
2031 | 3,193 | 2.45 | % | 3,296 | 2.45 | % | ||||||||||
Total | $ | 29,796 | $ | 4,815 |
(Dollars in thousands) | December 31, 2023 | December 31, 2022 | ||||||
Subordinated notes issued June 2020 - fixed interest rate of 5.00% through June 2025 and a variable interest rate equivalent to three-month SOFR plus 4.85% thereafter, maturing July 1, 2030 | $ | 98,000 | $ | 98,000 | ||||
Subordinated notes issued March 2021 and acquired August 2023 - fixed interest rate of 3.50% through June 2026 and a variable interest rate equivalent to three-month SOFR plus 2.80% thereafter, maturing March 31, 2031 | 25,000 | - | ||||||
Subtotal subordinated notes | $ | 123,000 | $ | 98,000 | ||||
Unamortized debt issuance costs and unamortized fair value discount | (3,256 | ) | (1,073 | ) | ||||
Total subordinated debt, net | $ | 119,744 | $ | 96,927 |
Description | Issuance Date | Trust Preferred Securities Outstanding | Interest Rate | Trust Preferred Debt Owed To Trust | Final Maturity Date | Issuance Date | Trust Preferred Securities Outstanding | Interest Rate | Trust Preferred Debt Owed To Trust | Final Maturity Date | ||||||||||||
CNBF Capital Trust I | August 1999 | $ | 18,000 | 3-month LIBOR plus 2.75% | $ | 18,720 | August 2029 | August 1999 | $ | 18,000 | 3-month Term SOFR + 0.26161% plus 2.75% | $ | 18,720 | August 2029 | ||||||||
NBT Statutory Trust I | November 2005 | 5,000 | 3-month LIBOR plus 1.40% | 5,155 | December 2035 | November 2005 | 5,000 | 3-month Term SOFR + 0.26161% plus 1.40% | 5,155 | December 2035 | ||||||||||||
NBT Statutory Trust II | February 2006 | 50,000 | 3-month LIBOR plus 1.40% | 51,547 | March 2036 | February 2006 | 50,000 | 3-month Term SOFR + 0.26161% plus 1.40% | 51,547 | March 2036 | ||||||||||||
Alliance Financial Capital Trust I | December 2003 | 10,000 | 3-month LIBOR plus 2.85% | 10,310 | January 2034 | December 2003 | 10,000 | 3-month Term SOFR + 0.26161% plus 2.85% | 10,310 | January 2034 | ||||||||||||
Alliance Financial Capital Trust II | September 2006 | 15,000 | 3-month LIBOR plus 1.65% | 15,464 | September 2036 | September 2006 | 15,000 | 3-month Term SOFR + 0.26161% plus 1.65% | 15,464 | September 2036 |
11. Income Taxes |
Years ended December 31, | Years Ended December 31, | |||||||||||||||||||||||
(In thousands) | 2017 | 2016 | 2015 | 2023 | 2022 | 2021 | ||||||||||||||||||
Current: | ||||||||||||||||||||||||
Current | ||||||||||||||||||||||||
Federal | $ | 35,839 | $ | 30,492 | $ | 32,871 | $ | 22,829 | $ | 51,077 | $ | 35,483 | ||||||||||||
State | 6,599 | 5,628 | 4,329 | 5,890 | 12,934 | 8,626 | ||||||||||||||||||
Total Current | $ | 42,438 | $ | 36,120 | $ | 37,200 | $ | 28,719 | $ | 64,011 | $ | 44,109 | ||||||||||||
Deferred: | ||||||||||||||||||||||||
Deferred | ||||||||||||||||||||||||
Federal | $ | 3,850 | $ | 3,994 | $ | 2,521 | $ | 4,593 | $ | (15,862 | ) | $ | 507 | |||||||||||
State | (278 | ) | 278 | 482 | 1,365 | (3,988 | ) | 357 | ||||||||||||||||
Total Deferred | $ | 3,572 | $ | 4,272 | $ | 3,003 | $ | 5,958 | $ | (19,850 | ) | $ | 864 | |||||||||||
Total income tax expense | $ | 46,010 | $ | 40,392 | $ | 40,203 | $ | 34,677 | $ | 44,161 | $ | 44,973 |
December 31, | December 31, | |||||||||||||||
(In thousands) | 2017 | 2016 | 2023 | 2022 | ||||||||||||
Deferred tax assets: | ||||||||||||||||
Allowance for loan losses | $ | 17,390 | $ | 24,925 | $ | 28,039 | $ | 24,792 | ||||||||
Lease liability | 6,917 | 6,273 | ||||||||||||||
Deferred compensation | 7,230 | 11,578 | 9,915 | 9,181 | ||||||||||||
Postretirement benefit obligation | 2,159 | 2,929 | ||||||||||||||
Fair value adjustments from acquisitions | 919 | 1,883 | ||||||||||||||
Fair value adjustments on acquisitions | 18,306 | 125 | ||||||||||||||
Loan fees | 30,778 | 33,389 | ||||||||||||||
Stock-based compensation expense | 3,006 | 2,822 | ||||||||||||||
Unrealized losses on securities | 3,715 | 3,259 | 45,446 | 53,663 | ||||||||||||
Accrued liabilities | 769 | 1,775 | ||||||||||||||
Stock-based compensation expense | 2,642 | 4,817 | ||||||||||||||
Other | 711 | 1,148 | 9,362 | 5,902 | ||||||||||||
Total deferred tax assets | $ | 35,535 | $ | 52,314 | $ | 151,769 | $ | 136,147 | ||||||||
Deferred tax liabilities: | ||||||||||||||||
Pension benefits | $ | 12,439 | $ | 17,303 | $ | 14,742 | $ | 13,103 | ||||||||
Lease right-of-use asset | 6,551 | 5,877 | ||||||||||||||
Amortization of intangible assets | 11,110 | 17,557 | 22,850 | 14,112 | ||||||||||||
Premises and equipment, primarily due to accelerated depreciation | 2,792 | 4,375 | 2,746 | 4,889 | ||||||||||||
Deferred loan costs | 634 | 1,759 | ||||||||||||||
Cash flow hedges | 877 | 1,129 | ||||||||||||||
Other | 390 | 501 | 1,669 | 846 | ||||||||||||
Total deferred tax liabilities | $ | 28,242 | $ | 42,624 | $ | 48,558 | $ | 38,827 | ||||||||
Net deferred tax asset at year-end | $ | 7,293 | $ | 9,690 | $ | 103,211 | $ | 97,320 | ||||||||
Net deferred tax asset at beginning of year | 9,690 | 14,940 | 97,320 | 22,038 | ||||||||||||
(Decrease) in net deferred tax asset | $ | (2,397 | ) | $ | (5,250 | ) | ||||||||||
Increase in net deferred tax asset | $ | 5,891 | $ | 75,282 |
Years ended December 31, | Years Ended December 31, | |||||||||||||||||||||||
(In thousands) | 2017 | 2016 | 2015 | 2023 | 2022 | 2021 | ||||||||||||||||||
Federal income tax at statutory rate | $ | 44,857 | $ | 41,581 | $ | 40,820 | $ | 32,226 | $ | 41,193 | $ | 41,971 | ||||||||||||
Tax exempt income | (2,303 | ) | (2,205 | ) | (2,037 | ) | (1,442 | ) | (984 | ) | (1,014 | ) | ||||||||||||
Net increase in cash surrender value of life insurance | (1,780 | ) | (1,712 | ) | (1,373 | ) | (1,367 | ) | (1,215 | ) | (1,230 | ) | ||||||||||||
Federal tax credit | (1,343 | ) | (1,323 | ) | (939 | ) | ||||||||||||||||||
Federal tax credits | (2,855 | ) | (2,417 | ) | (1,884 | ) | ||||||||||||||||||
State taxes, net of federal tax benefit | 4,107 | 3,838 | 3,127 | 5,732 | 7,067 | 7,097 | ||||||||||||||||||
Federal tax reform (Tax Act) | 4,407 | - | - | |||||||||||||||||||||
Stock-based compensation, excess tax benefit | (1,619 | ) | - | - | ||||||||||||||||||||
Other, net | (316 | ) | 213 | 605 | 2,383 | 517 | 33 | |||||||||||||||||
Income tax expense | $ | 46,010 | $ | 40,392 | $ | 40,203 | $ | 34,677 | $ | 44,161 | $ | 44,973 |
(In thousands) | 2017 | 2016 | 2023 | 2022 | ||||||||||||
Balance at January 1 | $ | 559 | $ | - | $ | 1,942 | $ | 1,545 | ||||||||
Additions for tax positions of prior years | - | 425 | 647 | 3 | ||||||||||||
Reduction for tax positions of prior years | (31 | ) | - | (104 | ) | - | ||||||||||
Current period tax positions | 137 | 134 | 394 | 394 | ||||||||||||
Balance at December 31 | $ | 665 | $ | 559 | $ | 2,879 | $ | 1,942 | ||||||||
Amount that would affect the effective tax rate if recognized, gross of tax | $ | 525 | $ | 363 | $ | 2,274 | $ | 1,535 |
12. Employee Benefit Plans |
Pension Benefits | Other Benefits | |||||||||||||||||||||||||||||||
Pension Benefits | Pension Benefits | Other Benefits | ||||||||||||||||||||||||||||||
(In thousands) | 2017 | 2016 | 2017 | 2016 | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||
Net actuarial loss | $ | 23,585 | $ | 28,328 | $ | 1,731 | $ | 1,430 | ||||||||||||||||||||||||
Net actuarial loss (gain) | $ | 29,301 | $ | 35,971 | $ | (178 | ) | $ | (921 | ) | ||||||||||||||||||||||
Prior service cost (credit) | 94 | 140 | 196 | (38 | ) | 198 | 211 | (10 | ) | (14 | ) | |||||||||||||||||||||
Total amounts recognized in AOCI (pre-tax) | $ | 23,679 | $ | 28,468 | $ | 1,927 | $ | 1,392 | $ | 29,499 | $ | 36,182 | $ | (188 | ) | $ | (935 | ) |
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | |||||||||||||||||||||||||||||
(In thousands) | 2017 | 2016 | 2017 | 2016 | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||
Change in benefit obligation: | ||||||||||||||||||||||||||||||||
Benefit obligation at beginning of year | $ | 90,477 | $ | 92,445 | $ | 7,478 | $ | 8,322 | $ | 75,940 | $ | 88,919 | $ | 4,183 | $ | 5,152 | ||||||||||||||||
Service cost | 1,511 | 2,162 | 12 | 14 | 1,904 | 2,024 | 4 | 7 | ||||||||||||||||||||||||
Interest cost | 4,168 | 4,223 | 357 | 353 | 4,002 | 2,765 | 240 | 170 | ||||||||||||||||||||||||
Plan participants' contributions | - | - | 218 | 234 | ||||||||||||||||||||||||||||
Plan participants’ contributions | - | - | 141 | 147 | ||||||||||||||||||||||||||||
Actuarial loss (gain) | 4,028 | (1,635 | ) | 388 | (786 | ) | 1,387 | (11,158 | ) | 710 | (695 | ) | ||||||||||||||||||||
Curtailment/ settlement | - | (715 | ) | 286 | - | |||||||||||||||||||||||||||
Amendments | 30 | - | - | - | ||||||||||||||||||||||||||||
Benefits paid | (9,234 | ) | (6,003 | ) | (689 | ) | (659 | ) | (6,269 | ) | (6,610 | ) | (563 | ) | (598 | ) | ||||||||||||||||
Projected benefit obligation at end of year | $ | 90,950 | $ | 90,477 | $ | 8,050 | $ | 7,478 | $ | 76,994 | $ | 75,940 | $ | 4,715 | $ | 4,183 | ||||||||||||||||
Change in plan assets: | ||||||||||||||||||||||||||||||||
Fair value of plan assets at beginning of year | $ | 116,216 | $ | 107,529 | $ | - | $ | - | $ | 113,316 | $ | 135,867 | $ | - | $ | - | ||||||||||||||||
Actual return on plan assets | 15,032 | 8,259 | - | - | ||||||||||||||||||||||||||||
Gain (loss) on plan assets | 12,803 | (17,260 | ) | - | - | |||||||||||||||||||||||||||
Employer contributions | 2,212 | 6,431 | 471 | 425 | 1,319 | 1,319 | 422 | 451 | ||||||||||||||||||||||||
Plan participants' contributions | - | - | 218 | 234 | ||||||||||||||||||||||||||||
Plan participants’ contributions | - | - | 141 | 147 | ||||||||||||||||||||||||||||
Benefits paid | (9,234 | ) | (6,003 | ) | (689 | ) | (659 | ) | (6,269 | ) | (6,610 | ) | (563 | ) | (598 | ) | ||||||||||||||||
Fair value of plan assets at end of year | $ | 124,226 | $ | 116,216 | $ | - | $ | - | $ | 121,169 | $ | 113,316 | $ | - | $ | - | ||||||||||||||||
Funded (unfunded) status at year end | $ | 33,276 | $ | 25,739 | $ | (8,050 | ) | $ | (7,478 | ) | $ | 44,175 | $ | 37,376 | $ | (4,715 | ) | $ | (4,183 | ) |
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | |||||||||||||||||||||||||||||
(In thousands) | 2017 | 2016 | 2017 | 2016 | 2023 | 2022 | 2023 | 2022 | ||||||||||||||||||||||||
Other assets | $ | 52,775 | $ | 45,344 | $ | - | $ | - | $ | 59,889 | $ | 53,031 | $ | - | $ | - | ||||||||||||||||
Other liabilities | (19,499 | ) | (19,605 | ) | (8,050 | ) | (7,478 | ) | (15,714 | ) | (15,655 | ) | (4,715 | ) | (4,183 | ) | ||||||||||||||||
Funded status | $ | 33,276 | $ | 25,739 | $ | (8,050 | ) | $ | (7,478 | ) | $ | 44,175 | $ | 37,376 | $ | (4,715 | ) | $ | (4,183 | ) |
Years ended December 31, | Years Ended December 31, | ||||||||||||||
2017 | 2016 | 2015 | 2023 | 2022 | 2021 | ||||||||||
Weighted average assumptions: | |||||||||||||||
The following assumptions were used to determine benefit obligations: | |||||||||||||||
Discount rate | 4.20% - 4.21 | % | 4.76%-4.84 | % | 4.69%-4.71 | % | 4.91% - 5.66% | 5.54% - 5.66% | 3.23% - 3.35% | ||||||
Expected long-term return on plan assets | 7.00 | % | 7.00 | % | 7.00 | % | 6.70% | 6.70% | 6.70% | ||||||
Rate of compensation increase | 3.00 | % | 3.00 | % | 3.00 | % | 3.00% | 3.00% | 3.00% | ||||||
Interest rate of credit for cash balance plan | 4.66% | 3.99% | 1.94% | ||||||||||||
The following assumptions were used to determine net periodic pension cost: | |||||||||||||||
Discount rate | 4.76% - 4.84 | % | 4.69%-4.71 | % | 4.19%-4.30 | % | 3.35% - 5.66% | 3.23% - 3.35% | 3.08% - 3.25% | ||||||
Expected long-term return on plan assets | 7.00 | % | 7.00 | % | 7.50 | % | 6.70% | 6.70% | 7.00% | ||||||
Rate of compensation increase | 3.00 | % | 3.00 | % | 3.00%-3.75 | % | 3.00% | 3.00% | 3.00% | ||||||
Interest rate of credit for cash balance plan | 3.99% | 1.94% | 1.62% |
Pension Benefits | Other Benefits | Pension Benefits | Other Benefits | |||||||||||||||||||||||||||||||||||||||||||||
(In thousands) | 2017 | 2016 | 2015 | 2017 | 2016 | 2015 | 2023 | 2022 | 2021 | 2023 | 2022 | 2021 | ||||||||||||||||||||||||||||||||||||
Components of net periodic benefit cost: | ||||||||||||||||||||||||||||||||||||||||||||||||
Components of net periodic (benefit) cost: | ||||||||||||||||||||||||||||||||||||||||||||||||
Service cost | $ | 1,511 | $ | 2,162 | $ | 2,677 | $ | 12 | $ | 14 | $ | 17 | $ | 1,904 | $ | 2,024 | $ | 2,069 | $ | 4 | $ | 7 | $ | 8 | ||||||||||||||||||||||||
Interest cost | 4,168 | 4,223 | 3,977 | 357 | 353 | 374 | 4,002 | 2,765 | 2,717 | 240 | 170 | 163 | ||||||||||||||||||||||||||||||||||||
Expected return on plan assets | (7,929 | ) | (7,430 | ) | (8,589 | ) | - | - | - | (7,379 | ) | (8,884 | ) | (8,786 | ) | - | - | - | ||||||||||||||||||||||||||||||
Amortization of gain due to curtailment | - | (768 | ) | (154 | ) | - | - | - | ||||||||||||||||||||||||||||||||||||||||
Amortization of prior service cost (credit) | 46 | 32 | 21 | 51 | (57 | ) | (219 | ) | 43 | 108 | 59 | (4 | ) | 6 | 51 | |||||||||||||||||||||||||||||||||
Amortization of unrecognized net loss | 1,668 | 2,235 | 2,174 | 87 | 117 | 263 | ||||||||||||||||||||||||||||||||||||||||||
Net periodic pension cost | $ | (536 | ) | $ | 454 | $ | 106 | $ | 507 | $ | 427 | $ | 435 | |||||||||||||||||||||||||||||||||||
Amortization of unrecognized net loss (gain) | 2,633 | 623 | 1,263 | (32 | ) | - | - | |||||||||||||||||||||||||||||||||||||||||
Net periodic pension cost (benefit) | $ | 1,203 | $ | (3,364 | ) | $ | (2,678 | ) | $ | 208 | $ | 183 | $ | 222 | ||||||||||||||||||||||||||||||||||
Other changes in plan assets and benefit obligations recognized in OCI (pre-tax): | ||||||||||||||||||||||||||||||||||||||||||||||||
Net (gain) loss | $ | (3,075 | ) | $ | (2,464 | ) | $ | 6,523 | $ | 388 | $ | (786 | ) | $ | (333 | ) | $ | (4,037 | ) | $ | 14,987 | $ | (3,237 | ) | $ | 711 | $ | (695 | ) | $ | (543 | ) | ||||||||||||||||
Prior service cost | - | 96 | - | 286 | - | - | 30 | - | - | - | - | - | ||||||||||||||||||||||||||||||||||||
Amortization of gain due to settlement | - | (43 | ) | (46 | ) | - | - | - | ||||||||||||||||||||||||||||||||||||||||
Amortization of prior service (cost) credit | (46 | ) | (32 | ) | (21 | ) | (51 | ) | 57 | 219 | (43 | ) | (108 | ) | (59 | ) | 4 | (6 | ) | (51 | ) | |||||||||||||||||||||||||||
Amortization of unrecognized net (loss) | (1,668 | ) | (2,235 | ) | (2,174 | ) | (87 | ) | (117 | ) | (263 | ) | ||||||||||||||||||||||||||||||||||||
Amortization of unrecognized net (loss) gain | (2,633 | ) | (623 | ) | (1,263 | ) | 32 | - | - | |||||||||||||||||||||||||||||||||||||||
Total recognized in OCI | $ | (4,789 | ) | $ | (4,678 | ) | $ | 4,282 | $ | 536 | $ | (846 | ) | $ | (377 | ) | $ | (6,683 | ) | $ | 14,256 | $ | (4,559 | ) | $ | 747 | $ | (701 | ) | $ | (594 | ) | ||||||||||||||||
Total recognized in net periodic benefit cost and OCI, pre-tax | $ | (5,325 | ) | $ | (4,224 | ) | $ | 4,388 | $ | 1,043 | $ | (419 | ) | $ | 58 | |||||||||||||||||||||||||||||||||
Total recognized in net periodic (benefit) cost and OCI, pre-tax | $ | (5,480 | ) | $ | 10,892 | $ | (7,237 | ) | $ | 955 | $ | (518 | ) | $ | (372 | ) |
(In thousands) | Pension Benefits | Other Benefits | ||||||
2018 | $ | 7,256 | $ | 606 | ||||
2019 | 7,087 | 598 | ||||||
2020 | 6,997 | 583 | ||||||
2021 | 6,728 | 559 | ||||||
2022 | 6,666 | 566 | ||||||
2023 - 2027 | 37,688 | 2,818 |
(In thousands) | Pension Benefits | Other Benefits | ||||||
2024 | $ | 7,676 | $ | 444 | ||||
2025 | 7,249 | 444 | ||||||
2026 | 7,269 | 442 | ||||||
2027 | 7,759 | 422 | ||||||
2028 | 7,382 | 414 | ||||||
2029 - 2033 | 33,035 | 1,860 |
(In thousands) | One Percentage Point Increase | One Percentage Point Decrease | ||||||
Increase (decrease) on total service and interest cost components | $ | 40 | $ | (34 | ) | |||
Increase (decrease) on post-retirement accumulated benefit obligation | 855 | (738 | ) |
Target 2017 | 2017 | 2016 | Target 2023 | 2023 | 2022 | ||||||||||
Cash and cash equivalents | 0 - 20% | 3% | 2% | 0 - 15% | 2% | 3% | |||||||||
Fixed income securities | 25 - 55% | 45% | 46% | 30 - 60% | 38% | 38% | |||||||||
Equities | 40 - 65% | 52% | 52% | 40 - 70% | 60% | 59% | |||||||||
Total | 100% | 100% | 100% | 100% |
(In thousands) | Level 1 | Level 2 | December 31, 2017 | Level 1 | Level 2 | December 31, 2023 | ||||||||||||||||||
Cash and cash equivalents | $ | 3,684 | $ | - | $ | 3,684 | $ | 2,435 | $ | - | $ | 2,435 | ||||||||||||
Foreign equity mutual funds | 44,508 | - | 44,508 | 39,001 | - | 39,001 | ||||||||||||||||||
Equity mutual funds | 26,747 | - | 26,747 | 34,281 | - | 34,281 | ||||||||||||||||||
U.S. government bonds | - | 99 | 99 | - | 13 | 13 | ||||||||||||||||||
Corporate bonds | - | 49,188 | 49,188 | - | 45,439 | 45,439 | ||||||||||||||||||
Total | $ | 74,939 | $ | 49,287 | $ | 124,226 | $ | 75,717 | $ | 45,452 | $ | 121,169 |
Level 1 | Level 2 | December 31, 2016 | Level 1 | Level 2 | December 31, 2022 | |||||||||||||||||||
Cash and cash equivalents | $ | 3,500 | $ | - | $ | 3,500 | $ | 3,401 | $ | - | $ | 3,401 | ||||||||||||
Foreign equity mutual funds | 33,687 | - | 33,687 | 36,111 | - | 36,111 | ||||||||||||||||||
Equity mutual funds | 28,256 | - | 28,256 | 30,859 | - | 30,859 | ||||||||||||||||||
U.S. government bonds | - | 1,283 | 1,283 | - | 20 | 20 | ||||||||||||||||||
Corporate bonds | - | 49,490 | 49,490 | - | 42,925 | 42,925 | ||||||||||||||||||
Total | $ | 65,443 | $ | 50,773 | $ | 116,216 | $ | 70,371 | $ | 42,945 | $ | 113,316 |
(In thousands, except share and per share data) | Number of Shares | Weighted Average Exercise Price | Weighted Average Remaining Contractual Term (in Years) | Aggregate Intrinsic Value | ||||||||||||
Outstanding at January 1, 2017 | 230,174 | $ | 24.35 | |||||||||||||
Granted | 1,500 | 40.63 | ||||||||||||||
Exercised | (118,844 | ) | 25.94 | |||||||||||||
Expired | (800 | ) | 24.46 | |||||||||||||
Outstanding at December 31, 2017 | 112,030 | $ | 22.88 | 2.13 | $ | 1,566 | ||||||||||
Exercisable at December 31, 2017 | 107,280 | $ | 22.41 | 1.84 | $ | 1,544 | ||||||||||
Expected to Vest | 4,750 | $ | 33.52 | 8.68 | $ | 22 |
Years ended December 31, | ||||||||||||
(In thousands) | 2017 | 2016 | 2015 | |||||||||
Proceeds from stock options exercised | $ | 3,083 | $ | 8,398 | $ | 12,044 | ||||||
Tax benefits related to stock options exercised | 650 | 1,223 | 952 | |||||||||
Intrinsic value of stock options exercised | 1,699 | 3,143 | 2,446 | |||||||||
Fair value of shares vested during the year | 329 | 105 | 63 |
Number of Shares | Weighted- Average Grant Date Fair Value | |||||||
Unvested at January 1, 2017 | 613,163 | $ | 22.62 | |||||
Forfeited | (5,545 | ) | 23.18 | |||||
Vested | (198,652 | ) | 22.34 | |||||
Granted | 125,772 | 36.15 | ||||||
Unvested at December 31, 2017 | 534,738 | $ | 25.77 |
| Number of Shares | Weighted- Average Grant Date Fair Value | ||||||
Unvested at January 1, 2023 | 532,372 | $ | 32.15 | |||||
Forfeited | (4,597 | ) | 33.85 | |||||
Vested | (126,312 | ) | 31.41 | |||||
Granted | 139,187 | 33.73 | ||||||
Unvested at December 31, 2023 | 540,650 | $ | 32.72 |
(In thousands, except share and per share data) | Number of Shares | Weighted Average Exercise Price | Weighted Average Remaining Contractual Term (in Years) | Aggregate Intrinsic Value | ||||||||||||
Outstanding at January 1, 2023 | 9,100 | $ | 29.89 | |||||||||||||
Exercised | (3,630 | ) | 25.09 | |||||||||||||
Expired | (120 | ) | 26.29 | |||||||||||||
Outstanding at December 31, 2023 | 5,350 | $ | 33.24 | 2.50 | $ | 46 | ||||||||||
Exercisable at December 31, 2023 | 5,350 | $ | 33.24 | 2.50 | $ | 46 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Proceeds from stock options exercised | $ | 91 | $ | - | $ | 112 | ||||||
Tax benefits related to stock options exercised | 13 | - | 13 | |||||||||
Intrinsic value of stock options exercised | 50 | - | 52 |
14. Stockholders’ Equity |
(In thousands) | 2017 | 2016 | 2015 | 2023 | 2022 | 2021 | ||||||||||||||||||
Unrecognized prior service cost and net actuarial (losses) on pension plans | $ | (15,284 | ) | $ | (18,227 | ) | $ | (21,557 | ) | $ | (21,983 | ) | $ | (26,435 | ) | $ | (16,269 | ) | ||||||
Unrealized gains on derivatives (cash flow hedges) | 2,144 | 1,772 | - | |||||||||||||||||||||
Unrealized net holding (losses) on AFS securities | (8,937 | ) | (5,065 | ) | (861 | ) | (138,951 | ) | (163,599 | ) | (7,075 | ) | ||||||||||||
AOCI | $ | (22,077 | ) | $ | (21,520 | ) | $ | (22,418 | ) | $ | (160,934 | ) | $ | (190,034 | ) | $ | (23,344 | ) |
15. Regulatory Capital Requirements |
Actual | Regulatory Ratio Requirements | Actual | Regulatory Ratio Requirements | |||||||||||||||||||||||||||||||||||||
(Dollars in thousands) | Amount | Ratio | Minimum Capital Adequacy | Minimum plus Buffer | For Classification as Well- Capitalized | Amount | Ratio | Minimum Capital Adequacy | Minimum plus Buffer | For Classification as Well- Capitalized | ||||||||||||||||||||||||||||||
As of December 31, 2017 | ||||||||||||||||||||||||||||||||||||||||
Tier I Capital (to average assets) | ||||||||||||||||||||||||||||||||||||||||
As of December 31, 2023 | ||||||||||||||||||||||||||||||||||||||||
Tier 1 Capital (to average assets) | ||||||||||||||||||||||||||||||||||||||||
Company | $ | 810,445 | 9.14 | % | 4.00 | % | 5.00 | % | $ | 1,301,560 | 9.71 | % | 4.00 | % | 5.00 | % | ||||||||||||||||||||||||
NBT Bank | 756,521 | 8.59 | % | 4.00 | % | 5.00 | % | 1,223,551 | 9.16 | % | 4.00 | % | 5.00 | % | ||||||||||||||||||||||||||
Common Equity Tier 1 Capital | ||||||||||||||||||||||||||||||||||||||||
Company | 713,445 | 10.06 | % | 4.50 | % | 5.75 | % | 6.50 | % | 1,204,560 | 11.57 | % | 4.50 | % | 7.00 | % | 6.50 | % | ||||||||||||||||||||||
NBT Bank | 756,521 | 10.74 | % | 4.50 | % | 5.75 | % | 6.50 | % | 1,223,551 | 11.84 | % | 4.50 | % | 7.00 | % | 6.50 | % | ||||||||||||||||||||||
Tier I Capital (to risk-weighted assets) | ||||||||||||||||||||||||||||||||||||||||
Tier 1 Capital (to risk-weighted assets) | ||||||||||||||||||||||||||||||||||||||||
Company | 810,445 | 11.42 | % | 6.00 | % | 7.25 | % | 6.00 | % | 1,301,560 | 12.50 | % | 6.00 | % | 8.50 | % | 8.00 | % | ||||||||||||||||||||||
NBT Bank | 756,521 | 10.74 | % | 6.00 | % | 7.25 | % | 6.00 | % | 1,223,551 | 11.84 | % | 6.00 | % | 8.50 | % | 8.00 | % | ||||||||||||||||||||||
Total Capital (to risk-weighted assets) | ||||||||||||||||||||||||||||||||||||||||
Company | 880,874 | 12.42 | % | 8.00 | % | 9.25 | % | 10.00 | % | 1,534,826 | 14.75 | % | 8.00 | % | 10.50 | % | 10.00 | % | ||||||||||||||||||||||
NBT Bank | 826,950 | 11.74 | % | 8.00 | % | 9.25 | % | 10.00 | % | 1,333,817 | 12.91 | % | 8.00 | % | 10.50 | % | 10.00 | % | ||||||||||||||||||||||
As of December 31, 2016 | ||||||||||||||||||||||||||||||||||||||||
Tier I Capital (to average assets) | ||||||||||||||||||||||||||||||||||||||||
As of December 31, 2022 | ||||||||||||||||||||||||||||||||||||||||
Tier 1 Capital (to average assets) | ||||||||||||||||||||||||||||||||||||||||
Company | $ | 773,111 | 9.11 | % | 4.00 | % | 5.00 | % | $ | 1,193,336 | 10.32 | % | 4.00 | % | 5.00 | % | ||||||||||||||||||||||||
NBT Bank | 723,992 | 8.59 | % | 4.00 | % | 5.00 | % | 1,133,481 | 9.86 | % | 4.00 | % | 5.00 | % | ||||||||||||||||||||||||||
Common Equity Tier 1 Capital | ||||||||||||||||||||||||||||||||||||||||
Company | 676,111 | 9.98 | % | 4.50 | % | 5.125 | % | 6.50 | % | 1,096,336 | 12.12 | % | 4.50 | % | 7.00 | % | 6.50 | % | ||||||||||||||||||||||
NBT Bank | 723,992 | 10.76 | % | 4.50 | % | 5.125 | % | 6.50 | % | 1,133,481 | 12.63 | % | 4.50 | % | 7.00 | % | 6.50 | % | ||||||||||||||||||||||
Tier I Capital (to risk-weighted assets) | ||||||||||||||||||||||||||||||||||||||||
Tier 1 Capital (to risk-weighted assets) | ||||||||||||||||||||||||||||||||||||||||
Company | 773,111 | 11.42 | % | 6.00 | % | 6.625 | % | 8.00 | % | 1,193,336 | 13.19 | % | 6.00 | % | 8.50 | % | 8.00 | % | ||||||||||||||||||||||
NBT Bank | 723,992 | 10.76 | % | 6.00 | % | 6.625 | % | 8.00 | % | 1,133,481 | 12.63 | % | 6.00 | % | 8.50 | % | 8.00 | % | ||||||||||||||||||||||
Total Capital (to risk-weighted assets) | ||||||||||||||||||||||||||||||||||||||||
Company | 839,152 | 12.39 | % | 8.00 | % | 8.625 | % | 10.00 | % | 1,391,182 | 15.38 | % | 8.00 | % | 10.50 | % | 10.00 | % | ||||||||||||||||||||||
NBT Bank | 790,034 | 11.75 | % | 8.00 | % | 8.625 | % | 10.00 | % | 1,233,327 | 13.74 | % | 8.00 | % | 10.50 | % | 10.00 | % |
16. Earnings Per Share |
Years ended December 31, | Years Ended December 31, | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
2017 | 2016 | 2015 | 2023 | 2022 | 2021 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(In thousands except share and per share data) | Net Income | Weighted Average Shares | Per Share Amount | Net Income | Weighted Average Shares | Per Share Amount | Net Income | Weighted Average Shares | Per Share Amount | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
(In thousands except per share data) | Net Income | Weighted Average Shares | Per Share Amount | Net Income | Weighted Average Shares | Per Share Amount | Net Income | Weighted Average Shares | Per Share Amount | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Basic EPS | $ | 82,151 | 43,575 | $ | 1.89 | $ | 78,409 | 43,244 | $ | 1.81 | $ | 76,425 | 43,836 | $ | 1.74 | $ | 118,782 | 44,528 | $ | 2.67 | $ | 151,995 | 42,917 | $ | 3.54 | $ | 154,885 | 43,421 | $ | 3.57 | ||||||||||||||||||||||||||||||||||||||||||
Effect of dilutive securities: | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Stock-based compensation | 330 | 378 | 553 | 242 | 264 | 298 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Diluted EPS | $ | 82,151 | 43,905 | $ | 1.87 | $ | 78,409 | 43,622 | $ | 1.80 | $ | 76,425 | 44,389 | $ | 1.72 | $ | 118,782 | 44,770 | $ | 2.65 | $ | 151,995 | 43,181 | $ | 3.52 | $ | 154,885 | 43,719 | $ | 3.54 |
17. Reclassification Adjustments Out of Other Comprehensive Income (Loss) |
Detail About AOCI Components | Amount Reclassified from AOCI | Affected Line Item in the Consolidated Statements of OCI | Amount Reclassified from AOCI | Affected Line Item in the Consolidated Statements of Comprehensive Income (Loss) | ||||||||||||||||||||||
Years ended | ||||||||||||||||||||||||||
(In thousands) | Years Ended December 31, | |||||||||||||||||||||||||
December 31, 2017 | December 31, 2016 | December 31, 2015 | 2023 | 2022 | 2021 | |||||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||||
(Gains) losses on AFS securities | $ | (1,869 | ) | $ | 644 | $ | (3,087 | ) | Net securities (gains) losses | |||||||||||||||||
Losses on AFS securities | $ | 9,450 | $ | - | $ | - | Net securities losses (gains) | |||||||||||||||||||
Amortization of unrealized gains related to securities transfer | 875 | 1,094 | 1,311 | Interest income | 427 | 513 | 577 | Interest income | ||||||||||||||||||
Impairment write-down of an equity security | 1,312 | - | - | Other noninterest income | ||||||||||||||||||||||
Tax effect | $ | (2,470 | ) | $ | (128 | ) | $ | (145 | ) | Income tax (benefit) | ||||||||||||||||
Net of tax | $ | 7,407 | $ | 385 | $ | 432 | ||||||||||||||||||||
Cash flow hedges: | ||||||||||||||||||||||||||
Net unrealized losses on cash flow hedges reclassified to interest expense | $ | - | $ | - | $ | 21 | Interest expense | |||||||||||||||||||
Tax effect | $ | (120 | ) | $ | (677 | ) | $ | 691 | Income tax (expense) benefit | $ | - | $ | - | $ | (5 | ) | Income tax (benefit) | |||||||||
Net of tax | $ | 198 | $ | 1,061 | $ | (1,085 | ) | $ | - | $ | - | $ | 16 | |||||||||||||
Pension and other benefits: | ||||||||||||||||||||||||||
Amortization of net losses | $ | 1,755 | $ | 2,395 | $ | 2,437 | Salaries and employee benefits | $ | 2,601 | $ | 623 | $ | 1,263 | Other noninterest expense | ||||||||||||
Amortization of prior service costs | 97 | (25 | ) | (198 | ) | Salaries and employee benefits | 39 | 114 | 110 | Other noninterest expense | ||||||||||||||||
Tax effect | (740 | ) | (949 | ) | (868 | ) | Income tax (expense) benefit | $ | (660 | ) | $ | (184 | ) | $ | (343 | ) | Income tax (benefit) | |||||||||
Net of tax | $ | 1,112 | $ | 1,421 | $ | 1,371 | $ | 1,980 | $ | 553 | $ | 1,030 | ||||||||||||||
Total reclassifications, net of tax | $ | 1,310 | $ | 2,482 | $ | 286 | $ | 9,387 | $ | 938 | $ | 1,478 |
18. Commitments and Contingent Liabilities |
At December 31, | At December 31, | |||||||||||||||
(In thousands) | 2017 | 2016 | 2023 | 2022 | ||||||||||||
Unused lines of credit | $ | 351,227 | $ | 292,140 | $ | 429,430 | $ | 384,370 | ||||||||
Commitments to extend credits, primarily variable rate | 1,215,187 | 1,177,842 | 2,254,841 | 2,033,549 | ||||||||||||
Standby letters of credit | 41,135 | 36,815 | 44,735 | 53,307 | ||||||||||||
Loans sold with recourse | 29,120 | 28,463 | 26,423 | 31,021 |
19. Derivative Instruments and Hedging Activities |
(In thousands) | Notional Amount | Balance Sheet Location | Fair Value | Notional Amount | Balance Sheet Location | Fair Value | ||||||||||||
As of December 31, 2023 | ||||||||||||||||||
Derivatives not designated as hedging instruments | ||||||||||||||||||
Interest rate derivatives | $ | 1,303,711 | Other assets | $ | 95,972 | $ | 1,303,711 | Other liabilities | $ | 95,869 | ||||||||
Risk participation agreements | 62,112 | Other assets | 19 | 16,146 | Other liabilities | 6 | ||||||||||||
Total derivatives not designated as hedging instruments | $ | 95,991 | $ | 95,875 | ||||||||||||||
Netting adjustments(1) | 20,849 | - | ||||||||||||||||
Net derivatives in the balance sheet | $ | 75,142 | $ | 95,875 | ||||||||||||||
Derivatives not offset on the balance sheet | $ | 2,930 | $ | 2,930 | ||||||||||||||
Cash collateral(2) | - | - | ||||||||||||||||
Net derivative amounts | $ | 72,212 | $ | 92,945 | ||||||||||||||
As of December 31, 2022 | ||||||||||||||||||
Derivatives not designated as hedging instruments | ||||||||||||||||||
Interest rate derivatives | $ | 1,275,708 | Other assets | $ | 117,247 | $ | 1,275,708 | Other liabilities | $ | 117,247 | ||||||||
Risk participation agreements | 88,963 | Other assets | 47 | 18,421 | Other liabilities | 10 | ||||||||||||
Total derivatives not designated as hedging instruments | $ | 117,294 | $ | 117,257 | ||||||||||||||
Netting adjustments(1) | 24,109 | - | ||||||||||||||||
Net derivatives in the balance sheet | $ | 93,185 | $ | 117,257 | ||||||||||||||
Derivatives not offset on the balance sheet | $ | 352 | $ | 352 | ||||||||||||||
Cash collateral(2) | - | - | ||||||||||||||||
Net derivative amounts | $ | 92,833 | $ | 116,905 |
(1) | Netting adjustments represents the amounts recorded to convert derivatives assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance on the settle to market rules for cleared derivatives. The CME legally characterizes the variation margin posted between counterparties as settlements of the outstanding derivative contracts instead of cash collateral. |
(2) | Cash collateral represents the amount that cannot be used to offset our derivative assets and liabilities from a gross basis to a net basis in accordance with the applicable accounting guidance. The other collateral consists of securities and is exchanged under bilateral collateral and master netting agreements that allow us to offset the net derivative position with the related collateral. The application of the other collateral cannot reduce the net derivative position below zero. Therefore, excess other collateral, if any, is not reflected above. |
December 31, | ||||||||
(In thousands) | 2017 | 2016 | ||||||
Derivatives Not Designated as Hedging Instruments: | ||||||||
Fair value adjustment | $ | 210 | $ | 309 | ||||
Notional amount: | ||||||||
Interest rate derivatives | 481,185 | 371,101 | ||||||
Risk participation agreements | 35,628 | 11,421 | ||||||
Derivatives Designated as Hedging Instruments: | ||||||||
Fair value adjustment - interest rate derivatives | 3,510 | 2,704 | ||||||
Notional amount - interest rate derivatives | 250,000 | 250,000 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Derivatives designated as hedging instruments: | ||||||||||||
Interest rate derivatives - included component | ||||||||||||
Amount of loss reclassified from AOCI into interest expense | $ | - | $ | - | $ | 21 |
December 31, | ||||||||||||
(In thousands) | 2017 | 2016 | 2015 | |||||||||
Non-hedging interest rate derivatives: | ||||||||||||
Increase in interest income | $ | 179 | $ | 95 | $ | 33 | ||||||
Increase in other income | 2,945 | 3,480 | 684 | |||||||||
Hedging interest rate derivatives: | ||||||||||||
Decrease (increase) in interest expense | 289 | (70 | ) | - |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Derivatives not designated as hedging instruments: | ||||||||||||
Decrease in other income | $ | (70 | ) | $ | (155 | ) | $ | (356 | ) |
(In thousands) | Level 1 | Level 2 | Level 3 | December 31, 2017 | Level 1 | Level 2 | Level 3 | December 31, 2023 | ||||||||||||||||||||||||
Assets: | ||||||||||||||||||||||||||||||||
AFS securities: | ||||||||||||||||||||||||||||||||
AFS securities | ||||||||||||||||||||||||||||||||
U.S. treasury | $ | 125,024 | $ | - | $ | - | $ | 125,024 | ||||||||||||||||||||||||
Federal agency | $ | - | $ | 108,899 | $ | - | $ | 108,899 | - | 214,740 | - | 214,740 | ||||||||||||||||||||
State & municipal | - | 41,956 | - | 41,956 | - | 86,306 | - | 86,306 | ||||||||||||||||||||||||
Mortgage-backed | - | 554,927 | - | 554,927 | - | 422,268 | - | 422,268 | ||||||||||||||||||||||||
Collateralized mortgage obligations | - | 535,994 | - | 535,994 | - | 541,544 | - | 541,544 | ||||||||||||||||||||||||
Other securities | 5,845 | 8,304 | - | 14,149 | ||||||||||||||||||||||||||||
Corporate | - | 40,976 | - | 40,976 | ||||||||||||||||||||||||||||
Total AFS securities | $ | 5,845 | $ | 1,250,080 | $ | - | $ | 1,255,925 | $ | 125,024 | $ | 1,305,834 | $ | - | $ | 1,430,858 | ||||||||||||||||
Trading securities | 11,467 | - | - | 11,467 | ||||||||||||||||||||||||||||
Equity securities | 36,591 | 1,000 | - | 37,591 | ||||||||||||||||||||||||||||
Derivatives | - | 3,732 | - | 3,732 | - | 75,142 | - | 75,142 | ||||||||||||||||||||||||
Total | $ | 17,312 | $ | 1,253,812 | $ | - | $ | 1,271,124 | $ | 161,615 | $ | 1,381,976 | $ | - | $ | 1,543,591 | ||||||||||||||||
Liabilities: | ||||||||||||||||||||||||||||||||
Derivatives | $ | - | $ | 324 | $ | - | $ | 324 | $ | - | $ | 95,875 | $ | - | $ | 95,875 | ||||||||||||||||
Total | $ | - | $ | 324 | $ | - | $ | 324 | $ | - | $ | 95,875 | $ | - | $ | 95,875 |
(In thousands) | Level 1 | Level 2 | Level 3 | December 31, 2022 | ||||||||||||
Assets: | ||||||||||||||||
AFS securities | ||||||||||||||||
U.S. treasury | $ | 121,658 | $ | - | $ | - | $ | 121,658 | ||||||||
Federal agency | - | 206,419 | - | 206,419 | ||||||||||||
State & municipal | - | 82,851 | - | 82,851 | ||||||||||||
Mortgage-backed | - | 473,694 | - | 473,694 | ||||||||||||
Collateralized mortgage obligations | - | 588,363 | - | 588,363 | ||||||||||||
Corporate | - | 54,240 | - | 54,240 | ||||||||||||
Total AFS securities | $ | 121,658 | $ | 1,405,567 | $ | - | $ | 1,527,225 | ||||||||
Equity securities | 29,784 | 1,000 | - | 30,784 | ||||||||||||
Derivatives | - | 93,185 | - | 93,185 | ||||||||||||
Total | $ | 151,442 | $ | 1,499,752 | $ | - | $ | 1,651,194 | ||||||||
Liabilities: | ||||||||||||||||
Derivatives | $ | - | $ | 117,257 | $ | - | $ | 117,257 | ||||||||
Total | $ | - | $ | 117,257 | $ | - | $ | 117,257 |
(In thousands) | Level 1 | Level 2 | Level 3 | December 31, 2016 | ||||||||||||
Assets: | ||||||||||||||||
AFS securities: | ||||||||||||||||
Federal agency | $ | - | $ | 174,408 | $ | - | $ | 174,408 | ||||||||
State & municipal | - | 46,726 | - | 46,726 | ||||||||||||
Mortgage-backed | - | 529,844 | - | 529,844 | ||||||||||||
Collateralized mortgage obligations | - | 566,573 | - | 566,573 | ||||||||||||
Other securities | 11,493 | 9,246 | - | 20,739 | ||||||||||||
Total AFS securities | $ | 11,493 | $ | 1,326,797 | $ | - | $ | 1,338,290 | ||||||||
Trading securities | 9,259 | - | - | 9,259 | ||||||||||||
Derivatives | - | 3,210 | - | 3,210 | ||||||||||||
Total | $ | 20,752 | $ | 1,330,007 | $ | - | $ | 1,350,759 | ||||||||
Liabilities: | ||||||||||||||||
Derivatives | $ | - | $ | 506 | $ | - | $ | 506 | ||||||||
Total | $ | - | $ | 506 | $ | - | $ | 506 |
December 31, 2017 | December 31, 2016 | December 31, 2023 | December 31, 2022 | |||||||||||||||||||||||||||||||||||||
(In thousands) | Fair Value Hierarchy | Carrying Amount | Estimated Fair Value | Carrying Amount | Estimated Fair Value | Fair Value Hierarchy | Carrying Amount | Estimated Fair Value | Carrying Amount | Estimated Fair Value | ||||||||||||||||||||||||||||||
Financial assets: | ||||||||||||||||||||||||||||||||||||||||
HTM securities | 2 | $ | 484,073 | $ | 481,871 | $ | 527,948 | $ | 525,050 | 2 | $ | 905,267 | $ | 814,524 | $ | 919,517 | $ | 812,647 | ||||||||||||||||||||||
Net loans | 3 | 6,515,273 | 6,651,931 | 6,132,857 | 6,273,233 | 3 | 9,539,684 | 9,216,162 | 8,049,909 | 7,840,350 | ||||||||||||||||||||||||||||||
Financial liabilities: | ||||||||||||||||||||||||||||||||||||||||
Time deposits | 2 | $ | 806,766 | $ | 801,294 | $ | 872,411 | $ | 868,153 | 2 | $ | 1,324,709 | $ | 1,285,999 | $ | 433,772 | $ | 413,868 | ||||||||||||||||||||||
Long-term debt | 2 | 88,869 | 88,346 | 104,087 | 104,113 | 2 | 29,796 | 29,416 | 4,815 | 4,539 | ||||||||||||||||||||||||||||||
Subordinated debt | 1 | 120,380 | 113,757 | 98,000 | 92,883 | |||||||||||||||||||||||||||||||||||
Junior subordinated debt | 2 | 101,196 | 104,593 | 101,196 | 102,262 | 2 | 101,196 | 102,337 | 101,196 | 98,372 |
December 31, | ||||||||
(In thousands) | 2017 | 2016 | ||||||
Assets | ||||||||
Cash and cash equivalents | $ | 7,572 | $ | 4,152 | ||||
AFS securities, at estimated fair value | 10,065 | 15,273 | ||||||
Trading securities | 11,245 | 8,968 | ||||||
Investment in subsidiaries, on equity basis | 1,048,908 | 1,006,444 | ||||||
Other assets | 40,461 | 44,178 | ||||||
Total assets | $ | 1,118,251 | $ | 1,079,015 | ||||
Liabilities and Stockholders’ Equity | ||||||||
Total liabilities | $ | 160,074 | $ | 165,699 | ||||
Stockholders’ equity | 958,177 | 913,316 | ||||||
Total liabilities and stockholders’ equity | $ | 1,118,251 | $ | 1,079,015 |
December 31, | ||||||||
(In thousands) | 2023 | 2022 | ||||||
Assets | ||||||||
Cash and cash equivalents | $ | 162,364 | $ | 116,129 | ||||
Equity securities, at estimated fair value | 28,739 | 24,499 | ||||||
Investment in subsidiaries, on equity basis | 1,464,980 | 1,245,459 | ||||||
Other assets | 42,435 | 39,339 | ||||||
Total assets | $ | 1,698,518 | $ | 1,425,426 | ||||
Liabilities and Stockholders’ Equity | ||||||||
Total liabilities | $ | 272,827 | $ | 251,872 | ||||
Stockholders’ equity | 1,425,691 | 1,173,554 | ||||||
Total liabilities and stockholders’ equity | $ | 1,698,518 | $ | 1,425,426 |
Years ended December 31, | ||||||||||||
(In thousands) | 2017 | 2016 | 2015 | |||||||||
Dividends from subsidiaries | $ | 38,300 | $ | 10,200 | $ | 78,200 | ||||||
Management fee from subsidiaries | 99,319 | 95,244 | 92,629 | |||||||||
Net securities gains | 2,237 | 652 | 3,034 | |||||||||
Interest, dividends and other income | 928 | 976 | 693 | |||||||||
Total revenue | $ | 140,784 | $ | 107,072 | $ | 174,556 | ||||||
Operating expenses | 100,667 | 97,977 | 94,332 | |||||||||
Income before income tax benefit and equity in undistributed income of subsidiaries | 40,117 | 9,095 | 80,224 | |||||||||
Income tax expense (benefit) | 2,233 | (321 | ) | 515 | ||||||||
Dividends in excess of income (equity in undistributed income) of subsidiaries | 44,267 | 68,993 | (3,284 | ) | ||||||||
Net income | $ | 82,151 | $ | 78,409 | $ | 76,425 |
Years Ended December 31, | ||||||||||||
(In thousands) | 2023 | 2022 | 2021 | |||||||||
Dividends from subsidiaries | $ | 116,250 | $ | 119,000 | $ | 118,900 | ||||||
Management fee from subsidiaries | 7,093 | 2,005 | 2,653 | |||||||||
Net securities (losses) gains | (82 | ) | (618 | ) | 543 | |||||||
Interest, dividends and other income | 715 | 638 | 564 | |||||||||
Total revenue | $ | 123,976 | $ | 121,025 | $ | 122,660 | ||||||
Operating expenses | 22,930 | 14,035 | 11,956 | |||||||||
Income before income tax benefit and equity in undistributed income of subsidiaries | $ | 101,046 | $ | 106,990 | $ | 110,704 | ||||||
Income tax expense (benefit) | (3,785 | ) | (3,027 | ) | (2,250 | ) | ||||||
Equity in undistributed income of subsidiaries | 13,951 | 41,978 | 41,931 | |||||||||
Net income | $ | 118,782 | $ | 151,995 | $ | 154,885 |
Years ended December 31, | Years Ended December 31, | |||||||||||||||||||||||
(In thousands) | 2017 | 2016 | 2015 | 2023 | 2022 | 2021 | ||||||||||||||||||
Operating activities | ||||||||||||||||||||||||
Net income | $ | 82,151 | $ | 78,409 | $ | 76,425 | $ | 118,782 | $ | 151,995 | $ | 154,885 | ||||||||||||
Adjustments to reconcile net income to net cash provided by operating activities | ||||||||||||||||||||||||
Depreciation and amortization of premises and equipment | 2,974 | 2,805 | 2,522 | 353 | 582 | 1,113 | ||||||||||||||||||
Excess tax benefit on stock-based compensation | 1,769 | 1,055 | (43 | ) | (296 | ) | (288 | ) | (385 | ) | ||||||||||||||
Stock-based compensation expense | 3,644 | 4,378 | 4,086 | 5,102 | 4,530 | 4,414 | ||||||||||||||||||
Net (gain) on sales of AFS securities | (2,238 | ) | (652 | ) | (3,034 | ) | ||||||||||||||||||
Re-evaluation of deferred tax amounts from Tax Act | 3,339 | - | - | |||||||||||||||||||||
Net securities losses (gains) | 82 | 618 | (543 | ) | ||||||||||||||||||||
Equity in undistributed income of subsidiaries | (82,567 | ) | (79,193 | ) | (74,916 | ) | (13,950 | ) | (41,978 | ) | (41,931 | ) | ||||||||||||
Cash dividend from subsidiaries | 38,300 | 10,200 | 78,200 | |||||||||||||||||||||
Bank owned life insurance income | (328 | ) | (356 | ) | (292 | ) | (271 | ) | (238 | ) | (326 | ) | ||||||||||||
Net change in other liabilities | (5,624 | ) | (8,596 | ) | 6,770 | |||||||||||||||||||
Net change in other assets | (368 | ) | 22,728 | (6,652 | ) | |||||||||||||||||||
Amortization of subordinated debt issuance costs | 437 | 437 | 438 | |||||||||||||||||||||
Discount on repurchase of subordinated debt | - | (106 | ) | - | ||||||||||||||||||||
Net change in other assets and other liabilities | (4,930 | ) | (8,376 | ) | (7,127 | ) | ||||||||||||||||||
Net cash provided by operating activities | $ | 41,052 | $ | 30,778 | $ | 83,066 | $ | 105,309 | $ | 107,176 | $ | 110,538 | ||||||||||||
Investing activities | ||||||||||||||||||||||||
Proceeds on sales and maturities of AFS securities | $ | 4,710 | $ | 1,783 | $ | 5,297 | ||||||||||||||||||
Purchases of AFS securities | (9 | ) | (580 | ) | (3,083 | ) | ||||||||||||||||||
Proceeds from settlement of bank owned life insurance | 308 | - | - | |||||||||||||||||||||
Net purchases of premises and equipment | (2,264 | ) | (3,083 | ) | (2,930 | ) | ||||||||||||||||||
Net cash provided by (used in) investing activities | $ | 2,745 | $ | (1,880 | ) | $ | (716 | ) | ||||||||||||||||
Net cash provided by (used in) acquisitions | $ | 3,542 | $ | - | $ | - | ||||||||||||||||||
Proceeds from calls of equity securities | - | - | 1,000 | |||||||||||||||||||||
Net cash provided by investing activities | $ | 3,542 | $ | - | $ | 1,000 | ||||||||||||||||||
Financing activities | ||||||||||||||||||||||||
Proceeds from the issuance of shares to employee benefit plans and other stock plans | $ | 3,309 | $ | 6,032 | $ | 8,856 | ||||||||||||||||||
Repurchase of subordinated debt | $ | - | $ | (2,000 | ) | $ | - | |||||||||||||||||
Proceeds from the issuance of shares to employee and other stock plans | 91 | - | 112 | |||||||||||||||||||||
Cash paid by employer for tax-withholding on stock issuance | (3,582 | ) | (3,387 | ) | (1,164 | ) | (1,877 | ) | (1,751 | ) | (2,931 | ) | ||||||||||||
Purchases of treasury shares | - | (17,193 | ) | (26,797 | ) | (4,944 | ) | (14,713 | ) | (21,714 | ) | |||||||||||||
Cash dividends and payments for fractional shares | (40,104 | ) | (38,880 | ) | (38,149 | ) | ||||||||||||||||||
Cash dividends | (55,886 | ) | (49,765 | ) | (47,738 | ) | ||||||||||||||||||
Net cash (used in) financing activities | $ | (40,377 | ) | $ | (53,428 | ) | $ | (57,254 | ) | $ | (62,616 | ) | $ | (68,229 | ) | $ | (72,271 | ) | ||||||
Net increase (decrease) in cash and cash equivalents | $ | 3,420 | $ | (24,530 | ) | $ | 25,096 | |||||||||||||||||
Net increase in cash and cash equivalents | $ | 46,235 | $ | 38,947 | $ | 39,267 | ||||||||||||||||||
Cash and cash equivalents at beginning of year | 4,152 | 28,682 | 3,586 | 116,129 | 77,182 | 37,915 | ||||||||||||||||||
Cash and cash equivalents at end of year | $ | 7,572 | $ | 4,152 | $ | 28,682 | $ | 162,364 | $ | 116,129 | $ | 77,182 |
ITEM 9A. | CONTROLS AND PROCEDURES |
9C. |
Plan Category | A. Number of securities to be issued upon exercise of outstanding options, warrants and rights | B. Weighted- average exercise price of Outstanding options, warrants and rights | Number of securities remaining available for Future issuance under Equity compensation plans (excluding securities reflected in column A) | A. Number of securities to be issued upon exercise of outstanding options, warrants and rights | B. Weighted- average exercise price of outstanding options, warrants and rights | Number of securities remaining available for future issuance under equity compensation plans (excluding securities reflected in column A) | ||||||||||||||||||
Equity compensation plans approved by stockholders | 112,030 | $ | 22.88 | 2,813,597 | 5,350 | $ | 33.24 | 182,418 | ||||||||||||||||
Equity compensation plans not approved by stockholders | None | None | None | None | None | None |
2.1 |
among NBT Bancorp Inc., NBT Bank, N.A., Salisbury Bancorp, Inc. and Salisbury Bank and Trust Company (filed as Exhibit 2.1 to Registrant’s Form 8-K, filed on December 5, 2022, and incorporated herein by reference). | |
among NBT Bancorp Inc., NBT Bank, National Association, Salisbury Bancorp, Inc. and Salisbury Bank and Trust Company (filed as Exhibit 2.2 to Registrant’s Form 8-K, filed on August 14, 2023, and incorporated herein by reference). | |
Restated Certificate of Incorporation of NBT Bancorp Inc. as amended through July 1, 2015 (filed as Exhibit 3.1 to | |
Amended and Restated Bylaws of NBT Bancorp Inc. effective | |
Certificate of Designation of the Series A Junior Participating Preferred Stock (filed as Exhibit A to Exhibit 4.1 of the Registrant’s Form 8-K, filed on November 18, 2004, and incorporated herein by reference). | |
Specimen common stock certificate for | |
Description of Registrant’s Securities (filed as Exhibit 4.2 to the Registrant’s Form 10-K for the year ended December 31, 2019, filed on March 2, 2020, and incorporated herein by reference). | |
Subordinated Indenture, dated as of June 23, 2020, between NBT Bancorp Inc. | |
First Supplemental Indenture, dated as of June 23, 2020, between NBT Bancorp Inc. | |
Form of 5.000% Fixed-to-Floating Rate Subordinated Notes due 2030 (included in Exhibit 4.4). | |
NBT Bancorp Inc. Non-employee Directors Restricted and Deferred Stock Plan (filed as Exhibit 10.5 to Registrant’s Form 10-K for the year ended December 31, 2008, filed on March 2, 2009, and incorporated herein by reference).* | |
Supplemental Executive Retirement Agreement between NBT Bancorp Inc. and Martin A. Dietrich as amended and restated January 20, 2010 (filed as Exhibit 10.14 to Registrant’s Form 10-K for the year ended December 31, 2009, filed on March 1, 2010, and incorporated herein by reference).* | |
Split-Dollar Agreement between NBT Bancorp Inc., NBT Bank, National Association and Martin A. Dietrich made November 10, 2008 (filed as Exhibit 10.1 to Registrant’s Form 10-Q for the quarterly period ended September 30, 2008, filed on November 10, 2008, and incorporated herein by reference).* | |
First Amendment dated November 5, 2009 to Split-Dollar Agreement between NBT Bancorp Inc., NBT Bank, National Association and Martin A. Dietrich made November 10, 2008 (filed as Exhibit 10.6 to Registrant’s Form 10-Q for the quarterly period ended September 30, 2009, filed on November 9, 2009, and incorporated herein by reference).* | |
Second Amendment dated July 28, 2014 to Split-Dollar Agreement between NBT Bancorp Inc., NBT Bank, National Association, and Martin A. Dietrich made November 10, 2008 (filed as Exhibit 10.1 to |
NBT Bancorp Inc. 2008 Omnibus Incentive Plan (filed as Appendix A of Registrant’s Definitive Proxy Statement on Form 14A, filed on March 31, 2008, and incorporated herein by reference).* | |
Long-Term Incentive Compensation Plan for Named Executive Officers (filed as Exhibit 10.24 to Registrant’s Form 10-K for the year ended December 31, 2011, filed on February 29, 2012, and incorporated herein by reference).* | |
Amended and Restated Supplemental Retirement Agreement and First Amendment to the Supplemental Retirement Agreement between Alliance Financial Corporation, Alliance Bank, N.A. and Jack H. Webb (filed as Exhibit 10.29 to | |
Employment Agreement, dated December 19, 2016, by and between NBT Bancorp Inc. and John H. Watt, Jr. (filed as Exhibit 10.1 to | |
Split-Dollar Agreement between NBT Bancorp Inc., NBT Bank, National Association and John H. Watt, Jr. dated May 9, 2017 (filed as Exhibit 10.1 to | |
Supplemental Executive Retirement Agreement, dated December 19, 2016 by and between NBT Bancorp Inc. and John H. Watt, Jr. (filed as Exhibit 10.2 to Registrant’s Form 8-K, filed on December 20, 2016, and incorporated herein by reference).* | |
Employment Agreement, dated December 19, 2016, by and between NBT Bancorp Inc. and Joseph R. | |
Employment Agreement, dated | |
Form of Amendment to Employment Agreements, dated September 27, 2017, by and between NBT Bancorp Inc. and John H. Watt, Jr. | |
NBT Bancorp Inc. 2018 Omnibus Incentive Plan (filed as Appendix A of Registrant’s Definitive Proxy Statement on Form 14A, filed on April 6, 2018, and incorporated herein by reference).* | |
Employment Agreement, dated November 1, 2021, by and between NBT Bancorp Inc. and Ruth H. Mahoney (Filed as Exhibit 10.16 to Registrant’s Form 10-K, filed on March 1, 2023, and incorporated herein by reference).* | |
Employment Agreement, dated May 23, 2022, by and between NBT Bancorp Inc. and M. Randolph Sparks (Filed as Exhibit 10.17 to Registrant’s Form 10-K, filed on March 1, 2023, and incorporated herein by reference).* | |
A list of the subsidiaries of the Registrant. | |
Consent of KPMG LLP. | |
Incentive Compensation Recovery Policy. | |
Certification by the Chief Executive Officer pursuant to Rules 13(a)-14(a)/15(d)-14(e) of the Securities and Exchange Act of 1934. | |
Certification by the Chief Financial Officer pursuant to Rules 13(a)-14(a)/15(d)-14(e) of the Securities and Exchange Act of 1934. | |
Certification by the Chief Executive Officer pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | |
Certification of the Chief Financial Officer pursuant to 18 U.S.C. 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002. | |
101.INS | Inline XBRL Instance |
101.SCH | Inline XBRL Taxonomy Extension Schema Document. |
101.CAL | Inline XBRL Taxonomy Extension Calculation Linkbase Document. |
101.DEF | Inline XBRL Taxonomy Extension Definition Linkbase Document. |
101.LAB | Inline XBRL Taxonomy Extension Label Linkbase Document. |
101.PRE | Inline XBRL Taxonomy Extension Presentation Linkbase Document. |
104 | Cover Page Interactive Data File (formatted as Inline XBRL and contained in Exhibit 101). |
* | Management contract or compensatory plan or arrangement. |
(b) | Exhibits to this Form 10-K are attached or incorporated herein by reference as noted above. |
(c) | Not applicable. |
/s/ John H. Watt, Jr. | |
John H. Watt, Jr. | |
Chief Executive Officer |
/s/ Martin A. Dietrich | ||
/s/ James H. Douglas | ||
Martin A. Dietrich | James H. Douglas, Director | |
Chairman and Director | Date: February 29, 2024 | |
Date: |
/s/ John H. Watt, Jr. | ||
/s/ Heidi M. Hoeller | ||
John H. Watt, Jr. | Heidi M. Hoeller, Director | |
President, Chief Executive Officer and Director (Principal Executive Officer) | Date: February 29, 2024 | |
Date: |
/s/ |
/s/ Andrew S. Kowalczyk III | ||
Scott A. Kingsley | Andrew S. Kowalczyk III, Director | |
Chief Financial Officer (Principal Financial Officer) | Date: | |
Date: |
/s/ Annette L. Burns | /s/ V. Daniel Robinson II | |
Annette L. Burns | ||
V. Daniel Robinson II, Director | ||
Chief Accounting Officer (Principal Accounting Officer) | Date: | |
Date: February 29, 2024 |
/s/ Johanna R. Ames | /s/ Matthew J. Salanger | |
Johanna R. Ames, Director | ||
Matthew J. Salanger, Director | ||
Date: | Date: February 29, 2024 |
/s/ Lowell A. Seifter | ||
J. David Brown, Director | ||
Lowell A. Seifter, Director | ||
Date: | Date: February 29, 2024 |
/s/ |
/s/ Jack H. Webb | ||
Richard J. Cantele, Jr., Director | ||
Jack H. Webb, Director | ||
Date: | Date: February 29, 2024 |
/s/ Timothy E. Delaney | ||
Timothy E. Delaney, Director | ||
Date: February 29, 2024 |