Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 22, 2022 | Jun. 30, 2021 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2021 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | HAFC | ||
Entity Registrant Name | HANMI FINANCIAL CORPORATION | ||
Entity Central Index Key | 0001109242 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Well-known Seasoned Issuer | No | ||
ICFR Auditor Attestation Flag | true | ||
Entity Voluntary Filers | No | ||
Entity Filer Category | Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Common Stock, Shares Outstanding | 30,417,949 | ||
Entity Current Reporting Status | Yes | ||
Entity Shell Company | false | ||
Entity File Number | 000-30421 | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 95-4788120 | ||
Entity Address, Address Line One | 900 Wilshire Boulevard | ||
Entity Address, Address Line Two | Suite 1250 | ||
Entity Address, City or Town | Los Angeles | ||
Entity Address, State or Province | CA | ||
Entity Address, Postal Zip Code | 90017 | ||
City Area Code | 213 | ||
Local Phone Number | 382-2200 | ||
Entity Interactive Data Current | Yes | ||
Title of 12(b) Security | Common Stock, $0.001 Par Value | ||
Security Exchange Name | NASDAQ | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Entity Public Float | $ 576,592,961 | ||
Auditor Firm ID | 173 | ||
Auditor Name | Crowe LLP | ||
Auditor Location | Los Angeles, California | ||
Documents Incorporated by Reference | Documents Incorporated By Reference Herein: Sections of the Registrant’s Definitive Proxy Statement for its 2022 Annual Meeting of Stockholders, which will be filed within 120 days of the fiscal year ended December 31, 2021, are incorporated by reference into Part III of this report (or information will be provided by amendment to this Form 10-K), as noted therein. |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Assets | ||
Cash and due from banks | $ 608,965 | $ 391,849 |
Securities available for sale, at fair value (amortized cost of $922,654 and $749,458 as of December 31, 2021 and 2020, respectively) | 910,790 | 753,781 |
Loans held for sale, at the lower of cost or fair value | 13,342 | 8,568 |
Loans receivable, net of allowance for credit losses of $72,557 and $90,426 as of December 31, 2021 and 2020, respectively | 5,078,984 | 4,789,742 |
Accrued interest receivable | 11,976 | 16,363 |
Premises and equipment, net | 24,788 | 26,431 |
Customers' liability on acceptances | 1,319 | |
Servicing assets | 7,080 | 6,212 |
Goodwill and other intangible assets, net | 11,395 | 11,612 |
Federal Home Loan Bank ("FHLB") stock, at cost | 16,385 | 16,385 |
Income tax assets | 44,060 | 42,704 |
Bank-owned life insurance | 54,905 | 53,894 |
Prepaid expenses and other assets | 75,917 | 83,028 |
Total assets | 6,858,587 | 6,201,888 |
Deposits: | ||
Noninterest-bearing | 2,574,517 | 1,898,766 |
Interest-bearing | 3,211,752 | 3,376,242 |
Total deposits | 5,786,269 | 5,275,008 |
Accrued interest payable | 1,161 | 4,564 |
Bank's liability on acceptances | 1,319 | |
Borrowings | 137,500 | 150,000 |
Subordinated debentures ($224,100 and $126,800 face amount less unamortized discount and debt issuance costs of $9,094 and $7,828 as of December 31, 2021 and 2020, respectively) | 215,006 | 118,972 |
Accrued expenses and other liabilities | 75,234 | 74,981 |
Total liabilities | 6,215,170 | 5,624,844 |
Stockholders' equity: | ||
Preferred Stock, $0.001 par value; authorized 10,000,000 shares; no shares issued as of December 31, 2021 and December 31, 2020 | ||
Common stock, $0.001 par value; authorized 62,500,000 shares; issued 33,603,839 shares (30,407,261 shares outstanding) and 33,560,801 shares (30,717,835 shares outstanding) as of December 31, 2021 and 2020, respectively | 33 | 33 |
Additional paid-in capital | 580,796 | 578,360 |
Accumulated other comprehensive income, net of tax benefit of $3,421 and net of tax expense of $1,247 as of December 31, 2021 and 2020, respectively | (8,443) | 3,076 |
Retained earnings | 196,784 | 114,621 |
Less: treasury stock; 3,196,578 shares and 2,842,966 shares as of December 31, 2021 and 2020, respectively | (125,753) | (119,046) |
Total stockholders' equity | 643,417 | 577,044 |
Total liabilities and stockholders' equity | $ 6,858,587 | $ 6,201,888 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Statement Of Financial Position [Abstract] | ||
Amortized cost of securities available for sale | $ 922,654 | $ 749,458 |
Loans receivable, allowance for credit losses | 72,557 | 90,426 |
Face amount of subordinated debentures | 224,100 | 126,800 |
Unamortized discount and debt issuance costs | $ 9,094 | $ 7,828 |
Preferred stock par value (in USD per share) | $ 0.001 | $ 0.001 |
Preferred stock authorized (shares) | 10,000,000 | 10,000,000 |
Preferred stock issued (shares) | 0 | 0 |
Common stock par value (in USD per share) | $ 0.001 | $ 0.001 |
Common stock authorized (shares) | 62,500,000 | 62,500,000 |
Common stock issued (shares) | 33,603,839 | 33,560,801 |
Common stock outstanding (shares) | 30,407,261 | 30,717,835 |
Accumulated other comprehensive income, tax (benefit) expense | $ (3,421) | $ 1,247 |
Treasury stock (shares) | 3,196,578 | 2,842,966 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Interest and dividend income: | |||
Interest and fees on loans receivable | $ 208,602 | $ 211,836 | $ 229,402 |
Interest on securities | 6,230 | 10,536 | 14,661 |
Dividends on FHLB stock | 941 | 902 | 1,147 |
Interest on deposits in other banks | 902 | 592 | 1,562 |
Total interest and dividend income | 216,675 | 223,866 | 246,772 |
Interest expense: | |||
Interest on deposits | 11,655 | 33,994 | 63,105 |
Interest on borrowings | 1,697 | 2,367 | 763 |
Interest on subordinated debentures | 8,273 | 6,607 | 7,032 |
Total interest expense | 21,625 | 42,968 | 70,900 |
Net interest income before credit loss expense | 195,050 | 180,898 | 175,872 |
Credit loss (recovery) expense | (24,403) | 45,454 | 30,170 |
Net interest income after credit loss (recovery) expense | 219,453 | 135,444 | 145,702 |
Noninterest income: | |||
Service charges on deposit accounts | 11,043 | 8,485 | 9,951 |
Trade finance and other service charges and fees | 4,628 | 4,033 | 4,786 |
Gain on sale of Small Business Administration ("SBA") loans | 17,266 | 5,247 | 5,251 |
Net gain (loss) on sales of securities | (499) | 15,712 | 1,295 |
Other operating income | 8,058 | 9,627 | 6,269 |
Total noninterest income | 40,496 | 43,104 | 27,552 |
Noninterest expense: | |||
Salaries and employee benefits | 72,561 | 66,988 | 67,900 |
Occupancy and equipment | 19,075 | 18,283 | 17,064 |
Data processing | 12,003 | 11,222 | 8,755 |
Professional fees | 5,566 | 6,771 | 9,060 |
Supplies and communications | 3,026 | 3,096 | 2,936 |
Advertising and promotion | 2,649 | 2,671 | 3,797 |
Other operating expenses | 9,575 | 10,022 | 16,394 |
Total noninterest expense | 124,455 | 119,053 | 125,906 |
Income before tax | 135,494 | 59,495 | 47,348 |
Income tax expense | 36,817 | 17,299 | 14,560 |
Net income | $ 98,677 | $ 42,196 | $ 32,788 |
Basic earnings per share | $ 3.22 | $ 1.38 | $ 1.06 |
Diluted earnings per share | $ 3.22 | $ 1.38 | $ 1.06 |
Weighted-average shares outstanding: | |||
Basic | 30,393,559 | 30,280,415 | 30,725,376 |
Diluted | 30,471,747 | 30,280,415 | 30,760,422 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement Of Income And Comprehensive Income [Abstract] | |||
Net income | $ 98,677 | $ 42,196 | $ 32,788 |
Unrealized gain (loss) on securities: | |||
Unrealized holding gain (loss) arising during period | (16,686) | 15,283 | 14,583 |
Less: reclassification adjustment for net loss (gain) included in net income | 499 | (15,712) | (1,295) |
Income tax benefit (expense) related to items of other comprehensive income | 4,668 | 123 | (3,827) |
Other comprehensive income (loss), net of tax | (11,519) | (306) | 9,461 |
Comprehensive income | $ 87,158 | $ 41,890 | $ 42,249 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Total | Cumulative Effect Period of Adoption Adjustment | Cumulative Effect Period of Adoption Adjusted Balance | Common Stock - Number of Shares, Shares Issued | Common Stock - Number of Shares, Shares IssuedCumulative Effect Period of Adoption Adjusted Balance | Common Stock - Number of Shares, Treasury Shares | Common Stock - Number of Shares, Treasury SharesCumulative Effect Period of Adoption Adjusted Balance | Additional Paid-in Capital | Additional Paid-in CapitalCumulative Effect Period of Adoption Adjusted Balance | Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss)Cumulative Effect Period of Adoption Adjusted Balance | Retained Earnings | Retained EarningsCumulative Effect Period of Adoption Adjustment | Retained EarningsCumulative Effect Period of Adoption Adjusted Balance |
Balance at beginning of period at Dec. 31, 2018 | $ 552,568 | $ 33 | $ (108,637) | $ 569,712 | $ (6,079) | $ 97,539 | ||||||||
Beginning balance, shares issued (shares) at Dec. 31, 2018 | 33,202,369 | |||||||||||||
Beginning balance, treasury stock (shares) at Dec. 31, 2018 | (2,273,932) | |||||||||||||
Beginning balance, shares outstanding (shares) at Dec. 31, 2018 | 30,928,437 | |||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||
Stock options exercised | 2,979 | 2,979 | ||||||||||||
Stock options exercised (shares) | 181,900 | |||||||||||||
Restricted stock awards, net of forfeitures (shares) | 91,133 | |||||||||||||
Share-based compensation expense | 3,125 | 3,125 | ||||||||||||
Restricted stock surrendered due to employee tax liability | (517) | $ (517) | ||||||||||||
Restricted stock surrendered due to employee tax liability (shares) | (26,846) | (26,846) | ||||||||||||
Repurchase of common stock | (7,362) | $ (7,362) | ||||||||||||
Repurchase of common stock (shares) | (375,000) | (375,000) | ||||||||||||
Cash dividends paid (common stock, $0.96/share, $0.52/share, $0.52/share) | (29,776) | (29,776) | ||||||||||||
Net income | 32,788 | 32,788 | ||||||||||||
Change in unrealized gain (loss) on securities available for sale, net of income taxes | 9,461 | 9,461 | ||||||||||||
Balance at end of period at Dec. 31, 2019 | 563,267 | $ 33 | $ (116,515) | 575,816 | 3,382 | 100,551 | ||||||||
Balance at end of period (ASU 2016-13) at Dec. 31, 2019 | $ (12,167) | $ (12,167) | ||||||||||||
Ending balance, shares issued (shares) at Dec. 31, 2019 | 33,475,402 | 33,475,402 | ||||||||||||
Ending balance, treasury stock (shares) at Dec. 31, 2019 | (2,675,778) | (2,675,778) | ||||||||||||
Ending balance, shares outstanding (shares) at Dec. 31, 2019 | 30,799,624 | 30,799,624 | ||||||||||||
Adjusted balance at Dec. 31, 2019 | $ 551,100 | $ 33 | $ (116,515) | $ 575,816 | $ 3,382 | $ 88,384 | ||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||
Restricted stock awards, net of forfeitures (shares) | 85,399 | |||||||||||||
Share-based compensation expense | 2,544 | 2,544 | ||||||||||||
Restricted stock surrendered due to employee tax liability | (335) | $ (335) | ||||||||||||
Restricted stock surrendered due to employee tax liability (shares) | (31,788) | (31,788) | ||||||||||||
Repurchase of common stock | (2,196) | $ (2,196) | ||||||||||||
Repurchase of common stock (shares) | (135,400) | (135,400) | ||||||||||||
Cash dividends paid (common stock, $0.96/share, $0.52/share, $0.52/share) | (15,960) | (15,960) | ||||||||||||
Net income | 42,196 | 42,196 | ||||||||||||
Change in unrealized gain (loss) on securities available for sale, net of income taxes | (306) | (306) | ||||||||||||
Balance at end of period at Dec. 31, 2020 | $ 577,044 | $ 33 | $ (119,046) | 578,360 | 3,076 | 114,621 | ||||||||
Ending balance, shares issued (shares) at Dec. 31, 2020 | 33,560,801 | |||||||||||||
Ending balance, treasury stock (shares) at Dec. 31, 2020 | (2,842,966) | (2,842,966) | ||||||||||||
Ending balance, shares outstanding (shares) at Dec. 31, 2020 | 30,717,835 | |||||||||||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||||||||
Restricted stock awards, net of forfeitures (shares) | 43,038 | |||||||||||||
Share-based compensation expense | $ 2,436 | 2,436 | ||||||||||||
Restricted stock surrendered due to employee tax liability | (572) | $ (572) | ||||||||||||
Restricted stock surrendered due to employee tax liability (shares) | (24,953) | (24,953) | ||||||||||||
Repurchase of common stock | (6,135) | $ (6,135) | ||||||||||||
Repurchase of common stock (shares) | (328,659) | (328,659) | ||||||||||||
Cash dividends paid (common stock, $0.96/share, $0.52/share, $0.52/share) | (16,514) | (16,514) | ||||||||||||
Net income | 98,677 | 98,677 | ||||||||||||
Change in unrealized gain (loss) on securities available for sale, net of income taxes | (11,519) | (11,519) | ||||||||||||
Balance at end of period at Dec. 31, 2021 | $ 643,417 | $ 33 | $ (125,753) | $ 580,796 | $ (8,443) | $ 196,784 | ||||||||
Ending balance, shares issued (shares) at Dec. 31, 2021 | 33,603,839 | |||||||||||||
Ending balance, treasury stock (shares) at Dec. 31, 2021 | (3,196,578) | (3,196,578) | ||||||||||||
Ending balance, shares outstanding (shares) at Dec. 31, 2021 | 30,407,261 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement Of Stockholders Equity [Abstract] | |||
Common stock (in usd per share) | $ 0.54 | $ 0.52 | $ 0.96 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash flows from operating activities: | |||
Net income | $ 98,677 | $ 42,196 | $ 32,788 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 16,089 | 10,952 | 9,532 |
Share-based compensation expense | 2,436 | 2,544 | 3,125 |
Credit loss expense (recovery) | (24,403) | 45,454 | 30,170 |
(Gain) loss on sales of securities | 499 | (15,712) | (1,295) |
Gain on sales of SBA loans | (17,266) | (5,247) | (5,251) |
Origination of SBA loans held for sale | (265,743) | (71,692) | (76,765) |
Proceeds from sales of SBA loans | 274,132 | 63,805 | 74,866 |
Change in bank-owned life insurance | (1,011) | (1,112) | (1,121) |
Change in prepaid expenses and other assets | 2,612 | (29,986) | (5,770) |
Change in income tax assets | 3,312 | (2,004) | (4,859) |
Change in accrued expenses and other liabilities | 4,395 | 21,006 | 3,376 |
Net cash provided by (used in) operating activities | 93,729 | 60,203 | 58,796 |
Cash flows from investing activities: | |||
Purchases of securities available for sale | (513,243) | (837,264) | (320,815) |
Proceeds from matured, called and repayment of securities | 275,624 | 233,572 | 159,942 |
Proceeds from sales of securities available for sale | 55,884 | 495,566 | 113,306 |
Purchases of loans receivable | (28,862) | (10,400) | |
Purchases of premises and equipment | (2,724) | (4,392) | (1,579) |
Proceeds from disposition of premises and equipment | 45 | 842 | 5,655 |
Proceeds from sales of other real estate owned ("OREO") | 1,479 | 159 | 716 |
Change in loans receivable, excluding purchases | (235,242) | (285,670) | (1,770) |
Net cash provided by (used in) investing activities | (447,039) | (407,587) | (44,545) |
Cash flows from financing activities: | |||
Change in deposits | 511,261 | 576,046 | (48,273) |
Change in overnight borrowings | (15,000) | (75,000) | |
Proceeds from (repayment of) borrowings | (12,500) | 75,000 | 110,000 |
Issuance of subordinated debentures | 107,929 | ||
Purchase of subordinated debentures | (13,043) | ||
Proceeds from exercise of stock options | 2,979 | ||
Cash paid for surrender of vested shares due to employee tax liability | (572) | (335) | (517) |
Repurchase of common stock | (6,135) | (2,196) | (7,362) |
Cash dividends paid | (16,514) | (15,960) | (29,776) |
Net cash provided by (used in) financing activities | 570,426 | 617,555 | (47,949) |
Net increase (decrease) in cash and due from banks | 217,116 | 270,171 | (33,698) |
Cash and due from banks at beginning of year | 391,849 | 121,678 | 155,376 |
Cash and due from banks at end of period | 608,965 | 391,849 | 121,678 |
Supplemental disclosures of cash flow information: | |||
Interest expense paid | 25,028 | 49,619 | 71,064 |
Income taxes paid | 31,400 | 18,020 | 15,570 |
Non-cash activities: | |||
Transfer of loans receivable to other real estate owned | 2,652 | 248 | |
Income tax (expense) benefit related to items of other comprehensive income | 4,668 | 123 | (3,827) |
Change in right-of-use asset obtained in exchange for lease liability | $ 2,805 | $ 23,207 | $ 43,085 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Note 1 — Summary of Significant Accounting Policies Summary of Operations Hanmi Financial Corporation (“Hanmi Financial,” the “Company,” “we,” “us” or “our”) is the holding company of Hanmi Bank (the “Bank”). The Bank is a California state-chartered financial institution insured by the Federal Deposit Insurance Corporation (the “FDIC”). The Bank is a state nonmember bank and the FDIC is its primary federal bank regulator. The California Department of Financial Protection and Innovation is the Bank's primary state bank regulator. The Bank’s primary operations are related to traditional banking activities, including the acceptance of deposits and originating loans and investing in securities. The Bank is a community bank conducting general business banking, with its primary market encompassing the Korean-American and other ethnic communities. The Bank’s full-service offices are located in markets where many of the businesses are owned by immigrants and other minority groups. The Bank’s client base reflects the multi-ethnic composition of these communities. As of December 31, 2021, the Bank maintained a network of 35 full-service branch offices and 8 loan production offices in California, Texas, Illinois, Virginia, New Jersey, New York, Colorado, Georgia and Washington State. Basis of Presentation The accounting and reporting policies of Hanmi Financial and subsidiaries conform, in all material respects, to U.S. generally accepted accounting principles (“GAAP”) and general practices within the banking industry. The information set forth in the following notes is presented on a continuing operations basis. The following is a summary of the significant accounting policies consistently applied in the preparation of the accompanying Consolidated Financial Statements. Principles of Consolidation The Consolidated Financial Statements include the accounts of Hanmi Financial and its wholly-owned subsidiaries, the Bank and Hanmi Financial Corporation Statutory Trust I. All intercompany transactions and balances have been eliminated in consolidation. Use of Estimates in the Preparation of Financial Statements The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The COVID-19 pandemic has and may continue to materially impact the operations and business results of the Company. The extent to which the COVID-19 crisis may impact business activity or financial results will depend on future developments, which are highly uncertain and cannot be predicted, including new information which may emerge concerning the severity of the coronavirus or new variants and the actions required to contain the coronavirus or treat its impact, among others. This uncertainty may impact the accuracy of our significant estimates, which includes the allowance for credit losses, the allowance for credit losses related to off-balance sheet items, and the valuation of intangible assets including deferred tax assets, goodwill, and servicing assets. Reclassifications Certain amounts in the prior years' financial statements and related disclosures were reclassified to conform to the current year presentation with no effect on previously reported net income, stockholders’ equity or cash flows. Segment Reporting Through our branch network and lending units, we provide a broad range of financial services to individuals and companies. These services include demand, time and savings deposits; and commercial and industrial, real estate and consumer lending. While our chief decision makers monitor the revenue streams of our various products and services, operations are managed and financial performance is evaluated on a company-wide basis. Accordingly, we consider all of our operations to be aggregated in one reportable operating segment. Cash and Due from Banks Cash and due from banks include cash, deposits with other financial institutions, and federal funds sold. Net cash flows are reported for customer loan and deposit transactions, interest bearing deposits in other financial institutions, and federal funds purchased and repurchase agreements. Securities Securities are classified into three categories and accounted for as follows: (i) Securities that we have the positive intent and ability to hold to maturity are classified as “held to maturity” and reported at amortized cost; (ii) Securities that are bought and held principally for the purpose of selling them in the near future are classified as “trading securities” and reported at fair value. Unrealized gains and losses are recognized in earnings; (iii) Securities not classified as held to maturity or trading securities are classified as “available for sale” and reported at fair value. Unrealized gains and losses are reported either in earnings or as a separate component of stockholders’ equity as accumulated other comprehensive income, net of income taxes. Substantially all of the securities held by the Company are available for sale debt securities. For available-for-sale debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or it is more likely than not that it will be required to sell, the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through income. For available-for-sale debt securities that do not meet the aforementioned criteria, the Company evaluates whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss is recorded and an allowance for credit losses is established, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income. Changes in the allowance for credit losses are recorded as a provision for (or reversal of) credit loss expense. Losses are charged against the allowance when management believes the risk of default of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Accrued interest receivable on available-for-sale debt securities totaled $1.9 million and $1.2 million at December 31, 2021 and 2020, respectively, and was excluded from the estimate of credit losses. Loans receivable Originated loans: Loans are primarily originated by the Company with the intent to hold them for investment and are stated at the principal amount outstanding, net of deferred fees and costs. Net deferred fees and costs include nonrefundable loan fees, direct loan origination costs and initial direct costs. Net deferred fees or costs are recognized as an adjustment to interest income over the contractual life of the loans using the effective interest method or taken into income when the related loans are paid off or sold. The amortization of loan fees or costs is discontinued when a loan is placed on nonaccrual status. Interest income is recorded on an accrual basis in accordance with the terms of the respective loan and includes prepayment penalties. Equipment leases are similar to commercial business loans in that the leases are typically made on the basis of the borrower’s ability to make repayment from the cash flows of the borrower’s business. Nonaccrual loans and nonperforming assets: Loans are placed on nonaccrual status when, in the opinion of management, the full timely collection of principal or interest is in doubt. Generally, the accrual of interest is discontinued when principal or interest payments become 90 or more days past due, unless management believes the loan is adequately collateralized and is in the process of collection. However, in certain instances, we may place a particular loan on nonaccrual status earlier, depending upon the individual circumstances surrounding the loan’s status. When an asset is placed on nonaccrual, previously accrued but unpaid interest is reversed against current interest income. Subsequent collections of cash are applied as principal reductions when received, except when the ultimate collectability of principal is probable, in which case interest payments are credited to income. Nonaccrual assets may be restored to accrual status when principal and interest become current and full repayment is expected, which generally occurs after payments of six months. Interest income is recognized on the accrual basis for impaired loans not meeting the criteria for nonaccrual. Nonperforming assets consist of loans on nonaccrual status, loans 90 days or more past due and still accruing interest, loans restructured with troubled borrowers where the terms of repayment have been renegotiated resulting in a reduction or deferral of interest or principal, other real estate owned (“OREO”), and other repossessed personal property. Loans held for sale Loans originated, or transferred from loans receivable, and intended for sale in the secondary market are carried at the lower of aggregate cost or fair market value. Fair market value, if lower than cost, is determined based on valuations obtained from market participants or the value of underlying collateral, calculated individually. A valuation allowance is established if the market value of such loans is lower than their cost and net unrealized losses, if any, are recognized through a valuation allowance by charges to income. Origination fees on loans held for sale, net of certain costs of processing and closing the loans, are deferred until the time of sale and are included in the computation of the gain or loss from the sale of the related loans. Allowance for credit losses On January 1, 2020, the Company adopted ASU 2016-13 Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which replaced the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (“CECL”) approach. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments) and net investments in leases recognized by a lessor in accordance with Topic 842 on leases. In addition, ASU 2016-13 made changes to the accounting for available-for sale debt securities. The Company adopted ASU 2016-13 using the prospective transition approach for debt securities for which the Company would have recognized other-than-temporary impairment prior to January 1, 2020. However, the Company had no such securities and as a result, there was no effect on the balance sheet related to securities from the adoption of ASU 2016-13. As a result, the amortized cost basis remained the same before and after the effective date of ASU 2016-13. The Company adopted ASU 2016-13 using the modified retrospective approach for loans carried at amortized cost. This approach resulted in the following changes effective January 1, 2020: a $17.4 million increase to the balance of the allowance for credit losses; a $335,000 decrease to the allowance for off-balance sheet items; and an after-tax charge of $12.2 million to retained earnings. According to ASU 2016-13, the Company was required to measure its expected credit losses of financial assets on a collective (pool) basis when similar risk characteristic(s) exist. The Company segmented the loans primarily by loan types, including the collateral type, loan purpose, contract term, amortization and payment structure, considering that the same type of loans share considerable similar risk characteristics. Depending on the nature of the pool of financial assets with similar risk characteristics, the Company used a Discounted Cash Flow (“DCF”) method, a Probability of Default/Loss Given Default (“PD/LGD”) method, or a Weighted Average Remaining Maturity (“WARM”) method to estimate expected credit losses. The Company’s methodologies for estimating the allowance for credit losses considered available relevant information about the collectability of cash flows, including information about past events, current conditions, and reasonable and supportable forecasts. The methodologies applied historical loss information, adjusted for asset-specific characteristics, economic conditions at the measurement date, and forecasts about future economic conditions expected to exist through the contractual lives of the financial assets that were reasonable and supportable, to the identified pools of financial assets with similar risk characteristics. The Company’s methodologies revert to historical loss rates on a straight-line basis over twelve quarters when reasonable supportable long-term (1 year or more) forecasts cannot be developed. The Company has disaggregated the portfolios of financial assets into the following material segments of loans or leases with similar risk characteristics using the following methodologies: At January 1, 2020, the Company used the DCF method to estimate allowances for credit losses for the commercial property, construction, and residential real estate loan portfolios and the commercial and industrial loan portfolio. During the quarter ended June 30, 2020, management determined that, due to model limitations, the regression model that supports the DCF calculation for the commercial property, construction, and residential real estate portfolios did not take into account the high degree of uncertainty of the impact of the COVID-19 pandemic and related government assistance programs on these portfolios. As a result, subsequent to March 31, 2020, the Company determined that the Probability of PD/LGD method was more appropriate for these portfolios. This change did not result in a material impact on the Company’s financial statements. For all loan pools utilizing the DCF method, the Company utilized and forecasted the national unemployment rate as the primary loss driver. The Company also utilized and forecasted either the annualized average return rate from the National Council of Real Estate Investment Fiduciaries Property Index for commercial real estate loans or the one-year percentage change in the S&P/Case-Shiller U.S National Home Price Index for residential real estate loans as a second loss driver depending on the nature of the underlying loan pool and how well that loss driver correlated to expected future losses. For all DCF models at January 1, 2020, the Company determined that four quarters represented a reasonable and supportable forecast period and reverted to a historical loss rate over twelve quarters on a straight-line basis. The Company leveraged quarterly economic projections from the Federal Open Market Committee (“FOMC”) and the Federal Reserve Economic Data (“FRED”) to inform its loss driver forecasts over the four-quarter forecast period. During the quarter ended June 30, 2020, the Company changed from using the FRED unemployment forecast to the Moody’s unemployment forecast, as Moody’s updates the unemployment forecast on a more frequent and timely basis, and thus provided a more appropriate basis for periodically re-estimating future cash flows. For each of these loan segments, the Company applied an expected loss ratio based on the discounted cash flows adjusted as appropriate for qualitative factors. Qualitative loss factors are based on the Company's judgment of company, market, industry or business specific data, changes in the underlying loan composition of specific portfolios, trends relating to credit quality, delinquency, nonperforming and adversely rated loans, and reasonable and supportable forecasts of economic conditions. The Company used the PD/LGD method for the SBA portfolio to accommodate the unique nature of these loans. Although the PD/LGD methodology is an element of the DCF model, the stand-alone PD/LGD methodology minimizes complications related to the characteristics of SBA loans. A uniqueness of the SBA portfolio is that U.S. Small Business Administration policy requires servicers to undertake all reasonable collection efforts before charging-off the loan. As a result, the recovery rate for SBA loans tend to be more volatile and not intuitively correlated to economic factors. The Company used the WARM method to estimate expected credit losses for equipment financing agreements or the equipment lease receivables portfolio. The Company applied an expected loss ratio based on internal historical losses adjusted as appropriate for qualitative factors. The Company's evaluation of market, industry or business specific data, changes in the underlying portfolio composition, trends relating to credit quality, delinquency, nonperforming and adversely rated leases, and reasonable and supportable forecasts of economic conditions informed the estimate of qualitative factors. As permitted by ASU 2016-13, the Company elected to maintain pools of loans accounted for under ASC 310-30. In accordance with the standard, management did not reassess whether modifications to individual acquired financial assets accounted for in pools were troubled debt restructurings as of the date of adoption. The Company estimated the allowance for credit losses on loans based on the underlying assets’ amortized cost basis. In the event that collection of principal becomes uncertain, the Company has policies in place to reverse accrued interest in a timely manner. Therefore, the Company has a policy to exclude accrued interest from the measurement of allowance for credit losses. Expected credit losses are reflected in the allowance for credit losses through a charge to credit loss expense. When the Company deems all or a portion of a financial asset to be uncollectible, the appropriate amount is written off and the allowance for credit losses is reduced by the same amount. Subsequent recoveries, if any, are credited to the allowance for credit losses when received. The following table illustrates the allowance for credit losses and the related impact under ASU 2016-13 to the Company as of January 1, 2020. As Reported Under ASU 2016-13 Pre-ASU 2016-13 Adoption Impact of ASU 2016-13 Adoption Real estate loans: Commercial property Retail $ 6,785 $ 4,911 $ 1,873 Hospitality 12,387 6,686 5,702 Other 13,415 8,060 5,355 Total commercial property loans 32,587 19,657 12,930 Construction loans 15,590 15,003 587 Residential/consumer loans 2,286 1,775 510 Total real estate loans 50,463 36,435 14,027 Commercial and industrial loans: Commercial term loans 12,175 14,077 (1,903 ) Commercial lines of credit 1,358 1,887 (529 ) International loans 176 242 (65 ) Total commercial loans 13,709 16,206 (2,497 ) Leases receivable 14,669 8,767 5,902 Allowance for credit losses on loans receivable $ 78,841 $ 61,408 $ 17,432 Allowance for credit losses on off-balance sheet items $ 2,062 $ 2,398 $ (335 ) Prior to January 1, 2020, the Company followed an “incurred loss” approach in determining the allowance for credit losses. Under the incurred loss methodology, the allowance for credit losses represented management’s estimate of probable incurred losses inherent in the loan portfolio. Management’s estimates were based on: previous loss experience; the growth, size and composition of the loan portfolio; the value of collateral; and current economic conditions. These estimates were inherently uncertain and depended on the outcome of future events. The allowance was determined through an analysis involving quantitative calculations based on historic loss rates and qualitative adjustments to account for risk and uncertainties, as well as general allowances and individual impairment calculations for certain individual loans. For 2019, the Company utilized a 35-quarter look-back period, anchored to the first quarter of 2012, with equal weighting to all quarters. Management determined it was appropriate to anchor the look-back period, in consideration for a prolonged period of low losses and the procyclical nature of provisioning. The anchoring allowed the Bank to better capture the economic cycle while improving the ability to measure losses. To determine general allowance requirements, existing loans were divided into eleven general pools of risk-rated loans as well as three homogeneous loan pools. For risk-rated loans, a migration analysis allocated historical losses by loan pool and risk grade to determine risk factors for potential losses inherent in the loan portfolio. Since the homogeneous loans were bulk graded, the risk grade was not factored into the historical loss analysis. In addition, specific allowances were allocated for loans deemed “nonperforming.” When determining the appropriate level for allowance for credit losses, management considered qualitative adjustments for any factors that were likely to cause estimated losses associated with the Company’s portfolio to differ from historical loss experience, including, but not limited to, national and local economic and business conditions, volume and geographic concentrations, and problem loan trends. To systematically quantify the credit risk impact of trends and changes within the loan portfolio, a credit risk matrix was utilized. The qualitative factors were considered on a loan pool by loan pool basis subsequent to, and in conjunction with, a loss migration analysis. The credit risk matrix provided various scenarios with positive or negative impact on the portfolio along with corresponding basis points for qualitative adjustments. Loans were measured for impairment when it was probable that not all amounts, including principal and interest, were to be collected in accordance with the original contractual terms of the loan agreement. The amount of impairment and any subsequent changes were recorded through the provision for credit losses as an adjustment to the allowance for credit losses. Recoveries were applied to the allowance fo r credit losses when realized. The Company charged or credited the income statement for changes to the estimated allowance at least quarterly based upon the allowance need. In general, the Company recognized a charge off when management determined a loan was uncollectable. To determine if a loan should be charged off, possible sources of repayment were analyzed, including the potential for future cash flows from income or liquidation of other assets, the value of any collateral, and the strength of co-makers or guarantors. When these sources did not provide a reasonable probability that principal could be collected in full, the Company fully or partially charged off the loan. For real estate loans, including commercial term loans secured by collateral, a loan was considered nonperforming if the loan was 90 or more days past due. In a case where the fair value of collateral was less than the loan balance and the borrower had no other assets or income to support repayment, the amount of the deficiency was considered a loss and charged off. For commercial and industrial loans other than those secured by real estate, if the borrower was in the process of a bankruptcy filing in which the Company was an unsecured creditor or deemed virtually unsecured by lack of collateral equity or lien position and the borrower had no realizable equity in assets and prospects for recovery are negligible, the loan was considered a loss and charged off. Additionally, commercial and industrial unsecured loans that are more than 120 days past due were considered a loss and charged off. For unsecured consumer loans where the borrower files for bankruptcy, the loan was considered a loss within 60 days of receipt of notification of filing from the bankruptcy court. Other unsecured consumer loans were considered a loss if they were more than 90 days past due. Other events, such as fraud or death result in charge offs being recorded in an earlier period. Credit Losses on Off-Balance Sheet Credit Exposures The Company has credit loss exposure for off-balance sheet lending commitments and letters of credit. The Company estimates expected credit losses for off-balance sheet exposures over the contractual period in which it is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. Adjustments to the allowance for credit losses on off-balance sheet credit exposures is recognized as a provision for credit loss expense. Individually Evaluated Loans Prior to the adoption of ASU 2016-13, impaired loans were measured based on the present value of expected future cash flows discounted at the loan's effective interest rate or, as a practical expedient, at the loan's observable market price or the fair value of the collateral if the loan was collateral dependent, less estimated costs to sell. If the estimated value of the impaired loan was less than the recorded investment in the loan, the Company charged-off the deficiency against the allowance for credit losses or we established a specific allowance in the allowance for credit losses. Additionally, we excluded from the quarterly migration analysis impaired loans when determining the amount of the allowance for credit losses required for the period. Under ASU 2016-13, the Company reviews all loans on an individual basis when they do not share similar risk characteristics with loan pools. Troubled Debt Restructuring A loan is identified as a TDR when a borrower is experiencing financial difficulties and, for economic or legal reasons related to these difficulties, the Company grants a concession to the borrower in the restructuring that it would not otherwise consider. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without the modification. This evaluation is performed under the Company’s internal underwriting policy. The Company has granted a concession when, as a result of the restructuring, it does not expect to collect all amounts due, including principal and/or interest accrued at the original terms of the loan. The concessions may be granted in various forms, including a below-market change in the stated interest rate, a reduction in the loan balance or accrued interest, an extension of the maturity date, or a note split with principal forgiveness. Generally, a nonaccrual loan that is restructured remains on nonaccrual status for a period of six months to demonstrate that the borrower can perform under the restructured terms. If the borrower’s performance under the new terms is not reasonably assured, the loan remains classified as a nonaccrual loan. Premises and Equipment Premises and equipment are stated at cost, less accumulated depreciation and amortization. Depreciation and amortization are computed on the straight-line method over the estimated useful lives of the various classes of assets. The ranges of useful lives for the principal classes of assets are as follows: Buildings and improvements 10 to 30 years Furniture and equipment 3 to 10 years Leasehold improvements Term of lease or useful life, whichever is shorter Software 3 years Impairment of Long-Lived Assets We review long-lived assets and certain identifiable intangibles for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net undiscounted cash flows expected to be generated by the asset. If such assets are considered to be nonperforming, the individual amount to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. Other Real Estate Owned and Repossessed Personal Property Other real estate owned includes real estate acquired through foreclosure and other real estate holdings that are not used in the operation of the Company’s business. Other repossessed personal property primarily consists of repossessed leasing equipment. Other real estate owned and repossessed personal property are recorded at the lower of cost or fair value less estimated costs to sell. Subsequent declines in fair value are recorded through expense. Servicing Assets Servicing assets are initially recorded at fair value, which represents the price paid, and amortized in proportion to, and over the period of, estimated net servicing income. Servicing assets are recorded based on the present value of the contractually specified servicing fee, net of adequate compensation cost, for the estimated life of the loan, using a discount rate and a constant prepayment rate. Management periodically evaluates the servicing assets for impairment. Impairment, if it occurs, is recognized in a valuation allowance in the period of impairment. Goodwill and Other Intangible Assets Goodwill and other intangible assets consist of acquired intangible assets arising from acquisitions, including core deposit and third-party originator intangibles. The acquired intangible assets are initially measured at fair value and then are amortized on the straight-line method over their estimated useful lives while goodwill is not amortized. Goodwill and other intangible assets are assessed for impairment annually or whenever events or changes in circumstances indicate the carrying amount may not be recoverable. The Company performed its annual impairment test and determined no impairment existed as of December 31, 2021. Federal Home Loan Bank Stock The Bank is a member of the FHLB of San Francisco and is required to own common stock in the FHLB based upon the Bank’s balance of outstanding FHLB advances. FHLB stock is carried at cost and may be sold back to the FHLB at its carrying value. FHLB stock is periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends received are reported as dividend income. Bank-Owned Life Insurance We have purchased single premium life insurance policies (“bank-owned life insurance”) on certain officers. The Bank and named beneficiaries of various current covered officers are the beneficiaries under each policy. In the event of the death of a covered officer, the Bank and named beneficiaries of the covered officer will receive the specified insurance benefit from the insurance carrier. Bank-owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due, if any, that are probable at settlement. Under the Split Dollar Death Benefit Agreement, upon death of an active employee, the designated beneficiary(ies) are eligible to receive benefits, which in the aggregate, totaled $3.0 million at December 31, 2021. Income Tax We provide for income taxes using the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to appl |
Securities
Securities | 12 Months Ended |
Dec. 31, 2021 | |
Investments Debt And Equity Securities [Abstract] | |
Securities | Note 2 — Securities The following is a summary of securities available for sale as of December 31, 2021 and 2020: Gross Gross Estimated Amortized Unrealized Unrealized Fair Cost Gain Loss Value (in thousands) December 31, 2021 U.S. Treasury securities $ 15,457 $ 1 $ (61 ) $ 15,397 U.S. government agency and sponsored agency obligations: Mortgage-backed securities 615,393 18 (7,906 ) 607,505 Collateralized mortgage obligations 95,153 41 (1,590 ) 93,604 Debt securities 117,499 — (1,603 ) 115,896 Total U.S. government agency and sponsored agency obligations 828,045 59 (11,099 ) 817,005 Municipal bonds-tax exempt 79,152 117 (881 ) 78,388 Total securities available for sale $ 922,654 $ 177 $ (12,041 ) $ 910,790 December 31, 2020 U.S. Treasury securities $ 9,997 $ 135 $ — $ 10,132 U.S. government agency and sponsored agency obligations: Mortgage-backed securities 515,169 4,260 (188 ) 519,242 Collateralized mortgage obligations 133,632 186 (217 ) 133,601 Debt securities 90,660 148 (1 ) 90,807 Total U.S. government agency and sponsored agency obligations 739,461 4,594 (406 ) 743,649 Total securities available for sale $ 749,458 $ 4,729 $ (406 ) $ 753,781 The amortized cost and estimated fair value of securities as of December 31, 2021, by contractual or expected maturity, are shown below. Collateralized mortgage obligations are included in the table shown below based on their expected maturities. All other securities are included based on their contractual maturities. Available for Sale Amortized Estimated Cost Fair Value (in thousands) Within one year $ 1,103 $ 1,108 Over one year through five years 126,483 125,069 Over five years through ten years 51,338 50,770 Over ten years 743,730 733,843 Total $ 922,654 $ 910,790 The following table summarizes debt securities available-for-sale in an unrealized loss position for which an allowance for credit losses has not been recorded at December 31, 2021 and 2020, aggregated by major security type and length of time in a continuous unrealized loss position: Holding Period Less than 12 Months 12 Months or More Total Gross Unrealized Loss Estimated Fair Value Number of Securities Gross Unrealized Loss Estimated Fair Value Number of Securities Gross Unrealized Loss Estimated Fair Value Number of Securities (in thousands, except number of securities) December 31, 2021 U.S. Treasury securities $ (61 ) $ 8,391 2 $ — $ — — $ (61 ) $ 8,391 2 U.S. government agency and sponsored agency obligations: Mortgage-backed securities (6,252 ) 535,610 102 (1,654 ) 59,457 11 (7,906 ) 595,067 113 Collateralized mortgage obligations (1,256 ) 76,894 16 (334 ) 12,548 3 (1,590 ) 89,442 19 Debt securities (1,503 ) 110,996 21 (100 ) 4,900 1 (1,603 ) 115,896 22 Total U.S. government agency and sponsored agency obligations (9,011 ) 723,500 139 (2,088 ) 76,905 15 (11,099 ) 800,405 154 Municipal bonds-tax exempt (881 ) 68,548 17 — — (881 ) 68,548 17 Total $ (9,953 ) $ 800,439 158 $ (2,088 ) $ 76,905 15 $ (12,041 ) $ 877,344 173 December 31, 2020 U.S. government agency and sponsored agency obligations: Mortgage-backed securities $ (188 ) $ 76,023 10 $ — $ — — (188 ) 76,023 10 Collateralized mortgage obligations (217 ) 97,659 21 — — — (217 ) 97,659 21 Debt securities (1 ) 4,999 1 — — — (1 ) 4,999 1 Total U.S. government agency and sponsored agency obligations (406 ) 178,681 32 — — — (406 ) 178,681 32 Total $ (406 ) $ 178,681 32 $ — $ — — $ (406 ) $ 178,681 32 The Company evaluates its available-for-sale securities portfolio for impairment on a quarterly basis. This assessment takes into account the changes in the credit quality of these debt securities since acquisition and the likelihood of a credit loss occurring over the life of the securities. In the event that a credit loss is expected to occur in the future, an allowance is established and a corresponding credit loss is recognized. Based on this analysis, the Company determined that no credit losses are expected to be realized on the tax-exempt municipal bond portfolio. The remainder of the securities portfolio consists of U.S. Treasury obligations, U.S. government agency securities, and U.S. government sponsored agency securities, all of which have the backing of the U.S. government, and are therefore not expected to incur credit losses. Realized gains and losses on sales of securities and proceeds from sales of securities were as follows for the periods indicated: Year Ended December 31, 2021 2020 2019 (in thousands) Gross realized gains on sales of securities $ 99 $ 15,712 $ 1,359 Gross realized losses on sales of securities (598 ) — (64 ) Net realized gains (losses) on sales of securities $ (499 ) $ 15,712 $ 1,295 Proceeds from sales of securities $ 55,884 495,566 113,306 For the year ended December 31, 2021, the Company recorded $499,000 in net realized losses from sale of securities that had previously been recognized as net unrealized losses of $123,000 in comprehensive income. For the year ended December 31, 2020, the Company recorded $15.7 million in net realized gains from sale of securities that had previously been recognized as net unrealized gains of $15.3 million in comprehensive income. For the year ended December 31, 2019, the Company recorded $1.3 million in net realized gains from the sale of securities that had previously been recognized as net unrealized losses of $586,000 in comprehensive income. Securities available for sale with market values of $34.7 million and $27.3 million as of December 31, 2021 and 2020, respectively, were pledged to secure advances from the Federal Reserve Bank, Discount Window facility, and for other purposes as required or permitted by law. At year-end 2021, there were no holdings of securities of any one issuer, other than the U.S. government and its agencies in an amount greater than 10 percent of shareholders’ equity. |
Loans Receivable
Loans Receivable | 12 Months Ended |
Dec. 31, 2021 | |
Receivables [Abstract] | |
Loans Receivable | Note 3 — Loans Receivable The Board of Directors and management review and approve the Bank’s loan policy and procedures on a regular basis to reflect matters such as regulatory and organizational structure changes, strategic planning revisions, concentrations of credit, loan delinquencies and nonperforming loans, and problem loans. Real estate loans are loans secured by liens or interest in real estate, to provide for the purchase, construction or refinance on real estate properties. Commercial and industrial loans consist of commercial term loans, commercial lines of credit and can include SBA loans. Alternatively, SBA loans can be real estate secured. Leases receivable include equipment finance agreements, which are typically secured by the business assets being financed. We maintain management loan review and monitoring departments that review and monitor pass graded loans as well as problem loans to prevent further deterioration. Concentrations of Credit: The majority of the Bank’s loan portfolio consists of commercial real estate loans. Loans receivable, net Loans receivable consisted of the following as of the dates indicated: December 31, 2021 2020 (in thousands) Real estate loans: Commercial property Retail $ 970,134 $ 824,606 Hospitality 717,692 859,953 Other (1) 1,919,033 1,610,377 Total commercial property loans 3,606,859 3,294,936 Construction 95,006 58,882 Residential/consumer loans 400,546 345,831 Total real estate loans 4,102,411 3,699,649 Commercial and industrial loans 561,831 757,255 Leases receivable 487,299 423,264 Loans receivable 5,151,541 4,880,168 Allowance for credit losses (72,557 ) (90,426 ) Loans receivable, net $ 5,078,984 $ 4,789,742 (1) Includes, among other property types, mixed-use, gas station, apartment , office, industrial, faith-based facilities and warehouse; the remaining real estate categories represent less than one percent of the Bank's total loans receivable. The CARES Act allows financial institutions to assist customers in dealing with financial hardship by (a) providing federal funding so that financial institutions can originate SBA loans to borrowers at a low interest rate under the Paycheck Protection Program (“PPP”) with eventual debt forgiveness should the borrower continue to meet certain criteria; and (b) allowing financial institutions to temporarily modify loan terms by deferring loan payments, loan fees, etc. without considering them TDRs. At December 31, 2021 and 2020, there were $3.0 million and $295.7 million, respectively, of PPP loans included in commercial and industrial loans in the table above. Accrued interest on loans was $10.1 million and $15.2 million at December 31, 2021 and 2020, respectively. Accrued interest at December 31, 2021 and 2020 included unpaid deferred interest receivable related to loans modified under the CARES Act of $3.4 million, net of a $0 valuation allowance and $7.5 million, net of a $1.7 million valuation allowance, respectively. At December 31, 2021 and 2020, loans of $2.30 billion and $2.17 billion, respectively, were pledged to secure advances from the FHLB. Loans Held for Sale The following table details the information on SBA loans held for sale by portfolio segment for the years ended December 31, 2021 and 2020: Real Estate Commercial and Industrial Total (in thousands) December 31, 2021 Balance at beginning of period $ 8,042 $ 526 $ 8,568 Originations and transfers 87,775 177,968 265,743 Sales (88,858 ) (172,995 ) (261,853 ) Principal paydowns and amortization (5 ) 889 884 Balance at end of period $ 6,954 $ 6,388 $ 13,342 December 31, 2020 Balance at beginning of period $ 2,943 $ 3,077 $ 6,020 Originations and transfers 44,770 26,922 71,692 Sales (39,666 ) (29,386 ) (69,052 ) Principal paydowns and amortization (5 ) (87 ) (92 ) Balance at end of period $ 8,042 $ 526 $ 8,568 Loans held for sale was comprised of $13.3 million and $8.6 million of the guaranteed portion of SBA 7(a) loans at December 31, 2021 and 2020, respectively. There were no second draw PPP loans held for sale at December 31, 2021. For the year ended December 31, 2021, the Company recognized $3.0 million of gains on the sale of $132.7 million second draw PPP loans. There were no such sales in 2020. Allowance for credit losses Activity in the allowance for credit losses was as follows for the periods indicated: As of and for the Year Ended December 31, 2021 2020 2019 (in thousands) Allowance for credit losses: Balance at beginning of period $ 90,426 $ 61,408 $ 31,974 Adjustment related to adoption of ASU 2016-13 — 17,433 — Adjusted balance 90,426 78,841 31,974 Less loans receivable charged off 6,373 33,952 4,588 Recoveries on loans receivable previously charged off (12,650 ) (3,063 ) (3,852 ) Provision (recovery) for credit losses (24,146 ) 42,474 30,170 Balance at end of period $ 72,557 $ 90,426 $ 61,408 The following table details the information on the allowance for credit losses by portfolio segment for the years ended December 31, 2021, 2020 and 2019: Real Estate Commercial and Industrial Leases Receivable Unallocated Total (in thousands) December 31, 2021 Allowance for credit losses: Beginning balance $ 51,876 $ 21,410 $ 17,140 $ — $ 90,426 Less loans charged off 1,427 546 4,400 — 6,373 Recoveries on loans receivable previously charged off (10,807 ) (897 ) (946 ) — (12,650 ) Provision (recovery) for credit losses (12,366 ) (9,343 ) (2,437 ) — (24,146 ) Ending balance $ 48,890 $ 12,418 $ 11,249 $ — $ 72,557 December 31, 2020 Allowance for credit losses: Beginning balance $ 36,435 $ 16,206 $ 8,767 $ — $ 61,408 Adjustment related to adoption of ASU 2016-13 14,028 (2,497 ) 5,902 — 17,433 Adjusted balance 50,463 13,709 14,669 — 78,841 Less loans charged off 15,567 13,312 5,073 — 33,952 Recoveries on loans receivable previously charged off (2,124 ) (336 ) (603 ) — (3,063 ) Provision for credit losses 14,856 20,677 6,941 — 42,474 Ending balance $ 51,876 $ 21,410 $ 17,140 $ — $ 90,426 December 31, 2019 Allowance for credit losses: Beginning balance $ 18,482 $ 7,162 $ 6,303 $ 27 $ 31,974 Less loans charged off 132 1,293 3,162 — 4,588 Recoveries on loans receivable previously charged off (2,190 ) (1,241 ) (422 ) — (3,852 ) Provision (recovery) for credit losses 15,896 9,097 5,205 (27 ) 30,170 Ending balance $ 36,435 $ 16,206 $ 8,767 $ — $ 61,408 The table below presents the allowance for credit losses by portfolio segment as a percentage of the total allowance for credit losses and loans by portfolio segment as a percentage of the aggregate investment of loans receivable for the years ended December 31, 2021 and 2020: December 31, 2021 December 31, 2020 Allowance Amount Percentage of Total Allowance Total Loans Percentage of Total Loans Allowance Amount Percentage of Total Allowance Total Loans Percentage of Total Loans (dollars in thousands) Real estate loans: Commercial property Retail $ 6,579 9.1 % $ 970,134 18.8 % $ 4,855 5.4 % $ 824,606 16.9 % Hospitality 22,670 31.2 % 717,692 13.9 % 28,801 31.9 % 859,953 17.6 % Other 15,065 20.8 % 1,919,033 37.3 % 13,991 15.4 % 1,610,377 33.0 % Total commercial property loans 44,314 61.1 % 3,606,859 70.0 % 47,647 52.7 % 3,294,936 67.5 % Construction 4,078 5.6 % 95,006 1.8 % 2,876 3.2 % 58,882 1.2 % Residential/consumer loans 498 0.7 % 400,546 7.8 % 1,353 1.5 % 345,831 7.1 % Total real estate loans 48,890 67.4 % 4,102,411 79.6 % 51,876 57.4 % 3,699,649 75.8 % Commercial and industrial loans 12,418 17.1 % 561,831 10.9 % 21,410 23.6 % 757,255 15.5 % Leases receivable 11,249 15.5 % 487,299 9.5 % 17,140 19.0 % 423,264 8.7 % Total $ 72,557 100.0 % $ 5,151,541 100.0 % $ 90,426 100.0 % $ 4,880,168 100.0 % The following table represents the amortized cost basis of collateral-dependent loans by class of loans as of December 31, 2021 and 2020, for which repayment is expected to be obtained through the sale of the underlying collateral and any collateral dependent loans that are still accruing but are considered nonperforming. December 31, 2021 2020 (in thousands) Real estate loans: Commercial property Retail $ 1,917 $ 6,330 Hospitality — 20,612 Other 499 8,410 Total commercial property loans 2,416 35,352 Construction — 24,854 Residential/consumer loans 982 2,867 Total real estate loans 3,398 63,073 Commercial and industrial loans — 41 Total (1) $ 3,398 $ 63,114 (1) Includes, among other property types, hospitality, retail and other, mixed-use, gas station, apartment, office, industrial, faith-based facilities and warehouse; the remaining real estate categories represent less than one percent of the Bank's total loans receivable. Loan Quality Indicators As part of the on-going monitoring of the quality of our loan portfolio, we utilize an internal loan grading system to identify credit risk and assign an appropriate grade (from 1 to 8) for each loan in our portfolio. A third-party loan review is required on an annual basis. Additional adjustments are made when determined to be necessary. The loan grade definitions are as follows: Pass and Pass-Watch: Pass and Pass-Watch loans, grades (1-4), are in compliance with the Bank’s credit policy and regulatory requirements, and do not exhibit any potential or defined weaknesses as defined under “Special Mention,” “Substandard” or “Doubtful.” This category is the strongest level of the Bank’s loan grading system. It consists of all performing loans with no identified credit weaknesses. It includes cash and stock/security secured loans or other investment grade loans. Special Mention: A Special Mention loan, grade (5), has potential weaknesses that deserve management’s close attention. If not corrected, these potential weaknesses may result in deterioration of the repayment of the debt and result in a Substandard classification. Loans that have significant actual, not potential, weaknesses are considered more severely classified. Substandard: A Substandard loan, grade (6), has a well-defined weakness that jeopardizes the liquidation of the debt. A loan graded Substandard is not protected by the sound worth and paying capacity of the borrower, or of the value and type of collateral pledged. With a Substandard loan, there is a distinct possibility that the Bank will sustain some loss if the weaknesses or deficiencies are not corrected. Doubtful: A Doubtful loan, grade (7), is one that has critical weaknesses that would make the collection or liquidation of the full amount due improbable. However, there may be pending events which may work to strengthen the loan, and therefore the amount or timing of a possible loss cannot be determined at the current time. Loss: A loan classified as Loss, grade (8), is considered uncollectible and of such little value that their continuance as active bank assets is not warranted. This classification does not mean that the loan has absolutely no recovery or salvage value, but rather it is not practical or desirable to defer writing off this asset even though partial recovery may be possible in the future. Loans classified as Loss will be charged off in a timely manner. Under regulatory guidance, loans graded special mention or worse are considered criticized loans, and loans graded substandard or worse are considered classified loans. As of December 31, 2021 and 2020, the recorded investment in pass/pass-watch, special mention and classified (substandard, doubtful and loss) loans, disaggregated by loan class, were as follows: Pass/Pass- Watch Special Mention Classified Total (in thousands) December 31, 2021 Real estate loans: Commercial property Retail $ 952,651 $ 5,949 $ 11,534 $ 970,134 Hospitality 662,834 36,248 18,610 717,692 Other 1,891,877 9,846 17,310 1,919,033 Total commercial property loans 3,507,362 52,043 47,454 3,606,859 Construction 74,439 20,567 — 95,006 Residential/consumer loans 396,007 3,557 982 400,546 Total real estate loans 3,977,808 76,167 48,436 4,102,411 Commercial and industrial loans 537,652 19,127 5,052 561,831 Leases receivable 480,154 — 7,145 487,299 Total loans receivable $ 4,995,614 $ 95,294 $ 60,633 $ 5,151,541 December 31, 2020 Real estate loans: Commercial property Retail $ 807,348 $ 3,382 $ 13,876 $ 824,606 Hospitality 788,369 26,086 45,498 859,953 Other 1,571,012 23,876 15,489 1,610,377 Total commercial property loans 3,166,729 53,344 74,863 3,294,936 Construction 34,028 — 24,854 58,882 Residential/consumer loans 337,549 5,078 3,204 345,831 Total real estate loans 3,538,306 58,422 102,921 3,699,649 Commercial and industrial loans 712,685 18,556 26,014 757,255 Leases receivable 412,030 — 11,234 423,264 Total loans receivable $ 4,663,021 $ 76,978 $ 140,169 $ 4,880,168 At December 31, 2021, of the $2.3 million of loans modified in accordance with the provision of the CARES Act, $1.1 million were in pass/pass-watch, $0 were special mention, and $1.2 million were classified. At December 31, 2020, of the $155.6 million of loans modified in accordance with the provision of the CARES Act, $99.9 million were in pass/pass-watch, $31.3 million were special mention, and $24.4 million were classified. Loans by Vintage Year and Risk Rating Term Loans Amortized Cost Basis by Origination Year (1) 2021 2020 2019 2018 2017 Prior Revolving Loans Amortized Cost Basis Total (in thousands) December 31, 2021 Real estate loans: Commercial property Risk Rating Pass / Pass Watch $ 1,203,197 $ 706,470 $ 488,250 $ 406,288 $ 277,680 $ 384,064 $ 41,413 $ 3,507,362 Special Mention — 18,869 7,593 — 6,999 16,879 1,703 52,043 Classified — — 5,450 17,247 2,965 21,792 — 47,454 Total commercial property 1,203,197 725,339 501,293 423,535 287,644 422,735 43,116 3,606,859 Construction Risk Rating Pass / Pass Watch 73,808 631 — — — — — 74,439 Special Mention — — — — — 20,567 — 20,567 Classified — — — — — — — — Total construction 73,808 631 — — — 20,567 — 95,006 Residential/consumer loans Risk Rating Pass / Pass Watch 194,948 16,975 247 19,813 73,567 82,076 8,381 396,007 Special Mention — — — 930 406 2,221 — 3,557 Classified — — — — 965 17 — 982 Total residential/consumer loans 194,948 16,975 247 20,743 74,938 84,314 8,381 400,546 Total real estate loans Risk Rating Pass / Pass Watch 1,471,953 724,076 488,497 426,101 351,247 466,140 49,794 3,977,808 Special Mention — 18,869 7,593 930 7,405 39,667 1,703 76,167 Classified — — 5,450 17,247 3,930 21,809 — 48,436 Total real estate loans 1,471,953 742,945 501,540 444,278 362,582 527,616 51,497 4,102,411 Commercial and industrial loans: Risk Rating Pass / Pass Watch 264,762 55,135 36,937 15,780 10,874 6,016 148,148 537,652 Special Mention — 274 13,989 — 67 4,802 (5 ) 19,127 Classified — 3 708 145 19 886 3,291 5,052 Total commercial and industrial loans 264,762 55,412 51,634 15,925 10,960 11,704 151,434 561,831 Leases receivable: Risk Rating Pass / Pass Watch 239,738 79,400 101,460 47,485 10,683 1,388 — 480,154 Special Mention — — — — — — — — Classified 716 981 3,575 1,328 347 198 — 7,145 Total leases receivable 240,454 80,381 105,035 48,813 11,030 1,586 — 487,299 Total loans receivable: Risk Rating Pass / Pass Watch 1,976,453 858,611 626,894 489,366 372,804 473,544 197,942 4,995,614 Special Mention — 19,143 21,582 930 7,472 44,469 1,698 95,294 Classified 716 984 9,733 18,720 4,296 22,893 3,291 60,633 Total loans receivable $ 1,977,169 $ 878,738 $ 658,209 $ 509,016 $ 384,572 $ 540,906 $ 202,931 $ 5,151,541 (1) Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision Term Loans Amortized Cost Basis by Origination Year (1) 2020 2019 2018 2017 2016 Prior Revolving Loans Amortized Cost Basis Total (in thousands) December 31, 2020 Real estate loans: Commercial property Risk Rating Pass / Pass Watch $ 920,876 $ 513,962 $ 479,221 $ 343,659 $ 418,362 $ 459,366 $ 31,283 $ 3,166,729 Special Mention 23,429 2,484 8,630 1,672 14,971 2,158 — 53,344 Classified 20,307 4,276 9,239 3,084 18,712 19,115 130 74,863 Total commercial property 964,612 520,722 497,090 348,415 452,045 480,639 31,413 3,294,936 Construction Risk Rating Pass / Pass Watch 33,415 613 — — — — — 34,028 Special Mention — — — — — — — — Classified 12,808 — 12,046 — — — — 24,854 Total construction 46,223 613 12,046 — — — — 58,882 Residential/consumer loans Risk Rating Pass / Pass Watch 27,997 962 37,122 127,987 82,124 54,004 7,353 337,549 Special Mention — — 930 828 1,863 1,457 — 5,078 Classified — — 620 2,283 301 — — 3,204 Total residential/consumer loans 27,997 962 38,672 131,098 84,288 55,461 7,353 345,831 Total real estate loans Risk Rating Pass / Pass Watch 982,288 515,537 516,343 471,646 500,486 513,370 38,636 3,538,306 Special Mention 23,429 2,484 9,560 2,500 16,834 3,615 — 58,422 Classified 33,115 4,276 21,905 5,367 19,013 19,115 130 102,921 Total real estate loans 1,038,832 522,297 547,808 479,513 536,333 536,100 38,766 3,699,649 Commercial and industrial loans: Risk Rating Pass / Pass Watch 406,486 73,160 54,110 17,834 4,464 9,910 146,721 712,685 Special Mention 7,239 4,509 4,146 1,110 31 1,074 447 18,556 Classified 8,552 4,784 1,364 930 4,380 1,359 4,645 26,014 Total commercial and industrial loans 422,277 82,453 59,620 19,874 8,875 12,343 151,813 757,255 Leases receivable: Risk Rating Pass / Pass Watch 113,712 165,242 91,408 30,405 10,096 1,167 — 412,030 Special Mention — — — — — — — — Classified 452 5,728 3,137 876 804 237 — 11,234 Total leases receivable 114,164 170,970 94,545 31,281 10,900 1,404 — 423,264 Total loans receivable: Risk Rating Pass / Pass Watch 1,502,486 753,939 661,861 519,885 515,046 524,447 185,357 4,663,021 Special Mention 30,668 6,993 13,706 3,610 16,865 4,689 447 76,978 Classified 42,119 14,788 26,406 7,173 24,197 20,711 4,775 140,169 Total loans receivable $ 1,575,273 $ 775,720 $ 701,973 $ 530,668 $ 556,108 $ 549,847 $ 190,579 $ 4,880,168 (1) Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision Loans by Vintage Year and Payment Performance Term Loans Amortized Cost Basis by Origination Year (1) 2021 2020 2019 2018 2017 Prior Revolving Loans Amortized Cost Basis Total (in thousands) December 31, 2021 Real estate loans: Commercial property Payment performance Performing $ 1,203,197 $ 725,339 $ 501,293 $ 423,515 $ 286,935 $ 419,464 $ 43,116 $ 3,602,859 Nonperforming — — — 20 709 3,271 — 4,000 Total commercial property 1,203,197 725,339 501,293 423,535 287,644 422,735 43,116 3,606,859 Construction Payment performance Performing 73,808 631 — — — 20,567 — 95,006 Nonperforming — — — — — — — — Total construction 73,808 631 — — — 20,567 — 95,006 Residential/consumer loans Payment performance Performing 194,948 16,975 247 20,743 73,973 84,052 8,381 399,319 Nonperforming — — — — 965 262 — 1,227 Total residential/consumer loans 194,948 16,975 247 20,743 74,938 84,314 8,381 400,546 Total real estate loans Payment performance Performing 1,471,953 742,945 501,540 444,258 360,908 524,083 51,497 4,097,184 Nonperforming — — — 20 1,674 3,533 — 5,227 Total real estate loans 1,471,953 742,945 501,540 444,278 362,582 527,616 51,497 4,102,411 Commercial and industrial loans: Payment performance Performing 264,762 55,409 50,926 15,925 10,956 11,431 151,434 560,843 Nonperforming — 3 708 — 4 273 — 988 Total commercial and industrial loans 264,762 55,412 51,634 15,925 10,960 11,704 151,434 561,831 Leases receivable: Payment performance Performing 239,738 79,400 101,460 47,484 10,684 1,388 — 480,154 Nonperforming 716 981 3,575 1,329 346 198 — 7,145 Total leases receivable 240,454 80,381 105,035 48,813 11,030 1,586 — 487,299 Total loans receivable: Payment performance Performing 1,976,453 877,754 653,926 507,667 382,548 536,902 202,931 5,138,181 Nonperforming 716 984 4,283 1,349 2,024 4,004 — 13,360 Total loans receivable $ 1,977,169 $ 878,738 $ 658,209 $ 509,016 $ 384,572 $ 540,906 $ 202,931 $ 5,151,541 (1) Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision Term Loans Amortized Cost Basis by Origination Year (1) 2020 2019 2018 2017 2016 Prior Revolving Loans Amortized Cost Basis Total (in thousands) December 31, 2020 Real estate loans: Commercial property Payment performance Performing $ 961,973 $ 520,330 $ 496,936 $ 346,029 $ 437,231 $ 471,067 $ 31,283 $ 3,264,849 Nonperforming 2,639 392 154 2,386 14,814 9,572 130 30,087 Total commercial property 964,612 520,722 497,090 348,415 452,045 480,639 31,413 3,294,936 Construction Payment performance Performing 33,415 613 — — — — — 34,028 Nonperforming 12,808 — 12,046 — — — — 24,854 Total construction 46,223 613 12,046 — — — — 58,882 Residential/consumer loans Payment performance Performing 27,997 962 38,052 129,669 83,987 55,461 7,353 343,481 Nonperforming — — 620 1,429 301 — — 2,350 Total residential/consumer loans 27,997 962 38,672 131,098 84,288 55,461 7,353 345,831 Total real estate loans Payment performance Performing 1,023,385 521,905 534,988 475,698 521,218 526,528 38,636 3,642,358 Nonperforming 15,447 392 12,820 3,815 15,115 9,572 130 57,291 Total real estate loans 1,038,832 522,297 547,808 479,513 536,333 536,100 38,766 3,699,649 Commercial and industrial loans: Payment performance Performing 413,725 77,672 59,436 19,002 8,875 12,228 151,813 742,751 Nonperforming 8,552 4,781 184 872 — 115 — 14,504 Total commercial and industrial loans 422,277 82,453 59,620 19,874 8,875 12,343 151,813 757,255 Leases receivable: Payment performance Performing 113,712 165,242 91,408 30,405 10,096 1,167 — 412,030 Nonperforming 452 5,728 3,137 876 804 237 — 11,234 Total leases receivable 114,164 170,970 94,545 31,281 10,900 1,404 — 423,264 Total loans receivable: Payment performance Performing 1,550,822 764,819 685,832 525,105 540,189 539,923 190,449 4,797,139 Nonperforming 24,451 10,901 16,141 5,563 15,919 9,924 130 83,029 Total loans receivable $ 1,575,273 $ 775,720 $ 701,973 $ 530,668 $ 556,108 $ 549,847 $ 190,579 $ 4,880,168 (1) Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision Individually Evaluated Loans Prior to the adoption of ASU 2016-13, loans were individually evaluated based on the present value of expected future cash flows discounted at the loan's effective interest rate or, as a practical expedient, at the loan's observable market price or the fair value of the collateral if the loan was collateral dependent, less estimated costs to sell. If the estimated value of the individually evaluated loan was less than the recorded investment in the loan, the Company charged-off the deficiency against the allowance for credit losses or we established a specific allowance in the allowance for credit losses. Additionally, we excluded from the quarterly migration analysis individually evaluated loans when determining the amount of the allowance for credit losses required for the period. Under ASU 2016-13, the Company reviews all loans on an individual basis when they do not share similar risk characteristics with loan pools. Individually evaluated loans are measured for expected credit losses based on the present value of expected cash flows discounted at the effective interest rate, the observable market price, or the fair value of collateral. The allowance for collateral-dependent loans is calculated as the difference between the outstanding loan balance and the value of the collateral as determined by recent appraisals, less estimated costs to sell. The allowance for collateral-dependent loans varies based on the collateral coverage of the loan at the time of the designation as nonperforming. We continue to monitor the collateral coverage on these loans on a quarterly basis, based on recent appraisals, and adjust the allowance accordingly. Nonaccrual Loans and Nonperforming Assets The following tables represent the amortized cost basis of loans on nonaccrual status and loans past due 90 days and still accruing as of December 31, 2021 and 2020. December 31, 2021 Nonaccrual Loans With No Allowance for Credit Losses Nonaccrual Loans With Allowance for Credit Losses Loans Past Due 90 Days Still Accruing Total Nonperforming Loans (in thousands) Real estate loans: Commercial property Retail $ 1,918 $ — $ — $ 1,918 Hospitality — — — — Other 1,745 337 — 2,082 Total commercial property loans 3,663 337 — 4,000 Construction — — — — Residential/consumer loans 982 245 — 1,227 Total real estate loans 4,645 582 — 5,227 Commercial and industrial loans 8 980 — 988 Leases receivable 1,172 5,973 — 7,145 Total $ 5,825 $ 7,535 $ — $ 13,360 December 31, 2020 Nonaccrual Loans With No Allowance for Credit Losses Nonaccrual Loans With Allowance for Credit Losses Loans Past Due 90 Days Still Accruing Total Nonperforming Loans (in thousands) Real estate loans: Commercial property Retail $ 6,330 $ — $ — $ 6,330 Hospitality 20,612 — — 20,612 Other 2,236 909 — 3,145 Total commercial property loans 29,178 909 — 30,087 Construction 24,854 — — 24,854 Residential/consumer loans 2,350 — — 2,350 Total real estate loans 56,382 909 — 57,291 Commercial and industrial loans 58 14,449 — 14,507 Leases receivable 2,318 8,916 — 11,234 Total $ 58,758 $ 24,274 $ — $ 83,032 The following is an aging analysis of loans, disaggregated by loan class, as of the dates indicated: 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total Past Due Current Total (in thousands) December 31, 2021 Real estate loans: Commercial property Retail $ — $ — $ — $ — $ 970,134 $ 970,134 Hospitality 556 — — 556 717,136 717,692 Other 92 691 499 1,282 1,917,751 1,919,033 Total commercial property loans 648 691 499 1,838 3,605,021 3,606,859 Construction — — — — 95,006 95,006 Residential/consumer loans 570 750 556 1,876 398,670 400,546 Total real estate loans 1,218 1,441 1,055 3,714 4,098,697 4,102,411 Commercial and industrial loans 56 9 — 65 561,766 561,831 Leases receivable 3,764 1,992 1,181 6,937 480,362 487,299 Total loans receivable $ 5,038 $ 3,442 $ 2,236 $ 10,716 $ 5,140,825 $ 5,151,541 December 31, 2020 Real estate loans: Commercial property Retail $ — $ — $ — $ — $ 824,606 $ 824,606 Hospitality — — 11,076 11,076 848,877 859,953 Other — — 731 731 1,609,646 1,610,377 Total commercial property loans — — 11,807 11,807 3,283,129 3,294,936 Construction — 12,807 — 12,807 46,075 58,882 Residential/consumer loans 4,693 461 564 5,718 340,113 345,831 Total real estate loans 4,693 13,268 12,371 30,332 3,669,317 3,699,649 Commercial and industrial loans 282 27 12,487 12,796 744,459 757,255 Leases receivable 4,051 1,786 4,675 10,512 412,752 423,264 Total loans receivable $ 9,026 $ 15,081 $ 29,533 $ 53,640 $ 4,826,528 $ 4,880,168 There were no loans that were 90 days or more past due and accruing interest as of December 31, 2021 and 2020. In addition, $11.1 million and $53.4 million of loans current or past due less than 90 days were classified as nonaccrual at December 31, 2021 and 2020, respectively. At December 31, 2021, for loans currently modified under the CARES Act, $47,000 were 30-59 days past due, $5,000 were 60-89 days past due, and no loans were 90 days or more past due. For loans previously modified under the CARES Act, $1.2 million were 30-59 days past due, $1.1 million were 60-89 days past due, and $1.1 million were 90 days or more past due. At December 31, 2020, all $155.6 million of currently modified loans under the CARES Act were classified as current. For loans previously modified under the CARES Act, $4.9 million were 30-59 days past due, $1.7 million were 60-89 days past due, and $13.9 million were 90 days or more past due. The following table details nonaccrual loans, disaggregated by loan class, as of the dates indicated: As of December 31, 2021 2020 (in thousands) Real estate loans: Commercial property Retail $ 1,918 $ 6,330 Hospitality — 20,612 Other 2,082 3,145 Total commercial property loans 4,000 30,087 Construction — 24,854 Residential/consumer loans 1,227 2,350 Total real estate loans 5,227 57,291 Commercial and industrial loans 988 14,507 Leases receivable 7,145 11,234 Total nonaccrual loans $ 13,360 $ 83,032 The following table details nonperforming assets as of the dates indicated: As of December 31, 2021 2020 (in thousands) Nonaccrual loans $ 13,360 $ 83,032 Loans receivable 90 days or more past due and still accruing — — Total nonperforming loans receivable 13,360 83,032 Other real estate owned ("OREO") 675 2,360 Total nonperforming assets $ 14,035 $ 85,392 OREO consisted of one property with a carrying value of $675,000 as of December 31, 2021, and four properties with a combined carrying value of $2.4 million as of December 31, 2020. OREO is included in prepaid expenses and other assets in the accompanying Consolidated Balance Sheets as of December 31, 2021 and 2020. Troubled Debt Restructuring The following table details the recorded investment in TDRs, disaggregated by concession type and by loan type, as of December 31, 2021 and 2020: Nonaccrual TDRs Accrual TDRs Deferral of Principal Deferral of Principal and Interest Reduction of Principal and Interest Extension of Maturity Total Deferral of Principal Deferral of Principal and Interest Reduction of Principal and Interest Extension of Maturity Total (in thousands) December 31, 2021 Real estate loans $ 346 $ 2,046 $ 372 $ — $ 2,764 $ — $ — $ — $ — $ — Commercial and industrial loans — 124 — — 124 — — — — — Total $ 346 $ 2,170 $ 372 $ — $ 2,888 $ — $ — $ — $ — $ — December 31, 2020 Real estate loans $ 1,095 $ 3,334 $ 12,492 $ — $ 16,921 $ 513 $ — $ 67 $ 7,290 $ 7,870 Commercial and industrial loans — 144 — — 144 — — 4 56 60 Total $ 1,095 $ 3,478 $ 12,492 $ — $ 17,065 $ 513 $ — $ 71 $ 7,346 $ 7,930 As of December 31, 2021, accruing TDRs are collectively evaluated along with performing and accruing loans and nonaccrual TDRs are individually evaluated for specific expected credit losses using one of these three criteria: (1) the present value of expected future cash flows discounted at the loan’s effective interest rate; (2) the loan’s observable market price; or (3) the fair value of the collateral if the loan is collateral dependent. At December 31, 2021 and 2020, nonaccrual TDRs were subjected to specific expected credit losses analysis. We determined an expected credit losses allowance of $4,000 and $16,000 as of December 31, 2021 and 2020, respectively, related to these loans and such allowances were included in the allowance for credit losses. The following table presents the number of loans by class modified as troubled debt restructurings that occurred during the years ending December 31, 2021, 2020 and 2019 with their pre- and post-modification recorded amounts. December 31, 2021 December 31, 2020 December 31, 2019 Number of Loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of Loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of Loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment (in thousands except for number of loans) Real estate loans — $ — $ — 5 $ 4,479 $ 3,676 6 $ 41,292 $ 42,329 Commercial and industrial loans — — — — — — 2 12,779 12,562 Total — $ — $ — 5 $ 4,479 $ 3,676 8 $ 54,071 $ 54,892 A loan is considered to be in payment default once it is 30 days contractually past due under the modified terms. No loans defaulted during the twelve months ended December 31, 2021 following modification. During the year ended December 31, 2020, one loan for $398,000 defaulted within the twelve-month period following modification. The allowance for credit losses resulting from these defaulted loans were $0 and $3,000 as of December 31, 2021 and 2020, respectively. |
Servicing Assets
Servicing Assets | 12 Months Ended |
Dec. 31, 2021 | |
Transfers And Servicing [Abstract] | |
Servicing Assets | Note 4 — Servicing Assets The changes in servicing assets for the years ended December 31, 2021 and 2020 were as follows: As of December 31, 2021 2020 (in thousands) Balance at beginning of period $ 6,212 $ 6,956 Additions related to sale of SBA loans 3,160 1,517 Amortization (2,292 ) (2,261 ) Balance at end of period $ 7,080 $ 6,212 At December 31, 2021 and 2020, we serviced loans sold to unaffiliated parties in the amount of $473.5 million and $429.4 million, respectively. These loans are maintained off balance sheet and are not included in the loans receivable balance. All of the loans being serviced were SBA loans. The Company recorded servicing fee income of $4.6 million, $4.2 million and $4.4 million for the years ended December 31, 2021, 2020 and 2019, respectively. Net amortization expense of servicing assets and liabilities was $2.0 million, $2.0 million and $2.8 million for the years ended December 31, 2021, 2020 and 2019, respectively. Servicing fee income, net of amortization of servicing assets and liabilities, is included in other operating income in the consolidated statements of income. The fair value of servicing rights was $8.1 million at year-end 2021. Fair value at year-end 2021 was determined using discount rates ranging from 10.4 percent to 16.7 percent and prepayment speeds ranging from 10.2 percent to 12.8 percent, depending on the stratification of the specific right. The fair value of servicing rights was $6.9 million at year-end 2020. Fair value at year-end 2020 was determined using discount rates ranging from 9.3 percent to 12.2 percent and prepayment speeds ranging from 11.8 percent to 19.1 percent, depending on the stratification of the specific right. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2021 | |
Property Plant And Equipment [Abstract] | |
Premises and Equipment | Note 5 — Premises and Equipment The following is a summary of the major components of premises and equipment: As of December 31, 2021 2020 (in thousands) Land $ 6,850 $ 6,850 Building and improvements 12,438 12,423 Furniture and equipment 30,186 31,973 Leasehold improvements 17,462 14,813 Leased equipment 880 880 67,816 66,939 Accumulated depreciation and amortization (43,028 ) (40,508 ) Total premises and equipment, net $ 24,788 $ 26,431 Depreciation and amortization expense related to premises and equipment was $4.4 million, $4.0 million and $3.3 million for the years ended December 31, 2021, 2020 and 2019, respectively. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Leases | Note 6 — Leases The Company enters into leases in the normal course of business primarily for financial centers, back-office operations locations, business development offices, information technology data centers and information technology equipment. The Company’s leases have remaining terms ranging from one to thirteen years, some of which include renewal or termination options to extend the lease for up to five years. The Company includes lease extension and termination options in the lease term if, after considering relevant economic factors, it is reasonably certain the Company will exercise the option. In addition, the Company has elected to account for any non-lease components in its real estate leases as part of the associated lease component. The Company has also elected not to recognize leases with original lease terms of 12 months or less (short-term leases) on the Company’s balance sheet. Leases are classified as operating or finance leases at the lease commencement date. Lease expense for operating leases and short-term leases is recognized on a straight-line basis over the term of the lease. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Right-of-use assets and lease liabilities are recognized at the lease commencement date based on the estimated present value of the lease payments over the lease term. The Company adopted ASU 2016-02, Leases (Topic 842), In determining the discount rates, since most of our leases do not provide an implicit rate, we used our incremental borrowing rate provided by the FHLB of San Francisco based on the information available at commencement date to calculate the present value of lease payments. The Company's right-of-use asset is included in prepaid expenses and other assets and our lease liability is included in accrued expenses and other liabilities in the accompanying consolidated balance sheet. We lease our premises under non-cancelable operating leases. At December 31, 2021, future minimum annual rental commitments under these non-cancelable operating leases, with initial or remaining terms of one year or more, were as follows: Amount (in thousands) 2022 $ 7,815 2023 7,589 2024 7,140 2025 6,651 2026 5,367 Thereafter 20,133 Remaining lease commitments 54,695 Interest (4,983 ) Present value of lease liability $ 49,712 For the years ended December 31, 2021, 2020 and 2019, net rental expenses recorded under such leases amounted to $8.5 million, $8.5 million, and $7.9 million, respectively. Weighted average remaining lease terms for the Company’s operating leases were 7.85 years and 8.75 years, respectively, as of December 31, 2021 and 2020. Weighted average discount rates used for the Company’s operating leases were 2.38 percent and 2.43 percent, respectively, as of December 31, 2021 and 2020. Net lease expense recognized for the twelve months ended December 31, 2021, 2020 and 2019 December 31, 2021, 2020 and 2019 December 31, 2021, 2020 and 2019 . Cash paid, and included in cash flows from operating activities, for amounts included in the measurement of the lease liability for the Company's operating leases for the twelve months ended December 31, 2021, 2020 and 2019 was $8.0 million, $7.6 million and $7.2 million, respectively. |
Goodwill and Other Intangibles
Goodwill and Other Intangibles | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangibles | Note 7 — Goodwill and other intangibles The third-party originators intangible of $483,000 and goodwill of $11.0 million were recorded as a result of the acquisition of a leasing portfolio in 2016. The core deposit intangible of $2.2 million was recognized for the core deposits acquired in a 2014 acquisition. The Company's intangible assets were as follows for the periods indicated: December 31, 2021 December 31, 2020 Amortization Period Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (in thousands) Core deposit intangible 10 years $ 2,213 $ (1,900 ) $ 313 $ 2,213 $ (1,746 ) $ 467 Third-party originators intangible 7 years 483 (432 ) 51 483 (369 ) 114 Goodwill N/A 11,031 — 11,031 11,031 — 11,031 Total intangible assets $ 13,727 $ (2,332 ) $ 11,395 $ 13,727 $ (2,115 ) $ 11,612 Intangible assets amortization expense for the years ended December 31, 2021, 2020 and 2019 was $217,000, $261,000 and $309,000, respectively, and estimated future amortization expense related to the core deposit intangible and the third-party originators intangible for each of the next five years is as follows: Amount (in thousands) 2022 $ 171 2023 126 2024 68 2025 — 2026 — Thereafter — $ 364 The Company performed its annual goodwill impairment analysis in the fourth quarter of 2021 and determined no impairment existed as of December 31, 2021. As of December 31, 2021, management was not aware of any circumstances that would indicate impairment of goodwill or other intangible assets. There were no impairment charges related to intangible assets recorded in earnings in the three years ended December 31, 2021. |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2021 | |
Deposits [Abstract] | |
Deposits | Note 8 — Deposits Time deposits of $250,000 or more at year-end 2021 and 2020 were $208.5 million and $311.8 million, respectively. At December 31, 2021, the scheduled maturities of time deposits are as follows: Year Ending December 31, Time Deposits of $250,000 or More Other Time Deposits Total (in thousands) 2022 $ 206,478 $ 672,821 $ 879,299 2023 1,522 40,564 42,086 2024 — 60,854 60,854 2025 265 1,919 2,184 2026 & thereafter 262 2,503 2,765 Total $ 208,527 $ 778,661 $ 987,188 A summary of interest expense on deposits was as follows for the periods indicated: Year Ended December 31, 2021 2020 2019 (in thousands) Demand: interest-bearing $ 61 $ 70 $ 116 Money market and savings 5,199 11,016 23,556 Time deposits of $250,000 or more 726 3,521 6,338 Other time deposits 5,669 19,387 33,095 Total interest expense on deposits $ 11,655 $ 33,994 $ 63,105 Accrued interest payable on deposits was $1.2 million and $4.6 million at December 31, 2021 and 2020, respectively. Total deposits reclassified to loans due to overdrafts at December 31, 2021 and 2020 were $277,000 and $241,000, respectively. |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Borrowings | Note 9 — Borrowings Borrowings consisted of FHLB advances, which represent collateralized obligations with the FHLB. The following is a summary of contractual maturities of FHLB advances: As of December 31, 2021 2020 Outstanding Balance Weighted Average Rate Outstanding Balance Weighted Average Rate (dollars in thousands) Advances due within 12 months $ 50,000 1.62 % $ 50,000 1.61 % Advances due over 12 months through 24 months 50,000 0.97 % 50,000 1.62 % Advances due over 24 months through 36 months 37,500 0.40 % 50,000 0.97 % Outstanding advances $ 137,500 1.05 % $ 150,000 1.40 % The following is financial data pertaining to FHLB advances: As of December 31, 2021 2020 2019 (dollars in thousands) Weighted-average interest rate at end of year 1.05 % 1.40 % 1.70 % Weighted-average interest rate during the year 1.17 % 1.42 % 1.89 % Average balance of FHLB advances $ 145,277 $ 156,601 $ 40,374 Maximum amount outstanding at any month-end $ 162,500 $ 300,000 $ 285,000 We have pledged loans receivable with market values of $2.30 billion as collateral with the FHLB for this borrowing facility. The total borrowing capacity available from the collateral that has been pledged is $1.84 billion, of which $1.61 billion remained available as of December 31, 2021. At December 31, 2021, we had $32.8 million available for use through the Federal Reserve Bank of San Francisco Discount Window, as we pledged securities with carrying values of $34.7 million, and there were no borrowings. At December 31, 2021, advances from the FHLB were $137.5 million, a decrease of $12.5 million from $150.0 million at December 31, 2020. All of the FHLB advances were term borrowings at December 31, 2021 and 2020. For the years ended December 31, 2021, 2020 and 2019, interest expense on FHLB advances were $1.7 million, $2.2 million and $763,000, respectively, and the weighted-average interest rates were 1.17 percent, 1.42 percent and 1.89 percent, respectively. Note 10 — Subordinated Debentures On August 20, 2021, the Company issued Fixed-to-Floating Subordinated Notes (“2021 Notes”) of $110.0 million with a final maturity date of September 1, 2031. The 2021 Notes have an initial fixed interest rate of 3.75 percent per annum, payable semi-annually in arrears on March 1 and September 1 of each year, up to but excluding September 1, 2026. From and including September 1, 2026 and thereafter, the 2021 Notes will bear interest at a floating rate per annum equal to the Benchmark rate (which is expected to be the Three-Month Term SOFR) plus 310 basis points, payable quarterly in arrears on March 1, June 1, September 1 and December 1 of each year. If the then current three-month term SOFR rate is less than zero, the three-month SOFR will be deemed to be zero. Debt issuance cost was $2.1 million, which is being amortized through the 2021 Notes maturity date. At December 31, 2021, the balance of the 2021 Notes included in the Company’s Consolidated Balance Sheet, net of issuance cost, was $108.0 million . The Company issued Fixed-to-Floating Subordinated Notes (“2017 Notes”) of $100.0 million on March 21, 2017, with a final maturity on March 30, 2027. The Notes have an initial fixed interest rate of 5.45 percent per annum, payable semi-annually on March 30 and September 30 of each year. From and including March 30, 2022 and thereafter, the 2017 Notes bear interest at a floating rate equal to the then current three-month LIBOR, as calculated on each applicable date of determination, plus 3.315 percent payable quarterly. If the then current three-month LIBOR is less than zero, three-month LIBOR will be deemed to be zero. Debt issuance cost was $2.3 million, which is being amortized through the Note’s maturity date. During the year ended December 31, 2021, the Company acquired $12.7 million of the 2017 Notes on the open market at a premium to par of $343,000 and accelerated the amortization of $174,000 in debt issuance costs, resulting in $517,000 in incremental interest expense. At December 31, 2021 and 2020, the balance of Fixed-to-Floating Subordinated Notes included in the Company’s Consolidated Balance Sheet, net of debt issuance cost, was $194.2 million and $98.5 million, respectively. The Company assumed Junior Subordinated Deferrable Interest Debentures (“Subordinated Debentures”) as a result of an acquisition in 2014 with an unpaid principal balance of $26.8 million and an estimated fair value of $18.5 million. The $8.3 million discount is being amortized to interest expense through the debentures’ maturity date of March 15, 2036. A trust was formed in 2005 which issued $26.0 million of Trust Preferred Securities (“TPS”) at a 6.26 percent fixed rate for the first five years and a variable rate at the three-month LIBOR plus 140 basis points thereafter and invested the proceeds in the Subordinated Debentures. The Company may redeem the Subordinated Debentures at an earlier date if certain conditions are met. The TPS will be subject to mandatory redemption if the Subordinated Debentures are repaid by the Company. Interest is payable quarterly, and the Company has the option to defer interest payments on the Subordinated Debentures from time to time for a period not to exceed five consecutive years. At December 31, 2021 and 2020, the balance of Subordinated Debentures included in the Company’s Consolidated Balance Sheets, net of discount of $6.0 million and $6.4 million, was $20.8 million and $20.4 million, respectively. The amortization of discount was $402,000, $390,000 and $376,000 for the years ended December 31, 2021, 2020 and 2019, respectively. |
Subordinated Debentures
Subordinated Debentures | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Borrowings | Note 9 — Borrowings Borrowings consisted of FHLB advances, which represent collateralized obligations with the FHLB. The following is a summary of contractual maturities of FHLB advances: As of December 31, 2021 2020 Outstanding Balance Weighted Average Rate Outstanding Balance Weighted Average Rate (dollars in thousands) Advances due within 12 months $ 50,000 1.62 % $ 50,000 1.61 % Advances due over 12 months through 24 months 50,000 0.97 % 50,000 1.62 % Advances due over 24 months through 36 months 37,500 0.40 % 50,000 0.97 % Outstanding advances $ 137,500 1.05 % $ 150,000 1.40 % The following is financial data pertaining to FHLB advances: As of December 31, 2021 2020 2019 (dollars in thousands) Weighted-average interest rate at end of year 1.05 % 1.40 % 1.70 % Weighted-average interest rate during the year 1.17 % 1.42 % 1.89 % Average balance of FHLB advances $ 145,277 $ 156,601 $ 40,374 Maximum amount outstanding at any month-end $ 162,500 $ 300,000 $ 285,000 We have pledged loans receivable with market values of $2.30 billion as collateral with the FHLB for this borrowing facility. The total borrowing capacity available from the collateral that has been pledged is $1.84 billion, of which $1.61 billion remained available as of December 31, 2021. At December 31, 2021, we had $32.8 million available for use through the Federal Reserve Bank of San Francisco Discount Window, as we pledged securities with carrying values of $34.7 million, and there were no borrowings. At December 31, 2021, advances from the FHLB were $137.5 million, a decrease of $12.5 million from $150.0 million at December 31, 2020. All of the FHLB advances were term borrowings at December 31, 2021 and 2020. For the years ended December 31, 2021, 2020 and 2019, interest expense on FHLB advances were $1.7 million, $2.2 million and $763,000, respectively, and the weighted-average interest rates were 1.17 percent, 1.42 percent and 1.89 percent, respectively. Note 10 — Subordinated Debentures On August 20, 2021, the Company issued Fixed-to-Floating Subordinated Notes (“2021 Notes”) of $110.0 million with a final maturity date of September 1, 2031. The 2021 Notes have an initial fixed interest rate of 3.75 percent per annum, payable semi-annually in arrears on March 1 and September 1 of each year, up to but excluding September 1, 2026. From and including September 1, 2026 and thereafter, the 2021 Notes will bear interest at a floating rate per annum equal to the Benchmark rate (which is expected to be the Three-Month Term SOFR) plus 310 basis points, payable quarterly in arrears on March 1, June 1, September 1 and December 1 of each year. If the then current three-month term SOFR rate is less than zero, the three-month SOFR will be deemed to be zero. Debt issuance cost was $2.1 million, which is being amortized through the 2021 Notes maturity date. At December 31, 2021, the balance of the 2021 Notes included in the Company’s Consolidated Balance Sheet, net of issuance cost, was $108.0 million . The Company issued Fixed-to-Floating Subordinated Notes (“2017 Notes”) of $100.0 million on March 21, 2017, with a final maturity on March 30, 2027. The Notes have an initial fixed interest rate of 5.45 percent per annum, payable semi-annually on March 30 and September 30 of each year. From and including March 30, 2022 and thereafter, the 2017 Notes bear interest at a floating rate equal to the then current three-month LIBOR, as calculated on each applicable date of determination, plus 3.315 percent payable quarterly. If the then current three-month LIBOR is less than zero, three-month LIBOR will be deemed to be zero. Debt issuance cost was $2.3 million, which is being amortized through the Note’s maturity date. During the year ended December 31, 2021, the Company acquired $12.7 million of the 2017 Notes on the open market at a premium to par of $343,000 and accelerated the amortization of $174,000 in debt issuance costs, resulting in $517,000 in incremental interest expense. At December 31, 2021 and 2020, the balance of Fixed-to-Floating Subordinated Notes included in the Company’s Consolidated Balance Sheet, net of debt issuance cost, was $194.2 million and $98.5 million, respectively. The Company assumed Junior Subordinated Deferrable Interest Debentures (“Subordinated Debentures”) as a result of an acquisition in 2014 with an unpaid principal balance of $26.8 million and an estimated fair value of $18.5 million. The $8.3 million discount is being amortized to interest expense through the debentures’ maturity date of March 15, 2036. A trust was formed in 2005 which issued $26.0 million of Trust Preferred Securities (“TPS”) at a 6.26 percent fixed rate for the first five years and a variable rate at the three-month LIBOR plus 140 basis points thereafter and invested the proceeds in the Subordinated Debentures. The Company may redeem the Subordinated Debentures at an earlier date if certain conditions are met. The TPS will be subject to mandatory redemption if the Subordinated Debentures are repaid by the Company. Interest is payable quarterly, and the Company has the option to defer interest payments on the Subordinated Debentures from time to time for a period not to exceed five consecutive years. At December 31, 2021 and 2020, the balance of Subordinated Debentures included in the Company’s Consolidated Balance Sheets, net of discount of $6.0 million and $6.4 million, was $20.8 million and $20.4 million, respectively. The amortization of discount was $402,000, $390,000 and $376,000 for the years ended December 31, 2021, 2020 and 2019, respectively. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Note 11 — Income Taxes In accordance with the provisions of ASC 740, the Company periodically reviews its income tax positions based on tax laws and regulations and financial reporting considerations, and records adjustments as appropriate. This review takes into consideration the status of current taxing authorities’ examinations of the Company’s tax returns, recent positions taken by the taxing authorities on similar transactions, if any, and the overall tax environment. A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: Year Ended December 31, 2021 2020 2019 (in thousands) Unrecognized tax benefits at beginning of year $ — $ 73 $ 202 Gross decreases for tax positions of prior years — (73 ) (202 ) Gross increase for new tax positions 258 — 73 Unrecognized tax benefits at end of year $ 258 $ — $ 73 The total amount of unrecognized tax benefits that would affect our effective tax rate if recognized was $258,000, $0 and $73,000 as of December 31, 2021, 2020 and 2019, respectively. For the year ended December 31, 2021, unrecognized tax benefits increased by $258,000 related to California Enterprise Zone hiring credits. For the year ended December 31, 2020, unrecognized tax benefits decreased by $73,000 related to the filing of state income tax returns for open tax years and jurisdictions in which the Company had nexus. For the year ended December 31, 2019, unrecognized tax benefits decreased by $129,000 related to state taxes, primarily in connection with the settlement of the California Franchise Tax Board 2008 and 2009 examinations. We account for interest and penalties related to uncertain tax positions as part of our provision for federal and state income taxes. Accrued interest and penalties are included within accrued expenses and liabilities on the Consolidated Balance Sheets. As of December 31, 2021, the Company is subject to examination by federal and various state tax authorities for certain years ending December 31, 2017 through 2020. A summary of the provision for income taxes was as follows: Year Ended December 31, 2021 2020 2019 (in thousands) Current expense: Federal $ 21,805 $ 10,565 $ 18,737 State 10,901 6,310 9,377 Total current expense 32,706 16,875 28,114 Deferred expense (benefit): Federal $ 4,914 663 (10,515 ) State (803 ) (239 ) (3,039 ) Total deferred expense 4,111 424 (13,554 ) Income tax expense $ 36,817 $ 17,299 $ 14,560 Deferred tax assets and liabilities were as follows: Year Ended December 31, 2021 2020 2019 (in thousands) Deferred tax assets: Provision for credit losses $ 21,671 $ 26,883 $ 18,401 Purchase accounting 3,360 3,902 3,912 Net operating loss carryforward 15,316 15,342 15,453 Unrealized loss on securities available for sale 3,421 — — Mark to market — — 261 Lease liability 14,712 15,562 10,716 Tax credits — — 198 State taxes 2,318 1,223 1,739 Other 4,032 3,669 3,766 Total deferred tax assets 64,830 66,581 54,446 Deferred tax liabilities: Mark to market (3,531 ) (1,660 ) — Depreciation (1,292 ) (631 ) (388 ) Unrealized gain loss on securities available for sale — (1,247 ) (1,370 ) Leases - right of use assets (13,738 ) (15,044 ) (10,517 ) Other (2,650 ) (2,228 ) (532 ) Total deferred tax liabilities (21,211 ) (20,810 ) (12,807 ) Valuation allowance (1,644 ) (4,352 ) (4,852 ) Net deferred tax assets $ 41,975 $ 41,418 $ 36,787 As of each reporting date, management considers the realization of deferred tax assets based on management’s judgment of various future events and uncertainties, including the timing and amount of future income, as well as the implementation of various tax planning strategies to maximize realization of deferred tax assets. A valuation allowance is provided when it is more likely than not that some portion of deferred tax assets will not be realized. As of December 31, 2021, management determined that a valuation allowance of $1.6 million was appropriate against certain state net operating losses. For all other deferred tax assets, management believes it was more likely than not that these deferred tax assets will be realized principally through future taxable income and reversal of existing taxable temporary differences. As of December 31, 2020, management determined a valuation allowance of $4.4 million was appropriate against certain state net operating losses and certain state tax credits. As of December 31, 2021, the Company had net operating loss carryforwards of $12.3 million and $214.5 million for federal and state income tax purposes, respectively. The federal net operating loss carryforwards of $12.3 million expire at various dates from 2034 to 2035. The state net operating loss carryforwards include California of $152.3 million, which expire at various dates from 2031 to 2035, and Illinois of $62.1 million, which expire at various dates from 2035 to 2036. Management determined that a partial valuation allowance was required against the Illinois net operating loss carryforwards. As of December 31, 2021, the Company had zero state low income housing tax credit carryforwards. Reconciliation between the federal statutory income tax rate and the effective tax rates is shown in the following table: Year Ended December 31, 2021 2020 2019 Federal statutory income tax rate 21.00 % 21.00 % 21.00 % State taxes, net of federal tax benefits 5.81 % 7.86 % 9.39 % Tax credit - federal (1.16 )% (2.68 )% (3.49 )% Low-income housing amortization 1.37 % 3.02 % 4.17 % Other 0.16 % (0.12 )% (0.32 )% Effective tax rate 27.18 % 29.08 % 30.75 % The CARES Act includes provisions for tax payment relief, significant business incentives, and certain corrections to the 2017 Tax Cuts and Jobs Act or the Tax Act. The tax relief measures for entities includes a five-year On December 27, 2020, the U.S. enacted the Consolidated Appropriations Act, 2021 (the “Act”) that provides additional tax relief to individuals and businesses affected by the coronavirus pandemic. The provisions of the Act do not have a material impact on the overall income taxes. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2021 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Note 12 — Accumulated Other Comprehensive Income (Loss) Activity in accumulated other comprehensive income for the year ended December 31, 2021, 2020 and 2019 was as follows: Unrealized Gains and Losses on Available-for- Sale Securities Tax Benefit (Expense) Total (in thousands) For the year ended December 31, 2021 Balance at beginning of period $ 4,323 $ (1,247 ) $ 3,076 Other comprehensive income (loss) before reclassification (16,686 ) 4,668 (12,018 ) Reclassification from accumulated other comprehensive income 499 — 499 Net current period other comprehensive income (16,187 ) 4,668 (11,519 ) Balance at end of period $ (11,864 ) $ 3,421 $ (8,443 ) For the year ended December 31, 2020 Balance at beginning of period $ 4,752 $ (1,370 ) $ 3,382 Other comprehensive income (loss) before reclassification 15,283 123 15,406 Reclassification from accumulated other comprehensive income (15,712 ) — (15,712 ) Net current period other comprehensive income (429 ) 123 (306 ) Balance at end of period $ 4,323 $ (1,247 ) $ 3,076 For the year ended December 31, 2019 Balance at beginning of period $ (8,536 ) $ 2,457 $ (6,079 ) Other comprehensive income (loss) before reclassification 14,583 (3,827 ) 10,756 Reclassification from accumulated other comprehensive income (1,295 ) — (1,295 ) Net current period other comprehensive income 13,288 (3,827 ) 9,461 Balance at end of period $ 4,752 $ (1,370 ) $ 3,382 For the year ended December 31, 2021, there was a $499,000 reclassification from accumulated other comprehensive income to net loss on sales of securities in noninterest income. Net unrealized losses of $123,000 related to these sold securities had previously been recorded in accumulated other comprehensive income or loss. For the year ended December 31, 2020, there was a $15.7 million reclassification from accumulated other comprehensive income to net gain on sales of securities in noninterest income. Net unrealized gains of $15.3 million related to these sold securities had previously been recorded in accumulated other comprehensive income or loss. For the year ended December 31, 2019, there was a $1.3 million reclassification from accumulated other comprehensive income to net gain on sales of securities in noninterest income. Net unrealized losses of $586,000 related to these sold securities had previously been recorded in accumulated other comprehensive income or loss. |
Regulatory Matters
Regulatory Matters | 12 Months Ended |
Dec. 31, 2021 | |
Regulatory Capital Requirements Under Banking Regulations [Abstract] | |
Regulatory Matters | Note 13 — Regulatory Matters Risk-Based Capital Federal bank regulatory agencies require bank holding companies and banks to maintain a minimum ratio of qualifying total capital to risk-weighted assets of 8.00 percent and a minimum ratio of Tier 1 capital to risk-weighted assets of 6.00 percent. In addition to the risk-based guidelines, federal bank regulatory agencies require bank holding companies and banks to maintain a minimum ratio of Tier 1 capital to average assets, referred to as the leverage ratio, of 4.00 percent. In order for banks to be considered “well capitalized,” federal bank regulatory agencies require them to maintain a minimum ratio of qualifying total capital to risk-weighted assets of 10.0 percent and a minimum ratio of Tier 1 capital to risk-weighted assets of 8.0 percent. In addition to the risk-based guidelines, federal bank regulatory agencies require depository institutions to maintain a minimum ratio of Tier 1 capital to average assets, referred to as the leverage ratio, of 5.0 percent. At December 31, 2021, the Bank’s capital ratios exceeded the minimum requirements to place the Bank in the “well capitalized” category and the Company exceeded all of its applicable minimum regulatory capital ratio requirements. A capital conservation buffer of 2.5 percent became effective on January 1, 2019, and must be met to avoid limitations on the ability of the Bank to pay dividends, repurchase shares or pay discretionary bonuses. The Bank’s capital conservation buffer was 6.72 percent and 6.86 percent and the Company's capital conservation buffer was 5.97 percent and 5.93 percent as of December 31, 2021 and 2020, respectively. In 2019, the federal banking agencies jointly issued a final rule that provides for an optional, simplified measure of capital adequacy, the community bank leverage ratio framework (“CBLR”), for qualifying community banking organizations, consistent with Section 201 of the Economic Growth, Regulatory Relief, and Consumer Act. The final rule became effective January 1, 2020, however the Company opted out of the CBLR as of December 31, 2020. In March 2020, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC announced an interim final rule to delay the impact on regulatory capital arising from the implementation of CECL. The interim final rule maintains the three-year transition option in the previous rule and provides banks the option to delay for two years an estimate of CECL’s effect on regulatory capital, relative to the incurred loss methodology’s effect on regulatory capital, followed by a three-year transition period (five-year transition option). The Company and the Bank adopted the capital transition relief over the permissible five-year period. The capital ratios of Hanmi Financial and the Bank as of December 31, 2021 and 2020 were as follows: Actual Minimum Regulatory Requirement Minimum to be Categorized as “Well Capitalized” Amount Ratio Amount Ratio Amount Ratio (in thousands) December 31, 2021 Total capital (to risk-weighted assets): Hanmi Financial $ 912,527 16.61 % $ 439,386 8.00 % N/A N/A Hanmi Bank $ 809,280 14.72 % $ 439,858 8.00 % $ 549,822 10.00 % Tier 1 capital (to risk-weighted assets): Hanmi Financial $ 657,251 11.97 % $ 329,539 6.00 % N/A N/A Hanmi Bank $ 748,178 13.61 % $ 329,893 6.00 % $ 439,858 8.00 % Common equity Tier 1 capital (to risk-weighted assets) Hanmi Financial $ 636,420 11.59 % $ 247,155 4.50 % N/A N/A Hanmi Bank $ 748,178 13.61 % $ 247,420 4.50 % $ 357,385 6.50 % Tier 1 capital (to average assets): Hanmi Financial $ 657,251 9.63 % $ 273,133 4.00 % N/A N/A Hanmi Bank $ 748,178 10.96 % $ 273,101 4.00 % $ 341,376 5.00 % December 31, 2020 Total capital (to risk-weighted assets): Hanmi Financial $ 743,091 15.21 % $ 390,884 8.00 % N/A N/A Hanmi Bank $ 726,532 14.86 % $ 391,114 8.00 % $ 488,893 10.00 % Tier 1 capital (to risk-weighted assets): Hanmi Financial $ 583,076 11.93 % $ 293,163 6.00 % N/A N/A Hanmi Bank $ 665,058 13.60 % $ 293,336 6.00 % $ 391,114 8.00 % Common equity Tier 1 capital (to risk-weighted assets) Hanmi Financial $ 562,647 11.52 % $ 219,872 4.50 % N/A N/A Hanmi Bank $ 665,058 13.60 % $ 220,002 4.50 % $ 317,780 6.50 % Tier 1 capital (to average assets): Hanmi Financial $ 583,076 9.49 % $ 245,882 4.00 % N/A N/A Hanmi Bank $ 665,059 10.83 % $ 245,736 4.00 % $ 307,170 5.00 % |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | Note 14 — Fair Value Measurements Fair Value Measurements ASC 820, Fair Value Measurements and Disclosures, defines fair value, establishes a framework for measuring fair value including a three-level valuation hierarchy, and expands disclosures about fair value measurements. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The three-level fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of inputs that may be used to measure fair value are defined as follows: • Level 1 - Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. • Level 2 - Significant other observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, and other inputs that are observable or can be corroborated by observable market data. • Level 3 - Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. Fair value is used on a recurring basis for certain assets and liabilities in which fair value is the primary basis of accounting. Additionally, fair value is used on a non-recurring basis to evaluate assets or liabilities for impairment or for disclosure purposes. We record securities available for sale at fair value on a recurring basis. Certain other assets, such as loans held for sale, nonperforming loans, OREO, b ank-owned premises, and core deposit intangible, are recorded at fair value on a non-recurring basis. Non-recurring fair value measurements typically involve assets that are periodically evaluated for impairment and for which any impairment is recorded in the period in which the re-measurement is performed. The following methods and assumptions were used to estimate the fair value of each class of financial instrument below: Securities available for sale - The fair values of securities available for sale are determined by obtaining quoted prices on nationally recognized securities exchanges. If quoted prices are not available, fair values are measured using matrix pricing, which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities, or other model-based valuation techniques requiring observable inputs other than quoted prices such as yield curve, prepayment speeds, and default rates. Level 1 securities include U.S. Treasury securities and mutual funds that are traded on an active exchange or by dealers or brokers in active over-the-counter markets. The fair value of these securities is determined by quoted prices on an active exchange or over-the-counter market. Level 2 securities primarily include mortgage-backed securities, collateralized mortgage obligations, U.S. government agency securities and municipal bonds in markets that are active. In determining the fair value of the securities categorized as Level 2, we obtain reports from an investment accounting service provider detailing the fair value of each investment security held as of each reporting date. The investment accounting service provider obtains prices from nationally recognized pricing services. We review the prices obtained for reasonableness based on our understanding of the marketplace, and also consider any credit issues related to the bonds. As we have not made any adjustments to the market quotes provided to us and as they are based on observable market data, they have been categorized as Level 2 within the fair value hierarchy. Level 3 securities are instruments that are not traded in the market. Therefore, no observable market data for the instrument is available, which necessitates the use of significant unobservable inputs. Derivatives – The fair values of derivatives are based on valuation models using observable market data as of the measurement date (Level 2). Our derivatives are traded in an over-the-counter market where quoted market prices are not always available. Therefore, the fair values of derivatives are determined using quantitative models that utilize multiple market inputs. The inputs will vary based on the type of derivative, but could include interest rates, prices and indices to generate continuous yield or pricing curves, prepayment rates, and volatility factors to value the position. The majority of market inputs are actively quoted and can be validated through external sources, including brokers, market transactions and third-party pricing services. Loans held for sale – All loans held for sale are SBA loans carried at the lower of cost or fair value. Management obtains quotes, bids or pricing indication sheets on all, or, part of these loans directly from the purchasing financial institutions. Premiums received, or, to be received on the quotes, bids or pricing indication sheets are indicative of the fact that cost is lower than fair value. At December 31, 2021 and 2020, the entire balance of SBA loans held for sale was recorded at its cost. We record SBA loans held for sale on a nonrecurring basis with Level 2 inputs. Nonperforming loans – Nonaccrual loans receivable and performing restructured loans receivable are considered nonperforming for reporting purposes and are measured and recorded at fair value on a non-recurring basis. All nonperforming loans with a carrying balance over $250,000 are individually evaluated for the amount of expected credit losses, if any. Nonperforming loans with a carrying balance of $250,000 or less are evaluated collectively. However, from time to time, nonrecurring fair value adjustments to collateral dependent nonperforming loans are recorded based on either the current appraised value of the collateral, a Level 2 measurement, or management’s judgment and estimation of value reported on older appraisals that are then adjusted based on recent market trends, a Level 3 measurement. OREO – Fair value of OREO is based primarily on third party appraisals, less costs to sell and result in a Level 3 classification of the inputs for determining fair value. Appraisals are required annually and may be updated more frequently as circumstances require and the fair value adjustments are made to OREO based on the updated appraised value of the property. Other repossessed assets – Fair value of equipment from leasing contracts is based primarily on a third party valuation service, less costs to sell and result in a Level 3 classification of the inputs for determining fair value. Valuations are required at the time the asset is repossessed and may be subsequently updated periodically due to the Company’s short-term possession of the asset prior to its sale, or, as circumstances require and the fair value adjustments are made to the asset based on its value prior to sale. Assets and Liabilities Measured at Fair Value on a Recurring Basis As of December 31, 2021 and 2020, assets and liabilities measured at fair value on a recurring basis are as follows: Level 1 Level 2 Level 3 Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs with No Active Market with Identical Characteristics Significant Unobservable Inputs Total Fair Value (in thousands) December 31, 2021 Assets: Securities available for sale: U.S. Treasury securities $ 15,397 $ — $ — $ 15,397 U.S. government agency and sponsored agency obligations: Mortgage-backed securities — 607,505 — 607,505 Collateralized mortgage obligations — 93,604 — 93,604 Debt securities — 115,896 — 115,896 Total U.S. government agency and sponsored agency obligations — 817,005 — 817,005 Municipal bonds-tax exempt — 78,388 — 78,388 Total securities available for sale $ 15,397 $ 895,393 $ — $ 910,790 Derivative financial instruments $ — $ 1,379 $ — $ 1,379 Liabilities: Derivative financial instruments $ — $ 1,360 $ — $ 1,360 December 31, 2020 Assets: Securities available for sale: U.S. Treasury securities $ 10,132 $ — $ — $ 10,132 U.S. government agency and sponsored agency obligations: Mortgage-backed securities — 519,242 — 519,242 Collateralized mortgage obligations — 133,601 — 133,601 Debt securities — 90,807 — 90,807 Total U.S. government agency and sponsored agency obligations — 743,649 — 743,649 Total securities available for sale $ 10,132 $ 743,649 $ — $ 753,781 Derivative financial instruments $ — $ 1,088 $ — $ 1,088 Liabilities: Derivative financial instruments $ — $ 1,149 $ — $ 1,149 Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis As of December 31, 2021 and 2020, assets and liabilities measured at fair value on a non-recurring basis are as follows: Level 1 Level 2 Level 3 Total Prices in Active Markets for Identical Assets Observable Inputs with No Active Market with Identical Characteristics Significant Unobservable Inputs (in thousands) December 31, 2021 Assets: Collateral dependent loans (1) $ 3,398 $ — $ — $ 3,398 Other real estate owned 675 — — 675 Repossessed personal property 8 — — 8 December 31, 2020 Assets: Collateral dependent loans (2) $ 63,114 $ — $ — $ 63,114 Other real estate owned 2,360 — — 2,360 Repossessed personal property 857 — — 857 (1) Consisted of real estate loans of $3.4 million. (2) Consisted of real estate loans of $63.1 million and commercial and industrial loans of $41,000. The following table represents quantitative information about Level 3 fair value assumptions for assets measured at fair value on a non-recurring basis at December 31, 2021 and 2020: Fair Value Valuation Techniques Unobservable Input(s) Range (Weighted Average) (in thousands) December 31, 2021 Collateral dependent loans: Real estate loans: Commercial property Retail $ 1,917 Market approach Market data comparison (28)% to 23% / (6)% Other 499 Market approach Market data comparison (20)% to 20% / 0% Residential/consumer loans 982 Market approach Market data comparison (19)% to 8% / 3% Total real estate loans 3,398 Total $ 3,398 Other real estate owned $ 675 Market approach Market data comparison (20)% to (5)% / (12)% Repossessed personal property 8 Market approach Market data comparison (1) December 31, 2020 Collateral dependent loans: Real estate loans: Commercial property Retail $ 6,330 Market approach Market data comparison (45)% to 35% / 14% Hospitality 20,612 Market approach Market data comparison (2) Other 8,410 Market approach Market data comparison (55)% to 34% / 15% (3) Construction 24,854 Market approach Market data comparison (20)% to 12% / (8)% Residential/consumer loans 2,867 Market approach Market data comparison (13)% to 15% / 6% (3) Total real estate loans 63,073 Commercial and industrial loans: Commercial term 41 Market approach Market data comparison (9)% to 15% / 6% (3) Total $ 63,114 Other real estate owned $ 2,360 Market approach Market data comparison (35)% to 15% / (14)% Repossessed personal property 857 Market approach Market data comparison (1) (1) The equipment is usually too low in value to use a professional appraisal service. The values are determined internally using a combination of auction values, vendor recommendations and sales comparisons depending on the equipment type. Some highly commoditized equipment, such as commercial trucks have services that provide industry values. (2) No discount weighted average range available given primary valuation methodology is via DCF analysis for going concern properties. (3) Appraisal reports utilize a combination of valuation techniques including a market approach, where prices and other relevant information generated by market transactions involving similar or comparable properties are used to determine the appraised value. Appraisals may include an ‘as is’ and ‘upon completion’ valuation scenarios. Adjustments are routinely made in the appraisal process by third-party appraisers to adjust for differences between the comparable sales and income data. Adjustments also result from the consideration of relevant economic and demographic factors with the potential to affect property values. Also, prospective values are based on the market conditions which exist at the date of inspection combined with informed forecasts based on current trends in supply and demand for the property types under appraisal. Positive adjustments disclosed in this table represent increases to the sales comparison and negative adjustment represent decreases. ASC 825, Financial Instruments, requires disclosure of the fair value of financial assets and financial liabilities, including those financial assets and financial liabilities that are not measured and reported at fair value on a recurring basis or non-recurring basis. The methodologies for estimating the fair value of financial assets and financial liabilities that are measured on a recurring basis or non-recurring basis are discussed above. The estimated fair value of financial instruments has been determined by using available market information and appropriate valuation methodologies. However, considerable judgment is required to interpret market data in order to develop estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts that we could realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. Effective January 1, 2018, the Company adopted ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities (Topic 825). This standard, among other provisions, requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes. Other than certain financial instruments for which we have concluded that the carrying amounts approximate fair value, the fair value estimates shown below are based on an exit price notion as of December 31, 2021 and 2020, as required by ASU 2016-01. The financial instruments for which we have concluded that the carrying amounts approximate fair value include: cash and due from banks, accrued interest receivable and payable, and noninterest-bearing deposits. The estimated fair values of financial instruments were as follows: December 31, 2021 Carrying Fair Value Amount Level 1 Level 2 Level 3 (in thousands) Financial assets: Cash and due from banks $ 608,965 $ 608,965 $ — $ — Securities available for sale 910,790 15,397 895,393 — Loans held for sale 13,342 — 14,723 — Loans receivable, net of allowance for credit losses 5,078,984 — — 5,072,282 Accrued interest receivable 11,976 11,976 — — Financial liabilities: Noninterest-bearing deposits 2,574,517 — 2,574,517 — Interest-bearing deposits 3,211,752 — — 3,211,708 Borrowings and subordinated debentures 352,506 — 137,198 213,179 Accrued interest payable 1,161 1,161 — — December 31, 2020 Carrying Fair Value Amount Level 1 Level 2 Level 3 (in thousands) Financial assets: Cash and due from banks $ 391,849 $ 391,849 $ — $ — Securities available for sale 753,781 10,132 743,649 — Loans held for sale 8,568 — 9,270 — Loans receivable, net of allowance for credit losses 4,789,742 — — 4,755,302 Accrued interest receivable 16,363 16,363 — — Financial liabilities: Noninterest-bearing deposits 1,898,766 — 1,898,766 — Interest-bearing deposits 3,376,242 — — 3,380,179 Borrowings and subordinated debentures 268,972 — 151,714 118,809 Accrued interest payable 4,564 4,564 — — The methods and assumptions used to estimate the fair value of each class of financial instruments for which it was practicable to estimate that value are explained below: Cash and due from banks – The carrying amounts of cash and due from banks approximate fair value due to the short-term nature of these instruments (Level 1). Securities – The fair value of securities, consisting of securities available for sale, is generally obtained from market bids for similar or identical securities, from independent securities brokers or dealers, or from other model-based valuation techniques described above (Level 1 and 2). Loans held for sale – Loans held for sale, representing the guaranteed portion of SBA loans, are carried at the lower of aggregate cost or fair market value, as determined based upon quotes, bids or sales contract prices (Level 2). Loans receivable, net of allowance for credit losses – The fair value of loans receivable is estimated based on the discounted cash flow approach. To estimate the fair value of the loans, certain loan characteristics such as account types, remaining terms, annual interest rates or coupons, interest types, past delinquencies, timing of principal and interest payments, current market rates, loan-to-value ratios, loss exposures, and remaining balances are considered. Additionally, the Company’s prior charge-off rates and loss ratios as well as various other assumptions relating to credit, interest, and prepayment risks are used as part of valuing the loan portfolio. Subsequently, the loans were individually evaluated by sorting and pooling them based on loan types, credit risk grades, and payment types. Consistent with the requirements of ASU 2016-01 which was adopted by the Company on January 1, 2018, the fair value of the Company's loans receivable is considered to be an exit price notion as of December 31, 2021 (Level 3). The fair value of collateral dependent loans is estimated based on the net realizable fair value of the collateral or the observable market price of the most recent sale or quoted price from loans held for sale. The Company does not record loans at fair value on a recurring basis. Nonrecurring fair value adjustments to collateral dependent loans are recorded based on the current appraised value of the collateral (Level 3). Accrued interest receivable – The carrying amount of accrued interest receivable approximates its fair value (Level 1). Noninterest-bearing deposits – The fair value of noninterest-bearing deposits is the amount payable on demand at the reporting date (Level 2). Interest-bearing deposits – The fair value of interest-bearing deposits, such as savings accounts, money market checking, and certificates of deposit, is estimated based on discounted cash flows. The cash flows for non-maturity deposits, including savings accounts and money market checking, are estimated based on their historical decaying experiences. The discount rate used for fair valuation is based on interest rates currently being offered by the Bank on comparable deposits as to amount and term (Level 3). Borrowings and subordinated debentures – Borrowings consist of FHLB advances, subordinated debentures and other borrowings. Discounted cash flows based on current market rates for borrowings with similar remaining maturities are used to estimate the fair value of borrowings (Level 2 and 3). Accrued interest payable – The carrying amount of accrued interest payable approximates its fair value (Level 1). |
Share-based Compensation
Share-based Compensation | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-based Compensation | Note 15 — Share-based Compensation At December 31, 2021, we had one incentive plan, the 2021 Equity Compensation Plan (the “2021 Plan”), which became effective on May 26, 2021. The 2021 Plan serves as the successor to the 2013 Equity Compensation Plan (the “2013 Plan”). Outstanding awards granted under the 2013 Plan continue to be governed by the 2013 Plan. The Company may provide awards of options, stock appreciation rights, restricted stock awards, restricted stock unit awards, shares granted as a bonus or in lieu of another award, dividend equivalent, other stock-based award or performance award, together with any other right or interest to a participant. Plan participants include executives and other employees, officers, directors, consultants and other persons who provide services to the Company or its related entities. Although no future stock options may be granted, certain employees, directors and officers of Hanmi Financial and its subsidiaries still hold options to purchase Hanmi Financial common stock under the 2007 Plan. Under the 2013 Plan, we may grant equity incentive awards for up to 1,500,000 shares of common stock. As of December 31, 2021, 1,420,485 shares were still available for issuance under the 2013 Plan. The table below provides the share-based compensation expense and related tax benefits for the periods indicated: Year Ended December 31, 2021 2020 2019 Share-based compensation expense $ 2,436 $ 2,544 $ 3,125 Related tax benefits $ 703 $ 734 $ 941 As of December 31, 2021, unrecognized share-based compensation expense was $1.8 million with an average expected recognition period of 1.6 years. 2013 and 2021 Equity Compensation Plans Stock Options All stock options granted under the Plans have an exercise price equal to the fair market value of the underlying common stock on the date of grant. Stock options granted generally vest based on three to five years of continuous service and expire ten years from the date of grant. New shares of common stock are issued or treasury shares are utilized upon the exercise of stock options. There were no options granted during the three years ended December 31, 2021. The following information under the Plans is presented for the periods indicated: Year Ended December 31, 2021 2020 2019 Total intrinsic value of options exercised (1) $ — $ — $ 842 Cash received from options exercised $ — $ — $ 2,979 (1) Intrinsic value represents the difference between the closing stock price on the exercise date and the exercise price, multiplied by the number of options. The following is a summary of stock option transactions under the Plans for the periods indicated: Year Ended December 31, 2021 2020 2019 Number of Shares Weighted- Average Exercise Price Per Share Number of Shares Weighted- Average Exercise Price Per Share Number of Shares Weighted- Average Exercise Price Per Share Options outstanding at beginning of period 125,938 $ 19.59 156,438 $ 18.84 338,338 $ 17.52 Options exercised — $ — — $ — (181,900 ) $ 16.38 Options forfeited (10,000 ) $ 19.74 (30,500 ) $ 15.73 — $ — Options outstanding at end of period 115,938 $ 19.58 125,938 $ 19.59 156,438 $ 18.84 Options exercisable at end of period 115,938 $ 19.58 125,938 $ 19.59 156,438 $ 18.84 As of December 31, 2021, there was no unrecognized compensation cost related to nonvested stock options granted under the plan, and all stock options issued under the plan had vested. As of December 31, 2021, stock options outstanding under the Plans were as follows: Options Outstanding Options Exercisable Number of Shares Intrinsic Value (1) Weighted- Average Average Exercise Price Per Share Weighted- Average Remaining Contractual Life Number of Shares Intrinsic Value (1) Weighted- Average Exercise Price Per Share Weighted- Average Remaining Contractual Life $10.80 to $14.99 4,938 $ 55 $ 12.54 0.95 4,938 $ 55 $ 12.54 0.95 $15.00 to $19.99 50,000 363 16.43 1.66 50,000 363 16.43 1.66 $20.00 to $24.83 61,000 61 22.73 2.84 61,000 61 22.73 2.84 115,938 $ 479 $ 19.58 2.30 115,938 $ 479 $ 19.58 2.30 (1) Intrinsic value represents the difference between the closing stock price on the last trading day of the period, which was $23.68 as of December 31, 2021, and the exercise price, multiplied by the number of options. This value is presented in thousands. Restricted Stock Awards Restricted stock awards under the Plans become fully vested after a certain number of years or after certain performance criteria are met. Hanmi Financial becomes entitled to an income tax deduction in an amount equal to the taxable income reported by the holders of the restricted shares when the restrictions are released and the shares are issued. Restricted shares are forfeited if officers and employees terminate prior to the lapsing of restrictions. Forfeitures of restricted stock are treated as canceled shares. The table below provides information for restricted stock awards under the 2013 Plan for the periods indicated: 2021 2020 2019 Number of Shares Weighted- Average Grant Date Fair Value Per Share Number of Shares Weighted- Average Grant Date Per Share Number of Shares Weighted- Average Grant Date Fair Value Per Share Restricted stock at beginning of period 243,708 $ 15.60 296,201 $ 22.91 304,595 $ 21.98 Restricted stock granted 75,679 $ 19.62 125,896 $ 8.51 181,204 $ 22.05 Restricted stock vested (134,659 ) $ 16.01 (137,892 ) $ 24.68 (99,527 ) $ 27.56 Restricted stock forfeited (32,641 ) $ 15.02 (40,497 ) $ 16.55 (90,071 ) $ 13.78 Restricted stock at end of period 152,087 $ 17.24 243,708 $ 15.60 296,201 $ 22.91 As of December 31, 2021, there was $1.8 million of total unrecognized compensation cost related to nonvested shares granted under the 2013 Plan. The cost is expected to be recognized over a weighted-average period of 1.6 years. The total fair value of shares vested during the years ended December 31, 2021, 2020 and 2019 was $2.7 million, $1.4 million, and $2.1 million, respectively. During the twelve months ended December 31, 2021, the Company granted to members of executive management 42,626 performance stock units (PSUs) with a grant date fair value of $392,000 from the 2013 Plan. PSUs are similar to restricted stock awards, except the recipient does not receive the stock immediately, but instead receives it in accordance to a vesting plan and distribution schedule after achieving required performance milestones and upon remaining with the Company for a particular length of time. Each PSU that vests entitles the recipient to receive one share of the Company’s common stock on a specified issuance date. The PSUs vest into shares based on a three-year three-year Compensation expense for these units is based on the fair value of the grants at the grant date and is amortized on a straight-line basis over the vesting period. As of the twelve months ended December 31, 2021 total compensation expense for the PSUs was $77,000. The total fair value of the PSUs at December 31, 2021 was $1.0 million. |
Earnings per Share
Earnings per Share | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Earnings per Share | Note 16 — Earnings per Share The following table is a reconciliation of the components used to derive basic and diluted EPS for the periods indicated: Weighted- Net Average Per Income Shares Share (Numerator) (Denominator) Amount (1) Year Ended December 31, 2021 Basic EPS Net income $ 98,677 30,393,559 $ 3.25 Less: income allocated to unvested restricted stock 671 30,393,559 0.02 Basic EPS $ 98,006 30,393,559 $ 3.22 Effect of dilutive securities - options and unvested restricted stock — 78,188 — Diluted EPS Net income $ 98,677 30,471,747 $ 3.24 Less: income allocated to unvested restricted stock 671 30,471,747 0.02 Diluted EPS $ 98,006 30,471,747 $ 3.22 Year Ended December 31, 2020 Basic EPS Net income $ 42,196 30,280,415 $ 1.39 Less: income allocated to unvested restricted stock 532 30,280,415 0.02 Basic EPS $ 41,664 30,280,415 $ 1.38 Effect of dilutive securities - options and unvested restricted stock — — — Diluted EPS Net income $ 42,196 30,280,415 $ 1.39 Less: income allocated to unvested restricted stock 532 30,280,415 0.02 Diluted EPS $ 41,664 30,280,415 $ 1.38 Year Ended December 31, 2019 Basic EPS Net income $ 32,788 30,725,376 $ 1.07 Less: income allocated to unvested restricted stock 230 30,725,376 0.01 Basic EPS $ 32,558 30,725,376 $ 1.06 Effect of dilutive securities - options and unvested restricted stock — 35,046 — Diluted EPS Net income $ 32,788 30,760,422 $ 1.07 Less: income allocated to unvested restricted stock 230 30,760,422 0.01 Diluted EPS $ 32,558 30,760,422 $ 1.06 (1) Per share amounts may not be able to be recalculated using net income and weighted-average shares presented above due to rounding. There were no anti-dilutive options outstanding for the years ended December 31, 2021, 2020 and 2019. |
Employee Benefits
Employee Benefits | 12 Months Ended |
Dec. 31, 2021 | |
Postemployment Benefits [Abstract] | |
Employee Benefits | Note 17 — Employee Benefits 401(k) Plan We have a 401(k) plan for the benefit of substantially all of our employees. We match 75 percent of participant contributions to the 401(k) plan up to 8 percent of each 401(k) plan participant’s annual compensation. Contributions to the 401(k) plan were $2.6 million for the year ended December 31, 2021 and $2.4 million for both years ended December 31, 2020 and 2019, respectively. Personal Paid Time Off Full time employees of the Bank are provided a benefit for personal paid time off for vacation and sick time based on their length of employment. As of December 31, 2021 and 2020, the accrued expense liability for personal paid time off was $3.6 million and $3.1 million, respectively. Bank-Owned Life Insurance As of December 31, 2021 and 2020, the cash surrender value of bank-owned life insurance was $54.9 million and $53.9 million, respectively. The Bank is the main beneficiary under each policy, although certain employees named on a policy are eligible for their heirs to be paid upon their death. In the event of the death of a covered officer, we will receive the specified insurance benefit from the insurance carrier. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Note 18 — Commitments and Contingencies In the normal course of business, we are involved in various legal claims. Management has reviewed all legal claims against us with in-house or outside legal counsel and has taken into consideration the views of such counsel as to the outcome of the claims. In management’s opinion, the final disposition of all such claims will not have a material adverse effect on our financial position or results of operations. |
Off-Balance Sheet Commitments
Off-Balance Sheet Commitments | 12 Months Ended |
Dec. 31, 2021 | |
Risks And Uncertainties [Abstract] | |
Off-Balance Sheet Commitments | Note 19 — Off-Balance Sheet Commitments The Bank is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of our customers. These financial instruments include commitments to extend credit and standby letters of credit. These instruments involve, to varying degrees, elements of credit and interest rate risk similar to the risk involved with on-balance sheet items recognized in the Consolidated Balance Sheets and may expire without ever being utilized. The Bank’s exposure to credit losses in the event of non-performance by the other party to commitments to extend credit and standby letters of credit is represented by the contractual notional amount of those instruments. The Bank uses the same credit policies in making commitments and conditional obligations as it does for extending loan facilities to customers. The Bank evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Bank upon an extension of credit, was based on management’s credit evaluation of the counterparty. Collateral held varies but may include accounts receivable, inventory, premises and equipment, and income-producing or borrower-occupied properties. The following table shows the distribution of undisbursed loan commitments as of the dates indicated: December 31, 2021 2020 (in thousands) Commitments to extend credit $ 626,474 $ 453,900 Standby letters of credit 49,287 47,169 Commercial letters of credit 39,261 54,547 Total undisbursed loan commitments $ 715,022 $ 555,616 The allowance for credit losses related to off-balance sheet items is maintained at a level believed to be sufficient to absorb probable losses related to these unfunded credit facilities. The determination of the allowance adequacy is based on periodic evaluations of the unfunded credit facilities including an assessment of the probability of commitment usage, credit risk factors for loans outstanding to these same customers, and the terms and expiration dates of the unfunded credit facilities. Net adjustments to the allowance for credit losses related to off-balance sheet items are included in other operating expenses. Activity in the allowance for credit losses related to off-balance sheet items was as follows for the periods indicated: As of and for the Year Ended December 31, 2021 2020 2019 (in thousands) Balance at beginning of period $ 2,792 $ 2,397 $ 1,439 Adjustment related to adoption of ASU 2016-13 — (335 ) — Adjusted balance $ 2,792 2,062 1,439 Provision (recovery) for credit losses (206 ) 730 958 Balance at end of period $ 2,586 $ 2,792 $ 2,397 |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | Note 20 — Derivative Financial Instruments The Company’s derivative financial instruments consist entirely of interest rate swap agreements between the Company and its customers and other third party counterparties. The Company enters into “back to back swap” arrangements whereby the Company executes interest rate swap agreements with its customers and acquires an offsetting swap position from a third party counterparty. These derivative financial statements are accounted for at fair value, with changes in fair value recognized in the Company’s Consolidated Statements of Income. The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Balance Sheet as of December 31, 2021 and 2020. As of December 31, 2021 Derivative Assets Derivative Liabilities Notional Amount Balance Sheet Location Fair Value Notional Amount Balance Sheet Location Fair Value (in thousands) Derivatives not designated as hedging instruments Interest rate products $ 61,968 Other Assets $ 1,379 $ 61,968 Other Liabilities $ 1,360 Total derivatives not designated as hedging instruments $ 1,379 $ 1,360 As of December 31, 2020 Derivative Assets Derivative Liabilities Notional Amount Balance Sheet Location Fair Value Notional Amount Balance Sheet Location Fair Value (in thousands) Derivatives not designated as hedging instruments Interest rate products $ 66,904 Other Assets $ 1,088 $ 66,904 Other Liabilities $ 1,149 Total derivatives not designated as hedging instruments $ 1,088 $ 1,149 The table below presents the effect of the Company’s derivative financial instruments that are not designated as hedging instruments on the Income Statement as of December 31, 2021 and 2020. Derivatives Not Designated as Hedging Instruments under Subtopic 815-20 Location of Gain or (Loss) Recognized in Income on Derivative Amount of Gain or (Loss) Recognized in Income on Derivative For the Year Ended December 31, 2021 2020 (in thousands) Interest rate products Other income $ 80 $ (61 ) Total $ 80 $ (61 ) Fee income recognized from the Company's derivative financial instruments for the twelve months ended December 31, 2021 and 2020 was $0 and $1.1 million, respectively. The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company’s derivatives as of December 31, 2021 and 2020. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the Balance Sheet. Offsetting of Derivative Assets As of December 31, 2021 Gross Amounts Not Offset in the Consolidated Balance Sheets Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets presented in the Statement of Financial Position Financial Instruments Cash Collateral Received Net Amount (in thousands) Derivatives $ 1,379 $ — $ 1,379 $ 1,360 $ 19 $ — Offsetting of Derivative Liabilities As of December 31, 2021 Gross Amounts Not Offset in the Consolidated Balance Sheets Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities presented in the Statement of Financial Position Financial Instruments Cash Collateral Provided Net Amount (in thousands) Derivatives $ 1,360 $ — $ 1,360 $ 1,360 $ — $ — Offsetting of Derivative Assets As of December 31, 2020 Gross Amounts Not Offset in the Consolidated Balance Sheets Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets presented in the Statement of Financial Position Financial Instruments Cash Collateral Received Net Amount (in thousands) Derivatives $ 1,088 $ — $ 1,088 $ 1,088 $ — $ 1,088 Offsetting of Derivative Liabilities As of December 31, 2020 Gross Amounts Not Offset in the Consolidated Balance Sheets Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities presented in the Statement of Financial Position Financial Instruments Cash Collateral Provided Net Amount (in thousands) Derivatives $ 1,149 $ — $ 1,149 $ — $ 1,150 $ (1 ) The Company has agreements with each of its derivative counterparties that contain a provision stating if the Company either defaults or is capable of being declared in default on any of its indebtedness, then the Company could also be declared in default on its derivative obligations. In addition, these agreements may also require the Company to post additional collateral should it fail to maintain its status as a well- or adequately-capitalized institution. As of December 31, 2021, the fair value of derivatives in a net asset position for counterparty transactions, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $1.4 million. As of December 31, 2021, the Company had posted no collateral related to these agreements since its net asset position is $19,000 ($1.4 million fair value of assets less $1.4 million fair value of liabilities) as of the end of the period. If the Company had breached any of the provisions described above at December 31, 2021, it could have been required to settle its obligations under the agreements at their termination value of $1.4 million. As of December 31, 2020, the fair value of derivatives in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $1.1 million . As of December 31, 2020, the Company had posted $1.2 million of collateral related to these agreements and is essentially over-collateralized since its net liability position is $61,000 ( $1.1 million fair value of assets less $1.1 million fair value of liabilities) as of the end of the period. If the Company had breached any of the provisions described above at December 31, 2020, it could have been required to settle its obligations under the agreements at their termination value of $1.1 million . |
Qualified Affordable Housing Pr
Qualified Affordable Housing Project Investments | 12 Months Ended |
Dec. 31, 2021 | |
Investments In Affordable Housing Projects [Abstract] | |
Qualified Affordable Housing Project Investments | Note 21 — Qualified Affordable Housing Project Investments The Company invests in qualified affordable housing projects. At December 31, 2021 and 2020, the balance of the investment for qualified affordable housing projects was $8.0 million and $7.8 million, respectively. This balance is reflected in prepaid expenses and other assets on the consolidated balance sheets. Total unfunded commitments related to the investments in qualified affordable housing projects aggregated $56,000 and $84,000 at December 31, 2021 and 2020, respectively. The Company expects to fulfill these commitments during the year ending 2023. During the years ended December 31, 2021 and 2020, the Company recognized amortization expense of $1.9 million and $1.8 million, respectively, which was included within income tax expense on the consolidated statements of income. |
Liquidity
Liquidity | 12 Months Ended |
Dec. 31, 2021 | |
Liquidity [Abstract] | |
Liquidity | Note 22 — Liquidity Hanmi Financial At December 31, 2021 and 2020, Hanmi Financial had $94.9 million and $17.3 million, respectively, in cash on deposit with its bank subsidiary. Management believes that Hanmi Financial, on a stand-alone basis, had adequate liquid assets to meet its current debt obligations. Hanmi Bank The principal objective of our liquidity management program is to maintain the Bank’s ability to meet the day-to-day cash flow requirements of our customers who either wish to withdraw funds or to draw upon credit facilities to meet their cash needs. Management believes that the Bank, on a stand-alone basis, has adequate liquid assets to meet its current obligations. The Bank’s primary funding source will continue to be deposits originating from its branch platform. The Bank’s wholesale funds historically consisted of FHLB advances and brokered deposits. As of December 31, 2021 and 2020, the Bank had $137.5 million and $150.0 million of FHLB advances and $141.8 million and $193.7 million of brokered deposits, respectively. We monitor the sources and uses of funds on a regular basis to maintain an acceptable liquidity position. The Bank’s primary source of borrowings is the FHLB, from which the Bank is eligible to borrow up to 30 percent of its assets. As of December 31, 2021, the total borrowing capacity available based on pledged collateral and the remaining available borrowing capacity were $1.84 billion and $1.61 billion, respectively, compared to $1.73 billion and $1.44 billion, respectively, as of December 31, 2020. The amount that the FHLB is willing to advance differs based on the quality and character of qualifying collateral pledged by the Bank, and the advance rates for qualifying collateral may be adjusted upwards or downwards by the FHLB from time to time. To the extent deposit renewals and deposit growth are not sufficient to fund maturing and withdrawable deposits, repay maturing borrowings, fund existing and future loans, leases and securities, and otherwise fund working capital needs and capital expenditures, the Bank may utilize the remaining borrowing capacity from its FHLB borrowing arrangement. As a means of augmenting its liquidity, the Bank had an available borrowing source of $32.8 million from the Federal Reserve Discount Window, to which the Bank pledged securities with a carrying value of $34.7 million, and had no borrowings as of December 31, 2021. The Bank also maintains a line of credit for repurchase agreements up to $100.0 million. The Bank also had three unsecured federal funds lines of credit totaling $115.0 million with no outstanding balances as of December 31, 2021. |
Condensed Financial Information
Condensed Financial Information of Parent Company | 12 Months Ended |
Dec. 31, 2021 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Condensed Financial Information of Parent Company | Note 23 — Condensed Financial Information of Parent Company Balance Sheets At December 31, 2021 2020 (in thousands) Assets Cash $ 94,877 $ 17,266 Investments in consolidated subsidiaries 755,176 679,455 Other assets 11,554 995 Total assets $ 861,607 $ 697,716 Liabilities and stockholders' equity Liabilities Subordinated debentures $ 215,006 $ 118,972 Other liabilities 3,184 1,701 Total liabilities 218,190 120,673 Stockholders' equity 643,417 577,043 Total liabilities and stockholders' equity $ 861,607 $ 697,716 Statements of Income Year Ended December 31, 2021 2020 2019 (in thousands) Dividends from bank subsidiaries $ 20,639 $ 16,986 $ 44,500 Interest expense (8,273 ) (6,607 ) (7,032 ) Other expense (4,891 ) (4,892 ) (5,333 ) Income before taxes and undistributed income of subsidiary 7,475 5,487 32,135 Income tax benefit 3,962 3,247 3,823 Income before undistributed income of subsidiary 11,437 8,734 35,958 Equity in undistributed income of subsidiary 87,239 33,463 (3,170 ) Net income $ 98,676 $ 42,197 $ 32,788 Statements of Cash Flows Year Ended December 31, 2021 2020 2019 (in thousands) Cash Flows from Operating Activities: Net income $ 98,676 $ 42,197 $ 32,788 Adjustments to reconcile net income to net cash used in operating activities Undistributed income of subsidiary (87,239 ) (33,463 ) 3,170 Amortization of subordinated debentures 1,148 595 569 Share-based compensation expense 2,437 2,544 3,125 Change in other assets and liabilities (9,076 ) 6,779 4,679 Net cash provided by (used in) operating activities 5,946 18,651 44,331 Cash Flows from Financing Activities: Proceeds from exercise of stock options — — 2,979 Issuance of subordinated debentures 107,929 — — Purchase of subordinated debentures (13,043 ) — — Cash paid for repurchase of vested shares due to employee tax liability (572 ) (335 ) (517 ) Repurchase of common stock (6,135 ) (2,196 ) (7,362 ) Cash dividends paid (16,514 ) (15,959 ) (29,776 ) Net cash provided by (used in) financing activities 71,665 (18,489 ) (34,676 ) Net increase (decrease) in cash 77,611 162 9,655 Cash at beginning of year 17,266 17,105 7,450 Cash at end of year $ 94,877 $ 17,266 $ 17,105 |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 31, 2021 | |
Revenue From Contract With Customer [Abstract] | |
Revenue Recognition | Note 24 — Revenue Recognition The Company adopted ASU 2014-09, Revenue from Contracts with Customers (Topic 606), as of January 1, 2018. ASU 2014-09 established a principles-based approach to recognizing revenue that applies to all contracts other than those covered by other authoritative U.S. GAAP guidance. Quantitative and qualitative disclosures regarding the nature, amount, timing and uncertainty of revenue and cash flows are also required. The standard’s core principle is that a company shall recognize revenue when it transfers promised goods or services to customers in an amount that reflects the consideration to which the company expects to be entitled in exchange for those goods or services. In doing so, companies generally are required to use more judgment and make more estimates than under prior guidance. These may include identifying performance obligations in the contract, estimating the amount of variable consideration to include in the transaction price and allocating the transaction price to each separate performance obligation. Since the guidance does not apply to revenue associated with financial instruments, including loans and securities that are accounted for under GAAP, the new guidance did not have an impact on revenue most closely associated with our financial instruments, including interest income and expense. The Company completed its overall assessment of revenue streams and review of related contracts potentially affected by the ASU, including revenue streams associated with our noninterest income. Based on this assessment, the Company concluded that ASU 2014-09 did not change the method in which the Company currently recognizes revenue for these revenue streams. The Company's noninterest income primarily includes service charges on deposit accounts, trade finance and other service charges and fees, servicing income, bank-owned life insurance income and gains or losses on sale of SBA loans and securities. Based on our assessment of revenue streams related to the Company's noninterest income, we concluded that the Company's performance obligations for such revenue streams are typically satisfied as services are rendered. If applicable, the Company records contract liabilities, or deferred revenue, when payments from customers are received or due in advance of providing services to customers and records contract assets when services are provided to customers before payment is received or before payment is due. The Company’s noninterest revenue streams are largely based on transactional activities and since the Company generally receives payments for its services during the period or at the time services are provided, there are no contract asset or receivable balances as of December 31, 2021 and 2020. Consideration is often received immediately or shortly after the Company satisfies its performance obligations and revenue is recognized. The Company also completed its evaluation of certain costs related to these revenue streams to determine whether such costs should be presented as expenses or contra-revenue (i.e., gross versus net) and concluded that our Consolidated Statements of Income do not include any revenue streams that are impacted by such gross versus net provisions of the new standard. The Company adopted ASU 2014-09 and its related amendments on its required effective date of January 1, 2018 utilizing the modified retrospective approach. Since there was no impact upon adoption of this new standard, a cumulative effect adjustment to opening retained earnings was not necessary. |
Subsequent Events
Subsequent Events | 12 Months Ended |
Dec. 31, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events | Note 25 — Subsequent Events Management has evaluated subsequent events through the date of issuance of the financial data included herein. There have been no subsequent events that occurred during such period that would require disclosure in this Annual Report on Form 10-K or would be required to be recognized in the Consolidated Financial Statements as of December 31, 2021. |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Operations | Summary of Operations Hanmi Financial Corporation (“Hanmi Financial,” the “Company,” “we,” “us” or “our”) is the holding company of Hanmi Bank (the “Bank”). The Bank is a California state-chartered financial institution insured by the Federal Deposit Insurance Corporation (the “FDIC”). The Bank is a state nonmember bank and the FDIC is its primary federal bank regulator. The California Department of Financial Protection and Innovation is the Bank's primary state bank regulator. The Bank’s primary operations are related to traditional banking activities, including the acceptance of deposits and originating loans and investing in securities. The Bank is a community bank conducting general business banking, with its primary market encompassing the Korean-American and other ethnic communities. The Bank’s full-service offices are located in markets where many of the businesses are owned by immigrants and other minority groups. The Bank’s client base reflects the multi-ethnic composition of these communities. As of December 31, 2021, the Bank maintained a network of 35 full-service branch offices and 8 loan production offices in California, Texas, Illinois, Virginia, New Jersey, New York, Colorado, Georgia and Washington State. |
Basis of Presentation | Basis of Presentation The accounting and reporting policies of Hanmi Financial and subsidiaries conform, in all material respects, to U.S. generally accepted accounting principles (“GAAP”) and general practices within the banking industry. The information set forth in the following notes is presented on a continuing operations basis. The following is a summary of the significant accounting policies consistently applied in the preparation of the accompanying Consolidated Financial Statements. |
Principles of Consolidation | Principles of Consolidation The Consolidated Financial Statements include the accounts of Hanmi Financial and its wholly-owned subsidiaries, the Bank and Hanmi Financial Corporation Statutory Trust I. All intercompany transactions and balances have been eliminated in consolidation. |
Use of Estimates in the Preparation of Financial Statements | Use of Estimates in the Preparation of Financial Statements The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. The COVID-19 pandemic has and may continue to materially impact the operations and business results of the Company. The extent to which the COVID-19 crisis may impact business activity or financial results will depend on future developments, which are highly uncertain and cannot be predicted, including new information which may emerge concerning the severity of the coronavirus or new variants and the actions required to contain the coronavirus or treat its impact, among others. This uncertainty may impact the accuracy of our significant estimates, which includes the allowance for credit losses, the allowance for credit losses related to off-balance sheet items, and the valuation of intangible assets including deferred tax assets, goodwill, and servicing assets. |
Reclassifications | Reclassifications Certain amounts in the prior years' financial statements and related disclosures were reclassified to conform to the current year presentation with no effect on previously reported net income, stockholders’ equity or cash flows. |
Segment Reporting | Segment Reporting Through our branch network and lending units, we provide a broad range of financial services to individuals and companies. These services include demand, time and savings deposits; and commercial and industrial, real estate and consumer lending. While our chief decision makers monitor the revenue streams of our various products and services, operations are managed and financial performance is evaluated on a company-wide basis. Accordingly, we consider all of our operations to be aggregated in one reportable operating segment. |
Cash and Due from Banks | Cash and Due from Banks Cash and due from banks include cash, deposits with other financial institutions, and federal funds sold. Net cash flows are reported for customer loan and deposit transactions, interest bearing deposits in other financial institutions, and federal funds purchased and repurchase agreements. |
Securities | Securities Securities are classified into three categories and accounted for as follows: (i) Securities that we have the positive intent and ability to hold to maturity are classified as “held to maturity” and reported at amortized cost; (ii) Securities that are bought and held principally for the purpose of selling them in the near future are classified as “trading securities” and reported at fair value. Unrealized gains and losses are recognized in earnings; (iii) Securities not classified as held to maturity or trading securities are classified as “available for sale” and reported at fair value. Unrealized gains and losses are reported either in earnings or as a separate component of stockholders’ equity as accumulated other comprehensive income, net of income taxes. Substantially all of the securities held by the Company are available for sale debt securities. For available-for-sale debt securities in an unrealized loss position, the Company first assesses whether it intends to sell, or it is more likely than not that it will be required to sell, the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through income. For available-for-sale debt securities that do not meet the aforementioned criteria, the Company evaluates whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security, among other factors. If this assessment indicates that a credit loss exists, the present value of cash flows expected to be collected from the security are compared to the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis, a credit loss is recorded and an allowance for credit losses is established, limited by the amount that the fair value is less than the amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income. Changes in the allowance for credit losses are recorded as a provision for (or reversal of) credit loss expense. Losses are charged against the allowance when management believes the risk of default of an available-for-sale security is confirmed or when either of the criteria regarding intent or requirement to sell is met. Accrued interest receivable on available-for-sale debt securities totaled $1.9 million and $1.2 million at December 31, 2021 and 2020, respectively, and was excluded from the estimate of credit losses. |
Loans Receivable | Loans receivable Originated loans: Loans are primarily originated by the Company with the intent to hold them for investment and are stated at the principal amount outstanding, net of deferred fees and costs. Net deferred fees and costs include nonrefundable loan fees, direct loan origination costs and initial direct costs. Net deferred fees or costs are recognized as an adjustment to interest income over the contractual life of the loans using the effective interest method or taken into income when the related loans are paid off or sold. The amortization of loan fees or costs is discontinued when a loan is placed on nonaccrual status. Interest income is recorded on an accrual basis in accordance with the terms of the respective loan and includes prepayment penalties. Equipment leases are similar to commercial business loans in that the leases are typically made on the basis of the borrower’s ability to make repayment from the cash flows of the borrower’s business. Nonaccrual loans and nonperforming assets: Loans are placed on nonaccrual status when, in the opinion of management, the full timely collection of principal or interest is in doubt. Generally, the accrual of interest is discontinued when principal or interest payments become 90 or more days past due, unless management believes the loan is adequately collateralized and is in the process of collection. However, in certain instances, we may place a particular loan on nonaccrual status earlier, depending upon the individual circumstances surrounding the loan’s status. When an asset is placed on nonaccrual, previously accrued but unpaid interest is reversed against current interest income. Subsequent collections of cash are applied as principal reductions when received, except when the ultimate collectability of principal is probable, in which case interest payments are credited to income. Nonaccrual assets may be restored to accrual status when principal and interest become current and full repayment is expected, which generally occurs after payments of six months. Interest income is recognized on the accrual basis for impaired loans not meeting the criteria for nonaccrual. Nonperforming assets consist of loans on nonaccrual status, loans 90 days or more past due and still accruing interest, loans restructured with troubled borrowers where the terms of repayment have been renegotiated resulting in a reduction or deferral of interest or principal, other real estate owned (“OREO”), and other repossessed personal property. |
Loans Held for Sale | Loans held for sale Loans originated, or transferred from loans receivable, and intended for sale in the secondary market are carried at the lower of aggregate cost or fair market value. Fair market value, if lower than cost, is determined based on valuations obtained from market participants or the value of underlying collateral, calculated individually. A valuation allowance is established if the market value of such loans is lower than their cost and net unrealized losses, if any, are recognized through a valuation allowance by charges to income. Origination fees on loans held for sale, net of certain costs of processing and closing the loans, are deferred until the time of sale and are included in the computation of the gain or loss from the sale of the related loans. |
Allowance for Credit Losses | Allowance for credit losses On January 1, 2020, the Company adopted ASU 2016-13 Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments, which replaced the incurred loss methodology with an expected loss methodology that is referred to as the current expected credit loss (“CECL”) approach. The measurement of expected credit losses under the CECL methodology is applicable to financial assets measured at amortized cost, including loan receivables and held-to-maturity debt securities. It also applies to off-balance sheet credit exposures not accounted for as insurance (loan commitments, standby letters of credit, financial guarantees, and other similar instruments) and net investments in leases recognized by a lessor in accordance with Topic 842 on leases. In addition, ASU 2016-13 made changes to the accounting for available-for sale debt securities. The Company adopted ASU 2016-13 using the prospective transition approach for debt securities for which the Company would have recognized other-than-temporary impairment prior to January 1, 2020. However, the Company had no such securities and as a result, there was no effect on the balance sheet related to securities from the adoption of ASU 2016-13. As a result, the amortized cost basis remained the same before and after the effective date of ASU 2016-13. The Company adopted ASU 2016-13 using the modified retrospective approach for loans carried at amortized cost. This approach resulted in the following changes effective January 1, 2020: a $17.4 million increase to the balance of the allowance for credit losses; a $335,000 decrease to the allowance for off-balance sheet items; and an after-tax charge of $12.2 million to retained earnings. According to ASU 2016-13, the Company was required to measure its expected credit losses of financial assets on a collective (pool) basis when similar risk characteristic(s) exist. The Company segmented the loans primarily by loan types, including the collateral type, loan purpose, contract term, amortization and payment structure, considering that the same type of loans share considerable similar risk characteristics. Depending on the nature of the pool of financial assets with similar risk characteristics, the Company used a Discounted Cash Flow (“DCF”) method, a Probability of Default/Loss Given Default (“PD/LGD”) method, or a Weighted Average Remaining Maturity (“WARM”) method to estimate expected credit losses. The Company’s methodologies for estimating the allowance for credit losses considered available relevant information about the collectability of cash flows, including information about past events, current conditions, and reasonable and supportable forecasts. The methodologies applied historical loss information, adjusted for asset-specific characteristics, economic conditions at the measurement date, and forecasts about future economic conditions expected to exist through the contractual lives of the financial assets that were reasonable and supportable, to the identified pools of financial assets with similar risk characteristics. The Company’s methodologies revert to historical loss rates on a straight-line basis over twelve quarters when reasonable supportable long-term (1 year or more) forecasts cannot be developed. The Company has disaggregated the portfolios of financial assets into the following material segments of loans or leases with similar risk characteristics using the following methodologies: At January 1, 2020, the Company used the DCF method to estimate allowances for credit losses for the commercial property, construction, and residential real estate loan portfolios and the commercial and industrial loan portfolio. During the quarter ended June 30, 2020, management determined that, due to model limitations, the regression model that supports the DCF calculation for the commercial property, construction, and residential real estate portfolios did not take into account the high degree of uncertainty of the impact of the COVID-19 pandemic and related government assistance programs on these portfolios. As a result, subsequent to March 31, 2020, the Company determined that the Probability of PD/LGD method was more appropriate for these portfolios. This change did not result in a material impact on the Company’s financial statements. For all loan pools utilizing the DCF method, the Company utilized and forecasted the national unemployment rate as the primary loss driver. The Company also utilized and forecasted either the annualized average return rate from the National Council of Real Estate Investment Fiduciaries Property Index for commercial real estate loans or the one-year percentage change in the S&P/Case-Shiller U.S National Home Price Index for residential real estate loans as a second loss driver depending on the nature of the underlying loan pool and how well that loss driver correlated to expected future losses. For all DCF models at January 1, 2020, the Company determined that four quarters represented a reasonable and supportable forecast period and reverted to a historical loss rate over twelve quarters on a straight-line basis. The Company leveraged quarterly economic projections from the Federal Open Market Committee (“FOMC”) and the Federal Reserve Economic Data (“FRED”) to inform its loss driver forecasts over the four-quarter forecast period. During the quarter ended June 30, 2020, the Company changed from using the FRED unemployment forecast to the Moody’s unemployment forecast, as Moody’s updates the unemployment forecast on a more frequent and timely basis, and thus provided a more appropriate basis for periodically re-estimating future cash flows. For each of these loan segments, the Company applied an expected loss ratio based on the discounted cash flows adjusted as appropriate for qualitative factors. Qualitative loss factors are based on the Company's judgment of company, market, industry or business specific data, changes in the underlying loan composition of specific portfolios, trends relating to credit quality, delinquency, nonperforming and adversely rated loans, and reasonable and supportable forecasts of economic conditions. The Company used the PD/LGD method for the SBA portfolio to accommodate the unique nature of these loans. Although the PD/LGD methodology is an element of the DCF model, the stand-alone PD/LGD methodology minimizes complications related to the characteristics of SBA loans. A uniqueness of the SBA portfolio is that U.S. Small Business Administration policy requires servicers to undertake all reasonable collection efforts before charging-off the loan. As a result, the recovery rate for SBA loans tend to be more volatile and not intuitively correlated to economic factors. The Company used the WARM method to estimate expected credit losses for equipment financing agreements or the equipment lease receivables portfolio. The Company applied an expected loss ratio based on internal historical losses adjusted as appropriate for qualitative factors. The Company's evaluation of market, industry or business specific data, changes in the underlying portfolio composition, trends relating to credit quality, delinquency, nonperforming and adversely rated leases, and reasonable and supportable forecasts of economic conditions informed the estimate of qualitative factors. As permitted by ASU 2016-13, the Company elected to maintain pools of loans accounted for under ASC 310-30. In accordance with the standard, management did not reassess whether modifications to individual acquired financial assets accounted for in pools were troubled debt restructurings as of the date of adoption. The Company estimated the allowance for credit losses on loans based on the underlying assets’ amortized cost basis. In the event that collection of principal becomes uncertain, the Company has policies in place to reverse accrued interest in a timely manner. Therefore, the Company has a policy to exclude accrued interest from the measurement of allowance for credit losses. Expected credit losses are reflected in the allowance for credit losses through a charge to credit loss expense. When the Company deems all or a portion of a financial asset to be uncollectible, the appropriate amount is written off and the allowance for credit losses is reduced by the same amount. Subsequent recoveries, if any, are credited to the allowance for credit losses when received. The following table illustrates the allowance for credit losses and the related impact under ASU 2016-13 to the Company as of January 1, 2020. As Reported Under ASU 2016-13 Pre-ASU 2016-13 Adoption Impact of ASU 2016-13 Adoption Real estate loans: Commercial property Retail $ 6,785 $ 4,911 $ 1,873 Hospitality 12,387 6,686 5,702 Other 13,415 8,060 5,355 Total commercial property loans 32,587 19,657 12,930 Construction loans 15,590 15,003 587 Residential/consumer loans 2,286 1,775 510 Total real estate loans 50,463 36,435 14,027 Commercial and industrial loans: Commercial term loans 12,175 14,077 (1,903 ) Commercial lines of credit 1,358 1,887 (529 ) International loans 176 242 (65 ) Total commercial loans 13,709 16,206 (2,497 ) Leases receivable 14,669 8,767 5,902 Allowance for credit losses on loans receivable $ 78,841 $ 61,408 $ 17,432 Allowance for credit losses on off-balance sheet items $ 2,062 $ 2,398 $ (335 ) Prior to January 1, 2020, the Company followed an “incurred loss” approach in determining the allowance for credit losses. Under the incurred loss methodology, the allowance for credit losses represented management’s estimate of probable incurred losses inherent in the loan portfolio. Management’s estimates were based on: previous loss experience; the growth, size and composition of the loan portfolio; the value of collateral; and current economic conditions. These estimates were inherently uncertain and depended on the outcome of future events. The allowance was determined through an analysis involving quantitative calculations based on historic loss rates and qualitative adjustments to account for risk and uncertainties, as well as general allowances and individual impairment calculations for certain individual loans. For 2019, the Company utilized a 35-quarter look-back period, anchored to the first quarter of 2012, with equal weighting to all quarters. Management determined it was appropriate to anchor the look-back period, in consideration for a prolonged period of low losses and the procyclical nature of provisioning. The anchoring allowed the Bank to better capture the economic cycle while improving the ability to measure losses. To determine general allowance requirements, existing loans were divided into eleven general pools of risk-rated loans as well as three homogeneous loan pools. For risk-rated loans, a migration analysis allocated historical losses by loan pool and risk grade to determine risk factors for potential losses inherent in the loan portfolio. Since the homogeneous loans were bulk graded, the risk grade was not factored into the historical loss analysis. In addition, specific allowances were allocated for loans deemed “nonperforming.” When determining the appropriate level for allowance for credit losses, management considered qualitative adjustments for any factors that were likely to cause estimated losses associated with the Company’s portfolio to differ from historical loss experience, including, but not limited to, national and local economic and business conditions, volume and geographic concentrations, and problem loan trends. To systematically quantify the credit risk impact of trends and changes within the loan portfolio, a credit risk matrix was utilized. The qualitative factors were considered on a loan pool by loan pool basis subsequent to, and in conjunction with, a loss migration analysis. The credit risk matrix provided various scenarios with positive or negative impact on the portfolio along with corresponding basis points for qualitative adjustments. Loans were measured for impairment when it was probable that not all amounts, including principal and interest, were to be collected in accordance with the original contractual terms of the loan agreement. The amount of impairment and any subsequent changes were recorded through the provision for credit losses as an adjustment to the allowance for credit losses. Recoveries were applied to the allowance fo r credit losses when realized. The Company charged or credited the income statement for changes to the estimated allowance at least quarterly based upon the allowance need. In general, the Company recognized a charge off when management determined a loan was uncollectable. To determine if a loan should be charged off, possible sources of repayment were analyzed, including the potential for future cash flows from income or liquidation of other assets, the value of any collateral, and the strength of co-makers or guarantors. When these sources did not provide a reasonable probability that principal could be collected in full, the Company fully or partially charged off the loan. For real estate loans, including commercial term loans secured by collateral, a loan was considered nonperforming if the loan was 90 or more days past due. In a case where the fair value of collateral was less than the loan balance and the borrower had no other assets or income to support repayment, the amount of the deficiency was considered a loss and charged off. For commercial and industrial loans other than those secured by real estate, if the borrower was in the process of a bankruptcy filing in which the Company was an unsecured creditor or deemed virtually unsecured by lack of collateral equity or lien position and the borrower had no realizable equity in assets and prospects for recovery are negligible, the loan was considered a loss and charged off. Additionally, commercial and industrial unsecured loans that are more than 120 days past due were considered a loss and charged off. For unsecured consumer loans where the borrower files for bankruptcy, the loan was considered a loss within 60 days of receipt of notification of filing from the bankruptcy court. Other unsecured consumer loans were considered a loss if they were more than 90 days past due. Other events, such as fraud or death result in charge offs being recorded in an earlier period. |
Credit Losses on Off-Balance Sheet Credit Exposures | Credit Losses on Off-Balance Sheet Credit Exposures The Company has credit loss exposure for off-balance sheet lending commitments and letters of credit. The Company estimates expected credit losses for off-balance sheet exposures over the contractual period in which it is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life. Adjustments to the allowance for credit losses on off-balance sheet credit exposures is recognized as a provision for credit loss expense. |
Individually Evaluated Loans | Individually Evaluated Loans Prior to the adoption of ASU 2016-13, impaired loans were measured based on the present value of expected future cash flows discounted at the loan's effective interest rate or, as a practical expedient, at the loan's observable market price or the fair value of the collateral if the loan was collateral dependent, less estimated costs to sell. If the estimated value of the impaired loan was less than the recorded investment in the loan, the Company charged-off the deficiency against the allowance for credit losses or we established a specific allowance in the allowance for credit losses. Additionally, we excluded from the quarterly migration analysis impaired loans when determining the amount of the allowance for credit losses required for the period. Under ASU 2016-13, the Company reviews all loans on an individual basis when they do not share similar risk characteristics with loan pools. |
Troubled Debt Restructuring | Troubled Debt Restructuring A loan is identified as a TDR when a borrower is experiencing financial difficulties and, for economic or legal reasons related to these difficulties, the Company grants a concession to the borrower in the restructuring that it would not otherwise consider. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without the modification. This evaluation is performed under the Company’s internal underwriting policy. The Company has granted a concession when, as a result of the restructuring, it does not expect to collect all amounts due, including principal and/or interest accrued at the original terms of the loan. The concessions may be granted in various forms, including a below-market change in the stated interest rate, a reduction in the loan balance or accrued interest, an extension of the maturity date, or a note split with principal forgiveness. Generally, a nonaccrual loan that is restructured remains on nonaccrual status for a period of six months to demonstrate that the borrower can perform under the restructured terms. If the borrower’s performance under the new terms is not reasonably assured, the loan remains classified as a nonaccrual loan. |
Premises and Equipment | Premises and Equipment Premises and equipment are stated at cost, less accumulated depreciation and amortization. Depreciation and amortization are computed on the straight-line method over the estimated useful lives of the various classes of assets. The ranges of useful lives for the principal classes of assets are as follows: Buildings and improvements 10 to 30 years Furniture and equipment 3 to 10 years Leasehold improvements Term of lease or useful life, whichever is shorter Software 3 years |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets We review long-lived assets and certain identifiable intangibles for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability of assets to be held and used is measured by a comparison of the carrying amount of an asset to future net undiscounted cash flows expected to be generated by the asset. If such assets are considered to be nonperforming, the individual amount to be recognized is measured by the amount by which the carrying amount of the assets exceeds the fair value of the assets. Assets to be disposed of are reported at the lower of the carrying amount or fair value less costs to sell. |
Other Real Estate Owned and Repossessed Personal Property | Other Real Estate Owned and Repossessed Personal Property Other real estate owned includes real estate acquired through foreclosure and other real estate holdings that are not used in the operation of the Company’s business. Other repossessed personal property primarily consists of repossessed leasing equipment. Other real estate owned and repossessed personal property are recorded at the lower of cost or fair value less estimated costs to sell. Subsequent declines in fair value are recorded through expense. |
Servicing Assets | Servicing Assets Servicing assets are initially recorded at fair value, which represents the price paid, and amortized in proportion to, and over the period of, estimated net servicing income. Servicing assets are recorded based on the present value of the contractually specified servicing fee, net of adequate compensation cost, for the estimated life of the loan, using a discount rate and a constant prepayment rate. Management periodically evaluates the servicing assets for impairment. Impairment, if it occurs, is recognized in a valuation allowance in the period of impairment. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets Goodwill and other intangible assets consist of acquired intangible assets arising from acquisitions, including core deposit and third-party originator intangibles. The acquired intangible assets are initially measured at fair value and then are amortized on the straight-line method over their estimated useful lives while goodwill is not amortized. Goodwill and other intangible assets are assessed for impairment annually or whenever events or changes in circumstances indicate the carrying amount may not be recoverable. The Company performed its annual impairment test and determined no impairment existed as of December 31, 2021. |
Federal Home Loan Bank Stock | Federal Home Loan Bank Stock The Bank is a member of the FHLB of San Francisco and is required to own common stock in the FHLB based upon the Bank’s balance of outstanding FHLB advances. FHLB stock is carried at cost and may be sold back to the FHLB at its carrying value. FHLB stock is periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends received are reported as dividend income. |
Bank-Owned Life Insurance | Bank-Owned Life Insurance We have purchased single premium life insurance policies (“bank-owned life insurance”) on certain officers. The Bank and named beneficiaries of various current covered officers are the beneficiaries under each policy. In the event of the death of a covered officer, the Bank and named beneficiaries of the covered officer will receive the specified insurance benefit from the insurance carrier. Bank-owned life insurance is recorded at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due, if any, that are probable at settlement. Under the Split Dollar Death Benefit Agreement, upon death of an active employee, the designated beneficiary(ies) are eligible to receive benefits, which in the aggregate, totaled $3.0 million at December 31, 2021. |
Income Tax | Income Tax We provide for income taxes using the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carryforwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. A valuation allowance is provided when it is more likely than not that some portion or all of the deferred tax assets will not be realized. The Company has invested in limited partnerships formed to develop and operate affordable housing units for lower income tenants throughout California. The partnership interests are accounted for utilizing the proportional amortization method with amortization expense and tax benefits recognized through the income tax provision. |
Share-Based Compensation | Share-Based Compensation The Company may provide awards of options, stock appreciation rights, restricted stock awards, restricted stock unit awards, shares granted as a bonus or in lieu of another award, dividend equivalent, other stock-based award or performance award, together with any other right or interest to a participant. Plan participants may include executives and other employees, officers, directors, consultants and other persons who provide services to the Company or its related entities. All stock options granted under its stock-based benefit plans have an exercise price equal to the fair market value of the underlying common stock on the date of grant. Stock options granted generally vest based on three to five years of continuous service and expire 10 years from the date of grant. Restricted stock awards become fully vested after a certain number of years or after certain performance criteria are met. Performance stock units vest upon achievement of certain criteria and may have dividend equivalent rights associated with them. Hanmi Financial becomes entitled to an income tax deduction in an amount equal to the taxable income reported by the holders of the restricted shares when the restrictions are released and the shares are issued. Restricted shares are forfeited if officers and employees terminate prior to the lapsing of restrictions or if certain market condition criteria are not met. Forfeitures of restricted stock are treated as canceled shares. Excess tax benefits from the exercise or vesting of share-based awards are included as a reduction in the provision for income tax expense in the period in which the exercise or vesting occurs. |
Earnings per Share | Earnings per Share Earnings per share (“EPS”) is calculated on both a basic and a diluted basis. Basic EPS excludes dilution and is computed by dividing income available to common stockholders by the weighted-average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted from the issuance of common stock that then shared in earnings. For diluted EPS, weighted-average number of common shares included the impact of unvested restricted stock under the treasury method. Unvested restricted stock containing rights to non-forfeitable dividends are considered participating securities prior to vesting and have been included in the earnings allocation in computing basic and diluted EPS under the two-class method. |
Treasury Stock | Treasury Stock In January 2019, the Company's Board of Directors adopted a stock repurchase program. Under this repurchase program, the Company may repurchase up to 5.0 percent of its outstanding shares or approximately 1.5 million shares of its common stock. The program permits shares to be repurchased in open market or private transactions, through block trades, and pursuant to any trading plan that may be adopted in accordance with Rule 10b5-1 of the Securities and Exchange Commission. The repurchase program may be suspended, terminated or modified at any time for any reason, including market conditions, the cost of repurchasing shares, the availability of alternative investment opportunities, liquidity, and other factors deemed appropriate. These factors may also affect the timing and amount of share repurchases. The repurchase program does not obligate the Company to purchase any particular number of shares. During the year ended December 31, 2021, the Company repurchased 328,659 shares of common stock at a cost of $6.1 million under this program. We use the cost method of accounting for treasury stock. The cost method requires us to record the reacquisition cost of treasury stock as a deduction from stockholders’ equity on the Consolidated Balance Sheets. |
Fair Value of Financial Instruments | Fair Value of Financial Instruments Fair values of financial instruments are estimated using relevant market information and other assumptions, as more fully disclosed in a separate note. Fair value estimates involve uncertainties and matters of significant judgement regarding interest rates, credit risk, prepayments, and other factors, especially in the absence of broad markets for particular items. Changes in assumptions or in market conditions could significantly affect these estimates. |
Recently Issued Accounting Standards | Accounting Standards Adopted in 2021 ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. In December 2019, the FASB issued ASU No. 2019-12. This ASU, among other provisions, removes specific exceptions to the general principles in Topic 740 in GAAP. It eliminates certain exceptions to existing guidance related to (1) exceptions to the incremental approach for intra-period tax allocation; (2) exceptions to accounting for basis differences when there are ownership changes in foreign investments; and (3) exceptions in interim period income tax accounting for year-to-date losses that exceed anticipated losses. The ASU also requires an entity to: (1) recognize franchise taxes that are partially based on income; (2) evaluate transactions that result in a step up in the tax basis of goodwill to identify whether it should be considered part of the business combination in which the book goodwill was originally recognized; and (3) reflect the effect of enacted changes in tax laws in the effective income tax rate in the first interim period that includes the enactment date of the new legislation. The amendments in this update became effective for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years. Our adoption of this guidance did not have a material impact on the financial statements. Recently Issued Accounting Standards Not Yet Effective ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting, On March 12, 2020, the FASB issued ASU 2020-04 to ease the potential burden in accounting for reference rate reform. The amendments in ASU 2020-04 are elective and apply to all entities that have contracts, hedging relationships, and other transactions that reference LIBOR or another reference rate expected to be discontinued due to reference rate reform. The new guidance provided several optional expedients that reduce costs and complexity of accounting for reference rate reform, including measures to simplify or modify accounting issues resulting from reference rate reform for contract modifications, hedges, and debt securities. The amendments are effective for all entities from the beginning of an interim period that includes the issuance date of ASU 2020-04. An entity may elect to apply the amendments prospectively through December 31, 2022. The adoption of this standard is not expected to have material effect on the Company’s operating results or financial condition. |
Fair Value Measurements | ASC 820, Fair Value Measurements and Disclosures, defines fair value, establishes a framework for measuring fair value including a three-level valuation hierarchy, and expands disclosures about fair value measurements. Fair value is defined as the exchange price that would be received for an asset or paid to transfer a liability (an exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. The three-level fair value hierarchy requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The three levels of inputs that may be used to measure fair value are defined as follows: • Level 1 - Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. • Level 2 - Significant other observable inputs other than Level 1 prices, such as quoted prices for similar assets or liabilities, quoted prices in markets that are not active, and other inputs that are observable or can be corroborated by observable market data. • Level 3 - Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. Fair value is used on a recurring basis for certain assets and liabilities in which fair value is the primary basis of accounting. Additionally, fair value is used on a non-recurring basis to evaluate assets or liabilities for impairment or for disclosure purposes. We record securities available for sale at fair value on a recurring basis. Certain other assets, such as loans held for sale, nonperforming loans, OREO, b ank-owned premises, and core deposit intangible, are recorded at fair value on a non-recurring basis. Non-recurring fair value measurements typically involve assets that are periodically evaluated for impairment and for which any impairment is recorded in the period in which the re-measurement is performed. The following methods and assumptions were used to estimate the fair value of each class of financial instrument below: Securities available for sale - The fair values of securities available for sale are determined by obtaining quoted prices on nationally recognized securities exchanges. If quoted prices are not available, fair values are measured using matrix pricing, which is a mathematical technique used widely in the industry to value debt securities without relying exclusively on quoted prices for the specific securities but rather by relying on the securities’ relationship to other benchmark quoted securities, or other model-based valuation techniques requiring observable inputs other than quoted prices such as yield curve, prepayment speeds, and default rates. Level 1 securities include U.S. Treasury securities and mutual funds that are traded on an active exchange or by dealers or brokers in active over-the-counter markets. The fair value of these securities is determined by quoted prices on an active exchange or over-the-counter market. Level 2 securities primarily include mortgage-backed securities, collateralized mortgage obligations, U.S. government agency securities and municipal bonds in markets that are active. In determining the fair value of the securities categorized as Level 2, we obtain reports from an investment accounting service provider detailing the fair value of each investment security held as of each reporting date. The investment accounting service provider obtains prices from nationally recognized pricing services. We review the prices obtained for reasonableness based on our understanding of the marketplace, and also consider any credit issues related to the bonds. As we have not made any adjustments to the market quotes provided to us and as they are based on observable market data, they have been categorized as Level 2 within the fair value hierarchy. Level 3 securities are instruments that are not traded in the market. Therefore, no observable market data for the instrument is available, which necessitates the use of significant unobservable inputs. Derivatives – The fair values of derivatives are based on valuation models using observable market data as of the measurement date (Level 2). Our derivatives are traded in an over-the-counter market where quoted market prices are not always available. Therefore, the fair values of derivatives are determined using quantitative models that utilize multiple market inputs. The inputs will vary based on the type of derivative, but could include interest rates, prices and indices to generate continuous yield or pricing curves, prepayment rates, and volatility factors to value the position. The majority of market inputs are actively quoted and can be validated through external sources, including brokers, market transactions and third-party pricing services. Loans held for sale – All loans held for sale are SBA loans carried at the lower of cost or fair value. Management obtains quotes, bids or pricing indication sheets on all, or, part of these loans directly from the purchasing financial institutions. Premiums received, or, to be received on the quotes, bids or pricing indication sheets are indicative of the fact that cost is lower than fair value. At December 31, 2021 and 2020, the entire balance of SBA loans held for sale was recorded at its cost. We record SBA loans held for sale on a nonrecurring basis with Level 2 inputs. Nonperforming loans – Nonaccrual loans receivable and performing restructured loans receivable are considered nonperforming for reporting purposes and are measured and recorded at fair value on a non-recurring basis. All nonperforming loans with a carrying balance over $250,000 are individually evaluated for the amount of expected credit losses, if any. Nonperforming loans with a carrying balance of $250,000 or less are evaluated collectively. However, from time to time, nonrecurring fair value adjustments to collateral dependent nonperforming loans are recorded based on either the current appraised value of the collateral, a Level 2 measurement, or management’s judgment and estimation of value reported on older appraisals that are then adjusted based on recent market trends, a Level 3 measurement. OREO – Fair value of OREO is based primarily on third party appraisals, less costs to sell and result in a Level 3 classification of the inputs for determining fair value. Appraisals are required annually and may be updated more frequently as circumstances require and the fair value adjustments are made to OREO based on the updated appraised value of the property. Other repossessed assets – Fair value of equipment from leasing contracts is based primarily on a third party valuation service, less costs to sell and result in a Level 3 classification of the inputs for determining fair value. Valuations are required at the time the asset is repossessed and may be subsequently updated periodically due to the Company’s short-term possession of the asset prior to its sale, or, as circumstances require and the fair value adjustments are made to the asset based on its value prior to sale. The following table represents quantitative information about Level 3 fair value assumptions for assets measured at fair value on a non-recurring basis at December 31, 2021 and 2020: Fair Value Valuation Techniques Unobservable Input(s) Range (Weighted Average) (in thousands) December 31, 2021 Collateral dependent loans: Real estate loans: Commercial property Retail $ 1,917 Market approach Market data comparison (28)% to 23% / (6)% Other 499 Market approach Market data comparison (20)% to 20% / 0% Residential/consumer loans 982 Market approach Market data comparison (19)% to 8% / 3% Total real estate loans 3,398 Total $ 3,398 Other real estate owned $ 675 Market approach Market data comparison (20)% to (5)% / (12)% Repossessed personal property 8 Market approach Market data comparison (1) December 31, 2020 Collateral dependent loans: Real estate loans: Commercial property Retail $ 6,330 Market approach Market data comparison (45)% to 35% / 14% Hospitality 20,612 Market approach Market data comparison (2) Other 8,410 Market approach Market data comparison (55)% to 34% / 15% (3) Construction 24,854 Market approach Market data comparison (20)% to 12% / (8)% Residential/consumer loans 2,867 Market approach Market data comparison (13)% to 15% / 6% (3) Total real estate loans 63,073 Commercial and industrial loans: Commercial term 41 Market approach Market data comparison (9)% to 15% / 6% (3) Total $ 63,114 Other real estate owned $ 2,360 Market approach Market data comparison (35)% to 15% / (14)% Repossessed personal property 857 Market approach Market data comparison (1) (1) The equipment is usually too low in value to use a professional appraisal service. The values are determined internally using a combination of auction values, vendor recommendations and sales comparisons depending on the equipment type. Some highly commoditized equipment, such as commercial trucks have services that provide industry values. (2) No discount weighted average range available given primary valuation methodology is via DCF analysis for going concern properties. (3) Appraisal reports utilize a combination of valuation techniques including a market approach, where prices and other relevant information generated by market transactions involving similar or comparable properties are used to determine the appraised value. Appraisals may include an ‘as is’ and ‘upon completion’ valuation scenarios. Adjustments are routinely made in the appraisal process by third-party appraisers to adjust for differences between the comparable sales and income data. Adjustments also result from the consideration of relevant economic and demographic factors with the potential to affect property values. Also, prospective values are based on the market conditions which exist at the date of inspection combined with informed forecasts based on current trends in supply and demand for the property types under appraisal. Positive adjustments disclosed in this table represent increases to the sales comparison and negative adjustment represent decreases. ASC 825, Financial Instruments, requires disclosure of the fair value of financial assets and financial liabilities, including those financial assets and financial liabilities that are not measured and reported at fair value on a recurring basis or non-recurring basis. The methodologies for estimating the fair value of financial assets and financial liabilities that are measured on a recurring basis or non-recurring basis are discussed above. The estimated fair value of financial instruments has been determined by using available market information and appropriate valuation methodologies. However, considerable judgment is required to interpret market data in order to develop estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts that we could realize in a current market exchange. The use of different market assumptions and/or estimation methodologies may have a material effect on the estimated fair value amounts. Effective January 1, 2018, the Company adopted ASU 2016-01, Recognition and Measurement of Financial Assets and Financial Liabilities (Topic 825). This standard, among other provisions, requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes. Other than certain financial instruments for which we have concluded that the carrying amounts approximate fair value, the fair value estimates shown below are based on an exit price notion as of December 31, 2021 and 2020, as required by ASU 2016-01. The financial instruments for which we have concluded that the carrying amounts approximate fair value include: cash and due from banks, accrued interest receivable and payable, and noninterest-bearing deposits. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accounting Policies [Abstract] | |
Summary of Impact of ASC on Allowance for Credit Losses | The following table illustrates the allowance for credit losses and the related impact under ASU 2016-13 to the Company as of January 1, 2020. As Reported Under ASU 2016-13 Pre-ASU 2016-13 Adoption Impact of ASU 2016-13 Adoption Real estate loans: Commercial property Retail $ 6,785 $ 4,911 $ 1,873 Hospitality 12,387 6,686 5,702 Other 13,415 8,060 5,355 Total commercial property loans 32,587 19,657 12,930 Construction loans 15,590 15,003 587 Residential/consumer loans 2,286 1,775 510 Total real estate loans 50,463 36,435 14,027 Commercial and industrial loans: Commercial term loans 12,175 14,077 (1,903 ) Commercial lines of credit 1,358 1,887 (529 ) International loans 176 242 (65 ) Total commercial loans 13,709 16,206 (2,497 ) Leases receivable 14,669 8,767 5,902 Allowance for credit losses on loans receivable $ 78,841 $ 61,408 $ 17,432 Allowance for credit losses on off-balance sheet items $ 2,062 $ 2,398 $ (335 ) |
Useful Lives for Principal Classes of Assets | The ranges of useful lives for the principal classes of assets are as follows: Buildings and improvements 10 to 30 years Furniture and equipment 3 to 10 years Leasehold improvements Term of lease or useful life, whichever is shorter Software 3 years |
Securities (Tables)
Securities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Investments Debt And Equity Securities [Abstract] | |
Summary of Investment Securities Available for Sale | The following is a summary of securities available for sale as of December 31, 2021 and 2020: Gross Gross Estimated Amortized Unrealized Unrealized Fair Cost Gain Loss Value (in thousands) December 31, 2021 U.S. Treasury securities $ 15,457 $ 1 $ (61 ) $ 15,397 U.S. government agency and sponsored agency obligations: Mortgage-backed securities 615,393 18 (7,906 ) 607,505 Collateralized mortgage obligations 95,153 41 (1,590 ) 93,604 Debt securities 117,499 — (1,603 ) 115,896 Total U.S. government agency and sponsored agency obligations 828,045 59 (11,099 ) 817,005 Municipal bonds-tax exempt 79,152 117 (881 ) 78,388 Total securities available for sale $ 922,654 $ 177 $ (12,041 ) $ 910,790 December 31, 2020 U.S. Treasury securities $ 9,997 $ 135 $ — $ 10,132 U.S. government agency and sponsored agency obligations: Mortgage-backed securities 515,169 4,260 (188 ) 519,242 Collateralized mortgage obligations 133,632 186 (217 ) 133,601 Debt securities 90,660 148 (1 ) 90,807 Total U.S. government agency and sponsored agency obligations 739,461 4,594 (406 ) 743,649 Total securities available for sale $ 749,458 $ 4,729 $ (406 ) $ 753,781 |
Schedule of Amortized Cost and Estimated Fair Value of Investment Securities by Contractual Maturity | The amortized cost and estimated fair value of securities as of December 31, 2021, by contractual or expected maturity, are shown below. Collateralized mortgage obligations are included in the table shown below based on their expected maturities. All other securities are included based on their contractual maturities. Available for Sale Amortized Estimated Cost Fair Value (in thousands) Within one year $ 1,103 $ 1,108 Over one year through five years 126,483 125,069 Over five years through ten years 51,338 50,770 Over ten years 743,730 733,843 Total $ 922,654 $ 910,790 |
Summary of Debt Securities Available for Sale in an Unrealized Loss Position for Which an Allowance for Credit Losses Has Not Been Recorded | The following table summarizes debt securities available-for-sale in an unrealized loss position for which an allowance for credit losses has not been recorded at December 31, 2021 and 2020, aggregated by major security type and length of time in a continuous unrealized loss position: Holding Period Less than 12 Months 12 Months or More Total Gross Unrealized Loss Estimated Fair Value Number of Securities Gross Unrealized Loss Estimated Fair Value Number of Securities Gross Unrealized Loss Estimated Fair Value Number of Securities (in thousands, except number of securities) December 31, 2021 U.S. Treasury securities $ (61 ) $ 8,391 2 $ — $ — — $ (61 ) $ 8,391 2 U.S. government agency and sponsored agency obligations: Mortgage-backed securities (6,252 ) 535,610 102 (1,654 ) 59,457 11 (7,906 ) 595,067 113 Collateralized mortgage obligations (1,256 ) 76,894 16 (334 ) 12,548 3 (1,590 ) 89,442 19 Debt securities (1,503 ) 110,996 21 (100 ) 4,900 1 (1,603 ) 115,896 22 Total U.S. government agency and sponsored agency obligations (9,011 ) 723,500 139 (2,088 ) 76,905 15 (11,099 ) 800,405 154 Municipal bonds-tax exempt (881 ) 68,548 17 — — (881 ) 68,548 17 Total $ (9,953 ) $ 800,439 158 $ (2,088 ) $ 76,905 15 $ (12,041 ) $ 877,344 173 December 31, 2020 U.S. government agency and sponsored agency obligations: Mortgage-backed securities $ (188 ) $ 76,023 10 $ — $ — — (188 ) 76,023 10 Collateralized mortgage obligations (217 ) 97,659 21 — — — (217 ) 97,659 21 Debt securities (1 ) 4,999 1 — — — (1 ) 4,999 1 Total U.S. government agency and sponsored agency obligations (406 ) 178,681 32 — — — (406 ) 178,681 32 Total $ (406 ) $ 178,681 32 $ — $ — — $ (406 ) $ 178,681 32 |
Realized Gains and Losses on Sales of Investment Securities | Realized gains and losses on sales of securities and proceeds from sales of securities were as follows for the periods indicated: Year Ended December 31, 2021 2020 2019 (in thousands) Gross realized gains on sales of securities $ 99 $ 15,712 $ 1,359 Gross realized losses on sales of securities (598 ) — (64 ) Net realized gains (losses) on sales of securities $ (499 ) $ 15,712 $ 1,295 Proceeds from sales of securities $ 55,884 495,566 113,306 |
Loans Receivable (Tables)
Loans Receivable (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Receivables [Abstract] | |
Loans Receivable | Loans receivable consisted of the following as of the dates indicated: December 31, 2021 2020 (in thousands) Real estate loans: Commercial property Retail $ 970,134 $ 824,606 Hospitality 717,692 859,953 Other (1) 1,919,033 1,610,377 Total commercial property loans 3,606,859 3,294,936 Construction 95,006 58,882 Residential/consumer loans 400,546 345,831 Total real estate loans 4,102,411 3,699,649 Commercial and industrial loans 561,831 757,255 Leases receivable 487,299 423,264 Loans receivable 5,151,541 4,880,168 Allowance for credit losses (72,557 ) (90,426 ) Loans receivable, net $ 5,078,984 $ 4,789,742 (1) Includes, among other property types, mixed-use, gas station, apartment , office, industrial, faith-based facilities and warehouse; the remaining real estate categories represent less than one percent of the Bank's total loans receivable. |
Information on SBA Loans Held for Sale | The following table details the information on SBA loans held for sale by portfolio segment for the years ended December 31, 2021 and 2020: Real Estate Commercial and Industrial Total (in thousands) December 31, 2021 Balance at beginning of period $ 8,042 $ 526 $ 8,568 Originations and transfers 87,775 177,968 265,743 Sales (88,858 ) (172,995 ) (261,853 ) Principal paydowns and amortization (5 ) 889 884 Balance at end of period $ 6,954 $ 6,388 $ 13,342 December 31, 2020 Balance at beginning of period $ 2,943 $ 3,077 $ 6,020 Originations and transfers 44,770 26,922 71,692 Sales (39,666 ) (29,386 ) (69,052 ) Principal paydowns and amortization (5 ) (87 ) (92 ) Balance at end of period $ 8,042 $ 526 $ 8,568 |
Allowance for Credit Losses | Activity in the allowance for credit losses was as follows for the periods indicated: As of and for the Year Ended December 31, 2021 2020 2019 (in thousands) Allowance for credit losses: Balance at beginning of period $ 90,426 $ 61,408 $ 31,974 Adjustment related to adoption of ASU 2016-13 — 17,433 — Adjusted balance 90,426 78,841 31,974 Less loans receivable charged off 6,373 33,952 4,588 Recoveries on loans receivable previously charged off (12,650 ) (3,063 ) (3,852 ) Provision (recovery) for credit losses (24,146 ) 42,474 30,170 Balance at end of period $ 72,557 $ 90,426 $ 61,408 |
Allowance for Credit Losses by Portfolio Segment | The following table details the information on the allowance for credit losses by portfolio segment for the years ended December 31, 2021, 2020 and 2019: Real Estate Commercial and Industrial Leases Receivable Unallocated Total (in thousands) December 31, 2021 Allowance for credit losses: Beginning balance $ 51,876 $ 21,410 $ 17,140 $ — $ 90,426 Less loans charged off 1,427 546 4,400 — 6,373 Recoveries on loans receivable previously charged off (10,807 ) (897 ) (946 ) — (12,650 ) Provision (recovery) for credit losses (12,366 ) (9,343 ) (2,437 ) — (24,146 ) Ending balance $ 48,890 $ 12,418 $ 11,249 $ — $ 72,557 December 31, 2020 Allowance for credit losses: Beginning balance $ 36,435 $ 16,206 $ 8,767 $ — $ 61,408 Adjustment related to adoption of ASU 2016-13 14,028 (2,497 ) 5,902 — 17,433 Adjusted balance 50,463 13,709 14,669 — 78,841 Less loans charged off 15,567 13,312 5,073 — 33,952 Recoveries on loans receivable previously charged off (2,124 ) (336 ) (603 ) — (3,063 ) Provision for credit losses 14,856 20,677 6,941 — 42,474 Ending balance $ 51,876 $ 21,410 $ 17,140 $ — $ 90,426 December 31, 2019 Allowance for credit losses: Beginning balance $ 18,482 $ 7,162 $ 6,303 $ 27 $ 31,974 Less loans charged off 132 1,293 3,162 — 4,588 Recoveries on loans receivable previously charged off (2,190 ) (1,241 ) (422 ) — (3,852 ) Provision (recovery) for credit losses 15,896 9,097 5,205 (27 ) 30,170 Ending balance $ 36,435 $ 16,206 $ 8,767 $ — $ 61,408 The table below presents the allowance for credit losses by portfolio segment as a percentage of the total allowance for credit losses and loans by portfolio segment as a percentage of the aggregate investment of loans receivable for the years ended December 31, 2021 and 2020: December 31, 2021 December 31, 2020 Allowance Amount Percentage of Total Allowance Total Loans Percentage of Total Loans Allowance Amount Percentage of Total Allowance Total Loans Percentage of Total Loans (dollars in thousands) Real estate loans: Commercial property Retail $ 6,579 9.1 % $ 970,134 18.8 % $ 4,855 5.4 % $ 824,606 16.9 % Hospitality 22,670 31.2 % 717,692 13.9 % 28,801 31.9 % 859,953 17.6 % Other 15,065 20.8 % 1,919,033 37.3 % 13,991 15.4 % 1,610,377 33.0 % Total commercial property loans 44,314 61.1 % 3,606,859 70.0 % 47,647 52.7 % 3,294,936 67.5 % Construction 4,078 5.6 % 95,006 1.8 % 2,876 3.2 % 58,882 1.2 % Residential/consumer loans 498 0.7 % 400,546 7.8 % 1,353 1.5 % 345,831 7.1 % Total real estate loans 48,890 67.4 % 4,102,411 79.6 % 51,876 57.4 % 3,699,649 75.8 % Commercial and industrial loans 12,418 17.1 % 561,831 10.9 % 21,410 23.6 % 757,255 15.5 % Leases receivable 11,249 15.5 % 487,299 9.5 % 17,140 19.0 % 423,264 8.7 % Total $ 72,557 100.0 % $ 5,151,541 100.0 % $ 90,426 100.0 % $ 4,880,168 100.0 % |
Summary of Amortized Cost Basis of Collateral Dependent Loans By Class of Loans | The following table represents the amortized cost basis of collateral-dependent loans by class of loans as of December 31, 2021 and 2020, for which repayment is expected to be obtained through the sale of the underlying collateral and any collateral dependent loans that are still accruing but are considered nonperforming. December 31, 2021 2020 (in thousands) Real estate loans: Commercial property Retail $ 1,917 $ 6,330 Hospitality — 20,612 Other 499 8,410 Total commercial property loans 2,416 35,352 Construction — 24,854 Residential/consumer loans 982 2,867 Total real estate loans 3,398 63,073 Commercial and industrial loans — 41 Total (1) $ 3,398 $ 63,114 (1) Includes, among other property types, hospitality, retail and other, mixed-use, gas station, apartment, office, industrial, faith-based facilities and warehouse; the remaining real estate categories represent less than one percent of the Bank's total loans receivable. |
Credit Quality of Loan Portfolio | As of December 31, 2021 and 2020, the recorded investment in pass/pass-watch, special mention and classified (substandard, doubtful and loss) loans, disaggregated by loan class, were as follows: Pass/Pass- Watch Special Mention Classified Total (in thousands) December 31, 2021 Real estate loans: Commercial property Retail $ 952,651 $ 5,949 $ 11,534 $ 970,134 Hospitality 662,834 36,248 18,610 717,692 Other 1,891,877 9,846 17,310 1,919,033 Total commercial property loans 3,507,362 52,043 47,454 3,606,859 Construction 74,439 20,567 — 95,006 Residential/consumer loans 396,007 3,557 982 400,546 Total real estate loans 3,977,808 76,167 48,436 4,102,411 Commercial and industrial loans 537,652 19,127 5,052 561,831 Leases receivable 480,154 — 7,145 487,299 Total loans receivable $ 4,995,614 $ 95,294 $ 60,633 $ 5,151,541 December 31, 2020 Real estate loans: Commercial property Retail $ 807,348 $ 3,382 $ 13,876 $ 824,606 Hospitality 788,369 26,086 45,498 859,953 Other 1,571,012 23,876 15,489 1,610,377 Total commercial property loans 3,166,729 53,344 74,863 3,294,936 Construction 34,028 — 24,854 58,882 Residential/consumer loans 337,549 5,078 3,204 345,831 Total real estate loans 3,538,306 58,422 102,921 3,699,649 Commercial and industrial loans 712,685 18,556 26,014 757,255 Leases receivable 412,030 — 11,234 423,264 Total loans receivable $ 4,663,021 $ 76,978 $ 140,169 $ 4,880,168 Term Loans Amortized Cost Basis by Origination Year (1) 2021 2020 2019 2018 2017 Prior Revolving Loans Amortized Cost Basis Total (in thousands) December 31, 2021 Real estate loans: Commercial property Risk Rating Pass / Pass Watch $ 1,203,197 $ 706,470 $ 488,250 $ 406,288 $ 277,680 $ 384,064 $ 41,413 $ 3,507,362 Special Mention — 18,869 7,593 — 6,999 16,879 1,703 52,043 Classified — — 5,450 17,247 2,965 21,792 — 47,454 Total commercial property 1,203,197 725,339 501,293 423,535 287,644 422,735 43,116 3,606,859 Construction Risk Rating Pass / Pass Watch 73,808 631 — — — — — 74,439 Special Mention — — — — — 20,567 — 20,567 Classified — — — — — — — — Total construction 73,808 631 — — — 20,567 — 95,006 Residential/consumer loans Risk Rating Pass / Pass Watch 194,948 16,975 247 19,813 73,567 82,076 8,381 396,007 Special Mention — — — 930 406 2,221 — 3,557 Classified — — — — 965 17 — 982 Total residential/consumer loans 194,948 16,975 247 20,743 74,938 84,314 8,381 400,546 Total real estate loans Risk Rating Pass / Pass Watch 1,471,953 724,076 488,497 426,101 351,247 466,140 49,794 3,977,808 Special Mention — 18,869 7,593 930 7,405 39,667 1,703 76,167 Classified — — 5,450 17,247 3,930 21,809 — 48,436 Total real estate loans 1,471,953 742,945 501,540 444,278 362,582 527,616 51,497 4,102,411 Commercial and industrial loans: Risk Rating Pass / Pass Watch 264,762 55,135 36,937 15,780 10,874 6,016 148,148 537,652 Special Mention — 274 13,989 — 67 4,802 (5 ) 19,127 Classified — 3 708 145 19 886 3,291 5,052 Total commercial and industrial loans 264,762 55,412 51,634 15,925 10,960 11,704 151,434 561,831 Leases receivable: Risk Rating Pass / Pass Watch 239,738 79,400 101,460 47,485 10,683 1,388 — 480,154 Special Mention — — — — — — — — Classified 716 981 3,575 1,328 347 198 — 7,145 Total leases receivable 240,454 80,381 105,035 48,813 11,030 1,586 — 487,299 Total loans receivable: Risk Rating Pass / Pass Watch 1,976,453 858,611 626,894 489,366 372,804 473,544 197,942 4,995,614 Special Mention — 19,143 21,582 930 7,472 44,469 1,698 95,294 Classified 716 984 9,733 18,720 4,296 22,893 3,291 60,633 Total loans receivable $ 1,977,169 $ 878,738 $ 658,209 $ 509,016 $ 384,572 $ 540,906 $ 202,931 $ 5,151,541 (1) Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision Term Loans Amortized Cost Basis by Origination Year (1) 2020 2019 2018 2017 2016 Prior Revolving Loans Amortized Cost Basis Total (in thousands) December 31, 2020 Real estate loans: Commercial property Risk Rating Pass / Pass Watch $ 920,876 $ 513,962 $ 479,221 $ 343,659 $ 418,362 $ 459,366 $ 31,283 $ 3,166,729 Special Mention 23,429 2,484 8,630 1,672 14,971 2,158 — 53,344 Classified 20,307 4,276 9,239 3,084 18,712 19,115 130 74,863 Total commercial property 964,612 520,722 497,090 348,415 452,045 480,639 31,413 3,294,936 Construction Risk Rating Pass / Pass Watch 33,415 613 — — — — — 34,028 Special Mention — — — — — — — — Classified 12,808 — 12,046 — — — — 24,854 Total construction 46,223 613 12,046 — — — — 58,882 Residential/consumer loans Risk Rating Pass / Pass Watch 27,997 962 37,122 127,987 82,124 54,004 7,353 337,549 Special Mention — — 930 828 1,863 1,457 — 5,078 Classified — — 620 2,283 301 — — 3,204 Total residential/consumer loans 27,997 962 38,672 131,098 84,288 55,461 7,353 345,831 Total real estate loans Risk Rating Pass / Pass Watch 982,288 515,537 516,343 471,646 500,486 513,370 38,636 3,538,306 Special Mention 23,429 2,484 9,560 2,500 16,834 3,615 — 58,422 Classified 33,115 4,276 21,905 5,367 19,013 19,115 130 102,921 Total real estate loans 1,038,832 522,297 547,808 479,513 536,333 536,100 38,766 3,699,649 Commercial and industrial loans: Risk Rating Pass / Pass Watch 406,486 73,160 54,110 17,834 4,464 9,910 146,721 712,685 Special Mention 7,239 4,509 4,146 1,110 31 1,074 447 18,556 Classified 8,552 4,784 1,364 930 4,380 1,359 4,645 26,014 Total commercial and industrial loans 422,277 82,453 59,620 19,874 8,875 12,343 151,813 757,255 Leases receivable: Risk Rating Pass / Pass Watch 113,712 165,242 91,408 30,405 10,096 1,167 — 412,030 Special Mention — — — — — — — — Classified 452 5,728 3,137 876 804 237 — 11,234 Total leases receivable 114,164 170,970 94,545 31,281 10,900 1,404 — 423,264 Total loans receivable: Risk Rating Pass / Pass Watch 1,502,486 753,939 661,861 519,885 515,046 524,447 185,357 4,663,021 Special Mention 30,668 6,993 13,706 3,610 16,865 4,689 447 76,978 Classified 42,119 14,788 26,406 7,173 24,197 20,711 4,775 140,169 Total loans receivable $ 1,575,273 $ 775,720 $ 701,973 $ 530,668 $ 556,108 $ 549,847 $ 190,579 $ 4,880,168 (1) Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision Term Loans Amortized Cost Basis by Origination Year (1) 2021 2020 2019 2018 2017 Prior Revolving Loans Amortized Cost Basis Total (in thousands) December 31, 2021 Real estate loans: Commercial property Payment performance Performing $ 1,203,197 $ 725,339 $ 501,293 $ 423,515 $ 286,935 $ 419,464 $ 43,116 $ 3,602,859 Nonperforming — — — 20 709 3,271 — 4,000 Total commercial property 1,203,197 725,339 501,293 423,535 287,644 422,735 43,116 3,606,859 Construction Payment performance Performing 73,808 631 — — — 20,567 — 95,006 Nonperforming — — — — — — — — Total construction 73,808 631 — — — 20,567 — 95,006 Residential/consumer loans Payment performance Performing 194,948 16,975 247 20,743 73,973 84,052 8,381 399,319 Nonperforming — — — — 965 262 — 1,227 Total residential/consumer loans 194,948 16,975 247 20,743 74,938 84,314 8,381 400,546 Total real estate loans Payment performance Performing 1,471,953 742,945 501,540 444,258 360,908 524,083 51,497 4,097,184 Nonperforming — — — 20 1,674 3,533 — 5,227 Total real estate loans 1,471,953 742,945 501,540 444,278 362,582 527,616 51,497 4,102,411 Commercial and industrial loans: Payment performance Performing 264,762 55,409 50,926 15,925 10,956 11,431 151,434 560,843 Nonperforming — 3 708 — 4 273 — 988 Total commercial and industrial loans 264,762 55,412 51,634 15,925 10,960 11,704 151,434 561,831 Leases receivable: Payment performance Performing 239,738 79,400 101,460 47,484 10,684 1,388 — 480,154 Nonperforming 716 981 3,575 1,329 346 198 — 7,145 Total leases receivable 240,454 80,381 105,035 48,813 11,030 1,586 — 487,299 Total loans receivable: Payment performance Performing 1,976,453 877,754 653,926 507,667 382,548 536,902 202,931 5,138,181 Nonperforming 716 984 4,283 1,349 2,024 4,004 — 13,360 Total loans receivable $ 1,977,169 $ 878,738 $ 658,209 $ 509,016 $ 384,572 $ 540,906 $ 202,931 $ 5,151,541 (1) Includes extensions, renewals, or modifications of credit contracts, which consist of a new credit decision |
Schedule of Amortized Cost Basis of Loans on Nonaccrual Status and Loans Past Due 90 Days and Still Accruing | The following tables represent the amortized cost basis of loans on nonaccrual status and loans past due 90 days and still accruing as of December 31, 2021 and 2020. December 31, 2021 Nonaccrual Loans With No Allowance for Credit Losses Nonaccrual Loans With Allowance for Credit Losses Loans Past Due 90 Days Still Accruing Total Nonperforming Loans (in thousands) Real estate loans: Commercial property Retail $ 1,918 $ — $ — $ 1,918 Hospitality — — — — Other 1,745 337 — 2,082 Total commercial property loans 3,663 337 — 4,000 Construction — — — — Residential/consumer loans 982 245 — 1,227 Total real estate loans 4,645 582 — 5,227 Commercial and industrial loans 8 980 — 988 Leases receivable 1,172 5,973 — 7,145 Total $ 5,825 $ 7,535 $ — $ 13,360 December 31, 2020 Nonaccrual Loans With No Allowance for Credit Losses Nonaccrual Loans With Allowance for Credit Losses Loans Past Due 90 Days Still Accruing Total Nonperforming Loans (in thousands) Real estate loans: Commercial property Retail $ 6,330 $ — $ — $ 6,330 Hospitality 20,612 — — 20,612 Other 2,236 909 — 3,145 Total commercial property loans 29,178 909 — 30,087 Construction 24,854 — — 24,854 Residential/consumer loans 2,350 — — 2,350 Total real estate loans 56,382 909 — 57,291 Commercial and industrial loans 58 14,449 — 14,507 Leases receivable 2,318 8,916 — 11,234 Total $ 58,758 $ 24,274 $ — $ 83,032 |
Analysis of Past Due Loans, Disaggregated by Loan Class | The following is an aging analysis of loans, disaggregated by loan class, as of the dates indicated: 30-59 Days Past Due 60-89 Days Past Due 90 Days or More Past Due Total Past Due Current Total (in thousands) December 31, 2021 Real estate loans: Commercial property Retail $ — $ — $ — $ — $ 970,134 $ 970,134 Hospitality 556 — — 556 717,136 717,692 Other 92 691 499 1,282 1,917,751 1,919,033 Total commercial property loans 648 691 499 1,838 3,605,021 3,606,859 Construction — — — — 95,006 95,006 Residential/consumer loans 570 750 556 1,876 398,670 400,546 Total real estate loans 1,218 1,441 1,055 3,714 4,098,697 4,102,411 Commercial and industrial loans 56 9 — 65 561,766 561,831 Leases receivable 3,764 1,992 1,181 6,937 480,362 487,299 Total loans receivable $ 5,038 $ 3,442 $ 2,236 $ 10,716 $ 5,140,825 $ 5,151,541 December 31, 2020 Real estate loans: Commercial property Retail $ — $ — $ — $ — $ 824,606 $ 824,606 Hospitality — — 11,076 11,076 848,877 859,953 Other — — 731 731 1,609,646 1,610,377 Total commercial property loans — — 11,807 11,807 3,283,129 3,294,936 Construction — 12,807 — 12,807 46,075 58,882 Residential/consumer loans 4,693 461 564 5,718 340,113 345,831 Total real estate loans 4,693 13,268 12,371 30,332 3,669,317 3,699,649 Commercial and industrial loans 282 27 12,487 12,796 744,459 757,255 Leases receivable 4,051 1,786 4,675 10,512 412,752 423,264 Total loans receivable $ 9,026 $ 15,081 $ 29,533 $ 53,640 $ 4,826,528 $ 4,880,168 |
Non-Accrual Loans, Disaggregated by Loan Class | The following table details nonaccrual loans, disaggregated by loan class, as of the dates indicated: As of December 31, 2021 2020 (in thousands) Real estate loans: Commercial property Retail $ 1,918 $ 6,330 Hospitality — 20,612 Other 2,082 3,145 Total commercial property loans 4,000 30,087 Construction — 24,854 Residential/consumer loans 1,227 2,350 Total real estate loans 5,227 57,291 Commercial and industrial loans 988 14,507 Leases receivable 7,145 11,234 Total nonaccrual loans $ 13,360 $ 83,032 |
Non-Performing Assets | The following table details nonperforming assets as of the dates indicated: As of December 31, 2021 2020 (in thousands) Nonaccrual loans $ 13,360 $ 83,032 Loans receivable 90 days or more past due and still accruing — — Total nonperforming loans receivable 13,360 83,032 Other real estate owned ("OREO") 675 2,360 Total nonperforming assets $ 14,035 $ 85,392 |
Troubled Debt Restructurings, Disaggregated by Type of Concession and by Loan Type | The following table details the recorded investment in TDRs, disaggregated by concession type and by loan type, as of December 31, 2021 and 2020: Nonaccrual TDRs Accrual TDRs Deferral of Principal Deferral of Principal and Interest Reduction of Principal and Interest Extension of Maturity Total Deferral of Principal Deferral of Principal and Interest Reduction of Principal and Interest Extension of Maturity Total (in thousands) December 31, 2021 Real estate loans $ 346 $ 2,046 $ 372 $ — $ 2,764 $ — $ — $ — $ — $ — Commercial and industrial loans — 124 — — 124 — — — — — Total $ 346 $ 2,170 $ 372 $ — $ 2,888 $ — $ — $ — $ — $ — December 31, 2020 Real estate loans $ 1,095 $ 3,334 $ 12,492 $ — $ 16,921 $ 513 $ — $ 67 $ 7,290 $ 7,870 Commercial and industrial loans — 144 — — 144 — — 4 56 60 Total $ 1,095 $ 3,478 $ 12,492 $ — $ 17,065 $ 513 $ — $ 71 $ 7,346 $ 7,930 |
Summary of Loans by Class Modified as Troubled Debt Restructurings | The following table presents the number of loans by class modified as troubled debt restructurings that occurred during the years ending December 31, 2021, 2020 and 2019 with their pre- and post-modification recorded amounts. December 31, 2021 December 31, 2020 December 31, 2019 Number of Loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of Loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment Number of Loans Pre- Modification Outstanding Recorded Investment Post- Modification Outstanding Recorded Investment (in thousands except for number of loans) Real estate loans — $ — $ — 5 $ 4,479 $ 3,676 6 $ 41,292 $ 42,329 Commercial and industrial loans — — — — — — 2 12,779 12,562 Total — $ — $ — 5 $ 4,479 $ 3,676 8 $ 54,071 $ 54,892 |
Servicing Assets (Tables)
Servicing Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Transfers And Servicing [Abstract] | |
Summary of Changes in Servicing Assets | The changes in servicing assets for the years ended December 31, 2021 and 2020 were as follows: As of December 31, 2021 2020 (in thousands) Balance at beginning of period $ 6,212 $ 6,956 Additions related to sale of SBA loans 3,160 1,517 Amortization (2,292 ) (2,261 ) Balance at end of period $ 7,080 $ 6,212 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Property Plant And Equipment [Abstract] | |
Summary of Major Components of Premises and Equipment | The following is a summary of the major components of premises and equipment: As of December 31, 2021 2020 (in thousands) Land $ 6,850 $ 6,850 Building and improvements 12,438 12,423 Furniture and equipment 30,186 31,973 Leasehold improvements 17,462 14,813 Leased equipment 880 880 67,816 66,939 Accumulated depreciation and amortization (43,028 ) (40,508 ) Total premises and equipment, net $ 24,788 $ 26,431 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases [Abstract] | |
Future Minimum Annual Rental Commitments Under Non-Cancelable Operating Leases | At December 31, 2021, future minimum annual rental commitments under these non-cancelable operating leases, with initial or remaining terms of one year or more, were as follows: Amount (in thousands) 2022 $ 7,815 2023 7,589 2024 7,140 2025 6,651 2026 5,367 Thereafter 20,133 Remaining lease commitments 54,695 Interest (4,983 ) Present value of lease liability $ 49,712 |
Goodwill and Other Intangibles
Goodwill and Other Intangibles (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Summary of Goodwill and Other Intangible Assets | The Company's intangible assets were as follows for the periods indicated: December 31, 2021 December 31, 2020 Amortization Period Gross Carrying Amount Accumulated Amortization Net Carrying Amount Gross Carrying Amount Accumulated Amortization Net Carrying Amount (in thousands) Core deposit intangible 10 years $ 2,213 $ (1,900 ) $ 313 $ 2,213 $ (1,746 ) $ 467 Third-party originators intangible 7 years 483 (432 ) 51 483 (369 ) 114 Goodwill N/A 11,031 — 11,031 11,031 — 11,031 Total intangible assets $ 13,727 $ (2,332 ) $ 11,395 $ 13,727 $ (2,115 ) $ 11,612 |
Estimated Future Amortization Expense Related to Other Intangible Assets | Intangible assets amortization expense for the years ended December 31, 2021, 2020 and 2019 was $217,000, $261,000 and $309,000, respectively, and estimated future amortization expense related to the core deposit intangible and the third-party originators intangible for each of the next five years is as follows: Amount (in thousands) 2022 $ 171 2023 126 2024 68 2025 — 2026 — Thereafter — $ 364 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Deposits [Abstract] | |
Scheduled Maturities of Time Deposits | At December 31, 2021, the scheduled maturities of time deposits are as follows: Year Ending December 31, Time Deposits of $250,000 or More Other Time Deposits Total (in thousands) 2022 $ 206,478 $ 672,821 $ 879,299 2023 1,522 40,564 42,086 2024 — 60,854 60,854 2025 265 1,919 2,184 2026 & thereafter 262 2,503 2,765 Total $ 208,527 $ 778,661 $ 987,188 |
Summary of Interest Expense on Deposits | A summary of interest expense on deposits was as follows for the periods indicated: Year Ended December 31, 2021 2020 2019 (in thousands) Demand: interest-bearing $ 61 $ 70 $ 116 Money market and savings 5,199 11,016 23,556 Time deposits of $250,000 or more 726 3,521 6,338 Other time deposits 5,669 19,387 33,095 Total interest expense on deposits $ 11,655 $ 33,994 $ 63,105 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Debt Disclosure [Abstract] | |
Schedule of Borrowings | The following is a summary of contractual maturities of FHLB advances: As of December 31, 2021 2020 Outstanding Balance Weighted Average Rate Outstanding Balance Weighted Average Rate (dollars in thousands) Advances due within 12 months $ 50,000 1.62 % $ 50,000 1.61 % Advances due over 12 months through 24 months 50,000 0.97 % 50,000 1.62 % Advances due over 24 months through 36 months 37,500 0.40 % 50,000 0.97 % Outstanding advances $ 137,500 1.05 % $ 150,000 1.40 % |
Summary of Financial Data Pertaining to Federal Home Loan Bank Advances | The following is financial data pertaining to FHLB advances: As of December 31, 2021 2020 2019 (dollars in thousands) Weighted-average interest rate at end of year 1.05 % 1.40 % 1.70 % Weighted-average interest rate during the year 1.17 % 1.42 % 1.89 % Average balance of FHLB advances $ 145,277 $ 156,601 $ 40,374 Maximum amount outstanding at any month-end $ 162,500 $ 300,000 $ 285,000 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Tax Disclosure [Abstract] | |
Reconciliation of Unrecognized Tax Benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits is as follows: Year Ended December 31, 2021 2020 2019 (in thousands) Unrecognized tax benefits at beginning of year $ — $ 73 $ 202 Gross decreases for tax positions of prior years — (73 ) (202 ) Gross increase for new tax positions 258 — 73 Unrecognized tax benefits at end of year $ 258 $ — $ 73 |
Summary of Provision for Income Taxes | A summary of the provision for income taxes was as follows: Year Ended December 31, 2021 2020 2019 (in thousands) Current expense: Federal $ 21,805 $ 10,565 $ 18,737 State 10,901 6,310 9,377 Total current expense 32,706 16,875 28,114 Deferred expense (benefit): Federal $ 4,914 663 (10,515 ) State (803 ) (239 ) (3,039 ) Total deferred expense 4,111 424 (13,554 ) Income tax expense $ 36,817 $ 17,299 $ 14,560 |
Summary of Deferred Tax Assets and Liabilities | Deferred tax assets and liabilities were as follows: Year Ended December 31, 2021 2020 2019 (in thousands) Deferred tax assets: Provision for credit losses $ 21,671 $ 26,883 $ 18,401 Purchase accounting 3,360 3,902 3,912 Net operating loss carryforward 15,316 15,342 15,453 Unrealized loss on securities available for sale 3,421 — — Mark to market — — 261 Lease liability 14,712 15,562 10,716 Tax credits — — 198 State taxes 2,318 1,223 1,739 Other 4,032 3,669 3,766 Total deferred tax assets 64,830 66,581 54,446 Deferred tax liabilities: Mark to market (3,531 ) (1,660 ) — Depreciation (1,292 ) (631 ) (388 ) Unrealized gain loss on securities available for sale — (1,247 ) (1,370 ) Leases - right of use assets (13,738 ) (15,044 ) (10,517 ) Other (2,650 ) (2,228 ) (532 ) Total deferred tax liabilities (21,211 ) (20,810 ) (12,807 ) Valuation allowance (1,644 ) (4,352 ) (4,852 ) Net deferred tax assets $ 41,975 $ 41,418 $ 36,787 |
Reconciliation between Federal Statutory Income Tax Rate and Effective Tax Rates | Reconciliation between the federal statutory income tax rate and the effective tax rates is shown in the following table: Year Ended December 31, 2021 2020 2019 Federal statutory income tax rate 21.00 % 21.00 % 21.00 % State taxes, net of federal tax benefits 5.81 % 7.86 % 9.39 % Tax credit - federal (1.16 )% (2.68 )% (3.49 )% Low-income housing amortization 1.37 % 3.02 % 4.17 % Other 0.16 % (0.12 )% (0.32 )% Effective tax rate 27.18 % 29.08 % 30.75 % |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Accumulated Other Comprehensive Income Loss Net Of Tax [Abstract] | |
Activity in Accumulated Other Comprehensive Income | Activity in accumulated other comprehensive income for the year ended December 31, 2021, 2020 and 2019 was as follows: Unrealized Gains and Losses on Available-for- Sale Securities Tax Benefit (Expense) Total (in thousands) For the year ended December 31, 2021 Balance at beginning of period $ 4,323 $ (1,247 ) $ 3,076 Other comprehensive income (loss) before reclassification (16,686 ) 4,668 (12,018 ) Reclassification from accumulated other comprehensive income 499 — 499 Net current period other comprehensive income (16,187 ) 4,668 (11,519 ) Balance at end of period $ (11,864 ) $ 3,421 $ (8,443 ) For the year ended December 31, 2020 Balance at beginning of period $ 4,752 $ (1,370 ) $ 3,382 Other comprehensive income (loss) before reclassification 15,283 123 15,406 Reclassification from accumulated other comprehensive income (15,712 ) — (15,712 ) Net current period other comprehensive income (429 ) 123 (306 ) Balance at end of period $ 4,323 $ (1,247 ) $ 3,076 For the year ended December 31, 2019 Balance at beginning of period $ (8,536 ) $ 2,457 $ (6,079 ) Other comprehensive income (loss) before reclassification 14,583 (3,827 ) 10,756 Reclassification from accumulated other comprehensive income (1,295 ) — (1,295 ) Net current period other comprehensive income 13,288 (3,827 ) 9,461 Balance at end of period $ 4,752 $ (1,370 ) $ 3,382 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Regulatory Capital Requirements Under Banking Regulations [Abstract] | |
Capital Ratios of Hanmi Financial and Bank | The capital ratios of Hanmi Financial and the Bank as of December 31, 2021 and 2020 were as follows: Actual Minimum Regulatory Requirement Minimum to be Categorized as “Well Capitalized” Amount Ratio Amount Ratio Amount Ratio (in thousands) December 31, 2021 Total capital (to risk-weighted assets): Hanmi Financial $ 912,527 16.61 % $ 439,386 8.00 % N/A N/A Hanmi Bank $ 809,280 14.72 % $ 439,858 8.00 % $ 549,822 10.00 % Tier 1 capital (to risk-weighted assets): Hanmi Financial $ 657,251 11.97 % $ 329,539 6.00 % N/A N/A Hanmi Bank $ 748,178 13.61 % $ 329,893 6.00 % $ 439,858 8.00 % Common equity Tier 1 capital (to risk-weighted assets) Hanmi Financial $ 636,420 11.59 % $ 247,155 4.50 % N/A N/A Hanmi Bank $ 748,178 13.61 % $ 247,420 4.50 % $ 357,385 6.50 % Tier 1 capital (to average assets): Hanmi Financial $ 657,251 9.63 % $ 273,133 4.00 % N/A N/A Hanmi Bank $ 748,178 10.96 % $ 273,101 4.00 % $ 341,376 5.00 % December 31, 2020 Total capital (to risk-weighted assets): Hanmi Financial $ 743,091 15.21 % $ 390,884 8.00 % N/A N/A Hanmi Bank $ 726,532 14.86 % $ 391,114 8.00 % $ 488,893 10.00 % Tier 1 capital (to risk-weighted assets): Hanmi Financial $ 583,076 11.93 % $ 293,163 6.00 % N/A N/A Hanmi Bank $ 665,058 13.60 % $ 293,336 6.00 % $ 391,114 8.00 % Common equity Tier 1 capital (to risk-weighted assets) Hanmi Financial $ 562,647 11.52 % $ 219,872 4.50 % N/A N/A Hanmi Bank $ 665,058 13.60 % $ 220,002 4.50 % $ 317,780 6.50 % Tier 1 capital (to average assets): Hanmi Financial $ 583,076 9.49 % $ 245,882 4.00 % N/A N/A Hanmi Bank $ 665,059 10.83 % $ 245,736 4.00 % $ 307,170 5.00 % |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on Recurring Basis | As of December 31, 2021 and 2020, assets and liabilities measured at fair value on a recurring basis are as follows: Level 1 Level 2 Level 3 Quoted Prices in Active Markets for Identical Assets Significant Observable Inputs with No Active Market with Identical Characteristics Significant Unobservable Inputs Total Fair Value (in thousands) December 31, 2021 Assets: Securities available for sale: U.S. Treasury securities $ 15,397 $ — $ — $ 15,397 U.S. government agency and sponsored agency obligations: Mortgage-backed securities — 607,505 — 607,505 Collateralized mortgage obligations — 93,604 — 93,604 Debt securities — 115,896 — 115,896 Total U.S. government agency and sponsored agency obligations — 817,005 — 817,005 Municipal bonds-tax exempt — 78,388 — 78,388 Total securities available for sale $ 15,397 $ 895,393 $ — $ 910,790 Derivative financial instruments $ — $ 1,379 $ — $ 1,379 Liabilities: Derivative financial instruments $ — $ 1,360 $ — $ 1,360 December 31, 2020 Assets: Securities available for sale: U.S. Treasury securities $ 10,132 $ — $ — $ 10,132 U.S. government agency and sponsored agency obligations: Mortgage-backed securities — 519,242 — 519,242 Collateralized mortgage obligations — 133,601 — 133,601 Debt securities — 90,807 — 90,807 Total U.S. government agency and sponsored agency obligations — 743,649 — 743,649 Total securities available for sale $ 10,132 $ 743,649 $ — $ 753,781 Derivative financial instruments $ — $ 1,088 $ — $ 1,088 Liabilities: Derivative financial instruments $ — $ 1,149 $ — $ 1,149 |
Assets and Liabilities Measured at Fair Value on Non-Recurring Basis | As of December 31, 2021 and 2020, assets and liabilities measured at fair value on a non-recurring basis are as follows: Level 1 Level 2 Level 3 Total Prices in Active Markets for Identical Assets Observable Inputs with No Active Market with Identical Characteristics Significant Unobservable Inputs (in thousands) December 31, 2021 Assets: Collateral dependent loans (1) $ 3,398 $ — $ — $ 3,398 Other real estate owned 675 — — 675 Repossessed personal property 8 — — 8 December 31, 2020 Assets: Collateral dependent loans (2) $ 63,114 $ — $ — $ 63,114 Other real estate owned 2,360 — — 2,360 Repossessed personal property 857 — — 857 (1) Consisted of real estate loans of $3.4 million. (2) Consisted of real estate loans of $63.1 million and commercial and industrial loans of $41,000. |
Quantitative Information about Level 3 Fair Value Assumptions for Assets Measured at Fair Value on Non-Recurring Basis | The following table represents quantitative information about Level 3 fair value assumptions for assets measured at fair value on a non-recurring basis at December 31, 2021 and 2020: Fair Value Valuation Techniques Unobservable Input(s) Range (Weighted Average) (in thousands) December 31, 2021 Collateral dependent loans: Real estate loans: Commercial property Retail $ 1,917 Market approach Market data comparison (28)% to 23% / (6)% Other 499 Market approach Market data comparison (20)% to 20% / 0% Residential/consumer loans 982 Market approach Market data comparison (19)% to 8% / 3% Total real estate loans 3,398 Total $ 3,398 Other real estate owned $ 675 Market approach Market data comparison (20)% to (5)% / (12)% Repossessed personal property 8 Market approach Market data comparison (1) December 31, 2020 Collateral dependent loans: Real estate loans: Commercial property Retail $ 6,330 Market approach Market data comparison (45)% to 35% / 14% Hospitality 20,612 Market approach Market data comparison (2) Other 8,410 Market approach Market data comparison (55)% to 34% / 15% (3) Construction 24,854 Market approach Market data comparison (20)% to 12% / (8)% Residential/consumer loans 2,867 Market approach Market data comparison (13)% to 15% / 6% (3) Total real estate loans 63,073 Commercial and industrial loans: Commercial term 41 Market approach Market data comparison (9)% to 15% / 6% (3) Total $ 63,114 Other real estate owned $ 2,360 Market approach Market data comparison (35)% to 15% / (14)% Repossessed personal property 857 Market approach Market data comparison (1) (1) The equipment is usually too low in value to use a professional appraisal service. The values are determined internally using a combination of auction values, vendor recommendations and sales comparisons depending on the equipment type. Some highly commoditized equipment, such as commercial trucks have services that provide industry values. (2) No discount weighted average range available given primary valuation methodology is via DCF analysis for going concern properties. (3) Appraisal reports utilize a combination of valuation techniques including a market approach, where prices and other relevant information generated by market transactions involving similar or comparable properties are used to determine the appraised value. Appraisals may include an ‘as is’ and ‘upon completion’ valuation scenarios. Adjustments are routinely made in the appraisal process by third-party appraisers to adjust for differences between the comparable sales and income data. Adjustments also result from the consideration of relevant economic and demographic factors with the potential to affect property values. Also, prospective values are based on the market conditions which exist at the date of inspection combined with informed forecasts based on current trends in supply and demand for the property types under appraisal. Positive adjustments disclosed in this table represent increases to the sales comparison and negative adjustment represent decreases. |
Estimated Fair Values of Financial Instruments | The estimated fair values of financial instruments were as follows: December 31, 2021 Carrying Fair Value Amount Level 1 Level 2 Level 3 (in thousands) Financial assets: Cash and due from banks $ 608,965 $ 608,965 $ — $ — Securities available for sale 910,790 15,397 895,393 — Loans held for sale 13,342 — 14,723 — Loans receivable, net of allowance for credit losses 5,078,984 — — 5,072,282 Accrued interest receivable 11,976 11,976 — — Financial liabilities: Noninterest-bearing deposits 2,574,517 — 2,574,517 — Interest-bearing deposits 3,211,752 — — 3,211,708 Borrowings and subordinated debentures 352,506 — 137,198 213,179 Accrued interest payable 1,161 1,161 — — December 31, 2020 Carrying Fair Value Amount Level 1 Level 2 Level 3 (in thousands) Financial assets: Cash and due from banks $ 391,849 $ 391,849 $ — $ — Securities available for sale 753,781 10,132 743,649 — Loans held for sale 8,568 — 9,270 — Loans receivable, net of allowance for credit losses 4,789,742 — — 4,755,302 Accrued interest receivable 16,363 16,363 — — Financial liabilities: Noninterest-bearing deposits 1,898,766 — 1,898,766 — Interest-bearing deposits 3,376,242 — — 3,380,179 Borrowings and subordinated debentures 268,972 — 151,714 118,809 Accrued interest payable 4,564 4,564 — — |
Share-based Compensation (Table
Share-based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Compensation Expense and Related Tax Benefits | The table below provides the share-based compensation expense and related tax benefits for the periods indicated: Year Ended December 31, 2021 2020 2019 Share-based compensation expense $ 2,436 $ 2,544 $ 3,125 Related tax benefits $ 703 $ 734 $ 941 |
Summary of Information under Plans | The following information under the Plans is presented for the periods indicated: Year Ended December 31, 2021 2020 2019 Total intrinsic value of options exercised (1) $ — $ — $ 842 Cash received from options exercised $ — $ — $ 2,979 (1) Intrinsic value represents the difference between the closing stock price on the exercise date and the exercise price, multiplied by the number of options. |
Summary of Stock Option Transactions under Plans | The following is a summary of stock option transactions under the Plans for the periods indicated: Year Ended December 31, 2021 2020 2019 Number of Shares Weighted- Average Exercise Price Per Share Number of Shares Weighted- Average Exercise Price Per Share Number of Shares Weighted- Average Exercise Price Per Share Options outstanding at beginning of period 125,938 $ 19.59 156,438 $ 18.84 338,338 $ 17.52 Options exercised — $ — — $ — (181,900 ) $ 16.38 Options forfeited (10,000 ) $ 19.74 (30,500 ) $ 15.73 — $ — Options outstanding at end of period 115,938 $ 19.58 125,938 $ 19.59 156,438 $ 18.84 Options exercisable at end of period 115,938 $ 19.58 125,938 $ 19.59 156,438 $ 18.84 |
Summary of Stock Options Outstanding under Plans | As of December 31, 2021, stock options outstanding under the Plans were as follows: Options Outstanding Options Exercisable Number of Shares Intrinsic Value (1) Weighted- Average Average Exercise Price Per Share Weighted- Average Remaining Contractual Life Number of Shares Intrinsic Value (1) Weighted- Average Exercise Price Per Share Weighted- Average Remaining Contractual Life $10.80 to $14.99 4,938 $ 55 $ 12.54 0.95 4,938 $ 55 $ 12.54 0.95 $15.00 to $19.99 50,000 363 16.43 1.66 50,000 363 16.43 1.66 $20.00 to $24.83 61,000 61 22.73 2.84 61,000 61 22.73 2.84 115,938 $ 479 $ 19.58 2.30 115,938 $ 479 $ 19.58 2.30 (1) Intrinsic value represents the difference between the closing stock price on the last trading day of the period, which was $23.68 as of December 31, 2021, and the exercise price, multiplied by the number of options. This value is presented in thousands. |
Schedule of Restricted Stock Awards under 2013 Plan | The table below provides information for restricted stock awards under the 2013 Plan for the periods indicated: 2021 2020 2019 Number of Shares Weighted- Average Grant Date Fair Value Per Share Number of Shares Weighted- Average Grant Date Per Share Number of Shares Weighted- Average Grant Date Fair Value Per Share Restricted stock at beginning of period 243,708 $ 15.60 296,201 $ 22.91 304,595 $ 21.98 Restricted stock granted 75,679 $ 19.62 125,896 $ 8.51 181,204 $ 22.05 Restricted stock vested (134,659 ) $ 16.01 (137,892 ) $ 24.68 (99,527 ) $ 27.56 Restricted stock forfeited (32,641 ) $ 15.02 (40,497 ) $ 16.55 (90,071 ) $ 13.78 Restricted stock at end of period 152,087 $ 17.24 243,708 $ 15.60 296,201 $ 22.91 |
Earnings per Share (Tables)
Earnings per Share (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share [Abstract] | |
Reconciliation of Components Used to Derive Basic and Diluted EPS | The following table is a reconciliation of the components used to derive basic and diluted EPS for the periods indicated: Weighted- Net Average Per Income Shares Share (Numerator) (Denominator) Amount (1) Year Ended December 31, 2021 Basic EPS Net income $ 98,677 30,393,559 $ 3.25 Less: income allocated to unvested restricted stock 671 30,393,559 0.02 Basic EPS $ 98,006 30,393,559 $ 3.22 Effect of dilutive securities - options and unvested restricted stock — 78,188 — Diluted EPS Net income $ 98,677 30,471,747 $ 3.24 Less: income allocated to unvested restricted stock 671 30,471,747 0.02 Diluted EPS $ 98,006 30,471,747 $ 3.22 Year Ended December 31, 2020 Basic EPS Net income $ 42,196 30,280,415 $ 1.39 Less: income allocated to unvested restricted stock 532 30,280,415 0.02 Basic EPS $ 41,664 30,280,415 $ 1.38 Effect of dilutive securities - options and unvested restricted stock — — — Diluted EPS Net income $ 42,196 30,280,415 $ 1.39 Less: income allocated to unvested restricted stock 532 30,280,415 0.02 Diluted EPS $ 41,664 30,280,415 $ 1.38 Year Ended December 31, 2019 Basic EPS Net income $ 32,788 30,725,376 $ 1.07 Less: income allocated to unvested restricted stock 230 30,725,376 0.01 Basic EPS $ 32,558 30,725,376 $ 1.06 Effect of dilutive securities - options and unvested restricted stock — 35,046 — Diluted EPS Net income $ 32,788 30,760,422 $ 1.07 Less: income allocated to unvested restricted stock 230 30,760,422 0.01 Diluted EPS $ 32,558 30,760,422 $ 1.06 (1) Per share amounts may not be able to be recalculated using net income and weighted-average shares presented above due to rounding. |
Off-Balance Sheet Commitments (
Off-Balance Sheet Commitments (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Risks And Uncertainties [Abstract] | |
Distribution of Undisbursed Loan Commitments | The following table shows the distribution of undisbursed loan commitments as of the dates indicated: December 31, 2021 2020 (in thousands) Commitments to extend credit $ 626,474 $ 453,900 Standby letters of credit 49,287 47,169 Commercial letters of credit 39,261 54,547 Total undisbursed loan commitments $ 715,022 $ 555,616 |
Allowance for Credit Losses Related to Off-Balance Sheet Items | Activity in the allowance for credit losses related to off-balance sheet items was as follows for the periods indicated: As of and for the Year Ended December 31, 2021 2020 2019 (in thousands) Balance at beginning of period $ 2,792 $ 2,397 $ 1,439 Adjustment related to adoption of ASU 2016-13 — (335 ) — Adjusted balance $ 2,792 2,062 1,439 Provision (recovery) for credit losses (206 ) 730 958 Balance at end of period $ 2,586 $ 2,792 $ 2,397 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Schedule of Fair Value of Derivative Financial Instruments as well as their Classification on Balance Sheet | The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Balance Sheet as of December 31, 2021 and 2020. As of December 31, 2021 Derivative Assets Derivative Liabilities Notional Amount Balance Sheet Location Fair Value Notional Amount Balance Sheet Location Fair Value (in thousands) Derivatives not designated as hedging instruments Interest rate products $ 61,968 Other Assets $ 1,379 $ 61,968 Other Liabilities $ 1,360 Total derivatives not designated as hedging instruments $ 1,379 $ 1,360 As of December 31, 2020 Derivative Assets Derivative Liabilities Notional Amount Balance Sheet Location Fair Value Notional Amount Balance Sheet Location Fair Value (in thousands) Derivatives not designated as hedging instruments Interest rate products $ 66,904 Other Assets $ 1,088 $ 66,904 Other Liabilities $ 1,149 Total derivatives not designated as hedging instruments $ 1,088 $ 1,149 |
Effect of Derivative Financial Instruments that are Not Designated as Hedging Instruments on Income Statement | The table below presents the effect of the Company’s derivative financial instruments that are not designated as hedging instruments on the Income Statement as of December 31, 2021 and 2020. Derivatives Not Designated as Hedging Instruments under Subtopic 815-20 Location of Gain or (Loss) Recognized in Income on Derivative Amount of Gain or (Loss) Recognized in Income on Derivative For the Year Ended December 31, 2021 2020 (in thousands) Interest rate products Other income $ 80 $ (61 ) Total $ 80 $ (61 ) |
Summary of Gross Presentation, Effects of Offsetting and a Net Presentation of Derivatives | The table below presents a gross presentation, the effects of offsetting, and a net presentation of the Company’s derivatives as of December 31, 2021 and 2020. The net amounts of derivative assets or liabilities can be reconciled to the tabular disclosure of fair value. The tabular disclosure of fair value provides the location that derivative assets and liabilities are presented on the Balance Sheet. Offsetting of Derivative Assets As of December 31, 2021 Gross Amounts Not Offset in the Consolidated Balance Sheets Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets presented in the Statement of Financial Position Financial Instruments Cash Collateral Received Net Amount (in thousands) Derivatives $ 1,379 $ — $ 1,379 $ 1,360 $ 19 $ — Offsetting of Derivative Liabilities As of December 31, 2021 Gross Amounts Not Offset in the Consolidated Balance Sheets Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities presented in the Statement of Financial Position Financial Instruments Cash Collateral Provided Net Amount (in thousands) Derivatives $ 1,360 $ — $ 1,360 $ 1,360 $ — $ — Offsetting of Derivative Assets As of December 31, 2020 Gross Amounts Not Offset in the Consolidated Balance Sheets Gross Amounts of Recognized Assets Gross Amounts Offset in the Statement of Financial Position Net Amounts of Assets presented in the Statement of Financial Position Financial Instruments Cash Collateral Received Net Amount (in thousands) Derivatives $ 1,088 $ — $ 1,088 $ 1,088 $ — $ 1,088 Offsetting of Derivative Liabilities As of December 31, 2020 Gross Amounts Not Offset in the Consolidated Balance Sheets Gross Amounts of Recognized Liabilities Gross Amounts Offset in the Statement of Financial Position Net Amounts of Liabilities presented in the Statement of Financial Position Financial Instruments Cash Collateral Provided Net Amount (in thousands) Derivatives $ 1,149 $ — $ 1,149 $ — $ 1,150 $ (1 ) |
Condensed Financial Informati_2
Condensed Financial Information of Parent Company (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Condensed Financial Information Of Parent Company Only Disclosure [Abstract] | |
Balance Sheets of Parent Company | Balance Sheets At December 31, 2021 2020 (in thousands) Assets Cash $ 94,877 $ 17,266 Investments in consolidated subsidiaries 755,176 679,455 Other assets 11,554 995 Total assets $ 861,607 $ 697,716 Liabilities and stockholders' equity Liabilities Subordinated debentures $ 215,006 $ 118,972 Other liabilities 3,184 1,701 Total liabilities 218,190 120,673 Stockholders' equity 643,417 577,043 Total liabilities and stockholders' equity $ 861,607 $ 697,716 |
Statement of Income of Parent Company | Statements of Income Year Ended December 31, 2021 2020 2019 (in thousands) Dividends from bank subsidiaries $ 20,639 $ 16,986 $ 44,500 Interest expense (8,273 ) (6,607 ) (7,032 ) Other expense (4,891 ) (4,892 ) (5,333 ) Income before taxes and undistributed income of subsidiary 7,475 5,487 32,135 Income tax benefit 3,962 3,247 3,823 Income before undistributed income of subsidiary 11,437 8,734 35,958 Equity in undistributed income of subsidiary 87,239 33,463 (3,170 ) Net income $ 98,676 $ 42,197 $ 32,788 |
Statement of Cash Flows of Parent Company | Statements of Cash Flows Year Ended December 31, 2021 2020 2019 (in thousands) Cash Flows from Operating Activities: Net income $ 98,676 $ 42,197 $ 32,788 Adjustments to reconcile net income to net cash used in operating activities Undistributed income of subsidiary (87,239 ) (33,463 ) 3,170 Amortization of subordinated debentures 1,148 595 569 Share-based compensation expense 2,437 2,544 3,125 Change in other assets and liabilities (9,076 ) 6,779 4,679 Net cash provided by (used in) operating activities 5,946 18,651 44,331 Cash Flows from Financing Activities: Proceeds from exercise of stock options — — 2,979 Issuance of subordinated debentures 107,929 — — Purchase of subordinated debentures (13,043 ) — — Cash paid for repurchase of vested shares due to employee tax liability (572 ) (335 ) (517 ) Repurchase of common stock (6,135 ) (2,196 ) (7,362 ) Cash dividends paid (16,514 ) (15,959 ) (29,776 ) Net cash provided by (used in) financing activities 71,665 (18,489 ) (34,676 ) Net increase (decrease) in cash 77,611 162 9,655 Cash at beginning of year 17,266 17,105 7,450 Cash at end of year $ 94,877 $ 17,266 $ 17,105 |
Summary of Significant Accoun_4
Summary of Significant Accounting Policies - Additional Information (Detail) | Jan. 01, 2020USD ($) | Dec. 31, 2021USD ($)branchSegmentshares | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Jan. 24, 2019shares |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Number of reportable segments | Segment | 1 | ||||
Accrued interest receivable on available-for-sale debt securities | $ 1,900,000 | $ 1,200,000 | |||
Increase to beginning balance of allowance for credit losses | $ 17,400,000 | ||||
Decrease to beginning balance of allowance for off balance sheet items | 335,000 | ||||
Retained earnings | 196,784,000 | 114,621,000 | |||
Impairment of intangible assets | 0 | ||||
Goodwill impairment loss | 0 | ||||
Bank-owned life insurance | $ 54,905,000 | 53,894,000 | |||
Stock options, expiration term from date of grant | 10 years | ||||
Number of shares authorized for repurchase (percent) | 5.00% | ||||
Number of shares authorized for repurchase under program (shares) | shares | 1,500,000 | ||||
Shares repurchased | $ 6,135,000 | $ 2,196,000 | $ 7,362,000 | ||
Stock Repurchase Program | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Shares repurchased (shares) | shares | 328,659 | ||||
Shares repurchased | $ 6,100,000 | ||||
Minimum | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Period of continuous service | 3 years | ||||
Maximum | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Period of continuous service | 5 years | ||||
Split Dollar Death Benefit Agreement | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Bank-owned life insurance | $ 3,000,000 | ||||
Cumulative Effect Period of Adoption Adjustment | Impact of ASU 2016-13 Adoption | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Retained earnings | $ 12,200,000 | ||||
Full Service | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Number of branches | branch | 35 | ||||
Loan Production | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Number of branches | branch | 8 |
Summary of Significant Accoun_5
Summary of Significant Accounting Policies - Summary of Impact of ASU on Allowance for Credit Losses (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Jan. 01, 2020 |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | $ 72,557 | $ 90,426 | |
ASU 2016-13 | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | $ 78,841 | ||
Allowance for credit losses on off-balance sheet items | 2,062 | ||
ASU 2016-13 | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 61,408 | ||
Allowance for credit losses on off-balance sheet items | 2,398 | ||
ASU 2016-13 | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 17,432 | ||
Allowance for credit losses on off-balance sheet items | (335) | ||
Real Estate | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 48,890 | 51,876 | |
Real Estate | Retail | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 6,579 | 4,855 | |
Real Estate | Hospitality | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 22,670 | 28,801 | |
Real Estate | Other | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 15,065 | 13,991 | |
Real Estate | Total commercial property loans | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 44,314 | 47,647 | |
Real Estate | Construction | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 4,078 | 2,876 | |
Real Estate | Residential/Consumer Loans | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 498 | 1,353 | |
Real Estate | ASU 2016-13 | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 50,463 | ||
Real Estate | ASU 2016-13 | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 36,435 | ||
Real Estate | ASU 2016-13 | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 14,027 | ||
Real Estate | ASU 2016-13 | Retail | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 6,785 | ||
Real Estate | ASU 2016-13 | Retail | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 4,911 | ||
Real Estate | ASU 2016-13 | Retail | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 1,873 | ||
Real Estate | ASU 2016-13 | Hospitality | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 12,387 | ||
Real Estate | ASU 2016-13 | Hospitality | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 6,686 | ||
Real Estate | ASU 2016-13 | Hospitality | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 5,702 | ||
Real Estate | ASU 2016-13 | Other | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 13,415 | ||
Real Estate | ASU 2016-13 | Other | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 8,060 | ||
Real Estate | ASU 2016-13 | Other | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 5,355 | ||
Real Estate | ASU 2016-13 | Total commercial property loans | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 32,587 | ||
Real Estate | ASU 2016-13 | Total commercial property loans | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 19,657 | ||
Real Estate | ASU 2016-13 | Total commercial property loans | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 12,930 | ||
Real Estate | ASU 2016-13 | Construction | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 15,590 | ||
Real Estate | ASU 2016-13 | Construction | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 15,003 | ||
Real Estate | ASU 2016-13 | Construction | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 587 | ||
Real Estate | ASU 2016-13 | Residential/Consumer Loans | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 2,286 | ||
Real Estate | ASU 2016-13 | Residential/Consumer Loans | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 1,775 | ||
Real Estate | ASU 2016-13 | Residential/Consumer Loans | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 510 | ||
Commercial and Industrial | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 12,418 | 21,410 | |
Commercial and Industrial | ASU 2016-13 | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 13,709 | ||
Commercial and Industrial | ASU 2016-13 | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 16,206 | ||
Commercial and Industrial | ASU 2016-13 | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | (2,497) | ||
Commercial and Industrial | ASU 2016-13 | Commercial term | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 12,175 | ||
Commercial and Industrial | ASU 2016-13 | Commercial term | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 14,077 | ||
Commercial and Industrial | ASU 2016-13 | Commercial term | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | (1,903) | ||
Commercial and Industrial | ASU 2016-13 | Commercial lines of credit | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 1,358 | ||
Commercial and Industrial | ASU 2016-13 | Commercial lines of credit | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 1,887 | ||
Commercial and Industrial | ASU 2016-13 | Commercial lines of credit | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | (529) | ||
Commercial and Industrial | ASU 2016-13 | International loans | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 176 | ||
Commercial and Industrial | ASU 2016-13 | International loans | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 242 | ||
Commercial and Industrial | ASU 2016-13 | International loans | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | (65) | ||
Leases Receivable | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | $ 11,249 | $ 17,140 | |
Leases Receivable | ASU 2016-13 | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 14,669 | ||
Leases Receivable | ASU 2016-13 | Pre-ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | 8,767 | ||
Leases Receivable | ASU 2016-13 | Impact of ASU 2016-13 Adoption | |||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | |||
Loans receivable, allowance for credit losses | $ 5,902 |
Summary of Significant Accoun_6
Summary of Significant Accounting Policies - Useful Lives for Principal Classes of Assets (Detail) | 12 Months Ended |
Dec. 31, 2021 | |
Buildings and improvements | Minimum | |
Property, Plant and Equipment [Line Items] | |
Premises and equipment useful life | 10 years |
Buildings and improvements | Maximum | |
Property, Plant and Equipment [Line Items] | |
Premises and equipment useful life | 30 years |
Furniture and equipment | Minimum | |
Property, Plant and Equipment [Line Items] | |
Premises and equipment useful life | 3 years |
Furniture and equipment | Maximum | |
Property, Plant and Equipment [Line Items] | |
Premises and equipment useful life | 10 years |
Leasehold improvements | |
Property, Plant and Equipment [Line Items] | |
Premises and equipment useful life | Term of lease or useful life, whichever is shorter |
Software | |
Property, Plant and Equipment [Line Items] | |
Premises and equipment useful life | 3 years |
Securities - Summary of Investm
Securities - Summary of Investment Securities Available for Sale (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 922,654 | $ 749,458 |
Gross Unrealized Gain | 177 | 4,729 |
Gross Unrealized Loss | (12,041) | (406) |
Estimated Fair Value | 910,790 | 753,781 |
Municipal bonds-tax exempt | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 79,152 | |
Gross Unrealized Gain | 117 | |
Gross Unrealized Loss | (881) | |
Estimated Fair Value | 78,388 | |
U.S. Treasury securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 15,457 | 9,997 |
Gross Unrealized Gain | 1 | 135 |
Gross Unrealized Loss | (61) | |
Estimated Fair Value | 15,397 | 10,132 |
Mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 615,393 | 515,169 |
Gross Unrealized Gain | 18 | 4,260 |
Gross Unrealized Loss | (7,906) | (188) |
Estimated Fair Value | 607,505 | 519,242 |
Collateralized mortgage obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 95,153 | 133,632 |
Gross Unrealized Gain | 41 | 186 |
Gross Unrealized Loss | (1,590) | (217) |
Estimated Fair Value | 93,604 | 133,601 |
Debt securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 117,499 | 90,660 |
Gross Unrealized Gain | 148 | |
Gross Unrealized Loss | (1,603) | (1) |
Estimated Fair Value | 115,896 | 90,807 |
Total U.S. government agency and sponsored agency obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 828,045 | 739,461 |
Gross Unrealized Gain | 59 | 4,594 |
Gross Unrealized Loss | (11,099) | (406) |
Estimated Fair Value | $ 817,005 | $ 743,649 |
Securities - Schedule of Amorti
Securities - Schedule of Amortized Cost and Estimated Fair Value of Investment Securities by Contractual Maturity (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Investments Debt And Equity Securities [Abstract] | ||
Available-for-Sale Within one year, Amortized Cost | $ 1,103 | |
Available-for-Sale Over one year through five years, Amortized Cost | 126,483 | |
Available-for-Sale Over five years through ten years, Amortized Cost | 51,338 | |
Available-for-Sale Over ten years, Amortized Cost | 743,730 | |
Amortized Cost | 922,654 | $ 749,458 |
Available-for-Sale Within one year, Estimated Fair Value | 1,108 | |
Available-for-Sale Over one year through five years, Estimated Fair Value | 125,069 | |
Available-for-Sale Over five years through ten years, Estimated Fair Value | 50,770 | |
Available-for-Sale Over ten years, Estimated Fair Value | 733,843 | |
Estimated fair value | $ 910,790 | $ 753,781 |
Securities - Summary of Debt Se
Securities - Summary of Debt Securities Available for Sale in an Unrealized Loss Position for Which an Allowance for Credit Losses Has Not Been Recorded (Detail) $ in Thousands | Dec. 31, 2021USD ($)Security | Dec. 31, 2020USD ($)Security |
Summary of Investment Holdings [Line Items] | ||
Available-for-Sale Within One Year, Gross Unrealized Loss | $ (9,953) | $ (406) |
Available-for-Sale Within One Year, Estimated Fair Value | $ 800,439 | $ 178,681 |
Available-for-Sale Within One Year, Number of Securities | Security | 158 | 32 |
Available-for-Sale More than One Year, Gross Unrealized Loss | $ (2,088) | |
Available-for-Sale More than One Year, Estimated Fair Value | $ 76,905 | |
Available-for-Sale More than One Year, Number of Securities | Security | 15 | |
Available-for-Sale, Gross Unrealized Loss | $ (12,041) | $ (406) |
Available-for-Sale, Estimated Fair Value | $ 877,344 | $ 178,681 |
Available-for-Sale, Number of Securities | Security | 173 | 32 |
Municipal bonds-tax exempt | ||
Summary of Investment Holdings [Line Items] | ||
Available-for-Sale Within One Year, Gross Unrealized Loss | $ (881) | |
Available-for-Sale Within One Year, Estimated Fair Value | $ 68,548 | |
Available-for-Sale Within One Year, Number of Securities | Security | 17 | |
Available-for-Sale, Gross Unrealized Loss | $ (881) | |
Available-for-Sale, Estimated Fair Value | $ 68,548 | |
Available-for-Sale, Number of Securities | Security | 17 | |
U.S. Treasury securities | ||
Summary of Investment Holdings [Line Items] | ||
Available-for-Sale Within One Year, Gross Unrealized Loss | $ (61) | |
Available-for-Sale Within One Year, Estimated Fair Value | $ 8,391 | |
Available-for-Sale Within One Year, Number of Securities | Security | 2 | |
Available-for-Sale, Gross Unrealized Loss | $ (61) | |
Available-for-Sale, Estimated Fair Value | $ 8,391 | |
Available-for-Sale, Number of Securities | Security | 2 | |
Mortgage-backed securities | ||
Summary of Investment Holdings [Line Items] | ||
Available-for-Sale Within One Year, Gross Unrealized Loss | $ (6,252) | $ (188) |
Available-for-Sale Within One Year, Estimated Fair Value | $ 535,610 | $ 76,023 |
Available-for-Sale Within One Year, Number of Securities | Security | 102 | 10 |
Available-for-Sale More than One Year, Gross Unrealized Loss | $ (1,654) | |
Available-for-Sale More than One Year, Estimated Fair Value | $ 59,457 | |
Available-for-Sale More than One Year, Number of Securities | Security | 11 | |
Available-for-Sale, Gross Unrealized Loss | $ (7,906) | $ (188) |
Available-for-Sale, Estimated Fair Value | $ 595,067 | $ 76,023 |
Available-for-Sale, Number of Securities | Security | 113 | 10 |
Collateralized mortgage obligations | ||
Summary of Investment Holdings [Line Items] | ||
Available-for-Sale Within One Year, Gross Unrealized Loss | $ (1,256) | $ (217) |
Available-for-Sale Within One Year, Estimated Fair Value | $ 76,894 | $ 97,659 |
Available-for-Sale Within One Year, Number of Securities | Security | 16 | 21 |
Available-for-Sale More than One Year, Gross Unrealized Loss | $ (334) | |
Available-for-Sale More than One Year, Estimated Fair Value | $ 12,548 | |
Available-for-Sale More than One Year, Number of Securities | Security | 3 | |
Available-for-Sale, Gross Unrealized Loss | $ (1,590) | $ (217) |
Available-for-Sale, Estimated Fair Value | $ 89,442 | $ 97,659 |
Available-for-Sale, Number of Securities | Security | 19 | 21 |
Debt securities | ||
Summary of Investment Holdings [Line Items] | ||
Available-for-Sale Within One Year, Gross Unrealized Loss | $ (1,503) | $ (1) |
Available-for-Sale Within One Year, Estimated Fair Value | $ 110,996 | $ 4,999 |
Available-for-Sale Within One Year, Number of Securities | Security | 21 | 1 |
Available-for-Sale More than One Year, Gross Unrealized Loss | $ (100) | |
Available-for-Sale More than One Year, Estimated Fair Value | $ 4,900 | |
Available-for-Sale More than One Year, Number of Securities | Security | 1 | |
Available-for-Sale, Gross Unrealized Loss | $ (1,603) | $ (1) |
Available-for-Sale, Estimated Fair Value | $ 115,896 | $ 4,999 |
Available-for-Sale, Number of Securities | Security | 22 | 1 |
Total U.S. government agency and sponsored agency obligations | ||
Summary of Investment Holdings [Line Items] | ||
Available-for-Sale Within One Year, Gross Unrealized Loss | $ (9,011) | $ (406) |
Available-for-Sale Within One Year, Estimated Fair Value | $ 723,500 | $ 178,681 |
Available-for-Sale Within One Year, Number of Securities | Security | 139 | 32 |
Available-for-Sale More than One Year, Gross Unrealized Loss | $ (2,088) | |
Available-for-Sale More than One Year, Estimated Fair Value | $ 76,905 | |
Available-for-Sale More than One Year, Number of Securities | Security | 15 | |
Available-for-Sale, Gross Unrealized Loss | $ (11,099) | $ (406) |
Available-for-Sale, Estimated Fair Value | $ 800,405 | $ 178,681 |
Available-for-Sale, Number of Securities | Security | 154 | 32 |
Securities - Realized Gains and
Securities - Realized Gains and Losses on Sales of Investment Securities (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Investments Debt And Equity Securities [Abstract] | |||
Gross realized gains on sales of securities | $ 99,000 | $ 15,712,000 | $ 1,359,000 |
Gross realized losses on sales of securities | (598,000) | (64,000) | |
Net realized gains (losses) on sales of securities | (499,000) | 15,712,000 | 1,295,000 |
Proceeds from sales of securities | $ 55,884,000 | $ 495,566,000 | $ 113,306,000 |
Securities - Additional Informa
Securities - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Debt Securities, Available-for-sale [Line Items] | |||
Net gains (losses) in earnings resulting from sale of securities | $ (499,000) | $ 15,712,000 | $ 1,295,000 |
Net unrealized gains (losses) recorded in comprehensive income | (123,000) | 15,300,000 | $ (586,000) |
Available for sale securities pledged as collateral | $ 34,700,000 | $ 27,300,000 | |
Minimum | U.S. Government and its Agencies | |||
Debt Securities, Available-for-sale [Line Items] | |||
Holdings of securities as percentage of share holders' equity | 10.00% |
Loans Receivable - Loans Receiv
Loans Receivable - Loans Receivable (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total gross loans receivable | $ 5,151,541 | $ 4,880,168 |
Allowance for credit losses | (72,557) | (90,426) |
Loans receivable, net | 5,078,984 | 4,789,742 |
Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total gross loans receivable | 4,102,411 | 3,699,649 |
Allowance for credit losses | (48,890) | (51,876) |
Real Estate | Retail | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total gross loans receivable | 970,134 | 824,606 |
Allowance for credit losses | (6,579) | (4,855) |
Real Estate | Hospitality | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total gross loans receivable | 717,692 | 859,953 |
Allowance for credit losses | (22,670) | (28,801) |
Real Estate | Other | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total gross loans receivable | 1,919,033 | 1,610,377 |
Real Estate | Total commercial property loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total gross loans receivable | 3,606,859 | 3,294,936 |
Allowance for credit losses | (44,314) | (47,647) |
Real Estate | Construction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total gross loans receivable | 95,006 | 58,882 |
Allowance for credit losses | (4,078) | (2,876) |
Real Estate | Residential/Consumer Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total gross loans receivable | 400,546 | 345,831 |
Allowance for credit losses | (498) | (1,353) |
Commercial and Industrial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total gross loans receivable | 561,831 | 757,255 |
Allowance for credit losses | (12,418) | (21,410) |
Leases Receivable | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total gross loans receivable | 487,299 | 423,264 |
Allowance for credit losses | $ (11,249) | $ (17,140) |
Loans Receivable - Additional I
Loans Receivable - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2021USD ($)Property | Dec. 31, 2020USD ($)Property | Dec. 31, 2019USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable | $ 5,151,541,000 | $ 4,880,168,000 | |
Accrued interest on loans | 11,976,000 | 16,363,000 | |
Loans pledged to secure advances | 2,300,000,000 | 2,170,000,000 | |
Loans held for sale, at the lower of cost or fair value | 13,342,000 | 8,568,000 | $ 6,020,000 |
Gains on sale of second draw PPP loans | 17,266,000 | 5,247,000 | $ 5,251,000 |
Proceeds from sale of second draw PPP loans | 261,853,000 | 69,052,000 | |
Loans 90 days or more past due and still accruing | $ 0 | $ 0 | |
Number of real estate properties | Property | 1 | 4 | |
Other real estate owned ("OREO") | $ 675,000 | $ 2,360,000 | |
Reserves relating to loans included in allowance for credit losses | $ 4,000 | 16,000 | |
Loans default payment past due period | 30 days | ||
Total recorded investment | $ 0 | 398,000 | |
Allowance for credit losses resulting from defaulted loans | 0 | 3,000 | |
60-89 Days Past Due | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable | 11,100,000 | 53,400,000 | |
Pass/Pass-Watch | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable | 4,995,614,000 | 4,663,021,000 | |
Special Mention | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable | 95,294,000 | 76,978,000 | |
Classified | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable | 60,633,000 | 140,169,000 | |
Loans | Accrued Interest | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Accrued interest on loans | 10,100,000 | 15,200,000 | |
Unpaid deferred interest receivable related to loans modified under CARES Act | 3,400,000 | 7,500,000 | |
Unpaid deferred interest receivable related to loans modified under CARES Act, net of valuation allowance | 0 | 1,700,000 | |
Payment Protection Program | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Financing receivable | 3,000,000 | 295,700,000 | |
Loans Modified under provision of CARES Act | 2,300,000 | 155,600,000 | |
Payment Protection Program | 60-89 Days Past Due | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans Modified under provision of CARES Act | 5,000,000 | ||
Loans previously modified under provision of CARES Act | 1,100,000 | 1,700,000 | |
Payment Protection Program | 30-59 Days Past Due | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans Modified under provision of CARES Act | 47,000,000 | 155,600,000 | |
Loans previously modified under provision of CARES Act | 1,200,000 | 4,900,000 | |
Payment Protection Program | 90 Days or More Past Due | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans Modified under provision of CARES Act | 0 | ||
Loans previously modified under provision of CARES Act | 1,100,000 | 13,900,000 | |
Payment Protection Program | Pass/Pass-Watch | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans Modified under provision of CARES Act | 1,100,000 | 99,900,000 | |
Payment Protection Program | Special Mention | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans Modified under provision of CARES Act | 0 | 31,300,000 | |
Payment Protection Program | Classified | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans Modified under provision of CARES Act | 1,200,000 | 24,400,000 | |
SBA Loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans held for sale, at the lower of cost or fair value | 13,300,000 | 8,600,000 | |
PPP Loans | |||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||
Loans held for sale, at the lower of cost or fair value | 0 | ||
Gains on sale of second draw PPP loans | 3,000,000 | ||
Proceeds from sale of second draw PPP loans | $ 132,700,000 | $ 0 |
Loans Receivable - Information
Loans Receivable - Information on SBA Loans Held for Sale (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Financing Receivable, Reclassification From Portfolio Loans To Loans Held For Sale [Roll Forward] | |||
Balance at beginning of period | $ 8,568 | $ 6,020 | |
Originations and transfers | 265,743 | 71,692 | $ 76,765 |
Sales | (261,853) | (69,052) | |
Principal paydowns and amortization | 884 | (92) | |
Balance at end of period | 13,342 | 8,568 | 6,020 |
Real Estate | |||
Financing Receivable, Reclassification From Portfolio Loans To Loans Held For Sale [Roll Forward] | |||
Balance at beginning of period | 8,042 | 2,943 | |
Originations and transfers | 87,775 | 44,770 | |
Sales | (88,858) | (39,666) | |
Principal paydowns and amortization | (5) | (5) | |
Balance at end of period | 6,954 | 8,042 | 2,943 |
Commercial and Industrial | |||
Financing Receivable, Reclassification From Portfolio Loans To Loans Held For Sale [Roll Forward] | |||
Balance at beginning of period | 526 | 3,077 | |
Originations and transfers | 177,968 | 26,922 | |
Sales | (172,995) | (29,386) | |
Principal paydowns and amortization | 889 | (87) | |
Balance at end of period | $ 6,388 | $ 526 | $ 3,077 |
Loans Receivable - Allowance fo
Loans Receivable - Allowance for Credit Losses (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Allowance for credit losses: | |||
Balance at beginning of period | $ 90,426 | $ 61,408 | $ 31,974 |
Adjusted balance | 90,426 | 78,841 | 31,974 |
Less loans receivable charged off | 6,373 | 33,952 | 4,588 |
Recoveries on loans receivable previously charged off | (12,650) | (3,063) | (3,852) |
Provision (recovery) for credit losses | (24,146) | 42,474 | 30,170 |
Balance at end of period | $ 72,557 | 90,426 | 61,408 |
ASU 2016-13 | Adjustment Related to Adoption of ASU | |||
Allowance for credit losses: | |||
Balance at beginning of period | $ 17,433 | ||
Balance at end of period | $ 17,433 |
Loans Receivable - Allowance _2
Loans Receivable - Allowance for Credit Losses by Portfolio Segment (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Allowance for credit losses: | |||
Beginning balance | $ 90,426 | ||
Ending balance | 72,557 | $ 90,426 | |
Non-PCI Loans and Leases | |||
Allowance for credit losses: | |||
Beginning balance | 90,426 | 61,408 | $ 31,974 |
Adjusted balance | 78,841 | ||
Less loans charged off | 6,373 | 33,952 | 4,588 |
Recoveries on loans receivable previously charged off | (12,650) | (3,063) | (3,852) |
Provision (recovery) for credit losses | (24,146) | 42,474 | 30,170 |
Ending balance | 72,557 | 90,426 | 61,408 |
Non-PCI Loans and Leases | ASU 2016-13 | Adjustment Related to Adoption of ASU | |||
Allowance for credit losses: | |||
Beginning balance | 17,433 | ||
Ending balance | 17,433 | ||
Real Estate | |||
Allowance for credit losses: | |||
Beginning balance | 51,876 | ||
Ending balance | 48,890 | 51,876 | |
Real Estate | Non-PCI Loans and Leases | |||
Allowance for credit losses: | |||
Beginning balance | 51,876 | 36,435 | 18,482 |
Adjusted balance | 50,463 | ||
Less loans charged off | 1,427 | 15,567 | 132 |
Recoveries on loans receivable previously charged off | (10,807) | (2,124) | (2,190) |
Provision (recovery) for credit losses | (12,366) | 14,856 | 15,896 |
Ending balance | 48,890 | 51,876 | 36,435 |
Real Estate | Non-PCI Loans and Leases | ASU 2016-13 | Adjustment Related to Adoption of ASU | |||
Allowance for credit losses: | |||
Beginning balance | 14,028 | ||
Ending balance | 14,028 | ||
Commercial and Industrial | |||
Allowance for credit losses: | |||
Beginning balance | 21,410 | ||
Ending balance | 12,418 | 21,410 | |
Commercial and Industrial | Non-PCI Loans and Leases | |||
Allowance for credit losses: | |||
Beginning balance | 21,410 | 16,206 | 7,162 |
Adjusted balance | 13,709 | ||
Less loans charged off | 546 | 13,312 | 1,293 |
Recoveries on loans receivable previously charged off | (897) | (336) | (1,241) |
Provision (recovery) for credit losses | (9,343) | 20,677 | 9,097 |
Ending balance | 12,418 | 21,410 | 16,206 |
Commercial and Industrial | Non-PCI Loans and Leases | ASU 2016-13 | Adjustment Related to Adoption of ASU | |||
Allowance for credit losses: | |||
Beginning balance | (2,497) | ||
Ending balance | (2,497) | ||
Leases Receivable | |||
Allowance for credit losses: | |||
Beginning balance | 17,140 | ||
Ending balance | 11,249 | 17,140 | |
Leases Receivable | Non-PCI Loans and Leases | |||
Allowance for credit losses: | |||
Beginning balance | 17,140 | 8,767 | 6,303 |
Adjusted balance | 14,669 | ||
Less loans charged off | 4,400 | 5,073 | 3,162 |
Recoveries on loans receivable previously charged off | (946) | (603) | (422) |
Provision (recovery) for credit losses | (2,437) | 6,941 | 5,205 |
Ending balance | $ 11,249 | 17,140 | 8,767 |
Leases Receivable | Non-PCI Loans and Leases | ASU 2016-13 | Adjustment Related to Adoption of ASU | |||
Allowance for credit losses: | |||
Beginning balance | $ 5,902 | ||
Ending balance | 5,902 | ||
Unallocated | Non-PCI Loans and Leases | |||
Allowance for credit losses: | |||
Beginning balance | 27 | ||
Provision (recovery) for credit losses | $ (27) |
Loans Receivable - Allowance _3
Loans Receivable - Allowance for Credit Losses by Portfolio Segment as a Percentage of Recorded Total Allowance for Credit Losses and Aggregate Recorded Investment of Loans Receivable (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Allowance Amount | $ 72,557 | $ 90,426 |
Percentage of Total Allowance | 100.00% | 100.00% |
Total Loans | $ 5,151,541 | $ 4,880,168 |
Percentage of Total Loans | 100.00% | 100.00% |
Real Estate | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Allowance Amount | $ 48,890 | $ 51,876 |
Percentage of Total Allowance | 67.40% | 57.40% |
Total Loans | $ 4,102,411 | $ 3,699,649 |
Percentage of Total Loans | 79.60% | 75.80% |
Real Estate | Retail | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Allowance Amount | $ 6,579 | $ 4,855 |
Percentage of Total Allowance | 9.10% | 5.40% |
Total Loans | $ 970,134 | $ 824,606 |
Percentage of Total Loans | 18.80% | 16.90% |
Real Estate | Hospitality | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Allowance Amount | $ 22,670 | $ 28,801 |
Percentage of Total Allowance | 31.20% | 31.90% |
Total Loans | $ 717,692 | $ 859,953 |
Percentage of Total Loans | 13.90% | 17.60% |
Real Estate | Other | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Allowance Amount | $ 15,065 | $ 13,991 |
Percentage of Total Allowance | 20.80% | 15.40% |
Total Loans | $ 1,919,033 | $ 1,610,377 |
Percentage of Total Loans | 37.30% | 33.00% |
Real Estate | Total commercial property loans | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Allowance Amount | $ 44,314 | $ 47,647 |
Percentage of Total Allowance | 61.10% | 52.70% |
Total Loans | $ 3,606,859 | $ 3,294,936 |
Percentage of Total Loans | 70.00% | 67.50% |
Real Estate | Construction | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Allowance Amount | $ 4,078 | $ 2,876 |
Percentage of Total Allowance | 5.60% | 3.20% |
Total Loans | $ 95,006 | $ 58,882 |
Percentage of Total Loans | 1.80% | 1.20% |
Real Estate | Residential/Consumer Loans | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Allowance Amount | $ 498 | $ 1,353 |
Percentage of Total Allowance | 0.70% | 1.50% |
Total Loans | $ 400,546 | $ 345,831 |
Percentage of Total Loans | 7.80% | 7.10% |
Commercial and Industrial | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Allowance Amount | $ 12,418 | $ 21,410 |
Percentage of Total Allowance | 17.10% | 23.60% |
Total Loans | $ 561,831 | $ 757,255 |
Percentage of Total Loans | 10.90% | 15.50% |
Leases Receivable | ||
Financing Receivable Allowance For Credit Losses [Line Items] | ||
Allowance Amount | $ 11,249 | $ 17,140 |
Percentage of Total Allowance | 15.50% | 19.00% |
Total Loans | $ 487,299 | $ 423,264 |
Percentage of Total Loans | 9.50% | 8.70% |
Loans Receivable - Summary of A
Loans Receivable - Summary of Amortized Cost Basis of Collateral Dependent Loans By Class of Loans (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Loans And Leases Receivable Disclosure [Line Items] | ||
Amortized Cost | $ 3,398 | $ 63,114 |
Real Estate | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Amortized Cost | 3,398 | 63,073 |
Real Estate | Retail | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Amortized Cost | 1,917 | 6,330 |
Real Estate | Hospitality | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Amortized Cost | 20,612 | |
Real Estate | Other | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Amortized Cost | 499 | 8,410 |
Real Estate | Total commercial property loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Amortized Cost | 2,416 | 35,352 |
Real Estate | Construction | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Amortized Cost | 24,854 | |
Real Estate | Residential/Consumer Loans | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Amortized Cost | $ 982 | 2,867 |
Commercial and Industrial | ||
Loans And Leases Receivable Disclosure [Line Items] | ||
Amortized Cost | $ 41 |
Loans Receivable - Schedule of
Loans Receivable - Schedule of Comparison Between the Periods of Disaggregated by Loan Class (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | $ 5,151,541 | $ 4,880,168 |
Total gross loans receivable | 4,880,168 | |
Real Estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 4,102,411 | 3,699,649 |
Total gross loans receivable | 3,699,649 | |
Real Estate | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 970,134 | 824,606 |
Total gross loans receivable | 824,606 | |
Real Estate | Hospitality | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 717,692 | 859,953 |
Total gross loans receivable | 859,953 | |
Real Estate | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 1,919,033 | 1,610,377 |
Total gross loans receivable | 1,610,377 | |
Real Estate | Total commercial property loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 3,606,859 | 3,294,936 |
Total gross loans receivable | 3,294,936 | |
Real Estate | Construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 95,006 | 58,882 |
Total gross loans receivable | 58,882 | |
Real Estate | Residential/Consumer Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 400,546 | 345,831 |
Total gross loans receivable | 345,831 | |
Commercial and Industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 561,831 | 757,255 |
Total gross loans receivable | 757,255 | |
Leases Receivable | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 487,299 | 423,264 |
Total gross loans receivable | 423,264 | |
Pass/Pass-Watch | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 4,995,614 | 4,663,021 |
Total gross loans receivable | 4,663,021 | |
Pass/Pass-Watch | Real Estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 3,977,808 | 3,538,306 |
Total gross loans receivable | 3,538,306 | |
Pass/Pass-Watch | Real Estate | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 952,651 | |
Total gross loans receivable | 807,348 | |
Pass/Pass-Watch | Real Estate | Hospitality | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 662,834 | |
Total gross loans receivable | 788,369 | |
Pass/Pass-Watch | Real Estate | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 1,891,877 | |
Total gross loans receivable | 1,571,012 | |
Pass/Pass-Watch | Real Estate | Total commercial property loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 3,507,362 | 3,166,729 |
Total gross loans receivable | 3,166,729 | |
Pass/Pass-Watch | Real Estate | Construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 74,439 | 34,028 |
Total gross loans receivable | 34,028 | |
Pass/Pass-Watch | Real Estate | Residential/Consumer Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 396,007 | |
Total gross loans receivable | 337,549 | |
Pass/Pass-Watch | Commercial and Industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 537,652 | 712,685 |
Total gross loans receivable | 712,685 | |
Pass/Pass-Watch | Leases Receivable | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 480,154 | 412,030 |
Total gross loans receivable | 412,030 | |
Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 95,294 | 76,978 |
Total gross loans receivable | 76,978 | |
Special Mention | Real Estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 76,167 | 58,422 |
Total gross loans receivable | 58,422 | |
Special Mention | Real Estate | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 5,949 | |
Total gross loans receivable | 3,382 | |
Special Mention | Real Estate | Hospitality | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 36,248 | |
Total gross loans receivable | 26,086 | |
Special Mention | Real Estate | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 9,846 | |
Total gross loans receivable | 23,876 | |
Special Mention | Real Estate | Total commercial property loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 52,043 | 53,344 |
Total gross loans receivable | 53,344 | |
Special Mention | Real Estate | Construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 20,567 | |
Special Mention | Real Estate | Residential/Consumer Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 3,557 | |
Total gross loans receivable | 5,078 | |
Special Mention | Commercial and Industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 19,127 | 18,556 |
Total gross loans receivable | 18,556 | |
Classified | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 60,633 | 140,169 |
Total gross loans receivable | 140,169 | |
Classified | Real Estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 48,436 | 102,921 |
Total gross loans receivable | 102,921 | |
Classified | Real Estate | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 11,534 | |
Total gross loans receivable | 13,876 | |
Classified | Real Estate | Hospitality | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 18,610 | |
Total gross loans receivable | 45,498 | |
Classified | Real Estate | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 17,310 | |
Total gross loans receivable | 15,489 | |
Classified | Real Estate | Total commercial property loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 47,454 | 74,863 |
Total gross loans receivable | 74,863 | |
Classified | Real Estate | Construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 24,854 | |
Total gross loans receivable | 24,854 | |
Classified | Real Estate | Residential/Consumer Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 982 | |
Total gross loans receivable | 3,204 | |
Classified | Commercial and Industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | 5,052 | 26,014 |
Total gross loans receivable | 26,014 | |
Classified | Leases Receivable | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total gross loans receivable | $ 7,145 | 11,234 |
Total gross loans receivable | $ 11,234 |
Loans Receivable - Loans by Vin
Loans Receivable - Loans by Vintage Year and Risk Rating (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | $ 1,977,169 | $ 1,575,273 |
2020 | 878,738 | 775,720 |
2019 | 658,209 | 701,973 |
2018 | 509,016 | 530,668 |
2017 | 384,572 | 556,108 |
Prior | 540,906 | 549,847 |
Revolving Loans Amortized Cost Basis | 202,931 | 190,579 |
Loans receivable | 5,151,541 | 4,880,168 |
Pass/Pass-Watch | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,976,453 | 1,502,486 |
2020 | 858,611 | 753,939 |
2019 | 626,894 | 661,861 |
2018 | 489,366 | 519,885 |
2017 | 372,804 | 515,046 |
Prior | 473,544 | 524,447 |
Revolving Loans Amortized Cost Basis | 197,942 | 185,357 |
Loans receivable | 4,995,614 | 4,663,021 |
Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 30,668 | |
2020 | 19,143 | 6,993 |
2019 | 21,582 | 13,706 |
2018 | 930 | 3,610 |
2017 | 7,472 | 16,865 |
Prior | 44,469 | 4,689 |
Revolving Loans Amortized Cost Basis | 1,698 | 447 |
Loans receivable | 95,294 | 76,978 |
Classified | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 716 | 42,119 |
2020 | 984 | 14,788 |
2019 | 9,733 | 26,406 |
2018 | 18,720 | 7,173 |
2017 | 4,296 | 24,197 |
Prior | 22,893 | 20,711 |
Revolving Loans Amortized Cost Basis | 3,291 | 4,775 |
Loans receivable | 60,633 | 140,169 |
Real Estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,471,953 | 1,038,832 |
2020 | 742,945 | 522,297 |
2019 | 501,540 | 547,808 |
2018 | 444,278 | 479,513 |
2017 | 362,582 | 536,333 |
Prior | 527,616 | 536,100 |
Revolving Loans Amortized Cost Basis | 51,497 | 38,766 |
Loans receivable | 4,102,411 | 3,699,649 |
Real Estate | Pass/Pass-Watch | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,471,953 | 982,288 |
2020 | 724,076 | 515,537 |
2019 | 488,497 | 516,343 |
2018 | 426,101 | 471,646 |
2017 | 351,247 | 500,486 |
Prior | 466,140 | 513,370 |
Revolving Loans Amortized Cost Basis | 49,794 | 38,636 |
Loans receivable | 3,977,808 | 3,538,306 |
Real Estate | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 23,429 | |
2020 | 18,869 | 2,484 |
2019 | 7,593 | 9,560 |
2018 | 930 | 2,500 |
2017 | 7,405 | 16,834 |
Prior | 39,667 | 3,615 |
Revolving Loans Amortized Cost Basis | 1,703 | |
Loans receivable | 76,167 | 58,422 |
Real Estate | Classified | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 33,115 | |
2020 | 4,276 | |
2019 | 5,450 | 21,905 |
2018 | 17,247 | 5,367 |
2017 | 3,930 | 19,013 |
Prior | 21,809 | 19,115 |
Revolving Loans Amortized Cost Basis | 130 | |
Loans receivable | 48,436 | 102,921 |
Real Estate | Total commercial property loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,203,197 | 964,612 |
2020 | 725,339 | 520,722 |
2019 | 501,293 | 497,090 |
2018 | 423,535 | 348,415 |
2017 | 287,644 | 452,045 |
Prior | 422,735 | 480,639 |
Revolving Loans Amortized Cost Basis | 43,116 | 31,413 |
Loans receivable | 3,606,859 | 3,294,936 |
Real Estate | Total commercial property loans | Pass/Pass-Watch | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,203,197 | 920,876 |
2020 | 706,470 | 513,962 |
2019 | 488,250 | 479,221 |
2018 | 406,288 | 343,659 |
2017 | 277,680 | 418,362 |
Prior | 384,064 | 459,366 |
Revolving Loans Amortized Cost Basis | 41,413 | 31,283 |
Loans receivable | 3,507,362 | 3,166,729 |
Real Estate | Total commercial property loans | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 23,429 | |
2020 | 18,869 | 2,484 |
2019 | 7,593 | 8,630 |
2018 | 1,672 | |
2017 | 6,999 | 14,971 |
Prior | 16,879 | 2,158 |
Revolving Loans Amortized Cost Basis | 1,703 | |
Loans receivable | 52,043 | 53,344 |
Real Estate | Total commercial property loans | Classified | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 20,307 | |
2020 | 4,276 | |
2019 | 5,450 | 9,239 |
2018 | 17,247 | 3,084 |
2017 | 2,965 | 18,712 |
Prior | 21,792 | 19,115 |
Revolving Loans Amortized Cost Basis | 130 | |
Loans receivable | 47,454 | 74,863 |
Real Estate | Construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 73,808 | 46,223 |
2020 | 631 | 613 |
2019 | 12,046 | |
Prior | 20,567 | |
Loans receivable | 95,006 | 58,882 |
Real Estate | Construction | Pass/Pass-Watch | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 73,808 | 33,415 |
2020 | 631 | 613 |
Loans receivable | 74,439 | 34,028 |
Real Estate | Construction | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 20,567 | |
Loans receivable | 20,567 | |
Real Estate | Construction | Classified | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 12,808 | |
2019 | 12,046 | |
Loans receivable | 24,854 | |
Real Estate | Residential/Consumer Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 194,948 | 27,997 |
2020 | 16,975 | 962 |
2019 | 247 | 38,672 |
2018 | 20,743 | 131,098 |
2017 | 74,938 | 84,288 |
Prior | 84,314 | 55,461 |
Revolving Loans Amortized Cost Basis | 8,381 | 7,353 |
Loans receivable | 400,546 | 345,831 |
Real Estate | Residential/Consumer Loans | Pass/Pass-Watch | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 194,948 | 27,997 |
2020 | 16,975 | 962 |
2019 | 247 | 37,122 |
2018 | 19,813 | 127,987 |
2017 | 73,567 | 82,124 |
Prior | 82,076 | 54,004 |
Revolving Loans Amortized Cost Basis | 8,381 | 7,353 |
Loans receivable | 396,007 | 337,549 |
Real Estate | Residential/Consumer Loans | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2019 | 930 | |
2018 | 930 | 828 |
2017 | 406 | 1,863 |
Prior | 2,221 | 1,457 |
Loans receivable | 3,557 | 5,078 |
Real Estate | Residential/Consumer Loans | Classified | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2019 | 620 | |
2018 | 2,283 | |
2017 | 965 | 301 |
Prior | 17 | |
Loans receivable | 982 | 3,204 |
Commercial and Industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 264,762 | 422,277 |
2020 | 55,412 | 82,453 |
2019 | 51,634 | 59,620 |
2018 | 15,925 | 19,874 |
2017 | 10,960 | 8,875 |
Prior | 11,704 | 12,343 |
Revolving Loans Amortized Cost Basis | 151,434 | 151,813 |
Loans receivable | 561,831 | 757,255 |
Commercial and Industrial | Pass/Pass-Watch | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 264,762 | 406,486 |
2020 | 55,135 | 73,160 |
2019 | 36,937 | 54,110 |
2018 | 15,780 | 17,834 |
2017 | 10,874 | 4,464 |
Prior | 6,016 | 9,910 |
Revolving Loans Amortized Cost Basis | 148,148 | 146,721 |
Loans receivable | 537,652 | 712,685 |
Commercial and Industrial | Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 7,239 | |
2020 | 274 | 4,509 |
2019 | 13,989 | 4,146 |
2018 | 1,110 | |
2017 | 67 | 31 |
Prior | 4,802 | 1,074 |
Revolving Loans Amortized Cost Basis | (5) | 447 |
Loans receivable | 19,127 | 18,556 |
Commercial and Industrial | Classified | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 8,552 | |
2020 | 3 | 4,784 |
2019 | 708 | 1,364 |
2018 | 145 | 930 |
2017 | 19 | 4,380 |
Prior | 886 | 1,359 |
Revolving Loans Amortized Cost Basis | 3,291 | 4,645 |
Loans receivable | 5,052 | 26,014 |
Leases Receivable | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 240,454 | 114,164 |
2020 | 80,381 | 170,970 |
2019 | 105,035 | 94,545 |
2018 | 48,813 | 31,281 |
2017 | 11,030 | 10,900 |
Prior | 1,586 | 1,404 |
Loans receivable | 487,299 | 423,264 |
Leases Receivable | Pass/Pass-Watch | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 239,738 | 113,712 |
2020 | 79,400 | 165,242 |
2019 | 101,460 | 91,408 |
2018 | 47,485 | 30,405 |
2017 | 10,683 | 10,096 |
Prior | 1,388 | 1,167 |
Loans receivable | 480,154 | 412,030 |
Leases Receivable | Classified | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 716 | 452 |
2020 | 981 | 5,728 |
2019 | 3,575 | 3,137 |
2018 | 1,328 | 876 |
2017 | 347 | 804 |
Prior | 198 | 237 |
Loans receivable | $ 7,145 | $ 11,234 |
Loans Receivable - Loans by V_2
Loans Receivable - Loans by Vintage Year and Payment Performance (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | $ 1,977,169 | $ 1,575,273 |
2020 | 878,738 | 775,720 |
2019 | 658,209 | 701,973 |
2018 | 509,016 | 530,668 |
2017 | 384,572 | 556,108 |
Prior | 540,906 | 549,847 |
Revolving Loans Amortized Cost Basis | 202,931 | 190,579 |
Loans receivable | 5,151,541 | 4,880,168 |
Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,976,453 | 1,550,822 |
2020 | 877,754 | 764,819 |
2019 | 653,926 | 685,832 |
2018 | 507,667 | 525,105 |
2017 | 382,548 | 540,189 |
Prior | 536,902 | 539,923 |
Revolving Loans Amortized Cost Basis | 202,931 | 190,449 |
Loans receivable | 5,138,181 | 4,797,139 |
Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 716 | 24,451 |
2020 | 984 | 10,901 |
2019 | 4,283 | 16,141 |
2018 | 1,349 | 5,563 |
2017 | 2,024 | 15,919 |
Prior | 4,004 | 9,924 |
Revolving Loans Amortized Cost Basis | 130 | |
Loans receivable | 13,360 | 83,029 |
Real Estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,471,953 | 1,038,832 |
2020 | 742,945 | 522,297 |
2019 | 501,540 | 547,808 |
2018 | 444,278 | 479,513 |
2017 | 362,582 | 536,333 |
Prior | 527,616 | 536,100 |
Revolving Loans Amortized Cost Basis | 51,497 | 38,766 |
Loans receivable | 4,102,411 | 3,699,649 |
Real Estate | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,471,953 | 1,023,385 |
2020 | 742,945 | 521,905 |
2019 | 501,540 | 534,988 |
2018 | 444,258 | 475,698 |
2017 | 360,908 | 521,218 |
Prior | 524,083 | 526,528 |
Revolving Loans Amortized Cost Basis | 51,497 | 38,636 |
Loans receivable | 4,097,184 | 3,642,358 |
Real Estate | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 15,447 | |
2020 | 392 | |
2019 | 12,820 | |
2018 | 20 | 3,815 |
2017 | 1,674 | 15,115 |
Prior | 3,533 | 9,572 |
Revolving Loans Amortized Cost Basis | 130 | |
Loans receivable | 5,227 | 57,291 |
Real Estate | Total commercial property loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,203,197 | 964,612 |
2020 | 725,339 | 520,722 |
2019 | 501,293 | 497,090 |
2018 | 423,535 | 348,415 |
2017 | 287,644 | 452,045 |
Prior | 422,735 | 480,639 |
Revolving Loans Amortized Cost Basis | 43,116 | 31,413 |
Loans receivable | 3,606,859 | 3,294,936 |
Real Estate | Total commercial property loans | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 1,203,197 | 961,973 |
2020 | 725,339 | 520,330 |
2019 | 501,293 | 496,936 |
2018 | 423,515 | 346,029 |
2017 | 286,935 | 437,231 |
Prior | 419,464 | 471,067 |
Revolving Loans Amortized Cost Basis | 43,116 | 31,283 |
Loans receivable | 3,602,859 | 3,264,849 |
Real Estate | Total commercial property loans | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 2,639 | |
2020 | 392 | |
2019 | 154 | |
2018 | 20 | 2,386 |
2017 | 709 | 14,814 |
Prior | 3,271 | 9,572 |
Revolving Loans Amortized Cost Basis | 130 | |
Loans receivable | 4,000 | 30,087 |
Real Estate | Construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 73,808 | 46,223 |
2020 | 631 | 613 |
2019 | 12,046 | |
Prior | 20,567 | |
Loans receivable | 95,006 | 58,882 |
Real Estate | Construction | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 73,808 | 33,415 |
2020 | 631 | 613 |
Prior | 20,567 | |
Loans receivable | 95,006 | 34,028 |
Real Estate | Construction | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 12,808 | |
2019 | 12,046 | |
Loans receivable | 24,854 | |
Real Estate | Residential/Consumer Loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 194,948 | 27,997 |
2020 | 16,975 | 962 |
2019 | 247 | 38,672 |
2018 | 20,743 | 131,098 |
2017 | 74,938 | 84,288 |
Prior | 84,314 | 55,461 |
Revolving Loans Amortized Cost Basis | 8,381 | 7,353 |
Loans receivable | 400,546 | 345,831 |
Real Estate | Residential/Consumer Loans | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 194,948 | 27,997 |
2020 | 16,975 | 962 |
2019 | 247 | 38,052 |
2018 | 20,743 | 129,669 |
2017 | 73,973 | 83,987 |
Prior | 84,052 | 55,461 |
Revolving Loans Amortized Cost Basis | 8,381 | 7,353 |
Loans receivable | 399,319 | 343,481 |
Real Estate | Residential/Consumer Loans | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2019 | 620 | |
2018 | 1,429 | |
2017 | 965 | 301 |
Prior | 262 | |
Loans receivable | 1,227 | 2,350 |
Commercial and Industrial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 264,762 | 422,277 |
2020 | 55,412 | 82,453 |
2019 | 51,634 | 59,620 |
2018 | 15,925 | 19,874 |
2017 | 10,960 | 8,875 |
Prior | 11,704 | 12,343 |
Revolving Loans Amortized Cost Basis | 151,434 | 151,813 |
Loans receivable | 561,831 | 757,255 |
Commercial and Industrial | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 264,762 | 413,725 |
2020 | 55,409 | 77,672 |
2019 | 50,926 | 59,436 |
2018 | 15,925 | 19,002 |
2017 | 10,956 | 8,875 |
Prior | 11,431 | 12,228 |
Revolving Loans Amortized Cost Basis | 151,434 | 151,813 |
Loans receivable | 560,843 | 742,751 |
Commercial and Industrial | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 8,552 | |
2020 | 3 | 4,781 |
2019 | 708 | 184 |
2018 | 872 | |
2017 | 4 | |
Prior | 273 | 115 |
Loans receivable | 988 | 14,504 |
Leases Receivable | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 240,454 | 114,164 |
2020 | 80,381 | 170,970 |
2019 | 105,035 | 94,545 |
2018 | 48,813 | 31,281 |
2017 | 11,030 | 10,900 |
Prior | 1,586 | 1,404 |
Loans receivable | 487,299 | 423,264 |
Leases Receivable | Performing | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 239,738 | 113,712 |
2020 | 79,400 | 165,242 |
2019 | 101,460 | 91,408 |
2018 | 47,484 | 30,405 |
2017 | 10,684 | 10,096 |
Prior | 1,388 | 1,167 |
Loans receivable | 480,154 | 412,030 |
Leases Receivable | Nonperforming | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021 | 716 | 452 |
2020 | 981 | 5,728 |
2019 | 3,575 | 3,137 |
2018 | 1,329 | 876 |
2017 | 346 | 804 |
Prior | 198 | 237 |
Loans receivable | $ 7,145 | $ 11,234 |
Loans Receivable - Schedule o_2
Loans Receivable - Schedule of Amortized Cost Basis of Loans on Nonaccrual Status and Loans Past Due 90 Days and Still Accruing (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable Nonaccrual Status [Line Items] | ||
Nonaccrual Loans With No Allowance for Credit Losses | $ 5,825 | $ 58,758 |
Nonaccrual Loans With Allowance for Credit Losses | 7,535 | 24,274 |
Total Nonperforming Loans | 13,360 | 83,032 |
Real Estate | ||
Financing Receivable Nonaccrual Status [Line Items] | ||
Nonaccrual Loans With No Allowance for Credit Losses | 4,645 | 56,382 |
Nonaccrual Loans With Allowance for Credit Losses | 582 | 909 |
Total Nonperforming Loans | 5,227 | 57,291 |
Real Estate | Retail | ||
Financing Receivable Nonaccrual Status [Line Items] | ||
Nonaccrual Loans With No Allowance for Credit Losses | 1,918 | 6,330 |
Total Nonperforming Loans | 1,918 | 6,330 |
Real Estate | Hospitality | ||
Financing Receivable Nonaccrual Status [Line Items] | ||
Nonaccrual Loans With No Allowance for Credit Losses | 20,612 | |
Total Nonperforming Loans | 20,612 | |
Real Estate | Other | ||
Financing Receivable Nonaccrual Status [Line Items] | ||
Nonaccrual Loans With No Allowance for Credit Losses | 1,745 | 2,236 |
Nonaccrual Loans With Allowance for Credit Losses | 337 | 909 |
Total Nonperforming Loans | 2,082 | 3,145 |
Real Estate | Total commercial property loans | ||
Financing Receivable Nonaccrual Status [Line Items] | ||
Nonaccrual Loans With No Allowance for Credit Losses | 3,663 | 29,178 |
Nonaccrual Loans With Allowance for Credit Losses | 337 | 909 |
Total Nonperforming Loans | 4,000 | 30,087 |
Real Estate | Construction | ||
Financing Receivable Nonaccrual Status [Line Items] | ||
Nonaccrual Loans With No Allowance for Credit Losses | 24,854 | |
Total Nonperforming Loans | 24,854 | |
Real Estate | Residential/Consumer Loans | ||
Financing Receivable Nonaccrual Status [Line Items] | ||
Nonaccrual Loans With No Allowance for Credit Losses | 982 | 2,350 |
Nonaccrual Loans With Allowance for Credit Losses | 245 | |
Total Nonperforming Loans | 1,227 | 2,350 |
Commercial and Industrial | ||
Financing Receivable Nonaccrual Status [Line Items] | ||
Nonaccrual Loans With No Allowance for Credit Losses | 8 | 58 |
Nonaccrual Loans With Allowance for Credit Losses | 980 | 14,449 |
Total Nonperforming Loans | 988 | 14,507 |
Leases Receivable | ||
Financing Receivable Nonaccrual Status [Line Items] | ||
Nonaccrual Loans With No Allowance for Credit Losses | 1,172 | 2,318 |
Nonaccrual Loans With Allowance for Credit Losses | 5,973 | 8,916 |
Total Nonperforming Loans | $ 7,145 | $ 11,234 |
Loans Receivable - Analysis of
Loans Receivable - Analysis of Past Due Loans, Disaggregated by Loan Class, Non-PCI (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | $ 5,151,541 | $ 4,880,168 |
60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 11,100 | 53,400 |
Real Estate | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 4,102,411 | 3,699,649 |
Real Estate | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 970,134 | 824,606 |
Real Estate | Hospitality | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 717,692 | 859,953 |
Real Estate | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 1,919,033 | 1,610,377 |
Real Estate | Total commercial property loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 3,606,859 | 3,294,936 |
Real Estate | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 95,006 | 58,882 |
Real Estate | Residential/Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 400,546 | 345,831 |
Commercial and Industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 561,831 | 757,255 |
Leases Receivable | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 487,299 | 423,264 |
Non-PCI Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 10,716 | 53,640 |
Loans receivable | 5,151,541 | 4,880,168 |
Non-PCI Loans | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 5,038 | 9,026 |
Non-PCI Loans | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 3,442 | 15,081 |
Non-PCI Loans | 90 Days or More Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 2,236 | 29,533 |
Non-PCI Loans | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 5,140,825 | 4,826,528 |
Non-PCI Loans | Real Estate | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 3,714 | 30,332 |
Loans receivable | 4,102,411 | 3,699,649 |
Non-PCI Loans | Real Estate | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 970,134 | 824,606 |
Non-PCI Loans | Real Estate | Hospitality | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 556 | 11,076 |
Loans receivable | 717,692 | 859,953 |
Non-PCI Loans | Real Estate | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 1,282 | 731 |
Loans receivable | 1,919,033 | 1,610,377 |
Non-PCI Loans | Real Estate | Total commercial property loans | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 1,838 | 11,807 |
Loans receivable | 3,606,859 | 3,294,936 |
Non-PCI Loans | Real Estate | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 12,807 | |
Loans receivable | 95,006 | 58,882 |
Non-PCI Loans | Real Estate | Residential/Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 1,876 | 5,718 |
Loans receivable | 400,546 | 345,831 |
Non-PCI Loans | Real Estate | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 1,218 | 4,693 |
Non-PCI Loans | Real Estate | 30-59 Days Past Due | Hospitality | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 556 | |
Non-PCI Loans | Real Estate | 30-59 Days Past Due | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 92 | |
Non-PCI Loans | Real Estate | 30-59 Days Past Due | Total commercial property loans | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 648 | |
Non-PCI Loans | Real Estate | 30-59 Days Past Due | Residential/Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 570 | 4,693 |
Non-PCI Loans | Real Estate | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 1,441 | 13,268 |
Non-PCI Loans | Real Estate | 60-89 Days Past Due | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 691 | |
Non-PCI Loans | Real Estate | 60-89 Days Past Due | Total commercial property loans | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 691 | |
Non-PCI Loans | Real Estate | 60-89 Days Past Due | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 12,807 | |
Non-PCI Loans | Real Estate | 60-89 Days Past Due | Residential/Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 750 | 461 |
Non-PCI Loans | Real Estate | 90 Days or More Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 1,055 | 12,371 |
Non-PCI Loans | Real Estate | 90 Days or More Past Due | Hospitality | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 11,076 | |
Non-PCI Loans | Real Estate | 90 Days or More Past Due | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 499 | 731 |
Non-PCI Loans | Real Estate | 90 Days or More Past Due | Total commercial property loans | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 499 | 11,807 |
Non-PCI Loans | Real Estate | 90 Days or More Past Due | Residential/Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 556 | 564 |
Non-PCI Loans | Real Estate | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 4,098,697 | 3,669,317 |
Non-PCI Loans | Real Estate | Current | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 970,134 | 824,606 |
Non-PCI Loans | Real Estate | Current | Hospitality | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 717,136 | 848,877 |
Non-PCI Loans | Real Estate | Current | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 1,917,751 | 1,609,646 |
Non-PCI Loans | Real Estate | Current | Total commercial property loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 3,605,021 | 3,283,129 |
Non-PCI Loans | Real Estate | Current | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 95,006 | 46,075 |
Non-PCI Loans | Real Estate | Current | Residential/Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 398,670 | 340,113 |
Non-PCI Loans | Commercial and Industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 65 | 12,796 |
Loans receivable | 561,831 | 757,255 |
Non-PCI Loans | Commercial and Industrial | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 56 | 282 |
Non-PCI Loans | Commercial and Industrial | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 9 | 27 |
Non-PCI Loans | Commercial and Industrial | 90 Days or More Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 12,487 | |
Non-PCI Loans | Commercial and Industrial | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | 561,766 | 744,459 |
Non-PCI Loans | Leases Receivable | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 6,937 | 10,512 |
Loans receivable | 487,299 | 423,264 |
Non-PCI Loans | Leases Receivable | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 3,764 | 4,051 |
Non-PCI Loans | Leases Receivable | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 1,992 | 1,786 |
Non-PCI Loans | Leases Receivable | 90 Days or More Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due loans receivable | 1,181 | 4,675 |
Non-PCI Loans | Leases Receivable | Current | ||
Financing Receivable, Past Due [Line Items] | ||
Loans receivable | $ 480,362 | $ 412,752 |
Loans Receivable - Non-Accrual
Loans Receivable - Non-Accrual Loans, Disaggregated by Loan Class (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | $ 13,360 | $ 83,032 |
Real Estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 5,227 | 57,291 |
Real Estate | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 1,918 | 6,330 |
Real Estate | Hospitality | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 20,612 | |
Real Estate | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 2,082 | 3,145 |
Real Estate | Total commercial property loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 4,000 | 30,087 |
Real Estate | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 24,854 | |
Real Estate | Residential/Consumer Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 1,227 | 2,350 |
Commercial and Industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | 988 | 14,507 |
Leases Receivable | ||
Financing Receivable, Past Due [Line Items] | ||
Total nonaccrual loans | $ 7,145 | $ 11,234 |
Loans Receivable - Non-Performi
Loans Receivable - Non-Performing Assets (Detail) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Receivables [Abstract] | ||
Total nonaccrual loans | $ 13,360,000 | $ 83,032,000 |
Loans receivable 90 days or more past due and still accruing | 0 | 0 |
Total Nonperforming Loans | 13,360,000 | 83,032,000 |
Other real estate owned ("OREO") | 675,000 | 2,360,000 |
Total nonperforming assets | $ 14,035,000 | $ 85,392,000 |
Loans Receivable - Troubled Deb
Loans Receivable - Troubled Debt Restructurings, Disaggregated by Type of Concession and by Loan Type (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Nonaccrual TDRs | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | $ 2,888 | $ 17,065 |
Nonaccrual TDRs | Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 2,764 | 16,921 |
Nonaccrual TDRs | Commercial and Industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 124 | 144 |
Nonaccrual TDRs | Deferral of Principal | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 346 | 1,095 |
Nonaccrual TDRs | Deferral of Principal | Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 346 | 1,095 |
Nonaccrual TDRs | Deferral of Principal and Interest | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 2,170 | 3,478 |
Nonaccrual TDRs | Deferral of Principal and Interest | Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 2,046 | 3,334 |
Nonaccrual TDRs | Deferral of Principal and Interest | Commercial and Industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 124 | 144 |
Nonaccrual TDRs | Reduction of Principal and Interest | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 372 | 12,492 |
Nonaccrual TDRs | Reduction of Principal and Interest | Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | $ 372 | 12,492 |
Accrual TDRs | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 7,930 | |
Accrual TDRs | Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 7,870 | |
Accrual TDRs | Commercial and Industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 60 | |
Accrual TDRs | Deferral of Principal | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 513 | |
Accrual TDRs | Deferral of Principal | Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 513 | |
Accrual TDRs | Reduction of Principal and Interest | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 71 | |
Accrual TDRs | Reduction of Principal and Interest | Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 67 | |
Accrual TDRs | Reduction of Principal and Interest | Commercial and Industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 4 | |
Accrual TDRs | Extension of Maturity | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 7,346 | |
Accrual TDRs | Extension of Maturity | Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | 7,290 | |
Accrual TDRs | Extension of Maturity | Commercial and Industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Financing Receivable, Troubled Debt Restructuring, Commitment to Lend | $ 56 |
Loans Receivable - Summary of L
Loans Receivable - Summary of Loans by Class Modified as Troubled Debt Restructurings (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)Loan | Dec. 31, 2019USD ($)Loan | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | Loan | 5 | 8 |
Pre- Modification Outstanding Recorded Investment | $ 4,479 | $ 54,071 |
Post- Modification Outstanding Recorded Investment | $ 3,676 | $ 54,892 |
Real Estate | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | Loan | 5 | 6 |
Pre- Modification Outstanding Recorded Investment | $ 4,479 | $ 41,292 |
Post- Modification Outstanding Recorded Investment | $ 3,676 | $ 42,329 |
Commercial and Industrial Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Number of Loans | Loan | 2 | |
Pre- Modification Outstanding Recorded Investment | $ 12,779 | |
Post- Modification Outstanding Recorded Investment | $ 12,562 |
Servicing Assets - Summary of C
Servicing Assets - Summary of Changes in Servicing Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Transfers And Servicing [Abstract] | ||
Balance at beginning of period | $ 6,212 | $ 6,956 |
Additions related to sale of SBA loans | 3,160 | 1,517 |
Amortization | (2,292) | (2,261) |
Balance at end of period | $ 7,080 | $ 6,212 |
Servicing Assets - Additional I
Servicing Assets - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Risks Inherent In Servicing Assets And Servicing Liabilities [Line Items] | |||
Serviced loans sold to unaffiliated parties | $ 473.5 | $ 429.4 | |
Fair value of servicing rights | $ 8.1 | $ 6.9 | |
Minimum | |||
Risks Inherent In Servicing Assets And Servicing Liabilities [Line Items] | |||
Discount rates ranging | 10.40% | 9.30% | |
Prepayment speeds | 10.20% | 11.80% | |
Maximum | |||
Risks Inherent In Servicing Assets And Servicing Liabilities [Line Items] | |||
Discount rates ranging | 16.70% | 12.20% | |
Prepayment speeds | 12.80% | 19.10% | |
Other Operating Income | |||
Risks Inherent In Servicing Assets And Servicing Liabilities [Line Items] | |||
Servicing fee income | $ 4.6 | $ 4.2 | $ 4.4 |
Net amortization expense of servicing assets and liabilities | $ 2 | $ 2 | $ 2.8 |
Premises and Equipment - Summar
Premises and Equipment - Summary of Major Components of Premises and Equipment (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 67,816 | $ 66,939 |
Accumulated depreciation and amortization | (43,028) | (40,508) |
Total premises and equipment, net | 24,788 | 26,431 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 6,850 | 6,850 |
Buildings and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 12,438 | 12,423 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 30,186 | 31,973 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | 17,462 | 14,813 |
Leased equipment | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 880 | $ 880 |
Premises and Equipment - Additi
Premises and Equipment - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Property Plant And Equipment [Abstract] | |||
Depreciation and amortization expense | $ 4.4 | $ 4 | $ 3.3 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Jan. 01, 2019 | |
Lessee, Lease, Description [Line Items] | ||||
Right-of-use assets | $ 46,300 | $ 52,200 | ||
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible Enumeration] | Prepaid expenses and other assets | Prepaid expenses and other assets | ||
Total lease liabilities - Operating leases | $ 49,712 | $ 54,000 | ||
Operating Lease, Liability, Statement of Financial Position [Extensible List] | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrentAndNoncurrent | us-gaap:AccountsPayableAndAccruedLiabilitiesCurrentAndNoncurrent | ||
Net rental expenses | $ 8,500 | $ 8,500 | $ 7,900 | |
Weighted average remaining lease term | 7 years 10 months 6 days | 8 years 9 months | ||
Weighted average discount rate (percent) | 2.38% | 2.43% | ||
Net lease expense | $ 8,500 | $ 8,500 | 7,900 | |
Operating lease costs | 8,100 | 8,500 | 8,000 | |
Cash paid for amounts included in the measurement of Company's operating lease liabilities | $ 8,000 | $ 7,600 | $ 7,200 | |
ASU 2016-02 | ||||
Lessee, Lease, Description [Line Items] | ||||
Right-of-use assets | $ 40,900 | |||
Total lease liabilities - Operating leases | $ 40,900 | |||
Minimum | ||||
Lessee, Lease, Description [Line Items] | ||||
Operating lease remaining term | 1 year | |||
Finance lease remaining term | 1 year | |||
Maximum | ||||
Lessee, Lease, Description [Line Items] | ||||
Operating lease remaining term | 13 years | |||
Finance lease remaining term | 13 years | |||
Operating lease extension term | 5 years | |||
Finance lease extension term | 5 years |
Leases - Future Minimum Annual
Leases - Future Minimum Annual Rental Commitments Under Non-Cancelable Operating Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
2022 | $ 7,815 | |
2023 | 7,589 | |
2024 | 7,140 | |
2025 | 6,651 | |
2026 | 5,367 | |
Thereafter | 20,133 | |
Remaining lease commitments | 54,695 | |
Interest | (4,983) | |
Total lease liabilities - Operating leases | $ 49,712 | $ 54,000 |
Goodwill and Other Intangible_2
Goodwill and Other Intangibles - Additional Information (Detail) - USD ($) | Oct. 27, 2016 | Aug. 31, 2014 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Finite-Lived Intangible Assets [Line Items] | |||||
Goodwill impairment | $ 0 | ||||
Intangible asset impairment charges | 0 | $ 0 | $ 0 | ||
Core deposit intangible | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Intangible assets amortization expense | $ 217,000 | $ 261,000 | $ 309,000 | ||
CBI Merger | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Goodwill | $ 11,000,000 | ||||
CBI Merger | Third-party originators intangible | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Intangible assets acquired | $ 483,000 | ||||
CBI Merger | Core deposit intangible | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Intangible assets acquired | $ 2,200,000 |
Goodwill and Other Intangible_3
Goodwill and Other Intangibles - Summary of Other Intangible Assets (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Accumulated amortization | $ (2,332) | $ (2,115) |
Net carrying amount, excluding goodwill | 364 | |
Goodwill | 11,031 | 11,031 |
Gross carrying amount | 13,727 | 13,727 |
Net carrying amount | $ 11,395 | 11,612 |
Core deposit intangible | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Amortization Period | 10 years | |
Gross carrying amount, excluding goodwill | $ 2,213 | 2,213 |
Accumulated amortization | (1,900) | (1,746) |
Net carrying amount, excluding goodwill | $ 313 | 467 |
Third-party originators intangible | ||
Acquired Finite-Lived Intangible Assets [Line Items] | ||
Amortization Period | 7 years | |
Gross carrying amount, excluding goodwill | $ 483 | 483 |
Accumulated amortization | (432) | (369) |
Net carrying amount, excluding goodwill | $ 51 | $ 114 |
Goodwill and Other Intangible_4
Goodwill and Other Intangibles - Estimated Future Amortization Expense Related to Other Intangible Assets (Detail) $ in Thousands | Dec. 31, 2021USD ($) |
Goodwill And Intangible Assets Disclosure [Abstract] | |
2022 | $ 171 |
2023 | 126 |
2024 | 68 |
Net carrying amount, excluding goodwill | $ 364 |
Deposits - Additional Informati
Deposits - Additional Information (Detail) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Time Deposits | $ 987,188,000 | |
Accrued interest payable on deposits | 1,200,000 | $ 4,600,000 |
Total deposits reclassified to loans due to overdrafts | 277,000 | 241,000,000,000 |
Time Deposits of $250,000 or More | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Time Deposits | $ 208,527,000 | $ 311,800,000 |
Deposits - Scheduled Maturities
Deposits - Scheduled Maturities of Time Deposits (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Restricted Cash And Cash Equivalents Items [Line Items] | ||
2022 | $ 879,299 | |
2023 | 42,086 | |
2024 | 60,854 | |
2025 | 2,184 | |
2026 & thereafter | 2,765 | |
Total | 987,188 | |
Time Deposits of $250,000 or More | ||
Restricted Cash And Cash Equivalents Items [Line Items] | ||
2022 | 206,478 | |
2023 | 1,522 | |
2024 | 0 | |
2025 | 265 | |
2026 & thereafter | 262 | |
Total | 208,527 | $ 311,800 |
Other Time Deposits | ||
Restricted Cash And Cash Equivalents Items [Line Items] | ||
2022 | 672,821 | |
2023 | 40,564 | |
2024 | 60,854 | |
2025 | 1,919 | |
2026 & thereafter | 2,503 | |
Total | $ 778,661 |
Deposits - Summary of Interest
Deposits - Summary of Interest Expense on Deposits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Interest Expense Deposits [Abstract] | |||
Demand: interest-bearing | $ 61 | $ 70 | $ 116 |
Money market and savings | 5,199 | 11,016 | 23,556 |
Time deposits of $250,000 or more | 726 | 3,521 | 6,338 |
Other time deposits | 5,669 | 19,387 | 33,095 |
Total interest expense on deposits | $ 11,655 | $ 33,994 | $ 63,105 |
Borrowings - Schedule of Borrow
Borrowings - Schedule of Borrowings (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Outstanding Balance | |||
Outstanding advances | $ 137,500 | $ 150,000 | |
Weighted Average Rate | |||
Outstanding advances (percent) | 1.05% | 1.40% | 1.70% |
FHLB of San Francisco | |||
Outstanding Balance | |||
Advances due within 12 months | $ 50,000 | $ 50,000 | |
Advances due over 12 months through 24 months | 50,000 | 50,000 | |
Advances due over 24 months through 36 months | 37,500 | 50,000 | |
Outstanding advances | $ 137,500 | $ 150,000 | |
Weighted Average Rate | |||
Advances due within 12 months (percent) | 1.62% | 1.61% | |
Advances due over 12 months through 24 months (percent) | 0.97% | 1.62% | |
Advances due over 24 months through 36 months (percent) | 0.40% | 0.97% | |
Outstanding advances (percent) | 1.05% | 1.40% |
Borrowings - Summary of Financi
Borrowings - Summary of Financial Data Pertaining to Federal Home Loan Bank Advances (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Federal Home Loan Banks [Abstract] | |||
Weighted-average interest rate at end of year | 1.05% | 1.40% | 1.70% |
Weighted-average interest rate during the year | 1.17% | 1.42% | 1.89% |
Average balance of FHLB advances | $ 145,277,000 | $ 156,601,000 | $ 40,374,000 |
Maximum amount outstanding at any month-end | $ 162,500,000 | $ 300,000,000 | $ 285,000,000 |
Borrowings - Additional Informa
Borrowings - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |||
Pledged loans receivable, carrying value | $ 2,300,000,000 | ||
Total borrowing capacity available from the collateral | 1,840,000,000 | ||
Available borrowing capacity | 1,610,000,000 | ||
Available for use through the Federal Reserve Bank of San Francisco Discount Window | 32,800,000 | ||
Pledged loans, carrying values | 34,700,000 | ||
Borrowings | 0 | ||
Advances from the FHLB | 137,500,000 | $ 150,000,000 | |
Decrease in the advances from the FHLB | 12,500,000 | ||
Interest expense on FHLB | $ 1,700,000 | $ 2,200,000 | $ 763,000 |
Weighted-average interest rates | 1.17% | 1.42% | 1.89% |
Subordinated Debentures - Addit
Subordinated Debentures - Additional Information (Detail) - USD ($) | Aug. 20, 2021 | Mar. 21, 2017 | Dec. 31, 2005 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2014 |
Debt Instrument [Line Items] | |||||||
Subordinated debentures issued | $ 224,100,000 | $ 126,800,000 | |||||
Debt instrument, maturity date | Sep. 1, 2031 | Mar. 30, 2027 | |||||
Debt issuance cost | $ 2,100 | ||||||
2021 Notes | |||||||
Debt Instrument [Line Items] | |||||||
Subordinated debentures issued | $ 110,000,000 | ||||||
Fixed interest rate | 3.75% | ||||||
Amortization of debt issuance costs | 62,000 | ||||||
Debt issuance costs, net | 108,000,000 | ||||||
2021 Notes | Benchmark Rate | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread | 3.10% | ||||||
2017 Notes | |||||||
Debt Instrument [Line Items] | |||||||
Subordinated debentures issued | $ 100,000,000 | ||||||
Fixed interest rate | 5.45% | ||||||
Debt issuance cost | $ 2,300,000 | ||||||
Amortization of debt issuance costs | 174,000 | ||||||
Subordinated notes acquired | 12,700,000 | ||||||
Debt instrument, premium | 343,000 | ||||||
Incremental interest expense | 517,000 | ||||||
Debt outstanding, net of issuance cost | 194,200,000 | 98,500,000 | |||||
2017 Notes | 3-month London Interbank Offered Rate (LIBOR) | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread | 3.315% | ||||||
Subordinated debentures | |||||||
Debt Instrument [Line Items] | |||||||
Amortization of debt issuance costs | $ 341,000 | 205,000 | $ 193,000 | ||||
Subordinated debentures | Central Bancorp, Inc | |||||||
Debt Instrument [Line Items] | |||||||
Subordinated debentures issued | $ 26,000,000 | ||||||
Debt instrument, maturity date | Mar. 15, 2036 | ||||||
Fixed interest rate | 6.26% | ||||||
Debt outstanding, net of issuance cost | $ 20,800,000 | 20,400,000 | |||||
Unpaid principal balance | $ 26,800,000 | ||||||
Estimated fair value | 18,500,000 | ||||||
Debt instrument discount | $ 6,000,000 | 6,400,000 | $ 8,300,000 | ||||
Frequency of interest payment | quarterly | ||||||
Term for the initial fixed interest rate | 5 years | ||||||
Optional interest payment deferral period (not to exceed) | 5 years | ||||||
Variable interest rate basis | three-month LIBOR plus 140 basis points | ||||||
Amortization of subordinated debentures | $ 402,000 | $ 390,000 | $ 376,000 | ||||
Subordinated debentures | 3-month London Interbank Offered Rate (LIBOR) | Central Bancorp, Inc | |||||||
Debt Instrument [Line Items] | |||||||
Basis spread | 140.00% |
Income Taxes - Reconciliation o
Income Taxes - Reconciliation of Unrecognized Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Reconciliation of Unrecognized Tax Benefits, Excluding Amounts Pertaining to Examined Tax Returns [Roll Forward] | |||
Unrecognized tax benefits at beginning of year | $ 0 | $ 73 | $ 202 |
Gross decreases for tax positions of prior years | 0 | (73) | (202) |
Gross increase for new tax positions | 258 | 0 | 73 |
Unrecognized tax benefits at end of year | $ 258 | $ 0 | $ 73 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Operating Loss Carryforwards [Line Items] | |||
Unrecognized tax benefits that would affect our effective tax rate if recognized | $ 258,000 | $ 0 | $ 73,000 |
Increase in unrecognized tax benefits due to state taxes | 258,000 | ||
Decrease in unrecognized tax benefits due to state taxes | 73,000 | 129,000 | |
Valuation allowance | 1,644,000 | $ 4,352,000 | $ 4,852,000 |
Federal and state income tax | $ 214,500,000 | ||
CARES Act | |||
Operating Loss Carryforwards [Line Items] | |||
Net operating loss carryback period | 5 years | ||
Federal | |||
Operating Loss Carryforwards [Line Items] | |||
Net operating loss carryforwards | $ 12,300,000 | ||
Federal | California | |||
Operating Loss Carryforwards [Line Items] | |||
Net operating loss carryforwards | 152,300,000 | ||
Federal | Illinois | |||
Operating Loss Carryforwards [Line Items] | |||
Net operating loss carryforwards | 62,100,000 | ||
State | |||
Operating Loss Carryforwards [Line Items] | |||
Low income housing tax credit | $ 0 |
Income Taxes - Summary of Provi
Income Taxes - Summary of Provision for Income Taxes (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Current expense: | |||
Federal | $ 21,805 | $ 10,565 | $ 18,737 |
State | 10,901 | 6,310 | 9,377 |
Total current expense | 32,706 | 16,875 | 28,114 |
Deferred expense (benefit): | |||
Federal | 4,914 | 663 | (10,515) |
State | (803) | (239) | (3,039) |
Total deferred expense | 4,111 | 424 | (13,554) |
Income tax expense | $ 36,817 | $ 17,299 | $ 14,560 |
Income Taxes - Summary of Defer
Income Taxes - Summary of Deferred Tax Assets and Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred tax assets: | |||
Provision for credit losses | $ 21,671 | $ 26,883 | $ 18,401 |
Purchase accounting | 3,360 | 3,902 | 3,912 |
Net operating loss carryforward | 15,316 | 15,342 | 15,453 |
Unrealized loss on securities available for sale | 3,421 | ||
Mark to market | 261 | ||
Lease liability | 14,712 | 15,562 | 10,716 |
Tax credits | 198 | ||
State taxes | 2,318 | 1,223 | 1,739 |
Other | 4,032 | 3,669 | 3,766 |
Total deferred tax assets | 64,830 | 66,581 | 54,446 |
Deferred tax liabilities: | |||
Mark to market | (3,531) | (1,660) | |
Depreciation | (1,292) | (631) | (388) |
Unrealized gain loss on securities available for sale | (1,247) | (1,370) | |
Leases - right of use assets | (13,738) | (15,044) | (10,517) |
Other | (2,650) | (2,228) | (532) |
Total deferred tax liabilities | (21,211) | (20,810) | (12,807) |
Valuation allowance | (1,644) | (4,352) | (4,852) |
Net deferred tax assets | $ 41,975 | $ 41,418 | $ 36,787 |
Income Taxes - Reconciliation b
Income Taxes - Reconciliation between Federal Statutory Income Tax Rate and Effective Tax Rates (Detail) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |||
Federal statutory income tax rate | 21.00% | 21.00% | 21.00% |
State taxes, net of federal tax benefits | 5.81% | 7.86% | 9.39% |
Tax credit - federal | (1.16%) | (2.68%) | (3.49%) |
Low-income housing amortization | 1.37% | 3.02% | 4.17% |
Other | 0.16% | (0.12%) | (0.32%) |
Effective tax rate | 27.18% | 29.08% | 30.75% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Activity in Accumulated Other Comprehensive Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Reclassification from accumulated other comprehensive income | $ (499) | $ 15,712 | $ 1,295 |
Balance at beginning of period | 1,247 | ||
Balance at end of period | (3,421) | 1,247 | |
Balance at beginning of period | 577,044 | 563,267 | 552,568 |
Other comprehensive income (loss), net of tax | (11,519) | (306) | 9,461 |
Balance at end of period | 643,417 | 577,044 | 563,267 |
Unrealized Gains and Losses on Available for Sale Securities | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at beginning of period | 4,323 | 4,752 | (8,536) |
Other comprehensive income (loss) before reclassification | (16,686) | 15,283 | 14,583 |
Reclassification from accumulated other comprehensive income | 499 | (15,712) | (1,295) |
Net current period other comprehensive income | (16,187) | (429) | 13,288 |
Balance at end of period | (11,864) | 4,323 | 4,752 |
Tax Benefit (Expense) | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at beginning of period | (1,247) | (1,370) | 2,457 |
Other comprehensive income (loss) before reclassification | 4,668 | 123 | (3,827) |
Reclassification from accumulated other comprehensive income | 0 | 0 | 0 |
Net current period other comprehensive income | 4,668 | 123 | (3,827) |
Balance at end of period | 3,421 | (1,247) | (1,370) |
Accumulated Other Comprehensive Income (Loss) | |||
AOCI Including Portion Attributable to Noncontrolling Interest, Net of Tax [Roll Forward] | |||
Balance at beginning of period | 3,076 | 3,382 | (6,079) |
Other comprehensive income (loss) before reclassification | (12,018) | 15,406 | 10,756 |
Reclassification from accumulated other comprehensive income | 499 | (15,712) | (1,295) |
Other comprehensive income (loss), net of tax | (11,519) | (306) | 9,461 |
Balance at end of period | $ (8,443) | $ 3,076 | $ 3,382 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Additional Information (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Net gain (loss) on sales of securities | $ (499,000) | $ 15,712,000 | $ 1,295,000 |
Net unrealized gains (losses) recorded in comprehensive income | (123,000) | 15,300,000 | (586,000) |
Unrealized Gains and Losses on Available for Sale Securities | Reclassification out of Accumulated Other Comprehensive Income | |||
Accumulated Other Comprehensive Income Loss [Line Items] | |||
Net gain (loss) on sales of securities | $ (499,000) | $ 15,700,000 | $ 1,300,000 |
Regulatory Matters - Additional
Regulatory Matters - Additional Information (Detail) | Dec. 31, 2021 | Dec. 31, 2020 | Jan. 01, 2019 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Minimum ratio of qualifying total capital to risk-weighted assets | 8 | ||
Minimum ratio of Tier 1 capital to risk-weighted assets | 6 | ||
Leverage ratio | 4 | ||
Minimum ratio of qualifying total capital to risk-weighted assets for well capitalized | 10 | ||
Minimum ratio of Tier 1 capital to average assets for well capitalized | 8 | ||
Capital conservation buffer (percent) | 5.97% | 5.93% | 2.50% |
Hanmi Bank | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Minimum ratio of qualifying total capital to risk-weighted assets | 8 | 8 | |
Minimum ratio of Tier 1 capital to risk-weighted assets | 6 | 6 | |
Leverage ratio | 4 | 4 | |
Minimum ratio of qualifying total capital to risk-weighted assets for well capitalized | 10 | 10 | |
Minimum ratio of Tier 1 capital to average assets for well capitalized | 8 | 8 | |
Capital conservation buffer (percent) | 6.72% | 6.86% | |
Depository Institutions | |||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||
Leverage ratio | 5 |
Regulatory Matters - Capital Ra
Regulatory Matters - Capital Ratios of Hanmi Financial and Bank (Detail) $ in Thousands | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Minimum Regulatory Requirement Ratio for Total capital to risk-weighted assets | 8 | |
Minimum Regulatory Requirement Ratio for Tier 1 capital to risk-weighted assets | 6 | |
Minimum Regulatory Requirement Ratio for Tier 1 capital to average assets | 4 | |
Minimum to Be Categorized as Well Capitalized Ratio, Total capital to risk-weighted assets | 10 | |
Minimum to Be Categorized as Well Capitalized Ratio, Tier 1 capital to risk-weighted assets | 8 | |
Hanmi Financial | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Actual Capital, Total capital to risk-weighted assets | $ 912,527 | $ 743,091 |
Actual Capital, Tier 1 capital to risk-weighted assets | 657,251 | 583,076 |
Actual Capital, Common equity Tier 1 capital to risk-weighted assets | 636,420 | 562,647 |
Actual Capital, Tier 1 capital to average assets | $ 657,251 | $ 583,076 |
Actual Capital Ratio, Total capital to risk-weighted assets | 16.61 | 15.21 |
Actual Capital Ratio, Tier 1 capital to risk-weighted assets | 11.97 | 11.93 |
Actual Capital Ratio, Common equity Tier 1 capital to risk-weighted assets | 11.59 | 11.52 |
Actual Capital Ratio, Tier 1 capital to average assets | 9.63 | 9.49 |
Minimum Regulatory Requirement Capital, Total capital to risk-weighted assets | $ 439,386 | $ 390,884 |
Minimum Regulatory Requirement Capital, Tier 1 capital to risk-weighted assets | 329,539 | 293,163 |
Minimum Regulatory Requirement Capital, Common equity Tier 1 capital to risk-weighted assets | 247,155 | 219,872 |
Minimum Regulatory Requirement Capital, Tier 1 capital to average assets | $ 273,133 | $ 245,882 |
Minimum Regulatory Requirement Ratio for Total capital to risk-weighted assets | 8 | 8 |
Minimum Regulatory Requirement Ratio for Tier 1 capital to risk-weighted assets | 6 | 6 |
Minimum Regulatory Requirement Ratio for Common equity Tier 1 capital to risk-weighted assets | 4.50% | 4.50% |
Minimum Regulatory Requirement Ratio for Tier 1 capital to average assets | 4 | 4 |
Hanmi Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Actual Capital, Total capital to risk-weighted assets | $ 809,280 | $ 726,532 |
Actual Capital, Tier 1 capital to risk-weighted assets | 748,178 | 665,058 |
Actual Capital, Common equity Tier 1 capital to risk-weighted assets | 748,178 | 665,058 |
Actual Capital, Tier 1 capital to average assets | $ 748,178 | $ 665,059 |
Actual Capital Ratio, Total capital to risk-weighted assets | 14.72 | 14.86 |
Actual Capital Ratio, Tier 1 capital to risk-weighted assets | 13.61 | 13.60 |
Actual Capital Ratio, Common equity Tier 1 capital to risk-weighted assets | 13.61 | 13.60 |
Actual Capital Ratio, Tier 1 capital to average assets | 10.96 | 10.83 |
Minimum Regulatory Requirement Capital, Total capital to risk-weighted assets | $ 439,858 | $ 391,114 |
Minimum Regulatory Requirement Capital, Tier 1 capital to risk-weighted assets | 329,893 | 293,336 |
Minimum Regulatory Requirement Capital, Common equity Tier 1 capital to risk-weighted assets | 247,420 | 220,002 |
Minimum Regulatory Requirement Capital, Tier 1 capital to average assets | $ 273,101 | $ 245,736 |
Minimum Regulatory Requirement Ratio for Total capital to risk-weighted assets | 8 | 8 |
Minimum Regulatory Requirement Ratio for Tier 1 capital to risk-weighted assets | 6 | 6 |
Minimum Regulatory Requirement Ratio for Common equity Tier 1 capital to risk-weighted assets | 4.50% | 4.50% |
Minimum Regulatory Requirement Ratio for Tier 1 capital to average assets | 4 | 4 |
Minimum to Be Categorized as Well Capitalized Capital, Total capital to risk-weighted assets | $ 549,822 | $ 488,893 |
Minimum to Be Categorized as Well Capitalized Capital, Tier 1 capital to risk-weighted assets | 439,858 | 391,114 |
Minimum to Be Categorized as Well Capitalized Capital, Common equity Tier 1 capital to risk-weighted average | 357,385 | 317,780 |
Minimum to Be Categorized as Well Capitalized Capital, Tier 1 capital to average assets | $ 341,376 | $ 307,170 |
Minimum to Be Categorized as Well Capitalized Ratio, Total capital to risk-weighted assets | 10 | 10 |
Minimum to Be Categorized as Well Capitalized Ratio, Tier 1 capital to risk-weighted assets | 8 | 8 |
Minimum to Be Categorized as Well Capitalized Ratio, Common equity Tier 1 capital to risk-weighted assets | 6.50% | 6.50% |
Minimum to Be Categorized as Well Capitalized Ratio, Tier 1 capital to average assets | 5 | 5 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Detail) | Dec. 31, 2021USD ($) |
Minimum | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Unpaid principal balance of Non-accrual Non-PCI loans individually evaluated for amount of impairment | $ 250,000 |
Maximum | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Unpaid principal balance of Non-accrual Non-PCI loans and leases reviewed collectively | $ 250,000 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | $ 910,790 | $ 753,781 |
Derivative financial instruments, Assets | 1,400 | 1,100 |
Derivative financial instruments, Liabilities | 1,400 | 1,100 |
U.S. Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 15,397 | 10,132 |
Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 607,505 | 519,242 |
Collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 93,604 | 133,601 |
Debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 115,896 | 90,807 |
Total U.S. government agency and sponsored agency obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 817,005 | 743,649 |
Municipal bonds-tax exempt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 78,388 | |
Recurring Basis | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 910,790 | 753,781 |
Recurring Basis | U.S. Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 15,397 | 10,132 |
Recurring Basis | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 607,505 | 519,242 |
Recurring Basis | Derivative financial instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, Assets | 1,379 | 1,088 |
Derivative financial instruments, Liabilities | 1,360 | 1,149 |
Recurring Basis | Collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 93,604 | 133,601 |
Recurring Basis | Debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 115,896 | 90,807 |
Recurring Basis | Total U.S. government agency and sponsored agency obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 817,005 | 743,649 |
Recurring Basis | Municipal bonds-tax exempt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 78,388 | |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 15,397 | 10,132 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets | U.S. Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 15,397 | 10,132 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets | Derivative financial instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, Assets | 0 | 0 |
Derivative financial instruments, Liabilities | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets | Collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets | Debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets | Total U.S. government agency and sponsored agency obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Recurring Basis | Quoted Prices in Active Markets for Identical Assets | Municipal bonds-tax exempt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | |
Recurring Basis | Significant Observable Inputs with No Active Market with Identical Characteristics | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 895,393 | 743,649 |
Recurring Basis | Significant Observable Inputs with No Active Market with Identical Characteristics | U.S. Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Recurring Basis | Significant Observable Inputs with No Active Market with Identical Characteristics | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 607,505 | 519,242 |
Recurring Basis | Significant Observable Inputs with No Active Market with Identical Characteristics | Derivative financial instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, Assets | 1,379 | 1,088 |
Derivative financial instruments, Liabilities | 1,360 | 1,149 |
Recurring Basis | Significant Observable Inputs with No Active Market with Identical Characteristics | Collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 93,604 | 133,601 |
Recurring Basis | Significant Observable Inputs with No Active Market with Identical Characteristics | Debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 115,896 | 90,807 |
Recurring Basis | Significant Observable Inputs with No Active Market with Identical Characteristics | Total U.S. government agency and sponsored agency obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 817,005 | 743,649 |
Recurring Basis | Significant Observable Inputs with No Active Market with Identical Characteristics | Municipal bonds-tax exempt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 78,388 | |
Recurring Basis | Significant Unobservable Inputs | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs | U.S. Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs | Derivative financial instruments | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative financial instruments, Assets | 0 | 0 |
Derivative financial instruments, Liabilities | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs | Collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs | Debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | 0 |
Recurring Basis | Significant Unobservable Inputs | Total U.S. government agency and sponsored agency obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | 0 | $ 0 |
Recurring Basis | Significant Unobservable Inputs | Municipal bonds-tax exempt | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Securities available for sale | $ 0 |
Fair Value Measurements - Ass_2
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Non-Recurring Basis (Detail) - Non-recurring Basis - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral dependent loans | $ 3,398 | $ 63,114 |
Other real estate owned | 675 | 2,360 |
Repossessed personal property | 8 | 857 |
Quoted Prices in Active Markets for Identical Assets | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral dependent loans | 0 | 0 |
Other real estate owned | 0 | 0 |
Repossessed personal property | 0 | 0 |
Significant Observable Inputs with No Active Market with Identical Characteristics | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral dependent loans | 0 | 0 |
Other real estate owned | 0 | 0 |
Repossessed personal property | 0 | 0 |
Significant Unobservable Inputs | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Collateral dependent loans | 3,398 | 63,114 |
Other real estate owned | 675 | 2,360 |
Repossessed personal property | $ 8 | $ 857 |
Fair Value Measurements - Ass_3
Fair Value Measurements - Assets and Liabilities Measured at Fair Value on Non-Recurring Basis (Parenthetical) (Detail) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans receivable | $ 5,078,984,000 | $ 4,789,742,000 |
Non-recurring Basis | Real estate loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans receivable | $ 3,400,000 | 63,100,000 |
Non-recurring Basis | Commercial and industrial loans | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans receivable | $ 41,000 |
Fair Value Measurements - Quant
Fair Value Measurements - Quantitative Information about Level 3 Fair Value Assumptions for Assets Measured at Fair Value on Non-Recurring Basis (Detail) - Significant Unobservable Inputs - Non-recurring Basis $ in Thousands | Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 3,398 | $ 63,114 |
Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 3,398 | 63,073 |
Retail | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 1,917 | $ 6,330 |
Alternative Investment, Valuation Technique [Extensible List] | us-gaap:MarketApproachValuationTechniqueMember | us-gaap:MarketApproachValuationTechniqueMember |
Retail | Minimum | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | (0.028) | (0.045) |
Retail | Maximum | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 0.023 | 0.035 |
Retail | Weighted Average | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | (0.006) | 0.014 |
Hospitality | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 20,612 | |
Alternative Investment, Valuation Technique [Extensible List] | us-gaap:MarketApproachValuationTechniqueMember | |
Other | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 499 | $ 8,410 |
Alternative Investment, Valuation Technique [Extensible List] | us-gaap:MarketApproachValuationTechniqueMember | us-gaap:MarketApproachValuationTechniqueMember |
Other | Minimum | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | (0.020) | (0.055) |
Other | Maximum | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 0.020 | 0.034 |
Other | Weighted Average | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 0 | 0.015 |
Construction | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 24,854 | |
Alternative Investment, Valuation Technique [Extensible List] | us-gaap:MarketApproachValuationTechniqueMember | |
Construction | Minimum | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | (0.020) | |
Construction | Maximum | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 0.012 | |
Construction | Weighted Average | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | (0.008) | |
Residential/Consumer Loans | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 982 | $ 2,867 |
Alternative Investment, Valuation Technique [Extensible List] | us-gaap:MarketApproachValuationTechniqueMember | us-gaap:MarketApproachValuationTechniqueMember |
Residential/Consumer Loans | Minimum | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | (0.019) | (0.013) |
Residential/Consumer Loans | Maximum | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 0.008 | 0.015 |
Residential/Consumer Loans | Weighted Average | Real Estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 0.003 | 0.006 |
Commercial term | Commercial and Industrial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 41 | |
Alternative Investment, Valuation Technique [Extensible List] | us-gaap:MarketApproachValuationTechniqueMember | |
Commercial term | Minimum | Commercial and Industrial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | (0.009) | |
Commercial term | Maximum | Commercial and Industrial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 0.015 | |
Commercial term | Weighted Average | Commercial and Industrial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | 0.006 | |
Other Real Estate Owned | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 675 | $ 2,360 |
Alternative Investment, Valuation Technique [Extensible List] | us-gaap:MarketApproachValuationTechniqueMember | us-gaap:MarketApproachValuationTechniqueMember |
Other Real Estate Owned | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | (0.020) | (0.035) |
Other Real Estate Owned | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | (0.005) | 0.015 |
Other Real Estate Owned | Weighted Average | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Range | (0.012) | (0.014) |
Repossessed Personal Property | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 8 | $ 857 |
Alternative Investment, Valuation Technique [Extensible List] | us-gaap:MarketApproachValuationTechniqueMember | us-gaap:MarketApproachValuationTechniqueMember |
Fair Value Measurements - Estim
Fair Value Measurements - Estimated Fair Values of Financial Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financial assets: | ||
Cash and due from banks | $ 608,965 | $ 391,849 |
Securities available for sale | 910,790 | 753,781 |
Loans held for sale | 13,342 | 8,568 |
Loans receivable, net of allowance for credit losses | 5,078,984 | 4,789,742 |
Accrued interest receivable | 11,976 | 16,363 |
Financial liabilities: | ||
Noninterest-bearing deposits | 2,574,517 | 1,898,766 |
Interest-bearing deposits | 3,211,752 | 3,376,242 |
Borrowings and subordinated debentures | 352,506 | 268,972 |
Accrued interest payable | 1,161 | 4,564 |
Quoted Prices in Active Markets for Identical Assets | Fair Value | ||
Financial assets: | ||
Cash and due from banks | 608,965 | 391,849 |
Securities available for sale | 15,397 | 10,132 |
Loans held for sale | 0 | 0 |
Loans receivable, net of allowance for credit losses | 0 | 0 |
Accrued interest receivable | 11,976 | 16,363 |
Financial liabilities: | ||
Noninterest-bearing deposits | 0 | 0 |
Interest-bearing deposits | 0 | 0 |
Borrowings and subordinated debentures | 0 | 0 |
Accrued interest payable | 1,161 | 4,564 |
Significant Observable Inputs with No Active Market with Identical Characteristics | Fair Value | ||
Financial assets: | ||
Cash and due from banks | 0 | 0 |
Securities available for sale | 895,393 | 743,649 |
Loans held for sale | 14,723 | 9,270 |
Loans receivable, net of allowance for credit losses | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Financial liabilities: | ||
Noninterest-bearing deposits | 2,574,517 | 1,898,766 |
Interest-bearing deposits | 0 | 0 |
Borrowings and subordinated debentures | 137,198 | 151,714 |
Accrued interest payable | 0 | 0 |
Significant Unobservable Inputs | Fair Value | ||
Financial assets: | ||
Cash and due from banks | 0 | 0 |
Securities available for sale | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans receivable, net of allowance for credit losses | 5,072,282 | 4,755,302 |
Accrued interest receivable | 0 | 0 |
Financial liabilities: | ||
Noninterest-bearing deposits | 0 | 0 |
Interest-bearing deposits | 3,211,708 | 3,380,179 |
Borrowings and subordinated debentures | 213,179 | 118,809 |
Accrued interest payable | $ 0 | $ 0 |
Share-based Compensation - Addi
Share-based Compensation - Additional Information (Detail) | 12 Months Ended | ||
Dec. 31, 2021USD ($)PlanBank$ / sharesshares | Dec. 31, 2020USD ($)$ / sharesshares | Dec. 31, 2019USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of incentive plans | Plan | 1 | ||
Unrecognized compensation expense | $ 1,800,000 | ||
Weighted average period cost expected to be recognized | 1 year 7 months 6 days | ||
Stock options, expiration term from date of grant | 10 years | ||
Share-based compensation expense | $ 2,436,000 | $ 2,544,000 | $ 3,125,000 |
Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of continuous service | 3 years | ||
Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of continuous service | 5 years | ||
2013 Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares of common stock to be granted under equity incentive awards | shares | 1,500,000 | ||
Shares available for issuance under the Plan | shares | 1,420,485 | ||
2013 and 2021 Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation expense | $ 0 | ||
Options granted in period (shares) | shares | 0 | ||
Stock options, expiration term from date of grant | 10 years | ||
2013 and 2021 Plan | Restricted stock awards | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Unrecognized compensation expense | $ 1,800,000 | ||
Weighted average period cost expected to be recognized | 1 year 7 months 6 days | ||
Total fair value of vested shares | $ 2,700,000 | $ 1,400,000 | $ 2,100,000 |
Number of shares granted | shares | 75,679 | 125,896 | 181,204 |
Grant date fair value, vested | $ / shares | $ 16.01 | $ 24.68 | $ 27.56 |
2013 and 2021 Plan | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of continuous service | 3 years | ||
2013 and 2021 Plan | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Period of continuous service | 5 years | ||
2013 Equity Compensation Plan | Performance Stock Units | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Stock options, expiration term from date of grant | 3 years | ||
Total fair value of vested shares | $ 1,000,000 | ||
Number of shares granted | shares | 42,626 | ||
Total fair value of granted shares | $ 392,000 | ||
Share-based compensation arrangement by share-based payment award, vesting rights | Each PSU that vests entitles the recipient to receive one share of the Company’s common stock on a specified issuance date | ||
Grant date fair value, vested | $ / shares | $ 18.40 | ||
Number of regional banks | Bank | 47 | ||
Share-based compensation expense | $ 77,000 |
Share-based Compensation - Shar
Share-based Compensation - Share-Based Compensation Expense and Related Tax Benefits (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |||
Share-based compensation expense | $ 2,436 | $ 2,544 | $ 3,125 |
Related tax benefits | $ 703 | $ 734 | $ 941 |
Share-based Compensation - Summ
Share-based Compensation - Summary of Information under Plans (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Proceeds from exercise of stock options | $ 2,979 |
2013 and 2021 Plan | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Total intrinsic value of options exercised | 842 |
Proceeds from exercise of stock options | $ 2,979 |
Share-based Compensation - Su_2
Share-based Compensation - Summary of Stock Option Transactions under Plans (Detail) - 2013 and 2021 Plan - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |||
Number of Shares, options outstanding at beginning of period (shares) | 125,938 | 156,438 | 338,338 |
Number of Shares, Options exercised (shares) | (181,900) | ||
Number of Shares, Options forfeited (shares) | (10,000) | (30,500) | |
Number of Shares, Options outstanding at end of period (shares) | 115,938 | 125,938 | 156,438 |
Number of Shares, Options exercisable at end of period (shares) | 115,938 | 125,938 | 156,438 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Abstract] | |||
Weighted-Average Exercise Price Per Share, Options outstanding at beginning of period (in USD per share) | $ 19.59 | $ 18.84 | $ 17.52 |
Weighted-Average Exercise Price Per Share, Options exercised (in USD per share) | 16.38 | ||
Weighted-Average Exercise Price Per Share, Options forfeited (in USD per share) | 19.74 | 15.73 | |
Weighted-Average Exercise Price Per Share, Options outstanding at end of period (in USD per share) | 19.58 | 19.59 | 18.84 |
Weighted-Average Exercise Price Per Share, Options exercisable at end of period (in USD per share) | $ 19.58 | $ 19.59 | $ 18.84 |
Share-based Compensation - Su_3
Share-based Compensation - Summary of Stock Options Outstanding under Plans (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
2013 and 2021 Plan | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Options Outstanding, Number of Shares (shares) | 115,938 | 125,938 | 156,438 | 338,338 |
Options Outstanding, Intrinsic Value | $ 479 | |||
Options Outstanding, Weighted-Average Exercise Price Per Share (in USD per share) | $ 19.58 | $ 19.59 | $ 18.84 | $ 17.52 |
Options Outstanding, Weighted-Average Remaining Contractual Life | 2 years 3 months 18 days | |||
Options Exercisable, Number of Shares (shares) | 115,938 | 125,938 | 156,438 | |
Options Exercisable, Intrinsic Value | $ 479 | |||
Options Exercisable, Weighted-Average Exercise Price Per Share (in USD per share) | $ 19.58 | $ 19.59 | $ 18.84 | |
Options Exercisable, Weighted-Average Remaining Contractual Life | 2 years 3 months 18 days | |||
Intrinsic value of stock options outstanding (in USD per share) | $ 23.68 | |||
$10.80 to $14.99 | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Exercise Price Range, Lower Limit (in USD per share) | 10.80 | |||
Exercise Price Range, Upper Limit (in USD per share) | $ 14.99 | |||
$10.80 to $14.99 | 2013 and 2021 Plan | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Options Outstanding, Number of Shares (shares) | 4,938 | |||
Options Outstanding, Intrinsic Value | $ 55 | |||
Options Outstanding, Weighted-Average Exercise Price Per Share (in USD per share) | $ 12.54 | |||
Options Outstanding, Weighted-Average Remaining Contractual Life | 11 months 12 days | |||
Options Exercisable, Number of Shares (shares) | 4,938 | |||
Options Exercisable, Intrinsic Value | $ 55 | |||
Options Exercisable, Weighted-Average Exercise Price Per Share (in USD per share) | $ 12.54 | |||
Options Exercisable, Weighted-Average Remaining Contractual Life | 11 months 12 days | |||
$15.00 to $19.99 | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Exercise Price Range, Lower Limit (in USD per share) | $ 15 | |||
Exercise Price Range, Upper Limit (in USD per share) | $ 19.99 | |||
$15.00 to $19.99 | 2013 and 2021 Plan | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Options Outstanding, Number of Shares (shares) | 50,000 | |||
Options Outstanding, Intrinsic Value | $ 363 | |||
Options Outstanding, Weighted-Average Exercise Price Per Share (in USD per share) | $ 16.43 | |||
Options Outstanding, Weighted-Average Remaining Contractual Life | 1 year 7 months 28 days | |||
Options Exercisable, Number of Shares (shares) | 50,000 | |||
Options Exercisable, Intrinsic Value | $ 363 | |||
Options Exercisable, Weighted-Average Exercise Price Per Share (in USD per share) | $ 16.43 | |||
Options Exercisable, Weighted-Average Remaining Contractual Life | 1 year 7 months 28 days | |||
$20.00 to $24.83 | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Exercise Price Range, Lower Limit (in USD per share) | $ 20 | |||
Exercise Price Range, Upper Limit (in USD per share) | $ 24.83 | |||
$20.00 to $24.83 | 2013 and 2021 Plan | ||||
Share-based Compensation, Shares Authorized under Stock Option Plans, Exercise Price Range [Line Items] | ||||
Options Outstanding, Number of Shares (shares) | 61,000 | |||
Options Outstanding, Intrinsic Value | $ 61 | |||
Options Outstanding, Weighted-Average Exercise Price Per Share (in USD per share) | $ 22.73 | |||
Options Outstanding, Weighted-Average Remaining Contractual Life | 2 years 10 months 2 days | |||
Options Exercisable, Number of Shares (shares) | 61,000 | |||
Options Exercisable, Intrinsic Value | $ 61 | |||
Options Exercisable, Weighted-Average Exercise Price Per Share (in USD per share) | $ 22.73 | |||
Options Exercisable, Weighted-Average Remaining Contractual Life | 2 years 10 months 2 days |
Share-based Compensation - Sche
Share-based Compensation - Schedule of Restricted Stock Awards under 2013 Plan (Detail) - 2013 and 2021 Plan - Restricted stock awards - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Number of Shares, Restricted stock at beginning of period | 243,708 | 296,201 | 304,595 |
Number of Shares, Restricted stock granted | 75,679 | 125,896 | 181,204 |
Number of Shares, Restricted stock vested | (134,659) | (137,892) | (99,527) |
Number of Shares, Restricted stock forfeited | (32,641) | (40,497) | (90,071) |
Number of Shares, Restricted stock at end of period | 152,087 | 243,708 | 296,201 |
Weighted-Average Grant Date Fair Value Per Share, Restricted stock at beginning of period (in USD per share) | $ 15.60 | $ 22.91 | $ 21.98 |
Weighted-Average Grant Date Fair Value Per Share, Restricted stock granted (in USD per share) | 19.62 | 8.51 | 22.05 |
Weighted-Average Grant Date Fair Value Per Share, Restricted stock vested (in USD per share) | 16.01 | 24.68 | 27.56 |
Weighted-Average Grant Date Fair Value Per Share, Restricted stock forfeited (in USD per share) | 15.02 | 16.55 | 13.78 |
Weighted-Average Grant Date Fair Value Per Share, Restricted stock at end of period (in USD per share) | $ 17.24 | $ 15.60 | $ 22.91 |
Earnings per Share - Reconcilia
Earnings per Share - Reconciliation of Components Used to Derive Basic and Diluted EPS (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |||
Net income | $ 98,677 | $ 42,196 | $ 32,788 |
Less: income allocated to unvested restricted shares | 671 | 532 | 230 |
Net Income (Loss) Available to Common Stockholders, Basic | 98,006 | 41,664 | 32,558 |
Income allocated to common shares | $ 98,006 | $ 41,664 | $ 32,558 |
Weighted-average shares for basic EPS (shares) | 30,393,559 | 30,280,415 | 30,725,376 |
Effect of dilutive securities - options and unvested restricted stock (shares) | 78,188 | 35,046 | |
Weighted-average shares for diluted EPS | 30,471,747 | 30,280,415 | 30,760,422 |
Net income per share, basic (in USD per share) | $ 3.25 | $ 1.39 | $ 1.07 |
Effect of dilutive securities (in USD per share) | 0.02 | 0.02 | 0.01 |
Basic earnings per share (in USD per share) | 3.22 | 1.38 | 1.06 |
Net income per share, diluted (in USD per share) | 3.24 | 1.39 | 1.07 |
Diluted earnings per share (in USD per share) | $ 3.22 | $ 1.38 | $ 1.06 |
Earnings per Share - Additional
Earnings per Share - Additional Information (Detail) - shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Stock option awards | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Antidilutive securities excluded from computation of diluted EPS (shares) | 0 | 0 | 0 |
Employee Benefits - Additional
Employee Benefits - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Defined Contribution Plan Disclosure [Line Items] | |||
Accrued expense liability for personal paid time off | $ 3.6 | $ 3.1 | |
Bank-Owned Life Insurance | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Cash surrender value | $ 54.9 | 53.9 | |
Section 401(k) Plan | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Percent of participant contributions (percent) | 75.00% | ||
Percent of employer contribution (up to, percent) | 8.00% | ||
Contributions | $ 2.6 | $ 2.4 | $ 2.4 |
Off-Balance Sheet Commitments -
Off-Balance Sheet Commitments - Distribution of Undisbursed Loan Commitments (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Loss Contingencies [Line Items] | ||
Total undisbursed loan commitments | $ 715,022 | $ 555,616 |
Commitments to extend credit | ||
Loss Contingencies [Line Items] | ||
Total undisbursed loan commitments | 626,474 | 453,900 |
Standby letters of credit | ||
Loss Contingencies [Line Items] | ||
Total undisbursed loan commitments | 49,287 | 47,169 |
Commercial letters of credit | ||
Loss Contingencies [Line Items] | ||
Total undisbursed loan commitments | $ 39,261 | $ 54,547 |
Off-Balance Sheet Commitments_2
Off-Balance Sheet Commitments - Allowance for Credit Losses Related to Off-Balance Sheet Items (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Loss Contingencies [Line Items] | |||
Balance at beginning of period | $ 2,792 | $ 2,397 | $ 1,439 |
Adjusted balance | 2,792 | 2,062 | 1,439 |
Provision (recovery) for credit losses | (206) | 730 | 958 |
Balance at end of period | $ 2,586 | 2,792 | $ 2,397 |
ASU 2016-13 | |||
Loss Contingencies [Line Items] | |||
Adjustment related to adoption of ASU 2016-13 | $ (335) |
Derivative Financial Instrume_3
Derivative Financial Instruments - Schedule of Fair Value of Derivative Financial Instruments as well as their Classification on Balance Sheet (Detail) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Derivatives Fair Value [Line Items] | ||
Total derivative assets | $ 1,379,000 | $ 1,088,000 |
Total derivative liabilities | 1,360,000 | 1,149,000 |
Not Designated as Hedging Instrument | Interest Rate Products | ||
Derivatives Fair Value [Line Items] | ||
Notional Amount | 61,968,000 | 66,904,000 |
Total derivative assets | 1,379,000 | 1,088,000 |
Total derivative liabilities | $ 1,360,000 | $ 1,149,000 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Effect of Derivative Financial Instruments that are Not Designated as Hedging Instruments on Income Statement (Detail) - Not Designated as Hedging Instrument - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Derivative Instruments Gain Loss [Line Items] | ||
Amount of Gain or (Loss) Recognized in Income on Derivative | $ 80 | $ (61) |
Interest Rate Products | Other Income | ||
Derivative Instruments Gain Loss [Line Items] | ||
Amount of Gain or (Loss) Recognized in Income on Derivative | $ 80 | $ (61) |
Derivative Financial Instrume_5
Derivative Financial Instruments - Additional Information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Derivative [Line Items] | ||
Fair value of derivatives in net asset position | $ 1,400,000 | |
Fair value of derivatives in net liability position | $ 1,100,000 | |
Amount of collateral posted | 0 | 1,200,000 |
Net asset (liability) position | 19,000 | (61,000) |
Derivative fair value of liabilities | 1,400,000 | 1,100,000 |
Derivative fair value of assets | 1,400,000 | 1,100,000 |
Termination value | 1,400,000 | 1,100,000 |
Other Income | ||
Derivative [Line Items] | ||
Fee income | $ 0 | $ 1,100,000 |
Derivative Financial Instrume_6
Derivative Financial Instruments - Summary of Gross Presentation, Effects of Offsetting and a Net Presentation of Derivatives (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Derivatives Fair Value [Line Items] | ||
Gross Amounts of Recognized Assets, Offsetting of Derivative Assets | $ 1,379 | $ 1,088 |
Net Amounts of Assets presented in the Statement of Financial Position, Offsetting of Derivative Assets | 1,379 | 1,088 |
Gross Amounts Not Offset in the Statement of Financial Position, Derivative Assets, Net Amount | 1,088 | |
Gross Amounts of Recognized Liabilities, Offsetting of Derivative Liabilities | 1,360 | 1,149 |
Net Amounts of Liabilities presented in the Statement of Financial Position, Offsetting of Derivative Liabilities | 1,360 | 1,149 |
Gross Amounts Not Offset in the Statement of Financial Position, Derivative Liabilities, Net Amount | (1) | |
Gross Amounts Not Offset in the Statement of Financial Position, Derivative Liabilities, Cash Collateral Provided | 1,150 | |
Derivative Assets, Financial Instruments | ||
Derivatives Fair Value [Line Items] | ||
Gross Amounts Not Offset in the Statement of Financial Position, Derivative Assets, Net Amount | 1,360 | $ 1,088 |
Derivative Assets, Cash Collateral Received | ||
Derivatives Fair Value [Line Items] | ||
Gross Amounts Not Offset in the Statement of Financial Position, Derivative Assets, Net Amount | 19 | |
Derivative Liabilities, Financial Instruments | ||
Derivatives Fair Value [Line Items] | ||
Gross Amounts Not Offset in the Statement of Financial Position, Derivative Liabilities, Net Amount | $ 1,360 |
Qualified Affordable Housing _2
Qualified Affordable Housing Project Investments - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Investments in Affordable Housing Projects [Line Items] | ||
Qualified affordable housing project investments | $ 8,000,000 | $ 7,800,000 |
Unfunded commitments related to investments | $ 56,000 | 84,000 |
Investment commitments expected to be paid | 2023 | |
Income Tax Expense | ||
Investments in Affordable Housing Projects [Line Items] | ||
Qualified affordable housing project investments, amortization expense recognized | $ 1,900,000 | $ 1,800,000 |
Liquidity - Additional Informat
Liquidity - Additional Information (Detail) - USD ($) | Dec. 31, 2021 | Dec. 31, 2020 |
Line of Credit Facility [Line Items] | ||
Borrowings | $ 0 | |
Line of credit | 115,000,000 | |
Hanmi Bank | ||
Line of Credit Facility [Line Items] | ||
Cash on deposit with bank subsidiary | 94,900,000 | $ 17,300,000 |
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Amount of Advances | 137,500,000 | 150,000,000 |
Broker deposits | $ 141,800,000 | 193,700,000 |
Percentage of borrowings from FHLB (up to) | 30.00% | |
Total borrowing capacity based on pledged collateral | $ 1,840,000,000 | 1,730,000,000 |
Borrowing capacity available based on pledged collateral | 1,610,000,000 | $ 1,440,000,000 |
Amount available from borrowing source | 32,800,000 | |
Carrying value for loans pledged by Bank | 34,700,000 | |
Borrowings | 0 | |
Maximum borrowing capacity of line of credit | $ 100,000,000 |
Condensed Financial Informati_3
Condensed Financial Information of Parent Company - Balance Sheets of Parent Company (Detail) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Assets | ||||
Total assets | $ 6,858,587 | $ 6,201,888 | ||
Liabilities: | ||||
Subordinated debentures | 215,006 | 118,972 | ||
Total liabilities | 6,215,170 | 5,624,844 | ||
Stockholders' equity | 643,417 | 577,044 | $ 563,267 | $ 552,568 |
Total liabilities and stockholders' equity | 6,858,587 | 6,201,888 | ||
Hanmi Financial | ||||
Assets | ||||
Cash | 94,877 | 17,266 | ||
Investments in consolidated subsidiaries | 755,176 | 679,455 | ||
Other assets | 11,554 | 995 | ||
Total assets | 861,607 | 697,716 | ||
Liabilities: | ||||
Subordinated debentures | 215,006 | 118,972 | ||
Other liabilities | 3,184 | 1,701 | ||
Total liabilities | 218,190 | 120,673 | ||
Stockholders' equity | 643,417 | 577,043 | ||
Total liabilities and stockholders' equity | $ 861,607 | $ 697,716 |
Condensed Financial Informati_4
Condensed Financial Information of Parent Company - Statement of Income of Parent Company (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Condensed Income Statements, Captions [Line Items] | |||
Interest expense | $ (21,625) | $ (42,968) | $ (70,900) |
Other expense | (9,575) | (10,022) | (16,394) |
Income tax benefit | (36,817) | (17,299) | (14,560) |
Net income | 98,677 | 42,196 | 32,788 |
Hanmi Financial | |||
Condensed Income Statements, Captions [Line Items] | |||
Dividends from bank subsidiaries | 20,639 | 16,986 | 44,500 |
Interest expense | (8,273) | (6,607) | (7,032) |
Other expense | (4,891) | (4,892) | (5,333) |
Income before taxes and undistributed income of subsidiary | 7,475 | 5,487 | 32,135 |
Income tax benefit | 3,962 | 3,247 | 3,823 |
Income before undistributed income of subsidiary | 11,437 | 8,734 | 35,958 |
Equity in undistributed income of subsidiary | 87,239 | 33,463 | (3,170) |
Net income | $ 98,676 | $ 42,197 | $ 32,788 |
Condensed Financial Informati_5
Condensed Financial Information of Parent Company - Statement of Cash Flows of Parent Company (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash Flows from Operating Activities: | |||
Net income | $ 98,677 | $ 42,196 | $ 32,788 |
Adjustments to reconcile net income to net cash used in operating activities | |||
Share-based compensation expense | 2,436 | 2,544 | 3,125 |
Net cash provided by (used in) operating activities | 93,729 | 60,203 | 58,796 |
Cash flows from financing activities: | |||
Proceeds from exercise of stock options | 2,979 | ||
Issuance of subordinated debentures | 107,929 | ||
Purchase of subordinated debentures | (13,043) | ||
Cash paid for repurchase of vested shares due to employee tax liability | (572) | (335) | (517) |
Repurchase of common stock | (6,135) | (2,196) | (7,362) |
Cash dividends paid | (16,514) | (15,960) | (29,776) |
Net cash provided by (used in) financing activities | 570,426 | 617,555 | (47,949) |
Net increase (decrease) in cash and due from banks | 217,116 | 270,171 | (33,698) |
Cash and due from banks at beginning of year | 391,849 | 121,678 | 155,376 |
Cash and due from banks at end of period | 608,965 | 391,849 | 121,678 |
Hanmi Financial | |||
Cash Flows from Operating Activities: | |||
Net income | 98,676 | 42,197 | 32,788 |
Adjustments to reconcile net income to net cash used in operating activities | |||
Undistributed income of subsidiary | (87,239) | (33,463) | 3,170 |
Amortization of subordinated debentures | 1,148 | 595 | 569 |
Share-based compensation expense | 2,437 | 2,544 | 3,125 |
Change in other assets and liabilities | (9,076) | 6,779 | 4,679 |
Net cash provided by (used in) operating activities | 5,946 | 18,651 | 44,331 |
Cash flows from financing activities: | |||
Proceeds from exercise of stock options | 0 | 0 | 2,979 |
Issuance of subordinated debentures | 107,929 | 0 | 0 |
Purchase of subordinated debentures | (13,043) | 0 | 0 |
Cash paid for repurchase of vested shares due to employee tax liability | (572) | (335) | (517) |
Repurchase of common stock | (6,135) | (2,196) | (7,362) |
Cash dividends paid | (16,514) | (15,959) | (29,776) |
Net cash provided by (used in) financing activities | 71,665 | (18,489) | (34,676) |
Net increase (decrease) in cash and due from banks | 77,611 | 162 | 9,655 |
Cash and due from banks at beginning of year | 17,266 | 17,105 | 7,450 |
Cash and due from banks at end of period | $ 94,877 | $ 17,266 | $ 17,105 |