Document And Entity Information
Document And Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 19, 2020 | Jun. 30, 2019 | |
Cover page. | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 000-50245 | ||
Entity Registrant Name | HOPE BANCORP, INC | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 95-4849715 | ||
Entity Address, Address Line One | 3200 Wilshire Boulevard, Suite 1400 | ||
Entity Address, City or Town | Los Angeles | ||
Entity Address, State or Province | CA | ||
Entity Address, Postal Zip Code | 90010 | ||
City Area Code | 213 | ||
Local Phone Number | 639-1700 | ||
Title of 12(b) Security | Common Stock | ||
Trading Symbol | HOPE | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 1,658,837,020 | ||
Entity Common Stock, Shares Outstanding | 124,291,208 | ||
Documents Incorporated by Reference | The information required in Part III, Items 10 through 14 is incorporated herein by reference to the registrant’s definitive proxy statement for the 2020 annual meeting of stockholders which will be filed with the Securities and Exchange Commission within 120 days of the registrant’s fiscal year end. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0001128361 | ||
Current Fiscal Year End Date | --12-31 |
Consolidated Statements Of Fina
Consolidated Statements Of Financial Condition - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Cash and cash equivalents: | ||
Cash and due from banks | $ 283,130 | $ 219,366 |
Interest-bearing cash in other banks | 415,437 | 240,240 |
Total cash and cash equivalents | 698,567 | 459,606 |
Interest-bearing deposits in other financial institutions | 29,162 | 29,409 |
Securities available for sale, at fair value | 1,715,987 | 1,846,265 |
Equity investments | 49,090 | 49,835 |
Loans held for sale, at the lower of cost or fair value | 54,271 | 25,128 |
Loans receivable, net of allowance for loan losses of $94,144 and $92,557 at December 31, 2019 and December 31, 2018, respectively | 12,181,863 | 12,005,558 |
Other real estate owned (“OREO”), net | 24,091 | 7,754 |
Federal Home Loan Bank (“FHLB”) stock, at cost | 19,407 | 25,461 |
Premises and equipment, net | 52,012 | 53,794 |
Accrued interest receivable | 30,772 | 32,225 |
Deferred tax assets, net | 31,663 | 50,913 |
Customers’ liabilities on acceptances | 1,117 | 2,281 |
Bank owned life insurance (“BOLI”) | 76,339 | 75,219 |
Investments in affordable housing partnerships | 82,600 | 92,040 |
Operating lease right-of-use assets, net | 58,593 | |
Goodwill | 464,450 | 464,450 |
Core deposit intangible assets, net | 11,833 | 14,061 |
Servicing assets, net | 16,417 | 23,132 |
Other assets | 69,206 | 48,821 |
Total assets | 15,667,440 | 15,305,952 |
LIABILITIES: | ||
Noninterest bearing | 3,108,687 | 3,022,633 |
Interest bearing: | ||
Money market and NOW accounts | 3,985,556 | 3,036,653 |
Savings deposits | 274,151 | 225,746 |
Time deposits | 5,158,970 | 5,870,624 |
Total deposits | 12,527,364 | 12,155,656 |
FHLB advances | 625,000 | 821,280 |
Convertible notes, net | 199,458 | 194,543 |
Subordinated debentures, net | 103,035 | 101,929 |
Accrued interest payable | 33,810 | 31,374 |
Acceptances outstanding | 1,117 | 2,281 |
Operating lease liabilities | 60,506 | |
Commitments to fund investments in affordable housing partnerships | 28,481 | 46,507 |
Other liabilities | 52,658 | 49,171 |
Total liabilities | 13,631,429 | 13,402,741 |
STOCKHOLDERS’ EQUITY: | ||
Common stock, $0.001 par value; authorized 150,000,000 shares at December 31, 2019 and December 31, 2018; issued and outstanding 135,702,090 and 125,756,543 shares, respectively at December 31, 2019, and issued and outstanding 135,642,365 and 126,639,912 shares at December 31, 2018 | 136 | 136 |
Additional paid-in capital | 1,428,066 | 1,423,405 |
Retained earnings | 762,480 | 662,375 |
Treasury stock, at cost; 9,945,547 and 9,002,453 shares at December 31, 2019 and December 31, 2018, respectively | (163,820) | (150,000) |
Accumulated other comprehensive income (loss), net | 9,149 | (32,705) |
Total stockholders’ equity | 2,036,011 | 1,903,211 |
Total liabilities and stockholders’ equity | $ 15,667,440 | $ 15,305,952 |
Consolidated Statements Of Fi_2
Consolidated Statements Of Financial Condition (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Loans receivable, allowance | $ 94,144 | $ 92,557 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized | 150,000,000 | 150,000,000 |
Common stock, shares issued | 135,702,090 | 135,642,365 |
Common stock, shares outstanding | 125,756,543 | 126,639,912 |
Treasury stock, at cost, shares repurchased | 9,945,547 | 9,002,453 |
Consolidated Statements Of Inco
Consolidated Statements Of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
INTEREST INCOME: | |||
Interest and fees on loans | $ 627,673 | $ 594,103 | $ 529,760 |
Interest on securities | 46,295 | 45,342 | 36,917 |
Interest on other investments | 10,818 | 10,727 | 5,427 |
Total interest income | 684,786 | 650,172 | 572,104 |
INTEREST EXPENSE: | |||
Interest on deposits | 190,158 | 134,958 | 74,902 |
Interest on FHLB advances | 12,031 | 15,127 | 10,706 |
Interest on other borrowings and convertible notes | 16,002 | 12,160 | 5,116 |
Total interest expense | 218,191 | 162,245 | 90,724 |
NET INTEREST INCOME BEFORE PROVISION FOR LOAN LOSSES | 466,595 | 487,927 | 481,380 |
PROVISION FOR LOAN LOSSES | 7,300 | 14,900 | 17,360 |
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES | 459,295 | 473,027 | 464,020 |
NONINTEREST INCOME: | |||
Service fees on deposit accounts | 17,933 | 18,551 | 20,619 |
International service fees | 3,926 | 4,371 | 4,494 |
Loan servicing fees, net | 2,316 | 4,696 | 5,433 |
Wire transfer fees | 4,558 | 4,934 | 5,057 |
Net gains on sales of SBA loans | 0 | 9,708 | 12,774 |
Net gains on sales of other loans | 4,487 | 2,485 | 2,927 |
Net gains on sales or called securities available for sale | 282 | 0 | 301 |
Other income and fees | 16,181 | 15,435 | 14,810 |
Total noninterest income | 49,683 | 60,180 | 66,415 |
NONINTEREST EXPENSE: | |||
Salaries and employee benefits | 161,174 | 153,523 | 144,669 |
Occupancy | 30,735 | 30,371 | 28,587 |
Furniture and equipment | 15,583 | 14,902 | 14,643 |
Advertising and marketing | 9,146 | 9,414 | 10,281 |
Data processing and communication | 10,780 | 14,232 | 12,179 |
Professional fees | 22,528 | 16,286 | 14,954 |
FDIC assessments | 3,882 | 6,572 | 5,173 |
Investments in affordable housing partnerships expenses | 9,292 | 12,066 | 13,862 |
Credit related expenses | 4,975 | 2,863 | 582 |
OREO (income) expense, net | (934) | 187 | 3,100 |
Branch restructuring costs | 0 | 1,674 | 0 |
Merger and integration expense | 0 | (7) | 1,781 |
Other | 15,467 | 15,643 | 16,790 |
Total noninterest expense | 282,628 | 277,726 | 266,601 |
INCOME BEFORE INCOME TAX PROVISION | 226,350 | 255,481 | 263,834 |
INCOME TAX PROVISION | 55,310 | 65,892 | 124,389 |
NET INCOME | $ 171,040 | $ 189,589 | $ 139,445 |
EARNINGS PER COMMON SHARE: | |||
Basic (in dollars per share) | $ 1.35 | $ 1.44 | $ 1.03 |
Diluted (in dollars per share) | $ 1.35 | $ 1.44 | $ 1.03 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 171,040,000 | $ 189,589,000 | $ 139,445,000 |
Other comprehensive income (loss): | |||
Change in unrealized net holding gains (losses) on securities | 59,851,000 | (16,201,000) | (5,796,000) |
Reclassification adjustments for gains realized in income | (282,000) | 0 | (301,000) |
Tax effect | (17,715,000) | 4,996,000 | 2,570,000 |
Other comprehensive income (loss), net of tax | 41,854,000 | (11,205,000) | (3,527,000) |
Total comprehensive income | $ 212,894,000 | $ 178,384,000 | $ 135,918,000 |
Consolidated Statements Of Chan
Consolidated Statements Of Changes In Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Additional paid-in capital | Retained Earnings | Treasury stock | Accumulated Other Comprehensive Income (loss), net |
Balance at beginning of period at Dec. 31, 2016 | $ 1,855,473 | $ 135 | $ 1,400,490 | $ 469,505 | $ 0 | $ (14,657) |
Balance, shares at Dec. 31, 2016 | 135,240,079 | |||||
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of additional shares pursuant to various stock plans, shares | 271,812 | |||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations | 1,865 | $ 1 | 1,864 | |||
Stock-based compensation | 2,660 | 2,660 | ||||
Cash dividends declared on common stock | (67,661) | (67,661) | ||||
Reclassification of stranded tax effects to retained earnings - ASU 2018-02 | 0 | 3,597 | (3,597) | |||
Comprehensive income: | ||||||
Net income | 139,445 | 139,445 | ||||
Other comprehensive income (loss), net of tax | (3,527) | (3,527) | ||||
Balance, shares at Dec. 31, 2017 | 135,511,891 | |||||
Balance at end of period at Dec. 31, 2017 | 1,928,255 | $ 136 | 1,405,014 | 544,886 | 0 | (21,781) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of additional shares pursuant to various stock plans, shares | 130,474 | |||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations | 469 | 469 | ||||
Stock-based compensation | 2,877 | 2,877 | ||||
Cash dividends declared on common stock | (71,631) | (71,631) | ||||
Comprehensive income: | ||||||
Net income | 189,589 | 189,589 | ||||
Other comprehensive income (loss), net of tax | $ (11,205) | (11,205) | ||||
Repurchase of treasury stock, shares | (9,002,453) | (9,002,453) | ||||
Repurchase of treasury stock | $ (150,000) | (150,000) | ||||
Equity component of convertible notes, net of taxes | $ 15,045 | 15,045 | ||||
Balance, shares at Dec. 31, 2018 | 126,639,912 | 126,639,912 | ||||
Balance at end of period at Dec. 31, 2018 | $ 1,903,211 | $ 136 | 1,423,405 | 662,375 | (150,000) | (32,705) |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of additional shares pursuant to various stock plans, shares | 59,725 | |||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations | 12 | 12 | ||||
Stock-based compensation | 4,649 | 4,649 | ||||
Cash dividends declared on common stock | (70,935) | (70,935) | ||||
Comprehensive income: | ||||||
Net income | 171,040 | 171,040 | ||||
Other comprehensive income (loss), net of tax | $ 41,854 | 41,854 | ||||
Repurchase of treasury stock, shares | (943,094) | (943,094) | ||||
Repurchase of treasury stock | $ (13,820) | (13,820) | ||||
Balance, shares at Dec. 31, 2019 | 125,756,543 | 125,756,543 | ||||
Balance at end of period at Dec. 31, 2019 | $ 2,036,011 | $ 136 | $ 1,428,066 | 762,480 | $ (163,820) | $ 9,149 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Reclassification of unrealized losses on equity investments to retained earnings - ASU 2016-01 | $ (469) |
Consolidated Statements Of Ch_2
Consolidated Statements Of Changes In Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Stockholders' Equity [Abstract] | |||
Cash dividends declared on common stock (in dollars per share) | $ 0.56 | $ 0.54 | $ 0.50 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
CASH FLOWS FROM OPERATING ACTIVITIES | |||
Net income | $ 171,040 | $ 189,589 | $ 139,445 |
Adjustments to reconcile net income to net cash from operating activities: | |||
Discount accretion, net amortization and depreciation | 2,751 | (2,128) | (14,903) |
Stock-based compensation expense | 5,282 | 3,659 | 3,161 |
Provision for loan losses | 7,300 | 14,900 | 17,360 |
Credit for unfunded loan commitments | (100) | (100) | (2,358) |
Valuation adjustment of premises held for sale | 0 | 0 | 1,084 |
Valuation adjustment of OREO | (1,231) | ||
Valuation adjustment of OREO | 415 | 2,041 | |
Impairment of investments in affordable housing partnership | 0 | 0 | 4,846 |
Net gains on sales of SBA and other loans | (4,487) | (12,193) | (15,701) |
Earnings on BOLI | (1,120) | (304) | (1,219) |
Net change in fair value of derivatives | (71) | 21 | 78 |
Net losses (gains) on sale and disposal of premises and equipment | 75 | 50 | (868) |
Net losses (gains) on sales of OREO | 14 | (408) | (79) |
Net gains on sales or called securities available for sale | (282) | 0 | (301) |
Net change in fair value of equity investments with readily determinable fair value | (1,288) | (1,449) | 0 |
Losses on investments in affordable housing partnership | 9,137 | 11,728 | 10,266 |
Net change in deferred income taxes | 1,535 | 2,742 | 34,740 |
Proceeds from sales of loans held for sale | 116,590 | 266,115 | 310,345 |
Originations of loans held for sale | (103,819) | (255,545) | (276,537) |
Origination of servicing assets | (1,790) | (6,157) | (5,874) |
Change in accrued interest receivable | 1,453 | (2,246) | (3,099) |
Change in other assets | (23,157) | (6,138) | (1,987) |
Change in accrued interest payable | 2,436 | 15,413 | 5,098 |
Change in other liabilities | 3,587 | 1,983 | (1,999) |
Net cash provided by operating activities | 183,855 | 219,947 | 203,539 |
CASH FLOWS FROM INVESTING ACTIVITIES | |||
Purchase of interest bearing deposits in other financial institutions | (19,853) | (10,533) | (30,477) |
Redemption of interest bearing deposits in other financial institutions | 20,100 | 16,495 | 21,313 |
Purchase of securities available for sale | (229,283) | (393,584) | (572,528) |
Proceeds from matured, called, or paid-down securities available for sale | 296,154 | 221,595 | 264,730 |
Proceeds from sales of securities available for sale | 115,628 | 0 | 128,791 |
Proceeds from sale of equity investments | 2,570 | 0 | 0 |
Purchase of equity investments | 0 | (1,434) | 0 |
Proceeds from sales of other loans | 123,322 | 21,716 | 417 |
Purchase of loans receivable | (126,345) | 0 | 0 |
Net change in loans receivable | (205,624) | (983,720) | (564,536) |
Proceeds from sales of OREO | 3,197 | 6,667 | 14,802 |
Purchase of FHLB stock | (2,417) | 0 | (8,573) |
Redemption of FHLB stock | 8,471 | 4,315 | 761 |
Purchase of premises and equipment | (6,619) | (6,846) | (14,777) |
Proceeds from sales and disposals of premises and equipment | 0 | 45 | 5,084 |
Proceeds from BOLI death benefits | 1,834 | 0 | 382 |
Investments in affordable housing partnerships | (17,958) | (22,181) | (12,342) |
Net cash used in investing activities | (36,823) | (1,147,465) | (766,953) |
CASH FLOWS FROM FINANCING ACTIVITIES | |||
Net change in deposits | 371,708 | 1,309,048 | 209,477 |
Proceeds from FHLB advances | 1,155,000 | 130,000 | 1,420,000 |
Repayment of FHLB advances | (1,350,000) | (465,000) | (1,015,000) |
Proceeds from federal funds purchased | 0 | 0 | 69,900 |
Repayment of federal funds purchased | 0 | (69,900) | 0 |
Proceeds from convertible notes, net of issuance fees | 0 | 212,920 | 0 |
Purchase of treasury stock | (13,223) | (150,000) | 0 |
Cash dividends paid on common stock | (70,935) | (71,631) | (67,661) |
Issuance of additional stock pursuant to various stock plans | 12 | 469 | 1,865 |
Taxes paid in net settlement of restricted stock | (633) | (782) | (501) |
Net cash provided by financing activities | 91,929 | 895,124 | 618,080 |
NET CHANGE IN CASH AND CASH EQUIVALENTS | 238,961 | (32,394) | 54,666 |
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 459,606 | 492,000 | 437,334 |
CASH AND CASH EQUIVALENTS, END OF YEAR | 698,567 | 459,606 | 492,000 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION | |||
Interest paid | 211,014 | 144,128 | 91,081 |
Income taxes paid | 57,115 | 57,862 | 104,158 |
SUPPLEMENTAL DISCLOSURES OF NON-CASH ACTIVITIES | |||
Transfer of investments available for sale and other investments to equity investments | 0 | 46,952 | 0 |
Transfer from loans receivable to OREO | 19,381 | 3,340 | 7,173 |
Loans transferred to held for sale from loans receivable | 165,994 | 21,581 | 429 |
Loans transferred to loans receivable from held for sale | 5,181 | 10,073 | 4,100 |
Transfer from premises and equipment to premises held for sale | 0 | 0 | 3,300 |
Loans to facilitate sale of premises | 0 | 0 | 1,350 |
Loans to facilitate sale of OREO | 0 | 0 | 2,300 |
New commitments to fund affordable housing partnership investments | 0 | 30,097 | 26,400 |
Lease liabilities arising from obtaining right-of-use assets | 62,833 | 0 | 0 |
Equity component of convertible notes, net of tax | $ 0 | $ 15,045 | $ 0 |
Equity Investments
Equity Investments | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Equity Investments | EQUITY INVESTMENTS On January 1, 2018, the Company adopted ASU 2016-01, “ Recognition and Measurement of Financial Assets and Financial Liabilities”. As a result of the adoption, the Company reclassified $469 thousand in net unrealized losses included in other comprehensive income and deferred tax assets to retained earnings on January 1, 2018. Equity investments with readily determinable fair values at December 31, 2019 consisted of mutual funds in the amount of $22.1 million and is included in “Equity investments” on the consolidated statements of financial condition. In 2019, the Company sold its equity stock in other institutions for $2.6 million . There was no change in fair value recorded on the equity investments sold. At December 31, 2018, equity investments with readily determinable fair values consisted of mutual funds and equity stock in other institutions in the amount of $21.5 million and $1.9 million , respectively and is included in “Equity investments” on the consolidated statements of financial condition. The change in fair values for equity investments with readily determinable fair values for the years ended December 31, 2019 and 2018 were recorded as other noninterest income as summarized in the table below: Year ended December 31, 2019 2018 (Dollars in thousands) Net change in fair value recorded during the period on equity investments with readily determinable fair value $ 1,288 $ 1,449 Net change in fair value recorded on equity investments sold during the period — — Net change in fair value on equity investments with readily determinable fair values $ 1,288 $ 1,449 At December 31, 2019 and 2018 the Company also had equity investments without readily determinable fair value which are carried at cost less any determined impairment. The balance of these investments is adjusted for changes in subsequent observable prices. At December 31, 2019 , the total balance of equity investments without readily determinable fair values included in “Equity investments” on the consolidated statements of financial condition was $27.0 million , consisting of $370 thousand in correspondent bank stock, $1.0 million in CDFI investments, and $25.6 million in CRA investments. At December 31, 2018, the total balance of equity investments without readily determinable fair values included in “Equity investments” on the consolidated statements of financial condition was $26.4 million , consisting of $370 thousand in correspondent bank stock, $1.0 million in CDFI investments, and $25.1 million in CRA investments. The Company had no impairments or subsequent observable price changes for investments without readily determinable fair values for twelve months ended December 31, 2019 and 2018. |
Securities Available for Sale
Securities Available for Sale | 12 Months Ended |
Dec. 31, 2019 | |
Debt Securities, Available-for-sale [Abstract] | |
Securities Available for Sale | SECURITIES AVAILABLE FOR SALE The following is a summary of securities available for sale at December 31, 2019 and 2018 : December 31, 2019 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value (Dollars in thousands) Debt securities: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 735,094 $ 4,220 $ (2,659 ) $ 736,655 Mortgage-backed securities: Residential 353,073 1,422 (1,598 ) 352,897 Commercial 541,043 13,441 (2,360 ) 552,124 Corporate securities 5,000 — (800 ) 4,200 Municipal securities 69,631 831 (351 ) 70,111 Total investment securities available for sale $ 1,703,841 $ 19,914 $ (7,768 ) $ 1,715,987 December 31, 2018 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value (Dollars in thousands) Debt securities: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 914,710 $ 1,541 (21,129 ) $ 895,122 Mortgage-backed securities: Residential 415,659 47 (13,101 ) 402,605 Commercial 481,081 1,024 (12,979 ) 469,126 Corporate securities 5,000 — (1,174 ) 3,826 Municipal securities 77,168 398 (1,980 ) 75,586 Total investment securities available for sale $ 1,893,618 $ 3,010 $ (50,363 ) $ 1,846,265 As of December 31, 2019 and December 31, 2018 , 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% of stockholders’ equity. At December 31, 2019 , $9.1 million in unrealized gains on securities available for sale net of taxes were included in accumulated other comprehensive income. At December 31, 2018, $32.7 million in unrealized losses on securities available for sale net of taxes were included in accumulated other comprehensive loss. During the twelve months ended December 31, 2019 , the Company recognized net gains on sales and calls of securities available for sale in the amount of $282 thousand . There were no reclassifications out of accumulated other comprehensive loss into earnings during the twelve months ended December 31, 2018 . The proceeds from sales of securities and total gains and losses are listed below: Year ended December 31, 2019 2018 2017 (Dollars in thousands) Proceeds from investments sold $ 115,628 $ — $ 128,791 Gains from sales of securities 750 — 402 Losses from sales of securities (469 ) — (101 ) Gains from called securities 1 — — Net gain on sales or called securities $ 282 $ — $ 301 Tax provision recorded on the net gains on sales and calls of securities available for sale was approximately $69 thousand , $0 , and $142 thousand , for the years ended December 31, 2019 , 2018 , and 2017 , respectively. The amortized cost and estimated fair value of investment securities at December 31, 2019 , by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without penalties. Collateralized mortgage obligations and mortgage-backed securities are not due at a single maturity date are shown separately. December 31, 2019 Amortized Cost Estimated Fair Value (Dollars in thousands) Available for sale: Due within one year $ 80 $ 80 Due after one year through five years 349 351 Due after five years through ten years — — Due after ten years 74,202 73,880 U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations 735,094 736,655 Mortgage-backed securities: Residential 353,073 352,897 Commercial 541,043 552,124 Total $ 1,703,841 $ 1,715,987 Securities with fair values of approximately $340.9 million and $354.6 million at December 31, 2019 and December 31, 2018 , respectively, were pledged to secure public deposits, for various borrowings, and for other purposes as required or permitted by law. The following tables show the Company’s investments’ gross unrealized losses and estimated fair values, aggregated by investment category and the length of time that the individual securities have been in a continuous unrealized loss position as of the dates indicated. December 31, 2019 Less than 12 months 12 months or longer Total Description of Securities Number of Securities Fair Value Gross Unrealized Losses Number of Securities Fair Value Gross Unrealized Losses Number of Securities Fair Value Gross Unrealized Losses (Dollars in thousands) Collateralized mortgage obligations* 20 $ 108,236 $ (721 ) 32 $ 183,050 $ (1,938 ) 52 $ 291,286 $ (2,659 ) Mortgage-backed securities: Residential* 6 84,107 (267 ) 16 129,457 (1,331 ) 22 213,564 (1,598 ) Commercial* 7 68,452 (1,037 ) 5 73,697 (1,323 ) 12 142,149 (2,360 ) Corporate securities — — — 1 4,200 (800 ) 1 4,200 (800 ) Municipal securities 2 8,942 (39 ) 3 15,437 (312 ) 5 24,379 (351 ) Total 35 $ 269,737 $ (2,064 ) 57 $ 405,841 $ (5,704 ) 92 $ 675,578 $ (7,768 ) December 31, 2018 Less than 12 months 12 months or longer Total Description of Securities Number of Securities Fair Value Gross Unrealized Losses Number of Securities Fair Value Gross Unrealized Losses Number of Securities Fair Value Gross Unrealized Losses (Dollars in thousands) Collateralized mortgage obligations* 1 $ 8,041 $ (28 ) 93 $ 700,095 $ (21,101 ) 94 $ 708,136 $ (21,129 ) Mortgage-backed securities: Residential* 4 19,973 (37 ) 45 363,334 (13,064 ) 49 383,307 (13,101 ) Commercial* 3 38,494 (218 ) 27 312,428 (12,761 ) 30 350,922 (12,979 ) Corporate securities — — — 1 3,826 (1,174 ) 1 3,826 (1,174 ) Municipal securities 13 5,528 (83 ) 32 42,444 (1,897 ) 45 47,972 (1,980 ) Total 21 $ 72,036 $ (366 ) 198 $ 1,422,127 $ (49,997 ) 219 $ 1,494,163 $ (50,363 ) _________________________________ * Investments in U.S. Government agency and U.S. Government sponsored enterprises The Company evaluates securities for other-than-temporary-impairment (“OTTI”) on at least a quarterly basis, and more frequently when economic or market concerns warrant such evaluation. Consideration is given to the financial condition and near-term prospects of the issuer, the length of time and the extent to which the fair values of the securities have been less than the cost of the securities, the Company’s intention to sell, and/or whether it is more likely than not that the Company will be required to sell the security in an unrealized loss position before recovery of its amortized cost basis. In analyzing an issuer’s financial condition, the Company considers, among other considerations, whether the securities are issued by the federal government or its agencies, whether downgrades by bond rating agencies have occurred, and the results of reviews of the issuer’s financial condition. The Company had collateralized mortgage obligations, mortgage-backed securities, corporate securities, and municipal securities that were in a continuous loss position for twelve months or longer at December 31, 2019 . Corporate securities in a continuous loss position for twelve months or longer had total unrealized losses of $800 thousand at December 31, 2019 . Municipal securities in a continuous loss position for twelve months or longer had total unrealized losses of $312 thousand at December 31, 2019 with the last of the securities scheduled to mature in November 2046. These securities were rated investment grade and there were no credit quality concerns with the issuer. Collateralized mortgage obligations, residential and commercial mortgage-backed securities in a continuous loss position for twelve months or longer had total unrealized losses of $1.9 million , $1.3 million , and $1.3 million , respectively, at December 31, 2019 . These securities were investments in U.S. Government agency and U.S. Government sponsored enterprises and have high credit ratings (“AA” grade or better). The interest on these securities that were in an unrealized loss position have been paid as agreed, and the Company believes this will continue in the future and that the securities will be paid in full as scheduled. The market value declines for these securities were primarily due to movements in interest rates and are not reflective of management’s expectations of the Company’s ability to fully recover the investments, which may be at maturity. For these reasons, no OTTI was recognized on the securities that were in a continuous loss position for twelve months or longer at December 31, 2019 . The Company considers the losses on its investments in unrealized loss positions at December 31, 2019 to be temporary based on: 1) the likelihood of recovery; 2) the information relative to the extent and duration of the decline in market value; and 3) the Company’s intention not to sell, and management’s determination that it is more likely than not that the Company will not be required to sell a security in an unrealized loss position before recovery of its amortized cost basis. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations— Hope Bancorp, Inc. (“Hope Bancorp” on a parent-only basis and the “Company” on a consolidated basis), headquartered in Los Angeles, California, is the holding company for Bank of Hope (the “Bank”). The Bank has branches in California, New York, Illinois, Washington, Texas, New Jersey, Virginia, and Alabama, as well as loan production offices in Atlanta, Dallas, Denver, Portland, Seattle, Southern California, and Northern California. Hope Bancorp is a corporation organized under the laws of the state of Delaware and a bank holding company registered under the Bank Holding Company Act of 1956, as amended. The Bank is a California-chartered bank and its deposits are insured by the FDIC to the extent provided by law. The Company specializes in core business banking products for small and medium-sized businesses, with an emphasis in commercial real estate and business lending, SBA lending, and international trade financing. Principles of Consolidation— The accounting and reporting policies of the Company are in accordance with accounting principles generally accepted in the United States of America and conform to practices within the banking industry. The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, principally the Bank. Intercompany transactions and balances are eliminated in consolidation. Cash and Cash Equivalents —Cash and cash equivalents include cash and due from banks, interest-earning deposits, and federal funds sold, which have original maturities less than 90 days. The Company may be required to maintain reserve and clearing balances with the Federal Reserve Bank under the Federal Reserve Act. The reserve and clearing requirement balance was $0 at December 31, 2019 and 2018 . Net cash flows are reported for customer loan and deposit transactions, federal funds purchased, deferred income taxes, and other assets and liabilities. Interest-Bearing Deposits in Other Financial Institutions —Interest-bearing deposits in other financial institutions are comprised of the Company’s investments in certificates of deposits that have original maturities greater than 90 days Securities— Securities are classified and accounted for as follows: (i) Securities that the Company has the positive intent and ability to hold to maturity are classified as “held to maturity” and reported at amortized cost. At December 31, 2019 and 2018 , the Company did not own securities in this category; (ii) Securities are classified as “available for sale” when they might be sold before maturity and are reported at fair value. Unrealized holding gains and losses are reported as a separate component of stockholders’ equity in accumulated other comprehensive income (loss), net of taxes. Accreted discounts and amortized premiums on securities are included in interest income using the interest method, and realized gains or losses related to sales of securities recorded on trade date and are calculated using the specific identification method, without anticipating prepayments, except for mortgage-backed securities where prepayments are expected. Management evaluates securities for other than temporary impairment (“OTTI”) at least on a quarterly basis and more frequently when economic conditions warrant such evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the income statement and 2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. Equity Investments —On January 1, 2018, the Company adopted ASU 2016-01 and reclassified its mutual funds, equity stock, correspondent bank stock, Community Development Financial Institutions Fund (“CDFI”) investments, and Community Reinvestment Act (“CRA”) investments as equity investments. The Company’s mutual funds are considered equity investments with readily determinable fair values and changes to fair value are recorded in other noninterest income. The Company’s investment in correspondent bank stock, CDFI investments, and CRA investments are equity investments without readily determinable fair values. Equity investments without readily determinable fair values are measured at cost, less impairment, and are adjusted for observable price changes which is recorded in noninterest income. Derivative Financial Instruments and Hedging Transactions —As part of the Company’s asset and liability management strategy, the Company may enter into derivative financial instruments, such as interest rate swaps, and caps and floors, with the overall goal of minimizing the impact of interest rate fluctuations on net interest margin. The Company’s interest rate swaps and caps involve the exchange of fixed rate and variable rate interest payment obligations without the exchange of the underlying notional amounts and are therefore accounted for as stand-alone derivatives. Changes in the fair value of the stand-alone derivatives are reported in earnings as noninterest income. Residential mortgage loans funded with interest rate lock commitments and forward commitments for the future delivery of mortgage loans to third party investors, are both considered derivatives. The Company accounts for loan commitments related to the origination of mortgage loans that will be held-for-sale as derivatives at fair value on the balance sheet, with changes in fair value recorded in earnings in the period in which the changes occur. As part of the Company’s overall risk management, the Company’s Asset Liability Committee, which meets monthly, monitors and measures interest rate risk and the sensitivity of assets and liabilities to interest rate changes, including the impact of derivative transactions. Loans Held for Sale —Residential mortgage loans that the Company has the intent to sell prior to maturity have been designated as held for sale at origination and are recorded at the lower of cost or fair value, on an aggregate basis. Certain loans which were originated with the intent to hold to maturity are subsequently transferred to held for sale once there is an intent to sell the loan. A valuation allowance is established if the aggregate fair value of such loans is lower than their cost and charged to earnings. Gains or losses recognized upon the sale of loans are determined on a specific identification basis. Loan transfers are accounted for as sales when control over the loan has been surrendered. Control over such loans is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets and (3) the Company does not maintain control over the transferred assets through an agreement to repurchase them before their maturity. Loans— Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of any purchase discounts, unearned interest, deferred loan fees and costs, and allowance for loan losses. Interest income is accrued on the unpaid principal balance. Nonrefundable loan origination fees and certain direct origination costs are deferred and recognized in interest income using the level-yield method over the life of the loan. Interest on loans is credited to income as earned and is accrued only if deemed collectible. Generally, loans are placed on nonaccrual status and the accrual of interest is discontinued if principal or interest payments become 90 days past due and/or management deems the collectibility of the principal and/or interest to be in question. Loans to a customer whose financial condition has deteriorated are considered for nonaccrual status whether or not the loan is 90 days or more past due. Generally, payments received on nonaccrual loans are recorded as principal reductions. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Other loan fees and charges, representing service costs for the prepayment of loans, for delinquent payments, or for miscellaneous loan services, are recorded as income when collected. Loans are categorized into risk categories based on relevant information about the ability of borrowers to service their debt, including, but not limited to, current financial information, historical payment experience, credit documentation, public information, and current economic trends. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis includes all loans with the exception of homogeneous loans, or loans that are evaluated together in pools of similar loans (i.e., home mortgage loans, home equity lines of credit, overdraft loans, express business loans, and automobile loans). This analysis is performed at least on a quarterly basis. Homogeneous loans are not risk rated and credit risk is analyzed largely by the number of days past due. The Company uses the following definitions for risk ratings: • Pass: Loans that meet a preponderance or more of the Company’s underwriting criteria and that evidence an acceptable level of risk. • Special Mention: Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. • Substandard: Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the borrower or by the collateral pledged, if any. Loans in this classification have a well-defined weakness or weaknesses that jeopardize the repayment of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. • Doubtful/Loss: Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or repayment in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Allowance for Loan Losses —The allowance for loan losses is a valuation allowance for probable incurred credit losses that are inherent in the loan portfolio. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged off. The allowance consists of specific and general components. The specific component relates to loans that are individually classified as impaired. The general component covers non-impaired loans and is based on historical loss experience adjusted for qualitative factors. The general component covers non-impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience is determined by portfolio segment. The Company further segregates these segments between loans accounted for under the amortized cost method (referred to as “Legacy Loans”) and acquired loans (referred to as “Acquired Loans”), as Acquired Loans were originally recorded at fair value with no carryover of the related allowance for loan losses. The historical loss experience for Legacy Loans is based on the actual loss history experienced by the Company. The loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and effects of changes in credit concentrations. The following major portfolio segments have been identified: real estate loans (residential, commercial, and construction), commercial business loans, trade finance loans, and consumer/other loans. Due to the overall high level of real estate loans within the loan portfolio as a whole, as compared to other portfolio segments, for risk assessment and allowance purposes this segment was segregated into more granular pools by collateral property type. The Company’s real estate loan portfolio is subject to certain risks, including: a decline in the economies of our primary markets, interest rate increases, a reduction in real estate values in our primary markets, increased competition in pricing and loan structure, and environmental risks, including natural disasters. Our commercial business and trade finance loan portfolio are subject to certain risks, including: a decline in the economy in our primary markets, interest rate increases, and deterioration of a borrower’s or guarantor’s financial capabilities. The Company’s consumer loan portfolio is subject to the same risk associated with the Company’s commercial business loan portfolio but also includes risk related to consumer bankruptcy laws which allow consumers to discharge certain debts. The Company uses a loan migration analysis which is a formula methodology based on the Company’s actual historical net charge off experience for each loan class (type) pool and risk grade. The migration analysis is centered on the Company’s internal credit risk rating system. The Company’s internal loan review and external contracted credit review examinations are used to determine and validate loan risk grades. This credit review system takes into consideration factors such as: borrower’s background and experience; historical and current financial condition; credit history and payment performance; economic conditions and their impact on various industries; type, fair value and volatility of the fair value of collateral; lien position; and the financial strength of any guarantors. A general loan loss allowance is provided on loans not specifically identified as impaired (“non-impaired loans”). The Company’s general loan loss allowance has two components: quantitative and qualitative risk factors. The quantitative risk factors are based on a historical loss migration methodology. The loans are classified by class and risk grade and the historical loss migration is tracked for the various classes. Loss experience is quantified for a specified period and then weighted to place more significance to the most recent loss history. That loss experience is then applied to the stratified portfolio at each quarter end. Additionally, in order to systematically quantify the credit risk impact of other trends and changes within the loan portfolio, the Company utilizes qualitative adjustments to the migration analysis within established parameters. The parameters for making adjustments are established under a Credit Risk Matrix that provides different possible scenarios for each of the factors below. The Credit Risk Matrix and the possible scenarios enable the Company to qualitatively adjust the Loss Migration Ratio by as much as 50 basis points for each loan type pool. This matrix considers the following nine factors, which are patterned after the guidelines provided under the Federal Financial Institutions Examination Council (“FFIEC”) Interagency Policy Statement on the Allowance for Loan and Lease Losses: • Changes in lending policies and procedures, including underwriting standards and collection, charge-off, and recovery practices. • Changes in national and local economic and business conditions and developments, including the condition of various market segments. • Changes in the nature and volume of the loan portfolio. • Changes in the experience, ability and depth of lending management and staff. • Changes in the trends of the volume and severity of past due loans, Classified Loans, nonaccrual loans, troubled debt restructurings and other loan modifications. • Changes in the quality of the Company’s loan review system and the degree of oversight by the Directors. • Changes in the value of underlying collateral for collateral-dependent loans. • The existence and effect of any concentrations of credit and changes in the level of such concentrations. • The effect of external factors, such as competition and legal and regulatory requirements, on the level of estimated losses in the Company’s loan portfolio. The Company also establishes specific loss allowances for loans that have identified potential credit risk conditions or circumstances related to a specific individual credit. The specific allowance amounts are determined in accordance with ASC 310-10-35-22, “Measurement of Impairment.” The loans identified as impaired will be accounted for in accordance with one of the three acceptable valuation methods: 1) the present value of 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. For the collateral dependent impaired loans, the Company obtains a new appraisal to determine the amount of impairment as of the date that the loan became impaired. The appraisals are based on an “as-is” valuation. To ensure that appraised values remain current, the Company either obtains updated appraisals every twelve months from a qualified independent appraiser or an internal evaluation of the collateral is performed by qualified personnel. If the third party market data indicates that the value of the collateral property has declined since the most recent valuation date, management adjusts the value of the property downward to reflect current market conditions. If the fair value of the collateral is less than the recorded amount of the loan, the Company recognizes impairment by creating or adjusting an existing valuation allowance with a corresponding charge to the provision for loan losses. If an impaired loan is expected to be collected through liquidation or operation of the underlying collateral, the loan is deemed to be collateral dependent and the amount of impairment is charged off against the allowance for loan losses. The Company considers a loan to be impaired when it is probable that not all amounts due (principal and interest) will be collectible in accordance with the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. The significance of payment delays and payment shortfalls is determined on a case-by-case basis by taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. For commercial business loans, real estate loans, and certain consumer loans, management bases the measurement of loan impairment on the present value of the expected future cash flows, discounted at the loan’s effective interest rate, or on the fair value of the loan’s collateral if the loan is collateral dependent. The scope for evaluation of individual impairment includes all impaired loans greater than $500 thousand. The Company evaluates most loans of $500 thousand or less for impairment on a collective basis because these loans generally have smaller balances and are homogeneous in the underwriting of terms and conditions. If a loan is deemed to be impaired, the amount of the impairment is supported by a specific allowance which is included in the allowance for loan losses through a charge to the provision for loan losses. The allowance for loan losses for acquired credit impaired loans is based upon expected cash flows for these loans. To the extent that a deterioration in borrower credit quality results in a decrease in expected cash flows subsequent to the acquisition of the loans, an allowance for loan losses would be established based on the Company’s estimate of future credit losses over the remaining life of the loans. Acquired Loans —Loans that the Company acquires are recorded at fair value with no carryover of the related allowance for loan losses. On the date of acquisition, the Company considers acquired classified loans credit impaired loans (“Purchased Credit Impaired Loans” or “PCI loans”) under the provisions of Accounting Standards Codification (“ASC”) 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality . On the date of acquisition, loans without credit impairment (“Acquired Performing Loans” or “Non-PCI loans”) are not accounted for under ASC 310-30. Acquired loans are placed in pools with similar risk characteristics and recorded at fair value as of the acquisition date. For PCI loans, the cash flows expected to be received over the life of the pools were estimated by management with the assistance of a third party valuation specialist. These cash flows were utilized in calculating the carrying values of the pools and underlying loans, book yields, effective interest income and impairment, if any, based on actual and projected events. Default rates, loss severity and prepayment speed assumptions are periodically reassessed and updated within the accounting model to update the expectation of future cash flows. The excess of the cash expected to be collected over the pools’ carrying value is considered to be the accretable yield and is recognized as interest income over the estimated life of the loan or pool using the effective interest yield method. The accretable yield may change due to changes in the timing and amounts of expected cash flows. Changes in the accretable yield is disclosed quarterly. For PCI loans, the excess of the contractual balances due over the cash flows expected to be collected is considered to be nonaccretable difference. The nonaccretable difference represents the Company’s estimate of the credit losses expected to occur and was considered in determining the fair value of the loans as of the date of acquisition. Subsequent to the date of acquisition, any increases in expected cash flows over those expected at purchase date in excess of fair value are adjusted through the accretable difference on a prospective basis. Any subsequent decreases in expected cash flows over those expected at the acquisition date are recognized by recording a provision for loan losses that will maintain the original expected yield. PCI loans that met the criteria for nonaccrual of interest prior to the acquisition may be considered performing upon acquisition, regardless of whether the customer is contractually delinquent, if management can reasonably estimate the timing and amount of the expected cash flows on such loans and if management expects to fully collect the new carrying value of the loans. As such, management may no longer consider the loan to be nonaccrual or nonperforming and may accrue interest on these loans, including the impact of any accretable discount. Management has determined that future cash flows are reasonably estimable on any such acquired loans that are past due 90 days or more and accruing interest. Management expects to fully collect the carrying value of the loans. OREO —OREO, which represents real estate acquired through foreclosure in satisfaction of commercial and real estate loans, is stated at fair value less estimated selling costs of the real estate. Loan balances in excess of the fair value of the real estate acquired at the date of acquisition are charged to the allowance for loan losses. Any subsequent operating expenses or income, reduction in estimated fair values, and gains or losses on disposition of such properties are charged or credited to current operations. For the year ended December 31, 2019 , the Company foreclosed on properties with an aggregate carrying value of $19.4 million . The Company recorded $167 thousand in net valuation gains subsequent to the foreclosures during the year ended December 31, 2019 , and the Company sold OREO properties for total proceeds of $3.2 million during the year. FHLB Stock —The Bank is a member of the FHLB system. Members are required to own a certain amount of stock based on the level of borrowings and other factors, and may invest in additional amounts. FHLB stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. Premises and Equipment —Premises and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization of premises and equipment are computed on the straight-line method over the following estimated useful lives: • Buildings - 15 to 39 years • Furniture, fixture, and equipment - 3 to 10 years • Computer equipment - 1 to 5 years • Computer software - 1 to 5 years • Leasehold improvement - life of lease or improvements, whichever is shorter BOLI —The Company has purchased life insurance policies on certain key executives and directors. BOLI 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 that are probable at settlement. Investments in Affordable Housing Partnerships —The Company owns limited partnership interests in projects of affordable housing for lower income tenants. Under the equity method of accounting, the annual amortization is based on the estimated tax deduction amounts the bank would receive in the year. The carrying value of such investments and commitments to fund investment in affordable housing is recorded as “Investments in affordable housing partnerships” in the Consolidated Statement of Financial Condition. Commitments to fund investments in affordable housing is also included in this line items but is also grossed up and recorded as a liability. Leases —operating lease right-of-use (“ROU”) assets represent the Company’s right to use the underlying asset during the lease term and operating lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at lease commencement based on the present value of the future lease payments using the Company’s incremental borrowing rate. The Company calculates its incremental borrowing rate by adding a spread to the FHLB borrowing interest rate at a given period. The Company does not capitalize short-term leases, which are leases with terms of twelve months or less. ROU assets and related operating lease liabilities are remeasured when lease terms are amended, extended, or when management intends to exercise available extension options. Operating lease expense, which is comprised of amortization of the ROU asset and the implicit interest accreted on the operating lease liability, is recognized on a straight-line basis over the lease term and is recorded in occupancy expense in the consolidated statements of income. The Company’s occupancy expense also includes variable lease costs which is comprised of the Company's share of actual costs for utilities, common area maintenance, property taxes, and insurance that are not included in lease liabilities and are expensed as incurred. Variable lease costs also include rent escalations based on changes to indices, such as the Consumer Price Index. Goodwill and Intangible Assets— Goodwill is generally determined as the excess of the fair value of the consideration transferred, plus the fair value of any non-controlling interests in the acquiree, over the fair value of the net assets acquired and liabilities assumed as of the acquisition date. Goodwill and intangible assets acquired in a purchase business combination and determined to have an indefinite useful life are not amortized but tested for impairment at least annually. In accordance with ASC 350 “ Intangibles - Goodwill and Other ”, the Company makes a qualitative assessment of whether it is more likely than not that a reporting unit’s fair value is less than its carrying amount before applying the two-step goodwill impairment test. If management concludes that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, the two-step impairment test is bypassed. Management assessed the qualitative factors related to goodwill as of December 31, 2019 . Goodwill is also tested for impairment on an interim basis if circumstances change or an event occurs between annual tests that would more likely than not reduce the fair value of the reporting unit below its carrying amount. Significant judgment is applied when goodwill is assessed for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, incorporating general economic and market conditions and selecting an appropriate control premium. The selection and weighting of the various fair value techniques may result in a higher or lower fair value. Judgment is applied in determining the weighting that is most representative of fair value. Intangible assets with definite useful lives are amortized over their estimated useful lives to their estimated residual values. Core deposit intangibles are amortized over a seven to ten year period. Loan Servicing Assets— The Company previously sold the guaranteed portion of SBA loans and retained the unguaranteed portion (“retained interest”). However, starting December 2018, the Company has chosen to retain the guaranteed portion of SBA loans. A portion of the premium on sale of SBA loans is recognized as gain on sale of loans at the time of the sale by allocating the carrying amount between the asset sold and the retained interest, including these servicing assets, based on their relative fair values. The remaining portion of the premium is recorded as a discount on the retained interest and is amortized over the remaining life of the loan as an adjustment to yield. The retained interest, net of any discount, are included in loans receivable—net of allowance for loan losses in the accompanying consolidated statements of financial condition. Servicing assets are recognized when SBA and residential mortgage loans are sold with servicing retained with the income statement effect recorded in gains on sales of loans. Servicing assets are initially recorded at fair value based on the present value of the contractually specified servicing fee, net of servicing costs, over the estimated life of the loan, using a discount rate. The Company’s servicing costs approximates the industry average servicing costs of 40 basis points. All classes of servicing assets are subsequently measured using the amortization method which requires servicing rights to be amortized into noninterest income in proportion to, an |
Loans Receivable and Allowance
Loans Receivable and Allowance for Loan Losses | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Loans Receivable and Allowance for Loan Losses | LOANS RECEIVABLE AND THE ALLOWANCE FOR LOAN LOSSES The following is a summary of loans by major category at December 31, 2019 and 2018 : December 31, 2019 December 31, 2018 Loan portfolio composition (Dollars in thousands) Real estate loans: Residential $ 52,437 $ 51,197 Commercial 8,316,382 8,395,327 Construction 296,146 275,076 Total real estate loans 8,664,965 8,721,600 Commercial business 2,558,351 2,127,630 Trade finance 160,859 197,190 Consumer and other 889,090 1,051,486 Total loans outstanding 12,273,265 12,097,906 Deferred loan costs, net 2,742 209 Loans receivable 12,276,007 12,098,115 Allowance for loan losses (94,144 ) (92,557 ) Loans receivable, net of allowance for loan losses $ 12,181,863 $ 12,005,558 The loan portfolio is made up of four segments: real estate loans, commercial business, trade finance, and consumer and other. Real estate loans are extended for the purchase and refinance of commercial real estate and are generally secured by first deeds of trust and are collateralized by residential or commercial properties. Commercial business loans are loans provided to businesses for various purposes such as for working capital, purchasing inventory, debt refinancing, business acquisitions and other business related financing needs. Trade finance loans generally serves businesses involved in international trade activities. Consumer and other loans consist mostly of single family residential mortgage loans but also includes home equity, credit cards, and other personal loans. The four segments are further segregated between loans accounted for under the amortized cost method (“Legacy Loans”), and previously acquired loans that were originally recorded at fair value with no carryover of the related pre-acquisition allowance for loan losses (“Acquired Loans”). Acquired Loans are further segregated between purchased credit impaired loans (loans with credit deterioration on the date of acquisition and accounted for under ASC 310-30, or “PCI loans”), and Acquired Performing Loans (loans that were pass graded on the acquisition date and the fair value adjustment is amortized over the contractual life under ASC 310-20, or “non-PCI loans”). The following table presents changes in the accretable discount on PCI loans for the years ended December 31, 2019 and 2018 : Year ended December 31, 2019 2018 (Dollars in thousands) Balance at beginning of period $ 49,697 $ 55,002 Accretion (23,874 ) (21,837 ) Reclassification from nonaccretable difference 12,330 16,532 Balance at end of period $ 38,153 $ 49,697 On the acquisition date, the amount by which the undiscounted expected cash flows exceed the estimated fair value of PCI loans is considered the “accretable yield”. The accretable yield is measured at each financial reporting date and represents the difference between the remaining undiscounted expected cash flows and the current carrying value of the loans. The accretable yield may change from period to period due to the following: 1) estimates of the remaining life of acquired loans will affect the amount of future interest income; 2) indices for variable rates of interest on PCI loans may change; and 3) estimates of the amount of the contractual principal and interest that will not be collected (nonaccretable difference) may change. The following tables detail the activity in the allowance for loan losses by portfolio segment for the years indicated: Legacy Loans Acquired Loans Total Real Estate Commercial Business Trade Finance Consumer and Other Real Commercial Business Trade Finance Consumer and Other (Dollars in thousands) December 31, 2019 Balance, beginning of period $ 49,446 $ 21,826 $ 719 $ 6,269 $ 7,321 $ 5,939 $ — $ 1,037 $ 92,557 Provision (credit) for loan losses (2,993 ) 9,517 (481 ) 1,978 (482 ) (120 ) — (119 ) 7,300 Loans charged off (1,159 ) (4,121 ) — (1,144 ) (644 ) (965 ) — (76 ) (8,109 ) Recoveries of charge offs 1,706 1,083 216 34 398 297 — 2 3,736 PCI allowance adjustment — — — — — (878 ) — (462 ) (1,340 ) Balance, end of period $ 47,000 $ 28,305 $ 454 $ 7,137 $ 6,593 $ 4,273 $ — $ 382 $ 94,144 December 31, 2018 Balance, beginning of period $ 45,360 $ 17,228 $ 1,674 $ 3,385 $ 13,322 $ 3,527 $ 42 $ 3 $ 84,541 Provision (credit) for loan losses 9,334 3,389 (588 ) 4,098 (5,551 ) 3,253 (42 ) 1,007 14,900 Loans charged off (6,273 ) (1,400 ) (408 ) (1,245 ) (453 ) (1,083 ) — (13 ) (10,875 ) Recoveries of charge offs 1,025 2,609 41 31 3 242 — 40 3,991 Balance, end of period $ 49,446 $ 21,826 $ 719 $ 6,269 $ 7,321 $ 5,939 $ — $ 1,037 $ 92,557 December 31, 2017 Balance, beginning of period $ 38,956 $ 23,430 $ 1,897 $ 2,116 $ 12,791 $ 117 $ — $ 36 $ 79,343 Provision (credit) for loan losses 8,524 (1,036 ) 1,825 2,207 1,341 4,500 42 (43 ) 17,360 Loans charged off (2,292 ) (9,881 ) (2,104 ) (943 ) (850 ) (1,315 ) — (25 ) (17,410 ) Recoveries of charged offs 172 4,715 56 5 40 225 — 35 5,248 Balance, end of period $ 45,360 $ 17,228 $ 1,674 $ 3,385 $ 13,322 $ 3,527 $ 42 $ 3 $ 84,541 The following tables break out the allowance for loan losses and the recorded investment of loans outstanding (not including accrued interest receivable and net deferred loan costs or fees) by individually impaired, general valuation, and PCI impairment, by portfolio segment at December 31, 2019 and December 31, 2018 : December 31, 2019 Legacy Loans Acquired Loans Total Real Commercial Business Trade Finance Consumer and Other Real Commercial Business Trade Finance Consumer and Other (Dollars in thousands) Allowance for loan losses: Individually evaluated for impairment $ 202 $ 2,198 $ — $ 11 $ 110 $ 875 $ — $ 6 $ 3,402 Collectively evaluated for impairment 46,798 26,107 454 7,126 1,818 353 — 7 82,663 PCI loans — — — — 4,665 3,045 — 369 8,079 Total $ 47,000 $ 28,305 $ 454 $ 7,137 $ 6,593 $ 4,273 $ — $ 382 $ 94,144 Loans outstanding: Individually evaluated for impairment $ 37,218 $ 19,044 $ 103 $ 2,202 $ 27,380 $ 3,695 $ — $ 852 $ 90,494 Collectively evaluated for impairment 7,445,529 2,479,744 160,756 843,061 1,057,074 48,968 — 42,070 12,077,202 PCI loans — — — — 97,764 6,900 — 905 105,569 Total $ 7,482,747 $ 2,498,788 $ 160,859 $ 845,263 $ 1,182,218 $ 59,563 $ — $ 43,827 $ 12,273,265 December 31, 2018 Legacy Loans Acquired Loans Total Real Commercial Business Trade Finance Consumer and Other Real Commercial Business Trade Finance Consumer and Other (Dollars in thousands) Allowance for loan losses: Individually evaluated for impairment $ 176 $ 4,221 $ — $ 3 $ 261 $ 130 $ — $ — $ 4,791 Collectively evaluated for impairment 49,270 17,605 719 6,266 1,264 460 — 19 75,603 PCI loans — — — — 5,796 5,349 — 1,018 12,163 Total $ 49,446 $ 21,826 $ 719 $ 6,269 $ 7,321 $ 5,939 $ — $ 1,037 $ 92,557 Loans outstanding: Individually evaluated for impairment $ 39,976 $ 29,624 $ 5,887 $ 441 $ 18,080 $ 5,734 $ 3,124 $ 1,141 $ 104,007 Collectively evaluated for impairment 7,037,392 1,988,067 188,179 910,292 1,507,858 80,916 — 133,942 11,846,646 PCI loans — — — — 118,294 23,289 — 5,670 147,253 Total $ 7,077,368 $ 2,017,691 $ 194,066 $ 910,733 $ 1,644,232 $ 109,939 $ 3,124 $ 140,753 $ 12,097,906 At December 31, 2019 and December 31, 2018 , the balance of PCI loans that had credit deterioration subsequent to acquisition was $18.8 million and $57.9 million , respectively. PCI loans with subsequent credit deterioration had an allowance for loan losses balance of $8.1 million and $12.2 million at December 31, 2019 and December 31, 2018 , respectively As of December 31, 2019 and December 31, 2018 , the reserves for unfunded commitments recorded in other liabilities was $636 thousand and $736 thousand , respectively. For the years ended December 31, 2019 and 2018 , the Company recorded reductions to reserves for unfunded commitments recorded in credit related expenses totaling $100 thousand . The recorded investment of individually impaired loans and the total impaired loans net of specific allowance is presented in the following table as of the dates indicated: December 31, 2019 December 31, 2018 (Dollars in thousands) With allocated specific allowance: Without charge-off $ 33,344 $ 35,365 With charge-off 3,453 681 With no allocated specific allowance: Without charge-off 41,904 59,607 With charge-off 11,793 8,354 Specific allowance on impaired loans (3,402 ) (4,791 ) Impaired loans, net of specific allowance $ 87,092 $ 99,216 The following tables detail the recorded investment of impaired loans (Legacy Loans and Acquired Loans that became impaired subsequent to being originated and acquired, respectfully) by portfolio segment, the average recorded investment, and interest income recognized during the year. Loans with no related allowance for loan losses are believed by management to be adequately collateralized. As of December 31, 2019 Year Ended December 31, 2019 Total Impaired Loans (1) Recorded Investment (2) Unpaid Contractual Principal Balance Related Allowance Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 2,593 2,904 66 2,105 48 Hotel & motel 1,877 5,925 65 1,723 — Gas station & car wash 54 55 2 35 — Mixed use 611 709 10 763 6 Industrial & warehouse 8,168 9,481 155 6,465 351 Other 2,636 2,902 14 3,337 88 Real estate – construction — — — — — Commercial business 19,254 20,849 3,073 21,814 601 Trade finance 103 103 — 606 2 Consumer and other 1,501 1,581 17 1,010 4 Subtotal $ 36,797 $ 44,509 $ 3,402 $ 37,858 $ 1,100 With no related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 4,557 5,027 — 10,657 172 Hotel & motel 9,024 16,831 — 9,917 — Gas station & car wash 217 2,671 — 433 — Mixed use 3,229 3,246 — 4,844 198 Industrial & warehouse 12,757 14,261 — 11,168 206 Other 8,710 13,811 — 10,880 260 Real estate – construction 10,165 10,165 — 2,033 — Commercial business 3,485 8,628 — 8,545 126 Trade finance — — — 4,127 — Consumer and other 1,553 1,577 — 1,515 — Subtotal $ 53,697 $ 76,217 $ — $ 64,119 $ 962 Total $ 90,494 $ 120,726 $ 3,402 $ 101,977 $ 2,062 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts As of December 31, 2019 Year Ended December 31, 2019 Impaired acquired loans (1) Recorded Investment (2) Unpaid Contractual Principal Balance Related Allowance Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 759 833 20 646 — Hotel & motel 54 345 1 65 — Gas station & car wash 54 55 2 35 — Mixed use 273 282 9 293 6 Industrial & warehouse 229 1,012 74 269 — Other 1,712 1,712 4 1,142 71 Real estate – construction — — — — — Commercial business 3,575 3,795 875 3,490 213 Trade finance — — — — — Consumer and other 738 781 6 255 — Subtotal $ 7,394 $ 8,815 $ 991 $ 6,195 $ 290 With no related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 3,635 3,833 — 4,913 172 Hotel & motel 5,003 6,681 — 5,287 — Gas station & car wash 217 2,671 — 215 — Mixed use — — — 1,564 — Industrial & warehouse 93 894 — 61 — Other 5,186 9,279 — 4,180 260 Real estate – construction 10,165 10,165 — 2,033 — Commercial business 120 1,413 — 1,034 — Trade finance — — — 1,902 — Consumer and other 114 137 — 649 — Subtotal $ 24,533 $ 35,073 $ — $ 21,838 $ 432 Total $ 31,927 $ 43,888 $ 991 $ 28,033 $ 722 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts As of December 31, 2018 Year Ended December 31, 2018 Total Impaired Loans (1) Recorded Investment (2) Unpaid Contractual Principal Balance Related Allowance Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — $ — $ 50 $ — Real estate – commercial Retail 1,375 1,487 156 3,554 30 Hotel & motel 1,949 2,310 119 2,700 — Gas station & car wash — — — — — Mixed use 881 947 43 2,032 6 Industrial & warehouse 1,305 2,139 93 1,579 70 Other 7,759 8,174 26 6,038 372 Real estate – construction — — — — — Commercial business 22,203 23,928 4,351 23,146 511 Trade finance — — — 2,143 — Consumer and other 575 575 3 710 7 Subtotal $ 36,047 $ 39,560 $ 4,791 $ 41,952 $ 996 With no related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 8,005 11,234 — 9,913 143 Hotel & motel 10,877 22,590 — 6,085 — Gas station & car wash 545 3,653 — 520 19 Mixed use 7,048 7,058 — 3,404 347 Industrial & warehouse 12,343 13,467 — 11,560 298 Other 5,969 7,122 — 13,107 106 Real estate – construction — — — 520 — Commercial business 13,155 17,850 — 18,041 531 Trade finance 9,011 9,011 — 5,405 487 Consumer and other 1,007 1,156 — 1,457 — Subtotal $ 67,960 $ 93,141 $ — $ 70,012 $ 1,931 Total $ 104,007 $ 132,701 $ 4,791 $ 111,964 $ 2,927 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts As of December 31, 2018 Year Ended December 31, 2018 Impaired acquired loans (1) Recorded Investment (2) Unpaid Contractual Principal Balance Related Allowance Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — $ — $ 50 $ — Real estate – commercial Retail 198 220 118 510 — Hotel & motel 72 345 4 78 — Gas station & car wash — — — — — Mixed use 312 312 38 1,813 6 Industrial & warehouse 230 1,050 88 246 — Other 3,454 3,454 13 2,133 221 Real estate – construction — — — — — Commercial business 4,064 5,041 130 5,380 162 Trade finance — — — — — Consumer and other 144 144 — 89 7 Subtotal $ 8,474 $ 10,566 $ 391 $ 10,299 $ 396 With no related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 3,285 4,151 — 3,202 123 Hotel & motel 5,428 6,874 — 2,685 — Gas station & car wash 247 2,673 — 176 — Mixed use 3,722 3,726 — 789 148 Industrial & warehouse 119 894 — 253 — Other 1,013 1,326 — 4,662 39 Real estate – construction — — — — — Commercial business 1,670 2,681 — 4,658 92 Trade finance 3,124 3,124 — 3,134 189 Consumer and other 997 1,144 — 1,298 — Subtotal $ 19,605 $ 26,593 $ — $ 20,857 $ 591 Total $ 28,079 $ 37,159 $ 391 $ 31,156 $ 987 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts Year Ended December 31, 2017 Total Impaired Loans (1) Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — Real estate – commercial Retail 1,120 — Hotel & motel 4,050 67 Gas station & car wash 43 — Mixed use 245 6 Industrial & warehouse 1,135 — Other 11,707 237 Real estate – construction — — Commercial business 23,695 631 Trade finance 2,842 217 Consumer and other 240 4 Subtotal $ 45,077 $ 1,162 With no related allowance: Real estate – residential $ 1,105 $ — Real estate – commercial Retail 12,288 434 Hotel & motel 7,245 — Gas station & car wash 3,168 — Mixed use 3,496 — Industrial & warehouse 8,676 262 Other 17,116 608 Real estate – construction 1,611 — Commercial business 16,312 697 Trade finance 2,994 253 Consumer and other 1,225 25 Subtotal $ 75,236 $ 2,279 Total $ 120,313 $ 3,441 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts Year Ended December 31, 2017 Impaired acquired loans (1) Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — Real estate – commercial Retail 851 — Hotel & motel 105 — Gas station & car wash — — Mixed use 179 6 Industrial & warehouse 225 — Other 319 17 Real estate – construction — — Commercial business 1,111 47 Trade finance — — Consumer and other — — Subtotal $ 2,790 $ 70 With no related allowance: Real estate – residential $ 235 $ — Real estate – commercial Retail 2,866 141 Hotel & motel 3,086 — Gas station & car wash 619 — Mixed use 2,191 — Industrial & warehouse 59 3 Other 5,190 340 Real estate – construction — — Commercial business 5,794 182 Trade finance 1,274 248 Consumer and other 645 7 Subtotal $ 21,959 $ 921 Total $ 24,749 $ 991 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts Generally, loans are placed on nonaccrual status if principal and/or interest payments become 90 days or more past due and/or management deems the collectability of the principal and/or interest to be in question, as well as when required by regulatory requirements. Loans to customers whose financial condition has deteriorated are considered for nonaccrual status whether or not the loan is 90 days or more past due. Generally, payments received on nonaccrual loans are recorded as principal reductions. Loans are returned to accrual status only when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The Company did not recognize any cash basis interest income for the twelve months ended December 31, 2019 or 2018 . The following table represents the recorded investment of nonaccrual loans and loans past due 90 or more days and still on accrual status by class of loans as of December 31, 2019 or 2018 . Nonaccrual Loans (1) Accruing Loans Past Due 90 or More Days December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 (Dollars in thousands) Legacy Loans: Real estate – residential $ — $ — $ — $ — Real estate – commercial Retail 2,029 5,153 449 — Hotel & motel 5,844 7,325 — — Gas station & car wash — 31 — — Mixed use 505 749 634 — Industrial & warehouse 10,222 6,111 — — Other 4,176 5,940 919 — Real estate – construction — — 3,850 — Commercial business 10,204 14,837 1,096 — Trade finance — 1,661 — — Consumer and other 2,105 441 599 243 Subtotal $ 35,085 $ 42,248 $ 7,547 $ 243 Acquired Loans: (2) Real estate – residential $ — $ — $ — $ — Real estate – commercial Retail 905 829 — — Hotel & motel 5,057 5,500 — 1,286 Gas station & car wash 271 247 — — Mixed use 160 1,224 — — Industrial & warehouse 322 349 — — Other 1,279 259 — — Real estate – construction 10,165 — — — Commercial business 689 1,632 — — Trade finance — — — — Consumer and other 852 998 — — Subtotal $ 19,700 $ 11,038 $ — $ 1,286 Total $ 54,785 $ 53,286 $ 7,547 $ 1,529 __________________________________ (1) Total nonaccrual loans exclude guaranteed portion of delinquent SBA loans that are in liquidation totaling $28.1 million and $29.2 million , at December 31, 2019 and December 31, 2018 , respectively. (2) Acquired Loans exclude PCI loans. The following tables present the recorded investment of past due loans, including nonaccrual loans past due 30 or more days, by the number of days past due as of December 31, 2019 and December 31, 2018 by class of loans: As of December 31, 2019 As of December 31, 2018 30-59 Days Past Due 60-89 Days Past Due 90 or More Days Past Due Total Past Due 30-59 Days 60-89 Days 90 or More Days Past Due Total (Dollars in thousands) Legacy Loans: Real estate – residential $ — $ — $ — $ — $ — $ — $ — $ — Real estate – commercial Retail 1,083 1,424 2,417 4,924 733 — 809 1,542 Hotel & motel 821 936 2,025 3,782 153 — 5,215 5,368 Gas station & car wash 318 1,984 — 2,302 — — 31 31 Mixed use 593 — 801 1,394 — — — — Industrial & warehouse — — 3,853 3,853 1,465 — 1,922 3,387 Other — — 3,409 3,409 1,837 — 2,405 4,242 Real estate – construction — — 3,850 3,850 — — — — Commercial business 344 126 5,475 5,945 5,500 435 7,003 12,938 Trade finance — — — — 1,036 — 1,661 2,697 Consumer and other 8,871 914 2,175 11,960 16,413 140 247 16,800 Subtotal $ 12,030 $ 5,384 $ 24,005 $ 41,419 $ 27,137 $ 575 $ 19,293 $ 47,005 Acquired Loans: (1) Real estate – residential $ — $ — $ — $ — $ — $ — $ — $ — Real estate – commercial Retail — — 620 620 347 — 602 949 Hotel & motel 525 — 4,384 4,909 — — 5,206 5,206 Gas station & car wash 679 54 196 929 154 — 221 375 Mixed use — — — — 107 — 1,034 1,141 Industrial & warehouse 94 45 93 232 142 — 119 261 Other 811 785 295 1,891 183 219 — 402 Real estate – construction — — 10,165 10,165 — — — — Commercial business 57 226 242 525 397 613 253 1,263 Trade finance — — — — — — — — Consumer and other 981 — 477 1,458 — — 334 334 Subtotal $ 3,147 $ 1,110 $ 16,472 $ 20,729 $ 1,330 $ 832 $ 7,769 $ 9,931 Total Past Due $ 15,177 $ 6,494 $ 40,477 $ 62,148 $ 28,467 $ 1,407 $ 27,062 $ 56,936 __________________________________ (1) Acquired Loans exclude PCI loans. Loans accounted for under ASC 310-30 are generally considered accruing and performing and the accretable discount is accreted to interest income over the estimated life of the loan when cash flows are reasonably estimable. Accordingly, PCI loans that are contractually past due can still considered to be accruing and performing loans. The loans may be classified as nonaccrual if the timing and amount of future cash flows is not reasonably estimable. The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt, including, but not limited to, current financial information, historical payment experience, credit documentation, public information, and current economic trends. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis includes all loans with the exception of homogeneous loans, or loans that are evaluated together in pools of similar loans (i.e., home mortgage loans, home equity lines of credit, overdraft loans, express business loans, and automobile loans). Homogeneous loans are not risk rated and credit risk is analyzed largely by the number of days past due. This analysis is performed at least on a quarterly basis. The following tables presents the recorded investment of risk ratings for Legacy and Acquired Loans as of December 31, 2019 and December 31, 2018 by class of loans: December 31, 2019 Pass/ Not Rated Special Mention Substandard Doubtful Total (Dollars in thousands) Legacy Loans: Real estate – residential $ 48,414 $ — $ 143 $ — $ 48,557 Real estate – commercial Retail 1,884,336 29,478 38,164 — 1,951,978 Hotel & motel 1,482,398 1,237 20,864 — 1,504,499 Gas station & car wash 738,988 1,707 4,560 — 745,255 Mixed use 634,186 1,974 8,211 — 644,371 Industrial & warehouse 834,514 7,641 35,739 — 877,894 Other 1,386,594 15,625 21,994 — 1,424,213 Real estate – construction 253,765 24,641 7,574 — 285,980 Commercial business 2,435,892 38,160 24,723 13 2,498,788 Trade finance 160,859 — — — 160,859 Consumer and other 842,947 157 2,159 — 845,263 Subtotal $ 10,702,893 $ 120,620 $ 164,131 $ 13 $ 10,987,657 Acquired Loans: Real estate – residential $ 3,563 $ — $ 317 $ — $ 3,880 Real estate – commercial Retail 322,519 3,442 10,597 — 336,558 Hotel & motel 147,647 158 11,294 — 159,099 Gas station & car wash 92,852 454 2,953 — 96,259 Mixed use 65,268 2,932 8,144 — 76,344 Industrial & warehouse 138,928 4,039 10,015 — 152,982 Other 311,674 9,791 25,466 — 346,931 Real estate – construction — — 10,165 — 10,165 Commercial business 45,185 7 14,371 — 59,563 Trade finance — — — — — Consumer and other 41,993 9 1,825 — 43,827 Subtotal $ 1,169,629 $ 20,832 $ 95,147 $ — $ 1,285,608 Total $ 11,872,522 $ 141,452 $ 259,278 $ 13 $ 12,273,265 December 31, 2018 Pass/ Special Mention Substandard Doubtful Total (Dollars in thousands) Legacy Loans: Real estate – residential $ 44,066 $ — $ 546 $ — $ 44,612 Real estate – commercial Retail 1,815,170 18,072 30,686 — 1,863,928 Hotel & motel 1,389,349 21,932 15,869 — 1,427,150 Gas station & car wash 814,291 2,810 2,464 — 819,565 Mixed use 510,021 12,480 13,292 — 535,793 Industrial & warehouse 711,236 1,665 38,332 — 751,233 Other 1,326,795 35,539 34,618 — 1,396,952 Real estate – construction 227,231 10,904 — — 238,135 Commercial business 1,944,783 18,220 54,688 — 2,017,691 Trade finance 191,508 — 2,558 — 194,066 Consumer and other 910,292 — 441 — 910,733 Subtotal $ 9,884,742 $ 121,622 $ 193,494 $ — $ 10,199,858 Acquired Loans: Real estate – residential $ 5,812 $ 393 $ 380 $ — $ 6,585 Real estate – commercial Retail 483,939 4,651 17,332 35 505,957 Hotel & motel 186,761 807 19,472 — 207,040 Gas station & car wash 148,702 274 6,032 — 155,008 Mixed use 77,100 3,986 8,151 — 89,237 Industrial & warehouse 171,574 9,451 18,071 223 199,319 Other 402,247 12,902 28,996 — 444,145 Real estate – construction 29,058 7,883 — — 36,941 Commercial business 89,611 1,083 19,237 8 109,939 Trade finance — — 3,124 — 3,124 Consumer and other 136,944 37 3,626 146 140,753 Subtotal $ 1,731,748 $ 41,467 $ 124,421 $ 412 $ 1,898,048 Total $ 11,616,490 $ 163,089 $ 317,915 $ 412 $ 12,097,906 The Company may reclassify loans held for investment to loans held for sale in the event that the Company plans to sell loans that were originated with the intent to hold to maturity. Loans transferred from held for investment to held for sale are transferred at the lower of cost or fair value. The breakdown of loans by type that were reclassified from held for investment to held for sale for the years ended December 31, 2019 , 2018 , and 2017 are presented in the table below. Year ended December 31, 2019 2018 2017 (Dollars in thousands) Transfer of loans held for investment to held for sale Real estate - commercial $ 25,988 $ — $ 429 Consumer 140,006 21,581 — Total $ 165,994 $ 21,581 $ 429 The following table presents the breakdown of loans by impairment method at December 31, 2019 and December 31, 2018 : December 31, 2019 Real Estate - Residential Real Estate - Commercial Real Estate - Construction Commercial Business Trade Finance Consumer and Other Total (Dollars in thousands) Impaired loans (recorded investment) $ — $ 54,433 $ 10,165 $ 22,739 $ 103 $ 3,054 $ 90,494 Specific allowance $ — $ 312 $ — $ 3,073 $ — $ 17 $ 3,402 Specific allowance to impaired loans N/A 0.57 % — % 13.51 % — % 0.56 % 3.76 % Other loans $ 52,437 $ 8,261,949 $ 285,981 $ 2,535,612 $ 160,756 $ 886,036 $ 12,182,771 General allowance $ 204 $ 51,400 $ 1,677 $ 29,505 $ 454 $ 7,502 $ 90,742 General allowance to other loans 0.39 % 0.62 % 0.59 % 1.16 % 0.28 % 0.85 % 0.74 % Total loans outstanding $ 52,437 $ 8,316,382 $ 296,146 $ 2,558,351 $ 160,859 $ 889,090 $ 12,273,265 Total allowance for loan losses $ 204 $ 51,712 $ 1,677 $ 32,578 $ 454 $ 7,519 $ 94,144 Total allowance to total loans 0.39 % 0.62 % 0.57 % 1.27 % 0.28 % 0.85 % 0.77 % December 31, 2018 Real Estate - Real Estate - Real Estate - Commercial Trade Consumer Total (Dollars in thousands) Impaired loans (recorded investment) $ — $ 58,056 $ — $ 35,358 $ 9,011 $ 1,582 $ 104,007 Specific allowance $ — $ 437 $ — $ 4,351 $ — $ 3 $ 4,791 Specific allowance to impaired loans N/A 0.75 % N/A 12.31 % — % 0.19 % 4.61 % Other loans $ 51,197 $ 8,337,271 $ 275,076 $ 2,092,272 $ 188,179 $ 1,049,904 $ 11,993,899 General allowance $ 112 $ 55,453 $ 765 $ 23,414 $ 719 $ 7,303 $ 87,766 General allowance to other loans 0.22 % 0.67 % 0.28 % 1.12 % 0.38 % 0.70 % 0.73 % Total loans outstanding $ 51,197 $ 8,395,327 $ 275,076 $ 2,127,630 $ 197,190 $ 1,051,486 $ 12,097,906 Total allowance for loan losses $ 112 $ 55,890 $ 765 $ 27,765 $ 719 $ 7,306 $ 92,557 Total allowance to total loans 0.22 % 0.67 % 0.28 % 1.30 % 0.36 % 0.69 % 0.77 % Under certain circumstances, the Company provides borrowers relief through loan modifications. These modifications are either temporary in nature (“temporary modifications”) or are more substantive. The temporary modifications generally consist of interest only payments for a three to six month period, whereby principal payments are deferred. At the end of the modification period, the remaining principal balance is re-amortized based on the original maturity date. Loans subject to temporary modifications are generally downgraded to Special Mention or Substandard. At the end of the modification period, the loan either 1) returns to the original contractual terms; 2) is further modified and accounted for as a troubled debt restructuring in accordance with ASC 310-10-35; or 3) is disposed of through foreclosure or liquidation. Troubled Debt Restructurings (“TDRs”) of loans are defined by ASC 310-40, “Troubled Debt Restructurings by Creditors”, and ASC 470-60, “Troubled Debt Restructurings by Debtors” , and evaluated for impairment in accordance with ASC 310-10-35. The concessions may be granted in various forms, including reduction in the stated interest rate, reduction in the amount of principal amortization, forgiveness of a portion of a loan balance or accrued interest, or extension of the maturity date. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed on the probability that the borrower will be in payment default their debt in the foreseeable future without the modification. This evaluation is performed under the Company’s internal underwriting policy. At December 31, 2019 , total TDR loans were $46.7 million , compared to $64.0 million at December 31, 2018 . A summary of the recorded investment of TDR loans on accrual and nonaccrual status by type of concession as of December 31, 2019 and December 31, 2018 are presented below: December 31, 2019 TDRs on Accrual Status TDRs on Nonaccrual Status Total TDRs Real Estate Commercial Business Other Total Real Commercial Other Total (Dollars in thousands) Payment concession $ 4,708 $ 886 $ 54 $ 5,648 $ 4,306 $ 259 $ — $ 4,565 $ 10,213 Maturity / amortization concession 14,537 10,778 43 25,358 — 5,931 122 6,053 31,411 Rate concession 4,419 181 103 4,703 334 65 — 399 5,102 Total $ 23,664 $ 11,845 $ 200 $ 35,709 $ 4,640 $ 6,255 $ 122 $ 11,017 $ 46,726 December 31, 2018 TDRs on Accrual Status TDRs on Nonaccrual Status Total TDRs Real Commercial Other Total Real Commercial Other Total (Dollars in thousands) Payment concession $ 5,142 $ 961 $ — $ 6,103 $ 2,216 $ 746 $ — $ 2,962 $ 9,065 Maturity / amortization concession 14,012 17,257 7,391 38,660 — 10,166 73 10,239 48,899 Rate concession 4,872 672 103 5,647 401 — — 401 6,048 Total $ 24,026 $ 18,890 $ 7,494 $ 50,410 $ 2,617 $ 10,912 $ 73 $ 13,602 $ 64,012 TDR loans on accrual status are comprised of loans that were accruing at the time of restructuring and for which the Company anticipates full repayment of both principal and interest under the restructured terms. TDR loans that are on nonaccrual status can be returned to accrual status after a period of sustained performance, generally determined to be six months of timely payments as modified. Sustained performance includes the periods prior to the modification if the prior performance met or exceeded the modified terms. TDR loans on accrual status at December 31, 2019 were comprised of 15 commercial real estate loans totaling $23.7 million , 27 commercial business loans totaling $11.8 million and 12 consumer and other loans totaling $200 thousand . TDRs on accrual status at December 31, 2018 were comprised of 20 commercial real estate loans totaling $24.0 million , 37 commercial business loans totaling $18.9 million , and 6 consumer and other loans totaling $7.5 million . The Company expects that TDR loans on accrual status as of December 31, 2019, which were all performing in accordance with their restructured terms, to continue to comply with the restructured terms because of the reduced principal or interest payments on these loans. TDR loans that were restructured at market interest rates and had sustained performance as agreed under the modified loan terms may be reclassified as non-TDR after each year end but are reserved for under ASC 310-10. The Company has allocated $3.1 million , $3.0 million , and $4.8 million of specific reserves on TDR loans as of December 31, 2019 , 2018 , and 2017 , respectively. As of December 31, 2019 and 2018 , the Company had outstanding commitments to extend additional funds to these borrowers totaling $742 thousand and $302 thousand , respectively. The following table presents loans by class modified as TDRs that occ |
Goodwill and Other Intangibles
Goodwill and Other Intangibles Assets | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangibles Assets | GOODWILL AND OTHER INTANGIBLE ASSETS The carrying amount of the Company’s goodwill as of December 31, 2019 and 2018 was $464.5 million . Goodwill represents the excess of the purchase price over the sum of the estimated fair values of the tangible and identifiable intangible assets acquired less the estimated fair value of the liabilities assumed. Goodwill has an indefinite useful life and is evaluated for impairment annually or more frequently if events and circumstances indicate that the asset might be impaired. An impairment loss is recognized to the extent that the carrying amount exceeds the asset’s fair value. Management assessed the qualitative factors related to intangible assets and goodwill for 2019 to determine whether it was more-likely-than-not that the fair value was less than its carrying amount. Based on the analysis of these factors, management determined that it was more-likely-than-not that intangible assets were not impaired and that the fair value of goodwill exceeded the carrying value and that the two-step goodwill impairment test was not needed. Goodwill is not amortized for book purposes and is not tax deductible. Core deposit intangible assets are amortized over their estimated lives, which range from seven to ten years . The following table provides information regarding the core deposit intangibles as of the dates indicated: As of December 31, 2019 As of December 31, 2018 Core deposit intangibles related to: Amortization Period Gross Amount Accumulated Amortization Carrying Amount Accumulated Amortization Carrying Amount (Dollars in thousands) Center Financial 7 years $ 4,100 $ (4,100 ) $ — $ (4,100 ) $ — Pacific International Bank 7 years 604 (602 ) 2 (579 ) 25 Foster Bankshares 10 years 2,763 (2,120 ) 643 (1,893 ) 870 Wilshire Bancorp 10 years 18,138 (6,950 ) 11,188 (4,972 ) 13,166 Total $ 25,605 $ (13,772 ) $ 11,833 $ (11,544 ) $ 14,061 Total amortization expense on core deposit intangibles was $2.2 million and $2.5 million for the years ended December 31, 2019 and 2018 , respectively. The estimated future amortization expense for core deposit intangibles is as follows: $2.1 million in 2020 , $2.0 million in 2021 , $1.9 million in 2022 , $1.8 million in 2023 , $1.6 million in 2024 , and $2.3 million thereafter. |
Premises and Equipment (Notes)
Premises and Equipment (Notes) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | PREMISES AND EQUIPMENT The following table provides information regarding the premises and equipment at December 31, 2019 and 2018 : As of December 31, 2019 As of December 31, 2018 (Dollars in thousands) Land $ 11,244 $ 11,244 Building and improvements 23,384 23,350 Furniture, fixtures, and equipment 26,037 28,510 Leasehold improvements 28,562 28,842 Vehicles 123 123 Software/License 10,926 8,628 100,276 100,697 Less: Accumulated depreciation and amortization (48,264 ) (46,903 ) Total premises and equipment, net $ 52,012 $ 53,794 Depreciation and amortization expense totaled $8.3 million , $9.2 million , and $9.3 million for 2019 , 2018 , and 2017 , respectively. There were no buildings or land sold during the years ended December 31, 2019 and 2018 . |
Leases
Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Leases | LEASES On January 1, 2019, the Company adopted ASU 2016-02, “Leases (Topic 842)”, using the modified retrospective approach under ASC 842. The Company’s operating leases are real estate leases which are comprised of bank branches, loan production offices, and office spaces with remaining lease terms ranging from 1 year to 11 years as of December 31, 2019 . Certain lease arrangements contain extension options which are typically around 5 years . As these extension options are not generally considered reasonably certain of exercise, they are not included in the lease term. As of December 31, 2019, the Company did not have any finance leases. Operating lease right-of-use (“ROU”) assets represent the Company’s right to use the underlying asset during the lease term and operating lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at lease commencement based on the present value of the remaining lease payments using the Company’s incremental borrowing rate at the lease commencement date. The Company’s occupancy expense also includes variable lease costs which is comprised of the Company's share of actual costs for utilities, common area maintenance, property taxes, and insurance that are not included in lease liabilities and are expensed as incurred. Variable lease costs also include rent escalations based on changes to indices, such as the Consumer Price Index. The table below summarizes the Company’s net lease cost: Year Ended December 31, 2019 (Dollars in thousands) Operating lease cost $ 16,039 Variable lease cost 3,397 Short term lease cost 9 Sublease income (664 ) Net lease cost $ 18,781 The Company uses its incremental borrowing rate to present value lease payments in order to recognize a ROU asset and the related lease liability. The Company calculates its incremental borrowing rate by adding a spread to the FHLB borrowing interest rate at a given period. The following table summarizes supplemental balance sheet information related to operating leases: Year Ended December 31, 2019 (Dollars in thousands) Operating leases Operating lease right-of-use assets $ 58,593 Current portion of long-term lease liabilities 12,807 Long-term lease liabilities 47,699 Weighted-average remaining lease term - operating leases 5.83 years Weighted-average discount rate - operating leases 3.09 % The table below summarizes supplemental cash flow information related to operating leases: Year Ended December 31, 2019 (Dollars in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows for operating leases $ 14,705 Right-of-use assets obtained in exchange for lease liabilities, net 66,531 The table below summarizes the maturity of remaining lease liabilities: December 31, 2019 (Dollars in thousands) 2020 $ 14,461 2021 13,799 2022 9,704 2023 7,565 2024 6,010 2025 and thereafter 14,996 Total lease payments 66,535 Less: imputed interest 6,029 Total lease obligations $ 60,506 As of December 31, 2019 , the Company did not have any additional operating lease commitments that have not yet commenced. |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Deposits | The aggregate amount of time deposits in denominations of more than $250 thousand at December 31, 2019 and 2018 , was $1.86 billion and $1.77 billion , respectively. Included in time deposits of more than $250 thousand were $300.0 million in California State Treasurer’s deposits at December 31, 2019 and 2018 . The California State Treasurer’s deposits are subject to withdrawal based on the State’s periodic evaluations. The Company is required to pledge eligible collateral of at least 110% of outstanding deposits. At December 31, 2019 and 2018 , securities with fair values of approximately $333.2 million and $336.8 million , respectively, were pledged as collateral for the California State Treasurer’s deposits. The Company also utilizes brokered deposits as a secondary source of funds. Total brokered deposits at December 31, 2019 and December 31, 2018 , totaled $1.48 billion and $1.57 billion , respectively. Brokered deposits at December 31, 2019 consisted of $538.2 million in money market and NOW accounts and $940.5 million in time deposits accounts. Brokered deposits at December 31, 2018 consisted of $370.4 million in money market and NOW accounts and $1.20 billion in time deposits accounts. At December 31, 2019 , the scheduled maturities for time deposits were as follows: December 31, 2019 (Dollars in thousands) Scheduled maturities in: 2020 $ 5,050,023 2021 75,275 2022 14,110 2023 19,260 2024 302 Total $ 5,158,970 The following table presents the maturity schedules of time deposits in amounts of more than $250 thousand as of December 31, 2019 : December 31, 2019 (Dollars in thousands) Three months or less $ 638,019 Over three months through six months 372,606 Over six months through twelve months 811,238 Over twelve months 34,852 Total $ 1,856,715 Interest expense on deposits for the periods indicated is summarized as follows: Year Ended December 31, 2019 2018 2017 (Dollars in thousands) Money market and NOW $ 57,731 $ 43,252 $ 31,856 Savings deposits 2,596 1,889 1,354 Time deposits 129,831 89,817 41,692 Total deposit interest expense $ 190,158 $ 134,958 $ 74,902 |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Borrowings | BORROWINGS The Company maintains a line of credit with the Federal Home Loan Bank (“FHLB”) of San Francisco as a secondary source of funds. The borrowing capacity with the FHLB is limited to the lower of 25% of the Bank’s total assets or the Bank’s collateral capacity, which was $3.85 billion and $3.81 billion at December 31, 2019 and 2018 , respectively. The terms of this credit facility require the Company to pledge eligible collateral with the FHLB equal to at least 100% of outstanding advances. The Company also has an unsecured credit facility with the FHLB that totaled $95.0 million at December 31, 2019 . At December 31, 2019 and December 31, 2018, real estate secured loans with a carrying amount of approximately $6.76 billion and $6.01 billion , respectively, were pledged at the FHLB for outstanding advances and remaining borrowing capacity. At December 31, 2019 and 2018 , other than FHLB stock, no securities were pledged as collateral at the FHLB. The purchase of FHLB stock is a prerequisite to become a member of the FHLB system, and the Company is required to own a certain amount of FHLB stock based on outstanding borrowings. At December 31, 2019 and 2018 , FHLB advances totaling $625.0 million and $821.3 million , and had a weighted average effective interest rate of 1.84% and 1.78% , respectively. At December 31, 2019 $475.0 million in advances had fixed interest rates until maturity and $150.0 million in advances had variable interest rates as the advances were on an overnight basis. FHLB advances at December 31, 2019 had various maturities through December 2022 . The interest rates on FHLB advances as of December 31, 2019 ranged between 1.35% and 2.39% . At December 31, 2019 , the Company’s remaining borrowing capacity with the FHLB was $3.19 billion . At December 31, 2019 , the contractual maturities for outstanding FHLB advances were as follows: December 31, 2019 Scheduled maturities in: (Dollars in thousands) 2020 $ 335,000 2021 145,000 2022 145,000 Total $ 625,000 As a member of the Federal Reserve Bank (“FRB”) system, the Bank may also borrow from the FRB of San Francisco. The maximum amount that the Bank may borrow from the FRB’s discount window is up to 95% of the fair market value of the qualifying loans and securities that are pledged. At December 31, 2019 , the outstanding principal balance of the qualifying loans pledged at the FRB was $947.2 million and there were no investment securities pledged. At December 31, 2019 and December 31, 2018, the total available borrowing capacity at the FRB discount window was $740.6 million and $786.6 million , respectively. There were no borrowings outstanding at the FRB discount window as of December 31, 2019 and December 31, 2018. |
Subordinated Debentures
Subordinated Debentures | 12 Months Ended |
Dec. 31, 2019 | |
Subordinated Borrowings [Abstract] | |
Subordinated Debentures | SUBORDINATED DEBENTURES AND CONVERTIBLE NOTES Subordinated Debt At December 31, 2019 , the Company had nine wholly-owned subsidiary grantor trusts that had issued $126.0 million of pooled trust preferred securities. Trust preferred securities accrue and pay distributions periodically at specified annual rates as provided in the indentures. The trusts used the net proceeds from the offering to purchase a like amount of subordinated debentures (the “Debentures”). The Debentures are the sole assets of the trusts. The Company’s obligations under the subordinated debentures and related documents, taken together, constitute a full and unconditional guarantee by the Company of the obligations of the trusts. The trust preferred securities are mandatorily redeemable upon the maturity of the Debentures, or upon earlier redemption as provided in the indentures. The Company has the right to redeem the Debentures in whole (but not in part) on a quarterly basis at a redemption price specified in the indentures plus any accrued but unpaid interest to the redemption date. The Company also has a right to defer consecutive payments of interest on the debentures for up to five years . The following table is a summary of trust preferred securities and Debentures at December 31, 2019 : Issuance Trust Issuance Trust Preferred Carrying Value Rate Type Current Maturity (Dollars in thousands) Nara Capital Trust III 06/05/2003 $ 5,000 $ 5,155 Variable 5.04% 06/15/2033 Nara Statutory Trust IV 12/22/2003 5,000 5,155 Variable 4.84% 01/07/2034 Nara Statutory Trust V 12/17/2003 10,000 10,310 Variable 4.85% 12/17/2033 Nara Statutory Trust VI 03/22/2007 8,000 8,248 Variable 3.54% 06/15/2037 Center Capital Trust I 12/30/2003 18,000 14,235 Variable 4.84% 01/07/2034 Wilshire Statutory Trust II 03/17/2005 20,000 15,743 Variable 3.69% 03/17/2035 Wilshire Statutory Trust III 09/15/2005 15,000 11,134 Variable 3.29% 09/15/2035 Wilshire Statutory Trust IV 07/10/2007 25,000 18,042 Variable 3.27% 09/15/2037 Saehan Capital Trust I 03/30/2007 20,000 15,013 Variable 3.58% 06/30/2037 Total $ 126,000 $ 103,035 The carrying value of Debentures at December 31, 2019 and December 31, 2018 was $103.0 million and $101.9 million , respectively. At December 31, 2019 and December 31, 2018 , acquired Debentures had remaining discounts of $26.9 million and $28.0 million , respectively. The carrying balance of Debentures is net of remaining discounts and includes common trust securities. The Company’s investment in the common trust securities of the issuer trusts was $3.9 million at both December 31, 2019 and December 31, 2018 , and is included in other assets. Although the subordinated debt issued by the trusts are not included as a component of stockholders’ equity in the consolidated statements of financial condition, the debt is treated as capital for regulatory purposes. The Company’s trust preferred security debt issuances (less common trust securities) are includable in Tier 1 capital up to a maximum of 25% of capital on an aggregate basis as they were grandfathered in under BASEL III. Any amount that exceeds 25% qualifies as Tier 2 capital. Convertible Notes On May 11, 2018, the Company issued $200 million aggregate principal amount of 2.00% convertible senior notes maturing on May 15, 2038 in a private offering to qualified institutional buyers under Rule 144A of the Securities Act of 1933. Subsequently on June 7, 2018, an additional $17.5 million in convertible notes were issued as part of the initial offering over-allotment option. In total, the Company issued $217.5 million in convertible notes during the second quarter of 2018. The convertible notes can be converted into shares of the Company’s common stock at an initial rate of 45.0760 shares per $1,000 principal amount of the notes (equivalent to an initial conversion price of approximately $22.18 per share of common stock which represents a premium of 22.5% to the closing stock price on the date of the pricing of the notes). Holders of the convertible notes have the option to convert all or a portion of the notes at any time on or after February 15, 2023. Prior to February 15, 2023, the convertible notes cannot be converted unless under certain specified scenarios. The convertible notes can be called by the Company, in part or in whole, on or after May 20, 2023 for 100% of the principal amount in cash. Holders of the convertible notes also have the option to put the notes back to the Company on May 15, 2023, May 15, 2028, or May 15, 2033 for 100% of the principal amount in cash. The convertible notes can be settled in cash, stock, or a combination of stock and cash at the option of the Company. The convertible notes were issued as part of the Company’s plan to repurchase its common stock. On April 26, 2018, the Company’s Board of Directors approved a share repurchase program that authorized the Company to use up to $100.0 million of the proceeds from the convertible notes offering to repurchase its common stock. The net proceeds from the offering, after deducting the initial purchaser’s discount, was approximately $213.2 million . Of the total net proceeds, $113.2 million was down-streamed to the Bank as equity and the remaining $100.0 million was allocated for share repurchases. The Company used approximately $76.0 million of the allocated $100.0 million to repurchase shares of its common stock from purchasers of the convertible notes in privately negotiated transactions at a purchase price per share equal to the $18.11 per share closing price of the Company’s common stock on May 11, 2018. The Company repurchased the remaining $24.0 million in stock on the open market during the second half of 2018. In accordance with accounting principles, the convertible notes issued by the Company were separated into a debt component and an equity component which represents the stock conversion option. The present value of the convertible notes was calculated based on a discount rate of 4.25% , which represented the current offering rate for similar types of debt without conversion options. The effective life of the convertible notes was estimated to be 5 years based on the first call and put date. The difference between the principal amount of the notes and the present value was recorded as the convertible note discount and additional paid-in capital. The issuance costs related to the offering were also allocated into a debt component to be capitalized, and an equity component in the same percentage allocation of debt and equity of the convertible note. The value of the convertible note at issuance and carrying value as of December 31, 2019 and 2018 is presented in the tables below: As of December 31, 2019 Amortization/ Capitalization Period Gross Accumulated Carrying Amount (Dollars in thousands) Convertible notes principal balance $ 217,500 $ — $ 217,500 Discount 5 years (21,880 ) 6,659 (15,221 ) Issuance costs to be capitalized 5 years (4,119 ) 1,298 (2,821 ) Carrying balance of convertible notes $ 191,501 $ 7,957 $ 199,458 As of December 31, 2018 Amortization/ Gross Accumulated Carrying Amount (Dollars in thousands) Convertible notes principal balance $ 217,500 $ — $ 217,500 Discount 5 years (21,880 ) 2,544 (19,336 ) Issuance costs to be capitalized 5 years (4,119 ) 498 (3,621 ) Carrying balance of convertible notes $ 191,501 $ 3,042 $ 194,543 Interest expense on the convertible notes for the twelve months ended December 31, 2019 and 2018 totaled $9.3 million and $5.8 million , respectively. Interest expense for the Company’s convertible notes includes accrued interest on the convertible note coupon, non-cash interest expense representing the conversion option or note discount, and interest expense from capitalized issuance costs. Non-cash interest expense and issuance cost capitalization expense will only be recorded for the first five outstanding years of the convertible notes. Subsequent to May 15, 2023, interest expense on the convertible notes will consist of only accrued interest on the coupon. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES The following presents a summary of income tax provision follows for the years ended December 31: Current Deferred Total (Dollars in thousands) 2019 Federal $ 31,969 $ 874 $ 32,843 State 21,806 661 22,467 $ 53,775 $ 1,535 $ 55,310 2018 Federal $ 35,401 $ 2,336 $ 37,737 State 27,749 406 28,155 $ 63,150 $ 2,742 $ 65,892 2017 Federal $ 64,910 $ 31,464 $ 96,374 State 24,739 3,276 28,015 $ 89,649 $ 34,740 $ 124,389 On December 22, 2017, the U.S. government enacted comprehensive tax legislation commonly referred to as the Tax Cuts and Jobs Act (“Tax Act”). Among other changes, the Tax Act reduces the U.S. federal corporate tax rate from 35% to 21%. As of December 31, 2018, the Company completed the accounting for the income tax effects of the Tax Act. A reconciliation of the difference between the federal statutory income tax rate and the effective tax rate is shown in the following table for the years indicated: Year Ended December 31, 2019 2018 2017 Statutory tax rate 21.00 % 21.00 % 35.00 % State taxes-net of federal tax effect 8.73 % 8.56 % 7.04 % Rate change - federal and state — % 0.17 % 9.36 % CRA investment tax credit (4.93 )% (3.96 )% (3.50 )% Bank owned life insurance (0.06 )% (0.20 )% (0.09 )% Tax exempt municipal bonds and loans (0.22 )% (0.21 )% (0.45 )% Nondeductible transaction costs — % — % (0.02 )% Changes in uncertain tax positions (0.79 )% — % — % Other 0.71 % 0.43 % (0.19 )% Effective income tax rate 24.44 % 25.79 % 47.15 % Deferred tax assets and liabilities at December 31, 2019 and 2018 were comprised of the following: At December 31, 2019 2018 (Dollars in thousands) Deferred tax assets: Purchase accounting fair value adjustment $ 10,441 $ 16,239 Statutory bad debt deduction less than financial statement provision 23,588 22,904 Net operating loss carry-forward 1,834 2,092 Investment security provision 474 593 State tax deductions 3,810 4,240 Accrued compensation 151 148 Deferred compensation 94 175 Mark to market on loans held for sale 913 260 Depreciation 788 202 Nonaccrual loan interest 5,550 6,027 Other real estate owned 533 585 Unrealized loss on securities available for sale — 13,631 Non-qualified stock option and restricted share expense 2,348 1,420 Goodwill 31 117 Lease expense — 60 Lease expense - ROU asset 614 — Other 2,162 2,013 Total deferred tax assets $ 53,331 $ 70,706 Deferred tax liabilities: FHLB stock dividends $ (408 ) $ (617 ) Deferred loan costs (7,441 ) (6,816 ) State taxes deferred and other (2,516 ) (2,655 ) Prepaid expenses (1,359 ) (1,802 ) Amortization of intangibles (3,837 ) (4,524 ) Unrealized gain on securities available for sale (4,084 ) — Other (2,023 ) (3,379 ) Total deferred tax liabilities $ (21,668 ) $ (19,793 ) Net deferred tax assets $ 31,663 $ 50,913 Income tax expense is the total of the current year income tax due or refundable and the change in deferred tax assets and liabilities. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry forwards. 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. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion, or all, of the deferred tax asset will not be realized. In assessing the realization of deferred tax assets, management evaluates both positive and negative evidence, including the existence of any cumulative losses in the current year and the prior two years, the amount of taxes paid in available carry-back years, the forecasts of future income, applicable tax planning strategies, and assessments of current and future economic and business conditions. This analysis is updated quarterly and adjusted as necessary. Based on the analysis, the Company has determined that a valuation allowance for deferred tax assets was not required as of December 31, 2019 and 2018 . A summary of the Company’s net operating loss carry-forwards is as follows: Federal State Remaining Amount Expires Annual Limitation Remaining Amount Expires Annual Limitation (Dollars in thousands) 2019 Saehan Bank (acquired by Wilshire) $ 2,488 2030 $ 226 $ 2,488 2030 $ 226 Pacific International Bank 5,249 2032 420 — N/A — Total $ 7,737 $ 646 $ 2,488 $ 226 2018 Saehan Bank (acquired by Wilshire) $ 2,714 2030 $ 226 $ 2,714 2030 $ 226 Korea First Bank of New York 494 2019 497 — N/A — Pacific International Bank 5,669 2032 420 — N/A — Total $ 8,877 $ 1,143 $ 2,714 $ 226 The Company and its subsidiaries are subject to U.S. federal income tax as well as income tax of the state of California and various other states. The statute of limitations for the assessment of taxes for the consolidated Federal income tax return is closed for all tax years up to and including 2015. The expiration of the statute of limitations for the assessment of taxes for the various state income and franchise tax returns for the Company and subsidiaries varies by state. During the year ended December 31, 2019, the Texas Comptroller completed examinations for the 2015, 2016, and 2017 tax years with no adjustments to the tax returns filed. The Company (including Wilshire Bancorp, Inc. a predecessor entity) was under examination by the California Franchise Tax Board (“FTB”) for the 2011, 2012, and 2013 tax years. During the year ended December 31, 2019, the Company has effectively settled positions with the FTB Settlement Bureau for the 2011, 2012, and 2013 tax years. A reconciliation of the beginning and ending amount of unrecognized tax benefits for the years ended December 31, 2019 and 2018 is as follows: Year Ended December 31, 2019 2018 (Dollars in thousands) Balance at January 1, $ 2,314 $ 2,125 Additions based on tax positions related to prior years — 247 Settlements with taxing authorities (2,173 ) (58 ) Balance at December 31, $ 141 $ 2,314 The total amount of unrecognized tax benefits was $141 thousand at December 31, 2019 and $2.3 million at December 31, 2018 . The total amount of tax benefits that, if recognized, would favorably impact the effective tax rate by $136 thousand and $2.2 million at December 31, 2019 and 2018 , respectively. The Company expects the total amount of unrecognized tax benefits to decrease by $141 thousand within the next twelve months due to an anticipated settlement with a state tax authority. The Company recognizes interest and penalties related to income tax matters in income tax expense. The Company had approximately $34 thousand and $470 thousand accrued for interest expense at December 31, 2019 and 2018 , respectively and no amount accrued for penalties. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | STOCK-BASED COMPENSATION The Company previously awarded equity as a form of compensation under the 2016 stock-based incentive plan (the “2016 Plan”). The 2016 Plan was approved by the Company’s stockholders on September 1, 2016 and provided for grants of stock options, stock appreciation rights (“SARs”), restricted stock, performance shares, and performance units (sometimes referred to individually or collectively as “awards”) to non-employee directors, employees, and potentially consultants of the Company. The 2016 Plan initially had 2,400,000 shares that were available for grant to participants. On May 23, 2019, the Company’s stockholders approved the 2019 stock-based incentive plan (the “2019 Plan”) which provides for grants of stock options, SARs, restricted stock, performance shares, and performance units to non-employee directors, employees, and potentially consultants of the Company. Stock options may be either incentive stock options (“ISOs”), as defined in Section 422 of the Internal Revenue Code of 1986, as amended (the “Code”), or nonqualified stock options (“NQSOs”). The 2019 Plan replaces the 2016 Plan and stipulates that no further awards shall be made under prior plans. Therefore, future awards will only be issued from the 2019 Plan. The 2019 Plan provides the Company flexibility to (i) attract and retain qualified non-employee directors, executives, other key employees, and consultants with appropriate equity-based awards to; (ii) motivate high levels of performance; (iii) recognize employee contributions to the Company’s success; and (iv) align the interests of the participants with those of the Company’s stockholders. The 2019 Plan initially had 4,400,000 shares that were available for grant to participants. The exercise price for shares under an ISO may not be less than 100% of fair market value on the date the award is granted under the Code. Similarly, under the terms of the plans, the exercise price for SARs and NQSOs may not be less than 100% of fair market value on the date of grant. Performance units are awarded to participants at the market price of the Company’s common stock on the date of award (after the lapse of the restriction period and the attainment of the performance criteria). All options not exercised generally expire 10 years after the date of grant. ISOs, SARs, and NQSOs have vesting periods of three to five years and have 10 -year contractual terms. Restricted stock, performance shares, and performance units are granted with a restriction period of not less than one year from the grant date for performance-based awards and not more than three years from the grant date for time-based vesting of grants. Compensation expense for awards is recognized over the vesting period. Under the 2019 Plan, 4,020,192 shares were available for future grants as of December 31, 2019 . With the exception of the shares underlying stock options and restricted stock awards, the Board of Directors may choose to settle the awards by paying the equivalent cash value or by delivering the appropriate number of shares. The following is a summary of stock option activity under the 2016 Plan and 2019 Plan for the year ended December 31, 2019 : Number of Shares Weighted- Average Exercise Price Per Share Weighted- Average Remaining Contractual Life (Years) Aggregate Intrinsic Value (Dollars in thousands) Outstanding - January 1, 2019 982,631 $ 15.41 Granted — — Exercised (702 ) 13.10 Expired (20,718 ) 16.37 Forfeited (26,000 ) 17.18 Outstanding - December 31, 2019 935,211 $ 15.34 5.41 $ 1,040 Options exercisable - December 31, 2019 847,211 $ 15.15 5.27 $ 1,040 For stock options exercised during the year ended December 31, 2019 , the Company received cash totaling $9 thousand and the related tax benefit from the stock option exercises was $0 . The following is a summary of restricted and performance unit activity under the 2016 Plan and 2019 Plan for the year ended December 31, 2019 : Number of Shares Weighted- Average Grant Date Fair Value Outstanding - January 1, 2019 478,891 $ 16.37 Granted 784,728 13.20 Vested (119,147 ) 16.91 Forfeited (108,728 ) 14.70 Outstanding - December 31, 2019 1,035,744 $ 14.08 The total fair value of restricted and performance units vested for the years ended December 31, 2019 , 2018 , and 2017 was $1.6 million , $2.7 million , and $2.7 million , respectively. The amount charged against income related to stock based payment arrangements was $5.3 million , $3.7 million , and $3.2 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. At December 31, 2019 , unrecognized compensation expense related to non-vested stock option grants and restricted and performance units totaled $12.9 million and is expected to be recognized over a remaining weighted average vesting period of 2.0 years. The estimated annual stock-based compensation expense as of December 31, 2019 for each of the succeeding years is indicated in the table below: Stock Based Compensation Expense (Dollars in thousands) For the year ended December 31: 2020 $ 7,069 2021 4,623 2022 1,019 2023 167 2024 55 Total $ 12,933 In 2017, the Company adopted the Hope Employee Stock Purchase Plan (“ESPP”) which allows eligible employees to purchase the Company’s common shares through payroll deductions which build up between the offering date and the purchase date. At the purchase date, the Company uses the accumulated funds to purchase shares of the Company’s common stock on behalf of the participating employees at a 10% discount to the closing price of the Company’s common shares. The closing price is the lower of either the closing price on the first day of the offering period or on the closing price on the purchase date. The dollar amount of common shares purchased under the ESPP must not exceed 20% of the participating employee’s base salary, subject to a cap of $25 thousand in stock value based on the grant date. The ESPP is considered compensatory under GAAP and compensation expense for the ESPP is recognized as part of the Company’s stock based compensation expense. The compensation expense for ESPP for the years ended December 31, 2019 and 2018 was $217 thousand and $319 thousand , respectively. The Company did not have any compensation expenses for the ESPP for the year ended December 31, 2017. |
Employee Benefit Plans
Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2019 | |
Retirement Benefits [Abstract] | |
Employee Benefit Plans | EMPLOYEE BENEFIT PLANS Deferred Compensation Plan - The Company established a deferred compensation plan that permits eligible officers, key executives, and directors to defer a portion of their compensation. The deferred compensation plan is still in effect and was amended in 2007 to be in compliance with the new IRC §409(A) regulations. The deferred compensation, together with accrued accumulated interest, is distributable in cash after retirement or termination of service. The deferred compensation liabilities at December 31, 2019 and 2018 amounted to $765 thousand and $1.0 million , respectively, and were included in other liabilities in the consolidated statements of financial condition. Interest expense recognized under the deferred compensation plan totaled $34 thousand , $22 thousand , and $21 thousand for 2019 , 2018 , and 2017 , respectively. The Company established and the Board approved a Long Term Incentive Plan (“LTIP”) that rewards the named executive officers (“NEO”) with deferred compensation if the Company meets certain performance goals, the NEOs meet individual performance goals, and the NEOs remain employed for a pre-determined period (between five and ten years , depending on the officer). Only two NEOs are currently participating in the LTIP. The Company accrued $513 thousand , $510 thousand , and $455 thousand in 2019 , 2018 , and 2017 , respectively. 401(k) Savings Plan - The Company established a 401(k) savings plan, which is open to all eligible employees who are 21 years old or over and have completed three months of service. The Company matches 75% of the first 8% of the employee’s compensation contributed. Employer matching is vested 25% after 2 years of service, 50% after 3 years of service, 75% after 4 years of service, and 100% after 5 or more years of service. Total employer contributions to the plan amounted to approximately $4.2 million , $5.2 million , and $4.4 million for 2019 , 2018 and 2017 , respectively. Post-Retirement Benefit Plans - The Company has purchased life insurance policies and entered into split dollar life insurance agreements with certain directors and officers. Under the terms of the split dollar life insurance agreements, a portion of the death benefits received by the Company will be paid to beneficiaries named by the directors and officers. Total death benefits received by the Company was $1.8 million , $0 , and $382 thousand , for 2019 , 2018 , and 2017 , respectively. There were no death benefits received in 2018 . In 2016, the Company assumed Wilshire Bank’s Survivor Income Plans which was originally adopted in 2003 and 2005 for the benefit of the directors and officers in order to encourage their continued employment and service, and to reward them for their past contributions. Wilshire Bank had also entered into separate Survivor Income Agreements with officers and directors relating to the Survivor Income Plan. Under the terms of the Survivor Income Plan, each participant is entitled to a base amount of death proceeds as set forth in the participant’s election to participate, which base amount increases three percent per calendar year, but only until normal retirement age, which is 65. If the participant remains employed after age 65, the death benefit will be fixed at the amount determined at age 65. If a participant has attained age 65 prior to becoming a participant in the Survivor Income Plan, the death benefit shall be equal to the base amount set forth in their election to participate with no increases. The Company is obligated to pay any death benefit owed under the Survivor Income Plan in a lump sum within 90 days following the participant’s death. In 2011, the Company assumed Center Bank’s Survivor Income Plan which was adopted in 2004 for the benefit of the directors and officers of the bank in order to encourage their continued employment and service, and to reward them for their past contributions. Under the terms of the Survivor Income Plan, each participant is entitled to a base amount of death proceeds as set forth in the participant’s election to participate. The Company is obligated to pay any death benefit owed under the Survivor Income Plan in a lump sum within 90 days following the participant’s death. The participant’s rights under the Survivor Income Plans terminate upon termination of employment. Upon termination of employment (except for termination for cause), if the participant has achieved the vesting requirements outlined in the plan, the participant will have the option to convert the amount of death benefits calculated at such termination to a split dollar arrangement, provided such arrangement is available under bank regulations and/or tax laws. If available, the Company and the participant will enter into a split dollar agreement and a split dollar policy endorsement. Under such an arrangement, the Company would annually impute income to the officer or the director based on tax laws or rules in force upon conversion. The Company’s accumulated post-retirement benefit obligation at December 31, 2019 , 2018 , and 2017 was $7.9 million , $6.9 million , and $7.8 million , respectively. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES Legal Contingencies In the normal course of business, the Company is involved in various legal claims. The Company has reviewed all legal claims against the Company with counsel for the year ended December 31, 2019 and has taken into consideration the views of such counsel as to the potential outcome of the claims. Loss contingencies for all legal claims totaled $440 thousand and $755 thousand at December 31, 2019 and December 31, 2018 , respectively. It is reasonably possible the Company may incur losses in addition to the amounts the Company has accrued. However, at this time, the Company is unable to estimate the range of additional losses that are reasonably possible because of a number of factors, including the fact that certain of these litigation matters are still in their early stages and involve claims that the Company believes have little to no merit. The Company has considered these and other possible loss contingencies and does not expect the amounts to be material to the consolidated financial statements. Unfunded Commitments and Letters of Credit In the normal course of business, the Company is a party to financial instruments with off-balance sheet risk that are used to meet the financing needs of customers. These financial instruments include commitments to extend credit, standby letters of credit, commercial letters of credit, and commitments to fund investments in affordable housing partnerships. These instruments involve, to varying degrees, elements of credit and interest rate risk in excess of the amount recognized in the Consolidated Statements of Financial Condition. The Company’s exposure to credit loss in the event of nonperformance on commitments to extend credit and standby letters of credit is represented by the contractual notional amount of those instruments. The Company uses the same credit policies in making commitments and conditional obligations as the Company does for extending loan facilities to customers. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary upon extension of credit, is based on the Company’s credit evaluation of the counterparty. The types of collateral that the Company may hold can vary and may include accounts receivable, inventory, property, plant and equipment, and income-producing properties. Commitments at December 31, 2019 and 2018 are summarized as follows: At December 31, 2019 2018 (Dollars in thousands) Commitments to extend credit $ 1,864,947 $ 1,712,032 Standby letters of credit 113,720 69,763 Other letters of credit 37,627 65,822 Commitments to fund investments in affordable housing partnerships 28,480 46,507 Total $ 2,044,774 $ 1,894,124 Commitments and letters of credit generally have variable rates that are tied to the prime rate. The amount of fixed rate commitments is not considered material to this presentation. From time to time, the Company enters into certain types of contracts that contingently require the Company to indemnify parties against third party claims and other obligations customarily indemnified in the ordinary course of the Company’s business. The terms of such obligations vary, and, generally, a maximum obligation is not explicitly stated. Therefore, the overall maximum amount of the obligations cannot be reasonably estimated. The most significant of these contracts relate to certain agreements with the Company’s officers and directors under which the Company may be required to indemnify such persons for liabilities arising out of their employment relationship. Historically, the Company has not been obligated to make significant payments for these obligations, and no liabilities have been recorded for these obligations in its consolidated statements of financial condition as of December 31, 2019 and 2018 . |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements | FAIR VALUE MEASUREMENTS Fair value is defined as the exchange price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date reflecting assumptions that a market participant would use when pricing an asset or liability. There are three levels of inputs that may be used to measure fair value. The fair value inputs of the instruments are classified and disclosed in one of the following categories pursuant to ASC 820: Level 1 - Unadjusted quoted prices in active markets for identical assets or liabilities that the reporting entity has the ability to access at the measurement date. The quoted price shall not be adjusted for any blockage factor (i.e., size of the position relative to trading volume). Level 2 - Pricing inputs are inputs other than quoted prices included within Level 1 that are observable for the asset or liability, either directly or indirectly. Fair value is determined through the use of models or other valuation methodologies, including the use of pricing matrices. If the asset or liability has a specified (contractual) term, a Level 2 input must be observable for substantially the full term of the asset or liability. Level 3 - Pricing inputs are unobservable for the asset or liability. Unobservable inputs are used to measure fair value to the extent that observable inputs are not available, thereby allowing for situations in which there is little, if any, market activity for the asset or liability at the measurement date. The inputs into the determination of fair value require significant management judgment or estimation. In certain cases, the inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such cases, an asset’s or liability’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The Company’s assessment of the significance of a particular input to the fair value measurement in its entirety requires judgment and considers factors specific to the asset or liability. The Company uses the following methods and assumptions in estimating fair value disclosures for financial instruments. Financial assets and liabilities recorded at fair value on a recurring and non-recurring basis are listed as follows: Securities Available for Sale The fair values of securities available for sale are determined by obtaining quoted prices on nationally recognized securities exchanges (Level 1 inputs) or matrix pricing, which is a technique widely used 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 (Level 2 inputs). The fair values of the Company’s Level 3 securities available for sale were measured using an income approach valuation technique. The primary inputs and assumptions used in the fair value measurement were derived from the securities’ underlying collateral which included discount rates, prepayment speeds, payment delays, and an assessment of the risk of default of the underlying collateral, among other factors. Significant increases or decreases in any of the inputs or assumptions could result in a significant increase or decrease in the fair value measurement. Equity Investments With Readily Determinable Fair Value The fair value of the Company’s equity investments with readily determinable fair value is comprised of mutual funds. The fair value for these investments is obtained from unadjusted quoted prices in active markets on the date of measurement and is therefore classified as Level 1. Interest Rate Swaps The Company offers interest rate swaps to certain loan customers to allow them to hedge the risk of rising interest rates on their variable rate loans. The Company originates a variable rate loan and enters into a variable-to-fixed interest rate swap with the customer. The Company also enters into an offsetting swap with a correspondent bank. These back-to-back agreements are intended to offset each other and allow the Company to originate a variable rate loan, while providing a contract for fixed interest payments for the customer. The net cash flow for the Company is equal to the interest income received from a variable rate loan originated with the customer. The fair value of these derivatives is based on a discounted cash flow approach. Due to the observable nature of the inputs used in deriving the fair value of these derivative contracts, the valuation of interest rate swaps is classified as Level 2. Mortgage Banking Derivatives Mortgage banking derivative instruments consist of interest rate lock commitments and forward sale contracts that trade in liquid markets. The fair value is based on the prices available from third party investors. Due to the observable nature of the inputs used in deriving the fair value, the valuation of mortgage banking derivatives are classified as Level 2. Impaired Loans The fair values of impaired loans are generally measured for impairment using the practical expedients permitted by FASB ASC 310-10-35 including impaired loans measured at an observable market price (if available), or at the fair value of the loan’s collateral (if the loan is collateral dependent). Fair value of the loan’s collateral, when the loan is dependent on collateral, is determined by appraisals or independent valuation, less costs to sell of 8.5% . Appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and income approach. Adjustment may be made in the appraisal process by the independent appraiser to adjust for differences between the comparable sales and income data available for similar loans and the underlying collateral. For commercial business and asset backed loans, independent valuations may include a 20 - 60% discount for eligible accounts receivable and a 50 - 70% discount for inventory. These result in a Level 3 classification. OREO OREO is fair valued at the time the loan is foreclosed upon and the asset is transferred to OREO. The value is based primarily on third party appraisals, less costs to sell of up to 8.5% and result in a Level 3 classification of the inputs for determining fair value. OREO is reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted to lower of cost or market accordingly, based on the same factors identified above. Loans Held for Sale Loans held for sale are carried at the lower of cost or fair value, as determined by outstanding commitments from investors, or based on recent comparable sales (Level 2 inputs), if available, and if not available, are based on discounted cash flows using current market rates applied to the estimated life and credit risk (Level 3 inputs) or may be assessed based upon the fair value of the collateral which is obtained from recent real estate appraisals (Level 3 inputs). These appraisals may utilize a single valuation approach or a combination of approaches including the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are typically significant and result in Level 3 classification of the inputs for determining fair value. Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurements Using December 31, 2019 Quoted Prices Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (Dollars in thousands) Assets: Securities available for sale: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 736,655 $ — $ 736,655 $ — Mortgage-backed securities: Residential 352,897 — 352,897 — Commercial 552,124 — 552,124 — Corporate securities 4,200 — 4,200 — Municipal securities 70,111 — 69,035 1,076 Equity investments with readily determinable fair value 22,123 22,123 — — Interest rate swaps 10,353 — 10,353 — Mortgage banking derivatives 95 — 95 — Liabilities: Interest rate swaps 10,353 — 10,353 — Mortgage banking derivatives 16 — 16 — Fair Value Measurements Using December 31, 2018 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (Dollars in thousands) Assets: Securities available for sale: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 895,122 $ — $ 895,122 $ — Mortgage-backed securities: Residential 402,605 — 402,605 — Commercial 469,126 — 469,126 — Corporate securities 3,826 — 3,826 — Municipal securities 75,586 — 74,527 1,059 Equity investments with readily determinable fair value 23,405 23,405 — — Interest rate swaps 7,059 — 7,059 — Mortgage banking derivatives 10 — 10 — Liabilities: Interest rate swaps 7,059 — 7,059 — Mortgage banking derivatives 3 — 3 — There were no transfers between Level 1, 2, and 3 during the period ended December 31, 2019 and 2018 . The table below presents a reconciliation and income statement classification of gains (losses) for assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the years ended December 31, 2019 and 2018 : For the year ended December 31, 2019 2018 (Dollars in thousands) Beginning Balance, January 1 $ 1,059 $ 1,108 Change in fair value included in other comprehensive income (loss) 17 (49 ) Ending Balance, December 31 $ 1,076 $ 1,059 The Company measures certain assets at fair value on a non-recurring basis including impaired loans (excluding PCI loans), loans held for sale, and OREO. These fair value adjustments result from impairments recognized during the period, application of the lower of cost or fair value on loans held for sale, and the application of fair value less cost to sell on OREO. Assets measured at fair value on a non-recurring basis at December 31, 2019 and 2018 are summarized below: Fair Value Measurements Using December 31, 2019 Quoted Prices in Active Markets for Significant Other Significant (Dollars in thousands) Assets: Impaired loans at fair value: Real estate loans $ 9,519 $ — $ — $ 9,519 Commercial business 8,942 — — 8,942 OREO 19,086 — — 19,086 Fair Value Measurements Using December 31, 2018 Quoted Prices in Active Markets for Significant Other Significant (Dollars in thousands) Assets: Impaired loans at fair value: Real estate loans $ 9,379 $ — $ — $ 9,379 Commercial business 9,951 — — 9,951 Consumer 66 — — 66 OREO 5,659 — — 5,659 For assets measured at fair value on a non-recurring basis, the total net gains (losses) which include charge offs, recoveries, specific reserves, valuations, and recognized gains and losses on sales in 2019 and 2018 are summarized below: Year Ended December 31, 2019 2018 (Dollars in thousands) Assets: Impaired loans at fair value: Real estate loans $ 426 $ (4,511 ) Commercial business (2,428 ) (322 ) Trade finance 216 (364 ) Consumer (1,198 ) (1,155 ) Loans held for sale, net 165 — OREO 1,218 823 Fair Value of Financial Instruments Carrying amounts and estimated fair values of financial instruments, not previously presented, at December 31, 2019 and December 31, 2018 were as follows: December 31, 2019 Carrying Amount Estimated Fair Value Fair Value Measurement (Dollars in thousands) Financial Assets: Cash and cash equivalents $ 698,567 $ 698,567 Level 1 Interest bearing deposits in other financial institutions 29,162 29,235 Level 2 Equity investments without readily determinable fair values 26,967 26,967 Level 2 Loans held for sale 54,271 56,011 Level 2 Loans receivable, net 12,181,863 12,143,727 Level 3 Accrued interest receivable 30,772 30,772 Level 2/3 Servicing assets, net 16,417 18,966 Level 3 Customers’ liabilities on acceptances 1,117 1,117 Level 2 Financial Liabilities: Noninterest bearing deposits $ 3,108,687 $ 3,108,687 Level 2 Saving and other interest bearing demand deposits 4,259,707 4,259,707 Level 2 Time deposits 5,158,970 5,182,405 Level 2 FHLB advances 625,000 628,903 Level 2 Convertible notes, net 199,458 206,210 Level 1 Subordinated debentures, net 103,035 114,690 Level 2 Accrued interest payable 33,810 33,810 Level 2 Acceptances outstanding 1,117 1,117 Level 2 December 31, 2018 Carrying Estimated Fair Value Measurement Using (Dollars in thousands) Financial Assets: Cash and cash equivalents $ 459,606 $ 459,606 Level 1 Interest bearing deposits in other financial institutions 29,409 29,374 Level 2 Equity investments without readily determinable fair values 26,430 26,430 Level 2 Loans held for sale 25,128 25,943 Level 2 Loans receivable, net 12,005,558 11,913,906 Level 3 Accrued interest receivable 32,225 32,225 Level 2/3 Servicing assets, net 23,132 24,762 Level 3 Customers’ liabilities on acceptances 2,281 2,281 Level 2 Financial Liabilities: Noninterest bearing deposits $ 3,022,633 $ 3,022,633 Level 2 Saving and other interest bearing demand deposits 3,262,399 3,262,399 Level 2 Time deposits 5,870,624 5,889,030 Level 2 FHLB advances 821,280 810,812 Level 2 Convertible notes 194,543 180,525 Level 1 Subordinated debentures, net 101,929 116,542 Level 2 Accrued interest payable 31,374 31,374 Level 2 Acceptances outstanding 2,281 2,281 Level 2 The Company measures assets and liabilities for its fair value disclosures based on an exit price notion. Although the exit price notion represents the value that would be received to sell an asset or paid to transfer a liability, the actual price received for a sale of assets or paid to transfer liabilities could be different from exit price disclosed. The methods and assumptions used to estimate fair value are described as follows: The carrying amount is the estimated fair value for cash and cash equivalents, savings and other interest bearing demand deposits, equity investments without readily determinable fair values, customer’s and Bank’s liabilities on acceptances, noninterest bearing deposits, short-term debt, secured borrowings and variable rate loans or deposits that reprice frequently and fully. For loans the fair value is determined through a discounted cash flow analysis which incorporates probability of default and loss given default rates on an individual loan basis. The discount rate is based on the LIBOR Swap Rate for fixed rate loans, while variable loans start with the corresponding index rate and an adjustment was made on certain loans which considered factors such as servicing costs, capital charges, duration, asset type incremental costs, and use of projected cash flows. Residential real estate loans fair values included Fannie Mae and Freddie Mac prepayment speed assumptions or a third party index based on historical prepayment speeds. Fair value of time deposits is based discounted cash flow analysis using recent issuance rates over the prior three months and a market rate analysis of recent offering rates for retail products. Wholesale time deposits fair values incorporated brokered time deposit offering rates. The fair value of the Company’s subordinated debentures is based on current rates for similar financing. Fair value for the Company’s convertible notes is based on the actual last traded price of the notes. The fair value of commitments to fund loans represents fees currently charged to enter into similar agreements with similar remaining maturities and is not presented herein. The fair value of these financial instruments is not material to the consolidated financial statements. |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | DERIVATIVE FINANCIAL INSTRUMENTS The Company offers a loan hedging program to certain loan customers. Through this program, the Company originates a variable rate loan with the customer. The Company and the customer will then enter into a fixed interest rate swap. Lastly, an identical offsetting swap is entered into by the Company with a correspondent bank. These “back-to-back” swap arrangements are intended to offset each other and allow the Company to book a variable rate loan, while providing the customer with a contract for fixed interest payments. In these arrangements, the Company’s net cash flow is equal to the interest income received from the variable rate loan originated with the customer. These customer swaps are not designated as hedging instruments and are recorded at fair value in other assets and other liabilities. The changes in fair value is recognized in the income statement in other income and fees. The Company is required to hold cash as collateral for the swaps, which is recorded in other assets on the consolidated statement of financial condition. Total cash held as collateral for swaps was $8.9 million at December 31, 2019 and $8.9 million at December 31, 2018 . At December 31, 2019 and 2018 , interest rate swaps related to the Company’s loan hedging program that were outstanding is presented in the following table: December 31, 2019 December 31, 2018 (Dollars in thousands) Interest rate swaps on loans with correspondent banks (included in other assets) Notional amount $ 137,890 $ 237,916 Weighted average remaining term (years) 7.2 6.8 Pay fixed rate (weighted average) 3.62 % 4.36 % Received variable rate (weighted average) 3.83 % 4.69 % Estimated fair value $ 739 $ 6,191 Interest rate swaps on loans with correspondent banks (included in other liabilities) Notional amount $ 282,326 $ 36,972 Weighted average remaining term (years) 6.9 6.4 Pay fixed rate (weighted average) 4.48 % 5.12 % Received variable rate (weighted average) 3.98 % 4.56 % Estimated fair value $ (9,614 ) $ (868 ) Back to back interest rate swaps with loan customers (included in other liabilities) Notional amount $ 137,890 $ 237,916 Weighted average remaining term (years) 7.2 6.8 Received fixed rate (weighted average) 3.62 % 4.36 % Pay variable rate (weighted average) 3.83 % 4.69 % Estimated fair value $ (739 ) $ (6,191 ) Back to back interest rate swaps with loan customers (included in other assets) Notional amount $ 282,326 $ 36,972 Weighted average remaining term (years) 6.9 6.4 Received fixed rate (weighted average) 4.48 % 5.12 % Pay variable rate (weighted average) 3.98 % 4.56 % Estimated fair value $ 9,614 $ 868 The Company enters into various stand-alone mortgage-banking derivatives in order to hedge the risk associated with the fluctuation of interest rates. Changes in fair value are recorded as mortgage banking revenue. Residential mortgage loans funded with interest rate lock commitments and forward commitments for the future delivery of mortgage loans to third party investors are considered derivatives. At December 31, 2019 and December 31, 2018 , the Company had approximately $10.5 million and $874 thousand in interest rate lock commitments, respectively, and $10.5 million and $874 thousand , respectively, in total forward sales commitments for the future delivery of residential mortgage loans. The following table reflects the notional amount and fair value of mortgage banking derivatives as of the dates indicated: December 31, 2019 December 31, 2018 Notional Amount Fair Value Notional Amount Fair Value (Dollars in thousands) Assets: Interest rate lock commitments $ 10,540 $ 84 $ 874 $ 10 Forward sale contracts related to mortgage banking $ 4,532 $ 11 $ — $ — Liabilities: Interest rate lock commitments $ — $ — $ — $ — Forward sale contracts related to mortgage banking $ 6,008 $ (16 ) $ 874 $ 3 |
Stockholders' Equity
Stockholders' Equity | 12 Months Ended |
Dec. 31, 2019 | |
Stockholders’ Equity and Regulatory Matters [Abstract] | |
Stockholders' Equity and Regulatory Matters | STOCKHOLDERS’ EQUITY Total stockholders’ equity at December 31, 2019 was $2.04 billion , compared to $1.90 billion at December 31, 2018 . The increase in stockholders’ equity was due to the increase from income earned during the year and an increase in accumulated other comprehensive income partially offset by an increase in treasury stock from shares repurchased during 2019. In 2018, the Company recorded $21.4 million in additional paid-in capital from the convertible notes issued. The $21.4 million included $21.9 million for the equity component of the convertible notes offset by $461 thousand in issuance costs from the convertible notes that was allocated to equity. The Company also recorded a tax adjustment on the equity component of the convertible notes reducing additional paid-in capital by $6.4 million . In 2018, the Company repurchased 9,002,453 shares of its common stock totaling $150.0 million as part of the repurchase programs that were authorized by the Company’s Board of Directors in 2018. In June 2019, the Company’s Board of Directors approved another share repurchase program that authorizes the Company to repurchase up to $50.0 million of its common stock. During the year ended December 31, 2019, the Company repurchased 943,094 shares of common stock totaling $13.8 million . The repurchased shares were recorded as treasury stock and reduced the total number of common shares outstanding. Dividends The Company’s Board of Directors approved and the Company paid quarterly dividends of $0.14 per common share in each quarter of 2019. The Company paid aggregate dividends of $70.9 million to common stockholders in 2019 . The Company’s Board of Directors paid quarterly dividends of $0.13 per common share for the first and second quarter of 2018 and $0.14 per common share for the third and fourth quarters of 2018 . The Company paid aggregate dividends of $71.6 million to common stockholders during 2018 . Accumulated Other Comprehensive Income (Loss) The following table presents the changes to accumulated other comprehensive income (loss) for the years ended December 31, 2019 , 2018 , and 2017 : December 31, 2019 December 31, 2018 December 31, 2017 (Dollars in thousands) Balance at beginning of period $ (32,705 ) $ (21,781 ) $ (14,657 ) Unrealized gains (losses) on securities available for sale 59,851 (16,201 ) (5,796 ) Reclassification adjustments for net gains realized in income (282 ) — (301 ) Tax effect (17,715 ) 4,996 2,570 Total other comprehensive income (loss) 41,854 (11,205 ) (3,527 ) Reclassification to retained earnings due to the tax reform — — (3,597 ) Reclassification to retained earnings per ASU 2016-01 — 281 — Balance at end of period $ 9,149 $ (32,705 ) $ (21,781 ) For the twelve months ended December 31, 2019 , $282 thousand was reclassified out of accumulated other comprehensive income to reflect the gain on sale and calls of securities. For the twelve months ended December 31, 2018 and 2017 , $0 and $301 thousand , respectively, was reclassified out of accumulated other comprehensive loss to reflect the gain on sale and calls of securities. During the first quarter of 2018, the Company adopted ASU 2016-01 “Financial Instruments-Overall: Recognition and Measurement of Financial Assets and Financial Liabilities.” As a result of the adoption of ASU 2016-01, the Company no longer accounts for mutual funds as securities available for sale and accounts for these investments as equity investments with changes to fair value recorded through earnings. In accordance with ASU 2016-01, the Company reclassified $281 thousand in net unrealized losses included in other comprehensive income, net of taxes to retained earnings on January 1, 2018. As permitted by ASU 2018-02, the Company made the election to reclassify $3.6 million in disproportionate tax effects in accumulated other comprehensive income that resulted from the reduction in corporate tax rates as a result of the Tax Act to retained earnings for the year ended December 31, 2017. The Tax Act, which was enacted on December 22, 2017 and was effective starting January 1, 2018, permanently reduced the corporate tax rate from 35% to 21%. The disproportionate tax effect was a result of the re-evaluation of the Company’s deferred tax assets related to unrealized losses on investment securities available for sale at the lower tax rate. |
Regulatory Matters (Notes)
Regulatory Matters (Notes) | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Regulatory Matters | REGULATORY MATTERS The Company and the Bank are subject to various regulatory capital requirements administered by the federal and state banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a material and adverse effect on the Company’s and the Bank’s business, financial condition and results of operation, such as restrictions on growth or the payment of dividends or other capital distributions or management fees. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities and certain off-balance-sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk-weightings and other factors. In July 2013, the federal bank regulatory agencies adopted final regulations, which revised their risk-based and leverage capital requirements for banking organizations to meet requirements of the Dodd-Frank Act and to implement the Basel III international agreements reached by the Basel Committee. The final rules began for the Company and the Bank on January 1, 2015 and were subject to a phase-in period through January 1, 2019. The final rules that had an impact on the Company and the Bank include: • An increase in the minimum Tier 1 capital ratio from 4.00% to 6.00% of risk-weighted assets; • A new category and a required 4.50% of risk-weighted assets ratio was established for “Common Equity Tier 1” as a subset of Tier 1 capital limited to common equity; • A minimum non-risk-based leverage ratio was set at 4.00%, eliminating a 3.00% exception for higher rated banks; • Changes in the permitted composition of Tier 1 capital to exclude trust preferred securities, mortgage servicing rights and certain deferred tax assets and include unrealized gains and losses on available for sale debt and equity securities; • The risk-weights of certain assets for purposes of calculating the risk-based capital ratios are changed for high volatility commercial real estate acquisition, development and construction loans, certain past due non-residential mortgage loans and certain mortgage-backed and other securities exposures; and • A new additional capital conservation buffer of 2.50% of risk-weighted assets over each of the required capital ratios was added and must be met to avoid limitations on the ability of the B ank to pay dividends, repurchase shares, or pay discretionary bonuses. The capital conservation buffer for the Company was initially 0.625% in 2016 and increased 0.625% annually until fully phased-in in 2019. As of December 31, 2019 , the capital conservation buffer for the Company stood at 2.50%. As of December 31, 2019 , the ratios for the Company and the Bank were sufficient to meet the fully phased-in conservation buffer. As of December 31, 2019 and 2018 , the most recent regulatory notification categorized the Bank as “well-capitalized” under the regulatory framework for prompt corrective action. To generally be categorized as “well-capitalized”, the Bank must maintain minimum total risk-based, Tier 1 risk-based, common equity Tier 1, and Tier 1 leverage ratios as set forth in the following table. There are no conditions or events since the most recent notification from regulators that management believes has changed the institution’s category. The Company’s and the Bank’s capital levels and regulatory capital ratios are presented in the tables below: Actual Required For Capital Adequacy Purposes Minimum Capital Adequacy With Capital Conservation Buffer Required To Be Well Capitalized under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2019 Common equity tier 1 capital (to risk-weighted assets): Company $ 1,553,697 11.76 % $ 594,373 4.50 % $ 924,581 7.00 % N/A N/A Bank $ 1,811,862 13.72 % $ 594,320 4.50 % $ 924,498 7.00 % $ 858,462 6.50 % Total capital (to risk-weighted assets): Company $ 1,747,611 13.23 % $ 1,056,664 8.00 % $ 1,386,871 10.50 % N/A N/A Bank $ 1,906,642 14.44 % $ 1,056,569 8.00 % $ 1,386,747 10.50 % $ 1,320,711 10.00 % Tier I capital (to risk-weighted assets): Company $ 1,652,831 12.51 % $ 792,498 6.00 % $ 1,122,705 8.50 % N/A N/A Bank $ 1,811,862 13.72 % $ 792,427 6.00 % $ 924,498 8.50 % $ 1,056,569 8.00 % Tier I capital (to average assets): Company $ 1,652,831 11.22 % $ 589,367 4.00 % N/A N/A N/A N/A Bank $ 1,811,862 12.29 % $ 589,604 4.00 % N/A N/A $ 737,005 5.00 % Actual Required For Capital Adequacy Purposes Minimum Capital Adequacy With Capital Conservation Buffer Required To Be Well Capitalized under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2018 Common equity tier 1 capital (to risk-weighted assets): Company $ 1,458,344 11.44 % $ 573,723 4.50 % $ 812,774 6.375 % N/A N/A Bank $ 1,737,092 13.63 % $ 573,699 4.50 % $ 812,740 6.375 % $ 828,677 6.50 % Total capital (to risk-weighted assets): Company $ 1,649,664 12.94 % $ 1,019,952 8.00 % $ 1,259,004 9.875 % N/A N/A Bank $ 1,830,385 14.36 % $ 1,019,910 8.00 % $ 1,258,951 9.875 % $ 1,274,887 10.00 % Tier I capital (to risk-weighted assets): Company $ 1,556,371 12.21 % $ 764,964 6.00 % $ 1,004,015 7.875 % N/A N/A Bank $ 1,737,092 13.63 % $ 764,932 6.00 % $ 812,740 7.875 % $ 1,019,910 8.00 % Tier I capital (to average assets): Company $ 1,556,371 10.55 % $ 590,176 4.00 % N/A N/A N/A N/A Bank $ 1,737,092 11.76 % $ 590,639 4.00 % N/A N/A $ 738,299 5.00 % |
Revenue Recognition
Revenue Recognition | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | REVENUE RECOGNITION On January 1, 2018, the Company adopted ASU 2014-09 “Revenue from Contracts with Customers” (Topic 606). The implementation of the new standard did not have a material impact on the measurement or recognition of revenue and a cumulative effect adjustment to opening retained earnings was not material and deemed unnecessary. Topic 606 does not apply to revenue associated with financial instruments, including revenue from loans and securities. In addition, certain noninterest income streams such as fees associated with mortgage servicing rights, financial guarantees, derivatives, and certain credit card fees are also out of scope of the new guidance. Topic 606 is applicable to noninterest revenue streams such as deposit related fees, wire transfer fees, and certain OREO related net gains or expenses. However, the recognition of these revenue streams for the Company did not change significantly upon adoption of Topic 606. Noninterest revenue streams within the scope of Topic 606 are discussed below. Service Charges on Deposit Accounts and Wire Transfer Fees Service charges on noninterest and interest bearing deposit accounts consist of monthly service charges, customer analysis charges, non-sufficient funds (“NSF”) charges, and other deposit account related charges. The Company’s performance obligation for account analysis charges and monthly service charges is generally satisfied, and the related revenue is recognized over the period in which the service is provided. NSF charges, other deposit account related charges, and wire transfer fees are transaction based, and therefore the Company’s performance obligation is satisfied at the point of the transaction, and related revenue recognized at that point in time. Payment for service charges on deposit accounts is primarily received immediately or in the following month through a direct charge to customers’ accounts. Service charges on deposit accounts and wire transfers are summarized below: For the Year Ended December 31, 2019 2018 (Dollars in thousands) Noninterest bearing deposit account income: Monthly service charges $ 1,608 $ 1,772 Customer analysis charges 7,801 7,825 NSF charges 7,654 7,986 Other service charges 799 906 Total noninterest bearing deposit account income 17,862 18,489 Interest bearing deposit account income: Monthly service charges 71 62 Total service fees on deposit accounts $ 17,933 $ 18,551 Wire transfer fee income: Wire transfer fees $ 4,058 $ 4,463 Foreign exchange fees 500 471 Total wire transfer fees $ 4,558 $ 4,934 OREO Income (Expense) OREO are often sold in transactions that, under ASU 2014-09, may not be considered a contract with a customer because the sale of the asset may not be an output of the Company’s ordinary activities. However, sales of nonfinancial assets, including in-substance nonfinancial assets, should be accounted for in accordance with ASC 610-20, “ Other Income - Gains and Losses from the Derecognition of Nonfinancial Assets” , which requires the Company to apply certain measurement and recognition concepts of ASC 606. Accordingly, the Company recognizes the sale of a real estate property, along with any associated gain or loss, when control of the property transfers to the buyer. For sales of existing real estate properties, this generally will occur at the point of sale. When the Company finances the sale of OREO to the buyer, the Company must assess whether the buyer is committed to perform their obligations under the contract and whether collectability of the transaction price is probable. Once these criteria are met, the OREO asset is derecognized and the gain or loss on sale is recorded upon the transfer of control of the property to the buyer. Application of the new revenue recognition standard does not materially change the amount and the timing of the gain/loss on sale of OREO and other nonfinancial assets. The Company recognized a net loss of $14 thousand and a net gain of $408 thousand |
Earnings Per Share ("EPS")
Earnings Per Share ("EPS") | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Share | EARNINGS PER SHARE (“EPS”) Basic EPS does not reflect the possibility of dilution that could result from the issuance of additional shares of common stock upon exercise or conversion of outstanding equity awards or convertible notes and is computed by dividing net income by the weighted average number of common shares outstanding for the period. Diluted EPS reflects the potential dilution that could occur if stock options, convertible notes, or other contracts to issue common stock were exercised or converted to common stock that would then share in the Company’s earnings. For the years ended December 31, 2019 and 2018 , stock options and restricted shares awards of approximately 894 thousand and 617 thousand shares of common stock, respectively, were excluded in computing diluted earnings per common share because they were anti-dilutive. In 2018, the Company issued $217.5 million in convertible senior notes maturing on May 15, 2038. The convertible notes can be converted into the Company’s shares of common stock at an initial rate of 45.0760 shares per $1,000 principal amount of the notes (See footnote 10 “Subordinated Debentures and Convertible Notes” for additional information regarding convertible notes issued). For the year ended December 31, 2019 and 2018 , shares related to the convertible notes issued were not included in the Company’s diluted EPS calculation. In accordance with the terms of the convertible notes and settlement options available to the Company, no shares would have been delivered to investors of the convertible notes upon assumed conversion based on the Company’s common stock price during the year ended December 31, 2019 and 2018 . In 2018, the Company’s Board of Directors approved a share repurchase program that authorized the Company to repurchase up to $100.0 million in common stock and then approved another share repurchase program that authorized the Company to repurchase up to $50.0 million in common stock. During the year ended December 31, 2018, the Company repurchased 9,002,453 shares of common stock totaling $150.0 million . The Company’s Board of Directors approved another share repurchase program in June 2019 that authorized the Company to repurchase up to $50 million of its common stock. During the year ended December 31, 2019, the Company repurchased 943,094 shares of common stock totaling $13.8 million . The repurchased shares were recorded as treasury stock and reduced the total number of common shares outstanding. The following table shows the computation of basic and diluted EPS for the years ended December 31, 2019 , 2018 , and 2017 : Net Income (Numerator) Weighted Average Shares (Denominator) Earnings Per Share (Dollars in thousands, except share and per share data) 2019 Basic EPS - common stock $ 171,040 126,598,564 $ 1.35 Effect of dilutive securities: Stock options, restricted stock, performance awards, and ESPP shares 276,756 Diluted EPS - common stock $ 171,040 126,875,320 $ 1.35 2018 Basic EPS - common stock $ 189,589 131,716,726 $ 1.44 Effect of dilutive securities: Stock options, restricted stock, performance awards, and ESPP shares 237,466 Diluted EPS - common stock $ 189,589 131,954,192 $ 1.44 2017 Basic EPS - common stock $ 139,445 135,348,938 $ 1.03 Effect of dilutive securities: Stock options, restricted stock, and performance awards 336,031 Diluted EPS - common stock $ 139,445 135,684,969 $ 1.03 |
Servicing Assets
Servicing Assets | 12 Months Ended |
Dec. 31, 2019 | |
Transfers and Servicing [Abstract] | |
Servicing Assets | SERVICING ASSETS Servicing assets are recognized when SBA and residential mortgage loans are sold with the servicing retained by the Company and the related income is recorded as a component of gains on sales of loans. Servicing assets are initially recorded at fair value based on the present value of the contractually specified servicing fee, net of servicing costs, over the estimated life of the loan, using a discount rate. The Company’s servicing costs approximate the industry average of 40 basis points. All classes of servicing assets are subsequently measured using the amortization method which requires servicing rights to be amortized into noninterest income in proportion to, and over the period of, the estimated future net servicing income of the underlying loans. Management periodically evaluates servicing assets for impairment based upon the fair value of the rights as compared to the carrying amount. Impairment is determined by stratifying rights into groupings based on loan type. Impairment is recognized through a valuation allowance for an individual grouping, to the extent that fair value is less than the carrying amount. As of December 31, 2019 and 2018 , the Company did not have a valuation allowance on it servicing assets. The changes in net servicing assets for the year ended December 31, 2019 and 2018 were as follows: Year Ended December 31, 2019 2018 (Dollars in thousands) Balance at beginning of period $ 23,132 $ 24,710 Additions through originations of servicing assets 1,790 6,157 Amortization (8,505 ) (7,735 ) Balance at end of period $ 16,417 $ 23,132 Loans serviced for others are not reported as assets. The principal balances of loans serviced for other institutions were $1.35 billion as of December 31, 2019 and $1.55 billion as of December 31, 2018 . Total servicing assets at December 31, 2019 totaled $16.4 million and was comprised of $12.1 million in SBA servicing assets and $4.3 million in mortgage related servicing assets. At December 31, 2018 , servicing assets totaled $23.1 million , comprised of $18.7 million in SBA servicing assets and $4.4 million in mortgage related servicing assets. The Company utilizes the discounted cash flow method to calculate the initial excess servicing assets. The inputs used in evaluating servicing assets for impairment at December 31, 2019 and December 31, 2018 are presented below. December 31, 2019 December 31, 2018 SBA Servicing Assets: Weighted-average discount rate 9.19% 11.23% Constant prepayment rate 14.17% 11.09% Mortgage Servicing Assets: Weighted-average discount rate 9.25% 10.25% Constant prepayment rate 9.57% 7.13% |
Condensed Financial Statements
Condensed Financial Statements of Parent Company | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Financial Statement of Parent Company | CONDENSED FINANCIAL STATEMENTS OF PARENT COMPANY The following presents the unconsolidated condensed statements of financial condition for only the parent company, Hope Bancorp, as of December 31, 2019 and 2018 : STATEMENTS OF FINANCIAL CONDITION December 31, 2019 2018 (Dollars in thousands) ASSETS: Cash and cash equivalents $ 38,981 $ 12,593 Equity investments — 525 Other assets 6,703 5,704 Investment in bank subsidiary 2,294,175 2,181,959 TOTAL ASSETS $ 2,339,859 $ 2,200,781 LIABILITIES: Convertible notes, net $ 199,458 $ 194,543 Subordinated debentures, net 103,035 101,929 Accounts payable and other liabilities 1,355 1,098 Total liabilities 303,848 297,570 STOCKHOLDERS’ EQUITY 2,036,011 1,903,211 TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY $ 2,339,859 $ 2,200,781 The following presents the unconsolidated condensed statements of income for only the parent company, Hope Bancorp, for the years ended December 31, 2019 , 2018 , and 2017 : STATEMENTS OF INCOME AND COMPREHENSIVE INCOME Years Ended December 31, 2019 2018 2017 (Dollars in thousands) Interest income $ — $ — $ — Interest expense (16,001 ) (12,152 ) (5,089 ) Noninterest income 175 525 — Noninterest expense (4,386 ) (4,855 ) (5,988 ) Dividend from subsidiary, net 120,000 10,000 70,000 Equity in undistributed earnings of subsidiary 65,713 191,161 76,397 Income before income tax benefit 165,501 184,679 135,320 Income tax benefit 5,539 4,910 4,125 Net income 171,040 189,589 139,445 Other comprehensive income (loss), net of tax 41,854 (11,205 ) (3,527 ) Comprehensive income $ 212,894 $ 178,384 $ 135,918 The following presents the unconsolidated condensed statements of cash flows for only the parent company, Hope Bancorp, for the years ended December 31, 2019 , 2018 , and 2017 : STATEMENTS OF CASH FLOWS Years Ended December 31, 2019 2018 2017 (Dollars in thousands) CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ 171,040 $ 189,589 $ 139,445 Adjustments to reconcile net income to net cash from operating activities: Amortization 6,021 4,118 1,045 Stock-based compensation expense — 300 523 Net change in fair value of equity investments with readily determinable fair value (175 ) (525 ) — Change in other assets (999 ) 4,534 665 Change in accounts payable and other liabilities 257 653 (17 ) Equity in undistributed earnings of bank subsidiary (65,713 ) (191,161 ) (76,397 ) Net cash from operating activities 110,431 7,508 65,264 CASH FLOWS FROM INVESTING ACTIVITIES: Proceeds from sale of equity investments 700 — — Net cash from investing activities 700 — — CASH FLOWS USED IN FINANCING ACTIVITIES: Issuance of additional stock pursuant to various stock plans 12 469 1,865 Proceeds from convertible notes, net of issuance fees — 212,920 — Purchase of treasury stock (13,820 ) (150,000 ) — Payments of cash dividends (70,935 ) (71,631 ) (67,661 ) Net cash used in financing activities (84,743 ) (8,242 ) (65,796 ) NET CHANGE IN CASH AND CASH EQUIVALENTS 26,388 (734 ) (532 ) CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR 12,593 13,327 13,859 CASH AND CASH EQUIVALENTS, END OF YEAR $ 38,981 $ 12,593 $ 13,327 |
Quarterly Financial Data (Unaud
Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Data (unaudited) | QUARTERLY FINANCIAL DATA (UNAUDITED) Summarized unaudited quarterly financial data follows for the three months ended: 2019 Quarter Ended, March 31 June 30 September 30 December 31 (Dollars in thousands, except per share data) Interest income $ 173,130 $ 173,466 $ 172,417 $ 165,773 Interest expense 53,522 56,245 56,159 52,265 Net interest income before provision for loan losses 119,608 117,221 116,258 113,508 Provision for loan losses 3,000 1,200 2,100 1,000 Net interest income after provision for loan losses 116,608 116,021 114,158 112,508 Noninterest income 11,422 12,287 12,995 12,979 Noninterest expense 70,833 71,371 69,995 70,429 Income before income tax provision 57,197 56,937 57,158 55,058 Income tax provision 14,439 14,256 14,566 12,049 Net income $ 42,758 $ 42,681 $ 42,592 $ 43,009 Basic earnings per common share $ 0.34 $ 0.34 $ 0.34 $ 0.34 Diluted earnings per common share $ 0.34 $ 0.34 $ 0.34 $ 0.34 2018 Quarter Ended, March 31 June 30 September 30 December 31 (Dollars in thousands, except per share data) Interest income $ 150,410 $ 159,910 $ 167,826 $ 172,026 Interest expense 30,342 37,091 44,679 50,133 Net interest income before provision for loan losses 120,068 122,819 123,147 121,893 Provision for loan losses 2,500 2,300 7,300 2,800 Net interest income after provision for loan losses 117,568 120,519 115,847 119,093 Noninterest income 19,850 15,269 13,447 11,614 Noninterest expense 68,453 71,629 67,455 70,189 Income before income tax provision 68,965 64,159 61,839 60,518 Income tax provision 17,733 16,629 15,461 16,069 Net income $ 51,232 $ 47,530 $ 46,378 $ 44,449 Basic earnings per common share $ 0.38 $ 0.36 $ 0.36 $ 0.35 Diluted earnings per common share $ 0.38 $ 0.36 $ 0.36 $ 0.35 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Principles of Consolidation | Principles of Consolidation— The accounting and reporting policies of the Company are in accordance with accounting principles generally accepted in the United States of America and conform to practices within the banking industry. The consolidated financial statements include the accounts of the Company and its wholly-owned subsidiaries, principally the Bank. Intercompany transactions and balances are eliminated in consolidation. |
Cash Flows | —Cash and cash equivalents include cash and due from banks, interest-earning deposits, and federal funds sold, which have original maturities less than 90 days. The Company may be required to maintain reserve and clearing balances with the Federal Reserve Bank under the Federal Reserve Act. The reserve and clearing requirement balance was $0 at December 31, 2019 and 2018 . Net cash flows are reported for customer loan and deposit transactions, federal funds purchased, deferred income taxes, and other assets and liabilities. |
Interest-Bearing Deposits in Other Financial Institutions and Other Investments | Interest-Bearing Deposits in Other Financial Institutions —Interest-bearing deposits in other financial institutions are comprised of the Company’s investments in certificates of deposits that have original maturities greater than 90 days |
Securities | Securities— Securities are classified and accounted for as follows: (i) Securities that the Company has the positive intent and ability to hold to maturity are classified as “held to maturity” and reported at amortized cost. At December 31, 2019 and 2018 , the Company did not own securities in this category; (ii) Securities are classified as “available for sale” when they might be sold before maturity and are reported at fair value. Unrealized holding gains and losses are reported as a separate component of stockholders’ equity in accumulated other comprehensive income (loss), net of taxes. Accreted discounts and amortized premiums on securities are included in interest income using the interest method, and realized gains or losses related to sales of securities recorded on trade date and are calculated using the specific identification method, without anticipating prepayments, except for mortgage-backed securities where prepayments are expected. Management evaluates securities for other than temporary impairment (“OTTI”) at least on a quarterly basis and more frequently when economic conditions warrant such evaluation. For securities in an unrealized loss position, management considers the extent and duration of the unrealized loss and the financial condition and near-term prospects of the issuer. Management also assesses whether it intends to sell, or it is more likely than not that it will be required to sell, a security in an unrealized loss position before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the entire difference between amortized cost and fair value is recognized as impairment through earnings. For debt securities that do not meet the aforementioned criteria, the amount of impairment is split into two components as follows: 1) OTTI related to credit loss, which must be recognized in the income statement and 2) OTTI related to other factors, which is recognized in other comprehensive income. The credit loss is defined as the difference between the present value of the cash flows expected to be collected and the amortized cost basis. |
Equity Investments | On January 1, 2018, the Company adopted ASU 2016-01 and reclassified its mutual funds, equity stock, correspondent bank stock, Community Development Financial Institutions Fund (“CDFI”) investments, and Community Reinvestment Act (“CRA”) investments as equity investments. The Company’s mutual funds are considered equity investments with readily determinable fair values and changes to fair value are recorded in other noninterest income. The Company’s investment in correspondent bank stock, CDFI investments, and CRA investments are equity investments without readily determinable fair values. Equity investments without readily determinable fair values are measured at cost, less impairment, and are adjusted for observable price changes which is recorded in noninterest income. |
Derivative Financial Instruments and Hedging Transactions | Derivative Financial Instruments and Hedging Transactions —As part of the Company’s asset and liability management strategy, the Company may enter into derivative financial instruments, such as interest rate swaps, and caps and floors, with the overall goal of minimizing the impact of interest rate fluctuations on net interest margin. The Company’s interest rate swaps and caps involve the exchange of fixed rate and variable rate interest payment obligations without the exchange of the underlying notional amounts and are therefore accounted for as stand-alone derivatives. Changes in the fair value of the stand-alone derivatives are reported in earnings as noninterest income. Residential mortgage loans funded with interest rate lock commitments and forward commitments for the future delivery of mortgage loans to third party investors, are both considered derivatives. The Company accounts for loan commitments related to the origination of mortgage loans that will be held-for-sale as derivatives at fair value on the balance sheet, with changes in fair value recorded in earnings in the period in which the changes occur. As part of the Company’s overall risk management, the Company’s Asset Liability Committee, which meets monthly, monitors and measures interest rate risk and the sensitivity of assets and liabilities to interest rate changes, including the impact of derivative transactions. |
Loans | Loans— Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of any purchase discounts, unearned interest, deferred loan fees and costs, and allowance for loan losses. Interest income is accrued on the unpaid principal balance. Nonrefundable loan origination fees and certain direct origination costs are deferred and recognized in interest income using the level-yield method over the life of the loan. Interest on loans is credited to income as earned and is accrued only if deemed collectible. Generally, loans are placed on nonaccrual status and the accrual of interest is discontinued if principal or interest payments become 90 days past due and/or management deems the collectibility of the principal and/or interest to be in question. Loans to a customer whose financial condition has deteriorated are considered for nonaccrual status whether or not the loan is 90 days or more past due. Generally, payments received on nonaccrual loans are recorded as principal reductions. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. Other loan fees and charges, representing service costs for the prepayment of loans, for delinquent payments, or for miscellaneous loan services, are recorded as income when collected. Loans are categorized into risk categories based on relevant information about the ability of borrowers to service their debt, including, but not limited to, current financial information, historical payment experience, credit documentation, public information, and current economic trends. The Company analyzes loans individually by classifying the loans as to credit risk. This analysis includes all loans with the exception of homogeneous loans, or loans that are evaluated together in pools of similar loans (i.e., home mortgage loans, home equity lines of credit, overdraft loans, express business loans, and automobile loans). This analysis is performed at least on a quarterly basis. Homogeneous loans are not risk rated and credit risk is analyzed largely by the number of days past due. The Company uses the following definitions for risk ratings: • Pass: Loans that meet a preponderance or more of the Company’s underwriting criteria and that evidence an acceptable level of risk. • Special Mention: Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. • Substandard: Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the borrower or by the collateral pledged, if any. Loans in this classification have a well-defined weakness or weaknesses that jeopardize the repayment of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. • Doubtful/Loss: Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or repayment in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Allowance for Loan Losses —The allowance for loan losses is a valuation allowance for probable incurred credit losses that are inherent in the loan portfolio. Loan losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged off. The allowance consists of specific and general components. The specific component relates to loans that are individually classified as impaired. The general component covers non-impaired loans and is based on historical loss experience adjusted for qualitative factors. The general component covers non-impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience is determined by portfolio segment. The Company further segregates these segments between loans accounted for under the amortized cost method (referred to as “Legacy Loans”) and acquired loans (referred to as “Acquired Loans”), as Acquired Loans were originally recorded at fair value with no carryover of the related allowance for loan losses. The historical loss experience for Legacy Loans is based on the actual loss history experienced by the Company. The loss experience is supplemented with other economic factors based on the risks present for each portfolio segment. These economic factors include consideration of the following: levels of and trends in delinquencies and impaired loans; levels of and trends in charge-offs and recoveries; trends in volume and terms of loans; effects of any changes in risk selection and underwriting standards; other changes in lending policies, procedures, and practices; experience, ability, and depth of lending management and other relevant staff; national and local economic trends and conditions; industry conditions; and effects of changes in credit concentrations. The following major portfolio segments have been identified: real estate loans (residential, commercial, and construction), commercial business loans, trade finance loans, and consumer/other loans. Due to the overall high level of real estate loans within the loan portfolio as a whole, as compared to other portfolio segments, for risk assessment and allowance purposes this segment was segregated into more granular pools by collateral property type. The Company’s real estate loan portfolio is subject to certain risks, including: a decline in the economies of our primary markets, interest rate increases, a reduction in real estate values in our primary markets, increased competition in pricing and loan structure, and environmental risks, including natural disasters. Our commercial business and trade finance loan portfolio are subject to certain risks, including: a decline in the economy in our primary markets, interest rate increases, and deterioration of a borrower’s or guarantor’s financial capabilities. The Company’s consumer loan portfolio is subject to the same risk associated with the Company’s commercial business loan portfolio but also includes risk related to consumer bankruptcy laws which allow consumers to discharge certain debts. The Company uses a loan migration analysis which is a formula methodology based on the Company’s actual historical net charge off experience for each loan class (type) pool and risk grade. The migration analysis is centered on the Company’s internal credit risk rating system. The Company’s internal loan review and external contracted credit review examinations are used to determine and validate loan risk grades. This credit review system takes into consideration factors such as: borrower’s background and experience; historical and current financial condition; credit history and payment performance; economic conditions and their impact on various industries; type, fair value and volatility of the fair value of collateral; lien position; and the financial strength of any guarantors. A general loan loss allowance is provided on loans not specifically identified as impaired (“non-impaired loans”). The Company’s general loan loss allowance has two components: quantitative and qualitative risk factors. The quantitative risk factors are based on a historical loss migration methodology. The loans are classified by class and risk grade and the historical loss migration is tracked for the various classes. Loss experience is quantified for a specified period and then weighted to place more significance to the most recent loss history. That loss experience is then applied to the stratified portfolio at each quarter end. Additionally, in order to systematically quantify the credit risk impact of other trends and changes within the loan portfolio, the Company utilizes qualitative adjustments to the migration analysis within established parameters. The parameters for making adjustments are established under a Credit Risk Matrix that provides different possible scenarios for each of the factors below. The Credit Risk Matrix and the possible scenarios enable the Company to qualitatively adjust the Loss Migration Ratio by as much as 50 basis points for each loan type pool. This matrix considers the following nine factors, which are patterned after the guidelines provided under the Federal Financial Institutions Examination Council (“FFIEC”) Interagency Policy Statement on the Allowance for Loan and Lease Losses: • Changes in lending policies and procedures, including underwriting standards and collection, charge-off, and recovery practices. • Changes in national and local economic and business conditions and developments, including the condition of various market segments. • Changes in the nature and volume of the loan portfolio. • Changes in the experience, ability and depth of lending management and staff. • Changes in the trends of the volume and severity of past due loans, Classified Loans, nonaccrual loans, troubled debt restructurings and other loan modifications. • Changes in the quality of the Company’s loan review system and the degree of oversight by the Directors. • Changes in the value of underlying collateral for collateral-dependent loans. • The existence and effect of any concentrations of credit and changes in the level of such concentrations. • The effect of external factors, such as competition and legal and regulatory requirements, on the level of estimated losses in the Company’s loan portfolio. The Company also establishes specific loss allowances for loans that have identified potential credit risk conditions or circumstances related to a specific individual credit. The specific allowance amounts are determined in accordance with ASC 310-10-35-22, “Measurement of Impairment.” The loans identified as impaired will be accounted for in accordance with one of the three acceptable valuation methods: 1) the present value of 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. For the collateral dependent impaired loans, the Company obtains a new appraisal to determine the amount of impairment as of the date that the loan became impaired. The appraisals are based on an “as-is” valuation. To ensure that appraised values remain current, the Company either obtains updated appraisals every twelve months from a qualified independent appraiser or an internal evaluation of the collateral is performed by qualified personnel. If the third party market data indicates that the value of the collateral property has declined since the most recent valuation date, management adjusts the value of the property downward to reflect current market conditions. If the fair value of the collateral is less than the recorded amount of the loan, the Company recognizes impairment by creating or adjusting an existing valuation allowance with a corresponding charge to the provision for loan losses. If an impaired loan is expected to be collected through liquidation or operation of the underlying collateral, the loan is deemed to be collateral dependent and the amount of impairment is charged off against the allowance for loan losses. The Company considers a loan to be impaired when it is probable that not all amounts due (principal and interest) will be collectible in accordance with the contractual terms of the loan agreement. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. The significance of payment delays and payment shortfalls is determined on a case-by-case basis by taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. For commercial business loans, real estate loans, and certain consumer loans, management bases the measurement of loan impairment on the present value of the expected future cash flows, discounted at the loan’s effective interest rate, or on the fair value of the loan’s collateral if the loan is collateral dependent. The scope for evaluation of individual impairment includes all impaired loans greater than $500 thousand. The Company evaluates most loans of $500 thousand or less for impairment on a collective basis because these loans generally have smaller balances and are homogeneous in the underwriting of terms and conditions. If a loan is deemed to be impaired, the amount of the impairment is supported by a specific allowance which is included in the allowance for loan losses through a charge to the provision for loan losses. The allowance for loan losses for acquired credit impaired loans is based upon expected cash flows for these loans. To the extent that a deterioration in borrower credit quality results in a decrease in expected cash flows subsequent to the acquisition of the loans, an allowance for loan losses would be established based on the Company’s estimate of future credit losses over the remaining life of the loans. Acquired Loans —Loans that the Company acquires are recorded at fair value with no carryover of the related allowance for loan losses. On the date of acquisition, the Company considers acquired classified loans credit impaired loans (“Purchased Credit Impaired Loans” or “PCI loans”) under the provisions of Accounting Standards Codification (“ASC”) 310-30, Loans and Debt Securities Acquired with Deteriorated Credit Quality . On the date of acquisition, loans without credit impairment (“Acquired Performing Loans” or “Non-PCI loans”) are not accounted for under ASC 310-30. Acquired loans are placed in pools with similar risk characteristics and recorded at fair value as of the acquisition date. For PCI loans, the cash flows expected to be received over the life of the pools were estimated by management with the assistance of a third party valuation specialist. These cash flows were utilized in calculating the carrying values of the pools and underlying loans, book yields, effective interest income and impairment, if any, based on actual and projected events. Default rates, loss severity and prepayment speed assumptions are periodically reassessed and updated within the accounting model to update the expectation of future cash flows. The excess of the cash expected to be collected over the pools’ carrying value is considered to be the accretable yield and is recognized as interest income over the estimated life of the loan or pool using the effective interest yield method. The accretable yield may change due to changes in the timing and amounts of expected cash flows. Changes in the accretable yield is disclosed quarterly. For PCI loans, the excess of the contractual balances due over the cash flows expected to be collected is considered to be nonaccretable difference. The nonaccretable difference represents the Company’s estimate of the credit losses expected to occur and was considered in determining the fair value of the loans as of the date of acquisition. Subsequent to the date of acquisition, any increases in expected cash flows over those expected at purchase date in excess of fair value are adjusted through the accretable difference on a prospective basis. Any subsequent decreases in expected cash flows over those expected at the acquisition date are recognized by recording a provision for loan losses that will maintain the original expected yield. PCI loans that met the criteria for nonaccrual of interest prior to the acquisition may be considered performing upon acquisition, regardless of whether the customer is contractually delinquent, if management can reasonably estimate the timing and amount of the expected cash flows on such loans and if management expects to fully collect the new carrying value of the loans. As such, management may no longer consider the loan to be nonaccrual or nonperforming and may accrue interest on these loans, including the impact of any accretable discount. Management has determined that future cash flows are reasonably estimable on any such acquired loans that are past due 90 days or more and accruing interest. Management expects to fully collect the carrying value of the loans. |
FHLB Stock | FHLB Stock —The Bank is a member of the FHLB system. Members are required to own a certain amount of stock based on the level of borrowings and other factors, and may invest in additional amounts. FHLB stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. |
Premises and Equipment | Premises and Equipment —Premises and equipment are stated at cost less accumulated depreciation and amortization. Depreciation and amortization of premises and equipment are computed on the straight-line method over the following estimated useful lives: |
OREO | OREO —OREO, which represents real estate acquired through foreclosure in satisfaction of commercial and real estate loans, is stated at fair value less estimated selling costs of the real estate. Loan balances in excess of the fair value of the real estate acquired at the date of acquisition are charged to the allowance for loan losses. Any subsequent operating expenses or income, reduction in estimated fair values, and gains or losses on disposition of such properties are charged or credited to current operations. For the year ended December 31, 2019 , the Company foreclosed on properties with an aggregate carrying value of $19.4 million . The Company recorded $167 thousand in net valuation gains subsequent to the foreclosures during the year ended December 31, 2019 , and the Company sold OREO properties for total proceeds of $3.2 million during the year. |
Leases | Leases —operating lease right-of-use (“ROU”) assets represent the Company’s right to use the underlying asset during the lease term and operating lease liabilities represent the Company’s obligation to make lease payments arising from the lease. ROU assets and operating lease liabilities are recognized at lease commencement based on the present value of the future lease payments using the Company’s incremental borrowing rate. The Company calculates its incremental borrowing rate by adding a spread to the FHLB borrowing interest rate at a given period. The Company does not capitalize short-term leases, which are leases with terms of twelve months or less. ROU assets and related operating lease liabilities are remeasured when lease terms are amended, extended, or when management intends to exercise available extension options. Operating lease expense, which is comprised of amortization of the ROU asset and the implicit interest accreted on the operating lease liability, is recognized on a straight-line basis over the lease term and is recorded in occupancy expense in the consolidated statements of income. The Company’s occupancy expense also includes variable lease costs which is comprised of the Company's share of actual costs for utilities, common area maintenance, property taxes, and insurance that are not included in lease liabilities and are expensed as incurred. Variable lease costs also include rent escalations based on changes to indices, such as the Consumer Price Index. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets— Goodwill is generally determined as the excess of the fair value of the consideration transferred, plus the fair value of any non-controlling interests in the acquiree, over the fair value of the net assets acquired and liabilities assumed as of the acquisition date. Goodwill and intangible assets acquired in a purchase business combination and determined to have an indefinite useful life are not amortized but tested for impairment at least annually. In accordance with ASC 350 “ Intangibles - Goodwill and Other ”, the Company makes a qualitative assessment of whether it is more likely than not that a reporting unit’s fair value is less than its carrying amount before applying the two-step goodwill impairment test. If management concludes that it is not more likely than not that the fair value of a reporting unit is less than its carrying amount, the two-step impairment test is bypassed. Management assessed the qualitative factors related to goodwill as of December 31, 2019 . Goodwill is also tested for impairment on an interim basis if circumstances change or an event occurs between annual tests that would more likely than not reduce the fair value of the reporting unit below its carrying amount. Significant judgment is applied when goodwill is assessed for impairment. This judgment includes developing cash flow projections, selecting appropriate discount rates, identifying relevant market comparables, incorporating general economic and market conditions and selecting an appropriate control premium. The selection and weighting of the various fair value techniques may result in a higher or lower fair value. Judgment is applied in determining the weighting that is most representative of fair value. Intangible assets with definite useful lives are amortized over their estimated useful lives to their estimated residual values. Core deposit intangibles are amortized over a seven to ten year period. |
Loan Servicing Assets | Loan Servicing Assets— The Company previously sold the guaranteed portion of SBA loans and retained the unguaranteed portion (“retained interest”). However, starting December 2018, the Company has chosen to retain the guaranteed portion of SBA loans. A portion of the premium on sale of SBA loans is recognized as gain on sale of loans at the time of the sale by allocating the carrying amount between the asset sold and the retained interest, including these servicing assets, based on their relative fair values. The remaining portion of the premium is recorded as a discount on the retained interest and is amortized over the remaining life of the loan as an adjustment to yield. The retained interest, net of any discount, are included in loans receivable—net of allowance for loan losses in the accompanying consolidated statements of financial condition. Servicing assets are recognized when SBA and residential mortgage loans are sold with servicing retained with the income statement effect recorded in gains on sales of loans. Servicing assets are initially recorded at fair value based on the present value of the contractually specified servicing fee, net of servicing costs, over the estimated life of the loan, using a discount rate. The Company’s servicing costs approximates the industry average servicing costs of 40 basis points. All classes of servicing assets are subsequently measured using the amortization method which requires servicing rights to be amortized into noninterest income in proportion to, and over the period of, the estimated future net servicing income of the underlying loans. Management periodically evaluates servicing assets for impairment based upon the fair value of the rights as compared to carrying amount. Impairment is determined by stratifying rights into groupings based on predominant risk characteristics, such as interest rate, loan type and investor type. Impairment is recognized through a valuation allowance for an individual grouping, to the extent that fair value is less than the carrying amount. If the Company later determines that all or a portion of the impairment no longer exists for a particular grouping, a reduction of the allowance may be recorded as an increase to income. No impairment charges were required in 2019 , 2018 , or 2017 . |
Stock-Based Compensation | Stock-Based Compensation— Compensation cost is recognized for stock options and restricted stock awards issued to employees and directors, based on the fair value of these awards at the date of grant. A Black-Scholes model is utilized to estimate the fair value of stock options, while the market price of the Company’s common stock at the date of grant is used for restricted stock awards. Compensation cost is recognized over the required service period, generally defined as the vesting period. For awards with graded vesting, compensation cost is recognized on a straight-line basis over the requisite service period for the entire award. |
Income Taxes | Income Taxes —Income tax expense is the total of the current year income tax due or refundable and the change in deferred tax assets and liabilities. Deferred income tax assets and liabilities represent the tax effects, based on current tax law, of future deductible or taxable amounts attributable to events that have been recognized in the financial statements. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will not be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, the projected future taxable income and tax planning strategies in making this assessment. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. A tax position is recognized as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. The Company recognizes interest and / or penalties related to income tax matters in income tax expense. Section 382 of the Internal Revenue Code imposes a limitation (“382 Limitation”) on a corporation’s ability to use any net unrealized built in losses and other tax attributes, such as net operating loss and tax credit carry-forwards, when it undergoes a 50% ownership change over a designated testing period not to exceed three years (“382 Ownership Change”). As a result of the acquisition on July 29, 2016, Wilshire Bancorp underwent a 382 Ownership Change resulting in a 382 Limitation to its net operating loss and tax credit carry-forwards. Wilshire Bancorp did not have a net unrealized built in loss as of the 382 Ownership Change date. Given the applicable 382 Limitation, the Company is expected to fully utilize Wilshire Bancorp’s net operating loss and tax credit carry-forwards before expiration. However, future transactions, such as issuances of common stock or sales of shares of the Company’s stock by certain holders of the Company’s shares, including persons who have held, currently hold or may accumulate in the future 5% or more of the Company’s outstanding common stock for their own account, could trigger a future Section 382 Ownership Change of the Company which could limit the Company’s use of these tax attributes. |
Earnings per Common Share | Earnings per Common Share —Basic Earnings per Common Share is computed by dividing net income by the weighted-average number of common shares outstanding for the period. Diluted Earnings per Common Share reflects the potential dilution of common shares that could share in the earnings of the Company. |
Equity | Equity —The Company accrues for common stock dividends as declared. Common stock dividends of $70.9 million and $71.6 million , were paid in 2019 and 2018 , respectively. There were no common stock dividends declared but unpaid at December 31, 2019 and 2018 . |
BOLI | BOLI —The Company has purchased life insurance policies on certain key executives and directors. BOLI 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 that are probable at settlement. |
Investments in Affordable Housing Partnerships | Investments in Affordable Housing Partnerships —The Company owns limited partnership interests in projects of affordable housing for lower income tenants. Under the equity method of accounting, the annual amortization is based on the estimated tax deduction amounts the bank would receive in the year. The carrying value of such investments and commitments to fund investment in affordable housing is recorded as “Investments in affordable housing partnerships” in the Consolidated Statement of Financial Condition. Commitments to fund investments in affordable housing is also included in this line items but is also grossed up and recorded as a liability. |
Comprehensive Income | Comprehensive Income —Comprehensive income consists of net income and other comprehensive income (loss). Other comprehensive income (loss) includes the change in unrealized gains and losses on securities available for sale which is also recognized as separate components of stockholders’ equity, net of tax. |
Operating Segments | Operating Segments |
Loss Contingencies and Loan Commitments and Related Financial Instruments | Loss Contingencies —Loss contingencies, including claims and legal actions arising in the ordinary course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. The Company believes there are no such matters that would have a material effect on the consolidated financial statements as of December 31, 2019 or 2018 . Accrued loss contingencies for all legal claims totaled approximately $440 thousand at December 31, 2019 and $755 thousand at December 31, 2018 . Loan Commitments and Related Financial Instruments— |
Allowance For Unfunded Commitments | Allowance for Unfunded Commitments— The allowance for unfunded commitments is maintained at a level believed by management to be sufficient to absorb estimated probable losses related to these unfunded credit facilities. The determination of the adequacy of the allowance 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. The allowance for unfunded commitments is included in other liabilities on the consolidated statement of financial condition, with changes to the balance charged against noninterest expense. |
Fair Values of Financial Instruments | Fair Values 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 judgment 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 the estimates. |
Impairment of Long-Lived Assets | Impairment of Long-Lived Assets— The Company evaluates long-lived assets for impairment whenever events or changes in circumstances indicate that the carrying value of an asset may not be recoverable. If the estimated future cash flows (undiscounted) over the remaining useful life of the asset are less than the carrying value, an impairment loss would be recorded to reduce the related asset to its estimated fair value. |
Transfers of Financial Assets | Transfer of Financial Assets —Transfers of financial assets are accounted for as sales, when control over the assets has been relinquished. Control over transferred assets is deemed to be surrendered when the assets have been isolated from the Company, the transferee obtains the right (free of conditions that constrain it from taking advantage of that right) to pledge or exchange the transferred assets, and the Company does not maintain effective control over the transferred assets through an agreement to repurchase them before their maturity. |
Use of Estimates in the Preparation of Consolidated Financial Statements | Use of Estimates in the Preparation of Consolidated Financial Statements —The preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles (“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 materially differ from those estimates. |
Reclassifications | Reclassifications - |
Recent Accounting Pronouncements and Newly Issued But Not Yet Effective Accounting Pronouncements | Accounting Pronouncements Adopted In February 2016, the FASB issued ASU 2016-02, “Leases (Topic 842)”. Subsequently, the FASB issued ASU 2018-10, “Codification Improvements to Topic 842, Leases”, ASU 2018-11, “Leases Topic 842, Targeted Improvements”, and ASU 2018-20, “Narrow-Scope Improvements for Lessors”, to provide additional clarification, implementation, and transition guidance on certain aspects of ASU 2016-02. ASU 2016-02 establishes a right-of-use (“ROU”) model that requires a lessee to record a ROU asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. Under ASU 2016-02, leases are classified as either finance or operating, with classification affecting the pattern of expense recognition in the income statement. ASU 2016-02, ASU 2018-10, ASU 2018-11, and ASU 2018-20 were effective for fiscal years beginning after December 15, 2018. The Company adopted Topic 842 on January 1, 2019. The Company elected the transition option provided in ASU 2018-11 and the modified retrospective approach was applied on January 1, 2019. The Company did not have any amounts recorded for the cumulative adjustment to the opening balance of retained earnings. As permitted by ASU 2016-02, the Company elected the following practical expedients: lease classifications under ASC 840 were grandfathered in, the Company did not re-evaluate embedded leases, the Company did not reassess initial direct costs, the option not to separate lease and non-lease components and instead accounted for them as a single lease component, and exercised the option not to recognize right-of-use assets and lease liabilities that arose from short-term leases (i.e., leases with terms of twelve months or less). At January 1, 2019, the Company had a total of 96 operating leases resulting in the recognition of $64.2 million in right-of-use assets and related lease liabilities totaling $64.3 million . See Note 7 “Leases” of the Notes to Consolidated Financial Statements for further information. In March 2017, the FASB issued ASU 2017-08, “Receivables - Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities”. ASU 2017-08 was issued to amend the amortization period for certain callable debt securities held at a premium. ASU 2017-08 shortens the amortization period of premiums on certain purchased callable debt securities to the earliest call date. ASU 2017-08 affect all entities that hold investments in callable debt securities that have an amortized cost basis in excess of the amount that is repayable by the issuer at the earliest call date (that is, at a premium). ASU 2017-08 does not impact securities purchased at a discount, which continue to be amortized to maturity. ASU 2017-08 was effective for annual period beginning after December 15, 2018. The Company adopted ASU 2017-08 on January 1, 2019. The adoption of ASU 2017-08 did not have an impact to the Company consolidated financial statements as the premiums on purchased callable debt securities were already being amortized to the earliest call date. In June 2018, the FASB issued ASU 2018-07, “Compensation - Stock Compensation (Topic 718): Improvements to Nonemployees Share-Based Payment Accounting”. ASU 2018-07 expands the scope of Topic 718 (which currently only includes share-based payments to employees) to include share-based payments issued to nonemployees for goods or services. Under ASU 2018-07, the accounting for share-based payments for nonemployees and employees are substantially the same. ASU supersedes Subtopic 505-50, “Equity – Equity-Based Payments to Non-Employees”. ASU 2018-07 was effective for annual period beginning after December 15, 2018. The Company adopted ASU 2018-07 on January 1, 2019. Although the Company’s stock compensation plan allows for the stock compensation to nonemployees, the Company historically has not granted stock compensation to nonemployees. Therefore, the adoption of ASU 2018-07 did not have an impact to the Company’s consolidated financial statements. Pending Accounting Pronouncements In June 2016, the FASB issued ASU 2016-13, “Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments”, also referred to as “CECL”. The FASB subsequently issued ASU 2018-19, ASU 2019-04, ASU 2019-05, ASU 2019-10, and ASU 2019-11 to provide additional clarification, implementation, codification improvements, transition guidance, and adoption guidance related to ASU 2016-13. ASU 2016-13 requires the measurement of all expected credit losses for financial assets carried at amortized cost held at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to better inform their credit loss estimates. ASU 2016-13 becomes effective for fiscal years and interim periods within those fiscal years beginning after December 15, 2019. The Company has established a CECL committee to oversee the development and implementation of ASU 2016-13. The Company collaborated with a third party advisory team and has also engaged a software vendor to assist the Company to consolidate its models to arrive at a lifetime expected credit losses in compliance with ASU 2016-13 by the effective date. The Company has completed the model development documentation, model validation, and parallel run processes under the new methodology. The Company continues to review data quality, operational processes, policies, new disclosures, and controls arising from internal reviews of data, processes, and internal controls. The Company will adopt ASU 2016-13 during the first quarter of 2020. Upon adoption of the standard, the Company expects that based on current expectations of future economic conditions, its allowance for loan losses may increase by approximately 30% to 40% from the allowance for loan losses under the current incurred loss model with a large portion of that increase driven by longer duration CRE loans due to the capture of lifetime expected credit losses under CECL. The Company estimates that upon the adoption of CECL, the fully phased-in impact to the Company’s Tier 1 Common Equity Risk-Based Ratio to be a decline of approximately 22 to 29 basis points. The estimates of the impact of adopting CECL are still subject to change as management finalizes the key drivers, data elements, and methodology assumptions. The ultimate effect of CECL on the Company’s allowance for loan losses will depend on the size and composition of the loan portfolio, the portfolio’s credit quality, economic conditions at the time of adoption, as well as any refinements to the Company’s models, methodology, and other key assumptions. At adoption, the Company will have a cumulative-effect adjustment to retained earnings resulting from the anticipated increase in the allowance for loan losses under CECL compared to its allowance for loan losses as determined under the current incurred loss model. In January 2017, the FASB issued ASU 2017-04, “Intangibles: Goodwill and Other: Simplifying the Test for Goodwill Impairment.” ASU 2017-04 will amend and simplify current goodwill impairment testing to eliminate Step 2 from the current provisions. Under the new guidance, an entity should perform the goodwill impairment test by comparing the fair value of a reporting unit with its carrying value and recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value. An entity still has the option to perform the quantitative assessment for a reporting unit to determine if a quantitative impairment test is necessary. ASU 2017-04 should be adopted for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. The adoption of ASU 2017-04 is not expected to have a material impact on the Company’s consolidated financial statements. In August 2018, the FASB issued ASU 2018-13, “Fair Value Measurement (Topic 820): Disclosure Framework - Changes to the Disclosure Requirements for Fair Value Measurement”. ASU 2018-13 modifies the disclosure requirements for fair value measurements by removing, modifying, or adding certain disclosures. ASU 2018-13 removes the disclosure requirement detailing the amount of and reasons for transfers between Level 1 and Level 2, and the valuation processes for Level 3 fair value measurements. In addition, ASU 2018-13 modifies the disclosure requirements for investments in certain entities that calculate net asset value. Lastly, ASU 2018-13 adds a disclosure requirement for changes in unrealized gains and losses for the period included in other comprehensive income for recurring Level 3 fair value measurements held at the end of the reporting period and the range and weighted average of significant unobservable inputs used to develop Level 3 measurements. ASU 2018-13 is effective annual periods in fiscal years beginning after December 15, 2019, including interim periods within those annual periods. Early adoption is permitted upon the issuance of ASU 2018-13. The removed and modified disclosures will be adopted on a retrospective basis, and the new disclosures will be adopted on a prospective basis. The adoption of ASU 2018-13 is not expected to have a material impact on the Company’s consolidated financial statements. In August 2018, the FASB issued ASU 2018-15, “ Intangibles - Goodwill and Other - Internal Use Software (Subtopic 250-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement That Is a Service Contract (a consensus of the FASB Emerging Issues Task Force)”. ASU 2018-15 requires an entity in a cloud computing arrangement (i.e., hosting arrangement) that is a service contract to follow the internal-use software guidance in ASC 350-40 to determine which implementation costs to capitalize as assets or expense as incurred. Capitalized implementation costs should be presented in the same line item on the balance sheet as amounts prepaid for the hosted service, if any (generally as an “other asset”). The capitalized costs will be amortized over the term of the hosting arrangement, with the amortization expense being presented in the same income statement line item as the fees paid for the hosted service. ASU 2018-15 is effective for annual reporting periods beginning after December 15, 2019, including interim periods within those annual periods. Early adoption is permitted, including adoption in any interim period. The adoption of ASU 2018-15 is not expected to have a material impact on the Company’s consolidated financial statements. In May 2019, the FASB issued ASU 2019-05, “Financial Instruments - Credit Losses, Topic 326.” ASU 2019-05 addresses certain stakeholders’ concerns by providing an option to irrevocably elect the fair value option for certain financial assets previously measured at amortized cost basis. For those entities, the targeted transition relief will increase comparability of financial statement information by providing an option to align measurement methodologies for similar financial assets. ASU 2016-13 allows companies to irrevocably elect, upon adoption of ASU 2016-13, the fair value option on financial instruments that (1) were previously recorded at amortized cost and (2) are within the scope of ASC 326-20 if the instruments are eligible for the fair value option under ASC 825-10. Entities are required to make this election on an instrument-by-instrument basis. The effective date for ASU 2019-05 is the same as for ASU 2016-13, or for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The Company does not expect to elect the fair value option on its financial instruments in accordance with ASU 2019-05. In December 2019, the FASB issued ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes.” ASU 2019-12 simplifies various aspects related to accounting for income taxes by removing certain exceptions to the general principles in Topic 740. The standard also clarifies and amends existing guidance to improve consistent application. ASU 2019-12 will be effective for annual reporting periods beginning after December 15, 2020, including interim periods within those annual periods. Early adoption is permitted. The adoption of ASU 2019-12 is not expected to have a material impact on the Company’s consolidated financial statements. |
Fair Value Measurements | Securities Available for Sale The fair values of securities available for sale are determined by obtaining quoted prices on nationally recognized securities exchanges (Level 1 inputs) or matrix pricing, which is a technique widely used 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 (Level 2 inputs). The fair values of the Company’s Level 3 securities available for sale were measured using an income approach valuation technique. The primary inputs and assumptions used in the fair value measurement were derived from the securities’ underlying collateral which included discount rates, prepayment speeds, payment delays, and an assessment of the risk of default of the underlying collateral, among other factors. Significant increases or decreases in any of the inputs or assumptions could result in a significant increase or decrease in the fair value measurement. Equity Investments With Readily Determinable Fair Value The fair value of the Company’s equity investments with readily determinable fair value is comprised of mutual funds. The fair value for these investments is obtained from unadjusted quoted prices in active markets on the date of measurement and is therefore classified as Level 1. Interest Rate Swaps The Company offers interest rate swaps to certain loan customers to allow them to hedge the risk of rising interest rates on their variable rate loans. The Company originates a variable rate loan and enters into a variable-to-fixed interest rate swap with the customer. The Company also enters into an offsetting swap with a correspondent bank. These back-to-back agreements are intended to offset each other and allow the Company to originate a variable rate loan, while providing a contract for fixed interest payments for the customer. The net cash flow for the Company is equal to the interest income received from a variable rate loan originated with the customer. The fair value of these derivatives is based on a discounted cash flow approach. Due to the observable nature of the inputs used in deriving the fair value of these derivative contracts, the valuation of interest rate swaps is classified as Level 2. Mortgage Banking Derivatives Mortgage banking derivative instruments consist of interest rate lock commitments and forward sale contracts that trade in liquid markets. The fair value is based on the prices available from third party investors. Due to the observable nature of the inputs used in deriving the fair value, the valuation of mortgage banking derivatives are classified as Level 2. Impaired Loans The fair values of impaired loans are generally measured for impairment using the practical expedients permitted by FASB ASC 310-10-35 including impaired loans measured at an observable market price (if available), or at the fair value of the loan’s collateral (if the loan is collateral dependent). Fair value of the loan’s collateral, when the loan is dependent on collateral, is determined by appraisals or independent valuation, less costs to sell of 8.5% . Appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and income approach. Adjustment may be made in the appraisal process by the independent appraiser to adjust for differences between the comparable sales and income data available for similar loans and the underlying collateral. For commercial business and asset backed loans, independent valuations may include a 20 - 60% discount for eligible accounts receivable and a 50 - 70% discount for inventory. These result in a Level 3 classification. OREO OREO is fair valued at the time the loan is foreclosed upon and the asset is transferred to OREO. The value is based primarily on third party appraisals, less costs to sell of up to 8.5% and result in a Level 3 classification of the inputs for determining fair value. OREO is reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted to lower of cost or market accordingly, based on the same factors identified above. Loans Held for Sale Loans held for sale are carried at the lower of cost or fair value, as determined by outstanding commitments from investors, or based on recent comparable sales (Level 2 inputs), if available, and if not available, are based on discounted cash flows using current market rates applied to the estimated life and credit risk (Level 3 inputs) or may be assessed based upon the fair value of the collateral which is obtained from recent real estate appraisals (Level 3 inputs). These appraisals may utilize a single valuation approach or a combination of approaches including the income approach. Adjustments are routinely made in the appraisal process by the appraisers to adjust for differences between the comparable sales and income data available. Such adjustments are typically significant and result in Level 3 classification of the inputs for determining fair value. |
Equity Investments (Tables)
Equity Investments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule Of Change In Fair Value For Equity Investment Securities | he change in fair values for equity investments with readily determinable fair values for the years ended December 31, 2019 and 2018 were recorded as other noninterest income as summarized in the table below: Year ended December 31, 2019 2018 (Dollars in thousands) Net change in fair value recorded during the period on equity investments with readily determinable fair value $ 1,288 $ 1,449 Net change in fair value recorded on equity investments sold during the period — — Net change in fair value on equity investments with readily determinable fair values $ 1,288 $ 1,449 |
Securities Available for Sale (
Securities Available for Sale (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Securities, Available-for-sale [Abstract] | |
Summary of Securities Available for Sale | The following is a summary of securities available for sale at December 31, 2019 and 2018 : December 31, 2019 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value (Dollars in thousands) Debt securities: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 735,094 $ 4,220 $ (2,659 ) $ 736,655 Mortgage-backed securities: Residential 353,073 1,422 (1,598 ) 352,897 Commercial 541,043 13,441 (2,360 ) 552,124 Corporate securities 5,000 — (800 ) 4,200 Municipal securities 69,631 831 (351 ) 70,111 Total investment securities available for sale $ 1,703,841 $ 19,914 $ (7,768 ) $ 1,715,987 December 31, 2018 Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Estimated Fair Value (Dollars in thousands) Debt securities: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 914,710 $ 1,541 (21,129 ) $ 895,122 Mortgage-backed securities: Residential 415,659 47 (13,101 ) 402,605 Commercial 481,081 1,024 (12,979 ) 469,126 Corporate securities 5,000 — (1,174 ) 3,826 Municipal securities 77,168 398 (1,980 ) 75,586 Total investment securities available for sale $ 1,893,618 $ 3,010 $ (50,363 ) $ 1,846,265 |
Schedule of Realized Gain (Loss) | The proceeds from sales of securities and total gains and losses are listed below: Year ended December 31, 2019 2018 2017 (Dollars in thousands) Proceeds from investments sold $ 115,628 $ — $ 128,791 Gains from sales of securities 750 — 402 Losses from sales of securities (469 ) — (101 ) Gains from called securities 1 — — Net gain on sales or called securities $ 282 $ — $ 301 |
Investments Classified by Contractual Maturity Date | The amortized cost and estimated fair value of investment securities at December 31, 2019 , by contractual maturity, are shown below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without penalties. Collateralized mortgage obligations and mortgage-backed securities are not due at a single maturity date are shown separately. December 31, 2019 Amortized Cost Estimated Fair Value (Dollars in thousands) Available for sale: Due within one year $ 80 $ 80 Due after one year through five years 349 351 Due after five years through ten years — — Due after ten years 74,202 73,880 U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations 735,094 736,655 Mortgage-backed securities: Residential 353,073 352,897 Commercial 541,043 552,124 Total $ 1,703,841 $ 1,715,987 |
Schedule of Unrealized Loss on Investments | December 31, 2019 Less than 12 months 12 months or longer Total Description of Securities Number of Securities Fair Value Gross Unrealized Losses Number of Securities Fair Value Gross Unrealized Losses Number of Securities Fair Value Gross Unrealized Losses (Dollars in thousands) Collateralized mortgage obligations* 20 $ 108,236 $ (721 ) 32 $ 183,050 $ (1,938 ) 52 $ 291,286 $ (2,659 ) Mortgage-backed securities: Residential* 6 84,107 (267 ) 16 129,457 (1,331 ) 22 213,564 (1,598 ) Commercial* 7 68,452 (1,037 ) 5 73,697 (1,323 ) 12 142,149 (2,360 ) Corporate securities — — — 1 4,200 (800 ) 1 4,200 (800 ) Municipal securities 2 8,942 (39 ) 3 15,437 (312 ) 5 24,379 (351 ) Total 35 $ 269,737 $ (2,064 ) 57 $ 405,841 $ (5,704 ) 92 $ 675,578 $ (7,768 ) December 31, 2018 Less than 12 months 12 months or longer Total Description of Securities Number of Securities Fair Value Gross Unrealized Losses Number of Securities Fair Value Gross Unrealized Losses Number of Securities Fair Value Gross Unrealized Losses (Dollars in thousands) Collateralized mortgage obligations* 1 $ 8,041 $ (28 ) 93 $ 700,095 $ (21,101 ) 94 $ 708,136 $ (21,129 ) Mortgage-backed securities: Residential* 4 19,973 (37 ) 45 363,334 (13,064 ) 49 383,307 (13,101 ) Commercial* 3 38,494 (218 ) 27 312,428 (12,761 ) 30 350,922 (12,979 ) Corporate securities — — — 1 3,826 (1,174 ) 1 3,826 (1,174 ) Municipal securities 13 5,528 (83 ) 32 42,444 (1,897 ) 45 47,972 (1,980 ) Total 21 $ 72,036 $ (366 ) 198 $ 1,422,127 $ (49,997 ) 219 $ 1,494,163 $ (50,363 ) _________________________________ * Investments in U.S. Government agency and U.S. Government sponsored enterprises |
Loans Receivable and Allowanc_2
Loans Receivable and Allowance for Loan Losses (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Summary of Loans Receivable by Major Category | The following is a summary of loans by major category at December 31, 2019 and 2018 : December 31, 2019 December 31, 2018 Loan portfolio composition (Dollars in thousands) Real estate loans: Residential $ 52,437 $ 51,197 Commercial 8,316,382 8,395,327 Construction 296,146 275,076 Total real estate loans 8,664,965 8,721,600 Commercial business 2,558,351 2,127,630 Trade finance 160,859 197,190 Consumer and other 889,090 1,051,486 Total loans outstanding 12,273,265 12,097,906 Deferred loan costs, net 2,742 209 Loans receivable 12,276,007 12,098,115 Allowance for loan losses (94,144 ) (92,557 ) Loans receivable, net of allowance for loan losses $ 12,181,863 $ 12,005,558 |
Loans and Leases Acquired, Accretable Yield Movement Schedule | The following table presents changes in the accretable discount on PCI loans for the years ended December 31, 2019 and 2018 : Year ended December 31, 2019 2018 (Dollars in thousands) Balance at beginning of period $ 49,697 $ 55,002 Accretion (23,874 ) (21,837 ) Reclassification from nonaccretable difference 12,330 16,532 Balance at end of period $ 38,153 $ 49,697 |
Allowance for Loan Losses by Portfolio Segment | The following tables detail the activity in the allowance for loan losses by portfolio segment for the years indicated: Legacy Loans Acquired Loans Total Real Estate Commercial Business Trade Finance Consumer and Other Real Commercial Business Trade Finance Consumer and Other (Dollars in thousands) December 31, 2019 Balance, beginning of period $ 49,446 $ 21,826 $ 719 $ 6,269 $ 7,321 $ 5,939 $ — $ 1,037 $ 92,557 Provision (credit) for loan losses (2,993 ) 9,517 (481 ) 1,978 (482 ) (120 ) — (119 ) 7,300 Loans charged off (1,159 ) (4,121 ) — (1,144 ) (644 ) (965 ) — (76 ) (8,109 ) Recoveries of charge offs 1,706 1,083 216 34 398 297 — 2 3,736 PCI allowance adjustment — — — — — (878 ) — (462 ) (1,340 ) Balance, end of period $ 47,000 $ 28,305 $ 454 $ 7,137 $ 6,593 $ 4,273 $ — $ 382 $ 94,144 December 31, 2018 Balance, beginning of period $ 45,360 $ 17,228 $ 1,674 $ 3,385 $ 13,322 $ 3,527 $ 42 $ 3 $ 84,541 Provision (credit) for loan losses 9,334 3,389 (588 ) 4,098 (5,551 ) 3,253 (42 ) 1,007 14,900 Loans charged off (6,273 ) (1,400 ) (408 ) (1,245 ) (453 ) (1,083 ) — (13 ) (10,875 ) Recoveries of charge offs 1,025 2,609 41 31 3 242 — 40 3,991 Balance, end of period $ 49,446 $ 21,826 $ 719 $ 6,269 $ 7,321 $ 5,939 $ — $ 1,037 $ 92,557 December 31, 2017 Balance, beginning of period $ 38,956 $ 23,430 $ 1,897 $ 2,116 $ 12,791 $ 117 $ — $ 36 $ 79,343 Provision (credit) for loan losses 8,524 (1,036 ) 1,825 2,207 1,341 4,500 42 (43 ) 17,360 Loans charged off (2,292 ) (9,881 ) (2,104 ) (943 ) (850 ) (1,315 ) — (25 ) (17,410 ) Recoveries of charged offs 172 4,715 56 5 40 225 — 35 5,248 Balance, end of period $ 45,360 $ 17,228 $ 1,674 $ 3,385 $ 13,322 $ 3,527 $ 42 $ 3 $ 84,541 The following tables break out the allowance for loan losses and the recorded investment of loans outstanding (not including accrued interest receivable and net deferred loan costs or fees) by individually impaired, general valuation, and PCI impairment, by portfolio segment at December 31, 2019 and December 31, 2018 : December 31, 2019 Legacy Loans Acquired Loans Total Real Commercial Business Trade Finance Consumer and Other Real Commercial Business Trade Finance Consumer and Other (Dollars in thousands) Allowance for loan losses: Individually evaluated for impairment $ 202 $ 2,198 $ — $ 11 $ 110 $ 875 $ — $ 6 $ 3,402 Collectively evaluated for impairment 46,798 26,107 454 7,126 1,818 353 — 7 82,663 PCI loans — — — — 4,665 3,045 — 369 8,079 Total $ 47,000 $ 28,305 $ 454 $ 7,137 $ 6,593 $ 4,273 $ — $ 382 $ 94,144 Loans outstanding: Individually evaluated for impairment $ 37,218 $ 19,044 $ 103 $ 2,202 $ 27,380 $ 3,695 $ — $ 852 $ 90,494 Collectively evaluated for impairment 7,445,529 2,479,744 160,756 843,061 1,057,074 48,968 — 42,070 12,077,202 PCI loans — — — — 97,764 6,900 — 905 105,569 Total $ 7,482,747 $ 2,498,788 $ 160,859 $ 845,263 $ 1,182,218 $ 59,563 $ — $ 43,827 $ 12,273,265 December 31, 2018 Legacy Loans Acquired Loans Total Real Commercial Business Trade Finance Consumer and Other Real Commercial Business Trade Finance Consumer and Other (Dollars in thousands) Allowance for loan losses: Individually evaluated for impairment $ 176 $ 4,221 $ — $ 3 $ 261 $ 130 $ — $ — $ 4,791 Collectively evaluated for impairment 49,270 17,605 719 6,266 1,264 460 — 19 75,603 PCI loans — — — — 5,796 5,349 — 1,018 12,163 Total $ 49,446 $ 21,826 $ 719 $ 6,269 $ 7,321 $ 5,939 $ — $ 1,037 $ 92,557 Loans outstanding: Individually evaluated for impairment $ 39,976 $ 29,624 $ 5,887 $ 441 $ 18,080 $ 5,734 $ 3,124 $ 1,141 $ 104,007 Collectively evaluated for impairment 7,037,392 1,988,067 188,179 910,292 1,507,858 80,916 — 133,942 11,846,646 PCI loans — — — — 118,294 23,289 — 5,670 147,253 Total $ 7,077,368 $ 2,017,691 $ 194,066 $ 910,733 $ 1,644,232 $ 109,939 $ 3,124 $ 140,753 $ 12,097,906 |
Impaired Financing Receivables | The recorded investment of individually impaired loans and the total impaired loans net of specific allowance is presented in the following table as of the dates indicated: December 31, 2019 December 31, 2018 (Dollars in thousands) With allocated specific allowance: Without charge-off $ 33,344 $ 35,365 With charge-off 3,453 681 With no allocated specific allowance: Without charge-off 41,904 59,607 With charge-off 11,793 8,354 Specific allowance on impaired loans (3,402 ) (4,791 ) Impaired loans, net of specific allowance $ 87,092 $ 99,216 The following tables detail the recorded investment of impaired loans (Legacy Loans and Acquired Loans that became impaired subsequent to being originated and acquired, respectfully) by portfolio segment, the average recorded investment, and interest income recognized during the year. Loans with no related allowance for loan losses are believed by management to be adequately collateralized. As of December 31, 2019 Year Ended December 31, 2019 Total Impaired Loans (1) Recorded Investment (2) Unpaid Contractual Principal Balance Related Allowance Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 2,593 2,904 66 2,105 48 Hotel & motel 1,877 5,925 65 1,723 — Gas station & car wash 54 55 2 35 — Mixed use 611 709 10 763 6 Industrial & warehouse 8,168 9,481 155 6,465 351 Other 2,636 2,902 14 3,337 88 Real estate – construction — — — — — Commercial business 19,254 20,849 3,073 21,814 601 Trade finance 103 103 — 606 2 Consumer and other 1,501 1,581 17 1,010 4 Subtotal $ 36,797 $ 44,509 $ 3,402 $ 37,858 $ 1,100 With no related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 4,557 5,027 — 10,657 172 Hotel & motel 9,024 16,831 — 9,917 — Gas station & car wash 217 2,671 — 433 — Mixed use 3,229 3,246 — 4,844 198 Industrial & warehouse 12,757 14,261 — 11,168 206 Other 8,710 13,811 — 10,880 260 Real estate – construction 10,165 10,165 — 2,033 — Commercial business 3,485 8,628 — 8,545 126 Trade finance — — — 4,127 — Consumer and other 1,553 1,577 — 1,515 — Subtotal $ 53,697 $ 76,217 $ — $ 64,119 $ 962 Total $ 90,494 $ 120,726 $ 3,402 $ 101,977 $ 2,062 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts As of December 31, 2019 Year Ended December 31, 2019 Impaired acquired loans (1) Recorded Investment (2) Unpaid Contractual Principal Balance Related Allowance Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 759 833 20 646 — Hotel & motel 54 345 1 65 — Gas station & car wash 54 55 2 35 — Mixed use 273 282 9 293 6 Industrial & warehouse 229 1,012 74 269 — Other 1,712 1,712 4 1,142 71 Real estate – construction — — — — — Commercial business 3,575 3,795 875 3,490 213 Trade finance — — — — — Consumer and other 738 781 6 255 — Subtotal $ 7,394 $ 8,815 $ 991 $ 6,195 $ 290 With no related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 3,635 3,833 — 4,913 172 Hotel & motel 5,003 6,681 — 5,287 — Gas station & car wash 217 2,671 — 215 — Mixed use — — — 1,564 — Industrial & warehouse 93 894 — 61 — Other 5,186 9,279 — 4,180 260 Real estate – construction 10,165 10,165 — 2,033 — Commercial business 120 1,413 — 1,034 — Trade finance — — — 1,902 — Consumer and other 114 137 — 649 — Subtotal $ 24,533 $ 35,073 $ — $ 21,838 $ 432 Total $ 31,927 $ 43,888 $ 991 $ 28,033 $ 722 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts As of December 31, 2018 Year Ended December 31, 2018 Total Impaired Loans (1) Recorded Investment (2) Unpaid Contractual Principal Balance Related Allowance Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — $ — $ 50 $ — Real estate – commercial Retail 1,375 1,487 156 3,554 30 Hotel & motel 1,949 2,310 119 2,700 — Gas station & car wash — — — — — Mixed use 881 947 43 2,032 6 Industrial & warehouse 1,305 2,139 93 1,579 70 Other 7,759 8,174 26 6,038 372 Real estate – construction — — — — — Commercial business 22,203 23,928 4,351 23,146 511 Trade finance — — — 2,143 — Consumer and other 575 575 3 710 7 Subtotal $ 36,047 $ 39,560 $ 4,791 $ 41,952 $ 996 With no related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 8,005 11,234 — 9,913 143 Hotel & motel 10,877 22,590 — 6,085 — Gas station & car wash 545 3,653 — 520 19 Mixed use 7,048 7,058 — 3,404 347 Industrial & warehouse 12,343 13,467 — 11,560 298 Other 5,969 7,122 — 13,107 106 Real estate – construction — — — 520 — Commercial business 13,155 17,850 — 18,041 531 Trade finance 9,011 9,011 — 5,405 487 Consumer and other 1,007 1,156 — 1,457 — Subtotal $ 67,960 $ 93,141 $ — $ 70,012 $ 1,931 Total $ 104,007 $ 132,701 $ 4,791 $ 111,964 $ 2,927 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts As of December 31, 2018 Year Ended December 31, 2018 Impaired acquired loans (1) Recorded Investment (2) Unpaid Contractual Principal Balance Related Allowance Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — $ — $ 50 $ — Real estate – commercial Retail 198 220 118 510 — Hotel & motel 72 345 4 78 — Gas station & car wash — — — — — Mixed use 312 312 38 1,813 6 Industrial & warehouse 230 1,050 88 246 — Other 3,454 3,454 13 2,133 221 Real estate – construction — — — — — Commercial business 4,064 5,041 130 5,380 162 Trade finance — — — — — Consumer and other 144 144 — 89 7 Subtotal $ 8,474 $ 10,566 $ 391 $ 10,299 $ 396 With no related allowance: Real estate – residential $ — $ — $ — $ — $ — Real estate – commercial Retail 3,285 4,151 — 3,202 123 Hotel & motel 5,428 6,874 — 2,685 — Gas station & car wash 247 2,673 — 176 — Mixed use 3,722 3,726 — 789 148 Industrial & warehouse 119 894 — 253 — Other 1,013 1,326 — 4,662 39 Real estate – construction — — — — — Commercial business 1,670 2,681 — 4,658 92 Trade finance 3,124 3,124 — 3,134 189 Consumer and other 997 1,144 — 1,298 — Subtotal $ 19,605 $ 26,593 $ — $ 20,857 $ 591 Total $ 28,079 $ 37,159 $ 391 $ 31,156 $ 987 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts Year Ended December 31, 2017 Total Impaired Loans (1) Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — Real estate – commercial Retail 1,120 — Hotel & motel 4,050 67 Gas station & car wash 43 — Mixed use 245 6 Industrial & warehouse 1,135 — Other 11,707 237 Real estate – construction — — Commercial business 23,695 631 Trade finance 2,842 217 Consumer and other 240 4 Subtotal $ 45,077 $ 1,162 With no related allowance: Real estate – residential $ 1,105 $ — Real estate – commercial Retail 12,288 434 Hotel & motel 7,245 — Gas station & car wash 3,168 — Mixed use 3,496 — Industrial & warehouse 8,676 262 Other 17,116 608 Real estate – construction 1,611 — Commercial business 16,312 697 Trade finance 2,994 253 Consumer and other 1,225 25 Subtotal $ 75,236 $ 2,279 Total $ 120,313 $ 3,441 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts Year Ended December 31, 2017 Impaired acquired loans (1) Average Recorded Investment (2) Interest Income Recognized during Impairment (Dollars in thousands) With related allowance: Real estate – residential $ — $ — Real estate – commercial Retail 851 — Hotel & motel 105 — Gas station & car wash — — Mixed use 179 6 Industrial & warehouse 225 — Other 319 17 Real estate – construction — — Commercial business 1,111 47 Trade finance — — Consumer and other — — Subtotal $ 2,790 $ 70 With no related allowance: Real estate – residential $ 235 $ — Real estate – commercial Retail 2,866 141 Hotel & motel 3,086 — Gas station & car wash 619 — Mixed use 2,191 — Industrial & warehouse 59 3 Other 5,190 340 Real estate – construction — — Commercial business 5,794 182 Trade finance 1,274 248 Consumer and other 645 7 Subtotal $ 21,959 $ 921 Total $ 24,749 $ 991 __________________________________ (1) Impaired loans exclude acquired PCI loans (2) Unpaid contractual principal balance less charge offs, interest collected applied to principal if on nonaccrual and purchase discounts |
Aging of Past Due Loans | The following table represents the recorded investment of nonaccrual loans and loans past due 90 or more days and still on accrual status by class of loans as of December 31, 2019 or 2018 . Nonaccrual Loans (1) Accruing Loans Past Due 90 or More Days December 31, 2019 December 31, 2018 December 31, 2019 December 31, 2018 (Dollars in thousands) Legacy Loans: Real estate – residential $ — $ — $ — $ — Real estate – commercial Retail 2,029 5,153 449 — Hotel & motel 5,844 7,325 — — Gas station & car wash — 31 — — Mixed use 505 749 634 — Industrial & warehouse 10,222 6,111 — — Other 4,176 5,940 919 — Real estate – construction — — 3,850 — Commercial business 10,204 14,837 1,096 — Trade finance — 1,661 — — Consumer and other 2,105 441 599 243 Subtotal $ 35,085 $ 42,248 $ 7,547 $ 243 Acquired Loans: (2) Real estate – residential $ — $ — $ — $ — Real estate – commercial Retail 905 829 — — Hotel & motel 5,057 5,500 — 1,286 Gas station & car wash 271 247 — — Mixed use 160 1,224 — — Industrial & warehouse 322 349 — — Other 1,279 259 — — Real estate – construction 10,165 — — — Commercial business 689 1,632 — — Trade finance — — — — Consumer and other 852 998 — — Subtotal $ 19,700 $ 11,038 $ — $ 1,286 Total $ 54,785 $ 53,286 $ 7,547 $ 1,529 __________________________________ (1) Total nonaccrual loans exclude guaranteed portion of delinquent SBA loans that are in liquidation totaling $28.1 million and $29.2 million , at December 31, 2019 and December 31, 2018 , respectively. (2) Acquired Loans exclude PCI loans. The following tables present the recorded investment of past due loans, including nonaccrual loans past due 30 or more days, by the number of days past due as of December 31, 2019 and December 31, 2018 by class of loans: As of December 31, 2019 As of December 31, 2018 30-59 Days Past Due 60-89 Days Past Due 90 or More Days Past Due Total Past Due 30-59 Days 60-89 Days 90 or More Days Past Due Total (Dollars in thousands) Legacy Loans: Real estate – residential $ — $ — $ — $ — $ — $ — $ — $ — Real estate – commercial Retail 1,083 1,424 2,417 4,924 733 — 809 1,542 Hotel & motel 821 936 2,025 3,782 153 — 5,215 5,368 Gas station & car wash 318 1,984 — 2,302 — — 31 31 Mixed use 593 — 801 1,394 — — — — Industrial & warehouse — — 3,853 3,853 1,465 — 1,922 3,387 Other — — 3,409 3,409 1,837 — 2,405 4,242 Real estate – construction — — 3,850 3,850 — — — — Commercial business 344 126 5,475 5,945 5,500 435 7,003 12,938 Trade finance — — — — 1,036 — 1,661 2,697 Consumer and other 8,871 914 2,175 11,960 16,413 140 247 16,800 Subtotal $ 12,030 $ 5,384 $ 24,005 $ 41,419 $ 27,137 $ 575 $ 19,293 $ 47,005 Acquired Loans: (1) Real estate – residential $ — $ — $ — $ — $ — $ — $ — $ — Real estate – commercial Retail — — 620 620 347 — 602 949 Hotel & motel 525 — 4,384 4,909 — — 5,206 5,206 Gas station & car wash 679 54 196 929 154 — 221 375 Mixed use — — — — 107 — 1,034 1,141 Industrial & warehouse 94 45 93 232 142 — 119 261 Other 811 785 295 1,891 183 219 — 402 Real estate – construction — — 10,165 10,165 — — — — Commercial business 57 226 242 525 397 613 253 1,263 Trade finance — — — — — — — — Consumer and other 981 — 477 1,458 — — 334 334 Subtotal $ 3,147 $ 1,110 $ 16,472 $ 20,729 $ 1,330 $ 832 $ 7,769 $ 9,931 Total Past Due $ 15,177 $ 6,494 $ 40,477 $ 62,148 $ 28,467 $ 1,407 $ 27,062 $ 56,936 __________________________________ (1) Acquired Loans exclude PCI loans. |
Risk Category of Loans by Class of Loans | The following tables presents the recorded investment of risk ratings for Legacy and Acquired Loans as of December 31, 2019 and December 31, 2018 by class of loans: December 31, 2019 Pass/ Not Rated Special Mention Substandard Doubtful Total (Dollars in thousands) Legacy Loans: Real estate – residential $ 48,414 $ — $ 143 $ — $ 48,557 Real estate – commercial Retail 1,884,336 29,478 38,164 — 1,951,978 Hotel & motel 1,482,398 1,237 20,864 — 1,504,499 Gas station & car wash 738,988 1,707 4,560 — 745,255 Mixed use 634,186 1,974 8,211 — 644,371 Industrial & warehouse 834,514 7,641 35,739 — 877,894 Other 1,386,594 15,625 21,994 — 1,424,213 Real estate – construction 253,765 24,641 7,574 — 285,980 Commercial business 2,435,892 38,160 24,723 13 2,498,788 Trade finance 160,859 — — — 160,859 Consumer and other 842,947 157 2,159 — 845,263 Subtotal $ 10,702,893 $ 120,620 $ 164,131 $ 13 $ 10,987,657 Acquired Loans: Real estate – residential $ 3,563 $ — $ 317 $ — $ 3,880 Real estate – commercial Retail 322,519 3,442 10,597 — 336,558 Hotel & motel 147,647 158 11,294 — 159,099 Gas station & car wash 92,852 454 2,953 — 96,259 Mixed use 65,268 2,932 8,144 — 76,344 Industrial & warehouse 138,928 4,039 10,015 — 152,982 Other 311,674 9,791 25,466 — 346,931 Real estate – construction — — 10,165 — 10,165 Commercial business 45,185 7 14,371 — 59,563 Trade finance — — — — — Consumer and other 41,993 9 1,825 — 43,827 Subtotal $ 1,169,629 $ 20,832 $ 95,147 $ — $ 1,285,608 Total $ 11,872,522 $ 141,452 $ 259,278 $ 13 $ 12,273,265 December 31, 2018 Pass/ Special Mention Substandard Doubtful Total (Dollars in thousands) Legacy Loans: Real estate – residential $ 44,066 $ — $ 546 $ — $ 44,612 Real estate – commercial Retail 1,815,170 18,072 30,686 — 1,863,928 Hotel & motel 1,389,349 21,932 15,869 — 1,427,150 Gas station & car wash 814,291 2,810 2,464 — 819,565 Mixed use 510,021 12,480 13,292 — 535,793 Industrial & warehouse 711,236 1,665 38,332 — 751,233 Other 1,326,795 35,539 34,618 — 1,396,952 Real estate – construction 227,231 10,904 — — 238,135 Commercial business 1,944,783 18,220 54,688 — 2,017,691 Trade finance 191,508 — 2,558 — 194,066 Consumer and other 910,292 — 441 — 910,733 Subtotal $ 9,884,742 $ 121,622 $ 193,494 $ — $ 10,199,858 Acquired Loans: Real estate – residential $ 5,812 $ 393 $ 380 $ — $ 6,585 Real estate – commercial Retail 483,939 4,651 17,332 35 505,957 Hotel & motel 186,761 807 19,472 — 207,040 Gas station & car wash 148,702 274 6,032 — 155,008 Mixed use 77,100 3,986 8,151 — 89,237 Industrial & warehouse 171,574 9,451 18,071 223 199,319 Other 402,247 12,902 28,996 — 444,145 Real estate – construction 29,058 7,883 — — 36,941 Commercial business 89,611 1,083 19,237 8 109,939 Trade finance — — 3,124 — 3,124 Consumer and other 136,944 37 3,626 146 140,753 Subtotal $ 1,731,748 $ 41,467 $ 124,421 $ 412 $ 1,898,048 Total $ 11,616,490 $ 163,089 $ 317,915 $ 412 $ 12,097,906 |
Loans Sold From Loans Held For Investment | The breakdown of loans by type that were reclassified from held for investment to held for sale for the years ended December 31, 2019 , 2018 , and 2017 are presented in the table below. Year ended December 31, 2019 2018 2017 (Dollars in thousands) Transfer of loans held for investment to held for sale Real estate - commercial $ 25,988 $ — $ 429 Consumer 140,006 21,581 — Total $ 165,994 $ 21,581 $ 429 |
Allowance for Loan Losses and Impaired Loans, Qualitative and Quantitative Analysis | The following table presents the breakdown of loans by impairment method at December 31, 2019 and December 31, 2018 : December 31, 2019 Real Estate - Residential Real Estate - Commercial Real Estate - Construction Commercial Business Trade Finance Consumer and Other Total (Dollars in thousands) Impaired loans (recorded investment) $ — $ 54,433 $ 10,165 $ 22,739 $ 103 $ 3,054 $ 90,494 Specific allowance $ — $ 312 $ — $ 3,073 $ — $ 17 $ 3,402 Specific allowance to impaired loans N/A 0.57 % — % 13.51 % — % 0.56 % 3.76 % Other loans $ 52,437 $ 8,261,949 $ 285,981 $ 2,535,612 $ 160,756 $ 886,036 $ 12,182,771 General allowance $ 204 $ 51,400 $ 1,677 $ 29,505 $ 454 $ 7,502 $ 90,742 General allowance to other loans 0.39 % 0.62 % 0.59 % 1.16 % 0.28 % 0.85 % 0.74 % Total loans outstanding $ 52,437 $ 8,316,382 $ 296,146 $ 2,558,351 $ 160,859 $ 889,090 $ 12,273,265 Total allowance for loan losses $ 204 $ 51,712 $ 1,677 $ 32,578 $ 454 $ 7,519 $ 94,144 Total allowance to total loans 0.39 % 0.62 % 0.57 % 1.27 % 0.28 % 0.85 % 0.77 % December 31, 2018 Real Estate - Real Estate - Real Estate - Commercial Trade Consumer Total (Dollars in thousands) Impaired loans (recorded investment) $ — $ 58,056 $ — $ 35,358 $ 9,011 $ 1,582 $ 104,007 Specific allowance $ — $ 437 $ — $ 4,351 $ — $ 3 $ 4,791 Specific allowance to impaired loans N/A 0.75 % N/A 12.31 % — % 0.19 % 4.61 % Other loans $ 51,197 $ 8,337,271 $ 275,076 $ 2,092,272 $ 188,179 $ 1,049,904 $ 11,993,899 General allowance $ 112 $ 55,453 $ 765 $ 23,414 $ 719 $ 7,303 $ 87,766 General allowance to other loans 0.22 % 0.67 % 0.28 % 1.12 % 0.38 % 0.70 % 0.73 % Total loans outstanding $ 51,197 $ 8,395,327 $ 275,076 $ 2,127,630 $ 197,190 $ 1,051,486 $ 12,097,906 Total allowance for loan losses $ 112 $ 55,890 $ 765 $ 27,765 $ 719 $ 7,306 $ 92,557 Total allowance to total loans 0.22 % 0.67 % 0.28 % 1.30 % 0.36 % 0.69 % 0.77 % |
Troubled Debt Restructurings | accrual and nonaccrual status by type of concession as of December 31, 2019 and December 31, 2018 are presented below: December 31, 2019 TDRs on Accrual Status TDRs on Nonaccrual Status Total TDRs Real Estate Commercial Business Other Total Real Commercial Other Total (Dollars in thousands) Payment concession $ 4,708 $ 886 $ 54 $ 5,648 $ 4,306 $ 259 $ — $ 4,565 $ 10,213 Maturity / amortization concession 14,537 10,778 43 25,358 — 5,931 122 6,053 31,411 Rate concession 4,419 181 103 4,703 334 65 — 399 5,102 Total $ 23,664 $ 11,845 $ 200 $ 35,709 $ 4,640 $ 6,255 $ 122 $ 11,017 $ 46,726 December 31, 2018 TDRs on Accrual Status TDRs on Nonaccrual Status Total TDRs Real Commercial Other Total Real Commercial Other Total (Dollars in thousands) Payment concession $ 5,142 $ 961 $ — $ 6,103 $ 2,216 $ 746 $ — $ 2,962 $ 9,065 Maturity / amortization concession 14,012 17,257 7,391 38,660 — 10,166 73 10,239 48,899 Rate concession 4,872 672 103 5,647 401 — — 401 6,048 Total $ 24,026 $ 18,890 $ 7,494 $ 50,410 $ 2,617 $ 10,912 $ 73 $ 13,602 $ 64,012 The following table presents loans by class modified as TDRs that occurred during the years ended December 31, 2019 , 2018 , and 2017 : For The Years Ended December 31, 2019 2018 2017 Number of Loans Pre-Modification Post-Modification Number of Loans Pre-Modification Post-Modification Number of Loans Pre-Modification Post-Modification (Dollars in thousands) Legacy Loans: Real Estate - Residential — $ — $ — — $ — $ — — $ — $ — Real Estate - Commercial Retail 1 438 438 2 53 53 2 1,082 1,082 Hotel & Motel 3 1,411 1,411 — — — 1 1,044 1,044 Gas Station & Car Wash — — — — — — — — — Mixed Use — — — — — — — — — Industrial & Warehouse — — — 1 2,070 2,070 1 465 465 Other 1 101 101 1 1,215 1,215 — — — Real Estate - Construction — — — — — — — — — Commercial business 10 2,210 2,210 18 10,972 10,972 14 8,507 8,507 Trade Finance — — — 1 898 898 — — — Consumer and Other 10 54 54 1 63 63 — — — Subtotal 25 $ 4,214 $ 4,214 24 $ 15,271 $ 15,271 18 $ 11,098 $ 11,098 Acquired Loans: Real Estate - Residential — $ — $ — — $ — $ — — $ — $ — Real Estate - Commercial Retail 4 1,027 1,027 — — — 3 1,642 1,642 Hotel & Motel — — — — — — 1 482 482 Gas Station & Car Wash — — — — — — — — — Mixed Use — — — 1 73 73 — — — Industrial & Warehouse — — — — — — — — — Other 4 2,793 2,793 1 2,688 2,688 2 6,946 6,946 Real Estate - Construction — — — 1 230 230 — — — Commercial business 1 131 131 — — — 8 4,224 4,224 Trade Finance — — — — — — 1 2,983 2,983 Consumer and Other — — — 8 1,764 1,764 — — — Subtotal 9 $ 3,951 $ 3,951 11 $ 4,755 $ 4,755 15 $ 16,277 $ 16,277 Total 34 $ 8,165 $ 8,165 35 $ 20,026 $ 20,026 33 $ 27,375 $ 27,375 |
Summary of Troubled Debt Restructurings with Subsequent Payment Default | The following table presents loans by class for TDRs that have been modified during the twelve months ended December 31, 2019 , 2018 , and 2017 , and have subsequently had a payment default during the years ended December 31, 2019 , 2018 , and 2017 , respectively: For The Years Ended December 31, 2019 2018 2017 Number of Loans Balance Number of Loans Balance Number of Balance (Dollars in thousands) Legacy Loans: Real Estate - Residential — $ — — $ — — $ — Real Estate - Commercial Retail 1 48 1 53 — — Hotel & Motel 1 707 1 734 — — Gas Station & Car Wash — — — — — — Mixed Use — — — — — — Industrial & Warehouse — — 1 2,070 — — Other 1 101 1 1,215 — — Real Estate - Construction — — — — — — Commercial Business — — 2 886 2 178 Trade Finance — — — — — — Consumer and Other 12 48 — — — — Subtotal 15 $ 904 6 $ 4,958 2 $ 178 Acquired Loans: Real Estate - Residential — $ — — $ — — $ — Real Estate - Commercial Retail 1 93 — — — — Hotel & Motel 1 54 — — 1 482 Mixed Use — — — — — — Gas Station & Car Wash — — — — — — Industrial & Warehouse 1 229 1 230 — — Other 2 950 — — 1 2,977 Real Estate - Construction — — — — — — Commercial Business 4 237 3 189 1 40 Trade Finance — — — — — — Consumer and Other — — — — — — Subtotal 9 $ 1,563 4 $ 419 3 $ 3,499 Total 24 $ 2,467 10 $ 5,377 5 $ 3,677 |
Goodwill and Other Intangible_2
Goodwill and Other Intangibles Assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Information regarding amortizable intangible assets | As of December 31, 2019 As of December 31, 2018 Core deposit intangibles related to: Amortization Period Gross Amount Accumulated Amortization Carrying Amount Accumulated Amortization Carrying Amount (Dollars in thousands) Center Financial 7 years $ 4,100 $ (4,100 ) $ — $ (4,100 ) $ — Pacific International Bank 7 years 604 (602 ) 2 (579 ) 25 Foster Bankshares 10 years 2,763 (2,120 ) 643 (1,893 ) 870 Wilshire Bancorp 10 years 18,138 (6,950 ) 11,188 (4,972 ) 13,166 Total $ 25,605 $ (13,772 ) $ 11,833 $ (11,544 ) $ 14,061 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Property, Plant and Equipment | The following table provides information regarding the premises and equipment at December 31, 2019 and 2018 : As of December 31, 2019 As of December 31, 2018 (Dollars in thousands) Land $ 11,244 $ 11,244 Building and improvements 23,384 23,350 Furniture, fixtures, and equipment 26,037 28,510 Leasehold improvements 28,562 28,842 Vehicles 123 123 Software/License 10,926 8,628 100,276 100,697 Less: Accumulated depreciation and amortization (48,264 ) (46,903 ) Total premises and equipment, net $ 52,012 $ 53,794 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Summary of Net Lease Cost and Other Information | The following table summarizes supplemental balance sheet information related to operating leases: Year Ended December 31, 2019 (Dollars in thousands) Operating leases Operating lease right-of-use assets $ 58,593 Current portion of long-term lease liabilities 12,807 Long-term lease liabilities 47,699 Weighted-average remaining lease term - operating leases 5.83 years Weighted-average discount rate - operating leases 3.09 % The table below summarizes supplemental cash flow information related to operating leases: Year Ended December 31, 2019 (Dollars in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows for operating leases $ 14,705 Right-of-use assets obtained in exchange for lease liabilities, net 66,531 The table below summarizes the Company’s net lease cost: Year Ended December 31, 2019 (Dollars in thousands) Operating lease cost $ 16,039 Variable lease cost 3,397 Short term lease cost 9 Sublease income (664 ) Net lease cost $ 18,781 |
Summary of Maturity of Remaining Lease Liabilities | The table below summarizes the maturity of remaining lease liabilities: December 31, 2019 (Dollars in thousands) 2020 $ 14,461 2021 13,799 2022 9,704 2023 7,565 2024 6,010 2025 and thereafter 14,996 Total lease payments 66,535 Less: imputed interest 6,029 Total lease obligations $ 60,506 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Scheduled maturities for time deposits | The following table presents the maturity schedules of time deposits in amounts of more than $250 thousand as of December 31, 2019 : December 31, 2019 (Dollars in thousands) Three months or less $ 638,019 Over three months through six months 372,606 Over six months through twelve months 811,238 Over twelve months 34,852 Total $ 1,856,715 At December 31, 2019 , the scheduled maturities for time deposits were as follows: December 31, 2019 (Dollars in thousands) Scheduled maturities in: 2020 $ 5,050,023 2021 75,275 2022 14,110 2023 19,260 2024 302 Total $ 5,158,970 |
Summary of interest expense on deposits | Interest expense on deposits for the periods indicated is summarized as follows: Year Ended December 31, 2019 2018 2017 (Dollars in thousands) Money market and NOW $ 57,731 $ 43,252 $ 31,856 Savings deposits 2,596 1,889 1,354 Time deposits 129,831 89,817 41,692 Total deposit interest expense $ 190,158 $ 134,958 $ 74,902 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Contractual Maturities for FHLB-SF Borrowings | At December 31, 2019 , the contractual maturities for outstanding FHLB advances were as follows: December 31, 2019 Scheduled maturities in: (Dollars in thousands) 2020 $ 335,000 2021 145,000 2022 145,000 Total $ 625,000 |
Subordinated Debentures (Tables
Subordinated Debentures (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Subordinated Borrowings [Abstract] | |
Summary of Trust Preferred Securities and Debentures | The following table is a summary of trust preferred securities and Debentures at December 31, 2019 : Issuance Trust Issuance Trust Preferred Carrying Value Rate Type Current Maturity (Dollars in thousands) Nara Capital Trust III 06/05/2003 $ 5,000 $ 5,155 Variable 5.04% 06/15/2033 Nara Statutory Trust IV 12/22/2003 5,000 5,155 Variable 4.84% 01/07/2034 Nara Statutory Trust V 12/17/2003 10,000 10,310 Variable 4.85% 12/17/2033 Nara Statutory Trust VI 03/22/2007 8,000 8,248 Variable 3.54% 06/15/2037 Center Capital Trust I 12/30/2003 18,000 14,235 Variable 4.84% 01/07/2034 Wilshire Statutory Trust II 03/17/2005 20,000 15,743 Variable 3.69% 03/17/2035 Wilshire Statutory Trust III 09/15/2005 15,000 11,134 Variable 3.29% 09/15/2035 Wilshire Statutory Trust IV 07/10/2007 25,000 18,042 Variable 3.27% 09/15/2037 Saehan Capital Trust I 03/30/2007 20,000 15,013 Variable 3.58% 06/30/2037 Total $ 126,000 $ 103,035 |
Schedule of Convertible Note | The value of the convertible note at issuance and carrying value as of December 31, 2019 and 2018 is presented in the tables below: As of December 31, 2019 Amortization/ Capitalization Period Gross Accumulated Carrying Amount (Dollars in thousands) Convertible notes principal balance $ 217,500 $ — $ 217,500 Discount 5 years (21,880 ) 6,659 (15,221 ) Issuance costs to be capitalized 5 years (4,119 ) 1,298 (2,821 ) Carrying balance of convertible notes $ 191,501 $ 7,957 $ 199,458 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Summary of components of income tax provision | The following presents a summary of income tax provision follows for the years ended December 31: Current Deferred Total (Dollars in thousands) 2019 Federal $ 31,969 $ 874 $ 32,843 State 21,806 661 22,467 $ 53,775 $ 1,535 $ 55,310 2018 Federal $ 35,401 $ 2,336 $ 37,737 State 27,749 406 28,155 $ 63,150 $ 2,742 $ 65,892 2017 Federal $ 64,910 $ 31,464 $ 96,374 State 24,739 3,276 28,015 $ 89,649 $ 34,740 $ 124,389 |
Reconciliation of effective tax rate | A reconciliation of the difference between the federal statutory income tax rate and the effective tax rate is shown in the following table for the years indicated: Year Ended December 31, 2019 2018 2017 Statutory tax rate 21.00 % 21.00 % 35.00 % State taxes-net of federal tax effect 8.73 % 8.56 % 7.04 % Rate change - federal and state — % 0.17 % 9.36 % CRA investment tax credit (4.93 )% (3.96 )% (3.50 )% Bank owned life insurance (0.06 )% (0.20 )% (0.09 )% Tax exempt municipal bonds and loans (0.22 )% (0.21 )% (0.45 )% Nondeductible transaction costs — % — % (0.02 )% Changes in uncertain tax positions (0.79 )% — % — % Other 0.71 % 0.43 % (0.19 )% Effective income tax rate 24.44 % 25.79 % 47.15 % |
Components of deferred tax assets and liabilities | Deferred tax assets and liabilities at December 31, 2019 and 2018 were comprised of the following: At December 31, 2019 2018 (Dollars in thousands) Deferred tax assets: Purchase accounting fair value adjustment $ 10,441 $ 16,239 Statutory bad debt deduction less than financial statement provision 23,588 22,904 Net operating loss carry-forward 1,834 2,092 Investment security provision 474 593 State tax deductions 3,810 4,240 Accrued compensation 151 148 Deferred compensation 94 175 Mark to market on loans held for sale 913 260 Depreciation 788 202 Nonaccrual loan interest 5,550 6,027 Other real estate owned 533 585 Unrealized loss on securities available for sale — 13,631 Non-qualified stock option and restricted share expense 2,348 1,420 Goodwill 31 117 Lease expense — 60 Lease expense - ROU asset 614 — Other 2,162 2,013 Total deferred tax assets $ 53,331 $ 70,706 Deferred tax liabilities: FHLB stock dividends $ (408 ) $ (617 ) Deferred loan costs (7,441 ) (6,816 ) State taxes deferred and other (2,516 ) (2,655 ) Prepaid expenses (1,359 ) (1,802 ) Amortization of intangibles (3,837 ) (4,524 ) Unrealized gain on securities available for sale (4,084 ) — Other (2,023 ) (3,379 ) Total deferred tax liabilities $ (21,668 ) $ (19,793 ) Net deferred tax assets $ 31,663 $ 50,913 |
Summary of net operating loss carryforwards | A summary of the Company’s net operating loss carry-forwards is as follows: Federal State Remaining Amount Expires Annual Limitation Remaining Amount Expires Annual Limitation (Dollars in thousands) 2019 Saehan Bank (acquired by Wilshire) $ 2,488 2030 $ 226 $ 2,488 2030 $ 226 Pacific International Bank 5,249 2032 420 — N/A — Total $ 7,737 $ 646 $ 2,488 $ 226 2018 Saehan Bank (acquired by Wilshire) $ 2,714 2030 $ 226 $ 2,714 2030 $ 226 Korea First Bank of New York 494 2019 497 — N/A — Pacific International Bank 5,669 2032 420 — N/A — Total $ 8,877 $ 1,143 $ 2,714 $ 226 |
Reconciliation of beginning and ending amount of unrecognized tax benefits | A reconciliation of the beginning and ending amount of unrecognized tax benefits for the years ended December 31, 2019 and 2018 is as follows: Year Ended December 31, 2019 2018 (Dollars in thousands) Balance at January 1, $ 2,314 $ 2,125 Additions based on tax positions related to prior years — 247 Settlements with taxing authorities (2,173 ) (58 ) Balance at December 31, $ 141 $ 2,314 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Stock Option Activity Under the Plan | The following is a summary of stock option activity under the 2016 Plan and 2019 Plan for the year ended December 31, 2019 : Number of Shares Weighted- Average Exercise Price Per Share Weighted- Average Remaining Contractual Life (Years) Aggregate Intrinsic Value (Dollars in thousands) Outstanding - January 1, 2019 982,631 $ 15.41 Granted — — Exercised (702 ) 13.10 Expired (20,718 ) 16.37 Forfeited (26,000 ) 17.18 Outstanding - December 31, 2019 935,211 $ 15.34 5.41 $ 1,040 Options exercisable - December 31, 2019 847,211 $ 15.15 5.27 $ 1,040 |
Summary of Restricted and Performance Unit Activity Under the Plan | The following is a summary of restricted and performance unit activity under the 2016 Plan and 2019 Plan for the year ended December 31, 2019 : Number of Shares Weighted- Average Grant Date Fair Value Outstanding - January 1, 2019 478,891 $ 16.37 Granted 784,728 13.20 Vested (119,147 ) 16.91 Forfeited (108,728 ) 14.70 Outstanding - December 31, 2019 1,035,744 $ 14.08 |
Estimated Annual Stock-Based Compensation Expense | The estimated annual stock-based compensation expense as of December 31, 2019 for each of the succeeding years is indicated in the table below: Stock Based Compensation Expense (Dollars in thousands) For the year ended December 31: 2020 $ 7,069 2021 4,623 2022 1,019 2023 167 2024 55 Total $ 12,933 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments | Commitments at December 31, 2019 and 2018 are summarized as follows: At December 31, 2019 2018 (Dollars in thousands) Commitments to extend credit $ 1,864,947 $ 1,712,032 Standby letters of credit 113,720 69,763 Other letters of credit 37,627 65,822 Commitments to fund investments in affordable housing partnerships 28,480 46,507 Total $ 2,044,774 $ 1,894,124 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Assets and Liabilities Measured at Fair Value on a Recurring Basis | Assets and liabilities measured at fair value on a recurring basis are summarized below: Fair Value Measurements Using December 31, 2019 Quoted Prices Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (Dollars in thousands) Assets: Securities available for sale: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 736,655 $ — $ 736,655 $ — Mortgage-backed securities: Residential 352,897 — 352,897 — Commercial 552,124 — 552,124 — Corporate securities 4,200 — 4,200 — Municipal securities 70,111 — 69,035 1,076 Equity investments with readily determinable fair value 22,123 22,123 — — Interest rate swaps 10,353 — 10,353 — Mortgage banking derivatives 95 — 95 — Liabilities: Interest rate swaps 10,353 — 10,353 — Mortgage banking derivatives 16 — 16 — Fair Value Measurements Using December 31, 2018 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (Dollars in thousands) Assets: Securities available for sale: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 895,122 $ — $ 895,122 $ — Mortgage-backed securities: Residential 402,605 — 402,605 — Commercial 469,126 — 469,126 — Corporate securities 3,826 — 3,826 — Municipal securities 75,586 — 74,527 1,059 Equity investments with readily determinable fair value 23,405 23,405 — — Interest rate swaps 7,059 — 7,059 — Mortgage banking derivatives 10 — 10 — Liabilities: Interest rate swaps 7,059 — 7,059 — Mortgage banking derivatives 3 — 3 — |
Assets Measured at Fair Value on a Non-recurring Basis | Assets measured at fair value on a non-recurring basis at December 31, 2019 and 2018 are summarized below: Fair Value Measurements Using December 31, 2019 Quoted Prices in Active Markets for Significant Other Significant (Dollars in thousands) Assets: Impaired loans at fair value: Real estate loans $ 9,519 $ — $ — $ 9,519 Commercial business 8,942 — — 8,942 OREO 19,086 — — 19,086 Fair Value Measurements Using December 31, 2018 Quoted Prices in Active Markets for Significant Other Significant (Dollars in thousands) Assets: Impaired loans at fair value: Real estate loans $ 9,379 $ — $ — $ 9,379 Commercial business 9,951 — — 9,951 Consumer 66 — — 66 OREO 5,659 — — 5,659 For assets measured at fair value on a non-recurring basis, the total net gains (losses) which include charge offs, recoveries, specific reserves, valuations, and recognized gains and losses on sales in 2019 and 2018 are summarized below: Year Ended December 31, 2019 2018 (Dollars in thousands) Assets: Impaired loans at fair value: Real estate loans $ 426 $ (4,511 ) Commercial business (2,428 ) (322 ) Trade finance 216 (364 ) Consumer (1,198 ) (1,155 ) Loans held for sale, net 165 — OREO 1,218 823 |
Carrying Amounts and Estimated Fair Values of Financial Instruments | Carrying amounts and estimated fair values of financial instruments, not previously presented, at December 31, 2019 and December 31, 2018 were as follows: December 31, 2019 Carrying Amount Estimated Fair Value Fair Value Measurement (Dollars in thousands) Financial Assets: Cash and cash equivalents $ 698,567 $ 698,567 Level 1 Interest bearing deposits in other financial institutions 29,162 29,235 Level 2 Equity investments without readily determinable fair values 26,967 26,967 Level 2 Loans held for sale 54,271 56,011 Level 2 Loans receivable, net 12,181,863 12,143,727 Level 3 Accrued interest receivable 30,772 30,772 Level 2/3 Servicing assets, net 16,417 18,966 Level 3 Customers’ liabilities on acceptances 1,117 1,117 Level 2 Financial Liabilities: Noninterest bearing deposits $ 3,108,687 $ 3,108,687 Level 2 Saving and other interest bearing demand deposits 4,259,707 4,259,707 Level 2 Time deposits 5,158,970 5,182,405 Level 2 FHLB advances 625,000 628,903 Level 2 Convertible notes, net 199,458 206,210 Level 1 Subordinated debentures, net 103,035 114,690 Level 2 Accrued interest payable 33,810 33,810 Level 2 Acceptances outstanding 1,117 1,117 Level 2 December 31, 2018 Carrying Estimated Fair Value Measurement Using (Dollars in thousands) Financial Assets: Cash and cash equivalents $ 459,606 $ 459,606 Level 1 Interest bearing deposits in other financial institutions 29,409 29,374 Level 2 Equity investments without readily determinable fair values 26,430 26,430 Level 2 Loans held for sale 25,128 25,943 Level 2 Loans receivable, net 12,005,558 11,913,906 Level 3 Accrued interest receivable 32,225 32,225 Level 2/3 Servicing assets, net 23,132 24,762 Level 3 Customers’ liabilities on acceptances 2,281 2,281 Level 2 Financial Liabilities: Noninterest bearing deposits $ 3,022,633 $ 3,022,633 Level 2 Saving and other interest bearing demand deposits 3,262,399 3,262,399 Level 2 Time deposits 5,870,624 5,889,030 Level 2 FHLB advances 821,280 810,812 Level 2 Convertible notes 194,543 180,525 Level 1 Subordinated debentures, net 101,929 116,542 Level 2 Accrued interest payable 31,374 31,374 Level 2 Acceptances outstanding 2,281 2,281 Level 2 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments | At December 31, 2019 and 2018 , interest rate swaps related to the Company’s loan hedging program that were outstanding is presented in the following table: December 31, 2019 December 31, 2018 (Dollars in thousands) Interest rate swaps on loans with correspondent banks (included in other assets) Notional amount $ 137,890 $ 237,916 Weighted average remaining term (years) 7.2 6.8 Pay fixed rate (weighted average) 3.62 % 4.36 % Received variable rate (weighted average) 3.83 % 4.69 % Estimated fair value $ 739 $ 6,191 Interest rate swaps on loans with correspondent banks (included in other liabilities) Notional amount $ 282,326 $ 36,972 Weighted average remaining term (years) 6.9 6.4 Pay fixed rate (weighted average) 4.48 % 5.12 % Received variable rate (weighted average) 3.98 % 4.56 % Estimated fair value $ (9,614 ) $ (868 ) Back to back interest rate swaps with loan customers (included in other liabilities) Notional amount $ 137,890 $ 237,916 Weighted average remaining term (years) 7.2 6.8 Received fixed rate (weighted average) 3.62 % 4.36 % Pay variable rate (weighted average) 3.83 % 4.69 % Estimated fair value $ (739 ) $ (6,191 ) Back to back interest rate swaps with loan customers (included in other assets) Notional amount $ 282,326 $ 36,972 Weighted average remaining term (years) 6.9 6.4 Received fixed rate (weighted average) 4.48 % 5.12 % Pay variable rate (weighted average) 3.98 % 4.56 % Estimated fair value $ 9,614 $ 868 |
Stockholders_ Equity (Tables)
Stockholders’ Equity (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Stockholders’ Equity and Regulatory Matters [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | Accumulated Other Comprehensive Income (Loss) The following table presents the changes to accumulated other comprehensive income (loss) for the years ended December 31, 2019 , 2018 , and 2017 : December 31, 2019 December 31, 2018 December 31, 2017 (Dollars in thousands) Balance at beginning of period $ (32,705 ) $ (21,781 ) $ (14,657 ) Unrealized gains (losses) on securities available for sale 59,851 (16,201 ) (5,796 ) Reclassification adjustments for net gains realized in income (282 ) — (301 ) Tax effect (17,715 ) 4,996 2,570 Total other comprehensive income (loss) 41,854 (11,205 ) (3,527 ) Reclassification to retained earnings due to the tax reform — — (3,597 ) Reclassification to retained earnings per ASU 2016-01 — 281 — Balance at end of period $ 9,149 $ (32,705 ) $ (21,781 ) |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Schedule of Actual Amounts and Ratios | The Company’s and the Bank’s capital levels and regulatory capital ratios are presented in the tables below: Actual Required For Capital Adequacy Purposes Minimum Capital Adequacy With Capital Conservation Buffer Required To Be Well Capitalized under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2019 Common equity tier 1 capital (to risk-weighted assets): Company $ 1,553,697 11.76 % $ 594,373 4.50 % $ 924,581 7.00 % N/A N/A Bank $ 1,811,862 13.72 % $ 594,320 4.50 % $ 924,498 7.00 % $ 858,462 6.50 % Total capital (to risk-weighted assets): Company $ 1,747,611 13.23 % $ 1,056,664 8.00 % $ 1,386,871 10.50 % N/A N/A Bank $ 1,906,642 14.44 % $ 1,056,569 8.00 % $ 1,386,747 10.50 % $ 1,320,711 10.00 % Tier I capital (to risk-weighted assets): Company $ 1,652,831 12.51 % $ 792,498 6.00 % $ 1,122,705 8.50 % N/A N/A Bank $ 1,811,862 13.72 % $ 792,427 6.00 % $ 924,498 8.50 % $ 1,056,569 8.00 % Tier I capital (to average assets): Company $ 1,652,831 11.22 % $ 589,367 4.00 % N/A N/A N/A N/A Bank $ 1,811,862 12.29 % $ 589,604 4.00 % N/A N/A $ 737,005 5.00 % Actual Required For Capital Adequacy Purposes Minimum Capital Adequacy With Capital Conservation Buffer Required To Be Well Capitalized under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) December 31, 2018 Common equity tier 1 capital (to risk-weighted assets): Company $ 1,458,344 11.44 % $ 573,723 4.50 % $ 812,774 6.375 % N/A N/A Bank $ 1,737,092 13.63 % $ 573,699 4.50 % $ 812,740 6.375 % $ 828,677 6.50 % Total capital (to risk-weighted assets): Company $ 1,649,664 12.94 % $ 1,019,952 8.00 % $ 1,259,004 9.875 % N/A N/A Bank $ 1,830,385 14.36 % $ 1,019,910 8.00 % $ 1,258,951 9.875 % $ 1,274,887 10.00 % Tier I capital (to risk-weighted assets): Company $ 1,556,371 12.21 % $ 764,964 6.00 % $ 1,004,015 7.875 % N/A N/A Bank $ 1,737,092 13.63 % $ 764,932 6.00 % $ 812,740 7.875 % $ 1,019,910 8.00 % Tier I capital (to average assets): Company $ 1,556,371 10.55 % $ 590,176 4.00 % N/A N/A N/A N/A Bank $ 1,737,092 11.76 % $ 590,639 4.00 % N/A N/A $ 738,299 5.00 % |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Service charges on deposit accounts and wire transfers are summarized below: For the Year Ended December 31, 2019 2018 (Dollars in thousands) Noninterest bearing deposit account income: Monthly service charges $ 1,608 $ 1,772 Customer analysis charges 7,801 7,825 NSF charges 7,654 7,986 Other service charges 799 906 Total noninterest bearing deposit account income 17,862 18,489 Interest bearing deposit account income: Monthly service charges 71 62 Total service fees on deposit accounts $ 17,933 $ 18,551 Wire transfer fee income: Wire transfer fees $ 4,058 $ 4,463 Foreign exchange fees 500 471 Total wire transfer fees $ 4,558 $ 4,934 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Computation of basic and diluted EPS | The following table shows the computation of basic and diluted EPS for the years ended December 31, 2019 , 2018 , and 2017 : Net Income (Numerator) Weighted Average Shares (Denominator) Earnings Per Share (Dollars in thousands, except share and per share data) 2019 Basic EPS - common stock $ 171,040 126,598,564 $ 1.35 Effect of dilutive securities: Stock options, restricted stock, performance awards, and ESPP shares 276,756 Diluted EPS - common stock $ 171,040 126,875,320 $ 1.35 2018 Basic EPS - common stock $ 189,589 131,716,726 $ 1.44 Effect of dilutive securities: Stock options, restricted stock, performance awards, and ESPP shares 237,466 Diluted EPS - common stock $ 189,589 131,954,192 $ 1.44 2017 Basic EPS - common stock $ 139,445 135,348,938 $ 1.03 Effect of dilutive securities: Stock options, restricted stock, and performance awards 336,031 Diluted EPS - common stock $ 139,445 135,684,969 $ 1.03 |
Servicing Assets (Tables)
Servicing Assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Transfers and Servicing [Abstract] | |
Servicing Asset at Amortized Cost | The changes in net servicing assets for the year ended December 31, 2019 and 2018 were as follows: Year Ended December 31, 2019 2018 (Dollars in thousands) Balance at beginning of period $ 23,132 $ 24,710 Additions through originations of servicing assets 1,790 6,157 Amortization (8,505 ) (7,735 ) Balance at end of period $ 16,417 $ 23,132 |
Schedule of Servicing Assets at Fair Value | The Company utilizes the discounted cash flow method to calculate the initial excess servicing assets. The inputs used in evaluating servicing assets for impairment at December 31, 2019 and December 31, 2018 are presented below. December 31, 2019 December 31, 2018 SBA Servicing Assets: Weighted-average discount rate 9.19% 11.23% Constant prepayment rate 14.17% 11.09% Mortgage Servicing Assets: Weighted-average discount rate 9.25% 10.25% Constant prepayment rate 9.57% 7.13% |
Condensed Financial Statement_2
Condensed Financial Statements of Parent Company (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Statements of Financial Condition | STATEMENTS OF FINANCIAL CONDITION December 31, 2019 2018 (Dollars in thousands) ASSETS: Cash and cash equivalents $ 38,981 $ 12,593 Equity investments — 525 Other assets 6,703 5,704 Investment in bank subsidiary 2,294,175 2,181,959 TOTAL ASSETS $ 2,339,859 $ 2,200,781 LIABILITIES: Convertible notes, net $ 199,458 $ 194,543 Subordinated debentures, net 103,035 101,929 Accounts payable and other liabilities 1,355 1,098 Total liabilities 303,848 297,570 STOCKHOLDERS’ EQUITY 2,036,011 1,903,211 TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY $ 2,339,859 $ 2,200,781 |
Statements of Income and Comprehensive Income | STATEMENTS OF INCOME AND COMPREHENSIVE INCOME Years Ended December 31, 2019 2018 2017 (Dollars in thousands) Interest income $ — $ — $ — Interest expense (16,001 ) (12,152 ) (5,089 ) Noninterest income 175 525 — Noninterest expense (4,386 ) (4,855 ) (5,988 ) Dividend from subsidiary, net 120,000 10,000 70,000 Equity in undistributed earnings of subsidiary 65,713 191,161 76,397 Income before income tax benefit 165,501 184,679 135,320 Income tax benefit 5,539 4,910 4,125 Net income 171,040 189,589 139,445 Other comprehensive income (loss), net of tax 41,854 (11,205 ) (3,527 ) Comprehensive income $ 212,894 $ 178,384 $ 135,918 |
Statements of Cash Flows | STATEMENTS OF CASH FLOWS Years Ended December 31, 2019 2018 2017 (Dollars in thousands) CASH FLOWS FROM OPERATING ACTIVITIES: Net income $ 171,040 $ 189,589 $ 139,445 Adjustments to reconcile net income to net cash from operating activities: Amortization 6,021 4,118 1,045 Stock-based compensation expense — 300 523 Net change in fair value of equity investments with readily determinable fair value (175 ) (525 ) — Change in other assets (999 ) 4,534 665 Change in accounts payable and other liabilities 257 653 (17 ) Equity in undistributed earnings of bank subsidiary (65,713 ) (191,161 ) (76,397 ) Net cash from operating activities 110,431 7,508 65,264 CASH FLOWS FROM INVESTING ACTIVITIES: Proceeds from sale of equity investments 700 — — Net cash from investing activities 700 — — CASH FLOWS USED IN FINANCING ACTIVITIES: Issuance of additional stock pursuant to various stock plans 12 469 1,865 Proceeds from convertible notes, net of issuance fees — 212,920 — Purchase of treasury stock (13,820 ) (150,000 ) — Payments of cash dividends (70,935 ) (71,631 ) (67,661 ) Net cash used in financing activities (84,743 ) (8,242 ) (65,796 ) NET CHANGE IN CASH AND CASH EQUIVALENTS 26,388 (734 ) (532 ) CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR 12,593 13,327 13,859 CASH AND CASH EQUIVALENTS, END OF YEAR $ 38,981 $ 12,593 $ 13,327 |
Quarterly Financial Data (Una_2
Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Schedule of Quarterly Financial Information | Summarized unaudited quarterly financial data follows for the three months ended: 2019 Quarter Ended, March 31 June 30 September 30 December 31 (Dollars in thousands, except per share data) Interest income $ 173,130 $ 173,466 $ 172,417 $ 165,773 Interest expense 53,522 56,245 56,159 52,265 Net interest income before provision for loan losses 119,608 117,221 116,258 113,508 Provision for loan losses 3,000 1,200 2,100 1,000 Net interest income after provision for loan losses 116,608 116,021 114,158 112,508 Noninterest income 11,422 12,287 12,995 12,979 Noninterest expense 70,833 71,371 69,995 70,429 Income before income tax provision 57,197 56,937 57,158 55,058 Income tax provision 14,439 14,256 14,566 12,049 Net income $ 42,758 $ 42,681 $ 42,592 $ 43,009 Basic earnings per common share $ 0.34 $ 0.34 $ 0.34 $ 0.34 Diluted earnings per common share $ 0.34 $ 0.34 $ 0.34 $ 0.34 2018 Quarter Ended, March 31 June 30 September 30 December 31 (Dollars in thousands, except per share data) Interest income $ 150,410 $ 159,910 $ 167,826 $ 172,026 Interest expense 30,342 37,091 44,679 50,133 Net interest income before provision for loan losses 120,068 122,819 123,147 121,893 Provision for loan losses 2,500 2,300 7,300 2,800 Net interest income after provision for loan losses 117,568 120,519 115,847 119,093 Noninterest income 19,850 15,269 13,447 11,614 Noninterest expense 68,453 71,629 67,455 70,189 Income before income tax provision 68,965 64,159 61,839 60,518 Income tax provision 17,733 16,629 15,461 16,069 Net income $ 51,232 $ 47,530 $ 46,378 $ 44,449 Basic earnings per common share $ 0.38 $ 0.36 $ 0.36 $ 0.35 Diluted earnings per common share $ 0.38 $ 0.36 $ 0.36 $ 0.35 |
Equity Investments - Narrative
Equity Investments - Narrative (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2018 | |
Investment [Line Items] | ||||
Reclassification of unrealized losses on equity investments to retained earnings - ASU 2016-01 | $ (188,000) | |||
Equity investments with readily determinable fair value | $ 49,090,000 | $ 49,835,000 | ||
Equity investments without readily determinable fair values | 27,000,000 | 26,400,000 | ||
Equity investments without readily determinable fair values, impairment | 0 | 0 | $ 0 | |
Sale of equity stock in other institutions | 2,570,000 | 0 | 0 | |
Change in fair value recorded on equity investments sold | 0 | |||
Equity investments without readily determinable fair values, observable price changes | 0 | 0 | $ 0 | |
Mutual funds | ||||
Investment [Line Items] | ||||
Equity investments with readily determinable fair value | 22,100,000 | 21,500,000 | ||
Equity stock in other institutions | ||||
Investment [Line Items] | ||||
Equity investments with readily determinable fair value | 1,900,000 | |||
Correspondent bank stock | ||||
Investment [Line Items] | ||||
Equity investments without readily determinable fair values | 370,000 | 370,000 | ||
Community development financial institutions | ||||
Investment [Line Items] | ||||
Equity investments without readily determinable fair values | 1,000,000 | 1,000,000 | ||
Community reinvestment act investments | ||||
Investment [Line Items] | ||||
Equity investments without readily determinable fair values | 25,600,000 | $ 25,100,000 | ||
Retained Earnings | ||||
Investment [Line Items] | ||||
Reclassification of unrealized losses on equity investments to retained earnings - ASU 2016-01 | $ (469,000) | $ (469,000) |
Securities Available for Sale_2
Securities Available for Sale (Details) - USD ($) | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jan. 01, 2018 | |
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | $ 1,703,841,000 | $ 1,893,618,000 | ||
Gross Unrealized Gains | 19,914,000 | 3,010,000 | ||
Gross Unrealized Losses | (7,768,000) | (50,363,000) | ||
Estimated Fair Value | 1,715,987,000 | 1,846,265,000 | ||
Amount of other than temporary impairment loss recognized | 0 | |||
Unrealized losses on securities | (9,149,000) | 32,705,000 | ||
Reclassifications out of accumulated other comprehensive loss | 282,000 | 0 | $ 301,000 | |
Reclassification of unrealized losses on equity investments to retained earnings - ASU 2016-01 | $ (188,000) | |||
Collateralized Mortgage Obligations | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | 735,094,000 | 914,710,000 | ||
Gross Unrealized Gains | 4,220,000 | 1,541,000 | ||
Gross Unrealized Losses | (2,659,000) | (21,129,000) | ||
Estimated Fair Value | 736,655,000 | 895,122,000 | ||
Mortgage-backed Securities, Residential | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | 353,073,000 | 415,659,000 | ||
Gross Unrealized Gains | 1,422,000 | 47,000 | ||
Gross Unrealized Losses | (1,598,000) | (13,101,000) | ||
Estimated Fair Value | 352,897,000 | 402,605,000 | ||
Mortgage-backed Securities, Commercial | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | 541,043,000 | 481,081,000 | ||
Gross Unrealized Gains | 13,441,000 | 1,024,000 | ||
Gross Unrealized Losses | (2,360,000) | (12,979,000) | ||
Estimated Fair Value | 552,124,000 | 469,126,000 | ||
Corporate securities | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | 5,000,000 | 5,000,000 | ||
Gross Unrealized Gains | 0 | 0 | ||
Gross Unrealized Losses | (800,000) | (1,174,000) | ||
Estimated Fair Value | 4,200,000 | 3,826,000 | ||
Municipal securities | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | 69,631,000 | 77,168,000 | ||
Gross Unrealized Gains | 831,000 | 398,000 | ||
Gross Unrealized Losses | (351,000) | (1,980,000) | ||
Estimated Fair Value | $ 70,111,000 | $ 75,586,000 | ||
Credit concentration risk | Stockholders' equity | Non-US government and agency securities | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Maximum exposure to any single issuer | 10.00% | 10.00% | ||
Available-for-sale Securities | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Unrealized losses on securities | $ 9,100,000 | $ 32,700,000 | ||
Retained Earnings | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Reclassification of unrealized losses on equity investments to retained earnings - ASU 2016-01 | $ (469,000) | $ (469,000) |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Additional information (Details) $ in Thousands | Jan. 01, 2020 | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Jan. 01, 2019USD ($)lease | Jan. 01, 2018USD ($) |
Schedule of Significant Accounting Policies [Line Items] | ||||||
Reserve and clearing requirement balance | $ 0 | $ 0 | ||||
Reclassification of unrealized losses on equity investments to retained earnings - ASU 2016-01 | $ (188) | |||||
Aggregate carrying value of properties foreclosed on | 19,400 | |||||
Net valuation adjustments subsequent to foreclosures | 167 | |||||
Proceeds from sales of OREO | 3,197 | 6,667 | $ 14,802 | |||
Impairment of investments in affordable housing partnership | 0 | 0 | 4,846 | |||
Payments of cash dividends on Common Stock | 70,900 | 71,600 | ||||
Loss Contingency Accrual | 440 | $ 755 | ||||
Reclassification of stranded tax effects to retained earnings - ASU 2018-02 | 0 | |||||
Right-of-use asset | 58,593 | |||||
Operating lease liabilities | 60,506 | |||||
Accounting Standards Update 2016-02 | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Number of operating leases | lease | 96 | |||||
Right-of-use asset | $ 64,200 | |||||
Operating lease liabilities | $ 64,300 | |||||
Retained Earnings | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Reclassification of unrealized losses on equity investments to retained earnings - ASU 2016-01 | $ (469) | $ (469) | ||||
Reclassification of stranded tax effects to retained earnings - ASU 2018-02 | $ 3,597 | |||||
Minimum | Accounting Standards Update 2016-13 | Subsequent Event | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Increase in allowance for loan losses | 30.00% | |||||
Decline in basis points for Tier 1 Common Equity Risk-Based Ratio | 0.22% | |||||
Minimum | Buildings | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives | 15 years | |||||
Minimum | Furniture , fixture and equipment | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives | 3 years | |||||
Minimum | Computer equipment | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives | 1 year | |||||
Minimum | Computer Software | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives | 1 year | |||||
Maximum | Accounting Standards Update 2016-13 | Subsequent Event | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Increase in allowance for loan losses | 40.00% | |||||
Decline in basis points for Tier 1 Common Equity Risk-Based Ratio | 0.29% | |||||
Maximum | Buildings | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives | 39 years | |||||
Maximum | Furniture , fixture and equipment | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives | 10 years | |||||
Maximum | Computer equipment | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives | 5 years | |||||
Maximum | Computer Software | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Estimated useful lives | 5 years | |||||
Core deposits | Minimum | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Amortization Period | 7 years | |||||
Core deposits | Maximum | ||||||
Schedule of Significant Accounting Policies [Line Items] | ||||||
Amortization Period | 10 years |
Equity Investments - Change in
Equity Investments - Change in Fair Value of Equity Investments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | ||
Net change in fair value recorded during the period on equity investment securities | $ 1,288 | $ 1,449 |
Net change in fair value recorded on equity investment securities sold during the period | $ 0 | $ 0 |
Securities Available for Sale -
Securities Available for Sale - Proceeds, Gains and Losses (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Debt Instrument [Line Items] | |||
Proceeds from investments sold | $ 115,628,000 | $ 0 | $ 128,791,000 |
Gains from sales/calls of securities | 750,000 | 0 | 402,000 |
Losses from sales of securities | (469,000) | 0 | (101,000) |
Net gain on sales or called securities | 282,000 | 0 | 301,000 |
Tax provision recorded on net gains on sales and calls of securities available for sale | 69,000 | 0 | 142,000 |
Call Option [Member] | |||
Debt Instrument [Line Items] | |||
Gains from sales/calls of securities | $ 1,000 | $ 0 | $ 0 |
Securities Available for Sale_3
Securities Available for Sale - Amortized Cost and Estimated Fair Value (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost - Due within one year | $ 80 | |
Amortized Cost - Due after one year through five years | 349 | |
Amortized Cost - Due after five years through ten years | 0 | |
Amortized Cost - Due after ten years | 74,202 | |
Amortized Cost | 1,703,841 | $ 1,893,618 |
Estimated Fair Value - Due within one year | 80 | |
Estimated Fair Value - Due after one year through five years | 351 | |
Estimated Fair Value - Due after five years through ten years | 0 | |
Estimated Fair Value - Due after ten years | 73,880 | |
Estimated Fair Value | 1,715,987 | 1,846,265 |
Carrying values of securities pledged as collateral | 340,900 | 354,600 |
Collateralized Mortgage Obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 735,094 | |
Amortized Cost | 735,094 | 914,710 |
Estimated Fair Value | 736,655 | |
Estimated Fair Value | 736,655 | 895,122 |
Mortgage-backed Securities, Residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 353,073 | |
Amortized Cost | 353,073 | 415,659 |
Estimated Fair Value | 352,897 | |
Estimated Fair Value | 352,897 | 402,605 |
Mortgage-backed Securities, Commercial | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 541,043 | |
Amortized Cost | 541,043 | 481,081 |
Estimated Fair Value | 552,124 | |
Estimated Fair Value | 552,124 | 469,126 |
Corporate Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 5,000 | 5,000 |
Estimated Fair Value | $ 4,200 | $ 3,826 |
Securities Available for Sale_4
Securities Available for Sale - Aggregate Unrealized Losses and Fair Value (Details) $ in Thousands | Dec. 31, 2019USD ($)security | Dec. 31, 2018USD ($)security |
Debt Securities, Available-for-sale [Line Items] | ||
Number of Securities, Less than 12 months | security | 35 | 21 |
Number of Securities, 12 months or longer | security | 57 | 198 |
Number of Securities, Total | security | 92 | 219 |
Fair Value - Less than 12 months | $ 269,737 | $ 72,036 |
Fair Value - 12 months or longer | 405,841 | 1,422,127 |
Fair Value - Total | 675,578 | 1,494,163 |
Gross Unrealized Losses - Less than 12 months | (2,064) | (366) |
Gross Unrealized Losses - 12 months or longer | (5,704) | (49,997) |
Gross Unrealized Losses - Total | $ (7,768) | $ (50,363) |
Collateralized Mortgage Obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Number of Securities, Less than 12 months | security | 20 | 1 |
Number of Securities, 12 months or longer | security | 32 | 93 |
Number of Securities, Total | security | 52 | 94 |
Fair Value - Less than 12 months | $ 108,236 | $ 8,041 |
Fair Value - 12 months or longer | 183,050 | 700,095 |
Fair Value - Total | 291,286 | 708,136 |
Gross Unrealized Losses - Less than 12 months | (721) | (28) |
Gross Unrealized Losses - 12 months or longer | (1,938) | (21,101) |
Gross Unrealized Losses - Total | $ (2,659) | $ (21,129) |
Mortgage-backed Securities, Residential | ||
Debt Securities, Available-for-sale [Line Items] | ||
Number of Securities, Less than 12 months | security | 6 | 4 |
Number of Securities, 12 months or longer | security | 16 | 45 |
Number of Securities, Total | security | 22 | 49 |
Fair Value - Less than 12 months | $ 84,107 | $ 19,973 |
Fair Value - 12 months or longer | 129,457 | 363,334 |
Fair Value - Total | 213,564 | 383,307 |
Gross Unrealized Losses - Less than 12 months | (267) | (37) |
Gross Unrealized Losses - 12 months or longer | (1,331) | (13,064) |
Gross Unrealized Losses - Total | $ (1,598) | $ (13,101) |
Mortgage-backed Securities, Commercial | ||
Debt Securities, Available-for-sale [Line Items] | ||
Number of Securities, Less than 12 months | security | 7 | 3 |
Number of Securities, 12 months or longer | security | 5 | 27 |
Number of Securities, Total | security | 12 | 30 |
Fair Value - Less than 12 months | $ 68,452 | $ 38,494 |
Fair Value - 12 months or longer | 73,697 | 312,428 |
Fair Value - Total | 142,149 | 350,922 |
Gross Unrealized Losses - Less than 12 months | (1,037) | (218) |
Gross Unrealized Losses - 12 months or longer | (1,323) | (12,761) |
Gross Unrealized Losses - Total | $ (2,360) | $ (12,979) |
Municipal bonds | ||
Debt Securities, Available-for-sale [Line Items] | ||
Number of Securities, Less than 12 months | security | 2 | 13 |
Number of Securities, 12 months or longer | security | 3 | 32 |
Number of Securities, Total | security | 5 | 45 |
Fair Value - Less than 12 months | $ 8,942 | $ 5,528 |
Fair Value - 12 months or longer | 15,437 | 42,444 |
Fair Value - Total | 24,379 | 47,972 |
Gross Unrealized Losses - Less than 12 months | (39) | (83) |
Gross Unrealized Losses - 12 months or longer | (312) | (1,897) |
Gross Unrealized Losses - Total | $ (351) | $ (1,980) |
Corporate Debt Securities [Member] | ||
Debt Securities, Available-for-sale [Line Items] | ||
Number of Securities, Less than 12 months | security | 0 | 0 |
Number of Securities, 12 months or longer | security | 1 | 1 |
Number of Securities, Total | security | 1 | 1 |
Fair Value - Less than 12 months | $ 0 | $ 0 |
Fair Value - 12 months or longer | 4,200 | 3,826 |
Fair Value - Total | 4,200 | 3,826 |
Gross Unrealized Losses - Less than 12 months | 0 | 0 |
Gross Unrealized Losses - 12 months or longer | (800) | (1,174) |
Gross Unrealized Losses - Total | $ (800) | $ (1,174) |
Loans Receivable and Allowanc_3
Loans Receivable and Allowance for Loan Losses - Schedule of Accounts, Notes, Loans and Financing Receivable (Details) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019USD ($)segment | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | Dec. 31, 2016USD ($) | |
Real estate loans: | ||||
Loans | $ 12,273,265 | $ 12,097,906 | ||
Less: deferred loan fees | 2,742 | 209 | ||
Gross loans receivable | 12,276,007 | 12,098,115 | ||
Less: allowance for loan losses | (94,144) | (92,557) | $ (84,541) | $ (79,343) |
Loans receivable, net | $ 12,181,863 | 12,005,558 | ||
Number of portfolio segments | segment | 4 | |||
Real Estate | ||||
Real estate loans: | ||||
Loans | $ 8,664,965 | 8,721,600 | ||
Real Estate | Real estate-Residential | ||||
Real estate loans: | ||||
Loans | 52,437 | 51,197 | ||
Real Estate | Commercial & industrial | ||||
Real estate loans: | ||||
Loans | 8,316,382 | 8,395,327 | ||
Real Estate | Real estate-Construction | ||||
Real estate loans: | ||||
Loans | 296,146 | 275,076 | ||
Commercial Business | ||||
Real estate loans: | ||||
Loans | 2,558,351 | 2,127,630 | ||
Less: allowance for loan losses | (32,578) | (27,765) | ||
Trade Finance | ||||
Real estate loans: | ||||
Loans | 160,859 | 197,190 | ||
Less: allowance for loan losses | (454) | (719) | ||
Consumer and other | ||||
Real estate loans: | ||||
Loans | 889,090 | 1,051,486 | ||
Less: allowance for loan losses | $ (7,519) | $ (7,306) |
Loans Receivable and Allowanc_4
Loans Receivable and Allowance for Loan Losses - Accretable Yield Movement Schedule on Acquired Credit Impaired Loans in Center Merger (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | ||
Balance at beginning of period | $ 49,697 | $ 55,002 |
Accretion | (23,874) | (21,837) |
Changes in expected cash flows | 12,330 | 16,532 |
Balance at end of period | $ 38,153 | $ 49,697 |
Loans Receivable and Allowanc_5
Loans Receivable and Allowance for Loan Losses - Allowance for Credit Losses on Financing Receivables (Details) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | |
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | $ 92,557 | $ 84,541 | $ 79,343 | ||
Provision (credit) for loan losses | 7,300 | 14,900 | 17,360 | ||
Loans charged off | (8,109) | (10,875) | (17,410) | ||
Recoveries of charged offs | 3,736 | 3,991 | 5,248 | ||
PCI allowance adjustment | (1,340) | ||||
Balance, end of period | 94,144 | 92,557 | 84,541 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | $ 3,402 | $ 4,791 | |||
Allowance for loan losses - Collectively evaluated for impairment | 82,663 | 75,603 | |||
Allowance for loan losses - Total | 94,144 | 84,541 | 84,541 | 94,144 | 92,557 |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 90,494 | 104,007 | |||
Loans outstanding - Collectively evaluated for impairment | 12,077,202 | 11,846,646 | |||
Total loans outstanding | 12,273,265 | 12,097,906 | |||
Loans and Leases Receivable, Other Information | |||||
Commitment to lend | 636 | 736 | |||
Credit for unfunded loan commitments | (100) | (100) | (2,358) | ||
Real Estate | |||||
Loans outstsanding: | |||||
Total loans outstanding | 8,664,965 | 8,721,600 | |||
Commercial Business | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 27,765 | ||||
Balance, end of period | 32,578 | 27,765 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 27,765 | 27,765 | 32,578 | 27,765 | |
Loans outstsanding: | |||||
Total loans outstanding | 2,558,351 | 2,127,630 | |||
Trade Finance | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 719 | ||||
Balance, end of period | 454 | 719 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 719 | 719 | 454 | 719 | |
Loans outstsanding: | |||||
Total loans outstanding | 160,859 | 197,190 | |||
Consumer and Other | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 7,306 | ||||
Balance, end of period | 7,519 | 7,306 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 7,306 | 7,306 | 7,519 | 7,306 | |
Loans outstsanding: | |||||
Total loans outstanding | 889,090 | 1,051,486 | |||
Receivables Acquired with Deteriorated Credit Quality | |||||
Allowance for Loan Losses and the Loans Receivables by Impairment Methodology | |||||
Purchased credit impaired loans with subsequent credit deterioration | 18,800 | 57,900 | |||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 12,163 | ||||
Balance, end of period | 8,079 | 12,163 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 12,163 | 12,163 | 8,079 | 12,163 | |
Loans outstsanding: | |||||
Total loans outstanding | 105,569 | 147,253 | |||
Legacy | |||||
Loans outstsanding: | |||||
Total loans outstanding | 10,199,858 | ||||
Legacy | Real Estate | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 49,446 | 45,360 | 38,956 | ||
Provision (credit) for loan losses | (2,993) | 9,334 | 8,524 | ||
Loans charged off | (1,159) | (6,273) | (2,292) | ||
Recoveries of charged offs | 1,706 | 1,025 | 172 | ||
PCI allowance adjustment | 0 | ||||
Balance, end of period | 47,000 | 49,446 | 45,360 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 202 | 176 | |||
Allowance for loan losses - Collectively evaluated for impairment | 46,798 | 49,270 | |||
Allowance for loan losses - Total | 49,446 | 45,360 | 45,360 | 47,000 | 49,446 |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 37,218 | 39,976 | |||
Loans outstanding - Collectively evaluated for impairment | 7,445,529 | 7,037,392 | |||
Total loans outstanding | 7,482,747 | 7,077,368 | |||
Legacy | Commercial Business | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 21,826 | 17,228 | 23,430 | ||
Provision (credit) for loan losses | 9,517 | 3,389 | (1,036) | ||
Loans charged off | (4,121) | (1,400) | (9,881) | ||
Recoveries of charged offs | 1,083 | 2,609 | 4,715 | ||
PCI allowance adjustment | 0 | ||||
Balance, end of period | 28,305 | 21,826 | 17,228 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 2,198 | 4,221 | |||
Allowance for loan losses - Collectively evaluated for impairment | 26,107 | 17,605 | |||
Allowance for loan losses - Total | 21,826 | 21,826 | 17,228 | 28,305 | 21,826 |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 19,044 | 29,624 | |||
Loans outstanding - Collectively evaluated for impairment | 2,479,744 | 1,988,067 | |||
Total loans outstanding | 2,498,788 | 2,017,691 | |||
Legacy | Trade Finance | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 719 | 1,674 | 1,897 | ||
Provision (credit) for loan losses | (481) | (588) | 1,825 | ||
Loans charged off | 0 | (408) | (2,104) | ||
Recoveries of charged offs | 216 | 41 | 56 | ||
PCI allowance adjustment | 0 | ||||
Balance, end of period | 454 | 719 | 1,674 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 0 | 0 | |||
Allowance for loan losses - Collectively evaluated for impairment | 454 | 719 | |||
Allowance for loan losses - Total | 454 | 1,674 | 1,674 | 454 | 719 |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 103 | 5,887 | |||
Loans outstanding - Collectively evaluated for impairment | 160,756 | 188,179 | |||
Total loans outstanding | 160,859 | 194,066 | |||
Legacy | Consumer and Other | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 6,269 | 3,385 | 2,116 | ||
Provision (credit) for loan losses | 1,978 | 4,098 | 2,207 | ||
Loans charged off | (1,144) | (1,245) | (943) | ||
Recoveries of charged offs | 34 | 31 | 5 | ||
PCI allowance adjustment | 0 | ||||
Balance, end of period | 7,137 | 6,269 | 3,385 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 11 | 3 | |||
Allowance for loan losses - Collectively evaluated for impairment | 7,126 | 6,266 | |||
Allowance for loan losses - Total | 6,269 | 6,269 | 2,116 | 7,137 | 6,269 |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 2,202 | 441 | |||
Loans outstanding - Collectively evaluated for impairment | 843,061 | 910,292 | |||
Total loans outstanding | 845,263 | 910,733 | |||
Legacy | Receivables Acquired with Deteriorated Credit Quality | Real Estate | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 0 | ||||
Balance, end of period | 0 | 0 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 0 | 0 | 0 | 0 | |
Loans outstsanding: | |||||
Total loans outstanding | 0 | 0 | |||
Legacy | Receivables Acquired with Deteriorated Credit Quality | Commercial Business | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 0 | ||||
Balance, end of period | 0 | 0 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 0 | 0 | 0 | 0 | |
Loans outstsanding: | |||||
Total loans outstanding | 0 | 0 | |||
Legacy | Receivables Acquired with Deteriorated Credit Quality | Trade Finance | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 0 | ||||
Balance, end of period | 0 | 0 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 0 | 0 | 0 | 0 | |
Loans outstsanding: | |||||
Total loans outstanding | 0 | 0 | |||
Legacy | Receivables Acquired with Deteriorated Credit Quality | Consumer and Other | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 0 | ||||
Balance, end of period | 0 | 0 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 0 | 0 | 0 | 0 | |
Loans outstsanding: | |||||
Total loans outstanding | 0 | 0 | |||
Acquired | |||||
Loans outstsanding: | |||||
Total loans outstanding | 1,898,048 | ||||
Acquired | Real Estate | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 7,321 | 13,322 | 12,791 | ||
Provision (credit) for loan losses | (482) | (5,551) | 1,341 | ||
Loans charged off | (644) | (453) | (850) | ||
Recoveries of charged offs | 398 | 3 | 40 | ||
PCI allowance adjustment | 0 | ||||
Balance, end of period | 6,593 | 7,321 | 13,322 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 110 | 261 | |||
Allowance for loan losses - Collectively evaluated for impairment | 1,818 | 1,264 | |||
Allowance for loan losses - Total | 6,593 | 13,322 | 12,791 | 6,593 | 7,321 |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 27,380 | 18,080 | |||
Loans outstanding - Collectively evaluated for impairment | 1,057,074 | 1,507,858 | |||
Total loans outstanding | 1,182,218 | 1,644,232 | |||
Acquired | Commercial Business | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 5,939 | 3,527 | 117 | ||
Provision (credit) for loan losses | (120) | 3,253 | 4,500 | ||
Loans charged off | (965) | (1,083) | (1,315) | ||
Recoveries of charged offs | 297 | 242 | 225 | ||
PCI allowance adjustment | (878) | ||||
Balance, end of period | 4,273 | 5,939 | 3,527 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 875 | 130 | |||
Allowance for loan losses - Collectively evaluated for impairment | 353 | 460 | |||
Allowance for loan losses - Total | 4,273 | 3,527 | 3,527 | 4,273 | 5,939 |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 3,695 | 5,734 | |||
Loans outstanding - Collectively evaluated for impairment | 48,968 | 80,916 | |||
Total loans outstanding | 59,563 | 109,939 | |||
Acquired | Trade Finance | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 0 | 42 | 0 | ||
Provision (credit) for loan losses | 0 | (42) | 42 | ||
Loans charged off | 0 | 0 | 0 | ||
Recoveries of charged offs | 0 | 0 | 0 | ||
PCI allowance adjustment | 0 | ||||
Balance, end of period | 0 | 0 | 42 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 0 | 0 | |||
Allowance for loan losses - Collectively evaluated for impairment | 0 | 0 | |||
Allowance for loan losses - Total | 0 | 0 | 42 | 0 | 0 |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 0 | 3,124 | |||
Loans outstanding - Collectively evaluated for impairment | 0 | 0 | |||
Total loans outstanding | 0 | 3,124 | |||
Acquired | Consumer and Other | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 1,037 | 3 | 36 | ||
Provision (credit) for loan losses | (119) | 1,007 | (43) | ||
Loans charged off | (76) | (13) | (25) | ||
Recoveries of charged offs | 2 | 40 | 35 | ||
PCI allowance adjustment | (462) | ||||
Balance, end of period | 382 | 1,037 | 3 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 6 | 0 | |||
Allowance for loan losses - Collectively evaluated for impairment | 7 | 19 | |||
Allowance for loan losses - Total | 1,037 | 1,037 | $ 3 | 382 | 1,037 |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 852 | 1,141 | |||
Loans outstanding - Collectively evaluated for impairment | 42,070 | 133,942 | |||
Total loans outstanding | 43,827 | 140,753 | |||
Acquired | Receivables Acquired with Deteriorated Credit Quality | Real Estate | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 5,796 | ||||
Balance, end of period | 4,665 | 5,796 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 5,796 | 5,796 | 4,665 | 5,796 | |
Loans outstsanding: | |||||
Total loans outstanding | 97,764 | 118,294 | |||
Acquired | Receivables Acquired with Deteriorated Credit Quality | Commercial Business | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 5,349 | ||||
Balance, end of period | 3,045 | 5,349 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 5,349 | 5,349 | 3,045 | 5,349 | |
Loans outstsanding: | |||||
Total loans outstanding | 6,900 | 23,289 | |||
Acquired | Receivables Acquired with Deteriorated Credit Quality | Trade Finance | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 0 | ||||
Balance, end of period | 0 | 0 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 0 | 0 | 0 | 0 | |
Loans outstsanding: | |||||
Total loans outstanding | 0 | 0 | |||
Acquired | Receivables Acquired with Deteriorated Credit Quality | Consumer and Other | |||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 1,018 | ||||
Balance, end of period | 369 | 1,018 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | $ 1,018 | $ 1,018 | 369 | 1,018 | |
Loans outstsanding: | |||||
Total loans outstanding | $ 905 | $ 5,670 |
Loans Receivable and Allowanc_6
Loans Receivable and Allowance for Loan Losses - Impaired Financing Receivables (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | $ 36,797 | $ 36,047 | |
Recorded Investment, With No Allocated Allowance | 53,697 | 67,960 | |
Allowance on Impaired Loans | (3,402) | (4,791) | |
Impaired Loans, net of allowance | 87,092 | 99,216 | |
Impaired Financing Receivable, Recorded Investment | 90,494 | 104,007 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 44,509 | 39,560 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 76,217 | 93,141 | |
Impaired Financing Receivable, Unpaid Principal Balance | 120,726 | 132,701 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 37,858 | 41,952 | $ 45,077 |
Average Recorded Investment, With No Related Allowance | 64,119 | 70,012 | 75,236 |
Average Recorded Investment, Total | 101,977 | 111,964 | 120,313 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 1,100 | 996 | 1,162 |
Interest Income Recognized during Impairment, With No Related Allowance | 962 | 1,931 | 2,279 |
Interest Income Recognized during Impairment, Total | 2,062 | 2,927 | 3,441 |
Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 7,394 | 8,474 | |
Recorded Investment, With No Allocated Allowance | 24,533 | 19,605 | |
Allowance on Impaired Loans | (991) | (391) | |
Impaired Financing Receivable, Recorded Investment | 31,927 | 28,079 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 8,815 | 10,566 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 35,073 | 26,593 | |
Impaired Financing Receivable, Unpaid Principal Balance | 43,888 | 37,159 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 6,195 | 10,299 | 2,790 |
Average Recorded Investment, With No Related Allowance | 21,838 | 20,857 | 21,959 |
Average Recorded Investment, Total | 28,033 | 31,156 | 24,749 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 290 | 396 | 70 |
Interest Income Recognized during Impairment, With No Related Allowance | 432 | 591 | 921 |
Interest Income Recognized during Impairment, Total | 722 | 987 | 991 |
WIthout charge-offs | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 33,344 | 35,365 | |
Recorded Investment, With No Allocated Allowance | 41,904 | 59,607 | |
With charge-offs | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 3,453 | 681 | |
Recorded Investment, With No Allocated Allowance | 11,793 | 8,354 | |
Real estate-Residential | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 0 | 0 | |
Recorded Investment, With No Allocated Allowance | 0 | 0 | |
Allowance on Impaired Loans | 0 | 0 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 0 | 0 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 0 | 0 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 0 | 50 | 0 |
Average Recorded Investment, With No Related Allowance | 0 | 0 | 1,105 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 0 | 0 |
Real estate-Residential | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 0 | 0 | |
Recorded Investment, With No Allocated Allowance | 0 | 0 | |
Allowance on Impaired Loans | 0 | 0 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 0 | 0 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 0 | 0 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 0 | 50 | 0 |
Average Recorded Investment, With No Related Allowance | 0 | 0 | 235 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 0 | 0 |
Real estate-Construction | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 0 | 0 | |
Recorded Investment, With No Allocated Allowance | 10,165 | 0 | |
Allowance on Impaired Loans | 0 | 0 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 0 | 0 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 10,165 | 0 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 0 | 0 | 0 |
Average Recorded Investment, With No Related Allowance | 2,033 | 520 | 1,611 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 0 | 0 |
Real estate-Construction | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 0 | 0 | |
Recorded Investment, With No Allocated Allowance | 10,165 | 0 | |
Allowance on Impaired Loans | 0 | 0 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 0 | 0 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 10,165 | 0 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 0 | 0 | 0 |
Average Recorded Investment, With No Related Allowance | 2,033 | 0 | 0 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 0 | 0 |
Commercial Business | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 19,254 | 22,203 | |
Recorded Investment, With No Allocated Allowance | 3,485 | 13,155 | |
Allowance on Impaired Loans | (3,073) | (4,351) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 20,849 | 23,928 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 8,628 | 17,850 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 21,814 | 23,146 | 23,695 |
Average Recorded Investment, With No Related Allowance | 8,545 | 18,041 | 16,312 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 601 | 511 | 631 |
Interest Income Recognized during Impairment, With No Related Allowance | 126 | 531 | 697 |
Commercial Business | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 3,575 | 4,064 | |
Recorded Investment, With No Allocated Allowance | 120 | 1,670 | |
Allowance on Impaired Loans | (875) | (130) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 3,795 | 5,041 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 1,413 | 2,681 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 3,490 | 5,380 | 1,111 |
Average Recorded Investment, With No Related Allowance | 1,034 | 4,658 | 5,794 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 213 | 162 | 47 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 92 | 182 |
Trade Finance | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 103 | 0 | |
Recorded Investment, With No Allocated Allowance | 0 | 9,011 | |
Allowance on Impaired Loans | 0 | 0 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 103 | 0 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 0 | 9,011 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 606 | 2,143 | 2,842 |
Average Recorded Investment, With No Related Allowance | 4,127 | 5,405 | 2,994 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 2 | 0 | 217 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 487 | 253 |
Trade Finance | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 0 | 0 | |
Recorded Investment, With No Allocated Allowance | 0 | 3,124 | |
Allowance on Impaired Loans | 0 | 0 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 0 | 0 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 0 | 3,124 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 0 | 0 | 0 |
Average Recorded Investment, With No Related Allowance | 1,902 | 3,134 | 1,274 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 189 | 248 |
Consumer and Other | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 1,501 | 575 | |
Recorded Investment, With No Allocated Allowance | 1,553 | 1,007 | |
Allowance on Impaired Loans | (17) | (3) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 1,581 | 575 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 1,577 | 1,156 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 1,010 | 710 | 240 |
Average Recorded Investment, With No Related Allowance | 1,515 | 1,457 | 1,225 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 4 | 7 | 4 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 0 | 25 |
Consumer and Other | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 738 | 144 | |
Recorded Investment, With No Allocated Allowance | 114 | 997 | |
Allowance on Impaired Loans | (6) | 0 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 781 | 144 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 137 | 1,144 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 255 | 89 | 0 |
Average Recorded Investment, With No Related Allowance | 649 | 1,298 | 645 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 7 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 0 | 7 |
Real estate-Commercial | |||
Impaired Loans, Recorded Investment | |||
Allowance on Impaired Loans | (312) | (437) | |
Real estate-Commercial | Retail | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 2,593 | 1,375 | |
Recorded Investment, With No Allocated Allowance | 4,557 | 8,005 | |
Allowance on Impaired Loans | (66) | (156) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 2,904 | 1,487 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 5,027 | 11,234 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 2,105 | 3,554 | 1,120 |
Average Recorded Investment, With No Related Allowance | 10,657 | 9,913 | 12,288 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 48 | 30 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 172 | 143 | 434 |
Real estate-Commercial | Retail | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 759 | 198 | |
Recorded Investment, With No Allocated Allowance | 3,635 | 3,285 | |
Allowance on Impaired Loans | (20) | (118) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 833 | 220 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 3,833 | 4,151 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 646 | 510 | 851 |
Average Recorded Investment, With No Related Allowance | 4,913 | 3,202 | 2,866 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 172 | 123 | 141 |
Real estate-Commercial | Hotel & Motel | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 1,877 | 1,949 | |
Recorded Investment, With No Allocated Allowance | 9,024 | 10,877 | |
Allowance on Impaired Loans | (65) | (119) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 5,925 | 2,310 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 16,831 | 22,590 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 1,723 | 2,700 | 4,050 |
Average Recorded Investment, With No Related Allowance | 9,917 | 6,085 | 7,245 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 67 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 0 | 0 |
Real estate-Commercial | Hotel & Motel | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 54 | 72 | |
Recorded Investment, With No Allocated Allowance | 5,003 | 5,428 | |
Allowance on Impaired Loans | (1) | (4) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 345 | 345 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 6,681 | 6,874 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 65 | 78 | 105 |
Average Recorded Investment, With No Related Allowance | 5,287 | 2,685 | 3,086 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 0 | 0 |
Real estate-Commercial | Gas Station & Car Wash | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 54 | 0 | |
Recorded Investment, With No Allocated Allowance | 217 | 545 | |
Allowance on Impaired Loans | (2) | 0 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 55 | 0 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 2,671 | 3,653 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 35 | 0 | 43 |
Average Recorded Investment, With No Related Allowance | 433 | 520 | 3,168 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 19 | 0 |
Real estate-Commercial | Gas Station & Car Wash | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 54 | 0 | |
Recorded Investment, With No Allocated Allowance | 217 | 247 | |
Allowance on Impaired Loans | (2) | 0 | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 55 | 0 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 2,671 | 2,673 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 35 | 0 | 0 |
Average Recorded Investment, With No Related Allowance | 215 | 176 | 619 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 0 | 0 |
Real estate-Commercial | Mixed Use | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 611 | 881 | |
Recorded Investment, With No Allocated Allowance | 3,229 | 7,048 | |
Allowance on Impaired Loans | (10) | (43) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 709 | 947 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 3,246 | 7,058 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 763 | 2,032 | 245 |
Average Recorded Investment, With No Related Allowance | 4,844 | 3,404 | 3,496 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 6 | 6 | 6 |
Interest Income Recognized during Impairment, With No Related Allowance | 198 | 347 | 0 |
Real estate-Commercial | Mixed Use | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 273 | 312 | |
Recorded Investment, With No Allocated Allowance | 0 | 3,722 | |
Allowance on Impaired Loans | (9) | (38) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 282 | 312 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 0 | 3,726 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 293 | 1,813 | 179 |
Average Recorded Investment, With No Related Allowance | 1,564 | 789 | 2,191 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 6 | 6 | 6 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 148 | 0 |
Real estate-Commercial | Industrial & Warehouse | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 8,168 | 1,305 | |
Recorded Investment, With No Allocated Allowance | 12,757 | 12,343 | |
Allowance on Impaired Loans | (155) | (93) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 9,481 | 2,139 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 14,261 | 13,467 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 6,465 | 1,579 | 1,135 |
Average Recorded Investment, With No Related Allowance | 11,168 | 11,560 | 8,676 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 351 | 70 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 206 | 298 | 262 |
Real estate-Commercial | Industrial & Warehouse | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 229 | 230 | |
Recorded Investment, With No Allocated Allowance | 93 | 119 | |
Allowance on Impaired Loans | (74) | (88) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 1,012 | 1,050 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 894 | 894 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 269 | 246 | 225 |
Average Recorded Investment, With No Related Allowance | 61 | 253 | 59 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 0 | 0 | 0 |
Interest Income Recognized during Impairment, With No Related Allowance | 0 | 0 | 3 |
Real estate-Commercial | Other | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 2,636 | 7,759 | |
Recorded Investment, With No Allocated Allowance | 8,710 | 5,969 | |
Allowance on Impaired Loans | (14) | (26) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 2,902 | 8,174 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 13,811 | 7,122 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 3,337 | 6,038 | 11,707 |
Average Recorded Investment, With No Related Allowance | 10,880 | 13,107 | 17,116 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 88 | 372 | 237 |
Interest Income Recognized during Impairment, With No Related Allowance | 260 | 106 | 608 |
Real estate-Commercial | Other | Acquired | |||
Impaired Loans, Recorded Investment | |||
Recorded Investment, With Allocated Allowance | 1,712 | 3,454 | |
Recorded Investment, With No Allocated Allowance | 5,186 | 1,013 | |
Allowance on Impaired Loans | (4) | (13) | |
Impaired Loans, Unpaid Principal Balance | |||
Unpaid Contractual Principal Balance, With Related Allowance | 1,712 | 3,454 | |
Unpaid Contractual Principal Balance, With No Related Allowance | 9,279 | 1,326 | |
Impaired Loans, Average Recorded Investment | |||
Average Recorded Investment, With Related Allowance | 1,142 | 2,133 | 319 |
Average Recorded Investment, With No Related Allowance | 4,180 | 4,662 | 5,190 |
Impaired Loans, Interest Income Recognized during Impairment | |||
Interest Income Recognized during Impairment, With Related Allowance | 71 | 221 | 17 |
Interest Income Recognized during Impairment, With No Related Allowance | $ 260 | $ 39 | $ 340 |
Loans Receivable and Allowanc_7
Loans Receivable and Allowance for Loan Losses - Past Due Financing Receivables (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Financing Receivable, Past Due [Line Items] | ||
Threshold period past due for nonaccrual status of financing receivable | 90 days | |
Past due and Accruing Loans | $ 62,148 | $ 56,936 |
Non-accrual loans | 54,785 | 53,286 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 7,547 | 1,529 |
Guaranteed portion of delinquent SBA loans that are in liquidation | 28,100 | 29,200 |
Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 41,419 | 47,005 |
Non-accrual loans | 35,085 | 42,248 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 7,547 | 243 |
Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 20,729 | 9,931 |
Non-accrual loans | 19,700 | 11,038 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 1,286 |
Real estate-Residential | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 0 | 0 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Real estate-Residential | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 0 | 0 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | |
Real estate-Commercial | Legacy | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 2,029 | 5,153 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 449 | 0 |
Real estate-Commercial | Legacy | Hotel & Motel | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 5,844 | 7,325 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Real estate-Commercial | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 0 | 31 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Real estate-Commercial | Legacy | Mixed Use | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 505 | 749 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 634 | 0 |
Real estate-Commercial | Legacy | Industrial & Warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 10,222 | 6,111 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Real estate-Commercial | Legacy | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 4,176 | 5,940 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 919 | 0 |
Real estate-Commercial | Acquired | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 905 | 829 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Real estate-Commercial | Acquired | Hotel & Motel | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 5,057 | 5,500 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 1,286 |
Real estate-Commercial | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 271 | 247 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Real estate-Commercial | Acquired | Mixed Use | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 160 | 1,224 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Real estate-Commercial | Acquired | Industrial & Warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 322 | 349 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Real estate-Commercial | Acquired | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 1,279 | 259 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Real estate-Construction | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 0 | 0 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 3,850 | 0 |
Real estate-Construction | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 10,165 | 0 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Commercial Business | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 5,945 | 12,938 |
Non-accrual loans | 10,204 | 14,837 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 1,096 | 0 |
Commercial Business | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 525 | 1,263 |
Non-accrual loans | 689 | 1,632 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Trade Finance | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 2,697 |
Non-accrual loans | 0 | 1,661 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Trade Finance | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Non-accrual loans | 0 | 0 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Consumer and Other | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 2,105 | 441 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 599 | 243 |
Consumer and Other | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Non-accrual loans | 852 | 998 |
Financing Receivable, 90 Days or More Past Due, Still Accruing | 0 | 0 |
Consumer | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 11,960 | 16,800 |
Consumer | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 1,458 | 334 |
30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 15,177 | 28,467 |
30-59 Days Past Due | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 12,030 | 27,137 |
30-59 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 3,147 | 1,330 |
30-59 Days Past Due | Commercial Business | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 344 | 5,500 |
30-59 Days Past Due | Commercial Business | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 57 | 397 |
30-59 Days Past Due | Trade Finance | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 1,036 |
30-59 Days Past Due | Trade Finance | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
30-59 Days Past Due | Consumer | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 8,871 | 16,413 |
30-59 Days Past Due | Consumer | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 981 | 0 |
60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 6,494 | 1,407 |
60-89 Days Past Due | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 5,384 | 575 |
60-89 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 1,110 | 832 |
60-89 Days Past Due | Commercial Business | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 126 | 435 |
60-89 Days Past Due | Commercial Business | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 226 | 613 |
60-89 Days Past Due | Trade Finance | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
60-89 Days Past Due | Trade Finance | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
60-89 Days Past Due | Consumer | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 914 | 140 |
60-89 Days Past Due | Consumer | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 40,477 | 27,062 |
90 or More Days Past Due | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 24,005 | 19,293 |
90 or More Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 16,472 | 7,769 |
90 or More Days Past Due | Commercial Business | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 5,475 | 7,003 |
90 or More Days Past Due | Commercial Business | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 242 | 253 |
90 or More Days Past Due | Trade Finance | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 1,661 |
90 or More Days Past Due | Trade Finance | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
90 or More Days Past Due | Consumer | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 2,175 | 247 |
90 or More Days Past Due | Consumer | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 477 | 334 |
Real estate-Construction | Real Estate | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 3,850 | 0 |
Real estate-Construction | Real Estate | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 10,165 | 0 |
Real estate-Construction | 30-59 Days Past Due | Real Estate | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Construction | 30-59 Days Past Due | Real Estate | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Construction | 60-89 Days Past Due | Real Estate | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Construction | 60-89 Days Past Due | Real Estate | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Construction | 90 or More Days Past Due | Real Estate | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 3,850 | 0 |
Real estate-Construction | 90 or More Days Past Due | Real Estate | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 10,165 | 0 |
Real estate-Commercial | Real Estate | Legacy | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 4,924 | 1,542 |
Real estate-Commercial | Real Estate | Legacy | Hotel & Motel | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 3,782 | 5,368 |
Real estate-Commercial | Real Estate | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 2,302 | 31 |
Real estate-Commercial | Real Estate | Legacy | Mixed Use | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 1,394 | 0 |
Real estate-Commercial | Real Estate | Legacy | Industrial & Warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 3,853 | 3,387 |
Real estate-Commercial | Real Estate | Legacy | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 3,409 | 4,242 |
Real estate-Commercial | Real Estate | Acquired | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 620 | 949 |
Real estate-Commercial | Real Estate | Acquired | Hotel & Motel | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 4,909 | 5,206 |
Real estate-Commercial | Real Estate | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 929 | 375 |
Real estate-Commercial | Real Estate | Acquired | Mixed Use | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 1,141 |
Real estate-Commercial | Real Estate | Acquired | Industrial & Warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 232 | 261 |
Real estate-Commercial | Real Estate | Acquired | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 1,891 | 402 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Legacy | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 1,083 | 733 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Legacy | Hotel & Motel | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 821 | 153 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 318 | 0 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Legacy | Mixed Use | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 593 | 0 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Legacy | Industrial & Warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 1,465 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Legacy | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 1,837 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Acquired | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 347 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Acquired | Hotel & Motel | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 525 | 0 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 679 | 154 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Acquired | Mixed Use | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 107 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Acquired | Industrial & Warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 94 | 142 |
Real estate-Commercial | 30-59 Days Past Due | Real Estate | Acquired | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 811 | 183 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Legacy | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 1,424 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Legacy | Hotel & Motel | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 936 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 1,984 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Legacy | Mixed Use | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Legacy | Industrial & Warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Legacy | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Acquired | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Acquired | Hotel & Motel | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 54 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Acquired | Mixed Use | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Acquired | Industrial & Warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 45 | 0 |
Real estate-Commercial | 60-89 Days Past Due | Real Estate | Acquired | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 785 | 219 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Legacy | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 2,417 | 809 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Legacy | Hotel & Motel | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 2,025 | 5,215 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 31 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Legacy | Mixed Use | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 801 | 0 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Legacy | Industrial & Warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 3,853 | 1,922 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Legacy | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 3,409 | 2,405 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Acquired | Retail | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 620 | 602 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Acquired | Hotel & Motel | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 4,384 | 5,206 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 196 | 221 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Acquired | Mixed Use | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 1,034 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Acquired | Industrial & Warehouse | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 93 | 119 |
Real estate-Commercial | 90 or More Days Past Due | Real Estate | Acquired | Other | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 295 | 0 |
Real estate-Residential | Real Estate | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Residential | Real Estate | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Residential | 30-59 Days Past Due | Real Estate | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Residential | 30-59 Days Past Due | Real Estate | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Residential | 60-89 Days Past Due | Real Estate | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Residential | 60-89 Days Past Due | Real Estate | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Residential | 90 or More Days Past Due | Real Estate | Legacy | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | 0 | 0 |
Real estate-Residential | 90 or More Days Past Due | Real Estate | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Past due and Accruing Loans | $ 0 | $ 0 |
Loans Receivable and Allowanc_8
Loans Receivable and Allowance for Loan Losses - Financing Receivable Credit Quality Indicators (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | $ 12,273,265 | $ 12,097,906 |
Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 10,199,858 | |
Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,898,048 | |
Real estate-Residential | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 52,437 | 51,197 |
Real estate-Residential | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 44,612 | |
Real estate-Residential | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 6,585 | |
Real estate-Commercial | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 8,316,382 | 8,395,327 |
Real estate-Commercial | Legacy | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,863,928 | |
Real estate-Commercial | Legacy | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,427,150 | |
Real estate-Commercial | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 819,565 | |
Real estate-Commercial | Legacy | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 535,793 | |
Real estate-Commercial | Legacy | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 751,233 | |
Real estate-Commercial | Legacy | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,396,952 | |
Real estate-Commercial | Acquired | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 505,957 | |
Real estate-Commercial | Acquired | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 207,040 | |
Real estate-Commercial | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 155,008 | |
Real estate-Commercial | Acquired | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 89,237 | |
Real estate-Commercial | Acquired | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 199,319 | |
Real estate-Commercial | Acquired | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 444,145 | |
Real estate-Construction | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 296,146 | 275,076 |
Real estate-Construction | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 238,135 | |
Real estate-Construction | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 36,941 | |
Real Estate | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 8,664,965 | 8,721,600 |
Real Estate | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 7,482,747 | 7,077,368 |
Real Estate | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,182,218 | 1,644,232 |
Commercial Business | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 2,558,351 | 2,127,630 |
Commercial Business | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 2,498,788 | 2,017,691 |
Commercial Business | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 59,563 | 109,939 |
Trade Finance | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 160,859 | 197,190 |
Trade Finance | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 160,859 | 194,066 |
Trade Finance | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 3,124 |
Consumer and Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 889,090 | 1,051,486 |
Consumer and Other | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 845,263 | 910,733 |
Consumer and Other | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 43,827 | 140,753 |
Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 11,872,522 | 11,616,490 |
Pass | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 10,702,893 | 9,884,742 |
Pass | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,169,629 | 1,731,748 |
Pass | Real estate-Residential | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 48,414 | 44,066 |
Pass | Real estate-Residential | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 3,563 | 5,812 |
Pass | Real estate-Commercial | Legacy | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,884,336 | 1,815,170 |
Pass | Real estate-Commercial | Legacy | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,482,398 | 1,389,349 |
Pass | Real estate-Commercial | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 738,988 | 814,291 |
Pass | Real estate-Commercial | Legacy | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 634,186 | 510,021 |
Pass | Real estate-Commercial | Legacy | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 834,514 | 711,236 |
Pass | Real estate-Commercial | Legacy | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,386,594 | 1,326,795 |
Pass | Real estate-Commercial | Acquired | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 322,519 | 483,939 |
Pass | Real estate-Commercial | Acquired | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 147,647 | 186,761 |
Pass | Real estate-Commercial | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 92,852 | 148,702 |
Pass | Real estate-Commercial | Acquired | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 65,268 | 77,100 |
Pass | Real estate-Commercial | Acquired | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 138,928 | 171,574 |
Pass | Real estate-Commercial | Acquired | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 311,674 | 402,247 |
Pass | Real estate-Construction | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 253,765 | 227,231 |
Pass | Real estate-Construction | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 29,058 |
Pass | Commercial Business | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 2,435,892 | 1,944,783 |
Pass | Commercial Business | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 45,185 | 89,611 |
Pass | Trade Finance | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 160,859 | 191,508 |
Pass | Trade Finance | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Pass | Consumer and Other | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 842,947 | 910,292 |
Pass | Consumer and Other | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 41,993 | 136,944 |
Special Mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 141,452 | 163,089 |
Special Mention | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 120,620 | 121,622 |
Special Mention | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 20,832 | 41,467 |
Special Mention | Real estate-Residential | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Special Mention | Real estate-Residential | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 393 |
Special Mention | Real estate-Commercial | Legacy | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 29,478 | 18,072 |
Special Mention | Real estate-Commercial | Legacy | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,237 | 21,932 |
Special Mention | Real estate-Commercial | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,707 | 2,810 |
Special Mention | Real estate-Commercial | Legacy | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,974 | 12,480 |
Special Mention | Real estate-Commercial | Legacy | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 7,641 | 1,665 |
Special Mention | Real estate-Commercial | Legacy | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 15,625 | 35,539 |
Special Mention | Real estate-Commercial | Acquired | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 3,442 | 4,651 |
Special Mention | Real estate-Commercial | Acquired | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 158 | 807 |
Special Mention | Real estate-Commercial | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 454 | 274 |
Special Mention | Real estate-Commercial | Acquired | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 2,932 | 3,986 |
Special Mention | Real estate-Commercial | Acquired | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 4,039 | 9,451 |
Special Mention | Real estate-Commercial | Acquired | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 9,791 | 12,902 |
Special Mention | Real estate-Construction | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 24,641 | 10,904 |
Special Mention | Real estate-Construction | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 7,883 |
Special Mention | Commercial Business | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 38,160 | 18,220 |
Special Mention | Commercial Business | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 7 | 1,083 |
Special Mention | Trade Finance | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Special Mention | Trade Finance | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Special Mention | Consumer and Other | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 157 | 0 |
Special Mention | Consumer and Other | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 9 | 37 |
Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 259,278 | 317,915 |
Substandard | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 164,131 | 193,494 |
Substandard | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 95,147 | 124,421 |
Substandard | Real estate-Residential | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 143 | 546 |
Substandard | Real estate-Residential | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 317 | 380 |
Substandard | Real estate-Commercial | Legacy | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 38,164 | 30,686 |
Substandard | Real estate-Commercial | Legacy | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 20,864 | 15,869 |
Substandard | Real estate-Commercial | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 4,560 | 2,464 |
Substandard | Real estate-Commercial | Legacy | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 8,211 | 13,292 |
Substandard | Real estate-Commercial | Legacy | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 35,739 | 38,332 |
Substandard | Real estate-Commercial | Legacy | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 21,994 | 34,618 |
Substandard | Real estate-Commercial | Acquired | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 10,597 | 17,332 |
Substandard | Real estate-Commercial | Acquired | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 11,294 | 19,472 |
Substandard | Real estate-Commercial | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 2,953 | 6,032 |
Substandard | Real estate-Commercial | Acquired | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 8,144 | 8,151 |
Substandard | Real estate-Commercial | Acquired | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 10,015 | 18,071 |
Substandard | Real estate-Commercial | Acquired | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 25,466 | 28,996 |
Substandard | Real estate-Construction | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 7,574 | 0 |
Substandard | Real estate-Construction | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 10,165 | 0 |
Substandard | Commercial Business | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 24,723 | 54,688 |
Substandard | Commercial Business | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 14,371 | 19,237 |
Substandard | Trade Finance | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 2,558 |
Substandard | Trade Finance | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 3,124 |
Substandard | Consumer and Other | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 2,159 | 441 |
Substandard | Consumer and Other | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,825 | 3,626 |
Doubtful/ Loss | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 13 | 412 |
Doubtful/ Loss | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 13 | 0 |
Doubtful/ Loss | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 412 |
Doubtful/ Loss | Real estate-Residential | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Residential | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Commercial | Legacy | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Commercial | Legacy | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Commercial | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Commercial | Legacy | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Commercial | Legacy | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Commercial | Legacy | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Commercial | Acquired | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 35 |
Doubtful/ Loss | Real estate-Commercial | Acquired | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Commercial | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Commercial | Acquired | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Commercial | Acquired | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 223 |
Doubtful/ Loss | Real estate-Commercial | Acquired | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Construction | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Real estate-Construction | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Commercial Business | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 13 | 0 |
Doubtful/ Loss | Commercial Business | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 8 |
Doubtful/ Loss | Trade Finance | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Trade Finance | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Consumer and Other | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | 0 |
Doubtful/ Loss | Consumer and Other | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | $ 146 |
Non Pass | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 12,273,265 | |
Non Pass | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 10,987,657 | |
Non Pass | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,285,608 | |
Non Pass | Real estate-Residential | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 48,557 | |
Non Pass | Real estate-Residential | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 3,880 | |
Non Pass | Real estate-Commercial | Legacy | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,951,978 | |
Non Pass | Real estate-Commercial | Legacy | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,504,499 | |
Non Pass | Real estate-Commercial | Legacy | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 745,255 | |
Non Pass | Real estate-Commercial | Legacy | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 644,371 | |
Non Pass | Real estate-Commercial | Legacy | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 877,894 | |
Non Pass | Real estate-Commercial | Legacy | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 1,424,213 | |
Non Pass | Real estate-Commercial | Acquired | Retail | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 336,558 | |
Non Pass | Real estate-Commercial | Acquired | Hotel & Motel | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 159,099 | |
Non Pass | Real estate-Commercial | Acquired | Gas Station & Car Wash | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 96,259 | |
Non Pass | Real estate-Commercial | Acquired | Mixed Use | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 76,344 | |
Non Pass | Real estate-Commercial | Acquired | Industrial & Warehouse | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 152,982 | |
Non Pass | Real estate-Commercial | Acquired | Other | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 346,931 | |
Non Pass | Real estate-Construction | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 285,980 | |
Non Pass | Real estate-Construction | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 10,165 | |
Non Pass | Commercial Business | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 2,498,788 | |
Non Pass | Commercial Business | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 59,563 | |
Non Pass | Trade Finance | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 160,859 | |
Non Pass | Trade Finance | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 0 | |
Non Pass | Consumer and Other | Legacy | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | 845,263 | |
Non Pass | Consumer and Other | Acquired | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Loans | $ 43,827 |
Loans Receivable and Allowanc_9
Loans Receivable and Allowance for Loan Losses - Loans Held For Investment - Sales or Reclassification to Held for Sale (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Loans Receivable Held-for-sale, Net, Reconciliation to Cash Flow [Roll Forward] | |||
Sales or reclassification to held for sale | $ 165,994 | $ 21,581 | $ 429 |
Real estate-Commercial | |||
Loans Receivable Held-for-sale, Net, Reconciliation to Cash Flow [Roll Forward] | |||
Sales or reclassification to held for sale | 25,988 | 0 | 429 |
Consumer | |||
Loans Receivable Held-for-sale, Net, Reconciliation to Cash Flow [Roll Forward] | |||
Sales or reclassification to held for sale | $ 140,006 | $ 21,581 | $ 0 |
Loans Receivable and Allowan_10
Loans Receivable and Allowance for Loan Losses - Allowance for Loans, by Portfolio Segment and Impairment Method (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Impaired loans, gross carrying value | $ 90,494 | $ 104,007 | ||
Specific allowance | $ 3,402 | $ 4,791 | ||
Loss coverage ratio | 3.76% | 4.61% | ||
Non-impaired loans | $ 12,182,771 | $ 11,993,899 | ||
General allowance | $ 90,742 | $ 87,766 | ||
Loss coverage ratio | 0.74% | 0.73% | ||
Total loans outstanding | $ 12,273,265 | $ 12,097,906 | ||
Allowance for loan losses - Total | $ 94,144 | $ 92,557 | $ 84,541 | $ 79,343 |
Loss coverage ratio | 0.77% | 0.77% | ||
Real estate-Residential | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Impaired loans, gross carrying value | $ 0 | $ 0 | ||
Specific allowance | 0 | 0 | ||
Non-impaired loans | 52,437 | 51,197 | ||
General allowance | $ 204 | $ 112 | ||
Loss coverage ratio | 0.39% | 0.22% | ||
Total loans outstanding | $ 52,437 | $ 51,197 | ||
Allowance for loan losses - Total | $ 204 | $ 112 | ||
Loss coverage ratio | 0.39% | 0.22% | ||
Real estate-Commercial | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Impaired loans, gross carrying value | $ 54,433 | $ 58,056 | ||
Specific allowance | $ 312 | $ 437 | ||
Loss coverage ratio | 0.57% | 0.75% | ||
Non-impaired loans | $ 8,261,949 | $ 8,337,271 | ||
General allowance | $ 51,400 | $ 55,453 | ||
Loss coverage ratio | 0.62% | 0.67% | ||
Total loans outstanding | $ 8,316,382 | $ 8,395,327 | ||
Allowance for loan losses - Total | $ 51,712 | $ 55,890 | ||
Loss coverage ratio | 0.62% | 0.67% | ||
Real estate-Construction | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Impaired loans, gross carrying value | $ 10,165 | $ 0 | ||
Specific allowance | $ 0 | 0 | ||
Loss coverage ratio | 0.00% | |||
Non-impaired loans | $ 285,981 | 275,076 | ||
General allowance | $ 1,677 | $ 765 | ||
Loss coverage ratio | 0.59% | 0.28% | ||
Total loans outstanding | $ 296,146 | $ 275,076 | ||
Allowance for loan losses - Total | $ 1,677 | $ 765 | ||
Loss coverage ratio | 0.57% | 0.28% | ||
Commercial Business | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Impaired loans, gross carrying value | $ 22,739 | $ 35,358 | ||
Specific allowance | $ 3,073 | $ 4,351 | ||
Loss coverage ratio | 13.51% | 12.31% | ||
Non-impaired loans | $ 2,535,612 | $ 2,092,272 | ||
General allowance | $ 29,505 | $ 23,414 | ||
Loss coverage ratio | 1.16% | 1.12% | ||
Total loans outstanding | $ 2,558,351 | $ 2,127,630 | ||
Allowance for loan losses - Total | $ 32,578 | $ 27,765 | ||
Loss coverage ratio | 1.27% | 1.30% | ||
Trade finance | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Impaired loans, gross carrying value | $ 103 | $ 9,011 | ||
Specific allowance | $ 0 | $ 0 | ||
Loss coverage ratio | 0.00% | 0.00% | ||
Non-impaired loans | $ 160,756 | $ 188,179 | ||
General allowance | $ 454 | $ 719 | ||
Loss coverage ratio | 0.28% | 0.38% | ||
Total loans outstanding | $ 160,859 | $ 197,190 | ||
Allowance for loan losses - Total | $ 454 | $ 719 | ||
Loss coverage ratio | 0.28% | 0.36% | ||
Consumer and Other | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Impaired loans, gross carrying value | $ 3,054 | $ 1,582 | ||
Specific allowance | $ 17 | $ 3 | ||
Loss coverage ratio | 0.56% | 0.19% | ||
Non-impaired loans | $ 886,036 | $ 1,049,904 | ||
General allowance | $ 7,502 | $ 7,303 | ||
Loss coverage ratio | 0.85% | 0.70% | ||
Total loans outstanding | $ 889,090 | $ 1,051,486 | ||
Allowance for loan losses - Total | $ 7,519 | $ 7,306 | ||
Loss coverage ratio | 0.85% | 0.69% | ||
Real Estate | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Total loans outstanding | $ 8,664,965 | $ 8,721,600 | ||
Legacy | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Total loans outstanding | 10,199,858 | |||
Legacy | Real estate-Residential | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Total loans outstanding | 44,612 | |||
Legacy | Real estate-Construction | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Total loans outstanding | 238,135 | |||
Legacy | Commercial Business | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Total loans outstanding | 2,498,788 | 2,017,691 | ||
Allowance for loan losses - Total | 28,305 | 21,826 | 17,228 | 23,430 |
Legacy | Trade finance | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Total loans outstanding | 160,859 | 194,066 | ||
Allowance for loan losses - Total | 454 | 719 | 1,674 | 1,897 |
Legacy | Consumer and Other | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Total loans outstanding | 845,263 | 910,733 | ||
Allowance for loan losses - Total | 7,137 | 6,269 | 3,385 | 2,116 |
Legacy | Real Estate | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Total loans outstanding | 7,482,747 | 7,077,368 | ||
Allowance for loan losses - Total | 47,000 | 49,446 | 45,360 | 38,956 |
Acquired | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Specific allowance | 991 | 391 | ||
Total loans outstanding | 1,898,048 | |||
Acquired | Real estate-Residential | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Specific allowance | 0 | 0 | ||
Total loans outstanding | 6,585 | |||
Acquired | Real estate-Construction | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Specific allowance | 0 | 0 | ||
Total loans outstanding | 36,941 | |||
Acquired | Commercial Business | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Specific allowance | 875 | 130 | ||
Total loans outstanding | 59,563 | 109,939 | ||
Allowance for loan losses - Total | 4,273 | 5,939 | 3,527 | 117 |
Acquired | Trade finance | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Specific allowance | 0 | 0 | ||
Total loans outstanding | 0 | 3,124 | ||
Allowance for loan losses - Total | 0 | 0 | 42 | 0 |
Acquired | Consumer and Other | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Specific allowance | 6 | 0 | ||
Total loans outstanding | 43,827 | 140,753 | ||
Allowance for loan losses - Total | 382 | 1,037 | 3 | 36 |
Acquired | Real Estate | ||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||
Total loans outstanding | 1,182,218 | 1,644,232 | ||
Allowance for loan losses - Total | $ 6,593 | $ 7,321 | $ 13,322 | $ 12,791 |
Loans Receivable and Allowan_11
Loans Receivable and Allowance for Loan Losses - Troubled Debt Restructurings on Financing Receivables (Details) | 12 Months Ended | ||
Dec. 31, 2019USD ($)loan | Dec. 31, 2018USD ($)loan | Dec. 31, 2017USD ($)loan | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Charge offs for TDR loans modified | $ 33,000 | $ 0 | |
Troubled debt restructured | $ 46,726,000 | $ 64,012,000 | |
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 34 | 35 | 33 |
Pre-Modification | $ 8,165,000 | $ 20,026,000 | $ 27,375,000 |
Post-Modification | $ 8,165,000 | $ 20,026,000 | $ 27,375,000 |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 24 | 10 | 5 |
Balance | $ 2,467,000 | $ 5,377,000 | $ 3,677,000 |
Specific reserves | 110,000 | 262,000 | 1,400,000 |
Specific reserves for the TDRs | 105,000 | 131,000 | 60,000 |
Charge offs | 107,000 | 180,000 | 0 |
Specific reserves allocated to TDRs | 3,100,000 | 3,000,000 | $ 4,800,000 |
Outstanding commitments to extend additional funds to borrowers | 636,000 | 736,000 | |
Financing Receivable, Modification, Commitment to Lend | 742,000 | 302,000 | |
Payment concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 10,213,000 | 9,065,000 | |
Maturity/ Amortization concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 31,411,000 | 48,899,000 | |
Rate concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 5,102,000 | 6,048,000 | |
TDR on accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 35,709,000 | 50,410,000 | |
TDR on accrual | Payment concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 5,648,000 | 6,103,000 | |
TDR on accrual | Maturity/ Amortization concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 25,358,000 | 38,660,000 | |
TDR on accrual | Rate concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 4,703,000 | 5,647,000 | |
TDR on non-accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 11,017,000 | 13,602,000 | |
TDR on non-accrual | Payment concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 4,565,000 | 2,962,000 | |
TDR on non-accrual | Maturity/ Amortization concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 6,053,000 | 10,239,000 | |
TDR on non-accrual | Rate concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | $ 399,000 | $ 401,000 | |
Real estate-Commercial | TDR on accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of TDRs on accrual status | loan | 15 | 20 | |
Commercial Business | TDR on accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of TDRs on accrual status | loan | 27 | 37 | |
Consumer | TDR on accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of TDRs on accrual status | loan | 12 | 6 | |
Real Estate | Real estate-Commercial | TDR on accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | $ 23,664,000 | $ 24,026,000 | |
Real Estate | Real estate-Commercial | TDR on accrual | Payment concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 4,708,000 | 5,142,000 | |
Real Estate | Real estate-Commercial | TDR on accrual | Maturity/ Amortization concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 14,537,000 | 14,012,000 | |
Real Estate | Real estate-Commercial | TDR on accrual | Rate concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 4,419,000 | 4,872,000 | |
Real Estate | Real estate-Commercial | TDR on non-accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 4,640,000 | 2,617,000 | |
Real Estate | Real estate-Commercial | TDR on non-accrual | Payment concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 4,306,000 | 2,216,000 | |
Real Estate | Real estate-Commercial | TDR on non-accrual | Maturity/ Amortization concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 0 | 0 | |
Real Estate | Real estate-Commercial | TDR on non-accrual | Rate concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 334,000 | 401,000 | |
Commercial Business | TDR on accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 11,845,000 | 18,890,000 | |
Commercial Business | TDR on accrual | Payment concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 886,000 | 961,000 | |
Commercial Business | TDR on accrual | Maturity/ Amortization concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 10,778,000 | 17,257,000 | |
Commercial Business | TDR on accrual | Rate concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 181,000 | 672,000 | |
Commercial Business | TDR on non-accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 6,255,000 | 10,912,000 | |
Commercial Business | TDR on non-accrual | Payment concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 259,000 | 746,000 | |
Commercial Business | TDR on non-accrual | Maturity/ Amortization concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 5,931,000 | 10,166,000 | |
Commercial Business | TDR on non-accrual | Rate concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 65,000 | 0 | |
Commercial Business | Commercial Business | TDR on accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 11,800,000 | ||
Trade Finance and Other | TDR on accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 200,000 | 7,494,000 | |
Trade Finance and Other | TDR on accrual | Payment concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 54,000 | 0 | |
Trade Finance and Other | TDR on accrual | Maturity/ Amortization concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 43,000 | 7,391,000 | |
Trade Finance and Other | TDR on accrual | Rate concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 103,000 | 103,000 | |
Trade Finance and Other | TDR on non-accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 122,000 | 73,000 | |
Trade Finance and Other | TDR on non-accrual | Payment concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 0 | 0 | |
Trade Finance and Other | TDR on non-accrual | Maturity/ Amortization concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 122,000 | 73,000 | |
Trade Finance and Other | TDR on non-accrual | Rate concession | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | 0 | 0 | |
Consumer and Other | Consumer | TDR on accrual | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructured | $ 200,000 | $ 7,500,000 | |
Legacy | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 25 | 24 | 18 |
Pre-Modification | $ 4,214,000 | $ 15,271,000 | $ 11,098,000 |
Post-Modification | $ 4,214,000 | $ 15,271,000 | $ 11,098,000 |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 15 | 6 | 2 |
Balance | $ 904,000 | $ 4,958,000 | $ 178,000 |
Subsequent default, number of loans | loan | 15 | 6 | 2 |
Legacy | Real Estate | Retail | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 1 | 1 | 0 |
Subsequent default, number of loans | loan | 0 | 0 | 0 |
Subsequent default, recorded investment | $ 0 | $ 0 | $ 0 |
Legacy | Real Estate | Hotel & Motel | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 1 | 1 | 0 |
Balance | $ 734,000 | $ 0 | |
Legacy | Real Estate | Gas Station & Car Wash | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 0 | 0 | 0 |
Balance | $ 0 | $ 0 | |
Legacy | Real Estate | Mixed Use | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of TDRs on accrual status | loan | 0 | 0 | 0 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 0 | $ 0 | $ 0 |
Legacy | Real Estate | Industrial & Warehouse | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 0 | 1 | 0 |
Balance | $ 0 | ||
Legacy | Real Estate | Other | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 1 | 1 | 0 |
Legacy | Real Estate | Payment concession | Hotel & Motel | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | $ 707,000 | ||
Legacy | Real Estate | Payment concession | Gas Station & Car Wash | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | 0 | ||
Legacy | Real Estate | Payment concession | Industrial & Warehouse | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | $ 2,070,000 | $ 0 | |
Legacy | Real Estate | Payment concession | Other | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | 1,215,000 | 0 | |
Legacy | Real Estate | Maturity/ Amortization concession | Retail | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | 48,000 | $ 53,000 | $ 0 |
Legacy | Real Estate | Rate concession | Other | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | $ 101,000 | ||
Legacy | Real Estate | Real estate-Residential | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 0 | 0 |
Pre-Modification | $ 0 | $ 0 | $ 0 |
Post-Modification | $ 0 | $ 0 | $ 0 |
Legacy | Real Estate | Real estate-Commercial | Retail | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 1 | 2 | 2 |
Pre-Modification | $ 438,000 | $ 53,000 | $ 1,082,000 |
Post-Modification | $ 438,000 | $ 53,000 | $ 1,082,000 |
Legacy | Real Estate | Real estate-Commercial | Hotel & Motel | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 3 | 0 | 1 |
Pre-Modification | $ 1,411,000 | $ 0 | $ 1,044,000 |
Post-Modification | $ 1,411,000 | $ 0 | $ 1,044,000 |
Legacy | Real Estate | Real estate-Commercial | Gas Station & Car Wash | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 0 | 0 |
Pre-Modification | $ 0 | $ 0 | $ 0 |
Post-Modification | $ 0 | $ 0 | $ 0 |
Legacy | Real Estate | Real estate-Commercial | Mixed Use | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 0 | 0 |
Pre-Modification | $ 0 | $ 0 | $ 0 |
Post-Modification | $ 0 | $ 0 | $ 0 |
Legacy | Real Estate | Real estate-Commercial | Industrial & Warehouse | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 1 | 1 |
Pre-Modification | $ 0 | $ 2,070,000 | $ 465,000 |
Post-Modification | $ 0 | $ 2,070,000 | $ 465,000 |
Legacy | Real Estate | Real estate-Commercial | Other | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 1 | 1 | 0 |
Pre-Modification | $ 101,000 | $ 1,215,000 | $ 0 |
Post-Modification | $ 101,000 | $ 1,215,000 | $ 0 |
Legacy | Real Estate | Real estate-Construction | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 0 | 0 |
Pre-Modification | $ 0 | $ 0 | $ 0 |
Post-Modification | $ 0 | $ 0 | $ 0 |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 0 | 0 | 0 |
Balance | $ 0 | $ 0 | $ 0 |
Legacy | Consumer | Payment concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Subsequent default, number of loans | loan | 12 | ||
Subsequent default, recorded investment | $ 48,000 | ||
Legacy | Commercial Business | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 0 | 2 | 2 |
Balance | $ 886,000 | $ 178,000 | |
Legacy | Commercial Business | Payment concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Subsequent default, number of loans | loan | 1 | ||
Subsequent default, recorded investment | $ 40,000 | ||
Legacy | Commercial Business | Maturity/ Amortization concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | $ 0 | ||
Subsequent default, number of loans | loan | 2 | 1 | |
Subsequent default, recorded investment | $ 886,000 | $ 138,000 | |
Legacy | Commercial Business | Commercial Business | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 10 | 18 | 14 |
Pre-Modification | $ 2,210,000 | $ 10,972,000 | $ 8,507,000 |
Post-Modification | $ 2,210,000 | $ 10,972,000 | $ 8,507,000 |
Legacy | Real estate-Commercial | Payment concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Subsequent default, number of loans | loan | 3 | 2 | |
Subsequent default, recorded investment | $ 856,000 | $ 787,000 | |
Legacy | Real estate-Commercial | Maturity/ Amortization concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Subsequent default, number of loans | loan | 2 | ||
Subsequent default, recorded investment | $ 3,300,000 | ||
Legacy | Trade Finance | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Subsequent default, number of loans | loan | 0 | 0 | 0 |
Subsequent default, recorded investment | $ 0 | $ 0 | $ 0 |
Legacy | Trade Finance and Other | Trade Finance | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 1 | 0 |
Pre-Modification | $ 0 | $ 898,000 | $ 0 |
Post-Modification | $ 0 | $ 898,000 | $ 0 |
Legacy | Consumer and Other | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 10 | 1 | 0 |
Pre-Modification | $ 54,000 | $ 63,000 | $ 0 |
Post-Modification | $ 54,000 | $ 63,000 | $ 0 |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 12 | 0 | 0 |
Legacy | Consumer and Other | Maturity/ Amortization concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | $ 48,000 | $ 0 | $ 0 |
Acquired | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 9 | 11 | 15 |
Pre-Modification | $ 3,951,000 | $ 4,755,000 | $ 16,277,000 |
Post-Modification | $ 3,951,000 | $ 4,755,000 | $ 16,277,000 |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 9 | 4 | 3 |
Balance | $ 1,563,000 | $ 419,000 | $ 3,499,000 |
Charge offs | $ 0 | ||
Subsequent default, number of loans | loan | 9 | 4 | 3 |
Acquired | Real estate-Construction | |||
Troubled Debt Restructuring, By Loan Class | |||
Post-Modification | $ 0 | ||
Acquired | Real Estate | Retail | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 1 | 0 | 0 |
Balance | $ 93,000 | $ 0 | $ 0 |
Subsequent default, number of loans | loan | 0 | 0 | 0 |
Subsequent default, recorded investment | $ 0 | $ 0 | $ 0 |
Acquired | Real Estate | Hotel & Motel | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 1 | 0 | 1 |
Acquired | Real Estate | Gas Station & Car Wash | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 0 | 0 | 0 |
Acquired | Real Estate | Mixed Use | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of TDRs on accrual status | loan | 0 | 0 | 0 |
Financing Receivable, Troubled Debt Restructuring, Premodification | $ 0 | $ 0 | $ 0 |
Acquired | Real Estate | Industrial & Warehouse | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 1 | 1 | 0 |
Balance | $ 229,000 | $ 230,000 | $ 0 |
Acquired | Real Estate | Other | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 2 | 0 | 1 |
Balance | $ 950,000 | $ 0 | $ 2,977,000 |
Acquired | Real Estate | Payment concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Subsequent default, number of loans | loan | 1 | 2 | |
Subsequent default, recorded investment | $ 230,000 | $ 3,500,000 | |
Acquired | Real Estate | Rate concession | Hotel & Motel | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | 54,000 | 0 | 482,000 |
Acquired | Real Estate | Rate concession | Gas Station & Car Wash | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | $ 0 | $ 0 | $ 0 |
Acquired | Real Estate | Real estate-Residential | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 0 | 0 |
Pre-Modification | $ 0 | $ 0 | $ 0 |
Post-Modification | $ 0 | $ 0 | $ 0 |
Acquired | Real Estate | Real estate-Commercial | Retail | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 4 | 0 | 3 |
Pre-Modification | $ 1,027,000 | $ 0 | $ 1,642,000 |
Post-Modification | $ 1,027,000 | $ 0 | $ 1,642,000 |
Acquired | Real Estate | Real estate-Commercial | Hotel & Motel | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 0 | 1 |
Pre-Modification | $ 0 | $ 0 | $ 482,000 |
Post-Modification | $ 0 | $ 0 | $ 482,000 |
Acquired | Real Estate | Real estate-Commercial | Gas Station & Car Wash | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 0 | 0 |
Pre-Modification | $ 0 | $ 0 | $ 0 |
Post-Modification | $ 0 | $ 0 | $ 0 |
Acquired | Real Estate | Real estate-Commercial | Mixed Use | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 1 | 0 |
Pre-Modification | $ 0 | $ 73,000 | $ 0 |
Post-Modification | $ 0 | $ 73,000 | $ 0 |
Acquired | Real Estate | Real estate-Commercial | Industrial & Warehouse | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 0 | 0 |
Pre-Modification | $ 0 | $ 0 | $ 0 |
Post-Modification | $ 0 | $ 0 | $ 0 |
Acquired | Real Estate | Real estate-Commercial | Other | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 4 | 1 | 2 |
Pre-Modification | $ 2,793,000 | $ 2,688,000 | $ 6,946,000 |
Post-Modification | $ 2,793,000 | $ 2,688,000 | $ 6,946,000 |
Acquired | Real Estate | Real estate-Construction | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 1 | 0 |
Pre-Modification | $ 0 | $ 230,000 | $ 0 |
Post-Modification | $ 0 | $ 230,000 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 0 | 0 | 0 |
Balance | $ 0 | $ 0 | $ 0 |
Acquired | Commercial Business | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 4 | 3 | 1 |
Acquired | Commercial Business | Payment concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Subsequent default, number of loans | loan | 4 | 3 | |
Subsequent default, recorded investment | $ 237,000 | $ 189,000 | |
Acquired | Commercial Business | Maturity/ Amortization concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Subsequent default, number of loans | loan | 1 | ||
Subsequent default, recorded investment | $ 40,000 | ||
Acquired | Commercial Business | Payment Concession And Rate Concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | $ 237,000 | $ 189,000 | $ 40,000 |
Acquired | Commercial Business | Commercial Business | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 1 | 0 | 8 |
Pre-Modification | $ 131,000 | $ 0 | $ 4,224,000 |
Post-Modification | $ 131,000 | $ 0 | $ 4,224,000 |
Acquired | Real estate-Commercial | Payment concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Subsequent default, number of loans | loan | 5 | ||
Subsequent default, recorded investment | $ 1,300,000 | ||
Acquired | Trade Finance | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Subsequent default, number of loans | loan | 0 | 0 | 0 |
Subsequent default, recorded investment | $ 0 | $ 0 | $ 0 |
Acquired | Trade Finance and Other | Trade Finance | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 0 | 1 |
Pre-Modification | $ 0 | $ 0 | $ 2,983,000 |
Post-Modification | $ 0 | $ 0 | $ 2,983,000 |
Acquired | Consumer and Other | |||
Troubled Debt Restructuring, By Loan Class | |||
Number of Loans | loan | 0 | 8 | 0 |
Pre-Modification | $ 0 | $ 1,764,000 | $ 0 |
Post-Modification | $ 0 | $ 1,764,000 | $ 0 |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Number of Loans | loan | 0 | 0 | 0 |
Acquired | Consumer and Other | Maturity/ Amortization concession | |||
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||
Balance | $ 0 | $ 0 | $ 0 |
Minimum | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Temporary modifications, period of interest only payments | 3 months | ||
Maximum | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Temporary modifications, period of interest only payments | 6 months |
Loans Receivable and Allowan_12
Loans Receivable and Allowance for Loan Losses - Related Parties (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)loan | Dec. 31, 2018USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Related party loans outstanding | $ 32,200 | $ 39,300 |
Decrease in related party loans | 6,900 | |
Related party loans paid off | 16,100 | |
Related party loans principal pay-downs | $ 740 | |
Number of new related party loans | loan | 1 | |
New related party loans | $ 9,700 | |
Commercial Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Related party loans outstanding | 31,800 | 38,800 |
Commercial Loan | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Related party loans outstanding | $ 465 | $ 531 |
Goodwill and Other Intangible_3
Goodwill and Other Intangibles Assets - Goodwill (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Goodwill and Intangible Assets Disclosure [Abstract] | ||
Goodwill | $ 464,450 | $ 464,450 |
Goodwill and Other Intangible_4
Goodwill and Other Intangibles Assets - Intangible assets (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Finite-Lived Intangible Assets [Line Items] | ||
Carrying Amount | $ 11,833 | $ 14,061 |
Estimated future amortization expense for identifiable intangible assets: | ||
2020 | 2,100 | |
2021 | 2,000 | |
2022 | 1,900 | |
2023 | 1,800 | |
2024 | 1,600 | |
Thereafter | 2,300 | |
Core deposits | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Amount | 25,605 | |
Accumulated Amortization | (13,772) | (11,544) |
Carrying Amount | 11,833 | 14,061 |
Amortization expense | $ 2,200 | 2,500 |
Center Financial Corporation acquisition | Core deposits | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization Period | 7 years | |
Gross Amount | $ 4,100 | |
Accumulated Amortization | (4,100) | (4,100) |
Carrying Amount | $ 0 | 0 |
Pacific International Bancorp, Inc. acquisition | Core deposits | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization Period | 7 years | |
Gross Amount | $ 604 | |
Accumulated Amortization | (602) | (579) |
Carrying Amount | $ 2 | 25 |
Foster Bankshares Inc acquisition | Core deposits | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization Period | 10 years | |
Gross Amount | $ 2,763 | |
Accumulated Amortization | (2,120) | (1,893) |
Carrying Amount | $ 643 | 870 |
Wilshire Bancorp, Inc | Core deposits | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization Period | 10 years | |
Gross Amount | $ 18,138 | |
Accumulated Amortization | (6,950) | (4,972) |
Carrying Amount | $ 11,188 | $ 13,166 |
Minimum | Core deposits | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization Period | 7 years | |
Maximum | Core deposits | ||
Finite-Lived Intangible Assets [Line Items] | ||
Amortization Period | 10 years |
Premises and Equipment (Details
Premises and Equipment (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | $ 100,276 | $ 100,697 | |
Premises and equipment, accumulated depreciation and amortization | (48,264) | (46,903) | |
Total premises and equipment, net | 52,012 | 53,794 | |
Depreciation and amortization expense | 8,300 | 9,200 | $ 9,300 |
Land | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | 11,244 | 11,244 | |
Building and improvements | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | 23,384 | 23,350 | |
Furniture, fixtures, and equipment | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | 26,037 | 28,510 | |
Leasehold improvements | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | 28,562 | 28,842 | |
Vehicles | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | 123 | 123 | |
Software/License | |||
Property, Plant and Equipment [Line Items] | |||
Premises and equipment, gross | $ 10,926 | $ 8,628 |
Leases - Additional Information
Leases - Additional Information (Details) | 12 Months Ended |
Dec. 31, 2019 | |
Lessee, Lease, Description [Line Items] | |
Remaining lease term | 5 years 9 months 29 days |
Extension options, term of extension | 5 years |
Minimum | |
Lessee, Lease, Description [Line Items] | |
Remaining lease term | 1 year |
Maximum | |
Lessee, Lease, Description [Line Items] | |
Remaining lease term | 11 years |
Leases - Net Lease Cost (Detail
Leases - Net Lease Cost (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating lease cost | $ 16,039 |
Variable lease cost | 3,397 |
Short term lease cost | 9 |
Sublease income | (664) |
Net lease cost | $ 18,781 |
Leases - Other Information (Det
Leases - Other Information (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Operating leases | |
Operating lease right-of-use assets | $ 58,593 |
Current portion of long-term lease liabilities | 12,807 |
Long-term lease liabilities | $ 47,699 |
Weighted-average remaining lease term - operating leases | 5 years 9 months 29 days |
Weighted-average discount rate - operating leases | 3.09% |
Cash paid for amounts included in the measurement of lease liabilities: | |
Operating cash outflows for operating leases | $ 14,705 |
Right-of-use assets obtained in exchange for lease liabilities, net | $ 66,531 |
Leases - Maturities of Remainin
Leases - Maturities of Remaining Lease Liabilities (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Leases [Abstract] | |
2020 | $ 14,461 |
2021 | 13,799 |
2022 | 9,704 |
2023 | 7,565 |
2024 | 6,010 |
2025 and thereafter | 14,996 |
Total lease payments | 66,535 |
Less: imputed interest | 6,029 |
Total lease obligations | $ 60,506 |
Deposits - Time deposit maturi
Deposits - Time deposit maturities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deposits Disclosure [Line Items] | ||
Time deposits | $ 1,856,715 | $ 1,770,000 |
Carrying values of securities pledged as collateral | 340,900 | 354,600 |
Scheduled maturities for time deposits: | ||
2018 | 5,050,023 | |
2019 | 75,275 | |
2020 | 14,110 | |
2021 | 19,260 | |
2022 and thereafter | 302 | |
Time deposits | 5,158,970 | 5,870,624 |
California State Treasurer | ||
Deposits Disclosure [Line Items] | ||
Time deposits | $ 300,000 | |
Required eligible collateral pledge on outstanding deposits, minimum percentage | 110.00% | |
Carrying values of securities pledged as collateral | $ 333,200 | $ 336,800 |
Deposits - Time deposit maturit
Deposits - Time deposit maturities of $100,000 and $250,000 or more (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Amount $250,000 or more | ||
Three months or less | $ 638,019 | |
Over three months through six months | 372,606 | |
Over six months through twelve months | 811,238 | |
Over twelve months | 34,852 | |
Time deposits | $ 1,856,715 | $ 1,770,000 |
Deposits - Components of inter
Deposits - Components of interest expense and other information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |||
Money market and other | $ 57,731 | $ 43,252 | $ 31,856 |
Savings deposits | 2,596 | 1,889 | 1,354 |
Time deposits | 129,831 | 89,817 | 41,692 |
Interest on deposits | $ 190,158 | $ 134,958 | $ 74,902 |
Deposits - Brokered Deposits (
Deposits - Brokered Deposits (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Interest-bearing Domestic Deposit, Brokered | $ 1,480 | $ 1,570 |
Money Market Funds [Member] | ||
Interest-bearing Domestic Deposit, Brokered | 538.2 | 370.4 |
Certificates of Deposit [Member] | ||
Interest-bearing Domestic Deposit, Brokered | $ 940.5 | $ 1,200 |
Borrowings - Narrative (Details
Borrowings - Narrative (Details) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||
Percent of assets | 25.00% | |
Maximum amount available | $ 3,850,000,000 | $ 3,810,000,000 |
Percent outstanding advances | 100.00% | |
Unsecured credit facility, maximum borrowing capacity | $ 95,000,000 | |
Federal Home Loan Bank Advances | 625,000,000 | 821,300,000 |
Advances with fixed interest rates until maturity | 475,000,000 | |
Advances with variable interest rates | 150,000,000 | |
Unused funds | 3,190,000,000 | |
Advances from Federal Home Loan Banks | $ 625,000,000 | |
Percent of qualifying assets | 95.00% | |
Carrying values of securities pledged as collateral | $ 340,900,000 | 354,600,000 |
Mortgage loans on real estate | ||
Debt Instrument [Line Items] | ||
Collateral pledged | 6,760,000,000 | 6,010,000,000 |
Securities investment | ||
Debt Instrument [Line Items] | ||
Carrying values of securities pledged as collateral | 0 | |
Total available borrowing capacity | 740,600,000 | 786,600,000 |
Amount outstanding | 0 | $ 0 |
Qualifying loans | ||
Debt Instrument [Line Items] | ||
Asset balance used to determine maximum borrowing capacity from federal reserve bank | $ 947,200,000 | |
Weighted Average [Member] | ||
Debt Instrument [Line Items] | ||
FHLB advances, interest rate at period end | 1.84% | 1.78% |
Minimum | ||
Debt Instrument [Line Items] | ||
FHLB advances, interest rate at period end | 1.35% | |
Maximum | ||
Debt Instrument [Line Items] | ||
FHLB advances, interest rate at period end | 2.39% |
Borrowings - Maturities of FHLB
Borrowings - Maturities of FHLB Borrowings (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Debt Disclosure [Abstract] | |
2020 | $ 335,000 |
2021 | 145,000 |
2022 | 145,000 |
Total | $ 625,000 |
Subordinated Debentures - Summa
Subordinated Debentures - Summary of Trust Preferred Securities and Debentures (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | $ 103,035 | $ 101,929 |
Nara Capital Trust III | ||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 5.04% | |
Nara Statutory Trust IV | ||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 4.84% | |
Nara Statutory Trust V | ||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 4.85% | |
Nara Statutory Trust VI | ||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 3.54% | |
Center Capital Trust I | ||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 4.84% | |
Wilshire Statutory Trust II [Member] | ||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 3.69% | |
Wilshire Statutory Trust III [Member] | ||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 3.29% | |
Wilshire Statutory Trust IV [Member] | ||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 3.27% | |
Saehan Capital Trust I [Member] | ||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 3.58% | |
Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 126,000 | |
Trust Preferred Security Amount | Nara Capital Trust III | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 5,000 | |
Trust Preferred Security Amount | Nara Statutory Trust IV | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 5,000 | |
Trust Preferred Security Amount | Nara Statutory Trust V | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 10,000 | |
Trust Preferred Security Amount | Nara Statutory Trust VI | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 8,000 | |
Trust Preferred Security Amount | Center Capital Trust I | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 18,000 | |
Trust Preferred Security Amount | Wilshire Statutory Trust II [Member] | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 20,000 | |
Trust Preferred Security Amount | Wilshire Statutory Trust III [Member] | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 15,000 | |
Trust Preferred Security Amount | Wilshire Statutory Trust IV [Member] | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 25,000 | |
Trust Preferred Security Amount | Saehan Capital Trust I [Member] | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 20,000 | |
Subordinated Debentures Amount | ||
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | 103,035 | $ 101,900 |
Subordinated Debentures Amount | Nara Capital Trust III | ||
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | 5,155 | |
Subordinated Debentures Amount | Nara Statutory Trust IV | ||
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | 5,155 | |
Subordinated Debentures Amount | Nara Statutory Trust V | ||
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | 10,310 | |
Subordinated Debentures Amount | Nara Statutory Trust VI | ||
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | 8,248 | |
Subordinated Debentures Amount | Center Capital Trust I | ||
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | 14,235 | |
Subordinated Debentures Amount | Wilshire Statutory Trust II [Member] | ||
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | 15,743 | |
Subordinated Debentures Amount | Wilshire Statutory Trust III [Member] | ||
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | 11,134 | |
Subordinated Debentures Amount | Wilshire Statutory Trust IV [Member] | ||
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | 18,042 | |
Subordinated Debentures Amount | Saehan Capital Trust I [Member] | ||
Subordinated Borrowing [Line Items] | ||
Subordinated debentures, net | $ 15,013 |
Subordinated Debentures - Sum_2
Subordinated Debentures - Summary of Subordinated Debentures (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)grantor_trust | Dec. 31, 2018USD ($) | |
Subordinated Borrowing [Line Items] | ||
Carrying value of Debentures | $ 103,035 | $ 101,929 |
Right to defer consecutive payments of interest, maximum term | 5 years | |
Other assets | ||
Subordinated Borrowing [Line Items] | ||
Investment in common trust securities | $ 3,900 | |
Hope Bancorp Grantor Trust [Member] | ||
Subordinated Borrowing [Line Items] | ||
Number of grantor trusts issuing securities | grantor_trust | 9 | |
Trust Preferred Securities Subject to Mandatory Redemption | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 126,000 | |
Percent included in tier one capital, maximum | 25.00% | |
Excess of percent threshold included in tier two capital | 25.00% | |
Trust Preferred Securities Subject to Mandatory Redemption | Hope Bancorp Grantor Trust [Member] | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 126,000 | |
Subordinated Debentures Amount | ||
Subordinated Borrowing [Line Items] | ||
Carrying value of Debentures | 103,035 | 101,900 |
Remaining discounts of acquired Debentures | $ 26,900 | $ 28,000 |
Subordinated Debentures - Sched
Subordinated Debentures - Schedule of Convertible Note (Details) | Jun. 07, 2018USD ($)$ / shares | Apr. 26, 2018USD ($)$ / shares | Dec. 31, 2018USD ($) | Dec. 31, 2019USD ($)shares | Dec. 31, 2018USD ($)shares | Dec. 31, 2017USD ($) | Jun. 30, 2018USD ($) | May 11, 2018USD ($) |
Debt Instrument [Line Items] | ||||||||
Proceeds from convertible notes, net of issuance fees | $ 0 | $ 212,920,000 | $ 0 | |||||
Repurchase of treasury stock | $ 13,820,000 | $ 150,000,000 | ||||||
Common stock repurchased and recorded as treasury stock (in shares) | shares | 943,094 | 9,002,453 | ||||||
Convertible Notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Aggregate principal amount issued | $ 217,500,000 | $ 217,500,000 | $ 217,500,000 | $ 200,000,000 | ||||
Initial Rate | 2.00% | |||||||
Additional face amount issued as part of initial offering over-allotment option | $ 17,500,000 | |||||||
Initial conversion rate | 0.0450760 | 0.0450760 | ||||||
Initial conversion price (in dollars per share) | $ / shares | $ 22.18 | |||||||
Premium percentage to closing stock price on date of pricing of the notes | 22.50% | |||||||
Call option, percentage of principal amount in cash | 100.00% | |||||||
Amount of proceeds from convertible notes authorized for repurchase of common stock | 100.00% | |||||||
Proceeds from convertible notes, net of issuance fees | $ 100,000,000 | |||||||
Proceeds from convertible notes, net of issuance fees | 213,200,000 | |||||||
Proceeds down-streamed to the Bank as equity | 113,200,000 | |||||||
Repurchase of treasury stock | $ 76,000,000 | 24,000,000 | ||||||
Closing price of common stock (in dollars per share) | $ / shares | $ 18.11 | |||||||
Amortization/ Capitalization Period | 5 years | 5 years | 5 years | |||||
Gross Carrying Amount | ||||||||
Convertible notes principal balance | 217,500,000 | $ 217,500,000 | $ 217,500,000 | |||||
Discount | (21,880,000) | (21,880,000) | (21,880,000) | |||||
Issuance costs to be capitalized | (4,119,000) | (4,119,000) | (4,119,000) | |||||
Carrying balance of convertible notes | 191,501,000 | 191,501,000 | 191,501,000 | |||||
Accumulated Amortization / Capitalization | ||||||||
Discount | 2,544,000 | 6,659,000 | 2,544,000 | |||||
Issuance costs to be capitalized | 498,000 | 1,298,000 | 498,000 | |||||
Carrying balance of convertible notes | 3,042,000 | 7,957,000 | 3,042,000 | |||||
Carrying Amount | ||||||||
Discount | (19,336,000) | (15,221,000) | (19,336,000) | |||||
Issuance costs to be capitalized | (3,621,000) | (2,821,000) | (3,621,000) | |||||
Carrying balance of convertible notes | $ 194,543,000 | 199,458,000 | 194,543,000 | |||||
Interest expense on convertible notes | $ 9,300,000 | $ 5,800,000 | ||||||
Discount Rate | Convertible Notes | ||||||||
Debt Instrument [Line Items] | ||||||||
Discount rate | 0.0425 |
Income Taxes - Components of i
Income Taxes - Components of income tax expense (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Current | |||||||||||
Current federal income tax expense (benefit) | $ 31,969 | $ 35,401 | $ 64,910 | ||||||||
Current state income tax expense (benefit) | 21,806 | 27,749 | 24,739 | ||||||||
Current income tax expense (benefit) | 53,775 | 63,150 | 89,649 | ||||||||
Deferred | |||||||||||
Deferred federal income tax expense (benefit) | 874 | 2,336 | 31,464 | ||||||||
Deferred state income tax expense (benefit) | 661 | 406 | 3,276 | ||||||||
Deferred income tax expense (benefit) | 1,535 | 2,742 | 34,740 | ||||||||
Total | |||||||||||
Federal income tax expense (benefit) | 32,843 | 37,737 | 96,374 | ||||||||
State income tax expense (benefit) | 22,467 | 28,155 | 28,015 | ||||||||
Income tax provision | $ 12,049 | $ 14,566 | $ 14,256 | $ 14,439 | $ 16,069 | $ 15,461 | $ 16,629 | $ 17,733 | $ 55,310 | $ 65,892 | $ 124,389 |
Income Taxes - Reconciliation
Income Taxes - Reconciliation of effective tax rate (Details) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reconciliation of effective tax rate | |||
Statutory tax rate | 21.00% | 21.00% | 35.00% |
State taxes-net of federal tax effect | 8.73% | 8.56% | 7.04% |
Rate change - federal and state | 0.00% | 0.17% | 9.36% |
CRA investment tax credit | (4.93%) | (3.96%) | (3.50%) |
Bank owned life insurance | (0.06%) | (0.20%) | (0.09%) |
Tax exempt municipal bonds and loans | (0.22%) | (0.21%) | (0.45%) |
Nondeductible transaction costs | 0.00% | 0.00% | (0.02%) |
Changes in uncertain tax positions | (0.79%) | 0.00% | 0.00% |
Other | 0.71% | 0.43% | (0.19%) |
Effective income tax rate, percent | 24.44% | 25.79% | 47.15% |
Income Taxes - Components of d
Income Taxes - Components of deferred tax assets and liabilities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets: | ||
Purchase accounting fair value adjustment | $ 10,441 | $ 16,239 |
Statutory bad debt deduction less than financial statement provision | 23,588 | 22,904 |
Net operating loss carry-forward | 1,834 | 2,092 |
Investment security provision | 474 | 593 |
State tax deductions | 3,810 | 4,240 |
Accrued compensation | 151 | 148 |
Deferred compensation | 94 | 175 |
Mark to market on loans held for sale | 913 | 260 |
Depreciation | 788 | 202 |
Nonaccrual loan interest | 5,550 | 6,027 |
Other real estate owned | 533 | 585 |
Unrealized loss on securities available for sale | 0 | 13,631 |
Non-qualified stock option and restricted share expense | 2,348 | 1,420 |
Goodwill | 31 | 117 |
Lease expense | 0 | 60 |
Lease expense - ROU asset | 614 | |
Other | 2,162 | 2,013 |
Total deferred tax assets | 53,331 | 70,706 |
Deferred tax liabilities: | ||
FHLB stock dividends | (408) | (617) |
Deferred loan costs | (7,441) | (6,816) |
State taxes deferred and other | (2,516) | (2,655) |
Prepaid expenses | (1,359) | (1,802) |
Amortization of intangibles | (3,837) | (4,524) |
Unrealized gain on securities available for sale | (4,084) | 0 |
Other | (2,023) | (3,379) |
Total deferred tax liabilities | (21,668) | (19,793) |
Net deferred tax assets | $ 31,663 | $ 50,913 |
Income Taxes - Summary of loss
Income Taxes - Summary of loss carryforwards by jurisdiction (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Federal | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carry-forwards, remaining amount | $ 7,737 | $ 8,877 |
Net operating loss carry-forwards, annual limitation | 646 | 1,143 |
Federal | Saehan Bank (acquired by Wilshire) | Ownership Change | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carry-forwards, remaining amount | 2,488 | 2,714 |
Net operating loss carry-forwards, annual limitation | 226 | 226 |
Federal | Korea First Bank of New York | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carry-forwards, remaining amount | 494 | |
Net operating loss carry-forwards, annual limitation | 497 | |
Federal | Pacific International Bank | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carry-forwards, remaining amount | 5,249 | 5,669 |
Net operating loss carry-forwards, annual limitation | 420 | 420 |
State | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carry-forwards, remaining amount | 2,488 | 2,714 |
Net operating loss carry-forwards, annual limitation | 226 | 226 |
State | Saehan Bank (acquired by Wilshire) | Ownership Change | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carry-forwards, remaining amount | 2,488 | 2,714 |
Net operating loss carry-forwards, annual limitation | 226 | 226 |
State | Korea First Bank of New York | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carry-forwards, remaining amount | 0 | |
Net operating loss carry-forwards, annual limitation | 0 | |
State | Pacific International Bank | ||
Operating Loss Carryforwards [Line Items] | ||
Net operating loss carry-forwards, remaining amount | 0 | 0 |
Net operating loss carry-forwards, annual limitation | $ 0 | $ 0 |
Income Taxes - Unrecognized ta
Income Taxes - Unrecognized tax benefits (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Reconciliation of the beginning and ending amount of unrecognized tax benefits: | ||
Balance, beginning of year | $ 2,314 | $ 2,125 |
Additions based on tax positions related to prior years | 0 | 247 |
Settlements with taxing authorities | (2,173) | (58) |
Balance, end of year | 141 | 2,314 |
Total amount of tax benefits that if recognized would favorable impact the effective tax rate | 136 | 2,200 |
Settlements with taxing authorities | 141 | |
Interest and penalties accrued | $ 34 | $ 470 |
Stock-Based Compensation - Plan
Stock-Based Compensation - Plan Description (Details) - shares | 12 Months Ended | ||
Dec. 31, 2019 | May 23, 2019 | Sep. 01, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Number of shares available for grant (in shares) | 4,020,192 | ||
Granted (in shares) | 0 | ||
Restricted stock, performance shares and performance units | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock, restriction period | 1 year | ||
Time based vesting of grants | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Restricted stock, restriction period | 3 years | ||
2016 Stock Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Shares authorized (in shares) | 4,400,000 | 2,400,000 | |
2016 Stock Incentive Plan | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Purchase price of common stock, percent (in hundredths) | 100.00% | ||
2016 Stock Incentive Plan | Stock options and stock appreciation rights | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Contractual term | 10 years | ||
2016 Stock Incentive Plan | Stock options and stock appreciation rights | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period minimum | 3 years | ||
2016 Stock Incentive Plan | Stock options and stock appreciation rights | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period minimum | 5 years | ||
Nonemployee Director | 2016 Stock Incentive Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Expiration period | 10 years |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Option Activity (Details) $ / shares in Units, $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |
Granted (in shares) | shares | 0 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |
Cash received from stock options exercised | $ | $ 9 |
Related tax benefit from stock option exercises | $ | $ 0 |
Stock options | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |
Outstanding - beginning of period (in shares) | shares | 982,631 |
Exercised (in shares) | shares | (702) |
Expired (in shares) | shares | (20,718) |
Forfeited (in shares) | shares | (26,000) |
Outstanding - end of period (in shares) | shares | 935,211 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | |
Outstanding - beginning of period, weighted-average exercise price per share (usd per share) | $ / shares | $ 15.41 |
Granted - weighted average exercise price (usd per share) | $ / shares | 0 |
Exercised - weighted average exercise price (usd per share) | $ / shares | 13.10 |
Expired - weighted-average exercise price per share (usd per share) | $ / shares | 16.37 |
Forfeited - weighted average exercise price (usd per share) | $ / shares | 17.18 |
Outstanding - end of period, weighted-average exercise price per share (usd per share) | $ / shares | $ 15.34 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |
Options exercisable - end of period (in shares) | shares | 847,211 |
Options exercisable, weighted-average exercise price per share (usd per share) | $ / shares | $ 15.15 |
Outstanding, weighted-average remaining contractual life (years) | 5 years 4 months 28 days |
Options exercisable, weighted-average remaining contractual life (years) | 5 years 3 months 7 days |
Outstanding, aggregate intrinsic value | $ | $ 1,040 |
Options exercisable, aggregate intrinsic value | $ | $ 1,040 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted and Performance Unit Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract] | |||
Allocated share-based compensation expense | $ 5,300 | $ 3,700 | $ 3,200 |
Total compensation cost not yet recognized | $ 12,900 | ||
Retricted and performance unit activity | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | |||
Outstanding - beginning of the period (in shares) | 478,891 | ||
Granted (in shares) | 784,728 | ||
Vested (in shares) | (119,147) | ||
Forfeited (in shares) | (108,728) | ||
Outstanding - end of the period (in shares) | 1,035,744 | 478,891 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | |||
Outstanding - beginning of the period, weighted-average grant date fair value (in dollars per share) | $ 16.37 | ||
Granted, weighted-average grant date fair value (in dollars per share) | 13.20 | ||
Vested, weighted-average grant date fair value (in dollars per share) | 16.91 | ||
Forfeited, weighted-average grant date fair value (in dollars per share) | 14.70 | ||
Outstanding - end of the period, weighted-average grant date fair value (in dollars per share) | $ 14.08 | $ 16.37 | |
Restricted And Performance Unit Activity [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract] | |||
Equity instruments other than options, vested in period | $ 1,600 | $ 2,700 | $ 2,700 |
Stock options | |||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract] | |||
Total compensation cost not yet recognized, period for recognition | 2 years | ||
Employee Stock Purchase Plan (ESPP) [Domain] | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Discount to closing price | 10.00% | ||
Maximum employee subscription rate, percent of participating employee's base salary | 20.00% | ||
Cap, Amount of stock value based on grant date | $ 25 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract] | |||
Employee Stock Ownership Plan (ESOP), Compensation Expense | $ 217 | $ 319 |
Stock-Based Compensation - Esti
Stock-Based Compensation - Estimated Annual Expense (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Estimated Annual Stock-Based Compensation Expense | |
2020 | $ 7,069 |
2021 | 4,623 |
2022 | 1,019 |
2023 | 167 |
2024 | 55 |
Total | $ 12,933 |
Employee Benefit Plans (Details
Employee Benefit Plans (Details) | 12 Months Ended | ||
Dec. 31, 2019USD ($)officers | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | |
401(k) Savings Plan | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Minimum age requirement | 21 years | ||
Minimum service period required | 3 months | ||
Employer matching contribution, percent of match | 75.00% | ||
Maximum annual contribution per employee, percent | 8.00% | ||
Total cost recognized for the period | $ 4,200,000 | $ 5,200,000 | $ 4,400,000 |
Postretirement Life Insurance | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Death benefit received by the Company | $ 1,800,000 | 0 | 382,000 |
Base amount of death proceeds, annual percentage increase until retirement age is reached | 3.00% | ||
Period death benefit required to be paid within following participant's death | 90 days | ||
Total cost recognized for the period | $ 7,900,000 | 6,900,000 | 7,800,000 |
Deferred compensation plan | Directors and officers | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Deferred compensation liability | 765,000 | 1,000,000 | |
Deferred compensation plan, period expense | 34,000 | 22,000 | 21,000 |
Long term incentive plan | Named executive officers ('NEO') | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Deferred compensation plan, period expense | $ 513,000 | $ 510,000 | $ 455,000 |
Number of officers currently participating in the LTIP | officers | 2 | ||
Long term incentive plan | Named executive officers ('NEO') | Minimum | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Deferred compensation plan, requisite service period | 5 years | ||
Long term incentive plan | Named executive officers ('NEO') | Maximum | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Deferred compensation plan, requisite service period | 10 years | ||
Vested after 2 Years of Service | 401(k) Savings Plan | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Employer matching contribution, vesting percentage | 25.00% | ||
Vested after 3 Years of Service | 401(k) Savings Plan | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Employer matching contribution, vesting percentage | 50.00% | ||
Vested after 4 Years of Service | 401(k) Savings Plan | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Employer matching contribution, vesting percentage | 75.00% | ||
Vested after 5 or More Years of Service | 401(k) Savings Plan | |||
Defined Benefit Plans and Other Postretirement Benefit Plans Table Text Block [Line Items] | |||
Employer matching contribution, vesting percentage | 100.00% |
Commitments and Contingencies -
Commitments and Contingencies -Loss Contingencies (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Commitments and Contingencies Disclosure [Abstract] | ||
Loss Contingency Accrual | $ 440 | $ 755 |
Commitments and Contingencies_2
Commitments and Contingencies - Commitments and letters of credit (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Supply Commitment [Line Items] | ||
Commitments and letters of credit | $ 2,044,774 | $ 1,894,124 |
Low Income Housing Tax Credit [Member] | ||
Supply Commitment [Line Items] | ||
Commitments and letters of credit | 28,480 | 46,507 |
Commitments to extend credit | ||
Supply Commitment [Line Items] | ||
Commitments and letters of credit | 1,864,947 | 1,712,032 |
Standby letters of credit | ||
Supply Commitment [Line Items] | ||
Commitments and letters of credit | 113,720 | 69,763 |
Other letters of credit | ||
Supply Commitment [Line Items] | ||
Commitments and letters of credit | $ 37,627 | $ 65,822 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured at Fair Value, Recurring (Details) | 12 Months Ended | |
Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Costs to sell | 8.50% | |
Assets: | ||
Securities available for sale, at fair value | $ 1,715,987,000 | $ 1,846,265,000 |
Transfers between levels 1, 2 and 3 | 0 | 0 |
Collateralized Mortgage Obligations | ||
Assets: | ||
Securities available for sale, at fair value | 736,655,000 | 895,122,000 |
Mortgage-backed Securities, Residential | ||
Assets: | ||
Securities available for sale, at fair value | 352,897,000 | 402,605,000 |
Mortgage-backed Securities, Commercial | ||
Assets: | ||
Securities available for sale, at fair value | 552,124,000 | 469,126,000 |
Corporate securities | ||
Assets: | ||
Securities available for sale, at fair value | 4,200,000 | 3,826,000 |
Municipal securities | ||
Assets: | ||
Securities available for sale, at fair value | 70,111,000 | 75,586,000 |
Recurring basis | ||
Assets: | ||
Interest rate swaps | 10,353,000 | |
Interest rate swaps | 7,059,000 | |
Mortgage banking derivatives | 95,000 | 10,000 |
Liabilities: | ||
Interest rate swaps | 10,353,000 | 7,059,000 |
Mortgage banking derivatives | 16,000 | 3,000 |
Recurring basis | Collateralized Mortgage Obligations | ||
Assets: | ||
Securities available for sale, at fair value | 736,655,000 | 895,122,000 |
Recurring basis | Mortgage-backed Securities, Residential | ||
Assets: | ||
Securities available for sale, at fair value | 352,897,000 | 402,605,000 |
Recurring basis | Mortgage-backed Securities, Commercial | ||
Assets: | ||
Securities available for sale, at fair value | 552,124,000 | 469,126,000 |
Recurring basis | Corporate securities | ||
Assets: | ||
Securities available for sale, at fair value | 4,200,000 | 3,826,000 |
Recurring basis | Municipal securities | ||
Assets: | ||
Securities available for sale, at fair value | 70,111,000 | 75,586,000 |
Recurring basis | Mutual funds | ||
Assets: | ||
Securities available for sale, at fair value | 22,123,000 | 23,405,000 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Interest rate swaps | 0 | |
Interest rate swaps | 0 | |
Mortgage banking derivatives | 0 | 0 |
Liabilities: | ||
Interest rate swaps | 0 | 0 |
Mortgage banking derivatives | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Collateralized Mortgage Obligations | ||
Assets: | ||
Securities available for sale, at fair value | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed Securities, Residential | ||
Assets: | ||
Securities available for sale, at fair value | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-backed Securities, Commercial | ||
Assets: | ||
Securities available for sale, at fair value | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate securities | ||
Assets: | ||
Securities available for sale, at fair value | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal securities | ||
Assets: | ||
Securities available for sale, at fair value | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mutual funds | ||
Assets: | ||
Securities available for sale, at fair value | 22,123,000 | 23,405,000 |
Recurring basis | Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Interest rate swaps | 10,353,000 | |
Interest rate swaps | 7,059,000 | |
Mortgage banking derivatives | 95,000 | 10,000 |
Liabilities: | ||
Interest rate swaps | 10,353,000 | 7,059,000 |
Mortgage banking derivatives | 16,000 | 3,000 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Collateralized Mortgage Obligations | ||
Assets: | ||
Securities available for sale, at fair value | 736,655,000 | 895,122,000 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Mortgage-backed Securities, Residential | ||
Assets: | ||
Securities available for sale, at fair value | 352,897,000 | 402,605,000 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Mortgage-backed Securities, Commercial | ||
Assets: | ||
Securities available for sale, at fair value | 552,124,000 | 469,126,000 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Corporate securities | ||
Assets: | ||
Securities available for sale, at fair value | 4,200,000 | 3,826,000 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Municipal securities | ||
Assets: | ||
Securities available for sale, at fair value | 69,035,000 | 74,527,000 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Mutual funds | ||
Assets: | ||
Securities available for sale, at fair value | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Interest rate swaps | 0 | |
Interest rate swaps | 0 | |
Mortgage banking derivatives | 0 | 0 |
Liabilities: | ||
Interest rate swaps | 0 | 0 |
Mortgage banking derivatives | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Collateralized Mortgage Obligations | ||
Assets: | ||
Securities available for sale, at fair value | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Mortgage-backed Securities, Residential | ||
Assets: | ||
Securities available for sale, at fair value | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Mortgage-backed Securities, Commercial | ||
Assets: | ||
Securities available for sale, at fair value | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Corporate securities | ||
Assets: | ||
Securities available for sale, at fair value | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Municipal securities | ||
Assets: | ||
Securities available for sale, at fair value | 1,076,000 | 1,059,000 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Mutual funds | ||
Assets: | ||
Securities available for sale, at fair value | $ 0 | $ 0 |
Discount Rate | Accounts Receivable | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount rate | 0.20 | |
Discount Rate | Accounts Receivable | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount rate | 0.60 | |
Discount Rate | Inventories | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount rate | 0.50 | |
Discount Rate | Inventories | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount rate | 0.70 |
Fair Value Measurements - Unobs
Fair Value Measurements - Unobservable Inputs Reconciliation (Details) - Municipal securities - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||
Beginning Balance, January 1 | $ 1,059 | $ 1,108 |
Change in fair value included in other comprehensive income (loss) | 17 | (49) |
Ending Balance, December 31 | $ 1,076 | $ 1,059 |
Fair Value Measurements - Ass_2
Fair Value Measurements - Assets Measured at Fair Value, Non-Recurring (Details) - Non-recurring basis - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Real Estate | ||
Assets: | ||
Assets | $ 9,519 | $ 9,379 |
Commercial | ||
Assets: | ||
Assets | 8,942 | 9,951 |
Consumer | ||
Assets: | ||
Assets | 66 | |
Other real estate owned | ||
Assets: | ||
Assets | 19,086 | 5,659 |
Changes Measurement [Member] | Real Estate | ||
Assets: | ||
Total gains (losses) | 426 | (4,511) |
Changes Measurement [Member] | Commercial | ||
Assets: | ||
Total gains (losses) | (2,428) | (322) |
Changes Measurement [Member] | Trade finance | ||
Assets: | ||
Total gains (losses) | 216 | (364) |
Changes Measurement [Member] | Consumer | ||
Assets: | ||
Total gains (losses) | (1,198) | (1,155) |
Changes Measurement [Member] | Loans held for sale, net | ||
Assets: | ||
Total gains (losses) | 165 | 0 |
Changes Measurement [Member] | Other real estate owned | ||
Assets: | ||
Total gains (losses) | 1,218 | 823 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Real Estate | ||
Assets: | ||
Assets | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial | ||
Assets: | ||
Assets | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Consumer | ||
Assets: | ||
Assets | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Other real estate owned | ||
Assets: | ||
Assets | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Real Estate | ||
Assets: | ||
Assets | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Commercial | ||
Assets: | ||
Assets | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Consumer | ||
Assets: | ||
Assets | 0 | |
Significant Other Observable Inputs (Level 2) | Other real estate owned | ||
Assets: | ||
Assets | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Real Estate | ||
Assets: | ||
Assets | 9,519 | 9,379 |
Significant Unobservable Inputs (Level 3) | Commercial | ||
Assets: | ||
Assets | 8,942 | 9,951 |
Significant Unobservable Inputs (Level 3) | Consumer | ||
Assets: | ||
Assets | 66 | |
Significant Unobservable Inputs (Level 3) | Other real estate owned | ||
Assets: | ||
Assets | $ 19,086 | $ 5,659 |
Fair Value Measurements - Carry
Fair Value Measurements - Carrying Amounts and Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financial Liabilities: | ||
Accrued Interest Payable Fair Value Disclosure | $ 33,810 | $ 31,374 |
Equity investments without readily determinable fair values | 27,000 | 26,400 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Estimate of Fair Value | ||
Financial Assets: | ||
Cash and cash equivalents | 698,567 | 459,606 |
Financial Liabilities: | ||
Convertible Debt, Fair Value Disclosures | 206,210 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Reported Value Measurement [Member] | ||
Financial Assets: | ||
Cash and cash equivalents | 698,567 | 459,606 |
Financial Liabilities: | ||
Convertible Debt, Fair Value Disclosures | 199,458 | |
Significant Other Observable Inputs (Level 2) | Estimate of Fair Value | ||
Financial Assets: | ||
Loans held for sale | 56,011 | 25,943 |
Customers' liabilities on acceptances | 1,117 | 2,281 |
Financial Liabilities: | ||
Noninterest-bearing deposits | 3,108,687 | 3,022,633 |
Saving and other interest bearing demand deposits | 4,259,707 | 3,262,399 |
Time deposits | 5,182,405 | 5,889,030 |
FHLB advances | 628,903 | 810,812 |
Federal Funds Purchased, Fair Value Disclosure | 180,525 | |
Accrued Interest Payable Fair Value Disclosure | 33,810 | 31,374 |
Subordinated debentures | 114,690 | 116,542 |
Bank's liabilities on acceptances outstanding | 1,117 | 2,281 |
Equity investments without readily determinable fair values | 26,967 | 26,430 |
Significant Other Observable Inputs (Level 2) | Reported Value Measurement [Member] | ||
Financial Assets: | ||
Loans held for sale | 54,271 | 25,128 |
Customers' liabilities on acceptances | 1,117 | 2,281 |
Financial Liabilities: | ||
Noninterest-bearing deposits | 3,108,687 | 3,022,633 |
Saving and other interest bearing demand deposits | 4,259,707 | 3,262,399 |
Time deposits | 5,158,970 | 5,870,624 |
FHLB advances | 625,000 | 821,280 |
Federal Funds Purchased, Fair Value Disclosure | 194,543 | |
Subordinated debentures | 103,035 | 101,929 |
Bank's liabilities on acceptances outstanding | 1,117 | 2,281 |
Equity investments without readily determinable fair values | 26,967 | 26,430 |
Significant Unobservable Inputs (Level 3) | Estimate of Fair Value | ||
Financial Assets: | ||
Loans receivable - net | 12,143,727 | 11,913,906 |
Servicing Assets, Fair Value Disclosure | 18,966 | 24,762 |
Significant Unobservable Inputs (Level 3) | Reported Value Measurement [Member] | ||
Financial Assets: | ||
Loans receivable - net | 12,181,863 | 12,005,558 |
Servicing Assets, Fair Value Disclosure | 16,417 | 23,132 |
Fair Value Inputs, Level 2 And Level 3 [Member] | Estimate of Fair Value | ||
Financial Assets: | ||
Other Investments, Fair Value Disclosure | 29,235 | 29,374 |
Accrued Interest Receivable Fair Value Disclosure | 30,772 | 32,225 |
Fair Value Inputs, Level 2 And Level 3 [Member] | Reported Value Measurement [Member] | ||
Financial Assets: | ||
Other Investments, Fair Value Disclosure | 29,162 | 29,409 |
Accrued Interest Receivable Fair Value Disclosure | $ 30,772 | $ 32,225 |
Derivative Financial Instrume_3
Derivative Financial Instruments (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Interest Rate Lock Commitments [Member] | ||
Derivative [Line Items] | ||
Derivative Asset, Notional Amount | $ 10,540 | $ 874 |
Derivative Asset, Fair Value, Gross Asset | 84 | 10 |
Derivative Liability, Notional Amount | 0 | 0 |
Derivative Liability, Fair Value, Gross Liability | 0 | 0 |
Notional amount | 10,500 | 874 |
Interest Rate Swap | ||
Derivative [Line Items] | ||
Cash held as collateral | 8,900 | 8,900 |
Short [Member] | Forward Contracts [Member] | ||
Derivative [Line Items] | ||
Derivative Asset, Notional Amount | 4,532 | 0 |
Derivative Asset, Fair Value, Gross Asset | 11 | 0 |
Derivative Liability, Notional Amount | 6,008 | 874 |
Derivative Liability, Fair Value, Gross Liability | (16) | 3 |
Notional amount | 10,500 | 874 |
Other assets | Interest Rate Swap | Not Designated as Hedging Instrument | Correspondent Banks | ||
Derivative [Line Items] | ||
Notional amount | $ 137,890 | $ 237,916 |
Weighted average remaining term (years) | 7 years 2 months 12 days | 6 years 9 months 18 days |
Fixed rate (weighted average) | 3.62% | 4.36% |
Variable rate (weighted average) | 3.83% | 4.69% |
Estimated fair value | $ 739 | $ 6,191 |
Other assets | Interest Rate Swap | Not Designated as Hedging Instrument | Customers | ||
Derivative [Line Items] | ||
Notional amount | $ 282,326 | $ 36,972 |
Weighted average remaining term (years) | 6 years 10 months 24 days | 6 years 4 months 24 days |
Fixed rate (weighted average) | 4.48% | 5.12% |
Variable rate (weighted average) | 3.98% | 4.56% |
Estimated fair value | $ 9,614 | $ 868 |
Other liabilities | Interest Rate Swap | Not Designated as Hedging Instrument | Correspondent Banks | ||
Derivative [Line Items] | ||
Notional amount | $ 282,326 | $ 36,972 |
Weighted average remaining term (years) | 6 years 10 months 24 days | 6 years 4 months 24 days |
Fixed rate (weighted average) | 4.48% | 5.12% |
Variable rate (weighted average) | 3.98% | 4.56% |
Estimated fair value | $ (9,614) | $ (868) |
Other liabilities | Interest Rate Swap | Not Designated as Hedging Instrument | Customers | ||
Derivative [Line Items] | ||
Notional amount | $ 137,890 | $ 237,916 |
Weighted average remaining term (years) | 7 years 2 months 12 days | 6 years 9 months 18 days |
Fixed rate (weighted average) | 3.62% | 4.36% |
Variable rate (weighted average) | 3.83% | 4.69% |
Estimated fair value | $ (739) | $ (6,191) |
Stockholders' Equity - Discussi
Stockholders' Equity - Discussion of Equity and Warrants (Details) - USD ($) | Apr. 26, 2018 | Dec. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Jun. 30, 2019 | Dec. 31, 2016 |
Stockholders’ Equity and Regulatory Matters [Abstract] | |||||||
Stockholders' equity | $ 1,903,211,000 | $ 2,036,011,000 | $ 1,903,211,000 | $ 1,928,255,000 | $ 1,855,473,000 | ||
Class of Warrant or Right [Line Items] | |||||||
Adjustment to additional paid-in capital from convertible notes issued | $ 0 | $ 15,045,000 | 0 | ||||
Share repurchase program, authorized amount | $ 50,000,000 | ||||||
Common stock repurchased and recorded as treasury stock (in shares) | 943,094 | 9,002,453 | |||||
Repurchase of treasury stock | $ 13,820,000 | $ 150,000,000 | |||||
Additional paid-in capital | |||||||
Stockholders’ Equity and Regulatory Matters [Abstract] | |||||||
Stockholders' equity | 1,423,405,000 | $ 1,428,066,000 | 1,423,405,000 | $ 1,405,014,000 | $ 1,400,490,000 | ||
Class of Warrant or Right [Line Items] | |||||||
Adjustment to additional paid-in capital from convertible notes issued | 21,400,000 | ||||||
Tax adjustment on equity component of convertible notes, reduction to additional paid-in capital | 6,400,000 | ||||||
Convertible Notes | |||||||
Class of Warrant or Right [Line Items] | |||||||
Equity component of convertible notes, net of taxes | 21,900,000 | 21,900,000 | |||||
Issuance costs from convertible notes allocated to equity | 461,000 | $ 461,000 | |||||
Repurchase of treasury stock | $ 76,000,000 | $ 24,000,000 |
Stockholders' Equity - Dividend
Stockholders' Equity - Dividends (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Equity [Abstract] | |||||||||||
Quarterly dividends paid (in dollars per share) | $ 0.14 | $ 0.14 | $ 0.14 | $ 0.14 | $ 0.14 | $ 0.14 | $ 0.13 | $ 0.13 | |||
Aggregate dividends paid | $ 70,935 | $ 71,631 | $ 67,661 |
Stockholders' Equity - Accumula
Stockholders' Equity - Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance at beginning of period | $ 1,903,211 | $ 1,928,255 | $ 1,855,473 |
Total other comprehensive (loss) income | 41,854 | (11,205) | (3,527) |
Balance at end of period | 2,036,011 | 1,903,211 | 1,928,255 |
AOCI Attributable to Parent | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Balance at beginning of period | (32,705) | (21,781) | (14,657) |
Unrealized gains (losses) on securities available for sale | 59,851 | (16,201) | (5,796) |
Reclassification adjustments for net gains realized in income | (282) | 0 | (301) |
Tax effect | (17,715) | 4,996 | 2,570 |
Total other comprehensive (loss) income | 41,854 | (11,205) | (3,527) |
Reclassification to retained earnings due to the tax reform | 0 | 0 | (3,597) |
Reclassification to retained earnings per ASU 2016-01 | 0 | 281 | 0 |
Balance at end of period | $ 9,149 | (32,705) | (21,781) |
Amount reclassified out of accumulated other comprehensive loss to reflect gain on sale of securities | 0 | 301 | |
AOCI Attributable to Parent | Accounting Standards Update 2016-01 | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Reclassification to retained earnings per ASU 2016-01 | $ 281 | ||
AOCI Attributable to Parent | Accounting Standards Update 2018-02 | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Reclassification to retained earnings due to the tax reform | $ (3,600) |
Regulatory Matters (Details)
Regulatory Matters (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Parent Company | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common Equity Tier One Capital | $ 1,553,697 | $ 1,458,344 |
Common Equity Tier One Capital Ratio | 11.76% | 11.44% |
Common Equity Tier One Capital Required for Capital Adequacy | $ 594,373 | $ 573,723 |
Total capital (to risk-weighted assets), Amount | ||
Total Capital, Actual | 1,747,611 | 1,649,664 |
Total Capital, Required For Capital Adequacy Purposes | 1,056,664 | 1,019,952 |
Tier I capital (to risk-weighted assets), Amount | ||
Tier I Capital, Actual (Risk Based) | 1,652,831 | 1,556,371 |
Tier One Risk Based Capital Required for Capital Adequacy | 792,498 | 764,964 |
Tier I capital (to average assets), Amount | ||
Tier I Capital, Actual (Leverage) | 1,652,831 | 1,556,371 |
Tier I Capital, Required For Capital Adequacy Purposes | $ 589,367 | $ 590,176 |
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||
Total Capital (to Risk Weighted Assets), Actual | 13.23% | 12.94% |
Total Capital (to Risk Weighted Assets), Minimum For Capital Adequacy Purposes | 8.00% | 8.00% |
Tier I Capital (to Risk Weighted Assets), Actual (Risk Based) | 12.51% | 12.21% |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 6.00% | 6.00% |
Required for Capital Adequacy with Capital Buffer | $ 1,386,871 | $ 1,259,004 |
Required for Capital Adequacy with Capital Buffer to Risk Weighted Assets | 10.50% | 9.875% |
Tier One Required for Capital Adequacy with Capital Buffer | $ 1,122,705 | $ 1,004,015 |
Tier One Required for Capital Adequacy with Capital Buffer to Risk Weighted Assets | 8.50% | 7.875% |
Tier I capital (to average assets), Ratio | ||
Tier I Capital (to Average Assets), Actual (Leverage) | 11.22% | 10.55% |
Tier I Capital (to Average Assets), Minimum For Capital Adequacy Purposes (Leverage) | 4.00% | 4.00% |
Subsidiaries [Member] | ||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||
Required for Capital Adequacy with Capital Buffer | $ 1,386,747 | $ 1,258,951 |
Required for Capital Adequacy with Capital Buffer to Risk Weighted Assets | 10.50% | 9.875% |
Tier One Required for Capital Adequacy with Capital Buffer | $ 924,498 | $ 812,740 |
Tier One Required for Capital Adequacy with Capital Buffer to Risk Weighted Assets | 8.50% | 7.875% |
Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Common Equity Tier One Capital | $ 1,811,862 | $ 1,737,092 |
Common Equity Tier One Capital Ratio | 13.72% | 13.63% |
Common Equity Tier One Capital Required for Capital Adequacy | $ 594,320 | $ 573,699 |
Total capital (to risk-weighted assets), Amount | ||
Total Capital, Actual | 1,906,642 | 1,830,385 |
Total Capital, Required For Capital Adequacy Purposes | 1,056,569 | 1,019,910 |
Required To Be Well Capitalized under Prompt Corrective Action Provisions | $ 1,320,711 | $ 1,274,887 |
Capital Required to be Well Capitalized to Risk Weighted Assets | 10.00% | 10.00% |
Tier I capital (to risk-weighted assets), Amount | ||
Tier I Capital, Actual (Risk Based) | $ 1,811,862 | $ 1,737,092 |
Tier One Risk Based Capital Required for Capital Adequacy | 792,427 | 764,932 |
Tier I Capital, Minimum to be Well Capitalized Under Prompt Corrective Action Provisions (Risk Based) | 1,056,569 | 1,019,910 |
Tier I capital (to average assets), Amount | ||
Tier I Capital, Actual (Leverage) | 1,811,862 | 1,737,092 |
Tier I Capital, Required For Capital Adequacy Purposes | 589,604 | 590,639 |
Tier I Capital, Minimum to be Well Capitalized Under Prompt Corrective Action Provisions (Leverage) | $ 737,005 | $ 738,299 |
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||
Total Capital (to Risk Weighted Assets), Actual | 14.44% | 14.36% |
Total Capital (to Risk Weighted Assets), Minimum For Capital Adequacy Purposes | 8.00% | 8.00% |
Tier I Capital (to Risk Weighted Assets), Actual (Risk Based) | 13.72% | 13.63% |
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 6.00% | 6.00% |
Tier I Capital (to Risk Weighted Assets), Minimum to be Well Capitalized Under Prompt Corrective Action Provisions (Risk Based) | 8.00% | 8.00% |
Common Equity Tier One Capital Required to be Well-Capitalized | $ 858,462 | $ 828,677 |
Tier I capital (to average assets), Ratio | ||
Tier I Capital (to Average Assets), Actual (Leverage) | 12.29% | 11.76% |
Tier I Capital (to Average Assets), Minimum For Capital Adequacy Purposes (Leverage) | 4.00% | 4.00% |
Tier I Capital (to Average Assets), Minimum to be Well Capitalized Under Prompt Corrective Action Provisions (Leverage) | 5.00% | 5.00% |
Common equity tier 1 capital [Member] | Parent Company | ||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 4.50% | 4.50% |
Common equity tier 1 capital [Member] | Bank | ||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||
Tier One Risk Based Capital Required for Capital Adequacy to Risk Weighted Assets | 4.50% | 4.50% |
Tier I Capital (to Risk Weighted Assets), Minimum to be Well Capitalized Under Prompt Corrective Action Provisions (Risk Based) | 6.50% | 6.50% |
Common Equity Tier 1 [Member] | Parent Company | ||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||
Tier One Required for Capital Adequacy with Capital Buffer | $ 924,581 | $ 812,774 |
Tier One Required for Capital Adequacy with Capital Buffer to Risk Weighted Assets | 7.00% | 6.375% |
Common Equity Tier 1 [Member] | Subsidiaries [Member] | ||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||
Tier One Required for Capital Adequacy with Capital Buffer | $ 924,498 | $ 812,740 |
Tier One Required for Capital Adequacy with Capital Buffer to Risk Weighted Assets | 7.00% | 6.375% |
Revenue Recognition - Service C
Revenue Recognition - Service Charged on Deposit Accounts (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disaggregation of Revenue [Line Items] | |||
Service fees on deposit accounts | $ 17,933 | $ 18,551 | $ 20,619 |
Wire transfer fees | 4,558 | 4,934 | $ 5,057 |
Wire transfer fees | |||
Disaggregation of Revenue [Line Items] | |||
Wire transfer fees | 4,058 | 4,463 | |
Foreign exchange fees | |||
Disaggregation of Revenue [Line Items] | |||
Wire transfer fees | 500 | 471 | |
Noninterest Bearing Deposits | |||
Disaggregation of Revenue [Line Items] | |||
Service fees on deposit accounts | 17,862 | 18,489 | |
Noninterest Bearing Deposits | Monthly service charges | |||
Disaggregation of Revenue [Line Items] | |||
Service fees on deposit accounts | 1,608 | 1,772 | |
Noninterest Bearing Deposits | Customer analysis charges | |||
Disaggregation of Revenue [Line Items] | |||
Service fees on deposit accounts | 7,801 | 7,825 | |
Noninterest Bearing Deposits | NSF charges | |||
Disaggregation of Revenue [Line Items] | |||
Service fees on deposit accounts | 7,654 | 7,986 | |
Noninterest Bearing Deposits | Other service charges | |||
Disaggregation of Revenue [Line Items] | |||
Service fees on deposit accounts | 799 | 906 | |
Interest-bearing Deposits | Monthly service charges | |||
Disaggregation of Revenue [Line Items] | |||
Service fees on deposit accounts | $ 71 | $ 62 |
Revenue Recognition - OREO Inco
Revenue Recognition - OREO Income (Expense) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Revenue from Contract with Customer [Abstract] | |||
Gains (losses) on sales of OREO | $ (14) | $ 408 | $ 79 |
Earnings Per Share (Details)
Earnings Per Share (Details) | Jun. 07, 2018 | Apr. 26, 2018USD ($) | Dec. 31, 2019$ / shares | Sep. 30, 2019$ / shares | Jun. 30, 2019USD ($)$ / shares | Mar. 31, 2019$ / shares | Dec. 31, 2018USD ($)$ / shares | Sep. 30, 2018$ / shares | Jun. 30, 2018USD ($)$ / shares | Mar. 31, 2018$ / shares | Dec. 31, 2018USD ($) | Dec. 31, 2019USD ($)$ / sharesshares | Dec. 31, 2018USD ($)$ / sharesshares | Dec. 31, 2017USD ($)$ / sharesshares | May 11, 2018USD ($) |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||||||
Share repurchase program, authorized amount | $ 50,000,000 | ||||||||||||||
Common stock repurchased and recorded as treasury stock (in shares) | shares | 943,094 | 9,002,453 | |||||||||||||
Repurchase of treasury stock | $ 13,820,000 | $ 150,000,000 | |||||||||||||
Net Income (Numerator) | |||||||||||||||
Basic EPS - common stock | 171,040,000 | 189,589,000 | $ 139,445,000 | ||||||||||||
Diluted EPS - common stock | $ 171,040,000 | $ 189,589,000 | $ 139,445,000 | ||||||||||||
Weighted Average Shares (Denominator) | |||||||||||||||
Basic EPS - common stock (in shares) | shares | 126,598,564 | 131,716,726 | 135,348,938 | ||||||||||||
Effect of dilutive securities: | |||||||||||||||
Stock Options and Performance Units (in shares) | shares | 276,756 | 237,466 | 336,031 | ||||||||||||
Diluted EPS - common stock (in shares) | shares | 126,875,320 | 131,954,192 | 135,684,969 | ||||||||||||
Earnings Per Share | |||||||||||||||
Basic EPS - common stock (in dollars per share) | $ / shares | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.35 | $ 0.36 | $ 0.36 | $ 0.38 | $ 1.35 | $ 1.44 | $ 1.03 | ||||
Diluted EPS - common stock (in dollars per share) | $ / shares | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.35 | $ 0.36 | $ 0.36 | $ 0.38 | $ 1.35 | $ 1.44 | $ 1.03 | ||||
Stock options and restricted shares | |||||||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||||||
Antidilutive shares of common stock | shares | 894,000 | 617,000 | |||||||||||||
Convertible Notes | |||||||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||||||
Aggregate principal amount issued | $ 217,500,000 | $ 217,500,000 | $ 217,500,000 | $ 217,500,000 | $ 200,000,000 | ||||||||||
Initial conversion rate | 0.0450760 | 0.0450760 | |||||||||||||
Repurchase of treasury stock | $ 76,000,000 | 24,000,000 | |||||||||||||
Share Repurchase Program 1 | |||||||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||||||
Share repurchase program, authorized amount | $ 50,000,000 | 100,000,000 | 100,000,000 | 100,000,000 | |||||||||||
Share Repurchase Program 2 | |||||||||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||||||||||||||
Share repurchase program, authorized amount | $ 50,000,000 | $ 50,000,000 | $ 50,000,000 |
Servicing Assets (Servicing Ass
Servicing Assets (Servicing Asset at Amortized Cost) (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||
Balance at beginning of period | $ 23,132 | $ 24,710 |
Additions through originations of servicing assets | 1,790 | 6,157 |
Amortization | (8,505) | (7,735) |
Balance at end of period | 16,417 | 23,132 |
Loans serviced for other institutions | 1,350,000 | 1,550,000 |
SBA servicing assets | 12,100 | 18,700 |
Mortgage related servicing assets | $ 4,300 | $ 4,400 |
Servicing Assets (Fair Value As
Servicing Assets (Fair Value Assumptions) (Details) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
SBA Servicing Assets: | ||
Weighted-average discount rate | 9.19% | 11.23% |
Constant prepayment rate | 14.17% | 11.09% |
Mortgage Servicing Assets: | ||
Weighted-average discount rate | 9.25% | 10.25% |
Constant prepayment rate | 9.57% | 7.13% |
Condensed Financial Statement_3
Condensed Financial Statements of Parent Company (Statements of Financial Condition) (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
ASSETS | ||||
Cash and cash equivalents | $ 698,567 | $ 459,606 | $ 492,000 | $ 437,334 |
Equity investments | 49,090 | 49,835 | ||
Other assets | 69,206 | 48,821 | ||
Total assets | 15,667,440 | 15,305,952 | ||
LIABILITIES: | ||||
Convertible notes, net | 199,458 | 194,543 | ||
Subordinated debentures, net | 103,035 | 101,929 | ||
Total liabilities | 13,631,429 | 13,402,741 | ||
STOCKHOLDERS’ EQUITY | 2,036,011 | 1,903,211 | 1,928,255 | 1,855,473 |
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | 15,667,440 | 15,305,952 | ||
Parent Company | ||||
ASSETS | ||||
Cash and cash equivalents | 38,981 | 12,593 | $ 13,327 | $ 13,859 |
Equity investments | 0 | 525 | ||
Other assets | 6,703 | 5,704 | ||
Investment in bank subsidiary | 2,294,175 | 2,181,959 | ||
Total assets | 2,339,859 | 2,200,781 | ||
LIABILITIES: | ||||
Convertible notes, net | 199,458 | 194,543 | ||
Subordinated debentures, net | 103,035 | 101,929 | ||
Accounts payable and other liabilities | 1,355 | 1,098 | ||
Total liabilities | 303,848 | 297,570 | ||
STOCKHOLDERS’ EQUITY | 2,036,011 | 1,903,211 | ||
TOTAL LIABILITIES AND STOCKHOLDERS’ EQUITY | $ 2,339,859 | $ 2,200,781 |
Condensed Financial Statement_4
Condensed Financial Statements of Parent Company (Statements of Income) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Interest income | $ 165,773 | $ 172,417 | $ 173,466 | $ 173,130 | $ 172,026 | $ 167,826 | $ 159,910 | $ 150,410 | $ 684,786 | $ 650,172 | $ 572,104 |
Interest expense | (52,265) | (56,159) | (56,245) | (53,522) | (50,133) | (44,679) | (37,091) | (30,342) | (218,191) | (162,245) | (90,724) |
Noninterest income | 12,979 | 12,995 | 12,287 | 11,422 | 11,614 | 13,447 | 15,269 | 19,850 | 49,683 | 60,180 | 66,415 |
Noninterest expense | 70,429 | 69,995 | 71,371 | 70,833 | 70,189 | 67,455 | 71,629 | 68,453 | 282,628 | 277,726 | 266,601 |
Income tax benefit | (12,049) | (14,566) | (14,256) | (14,439) | (16,069) | (15,461) | (16,629) | (17,733) | (55,310) | (65,892) | (124,389) |
NET INCOME | $ 43,009 | $ 42,592 | $ 42,681 | $ 42,758 | $ 44,449 | $ 46,378 | $ 47,530 | $ 51,232 | 171,040 | 189,589 | 139,445 |
Other comprehensive income (loss), net of tax | 41,854 | (11,205) | (3,527) | ||||||||
Comprehensive income | 212,894 | 178,384 | 135,918 | ||||||||
Parent Company | |||||||||||
Condensed Financial Statements, Captions [Line Items] | |||||||||||
Interest income | 0 | 0 | 0 | ||||||||
Interest expense | (16,001) | (12,152) | (5,089) | ||||||||
Noninterest income | 175 | 525 | 0 | ||||||||
Noninterest expense | 4,386 | 4,855 | 5,988 | ||||||||
Dividend from subsidiary, net | 120,000 | 10,000 | 70,000 | ||||||||
Equity in undistributed earnings of subsidiary | 65,713 | 191,161 | 76,397 | ||||||||
Income before income tax benefit | 165,501 | 184,679 | 135,320 | ||||||||
Income tax benefit | 5,539 | 4,910 | 4,125 | ||||||||
NET INCOME | 171,040 | 189,589 | 139,445 | ||||||||
Other comprehensive income (loss), net of tax | 41,854 | (11,205) | (3,527) | ||||||||
Comprehensive income | $ 212,894 | $ 178,384 | $ 135,918 |
Condensed Financial Statement_5
Condensed Financial Statements of Parent Company (Statements of Cash Flows) (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||||||
Net income | $ 43,009 | $ 42,592 | $ 42,681 | $ 42,758 | $ 44,449 | $ 46,378 | $ 47,530 | $ 51,232 | $ 171,040 | $ 189,589 | $ 139,445 |
Adjustments to reconcile net income to net cash from operating activities: | |||||||||||
Stock-based compensation expense | 5,282 | 3,659 | 3,161 | ||||||||
Net change in fair value of equity investments with readily determinable fair value | (1,288) | (1,449) | 0 | ||||||||
Change in other assets | (23,157) | (6,138) | (1,987) | ||||||||
Net cash provided by operating activities | 183,855 | 219,947 | 203,539 | ||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||
Proceeds from sale of equity investments | 2,570 | 0 | 0 | ||||||||
Net cash used in investing activities | (36,823) | (1,147,465) | (766,953) | ||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||
Proceeds from convertible notes, net of issuance fees | 0 | 212,920 | 0 | ||||||||
Purchase of treasury stock | 13,223 | 150,000 | 0 | ||||||||
Net cash provided by financing activities | 91,929 | 895,124 | 618,080 | ||||||||
NET CHANGE IN CASH AND CASH EQUIVALENTS | 238,961 | (32,394) | 54,666 | ||||||||
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | 459,606 | 492,000 | 459,606 | 492,000 | 437,334 | ||||||
CASH AND CASH EQUIVALENTS, END OF YEAR | 698,567 | 459,606 | 698,567 | 459,606 | 492,000 | ||||||
Parent Company | |||||||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||||||
Net income | 171,040 | 189,589 | 139,445 | ||||||||
Adjustments to reconcile net income to net cash from operating activities: | |||||||||||
Amortization | 6,021 | 4,118 | 1,045 | ||||||||
Stock-based compensation expense | 0 | 300 | 523 | ||||||||
Net change in fair value of equity investments with readily determinable fair value | (175) | (525) | 0 | ||||||||
Change in other assets | (999) | 4,534 | 665 | ||||||||
Change in accounts payable and other liabilities | 257 | 653 | (17) | ||||||||
Equity in undistributed earnings of bank subsidiary | (65,713) | (191,161) | (76,397) | ||||||||
Net cash provided by operating activities | 110,431 | 7,508 | 65,264 | ||||||||
CASH FLOWS FROM INVESTING ACTIVITIES: | |||||||||||
Proceeds from sale of equity investments | 700 | 0 | 0 | ||||||||
Net cash used in investing activities | 700 | 0 | 0 | ||||||||
CASH FLOWS FROM FINANCING ACTIVITIES: | |||||||||||
Issuance of additional stock pursuant to various stock plans | 12 | 469 | 1,865 | ||||||||
Proceeds from convertible notes, net of issuance fees | 0 | 212,920 | 0 | ||||||||
Purchase of treasury stock | (13,820) | (150,000) | 0 | ||||||||
Payments of cash dividends | (70,935) | (71,631) | (67,661) | ||||||||
Net cash provided by financing activities | (84,743) | (8,242) | (65,796) | ||||||||
NET CHANGE IN CASH AND CASH EQUIVALENTS | 26,388 | (734) | (532) | ||||||||
CASH AND CASH EQUIVALENTS, BEGINNING OF YEAR | $ 12,593 | $ 13,327 | 12,593 | 13,327 | 13,859 | ||||||
CASH AND CASH EQUIVALENTS, END OF YEAR | $ 38,981 | $ 12,593 | $ 38,981 | $ 12,593 | $ 13,327 |
Quarterly Financial Data (Una_3
Quarterly Financial Data (Unaudited) (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Interest income | $ 165,773 | $ 172,417 | $ 173,466 | $ 173,130 | $ 172,026 | $ 167,826 | $ 159,910 | $ 150,410 | $ 684,786 | $ 650,172 | $ 572,104 |
Interest expense | 52,265 | 56,159 | 56,245 | 53,522 | 50,133 | 44,679 | 37,091 | 30,342 | 218,191 | 162,245 | 90,724 |
NET INTEREST INCOME BEFORE PROVISION FOR LOAN LOSSES | 113,508 | 116,258 | 117,221 | 119,608 | 121,893 | 123,147 | 122,819 | 120,068 | 466,595 | 487,927 | 481,380 |
Provision for loan losses | 1,000 | 2,100 | 1,200 | 3,000 | 2,800 | 7,300 | 2,300 | 2,500 | 7,300 | 14,900 | 17,360 |
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES | 112,508 | 114,158 | 116,021 | 116,608 | 119,093 | 115,847 | 120,519 | 117,568 | 459,295 | 473,027 | 464,020 |
Noninterest income | 12,979 | 12,995 | 12,287 | 11,422 | 11,614 | 13,447 | 15,269 | 19,850 | 49,683 | 60,180 | 66,415 |
Noninterest expense | 70,429 | 69,995 | 71,371 | 70,833 | 70,189 | 67,455 | 71,629 | 68,453 | 282,628 | 277,726 | 266,601 |
INCOME BEFORE INCOME TAX PROVISION | 55,058 | 57,158 | 56,937 | 57,197 | 60,518 | 61,839 | 64,159 | 68,965 | 226,350 | 255,481 | 263,834 |
Income tax provision | 12,049 | 14,566 | 14,256 | 14,439 | 16,069 | 15,461 | 16,629 | 17,733 | 55,310 | 65,892 | 124,389 |
NET INCOME | $ 43,009 | $ 42,592 | $ 42,681 | $ 42,758 | $ 44,449 | $ 46,378 | $ 47,530 | $ 51,232 | $ 171,040 | $ 189,589 | $ 139,445 |
Basic EPS - common stock (in dollars per share) | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.35 | $ 0.36 | $ 0.36 | $ 0.38 | $ 1.35 | $ 1.44 | $ 1.03 |
Diluted EPS - common stock (in dollars per share) | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.34 | $ 0.35 | $ 0.36 | $ 0.36 | $ 0.38 | $ 1.35 | $ 1.44 | $ 1.03 |
Uncategorized Items - hope-12x3
Label | Element | Value |
AOCI Attributable to Parent [Member] | ||
Cumulative Effect of New Accounting Principle in Period of Adoption | us-gaap_CumulativeEffectOfNewAccountingPrincipleInPeriodOfAdoption | $ 281,000 |