Cover
Cover - shares | 6 Months Ended | |
Jun. 30, 2021 | Aug. 02, 2021 | |
Cover [Abstract] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Jun. 30, 2021 | |
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, | |
Entity Address, Address Line Two | 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, par value $0.001 per share | |
Trading Symbol | HOPE | |
Security Exchange Name | NASDAQ | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Large Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding (in shares) | 122,898,170 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q2 | |
Entity Central Index Key | 0001128361 | |
Current Fiscal Year End Date | --12-31 |
Consolidated Statements Of Fina
Consolidated Statements Of Financial Condition - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Cash and cash equivalents: | ||
Cash and due from banks | $ 293,822 | $ 256,565 |
Interest bearing cash in other banks | 543,135 | 94,014 |
Total cash and cash equivalents | 836,957 | 350,579 |
Interest bearing deposits in other financial institutions | 18,268 | 28,642 |
Securities available for sale, at fair value | 2,274,170 | 2,285,611 |
Equity investments | 59,032 | 59,699 |
Loans held for sale, at the lower of cost or fair value | 54,245 | 17,743 |
Loans receivable, net of allowance for credit losses of $189,452 and $206,741 at June 30, 2021 and December 31, 2020, respectively | 13,234,849 | 13,356,472 |
Other real estate owned (“OREO”), net | 16,619 | 20,121 |
Federal Home Loan Bank (“FHLB”) stock, at cost | 17,250 | 17,250 |
Premises and equipment, net | 45,302 | 48,409 |
Accrued interest receivable | 51,886 | 59,430 |
Deferred tax assets, net | 49,092 | 47,693 |
Customers’ liabilities on acceptances | 916 | 1,184 |
Bank owned life insurance (“BOLI”) | 76,428 | 76,765 |
Investments in affordable housing partnerships | 63,800 | 69,454 |
Operating lease right-of-use assets, net | 47,772 | 47,653 |
Goodwill | 464,450 | 464,450 |
Core deposit intangible assets, net | 8,689 | 9,708 |
Servicing assets, net | 11,566 | 12,692 |
Other assets | 138,336 | 133,109 |
Total assets | 17,469,627 | 17,106,664 |
Deposits: | ||
Noninterest bearing | 5,638,115 | 4,814,254 |
Interest bearing: | ||
Money market and NOW accounts | 5,786,697 | 5,232,413 |
Savings deposits | 308,651 | 300,770 |
Time deposits | 2,992,767 | 3,986,475 |
Total deposits | 14,726,230 | 14,333,912 |
FHLB advances | 200,000 | 250,000 |
Convertible notes, net | 215,739 | 204,565 |
Subordinated debentures, net | 104,762 | 104,178 |
Accrued interest payable | 4,946 | 14,706 |
Acceptances outstanding | 916 | 1,184 |
Operating lease liabilities | 52,177 | 52,030 |
Commitments to fund investments in affordable housing partnerships | 10,654 | 15,148 |
Other liabilities | 61,333 | 77,196 |
Total liabilities | 15,376,757 | 15,052,919 |
STOCKHOLDERS’ EQUITY: | ||
Common stock, $0.001 par value; 150,000,000 authorized shares: issued and outstanding 136,335,413 and 123,673,832 shares, respectively, at June 30, 2021, and issued and outstanding 135,926,445 and 123,264,864 shares, respectively, at December 31, 2020 | 136 | 136 |
Additional paid-in capital | 1,418,135 | 1,434,916 |
Retained earnings | 859,548 | 785,940 |
Treasury stock, at cost; 12,661,581 and 12,661,581 shares at June 30, 2021 and December 31, 2020, respectively | (200,000) | (200,000) |
Accumulated other comprehensive income, net | 15,051 | 32,753 |
Total stockholders’ equity | 2,092,870 | 2,053,745 |
Total liabilities and stockholders’ equity | $ 17,469,627 | $ 17,106,664 |
Consolidated Statements Of Fi_2
Consolidated Statements Of Financial Condition (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Allowance for credit loss | $ 189,452 | $ 206,741 |
Common stock, par value (in dollars per share) | $ 0.001 | $ 0.001 |
Common stock, shares authorized (in shares) | 150,000,000 | 150,000,000 |
Common stock, shares issued (in shares) | 136,335,413 | 135,926,445 |
Common stock, shares outstanding (in shares) | 123,673,832 | 123,264,864 |
Treasury stock, at cost, shares repurchased (in shares) | 12,661,581 | 12,661,581 |
Consolidated Statements Of Inco
Consolidated Statements Of Income (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
INTEREST INCOME: | ||||
Interest and fees on loans | $ 131,823 | $ 134,190 | $ 261,559 | $ 288,420 |
Interest on securities | 7,713 | 9,891 | 15,628 | 20,500 |
Interest on other investments | 668 | 980 | 1,310 | 3,009 |
Total interest income | 140,204 | 145,061 | 278,497 | 311,929 |
INTEREST EXPENSE: | ||||
Interest on deposits | 10,696 | 29,451 | 23,466 | 70,564 |
Interest on FHLB advances | 631 | 2,238 | 1,273 | 4,885 |
Interest on other borrowings and convertible notes | 2,300 | 3,558 | 4,602 | 7,375 |
Total interest expense | 13,627 | 35,247 | 29,341 | 82,824 |
NET INTEREST INCOME BEFORE PROVISION (CREDIT) FOR CREDIT LOSSES | 126,577 | 109,814 | 249,156 | 229,105 |
PROVISION (CREDIT) FOR CREDIT LOSSES | (7,000) | 17,500 | (3,700) | 45,500 |
NET INTEREST INCOME AFTER PROVISION (CREDIT) FOR CREDIT LOSSES | 133,577 | 92,314 | 252,856 | 183,605 |
NONINTEREST INCOME: | ||||
Service fees on deposit accounts | 1,777 | 2,583 | 3,567 | 6,716 |
International service fees | 795 | 667 | 1,636 | 1,456 |
Loan servicing fees, net | 934 | 1,106 | 1,978 | 1,471 |
Wire transfer fees | 923 | 820 | 1,767 | 1,818 |
Swap fees | 165 | 1,040 | 232 | 2,016 |
Net gains on sales of SBA loans | 2,375 | 0 | 2,375 | 0 |
Net gains on sales of other loans | 1,028 | 1,678 | 3,124 | 3,533 |
Other income and fees | 3,079 | 3,346 | 5,201 | 7,494 |
Total noninterest income | 11,076 | 11,240 | 19,880 | 24,504 |
NONINTEREST EXPENSE: | ||||
Salaries and employee benefits | 42,309 | 38,850 | 83,525 | 81,352 |
Occupancy | 7,067 | 7,043 | 14,034 | 14,453 |
Furniture and equipment | 4,822 | 4,654 | 9,008 | 8,913 |
Advertising and marketing | 2,097 | 1,315 | 3,722 | 2,988 |
Data processing and communications | 2,411 | 2,274 | 5,148 | 4,905 |
Professional fees | 4,395 | 1,510 | 7,298 | 4,810 |
Investments in affordable housing partnership expenses | 2,952 | 2,873 | 5,654 | 5,424 |
FDIC assessments | 1,284 | 1,652 | 2,539 | 3,211 |
Credit related expenses | 43 | 1,361 | 2,261 | 3,023 |
OREO expense, net | 298 | 1,338 | 579 | 2,181 |
Capitalized Computer Software, Impairments | 2,146 | 0 | 2,146 | 0 |
Other | 3,299 | 4,160 | 7,640 | 7,910 |
Total noninterest expense | 73,123 | 67,030 | 143,554 | 139,170 |
INCOME BEFORE INCOME TAXES | 71,530 | 36,524 | 129,182 | 68,939 |
INCOME TAX PROVISION | 17,767 | 9,771 | 31,732 | 16,233 |
NET INCOME | $ 53,763 | $ 26,753 | $ 97,450 | $ 52,706 |
EARNINGS PER COMMON SHARE | ||||
Basic (in dollars per share) | $ 0.44 | $ 0.22 | $ 0.79 | $ 0.43 |
Diluted (in dollars per share) | $ 0.43 | $ 0.22 | $ 0.78 | $ 0.42 |
Consolidated Statements Of Comp
Consolidated Statements Of Comprehensive Income (Unaudited) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 53,763,000 | $ 26,753,000 | $ 97,450,000 | $ 52,706,000 |
Other comprehensive income (loss): | ||||
Change in unrealized net holding gains (losses) on securities available for sale | 14,186,000 | 3,270,000 | (26,617,000) | 42,123,000 |
Change in unrealized net holding gains (losses) on interest rate swaps used in cash flow hedges | (297,000) | (711,000) | 1,523,000 | (711,000) |
Reclassification adjustments for net losses (gains) realized in net income | 73,000 | (139,000) | 139,000 | (139,000) |
Tax effect | (4,134,000) | (720,000) | 7,253,000 | (12,273,000) |
Other comprehensive income (loss), net of tax | 9,828,000 | 1,700,000 | (17,702,000) | 29,000,000 |
Total comprehensive income | $ 63,591,000 | $ 28,453,000 | $ 79,748,000 | $ 81,706,000 |
Consolidated Statements Of Chan
Consolidated Statements Of Changes In Stockholders' Equity (Unaudited) - USD ($) | Total | Common stock | Additional paid-in capital | Retained earnings | Treasury stock | Accumulated other comprehensive income, net |
Balance at beginning of period (in shares) at Dec. 31, 2019 | 125,756,543 | |||||
Balance at beginning of period at Dec. 31, 2019 | $ 2,036,011,000 | $ 136,000 | $ 1,428,066,000 | $ 762,480,000 | $ (163,820,000) | $ 9,149,000 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Adoption of ASU 2020-06 | (26,729,000) | (26,729,000) | ||||
Adoption of ASU 2020-06 tax impact | $ 7,947,000 | (7,947,000) | ||||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | |||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations (in shares) | 198,767 | |||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations | $ 0 | 0 | ||||
Stock-based compensation | 2,691,000 | 2,691,000 | ||||
Cash dividends declared on common stock | (34,670,000) | (34,670,000) | ||||
Comprehensive income: | ||||||
Net income | 52,706,000 | 52,706,000 | ||||
Other comprehensive income (loss) | 29,000,000 | 29,000,000 | ||||
Repurchase of treasury stock, (in shares) | (2,716,034) | |||||
Repurchase of treasury stock | (36,180,000) | (36,180,000) | ||||
Balance at end of period (in shares) at Jun. 30, 2020 | 123,239,276 | |||||
Balance at end of period at Jun. 30, 2020 | 2,030,776,000 | $ 136,000 | 1,430,757,000 | 761,734,000 | (200,000,000) | 38,149,000 |
Balance at beginning of period (in shares) at Mar. 31, 2020 | 123,169,404 | |||||
Balance at beginning of period at Mar. 31, 2020 | 2,018,088,000 | $ 136,000 | 1,429,275,000 | 752,228,000 | (200,000,000) | 36,449,000 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations (in shares) | 69,872 | |||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations | 0 | 0 | ||||
Stock-based compensation | 1,482,000 | 1,482,000 | ||||
Cash dividends declared on common stock | (17,247,000) | (17,247,000) | ||||
Comprehensive income: | ||||||
Net income | 26,753,000 | 26,753,000 | ||||
Other comprehensive income (loss) | 1,700,000 | 1,700,000 | ||||
Balance at end of period (in shares) at Jun. 30, 2020 | 123,239,276 | |||||
Balance at end of period at Jun. 30, 2020 | 2,030,776,000 | $ 136,000 | 1,430,757,000 | 761,734,000 | (200,000,000) | 38,149,000 |
Balance at beginning of period (in shares) at Dec. 31, 2020 | 123,264,864 | |||||
Balance at beginning of period at Dec. 31, 2020 | 2,053,745,000 | $ 136,000 | 1,434,916,000 | 785,940,000 | (200,000,000) | 32,753,000 |
Balance at end of period (in shares) at Mar. 31, 2021 | 123,480,494 | |||||
Balance at end of period at Mar. 31, 2021 | 2,045,581,000 | $ 136,000 | 1,417,137,000 | 823,085,000 | (200,000,000) | 5,223,000 |
Balance at beginning of period (in shares) at Dec. 31, 2020 | 123,264,864 | |||||
Balance at beginning of period at Dec. 31, 2020 | 2,053,745,000 | $ 136,000 | 1,434,916,000 | 785,940,000 | (200,000,000) | 32,753,000 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations (in shares) | 408,968 | |||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations | 0 | 0 | ||||
Stock-based compensation | 1,485,000 | 1,485,000 | ||||
Cash dividends declared on common stock | (34,557,000) | (34,557,000) | ||||
Comprehensive income: | ||||||
Net income | 97,450,000 | 97,450,000 | ||||
Other comprehensive income (loss) | (17,702,000) | (17,702,000) | ||||
Adjustments to Additional Paid in Capital, Convertible Debt with Conversion Feature | (10,705,000) | |||||
AdjustmentsToAdditionalPaidInCapitalConvertibleDebtWithConversionFeature, tax | 3,154,000 | |||||
Balance at end of period (in shares) at Jun. 30, 2021 | 123,673,832 | |||||
Balance at end of period at Jun. 30, 2021 | 2,092,870,000 | $ 136,000 | 1,418,135,000 | 859,548,000 | (200,000,000) | 15,051,000 |
Comprehensive income: | ||||||
Adjustments to Additional Paid in Capital, Equity Component of Convertible Debt | (21,420,000) | |||||
AdjustmentsToAdditionalPaidInCapitalEquityComponentOfConvertibleDebt, tax | 3,154,000 | |||||
Balance at beginning of period (in shares) at Mar. 31, 2021 | 123,480,494 | |||||
Balance at beginning of period at Mar. 31, 2021 | 2,045,581,000 | $ 136,000 | 1,417,137,000 | 823,085,000 | (200,000,000) | 5,223,000 |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations (in shares) | 193,338 | |||||
Issuance of shares pursuant to various stock plans, net of forfeitures and tax withholding cancellations | 0 | 0 | ||||
Stock-based compensation | 990,000 | 990,000 | ||||
Cash dividends declared on common stock | (17,300,000) | (17,300,000) | ||||
Comprehensive income: | ||||||
Net income | 53,763,000 | 53,763,000 | ||||
Other comprehensive income (loss) | $ 9,828,000 | 9,828,000 | ||||
Repurchase of treasury stock, (in shares) | 0 | |||||
AdjustmentsToAdditionalPaidInCapitalConvertibleDebtWithConversionFeature, tax | $ 8,000 | |||||
Balance at end of period (in shares) at Jun. 30, 2021 | 123,673,832 | |||||
Balance at end of period at Jun. 30, 2021 | $ 2,092,870,000 | $ 136,000 | 1,418,135,000 | 859,548,000 | $ (200,000,000) | $ 15,051,000 |
Comprehensive income: | ||||||
Convertible debt, cumulative effect on retained earnings before tax | $ 10,715,000 | |||||
AdjustmentsToAdditionalPaidInCapitalEquityComponentOfConvertibleDebt, tax | $ 8,000 |
Consolidated Statements Of Ch_2
Consolidated Statements Of Changes In Stockholders' Equity (Unaudited) (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Statement of Stockholders' Equity [Abstract] | ||||
Cash dividends declared on common stock (in dollars per share) | $ 0.14 | $ 0.14 | $ 0.28 | $ 0.28 |
Consolidated Statements Of Cash
Consolidated Statements Of Cash Flows (Unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES | |||||
Net income | $ 53,763 | $ 26,753 | $ 97,450 | $ 52,706 | |
Adjustments to reconcile net income to net cash from operating activities: | |||||
Discount accretion, net of depreciation and amortization | 13,724 | 1,970 | |||
Stock-based compensation expense | 4,642 | 3,804 | |||
(Credit) provision for credit losses | (7,000) | 17,500 | (3,700) | 45,500 | |
Provision for unfunded loan commitments | 0 | 50 | 105 | 660 | |
Valuation adjustment of OREO | 336 | 1,837 | |||
Net gains on sales of other loans | (2,375) | 0 | (2,375) | 0 | |
Gain (Loss) On Sale Of Other Financing Receivable | (1,028) | (1,678) | (3,124) | (3,533) | |
Loss (earnings) on BOLI | 337 | (711) | |||
Net change in fair value of derivatives | 91 | (936) | |||
Net (gains) losses on sales of OREO | (27) | 20 | (13) | 81 | |
Net change in fair value of equity investments with readily determinable fair value | 407 | (542) | |||
Losses on investments in affordable housing partnerships | 5,507 | 5,283 | |||
Capitalized Computer Software, Impairments | 2,146 | 0 | 2,146 | 0 | |
Net change in deferred income taxes | 9,145 | (6,916) | |||
Proceeds from sales of loans held for sale | 145,987 | 143,704 | |||
Originations of loans held for sale | (103,746) | (104,436) | |||
Originations of servicing assets | (1,329) | (1,136) | |||
Net change in accrued interest receivable | 6,944 | (22,087) | |||
Net change in other assets | (5,574) | (59,291) | |||
Net change in accrued interest payable | (9,760) | (7,717) | |||
Net change in other liabilities | (15,968) | 51,516 | |||
Net cash provided by operating activities | 141,832 | 99,756 | |||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||
Purchase of interest bearing deposits in other financial institutions | (747) | (11,886) | |||
Redemption of interest bearing deposits in other financial institutions | 11,121 | 9,810 | |||
Purchase of securities available for sale | (422,653) | (356,376) | |||
Proceeds from matured, called, or paid-down securities available for sale | 397,130 | 222,485 | |||
Proceeds from sale of securities available for sale | 0 | 0 | |||
Proceeds from sale of equity investments | 367 | 0 | |||
Proceeds from sales of other loans held for sale previously classified as held for investment | 107,523 | 1,053 | |||
Purchase of loans receivable | (98,271) | 0 | |||
Net change in loans receivable | 48,273 | (585,285) | |||
Proceeds from sales of OREO | 2,150 | 1,567 | |||
Purchase of FHLB stock | 0 | (1,346) | |||
Redemption of FHLB stock | 0 | 3,503 | |||
Purchase of premises and equipment | (2,673) | (3,104) | |||
Proceeds from BOLI death benefits | 576 | 0 | |||
Investments in affordable housing partnerships | (2,854) | (8,403) | |||
Net cash provided by (used in) investing activities | 39,942 | (727,982) | |||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||
Net change in deposits | 392,318 | 1,596,168 | |||
Proceeds from FHLB advances | 1,440,000 | 910,000 | |||
Repayment of FHLB advances | (1,490,000) | (1,035,000) | |||
Purchase of treasury stock | 0 | (36,777) | |||
Cash dividends paid on common stock | (34,557) | (34,670) | |||
Taxes paid in net settlement of restricted stock | (3,157) | (1,113) | |||
Net cash provided by financing activities | 304,604 | 1,398,608 | |||
NET CHANGE IN CASH AND CASH EQUIVALENTS | 486,378 | 770,382 | |||
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 350,579 | 698,567 | $ 698,567 | ||
CASH AND CASH EQUIVALENTS, END OF PERIOD | $ 836,957 | $ 1,468,949 | 836,957 | 1,468,949 | $ 350,579 |
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION | |||||
Interest paid | 38,048 | 87,445 | |||
Income taxes paid | 35,953 | 1,777 | |||
SUPPLEMENTAL DISCLOSURES OF NON-CASH ACTIVITIES | |||||
Transfer from loans receivable to OREO | 0 | 979 | |||
Transfer from loans receivable to loans held for sale | 180,835 | 1,002 | |||
Transfer from loans held for sale to loans receivable | 0 | 2,384 | |||
Financing Receivable, Accrued Interest, Allowance For Credit Loss | $ 600 | $ 0 |
Hope Bancorp, Inc.
Hope Bancorp, Inc. | 6 Months Ended |
Jun. 30, 2021 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Hope Bancorp, Inc. | Hope Bancorp, Inc.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”). As of June 30, 2021, the Bank operated branches in California, Washington, Texas, Illinois, Alabama, Virginia, New Jersey, and New York, loan production offices in Colorado, Texas, Oregon, Washington, Georgia, Southern California, and Northern California, and a representative office in Seoul, South Korea. The Company 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. |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2021 | |
Basis Of Presentation [Abstract] | |
Basis of Presentation | Basis of Presentation The consolidated financial statements included herein have been prepared without an audit, pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”), except for the Consolidated Statement of Financial Condition as of December 31, 2020 which was from the audited financial statements included in the Company’s 2020 Annual Report on Form 10-K. Certain information and footnote disclosures normally included in annual financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such SEC rules and regulations. The consolidated financial statements include the accounts of Hope Bancorp and its wholly owned subsidiaries, principally Bank of Hope. All intercompany transactions and balances have been eliminated in consolidation. The Company has made all adjustments, that in the opinion of management, are necessary to fairly present the Company’s financial position at June 30, 2021 and December 31, 2020 and the results of operations for the three and six months ended June 30, 2021 and 2020. Certain reclassifications have been made to prior period amounts to conform to the current year presentation. The results of operations for the interim periods are not necessarily indicative of results to be anticipated for the full year. 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 differ significantly from those estimates. The global pandemic resulting from the outbreak of the novel strain of coronavirus (“COVID-19”) has substantially and negatively impacted the United States economy, disrupted global supply chains, considerably lowered equity market valuations, created significant volatility and disruption in financial markets, and materially increased unemployment levels. In addition, the pandemic has resulted in temporary closures of countless businesses and the institution of social distancing and sheltering in place requirements in most states and communities. Although some states have relaxed some of the business closures and other social distancing requirements, the recent rise in COVID-19 cases due to the COVID-19 Delta variant has resulted in states reinstating certain COVID related restrictions. The Company has, and could continue to, experience a material and adverse effect on its business as a result of the impact of the COVID-19 pandemic, and the resulting governmental actions to curtail its spread. It is at least reasonably possible that information which was available to the Company at the date of the financial statements will change in the near term due to the COVID-19 pandemic and that the effect of the change could be material to the financial statements. The extent to which the COVID-19 pandemic will impact the Company’s estimates and assumptions is highly uncertain. These unaudited consolidated financial statements should be read along with the audited consolidated financial statements and accompanying notes included in the Company’s 2020 Annual Report on Form 10-K. |
Earnings Per Share ("EPS")
Earnings Per Share ("EPS") | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Earnings Per Share ("EPS") | 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 earnings. For the three months ended June 30, 2021 and 2020, stock options and restricted share awards of 544,925 and 1,450,408 shares of common stock, respectively, were excluded in computing diluted earnings per common share because they were anti-dilutive. For the six months ended June 30, 2021 and 2020, stock options and restricted shares awards of 775,710 and 737,208 shares of common stock, respectively, were excluded in computing diluted earnings per common share because they were anti-dilutive. The Company previously 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). With the adoption of ASU 2020-06, the if-converted method is required for calculating dilutive EPS for all convertible instruments since the treasury stock method is no longer available. Under the if-converted method, the denominator of the diluted EPS calculation is adjusted to reflect the full number of common shares issuable upon conversion, while the numerator is adjusted to add back after-tax interest expense for the period. For the three and six months ended June 30, 2021 and 2020, 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 based on the Company’s common stock price during the three and six months ended June 30, 2021 and 2020 as the conversion price exceeded the market price of the Company’s stock. The following tables show the computation of basic and diluted EPS for the three and six months ended June 30, 2021 and 2020. Three Months Ended June 30, 2021 2020 Net Income Weighted-Average Shares Earnings Net Income Weighted-Average Shares Earnings (Dollars in thousands, except share and per share data) Basic EPS - common stock $ 53,763 123,592,695 $ 0.44 $ 26,753 123,200,127 $ 0.22 Effect of dilutive securities: Stock options, restricted stock, and ESPP shares 731,193 230,764 Diluted EPS - common stock $ 53,763 124,323,888 $ 0.43 $ 26,753 123,430,891 $ 0.22 Six Months Ended June 30, 2021 2020 Net Income Weighted-Average Shares Earnings Net Income Weighted-Average Shares Earnings (Dollars in thousands, except share and per share data) Basic EPS - common stock $ 97,450 123,459,461 $ 0.79 $ 52,706 123,747,727 $ 0.43 Effect of dilutive securities: Stock options, restricted stock, and ESPP shares 874,766 306,564 Diluted EPS - common stock $ 97,450 124,334,227 $ 0.78 $ 52,706 124,054,291 $ 0.42 |
Equity Investments
Equity Investments | 6 Months Ended |
Jun. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Equity Investments | Equity Investments Equity investments with readily determinable fair values at June 30, 2021 and December 31, 2020, consisted of mutual funds in the amounts of $27.2 million and $27.6 million, respectively, and were included in “Equity investments” on the Consolidated Statements of Financial Condition. The changes in fair value for equity investments with readily determinable fair values for the three and six months ended June 30, 2021 and 2020 were recorded in other noninterest income and fees as summarized in the table below: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Net change in fair value recorded during the period on equity investments with readily determinable fair value $ 77 $ 188 $ (407) $ 542 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 $ 77 $ 188 $ (407) $ 542 At June 30, 2021 and December 31, 2020, 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 June 30, 2021, the total balance of equity investments without readily determinable fair values included in “Equity investments” on the Consolidated Statements of Financial Condition was $31.8 million, consisting of $370 thousand in correspondent bank stock, $1.0 million in Community Development Financial Institutions (“CDFI”) investments, and $30.5 million in Community Reinvestment Act (“CRA”) investments. At December 31, 2020, the total balance of equity investments without readily determinable fair values was $32.1 million, consisting of $370 thousand in correspondent bank stock, $1.0 million in CDFI investments, and $30.7 million in CRA investments. |
Securities Available for Sale
Securities Available for Sale | 6 Months Ended |
Jun. 30, 2021 | |
Debt Securities, Available-for-sale [Abstract] | |
Securities Available for Sale | Securities Available for Sale The following is a summary of securities available for sale as of the dates indicated: At June 30, 2021 Amortized Gross Gross Allowance For Fair (Dollars in thousands) Debt securities: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 858,603 $ 8,362 $ (2,389) $ — $ 864,576 Mortgage-backed securities: Residential 663,223 3,127 (6,148) — 660,202 Commercial 540,908 16,443 (1,738) — 555,613 Asset-backed securities 62,328 102 (61) — 62,369 Corporate securities 23,422 120 (928) — 22,614 Municipal securities 106,125 2,715 (44) — 108,796 Total investment securities available for sale $ 2,254,609 $ 30,869 $ (11,308) $ — $ 2,274,170 At December 31, 2020 Amortized Gross Gross Allowance For Fair (Dollars in thousands) Debt securities: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 990,679 $ 11,482 $ (844) $ — $ 1,001,317 Mortgage-backed securities: Residential 672,667 8,460 (114) — 681,013 Commercial 482,874 25,026 (21) — 507,879 Corporate securities 7,000 15 (881) — 6,134 Municipal securities 86,213 3,058 (3) — 89,268 Total investment securities available for sale $ 2,239,433 $ 48,041 $ (1,863) $ — $ 2,285,611 As of June 30, 2021 and December 31, 2020, 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. During the three and six months ended June 30, 2021 and 2020, the Company had no sales of securities and recognized zero net gains on sales and calls of securities available for sale. At June 30, 2021 and December 31, 2020, $14.4 million and $33.2 million in unrealized gains on securities available for sale net of taxes, respectively, were included in accumulated other comprehensive income. For the three and six months ended June 30, 2021 and 2020, there were no reclassifications out of accumulated other comprehensive income into earnings. The amortized cost and estimated fair value of investment securities at June 30, 2021, by contractual maturity, is presented in the table below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations, with or without call or prepayment penalties. Collateralized mortgage obligations, mortgage-backed securities, and asset-backed securities are not due at a single maturity date and their total balances are shown separately. Amortized Estimated (Dollars in thousands) Available for sale: Due within one year $ 350 $ 351 Due after one year through five years — — Due after five years through ten years 37,825 38,270 Due after ten years 91,372 92,789 U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations 858,603 864,576 Mortgage-backed securities: Residential 663,223 660,202 Commercial 540,908 555,613 Asset-backed securities 62,328 62,369 Total $ 2,254,609 $ 2,274,170 Securities with carrying values of approximately $354.8 million and $376.1 million at June 30, 2021 and December 31, 2020, 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. As of June 30, 2021 Less than 12 months 12 months or longer Total Description of Number Fair Gross Number Fair Gross Number Fair Gross (Dollars in thousands) Collateralized mortgage obligations* 20 $ 421,753 $ (2,389) 1 $ 4 $ — 21 $ 421,757 $ (2,389) Mortgage-backed securities: Residential* 47 503,686 (6,148) — — — 47 503,686 (6,148) Commercial* 11 115,974 (1,738) — — — 11 115,974 (1,738) Asset-backed securities 4 29,000 (61) — — — 4 29,000 (61) Corporate securities 2 7,219 (203) 1 4,275 (725) 3 11,494 (928) Municipal securities 5 4,704 (44) — — — 5 4,704 (44) Total 89 $ 1,082,336 $ (10,583) 2 $ 4,279 $ (725) 91 $ 1,086,615 $ (11,308) __________________________________ * Investments in U.S. Government agency and U.S. Government sponsored enterprises As of December 31, 2020 Less than 12 months 12 months or longer Total Description of Number Fair Gross Number Fair Gross Number Fair Gross (Dollars in thousands) Collateralized mortgage obligations* 22 $ 312,757 $ (844) — $ — $ — 22 $ 312,757 $ (844) Mortgage-backed securities: Residential* 8 46,094 (114) — — — 8 46,094 (114) Commercial* 1 10,275 (21) — — — 1 10,275 (21) Corporate securities — — — 1 4,119 (881) 1 4,119 (881) Municipal securities 1 997 (3) — — — 1 997 (3) Total 32 $ 370,123 $ (982) 1 $ 4,119 $ (881) 33 $ 374,242 $ (1,863) __________________________________ * Investments in U.S. Government agency and U.S. Government sponsored enterprises The Company had one CMO and one corporate security that were in a continuous unrealized loss position for twelve months or longer with fair values of $4 thousand and $4.3 million, respectively as of June 30, 2021. With the adoption of CECL, the length of time that the fair value of investment securities have been less than amortized cost is not considered when assessing for credit impairment. With the adoption of ASU 2016-13 on January 1, 2020, the CECL methodology replaced the other-than-temporary impairment model that previou sly existed. The Company did not have a day 1 allowance impact attributable to its investment securities portfolio and did not have an allowance for credit losses as of June 30, 2021 and December 31, 2020. The Company has elected to exclude accrued interest from the amortized cost of its investment securities available for sale. Accrued interest receivable for investment securities available for sale at June 30, 2021 and December 31, 2020 totaled $4.7 million. The Company evaluates securities in unrealized loss position for impairment related to credit losses on at least a quarterly basis. Securities in unrealized loss positions are first assessed as to whether we intend to sell, or if it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis. If one of the criteria is met, the security’s amortized cost basis is written down to fair value through current earnings. For securities that do not meet these criteria, the Company evaluates whether the decline in fair value resulted from credit losses or other factors. In evaluating whether a credit loss exists, the Company has set up an initial filter for impairment triggers. Once the quantitative filters have been triggered, the securities are placed on a watch list and an additional assessment is performed to identify whether a credit impairment exists. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security and the issuer, among other factors. If this assessment indicates that a credit loss exists, we compare the present value of cash flows expected to be collected from the security with the amortized cost basis. If the present value of cash flows expected to be collected is less than the amortized cost basis for the security, a credit loss exists and an allowance for credit losses is recorded, limited to the amount that the fair value of the security is less than its amortized cost basis. Unrealized losses that have not been recorded through an allowance for credit losses is recognized in other comprehensive income, net of applicable taxes. No allowance for credit losses for available for sale securities was recorded at June 30, 2021. Approximately 91% of the Company’s investment portfolio at June 30, 2021 consisted of securities that were issued by U.S. Government agency and U.S. Government sponsored enterprises. Although a government guarantee exists on these investments, these entities are not legally backed by the full faith and credit of the federal government, and the current support they receive is subject to a cap as part of the agreement entered into in 2008. Nonetheless, at this time we do not foresee any set of circumstances in which the government would not fund its commitments on these investments as the issuers are an integral part of the U.S. housing market in providing liquidity and stability. Therefore, we concluded that a zero allowance approach for these investment securities is appropriate. The Company had also had four asset-backed security, three corporate securities, and five municipal bonds in unrealized loss positions at June 30, 2021. The Company performed an assessment of investment securities in unrealized loss positions for credit impairment and concluded that no allowance for credit losses was required at June 30, 2021. |
Loans Receivable and Allowance
Loans Receivable and Allowance for Credit Losses | 6 Months Ended |
Jun. 30, 2021 | |
Receivables [Abstract] | |
Loans Receivable and Allowance for Credit Losses | Loans Receivable and Allowance for Credit Losses The following is a summary of loans receivable by major category: June 30, 2021 December 31, 2020 Loan portfolio composition (Dollars in thousands) Real estate loans: Residential $ 61,360 $ 54,795 Commercial 8,518,115 8,425,959 Construction 252,801 291,380 Total real estate loans 8,832,276 8,772,134 Commercial business * 4,001,423 4,157,787 Residential mortgage 543,622 582,232 Consumer and other 46,980 51,060 Loans receivable 13,424,301 13,563,213 Allowance for credit losses (189,452) (206,741) Loans receivable, net of allowance for credit losses $ 13,234,849 $ 13,356,472 __________________________________ * Commercial business loans as of June 30, 2021 and December 31, 2020 include $568.8 million and $452.7 million, respectively, in SBA Paycheck Protection Program loans Loans receivable is stated at the amount of unpaid principal, adjusted for net deferred fees and costs, premiums and discounts, purchase accounting fair value adjustments, and allowance for credit losses. The Company had net deferred fees of $12.6 million and net deferred costs of $3.6 million at June 30, 2021 and December 31, 2020, respectively. Net loan fees related to SBA Paycheck Protection Program (“PPP”) loans totaled $15.7 million at June 30, 2021 compared to $6.4 million at December 31, 2020 and included fees from the origination of SBA PPP loans net of deferred origination costs. The increase in deferred fees for SBA PPP loans was primarily due to the origination of $324.5 million in second round SBA PPP loans during the six months ended June 30, 2021. The loan portfolio consists of four segments: real estate, commercial business, residential mortgage, and consumer and other loans. 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, international trade finance activities, and other business related financing needs and also include warehouse lines of credit and SBA PPP loans. Residential mortgage loans are extended for personal, family, or household use and are secured by a mortgage or deed of trust. Consumer and other loans consist of home equity, credit card, and other personal loans. Loans receivable declined $138.9 million from December 31, 2020 to $13.42 billion as of June 30, 2021. The decline in loans receivable during the six months ended June 30, 2021 was due a $283.0 million decline in warehouse lines of credit, $193.5 million in SBA PPP forgiveness, the return to the sale of SBA guaranteed loans totaling $30.0 million during the second quarter of 2021, and the second quarter of 2021 sale of $119.3 million in hotel/motel loans, most of which were classified as criticized loans. These declines were partially offset by an increase in commercial real estate loans which saw an increase in 2021 loan originations and the purchase of $98.3 million in residential mortgage loans during the second quarter of 2021. The tables below details the activity in the allowance for credit losses by portfolio segment for the three and six months ended June 30, 2021 and 2020. Charge offs for the three and six months ended June 30, 2021 included $11.8 million in real estate loan charge offs that resulted from the sale of $119.3 million in hotel/motel loans with elevated credit risk, there were no such sales for the three and six ended June 30, 2020. Accrued interest receivables on loans totaled $47.1 million at June 30, 2021 and $54.6 million at December 31, 2020. The Company set aside an allowance on loan accrued interest receivables of $751 thousand at June 30, 2021 and $1.0 million at December 31, 2020. Real Estate Commercial Business Residential Mortgage Consumer and Other Total (Dollars in thousands) Three Months Ended June 30, 2021 Balance, beginning of period $ 162,307 $ 41,860 $ 2,735 $ 1,041 $ 207,943 Provision (credit) for credit losses 4,227 (12,179) 877 75 (7,000) Loans charged off (12,172) (572) — (48) (12,792) Recoveries of charge offs 891 391 — 19 1,301 Balance, end of period $ 155,253 $ 29,500 $ 3,612 $ 1,087 $ 189,452 Six Months Ended June 30, 2021 Balance, beginning of period $ 162,196 $ 39,155 $ 4,227 $ 1,163 $ 206,741 Provision (credit) for credit losses 6,572 (9,554) (615) (103) (3,700) Loans charged off (14,990) (1,182) — (141) (16,313) Recoveries of charge offs 1,475 1,081 — 168 2,724 Balance, end of period $ 155,253 $ 29,500 $ 3,612 $ 1,087 $ 189,452 Real Estate Commercial Business Residential Mortgage Consumer and Other Total (Dollars in thousands) Three Months Ended June 30, 2020 Balance, beginning of period $ 94,645 $ 42,883 $ 5,779 $ 1,616 $ 144,923 Provision (credit) for credit losses 24,534 (7,151) 89 28 17,500 Loans charged off (174) (459) — (271) (904) Recoveries of charge offs 25 220 — 7 252 Balance, end of period $ 119,030 $ 35,493 $ 5,868 $ 1,380 $ 161,771 Six Months Ended June 30, 2020 Balance, beginning of period $ 53,593 $ 33,032 $ 5,925 $ 1,594 $ 94,144 CECL day 1 adoption 27,791 (1,022) (543) (26) 26,200 Provision for credit losses 40,025 4,398 486 591 45,500 Loans charged off (2,571) (3,494) — (796) (6,861) Recoveries of charge offs 192 2,579 — 17 2,788 Balance, end of period $ 119,030 $ 35,493 $ 5,868 $ 1,380 $ 161,771 The following tables break out the allowance for credit losses and loan balance by measurement methodology at June 30, 2021 and December 31, 2020: June 30, 2021 Real Estate Commercial Business Residential Mortgage Consumer and Other Total (Dollars in thousands) Allowance for credit losses: Individually evaluated $ 27,226 $ 3,325 $ 15 $ 26 $ 30,592 Collectively evaluated 128,027 26,175 3,597 1,061 158,860 Total $ 155,253 $ 29,500 $ 3,612 $ 1,087 $ 189,452 Loans outstanding: Individually evaluated $ 138,368 $ 20,978 $ 3,053 $ 236 $ 162,635 Collectively evaluated 8,693,908 3,980,445 540,569 46,744 13,261,666 Total $ 8,832,276 $ 4,001,423 $ 543,622 $ 46,980 $ 13,424,301 December 31, 2020 Real Estate Commercial Business Residential Mortgage Consumer and Other Total (Dollars in thousands) Allowance for credit losses: Individually evaluated $ 3,683 $ 3,575 $ 25 $ 42 $ 7,325 Collectively evaluated 158,513 35,580 4,202 1,121 199,416 Total $ 162,196 $ 39,155 $ 4,227 $ 1,163 $ 206,741 Loans outstanding: Individually evaluated $ 93,476 $ 25,706 $ 3,416 $ 605 $ 123,203 Collectively evaluated 8,678,658 4,132,081 578,816 50,455 13,440,010 Total $ 8,772,134 $ 4,157,787 $ 582,232 $ 51,060 $ 13,563,213 As of June 30, 2021 and December 31, 2020, reserves for unfunded loan commitments recorded in other liabilities were $1.4 million and $1.3 million, respectively. For the three and six months ended June 30, 2021, the Company recorded additions to reserves for unfunded commitments recorded in credit related expenses totaling $0 and $105 thousand, respectively. For the three and six months ended June 30, 2020, the Company recorded additions to reserves for unfunded commitments recorded in credit related expenses totaling to $50 thousand and $660 thousand, respectively. 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 conditions have 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 does not recognize interest income while loans are on nonaccrual status. The tables below represent the recorded investment of nonaccrual loans and loans past due 90 or more days and still on accrual status by class of loans and broken out by loans with a recorded ACL and those without a recorded ACL as of June 30, 2021 and December 31, 2020. June 30, 2021 Nonaccrual with No ACL Nonaccrual with an ACL Total Nonaccrual (1) Accruing Loans Past Due 90 or More Days (Dollars in thousands) Real estate – residential $ — $ — $ — $ — Real estate – commercial Retail 10,463 34,100 44,563 — Hotel & motel 13,654 5,428 19,082 3,776 Gas station & car wash 575 1,303 1,878 — Mixed use 9,754 1,610 11,364 — Industrial & warehouse 2,105 2,332 4,437 — Other 1,791 5,083 6,874 — Real estate – construction 7,424 — 7,424 — Commercial business 5,035 7,182 12,217 26 Residential mortgage 1,440 1,612 3,052 872 Consumer and other — 117 117 85 Total $ 52,241 $ 58,767 $ 111,008 $ 4,759 December 31, 2020 Nonaccrual with No ACL Nonaccrual with an ACL Total Nonaccrual (1) Accruing Loans Past Due 90 or More Days (Dollars in thousands) Real estate – residential $ — $ — $ — $ — Real estate – commercial Retail 3,262 8,530 11,792 478 Hotel & motel 15,311 2,195 17,506 — Gas station & car wash 151 1,493 1,644 — Mixed use 1,883 788 2,671 — Industrial & warehouse 5,443 1,022 6,465 — Other 7,230 1,419 8,649 — Real estate – construction — 18,723 18,723 — Commercial business 5,319 8,592 13,911 — Residential mortgage 1,440 1,976 3,416 — Consumer and other — 461 461 136 Total $ 40,039 $ 45,199 $ 85,238 $ 614 __________________________________ (1) Total nonaccrual loans exclude the guaranteed portion of SBA loans that are in liquidation totaling $23.6 million and $26.5 million, at June 30, 2021 and December 31, 2020, respectively. The following table presents the amortized cost basis of collateral-dependent loans as of June 30, 2021 and December 31, 2020: June 30, 2021 Real Estate Collateral Other Collateral Total (Dollars in thousands) Real estate – residential $ — $ — $ — Real estate – commercial 97,184 — 97,184 Real estate – construction 7,424 — 7,424 Commercial business 7,518 6,560 14,078 Residential mortgage 1,439 — 1,439 Consumer and other — — — Total $ 113,565 $ 6,560 $ 120,125 December 31, 2020 Real Estate Collateral Other Collateral Total (Dollars in thousands) Real estate – residential $ — $ — $ — Real estate – commercial 55,945 — 55,945 Real estate – construction 8,122 — 8,122 Commercial business 7,818 6,312 14,130 Residential mortgage 1,440 — 1,440 Consumer and other 15 — 15 Total $ 73,340 $ 6,312 $ 79,652 Interest income reversals due to loans being placed on nonaccrual status was $750 thousand and $319 thousand for the three months ended June 30, 2021 and 2020, respectively. Nonaccrual interest income reversals for the six months ended June 30, 2021 and 2020 were $1.7 million and $356 thousand, respectively. The following table presents 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 June 30, 2021 and December 31, 2020 by class of loans: As of June 30, 2021 As of December 31, 2020 30-59 Days 60-89 Days 90 or More Days Total 30-59 Days 60-89 Days 90 or More Days Total (Dollars in thousands) Real estate – residential $ — $ — $ — $ — $ — $ — $ — $ — Real estate – commercial Retail 788 8,148 10,852 19,788 852 8,141 10,276 19,269 Hotel & motel 2,487 2,808 16,373 21,668 62 1,401 14,744 16,207 Gas station & car wash 292 411 443 1,146 619 2,668 563 3,850 Mixed use 2,547 13,921 295 16,763 116 — 1,269 1,385 Industrial & warehouse 8,211 154 2,611 10,976 137 — 3,830 3,967 Other 2,149 42 2,913 5,104 2,738 545 3,000 6,283 Real estate – construction — — 7,424 7,424 8,122 — — 8,122 Commercial business 431 4,209 5,545 10,185 816 3,683 4,700 9,199 Residential mortgage 6,359 540 2,702 9,601 4,841 — 2,263 7,104 Consumer and other 45 24 202 271 797 21 595 1,413 Total Past Due $ 23,309 $ 30,257 $ 49,360 $ 102,926 $ 19,100 $ 16,459 $ 41,240 $ 76,799 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. Homogeneous loans (i.e., home mortgage loans, home equity lines of credit, overdraft loans, express business loans, and automobile 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 definitions for risk ratings are as follows: • Pass: Loans that meet a preponderance or more of the Company’s underwriting criteria and evidence an acceptable level of risk. • Special Mention: Loans that have potential weaknesses that deserve 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 that 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 Company will sustain some loss if the deficiencies are not corrected. • Doubtful: Loans that 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. During the second quarter of 2021, the Company completed the sale of $119.3 million in hotel/motel loans. The sale consisted of loans with elevated credit risk or were likely to exhibit credit issues in the future. Of the $119.3 million in commercial real estate loans sold, $68.4 million were rated special mention and $33.6 million were rated substandard prior to being sold. The loans were sold at a 9.9% discount to amortized cost. The Company charged off $11.8 million during the second quarter of 2021 as a result of the note sale, all of which was reserved for in prior quarters. The following table presents the amortized cost basis of loans receivable by class, credit quality indicator, and year of origination as of June 30, 2021 and December 31, 2020. As of June 30, 2021 Term Loan by Origination Year Revolving Loans Total 2021 2020 2019 2018 2017 Prior (Dollars in thousands) Real Estate - Residential Pass / not rated $ 12,995 $ 14,311 $ 13,556 $ 5,547 $ 3,831 $ 10,098 $ 658 $ 60,996 Special mention — — — — — — 228 228 Substandard — — — 136 — — — 136 Doubtful / loss — — — — — — — — Subtotal $ 12,995 $ 14,311 $ 13,556 $ 5,683 $ 3,831 $ 10,098 $ 886 $ 61,360 Real Estate - Commercial Pass / not rated $ 1,073,045 $ 1,485,549 $ 1,340,161 $ 1,375,076 $ 1,055,030 $ 1,544,353 $ 106,716 $ 7,979,930 Special mention 4,223 5,706 48,552 29,215 40,713 71,144 11,978 211,531 Substandard 6,508 552 17,395 26,725 52,497 220,280 2,697 326,654 Doubtful / loss — — — — — — — — Subtotal $ 1,083,776 $ 1,491,807 $ 1,406,108 $ 1,431,016 $ 1,148,240 $ 1,835,777 $ 121,391 $ 8,518,115 Real Estate - Construction Pass / not rated $ 841 $ 47,025 $ 44,574 $ 39,298 $ 27,652 $ 21,200 $ 8,457 $ 189,047 Special mention — — — 45,989 4,428 5,913 — 56,330 Substandard — — — — — 7,424 — 7,424 Doubtful / loss — — — — — — — — Subtotal $ 841 $ 47,025 $ 44,574 $ 85,287 $ 32,080 $ 34,537 $ 8,457 $ 252,801 Commercial Business Pass / not rated $ 889,734 $ 866,932 $ 516,793 $ 147,361 $ 112,324 $ 100,388 $ 1,297,976 $ 3,931,508 Special mention 1,191 415 3,943 13,581 212 5,466 1,662 26,470 Substandard 1,457 8,552 1,856 2,114 12,840 7,860 8,766 43,445 Doubtful / loss — — — — — — — — Subtotal $ 892,382 $ 875,899 $ 522,592 $ 163,056 $ 125,376 $ 113,714 $ 1,308,404 $ 4,001,423 Residential Mortgage Pass / not rated $ 116,677 $ 4,764 $ 56,940 $ 166,777 $ 123,595 $ 71,816 $ — $ 540,569 Special mention — — — — — — — — Substandard — — 128 200 541 2,184 — 3,053 Doubtful / loss — — — — — — — — Subtotal $ 116,677 $ 4,764 $ 57,068 $ 166,977 $ 124,136 $ 74,000 $ — $ 543,622 Consumer and Other Pass / not rated $ 2,784 $ 5,994 $ 2,243 $ 1,937 $ 2,114 $ 7,611 $ 24,054 $ 46,737 Special mention — — — — — — — — Substandard — — — — — 243 — 243 Doubtful / loss — — — — — — — — Subtotal $ 2,784 $ 5,994 $ 2,243 $ 1,937 $ 2,114 $ 7,854 $ 24,054 $ 46,980 Total Loans Pass / not rated $ 2,096,076 $ 2,424,575 $ 1,974,267 $ 1,735,996 $ 1,324,546 $ 1,755,466 $ 1,437,861 $ 12,748,787 Special mention 5,414 6,121 52,495 88,785 45,353 82,523 13,868 294,559 Substandard 7,965 9,104 19,379 29,175 65,878 237,991 11,463 380,955 Doubtful / loss — — — — — — — — Total $ 2,109,455 $ 2,439,800 $ 2,046,141 $ 1,853,956 $ 1,435,777 $ 2,075,980 $ 1,463,192 $ 13,424,301 December 31, 2020 Term Loan by Origination Year Revolving Loans Total 2020 2019 2018 2017 2016 Prior (Dollars in thousands) Real Estate - Residential Pass / not rated $ 15,158 $ 13,924 $ 7,587 $ 4,316 $ 6,800 $ 3,460 $ 3,104 $ 54,349 Special mention — — — — — — 227 227 Substandard — — 139 — — 80 — 219 Doubtful / loss — — — — — — — — Subtotal $ 15,158 $ 13,924 $ 7,726 $ 4,316 $ 6,800 $ 3,540 $ 3,331 $ 54,795 Real Estate - Commercial Pass / not rated $ 1,548,595 $ 1,554,980 $ 1,533,802 $ 1,240,973 $ 767,318 $ 1,262,125 $ 130,595 $ 8,038,388 Special mention — 2,805 24,569 10,694 8,031 32,048 1,600 79,747 Substandard 126 14,233 28,938 37,174 50,371 173,788 3,194 307,824 Doubtful / loss — — — — — — — — Subtotal $ 1,548,721 $ 1,572,018 $ 1,587,309 $ 1,288,841 $ 825,720 $ 1,467,961 $ 135,389 $ 8,425,959 Real Estate - Construction Pass / not rated $ 35,743 $ 45,290 $ 103,794 $ 60,996 $ 5,740 $ 10,099 $ — $ 261,662 Special mention — — — — 5,771 5,224 — 10,995 Substandard — — — 10,601 — 8,122 — 18,723 Doubtful / loss — — — — — — — — Subtotal $ 35,743 $ 45,290 $ 103,794 $ 71,597 $ 11,511 $ 23,445 $ — $ 291,380 Commercial Business Pass / not rated $ 1,294,368 $ 584,453 $ 224,447 $ 117,708 $ 77,209 $ 43,674 $ 1,686,428 $ 4,028,287 Special mention 5,996 27,693 30,852 14,629 6,388 3,139 5,172 93,869 Substandard 2,430 1,323 5,539 4,394 6,158 5,463 10,323 35,630 Doubtful / loss — — 1 — — — — 1 Subtotal $ 1,302,794 $ 613,469 $ 260,839 $ 136,731 $ 89,755 $ 52,276 $ 1,701,923 $ 4,157,787 Residential Mortgage Pass / not rated $ 5,733 $ 90,958 $ 217,343 $ 168,827 $ 55,246 $ 40,554 $ — $ 578,661 Special mention — — — — — — — — Substandard — 122 536 561 1,715 637 — 3,571 Doubtful / loss — — — — — — — — Subtotal $ 5,733 $ 91,080 $ 217,879 $ 169,388 $ 56,961 $ 41,191 $ — $ 582,232 Consumer and Other Pass / not rated $ 8,309 $ 2,463 $ 1,818 $ 2,321 $ 4,756 $ 2,811 $ 27,890 $ 50,368 Special mention — — — 103 — — — 103 Substandard — — — — 55 532 2 589 Doubtful / loss — — — — — — — — Subtotal $ 8,309 $ 2,463 $ 1,818 $ 2,424 $ 4,811 $ 3,343 $ 27,892 $ 51,060 Total Loans Pass / not rated $ 2,907,906 $ 2,292,068 $ 2,088,791 $ 1,595,141 $ 917,069 $ 1,362,723 $ 1,848,017 $ 13,011,715 Special mention 5,996 30,498 55,421 25,426 20,190 40,411 6,999 184,941 Substandard 2,556 15,678 35,152 52,730 58,299 188,622 13,519 366,556 Doubtful / loss — — 1 — — — — 1 Total $ 2,916,458 $ 2,338,244 $ 2,179,365 $ 1,673,297 $ 995,558 $ 1,591,756 $ 1,868,535 $ 13,563,213 For the three and six months ended June 30, 2021 and the twelve months ended December 31, 2020, there were no revolving loans converted to term loans. 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 carried 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 three and six months ended June 30, 2021 and 2020 is presented in the following table: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Transfer of loans held for investment to held for sale (Dollars in thousands) Real estate - commercial $ 171,175 $ — $ 171,175 $ — Commercial business 9,660 — 9,660 — Residential mortgage — — — 1,002 Total $ 180,835 $ — $ 180,835 $ 1,002 On January 1, 2020 the Company adopted ASU 2016-13, “Measurement of Credit Losses on Financial Instruments”, or CECL. The Company calculates its ACL by estimating expected credit losses on a collective basis for loans that share similar risk characteristics. Loans that do not share similar risk characteristics with other loans are evaluated for credit losses on an individual basis. The Company uses a combination of a modeled and non-modeled approach that incorporates current and future economic conditions to estimate lifetime expected losses on a collective basis. The Company uses Probability of Default (“PD”), Loss Given Default (“LGD”), and Exposure at Default (“EAD”) methodologies with quantitative factors and qualitative considerations in calculation of the allowance for credit losses for collectively assessed loans. The Company uses a reasonable and supportable period of 2 years at which point loss assumptions revert back to historical loss information by means of 1 year reversion period. The ACL for the Company’s construction, credit card, and certain consumer loans is calculated based on a non-modeled approach utilizing historical loss rates to estimate losses. A non-modeled approach was chosen for these loans as fewer data points exist which could result in high levels of estimated loss volatility under a modeled approach. In aggregate, non-modeled loans represented less than 3% of the Company’s total loan portfolio as of June 30, 2021. The Company’s Economic Forecast Committee (“EFC”) reviews economic forecast scenarios that are incorporated in the Company’s ACL. The EFC reviews multiple scenarios provided to the Company by an independent third party and chooses a single scenario that best aligns with management’s expectation of future economic conditions. The forecast scenario contains certain macroeconomic variables that are incorporated into the Company’s modeling process, including GDP, unemployment rates, interest rates, and commercial real estate prices. As of June 30, 2021, the Company chose a forecast scenario that incorporates the effect of the COVID-19 pandemic and the expected economic recovery into estimates of future economic conditions. The forecast improved considerably compared to forecasts used during the first quarter of 2021 with an increase in projected GDP growth and a large increase in projected commercial real estate prices combined with a reduction in unemployment, particularly for periods in 2021 and 2022. The forecast improvement reflect the current and projected effects of government stimulus packages, ongoing COVID-19 vaccinations, and the reopening of many businesses throughout the United States. 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 modeled and non-modeled estimated loss approaches. 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 Bank to qualitatively adjust the Loss Migration Ratio by as much as 25 basis points for each loan type pool. This matrix considers the following seven 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, updated to reflect the adoption of CECL: • Changes in lending policies and procedures, including underwriting standards and collection, charge off, and recovery practices; • 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 loan review system and the degree of oversight by the Directors; • The existence and effect of any concentrations of credit and changes in the level of such concentrations; and • The effect of external factors, such as competition, legal requirements, and regulatory requirements on the level of estimated losses in the loan portfolio. For loans which do not share similar risk characteristics such as nonaccrual and TDR loans above $500 thousand, the Company evaluates these loans on an individual basis in accordance with ASC 326. These nonaccrual and TDR loans are considered to have different risk profiles than performing loans and therefore are evaluated separately. The Company decided to collectively assess TDRs and nonaccrual loans with balances below $500 thousand along with the performing and accrual loans in order to reduce the operational burden of individually assessing small TDR and nonaccrual loans with immaterial balances. For individually assessed loans, the ACL is measured using either 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 loans, the Company obtains a new appraisal to determine the fair value of collateral. 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 amortized balance of the loan, the Company recognizes an ACL with a corresponding charge to the provision for credit losses. The Company maintains a separate ACL for its off-balance sheet unfunded loan commitments. The Company uses a funding rate to allocate the allowance to undrawn exposures. This funding rate is used as a credit conversion factor to capture how much undrawn lines of credit can potentially become drawn at any point. The funding rate is determined based on a lookback period of 8 quarters. Credit loss is not estimated for off-balance sheet credit exposures that are unconditionally cancellable by the Company. The following tables present a breakdown of loans by recorded ACL, broken out by loans evaluated individually and collectively at June 30, 2021 and December 31, 2020: As of June 30, 2021 Real Estate – Real Estate – Real Estate – Commercial Residential Consumer Total (Dollars in thousands) Individually evaluated loans $ — $ 130,944 $ 7,424 $ 20,978 $ 3,053 $ 236 $ 162,635 ACL on individually evaluated loans $ — $ 27,226 $ — $ 3,325 $ 15 $ 26 $ 30,592 Individually evaluated loans ACL coverage N/A 20.79 % N/A 15.85 % 0.49 % 11.02 % 18.81 % Collectively evaluated loans $ 61,360 $ 8,387,171 $ 245,377 $ 3,980,445 $ 540,569 $ 46,744 $ 13,261,666 ACL on collectively evaluated loans $ 330 $ 126,040 $ 1,657 $ 26,175 $ 3,597 $ 1,061 $ 158,860 Collectively evaluated loans ACL coverage 0.54 % 1.50 % 0.68 % 0.66 % 0.67 % 2.27 % 1.20 % Total loans $ 61,360 $ 8,518,115 $ 252,801 $ 4,001,423 $ 543,622 $ 46,980 $ 13,424,301 Total ACL $ 330 $ 153,266 $ 1,657 $ 29,500 $ 3,612 $ 1,087 $ 189,452 Total ACL to total loans 0.54 % 1.80 % 0.66 % 0.74 % 0.66 % 2.31 % 1.41 % As of December 31, 2020 Real Estate – Real Estate – Real Estate – Commercial Residential Consumer Total (Dollars in thousands) Individually evaluated loans $ — $ 74,753 $ 18,723 $ 25,706 $ 3,416 $ 605 $ 123,203 ACL on individually evaluated loans $ — $ 2,862 $ 821 $ 3,575 $ 25 $ 42 $ 7,325 Individually evaluated loans ACL coverage N/A 3.83 % 4.38 % 13.91 % 0.73 % 6.94 % 5.95 % Collectively evaluated loans $ 54,795 $ 8,351,206 $ 272,657 $ 4,132,081 $ 578,816 $ 50,455 $ 13,440,010 ACL on collectively evaluated loans $ 391 $ 156,665 $ 1,457 $ 35,580 $ 4,202 $ 1,121 $ 199,416 Collectively evaluated loans ACL coverage 0.71 % 1.88 % 0.53 % 0.86 % 0.73 % 2.22 % 1.48 % Total loans $ 54,795 $ 8,425,959 $ 291,380 $ 4,157,787 $ 582,232 $ 51,060 $ 13,563,213 Total ACL $ 391 $ 159,527 $ 2,278 $ 39,155 $ 4,227 $ 1,163 $ 206,741 Total ACL to total loans 0.71 % 1.89 % 0.78 % 0.94 % 0.73 % 2.28 % 1.52 % 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 six TDR loans are individually evaluated in accordance with ASC 310 and ASC 326. 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 on their debt in the foreseeable future without the modification. This evaluation is performed under the Bank’s internal underwriting policy. At June 30, 2021, total TDR loans were $88.5 million, compared to $51.6 million at December 31, 2020. The balance of loans with modified terms due to COVID-19 as of June 30, 2021 totaled $318.7 million. The majority of these loans were modified in accordance with Section 4013 of the CARES Act. The CARES Act provides banks the option to temporarily suspend certain requirements under U.S. GAAP related to TDR for a limited period of time to account for the effects of COVID-19 if (i) the loan modification is made between March 1, 2020 and the earlier of January 1, 2022 or 60 days after the end of the coronavirus emergency declaration and (ii) the applicable loan was not more than 30 days past due as of December 31, 2019. As such, all modified loans that met the criteria outlined within Section 4013 of the CARES Act were not classified as TDR loans as of June 30, 2021 and December 31, 2020, unless the loans were TDR prior to the COVID-19 modification or borrowers were identified to be experiencing financial difficulty prior to the COVID-19 pandemic. As of June 30, 2021, real estate loans accounted for approximately 85% of the loans modified due to hardship from the COVID-19 pandemic. The modifications consisted of full payment deferrals, interest only payments, and a hybrid of full payment deferrals for a period of time followed by interest only payments. The modifications were granted mostly for periods from 3 to 9 months (see “COVID-19 Related Loan Modifications” in the Financial Condition section of the Management’s Discussion and Analysis of Financial Condition and Results of Operations for more information). A summary of the recorded investment of TDR loans on accrual and nonaccrual status by type of concession as of June 30, 2021 and December 31, 2020 is presented below: As of June 30, 2021 TDR Loans on Accrual Status TDR Loans on Nonaccrual Status Total TDRs Real Estate Commercial Business Residential Mortgage Other Real Estate Commercial Business Residential Mortgage Other (Dollars in thousands) Payment concession $ 17,305 $ 808 $ — $ 58 $ 8,357 $ 523 $ — $ — $ 27,051 Maturity / amortization concession 19,996 7,380 — 133 22,889 3,404 — 117 53,919 Rate concession 5,303 377 — — 398 1,422 — — 7,500 Total $ 42,604 $ 8,565 $ — $ 191 $ 31,644 $ 5,349 $ — $ 117 $ 88,470 As of December 31, 2020 TDR Loans on Accrual Status TDR Loans on Nonaccrual Status Total Real Estate Commercial Business Residential Mortgage Other Real Estate Commercial Business Residential Mortgage Other (Dollars in thousands) Payment concession $ 8,328 $ 814 $ — $ 58 $ 7,074 $ 471 $ — $ — $ 16,745 Maturity / amortization concession 11,331 10,219 — 114 925 3,814 — 117 26,520 Rate concession 6,112 378 — — 424 1,430 — — 8,344 Total $ 25,771 $ 11,411 $ — $ 172 $ 8,423 $ 5,715 $ — $ 117 $ 51,609 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 restr |
Leases
Leases | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Leases | Leases The Company’s operating leases are real estate leases which are comprised of bank branch locations, loan production offices, and office spaces with remaining lease terms ranging from 1 to 10 years as of June 30, 2021. 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. At June 30, 2021, ROU assets and related liabilities were $47.8 million and $52.2 million, respectively. At December 31, 2020, ROU assets and related liabilities were $47.7 million and $52.0 million, respectively. At June 30, 2021, the short term operating lease liability totaled $12.7 million and the long-term operating lease liability totaled $39.5 million. The Company defines short-term operating lease liabilities as liabilities due in twelve months or less and long term lease liabilities are defined as liabilities that are due in more than twelve months at the end of each reporting period. The Company did not have any finance leases at June 30, 2021. During the six months ended June 30, 2021, the Company extended nine leases and entered into no new lease contracts. Lease extension terms ranged from three Operating lease 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. 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 can also include rent escalations based on changes to indices, such as the Consumer Price Index, where the Company estimates future rent increases and records the actual difference to variable costs. 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 table below summarizes the Company’s net lease cost: Three Months Ended June 30, For the Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Operating lease cost $ 3,891 $ 3,879 $ 7,720 $ 7,824 Short term lease cost — — — — Variable lease cost 747 772 1,501 3,397 Sublease income (99) (214) (252) (426) Net lease cost $ 4,539 $ 4,437 $ 8,969 $ 10,795 Rent expense for the three and six months ended June 30, 2021 was $4.5 million and $9.0 million, respectively. Rent expense for the three and six months ended June 30, 2020 was $4.5 million and $9.1 million, respectively. The table below summarizes other information related to the Company’s operating leases: At or for the Six Months Ended At or for the Six Months Ended (Dollars in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows for operating leases $ 7,428 $ 7,392 Right-of-use assets obtained in exchange for lease liabilities, net — 1,541 Weighted-average remaining lease term - operating leases 5.2 years 5.5 years Weighted-average discount rate - operating leases 2.69 % 3.01 % The table below summarizes the maturity of remaining lease liabilities: June 30, 2021 (Dollars in thousands) 2021 $ 7,277 2022 11,312 2023 9,613 2024 8,684 2025 7,319 2026 and thereafter 11,971 Total lease payments 56,176 Less: imputed interest 3,999 Total lease obligations $ 52,177 As of June 30, 2021, the Company did not have any additional operating lease commitments that have not yet commenced. |
Deposits
Deposits | 6 Months Ended |
Jun. 30, 2021 | |
Deposits [Abstract] | |
Deposits | Deposits The aggregate amounts of time deposits in denominations of more than $250 thousand at June 30, 2021 and December 31, 2020, was $1.58 billion and $1.85 billion, respectively. Included in time deposits of more than $250 thousand were $300.0 million in California State Treasurer’s deposits at June 30, 2021 and December 31, 2020. 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 June 30, 2021 and December 31, 2020, securities with fair values of approximately $350.7 million and $368.2 million, respectively, were pledged as collateral for the California State Treasurer’s deposit. The Company also utilizes brokered deposits as a secondary source of funds. Total brokered deposits at June 30, 2021 and December 31, 2020, totaled $378.5 million and $1.14 billion, respectively. Brokered deposits at June 30, 2021 consisted of $378.3 million in money market and NOW accounts and $191 thousand in time deposits accounts. Brokered deposits at December 31, 2020 consisted of $735.0 million in money market and NOW accounts and $400.6 million in time deposit accounts. The following is breakdown of the Company’s deposits at June 30, 2021 and December 31, 2020: At June 30, 2021 At December 31, 2020 Balance Percentage (%) Balance Percentage (%) (Dollars in thousands) Noninterest bearing demand deposits $ 5,638,115 38 % $ 4,814,254 34 % Money market and NOW accounts 5,786,697 39 % 5,232,413 36 % Saving deposits 308,651 2 % 300,770 2 % Time deposits 2,992,767 21 % 3,986,475 28 % Total deposits $ 14,726,230 100 % $ 14,333,912 100 % |
Borrowings
Borrowings | 6 Months Ended |
Jun. 30, 2021 | |
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 $4.30 billion at June 30, 2021, and $4.18 billion at December 31, 2020. 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 $81.2 million at June 30, 2021 and December 31, 2020. At June 30, 2021 and December 31, 2020, loans with a carrying amount of approximately $6.61 billion and $6.95 billion, respectively, were pledged at the FHLB for outstanding advances and remaining borrowing capacity. At June 30, 2021 and December 31, 2020, 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 June 30, 2021 and December 31, 2020, FHLB advances totaled $200.0 million and $250.0 million, respectively, and had weighted average interest rates of 1.26% and 1.07%, respectively. FHLB advances at June 30, 2021 and December 31, 2020 had various maturities through December 2022. The interest rates of FHLB advances as of June 30, 2021 ranged between 0.13% and 2.39%. At June 30, 2021, the Company’s remaining borrowing capacity with the FHLB was $4.08 billion. The Company maintains unsecured borrowing lines with other banks. There were no federal funds purchased from other banks at June 30, 2021 and December 31, 2020. At June 30, 2021, the contractual maturities for outstanding FHLB advances were as follows: June 30, 2021 Scheduled maturities in: (Dollars in thousands) 2021 $ 100,000 2022 100,000 Total $ 200,000 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 99% of the fair market value of the qualifying loans and securities that are pledged. At June 30, 2021, the outstanding principal balance of the qualifying loans pledged at the FRB was $766.0 million and there was one investment security pledged to borrow against the discount window with book value totaling $2.4 million. At June 30, 2021 and December 31, 2020, the total available borrowing capacity at the FRB discount window was $616.4 million and $616.0 million, respectively. There were no borrowings outstanding with the FRB discount window as of June 30, 2021 and December 31, 2020. |
Subordinated Debentures and Con
Subordinated Debentures and Convertible Notes | 6 Months Ended |
Jun. 30, 2021 | |
Subordinated Borrowings [Abstract] | |
Subordinated Debentures and Convertible Notes | Subordinated Debentures and Convertible Notes Subordinated Debt At June 30, 2021, 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 June 30, 2021: Issuance Trust Issuance Date Trust Preferred Security Amount Carrying Value of Debentures Rate Type Current Rate Maturity Date (Dollars in thousands) Nara Capital Trust III 06/05/2003 $ 5,000 $ 5,155 Variable 3.269% 06/15/2033 Nara Statutory Trust IV 12/22/2003 5,000 5,155 Variable 3.034% 01/07/2034 Nara Statutory Trust V 12/17/2003 10,000 10,310 Variable 3.075% 12/17/2033 Nara Statutory Trust VI 03/22/2007 8,000 8,248 Variable 1.769% 06/15/2037 Center Capital Trust I 12/30/2003 18,000 14,572 Variable 3.034% 01/07/2034 Wilshire Trust II 03/17/2005 20,000 16,082 Variable 1.915% 03/17/2035 Wilshire Trust III 09/15/2005 15,000 11,423 Variable 1.519% 09/15/2035 Wilshire Trust IV 07/10/2007 25,000 18,480 Variable 1.499% 09/15/2037 Saehan Capital Trust I 03/30/2007 20,000 15,337 Variable 1.767% 06/30/2037 Total $ 126,000 $ 104,762 The carrying value of Debentures at June 30, 2021 and December 31, 2020 was $104.8 million and $104.2 million, respectively. At June 30, 2021 and December 31, 2020, acquired Debentures had remaining discounts of $25.1 million and $25.7 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 June 30, 2021 and December 31, 2020 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 In 2018, the Company issued $217.5 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. 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 22.50% 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 issued by the Company were initially 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 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. On January 1, 2021, the Company early adopted ASU 2020-06 and under the modified retrospective approach. Subsequently, the Company accounts for its convertible notes as a single debt instrument. At the adoption of ASU 2020-06, portions previously allocated to equity and the remaining convertible notes discount were both reversed. The reversal of the equity portions of the convertible notes totaled $18.3 million, net of taxes which was recorded as a reduction to additional paid-in capital. The adoption of ASU 2020-06 resulted in a $10.7 million net adjustment to beginning retained earnings. The value of the convertible note at issuance and the carrying value as of June 30, 2021 and December 31, 2020 are presented in the tables below: As of June 30, 2021 Amortization/ Gross Accumulated Carrying Amount (Dollars in thousands) Convertible notes principal balance $ 217,500 $ — $ 217,500 Issuance costs to be capitalized 5 years (4,119) 2,358 (1,761) Carrying balance of convertible notes $ 213,381 $ 2,358 $ 215,739 As of December 31, 2020 Amortization/ Gross Accumulated Carrying Amount (Dollars in thousands) Convertible notes principal balance $ 217,500 $ — $ 217,500 Discount 5 years (21,880) 10,951 (10,929) Issuance costs to be capitalized 5 years (4,119) 2,113 (2,006) Carrying balance of convertible notes $ 191,501 $ 13,064 $ 204,565 Interest expense on the convertible notes for the three and six months ended June 30, 2021, totaled $1.3 million and $2.6 million, respectively. Interest expense on the convertible notes for the three and six months ended June 30, 2020, totaled $2.4 million and $4.7 million, respectively. With the adoption of ASU 2020-06, interest expense for the Company’s convertible notes consists of accrued interest on the convertible note coupon and interest expense from capitalized issuance costs. Issuance cost capitalization expense will only be recorded for the first five $1.0 million |
Derivative Financial Instrument
Derivative Financial Instruments | 6 Months Ended |
Jun. 30, 2021 | |
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 as other income and fees. At June 30, 2021 and December 31, 2020, interest rate swaps related to the Company’s loan hedging program that were outstanding are presented in the following table: June 30, 2021 December 31, 2020 (Dollars in thousands) Interest rate swaps on loans with correspondent banks (included in other assets) Notional amount $ 93,433 $ — Weighted average remaining term (years) 8.8 0.0 Pay fixed rate (weighted average) 2.86 % — % Received variable rate (weighted average) 2.08 % — % Estimated fair value $ 1,763 $ — Interest rate swaps on loans with correspondent banks (included in other liabilities) Notional amount $ 418,767 $ 503,929 Weighted average remaining term (years) 6.0 6.8 Pay fixed rate (weighted average) 4.06 % 3.86 % Received variable rate (weighted average) 2.21 % 2.26 % Estimated fair value $ (21,358) $ (34,606) Back to back interest rate swaps with loan customers (included in other liabilities) Notional amount $ 93,433 $ — Weighted average remaining term (years) 8.8 0.0 Received fixed rate (weighted average) 2.86 % — % Pay variable rate (weighted average) 2.08 % — % Estimated fair value $ (1,763) $ — Back to back interest rate swaps with loan customers (included in other assets) Notional amount $ 418,767 $ 503,929 Weighted average remaining term (years) 6.0 6.8 Received fixed rate (weighted average) 4.06 % 3.86 % Pay variable rate (weighted average) 2.21 % 2.26 % Estimated fair value $ 21,358 $ 34,606 At June 30, 2021, the Company had risk participation agreements with an outside counterparty for an interest rate swap related to a loan in which it is a participant. The risk participation agreement provides credit protection to the financial institution should the borrower fail to perform on its interest rate derivative contract. Risk participation agreements are credit derivatives not designated as hedges. Credit derivatives are not speculative and are not used to manage interest rate risk in assets or liabilities. Changes in the fair value in credit derivatives are recognized directly in earnings. The fee received, less the estimate of the loss for credit exposure, was recognized in earnings at the time of the transaction. At June 30, 2021, the notional amount of the risk participation agreements sold was $111.4 million with a credit valuation adjustment of $64 thousand. At December 31, 2020, the notional amount of the risk participation agreement sold was $112.8 million with a credit valuation adjustment of $398 thousand. As part of the overall liability management, the Company utilizes interest rate swap agreements to help manage interest rate risk positions. The notional amount of the interest rate swaps do not represent the amount exchanged by the parties. The exchange of cash flows is determined by reference to the notional amounts and the other terms of the interest rate swap agreements. The Company had one existing interest rate swap agreement as of June 30, 2021 and December 31, 2020 with a notional amount of $100.0 million designated as cash flow hedges of certain LIBOR-based debt. The swap was entered into during the second quarter of 2020 and was determined to be fully effective during the period presented. The aggregate fair value of the swap is recorded in derivative liabilities with changes in fair value recorded in other comprehensive income. The gain or loss on the derivative is recorded in accumulated other comprehensive income (“AOCI”) and is subsequently reclassified into interest expense and interest income in the period during which the hedged forecasted transaction affects earnings. Amounts reported in AOCI related to interest rate swap derivatives will be reclassified to interest income and interest expense as interest payments are received or paid on the Company’s derivatives. The Company expects the hedge to remain fully effective during the remaining term of the swap. For the three and six months ended June 30, 2021, the Company reclassified $73 thousand and $139 thousand, respectively, from accumulated other comprehensive income to interest expense. For the three and six months ended June 30, 2020, the Company reclassified $139 thousand from accumulated comprehensive income to interest income. June 30, 2021 December 31, 2020 (Dollars in thousands) Interest rate swaps designated as cash flow hedge (included in other assets) Notional amount $ 100,000 $ — Weighted average remaining term (years) 4.0 0.0 Received variable rate (weighted average) 0.19 % — % Pay fixed rate (weighted average) 0.49 % — % Estimated fair value $ 921 $ — Interest rate swaps designated as cash flow hedge (included in other liabilities) Notional amount $ — $ 100,000 Weighted average remaining term (years) 0.0 4.3 Received variable rate (weighted average) — % 0.22 % Pay fixed rate (weighted average) — % 0.49 % Estimated fair value $ — $ (602) 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 June 30, 2021, the Company had approximately $26.2 million in interest rate lock commitments and total forward sales commitments for the future delivery of residential mortgage loans. At December 31, 2020, the Company had approximately $43.8 million in interest rate lock commitments and 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 for the dates indicated: As of June 30, 2021 As of December 31, 2020 Notional Amount Fair Value Notional Amount Fair Value (Dollars in thousands) Assets: Interest rate lock commitments $ 23,792 $ 213 $ 37,507 $ 679 Forward sale contracts related to mortgage banking $ 11,942 $ 29 $ 8,641 $ 45 Liabilities: Interest rate lock commitments $ 2,368 $ (4) $ 6,267 $ (31) Forward sale contracts related to mortgage banking $ 14,217 $ (48) $ 35,133 $ (79) |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | Commitments and Contingencies 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 June 30, 2021 and December 31, 2020 are summarized as follows: June 30, 2021 December 31, 2020 (Dollars in thousands) Commitments to extend credit $ 2,483,026 $ 2,137,178 Standby letters of credit 115,629 108,834 Other letters of credit 55,609 40,508 Commitments to fund investments in affordable housing partnerships 10,654 15,148 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 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 $25 thousand at June 30, 2021 and $1.3 million at December 31, 2020. It is reasonably possible that the Company may incur losses in addition to the amounts currently 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 has 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. |
Goodwill, Intangible Assets, an
Goodwill, Intangible Assets, and Servicing Assets | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill, Intangible Assets, and Servicing Assets | Goodwill, Intangible Assets, and Servicing Assets 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. At December 31, 2020, the Company performed a Step 1 fair value assessment and determined that goodwill was not impaired as the estimated fair value of the Company exceeded the book value. As the Company operates as single business unit, goodwill impairment was assessed based on the Company as a whole. Goodwill is not amortized for book purposes and is not tax deductible. The carrying amount of the Company’s goodwill as of June 30, 2021 and December 31, 2020 was $464.5 million. There was no impairment of goodwill recorded during the three and six months ended June 30, 2021. Core deposit intangible assets are amortized over their estimated lives or ten years. Amortization expense related to core deposit intangible assets totaled $510 thousand and $532 thousand for the three months ended June 30, 2021 and 2020, respectively. The amortization expense related to core deposit intangible assets totaled $1.0 million and $1.1 million for the six months ended June 30, 2021 and 2020, respectively. The following table provides information regarding the core deposit intangibles at June 30, 2021 and December 31, 2020: As of June 30, 2021 As of December 31, 2020 Core Deposit Intangibles Related To: Amortization Period Gross Accumulated Carrying Amount Accumulated Carrying Amount (Dollars in thousands) Foster Bankshares acquisition 10 years $ 2,763 $ (2,413) $ 350 $ (2,322) $ 441 Wilshire Bancorp acquisition 10 years 18,138 (9,799) 8,339 (8,871) 9,267 Total $ 20,901 $ (12,212) $ 8,689 $ (11,193) $ 9,708 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 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 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 June 30, 2021 and December 31, 2020, the Company did not have a valuation allowance on it servicing assets. The changes in servicing assets for the three and six months ended June 30, 2021 and 2020 were as follows: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Balance at beginning of period $ 12,084 $ 14,847 $ 12,692 $ 16,417 Additions through originations of servicing assets 737 759 1,329 1,136 Amortization (1,255) (1,442) (2,455) (3,389) Balance at end of period $ 11,566 $ 14,164 $ 11,566 $ 14,164 Loans serviced for others are not reported as assets. The principal balances of loans serviced for other institutions were $1.18 billion as of June 30, 2021 and $1.23 billion as of December 31, 2020. 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 June 30, 2021 and December 31, 2020 are presented below. June 30, 2021 December 31, 2020 SBA Servicing Assets: Weighted-average discount rate 11.72% 9.93% Constant prepayment rate 14.23% 14.40% Mortgage Servicing Assets: Weighted-average discount rate 8.51% 8.26% Constant prepayment rate 9.02% 8.63% |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2021 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes For the three months ended June 30, 2021, the Company had an income tax provision totaling $17.8 million on pretax income of $71.5 million, representing an effective tax rate of 24.84%, compared with an income tax provision of $9.8 million on pretax income of $36.5 million, representing an effective tax rate of 26.75% for the three months ended June 30, 2020. For the six months ended June 30, 2021, the Company had an income tax provision totaling $31.7 million on pretax income of $129.2 million, representing an effective tax rate of 24.56%, compared with an income tax provision of $16.2 million on pretax income of $68.9 million, representing an effective tax rate of 23.55% for the six months ended June 30, 2020. The increase in effective tax rate for the six months ended June 30, 2021 compared to the six months ended June 30, 2020 was primarily due to affordable housing partnership investment tax credits benefit having a lower effect on larger annual projected pre-tax book income. The Company and its subsidiaries are subject to U.S. federal income tax, as well as state income taxes. The Company had total unrecognized tax benefits of $2.8 million at June 30, 2021 and December 31, 2020, that relate to uncertainties associated with federal and state income tax matters. The Company recognizes interest and penalties on income tax matters in income tax expense. The Company recorded approximately $323 thousand and $276 thousand, for accrued interest (no portion was related to penalties) at June 30, 2021 and December 31, 2020, respectively. Management believes it is reasonably possible that the unrecognized tax benefits may decrease by $902 thousand in the next twelve months due to a settlement with the state tax authorities. The statute of limitations for the assessment of income taxes related to the consolidated federal income tax return is closed for all tax years up to and including 2016. The expiration of the statute of limitations for the assessment of income and franchise taxes related to the various state income and franchise tax returns varies by state. The Company is currently under examination by the New York City Department of Finance for the 2016, 2017 and 2018 tax years. While the outcome of the examination is unknown, the Company expects no material adjustments. Income tax expense is the total of the current year income tax due or refundable and the change in deferred tax assets and liabilities (without regard to certain changes to deferred taxes). 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. |
Fair Value Measurements
Fair Value Measurements | 6 Months Ended |
Jun. 30, 2021 | |
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 was derived from the security’s underlying collateral, which included discount rate, 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 is classified as Level 2. Other Derivatives Other derivatives consist of interest rate swaps designated as cash flow hedges and risk participation agreements. The fair values of these other derivative financial instruments are based upon the estimated amount the Company would receive or pay to terminate the instruments, taking into account current interest rates and, when appropriate, the current credit worthiness of the counterparties. Interest rate swaps designated as cash flow hedges are classified within Level 2. Credit derivatives such as risk participation agreements are valued based on credit worthiness of the underlying borrower which is a significant unobservable input and therefore is classified as Level 3. Collateral Dependent Loans The fair values of collateral dependent loans are generally measured for ACL using the practical expedients permitted by ASC 326-20-35-5 including collateral dependent 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 and industrial 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 a 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 at the End of June 30, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs Significant Unobservable Inputs (Dollars in thousands) Assets: Securities available for sale: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 864,576 $ — $ 864,576 $ — Mortgage-backed securities: Residential 660,202 — 660,202 — Commercial 555,613 — 555,613 — Asset-backed securities 62,369 — 62,369 — Corporate securities 22,614 — 22,614 — Municipal securities 108,796 — 107,738 1,058 Equity investments with readily determinable fair value 27,205 27,205 — — Interest rate swaps 23,121 — 23,121 — Mortgage banking derivatives 242 — 242 — Other derivatives 921 — 921 — Liabilities: Interest rate swaps 23,121 — 23,121 — Mortgage banking derivatives 52 — 52 — Other derivatives 64 — — 64 Fair Value Measurements at the End of December 31, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs Significant Unobservable Inputs (Dollars in thousands) Assets: Securities available for sale: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 1,001,317 $ — $ 1,001,317 $ — Mortgage-backed securities: Residential 681,013 — 681,013 — Commercial 507,879 — 507,879 — Corporate securities 6,134 — 6,134 — Municipal securities 89,268 — 88,246 1,022 Equity investments with readily determinable fair value 27,611 27,611 — — Interest rate swaps 34,606 — 34,606 — Mortgage banking derivatives 724 — 724 — Liabilities: Interest rate swaps 34,606 — 34,606 — Mortgage banking derivatives 110 — 110 — Other derivatives 1,000 — 602 398 There were no transfers between Level 1, 2, and 3 during the three and six months ended June 30, 2021 and 2020. The table below presents a reconciliation and income statement classification of gains (losses) for our municipal security and risk participation agreements measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three and six months ended June 30, 2021 and 2020: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Municipal securities: Beginning Balance $ 1,065 $ 1,079 $ 1,022 $ 1,076 Change in fair value included in other comprehensive income (loss) (7) (13) 36 (10) Ending Balance $ 1,058 $ 1,066 $ 1,058 $ 1,066 Risk participation agreements: Beginning Balance $ 95 $ — $ 398 $ — Change in fair value included in income (31) 223 (334) 223 Ending Balance $ 64 $ 223 $ 64 $ 223 The Company measures certain assets at fair value on a non-recurring basis including collateral dependent loans, loans held for sale, and OREO. These fair value adjustments result from individually evaluated ACL 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 are summarized below: Fair Value Measurements at the End of June 30, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs Significant Unobservable Inputs (Dollars in thousands) Assets: Collateral dependent loans at fair value: Real estate loans $ 50,593 $ — $ — $ 50,593 Commercial business 3,601 — — 3,601 OREO 15,759 — — 15,759 Fair Value Measurements at the End of December 31, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs Significant Unobservable Inputs (Dollars in thousands) Assets: Collateral dependent loans at fair value: Real estate loans $ 21,688 $ — $ — $ 21,688 Commercial business 7,694 — — 7,694 OREO 19,260 — — 19,260 For assets measured at fair value on a non-recurring basis, the total net losses, which include charge offs, recoveries, recorded ACL, valuations, and recognized gains and losses on sales are summarized below: For the Three Months Ended June 30, For the Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Assets: Collateral dependent loans at fair value: Real estate loans $ (25,411) $ (2,746) $ (27,738) $ (5,067) Commercial business (2,151) (3,178) (2,151) (5,746) OREO (154) (1,435) (323) (2,779) Fair Value of Financial Instruments Carrying amounts and estimated fair values of financial instruments, not previously presented, at June 30, 2021 and December 31, 2020 were as follows: June 30, 2021 Carrying Amount Estimated Fair Value Fair Value Measurement (Dollars in thousands) Financial Assets: Cash and cash equivalents $ 836,957 $ 836,957 Level 1 Interest bearing deposits in other financial institutions 18,268 18,283 Level 2 Equity investments without readily determinable fair values 31,827 31,827 Level 2 Loans held for sale 54,245 57,365 Level 2 Loans receivable—net 13,234,849 13,236,867 Level 3 Accrued interest receivable 51,886 51,886 Level 2/3 Servicing assets, net 11,566 14,438 Level 3 Customers’ liabilities on acceptances 916 916 Level 2 Financial Liabilities: Noninterest bearing deposits $ 5,638,115 $ 5,638,115 Level 2 Saving and other interest bearing demand deposits 6,095,348 6,095,348 Level 2 Time deposits 2,992,767 2,996,197 Level 2 FHLB advances 200,000 203,251 Level 2 Convertible notes, net 215,739 214,238 Level 1 Subordinated debentures 104,762 112,429 Level 2 Accrued interest payable 4,946 4,946 Level 2 Acceptances outstanding 916 916 Level 2 December 31, 2020 Carrying Amount Estimated Fair Value Fair Value Measurement (Dollars in thousands) Financial Assets: Cash and cash equivalents $ 350,579 $ 350,579 Level 1 Interest bearing deposits in other financial institutions 28,642 28,669 Level 2 Equity investments without readily determinable fair values 32,088 32,088 Level 2 Loans held for sale 17,743 18,288 Level 2 Loans receivable—net 13,356,472 13,428,706 Level 3 Accrued interest receivable 59,430 59,430 Level 2/3 Servicing assets, net 12,692 15,785 Level 3 Customers’ liabilities on acceptances 1,184 1,184 Level 2 Financial Liabilities: Noninterest bearing deposits $ 4,814,254 $ 4,814,254 Level 2 Saving and other interest bearing demand deposits 5,533,183 5,533,183 Level 2 Time deposits 3,986,475 3,992,973 Level 2 FHLB advances 250,000 254,456 Level 2 Convertible notes, net 204,565 201,731 Level 1 Subordinated debentures 104,178 98,948 Level 2 Accrued interest payable 14,706 14,706 Level 2 Acceptances outstanding 1,184 1,184 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. The fair value of loans 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 include 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 incorporate brokered time deposit offering rates. The fair value of the Company’s debt 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. |
Stockholders' Equity
Stockholders' Equity | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Stockholders’ Equity | Stockholders’ Equity Total stockholders’ equity at June 30, 2021 was $2.09 billion, compared to $2.05 billion at December 31, 2020. In March 2020, the Company completed the $50.0 million repurchase plan though the repurchase of 2,716,034 shares of common stock totaling $36.2 million. There were no shares repurchased during the three months ended June 30, 2021. As of June 30, 2021, the Company had repurchased a total of 12,661,581 shares of its common stock totaling $200.0 million as part of all previous repurchase programs that were authorized by the Company’s Board of Directors. For the three months ended June 30, 2021 and 2020, the Company paid dividends of $0.14 per common share. For both the six months ended June 30, 2021 and 2020, the Company paid dividends of $0.28 per common share. The following table presents the quarterly changes to accumulated other comprehensive income for the three and six months ended June 30, 2021 and 2020: Three Months Ended, Six Months Ended, June 30, 2021 June 30, 2020 June 30, 2021 June 30, 2020 (Dollars in thousands) Balance at beginning of period $ 5,223 $ 36,449 $ 32,753 $ 9,149 Unrealized net gains (losses) on securities available for sale 14,186 3,270 (26,617) 42,123 Unrealized net gains (losses) on interest rate swaps used for cash flow hedge (297) (711) 1,523 (711) Reclassification adjustments for net losses (gains) realized in net income 73 (139) 139 (139) Tax effect (4,134) (720) 7,253 (12,273) Other comprehensive income (loss), net of tax $ 9,828 $ 1,700 $ (17,702) $ 29,000 Balance at end of period $ 15,051 $ 38,149 $ 15,051 $ 38,149 Reclassifications for net gains realized in net income for the three and six months ended June 30, 2021 relate to net gains on interest rate swaps used for cash flow hedges. Gains on interest rate swaps are recorded in noninterest income under other income and fee in the Consolidated Statements of Income. |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock-Based Compensation In 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 potentially consultants with appropriate equity-based awards to; (ii) motivate high levels of performance; (iii) recognize employee and potentially consultants’ 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 2019 Plan, 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 Under the 2019 Plan, 2,322,103 shares were available for future grants as of June 30, 2021. 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 the Company’s stock option activity for the six months ended June 30, 2021: Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Aggregate Intrinsic Value (Dollars in thousands) Outstanding - January 1, 2021 851,580 $ 15.25 Granted — — Exercised — — Expired (16,703) 17.12 Forfeited — — Outstanding - June 30, 2021 834,877 $ 15.22 3.91 $ 959 Options exercisable - June 30, 2021 796,877 $ 15.12 3.85 $ 959 The following is a summary of the Company’s restricted stock and performance unit activity for the six months ended June 30, 2021: Number of Shares Weighted-Average Grant Date Fair Value Outstanding (unvested) - January 1, 2021 1,718,838 $ 10.73 Granted 652,909 15.65 Vested (604,703) 11.75 Forfeited (135,053) 13.18 Outstanding (unvested) - June 30, 2021 1,631,991 $ 12.12 The total fair value of restricted stock and performance units vested for the six months ended June 30, 2021 and 2020 was $9.2 million and $343 thousand, respectively. The Company maintains 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 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 the ESPP during the three months ended June 30, 2021 and 2020 was $37 thousand and $26 thousand, respectively. The compensation expense for the ESPP during the six months ended June 30, 2021 and 2020 was $259 thousand and $97 thousand, respectively. The total amounts charged against income related to stock-based payment arrangements, including the ESPP, were $2.1 million and $1.8 million for the three months ended June 30, 2021 and 2020, respectively. For the six months ended June 30, 2021 and 2020, $4.6 million and $3.8 million, respectively, of stock-based payment arrangements were charged against income. The income tax benefit recognized was approximately $514 thousand and $485 thousand for the three months ended June 30, 2021 and 2020, respectively. The income tax benefit recognized for the six months ended June 30, 2021 and 2020, was approximately $1.1 million and $896 thousand, respectively. At June 30, 2021, the unrecognized compensation expense related to non-vested stock option grants was $21 thousand and is expected to be recognized over a weighted average vesting period of 0.17 years. Unrecognized compensation expense related to non-vested restricted stock and performance units was $13.5 million and is expected to be recognized over a weighted average vesting period of 2.07 years. |
Regulatory Matters
Regulatory Matters | 6 Months Ended |
Jun. 30, 2021 | |
Banking Regulation [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 result in 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 became effective 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 capital conservation buffer of 2.5% 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. As of June 30, 2021, the capital ratios for the Company and the Bank were in excess of all regulatory minimum capital ratios with the addition of the conservation buffer. On January 1, 2020, the Company adopted ASU 2016-13 and implemented the CECL methodology. In response to the COVID-19 pandemic, federal regulatory agencies published a final rule that provides the option to delay the cumulative effect of the day 1 impact of CECL adoption on regulatory capital, along with 25% of the change in the adjusted allowance for credit losses (as computed for regulatory capital purposes which excludes PCD loans), for two years, followed by a three-year phase-in period. The Company has elected the five-year transition period consistent with the final rule issued by the federal regulatory agencies. As of June 30, 2021 and December 31, 2020, 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 levels and ratios are presented in the tables below for the dates indicated and include the effects of the Company’s election to utilize the five-year transition described above: Actual Required For Capital Adequacy Purposes Minimum Capital Adequacy Required To Be Well Capitalized As of June 30, 2021 Amount Ratio Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) Common equity Tier 1 capital Company $ 1,642,492 11.44 % $ 645,961 4.50 % $ 1,004,828 7.00 % N/A N/A Bank $ 1,932,546 13.47 % $ 645,615 4.50 % $ 1,004,289 7.00 % $ 932,555 6.50 % Total capital Company $ 1,888,996 13.16 % $ 1,148,375 8.00 % $ 1,507,242 10.50 % N/A N/A Bank $ 2,078,189 14.49 % $ 1,147,759 8.00 % $ 1,506,434 10.50 % $ 1,434,699 10.00 % Tier 1 capital Company $ 1,743,353 12.14 % $ 861,281 6.00 % $ 1,220,148 8.50 % N/A N/A Bank $ 1,932,546 13.47 % $ 860,820 6.00 % $ 1,219,494 8.50 % $ 1,147,759 8.00 % Tier 1 capital Company $ 1,743,353 10.43 % $ 668,540 4.00 % N/A N/A N/A N/A Bank $ 1,932,546 11.56 % $ 668,416 4.00 % N/A N/A $ 835,520 5.00 % Actual Required For Capital Adequacy Purposes Minimum Capital Adequacy Required To Be Well Capitalized As of December 31, 2020 Amount Ratio Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) Common equity Tier 1 capital Company $ 1,568,508 10.94 % $ 645,366 4.50 % $ 1,003,902 7.00 % N/A N/A Bank $ 1,850,091 12.90 % $ 645,277 4.50 % $ 1,003,764 7.00 % $ 932,066 6.50 % Total capital Company $ 1,846,229 12.87 % $ 1,147,317 8.00 % $ 1,505,853 10.50 % N/A N/A Bank $ 2,027,534 14.14 % $ 1,147,159 8.00 % $ 1,505,646 10.50 % $ 1,433,948 10.00 % Tier 1 capital Company $ 1,668,786 11.64 % $ 860,487 6.00 % $ 1,219,024 8.50 % N/A N/A Bank $ 1,850,091 12.90 % $ 860,369 6.00 % $ 1,218,856 8.50 % $ 1,147,159 8.00 % Tier 1 capital Company $ 1,668,786 10.22 % $ 653,163 4.00 % N/A N/A N/A N/A Bank $ 1,850,091 11.33 % $ 653,241 4.00 % N/A N/A $ 816,551 5.00 % |
Revenue Recognition
Revenue Recognition | 6 Months Ended |
Jun. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Revenue Recognition | Revenue Recognition With the adoption of ASU 2014-09 (Topic 606), the Company recognizes revenue when obligations under the terms of a contract with customers are satisfied. 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: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Noninterest bearing deposit account income: Monthly service charges $ 266 $ 329 $ 549 $ 697 Customer analysis charges 788 1,513 1,485 3,383 NSF charges 618 561 1,315 2,216 Other service charges 82 157 170 373 Total noninterest bearing deposit account income 1,754 2,560 3,519 6,669 Interest bearing deposit account income: Monthly service charges 23 23 48 47 Total service fees on deposit accounts $ 1,777 $ 2,583 $ 3,567 $ 6,716 Wire transfer fee income: Wire transfer fees $ 786 $ 765 $ 1,489 $ 1,571 Foreign exchange fees 137 55 278 247 Total wire transfer fees $ 923 $ 820 $ 1,767 $ 1,818 OREO are often sold in transactions that, under ASC 606, 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” |
Subsequent Events
Subsequent Events | 6 Months Ended |
Jun. 30, 2021 | |
Subsequent Events [Abstract] | |
Subsequent Events | 20. Subsequent Events On July 22, 2021, the Board of Directors of the Company approved a new stock repurchase plan that authorizes the Company to repurchase up to $50 million of its common stock. Stock repurchases through the new plan may be executed through various means, including, without limitation, open market transactions, privately negotiated transactions or by other means as determined by the Company and in accordance with SEC rules and regulations. The Company has evaluated the effects of events that have occurred subsequent to June 30, 2021 through the issuance date of these consolidated financial statements. Other than the event described above, there have been no material events that would require disclosure in the consolidated financial statements or in the notes to the consolidated financial statements. |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2021 | |
Basis Of Presentation [Abstract] | |
Consolidation | The consolidated financial statements include the accounts of Hope Bancorp and its wholly owned subsidiaries, principally Bank of Hope. All intercompany transactions and balances have been eliminated in consolidation. The Company has made all adjustments, that in the opinion of management, are necessary to fairly present the Company’s financial position at June 30, 2021 and December 31, 2020 and the results of operations for the three and six months ended June 30, 2021 and 2020. Certain reclassifications have been made to prior period amounts to conform to the current year presentation. The results of operations for the interim periods are not necessarily indicative of results to be anticipated for the full year. |
Use of estimates | 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 differ significantly from those estimates. |
Pending Accounting Pronouncements | Pending Accounting Pronouncements In March 2020, the FASB issued ASU 2020-04, “Reference Rate Reform: Facilitation of the Effects of Reference Rate Reform on Financial Reporting”. The amendments provide temporary, optional guidance to ease the potential burden in accounting for reference rate reform. The amendments provide optional expedients and exceptions for applying GAAP to transactions affected by reference rate reform if certain criteria are met. The amendments primarily include relief related to contract modifications and hedging relationships, as well as providing a one-time election for the sale or transfer of debt securities classified as held-to-maturity. This one time election may be made at any time after March 12, 2020, but no later than December 31, 2022. The Company is currently in the process of evaluating ASU 2020-04 to determine whether the Company will make this election and is currently assessing the significance of the impact of modifying contracts in consideration of the election of this amendment. In January 2021, the FASB issued ASU 2021-01, “Codification Improvements to Topic 848, Reference Rate Reform”. ASU 2021-01 amends the scope of the recent reference rate reform guidance and clarifies that certain optional expedients and exceptions in Topic 848 for contract modifications and hedge accounting apply to derivatives that are affected by the discounting transition. New optional expedients allow derivative instruments impacted by changes in the interest rate used for margining, discounting, or contract price alignment (i.e., discount transition) to qualify for certain optional relief. The new optional expedients for contract modifications and hedge accounting are expected to benefit companies, including those with certain centrally cleared derivatives affected by a discount rate transition in 2020. Amendments to the expedients and exceptions in Topic 848 captures the incremental consequences of the scope clarification and tailor the existing guidance to derivative instruments affected by the discounting transition. ASU 2021-01 is effective immediately and can be applied retrospectively to any interim period beginning January 1, 2020 or prospectively to any new modifications in any period including or subsequent to the issuance date. The Company is currently in the process of evaluating ASU 2021-01 and its potential impact to the Company’s contracts. |
Financing Receivables | On January 1, 2020 the Company adopted ASU 2016-13, “Measurement of Credit Losses on Financial Instruments”, or CECL. The Company calculates its ACL by estimating expected credit losses on a collective basis for loans that share similar risk characteristics. Loans that do not share similar risk characteristics with other loans are evaluated for credit losses on an individual basis. The Company uses a combination of a modeled and non-modeled approach that incorporates current and future economic conditions to estimate lifetime expected losses on a collective basis. The Company uses Probability of Default (“PD”), Loss Given Default (“LGD”), and Exposure at Default (“EAD”) methodologies with quantitative factors and qualitative considerations in calculation of the allowance for credit losses for collectively assessed loans. The Company uses a reasonable and supportable period of 2 years at which point loss assumptions revert back to historical loss information by means of 1 year reversion period. The ACL for the Company’s construction, credit card, and certain consumer loans is calculated based on a non-modeled approach utilizing historical loss rates to estimate losses. A non-modeled approach was chosen for these loans as fewer data points exist which could result in high levels of estimated loss volatility under a modeled approach. In aggregate, non-modeled loans represented less than 3% of the Company’s total loan portfolio as of June 30, 2021. The Company’s Economic Forecast Committee (“EFC”) reviews economic forecast scenarios that are incorporated in the Company’s ACL. The EFC reviews multiple scenarios provided to the Company by an independent third party and chooses a single scenario that best aligns with management’s expectation of future economic conditions. The forecast scenario contains certain macroeconomic variables that are incorporated into the Company’s modeling process, including GDP, unemployment rates, interest rates, and commercial real estate prices. As of June 30, 2021, the Company chose a forecast scenario that incorporates the effect of the COVID-19 pandemic and the expected economic recovery into estimates of future economic conditions. The forecast improved considerably compared to forecasts used during the first quarter of 2021 with an increase in projected GDP growth and a large increase in projected commercial real estate prices combined with a reduction in unemployment, particularly for periods in 2021 and 2022. The forecast improvement reflect the current and projected effects of government stimulus packages, ongoing COVID-19 vaccinations, and the reopening of many businesses throughout the United States. 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 modeled and non-modeled estimated loss approaches. 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 Bank to qualitatively adjust the Loss Migration Ratio by as much as 25 basis points for each loan type pool. This matrix considers the following seven 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, updated to reflect the adoption of CECL: • Changes in lending policies and procedures, including underwriting standards and collection, charge off, and recovery practices; • 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 loan review system and the degree of oversight by the Directors; • The existence and effect of any concentrations of credit and changes in the level of such concentrations; and • The effect of external factors, such as competition, legal requirements, and regulatory requirements on the level of estimated losses in the loan portfolio. For loans which do not share similar risk characteristics such as nonaccrual and TDR loans above $500 thousand, the Company evaluates these loans on an individual basis in accordance with ASC 326. These nonaccrual and TDR loans are considered to have different risk profiles than performing loans and therefore are evaluated separately. The Company decided to collectively assess TDRs and nonaccrual loans with balances below $500 thousand along with the performing and accrual loans in order to reduce the operational burden of individually assessing small TDR and nonaccrual loans with immaterial balances. For individually assessed loans, the ACL is measured using either 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 loans, the Company obtains a new appraisal to determine the fair value of collateral. 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 amortized balance of the loan, the Company recognizes an ACL with a corresponding charge to the provision for credit losses. The Company maintains a separate ACL for its off-balance sheet unfunded loan commitments. The Company uses a funding rate to allocate the allowance to undrawn exposures. This funding rate is used as a credit conversion factor to capture how much undrawn lines of credit can potentially become drawn at any point. The funding rate is determined based on a lookback period of 8 quarters. Credit loss is not estimated for off-balance sheet credit exposures that are unconditionally cancellable by the Company. |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Earnings Per Share [Abstract] | |
Computation of basic and diluted EPS | The following tables show the computation of basic and diluted EPS for the three and six months ended June 30, 2021 and 2020. Three Months Ended June 30, 2021 2020 Net Income Weighted-Average Shares Earnings Net Income Weighted-Average Shares Earnings (Dollars in thousands, except share and per share data) Basic EPS - common stock $ 53,763 123,592,695 $ 0.44 $ 26,753 123,200,127 $ 0.22 Effect of dilutive securities: Stock options, restricted stock, and ESPP shares 731,193 230,764 Diluted EPS - common stock $ 53,763 124,323,888 $ 0.43 $ 26,753 123,430,891 $ 0.22 Six Months Ended June 30, 2021 2020 Net Income Weighted-Average Shares Earnings Net Income Weighted-Average Shares Earnings (Dollars in thousands, except share and per share data) Basic EPS - common stock $ 97,450 123,459,461 $ 0.79 $ 52,706 123,747,727 $ 0.43 Effect of dilutive securities: Stock options, restricted stock, and ESPP shares 874,766 306,564 Diluted EPS - common stock $ 97,450 124,334,227 $ 0.78 $ 52,706 124,054,291 $ 0.42 |
Equity Investments (Tables)
Equity Investments (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Investments, Debt and Equity Securities [Abstract] | |
Schedule Of Change In Fair Value For Equity Investment Securities | The changes in fair value for equity investments with readily determinable fair values for the three and six months ended June 30, 2021 and 2020 were recorded in other noninterest income and fees as summarized in the table below: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Net change in fair value recorded during the period on equity investments with readily determinable fair value $ 77 $ 188 $ (407) $ 542 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 $ 77 $ 188 $ (407) $ 542 |
Securities Available for Sale (
Securities Available for Sale (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Debt Securities, Available-for-sale [Abstract] | |
Summary of Securities Available for Sale | The following is a summary of securities available for sale as of the dates indicated: At June 30, 2021 Amortized Gross Gross Allowance For Fair (Dollars in thousands) Debt securities: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 858,603 $ 8,362 $ (2,389) $ — $ 864,576 Mortgage-backed securities: Residential 663,223 3,127 (6,148) — 660,202 Commercial 540,908 16,443 (1,738) — 555,613 Asset-backed securities 62,328 102 (61) — 62,369 Corporate securities 23,422 120 (928) — 22,614 Municipal securities 106,125 2,715 (44) — 108,796 Total investment securities available for sale $ 2,254,609 $ 30,869 $ (11,308) $ — $ 2,274,170 At December 31, 2020 Amortized Gross Gross Allowance For Fair (Dollars in thousands) Debt securities: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 990,679 $ 11,482 $ (844) $ — $ 1,001,317 Mortgage-backed securities: Residential 672,667 8,460 (114) — 681,013 Commercial 482,874 25,026 (21) — 507,879 Corporate securities 7,000 15 (881) — 6,134 Municipal securities 86,213 3,058 (3) — 89,268 Total investment securities available for sale $ 2,239,433 $ 48,041 $ (1,863) $ — $ 2,285,611 |
Investments Classified by Contractual Maturity Date | The amortized cost and estimated fair value of investment securities at June 30, 2021, by contractual maturity, is presented in the table below. Expected maturities may differ from contractual maturities because borrowers may have the right to call or prepay obligations, with or without call or prepayment penalties. Collateralized mortgage obligations, mortgage-backed securities, and asset-backed securities are not due at a single maturity date and their total balances are shown separately. Amortized Estimated (Dollars in thousands) Available for sale: Due within one year $ 350 $ 351 Due after one year through five years — — Due after five years through ten years 37,825 38,270 Due after ten years 91,372 92,789 U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations 858,603 864,576 Mortgage-backed securities: Residential 663,223 660,202 Commercial 540,908 555,613 Asset-backed securities 62,328 62,369 Total $ 2,254,609 $ 2,274,170 |
Schedule of Gross Unrealized Losses and Estimated Fair Values of Investments | 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. As of June 30, 2021 Less than 12 months 12 months or longer Total Description of Number Fair Gross Number Fair Gross Number Fair Gross (Dollars in thousands) Collateralized mortgage obligations* 20 $ 421,753 $ (2,389) 1 $ 4 $ — 21 $ 421,757 $ (2,389) Mortgage-backed securities: Residential* 47 503,686 (6,148) — — — 47 503,686 (6,148) Commercial* 11 115,974 (1,738) — — — 11 115,974 (1,738) Asset-backed securities 4 29,000 (61) — — — 4 29,000 (61) Corporate securities 2 7,219 (203) 1 4,275 (725) 3 11,494 (928) Municipal securities 5 4,704 (44) — — — 5 4,704 (44) Total 89 $ 1,082,336 $ (10,583) 2 $ 4,279 $ (725) 91 $ 1,086,615 $ (11,308) __________________________________ * Investments in U.S. Government agency and U.S. Government sponsored enterprises As of December 31, 2020 Less than 12 months 12 months or longer Total Description of Number Fair Gross Number Fair Gross Number Fair Gross (Dollars in thousands) Collateralized mortgage obligations* 22 $ 312,757 $ (844) — $ — $ — 22 $ 312,757 $ (844) Mortgage-backed securities: Residential* 8 46,094 (114) — — — 8 46,094 (114) Commercial* 1 10,275 (21) — — — 1 10,275 (21) Corporate securities — — — 1 4,119 (881) 1 4,119 (881) Municipal securities 1 997 (3) — — — 1 997 (3) Total 32 $ 370,123 $ (982) 1 $ 4,119 $ (881) 33 $ 374,242 $ (1,863) __________________________________ * Investments in U.S. Government agency and U.S. Government sponsored enterprises |
Loans Receivable and Allowanc_2
Loans Receivable and Allowance for Credit Losses (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Receivables [Abstract] | |
Summary of Loans Receivable by Major Category | The following is a summary of loans receivable by major category: June 30, 2021 December 31, 2020 Loan portfolio composition (Dollars in thousands) Real estate loans: Residential $ 61,360 $ 54,795 Commercial 8,518,115 8,425,959 Construction 252,801 291,380 Total real estate loans 8,832,276 8,772,134 Commercial business * 4,001,423 4,157,787 Residential mortgage 543,622 582,232 Consumer and other 46,980 51,060 Loans receivable 13,424,301 13,563,213 Allowance for credit losses (189,452) (206,741) Loans receivable, net of allowance for credit losses $ 13,234,849 $ 13,356,472 __________________________________ * Commercial business loans as of June 30, 2021 and December 31, 2020 include $568.8 million and $452.7 million, respectively, in SBA Paycheck Protection Program loans |
Allowance for Credit Losses by Portfolio Segment | The tables below details the activity in the allowance for credit losses by portfolio segment for the three and six months ended June 30, 2021 and 2020. Charge offs for the three and six months ended June 30, 2021 included $11.8 million in real estate loan charge offs that resulted from the sale of $119.3 million in hotel/motel loans with elevated credit risk, there were no such sales for the three and six ended June 30, 2020. Accrued interest receivables on loans totaled $47.1 million at June 30, 2021 and $54.6 million at December 31, 2020. The Company set aside an allowance on loan accrued interest receivables of $751 thousand at June 30, 2021 and $1.0 million at December 31, 2020. Real Estate Commercial Business Residential Mortgage Consumer and Other Total (Dollars in thousands) Three Months Ended June 30, 2021 Balance, beginning of period $ 162,307 $ 41,860 $ 2,735 $ 1,041 $ 207,943 Provision (credit) for credit losses 4,227 (12,179) 877 75 (7,000) Loans charged off (12,172) (572) — (48) (12,792) Recoveries of charge offs 891 391 — 19 1,301 Balance, end of period $ 155,253 $ 29,500 $ 3,612 $ 1,087 $ 189,452 Six Months Ended June 30, 2021 Balance, beginning of period $ 162,196 $ 39,155 $ 4,227 $ 1,163 $ 206,741 Provision (credit) for credit losses 6,572 (9,554) (615) (103) (3,700) Loans charged off (14,990) (1,182) — (141) (16,313) Recoveries of charge offs 1,475 1,081 — 168 2,724 Balance, end of period $ 155,253 $ 29,500 $ 3,612 $ 1,087 $ 189,452 Real Estate Commercial Business Residential Mortgage Consumer and Other Total (Dollars in thousands) Three Months Ended June 30, 2020 Balance, beginning of period $ 94,645 $ 42,883 $ 5,779 $ 1,616 $ 144,923 Provision (credit) for credit losses 24,534 (7,151) 89 28 17,500 Loans charged off (174) (459) — (271) (904) Recoveries of charge offs 25 220 — 7 252 Balance, end of period $ 119,030 $ 35,493 $ 5,868 $ 1,380 $ 161,771 Six Months Ended June 30, 2020 Balance, beginning of period $ 53,593 $ 33,032 $ 5,925 $ 1,594 $ 94,144 CECL day 1 adoption 27,791 (1,022) (543) (26) 26,200 Provision for credit losses 40,025 4,398 486 591 45,500 Loans charged off (2,571) (3,494) — (796) (6,861) Recoveries of charge offs 192 2,579 — 17 2,788 Balance, end of period $ 119,030 $ 35,493 $ 5,868 $ 1,380 $ 161,771 The following tables break out the allowance for credit losses and loan balance by measurement methodology at June 30, 2021 and December 31, 2020: June 30, 2021 Real Estate Commercial Business Residential Mortgage Consumer and Other Total (Dollars in thousands) Allowance for credit losses: Individually evaluated $ 27,226 $ 3,325 $ 15 $ 26 $ 30,592 Collectively evaluated 128,027 26,175 3,597 1,061 158,860 Total $ 155,253 $ 29,500 $ 3,612 $ 1,087 $ 189,452 Loans outstanding: Individually evaluated $ 138,368 $ 20,978 $ 3,053 $ 236 $ 162,635 Collectively evaluated 8,693,908 3,980,445 540,569 46,744 13,261,666 Total $ 8,832,276 $ 4,001,423 $ 543,622 $ 46,980 $ 13,424,301 December 31, 2020 Real Estate Commercial Business Residential Mortgage Consumer and Other Total (Dollars in thousands) Allowance for credit losses: Individually evaluated $ 3,683 $ 3,575 $ 25 $ 42 $ 7,325 Collectively evaluated 158,513 35,580 4,202 1,121 199,416 Total $ 162,196 $ 39,155 $ 4,227 $ 1,163 $ 206,741 Loans outstanding: Individually evaluated $ 93,476 $ 25,706 $ 3,416 $ 605 $ 123,203 Collectively evaluated 8,678,658 4,132,081 578,816 50,455 13,440,010 Total $ 8,772,134 $ 4,157,787 $ 582,232 $ 51,060 $ 13,563,213 The following tables present a breakdown of loans by recorded ACL, broken out by loans evaluated individually and collectively at June 30, 2021 and December 31, 2020: As of June 30, 2021 Real Estate – Real Estate – Real Estate – Commercial Residential Consumer Total (Dollars in thousands) Individually evaluated loans $ — $ 130,944 $ 7,424 $ 20,978 $ 3,053 $ 236 $ 162,635 ACL on individually evaluated loans $ — $ 27,226 $ — $ 3,325 $ 15 $ 26 $ 30,592 Individually evaluated loans ACL coverage N/A 20.79 % N/A 15.85 % 0.49 % 11.02 % 18.81 % Collectively evaluated loans $ 61,360 $ 8,387,171 $ 245,377 $ 3,980,445 $ 540,569 $ 46,744 $ 13,261,666 ACL on collectively evaluated loans $ 330 $ 126,040 $ 1,657 $ 26,175 $ 3,597 $ 1,061 $ 158,860 Collectively evaluated loans ACL coverage 0.54 % 1.50 % 0.68 % 0.66 % 0.67 % 2.27 % 1.20 % Total loans $ 61,360 $ 8,518,115 $ 252,801 $ 4,001,423 $ 543,622 $ 46,980 $ 13,424,301 Total ACL $ 330 $ 153,266 $ 1,657 $ 29,500 $ 3,612 $ 1,087 $ 189,452 Total ACL to total loans 0.54 % 1.80 % 0.66 % 0.74 % 0.66 % 2.31 % 1.41 % As of December 31, 2020 Real Estate – Real Estate – Real Estate – Commercial Residential Consumer Total (Dollars in thousands) Individually evaluated loans $ — $ 74,753 $ 18,723 $ 25,706 $ 3,416 $ 605 $ 123,203 ACL on individually evaluated loans $ — $ 2,862 $ 821 $ 3,575 $ 25 $ 42 $ 7,325 Individually evaluated loans ACL coverage N/A 3.83 % 4.38 % 13.91 % 0.73 % 6.94 % 5.95 % Collectively evaluated loans $ 54,795 $ 8,351,206 $ 272,657 $ 4,132,081 $ 578,816 $ 50,455 $ 13,440,010 ACL on collectively evaluated loans $ 391 $ 156,665 $ 1,457 $ 35,580 $ 4,202 $ 1,121 $ 199,416 Collectively evaluated loans ACL coverage 0.71 % 1.88 % 0.53 % 0.86 % 0.73 % 2.22 % 1.48 % Total loans $ 54,795 $ 8,425,959 $ 291,380 $ 4,157,787 $ 582,232 $ 51,060 $ 13,563,213 Total ACL $ 391 $ 159,527 $ 2,278 $ 39,155 $ 4,227 $ 1,163 $ 206,741 Total ACL to total loans 0.71 % 1.89 % 0.78 % 0.94 % 0.73 % 2.28 % 1.52 % |
Schedule of Nonaccrual Loans and Loans Past Due 90 or More Days And Still on Accrual Status | The tables below represent the recorded investment of nonaccrual loans and loans past due 90 or more days and still on accrual status by class of loans and broken out by loans with a recorded ACL and those without a recorded ACL as of June 30, 2021 and December 31, 2020. June 30, 2021 Nonaccrual with No ACL Nonaccrual with an ACL Total Nonaccrual (1) Accruing Loans Past Due 90 or More Days (Dollars in thousands) Real estate – residential $ — $ — $ — $ — Real estate – commercial Retail 10,463 34,100 44,563 — Hotel & motel 13,654 5,428 19,082 3,776 Gas station & car wash 575 1,303 1,878 — Mixed use 9,754 1,610 11,364 — Industrial & warehouse 2,105 2,332 4,437 — Other 1,791 5,083 6,874 — Real estate – construction 7,424 — 7,424 — Commercial business 5,035 7,182 12,217 26 Residential mortgage 1,440 1,612 3,052 872 Consumer and other — 117 117 85 Total $ 52,241 $ 58,767 $ 111,008 $ 4,759 December 31, 2020 Nonaccrual with No ACL Nonaccrual with an ACL Total Nonaccrual (1) Accruing Loans Past Due 90 or More Days (Dollars in thousands) Real estate – residential $ — $ — $ — $ — Real estate – commercial Retail 3,262 8,530 11,792 478 Hotel & motel 15,311 2,195 17,506 — Gas station & car wash 151 1,493 1,644 — Mixed use 1,883 788 2,671 — Industrial & warehouse 5,443 1,022 6,465 — Other 7,230 1,419 8,649 — Real estate – construction — 18,723 18,723 — Commercial business 5,319 8,592 13,911 — Residential mortgage 1,440 1,976 3,416 — Consumer and other — 461 461 136 Total $ 40,039 $ 45,199 $ 85,238 $ 614 __________________________________ (1) Total nonaccrual loans exclude the guaranteed portion of SBA loans that are in liquidation totaling $23.6 million |
Amortized Cost Basis of Collateral-Dependent Loans | The following table presents the amortized cost basis of collateral-dependent loans as of June 30, 2021 and December 31, 2020: June 30, 2021 Real Estate Collateral Other Collateral Total (Dollars in thousands) Real estate – residential $ — $ — $ — Real estate – commercial 97,184 — 97,184 Real estate – construction 7,424 — 7,424 Commercial business 7,518 6,560 14,078 Residential mortgage 1,439 — 1,439 Consumer and other — — — Total $ 113,565 $ 6,560 $ 120,125 December 31, 2020 Real Estate Collateral Other Collateral Total (Dollars in thousands) Real estate – residential $ — $ — $ — Real estate – commercial 55,945 — 55,945 Real estate – construction 8,122 — 8,122 Commercial business 7,818 6,312 14,130 Residential mortgage 1,440 — 1,440 Consumer and other 15 — 15 Total $ 73,340 $ 6,312 $ 79,652 |
Aging of Past Due Loans | The following table presents 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 June 30, 2021 and December 31, 2020 by class of loans: As of June 30, 2021 As of December 31, 2020 30-59 Days 60-89 Days 90 or More Days Total 30-59 Days 60-89 Days 90 or More Days Total (Dollars in thousands) Real estate – residential $ — $ — $ — $ — $ — $ — $ — $ — Real estate – commercial Retail 788 8,148 10,852 19,788 852 8,141 10,276 19,269 Hotel & motel 2,487 2,808 16,373 21,668 62 1,401 14,744 16,207 Gas station & car wash 292 411 443 1,146 619 2,668 563 3,850 Mixed use 2,547 13,921 295 16,763 116 — 1,269 1,385 Industrial & warehouse 8,211 154 2,611 10,976 137 — 3,830 3,967 Other 2,149 42 2,913 5,104 2,738 545 3,000 6,283 Real estate – construction — — 7,424 7,424 8,122 — — 8,122 Commercial business 431 4,209 5,545 10,185 816 3,683 4,700 9,199 Residential mortgage 6,359 540 2,702 9,601 4,841 — 2,263 7,104 Consumer and other 45 24 202 271 797 21 595 1,413 Total Past Due $ 23,309 $ 30,257 $ 49,360 $ 102,926 $ 19,100 $ 16,459 $ 41,240 $ 76,799 |
Financing Receivable Credit Quality Indicators | The following table presents the amortized cost basis of loans receivable by class, credit quality indicator, and year of origination as of June 30, 2021 and December 31, 2020. As of June 30, 2021 Term Loan by Origination Year Revolving Loans Total 2021 2020 2019 2018 2017 Prior (Dollars in thousands) Real Estate - Residential Pass / not rated $ 12,995 $ 14,311 $ 13,556 $ 5,547 $ 3,831 $ 10,098 $ 658 $ 60,996 Special mention — — — — — — 228 228 Substandard — — — 136 — — — 136 Doubtful / loss — — — — — — — — Subtotal $ 12,995 $ 14,311 $ 13,556 $ 5,683 $ 3,831 $ 10,098 $ 886 $ 61,360 Real Estate - Commercial Pass / not rated $ 1,073,045 $ 1,485,549 $ 1,340,161 $ 1,375,076 $ 1,055,030 $ 1,544,353 $ 106,716 $ 7,979,930 Special mention 4,223 5,706 48,552 29,215 40,713 71,144 11,978 211,531 Substandard 6,508 552 17,395 26,725 52,497 220,280 2,697 326,654 Doubtful / loss — — — — — — — — Subtotal $ 1,083,776 $ 1,491,807 $ 1,406,108 $ 1,431,016 $ 1,148,240 $ 1,835,777 $ 121,391 $ 8,518,115 Real Estate - Construction Pass / not rated $ 841 $ 47,025 $ 44,574 $ 39,298 $ 27,652 $ 21,200 $ 8,457 $ 189,047 Special mention — — — 45,989 4,428 5,913 — 56,330 Substandard — — — — — 7,424 — 7,424 Doubtful / loss — — — — — — — — Subtotal $ 841 $ 47,025 $ 44,574 $ 85,287 $ 32,080 $ 34,537 $ 8,457 $ 252,801 Commercial Business Pass / not rated $ 889,734 $ 866,932 $ 516,793 $ 147,361 $ 112,324 $ 100,388 $ 1,297,976 $ 3,931,508 Special mention 1,191 415 3,943 13,581 212 5,466 1,662 26,470 Substandard 1,457 8,552 1,856 2,114 12,840 7,860 8,766 43,445 Doubtful / loss — — — — — — — — Subtotal $ 892,382 $ 875,899 $ 522,592 $ 163,056 $ 125,376 $ 113,714 $ 1,308,404 $ 4,001,423 Residential Mortgage Pass / not rated $ 116,677 $ 4,764 $ 56,940 $ 166,777 $ 123,595 $ 71,816 $ — $ 540,569 Special mention — — — — — — — — Substandard — — 128 200 541 2,184 — 3,053 Doubtful / loss — — — — — — — — Subtotal $ 116,677 $ 4,764 $ 57,068 $ 166,977 $ 124,136 $ 74,000 $ — $ 543,622 Consumer and Other Pass / not rated $ 2,784 $ 5,994 $ 2,243 $ 1,937 $ 2,114 $ 7,611 $ 24,054 $ 46,737 Special mention — — — — — — — — Substandard — — — — — 243 — 243 Doubtful / loss — — — — — — — — Subtotal $ 2,784 $ 5,994 $ 2,243 $ 1,937 $ 2,114 $ 7,854 $ 24,054 $ 46,980 Total Loans Pass / not rated $ 2,096,076 $ 2,424,575 $ 1,974,267 $ 1,735,996 $ 1,324,546 $ 1,755,466 $ 1,437,861 $ 12,748,787 Special mention 5,414 6,121 52,495 88,785 45,353 82,523 13,868 294,559 Substandard 7,965 9,104 19,379 29,175 65,878 237,991 11,463 380,955 Doubtful / loss — — — — — — — — Total $ 2,109,455 $ 2,439,800 $ 2,046,141 $ 1,853,956 $ 1,435,777 $ 2,075,980 $ 1,463,192 $ 13,424,301 December 31, 2020 Term Loan by Origination Year Revolving Loans Total 2020 2019 2018 2017 2016 Prior (Dollars in thousands) Real Estate - Residential Pass / not rated $ 15,158 $ 13,924 $ 7,587 $ 4,316 $ 6,800 $ 3,460 $ 3,104 $ 54,349 Special mention — — — — — — 227 227 Substandard — — 139 — — 80 — 219 Doubtful / loss — — — — — — — — Subtotal $ 15,158 $ 13,924 $ 7,726 $ 4,316 $ 6,800 $ 3,540 $ 3,331 $ 54,795 Real Estate - Commercial Pass / not rated $ 1,548,595 $ 1,554,980 $ 1,533,802 $ 1,240,973 $ 767,318 $ 1,262,125 $ 130,595 $ 8,038,388 Special mention — 2,805 24,569 10,694 8,031 32,048 1,600 79,747 Substandard 126 14,233 28,938 37,174 50,371 173,788 3,194 307,824 Doubtful / loss — — — — — — — — Subtotal $ 1,548,721 $ 1,572,018 $ 1,587,309 $ 1,288,841 $ 825,720 $ 1,467,961 $ 135,389 $ 8,425,959 Real Estate - Construction Pass / not rated $ 35,743 $ 45,290 $ 103,794 $ 60,996 $ 5,740 $ 10,099 $ — $ 261,662 Special mention — — — — 5,771 5,224 — 10,995 Substandard — — — 10,601 — 8,122 — 18,723 Doubtful / loss — — — — — — — — Subtotal $ 35,743 $ 45,290 $ 103,794 $ 71,597 $ 11,511 $ 23,445 $ — $ 291,380 Commercial Business Pass / not rated $ 1,294,368 $ 584,453 $ 224,447 $ 117,708 $ 77,209 $ 43,674 $ 1,686,428 $ 4,028,287 Special mention 5,996 27,693 30,852 14,629 6,388 3,139 5,172 93,869 Substandard 2,430 1,323 5,539 4,394 6,158 5,463 10,323 35,630 Doubtful / loss — — 1 — — — — 1 Subtotal $ 1,302,794 $ 613,469 $ 260,839 $ 136,731 $ 89,755 $ 52,276 $ 1,701,923 $ 4,157,787 Residential Mortgage Pass / not rated $ 5,733 $ 90,958 $ 217,343 $ 168,827 $ 55,246 $ 40,554 $ — $ 578,661 Special mention — — — — — — — — Substandard — 122 536 561 1,715 637 — 3,571 Doubtful / loss — — — — — — — — Subtotal $ 5,733 $ 91,080 $ 217,879 $ 169,388 $ 56,961 $ 41,191 $ — $ 582,232 Consumer and Other Pass / not rated $ 8,309 $ 2,463 $ 1,818 $ 2,321 $ 4,756 $ 2,811 $ 27,890 $ 50,368 Special mention — — — 103 — — — 103 Substandard — — — — 55 532 2 589 Doubtful / loss — — — — — — — — Subtotal $ 8,309 $ 2,463 $ 1,818 $ 2,424 $ 4,811 $ 3,343 $ 27,892 $ 51,060 Total Loans Pass / not rated $ 2,907,906 $ 2,292,068 $ 2,088,791 $ 1,595,141 $ 917,069 $ 1,362,723 $ 1,848,017 $ 13,011,715 Special mention 5,996 30,498 55,421 25,426 20,190 40,411 6,999 184,941 Substandard 2,556 15,678 35,152 52,730 58,299 188,622 13,519 366,556 Doubtful / loss — — 1 — — — — 1 Total $ 2,916,458 $ 2,338,244 $ 2,179,365 $ 1,673,297 $ 995,558 $ 1,591,756 $ 1,868,535 $ 13,563,213 |
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 three and six months ended June 30, 2021 and 2020 is presented in the following table: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 Transfer of loans held for investment to held for sale (Dollars in thousands) Real estate - commercial $ 171,175 $ — $ 171,175 $ — Commercial business 9,660 — 9,660 — Residential mortgage — — — 1,002 Total $ 180,835 $ — $ 180,835 $ 1,002 |
Troubled Debt Restructurings | A summary of the recorded investment of TDR loans on accrual and nonaccrual status by type of concession as of June 30, 2021 and December 31, 2020 is presented below: As of June 30, 2021 TDR Loans on Accrual Status TDR Loans on Nonaccrual Status Total TDRs Real Estate Commercial Business Residential Mortgage Other Real Estate Commercial Business Residential Mortgage Other (Dollars in thousands) Payment concession $ 17,305 $ 808 $ — $ 58 $ 8,357 $ 523 $ — $ — $ 27,051 Maturity / amortization concession 19,996 7,380 — 133 22,889 3,404 — 117 53,919 Rate concession 5,303 377 — — 398 1,422 — — 7,500 Total $ 42,604 $ 8,565 $ — $ 191 $ 31,644 $ 5,349 $ — $ 117 $ 88,470 As of December 31, 2020 TDR Loans on Accrual Status TDR Loans on Nonaccrual Status Total Real Estate Commercial Business Residential Mortgage Other Real Estate Commercial Business Residential Mortgage Other (Dollars in thousands) Payment concession $ 8,328 $ 814 $ — $ 58 $ 7,074 $ 471 $ — $ — $ 16,745 Maturity / amortization concession 11,331 10,219 — 114 925 3,814 — 117 26,520 Rate concession 6,112 378 — — 424 1,430 — — 8,344 Total $ 25,771 $ 11,411 $ — $ 172 $ 8,423 $ 5,715 $ — $ 117 $ 51,609 The following tables present the recorded investment of loans classified as TDR during the three and six months ended June 30, 2021 and 2020 by class of loans: Three Months Ended June 30, 2021 Three Months Ended June 30, 2020 Number of Loans Balance Number of Loans Balance (Dollars in thousands) Real estate – residential — $ — 1 $ 216 Real estate – commercial Retail 4 6,527 — — Hotel & motel — — — — Gas station & car wash — — 1 479 Mixed use 1 4,624 1 464 Industrial & warehouse — — — — Other — — — — Real estate – construction — — — — Commercial business 2 312 2 234 Residential mortgage — — — — Consumer and other 1 12 3 14 Total 8 $ 11,475 8 $ 1,407 For the Six Months Ended June 30, 2021 For the Six Months Ended June 30, 2020 Number of Loans Balance Number of Loans Balance (Dollars in thousands) Real estate – residential — $ — 1 $ 216 Real estate – commercial Retail 7 30,236 1 676 Hotel & motel — — — — Gas station & car wash 1 575 2 527 Mixed use 1 4,624 1 464 Industrial & warehouse 2 9,149 1 261 Other — — — — Real estate – construction — — — — Commercial business 3 331 3 523 Residential mortgage — — — — Consumer and other 5 54 4 30 Total 19 $ 44,969 13 $ 2,697 |
Summary of Troubled Debt Restructurings with Subsequent Payment Default | The following tables present loans modified as TDRs within the previous twelve months ended June 30, 2021 and 2020 that subsequently had payment defaults during the three and six months ended June 30, 2021 and 2020: Three Months Ended June 30, 2021 Three Months Ended June 30, 2020 Number of Loans Balance Number of Loans Balance (Dollars in thousands) Real estate – residential — $ — — $ — Real estate – commercial Retail 1 22,589 — — Hotel & motel — — 1 543 Gas station & car wash — — — — Mixed Use — — — — Industrial & warehouse 2 9,149 — — Other — — 1 133 Real estate – construction — — — — Commercial business — — 1 18 Residential mortgage — — — — Consumer and other 2 16 — — Total 5 $ 31,754 3 $ 694 Six Months Ended June 30, 2021 Six Months Ended June 30, 2020 Number of Loans Balance Number of Loans Balance (Dollars in thousands) Real estate – residential — $ — 1 $ 216 Real estate – commercial Retail 2 23,551 1 676 Hotel & motel — — 1 543 Gas station & car wash — — 1 478 Mixed Use — — 1 464 Industrial & warehouse 2 9,149 1 261 Other — — 1 133 Real estate – construction — — — — Commercial business 1 131 2 32 Residential mortgage — — — — Consumer and other 4 42 1 6 Total 9 $ 32,873 10 $ 2,809 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Leases [Abstract] | |
Summary of Net Lease Cost and Other Information | The table below summarizes the Company’s net lease cost: Three Months Ended June 30, For the Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Operating lease cost $ 3,891 $ 3,879 $ 7,720 $ 7,824 Short term lease cost — — — — Variable lease cost 747 772 1,501 3,397 Sublease income (99) (214) (252) (426) Net lease cost $ 4,539 $ 4,437 $ 8,969 $ 10,795 The table below summarizes other information related to the Company’s operating leases: At or for the Six Months Ended At or for the Six Months Ended (Dollars in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash outflows for operating leases $ 7,428 $ 7,392 Right-of-use assets obtained in exchange for lease liabilities, net — 1,541 Weighted-average remaining lease term - operating leases 5.2 years 5.5 years Weighted-average discount rate - operating leases 2.69 % 3.01 % |
Summary of Maturity of Remaining Lease Liabilities | The table below summarizes the maturity of remaining lease liabilities: June 30, 2021 (Dollars in thousands) 2021 $ 7,277 2022 11,312 2023 9,613 2024 8,684 2025 7,319 2026 and thereafter 11,971 Total lease payments 56,176 Less: imputed interest 3,999 Total lease obligations $ 52,177 |
Financial Services, Banking and
Financial Services, Banking and Thrift (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Deposits [Abstract] | |
Schedule of Deposits | The following is breakdown of the Company’s deposits at June 30, 2021 and December 31, 2020: At June 30, 2021 At December 31, 2020 Balance Percentage (%) Balance Percentage (%) (Dollars in thousands) Noninterest bearing demand deposits $ 5,638,115 38 % $ 4,814,254 34 % Money market and NOW accounts 5,786,697 39 % 5,232,413 36 % Saving deposits 308,651 2 % 300,770 2 % Time deposits 2,992,767 21 % 3,986,475 28 % Total deposits $ 14,726,230 100 % $ 14,333,912 100 % |
Borrowings (Tables)
Borrowings (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Debt Disclosure [Abstract] | |
Contractual Maturities for FHLB-SF Borrowings | At June 30, 2021, the contractual maturities for outstanding FHLB advances were as follows: June 30, 2021 Scheduled maturities in: (Dollars in thousands) 2021 $ 100,000 2022 100,000 Total $ 200,000 |
Subordinated Debentures and C_2
Subordinated Debentures and Convertible Notes (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Subordinated Borrowings [Abstract] | |
Summary of Trust Preferred Securities and Debentures | The following table is a summary of trust preferred securities and Debentures at June 30, 2021: Issuance Trust Issuance Date Trust Preferred Security Amount Carrying Value of Debentures Rate Type Current Rate Maturity Date (Dollars in thousands) Nara Capital Trust III 06/05/2003 $ 5,000 $ 5,155 Variable 3.269% 06/15/2033 Nara Statutory Trust IV 12/22/2003 5,000 5,155 Variable 3.034% 01/07/2034 Nara Statutory Trust V 12/17/2003 10,000 10,310 Variable 3.075% 12/17/2033 Nara Statutory Trust VI 03/22/2007 8,000 8,248 Variable 1.769% 06/15/2037 Center Capital Trust I 12/30/2003 18,000 14,572 Variable 3.034% 01/07/2034 Wilshire Trust II 03/17/2005 20,000 16,082 Variable 1.915% 03/17/2035 Wilshire Trust III 09/15/2005 15,000 11,423 Variable 1.519% 09/15/2035 Wilshire Trust IV 07/10/2007 25,000 18,480 Variable 1.499% 09/15/2037 Saehan Capital Trust I 03/30/2007 20,000 15,337 Variable 1.767% 06/30/2037 Total $ 126,000 $ 104,762 |
Convertible Debt | The value of the convertible note at issuance and the carrying value as of June 30, 2021 and December 31, 2020 are presented in the tables below: As of June 30, 2021 Amortization/ Gross Accumulated Carrying Amount (Dollars in thousands) Convertible notes principal balance $ 217,500 $ — $ 217,500 Issuance costs to be capitalized 5 years (4,119) 2,358 (1,761) Carrying balance of convertible notes $ 213,381 $ 2,358 $ 215,739 As of December 31, 2020 Amortization/ Gross Accumulated Carrying Amount (Dollars in thousands) Convertible notes principal balance $ 217,500 $ — $ 217,500 Discount 5 years (21,880) 10,951 (10,929) Issuance costs to be capitalized 5 years (4,119) 2,113 (2,006) Carrying balance of convertible notes $ 191,501 $ 13,064 $ 204,565 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Interest Rate Swaps Related to Hedging Program | At June 30, 2021 and December 31, 2020, interest rate swaps related to the Company’s loan hedging program that were outstanding are presented in the following table: June 30, 2021 December 31, 2020 (Dollars in thousands) Interest rate swaps on loans with correspondent banks (included in other assets) Notional amount $ 93,433 $ — Weighted average remaining term (years) 8.8 0.0 Pay fixed rate (weighted average) 2.86 % — % Received variable rate (weighted average) 2.08 % — % Estimated fair value $ 1,763 $ — Interest rate swaps on loans with correspondent banks (included in other liabilities) Notional amount $ 418,767 $ 503,929 Weighted average remaining term (years) 6.0 6.8 Pay fixed rate (weighted average) 4.06 % 3.86 % Received variable rate (weighted average) 2.21 % 2.26 % Estimated fair value $ (21,358) $ (34,606) Back to back interest rate swaps with loan customers (included in other liabilities) Notional amount $ 93,433 $ — Weighted average remaining term (years) 8.8 0.0 Received fixed rate (weighted average) 2.86 % — % Pay variable rate (weighted average) 2.08 % — % Estimated fair value $ (1,763) $ — Back to back interest rate swaps with loan customers (included in other assets) Notional amount $ 418,767 $ 503,929 Weighted average remaining term (years) 6.0 6.8 Received fixed rate (weighted average) 4.06 % 3.86 % Pay variable rate (weighted average) 2.21 % 2.26 % Estimated fair value $ 21,358 $ 34,606 |
Schedule of Derivative Instruments | June 30, 2021 December 31, 2020 (Dollars in thousands) Interest rate swaps designated as cash flow hedge (included in other assets) Notional amount $ 100,000 $ — Weighted average remaining term (years) 4.0 0.0 Received variable rate (weighted average) 0.19 % — % Pay fixed rate (weighted average) 0.49 % — % Estimated fair value $ 921 $ — Interest rate swaps designated as cash flow hedge (included in other liabilities) Notional amount $ — $ 100,000 Weighted average remaining term (years) 0.0 4.3 Received variable rate (weighted average) — % 0.22 % Pay fixed rate (weighted average) — % 0.49 % Estimated fair value $ — $ (602) The following table reflects the notional amount and fair value of mortgage banking derivatives for the dates indicated: As of June 30, 2021 As of December 31, 2020 Notional Amount Fair Value Notional Amount Fair Value (Dollars in thousands) Assets: Interest rate lock commitments $ 23,792 $ 213 $ 37,507 $ 679 Forward sale contracts related to mortgage banking $ 11,942 $ 29 $ 8,641 $ 45 Liabilities: Interest rate lock commitments $ 2,368 $ (4) $ 6,267 $ (31) Forward sale contracts related to mortgage banking $ 14,217 $ (48) $ 35,133 $ (79) |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments | Commitments at June 30, 2021 and December 31, 2020 are summarized as follows: June 30, 2021 December 31, 2020 (Dollars in thousands) Commitments to extend credit $ 2,483,026 $ 2,137,178 Standby letters of credit 115,629 108,834 Other letters of credit 55,609 40,508 Commitments to fund investments in affordable housing partnerships 10,654 15,148 |
Goodwill, Intangible Assets, _2
Goodwill, Intangible Assets, and Servicing Assets (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite-Lived Intangible Assets | The following table provides information regarding the core deposit intangibles at June 30, 2021 and December 31, 2020: As of June 30, 2021 As of December 31, 2020 Core Deposit Intangibles Related To: Amortization Period Gross Accumulated Carrying Amount Accumulated Carrying Amount (Dollars in thousands) Foster Bankshares acquisition 10 years $ 2,763 $ (2,413) $ 350 $ (2,322) $ 441 Wilshire Bancorp acquisition 10 years 18,138 (9,799) 8,339 (8,871) 9,267 Total $ 20,901 $ (12,212) $ 8,689 $ (11,193) $ 9,708 |
Schedule of Servicing Assets | The changes in servicing assets for the three and six months ended June 30, 2021 and 2020 were as follows: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Balance at beginning of period $ 12,084 $ 14,847 $ 12,692 $ 16,417 Additions through originations of servicing assets 737 759 1,329 1,136 Amortization (1,255) (1,442) (2,455) (3,389) Balance at end of period $ 11,566 $ 14,164 $ 11,566 $ 14,164 |
Summary of Fair Value Inputs | The inputs used in evaluating servicing assets for impairment at June 30, 2021 and December 31, 2020 are presented below. June 30, 2021 December 31, 2020 SBA Servicing Assets: Weighted-average discount rate 11.72% 9.93% Constant prepayment rate 14.23% 14.40% Mortgage Servicing Assets: Weighted-average discount rate 8.51% 8.26% Constant prepayment rate 9.02% 8.63% |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
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 at the End of June 30, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs Significant Unobservable Inputs (Dollars in thousands) Assets: Securities available for sale: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 864,576 $ — $ 864,576 $ — Mortgage-backed securities: Residential 660,202 — 660,202 — Commercial 555,613 — 555,613 — Asset-backed securities 62,369 — 62,369 — Corporate securities 22,614 — 22,614 — Municipal securities 108,796 — 107,738 1,058 Equity investments with readily determinable fair value 27,205 27,205 — — Interest rate swaps 23,121 — 23,121 — Mortgage banking derivatives 242 — 242 — Other derivatives 921 — 921 — Liabilities: Interest rate swaps 23,121 — 23,121 — Mortgage banking derivatives 52 — 52 — Other derivatives 64 — — 64 Fair Value Measurements at the End of December 31, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs Significant Unobservable Inputs (Dollars in thousands) Assets: Securities available for sale: U.S. Government agency and U.S. Government sponsored enterprises: Collateralized mortgage obligations $ 1,001,317 $ — $ 1,001,317 $ — Mortgage-backed securities: Residential 681,013 — 681,013 — Commercial 507,879 — 507,879 — Corporate securities 6,134 — 6,134 — Municipal securities 89,268 — 88,246 1,022 Equity investments with readily determinable fair value 27,611 27,611 — — Interest rate swaps 34,606 — 34,606 — Mortgage banking derivatives 724 — 724 — Liabilities: Interest rate swaps 34,606 — 34,606 — Mortgage banking derivatives 110 — 110 — Other derivatives 1,000 — 602 398 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation | The table below presents a reconciliation and income statement classification of gains (losses) for our municipal security and risk participation agreements measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the three and six months ended June 30, 2021 and 2020: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Municipal securities: Beginning Balance $ 1,065 $ 1,079 $ 1,022 $ 1,076 Change in fair value included in other comprehensive income (loss) (7) (13) 36 (10) Ending Balance $ 1,058 $ 1,066 $ 1,058 $ 1,066 Risk participation agreements: Beginning Balance $ 95 $ — $ 398 $ — Change in fair value included in income (31) 223 (334) 223 Ending Balance $ 64 $ 223 $ 64 $ 223 |
Assets Measured at Fair Value on a Non-recurring Basis | Assets measured at fair value on a non-recurring basis are summarized below: Fair Value Measurements at the End of June 30, 2021 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs Significant Unobservable Inputs (Dollars in thousands) Assets: Collateral dependent loans at fair value: Real estate loans $ 50,593 $ — $ — $ 50,593 Commercial business 3,601 — — 3,601 OREO 15,759 — — 15,759 Fair Value Measurements at the End of December 31, 2020 Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Other Observable Inputs Significant Unobservable Inputs (Dollars in thousands) Assets: Collateral dependent loans at fair value: Real estate loans $ 21,688 $ — $ — $ 21,688 Commercial business 7,694 — — 7,694 OREO 19,260 — — 19,260 For assets measured at fair value on a non-recurring basis, the total net losses, which include charge offs, recoveries, recorded ACL, valuations, and recognized gains and losses on sales are summarized below: For the Three Months Ended June 30, For the Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Assets: Collateral dependent loans at fair value: Real estate loans $ (25,411) $ (2,746) $ (27,738) $ (5,067) Commercial business (2,151) (3,178) (2,151) (5,746) OREO (154) (1,435) (323) (2,779) |
Carrying Amounts and Estimated Fair Values of Financial Instruments | Carrying amounts and estimated fair values of financial instruments, not previously presented, at June 30, 2021 and December 31, 2020 were as follows: June 30, 2021 Carrying Amount Estimated Fair Value Fair Value Measurement (Dollars in thousands) Financial Assets: Cash and cash equivalents $ 836,957 $ 836,957 Level 1 Interest bearing deposits in other financial institutions 18,268 18,283 Level 2 Equity investments without readily determinable fair values 31,827 31,827 Level 2 Loans held for sale 54,245 57,365 Level 2 Loans receivable—net 13,234,849 13,236,867 Level 3 Accrued interest receivable 51,886 51,886 Level 2/3 Servicing assets, net 11,566 14,438 Level 3 Customers’ liabilities on acceptances 916 916 Level 2 Financial Liabilities: Noninterest bearing deposits $ 5,638,115 $ 5,638,115 Level 2 Saving and other interest bearing demand deposits 6,095,348 6,095,348 Level 2 Time deposits 2,992,767 2,996,197 Level 2 FHLB advances 200,000 203,251 Level 2 Convertible notes, net 215,739 214,238 Level 1 Subordinated debentures 104,762 112,429 Level 2 Accrued interest payable 4,946 4,946 Level 2 Acceptances outstanding 916 916 Level 2 December 31, 2020 Carrying Amount Estimated Fair Value Fair Value Measurement (Dollars in thousands) Financial Assets: Cash and cash equivalents $ 350,579 $ 350,579 Level 1 Interest bearing deposits in other financial institutions 28,642 28,669 Level 2 Equity investments without readily determinable fair values 32,088 32,088 Level 2 Loans held for sale 17,743 18,288 Level 2 Loans receivable—net 13,356,472 13,428,706 Level 3 Accrued interest receivable 59,430 59,430 Level 2/3 Servicing assets, net 12,692 15,785 Level 3 Customers’ liabilities on acceptances 1,184 1,184 Level 2 Financial Liabilities: Noninterest bearing deposits $ 4,814,254 $ 4,814,254 Level 2 Saving and other interest bearing demand deposits 5,533,183 5,533,183 Level 2 Time deposits 3,986,475 3,992,973 Level 2 FHLB advances 250,000 254,456 Level 2 Convertible notes, net 204,565 201,731 Level 1 Subordinated debentures 104,178 98,948 Level 2 Accrued interest payable 14,706 14,706 Level 2 Acceptances outstanding 1,184 1,184 Level 2 |
Stockholders_ Equity (Tables)
Stockholders’ Equity (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Equity [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table presents the quarterly changes to accumulated other comprehensive income for the three and six months ended June 30, 2021 and 2020: Three Months Ended, Six Months Ended, June 30, 2021 June 30, 2020 June 30, 2021 June 30, 2020 (Dollars in thousands) Balance at beginning of period $ 5,223 $ 36,449 $ 32,753 $ 9,149 Unrealized net gains (losses) on securities available for sale 14,186 3,270 (26,617) 42,123 Unrealized net gains (losses) on interest rate swaps used for cash flow hedge (297) (711) 1,523 (711) Reclassification adjustments for net losses (gains) realized in net income 73 (139) 139 (139) Tax effect (4,134) (720) 7,253 (12,273) Other comprehensive income (loss), net of tax $ 9,828 $ 1,700 $ (17,702) $ 29,000 Balance at end of period $ 15,051 $ 38,149 $ 15,051 $ 38,149 |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Stock Option Activity Under the Plan | The following is a summary of the Company’s stock option activity for the six months ended June 30, 2021: Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Aggregate Intrinsic Value (Dollars in thousands) Outstanding - January 1, 2021 851,580 $ 15.25 Granted — — Exercised — — Expired (16,703) 17.12 Forfeited — — Outstanding - June 30, 2021 834,877 $ 15.22 3.91 $ 959 Options exercisable - June 30, 2021 796,877 $ 15.12 3.85 $ 959 |
Summary of Restricted Stock and Performance Unit Activity Under the Plan | The following is a summary of the Company’s restricted stock and performance unit activity for the six months ended June 30, 2021: Number of Shares Weighted-Average Grant Date Fair Value Outstanding (unvested) - January 1, 2021 1,718,838 $ 10.73 Granted 652,909 15.65 Vested (604,703) 11.75 Forfeited (135,053) 13.18 Outstanding (unvested) - June 30, 2021 1,631,991 $ 12.12 |
Regulatory Matters (Tables)
Regulatory Matters (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Banking Regulation [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | The Company’s and the Bank’s levels and ratios are presented in the tables below for the dates indicated and include the effects of the Company’s election to utilize the five-year transition described above: Actual Required For Capital Adequacy Purposes Minimum Capital Adequacy Required To Be Well Capitalized As of June 30, 2021 Amount Ratio Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) Common equity Tier 1 capital Company $ 1,642,492 11.44 % $ 645,961 4.50 % $ 1,004,828 7.00 % N/A N/A Bank $ 1,932,546 13.47 % $ 645,615 4.50 % $ 1,004,289 7.00 % $ 932,555 6.50 % Total capital Company $ 1,888,996 13.16 % $ 1,148,375 8.00 % $ 1,507,242 10.50 % N/A N/A Bank $ 2,078,189 14.49 % $ 1,147,759 8.00 % $ 1,506,434 10.50 % $ 1,434,699 10.00 % Tier 1 capital Company $ 1,743,353 12.14 % $ 861,281 6.00 % $ 1,220,148 8.50 % N/A N/A Bank $ 1,932,546 13.47 % $ 860,820 6.00 % $ 1,219,494 8.50 % $ 1,147,759 8.00 % Tier 1 capital Company $ 1,743,353 10.43 % $ 668,540 4.00 % N/A N/A N/A N/A Bank $ 1,932,546 11.56 % $ 668,416 4.00 % N/A N/A $ 835,520 5.00 % Actual Required For Capital Adequacy Purposes Minimum Capital Adequacy Required To Be Well Capitalized As of December 31, 2020 Amount Ratio Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) Common equity Tier 1 capital Company $ 1,568,508 10.94 % $ 645,366 4.50 % $ 1,003,902 7.00 % N/A N/A Bank $ 1,850,091 12.90 % $ 645,277 4.50 % $ 1,003,764 7.00 % $ 932,066 6.50 % Total capital Company $ 1,846,229 12.87 % $ 1,147,317 8.00 % $ 1,505,853 10.50 % N/A N/A Bank $ 2,027,534 14.14 % $ 1,147,159 8.00 % $ 1,505,646 10.50 % $ 1,433,948 10.00 % Tier 1 capital Company $ 1,668,786 11.64 % $ 860,487 6.00 % $ 1,219,024 8.50 % N/A N/A Bank $ 1,850,091 12.90 % $ 860,369 6.00 % $ 1,218,856 8.50 % $ 1,147,159 8.00 % Tier 1 capital Company $ 1,668,786 10.22 % $ 653,163 4.00 % N/A N/A N/A N/A Bank $ 1,850,091 11.33 % $ 653,241 4.00 % N/A N/A $ 816,551 5.00 % |
Revenue Recognition (Tables)
Revenue Recognition (Tables) | 6 Months Ended |
Jun. 30, 2021 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | Service charges on deposit accounts and wire transfers are summarized below: Three Months Ended June 30, Six Months Ended June 30, 2021 2020 2021 2020 (Dollars in thousands) Noninterest bearing deposit account income: Monthly service charges $ 266 $ 329 $ 549 $ 697 Customer analysis charges 788 1,513 1,485 3,383 NSF charges 618 561 1,315 2,216 Other service charges 82 157 170 373 Total noninterest bearing deposit account income 1,754 2,560 3,519 6,669 Interest bearing deposit account income: Monthly service charges 23 23 48 47 Total service fees on deposit accounts $ 1,777 $ 2,583 $ 3,567 $ 6,716 Wire transfer fee income: Wire transfer fees $ 786 $ 765 $ 1,489 $ 1,571 Foreign exchange fees 137 55 278 247 Total wire transfer fees $ 923 $ 820 $ 1,767 $ 1,818 |
Basis of Presentation (Details)
Basis of Presentation (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Interest on other borrowings and convertible notes | $ 2,300 | $ 3,558 | $ 4,602 | $ 7,375 | |
Accounting Standards Update 2020-06 | Convertible Notes | Cumulative Effect, Period of Adoption, Adjustment | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Interest on other borrowings and convertible notes | 1,000 | $ 2,100 | |||
Retained earnings | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Convertible debt, cumulative effect on retained earnings before tax | $ 10,715 | ||||
Retained earnings | Accounting Standards Update 2020-06 | Cumulative Effect, Period of Adoption, Adjustment | |||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||
Convertible debt, cumulative effect on retained earnings before tax | $ 10,700 |
Earnings Per Share (Details)
Earnings Per Share (Details) | Jun. 07, 2018 | Mar. 31, 2020USD ($)shares | Jun. 30, 2021USD ($)$ / sharesshares | Jun. 30, 2020USD ($)$ / sharesshares | Jun. 30, 2021USD ($)$ / sharesshares | Jun. 30, 2020USD ($)$ / sharesshares | Jun. 30, 2020USD ($)shares | Sep. 30, 2020USD ($) | Jun. 06, 2018USD ($) |
Antidilutive Securities Excluded from Computation of Earnings Per Share | |||||||||
Share repurchase program, authorized amount | $ | $ 50,000,000 | ||||||||
Common stock repurchased and recorded as treasury stock (in shares) | shares | 2,716,034 | 0 | 12,661,581 | ||||||
Repurchase of treasury stock | $ | $ 36,200,000 | $ 36,180,000 | $ 200,000,000 | ||||||
Net Income (Numerator) | |||||||||
Basic EPS - common stock | $ | $ 53,763,000 | $ 26,753,000 | $ 97,450,000 | 52,706,000 | |||||
Diluted EPS - common stock | $ | $ 53,763,000 | $ 26,753,000 | $ 97,450,000 | $ 52,706,000 | |||||
Weighted-Average Shares (Denominator) | |||||||||
Basic EPS - common stock (in shares) | shares | 123,592,695 | 123,200,127 | 123,459,461 | 123,747,727 | |||||
Effect of dilutive securities: | |||||||||
Stock options, restricted stock, and ESPP shares (in shares) | shares | 731,193 | 230,764 | 874,766 | 306,564 | |||||
Diluted EPS - common stock (shares) | shares | 124,323,888 | 123,430,891 | 124,334,227 | 124,054,291 | |||||
Earnings Per Share | |||||||||
Basic EPS - common stock (in dollars per share) | $ / shares | $ 0.44 | $ 0.22 | $ 0.79 | $ 0.43 | |||||
Diluted EPS - common stock (in dollars per share) | $ / shares | $ 0.43 | $ 0.22 | $ 0.78 | $ 0.42 | |||||
Convertible Notes | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | |||||||||
Aggregate principal amount issued | $ | $ 217,500,000 | $ 217,500,000 | $ 217,500,000 | ||||||
Initial conversion rate | 0.0450760 | 0.0450760 | |||||||
Stock options and restricted share awards | |||||||||
Antidilutive Securities Excluded from Computation of Earnings Per Share | |||||||||
Antidilutive shares of common stock | shares | 544,925 | 1,450,408 | 775,710 | 737,208 |
Equity Investments - Narrative
Equity Investments - Narrative (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Net Investment Income [Line Items] | |||||
Equity investments with readily determinable fair value | $ 59,032,000 | $ 59,032,000 | $ 59,699,000 | ||
Equity investments without readily determinable fair values | 31,800,000 | 31,800,000 | 32,100,000 | ||
Equity investments without readily determinable fair values, impairment | 0 | $ 0 | 0 | $ 0 | |
Equity investments without readily determinable fair values, observable price changes | 0 | $ 0 | 0 | $ 0 | |
Mutual funds | |||||
Net Investment Income [Line Items] | |||||
Equity investments with readily determinable fair value | 27,200,000 | 27,200,000 | 27,600,000 | ||
Correspondent bank stock | |||||
Net Investment Income [Line Items] | |||||
Equity investments without readily determinable fair values | 370,000 | 370,000 | 370,000 | ||
CDFI investments | |||||
Net Investment Income [Line Items] | |||||
Equity investments without readily determinable fair values | 1,000,000 | 1,000,000 | 1,000,000 | ||
CRA investments | |||||
Net Investment Income [Line Items] | |||||
Equity investments without readily determinable fair values | $ 30,500,000 | $ 30,500,000 | $ 30,700,000 |
Equity Investments - Change in
Equity Investments - Change in Fair Value of Equity Investments (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | ||||
Net change in fair value recorded during the period on equity investments with readily determinable fair value | $ 77 | $ 188 | $ (407) | $ 542 |
Net change in fair value recorded on equity investments sold during the period | 0 | 0 | 0 | 0 |
Net change in fair value on equity investments with readily determinable fair values | $ 77 | $ 188 | $ (407) | $ 542 |
Securities Available for Sale -
Securities Available for Sale - Summary of Securities Available for Sale (Details) | 6 Months Ended | 9 Months Ended | ||
Jun. 30, 2021USD ($)security | Jun. 30, 2020USD ($) | Sep. 30, 2020 | Dec. 31, 2020USD ($)security | |
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | $ 2,254,609,000 | $ 2,239,433,000 | ||
Gross Unrealized Gains | 30,869,000 | 48,041,000 | ||
Gross Unrealized Losses | (11,308,000) | (1,863,000) | ||
Allowance For Investment Credit Losses | 0 | 0 | ||
Fair Value | 2,274,170,000 | 2,285,611,000 | ||
Net gains on sales of securities available for sale | 0 | $ 0 | ||
Proceeds from sale of securities available for sale | 0 | $ 0 | ||
Unrealized gains on securities available for sale net of taxes | $ 15,051,000 | $ 32,753,000 | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 91 | 33 | ||
Accrued interest receivable for investment securities available for sale | $ 4,700,000 | $ 4,700,000 | ||
Available-for-sale Securities | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Unrealized gains on securities available for sale net of taxes | 14,400,000 | 33,200,000 | ||
Collateralized mortgage obligations | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | 858,603,000 | 990,679,000 | ||
Gross Unrealized Gains | 8,362,000 | 11,482,000 | ||
Gross Unrealized Losses | (2,389,000) | (844,000) | ||
Allowance For Investment Credit Losses | 0 | 0 | ||
Fair Value | 864,576,000 | 1,001,317,000 | ||
No single maturity date, fair value | 864,576,000 | |||
Mortgage-backed securities | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Allowance For Investment Credit Losses | 0 | |||
Mortgage-backed securities: Residential | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | 663,223,000 | 672,667,000 | ||
Gross Unrealized Gains | 3,127,000 | 8,460,000 | ||
Gross Unrealized Losses | (6,148,000) | (114,000) | ||
Allowance For Investment Credit Losses | 0 | 0 | ||
Fair Value | $ 660,202,000 | $ 681,013,000 | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 47 | 8 | ||
No single maturity date, fair value | $ 660,202,000 | |||
Mortgage-backed securities: Commercial | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | 540,908,000 | $ 482,874,000 | ||
Gross Unrealized Gains | 16,443,000 | 25,026,000 | ||
Gross Unrealized Losses | (1,738,000) | (21,000) | ||
Allowance For Investment Credit Losses | 0 | 0 | ||
Fair Value | $ 555,613,000 | $ 507,879,000 | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 11 | 1 | ||
No single maturity date, fair value | $ 555,613,000 | |||
Corporate securities | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | 23,422,000 | $ 7,000,000 | ||
Gross Unrealized Gains | 120,000 | 15,000 | ||
Gross Unrealized Losses | (928,000) | (881,000) | ||
Allowance For Investment Credit Losses | 0 | 0 | ||
Fair Value | $ 22,614,000 | $ 6,134,000 | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 3 | 1 | ||
Municipal securities | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | $ 106,125,000 | $ 86,213,000 | ||
Gross Unrealized Gains | 2,715,000 | 3,058,000 | ||
Gross Unrealized Losses | (44,000) | (3,000) | ||
Allowance For Investment Credit Losses | 0 | 0 | ||
Fair Value | $ 108,796,000 | $ 89,268,000 | ||
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 5 | 1 | ||
Non-US Government and Agency Securities | Credit concentration risk | Stockholders' equity | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Maximum exposure to any single issuer | 10.00% | 10.00% | ||
Asset-backed Securities | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Amortized Cost | $ 62,328,000 | |||
Gross Unrealized Gains | 102,000 | |||
Gross Unrealized Losses | (61,000) | |||
Allowance For Investment Credit Losses | 0 | |||
Fair Value | $ 62,369,000 | |||
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 4 | |||
No single maturity date, fair value | $ 62,369,000 | |||
U.S. Government Agency and U.S. Government Sponsored Enterprises | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Percentage of portfolio | 91.00% |
Securities Available for Sale_2
Securities Available for Sale - Amortized Cost and Estimated Fair Value (Details) $ in Thousands | Jun. 30, 2021USD ($)security | Dec. 31, 2020USD ($)security |
Amortized Cost | ||
Due within one year | $ 350 | |
Due after one year through five years | 0 | |
Due after five years through ten years | 37,825 | |
Due after ten years | 91,372 | |
Amortized Cost | 2,254,609 | $ 2,239,433 |
Estimated Fair Value | ||
Due within one year | 351 | |
Due after one year through five years | 0 | |
Due after five years through ten years | 38,270 | |
Due after ten years | 92,789 | |
Estimated Fair Value | 2,274,170 | 2,285,611 |
Carrying value of securities pledged to secure public deposits, pledged for various borrowings and for other purposes required or permitted by law | $ 354,800 | $ 376,100 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 91 | 33 |
Collateralized mortgage obligations | ||
Amortized Cost | ||
Amortized Cost | $ 858,603 | $ 990,679 |
Estimated Fair Value | ||
No single maturity date, fair value | 864,576 | |
Estimated Fair Value | 864,576 | 1,001,317 |
Mortgage-backed securities: Residential | ||
Amortized Cost | ||
Amortized Cost | 663,223 | 672,667 |
Estimated Fair Value | ||
No single maturity date, fair value | 660,202 | |
Estimated Fair Value | $ 660,202 | $ 681,013 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 47 | 8 |
Mortgage-backed securities: Commercial | ||
Amortized Cost | ||
Amortized Cost | $ 540,908 | $ 482,874 |
Estimated Fair Value | ||
No single maturity date, fair value | 555,613 | |
Estimated Fair Value | $ 555,613 | $ 507,879 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 11 | 1 |
Asset-backed Securities | ||
Amortized Cost | ||
Amortized Cost | $ 62,328 | |
Estimated Fair Value | ||
No single maturity date, fair value | 62,369 | |
Estimated Fair Value | $ 62,369 | |
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 4 | |
Municipal Bonds [Member] | ||
Amortized Cost | ||
Amortized Cost | $ 106,125 | $ 86,213 |
Estimated Fair Value | ||
Estimated Fair Value | $ 108,796 | $ 89,268 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Number of Positions | security | 5 | 1 |
Securities Available for Sale_3
Securities Available for Sale - Aggregate Unrealized Losses and Fair Value (Details) | 6 Months Ended | ||
Jun. 30, 2021USD ($)security | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($)security | |
Number of Securities | |||
Less than 12 months | security | 89 | 32 | |
12 months or longer | security | 2 | 1 | |
Total | security | 91 | 33 | |
Fair Value | |||
Less than 12 months | $ 1,082,336,000 | $ 370,123,000 | |
12 months or longer | 4,279,000 | 4,119,000 | |
Total | 1,086,615,000 | 374,242,000 | |
Gross Unrealized Losses | |||
Less than 12 months | (10,583,000) | (982,000) | |
12 months or longer | (725,000) | (881,000) | |
Total | (11,308,000) | (1,863,000) | |
Allowance for credit losses for available for sale securities | 0 | $ 0 | |
Net gains on sales of securities available for sale | $ 0 | $ 0 | |
Collateralized mortgage obligations | |||
Number of Securities | |||
Less than 12 months | security | 20 | 22 | |
12 months or longer | security | 1 | 0 | |
Total | security | 21 | 22 | |
Fair Value | |||
Less than 12 months | $ 421,753,000 | $ 312,757,000 | |
12 months or longer | 4,000 | 0 | |
Total | 421,757,000 | 312,757,000 | |
Gross Unrealized Losses | |||
Less than 12 months | (2,389,000) | (844,000) | |
12 months or longer | 0 | 0 | |
Total | (2,389,000) | $ (844,000) | |
Allowance for credit losses for available for sale securities | 0 | ||
Mortgage-backed securities | |||
Gross Unrealized Losses | |||
Allowance for credit losses for available for sale securities | $ 0 | ||
Mortgage-backed securities: Residential | |||
Number of Securities | |||
Less than 12 months | security | 47 | 8 | |
12 months or longer | security | 0 | 0 | |
Total | security | 47 | 8 | |
Fair Value | |||
Less than 12 months | $ 503,686,000 | $ 46,094,000 | |
12 months or longer | 0 | 0 | |
Total | 503,686,000 | 46,094,000 | |
Gross Unrealized Losses | |||
Less than 12 months | (6,148,000) | (114,000) | |
12 months or longer | 0 | 0 | |
Total | (6,148,000) | (114,000) | |
Allowance for credit losses for available for sale securities | $ 0 | $ 0 | |
Mortgage-backed securities: Commercial | |||
Number of Securities | |||
Less than 12 months | security | 11 | 1 | |
12 months or longer | security | 0 | 0 | |
Total | security | 11 | 1 | |
Fair Value | |||
Less than 12 months | $ 115,974,000 | $ 10,275,000 | |
12 months or longer | 0 | 0 | |
Total | 115,974,000 | 10,275,000 | |
Gross Unrealized Losses | |||
Less than 12 months | (1,738,000) | (21,000) | |
12 months or longer | 0 | 0 | |
Total | (1,738,000) | (21,000) | |
Allowance for credit losses for available for sale securities | $ 0 | $ 0 | |
Corporate securities | |||
Number of Securities | |||
Less than 12 months | security | 2 | 0 | |
12 months or longer | security | 1 | 1 | |
Total | security | 3 | 1 | |
Fair Value | |||
Less than 12 months | $ 7,219,000 | $ 0 | |
12 months or longer | 4,275,000 | 4,119,000 | |
Total | 11,494,000 | 4,119,000 | |
Gross Unrealized Losses | |||
Less than 12 months | (203,000) | 0 | |
12 months or longer | (725,000) | (881,000) | |
Total | (928,000) | (881,000) | |
Allowance for credit losses for available for sale securities | $ 0 | $ 0 | |
Municipal securities | |||
Number of Securities | |||
Less than 12 months | security | 5 | 1 | |
12 months or longer | security | 0 | 0 | |
Total | security | 5 | 1 | |
Fair Value | |||
Less than 12 months | $ 4,704,000 | $ 997,000 | |
12 months or longer | 0 | 0 | |
Total | 4,704,000 | 997,000 | |
Gross Unrealized Losses | |||
Less than 12 months | (44,000) | (3,000) | |
12 months or longer | 0 | 0 | |
Total | (44,000) | (3,000) | |
Allowance for credit losses for available for sale securities | $ 0 | $ 0 | |
U.S. Government Agency and U.S. Government Sponsored Enterprises | |||
Gross Unrealized Losses | |||
Percentage of portfolio | 91.00% | ||
Asset-backed Securities | |||
Number of Securities | |||
Less than 12 months | security | 4 | ||
12 months or longer | security | 0 | ||
Total | security | 4 | ||
Fair Value | |||
Less than 12 months | $ 29,000,000 | ||
12 months or longer | 0 | ||
Total | 29,000,000 | ||
Gross Unrealized Losses | |||
Less than 12 months | (61,000) | ||
12 months or longer | 0 | ||
Total | (61,000) | ||
Allowance for credit losses for available for sale securities | $ 0 |
Loans Receivable and Allowanc_3
Loans Receivable and Allowance for Credit Losses - Schedule of Loans Receivable By Major Category (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2021USD ($)segment | Jun. 30, 2020USD ($) | Mar. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Mar. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Loans receivable | $ 13,424,301 | $ 13,424,301 | $ 13,563,213 | |||||
Allowance for credit losses | (189,452) | $ (161,771) | (189,452) | $ (161,771) | $ (207,943) | (206,741) | $ (144,923) | $ (94,144) |
Loans receivable, net of allowance for credit losses | 13,234,849 | 13,234,849 | 13,356,472 | |||||
Net deferred fees/costs | 12,600 | $ 12,600 | 3,600 | |||||
Number of portfolio segments | segment | 4 | |||||||
Increase (Decrease) in Finance Receivables | $ (138,900) | |||||||
ACL for the TDRs that had payment defaults | 23,600 | 86 | 23,600 | 143 | ||||
Proceeds from Sale of Loans Receivable | 30,000 | |||||||
Debt Instrument, Decrease, Forgiveness | 193,500 | |||||||
SBA, Paycheck Protection Program Loans | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Net deferred fees/costs | 15,700 | 15,700 | 6,400 | |||||
Increase (Decrease) in Finance Receivables | 324,500 | |||||||
Real estate loans | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Loans receivable | 8,832,276 | 8,832,276 | 8,772,134 | |||||
Allowance for credit losses | (155,253) | (119,030) | (155,253) | (119,030) | (162,307) | (162,196) | (94,645) | (53,593) |
Real estate loans | Residential | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Loans receivable | 61,360 | 61,360 | 54,795 | |||||
Allowance for credit losses | (330) | (330) | (391) | |||||
Real estate loans | Commercial | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Loans receivable | 8,518,115 | 8,518,115 | 8,425,959 | |||||
Allowance for credit losses | (153,266) | (153,266) | (159,527) | |||||
Real estate loans | Construction | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Loans receivable | 252,801 | 252,801 | 291,380 | |||||
Allowance for credit losses | (1,657) | (1,657) | (2,278) | |||||
Commercial business | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Loans receivable | 4,001,423 | 4,001,423 | 4,157,787 | |||||
Allowance for credit losses | (29,500) | (35,493) | (29,500) | (35,493) | (41,860) | (39,155) | (42,883) | (33,032) |
Increase (Decrease) in Finance Receivables | 283,000 | |||||||
Commercial business | SBA, Paycheck Protection Program Loans | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Loans receivable | 568,800 | 568,800 | 452,700 | |||||
Residential mortgage | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Loans receivable | 543,622 | 543,622 | 582,232 | |||||
Allowance for credit losses | (3,612) | (5,868) | (3,612) | (5,868) | (2,735) | (4,227) | (5,779) | (5,925) |
Financing Receivable, Purchase | 98,300 | |||||||
Consumer and other | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Loans receivable | 46,980 | 46,980 | 51,060 | |||||
Allowance for credit losses | $ (1,087) | $ (1,380) | $ (1,087) | $ (1,380) | $ (1,041) | $ (1,163) | $ (1,616) | $ (1,594) |
Loans Receivable and Allowanc_4
Loans Receivable and Allowance for Credit Losses - Allowance for Credit Losses on Financing Receivables (Details) - USD ($) | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Sep. 30, 2020 | Dec. 31, 2020 | |
Allowance for Loan Losses and the Loans Receivables by Impairment Methodology | ||||||
Accrued interest receivable on loans | $ 47,100,000 | $ 47,100,000 | $ 54,600,000 | |||
Allowance for Loan Losses by Portfolio Segment | ||||||
Balance, beginning of period | 207,943,000 | $ 144,923,000 | 206,741,000 | $ 94,144,000 | $ 94,144,000 | 94,144,000 |
Provision (credit) for credit/loan losses | (7,000,000) | 17,500,000 | (3,700,000) | 45,500,000 | ||
Loans charged off | (12,792,000) | (904,000) | (16,313,000) | (6,861,000) | ||
Recoveries of charge offs | 1,301,000 | 252,000 | 2,724,000 | 2,788,000 | ||
Balance, end of period | 189,452,000 | 161,771,000 | 189,452,000 | 161,771,000 | 206,741,000 | |
Allowance for credit losses: | ||||||
Individually evaluated | 30,592,000 | 30,592,000 | 7,325,000 | |||
Collectively evaluated | 158,860,000 | 158,860,000 | 199,416,000 | |||
Total | 189,452,000 | 189,452,000 | 206,741,000 | |||
Loans outstanding: | ||||||
Individually evaluated | 162,635,000 | 162,635,000 | 123,203,000 | |||
Collectively evaluated | 13,261,666,000 | 13,261,666,000 | 13,440,010,000 | |||
Total | 13,424,301,000 | 13,424,301,000 | 13,563,213,000 | |||
Reserve for unfunded loan commitments recorded in other liabilities | 1,400,000 | 1,400,000 | 1,300,000 | |||
Additions to reserves for unfunded loan commitments recorded in credit related expenses | 0 | 50,000 | 105,000 | $ 660,000 | ||
CECL impact | us-gaap:AccountingStandardsUpdate201613Member | Accounting Standards Update 2020-06 | ||||
Financing Receivable, Accrued Interest, Allowance For Credit Loss | 600,000 | $ 0 | ||||
ACL for the TDRs that had payment defaults | 23,600,000 | 86,000 | 23,600,000 | 143,000 | ||
Total charge-offs of TDR loans modified | 0 | 0 | 0 | 0 | ||
COVID-19 Payment Deferral Modifications | ||||||
Loans outstanding: | ||||||
Financing Receivable, Accrued Interest, Allowance For Credit Loss | 751,000 | 1,000,000 | ||||
Cumulative Effect, Period of Adoption, Adjustment | ||||||
Allowance for Loan Losses by Portfolio Segment | ||||||
Balance, end of period | 26,200,000 | 26,200,000 | ||||
Real estate | ||||||
Allowance for Loan Losses by Portfolio Segment | ||||||
Balance, beginning of period | 162,307,000 | 94,645,000 | 162,196,000 | 53,593,000 | $ 53,593,000 | 53,593,000 |
Provision (credit) for credit/loan losses | 4,227,000 | 24,534,000 | 6,572,000 | 40,025,000 | ||
Loans charged off | (12,172,000) | (174,000) | (14,990,000) | (2,571,000) | ||
Recoveries of charge offs | 891,000 | 25,000 | 1,475,000 | 192,000 | ||
Balance, end of period | 155,253,000 | 119,030,000 | 155,253,000 | 119,030,000 | 162,196,000 | |
Allowance for credit losses: | ||||||
Individually evaluated | 27,226,000 | 27,226,000 | 3,683,000 | |||
Collectively evaluated | 128,027,000 | 128,027,000 | 158,513,000 | |||
Total | 155,253,000 | 155,253,000 | 162,196,000 | |||
Loans outstanding: | ||||||
Individually evaluated | 138,368,000 | 138,368,000 | 93,476,000 | |||
Collectively evaluated | 8,693,908,000 | 8,693,908,000 | 8,678,658,000 | |||
Total | 8,832,276,000 | 8,832,276,000 | 8,772,134,000 | |||
Real estate | Hotel & motel | ||||||
Allowance for Loan Losses by Portfolio Segment | ||||||
Loans charged off | (11,800,000) | |||||
Real estate | Cumulative Effect, Period of Adoption, Adjustment | ||||||
Allowance for Loan Losses by Portfolio Segment | ||||||
Balance, end of period | 27,791,000 | 27,791,000 | ||||
Commercial business | ||||||
Allowance for Loan Losses by Portfolio Segment | ||||||
Balance, beginning of period | 41,860,000 | 42,883,000 | 39,155,000 | 33,032,000 | 33,032,000 | 33,032,000 |
Provision (credit) for credit/loan losses | (12,179,000) | (7,151,000) | (9,554,000) | 4,398,000 | ||
Loans charged off | (572,000) | (459,000) | (1,182,000) | (3,494,000) | ||
Recoveries of charge offs | 391,000 | 220,000 | 1,081,000 | 2,579,000 | ||
Balance, end of period | 29,500,000 | 35,493,000 | 29,500,000 | 35,493,000 | 39,155,000 | |
Allowance for credit losses: | ||||||
Individually evaluated | 3,325,000 | 3,325,000 | 3,575,000 | |||
Collectively evaluated | 26,175,000 | 26,175,000 | 35,580,000 | |||
Total | 29,500,000 | 29,500,000 | 39,155,000 | |||
Loans outstanding: | ||||||
Individually evaluated | 20,978,000 | 20,978,000 | 25,706,000 | |||
Collectively evaluated | 3,980,445,000 | 3,980,445,000 | 4,132,081,000 | |||
Total | 4,001,423,000 | 4,001,423,000 | 4,157,787,000 | |||
Commercial business | Cumulative Effect, Period of Adoption, Adjustment | ||||||
Allowance for Loan Losses by Portfolio Segment | ||||||
Balance, end of period | (1,022,000) | (1,022,000) | ||||
Residential mortgage | ||||||
Allowance for Loan Losses by Portfolio Segment | ||||||
Balance, beginning of period | 2,735,000 | 5,779,000 | 4,227,000 | 5,925,000 | 5,925,000 | 5,925,000 |
Provision (credit) for credit/loan losses | 877,000 | 89,000 | (615,000) | 486,000 | ||
Loans charged off | 0 | 0 | 0 | 0 | ||
Recoveries of charge offs | 0 | 0 | 0 | 0 | ||
Balance, end of period | 3,612,000 | 5,868,000 | 3,612,000 | 5,868,000 | 4,227,000 | |
Allowance for credit losses: | ||||||
Individually evaluated | 15,000 | 15,000 | 25,000 | |||
Collectively evaluated | 3,597,000 | 3,597,000 | 4,202,000 | |||
Total | 3,612,000 | 3,612,000 | 4,227,000 | |||
Loans outstanding: | ||||||
Individually evaluated | 3,053,000 | 3,053,000 | 3,416,000 | |||
Collectively evaluated | 540,569,000 | 540,569,000 | 578,816,000 | |||
Total | 543,622,000 | 543,622,000 | 582,232,000 | |||
Residential mortgage | Cumulative Effect, Period of Adoption, Adjustment | ||||||
Allowance for Loan Losses by Portfolio Segment | ||||||
Balance, end of period | (543,000) | (543,000) | ||||
Consumer and other | ||||||
Allowance for Loan Losses by Portfolio Segment | ||||||
Balance, beginning of period | 1,041,000 | 1,616,000 | 1,163,000 | 1,594,000 | $ 1,594,000 | 1,594,000 |
Provision (credit) for credit/loan losses | 75,000 | 28,000 | (103,000) | 591,000 | ||
Loans charged off | (48,000) | (271,000) | (141,000) | (796,000) | ||
Recoveries of charge offs | 19,000 | 7,000 | 168,000 | 17,000 | ||
Balance, end of period | 1,087,000 | 1,380,000 | 1,087,000 | 1,380,000 | 1,163,000 | |
Allowance for credit losses: | ||||||
Individually evaluated | 26,000 | 26,000 | 42,000 | |||
Collectively evaluated | 1,061,000 | 1,061,000 | 1,121,000 | |||
Total | 1,087,000 | 1,087,000 | 1,163,000 | |||
Loans outstanding: | ||||||
Individually evaluated | 236,000 | 236,000 | 605,000 | |||
Collectively evaluated | 46,744,000 | 46,744,000 | 50,455,000 | |||
Total | $ 46,980,000 | $ 46,980,000 | $ 51,060,000 | |||
Consumer and other | Cumulative Effect, Period of Adoption, Adjustment | ||||||
Allowance for Loan Losses by Portfolio Segment | ||||||
Balance, end of period | $ (26,000) | $ (26,000) |
Loans Receivable and Allowanc_5
Loans Receivable and Allowance for Credit Losses - Nonaccrual Loans and Loans Past Due 90 or More Days and Still on Accrual Status (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Dec. 31, 2020 | |
Financing Receivable, Nonaccrual [Line Items] | ||
Threshold period for loans to be placed on nonaccrual status | 90 days | |
Guaranteed portion of SBA loans excluded from Nonaccrual loans | $ 23,600 | $ 26,500 |
Nonaccrual with No ACL | 52,241 | 40,039 |
Nonaccrual with an ACL | 58,767 | 45,199 |
Financing Receivable, Nonaccrual | 111,008 | 85,238 |
Accruing Loans Past Due 90 or More Days | 4,759 | 614 |
Commercial business | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 5,035 | 5,319 |
Nonaccrual with an ACL | 7,182 | 8,592 |
Financing Receivable, Nonaccrual | 12,217 | 13,911 |
Accruing Loans Past Due 90 or More Days | 26 | 0 |
Residential Portfolio Segment | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 1,440 | 1,440 |
Nonaccrual with an ACL | 1,612 | 1,976 |
Financing Receivable, Nonaccrual | 3,052 | 3,416 |
Accruing Loans Past Due 90 or More Days | 872 | 0 |
Consumer | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 0 | 0 |
Nonaccrual with an ACL | 117 | 461 |
Financing Receivable, Nonaccrual | 117 | 461 |
Accruing Loans Past Due 90 or More Days | 85 | 136 |
Residential Mortgage [Member] | Real estate loans | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 0 | 0 |
Nonaccrual with an ACL | 0 | 0 |
Financing Receivable, Nonaccrual | 0 | 0 |
Accruing Loans Past Due 90 or More Days | 0 | 0 |
Commercial | Real estate loans | Retail | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 10,463 | 3,262 |
Nonaccrual with an ACL | 34,100 | 8,530 |
Financing Receivable, Nonaccrual | 44,563 | 11,792 |
Accruing Loans Past Due 90 or More Days | 0 | 478 |
Commercial | Real estate loans | Hotel & motel | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 13,654 | 15,311 |
Nonaccrual with an ACL | 5,428 | 2,195 |
Financing Receivable, Nonaccrual | 19,082 | 17,506 |
Accruing Loans Past Due 90 or More Days | 3,776 | 0 |
Commercial | Real estate loans | Real Estate Commercial Gas Station & Car Wash [Member] | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 575 | 151 |
Nonaccrual with an ACL | 1,303 | 1,493 |
Financing Receivable, Nonaccrual | 1,878 | 1,644 |
Accruing Loans Past Due 90 or More Days | 0 | 0 |
Commercial | Real estate loans | Mixed use | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 9,754 | 1,883 |
Nonaccrual with an ACL | 1,610 | 788 |
Financing Receivable, Nonaccrual | 11,364 | 2,671 |
Accruing Loans Past Due 90 or More Days | 0 | 0 |
Commercial | Real estate loans | Industrial & warehouse | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 2,105 | 5,443 |
Nonaccrual with an ACL | 2,332 | 1,022 |
Financing Receivable, Nonaccrual | 4,437 | 6,465 |
Accruing Loans Past Due 90 or More Days | 0 | 0 |
Commercial | Real estate loans | Other | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 1,791 | 7,230 |
Nonaccrual with an ACL | 5,083 | 1,419 |
Financing Receivable, Nonaccrual | 6,874 | 8,649 |
Accruing Loans Past Due 90 or More Days | 0 | 0 |
Construction | Real estate loans | ||
Financing Receivable, Nonaccrual [Line Items] | ||
Nonaccrual with No ACL | 7,424 | 0 |
Nonaccrual with an ACL | 0 | 18,723 |
Financing Receivable, Nonaccrual | 7,424 | 18,723 |
Accruing Loans Past Due 90 or More Days | $ 0 | $ 0 |
Loans Receivable and Allowanc_6
Loans Receivable and Allowance for Credit Losses - Collateral-Dependent Loans (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Mar. 31, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | $ 189,452,000 | $ 161,771,000 | $ 189,452,000 | $ 161,771,000 | $ 207,943,000 | $ 206,741,000 | $ 144,923,000 | $ 94,144,000 |
Interest income reversals due to loans being placed on nonaccrual status | 750,000 | 319,000 | 1,700,000 | (356,000) | ||||
Total | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 120,125,000 | 120,125,000 | 79,652,000 | |||||
Real Estate Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 113,565,000 | 113,565,000 | 73,340,000 | |||||
Other Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 6,560,000 | 6,560,000 | 6,312,000 | |||||
Real estate | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 155,253,000 | 119,030,000 | 155,253,000 | 119,030,000 | 162,307,000 | 162,196,000 | 94,645,000 | 53,593,000 |
Real estate | Residential | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 330,000 | 330,000 | 391,000 | |||||
Real estate | Residential | Total | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 0 | 0 | 0 | |||||
Real estate | Residential | Real Estate Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 0 | 0 | 0 | |||||
Real estate | Residential | Other Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 0 | 0 | 0 | |||||
Real estate | Commercial | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 153,266,000 | 153,266,000 | 159,527,000 | |||||
Real estate | Commercial | Total | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 97,184,000 | 97,184,000 | 55,945,000 | |||||
Real estate | Commercial | Real Estate Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 97,184,000 | 97,184,000 | 55,945,000 | |||||
Real estate | Commercial | Other Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 0 | 0 | 0 | |||||
Real estate | Construction | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 1,657,000 | 1,657,000 | 2,278,000 | |||||
Real estate | Construction | Total | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 7,424,000 | 7,424,000 | 8,122,000 | |||||
Real estate | Construction | Real Estate Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 7,424,000 | 7,424,000 | 8,122,000 | |||||
Real estate | Construction | Other Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 0 | 0 | 0 | |||||
Commercial business | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 29,500,000 | 35,493,000 | 29,500,000 | 35,493,000 | 41,860,000 | 39,155,000 | 42,883,000 | 33,032,000 |
Commercial business | Total | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 14,078,000 | 14,078,000 | 14,130,000 | |||||
Commercial business | Real Estate Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 7,518,000 | 7,518,000 | 7,818,000 | |||||
Commercial business | Other Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 6,560,000 | 6,560,000 | 6,312,000 | |||||
Residential mortgage | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 3,612,000 | 5,868,000 | 3,612,000 | 5,868,000 | 2,735,000 | 4,227,000 | 5,779,000 | 5,925,000 |
Residential mortgage | Total | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 1,439,000 | 1,439,000 | 1,440,000 | |||||
Residential mortgage | Real Estate Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 1,439,000 | 1,439,000 | 1,440,000 | |||||
Residential mortgage | Other Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 0 | 0 | 0 | |||||
Consumer and other | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 1,087,000 | $ 1,380,000 | 1,087,000 | $ 1,380,000 | $ 1,041,000 | 1,163,000 | $ 1,616,000 | $ 1,594,000 |
Consumer and other | Total | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 0 | 0 | 15,000 | |||||
Consumer and other | Real Estate Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | 0 | 0 | 15,000 | |||||
Consumer and other | Other Collateral | ||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||||||
Total | $ 0 | $ 0 | $ 0 |
Loans Receivable and Allowanc_7
Loans Receivable and Allowance for Credit Losses - Past Due Financing Receivables (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Past Due [Line Items] | ||
Total loans | $ 13,424,301 | $ 13,563,213 |
Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 102,926 | 76,799 |
30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 23,309 | 19,100 |
60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 30,257 | 16,459 |
90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 49,360 | 41,240 |
Real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 8,832,276 | 8,772,134 |
Real estate | Residential | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 61,360 | 54,795 |
Real estate | Residential | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | 0 |
Real estate | Residential | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | 0 |
Real estate | Residential | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | 0 |
Real estate | Residential | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | 0 |
Real estate | Commercial | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 8,518,115 | 8,425,959 |
Real estate | Commercial | Retail | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 19,788 | 19,269 |
Real estate | Commercial | Retail | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 788 | 852 |
Real estate | Commercial | Retail | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 8,148 | 8,141 |
Real estate | Commercial | Retail | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 10,852 | 10,276 |
Real estate | Commercial | Hotel & motel | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 21,668 | 16,207 |
Real estate | Commercial | Hotel & motel | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2,487 | 62 |
Real estate | Commercial | Hotel & motel | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2,808 | 1,401 |
Real estate | Commercial | Hotel & motel | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 16,373 | 14,744 |
Real estate | Commercial | Gas station & car wash | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 1,146 | 3,850 |
Real estate | Commercial | Gas station & car wash | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 292 | 619 |
Real estate | Commercial | Gas station & car wash | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 411 | 2,668 |
Real estate | Commercial | Gas station & car wash | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 443 | 563 |
Real estate | Commercial | Mixed use | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 16,763 | 1,385 |
Real estate | Commercial | Mixed use | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2,547 | 116 |
Real estate | Commercial | Mixed use | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 13,921 | 0 |
Real estate | Commercial | Mixed use | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 295 | 1,269 |
Real estate | Commercial | Industrial & warehouse | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 10,976 | 3,967 |
Real estate | Commercial | Industrial & warehouse | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 8,211 | 137 |
Real estate | Commercial | Industrial & warehouse | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 154 | 0 |
Real estate | Commercial | Industrial & warehouse | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2,611 | 3,830 |
Real estate | Commercial | Other | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 5,104 | 6,283 |
Real estate | Commercial | Other | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2,149 | 2,738 |
Real estate | Commercial | Other | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 42 | 545 |
Real estate | Commercial | Other | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2,913 | 3,000 |
Real estate | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 252,801 | 291,380 |
Real estate | Construction | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 7,424 | 8,122 |
Real estate | Construction | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | 8,122 |
Real estate | Construction | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 0 | 0 |
Real estate | Construction | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 7,424 | 0 |
Commercial business | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 4,001,423 | 4,157,787 |
Commercial business | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 10,185 | 9,199 |
Commercial business | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 431 | 816 |
Commercial business | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 4,209 | 3,683 |
Commercial business | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 5,545 | 4,700 |
Residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 543,622 | 582,232 |
Residential mortgage | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 9,601 | 7,104 |
Residential mortgage | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 6,359 | 4,841 |
Residential mortgage | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 540 | 0 |
Residential mortgage | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 2,702 | 2,263 |
Consumer and other | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 46,980 | 51,060 |
Consumer and other | Total Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 271 | 1,413 |
Consumer and other | 30-59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 45 | 797 |
Consumer and other | 60-89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | 24 | 21 |
Consumer and other | 90 or More Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Total loans | $ 202 | $ 595 |
Loans Receivable and Allowanc_8
Loans Receivable and Allowance for Credit Losses - Financing Receivable Credit Quality Indicators (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | $ 2,109,455,000 | $ 2,916,458,000 |
Term loan originated in year two | 2,439,800,000 | 2,338,244,000 |
Term loan originated in year three | 2,046,141,000 | 2,179,365,000 |
Term loan originated in year four | 1,853,956,000 | 1,673,297,000 |
Term loan originated in year five | 1,435,777,000 | 995,558,000 |
Term loan originated prior to year five | 2,075,980,000 | 1,591,756,000 |
Revolving Loans | 1,463,192,000 | 1,868,535,000 |
Total loans | 13,424,301,000 | 13,563,213,000 |
Revolving loans converted to term loans | 0 | 0 |
Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Total loans | 8,832,276,000 | 8,772,134,000 |
Commercial business | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 892,382,000 | 1,302,794,000 |
Term loan originated in year two | 875,899,000 | 613,469,000 |
Term loan originated in year three | 522,592,000 | 260,839,000 |
Term loan originated in year four | 163,056,000 | 136,731,000 |
Term loan originated in year five | 125,376,000 | 89,755,000 |
Term loan originated prior to year five | 113,714,000 | 52,276,000 |
Revolving Loans | 1,308,404,000 | 1,701,923,000 |
Total loans | 4,001,423,000 | 4,157,787,000 |
Residential Portfolio Segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 116,677,000 | 5,733,000 |
Term loan originated in year two | 4,764,000 | 91,080,000 |
Term loan originated in year three | 57,068,000 | 217,879,000 |
Term loan originated in year four | 166,977,000 | 169,388,000 |
Term loan originated in year five | 124,136,000 | 56,961,000 |
Term loan originated prior to year five | 74,000,000 | 41,191,000 |
Revolving Loans | 0 | 0 |
Total loans | 543,622,000 | 582,232,000 |
Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 2,784,000 | 8,309,000 |
Term loan originated in year two | 5,994,000 | 2,463,000 |
Term loan originated in year three | 2,243,000 | 1,818,000 |
Term loan originated in year four | 1,937,000 | 2,424,000 |
Term loan originated in year five | 2,114,000 | 4,811,000 |
Term loan originated prior to year five | 7,854,000 | 3,343,000 |
Revolving Loans | 24,054,000 | 27,892,000 |
Total loans | 46,980,000 | 51,060,000 |
Pass / not rated | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 2,096,076,000 | 2,907,906,000 |
Term loan originated in year two | 2,424,575,000 | 2,292,068,000 |
Term loan originated in year three | 1,974,267,000 | 2,088,791,000 |
Term loan originated in year four | 1,735,996,000 | 1,595,141,000 |
Term loan originated in year five | 1,324,546,000 | 917,069,000 |
Term loan originated prior to year five | 1,755,466,000 | 1,362,723,000 |
Revolving Loans | 1,437,861,000 | 1,848,017,000 |
Total loans | 12,748,787,000 | 13,011,715,000 |
Pass / not rated | Commercial business | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 889,734,000 | 1,294,368,000 |
Term loan originated in year two | 866,932,000 | 584,453,000 |
Term loan originated in year three | 516,793,000 | 224,447,000 |
Term loan originated in year four | 147,361,000 | 117,708,000 |
Term loan originated in year five | 112,324,000 | 77,209,000 |
Term loan originated prior to year five | 100,388,000 | 43,674,000 |
Revolving Loans | 1,297,976,000 | 1,686,428,000 |
Total loans | 3,931,508,000 | 4,028,287,000 |
Pass / not rated | Residential Portfolio Segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 116,677,000 | 5,733,000 |
Term loan originated in year two | 4,764,000 | 90,958,000 |
Term loan originated in year three | 56,940,000 | 217,343,000 |
Term loan originated in year four | 166,777,000 | 168,827,000 |
Term loan originated in year five | 123,595,000 | 55,246,000 |
Term loan originated prior to year five | 71,816,000 | 40,554,000 |
Revolving Loans | 0 | 0 |
Total loans | 540,569,000 | 578,661,000 |
Pass / not rated | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 2,784,000 | 8,309,000 |
Term loan originated in year two | 5,994,000 | 2,463,000 |
Term loan originated in year three | 2,243,000 | 1,818,000 |
Term loan originated in year four | 1,937,000 | 2,321,000 |
Term loan originated in year five | 2,114,000 | 4,756,000 |
Term loan originated prior to year five | 7,611,000 | 2,811,000 |
Revolving Loans | 24,054,000 | 27,890,000 |
Total loans | 46,737,000 | 50,368,000 |
Special mention | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 5,414,000 | 5,996,000 |
Term loan originated in year two | 6,121,000 | 30,498,000 |
Term loan originated in year three | 52,495,000 | 55,421,000 |
Term loan originated in year four | 88,785,000 | 25,426,000 |
Term loan originated in year five | 45,353,000 | 20,190,000 |
Term loan originated prior to year five | 82,523,000 | 40,411,000 |
Revolving Loans | 13,868,000 | 6,999,000 |
Total loans | 294,559,000 | 184,941,000 |
Special mention | Commercial business | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 1,191,000 | 5,996,000 |
Term loan originated in year two | 415,000 | 27,693,000 |
Term loan originated in year three | 3,943,000 | 30,852,000 |
Term loan originated in year four | 13,581,000 | 14,629,000 |
Term loan originated in year five | 212,000 | 6,388,000 |
Term loan originated prior to year five | 5,466,000 | 3,139,000 |
Revolving Loans | 1,662,000 | 5,172,000 |
Total loans | 26,470,000 | 93,869,000 |
Special mention | Residential Portfolio Segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 0 | 0 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 0 |
Revolving Loans | 0 | 0 |
Total loans | 0 | 0 |
Special mention | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 0 | 103,000 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 0 |
Revolving Loans | 0 | 0 |
Total loans | 0 | 103,000 |
Substandard | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 7,965,000 | 2,556,000 |
Term loan originated in year two | 9,104,000 | 15,678,000 |
Term loan originated in year three | 19,379,000 | 35,152,000 |
Term loan originated in year four | 29,175,000 | 52,730,000 |
Term loan originated in year five | 65,878,000 | 58,299,000 |
Term loan originated prior to year five | 237,991,000 | 188,622,000 |
Revolving Loans | 11,463,000 | 13,519,000 |
Total loans | 380,955,000 | 366,556,000 |
Substandard | Commercial business | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 1,457,000 | 2,430,000 |
Term loan originated in year two | 8,552,000 | 1,323,000 |
Term loan originated in year three | 1,856,000 | 5,539,000 |
Term loan originated in year four | 2,114,000 | 4,394,000 |
Term loan originated in year five | 12,840,000 | 6,158,000 |
Term loan originated prior to year five | 7,860,000 | 5,463,000 |
Revolving Loans | 8,766,000 | 10,323,000 |
Total loans | 43,445,000 | 35,630,000 |
Substandard | Residential Portfolio Segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 122,000 |
Term loan originated in year three | 128,000 | 536,000 |
Term loan originated in year four | 200,000 | 561,000 |
Term loan originated in year five | 541,000 | 1,715,000 |
Term loan originated prior to year five | 2,184,000 | 637,000 |
Revolving Loans | 0 | 0 |
Total loans | 3,053,000 | 3,571,000 |
Substandard | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 0 | 0 |
Term loan originated in year five | 0 | 55,000 |
Term loan originated prior to year five | 243,000 | 532,000 |
Revolving Loans | 0 | 2,000 |
Total loans | 243,000 | 589,000 |
Doubtful / loss | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 1,000 |
Term loan originated in year four | 0 | 0 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 0 |
Revolving Loans | 0 | 0 |
Total loans | 0 | 1,000 |
Doubtful / loss | Commercial business | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 1,000 |
Term loan originated in year four | 0 | 0 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 0 |
Revolving Loans | 0 | 0 |
Total loans | 0 | 1,000 |
Doubtful / loss | Residential Portfolio Segment | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 0 | 0 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 0 |
Revolving Loans | 0 | 0 |
Total loans | 0 | 0 |
Doubtful / loss | Consumer | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 0 | 0 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 0 |
Revolving Loans | 0 | 0 |
Total loans | 0 | 0 |
Residential Mortgage [Member] | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 12,995,000 | 15,158,000 |
Term loan originated in year two | 14,311,000 | 13,924,000 |
Term loan originated in year three | 13,556,000 | 7,726,000 |
Term loan originated in year four | 5,683,000 | 4,316,000 |
Term loan originated in year five | 3,831,000 | 6,800,000 |
Term loan originated prior to year five | 10,098,000 | 3,540,000 |
Revolving Loans | 886,000 | 3,331,000 |
Total loans | 61,360,000 | 54,795,000 |
Residential Mortgage [Member] | Pass / not rated | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 12,995,000 | 15,158,000 |
Term loan originated in year two | 14,311,000 | 13,924,000 |
Term loan originated in year three | 13,556,000 | 7,587,000 |
Term loan originated in year four | 5,547,000 | 4,316,000 |
Term loan originated in year five | 3,831,000 | 6,800,000 |
Term loan originated prior to year five | 10,098,000 | 3,460,000 |
Revolving Loans | 658,000 | 3,104,000 |
Total loans | 60,996,000 | 54,349,000 |
Residential Mortgage [Member] | Special mention | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 0 | 0 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 0 |
Revolving Loans | 228,000 | 227,000 |
Total loans | 228,000 | 227,000 |
Residential Mortgage [Member] | Substandard | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 139,000 |
Term loan originated in year four | 136,000 | 0 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 80,000 |
Revolving Loans | 0 | 0 |
Total loans | 136,000 | 219,000 |
Residential Mortgage [Member] | Doubtful / loss | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 0 | 0 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 0 |
Revolving Loans | 0 | 0 |
Total loans | 0 | 0 |
Commercial | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 1,083,776,000 | 1,548,721,000 |
Term loan originated in year two | 1,491,807,000 | 1,572,018,000 |
Term loan originated in year three | 1,406,108,000 | 1,587,309,000 |
Term loan originated in year four | 1,431,016,000 | 1,288,841,000 |
Term loan originated in year five | 1,148,240,000 | 825,720,000 |
Term loan originated prior to year five | 1,835,777,000 | 1,467,961,000 |
Revolving Loans | 121,391,000 | 135,389,000 |
Total loans | 8,518,115,000 | 8,425,959,000 |
Commercial | Pass / not rated | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 1,073,045,000 | 1,548,595,000 |
Term loan originated in year two | 1,485,549,000 | 1,554,980,000 |
Term loan originated in year three | 1,340,161,000 | 1,533,802,000 |
Term loan originated in year four | 1,375,076,000 | 1,240,973,000 |
Term loan originated in year five | 1,055,030,000 | 767,318,000 |
Term loan originated prior to year five | 1,544,353,000 | 1,262,125,000 |
Revolving Loans | 106,716,000 | 130,595,000 |
Total loans | 7,979,930,000 | 8,038,388,000 |
Commercial | Special mention | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 4,223,000 | 0 |
Term loan originated in year two | 5,706,000 | 2,805,000 |
Term loan originated in year three | 48,552,000 | 24,569,000 |
Term loan originated in year four | 29,215,000 | 10,694,000 |
Term loan originated in year five | 40,713,000 | 8,031,000 |
Term loan originated prior to year five | 71,144,000 | 32,048,000 |
Revolving Loans | 11,978,000 | 1,600,000 |
Total loans | 211,531,000 | 79,747,000 |
Commercial | Substandard | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 6,508,000 | 126,000 |
Term loan originated in year two | 552,000 | 14,233,000 |
Term loan originated in year three | 17,395,000 | 28,938,000 |
Term loan originated in year four | 26,725,000 | 37,174,000 |
Term loan originated in year five | 52,497,000 | 50,371,000 |
Term loan originated prior to year five | 220,280,000 | 173,788,000 |
Revolving Loans | 2,697,000 | 3,194,000 |
Total loans | 326,654,000 | 307,824,000 |
Commercial | Doubtful / loss | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 0 | 0 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 0 |
Revolving Loans | 0 | 0 |
Total loans | 0 | 0 |
Construction | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 841,000 | 35,743,000 |
Term loan originated in year two | 47,025,000 | 45,290,000 |
Term loan originated in year three | 44,574,000 | 103,794,000 |
Term loan originated in year four | 85,287,000 | 71,597,000 |
Term loan originated in year five | 32,080,000 | 11,511,000 |
Term loan originated prior to year five | 34,537,000 | 23,445,000 |
Revolving Loans | 8,457,000 | 0 |
Total loans | 252,801,000 | 291,380,000 |
Construction | Pass / not rated | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 841,000 | 35,743,000 |
Term loan originated in year two | 47,025,000 | 45,290,000 |
Term loan originated in year three | 44,574,000 | 103,794,000 |
Term loan originated in year four | 39,298,000 | 60,996,000 |
Term loan originated in year five | 27,652,000 | 5,740,000 |
Term loan originated prior to year five | 21,200,000 | 10,099,000 |
Revolving Loans | 8,457,000 | 0 |
Total loans | 189,047,000 | 261,662,000 |
Construction | Special mention | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 45,989,000 | 0 |
Term loan originated in year five | 4,428,000 | 5,771,000 |
Term loan originated prior to year five | 5,913,000 | 5,224,000 |
Revolving Loans | 0 | 0 |
Total loans | 56,330,000 | 10,995,000 |
Construction | Substandard | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 0 | 10,601,000 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 7,424,000 | 8,122,000 |
Revolving Loans | 0 | 0 |
Total loans | 7,424,000 | 18,723,000 |
Construction | Doubtful / loss | Real estate loans | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Term loan originated in year one | 0 | 0 |
Term loan originated in year two | 0 | 0 |
Term loan originated in year three | 0 | 0 |
Term loan originated in year four | 0 | 0 |
Term loan originated in year five | 0 | 0 |
Term loan originated prior to year five | 0 | 0 |
Revolving Loans | 0 | 0 |
Total loans | $ 0 | $ 0 |
Loans Receivable and Allowanc_9
Loans Receivable and Allowance for Credit Losses - Loans Held For Investment - Reclassification to Held for Sale (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Transfer of loans held for investment to held for sale | $ 180,835 | $ 0 | $ 180,835 | $ 1,002 | |
Total loans | 13,424,301 | 13,424,301 | $ 13,563,213 | ||
Pass / not rated | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 12,748,787 | 12,748,787 | 13,011,715 | ||
Special mention | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 294,559 | 294,559 | 184,941 | ||
Substandard | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 380,955 | 380,955 | 366,556 | ||
Doubtful / loss | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 0 | 0 | 1 | ||
Real estate loans | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 8,832,276 | 8,832,276 | 8,772,134 | ||
Real estate loans | Residential | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 61,360 | 61,360 | 54,795 | ||
Real estate loans | Residential | Pass / not rated | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 60,996 | 60,996 | 54,349 | ||
Real estate loans | Residential | Special mention | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 228 | 228 | 227 | ||
Real estate loans | Residential | Substandard | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 136 | 136 | 219 | ||
Real estate loans | Residential | Doubtful / loss | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 0 | 0 | 0 | ||
Real estate loans | Commercial | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Transfer of loans held for investment to held for sale | 171,175 | 0 | 171,175 | 0 | |
Total loans | 8,518,115 | 8,518,115 | 8,425,959 | ||
Real estate loans | Commercial | Pass / not rated | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 7,979,930 | 7,979,930 | 8,038,388 | ||
Real estate loans | Commercial | Special mention | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 211,531 | 211,531 | 79,747 | ||
Real estate loans | Commercial | Substandard | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 326,654 | 326,654 | 307,824 | ||
Real estate loans | Commercial | Doubtful / loss | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 0 | 0 | 0 | ||
Real estate loans | Construction | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 252,801 | 252,801 | 291,380 | ||
Real estate loans | Construction | Pass / not rated | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 189,047 | 189,047 | 261,662 | ||
Real estate loans | Construction | Special mention | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 56,330 | 56,330 | 10,995 | ||
Real estate loans | Construction | Substandard | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 7,424 | 7,424 | 18,723 | ||
Real estate loans | Construction | Doubtful / loss | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 0 | 0 | 0 | ||
Residential mortgage | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Transfer of loans held for investment to held for sale | 0 | $ 0 | 0 | $ 1,002 | |
Total loans | 543,622 | 543,622 | 582,232 | ||
Residential mortgage | Pass / not rated | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 540,569 | 540,569 | 578,661 | ||
Residential mortgage | Special mention | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 0 | 0 | 0 | ||
Residential mortgage | Substandard | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 3,053 | 3,053 | 3,571 | ||
Residential mortgage | Doubtful / loss | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 0 | 0 | 0 | ||
Commercial business | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 4,001,423 | 4,001,423 | 4,157,787 | ||
Commercial business | Pass / not rated | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 3,931,508 | 3,931,508 | 4,028,287 | ||
Commercial business | Special mention | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 26,470 | 26,470 | 93,869 | ||
Commercial business | Substandard | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 43,445 | 43,445 | 35,630 | ||
Commercial business | Doubtful / loss | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 0 | 0 | 1 | ||
Consumer | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 46,980 | 46,980 | 51,060 | ||
Consumer | Pass / not rated | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 46,737 | 46,737 | 50,368 | ||
Consumer | Special mention | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 0 | 0 | 103 | ||
Consumer | Substandard | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | 243 | 243 | 589 | ||
Consumer | Doubtful / loss | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Total loans | $ 0 | $ 0 | $ 0 |
Loans Receivable and Allowan_10
Loans Receivable and Allowance for Credit Losses - Additional Information (Details) | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021USD ($)loan | Jun. 30, 2020USD ($)loan | Jun. 30, 2021USD ($)loan | Jun. 30, 2020USD ($)loan | Dec. 31, 2020USD ($)loan | |
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Allowance for credit loss, writeoff | $ 12,792,000 | $ 904,000 | $ 16,313,000 | $ 6,861,000 | |
Reasonable and supportable period at which point loss assumptions revert back to historical loss information | 2 years | ||||
Reversion period | 1 year | ||||
Non-modeled loans as percentage of total loan portfolio (less than) | 3.00% | 3.00% | |||
Positive or negative qualitative adjustment of the Loss Migration Ratio | 0.25% | 0.25% | |||
Financing receivable, balance threshold to determine individual evaluation for impairment | $ 500,000 | $ 500,000 | |||
Total TDR loans | $ 88,470,000 | $ 88,470,000 | $ 51,609,000 | ||
Number of loans | loan | 8 | 8 | 19 | 13 | |
Allowance for TDRs | $ 26,800,000 | $ 26,800,000 | 4,800,000 | ||
ACL for TDRs modified during period | 59,000 | $ 57,000 | 23,700,000 | $ 219,000 | |
Total charge-offs of TDR loans modified | 0 | 0 | 0 | 0 | |
ACL for the TDRs that had payment defaults | 23,600,000 | 86,000 | 23,600,000 | 143,000 | |
Total charge offs for TDR loans that had payment defaults | 0 | 0 | 0 | 0 | |
Accrued interest receivable on loans | 47,100,000 | 47,100,000 | 54,600,000 | ||
Net deferred fees/costs | 12,600,000 | 12,600,000 | 3,600,000 | ||
Total loans | 13,424,301,000 | 13,424,301,000 | 13,563,213,000 | ||
Increase (Decrease) in Finance Receivables | (138,900,000) | ||||
COVID-19 Pandemic | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Amount of loans modified | 318,700,000 | ||||
SBA, Paycheck Protection Program Loans | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Net deferred fees/costs | 15,700,000 | 15,700,000 | 6,400,000 | ||
Increase (Decrease) in Finance Receivables | 324,500,000 | ||||
Real estate | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Proceeds from sale of loans | 119,300,000 | ||||
Allowance for credit loss, writeoff | 12,172,000 | $ 174,000 | 14,990,000 | $ 2,571,000 | |
Total loans | 8,832,276,000 | $ 8,832,276,000 | 8,772,134,000 | ||
Real estate | Hotel & motel | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Allowance for credit loss, writeoff | 11,800,000 | ||||
Real estate | COVID-19 Pandemic | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Percent of loans modified (more than) | 85.00% | ||||
Real estate | TDR Loans on Accrual Status | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Total TDR loans | 42,604,000 | $ 42,604,000 | 25,771,000 | ||
Real estate | Commercial | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Total loans | 8,518,115,000 | $ 8,518,115,000 | 8,425,959,000 | ||
Real estate | Commercial | Special mention | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Proceeds from sale of loans | 68,400,000 | ||||
Real estate | Commercial | Substandard | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Proceeds from sale of loans | $ 33,600,000 | ||||
Real estate | Commercial | Hotel & motel | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Number of loans | loan | 0 | 0 | 0 | 0 | |
Real estate | Commercial | TDR Loans on Accrual Status | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Total TDR loans | $ 42,600,000 | $ 42,600,000 | $ 25,800,000 | ||
Number of loans | loan | 37 | 33 | |||
Commercial business | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Allowance for credit loss, writeoff | $ 572,000 | $ 459,000 | $ 1,182,000 | $ 3,494,000 | |
Number of loans | loan | 2 | 2 | 3 | 3 | |
Total loans | $ 4,001,423,000 | $ 4,001,423,000 | $ 4,157,787,000 | ||
Increase (Decrease) in Finance Receivables | 283,000,000 | ||||
Commercial business | SBA, Paycheck Protection Program Loans | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Total loans | 568,800,000 | 568,800,000 | 452,700,000 | ||
Commercial business | TDR Loans on Accrual Status | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Total TDR loans | 8,565,000 | $ 8,565,000 | $ 11,411,000 | ||
Number of loans | loan | 22 | 25 | |||
Consumer and other | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Allowance for credit loss, writeoff | $ 48,000 | $ 271,000 | $ 141,000 | $ 796,000 | |
Number of loans | loan | 1 | 3 | 5 | 4 | |
Total loans | $ 46,980,000 | $ 46,980,000 | $ 51,060,000 | ||
Consumer and other | TDR Loans on Accrual Status | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Total TDR loans | $ 191,000 | $ 191,000 | $ 172,000 | ||
Number of loans | loan | 15 | 16 | |||
Minimum | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Temporary modifications, period of interest only payments | 3 months | ||||
Minimum | COVID-19 Pandemic | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Period of full payment deferrals related to most loan modifications | 3 months | ||||
Maximum | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Temporary modifications, period of interest only payments | 6 months | ||||
Maximum | COVID-19 Pandemic | |||||
Financing Receivable, Allowance for Credit Loss [Line Items] | |||||
Period of full payment deferrals related to most loan modifications | 9 months |
Loans Receivable and Allowan_11
Loans Receivable and Allowance for Credit Losses - Allowance for Loans, by Portfolio Segment and Evaluation Method (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Mar. 31, 2021 | Dec. 31, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 |
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||||
Individually evaluated loans | $ 162,635 | $ 123,203 | ||||
ACL on individually evaluated loans | $ 30,592 | $ 7,325 | ||||
Individually evaluated loans ACL coverage | 18.81% | 5.95% | ||||
Collectively evaluated loans | $ 13,261,666 | $ 13,440,010 | ||||
ACL on collectively evaluated loans | $ 158,860 | $ 199,416 | ||||
Collectively evaluated loans ACL coverage | 1.20% | 1.48% | ||||
Total loans | $ 13,424,301 | $ 13,563,213 | ||||
Allowance for credit loss | $ 189,452 | $ 207,943 | $ 206,741 | $ 161,771 | $ 144,923 | $ 94,144 |
Total ACL to total loans | 1.41% | 1.52% | ||||
Real estate loans | ||||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||||
Individually evaluated loans | $ 138,368 | $ 93,476 | ||||
ACL on individually evaluated loans | 27,226 | 3,683 | ||||
Collectively evaluated loans | 8,693,908 | 8,678,658 | ||||
ACL on collectively evaluated loans | 128,027 | 158,513 | ||||
Total loans | 8,832,276 | 8,772,134 | ||||
Allowance for credit loss | 155,253 | 162,307 | 162,196 | 119,030 | 94,645 | 53,593 |
Commercial business | ||||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||||
Individually evaluated loans | 20,978 | 25,706 | ||||
ACL on individually evaluated loans | $ 3,325 | $ 3,575 | ||||
Individually evaluated loans ACL coverage | 15.85% | 13.91% | ||||
Collectively evaluated loans | $ 3,980,445 | $ 4,132,081 | ||||
ACL on collectively evaluated loans | $ 26,175 | $ 35,580 | ||||
Collectively evaluated loans ACL coverage | 0.66% | 0.86% | ||||
Total loans | $ 4,001,423 | $ 4,157,787 | ||||
Allowance for credit loss | $ 29,500 | 41,860 | $ 39,155 | 35,493 | 42,883 | 33,032 |
Total ACL to total loans | 0.74% | 0.94% | ||||
Residential Portfolio Segment | ||||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||||
Individually evaluated loans | $ 3,053 | $ 3,416 | ||||
ACL on individually evaluated loans | $ 15 | $ 25 | ||||
Individually evaluated loans ACL coverage | 0.49% | 0.73% | ||||
Collectively evaluated loans | $ 540,569 | $ 578,816 | ||||
ACL on collectively evaluated loans | $ 3,597 | $ 4,202 | ||||
Collectively evaluated loans ACL coverage | 0.67% | 0.73% | ||||
Total loans | $ 543,622 | $ 582,232 | ||||
Allowance for credit loss | $ 3,612 | 2,735 | $ 4,227 | 5,868 | 5,779 | 5,925 |
Total ACL to total loans | 0.66% | 0.73% | ||||
Consumer | ||||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||||
Individually evaluated loans | $ 236 | $ 605 | ||||
ACL on individually evaluated loans | $ 26 | $ 42 | ||||
Individually evaluated loans ACL coverage | 11.02% | 6.94% | ||||
Collectively evaluated loans | $ 46,744 | $ 50,455 | ||||
ACL on collectively evaluated loans | $ 1,061 | $ 1,121 | ||||
Collectively evaluated loans ACL coverage | 2.27% | 2.22% | ||||
Total loans | $ 46,980 | $ 51,060 | ||||
Allowance for credit loss | $ 1,087 | $ 1,041 | $ 1,163 | $ 1,380 | $ 1,616 | $ 1,594 |
Total ACL to total loans | 2.31% | 2.28% | ||||
Residential Mortgage [Member] | Real estate loans | ||||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||||
Individually evaluated loans | $ 0 | $ 0 | ||||
ACL on individually evaluated loans | 0 | 0 | ||||
Collectively evaluated loans | 61,360 | 54,795 | ||||
ACL on collectively evaluated loans | $ 330 | $ 391 | ||||
Collectively evaluated loans ACL coverage | 0.54% | 0.71% | ||||
Total loans | $ 61,360 | $ 54,795 | ||||
Allowance for credit loss | $ 330 | $ 391 | ||||
Total ACL to total loans | 0.54% | 0.71% | ||||
Commercial | Real estate loans | ||||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||||
Individually evaluated loans | $ 130,944 | $ 74,753 | ||||
ACL on individually evaluated loans | $ 27,226 | $ 2,862 | ||||
Individually evaluated loans ACL coverage | 20.79% | 3.83% | ||||
Collectively evaluated loans | $ 8,387,171 | $ 8,351,206 | ||||
ACL on collectively evaluated loans | $ 126,040 | $ 156,665 | ||||
Collectively evaluated loans ACL coverage | 1.50% | 1.88% | ||||
Total loans | $ 8,518,115 | $ 8,425,959 | ||||
Allowance for credit loss | $ 153,266 | $ 159,527 | ||||
Total ACL to total loans | 1.80% | 1.89% | ||||
Construction | Real estate loans | ||||||
Loans by Portfolio Segment and Impairment Method [Abstract] | ||||||
Individually evaluated loans | $ 7,424 | $ 18,723 | ||||
ACL on individually evaluated loans | 0 | $ 821 | ||||
Individually evaluated loans ACL coverage | 4.38% | |||||
Collectively evaluated loans | 245,377 | $ 272,657 | ||||
ACL on collectively evaluated loans | $ 1,657 | $ 1,457 | ||||
Collectively evaluated loans ACL coverage | 0.68% | 0.53% | ||||
Total loans | $ 252,801 | $ 291,380 | ||||
Allowance for credit loss | $ 1,657 | $ 2,278 | ||||
Total ACL to total loans | 0.66% | 0.78% |
Loans Receivable and Allowan_12
Loans Receivable and Allowance for Credit Losses - Troubled Debt Restructurings on Financing Receivables (Details) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2021USD ($)loan | Jun. 30, 2020USD ($)loan | Jun. 30, 2021USD ($)loan | Jun. 30, 2020USD ($)loan | Dec. 31, 2020USD ($)loan | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | $ 88,470 | $ 88,470 | $ 51,609 | ||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 8 | 8 | 19 | 13 | |
Balance | $ 11,475 | $ 1,407 | $ 44,969 | $ 2,697 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 5 | 3 | 9 | 10 | |
Balance | $ 31,754 | $ 694 | $ 32,873 | $ 2,809 | |
ACL for TDRs modified during period | 59 | 57 | 23,700 | 219 | |
Total charge-offs of TDR loans modified | 0 | 0 | 0 | 0 | |
ACL for the TDRs that had payment defaults | 23,600 | 86 | 23,600 | 143 | |
Total charge offs for TDR loans that had payment defaults | 0 | $ 0 | 0 | $ 0 | |
Payment concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 27,051 | 27,051 | 16,745 | ||
Maturity / amortization concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 53,919 | 53,919 | 26,520 | ||
Rate concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | $ 7,500 | $ 7,500 | 8,344 | ||
Real estate | Residential | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 0 | 1 | 0 | 1 | |
Balance | $ 0 | $ 216 | $ 0 | $ 216 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 0 | 0 | 0 | 1 | |
Balance | $ 0 | $ 0 | $ 0 | $ 216 | |
Real estate | Commercial | Retail | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 4 | 0 | 7 | 1 | |
Balance | $ 6,527 | $ 0 | $ 30,236 | $ 676 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 1 | 0 | 2 | 1 | |
Balance | $ 22,589 | $ 0 | $ 23,551 | $ 676 | |
Real estate | Commercial | Hotel & motel | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 0 | 0 | 0 | 0 | |
Balance | $ 0 | $ 0 | $ 0 | $ 0 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 0 | 1 | 0 | 1 | |
Balance | $ 0 | $ 543 | $ 0 | $ 543 | |
Real estate | Commercial | Gas station & car wash | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 0 | 1 | 1 | 2 | |
Balance | $ 0 | $ 479 | $ 575 | $ 527 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 0 | 0 | 0 | 1 | |
Balance | $ 0 | $ 0 | $ 0 | $ 478 | |
Real estate | Commercial | Mixed use | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 1 | 1 | 1 | 1 | |
Balance | $ 4,624 | $ 464 | $ 4,624 | $ 464 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 0 | 0 | 0 | 1 | |
Balance | $ 0 | $ 0 | $ 0 | $ 464 | |
Real estate | Commercial | Industrial & warehouse | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 0 | 0 | 2 | 1 | |
Balance | $ 0 | $ 0 | $ 9,149 | $ 261 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 2 | 0 | 2 | 1 | |
Balance | $ 9,149 | $ 0 | $ 9,149 | $ 261 | |
Real estate | Commercial | Other | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 0 | 0 | 0 | 0 | |
Balance | $ 0 | $ 0 | $ 0 | $ 0 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 0 | 1 | 0 | 1 | |
Balance | $ 0 | $ 133 | $ 0 | $ 133 | |
Real estate | Construction | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 0 | 0 | 0 | 0 | |
Balance | $ 0 | $ 0 | $ 0 | $ 0 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 0 | 0 | 0 | 0 | |
Balance | $ 0 | $ 0 | $ 0 | $ 0 | |
Real estate | TDR Loans on Accrual Status | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 42,604 | 42,604 | 25,771 | ||
Real estate | TDR Loans on Accrual Status | Commercial | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 42,600 | $ 42,600 | $ 25,800 | ||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 37 | 33 | |||
Real estate | TDR Loans on Accrual Status | Payment concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 17,305 | $ 17,305 | $ 8,328 | ||
Real estate | TDR Loans on Accrual Status | Maturity / amortization concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 19,996 | 19,996 | 11,331 | ||
Real estate | TDR Loans on Accrual Status | Rate concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 5,303 | 5,303 | 6,112 | ||
Real estate | TDR Loans on Nonaccrual Status | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 31,644 | 31,644 | 8,423 | ||
Real estate | TDR Loans on Nonaccrual Status | Payment concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 8,357 | 8,357 | 7,074 | ||
Real estate | TDR Loans on Nonaccrual Status | Maturity / amortization concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 22,889 | 22,889 | 925 | ||
Real estate | TDR Loans on Nonaccrual Status | Rate concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | $ 398 | $ 398 | 424 | ||
Commercial business | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 2 | 2 | 3 | 3 | |
Balance | $ 312 | $ 234 | $ 331 | $ 523 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 0 | 1 | 1 | 2 | |
Balance | $ 0 | $ 18 | $ 131 | $ 32 | |
Commercial business | TDR Loans on Accrual Status | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 8,565 | $ 8,565 | $ 11,411 | ||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 22 | 25 | |||
Commercial business | TDR Loans on Accrual Status | Payment concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 808 | $ 808 | $ 814 | ||
Commercial business | TDR Loans on Accrual Status | Maturity / amortization concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 7,380 | 7,380 | 10,219 | ||
Commercial business | TDR Loans on Accrual Status | Rate concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 377 | 377 | 378 | ||
Commercial business | TDR Loans on Nonaccrual Status | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 5,349 | 5,349 | 5,715 | ||
Commercial business | TDR Loans on Nonaccrual Status | Payment concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 523 | 523 | 471 | ||
Commercial business | TDR Loans on Nonaccrual Status | Maturity / amortization concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 3,404 | 3,404 | 3,814 | ||
Commercial business | TDR Loans on Nonaccrual Status | Rate concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | $ 1,422 | $ 1,422 | 1,430 | ||
Residential mortgage | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 0 | 0 | 0 | 0 | |
Balance | $ 0 | $ 0 | $ 0 | $ 0 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 0 | 0 | 0 | 0 | |
Balance | $ 0 | $ 0 | $ 0 | $ 0 | |
Residential mortgage | TDR Loans on Accrual Status | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 0 | 0 | 0 | ||
Residential mortgage | TDR Loans on Accrual Status | Payment concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 0 | 0 | 0 | ||
Residential mortgage | TDR Loans on Accrual Status | Maturity / amortization concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 0 | 0 | 0 | ||
Residential mortgage | TDR Loans on Accrual Status | Rate concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 0 | 0 | 0 | ||
Residential mortgage | TDR Loans on Nonaccrual Status | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 0 | 0 | 0 | ||
Residential mortgage | TDR Loans on Nonaccrual Status | Payment concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 0 | 0 | 0 | ||
Residential mortgage | TDR Loans on Nonaccrual Status | Maturity / amortization concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 0 | 0 | 0 | ||
Residential mortgage | TDR Loans on Nonaccrual Status | Rate concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | $ 0 | $ 0 | 0 | ||
Consumer and other | |||||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 1 | 3 | 5 | 4 | |
Balance | $ 12 | $ 14 | $ 54 | $ 30 | |
Troubled Debt Restructuring, By Loan Class, Modified And Subsequent Payment Default | |||||
Number of Loans | loan | 2 | 0 | 4 | 1 | |
Balance | $ 16 | $ 0 | $ 42 | $ 6 | |
Consumer and other | TDR Loans on Accrual Status | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 191 | $ 191 | $ 172 | ||
Troubled Debt Restructuring, By Loan Class | |||||
Number of Loans | loan | 15 | 16 | |||
Consumer and other | TDR Loans on Accrual Status | Payment concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 58 | $ 58 | $ 58 | ||
Consumer and other | TDR Loans on Accrual Status | Maturity / amortization concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 133 | 133 | 114 | ||
Consumer and other | TDR Loans on Accrual Status | Rate concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 0 | 0 | 0 | ||
Consumer and other | TDR Loans on Nonaccrual Status | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 117 | 117 | 117 | ||
Consumer and other | TDR Loans on Nonaccrual Status | Payment concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 0 | 0 | 0 | ||
Consumer and other | TDR Loans on Nonaccrual Status | Maturity / amortization concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | 117 | 117 | 117 | ||
Consumer and other | TDR Loans on Nonaccrual Status | Rate concession | |||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||||
Total TDRs | $ 0 | $ 0 | $ 0 |
Leases - Additional Information
Leases - Additional Information (Details) | 3 Months Ended | 6 Months Ended | 9 Months Ended | |||
Jun. 30, 2021USD ($) | Jun. 30, 2020USD ($) | Jun. 30, 2021USD ($)lease | Jun. 30, 2020USD ($) | Sep. 30, 2020 | Dec. 31, 2020USD ($) | |
Lessee, Lease, Description [Line Items] | ||||||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | us-gaap:AccountingStandardsUpdate202006Member | ||||
Operating lease right-of-use assets | $ 47,772,000 | $ 47,772,000 | $ 47,653,000 | |||
Extension options, term of extension | 5 years | |||||
Operating lease liabilities | 52,177,000 | $ 52,177,000 | $ 52,030,000 | |||
Short-term operating lease liability | 12,700,000 | 12,700,000 | ||||
Long-term operating lease liability | 39,500,000 | $ 39,500,000 | ||||
Number of leases extended | lease | 9 | |||||
Number of new leases | lease | 0 | |||||
Rent expense | $ 4,500,000 | $ 4,500,000 | $ 9,000,000 | $ 9,100,000 | ||
Minimum | ||||||
Lessee, Lease, Description [Line Items] | ||||||
Remaining lease term for operating leases | 1 year | 1 year | ||||
Extension options, term of extension | 3 years | |||||
Maximum | ||||||
Lessee, Lease, Description [Line Items] | ||||||
Remaining lease term for operating leases | 10 years | 10 years | ||||
Extension options, term of extension | 5 years |
Leases - Net Lease Cost (Detail
Leases - Net Lease Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Leases [Abstract] | ||||
Operating lease cost | $ 3,891 | $ 3,879 | $ 7,720 | $ 7,824 |
Short term lease cost | 0 | 0 | 0 | 0 |
Variable lease cost | 747 | 772 | 1,501 | 3,397 |
Sublease income | (99) | (214) | (252) | (426) |
Net lease cost | $ 4,539 | $ 4,437 | $ 8,969 | $ 10,795 |
Leases - Other Information (Det
Leases - Other Information (Details) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021 | Jun. 30, 2020 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash outflows for operating leases | $ 7,428 | $ 7,392 |
Right-of-use assets obtained in exchange for lease liabilities, net | $ 0 | $ 1,541 |
Weighted-average remaining lease term - operating leases | 5 years 2 months 12 days | 5 years 6 months |
Weighted-average discount rate - operating leases | 2.69% | 3.01% |
Leases - Maturities of Remainin
Leases - Maturities of Remaining Lease Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Leases [Abstract] | ||
2021 | $ 7,277 | |
2022 | 11,312 | |
2023 | 9,613 | |
2024 | 8,684 | |
2025 | 7,319 | |
2026 and thereafter | 11,971 | |
Total lease payments | 56,176 | |
Less: imputed interest | 3,999 | |
Total lease obligations | $ 52,177 | $ 52,030 |
Deposits (Details)
Deposits (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Deposits Disclosure [Line Items] | ||
Time Deposits, $250,000 or More | $ 1,580,000,000 | $ 1,850,000,000 |
Securities pledged as collateral | 354,800,000 | 376,100,000 |
Brokered deposits | 378,500,000 | 1,140,000,000 |
Noninterest bearing | 5,638,115,000 | 4,814,254,000 |
Money market and NOW accounts | 5,786,697,000 | 5,232,413,000 |
Savings deposits | 308,651,000 | 300,770,000 |
Time deposits | 2,992,767,000 | 3,986,475,000 |
Total deposits | $ 14,726,230,000 | $ 14,333,912,000 |
Percent of total deposit balance, by type | 100.00% | 100.00% |
Money market and NOW accounts | ||
Deposits Disclosure [Line Items] | ||
Brokered deposits | $ 378,300,000 | $ 735,000,000 |
Percent of total deposit balance, by type | 39.00% | 36.00% |
Time deposit accounts | ||
Deposits Disclosure [Line Items] | ||
Brokered deposits | $ 191,000 | $ 400,600,000 |
Noninterest Bearing Demand Deposits | ||
Deposits Disclosure [Line Items] | ||
Percent of total deposit balance, by type | 38.00% | 34.00% |
Savings Deposits | ||
Deposits Disclosure [Line Items] | ||
Percent of total deposit balance, by type | 2.00% | 2.00% |
Bank Time Deposits | ||
Deposits Disclosure [Line Items] | ||
Percent of total deposit balance, by type | 21.00% | 28.00% |
California State Treasurer | ||
Deposits Disclosure [Line Items] | ||
Time Deposits, $250,000 or More | $ 300,000,000 | $ 300,000,000 |
Required eligible collateral pledge on outstanding deposits, minimum percentage | 110.00% | |
Securities pledged as collateral | $ 350,700,000 | $ 368,200,000 |
Borrowings - Narrative (Details
Borrowings - Narrative (Details) | 6 Months Ended | ||
Jun. 30, 2021USD ($)security | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($) | |
Debt Instrument [Line Items] | |||
Percent of assets | 25.00% | ||
Maximum borrowing capacity | $ 4,300,000,000 | $ 4,180,000,000 | |
Percent outstanding advances | 100.00% | ||
Pledged as collateral | $ 0 | 0 | |
FHLB advances | 200,000,000 | 250,000,000 | |
Proceeds from FHLB advances | 1,440,000,000 | $ 910,000,000 | |
Remaining borrowing capacity | 4,080,000,000 | ||
Federal funds purchased | $ 0 | 0 | |
Percent of qualifying assets (up to) | 99.00% | ||
Securities pledged as collateral | $ 354,800,000 | $ 376,100,000 | |
Weighted Average | |||
Debt Instrument [Line Items] | |||
FHLB advances, interest rate | 1.26% | 1.07% | |
Minimum | |||
Debt Instrument [Line Items] | |||
FHLB advances, interest rate | 0.13% | ||
Maximum | |||
Debt Instrument [Line Items] | |||
FHLB advances, interest rate | 2.39% | ||
Qualifying Loans | |||
Debt Instrument [Line Items] | |||
Asset balance used to determine maximum borrowing capacity from federal reserve bank | $ 766,000,000 | ||
FRB Discount Window | |||
Debt Instrument [Line Items] | |||
Number of securities pledged as collateral | security | 1 | ||
Securities pledged as collateral | $ 2,400,000 | ||
Total available borrowing capacity | 616,400,000 | $ 616,000,000 | |
Amount outstanding | 0 | 0 | |
Unsecured Credit Facility with FHLB | |||
Debt Instrument [Line Items] | |||
Unsecured credit facility, maximum borrowing capacity | 81,200,000 | 81,200,000 | |
Mortgage Loans on Real Estate | |||
Debt Instrument [Line Items] | |||
Pledged as collateral, FHLB | $ 6,610,000,000 | $ 6,950,000,000 |
Borrowings - Maturities of FHLB
Borrowings - Maturities of FHLB Borrowings (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Debt Disclosure [Abstract] | ||
2021 | $ 100,000 | |
2022 | 100,000 | |
FHLB advances | $ 200,000 | $ 250,000 |
Subordinated Debentures and C_3
Subordinated Debentures and Convertible Notes - Narrative (Details) | Jun. 07, 2018$ / shares | Jun. 30, 2021USD ($)grantorTrust | Mar. 31, 2021 | Jun. 30, 2020USD ($) | Jun. 30, 2021USD ($)grantorTrust | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($) | Jun. 06, 2018USD ($) |
Subordinated Borrowing [Line Items] | ||||||||
Number of wholly owned subsidiary grantor trusts | grantorTrust | 9 | 9 | ||||||
Amount of pooled trust preferred securities issued | $ 126,000,000 | $ 126,000,000 | ||||||
Right to defer consecutive payments of interest, maximum term | 5 years | |||||||
Carrying value of Debentures | 104,762,000 | $ 104,762,000 | $ 104,178,000 | |||||
Interest on other borrowings and convertible notes | 2,300,000 | $ 3,558,000 | 4,602,000 | $ 7,375,000 | ||||
Cumulative Effect, Period of Adoption, Adjustment | Accounting Standards Update 2020-06 | Additional paid-in capital | ||||||||
Subordinated Borrowing [Line Items] | ||||||||
Adjustments to additional paid in capital, equity component of convertible debt, net of tax | 18,300,000 | |||||||
Other assets | ||||||||
Subordinated Borrowing [Line Items] | ||||||||
Investment in common trust securities | 3,900,000 | 3,900,000 | 3,900,000 | |||||
Carrying Value of Debentures | ||||||||
Subordinated Borrowing [Line Items] | ||||||||
Carrying value of Debentures | 104,762,000 | 104,762,000 | 104,200,000 | |||||
Remaining discounts on acquired Debentures | 25,100,000 | 25,100,000 | $ 25,700,000 | |||||
Trust Preferred Securities Subject to Mandatory Redemption | ||||||||
Subordinated Borrowing [Line Items] | ||||||||
Amount of pooled trust preferred securities issued | $ 126,000,000 | $ 126,000,000 | ||||||
Percent included in tier one capital, maximum | 25.00% | 25.00% | ||||||
Excess of percent threshold included in tier two capital | 25.00% | 25.00% | ||||||
Convertible Notes | ||||||||
Subordinated Borrowing [Line Items] | ||||||||
Aggregate principal amount issued | $ 217,500,000 | $ 217,500,000 | $ 217,500,000 | |||||
Interest rate | 2.00% | |||||||
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% | |||||||
Repurchase or put option, percentage of principal amount in cash | 100.00% | |||||||
Interest expense on convertible notes | 1,300,000 | $ 2,400,000 | $ 2,600,000 | $ 4,700,000 | ||||
Number of outstanding years for which non-cash interest expense and issuance cost capitalization expense will be recorded | 5 years | 5 years | 5 years | |||||
Convertible Notes | Cumulative Effect, Period of Adoption, Adjustment | Accounting Standards Update 2020-06 | ||||||||
Subordinated Borrowing [Line Items] | ||||||||
Interest on other borrowings and convertible notes | $ 1,000,000 | $ 2,100,000 | ||||||
Convertible Notes | Discount Rate | ||||||||
Subordinated Borrowing [Line Items] | ||||||||
Discount rate | 0.0425 |
Subordinated Debentures and C_4
Subordinated Debentures and Convertible Notes - Summary of Trust Preferred Securities and Debentures (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 126,000,000 | |
Carrying Value of Debentures | 104,762,000 | $ 104,178,000 |
Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 126,000,000 | |
Carrying Value of Debentures | ||
Subordinated Borrowing [Line Items] | ||
Carrying Value of Debentures | $ 104,762,000 | $ 104,200,000 |
Nara Capital Trust III | ||
Subordinated Borrowing [Line Items] | ||
Current Rate | 3.269% | |
Nara Capital Trust III | Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 5,000,000 | |
Nara Capital Trust III | Carrying Value of Debentures | ||
Subordinated Borrowing [Line Items] | ||
Carrying Value of Debentures | $ 5,155,000 | |
Nara Statutory Trust IV | ||
Subordinated Borrowing [Line Items] | ||
Current Rate | 3.034% | |
Nara Statutory Trust IV | Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 5,000,000 | |
Nara Statutory Trust IV | Carrying Value of Debentures | ||
Subordinated Borrowing [Line Items] | ||
Carrying Value of Debentures | $ 5,155,000 | |
Nara Statutory Trust V | ||
Subordinated Borrowing [Line Items] | ||
Current Rate | 3.075% | |
Nara Statutory Trust V | Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 10,000,000 | |
Nara Statutory Trust V | Carrying Value of Debentures | ||
Subordinated Borrowing [Line Items] | ||
Carrying Value of Debentures | $ 10,310,000 | |
Nara Statutory Trust VI | ||
Subordinated Borrowing [Line Items] | ||
Current Rate | 1.769% | |
Nara Statutory Trust VI | Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 8,000,000 | |
Nara Statutory Trust VI | Carrying Value of Debentures | ||
Subordinated Borrowing [Line Items] | ||
Carrying Value of Debentures | $ 8,248,000 | |
Center Capital Trust I | ||
Subordinated Borrowing [Line Items] | ||
Current Rate | 3.034% | |
Center Capital Trust I | Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 18,000,000 | |
Center Capital Trust I | Carrying Value of Debentures | ||
Subordinated Borrowing [Line Items] | ||
Carrying Value of Debentures | $ 14,572,000 | |
Wilshire Trust II | ||
Subordinated Borrowing [Line Items] | ||
Current Rate | 1.915% | |
Wilshire Trust II | Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 20,000,000 | |
Wilshire Trust II | Carrying Value of Debentures | ||
Subordinated Borrowing [Line Items] | ||
Carrying Value of Debentures | $ 16,082,000 | |
Wilshire Trust III | ||
Subordinated Borrowing [Line Items] | ||
Current Rate | 1.519% | |
Wilshire Trust III | Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 15,000,000 | |
Wilshire Trust III | Carrying Value of Debentures | ||
Subordinated Borrowing [Line Items] | ||
Carrying Value of Debentures | $ 11,423,000 | |
Wilshire Trust IV | ||
Subordinated Borrowing [Line Items] | ||
Current Rate | 1.499% | |
Wilshire Trust IV | Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 25,000,000 | |
Wilshire Trust IV | Carrying Value of Debentures | ||
Subordinated Borrowing [Line Items] | ||
Carrying Value of Debentures | $ 18,480,000 | |
Saehan Capital Trust I | ||
Subordinated Borrowing [Line Items] | ||
Current Rate | 1.767% | |
Saehan Capital Trust I | Trust Preferred Security Amount | ||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 20,000,000 | |
Saehan Capital Trust I | Carrying Value of Debentures | ||
Subordinated Borrowing [Line Items] | ||
Carrying Value of Debentures | $ 15,337,000 |
Subordinated Debentures and C_5
Subordinated Debentures and Convertible Notes - Schedule of Convertible Debt (Details) - USD ($) $ in Thousands | Jun. 07, 2018 | Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 |
Carrying Amount | |||||||
Interest on other borrowings and convertible notes | $ 2,300 | $ 3,558 | $ 4,602 | $ 7,375 | |||
Convertible Notes | |||||||
Debt Instrument [Line Items] | |||||||
Amortization/ Capitalization Period | 5 years | 5 years | 5 years | ||||
Gross Carrying Amount | |||||||
Convertible notes principal balance | 217,500 | $ 217,500 | $ 217,500 | ||||
Discount | (21,880) | ||||||
Issuance costs to be capitalized | (4,119) | (4,119) | (4,119) | ||||
Carrying balance of convertible notes | 213,381 | 213,381 | 191,501 | ||||
Accumulated Amortization / Capitalization | |||||||
Discount | 10,951 | ||||||
Issuance costs to be capitalized | 2,358 | 2,358 | 2,113 | ||||
Carrying balance of convertible notes | 2,358 | 2,358 | 13,064 | ||||
Carrying Amount | |||||||
Convertible notes principal balance | 217,500 | 217,500 | 217,500 | ||||
Discount | (10,929) | ||||||
Issuance costs to be capitalized | (1,761) | (1,761) | (2,006) | ||||
Carrying balance of convertible notes | $ 215,739 | $ 215,739 | $ 204,565 |
Derivative Financial Instrume_3
Derivative Financial Instruments (Details) | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2021USD ($)derivative | Mar. 31, 2021 | Jun. 30, 2020USD ($) | Jun. 30, 2021USD ($)derivative | Jun. 30, 2020USD ($) | Dec. 31, 2020USD ($)derivative | |
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Interest Expense | $ 13,627,000 | $ 35,247,000 | $ 29,341,000 | $ 82,824,000 | ||
Interest Rate Cash Flow Hedge Gain (Loss) Reclassified to Earnings, Net | 73,000 | |||||
Interest rate swaps | Reclassification out of Accumulated Other Comprehensive Income | Accumulated Net Gain (Loss) from Cash Flow Hedges Attributable to Parent | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Interest Expense | $ 139,000 | 139,000 | $ 139,000 | |||
Not Designated as Hedging Instrument | Interest rate swaps | Correspondent Banks | Other liabilities | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Notional amount | $ 418,767,000 | $ 418,767,000 | $ 503,929,000 | |||
Weighted average remaining term (years) | 6 years 9 months 18 days | 6 years | ||||
Received/Pay variable rate (weighted average) | 2.21% | 2.21% | 2.26% | |||
Pay/Received fixed rate (weighted average) | 4.06% | 4.06% | 3.86% | |||
Estimated fair value | $ (21,358,000) | $ (21,358,000) | $ (34,606,000) | |||
Not Designated as Hedging Instrument | Interest rate swaps | Correspondent Banks | Other assets | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Notional amount | $ 93,433,000 | $ 93,433,000 | $ 0 | |||
Weighted average remaining term (years) | 0 years | 8 years 9 months 18 days | ||||
Received/Pay variable rate (weighted average) | 2.08% | 2.08% | 0.00% | |||
Pay/Received fixed rate (weighted average) | 2.86% | 2.86% | 0.00% | |||
Estimated fair value | $ 1,763,000 | $ 1,763,000 | $ 0 | |||
Not Designated as Hedging Instrument | Interest rate swaps | Customers | Other liabilities | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Notional amount | $ 93,433,000 | $ 93,433,000 | $ 0 | |||
Weighted average remaining term (years) | 0 years | 8 years 9 months 18 days | ||||
Received/Pay variable rate (weighted average) | 2.08% | 2.08% | 0.00% | |||
Pay/Received fixed rate (weighted average) | 2.86% | 2.86% | 0.00% | |||
Estimated fair value | $ (1,763,000) | $ (1,763,000) | $ 0 | |||
Not Designated as Hedging Instrument | Interest rate swaps | Customers | Other assets | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Notional amount | $ 418,767,000 | $ 418,767,000 | $ 503,929,000 | |||
Weighted average remaining term (years) | 6 years 9 months 18 days | 6 years | ||||
Received/Pay variable rate (weighted average) | 2.21% | 2.21% | 2.26% | |||
Pay/Received fixed rate (weighted average) | 4.06% | 4.06% | 3.86% | |||
Estimated fair value | $ 21,358,000 | $ 21,358,000 | $ 34,606,000 | |||
Not Designated as Hedging Instrument | Risk participation agreement | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Notional amount | 111,400,000 | 111,400,000 | 112,800,000 | |||
Credit valuation adjustment | 64,000 | 64,000 | 398,000 | |||
Designated as Hedging Instrument | Interest rate swaps | Other liabilities | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Notional amount | $ 0 | $ 0 | $ 100,000,000 | |||
Weighted average remaining term (years) | 4 years 3 months 18 days | 0 years | ||||
Received/Pay variable rate (weighted average) | 0.00% | 0.00% | 0.22% | |||
Pay/Received fixed rate (weighted average) | 0.00% | 0.00% | 0.49% | |||
Estimated fair value | $ 0 | $ 0 | $ (602,000) | |||
Designated as Hedging Instrument | Interest rate swaps | Other assets | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Notional amount | $ 100,000,000 | $ 100,000,000 | $ 0 | |||
Weighted average remaining term (years) | 0 years | 4 years | ||||
Received/Pay variable rate (weighted average) | 0.19% | 0.19% | 0.00% | |||
Pay/Received fixed rate (weighted average) | 0.49% | 0.49% | 0.00% | |||
Estimated fair value | $ 921,000 | $ 921,000 | $ 0 | |||
Designated as Hedging Instrument | Cash Flow Hedge | Interest rate swaps | ||||||
Derivative Instruments and Hedging Activities Disclosures [Line Items] | ||||||
Notional amount | $ 100,000,000 | $ 100,000,000 | $ 100,000,000 | |||
Number of derivative instruments held | derivative | 1 | 1 | 1 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Summary of Derivative Notional Amounts and Fair Values (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Interest rate lock commitments | ||
Derivative [Line Items] | ||
Notional amount, derivative asset | $ 23,792,000 | $ 37,507,000 |
Fair value, derivative asset | 213,000 | 679,000 |
Notional amount, derivative liability | 2,368,000 | 6,267,000 |
Fair value, derivative liability | (4,000) | (31,000) |
Notional amount | 26,200,000 | 43,800,000 |
Forward sale contracts related to mortgage banking | Short | ||
Derivative [Line Items] | ||
Notional amount, derivative asset | 11,942,000 | 8,641,000 |
Fair value, derivative asset | 29,000 | 45,000 |
Notional amount, derivative liability | 14,217,000 | 35,133,000 |
Fair value, derivative liability | (48,000) | (79,000) |
Risk participation agreement | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Notional amount | $ 111,400,000 | $ 112,800,000 |
Commitments and Contingencies_2
Commitments and Contingencies (Details) - USD ($) | Jun. 30, 2021 | Dec. 31, 2020 |
Supply Commitment [Line Items] | ||
Loss contingencies for all legal claims | $ 25,000 | $ 1,300,000 |
Loss contingencies for all legal claims | 25,000 | 1,300,000 |
Commitments to extend credit | ||
Supply Commitment [Line Items] | ||
Commitments and letters of credit | 2,483,026,000 | 2,137,178,000 |
Standby letters of credit | ||
Supply Commitment [Line Items] | ||
Commitments and letters of credit | 115,629,000 | 108,834,000 |
Other letters of credit | ||
Supply Commitment [Line Items] | ||
Commitments and letters of credit | 55,609,000 | 40,508,000 |
Commitments to fund investments in affordable housing partnerships | ||
Supply Commitment [Line Items] | ||
Commitments and letters of credit | $ 10,654,000 | $ 15,148,000 |
Goodwill, Intangible Assets, _3
Goodwill, Intangible Assets, and Servicing Assets - Intangible Assets (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Finite-Lived Intangible Assets [Line Items] | |||||
Goodwill impairment | $ 0 | $ 0 | |||
Goodwill | 464,450,000 | 464,450,000 | $ 464,450,000 | ||
Core Deposits | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization expense related to core deposit intangible assets | 510,000 | $ 532,000 | 1,000,000 | $ 1,100,000 | |
Gross Amount | 20,901,000 | 20,901,000 | 20,901,000 | ||
Accumulated Amortization | (12,212,000) | (12,212,000) | (11,193,000) | ||
Carrying Amount | 8,689,000 | $ 8,689,000 | 9,708,000 | ||
Foster Bankshares acquisition | Core Deposits | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization Period | 10 years | ||||
Gross Amount | 2,763,000 | $ 2,763,000 | 2,763,000 | ||
Accumulated Amortization | (2,413,000) | (2,413,000) | (2,322,000) | ||
Carrying Amount | 350,000 | $ 350,000 | 441,000 | ||
Wilshire Bancorp acquisition | Core Deposits | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization Period | 10 years | ||||
Gross Amount | 18,138,000 | $ 18,138,000 | 18,138,000 | ||
Accumulated Amortization | (9,799,000) | (9,799,000) | (8,871,000) | ||
Carrying Amount | $ 8,339,000 | $ 8,339,000 | $ 9,267,000 | ||
Maximum | Core Deposits | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization Period | 10 years |
Goodwill, Intangible Assets, _4
Goodwill, Intangible Assets, and Servicing Assets - Servicing Assets (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2021 | Mar. 31, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | ||||||
Balance at beginning of period | $ 12,084 | $ 12,692 | $ 14,847 | $ 12,692 | $ 16,417 | |
Additions through originations of servicing assets | 737 | 759 | 1,329 | 1,136 | ||
Amortization | (1,255) | (1,442) | (2,455) | (3,389) | ||
Balance at end of period | 11,566 | $ 12,084 | $ 14,164 | 11,566 | $ 14,164 | |
Principal balances of loans serviced for other institutions | $ 1,180,000 | $ 1,180,000 | $ 1,230,000 | |||
SBA Servicing Assets: Weighted-average discount rate | 9.93% | 11.72% | ||||
SBA Servicing Assets: Constant prepayment rate | 14.40% | 14.23% | ||||
Mortgage Servicing Assets: Weighted-average discount rate | 8.26% | 8.51% | ||||
Mortgage Servicing Assets: Constant prepayment rate | 8.63% | 9.02% |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |||||
Income tax provision | $ 17,767,000 | $ 9,771,000 | $ 31,732,000 | $ 16,233,000 | |
Pretax income | $ 71,530,000 | $ 36,524,000 | $ 129,182,000 | $ 68,939,000 | |
Effective income tax rate | 24.84% | 26.75% | 24.56% | 23.55% | |
Unrecognized tax benefits | $ 2,800,000 | $ 2,800,000 | $ 2,800,000 | ||
Interest accrued | 323,000 | 323,000 | 276,000 | ||
Penalties accrued | 0 | 0 | $ 0 | ||
Decrease in unrecognized tax benefits is reasonably possible | $ 902,000 | $ 902,000 |
Fair Value Measurements - Asset
Fair Value Measurements - Assets and Liabilities Measured at Fair Value, Recurring (Details) $ in Thousands | 6 Months Ended | |
Jun. 30, 2021USD ($) | Dec. 31, 2020USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Costs to sell percentage | 8.50% | |
Assets: | ||
Equity investments with readily determinable fair value | $ 59,032 | $ 59,699 |
Recurring basis | ||
Assets: | ||
Equity investments with readily determinable fair value | 27,205 | 27,611 |
Recurring basis | Interest rate swaps | ||
Assets: | ||
Derivative assets | 23,121 | 34,606 |
Liabilities: | ||
Derivative liabilities | 23,121 | 34,606 |
Recurring basis | Mortgage banking derivatives | ||
Assets: | ||
Derivative assets | 242 | 724 |
Liabilities: | ||
Derivative liabilities | 52 | 110 |
Recurring basis | Other derivatives | ||
Assets: | ||
Derivative assets | 921 | |
Liabilities: | ||
Derivative liabilities | 64 | 1,000 |
Recurring basis | Collateralized mortgage obligations | ||
Assets: | ||
Securities available for sale, at fair value | 864,576 | 1,001,317 |
Recurring basis | Mortgage-backed securities: Residential | ||
Assets: | ||
Securities available for sale, at fair value | 660,202 | 681,013 |
Recurring basis | Mortgage-backed securities: Commercial | ||
Assets: | ||
Securities available for sale, at fair value | 555,613 | 507,879 |
Recurring basis | Corporate securities | ||
Assets: | ||
Securities available for sale, at fair value | 22,614 | 6,134 |
Recurring basis | Municipal securities | ||
Assets: | ||
Securities available for sale, at fair value | 108,796 | 89,268 |
Recurring basis | Asset-backed Securities | ||
Assets: | ||
Securities available for sale, at fair value | 62,369 | |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Assets: | ||
Equity investments with readily determinable fair value | 27,205 | 27,611 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest rate swaps | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage banking derivatives | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Other derivatives | ||
Assets: | ||
Derivative assets | 0 | |
Liabilities: | ||
Derivative liabilities | 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) | Asset-backed Securities | ||
Assets: | ||
Securities available for sale, at fair value | 0 | |
Recurring basis | Significant Other Observable Inputs (Level 2) | ||
Assets: | ||
Equity investments with readily determinable fair value | 0 | 0 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Interest rate swaps | ||
Assets: | ||
Derivative assets | 23,121 | 34,606 |
Liabilities: | ||
Derivative liabilities | 23,121 | 34,606 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Mortgage banking derivatives | ||
Assets: | ||
Derivative assets | 242 | 724 |
Liabilities: | ||
Derivative liabilities | 52 | 110 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Other derivatives | ||
Assets: | ||
Derivative assets | 921 | |
Liabilities: | ||
Derivative liabilities | 0 | 602 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Collateralized mortgage obligations | ||
Assets: | ||
Securities available for sale, at fair value | 864,576 | 1,001,317 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Mortgage-backed securities: Residential | ||
Assets: | ||
Securities available for sale, at fair value | 660,202 | 681,013 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Mortgage-backed securities: Commercial | ||
Assets: | ||
Securities available for sale, at fair value | 555,613 | 507,879 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Corporate securities | ||
Assets: | ||
Securities available for sale, at fair value | 22,614 | 6,134 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Municipal securities | ||
Assets: | ||
Securities available for sale, at fair value | 107,738 | 88,246 |
Recurring basis | Significant Other Observable Inputs (Level 2) | Asset-backed Securities | ||
Assets: | ||
Securities available for sale, at fair value | 62,369 | |
Recurring basis | Significant Unobservable Inputs (Level 3) | ||
Assets: | ||
Equity investments with readily determinable fair value | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Interest rate swaps | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Mortgage banking derivatives | ||
Assets: | ||
Derivative assets | 0 | 0 |
Liabilities: | ||
Derivative liabilities | 0 | 0 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Other derivatives | ||
Assets: | ||
Derivative assets | 0 | |
Liabilities: | ||
Derivative liabilities | 64 | 398 |
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 | 1,058 | $ 1,022 |
Recurring basis | Significant Unobservable Inputs (Level 3) | Asset-backed Securities | ||
Assets: | ||
Securities available for sale, at fair value | $ 0 | |
Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Costs to sell percentage | 8.50% | |
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 | Inventory | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount rate | 0.50 | |
Discount Rate | Inventory | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Discount rate | 0.70 |
Fair Value Measurements - Rollf
Fair Value Measurements - Rollforward of Level 3 Assets (Details) - Level 3 - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Beginning Balance | $ 1,065 | $ 1,079 | ||
Change in fair value included in other comprehensive income (loss) | (7) | (13) | ||
Ending Balance | 1,058 | 1,066 | $ 1,058 | $ 1,066 |
Other derivatives | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Beginning Balance | 95 | 0 | 398 | |
Change in fair value included in other comprehensive income (loss) | (31) | 223 | (334) | 223 |
Ending Balance | 64 | 223 | 64 | 223 |
Municipal Bonds [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Beginning Balance | 1,022 | 1,076 | ||
Change in fair value included in other comprehensive income (loss) | 36 | (10) | ||
Ending Balance | $ 1,058 | $ 1,066 | $ 1,058 | $ 1,066 |
Fair Value Measurements - Ass_2
Fair Value Measurements - Assets Measured at Fair Value, Non-Recurring (Details) - Non-recurring basis - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Real estate loans | ||
Assets: | ||
Assets | $ 50,593 | $ 21,688 |
Commercial business | ||
Assets: | ||
Assets | 3,601 | 7,694 |
OREO | ||
Assets: | ||
Assets | 15,759 | 19,260 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Real estate loans | ||
Assets: | ||
Assets | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial business | ||
Assets: | ||
Assets | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | OREO | ||
Assets: | ||
Assets | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Real estate loans | ||
Assets: | ||
Assets | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Commercial business | ||
Assets: | ||
Assets | 0 | 0 |
Significant Other Observable Inputs (Level 2) | OREO | ||
Assets: | ||
Assets | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Real estate loans | ||
Assets: | ||
Assets | 50,593 | 21,688 |
Significant Unobservable Inputs (Level 3) | Commercial business | ||
Assets: | ||
Assets | 3,601 | 7,694 |
Significant Unobservable Inputs (Level 3) | OREO | ||
Assets: | ||
Assets | $ 15,759 | $ 19,260 |
Fair Value Measurements - Total
Fair Value Measurements - Total Net Gains Losses on Assets Measured at Fair Value on a Non-Recurring Basis (Details) - Change during period - Non-recurring basis - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Loans Receivable | Real estate loans | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Total gains (losses), fair value | $ (25,411) | $ (2,746) | $ (27,738) | $ (5,067) |
Loans Receivable | Commercial business | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Total gains (losses), fair value | (2,151) | (3,178) | (2,151) | (5,746) |
OREO | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Total gains (losses), fair value | $ (154) | $ (1,435) | $ (323) | $ (2,779) |
Fair Value Measurements - Carry
Fair Value Measurements - Carrying Amounts and Estimated Fair Values of Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2021 | Dec. 31, 2020 |
Financial Assets: | ||
Equity investments without readily determinable fair values | $ 31,800 | $ 32,100 |
Level 1 | Carrying Amount | ||
Financial Assets: | ||
Cash and cash equivalents | 836,957 | 350,579 |
Financial Liabilities: | ||
Convertible notes, net | 215,739 | 204,565 |
Level 1 | Estimated Fair Value | ||
Financial Assets: | ||
Cash and cash equivalents | 836,957 | 350,579 |
Financial Liabilities: | ||
Convertible notes, net | 214,238 | 201,731 |
Level 2/3 | Carrying Amount | ||
Financial Assets: | ||
Accrued interest receivable | 51,886 | 59,430 |
Level 2/3 | Estimated Fair Value | ||
Financial Assets: | ||
Accrued interest receivable | 51,886 | 59,430 |
Level 2 | Carrying Amount | ||
Financial Assets: | ||
Interest bearing deposits in other financial institutions | 18,268 | 28,642 |
Equity investments without readily determinable fair values | 31,827 | 32,088 |
Loans held for sale | 54,245 | 17,743 |
Customers’ liabilities on acceptances | 916 | 1,184 |
Financial Liabilities: | ||
Noninterest bearing deposits | 5,638,115 | 4,814,254 |
Saving and other interest bearing demand deposits | 6,095,348 | 5,533,183 |
Time deposits | 2,992,767 | 3,986,475 |
FHLB advances | 200,000 | 250,000 |
Subordinated debentures | 104,762 | 104,178 |
Accrued interest payable | 4,946 | 14,706 |
Acceptances outstanding | 916 | 1,184 |
Level 2 | Estimated Fair Value | ||
Financial Assets: | ||
Interest bearing deposits in other financial institutions | 18,283 | 28,669 |
Equity investments without readily determinable fair values | 31,827 | 32,088 |
Loans held for sale | 57,365 | 18,288 |
Customers’ liabilities on acceptances | 916 | 1,184 |
Financial Liabilities: | ||
Noninterest bearing deposits | 5,638,115 | 4,814,254 |
Saving and other interest bearing demand deposits | 6,095,348 | 5,533,183 |
Time deposits | 2,996,197 | 3,992,973 |
FHLB advances | 203,251 | 254,456 |
Subordinated debentures | 112,429 | 98,948 |
Accrued interest payable | 4,946 | 14,706 |
Acceptances outstanding | 916 | 1,184 |
Level 3 | Carrying Amount | ||
Financial Assets: | ||
Loans receivable—net | 13,234,849 | 13,356,472 |
Servicing assets, net | 11,566 | 12,692 |
Level 3 | Estimated Fair Value | ||
Financial Assets: | ||
Loans receivable—net | 13,236,867 | 13,428,706 |
Servicing assets, net | $ 14,438 | $ 15,785 |
Stockholders' Equity - Discussi
Stockholders' Equity - Discussion of Equity (Details) - USD ($) | 1 Months Ended | 3 Months Ended | 6 Months Ended | 13 Months Ended | ||||||
Mar. 31, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2021 | Dec. 31, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | |
Equity [Abstract] | ||||||||||
Total stockholders’ equity | $ 2,018,088,000 | $ 2,092,870,000 | $ 2,030,776,000 | $ 2,092,870,000 | $ 2,030,776,000 | $ 2,030,776,000 | $ 2,045,581,000 | $ 2,053,745,000 | $ 2,036,011,000 | |
Share repurchase program, authorized amount | $ 50,000,000 | |||||||||
Common stock repurchased and recorded as treasury stock (in shares) | 2,716,034 | 0 | 12,661,581 | |||||||
Repurchase of treasury stock | $ 36,200,000 | $ 36,180,000 | $ 200,000,000 | |||||||
Dividends paid (in dollars per share) | $ 0.14 | $ 0.14 | $ 0.28 | $ 0.28 | ||||||
Allocated share-based compensation expense | $ 2,100,000 | $ 1,800,000 | $ 4,600,000 | $ 3,800,000 | ||||||
Gains (Losses) on Sales of Other Real Estate | $ (27,000) | $ 20,000 | $ (13,000) | $ 81,000 |
Stockholders' Equity - Changes
Stockholders' Equity - Changes in Accumulated Other Comprehensive (Loss) Income (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Balance at beginning of period | $ 2,045,581,000 | $ 2,018,088,000 | $ 2,053,745,000 | $ 2,036,011,000 |
Unrealized net gains (losses) on securities available for sale | 14,186,000 | 3,270,000 | (26,617,000) | 42,123,000 |
Unrealized net gains (losses) on interest rate swaps used for cash flow hedge | (297,000) | (711,000) | 1,523,000 | (711,000) |
Reclassification adjustments for net losses (gains) realized in net income | 73,000 | (139,000) | 139,000 | (139,000) |
Tax effect | (4,134,000) | (720,000) | 7,253,000 | (12,273,000) |
Other comprehensive income (loss), net of tax | 9,828,000 | 1,700,000 | (17,702,000) | 29,000,000 |
Balance at end of period | 2,092,870,000 | 2,030,776,000 | 2,092,870,000 | 2,030,776,000 |
Accumulated other comprehensive income, net | ||||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | ||||
Balance at beginning of period | 5,223,000 | 36,449,000 | 32,753,000 | 9,149,000 |
Other comprehensive income (loss), net of tax | 9,828,000 | 1,700,000 | (17,702,000) | 29,000,000 |
Balance at end of period | $ 15,051,000 | $ 38,149,000 | $ 15,051,000 | $ 38,149,000 |
Stock-Based Compensation - Plan
Stock-Based Compensation - Plan Description (Details) - shares | 6 Months Ended | |
Jun. 30, 2021 | May 23, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Number of shares available for future grant (in shares) | 2,322,103 | |
Stock options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Expirations in Period | 16,703 | |
Total compensation cost not yet recognized, period for recognition | 2 months 1 day | |
ISOs, SARs, and NQSOs | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Contractual term | 10 years | |
ISOs, SARs, and NQSOs | Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting period | 3 years | |
ISOs, SARs, and NQSOs | Maximum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Award vesting period | 5 years | |
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 | |
2019 Stock Incentive Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares initially available for grant to participants (in shares) | 4,400,000 | |
2019 Stock Incentive Plan | Minimum | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Purchase price of common stock, percent | 100.00% | |
2019 Stock Incentive Plan | Stock options | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Contractual term | 10 years |
Stock-Based Compensation - Stoc
Stock-Based Compensation - Stock Option Activity (Details) - Stock options $ / shares in Units, $ in Thousands | 6 Months Ended |
Jun. 30, 2021USD ($)$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |
Outstanding - beginning of period (in shares) | shares | 851,580 |
Granted (in shares) | shares | 0 |
Exercised (in shares) | shares | 0 |
Expired (in shares) | shares | (16,703) |
Forfeited (in shares) | shares | 0 |
Outstanding - end of period (in shares) | shares | 834,877 |
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 | $ 15.25 |
Granted - weighted average exercise price (usd per share) | $ / shares | 0 |
Exercised - weighted average exercise price (usd per share) | $ / shares | 0 |
Expired - weighted-average exercise price per share (usd per share) | $ / shares | 17.12 |
Forfeited - weighted average exercise price (usd per share) | $ / shares | 0 |
Outstanding - end of period, weighted-average exercise price per share (usd per share) | $ / shares | $ 15.22 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |
Options exercisable - end of period (in shares) | shares | 796,877 |
Options exercisable, weighted-average exercise price per share (usd per share) | $ / shares | $ 15.12 |
Outstanding, weighted-average remaining contractual life (years) | 3 years 10 months 28 days |
Options exercisable, weighted-average remaining contractual life (years) | 3 years 10 months 6 days |
Outstanding, aggregate intrinsic value | $ | $ 959 |
Options exercisable, aggregate intrinsic value | $ | $ 959 |
Stock-Based Compensation - Rest
Stock-Based Compensation - Restricted Stock and Performance Unit Activity (Details) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract] | ||||
Allocated share-based compensation expense | $ 2,100,000 | $ 1,800,000 | $ 4,600,000 | $ 3,800,000 |
Tax benefit from compensation expense | 514,000 | 485,000 | 1,100,000 | 896,000 |
Unrecognized compensation expense related to non-vested stock option grants | $ 21,000 | $ 21,000 | ||
Restricted stock and performance units | ||||
Number of Shares | ||||
Outstanding - beginning of period (in shares) | 1,718,838 | |||
Granted (in shares) | 652,909 | |||
Vested (in shares) | (604,703) | |||
Forfeited (in shares) | (135,053) | |||
Outstanding - end of period (in shares) | 1,631,991 | 1,631,991 | ||
Weighted-Average Grant Date Fair Value | ||||
Outstanding - beginning of period (in dollars per share) | $ 10.73 | |||
Granted (in dollars per share) | 15.65 | |||
Vested (in dollars per share) | 11.75 | |||
Forfeited (in dollars per share) | 13.18 | |||
Outstanding - end of period (in dollars per share) | $ 12.12 | $ 12.12 | ||
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 | $ 9,200,000 | 343,000 | ||
Total compensation cost not yet recognized, period for recognition | 2 years 25 days | |||
Unrecognized compensation expense related to non-vested equity instruments other than options | $ 13,500,000 | $ 13,500,000 | ||
Employee Stock Purchase Plan (ESPP) | ||||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Additional Disclosures [Abstract] | ||||
Discount rate to the closing price, purchase date | 10.00% | |||
Maximum amount of common shares purchased under ESPP of employee's base salary, percent | 20.00% | 20.00% | ||
Cap amount for shares purchased per employee | $ 25,000 | |||
Allocated share-based compensation expense | $ 37,000 | $ 26,000 | $ 259,000 | $ 97,000 |
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 months 1 day |
Regulatory Matters (Details)
Regulatory Matters (Details) $ in Thousands | 6 Months Ended | 9 Months Ended | ||
Jun. 30, 2020 | Sep. 30, 2020 | Jun. 30, 2021USD ($) | Dec. 31, 2020USD ($) | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | us-gaap:AccountingStandardsUpdate202006Member | ||
Bank Subsidiary | ||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||||
Common equity Tier 1 capital, Actual Amount | $ 1,932,546 | $ 1,850,091 | ||
Common equity Tier 1 capital, Actual Ratio | 0.1347 | 0.1290 | ||
Total capital (to risk-weighted assets), Amount | ||||
Total capital, Actual | $ 2,078,189 | $ 2,027,534 | ||
Tier I capital (to risk-weighted assets), Amount | ||||
Tier 1 capital, Actual | 1,932,546 | 1,850,091 | ||
Tier I capital (to average assets), Amount | ||||
Tier 1 capital, Actual | $ 1,932,546 | $ 1,850,091 | ||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||||
Total capital (to Risk Weighted Assets), Actual | 0.1449 | 0.1414 | ||
Total capital (to Risk Weighted Assets), Required For Capital Adequacy Purposes | 0.0800 | 0.0800 | ||
Tier 1 capital (to Risk Weighted Assets), Actual | 0.1347 | 0.1290 | ||
Tier 1 capital (to Risk Weighted Assets), Required For Capital Adequacy Purposes | 0.0600 | 0.0600 | ||
Tier 1 capital (to Risk Weighted Assets), Required To Be Well Capitalized Under Prompt Corrective Action Provisions | 0.0800 | 0.0800 | ||
Tier I capital (to average assets), Ratio | ||||
Tier I Capital (to Average Assets), Actual (Leverage) | 0.1156 | 0.1133 | ||
Tier I Capital (to Average Assets), Minimum For Capital Adequacy Purposes (Leverage) | 0.0400 | 0.0400 | ||
Banking Regulation, Common Equity Tier One Risk-Based Capital, Capital Adequacy, Minimum | $ 645,615 | $ 645,277 | ||
Total capital, Required For Capital Adequacy Purposes | 1,147,759 | 1,147,159 | ||
Tier 1 capital, Required For Capital Adequacy Purposes | 860,820 | 860,369 | ||
Tier 1 capital, Required For Capital Adequacy Purposes | 668,416 | 653,241 | ||
Common equity Tier 1 capital, Required To Be Well Capitalized Under Prompt Corrective Action Provisions, Amount | 932,555 | 932,066 | ||
Total capital, Required To Be Well Capitalized Under Prompt Corrective Action Provisions | $ 1,434,699 | $ 1,433,948 | ||
Total capital (to Risk Weighted Assets), Required To Be Well Capitalized Under Prompt Corrective Action Provisions | 0.1000 | 0.1000 | ||
Tier 1 capital, Required To Be Well Capitalized Under Prompt Corrective Action Provisions | $ 1,147,759 | $ 1,147,159 | ||
Tier 1 capital, Required To Be Well Capitalized Under Prompt Corrective Action Provisions | $ 835,520 | $ 816,551 | ||
Tier I Capital (to Average Assets), Minimum to be Well Capitalized Under Prompt Corrective Action Provisions (Leverage) | 0.0500 | 0.0500 | ||
Company | ||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||||
Common equity Tier 1 capital, Actual Amount | $ 1,642,492 | $ 1,568,508 | ||
Common equity Tier 1 capital, Actual Ratio | 0.1144 | 0.1094 | ||
Total capital (to risk-weighted assets), Amount | ||||
Total capital, Actual | $ 1,888,996 | $ 1,846,229 | ||
Total capital, Minimum Capital Adequacy With Capital Conservation Buffer | 1,507,242 | 1,505,853 | ||
Tier I capital (to risk-weighted assets), Amount | ||||
Tier 1 capital, Actual | 1,743,353 | 1,668,786 | ||
Tier 1 capital, Minimum Capital Adequacy With Capital Conservation Buffer | 1,220,148 | 1,219,024 | ||
Tier I capital (to average assets), Amount | ||||
Tier 1 capital, Actual | $ 1,743,353 | $ 1,668,786 | ||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||||
Total capital (to Risk Weighted Assets), Actual | 0.1316 | 0.1287 | ||
Total capital (to Risk Weighted Assets), Required For Capital Adequacy Purposes | 0.0800 | 0.0800 | ||
Total capital (to Risk Weighted assets), Minimum Capital Adequacy With Capital Conservation Buffer | 10.50% | 10.50% | ||
Tier 1 capital (to Risk Weighted Assets), Actual | 0.1214 | 0.1164 | ||
Tier 1 capital (to Risk Weighted Assets), Required For Capital Adequacy Purposes | 0.0600 | 0.0600 | ||
Tier 1 capital (to Risk Weighted Assets), Minimum Capital Adequacy With Capital Conservation Buffer | 8.50% | 8.50% | ||
Tier I capital (to average assets), Ratio | ||||
Tier I Capital (to Average Assets), Actual (Leverage) | 0.1043 | 0.1022 | ||
Tier I Capital (to Average Assets), Minimum For Capital Adequacy Purposes (Leverage) | 0.0400 | 0.0400 | ||
Banking Regulation, Common Equity Tier One Risk-Based Capital, Capital Adequacy, Minimum | $ 645,366 | |||
Total capital, Required For Capital Adequacy Purposes | $ 1,148,375 | 1,147,317 | ||
Tier 1 capital, Required For Capital Adequacy Purposes | 861,281 | 860,487 | ||
Tier 1 capital, Required For Capital Adequacy Purposes | 668,540 | 653,163 | ||
Bank | ||||
Total capital (to risk-weighted assets), Amount | ||||
Total capital, Minimum Capital Adequacy With Capital Conservation Buffer | 1,506,434 | 1,505,646 | ||
Tier I capital (to risk-weighted assets), Amount | ||||
Tier 1 capital, Minimum Capital Adequacy With Capital Conservation Buffer | $ 1,219,494 | $ 1,218,856 | ||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||||
Total capital (to Risk Weighted assets), Minimum Capital Adequacy With Capital Conservation Buffer | 10.50% | 10.50% | ||
Tier 1 capital (to Risk Weighted Assets), Minimum Capital Adequacy With Capital Conservation Buffer | 8.50% | 8.50% | ||
Common Equity Tier 1 | Company | ||||
Tier I capital (to risk-weighted assets), Amount | ||||
Tier 1 capital, Minimum Capital Adequacy With Capital Conservation Buffer | $ 1,004,828 | $ 1,003,902 | ||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||||
Tier 1 capital (to Risk Weighted Assets), Required For Capital Adequacy Purposes | 0.0450 | 0.0450 | ||
Tier 1 capital (to Risk Weighted Assets), Minimum Capital Adequacy With Capital Conservation Buffer | 7.00% | 7.00% | ||
Tier I capital (to average assets), Ratio | ||||
Tier 1 capital, Required For Capital Adequacy Purposes | $ 645,961 | |||
Common Equity Tier 1 | Bank | ||||
Tier I capital (to risk-weighted assets), Amount | ||||
Tier 1 capital, Minimum Capital Adequacy With Capital Conservation Buffer | $ 1,004,289 | $ 1,003,764 | ||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||||
Tier 1 capital (to Risk Weighted Assets), Minimum Capital Adequacy With Capital Conservation Buffer | 7.00% | 7.00% | ||
Common equity tier 1 capital | Bank Subsidiary | ||||
Total capital and Tier I capital (to risk-weighted assets), Ratio | ||||
Tier 1 capital (to Risk Weighted Assets), Required For Capital Adequacy Purposes | 0.0450 | 0.0450 | ||
Tier 1 capital (to Risk Weighted Assets), Required To Be Well Capitalized Under Prompt Corrective Action Provisions | 0.0650 | 0.0650 |
Revenue Recognition - Service C
Revenue Recognition - Service Charged on Deposit Accounts (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Disaggregation of Revenue [Line Items] | ||||
Service fees on deposit accounts | $ 1,777 | $ 2,583 | $ 3,567 | $ 6,716 |
Wire transfer fees | 923 | 820 | 1,767 | 1,818 |
Wire transfer fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Wire transfer fees | 786 | 765 | 1,489 | 1,571 |
Foreign exchange fees | ||||
Disaggregation of Revenue [Line Items] | ||||
Wire transfer fees | 137 | 55 | 278 | 247 |
Noninterest Bearing Deposits | ||||
Disaggregation of Revenue [Line Items] | ||||
Service fees on deposit accounts | 1,754 | 2,560 | 3,519 | 6,669 |
Noninterest Bearing Deposits | Monthly service charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Service fees on deposit accounts | 266 | 329 | 549 | 697 |
Noninterest Bearing Deposits | Customer analysis charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Service fees on deposit accounts | 788 | 1,513 | 1,485 | 3,383 |
Noninterest Bearing Deposits | NSF charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Service fees on deposit accounts | 618 | 561 | 1,315 | 2,216 |
Noninterest Bearing Deposits | Other service charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Service fees on deposit accounts | 82 | 157 | 170 | 373 |
Interest-bearing Deposits | Monthly service charges | ||||
Disaggregation of Revenue [Line Items] | ||||
Service fees on deposit accounts | $ 23 | $ 23 | $ 48 | $ 47 |
Revenue Recognition - OREO Inco
Revenue Recognition - OREO Income (Expense) (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2021 | Jun. 30, 2020 | Jun. 30, 2021 | Jun. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | ||||
Net (gains) losses on sales of OREO | $ 27 | $ (20) | $ 13 | $ (81) |
Subsequent Events (Details)
Subsequent Events (Details) - USD ($) | Jul. 22, 2021 | Sep. 30, 2020 |
Subsequent Event [Line Items] | ||
Share repurchase program, authorized amount | $ 50,000,000 | |
Subsequent Event | ||
Subsequent Event [Line Items] | ||
Share repurchase program, authorized amount | $ 50,000,000 |