Cover Page
Cover Page - shares | 9 Months Ended | |
Sep. 30, 2020 | Nov. 02, 2020 | |
Document Information [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Period End Date | Sep. 30, 2020 | |
Document Transition Report | false | |
Entity File Number | 001-35522 | |
Entity Registrant Name | BANC OF CALIFORNIA, INC. | |
Entity Incorporation, State or Country Code | MD | |
Entity Tax Identification Number | 04-3639825 | |
Entity Address, Address Line One | 3 MacArthur Place | |
Entity Address, City or Town | Santa Ana | |
Entity Address, State or Province | CA | |
Entity Address, Postal Zip Code | 92707 | |
City Area Code | 855 | |
Local Phone Number | 361-2262 | |
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 Central Index Key | 0001169770 | |
Current Fiscal Year End Date | --12-31 | |
Amendment Flag | false | |
Document Fiscal Year Focus | 2020 | |
Document Fiscal Period Focus | Q3 | |
Common Stock | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Common Stock, par value $0.01 per share | |
Trading Symbol | BANC | |
Security Exchange Name | NYSE | |
Entity Common Stock, Shares Outstanding | 49,762,971 | |
Series D 7.375% non-cumulative perpetual | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Depositary Shares each representing a 1/40th interest in a share of 7.375% Non-Cumulative Perpetual Preferred Stock, Series D | |
Trading Symbol | BANC PRD | |
Security Exchange Name | NYSE | |
Series E 7.00% non-cumulative perpetual | ||
Document Information [Line Items] | ||
Title of 12(b) Security | Depositary Shares each representing a 1/40th interest in a share of 7.00% Non-Cumulative Perpetual Preferred Stock, Series E | |
Trading Symbol | BANC PRE | |
Security Exchange Name | NYSE | |
Class B Non-Voting Non-Convertible Common Stock | ||
Document Information [Line Items] | ||
Entity Common Stock, Shares Outstanding | 477,321 |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
ASSETS | ||
Cash and due from banks | $ 40,330 | $ 28,890 |
Interest-earning deposits in financial institutions | 252,160 | 344,582 |
Total cash and cash equivalents | 292,490 | 373,472 |
Securities available-for-sale, at fair value | 1,245,867 | 912,580 |
Loans held-for-sale, carried at fair value | 1,849 | 22,642 |
Loans receivable | 5,678,002 | 5,951,885 |
Allowance for credit losses - loans | (90,927) | (57,649) |
Loans receivable, net | 5,587,075 | 5,894,236 |
Federal Home Loan Bank and other bank stock, at cost | 44,809 | 59,420 |
Premises, equipment, net | 123,812 | 128,021 |
Bank owned life insurance | 111,115 | 109,819 |
Operating lease right-of-use assets | 18,909 | 22,540 |
Investments in alternative energy partnerships, net | 27,786 | 29,300 |
Deferred income taxes, net | 43,744 | 44,906 |
Income tax receivable | 10,701 | 4,233 |
Goodwill | 37,144 | 37,144 |
Other intangible assets, net | 2,939 | 4,151 |
Other assets | 189,866 | 185,946 |
Total assets | 7,738,106 | 7,828,410 |
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
Noninterest-bearing deposits | 1,450,744 | 1,088,516 |
Interest-bearing deposits | 4,581,522 | 4,338,651 |
Total deposits | 6,032,266 | 5,427,167 |
Federal Home Loan Bank advances, net | 559,482 | 1,195,000 |
Long-term debt, net | 173,623 | 173,421 |
Reserve for loss on repurchased loans | 5,487 | 6,201 |
Operating lease liabilities | 19,938 | 23,692 |
Accrued expenses and other liabilities | 73,056 | 95,684 |
Total liabilities | 6,863,852 | 6,921,165 |
Commitments and contingent liabilities | ||
Preferred stock | 184,878 | 189,825 |
Additional paid-in capital | 633,409 | 629,848 |
Retained earnings | 95,001 | 127,733 |
Treasury stock, at cost (2,410,964 and 1,583,380 shares at September 30, 2020 and December 31, 2019) | (40,827) | (28,786) |
Accumulated other comprehensive income (loss), net | 1,266 | (11,900) |
Total stockholders’ equity | 874,254 | 907,245 |
Total liabilities and stockholders’ equity | 7,738,106 | 7,828,410 |
Voting | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
Common stock | 522 | 520 |
Class B Common Stock | ||
LIABILITIES AND STOCKHOLDERS’ EQUITY | ||
Common stock | $ 5 | $ 5 |
Consolidated Statements of Fi_2
Consolidated Statements of Financial Condition (Parenthetical) - $ / shares | Sep. 30, 2020 | Dec. 31, 2019 |
Treasury stock (in shares) | 2,410,964 | 1,583,380 |
Voting | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 446,863,844 | 446,863,844 |
Common stock, shares issued (in shares) | 52,171,507 | 51,997,061 |
Common stock, shares outstanding (in shares) | 49,760,543 | 50,413,681 |
Class B Common Stock | ||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 3,136,156 | 3,136,156 |
Common stock, shares issued (in shares) | 477,321 | 477,321 |
Common stock, shares outstanding (in shares) | 477,321 | 477,321 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Interest and dividend income | |||||
Loans, including fees | $ 62,019 | $ 63,642 | $ 80,287 | $ 191,195 | $ 260,004 |
Securities | 6,766 | 7,816 | 10,024 | 22,402 | 40,322 |
Other interest-earning assets | 881 | 1,239 | 2,346 | 3,480 | 7,083 |
Total interest and dividend income | 69,666 | 72,697 | 92,657 | 217,077 | 307,409 |
Interest expense | |||||
Deposits | 7,564 | 10,205 | 22,811 | 32,380 | 82,852 |
Federal Home Loan Bank advances | 3,860 | 4,818 | 8,519 | 14,561 | 25,889 |
Securities sold under repurchase agreements | 2 | 2 | 13 | 4 | 47 |
Long-term debt and other interest-bearing liabilities | 2,385 | 2,357 | 2,399 | 7,101 | 7,118 |
Total interest expense | 13,811 | 17,382 | 33,742 | 54,046 | 115,906 |
Net interest income | 55,855 | 55,315 | 58,915 | 163,031 | 191,503 |
Provision for credit losses | 1,141 | 11,826 | 38,607 | 28,728 | 38,805 |
Net interest income after provision for credit losses | 54,714 | 43,489 | 20,308 | 134,303 | 152,698 |
Noninterest income | |||||
Customer service fees | 1,498 | 1,224 | 1,582 | 3,818 | 4,531 |
Loan servicing income | 186 | 95 | 128 | 356 | 367 |
Income from bank owned life insurance | 629 | 591 | 588 | 1,798 | 1,693 |
Impairment loss on investment securities | 0 | 0 | (731) | 0 | (731) |
Net gain (loss) on sale of securities available-for-sale | 0 | 2,011 | (5,063) | 2,011 | (4,855) |
Fair value adjustment for loans held-for-sale | 24 | 25 | 16 | (1,537) | 76 |
Net gain on sale of loans | 272 | 0 | 4,310 | 245 | 8,629 |
Other income (loss) | 1,345 | 1,582 | 2,351 | 4,852 | (2,524) |
Total noninterest income | 3,954 | 5,528 | 3,181 | 11,543 | 7,186 |
Noninterest expense | |||||
Salaries and employee benefits | 23,277 | 24,260 | 25,934 | 70,973 | 81,879 |
Naming rights termination | 0 | 26,769 | 0 | 26,769 | 0 |
Occupancy and equipment | 7,457 | 7,090 | 7,767 | 21,790 | 23,408 |
Professional fees | 5,147 | 4,596 | 1,463 | 15,707 | 9,601 |
Data processing | 1,657 | 1,536 | 1,568 | 4,966 | 4,736 |
Advertising and promotion | 219 | 1,157 | 2,090 | 3,132 | 6,195 |
Regulatory assessments | 784 | 725 | 1,239 | 1,993 | 5,857 |
(Gain) loss on investments in alternative energy partnerships | (1,430) | (167) | (940) | 308 | 655 |
Reversal of provision for loan repurchases | (91) | (34) | (123) | (725) | (300) |
Amortization of intangible assets | 353 | 430 | 500 | 1,212 | 1,741 |
Restructuring expense | 0 | 0 | 0 | 0 | 2,637 |
All other expense | 3,021 | 6,408 | 3,742 | 13,958 | 12,580 |
Total noninterest expense | 40,394 | 72,770 | 43,240 | 160,083 | 148,989 |
Income (loss) from operations before income taxes | 18,274 | (23,753) | (19,751) | (14,237) | 10,895 |
Income tax expense (benefit) | 2,361 | (5,304) | (5,619) | (5,108) | 1,408 |
Net income (loss) | 15,913 | (18,449) | (14,132) | (9,129) | 9,487 |
Preferred stock dividends | 3,447 | 3,442 | 3,403 | 10,422 | 12,019 |
Income allocated to participating securities | 281 | 0 | 0 | 0 | 0 |
Participating securities dividends | 94 | 94 | 94 | 282 | 390 |
Impact of preferred stock redemption | 7 | (49) | 5,093 | (568) | 5,093 |
Net income (loss) available to common stockholders | 12,084 | $ (21,936) | (22,722) | (19,265) | (8,015) |
Voting | |||||
Noninterest expense | |||||
Preferred stock dividends | 3,414 | 3,371 | 10,323 | 11,906 | |
Income allocated to participating securities | 278 | 0 | 0 | 0 | |
Participating securities dividends | 93 | 93 | 279 | 386 | |
Impact of preferred stock redemption | $ 7 | $ 5,045 | $ (563) | $ 5,045 | |
Earnings (loss) per common share: | |||||
Basic (in usd per share) | $ 0.24 | $ (0.44) | $ (0.45) | $ (0.38) | $ (0.16) |
Diluted (loss) earnings per common share | |||||
Diluted (in usd per share) | $ 0.24 | (0.44) | $ (0.45) | $ (0.38) | $ (0.16) |
Class B Common Stock | |||||
Noninterest expense | |||||
Preferred stock dividends | $ 33 | $ 32 | $ 99 | $ 113 | |
Income allocated to participating securities | 3 | 0 | 0 | 0 | |
Participating securities dividends | 1 | 1 | 3 | 4 | |
Impact of preferred stock redemption | $ 0 | $ 48 | $ (5) | $ 48 | |
Earnings (loss) per common share: | |||||
Basic (in usd per share) | $ 0.24 | (0.44) | $ (0.45) | $ (0.38) | $ (0.16) |
Diluted (loss) earnings per common share | |||||
Diluted (in usd per share) | $ 0.24 | $ (0.44) | $ (0.45) | $ (0.38) | $ (0.16) |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Statement of Comprehensive Income [Abstract] | |||||
Net income (loss) | $ 15,913 | $ (18,449) | $ (14,132) | $ (9,129) | $ 9,487 |
Unrealized gain (loss) on available-for-sale securities: | |||||
Unrealized gain (loss) arising during the period | 16,831 | 40,002 | (994) | 14,585 | 10,602 |
Reclassification adjustment for (gain) loss included in net income (loss) | 0 | (1,419) | 3,575 | (1,419) | 3,428 |
Total change in unrealized gain (loss) on available-for-sale securities | 16,831 | 38,583 | 3,097 | 13,166 | 14,546 |
Total other comprehensive income | 16,831 | 38,583 | 3,097 | 13,166 | 14,546 |
Comprehensive income (loss) | $ 32,744 | $ 20,134 | $ (11,035) | $ 4,037 | $ 24,033 |
Consolidated Statements of Stoc
Consolidated Statements of Stockholders' Equity - USD ($) $ in Thousands | Total | Preferred Stock | Common StockVoting | Common StockClass B Common Stock | Additional Paid-in Capital | Retained Earnings | Treasury Stock | Accumulated Other Comprehensive Income (Loss) | Impact of ASC 326 Adoption | Impact of ASC 326 AdoptionRetained Earnings |
Beginning Balance at Dec. 31, 2018 | $ 945,534 | $ 231,128 | $ 518 | $ 5 | $ 625,834 | $ 140,952 | $ (28,786) | $ (24,117) | ||
Comprehensive income (loss): | ||||||||||
Net (loss) income | 9,487 | 9,487 | ||||||||
Other comprehensive income, net | 14,546 | 14,546 | ||||||||
Issuance of common stock | 0 | 2 | (2) | |||||||
Redemption of preferred stock | (46,396) | (41,303) | (5,093) | |||||||
Share-based compensation expense | 3,844 | 3,844 | ||||||||
Restricted stock surrendered due to employee tax liability | (902) | (902) | ||||||||
Shares purchased under the Dividend Reinvestment Plan | (99) | (99) | ||||||||
Stock appreciation right dividend equivalents | (390) | (390) | ||||||||
Dividends declared | (12,617) | (12,617) | ||||||||
Preferred stock dividends | (12,019) | (12,019) | ||||||||
Ending Balance at Sep. 30, 2019 | 900,988 | 189,825 | 520 | 5 | 628,774 | 120,221 | (28,786) | (9,571) | ||
Beginning Balance at Dec. 31, 2018 | 945,534 | 231,128 | 518 | 5 | 625,834 | 140,952 | (28,786) | (24,117) | ||
Ending Balance at Dec. 31, 2019 | $ 907,245 | 189,825 | 520 | 5 | 629,848 | 127,733 | (28,786) | (11,900) | $ (4,503) | $ (4,503) |
Comprehensive income (loss): | ||||||||||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | |||||||||
Beginning Balance at Jun. 30, 2019 | $ 963,544 | 231,128 | 520 | 5 | 627,306 | 146,039 | (28,786) | (12,668) | ||
Comprehensive income (loss): | ||||||||||
Net (loss) income | (14,132) | (14,132) | ||||||||
Other comprehensive income, net | 3,097 | 3,097 | ||||||||
Redemption of preferred stock | (46,396) | (41,303) | (5,093) | |||||||
Share-based compensation expense | 1,494 | 1,494 | ||||||||
Restricted stock surrendered due to employee tax liability | (26) | (26) | ||||||||
Shares purchased under the Dividend Reinvestment Plan | (23) | (23) | ||||||||
Stock appreciation right dividend equivalents | (94) | (94) | ||||||||
Dividends declared | (3,073) | (3,073) | ||||||||
Preferred stock dividends | (3,403) | (3,403) | ||||||||
Ending Balance at Sep. 30, 2019 | 900,988 | 189,825 | 520 | 5 | 628,774 | 120,221 | (28,786) | (9,571) | ||
Beginning Balance at Dec. 31, 2019 | 907,245 | 189,825 | 520 | 5 | 629,848 | 127,733 | (28,786) | (11,900) | $ (4,503) | $ (4,503) |
Comprehensive income (loss): | ||||||||||
Net (loss) income | (9,129) | (9,129) | ||||||||
Other comprehensive income, net | 13,166 | 13,166 | ||||||||
Issuance of common stock | 0 | 2 | (2) | |||||||
Redemption of preferred stock | (4,379) | (4,947) | 568 | |||||||
Purchase of treasury shares | (12,041) | (12,041) | ||||||||
Share-based compensation expense | 4,392 | 4,392 | ||||||||
Restricted stock surrendered due to employee tax liability | (829) | (829) | ||||||||
Shares purchased under the Dividend Reinvestment Plan | (74) | (74) | ||||||||
Stock appreciation right dividend equivalents | (282) | (282) | ||||||||
Dividends declared | (8,890) | (8,890) | ||||||||
Preferred stock dividends | (10,422) | (10,422) | ||||||||
Ending Balance at Sep. 30, 2020 | $ 874,254 | 184,878 | 522 | 5 | 633,409 | 95,001 | (40,827) | 1,266 | ||
Comprehensive income (loss): | ||||||||||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | |||||||||
Beginning Balance at Jun. 30, 2020 | $ 846,959 | 185,037 | 522 | 5 | 632,117 | 85,670 | (40,827) | (15,565) | ||
Comprehensive income (loss): | ||||||||||
Net (loss) income | 15,913 | 15,913 | ||||||||
Other comprehensive income, net | 16,831 | 16,831 | ||||||||
Redemption of preferred stock | (166) | (159) | (7) | |||||||
Share-based compensation expense | 1,346 | 1,346 | ||||||||
Restricted stock surrendered due to employee tax liability | (54) | (54) | ||||||||
Shares purchased under the Dividend Reinvestment Plan | (27) | (27) | ||||||||
Stock appreciation right dividend equivalents | (94) | (94) | ||||||||
Dividends declared | (3,007) | (3,007) | ||||||||
Preferred stock dividends | (3,447) | (3,447) | ||||||||
Ending Balance at Sep. 30, 2020 | $ 874,254 | $ 184,878 | $ 522 | $ 5 | $ 633,409 | $ 95,001 | $ (40,827) | $ 1,266 |
Consolidated Statements of St_2
Consolidated Statements of Stockholders' Equity (Parenthetical) - $ / shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Statement of Stockholders' Equity [Abstract] | ||||
Dividends declared, per common share (in dollars per share) | $ 0.06 | $ 0.06 | $ 0.18 | $ 0.25 |
Shares repurchased (shares) | 827,584 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2019 | |
Cash flows from operating activities: | ||
Net (loss) income | $ (9,129) | $ 9,487 |
Adjustments to reconcile net (loss) income to net cash (used in) provided by operating activities | ||
Provision for credit losses | 28,728 | 38,805 |
Reversal of provision for loan repurchases | (725) | (300) |
Depreciation on premises and equipment | 12,378 | 7,800 |
Amortization of intangible assets | 1,212 | 1,741 |
Amortization of debt issuance costs | 537 | 165 |
Net amortization of premium on securities | 676 | 738 |
Impairment loss on investment securities | 0 | 731 |
Net amortization of deferred loan costs and fees | (2,007) | 479 |
Accretion of discounts on purchased loans | (361) | (311) |
Write-off of other assets related to naming rights termination, net | 6,669 | 0 |
Naming rights termination | 26,769 | 0 |
Debt extinguishment fee | 2,515 | 0 |
Deferred income tax benefit | (2,553) | (2,600) |
Bank owned life insurance income | (1,798) | (1,693) |
Share-based compensation expense | 4,392 | 3,844 |
Loss on interest rate swaps | 285 | 8,964 |
Loss on investments in alternative energy partnerships and affordable housing investments | 4,327 | 3,308 |
Impairment on capitalized software projects | 157 | 986 |
Fair value adjustment for loans held-for-sale | 1,537 | (76) |
Net gain on sale of loans | (245) | (8,629) |
Net gain (loss) on sale of securities available-for-sale | (2,011) | 4,855 |
Loss on sale or disposal of property and equipment | 106 | 20 |
Repurchase of mortgage loans | 0 | (1,929) |
Proceeds from sales of and principal collected on loans held-for-sale | 18,853 | 4,905 |
Proceeds from sales of and principal collected on other loans held-for-sale | 0 | 426 |
Change in accrued interest receivable and other assets | (1,175) | (15,223) |
Change in accrued interest payable and other liabilities | (24,273) | 3,633 |
Net cash provided by operating activities | 38,095 | 60,126 |
Cash flows from investing activities: | ||
Proceeds from sales of securities available-for-sale | 22,727 | 822,979 |
Proceeds from maturities and calls of securities available-for-sale | 30,000 | 38,029 |
Proceeds from principal repayments of securities available-for-sale | 5,075 | 35,337 |
Purchases of securities available-for-sale | (371,092) | 0 |
Cash received from bank-owned life insurance | 502 | 0 |
Loan originations and principal collections, net | 427,308 | 151,655 |
Purchase of loans | (154,864) | 0 |
Redemption of Federal Home Loan Bank stock | 23,972 | 56,551 |
Purchase of Federal Home Loan Bank and other bank stock | (9,361) | (60,136) |
Proceeds from sale of loans | 0 | 1,140,851 |
Proceeds from sale of other real estate owned | 1,078 | 843 |
Purchases of premises and equipment | (4,547) | (8,391) |
Payments of capital lease obligations | (398) | (347) |
Funding of equity investment | (17,346) | (14,599) |
(Increase) decrease in investments in alternative energy partnerships | (2,019) | 1,294 |
Net cash (used in) provided by investing activities | (48,965) | 2,164,066 |
Cash flows from financing activities: | ||
Net increase (decrease) in deposits | 605,099 | (2,146,586) |
Net (decrease) increase in short-term Federal Home Loan Bank advances | (505,000) | 155,000 |
Repayment of long-term Federal Home Loan Bank advances | (235,000) | (25,000) |
Proceeds from long-term Federal Home Loan Bank advances | 111,000 | 0 |
Debt extinguishment and financing fees paid | (9,368) | 0 |
Redemption of preferred stock | (4,379) | (46,396) |
Purchase of treasury stock | (12,041) | 0 |
Purchase of restricted stock surrendered due to employee tax liability | (829) | (902) |
Dividend equivalents paid on stock appreciation rights | (282) | (390) |
Dividends paid on preferred stock | (10,422) | (12,019) |
Dividends paid on common stock | (8,890) | (12,617) |
Net cash used in financing activities | (70,112) | (2,088,910) |
Net change in cash and cash equivalents | (80,982) | 135,282 |
Cash and cash equivalents at beginning of period | 373,472 | 391,592 |
Cash and cash equivalents at end of period | 292,490 | 526,874 |
Supplemental cash flow information | ||
Interest paid on deposits and borrowed funds | 52,577 | 120,042 |
Income taxes paid | 758 | 2,822 |
Income taxes refunds received | 0 | 142 |
Supplemental disclosure of non-cash activities | ||
Transfer from loans to other real estate owned, net | 1,116 | 276 |
Transfer of loans held-for-investment to loans held-for-sale | 0 | 1,127,898 |
Equipment acquired under capital leases | 30 | 40 |
Operating lease right-of-use assets recognized | (960) | 28,664 |
Operating lease liabilities recognized | 960 | 30,065 |
Impact of adoption of ASU 2016-13 on retained earnings | 874,254 | 900,988 |
Receivable on unsettled securities sales | $ 0 | $ 334,769 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations: Banc of California, Inc. (collectively, with its consolidated subsidiaries, the Company, we, us, and our) is a financial holding company under the Bank Holding Company Act of 1956, as amended, headquartered in Santa Ana, California and incorporated under the laws of Maryland. Banc of California, Inc. is subject to regulation by the Board of Governors of the Federal Reserve System (“FRB”) and its wholly-owned subsidiary, Banc of California, National Association (the “Bank”), operates under a national bank charter issued by the Office of the Comptroller of the Currency (“OCC”), the Bank's primary regulator. The Bank is a member of the Federal Home Loan Bank (“FHLB”) system, and maintains insurance on deposit accounts with the Federal Deposit Insurance Corporation (“FDIC”). The Bank offers a variety of financial services to meet the banking and financial needs of the communities it serves, with operations conducted through 31 full-service branches located throughout Southern California as of September 30, 2020. Basis of Presentation: The accompanying unaudited interim consolidated financial statements have been prepared pursuant to Article 10 of SEC Regulation S-X and other SEC rules and regulations for reporting on the Quarterly Report on Form 10-Q. Accordingly, certain disclosures required by U.S. generally accepted accounting principles (“GAAP”) are not included herein. These interim statements should be read in conjunction with the consolidated financial statements and notes included in the Annual Report on Form 10-K for the year ended December 31, 2019 filed by us with the SEC. The December 31, 2019 consolidated statements of financial condition presented herein has been derived from the audited financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2019 filed with the SEC. Certain prior period amounts have been reclassified to conform to current period presentation, including i) reclassification of the provision for losses on unfunded loan commitments from being included in other noninterest expense to being included within provision for credit losses, ii) showing the unrealized fair value adjustment for loans held-for-sale separate from the realized net (loss) gain on sale of loans, and iii) reclassification of outside services expense from "outside services fees" to "all other expense" in the consolidated statements of operations. In the opinion of management of the Company, the accompanying unaudited interim consolidated financial statements reflect all of the adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the consolidated financial condition and consolidated results of operations as of the dates and for the periods presented. The results of operations for the three and nine months ended September 30, 2020 are not necessarily indicative of the results that may be expected for the year ending December 31, 2020. Principles of Consolidation: The accompanying unaudited consolidated financial statements include the accounts of the Company and its consolidated subsidiaries as of September 30, 2020 and December 31, 2019 and for the three and nine months ended September 30, 2020 and 2019. Significant intercompany accounts and transactions have been eliminated in consolidation. Unless the context requires otherwise, all references to the Company include its then wholly-owned subsidiaries. Adopted Accounting Pronouncements: On January 1, 2020, we adopted Accounting Standards Update (“ASU”) 2016-13, Financial Instruments-Credit Losses (Topic 326) (“ASU 2016-13”), which replaces the incurred loss impairment methodology with a methodology that reflects current expected credit losses (“CECL”) and requires consideration of a broader range of reasonable and supportable information to estimate expected credit losses. The measurement of expected credit losses under the CECL model is applicable to financial assets measured at amortized cost, including loan receivables, held-to-maturity debt securities and off-balance sheet credit exposures. ASU 2016-13 also requires credit losses relating to available-for-sale (“AFS”) debt securities to be recorded through an allowance for credit losses. In addition, ASU 2016-13 modifies the other-than-temporary impairment (“OTTI”) model for AFS debt securities to require an allowance for credit impairment instead of a direct write-down, which allows for reversal of credit impairments in future periods based on improvements in credit quality. We adopted ASU 2016-13 using the modified retrospective method for our financial assets measured at cost, including loans receivable and off-balance sheet credit exposures. Results for reporting periods beginning January 1, 2020 are reported under ASU 2016-13 (or Accounting Standards Codification 326), while prior period results continue to be reported under the previously applicable GAAP. The adoption of ASU 2016-13 . This transition adjustment reflects the development of our models to estimate lifetime expected credit losses on our loans, unfunded commitments, and other off-balance sheet credit exposure primarily using a lifetime loss methodology. The following table presents the impact of adopting ASU 2016-13 on January 1, 2020: ($ in thousands) As Reported Pre- Impact of Assets: Allowance for credit losses - loans Commercial: Commercial and industrial $ 23,015 $ 22,353 $ 662 Commercial real estate 10,788 5,941 4,847 Multifamily 13,214 11,405 1,809 SBA 3,508 3,120 388 Construction 4,009 3,906 103 Consumer: Single family residential mortgage 10,066 10,486 (420) Other consumer 658 438 220 Total 65,258 57,649 7,609 Liabilities: Allowance for credit losses - unfunded loan commitments $ 2,838 $ 4,064 $ (1,226) Significant Accounting Policies: The accounting and reporting policies of the Company are based upon GAAP and conform to predominant practices within the banking industry. We have not made any significant changes in our critical accounting policies from those disclosed in our Annual Report on Form 10-K for the year ended December 31, 2019 filed with the SEC, except for the accounting for loans and the allowance for credit losses, the allowance for credit losses on unfunded loan commitments, troubled debt restructurings, and available-for-sale debt securities as described below. Allowance for Credit Losses (ACL): The ACL is a reserve established through a provision for credit loss expense and represents management’s best estimate of the net amount expected to be collected from loans receivable as of the date of the consolidated statements of financial condition. Confirmed losses are charged against the ACL. Subsequent recoveries, if any, are credited to the ACL. We perform an analysis of the adequacy of the ACL at least quarterly. Management estimates the required ACL balance using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations, estimated collateral values, economic conditions, and other factors. The ACL consists of: (i) a specific allowance established for probable losses on individually identified impaired loans, (ii) a quantitative allowance for current expected loan losses based on the portfolio and expected economic conditions over a reasonable and supportable forecast period that reverts back to long-term trends to cover the life of loan; and (iii) a qualitative allowance to capture factors and trends that are not adequately reflected in the quantitative allowance, including an evaluation of our underwriting, other credit-related processes, and other credit risk factors such as concentration risk. Accrued interest is excluded from our expected credit loss estimates. Expected credit losses are estimated over the contractual term of the loans, adjusted for prepayments, as appropriate. The contractual term excludes expected extensions and renewals unless those extension or renewal options are included in the underlying contract and we do not have the ability to unconditionally cancel. The contractual term also excludes expected modifications unless management has a reasonable expectation, at the reporting period, that a troubled debt restructuring will be executed. A loan is deemed impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due according to the contractual terms of the loan agreement. We measure expected credit losses on all impaired loans individually under the guidance of ASC 326, Receivables , primarily through the evaluation of collateral values and estimated cash flows expected to be collected. Cash receipts on impaired loans for which the accrual of interest has been discontinued are applied first to principal and then to interest income. Loans for which the terms have been modified by granting a concession that normally would not be provided and where the borrower is experiencing financial difficulties are considered troubled debt restructurings (“TDRs”) and classified as impaired. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls, generally, are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. The impairment amount on a collateral dependent loan is generally charged-off to the ACL and the impairment amount on a loan, that is not collateral dependent, is set-up as a specific reserve. TDRs are also measured at the present value of estimated future cash flows using the loan’s effective rate at inception or at the fair value of collateral, less costs to sell, if repayment is expected solely from the collateral. For TDRs that subsequently default, we determine the amount of reserve in accordance with the accounting policy for the ACL. At September 30, 2020, the following loan portfolio segments have been identified: • Commercial and industrial (general commercial and industrial, warehouse lending, and indirect/direct leveraged lending) • Commercial real estate • Multifamily • Small Business Administration (“SBA”) • Construction • SFR - 1st deeds of trust (generally SFR mortgage and other) • Other consumer (HELOC and other) We categorize loans into risk categories based on relevant information about the ability of borrowers to service their obligations such as current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. We analyze loans individually by classifying the loans as to credit risk. Loans secured by multifamily and commercial real estate properties generally involve a greater degree of credit risk than SFR mortgage loans. Because payments on loans secured by multifamily and commercial real estate properties are often dependent on the successful operation or management of the properties, repayment of these loans may be subject to adverse conditions in the real estate market or the economy. Commercial and industrial loans are also considered to have a greater degree of credit risk than SFR mortgage loans due to the fact commercial and industrial loans are typically made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business. As a result, the availability of funds for the repayment of commercial and industrial loans may be substantially dependent on the success of the business itself (which, in turn, is often dependent, in part, upon general economic conditions). SBA loans are similar to commercial and industrial loans, however, they have additional credit enhancement in the form of a guaranty provided by the U.S. Small Business Administration, for up to 85% of the loan amount for loans up to $150 thousand and 75% of the loan amount for loans of more than $150 thousand. SBA loans originated as part of the Paycheck Protection Program (“PPP”) established by the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) have additional credit enhancement provided by the U.S. Small Business Administration for up to 100% of the loan amount. As of September 30, 2020, PPP loans totaled $255.8 million, net of $4.1 million in unamortized fees which are being amortized over their estimated life. During the three months ended September 30, 2020, the Company extended its estimate for the average life of our PPP loans to twelve months from nine months. The twelve month estimated life of PPP loans is based on our understanding of our clients' cash use, expected forgiveness probability, and loan forgiveness process. The availability of funds for the repayment of financing may be substantially dependent on the success of the business itself which is often dependent, in part, upon general economic conditions. Consumer loans may have greater risk than SFR mortgage loans given that collection of these loans is dependent on the borrower’s continuing financial stability and, thus, are more likely to be adversely affected by job loss, divorce, illness, or personal bankruptcy. Green Loans are considered to carry a higher degree of credit risk due to their unique cash flows. Credit risk on this asset class is also managed through the completion of regular third party automated valuation models (“AVMs”) of the underlying collateral and monitoring of the borrower’s usage of this account to determine if the borrower is making monthly payments from external sources or “drawdowns” on their line. In cases where the property values have declined to levels less than the original loan to value (“LTV”) ratios, or other levels deemed prudent by us, we may curtail the line and/or require monthly payments or principal reductions to bring the loan in balance. On interest only loans, we project future payment changes to determine if there will be a material increase in the required payment and then monitor the loans for possible delinquency. Individual loans are monitored for possible downgrading of risk rating. Troubled Debt Restructurings: A loan is identified as a TDR when a borrower is experiencing financial difficulties and, for economic or legal reasons related to these difficulties, we grant a concession to the borrower in the restructuring that we would not otherwise consider. We have granted a concession when, as a result of the restructuring to a troubled borrower, we do not expect to collect all amounts due, including principal and/or interest accrued at the original terms of the loan. The concessions may be granted in various forms, including a below-market change in the stated interest rate, a reduction in the loan balance or accrued interest, an extension of the maturity date, or a note split with principal forgiveness. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without the modification. This evaluation is performed under our internal underwriting policy. Loans for which the borrower has been discharged under Chapter 7 bankruptcy are considered collateral dependent TDRs, impaired at the date of discharge, and charged down to the fair value of collateral less cost to sell. A restructuring executed at an interest rate that is at market interest rates based on the current credit characteristics of the borrower is not a TDR. Our policy is to place consumer loan TDRs, except those that were performing prior to TDR status, on nonaccrual status for a minimum period of 6 months. Commercial TDRs are evaluated on a case-by-case basis for determination of whether or not to place them on nonaccrual status. Loans qualify for return to accrual status once they have demonstrated performance under the restructured terms of the loan for a minimum of 6 months. Initially, all TDRs are reported as impaired. Generally, TDRs are classified as impaired loans and reported as TDRs for the remaining life of the loan. Impaired and TDR classification may be removed if the borrower demonstrates compliance with the modified terms for a minimum of 6 months, through one fiscal year-end and the restructuring agreement specifies a market rate of interest equal to that which would be provided to a borrower with similar credit at the time of restructuring. In the limited circumstance that a loan is removed from TDR classification, it is our policy to continue to base our measure of loan impairment on the contractual terms specified by the loan agreement. Troubled Debt Restructuring (TDR) Relief: Under U.S. GAAP, banks are required to assess modifications to a loan’s terms for potential classification as a TDR. A loan to a borrower experiencing financial difficulty is classified as a TDR when a lender grants a concession that it would otherwise not consider, such as a payment deferral or interest concession. In order to encourage banks to work with impacted borrowers, the CARES Act and U.S. banking regulatory agencies have provided relief from TDR accounting on loans which qualify under section 4013 of the CARES Act or the “Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus” on March 22, 2020 and revised April 7, 2020. The main provisions of TDR relief include 1) a capital provision in the form of reduced risk-weighted assets, as TDRs are more heavily risk-weighted for capital purposes; 2) a delinquency status provision, as the aging of loans are frozen, i.e., they will continue to be reported in the same delinquency status they were in at the time of modification; and 3) a nonaccrual status provision as the loans are generally not reported as nonaccrual or TDRs during the modification period. Reserve for Unfunded Loan Commitments: The reserve for unfunded loan commitments provides for estimated credit losses for the unused portion of lending commitments expected to be funded, except for unconditionally cancellable commitments for which no reserve is required under ASC 326. The reserve for unfunded loan commitments includes factors that are consistent with the ACL methodology for loans using the expected loss factors and a draw down factor applied to the underlying borrower risk and facility grades. Changes in the reserve for unfunded loan commitments are reported as a component of provision for credit losses in the consolidated statements of operations and the reserve for unfunded loan commitments is included in accrued expenses and other liabilities in the consolidated statements of financial condition. Available-for-Sale Debt Securities: Available-for-sale debt securities are analyzed for credit losses under ASC 326, which requires the Company to determine whether impairment exists as of the reporting date and whether that impairment is due to credit losses. An allowance for credit losses is established for losses on available-for-sale debt securities due to credit losses and is reported as a component of provision for credit losses. Accrued interest is excluded from our expected credit loss estimates. Available-for-sale debt securities are typically classified as nonaccrual when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about the further collectability of principal or interest. When available-for-sale debt securities are placed on nonaccrual status, unpaid interest recognized as interest income is reversed. Use of Estimates in the Preparation of Financial Statements: The preparation of financial statements, in conformity with GAAP, requires management to make estimates and assumptions based on available information. These estimates and assumptions affect the amounts reported in the consolidated financial statements and disclosures provided, and actual results could differ. The ACL, reserve for loss on repurchased loans, reserve for unfunded loan commitments, realization of deferred tax assets, the valuation of goodwill and other intangible assets, mortgage banking, other derivatives, Hypothetical Liquidation at Book Value (“HLBV”) of investments in alternative energy partnerships, and the fair value measurement of financial instruments are particularly subject to change and such change could have a material effect on the consolidated financial statements. Recent Accounting Guidance, Not Yet Effective: In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU 2019-12”). The amendments in ASU 2019-12 simplify the accounting for income taxes by removing certain exceptions for investments, intra-period allocations, and interim calculations, and adding guidance to reduce the complexity of applying Topic 740. ASU 2019-12 will be effective for fiscal years and interim periods within those fiscal years beginning after December 15, 2020. We will adopt this guidance on January 1, 2021. We do not expect that the adoption of these amendments will have a material effect on our consolidated financial statements. In March 2020, the Financial Accounting Standards Board FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) , which provides optional guidance, for a limited period of time, to ease the potential burden in accounting for (or recognizing the |
FAIR VALUES OF FINANCIAL INSTRU
FAIR VALUES OF FINANCIAL INSTRUMENTS | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUES OF FINANCIAL INSTRUMENTS | FAIR VALUES OF FINANCIAL INSTRUMENTS Fair Value Hierarchy ASC 820-10 establishes a fair value hierarchy which requires an entity to maximize the use of observable inputs and minimize the use of unobservable inputs when measuring fair value. The topic describes three levels of inputs that may be used to measure fair value: • Level 1: Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. • Level 2: Significant observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. • Level 3: Significant unobservable inputs that reflect a reporting entity’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. Categorization within the valuation hierarchy is based upon the lowest level of input that is significant to the fair value measurement. Assets and Liabilities Measured on a Recurring Basis Securities Available-for-Sale: The fair values of securities available-for-sale are generally determined by quoted market prices in active markets, if available (Level 1). If quoted market prices are not available, we primarily employ independent pricing services that utilize pricing models to calculate fair value. Such fair value measurements consider observable data such as dealer quotes, market spreads, cash flows, yield curves, live trading levels, trade execution data, market consensus prepayment speeds, credit information, and respective terms and conditions for debt instruments. We employ procedures to monitor the pricing service's assumptions and establish processes to challenge the pricing service's valuations that appear unusual or unexpected. Multiple quotes or prices may be obtained in this process and we determine which fair value is most appropriate based on market information and analysis. Quotes obtained through this process are generally non-binding. We follow established procedures to ensure that assets and liabilities are properly classified in the fair value hierarchy. Level 2 securities include SBA loan pool securities, U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities, non-agency residential mortgage-backed securities, non-agency commercial mortgage-backed securities, collateralized loan obligations, and corporate debt securities. When a market is illiquid or there is a lack of transparency around the inputs to valuation, including at least one unobservable input, the securities are classified as Level 3 and reliance is placed upon internally developed models and management's judgment and evaluation for valuation. We had no securities available-for-sale classified as Level 3 at September 30, 2020 or December 31, 2019. Loans Held-for-Sale, Carried at Fair Value: The fair value of loans held-for-sale is based on commitments outstanding from investors and current offerings in the secondary market for portfolios with similar characteristics, except for loans that are repurchased out of GNMA loan pools that become severely delinquent which are valued based on an internal model. Loans held-for-sale subject to recurring fair value adjustments are classified as Level 2, or in the case of loans repurchased, Level 3. The fair value includes the servicing value of the loans and any accrued interest. Derivative Assets and Liabilities: Interest Rate Swaps and Caps. We offer interest rate swap and cap products to certain loan clients to allow them to hedge the risk of rising interest rates on their variable rate loans. We originate a variable rate loan and enter into a variable-to-fixed interest rate swap with the client. We also enter into an offsetting swap with a correspondent bank. These back-to-back agreements are intended to offset each other and allow us to originate a variable rate loan while providing a contract for fixed interest payments for the client. The net cash flow for us is equal to the interest income received from a variable rate loan originated with the client plus a fee. 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. Foreign Exchange Contracts. We offer short-term foreign exchange contracts to customers to purchase and/or sell foreign currencies at set rates in the future. These products allow customers to hedge the foreign exchange rate risk of their deposits and loans denominated in foreign currencies. In conjunction with these products, we also enter into offsetting contracts with institutional counterparties to hedge the Company’s foreign exchange rate risk. These back-to-back contracts allow us to offer our customers foreign exchange products while minimizing exposure to foreign exchange rate fluctuations. The fair value of these instruments is determined at each reporting period based on the change in the foreign exchange rate. Given the short-term nature of the contracts, the counterparties’ credit risks are considered nominal and result in no adjustments to the valuation of the short-term foreign exchange contracts. Due to the observable nature of the inputs used in deriving the fair value of these derivative contracts, the valuation of these contracts is classified as Level 2. The following table presents our financial assets and liabilities measured at fair value on a recurring basis as of the dates indicated: Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs September 30, 2020 Assets Securities available-for-sale: SBA loan pools securities $ 17,807 $ — $ 17,807 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 107,431 — 107,431 — U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 218,396 — 218,396 — Municipal securities 69,233 — 69,233 — Non-agency residential mortgage-backed securities 163 — 163 — Collateralized loan obligations 685,931 — 685,931 — Corporate debt securities 146,906 — 146,906 — Loans held-for-sale, carried at fair value 1,849 — 466 1,383 Derivative assets: Interest rate swaps and caps (1) 8,163 — 8,163 — Foreign exchange contracts (1) 45 — 45 — Liabilities Derivative liabilities: Interest rate swaps and caps (2) 8,749 — 8,749 — Foreign exchange contracts (2) 14 — 14 — December 31, 2019 Assets Securities available-for-sale: U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities $ 36,456 $ — $ 36,456 $ — U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 91,299 — 91,299 — Municipal securities 52,689 — 52,689 — Non-agency residential mortgage-backed securities 196 — 196 — Collateralized loan obligations 718,361 — 718,361 — Corporate debt securities 13,579 — 13,579 — Loans held-for-sale, carried at fair value 22,642 — 3,409 19,233 Derivative assets: Interest rate swaps and caps (1) 3,445 — 3,445 — Foreign exchange contracts (1) 138 — 138 — Liabilities Derivative liabilities: Interest rate swaps and caps (2) 3,717 — 3,717 — Foreign exchange contracts (2) 136 — 136 — (1) Included in other assets in the Consolidated Statements of Financial Condition. (2) Included in accrued expenses and other liabilities in the Consolidated Statements of Financial Condition. The following table presents a reconciliation of assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Loans repurchased from GNMA Loan Pools Balance at beginning of period $ 16,685 $ 21,075 $ 19,233 $ 25,040 Total gains (losses) (realized/unrealized): Included in earnings—fair value adjustment 18 2 (1,351) (1) Additions — 406 — 406 Sales, settlements, and other (15,320) (978) (16,499) (4,940) Balance at end of period $ 1,383 $ 20,505 $ 1,383 $ 20,505 Loans repurchased from GNMA loan pools had aggregate unpaid principal balances of $1.5 million and $19.8 million as of September 30, 2020 and December 31, 2019. The significant unobservable inputs used in the fair value measurement of our loans repurchased from GNMA loan pools at September 30, 2020 and December 31, 2019 included an expected loss rate of 1.55% for insured loans and 20.00% for uninsured loans. There may be inherent weaknesses in any calculation technique, and changes in the underlying assumptions used, including discount rates and estimates of future cash flows, could significantly affect the results. Fair Value Option Loans Held-for-Sale, Carried at Fair Value: We elected the fair value option for certain SFR mortgage loans held-for-sale. Electing to measure SFR mortgage loans held-for-sale at fair value reduces certain timing differences and better matches changes in the value of these assets with changes in the value of derivatives used as economic hedges for these assets. We also elected to record loans repurchased from GNMA at fair value, as we intend to sell them after curing any defects and, accordingly, they are classified as held-for-sale. The following table presents the fair value and aggregate principal balance of certain assets under the fair value option: September 30, 2020 December 31, 2019 ($ in thousands) Fair Value Unpaid Principal Balance Difference Fair Value Unpaid Principal Balance Difference Loans held-for-sale, carried at fair value: Total loans $ 1,849 $ 2,149 $ (300) $ 22,642 $ 23,455 $ (813) Nonaccrual loans (1) 651 750 (99) 8,125 8,370 (245) (1) Includes loans guaranteed by the U.S. government of $0.2 million and $6.7 million at September 30, 2020 and December 31, 2019. There were no loans held-for-sale that were 90 days or more past due and still accruing interest as of September 30, 2020 and December 31, 2019. The assets accounted for under the fair value option are initially measured at fair value. Gains and losses from initial measurement and subsequent changes in fair value are recognized in earnings. The following table presents changes in fair value related to initial measurement and subsequent changes in fair value included in earnings for these assets measured at fair value for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Net gains (losses) from fair value changes: Fair value adjustment for loans held-for-sale $ 24 $ 17 $ (1,537) $ 77 Interest income on loans held-for-sale under the fair value option is measured based on the contractual interest rate and reported in interest income on loans, including fees in the consolidated statements of operations. Assets and Liabilities Measured on a Non-Recurring Basis Impaired Loans: The fair value of impaired loans with specific allocations of the ACL based on collateral is generally based on recent real estate appraisals and automated valuation models (“AVMs”). These appraisals may utilize a single valuation approach or a combination of approaches including comparable sales and the income approach. Adjustments are routinely made in the appraisal process by the appraisers for differences between the comparable sales and income data available. Such adjustments are typically deemed significant unobservable inputs used for determining fair value and result in a Level 3 classification. The following table presents our financial assets and liabilities measured at fair value on a non-recurring basis as of the dates indicated: Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs September 30, 2020 Assets Impaired loans: Single family residential mortgage $ 1,881 $ — $ — $ 1,881 Commercial and industrial 17,015 — — 17,015 SBA 3,299 — — 3,299 December 31, 2019 Assets Impaired loans: Single family residential mortgage $ 3,678 $ — $ — $ 3,678 Commercial and industrial 15,409 — — 15,409 SBA 1,711 — — 1,711 The following table presents the losses recognized on assets measured at fair value on a non-recurring basis for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Impaired loans: Single family residential mortgage $ (191) $ — $ (722) $ (490) Commercial and industrial (3,106) — (11,620) — SBA (1,534) — (3,078) (46) Other consumer — — (4) (88) Estimated Fair Values of Financial Instruments The following table presents the carrying amounts and estimated fair values of financial assets and liabilities as of the dates indicated: Carrying Amount Fair Value Measurement Level ($ in thousands) Level 1 Level 2 Level 3 Total September 30, 2020 Financial assets Cash and cash equivalents $ 292,490 $ 292,490 $ — $ — $ 292,490 Securities available-for-sale 1,245,867 — 1,245,867 — 1,245,867 Federal Home Loan Bank and other bank stock 44,809 — 44,809 — 44,809 Loans held-for-sale, carried at fair value 1,849 — 466 1,383 1,849 Loans receivable, net of allowance for loan losses 5,587,075 — — 5,716,880 5,716,880 Accrued interest receivable 32,416 32,416 — — 32,416 Derivative assets 8,208 — 8,208 — 8,208 Financial liabilities Deposits 6,032,266 — — 6,035,348 6,035,348 Advances from Federal Home Loan Bank 559,482 — 608,081 — 608,081 Long-term debt 173,623 — 180,924 — 180,924 Derivative liabilities 8,763 — 8,763 — 8,763 Accrued interest payable 6,156 6,156 — — 6,156 December 31, 2019 Financial assets Cash and cash equivalents $ 373,472 $ 373,472 $ — $ — $ 373,472 Securities available-for-sale 912,580 — 912,580 — 912,580 Federal Home Loan Bank and other bank stock 59,420 — 59,420 — 59,420 Loans held-for-sale 22,642 — 3,409 19,233 22,642 Loans receivable, net of allowance for credit losses 5,894,236 — — 5,894,732 5,894,732 Accrued interest receivable 24,523 24,523 — — 24,523 Derivative assets 3,583 — 3,583 — 3,583 Financial liabilities Deposits 5,427,167 — — 5,430,536 5,430,536 Advances from Federal Home Loan Bank 1,195,000 — 1,222,709 — 1,222,709 Long-term debt 173,421 — 180,213 — 180,213 Derivative liabilities 3,853 — 3,853 — 3,853 Accrued interest payable 4,687 4,687 — — 4,687 |
INVESTMENT SECURITIES
INVESTMENT SECURITIES | 9 Months Ended |
Sep. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
INVESTMENT SECURITIES | INVESTMENT SECURITIES The following table presents the amortized cost and fair value of the investment securities portfolio as of the dates indicated: ($ in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value September 30, 2020 Securities available-for-sale: SBA loan pool securities $ 17,853 $ 3 $ (49) $ 17,807 U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 99,862 7,569 — 107,431 U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 216,250 2,182 (36) 218,396 Municipal securities 64,373 4,890 (30) 69,233 Non-agency residential mortgage-backed securities 159 4 — 163 Collateralized loan obligations 703,605 — (17,674) 685,931 Corporate debt securities 141,968 5,220 (282) 146,906 Total securities available-for-sale $ 1,244,070 $ 19,868 $ (18,071) $ 1,245,867 December 31, 2019 Securities available-for-sale: U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities $ 37,613 $ — $ (1,157) $ 36,456 U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 91,543 16 (260) 91,299 Municipal securities 52,997 51 (359) 52,689 Non-agency residential mortgage-backed securities 191 5 — 196 Collateralized loan obligations 733,605 — (15,244) 718,361 Corporate debt securities 13,500 79 — 13,579 Total securities available-for-sale $ 929,449 $ 151 $ (17,020) $ 912,580 At September 30, 2020, our investment securities portfolio consisted of agency securities, municipal securities, mortgage-backed securities, collateralized loan obligations, and corporate debt securities. The expected maturities of these types of securities may differ from contractual maturities because borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. There was no allowance for credit losses for debt securities as of September 30, 2020. Accrued interest receivable on debt securities available-for-sale totaled $6.0 million and $5.6 million at September 30, 2020 and December 31, 2019, and is included within other assets in the accompanying consolidated statements of financial condition. Accrued interest receivable is excluded from the estimate of expected credit losses. At September 30, 2020 and December 31, 2019, there were no holdings of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10 percent of our stockholders’ equity. The following table presents proceeds from sales and calls of securities available-for-sale and the associated gross gains and losses realized through earnings upon the sales and calls of securities available-for-sale for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Gross realized gains on sales and calls of securities available-for-sale $ — $ 71 $ 2,011 $ 279 Gross realized losses on sales and calls of securities available-for-sale — (5,134) — (5,134) Net realized (losses) gains on sales and calls of securities available-for-sale $ — $ (5,063) $ 2,011 $ (4,855) Proceeds from sales and calls of securities available-for-sale $ — $ 43,252 $ 52,727 $ 861,008 Investment securities with carrying values of $43.1 million and $44.0 million as of September 30, 2020 and December 31, 2019, were pledged to secure FHLB advances, public deposits and for other purposes as required or permitted by law. The following table summarizes the investment securities with unrealized losses by security type and length of time in a continuous, unrealized loss position as of the dates indicated: Less Than 12 Months 12 Months or Longer Total ($ in thousands) Fair Gross Unrealized Losses Fair Gross Unrealized Losses Fair Gross Unrealized Losses September 30, 2020 Securities available-for-sale: SBA loan pool securities $ 13,351 $ (49) $ — $ — $ 13,351 $ (49) U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 10,153 (36) — — 10,153 (36) Municipal securities 11,381 (30) — — 11,381 (30) Collateralized loan obligations 64,372 (628) 621,559 (17,046) 685,931 (17,674) Corporate debt securities 17,218 (282) — — 17,218 (282) Total securities available-for-sale $ 116,475 $ (1,025) $ 621,559 $ (17,046) $ 738,034 $ (18,071) December 31, 2019 Securities available-for-sale: U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities $ 35,872 $ (1,157) $ — $ — $ 35,872 $ (1,157) U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 73,379 (260) — — 73,379 (260) Municipal securities 31,723 (359) — — 31,723 (359) Collateralized loan obligations 49,553 (447) 668,808 (14,797) 718,361 (15,244) Total securities available-for-sale $ 190,527 $ (2,223) $ 668,808 $ (14,797) $ 859,335 $ (17,020) At September 30, 2020, our securities available-for-sale portfolio consisted of 104 securities, of which 51 securities were in an unrealized loss position. At December 31, 2019, our securities available-for-sale portfolio consisted of 70 securities, of which 60 securities were in an unrealized loss position. We monitor our securities portfolio to ensure it has adequate credit support. The majority of unrealized losses are related to our collateralized loan obligations. We also consider the lowest credit rating for identification of credit impairment for other securities. As of September 30, 2020, all of our collateralized loan obligations investment securities in an unrealized loss position received an investment grade credit rating. The decline in fair value was attributable to a combination of changes in interest rates and general volatility in the credit market conditions in response to the economic uncertainty caused by the global pandemic. We do not currently intend to sell these 51 securities in an unrealized loss position and further believe, it is more likely than not, that we will not be required to sell these securities before their anticipated recovery. During the three and nine months ended September 30, 2020, no allowance for credit losses related to securities available-for-sale was recorded. During the three and nine months ended September 30, 2019, we recorded OTTI for our remaining portfolio of mortgage-backed securities of $731 thousand. This OTTI was recognized as a result of our strategic decision to liquidate this longer duration portfolio. The following table presents the fair value and yield information of the investment securities portfolio, based on the earlier of maturity dates or next repricing date, as of September 30, 2020: One year or less More than One Year through Five Years More than Five Years through Ten Years More than Ten Years Total ($ in thousands) Fair Weighted-Average Yield Fair Weighted-Average Yield Fair Weighted-Average Yield Fair Weighted-Average Yield Fair Weighted-Average Yield Securities available-for-sale: SBA loan pool securities $ 17,807 1.79 % $ — — % $ — — % $ — — % $ 17,807 1.79 % U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities — — % — — % 30,575 2.20 % 76,856 2.35 % 107,431 2.31 % U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 117,175 0.71 % 11,499 2.01 % 44,743 1.38 % 44,979 0.39 % 218,396 0.85 % Municipal securities — — % — — % 9,526 2.60 % 59,707 2.62 % 69,233 2.62 % Non-agency residential mortgage-backed securities — — % — — % — — % 163 6.35 % 163 6.35 % Collateralized loan obligations 685,931 1.91 % — — % — — % — — % 685,931 1.91 % Corporate debt securities — — % 129,960 5.01 % 16,946 5.73 % — — % 146,906 5.08 % Total securities available-for-sale $ 820,913 1.74 % $ 141,459 4.77 % $ 101,790 2.41 % $ 181,705 1.93 % $ 1,245,867 2.16 % |
LOANS AND ALLOWANCE FOR CREDIT
LOANS AND ALLOWANCE FOR CREDIT LOSSES | 9 Months Ended |
Sep. 30, 2020 | |
Receivables [Abstract] | |
LOANS AND ALLOWANCE FOR CREDIT LOSSES | LOANS AND ALLOWANCE FOR CREDIT LOSSES The following table presents the balances in our loan portfolio as of the dates indicated: ($ in thousands) September 30, December 31, Commercial: Commercial and industrial $ 1,586,824 $ 1,691,270 Commercial real estate 826,683 818,817 Multifamily 1,476,803 1,494,528 SBA (1) 320,573 70,981 Construction 197,629 231,350 Consumer: Single family residential mortgage 1,234,479 1,590,774 Other consumer 35,011 54,165 Total loans (2) $ 5,678,002 $ 5,951,885 Allowance for loan losses (90,927) (57,649) Loans receivable, net $ 5,587,075 $ 5,894,236 (1) Includes 1,128 PPP loans totaling $255.8 million, net of unamortized loan fees totaling $4.1 million at September 30, 2020. (2) Includes net deferred loan origination costs/(fees) and premiums/(discounts) of $6.2 million and $14.3 million at September 30, 2020 and December 31, 2019. Credit Quality Indicators We categorize loans into risk categories based on relevant information about the ability of borrowers to repay their debt such as current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. We perform a historical loss analysis that is combined with a comprehensive loan to value analysis to analyze the associated risks in the current loan portfolio. We analyze loans individually and grade each loan for credit risk. This analysis includes all loans delinquent over 60 days and non-homogeneous loans such as commercial and commercial real estate loans. We use the following definitions for credit risk ratings: Pass : Loans risk rated as pass are in compliance in all respects with the Bank’s credit policy and regulatory requirements, and do not exhibit any potential or defined weakness as defined under “Special Mention”, “Substandard” or “Doubtful”. Special Mention : Loans risk rated as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of our credit position at some future date. Substandard : Loans risk rated as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so risk rated have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that we will sustain some loss if the deficiencies are not corrected. Doubtful : Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The following table presents the risk categories for total loans by class of loans and origination year as of September 30, 2020: Term Loans Amortized Cost Basis by Origination Year ($ in thousands) 2020 2019 2018 2017 2016 Prior Revolving Loans Amortized Cost Basis Revolving Loans Amortized Cost Basis Total September 30, 2020 Commercial: Commercial and industrial Pass $ 78,237 $ 103,445 $ 65,134 $ 62,783 $ 47,497 $ 98,676 $ 1,053,219 $ 10,546 $ 1,519,537 Special mention — 473 4,605 — — 1,367 — — 6,445 Substandard 1,332 13,946 1,204 4,650 11,224 9,420 13,803 4,669 60,248 Doubtful — — — — — — 594 — 594 Commercial and industrial 79,569 117,864 70,943 67,433 58,721 109,463 1,067,616 15,215 1,586,824 Commercial real estate Pass 30,740 152,605 214,445 68,904 100,223 193,518 5,791 31,191 797,417 Special mention — 1,857 9,512 — — 5,943 — — 17,312 Substandard — — — — — 11,954 — — 11,954 Doubtful — — — — — — — — — Commercial real estate 30,740 154,462 223,957 68,904 100,223 211,415 5,791 31,191 826,683 Multifamily Pass 216,104 420,664 318,417 233,685 108,405 176,740 — — 1,474,015 Special mention — — — — — 803 — — 803 Substandard — — — — — 1,985 — — 1,985 Doubtful — — — — — — — — — Multifamily 216,104 420,664 318,417 233,685 108,405 179,528 — — 1,476,803 SBA Pass 256,444 15,949 1,327 4,258 11,855 19,136 3,021 445 312,435 Special mention — — — 219 417 914 — 6 1,556 Substandard — — — 1,722 701 1,260 304 1,185 5,172 Doubtful — — 391 — — 632 — 387 1,410 SBA 256,444 15,949 1,718 6,199 12,973 21,942 3,325 2,023 320,573 Construction Pass 31,662 30,008 45,230 70,171 — — — — 177,071 Special mention — — 13,733 667 6,158 — — — 20,558 Substandard — — — — — — — — — Doubtful — — — — — — — — — Construction 31,662 30,008 58,963 70,838 6,158 — — — 197,629 Consumer: Single family residential mortgage Pass 29,067 155,695 294,764 178,386 264,039 254,219 17,548 — 1,193,718 Special mention — — 1,842 668 4,589 5,249 — — 12,348 Substandard — 1,040 493 1,018 5,394 20,468 — — 28,413 Doubtful — — — — — — — — — Single family residential mortgage 29,067 156,735 297,099 180,072 274,022 279,936 17,548 — 1,234,479 Other consumer Pass 43 — 60 — — 1,929 29,453 2,326 33,811 Special mention — — 20 — — 31 314 — 365 Substandard — — — — — 480 279 76 835 Doubtful — — — — — — — — — Other consumer 43 — 80 — — 2,440 30,046 2,402 35,011 Total loans $ 643,629 $ 895,682 $ 971,177 $ 627,131 $ 560,502 $ 804,724 $ 1,124,326 $ 50,831 $ 5,678,002 The following table presents the risk categories for total loans by class of loans as of December 31, 2019: ($ in thousands) Pass Special Mention Substandard Doubtful Total December 31, 2019 Commercial: Commercial and industrial $ 1,580,269 $ 45,323 $ 65,678 $ — $ 1,691,270 Commercial real estate 813,846 2,532 2,439 — 818,817 Multifamily 1,484,931 4,256 5,341 — 1,494,528 SBA 60,982 2,760 5,621 1,618 70,981 Construction 229,771 1,579 — — 231,350 Consumer: Single family residential mortgage 1,559,253 10,735 20,269 517 1,590,774 Other consumer 53,331 346 488 — 54,165 Total $ 5,782,383 $ 67,531 $ 99,836 $ 2,135 $ 5,951,885 Past Due Loans The following table presents the aging of the recorded investment in past due loans, excluding accrued interest receivable (which is not considered to be material), by class of loans as of the dates indicated: ($ in thousands) 30 - 59 Days Past Due 60 - 89 Days Past Due Greater than 89 Days Past due Total Past Due Current Total September 30, 2020 Non-Traditional Mortgage (NTM) loans: Single family residential mortgage $ 8,344 $ 1,080 $ 19,004 $ 28,428 $ 438,460 $ 466,888 Other consumer — — — — 1,608 1,608 Total NTM loans 8,344 1,080 19,004 28,428 440,068 468,496 Traditional loans: Commercial: Commercial and industrial 142 18 5,641 5,801 1,581,023 1,586,824 Commercial real estate — — — — 826,683 826,683 Multifamily — 803 — 803 1,476,000 1,476,803 SBA 845 910 2,535 4,290 316,283 320,573 Construction — — — — 197,629 197,629 Consumer: Single family residential mortgage 33,387 4,628 4,629 42,644 724,947 767,591 Other consumer 846 226 — 1,072 32,331 33,403 Total traditional loans 35,220 6,585 12,805 54,610 5,154,896 5,209,506 Total $ 43,564 $ 7,665 $ 31,809 $ 83,038 $ 5,594,964 $ 5,678,002 December 31, 2019 NTM loans: Single family residential mortgage $ 3,973 $ 3,535 $ 13,019 $ 20,527 $ 577,830 $ 598,357 Other consumer — — — — 2,299 2,299 Total NTM loans 3,973 3,535 13,019 20,527 580,129 600,656 Traditional loans: Commercial: Commercial and industrial 780 5,670 3,862 10,312 1,680,958 1,691,270 Commercial real estate — — — — 818,817 818,817 Multifamily — — — — 1,494,528 1,494,528 SBA 586 842 2,152 3,580 67,401 70,981 Construction — — — — 231,350 231,350 Consumer: Single family residential mortgage 13,752 3,496 5,606 22,854 969,563 992,417 Other consumer 199 40 95 334 51,532 51,866 Total traditional loans 15,317 10,048 11,715 37,080 5,314,149 5,351,229 Total $ 19,290 $ 13,583 $ 24,734 $ 57,607 $ 5,894,278 $ 5,951,885 Nonaccrual Loans The following table presents nonaccrual loans as of the dates indicated: September 30, 2020 December 31, 2019 ($ in thousands) NTM Loans Traditional Loans Total Nonaccrual Loans with no ACL NTM Loans Traditional Loans Total Nonaccrual Loans with no ACL Nonaccrual loans Commercial: Commercial and industrial $ — $ 28,042 $ 28,042 $ 11,027 $ — $ 19,114 $ 19,114 $ 337 Commercial real estate — 6,471 6,471 6,471 — — — — SBA — 4,919 4,919 1,621 — 5,230 5,230 1,474 Construction — — — — — — — — Consumer: Single family residential mortgage 20,619 5,648 26,267 24,385 13,019 5,606 18,625 14,373 Other consumer — 638 638 638 — 385 385 380 Total nonaccrual loans $ 20,619 $ 45,718 $ 66,337 $ 44,142 $ 13,019 $ 30,335 $ 43,354 $ 16,564 At September 30, 2020 and December 31, 2019, there were $547 thousand of loans that were past due 90 days or more and still accruing. The non-traditional mortgage (“NTM”) loans on nonaccrual status included $4.5 million of Green Loans and $16.1 million of interest-only loans at September 30, 2020 compared to $1.5 million of Green Loans and $11.5 million of interest-only loans at December 31, 2019. Loans in Process of Foreclosure At September 30, 2020 and December 31, 2019, consumer mortgage loans of $3.7 million and $15.7 million, respectively, were secured by residential real estate properties for which formal foreclosure proceedings were in process according to local requirements of the applicable jurisdiction. Allowance for Credit Losses Our ACL methodology and resulting provision continues to be impacted by the current economic uncertainty and volatility caused by the COVID-19 pandemic. Our ACL methodology uses a nationally recognized, third-party model that includes many assumptions based on historical and peer loss data, current loan portfolio risk profile including risk ratings, and economic forecasts including macroeconomic variables ("MEVs") released by our model provider during September 2020. In contrast to the June 2020 forecasts, these September forecasts reflect a more favorable view of the economy (i.e. higher GDP growth rates and lower unemployment rates). Despite this, the Company-specific economic view recognizes that the foreseeable future is uncertain with respect to the search for a vaccine and effective treatments for COVID-19; the lack of clarity regarding the timing and amount of a potential government stimulus; the unknown impact of the COVID-19 pandemic on the economy and industry segments; and the unknown benefit from Federal Reserve and other government actions. Accordingly, the ACL level and resulting provision reflect these uncertainties. The ACL also incorporated qualitative factors to account for certain loan portfolio characteristics that are not taken into consideration by the third-party model including underlying strengths and weaknesses in the loan portfolio. As is the case with all estimates, the ACL is expected to be impacted in future periods by economic volatility, changing economic forecasts, underlying model assumptions, and asset quality metrics, all of which may be better than or worse than current estimates. The ACL process involves subjective and complex judgments as well as adjustments for numerous factors including those described in the federal banking agencies' joint interagency policy statement on ALL, which include underwriting experience and collateral value changes, among others. We evaluate all impaired loans individually using guidance from ASC 310 primarily through the evaluation of cash flows or collateral values. We have established credit risk management processes that include regular management review of the loan portfolio to identify problem loans. During the ordinary course of business, management may become aware of borrowers who may not be able to fulfill their contractual payment requirements within the loan agreements. Such loans are subject to increased monitoring. Consideration is given to placing these loans on nonaccrual status, assessing the need for additional allowance for loan loss, and partially or fully charging off the principal balance. We maintain the allowance for loan losses at a level that is considered adequate to cover the expected credit losses in the loan portfolio. The reserve for unfunded loan commitments is established to cover the expected credit losses for the estimated level of funding of these loan commitments, except for unconditionally cancellable commitments for which no reserve is required under ASC 326. At September 30, 2020 and December 31, 2019, the reserve for unfunded loan commitments was $3.2 million and $4.1 million, respectively, and was included in accrued expenses and other liabilities on the consolidated statements of financial condition. The credit risk monitoring system is designed to identify impaired and potential problem loans, perform periodic evaluation of impairment, and determine the adequacy of the allowance for credit losses in a timely manner. In addition, management has adopted a credit policy that includes a credit review and control system that it believes should be effective in ensuring that we maintain an adequate allowance for credit losses. Further, the Board of Directors provides oversight and guidance for management’s allowance evaluation process. The following table presents a summary of activity in the ACL for the periods indicated: Three Months Ended September 30, ($ in thousands) 2020 2019 Allowance Reserve for Unfunded Loan Commitments Allowance Allowance Reserve for Unfunded Loan Commitments Allowance Balance at beginning of period $ 90,370 $ 4,195 $ 94,565 $ 59,523 $ 4,295 $ 63,818 Loans charged off (1,821) — (1,821) (35,546) — (35,546) Recoveries of loans previously charged off 248 — 248 410 — 410 Net charge-offs (1,573) — (1,573) (35,136) — (35,136) Provision for (reversal of) credit losses 2,130 (989) 1,141 38,540 67 38,607 Balance at end of period $ 90,927 $ 3,206 $ 94,133 $ 62,927 $ 4,362 $ 67,289 Nine Months Ended September 30, ($ in thousands) 2020 2019 Allowance Reserve for Unfunded Loan Commitments Allowance Allowance Reserve for Unfunded Loan Commitments Allowance Balance at beginning of period $ 57,649 $ 4,064 $ 61,713 $ 62,192 $ 4,622 $ 66,814 Impact of adopting ASU 2016-13 7,609 (1,226) 6,383 — — — Loans charged off (3,897) — (3,897) (39,060) — (39,060) Recoveries of loans previously charged off 1,206 — 1,206 730 — 730 Net charge-offs (2,691) — (2,691) (38,330) — (38,330) Provision for (reversal of) credit losses 28,360 368 28,728 39,065 (260) 38,805 Balance at end of period $ 90,927 $ 3,206 $ 94,133 $ 62,927 $ 4,362 $ 67,289 During the three months ended September 30, 2019, the Company recorded a $35.1 million charge-off of a line of credit originated in November 2017 to a borrower purportedly the subject of a fraudulent scheme. Included in the 2019 loan loss provision was $3.0 million due to this charge-off increasing the loss factor for commercial and industrial loans used in our allowance for loan loss calculation. On October 22, 2019, in connection with this matter, the Bank filed a complaint in the U.S. District Court for the Southern District of California (Case CV '19 02031 GPC KSC) seeking to recover its losses and other monetary damages against Chicago Title Insurance Company and Chicago Title Company, asserting claims under RICO, 18 U.S.C § 1962 and for RICO Conspiracy, Fraud, Aiding and Abetting Fraud, Negligent Misrepresentation, Breach of Fiduciary Duty and Negligence. On October 1, 2020, the case was re-filed in the Superior Court of the State of California, Count of San Diego (Case No. 37-2020-00034947), asserting claims for Fraud, Aiding and Abetting Fraud, Conspiracy to Defraud, Negligent Misrepresentation, Breach of Fiduciary Duty, Negligence, Money Had And Received, and Conversion. We are actively considering and pursuing available sources of recovery and other potential means of mitigating the loss; however, no assurance can be given that we will be successful in that regard. During the third quarter of 2019, we undertook an extensive collateral review of all commercial lending relationships $5.0 million and above not secured by real estate, consisting of 53 loans representing $536.0 million in commitments. The collateral review focused on security and collateral documentation and confirmation of the Bank's collateral interest. The review was performed within the Bank's Internal Audit division and the work was validated by an independent third party. Our review and outside validation did not identify any other instances of apparent fraud for the credits reviewed or concerns over the existence of collateral held by the Bank or on our behalf at third parties; however, there are no assurances that our internal review and third party validation will be sufficient to identify all such issues. Accrued interest receivable on loans receivable, net totaled $25.8 million and $18.9 million at September 30, 2020 and December 31, 2019, and is included within other assets in the accompanying consolidated statements of financial condition. Accrued interest receivable is excluded from the estimate of expected credit losses. The following table presents the activity and balance in the ALL and the recorded investment, excluding accrued interest, in loans based on the impairment methodology as of or for the three and nine months ended September 30, 2020: ($ in thousands) Commercial and Industrial Commercial Real Estate Multifamily SBA Construction Single Family Residential Mortgage Other Consumer Total ALL: Balance at June 30, 2020 $ 26,618 $ 17,372 $ 25,105 $ 4,184 $ 6,675 $ 9,665 $ 751 $ 90,370 Charge-offs (1,597) — — (224) — — — (1,821) Recoveries 116 — — 132 — — — 248 Net charge-offs (1,481) — — (92) — — — (1,573) Provision for (reversal of) credit losses 1,454 2,001 454 (535) (470) (689) (85) 2,130 Balance at September 30, 2020 $ 26,591 $ 19,373 $ 25,559 $ 3,557 $ 6,205 $ 8,976 $ 666 $ 90,927 Balance at December 31, 2019 $ 22,353 $ 5,941 $ 11,405 $ 3,120 $ 3,906 $ 10,486 $ 438 $ 57,649 Impact of adopting ASC 326 662 4,847 1,809 388 103 (420) 220 7,609 Charge-offs (2,761) — — (580) — (552) (4) (3,897) Recoveries 265 — — 253 — 639 49 1,206 Net (charge-offs) recoveries (2,496) — — (327) — 87 45 (2,691) Provision for (reversal of) credit losses 6,072 8,585 12,345 376 2,196 (1,177) (37) 28,360 Balance at September 30, 2020 $ 26,591 $ 19,373 $ 25,559 $ 3,557 $ 6,205 $ 8,976 $ 666 $ 90,927 Individually evaluated for impairment $ 11,162 $ — $ — $ 2,409 $ — $ 191 $ — $ 13,762 Collectively evaluated for impairment 15,429 19,373 25,559 1,148 6,205 8,785 666 77,165 Total ending ALL balance $ 26,591 $ 19,373 $ 25,559 $ 3,557 $ 6,205 $ 8,976 $ 666 $ 90,927 Loans: Individually evaluated for impairment $ 28,475 $ 6,471 $ — $ 4,865 $ — $ 31,055 $ 638 $ 71,504 Collectively evaluated for impairment 1,558,349 820,212 1,476,803 315,708 197,629 1,203,424 34,373 5,606,498 Total ending loan balances $ 1,586,824 $ 826,683 $ 1,476,803 $ 320,573 $ 197,629 $ 1,234,479 $ 35,011 $ 5,678,002 The following table presents the activity and balance in the ALL and the recorded investment, excluding accrued interest, in loans based on the impairment methodology as of or for the three and nine months ended September 30, 2019: ($ in thousands) Commercial and Industrial Commercial Real Estate Multifamily SBA Construction Lease Financing Single Family Residential Mortgage Other Consumer Total ALL: Balance at June 30, 2019 $ 21,529 $ 6,877 $ 12,625 $ 3,120 $ 3,715 $ — $ 11,072 $ 585 $ 59,523 Charge-offs (34,673) — — (738) — — (135) — (35,546) Recoveries 59 — — 50 — 3 — 298 410 Net (charge-offs) recoveries (34,614) — — (688) — 3 (135) 298 (35,136) Provision (reversal) 37,660 (298) (660) 1,686 165 (3) 342 (352) 38,540 Balance at September 30, 2019 $ 24,575 $ 6,579 $ 11,965 $ 4,118 $ 3,880 $ — $ 11,279 $ 531 $ 62,927 Balance at December 31, 2018 $ 18,191 $ 6,674 $ 17,970 $ 1,827 $ 3,461 $ — $ 13,128 $ 941 $ 62,192 Charge-offs (36,788) — (6) (1,086) — — (1,086) (94) (39,060) Recoveries 103 — — 151 — 9 150 317 730 Net (charge-offs) recoveries (36,685) — (6) (935) — 9 (936) 223 (38,330) Provision (reversal) 43,069 (95) (5,999) 3,226 419 (9) (913) (633) 39,065 Balance at September 30, 2019 $ 24,575 $ 6,579 $ 11,965 $ 4,118 $ 3,880 $ — $ 11,279 $ 531 $ 62,927 Individually evaluated for impairment $ 4,614 $ — $ — $ 2,858 $ — $ — $ — $ 21 $ 7,493 Collectively evaluated for impairment 19,961 6,579 11,965 1,260 3,880 — 11,279 510 55,434 Total ending ALL balance $ 24,575 $ 6,579 $ 11,965 $ 4,118 $ 3,880 $ — $ 11,279 $ 531 $ 62,927 Loans: Individually evaluated for impairment $ 22,042 $ — $ — $ 5,696 $ 2,519 $ — $ 20,641 $ 822 $ 51,720 Collectively evaluated for impairment 1,767,436 891,029 1,563,757 69,663 226,042 — 1,755,312 58,300 6,331,539 Total ending loan balances $ 1,789,478 $ 891,029 $ 1,563,757 $ 75,359 $ 228,561 $ — $ 1,775,953 $ 59,122 $ 6,383,259 The following table presents loans individually evaluated for impairment by class of loans as of the dates indicated. The recorded investment, excluding accrued interest, presents customer balances net of any partial charge-offs recognized on the loans and net of any deferred fees and costs and any purchase premium or discount. September 30, 2020 December 31, 2019 ($ in thousands) Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Unpaid Principal Balance Recorded Investment Allowance for Loan Losses With no related ALL recorded: Commercial: Commercial and industrial $ 11,533 $ 11,460 $ — $ 1,471 $ 1,460 $ — Commercial real estate 6,741 6,471 — — — — SBA 1,622 1,566 — 1,439 1,379 — Consumer: Single family residential mortgage 29,048 29,174 — 19,319 19,405 — Other consumer 1,093 638 — 671 675 — With an ALL recorded: Commercial: Commercial and industrial 17,020 17,015 11,162 18,776 18,776 3,367 SBA 3,482 3,299 2,409 3,921 3,757 2,045 Consumer: Single family residential mortgage 1,869 1,881 191 4,213 4,252 574 Other consumer — — — 4 4 4 Total $ 72,408 $ 71,504 $ 13,762 $ 49,814 $ 49,708 $ 5,990 The following table presents information on impaired loans, disaggregated by class, for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized September 30, 2020 Commercial: Commercial and industrial $ 22,016 $ 10 $ 11 $ 24,973 $ 47 $ 50 Commercial real estate 6,593 — — 4,859 — — SBA 5,235 3 3 5,274 9 10 Consumer: Single family residential mortgage 31,457 72 20 31,432 182 99 Other consumer 1,775 — — 1,492 3 3 Total $ 67,076 $ 85 $ 34 $ 68,030 $ 241 $ 162 September 30, 2019 Commercial: Commercial and industrial $ 22,619 $ 40 $ 32 $ 16,154 $ 295 $ 286 Commercial real estate — — — 193 — — SBA 5,843 4 4 4,328 12 12 Construction 2,519 — — 2,519 — — Consumer: Single family residential mortgage 20,706 59 53 20,374 175 150 Other consumer 827 3 4 950 10 10 Total $ 52,514 $ 106 $ 93 $ 44,518 $ 492 $ 458 Troubled Debt Restructurings TDR loans consisted of the following as of the dates indicated: September 30, 2020 December 31, 2019 ($ in thousands) NTM Traditional Loans Total NTM Traditional Loans Total Commercial: Commercial and industrial $ — $ 20,355 $ 20,355 $ — $ 16,245 $ 16,245 SBA — 266 266 — 266 266 Consumer: Single family residential mortgage 2,620 2,169 4,789 2,638 2,394 5,032 Other consumer — — — 294 — 294 Total $ 2,620 $ 22,790 $ 25,410 $ 2,932 $ 18,905 $ 21,837 We had commitments to lend to customers with outstanding loans that were classified as TDRs of $157 thousand and $135 thousand as of September 30, 2020 and December 31, 2019. Accruing TDRs were $5.4 million and nonaccrual TDRs were $20.0 million at September 30, 2020, compared to accruing TDRs of $6.6 million and nonaccrual TDRs of $15.2 million at December 31, 2019. The increase in TDRs during the nine months ended September 30, 2020 was primarily due to one commercial and industrial relationship. The following table summarizes the pre-modification and post-modification balances of the new TDRs for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment September 30, 2020 Commercial: Commercial and industrial — $ — $ — 1 $ 5,000 $ 5,000 Total — — — 1 $ 5,000 $ 5,000 September 30, 2019 Commercial: Commercial and industrial — $ — $ — 10 $ 17,339 $ 17,020 SBA — $ — $ — 2 $ 3,214 $ 869 Total — $ — $ — 12 $ 20,553 $ 17,889 We consider a TDR to be in payment default once it becomes 30 days or more past due following a modification. During each of the three and nine months ended September 30, 2020, there was zero and one loan that was modified as a TDR during the past 12 months that had subsequent payment defaults. During each of the three and nine months ended September 30, 2019, there were no loans that were modified as TDRs during the past 12 months that had subsequent payment defaults. The following table summarizes TDRs by modification type for the periods indicated: Three Months Ended Modification Type Change in Principal Payments and Interest Rates Change in Principal Payments Total ($ in thousands) Count Amount Count Amount Count Amount September 30, 2020 Total — $ — — $ — — $ — September 30, 2019 Total — $ — — $ — — $ — Nine Months Ended Modification Type Change in Principal Payments and Interest Rates Change in Principal Payments Total ($ in thousands) Count Amount Count Amount Count Amount September 30, 2020 Commercial: Commercial and industrial 1 $ 5,000 — $ — 1 $ 5,000 Total 1 $ 5,000 — $ — 1 $ 5,000 September 30, 2019 Commercial: Commercial and industrial 10 $ 17,020 — $ — 10 $ 17,020 SBA 2 869 — — 2 869 Total 12 $ 17,889 — $ — 12 $ 17,889 Purchases, Sales, and Transfers From time to time, we purchase and sell loans in the secondary market. Certain loans are transferred from held-for-investment to held-for-sale at the lower of cost or fair value and any reductions in value on transfer are reflected as write-downs to allowance for credit losses. During the three and nine months ended September 30, 2020 we purchased loans aggregating $129.0 million and $154.9 million. There were no purchases of loans during the three and nine months ended September 30, 2019. The following table presents loans transferred from (to) loans held-for-sale by portfolio segment for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) Transfers from Held-For-Sale Transfers (to) Held-For-Sale Transfers from Held-For-Sale Transfers (to) Held-For-Sale September 30, 2020 Total $ — $ — $ — $ — September 30, 2019 Commercial: Commercial real estate $ — $ — $ — $ (573) Multifamily — — — (752,087) SBA — (559) — (559) Consumer: Single family residential mortgage — — — (374,679) Total $ — $ (559) $ — $ (1,127,898) During the three and nine months ended September 30, 2020, we sold $17.6 million in single family residential mortgage loans resulting in a gain of $297 thousand. Included in transfers to loans held for sale for the nine months ended September 30, 2019 is $573.9 million in multifamily loans from loans held-for-investment related to our completed Freddie Mac multifamily securitization which closed during the third quarter of 2019. During the three and nine months ended September 30, 2019, we sold $573.5 million and $751.6 million, respectively, in multifamily residential loans, resulting in a gross gain of $8.9 million and $11.7 million. During the three and nine months ended September 30, 2019, we sold $144 thousand and $374.8 million in single family residential mortgage loans, resulting in gains of $8 thousand and $1.8 million. Non-Traditional Mortgage Loans (“NTM”) Our NTM portfolio is comprised of three interest only products: Green Loans, Interest Only loans and a small number of loans with the potential for negative amortization. The initial credit guidelines for the NTM portfolio were established based on the borrower's Fair Isaac Corporation (“FICO”) score, LTV ratio, property type, occupancy type, loan amount, and geography. Additionally, from an ongoing credit risk management perspective, we have determined that the most significant performance indicators for NTMs are LTV ratios and FICO scores. We review the NTM loan portfolio periodically by refreshing FICO scores on the Green Loans and HELOCs and ordering third party automated valuation models (AVMs) to confirm collateral values. We no longer originate NTM loans. The following table presents the composition of the NTM portfolio, which are included in the single family residential mortgage portfolio, as of the dates indicated: September 30, 2020 December 31, 2019 ($ in thousands) Count Amount Percent Count Amount Percent Consumer: Single family residential mortgage: Green Loans (HELOC) - first liens 57 $ 39,180 8.4 % 69 $ 49,959 8.3 % Interest-only - first liens 295 425,406 90.8 % 376 545,371 90.8 % Negative amortization 8 2,302 0.5 % 9 3,027 0.5 % Total NTM - first liens 360 466,888 99.7 % 454 598,357 99.6 % Other consumer: Green Loans (HELOC) - second liens 5 1,608 0.3 % 7 2,299 0.4 % Total NTM - second liens 5 1,608 0.3 % 7 2,299 0.4 % Total NTM loans 365 $ 468,496 100.0 % 461 $ 600,656 100.0 % Total loans receivable $ 5,678,002 $ 5,951,885 % of total NTM loans to total loans receivable 8.3 % 10.1 % |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS, NET | 9 Months Ended |
Sep. 30, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS, NET | GOODWILL AND OTHER INTANGIBLE ASSETS, NET At September 30, 2020 and December 31, 2019, we had goodwill of $37.1 million. We evaluate goodwill impairment as of August 31 st each year, and more frequently if events or circumstances indicate that there may be impairment. We completed our most recent annual goodwill impairment test as of August 31, 2020 and determined that no goodwill impairment existed. Core deposit intangibles are amortized over their useful lives ranging from four ten ($ in thousands) Gross Carrying Value Accumulated Amortization Net Carrying Value September 30, 2020 Core deposit intangibles $ 30,904 $ 27,965 $ 2,939 December 31, 2019 Core deposit intangibles $ 30,904 $ 26,753 $ 4,151 Aggregate amortization of intangible assets was $353 thousand and $500 thousand for the three months ended September 30, 2020 and 2019 and $1.2 million and $1.7 million for the nine months ended September 30, 2020 and 2019. The following table presents estimated future amortization expenses as of September 30, 2020: ($ in thousands) Remainder of 2020 2021 2022 2023 2024 Total Estimated future amortization expense $ 306 $ 1,082 $ 799 $ 517 $ 235 $ 2,939 |
FEDERAL HOME LOAN BANK ADVANCES
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS | 9 Months Ended |
Sep. 30, 2020 | |
Federal Home Loan Banks [Abstract] | |
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS | FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGSThe following table presents advances from the FHLB as of the dates indicated: ($ in thousands) September 30, December 31, Fixed rate: Outstanding balance $ 566,000 (1) $ 730,000 Interest rates ranging from — % (2) 1.82 % Interest rates ranging to 3.32 % 3.32 % Weighted average interest rate 2.39 % 2.66 % Variable rate: Outstanding balance $ — $ 465,000 Weighted average interest rate — % 1.66 % (1) Excludes $6.5 million of unamortized debt issuance costs at September 30, 2020. (2) Includes $10.0 million in FHLB recovery advances with an interest rate of 0.00%, consisting of $5.0 million with a maturity date of November 27, 2020 and $5.0 million with a maturity date of May 27, 2021. Each advance is payable at its maturity date. Advances paid early are subject to a prepayment penalty. In June 2020, we repaid early a $100.0 million FHLB term advance with a weighted average interest rate of 2.07% and incurred a $2.5 million debt extinguishment fee that is included in other noninterest expense in the consolidated statements of operations. Additionally, in June 2020 we refinanced $111.0 million of FHLB term advances to take advantage of the rapid decline in market interest rates. At the end of the third quarter of 2020, FHLB advances included no overnight borrowings, $105.0 million maturing within three months, and $461.0 million maturing beyond three months with a weighted average life of 4.7 years and weighted average interest rate of 2.51%. At September 30, 2020 and December 31, 2019, the Bank’s advances from the FHLB were collateralized by certain real estate loans with an aggregate unpaid principal balance of $2.41 billion and $3.05 billion. Based on this collateral, the Bank was eligible to borrow an additional $890.0 million at September 30, 2020. The Bank’s investment in capital stock of the FHLB of San Francisco totaled $17.6 million and $32.3 million at September 30, 2020 and December 31, 2019. During the second quarter of 2020, we expanded our existing secured borrowing capacity with the Federal Reserve Bank of San Francisco (“Federal Reserve”) by participating in its Borrower-in-Custody (“BIC”) program. As a result, our borrowing capacity with the Federal Reserve increased to $427.7 million at September 30, 2020. Prior to participating in the BIC program, the Bank only pledged securities as collateral for access to the discount window. At September 30, 2020, the Bank has pledged certain qualifying loans with an unpaid principal balance of $879.9 million and securities with a carrying value of $23.5 million as collateral for this line of credit. Borrowings under the BIC program are overnight advances with interest chargeable at the discount window (“primary credit”) borrowing rate. There were no borrowings under this arrangement for the three and nine months ended September 30, 2020 and 2019. The Bank maintained available unsecured federal funds lines with five correspondent banks totaling $185.0 million, with no outstanding borrowings at September 30, 2020. The Bank also maintained repurchase agreements and had no outstanding securities sold under agreements to repurchase at September 30, 2020 and December 31, 2019. Availabilities and terms on repurchase agreements are subject to the counterparties' discretion and the pledging of additional investment securities. |
LONG-TERM DEBT
LONG-TERM DEBT | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
LONG-TERM DEBT | LONG-TERM DEBT The following table presents our long-term debt as of the dates indicated: September 30, 2020 December 31, 2019 ($ in thousands) Par Value Unamortized Debt Issuance Cost and Discount Par Value Unamortized Debt Issuance Cost and Discount 5.25% senior notes due April 15, 2025 $ 175,000 $ (1,377) $ 175,000 $ (1,579) Total $ 175,000 $ (1,377) $ 175,000 $ (1,579) |
INCOME TAXES
INCOME TAXES | 9 Months Ended |
Sep. 30, 2020 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | INCOME TAXES For the three and nine months ended September 30, 2020, income tax expense (benefit) was $2.4 million and $(5.1) million, resulting in an effective tax rate of 12.9% and 35.9%. For the three and nine months ended September 30, 2019, income tax (benefit) expense was $(5.6) million and $1.4 million and the effective tax rate was 28.4% and 12.9%. Our effective tax rate for the three and nine months ended September 30, 2020 differs from the 21% federal statutory rate due to the impact of state taxes as well as various permanent tax differences. For interim periods, we generally utilize the estimated annual effective tax rate method under which we determine our provision (benefit) for income taxes based on the current estimate of our annual effective tax rate. For the three and nine months ended September 30, 2020, we utilized the discrete effective tax rate method for recording income taxes. We believe the use of the discrete effective tax rate method is more appropriate than the annual effective tax rate method as minor changes in the Company's estimated ordinary income for the entire year would have a significant effect on the estimated annual effective tax rate and would result in sizable variations in the customary relationship between income tax expense (benefit) and pretax accounting income (loss). Based on our actual and projected level of earnings and permanent tax differences for 2020, our estimated effective tax rate for the full year was refined this quarter to a negative tax rate ranging from approximately 10% to 15%. As a result of the change, we expect our fourth quarter effective tax rate to be approximately 25%. We account for income taxes by recognizing deferred tax assets and liabilities based upon temporary differences between the amounts for financial reporting purposes and tax basis of its assets and liabilities. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that some portion, or all, of the deferred tax asset will not be realized. In assessing the realization of deferred tax assets, management will continue to evaluate both positive and negative evidence on a quarterly basis, including considering the four possible sources of future taxable income, such as future reversal of existing taxable temporary differences, future taxable income exclusive of reversing temporary differences and carryforwards, taxable income in prior carryback year(s), and future tax planning strategies. Based on this analysis, management determined, it was more likely than not, that all of the deferred tax assets would be realized; therefore, no valuation allowance was provided against the net deferred tax assets of $43.7 million and $44.9 million at September 30, 2020 and December 31, 2019, respectively. ASC 740-10-25 relates to the accounting for uncertainty in income taxes recognized in an enterprise’s financial statements. ASC 740-10-25 prescribes a threshold and a measurement process for recognizing in the financial statements a tax position taken or expected to be taken in a tax return and also provides guidance on de-recognition, classification, interest and penalties, accounting in interim periods, disclosure and transition. We had unrecognized tax benefits of $1.1 million and $977 thousand at September 30, 2020 and December 31, 2019, respectively. We do not believe that the unrecognized tax benefits will change materially in the next twelve months. As of September 30, 2020, the total unrecognized tax benefit that, if recognized, would impact the effective tax rate was $846 thousand. At September 30, 2020 and December 31, 2019, we had no accrued interest or penalties. In the event we are assessed interest and/or penalties by federal or state tax authorities, such amounts will be classified in the consolidated financial statements as income tax expense. We are subject to U.S. federal income tax as well as income tax in multiple state jurisdictions. We are no longer subject to examination by U.S. federal taxing authorities for years before 2016. The statute of limitations for the assessment of California franchise taxes has expired for tax years before 2014 (other state income and franchise tax statutes of limitations vary by state). |
DERIVATIVE INSTRUMENTS
DERIVATIVE INSTRUMENTS | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVE INSTRUMENTS | DERIVATIVE INSTRUMENTS We use derivative instruments and other risk management techniques to reduce our exposure to adverse fluctuations in interest rates and foreign currency exchange rates in accordance with our risk management policies. During the three and nine months ended September 30, 2020, changes in fair value of interest rate swaps and caps on loans and foreign exchange contracts were a gain of $3 thousand and loss of $285 thousand, compared to a gain of $517 thousand and a loss of $9.3 million for the three and nine months ended September 30, 2019, and were included in other income on the consolidated statements of operations. For the three and nine months ended September 30, 2019, other income included a $603 thousand gain and $9.0 million loss on interest rate swaps related to the Freddie Mac multifamily securitization in which we sold the associated mortgage servicing rights. The $9.0 million loss on these interest rate swaps was due to a decline in interest rates since their execution and was offset by the $8.9 million gross gain realized on the loans sold into the securitization in the third quarter of 2019. The following table presents the notional amount and fair value of derivative instruments included in the consolidated statements of financial condition as of the dates indicated. September 30, 2020 December 31, 2019 ($ in thousands) Notional Amount Fair Notional Amount Fair Derivative assets: Interest rate swaps and caps on loans $ 68,556 $ 8,163 $ 70,674 $ 3,445 Foreign exchange contracts 3,548 45 4,643 138 Total $ 72,104 $ 8,208 $ 75,317 $ 3,583 Derivative liabilities: Interest rate swaps and caps on loans $ 68,556 $ 8,749 $ 70,674 3,717 Foreign exchange contracts 3,548 14 4,643 136 Total $ 72,104 $ 8,763 $ 75,317 $ 3,853 (1) The fair value of interest rate swaps and caps on loans are included in other assets and accrued expenses and other liabilities, respectively, in the accompanying consolidated statements of financial condition. We have entered into agreements with counterparty financial institutions, which include master netting agreements that provide for the net settlement of all contracts with a single counterparty in the event of default. We elect, however, to account for all derivatives with counterparty institutions on a gross basis. |
EMPLOYEE STOCK COMPENSATION
EMPLOYEE STOCK COMPENSATION | 9 Months Ended |
Sep. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
EMPLOYEE STOCK COMPENSATION | EMPLOYEE STOCK COMPENSATION On May 31, 2018, our stockholders approved the Company's 2018 Omnibus Stock Incentive Plan (“2018 Omnibus Plan”). The 2018 Omnibus Plan provides that the maximum number of shares available for awards is 4,417,882. As of September 30, 2020, 3,372,588 shares were available for future awards. Stock-based Compensation Expense The following table presents stock-based compensation expense and the related tax benefits for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Stock options $ — $ 3 $ 4 $ (13) Restricted stock awards and units 1,346 1,491 4,388 3,857 Total share-based compensation expense $ 1,346 $ 1,494 $ 4,392 $ 3,844 Related tax benefits $ 396 $ 439 $ 1,293 $ 1,130 The following table presents unrecognized stock-based compensation expense as of September 30, 2020: ($ in thousands) Unrecognized Expense Weighted-Average Remaining Expected Recognition Period Restricted stock awards and restricted stock units $ 8,189 2.1 years Total $ 8,189 2.1 years Stock Options We issued stock options to certain employees, officers, and directors. Stock options are issued at the closing market price immediately before the grant date and generally have a three five seven ten The following table represents stock option activity for the three months ended September 30, 2020: Three Months Ended September 30, 2020 ($ in thousands except per share data) Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contract Term Aggregated Intrinsic Value Outstanding at beginning of period 55,069 $ 13.96 3.7 years Outstanding at end of period 55,069 $ 13.96 3.5 years $ (210) Exercisable at end of period 55,069 $ 13.96 3.5 years $ (210) The following table represents stock option activity for the nine months ended September 30, 2020: Nine Months Ended September 30, 2020 ($ in thousands except per share data) Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contract Term Aggregated Intrinsic Value Outstanding at beginning of period 62,521 $ 13.85 4.3 years Exercised (7,452) $ 13.05 5.2 years Outstanding at end of period 55,069 $ 13.96 3.5 years $ (210) Exercisable at end of period 55,069 $ 13.96 3.5 years $ (210) The following table sets forth information regarding unvested stock options for the three and nine months ended September 30, 2020: Three Months Ended Nine Months Ended Number of Shares Weighted-Average Exercise Price Per Share Number of Shares Weighted-Average Outstanding at beginning of period 2,248 $ 13.75 2,248 $ 13.75 Vested (2,248) $ 13.75 (2,248) $ 13.75 Forfeited — $ — — $ — Outstanding at end of period — $ — — $ — Restricted Stock Awards and Restricted Stock Units We also have granted restricted stock awards and restricted stock units to certain employees, officers, and directors. The restricted stock awards and units are valued at the closing price of our stock on the measurement date. The restricted stock awards and units fully vest after a specified period (generally ranging from one restricted stock, generally upon vesting or, in the case of restricted stock units, when settled. The following table presents unvested restricted stock awards and restricted stock units activity for the three and nine months ended September 30, 2020: Three Months Ended Nine Months Ended Number of Shares Weighted Average Grant Date Fair Value Per Share Number of Shares Weighted Outstanding at beginning of period 912,670 $ 14.91 923,482 $ 15.74 Granted (1) 4,457 $ 11.22 358,593 $ 13.76 Vested (2) (15,881) $ 15.42 (309,576) $ 15.92 Forfeited (3) (18,005) $ 16.09 (89,258) $ 16.69 Outstanding at end of period 883,241 $ 14.86 883,241 $ 14.86 (1) There were zero and 78,771 performance-based shares/units included in shares granted for the three and nine months ended September 30, 2020. (2) There were zero and 18,473 performance-based shares/units included in vested shares for the three and nine months ended September 30, 2020. (3) The number of forfeited shares includes aggregate performance-based shares/units of zero and 17,404 for the three and nine months ended September 30, 2020. Stock Appreciation Rights On August 21, 2012, we granted to the then, and now former, chief executive officer, a ten The following table represents SARs activity and the weighted average exercise price per share as of and for the three months ended September 30, 2020: Three Months Ended September 30, 2020 ($ in thousands except per share data) Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contract Term Aggregated Intrinsic Value Outstanding at beginning of period 1,559,012 $ 11.60 2.1 years $ (1,812) Outstanding at end of period 1,559,012 $ 11.60 1.9 years $ (2,264) Exercisable at end of period 1,559,012 $ 11.60 1.9 years $ (2,264) The following table represents SARs activity and the weighted average exercise price per share as of and for the nine months ended September 30, 2020: Nine Months Ended September 30, ($ in thousands except per share data) Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contract Term Aggregated Intrinsic Value Outstanding at beginning of period 1,559,012 $ 11.60 2.6 years $ 8,508 Outstanding at end of period 1,559,012 $ 11.60 1.9 years $ (2,264) Exercisable at end of period 1,559,012 $ 11.60 1.9 years $ (2,264) |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
STOCKHOLDERS' EQUITY | STOCKHOLDERS’ EQUITY Preferred Stock We are authorized to issue 50,000,000 shares of preferred stock with par value of $0.01 per share. Preferred shares outstanding rank senior to common shares both as to dividends and liquidation preference but generally have no voting rights. All of our outstanding shares of preferred stock have a $1,000 per share liquidation preference. The following table presents our total outstanding preferred stock as of the dates indicated: September 30, 2020 December 31, 2019 ($ in thousands) Shares Outstanding Liquidation Preference Carrying Value Shares Outstanding Liquidation Preference Carrying Value Series D 7.375% non-cumulative perpetual 93,270 $ 93,270 $ 89,922 96,629 $ 96,629 $ 93,162 Series E 7.00% non-cumulative perpetual 98,702 98,702 94,956 100,477 100,477 96,663 Total 191,972 $ 191,972 $ 184,878 197,106 $ 197,106 $ 189,825 Series D Preferred Stock During the three and nine months ended September 30, 2020, we repurchased depositary shares (Series D Depositary Shares), each representing a 1/40 th interest in a share of Series D Preferred Stock, liquidation amount of $1,000 per share of Series D Preferred Stock, resulting in the repurchase of 100 and 134,410 outstanding Series D Depositary Shares and the related retirement of 3 and 3,360 outstanding shares of Series D Preferred Stock. During the three and nine months ended September 30, 2020 we paid $2 thousand and $2.7 million to repurchase Series D Preferred Stock, resulting in a $0 and $541 thousand difference between the consideration paid and the repurchased shares' carrying value. When the consideration paid to repurchase shares exceeds the repurchased shares' carrying value, the difference reduces net income allocated to common shareholders. When the consideration paid to repurchase shares is less than the repurchased shares' carrying value, the difference increases net income allocated to common shareholders. On August 23, 2019, the Company completed a tender offer for Series D Depositary Shares, resulting in the repurchase of 734,823 outstanding Series D Depository Shares and the related retirement of 18,371 outstanding shares of Series D Preferred Stock. During the nine-month period ended September 30, 2019 we paid $19.4 million to repurchase Series D Preferred Stock, resulting in a $1.7 million difference between the consideration paid and the repurchased shares' carrying value. Series E Preferred Stock During the three and nine months ended September 30, 2020, we repurchased depositary shares (Series E Depositary Shares), each representing a 1/40 th interest in a share of Series E Preferred Stock, liquidation amount of $1,000 per share of Series E Preferred Stock, resulting in the repurchase of 6,502 and 70,967 outstanding Series E Depositary Shares and the related retirement of 163 and 1,774 outstanding shares of Series E Preferred Stock. During the three and nine months ended September 30, 2020, we paid $163 thousand and $1.7 million to repurchase Series E Preferred Stock, resulting in a $6 thousand and $27 thousand difference between the consideration paid and the repurchased shares' carrying value. On August 23, 2019, the Company completed a tender offer for Series E Depositary Shares, resulting in the repurchase of 980,928 outstanding Series E Depository Shares and the related retirement of 24,523 outstanding shares of Series E Preferred Stock. During the nine months ended September 30, 2019. we paid $26.6 million to repurchase Series E Preferred Stock, resulting in a $3.4 million difference between the consideration paid and the repurchased shares' carrying value. Share Repurchase Program On February 10, 2020, we announced that our Board of Directors (the “Board”) authorized the repurchase of up to $45 million of our common stock. The repurchase authorization expires in February 2021, however given current macroeconomic conditions and the COVID-19 pandemic, we have suspended common stock repurchases for the immediate future. There were no repurchases of common stock for the three months ended September 30, 2020. During the nine months ended September 30, 2020, we repurchased 827,584 shares of common stock at a weighted average price of $14.50 per share and an aggregate amount of $12.0 million. Purchases may be made in open-market transactions, in block transactions on or off an exchange, in privately negotiated transactions, or by other means as determined by our management and in accordance with the regulations of the Securities and Exchange Commission. The timing of purchases and the number of shares repurchased under the program will depend on a variety of factors including price, trading volume, corporate and regulatory requirements, and market conditions. Change in Accumulated Other Comprehensive (Loss) Income ("AOCI") Our AOCI includes unrealized gain (loss) on securities available-for-sale. Changes to AOCI are presented net of the tax effect as a component of stockholders' equity. Reclassifications from AOCI occur when a security is sold, called or matures and are recorded on the consolidated statements of operations either as a gain or loss. The following table presents changes to AOCI for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Unrealized (loss) gain on securities available-for-sale Balance at beginning of period $ (15,565) $ (12,668) $ (11,900) $ (24,117) Unrealized gain (loss) arising during the period 23,859 (1,408) 20,677 15,014 Unrealized gain arising from the reclassification of securities held-to-maturity to securities available-for-sale — — — — Impairment loss on investment securities — 731 — 731 Reclassification adjustment from other comprehensive income — 5,063 (2,011) 4,855 Tax effect of current period changes (7,028) (1,289) (5,500) (6,054) Total changes, net of taxes 16,831 3,097 13,166 14,546 Balance at end of period $ 1,266 $ (9,571) $ 1,266 $ (9,571) |
VARIABLE INTEREST ENTITIES
VARIABLE INTEREST ENTITIES | 9 Months Ended |
Sep. 30, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
VARIABLE INTEREST ENTITIES | VARIABLE INTEREST ENTITIES We hold ownership interests in alternative energy partnerships and qualified affordable housing partnerships and have a variable interest in a multifamily securitization trust. We evaluate our interests in these entities to determine whether they meet the definition of a variable interest entity (VIE) and whether we are required to consolidate these entities. A VIE is consolidated by its primary beneficiary, which is the party that has both (i) the power to direct the activities that most significantly impact the economic performance of the VIE and (ii) a variable interest that could potentially be significant to the VIE. To determine whether or not a variable interest we hold could potentially be significant to the VIE, we consider both qualitative and quantitative factors regarding the nature, size, and form of our involvement with the VIE. We have determined that our interests in these entities meet the definition of variable interests. Unconsolidated VIEs Multifamily Securitization During the third quarter of 2019, we transferred $573.5 million of multifamily loans, through a two-step process, to a third-party depositor which placed the multifamily loans into a third-party trust (a VIE) that issued structured pass-through certificates to investors. The transfer of these loans was accounted for as a sale for financial reporting purposes, in accordance with ASC 860. We determined that we are not the primary beneficiary of this VIE as we do not have the power to direct the activities that will have the most significant economic impact on the entity. Our continuing involvement in this securitization is limited to customary obligations associated with the securitization of loans, including the obligation to cure, repurchase, or substitute loans in the event of a material breach in representations. Additionally, we have the obligation to guarantee credit losses up to 12% of the aggregate unpaid principal balances at cut-off date of the securitization. This obligation is supported by a $68.8 million letter of credit between the Freddie Mac and the FHLB. The maximum loss exposure that would be absorbed by us in the event that all of the assets in the securitization trust are deemed worthless is $68.8 million, which represents the aforementioned obligation to guarantee credit losses up to 12%. We believe that the loss exposure on the multifamily securitization is reduced by both loan-to-value ratios of the underlying collateral balances and the overcollateralization that exists within the securitization trust. At September 30, 2020, we have a $3.5 million repurchase reserve related to this VIE. Alternative Energy Partnerships We invest in certain alternative energy partnerships (limited liability companies) formed to provide sustainable energy projects that are designed to generate a return primarily through the realization of federal tax credits (energy tax credits). These entities were formed to invest in newly established residential and commercial solar leases and power purchase agreements. As a result of our investments, we have the right to certain investment tax credits and tax depreciation benefits (recognized on the flow through and income statement method in accordance with ASC 740), and to a lesser extent, cash flows generated from the installed solar systems leased to individual consumers for a fixed period of time. While our interest in the alternative energy partnerships meets the definition of a VIE in accordance with ASC 810, we have determined that we are not the primary beneficiary because we do not have the power to direct the activities that most significantly impact the economic performance of the entities including operational and credit risk management activities. As we are not the primary beneficiary, we did not consolidate the entities. We use the Hypothetical Liquidation at Book Value (HLBV) method to account for our investments in energy tax credits as an equity investment under ASC 970-323-25-17. Under the HLBV method, an equity method investor determines its share of an investee's earnings by comparing its claim on the investee's book value at the beginning and end of the period, assuming the investee were to liquidate all assets at their U.S. GAAP amounts and distribute the resulting cash to creditors and investors under their respective priorities. The difference between the calculated liquidation distribution amounts at the beginning and the end of the reporting period, after adjusting for capital contributions and distributions, is our share of the earnings or losses from the equity investment for the period. To account for the tax credits earned on investments in alternative energy partnerships, we use the flow-through income statement method. Under this method, the tax credits are recognized as a reduction to income tax expense and the initial book-tax differences in the basis of the investments are recognized as additional tax expense in the year they are earned. Investments in alternative energy partnerships totaled $27.8 million and $29.3 million at September 30, 2020 and December 31, 2019. The following table presents information regarding activity in our alternative energy partnerships for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Fundings $ — $ — $ 3,631 $ 235 Cash distribution from investment 611 534 1,612 1,529 Gain (loss) on investments in alternative energy partnerships 1,430 940 (308) (655) Income tax credits recognized — 862 — 2,585 Tax expense (benefit) recognized from HLBV application 185 254 (111) (177) The following table represents the carrying value of the associated unconsolidated assets and liabilities and the associated maximum loss exposure for alternative energy partnerships as of the dates indicated: ($ in thousands) September 30, December 31, Cash $ 3,101 $ 4,224 Equipment, net of depreciation 242,988 248,920 Other assets 7,291 6,301 Total unconsolidated assets $ 253,380 $ 259,445 Total unconsolidated liabilities $ 6,048 $ 7,143 Maximum loss exposure $ 27,786 $ 32,525 The maximum loss exposure that would be absorbed by us in the event that all of the assets in alternative energy partnerships are deemed worthless is $27.8 million, which is our recorded investment amount at September 30, 2020. We believe that the loss exposure on our investments is reduced considering our return on our investment is provided not only by the cash flows of the underlying client leases and power purchase agreements, but also through the significant tax benefits, including federal tax credits generated from the investments. In addition, our exposure is further limited as the arrangements include a transition manager to support any transition of the solar company sponsor, whose role includes that of the servicer and operation and maintenance provider, in the event the sponsor would be required to be removed from its responsibilities (e.g., bankruptcy, breach of contract, etc.). Qualified Affordable Housing Partnerships We invest in limited partnerships that operate qualified affordable housing projects. The returns on these investments are generated primarily through allocated Federal tax credits and other tax benefits. In addition, these investments contribute to our compliance with the Community Reinvestment Act. These limited partnerships are considered to be VIEs, because either (i) they do not have sufficient equity investment at risk or (ii) the limited partners with equity at risk do not have substantive kick-out rights through voting rights or substantive participating rights over the general partner. As a limited partner, we are not the primary beneficiary because the general partner has the ability to direct the activities of the VIEs that most significantly impact their economic performance. As a result, we do not consolidate these partnerships. The following table presents information regarding balances in our qualified affordable housing partnerships for the periods indicated: ($ in thousands) September 30, December 31, Ending balance (1) $ 44,443 $ 36,462 Aggregate funding commitment 61,278 49,278 Total amount funded 42,378 26,905 Unfunded commitment 18,900 22,373 Maximum loss exposure 44,443 36,462 (1) Included in other assets in the accompanying Consolidated Statements of Financial Condition. The following table presents information regarding activity in our qualified affordable housing partnerships for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Fundings $ 1,602 $ 8,325 $ 15,473 $ 8,779 Proportional amortization recognized 1,724 1,464 4,019 2,654 Income tax credits recognized 1,007 724 3,215 1,833 |
EARNINGS (LOSS) PER COMMON SHAR
EARNINGS (LOSS) PER COMMON SHARE | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
EARNINGS (LOSS) PER COMMON SHARE | EARNINGS (LOSS) PER COMMON SHARE The following table presents computations of basic and diluted earnings (loss) per common share ("EPS") for the three and nine months ended September 30, 2020: Three Months Ended September 30, 2020 Nine Months Ended September 30, 2020 ($ in thousands except per share data) Common Stock Class B Common Stock Class B Common Stock Net income (loss) $ 15,761 $ 152 $ (9,043) $ (86) Less: Income allocated to participating securities (278) (3) — — Less: participating securities dividends (93) (1) (279) (3) Less: preferred stock dividends (3,414) (33) (10,323) (99) Less: preferred stock redemption (7) — 563 5 Net income (loss) allocated to common stockholders $ 11,969 $ 115 $ (19,082) $ (183) Weighted average common shares outstanding 49,631,334 477,321 49,723,791 477,321 Dilutive effects of restricted shares/units 82,278 — — — Dilutive effects of stock options — — — — Average shares and dilutive common shares 49,713,612 477,321 49,723,791 477,321 Basic earnings (loss) per common share $ 0.24 $ 0.24 $ (0.38) $ (0.38) Diluted earnings (loss) per common share $ 0.24 $ 0.24 $ (0.38) $ (0.38) For the three and nine months ended September 30, 2020, there were 643,901 and 938,526 of restricted shares/units and 55,069 and 55,314 of stock options that were not considered in computing diluted earnings per common share, because they were anti-dilutive. The following table presents computations of basic and diluted EPS for the three and nine months ended September 30, 2019: Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 ($ in thousands except per share data) Common Stock Class B Common Stock Common Stock Class B Common Stock Net (loss) income $ (13,999) $ (133) $ 9,398 $ 89 Less: income allocated to participating securities — — — — Less: participating securities dividends (93) (1) (386) (4) Less: preferred stock dividends (3,371) (32) (11,906) (113) Less: preferred stock redemption (5,045) (48) (5,045) (48) Net loss allocated to common stockholders $ (22,508) $ (214) $ (7,939) $ (76) Weighted average common shares outstanding 50,404,906 477,321 50,327,108 477,321 Dilutive effects of stock units — — — — Dilutive effects of stock options — — — — Average shares and dilutive common shares 50,404,906 477,321 50,327,108 477,321 Basic earnings per common share $ (0.45) $ (0.45) $ (0.16) $ (0.16) Diluted earnings per common share $ (0.45) $ (0.45) $ (0.16) $ (0.16) For the three and nine months ended September 30, 2019, there were 1,062,826 and 967,376, respectively, of restricted shares/units and 60,956 and 127,212, respectively, of stock options that were not considered in computing diluted earnings per common share, because they were anti-dilutive. |
LOAN COMMITMENTS AND OTHER RELA
LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES | LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES Some financial instruments, such as unfunded loan commitments, credit lines, letters of credit, and overdraft protection, are issued to meet customer financing needs. These are agreements to provide credit or to support the credit of others, as long as conditions established in the contract are met, and usually have expiration dates. Commitments may expire without being used. Risk of credit loss exists up to the face amount of these instruments. The same credit policies are used to make such commitments as are used for originating loans, including obtaining collateral at exercise of the commitment. The following table presents the contractual amount of financial instruments with off-balance-sheet risk as of the periods indicated: September 30, 2020 December 31, 2019 ($ in thousands) Fixed Rate Variable Rate Fixed Rate Variable Rate Commitments to extend credit $ 20,181 $ 49,274 $ 473 $ 129,495 Unused lines of credit 1,778 1,334,060 703 1,049,632 Letters of credit 157 9,202 134 5,316 Other Commitments At September 30, 2020, we had unfunded commitments of $18.9 million, $5.6 million, and $10.5 million for affordable housing fund investments, Small Business Investment Company (SBIC) investments, and other investments, respectively. |
REVENUE RECOGNITION
REVENUE RECOGNITION | 9 Months Ended |
Sep. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
REVENUE RECOGNITION | REVENUE RECOGNITION The following presents noninterest income, segregated by revenue streams, in-scope and out-of-scope of Topic 606 - Revenue From Contracts With Customers , for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Noninterest income In scope of Topic 606 Deposit service fees $ 648 $ 599 $ 1,607 $ 1,841 Debit card fees 384 138 941 429 Investment commissions — 146 — 685 Other 49 93 157 309 Noninterest income (in-scope of Topic 606) 1,081 976 2,705 3,264 Noninterest income (out-of-scope of Topic 606) 2,873 2,205 8,838 3,922 Total noninterest income $ 3,954 $ 3,181 $ 11,543 $ 7,186 We do not typically enter into long-term revenue contracts with customers. As of September 30, 2020 and December 31, 2019, we did not have any significant contract balances. As of September 30, 2020, we did not capitalize any contract acquisition costs. |
RELATED-PARTY TRANSACTIONS
RELATED-PARTY TRANSACTIONS | 9 Months Ended |
Sep. 30, 2020 | |
Related Party Transactions [Abstract] | |
RELATED-PARTY TRANSACTIONS | RELATED-PARTY TRANSACTIONS Certain of our executive officers and directors, and their related interests, are customers of, or have had transactions with, the Bank in the ordinary course of business, including deposits, loans and other financial services related transactions. From time to time, the Bank may make loans to executive officers and directors, and their related interests, in the ordinary course of business and on substantially the same terms and conditions, including interest rates and collateral, as those of comparable transactions with non-insiders prevailing at the time, in accordance with the Bank’s underwriting guidelines. These loans do not involve more than the normal risk of collectability or present other unfavorable features. As of September 30, 2020, no related party loans were categorized as nonaccrual, past due, restructured, or potential problem loans. Transactions with Related Parties The Company and the Bank have engaged in transactions described below with the Company’s current or former directors, executive officers, and beneficial owners of more than 5 percent of the outstanding shares of the Company’s voting common stock and certain persons related to them. As previously disclosed, the Company’s Board of Directors has authorized and directed the Company to provide indemnification, advancement, and/or reimbursement for the costs of separate, independent counsel retained by any then-current officer or director, in their individual capacity, with respect to matters related to (i) an investigation by the Special Committee of the Company’s Board of Directors, (ii) a formal order of investigation issued by the SEC on January 4, 2017 (since resolved), and (iii) any related civil or administrative proceedings against the Company as well as officers and directors currently or previously associated with the Company (collectively, the “Indemnity Matters”). During the three and nine months ended September 30, 2020, indemnification costs paid by the Company included $298 thousand and $302 thousand incurred by the Company’s former Interim Chief Financial Officer and Chief Strategy Officer, J. Francisco A. Turner. Indemnification costs paid by the Company for the Company's former Chair, President, and Chief Executive Officer, Steven A. Sugarman were $198 thousand for the nine months ended September 30, 2020. Indemnification costs were also paid on behalf of certain current and former executive officers and directors in amounts less than $120 thousand for the three and nine months ended September 30, 2020. During the three and nine months ended September 30, 2019, indemnification costs paid by the Company included $3.5 million and $10.5 million incurred by the Company’s former Chair, President, and Chief Executive Officer, Steven A. Sugarman; and $497 thousand and $646 thousand incurred by the Company's former General Counsel Emeritus John Grosvenor. Indemnification costs for the Company’s former Interim Chief Financial Officer and Chief Strategy Officer, J. Francisco A. Turner and the Company’s former Chief Financial Officer, James J. McKinney were $769 thousand, jointly incurred for the nine months ended September 30, 2019; and $180 thousand for the Bank’s former director, Cynthia Abercrombie for the nine months ended September 30, 2019. Indemnification costs were also paid on behalf of certain current and former executive officers and directors in amounts less than $120 thousand for the three and nine months ended September 30, 2019. |
LITIGATION
LITIGATION | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
LITIGATION | LITIGATION From time to time, we are involved as plaintiff or defendant in various legal actions arising in the normal course of business. In accordance with applicable accounting guidance, we establish an accrued liability when those matters present loss contingencies that are both probable and estimable. We continue to monitor the matters for further developments that could affect the amount of the accrued liability that has been previously established. While the ultimate liability with respect to legal actions cannot be determined at this time, we believe that damages, if any, and other amounts relating to pending matters are not likely to be material to the consolidated financial statements. |
SUBSEQUENT EVENTS
SUBSEQUENT EVENTS | 9 Months Ended |
Sep. 30, 2020 | |
Subsequent Events [Abstract] | |
SUBSEQUENT EVENTS | SUBSEQUENT EVENTS On October 30, 2020, we completed the issuance and sale of $85.0 million aggregate principal amount of 4.375% Fixed-to-Floating Rate Subordinated Notes due 2030 (the “Notes”), at a public offering price equal to 100% of the aggregate principal amount of the Notes. The Notes will mature on October 30, 2030. From and including the issue date to, but excluding, October 30, 2025 or the date of earlier redemption, the Notes will bear interest at an initial fixed rate of 4.375% per annum, payable semi-annually in arrears. From and including October 30, 2025 to, but excluding, the maturity date or the date of earlier redemption, the Notes will bear interest at a floating rate per annum equal to a benchmark rate, which is expected to be Three-Month Term Secured Overnight Financing Rate (SOFR) (as defined in the Indenture), plus a spread. The Notes are subordinated in right of payment to the payment of the Company’s existing and future Senior Debt and structurally subordinated to all of the Company’s subsidiaries’ existing and future indebtedness and other obligations. The Company may, at its option, redeem the Notes in whole or in part on October 30, 2025 and on any interest payment date thereafter. We have evaluated events from the date of the consolidated financial statements on September 30, 2020 through the issuance of these consolidated financial statements included in this Quarterly Report on Form 10-Q. |
SUMMARY OF SIGNIFICANT ACCOUN_2
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation: The accompanying unaudited interim consolidated financial statements have been prepared pursuant to Article 10 of SEC Regulation S-X and other SEC rules and regulations for reporting on the Quarterly Report on Form 10-Q. Accordingly, certain disclosures required by U.S. generally accepted accounting principles (“GAAP”) are not included herein. These interim statements should be read in conjunction with the consolidated financial statements and notes included in the Annual Report on Form 10-K for the year ended December 31, 2019 filed by us with the SEC. The December 31, 2019 consolidated statements of financial condition presented herein has been derived from the audited financial statements included in the Annual Report on Form 10-K for the year ended December 31, 2019 filed with the SEC. |
Reclassification | In the opinion of management of the Company, the accompanying unaudited interim consolidated financial statements reflect all of the adjustments (consisting of normal recurring adjustments) necessary for a fair presentation of the consolidated financial condition and consolidated results of operations as of the dates and for the periods presented. |
Principles of Consolidation | Principles of Consolidation: The accompanying unaudited consolidated financial statements include the accounts of the Company and its consolidated subsidiaries as of September 30, 2020 and December 31, 2019 and for the three and nine months ended September 30, 2020 and 2019. Significant intercompany accounts and transactions have been eliminated in consolidation. Unless the context requires otherwise, all references to the Company include its then wholly-owned subsidiaries. |
Adopted Accounting Pronouncements and Significant Accounting Policies | Adopted Accounting Pronouncements: On January 1, 2020, we adopted Accounting Standards Update (“ASU”) 2016-13, Financial Instruments-Credit Losses (Topic 326) (“ASU 2016-13”), which replaces the incurred loss impairment methodology with a methodology that reflects current expected credit losses (“CECL”) and requires consideration of a broader range of reasonable and supportable information to estimate expected credit losses. The measurement of expected credit losses under the CECL model is applicable to financial assets measured at amortized cost, including loan receivables, held-to-maturity debt securities and off-balance sheet credit exposures. ASU 2016-13 also requires credit losses relating to available-for-sale (“AFS”) debt securities to be recorded through an allowance for credit losses. In addition, ASU 2016-13 modifies the other-than-temporary impairment (“OTTI”) model for AFS debt securities to require an allowance for credit impairment instead of a direct write-down, which allows for reversal of credit impairments in future periods based on improvements in credit quality. We adopted ASU 2016-13 using the modified retrospective method for our financial assets measured at cost, including loans receivable and off-balance sheet credit exposures. Results for reporting periods beginning January 1, 2020 are reported under ASU 2016-13 (or Accounting Standards Codification 326), while prior period results continue to be reported under the previously applicable GAAP. The adoption of ASU 2016-13 . This transition adjustment reflects the development of our models to estimate lifetime expected credit losses on our loans, unfunded commitments, and other off-balance sheet credit exposure primarily using a lifetime loss methodology. The following table presents the impact of adopting ASU 2016-13 on January 1, 2020: ($ in thousands) As Reported Pre- Impact of Assets: Allowance for credit losses - loans Commercial: Commercial and industrial $ 23,015 $ 22,353 $ 662 Commercial real estate 10,788 5,941 4,847 Multifamily 13,214 11,405 1,809 SBA 3,508 3,120 388 Construction 4,009 3,906 103 Consumer: Single family residential mortgage 10,066 10,486 (420) Other consumer 658 438 220 Total 65,258 57,649 7,609 Liabilities: Allowance for credit losses - unfunded loan commitments $ 2,838 $ 4,064 $ (1,226) Significant Accounting Policies: The accounting and reporting policies of the Company are based upon GAAP and conform to predominant practices within the banking industry. We have not made any significant changes in our critical accounting policies from those disclosed in our Annual Report on Form 10-K for the year ended December 31, 2019 filed with the SEC, except for the accounting for loans and the allowance for credit losses, the allowance for credit losses on unfunded loan commitments, troubled debt restructurings, and available-for-sale debt securities as described below. Allowance for Credit Losses (ACL): The ACL is a reserve established through a provision for credit loss expense and represents management’s best estimate of the net amount expected to be collected from loans receivable as of the date of the consolidated statements of financial condition. Confirmed losses are charged against the ACL. Subsequent recoveries, if any, are credited to the ACL. We perform an analysis of the adequacy of the ACL at least quarterly. Management estimates the required ACL balance using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations, estimated collateral values, economic conditions, and other factors. The ACL consists of: (i) a specific allowance established for probable losses on individually identified impaired loans, (ii) a quantitative allowance for current expected loan losses based on the portfolio and expected economic conditions over a reasonable and supportable forecast period that reverts back to long-term trends to cover the life of loan; and (iii) a qualitative allowance to capture factors and trends that are not adequately reflected in the quantitative allowance, including an evaluation of our underwriting, other credit-related processes, and other credit risk factors such as concentration risk. Accrued interest is excluded from our expected credit loss estimates. Expected credit losses are estimated over the contractual term of the loans, adjusted for prepayments, as appropriate. The contractual term excludes expected extensions and renewals unless those extension or renewal options are included in the underlying contract and we do not have the ability to unconditionally cancel. The contractual term also excludes expected modifications unless management has a reasonable expectation, at the reporting period, that a troubled debt restructuring will be executed. A loan is deemed impaired when, based on current information and events, it is probable that we will be unable to collect all amounts due according to the contractual terms of the loan agreement. We measure expected credit losses on all impaired loans individually under the guidance of ASC 326, Receivables , primarily through the evaluation of collateral values and estimated cash flows expected to be collected. Cash receipts on impaired loans for which the accrual of interest has been discontinued are applied first to principal and then to interest income. Loans for which the terms have been modified by granting a concession that normally would not be provided and where the borrower is experiencing financial difficulties are considered troubled debt restructurings (“TDRs”) and classified as impaired. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls, generally, are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. The impairment amount on a collateral dependent loan is generally charged-off to the ACL and the impairment amount on a loan, that is not collateral dependent, is set-up as a specific reserve. TDRs are also measured at the present value of estimated future cash flows using the loan’s effective rate at inception or at the fair value of collateral, less costs to sell, if repayment is expected solely from the collateral. For TDRs that subsequently default, we determine the amount of reserve in accordance with the accounting policy for the ACL. At September 30, 2020, the following loan portfolio segments have been identified: • Commercial and industrial (general commercial and industrial, warehouse lending, and indirect/direct leveraged lending) • Commercial real estate • Multifamily • Small Business Administration (“SBA”) • Construction • SFR - 1st deeds of trust (generally SFR mortgage and other) • Other consumer (HELOC and other) We categorize loans into risk categories based on relevant information about the ability of borrowers to service their obligations such as current financial information, historical payment experience, credit documentation, public information, and current economic trends, among other factors. We analyze loans individually by classifying the loans as to credit risk. Loans secured by multifamily and commercial real estate properties generally involve a greater degree of credit risk than SFR mortgage loans. Because payments on loans secured by multifamily and commercial real estate properties are often dependent on the successful operation or management of the properties, repayment of these loans may be subject to adverse conditions in the real estate market or the economy. Commercial and industrial loans are also considered to have a greater degree of credit risk than SFR mortgage loans due to the fact commercial and industrial loans are typically made on the basis of the borrower’s ability to make repayment from the cash flow of the borrower’s business. As a result, the availability of funds for the repayment of commercial and industrial loans may be substantially dependent on the success of the business itself (which, in turn, is often dependent, in part, upon general economic conditions). SBA loans are similar to commercial and industrial loans, however, they have additional credit enhancement in the form of a guaranty provided by the U.S. Small Business Administration, for up to 85% of the loan amount for loans up to $150 thousand and 75% of the loan amount for loans of more than $150 thousand. SBA loans originated as part of the Paycheck Protection Program (“PPP”) established by the Coronavirus Aid, Relief, and Economic Security Act (“CARES Act”) have additional credit enhancement provided by the U.S. Small Business Administration for up to 100% of the loan amount. As of September 30, 2020, PPP loans totaled $255.8 million, net of $4.1 million in unamortized fees which are being amortized over their estimated life. During the three months ended September 30, 2020, the Company extended its estimate for the average life of our PPP loans to twelve months from nine months. The twelve month estimated life of PPP loans is based on our understanding of our clients' cash use, expected forgiveness probability, and loan forgiveness process. The availability of funds for the repayment of financing may be substantially dependent on the success of the business itself which is often dependent, in part, upon general economic conditions. Consumer loans may have greater risk than SFR mortgage loans given that collection of these loans is dependent on the borrower’s continuing financial stability and, thus, are more likely to be adversely affected by job loss, divorce, illness, or personal bankruptcy. Green Loans are considered to carry a higher degree of credit risk due to their unique cash flows. Credit risk on this asset class is also managed through the completion of regular third party automated valuation models (“AVMs”) of the underlying collateral and monitoring of the borrower’s usage of this account to determine if the borrower is making monthly payments from external sources or “drawdowns” on their line. In cases where the property values have declined to levels less than the original loan to value (“LTV”) ratios, or other levels deemed prudent by us, we may curtail the line and/or require monthly payments or principal reductions to bring the loan in balance. On interest only loans, we project future payment changes to determine if there will be a material increase in the required payment and then monitor the loans for possible delinquency. Individual loans are monitored for possible downgrading of risk rating. Troubled Debt Restructurings: A loan is identified as a TDR when a borrower is experiencing financial difficulties and, for economic or legal reasons related to these difficulties, we grant a concession to the borrower in the restructuring that we would not otherwise consider. We have granted a concession when, as a result of the restructuring to a troubled borrower, we do not expect to collect all amounts due, including principal and/or interest accrued at the original terms of the loan. The concessions may be granted in various forms, including a below-market change in the stated interest rate, a reduction in the loan balance or accrued interest, an extension of the maturity date, or a note split with principal forgiveness. In order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on any of its debt in the foreseeable future without the modification. This evaluation is performed under our internal underwriting policy. Loans for which the borrower has been discharged under Chapter 7 bankruptcy are considered collateral dependent TDRs, impaired at the date of discharge, and charged down to the fair value of collateral less cost to sell. A restructuring executed at an interest rate that is at market interest rates based on the current credit characteristics of the borrower is not a TDR. Our policy is to place consumer loan TDRs, except those that were performing prior to TDR status, on nonaccrual status for a minimum period of 6 months. Commercial TDRs are evaluated on a case-by-case basis for determination of whether or not to place them on nonaccrual status. Loans qualify for return to accrual status once they have demonstrated performance under the restructured terms of the loan for a minimum of 6 months. Initially, all TDRs are reported as impaired. Generally, TDRs are classified as impaired loans and reported as TDRs for the remaining life of the loan. Impaired and TDR classification may be removed if the borrower demonstrates compliance with the modified terms for a minimum of 6 months, through one fiscal year-end and the restructuring agreement specifies a market rate of interest equal to that which would be provided to a borrower with similar credit at the time of restructuring. In the limited circumstance that a loan is removed from TDR classification, it is our policy to continue to base our measure of loan impairment on the contractual terms specified by the loan agreement. Troubled Debt Restructuring (TDR) Relief: Under U.S. GAAP, banks are required to assess modifications to a loan’s terms for potential classification as a TDR. A loan to a borrower experiencing financial difficulty is classified as a TDR when a lender grants a concession that it would otherwise not consider, such as a payment deferral or interest concession. In order to encourage banks to work with impacted borrowers, the CARES Act and U.S. banking regulatory agencies have provided relief from TDR accounting on loans which qualify under section 4013 of the CARES Act or the “Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus” on March 22, 2020 and revised April 7, 2020. The main provisions of TDR relief include 1) a capital provision in the form of reduced risk-weighted assets, as TDRs are more heavily risk-weighted for capital purposes; 2) a delinquency status provision, as the aging of loans are frozen, i.e., they will continue to be reported in the same delinquency status they were in at the time of modification; and 3) a nonaccrual status provision as the loans are generally not reported as nonaccrual or TDRs during the modification period. Reserve for Unfunded Loan Commitments: The reserve for unfunded loan commitments provides for estimated credit losses for the unused portion of lending commitments expected to be funded, except for unconditionally cancellable commitments for which no reserve is required under ASC 326. The reserve for unfunded loan commitments includes factors that are consistent with the ACL methodology for loans using the expected loss factors and a draw down factor applied to the underlying borrower risk and facility grades. Changes in the reserve for unfunded loan commitments are reported as a component of provision for credit losses in the consolidated statements of operations and the reserve for unfunded loan commitments is included in accrued expenses and other liabilities in the consolidated statements of financial condition. Available-for-Sale Debt Securities: Available-for-sale debt securities are analyzed for credit losses under ASC 326, which requires the Company to determine whether impairment exists as of the reporting date and whether that impairment is due to credit losses. An allowance for credit losses is established for losses on available-for-sale debt securities due to credit losses and is reported as a component of provision for credit losses. Accrued interest is excluded from our expected credit loss estimates. Available-for-sale debt securities are typically classified as nonaccrual when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about the further collectability of principal or interest. When available-for-sale debt securities are placed on nonaccrual status, unpaid interest recognized as interest income is reversed. Recent Accounting Guidance, Not Yet Effective: In December 2019, the Financial Accounting Standards Board (“FASB”) issued ASU 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes (“ASU 2019-12”). The amendments in ASU 2019-12 simplify the accounting for income taxes by removing certain exceptions for investments, intra-period allocations, and interim calculations, and adding guidance to reduce the complexity of applying Topic 740. ASU 2019-12 will be effective for fiscal years and interim periods within those fiscal years beginning after December 15, 2020. We will adopt this guidance on January 1, 2021. We do not expect that the adoption of these amendments will have a material effect on our consolidated financial statements. In March 2020, the Financial Accounting Standards Board FASB issued ASU 2020-04, Reference Rate Reform (Topic 848) , which provides optional guidance, for a limited period of time, to ease the potential burden in accounting for (or recognizing the |
Use of Estimates in the Preparation of Financial Statements | Use of Estimates in the Preparation of Financial Statements: The preparation of financial statements, in conformity with GAAP, requires management to make estimates and assumptions based on available information. These estimates and assumptions affect the amounts reported in the consolidated financial statements and disclosures provided, and actual results could differ. The ACL, reserve for loss on repurchased loans, reserve for unfunded loan commitments, realization of deferred tax assets, the valuation of goodwill and other intangible assets, mortgage banking, other derivatives, Hypothetical Liquidation at Book Value (“HLBV”) of investments in alternative energy partnerships, and the fair value measurement of financial instruments are particularly subject to change and such change could have a material effect on the consolidated financial statements. |
SUMMARY OF SIGNIFICANT ACCOUN_3
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Accounting Policies [Abstract] | |
Impact of Adopting ASU 2016-13 | The following table presents the impact of adopting ASU 2016-13 on January 1, 2020: ($ in thousands) As Reported Pre- Impact of Assets: Allowance for credit losses - loans Commercial: Commercial and industrial $ 23,015 $ 22,353 $ 662 Commercial real estate 10,788 5,941 4,847 Multifamily 13,214 11,405 1,809 SBA 3,508 3,120 388 Construction 4,009 3,906 103 Consumer: Single family residential mortgage 10,066 10,486 (420) Other consumer 658 438 220 Total 65,258 57,649 7,609 Liabilities: Allowance for credit losses - unfunded loan commitments $ 2,838 $ 4,064 $ (1,226) |
FAIR VALUES OF FINANCIAL INST_2
FAIR VALUES OF FINANCIAL INSTRUMENTS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value Assets Measured on a Recurring Basis | The following table presents our financial assets and liabilities measured at fair value on a recurring basis as of the dates indicated: Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs September 30, 2020 Assets Securities available-for-sale: SBA loan pools securities $ 17,807 $ — $ 17,807 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 107,431 — 107,431 — U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 218,396 — 218,396 — Municipal securities 69,233 — 69,233 — Non-agency residential mortgage-backed securities 163 — 163 — Collateralized loan obligations 685,931 — 685,931 — Corporate debt securities 146,906 — 146,906 — Loans held-for-sale, carried at fair value 1,849 — 466 1,383 Derivative assets: Interest rate swaps and caps (1) 8,163 — 8,163 — Foreign exchange contracts (1) 45 — 45 — Liabilities Derivative liabilities: Interest rate swaps and caps (2) 8,749 — 8,749 — Foreign exchange contracts (2) 14 — 14 — December 31, 2019 Assets Securities available-for-sale: U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities $ 36,456 $ — $ 36,456 $ — U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 91,299 — 91,299 — Municipal securities 52,689 — 52,689 — Non-agency residential mortgage-backed securities 196 — 196 — Collateralized loan obligations 718,361 — 718,361 — Corporate debt securities 13,579 — 13,579 — Loans held-for-sale, carried at fair value 22,642 — 3,409 19,233 Derivative assets: Interest rate swaps and caps (1) 3,445 — 3,445 — Foreign exchange contracts (1) 138 — 138 — Liabilities Derivative liabilities: Interest rate swaps and caps (2) 3,717 — 3,717 — Foreign exchange contracts (2) 136 — 136 — (1) Included in other assets in the Consolidated Statements of Financial Condition. (2) Included in accrued expenses and other liabilities in the Consolidated Statements of Financial Condition. |
Fair Value Liabilities Measured on a Recurring Basis | The following table presents our financial assets and liabilities measured at fair value on a recurring basis as of the dates indicated: Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs September 30, 2020 Assets Securities available-for-sale: SBA loan pools securities $ 17,807 $ — $ 17,807 $ — U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 107,431 — 107,431 — U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 218,396 — 218,396 — Municipal securities 69,233 — 69,233 — Non-agency residential mortgage-backed securities 163 — 163 — Collateralized loan obligations 685,931 — 685,931 — Corporate debt securities 146,906 — 146,906 — Loans held-for-sale, carried at fair value 1,849 — 466 1,383 Derivative assets: Interest rate swaps and caps (1) 8,163 — 8,163 — Foreign exchange contracts (1) 45 — 45 — Liabilities Derivative liabilities: Interest rate swaps and caps (2) 8,749 — 8,749 — Foreign exchange contracts (2) 14 — 14 — December 31, 2019 Assets Securities available-for-sale: U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities $ 36,456 $ — $ 36,456 $ — U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 91,299 — 91,299 — Municipal securities 52,689 — 52,689 — Non-agency residential mortgage-backed securities 196 — 196 — Collateralized loan obligations 718,361 — 718,361 — Corporate debt securities 13,579 — 13,579 — Loans held-for-sale, carried at fair value 22,642 — 3,409 19,233 Derivative assets: Interest rate swaps and caps (1) 3,445 — 3,445 — Foreign exchange contracts (1) 138 — 138 — Liabilities Derivative liabilities: Interest rate swaps and caps (2) 3,717 — 3,717 — Foreign exchange contracts (2) 136 — 136 — (1) Included in other assets in the Consolidated Statements of Financial Condition. (2) Included in accrued expenses and other liabilities in the Consolidated Statements of Financial Condition. |
Reconciliation of Assets Measured at Fair Value on Recurring Basis | The following table presents a reconciliation of assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Loans repurchased from GNMA Loan Pools Balance at beginning of period $ 16,685 $ 21,075 $ 19,233 $ 25,040 Total gains (losses) (realized/unrealized): Included in earnings—fair value adjustment 18 2 (1,351) (1) Additions — 406 — 406 Sales, settlements, and other (15,320) (978) (16,499) (4,940) Balance at end of period $ 1,383 $ 20,505 $ 1,383 $ 20,505 |
Fair value option of certain assets | The following table presents the fair value and aggregate principal balance of certain assets under the fair value option: September 30, 2020 December 31, 2019 ($ in thousands) Fair Value Unpaid Principal Balance Difference Fair Value Unpaid Principal Balance Difference Loans held-for-sale, carried at fair value: Total loans $ 1,849 $ 2,149 $ (300) $ 22,642 $ 23,455 $ (813) Nonaccrual loans (1) 651 750 (99) 8,125 8,370 (245) (1) Includes loans guaranteed by the U.S. government of $0.2 million and $6.7 million at September 30, 2020 and December 31, 2019. Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Net gains (losses) from fair value changes: Fair value adjustment for loans held-for-sale $ 24 $ 17 $ (1,537) $ 77 |
Schedule of Assets and Liabilities Measured on Non-recurring Basis | The following table presents our financial assets and liabilities measured at fair value on a non-recurring basis as of the dates indicated: Fair Value Measurement Level ($ in thousands) Carrying Value Quoted Prices in Active Markets for Identical Assets Significant Other Observable Inputs Significant Unobservable Inputs September 30, 2020 Assets Impaired loans: Single family residential mortgage $ 1,881 $ — $ — $ 1,881 Commercial and industrial 17,015 — — 17,015 SBA 3,299 — — 3,299 December 31, 2019 Assets Impaired loans: Single family residential mortgage $ 3,678 $ — $ — $ 3,678 Commercial and industrial 15,409 — — 15,409 SBA 1,711 — — 1,711 |
Schedule of Gains and (Losses) Recognized on Assets Measured at Fair Value on Non-recurring Basis | The following table presents the losses recognized on assets measured at fair value on a non-recurring basis for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Impaired loans: Single family residential mortgage $ (191) $ — $ (722) $ (490) Commercial and industrial (3,106) — (11,620) — SBA (1,534) — (3,078) (46) Other consumer — — (4) (88) |
Carrying Amounts and Estimated Fair Values of Financial Instruments | Estimated Fair Values of Financial Instruments The following table presents the carrying amounts and estimated fair values of financial assets and liabilities as of the dates indicated: Carrying Amount Fair Value Measurement Level ($ in thousands) Level 1 Level 2 Level 3 Total September 30, 2020 Financial assets Cash and cash equivalents $ 292,490 $ 292,490 $ — $ — $ 292,490 Securities available-for-sale 1,245,867 — 1,245,867 — 1,245,867 Federal Home Loan Bank and other bank stock 44,809 — 44,809 — 44,809 Loans held-for-sale, carried at fair value 1,849 — 466 1,383 1,849 Loans receivable, net of allowance for loan losses 5,587,075 — — 5,716,880 5,716,880 Accrued interest receivable 32,416 32,416 — — 32,416 Derivative assets 8,208 — 8,208 — 8,208 Financial liabilities Deposits 6,032,266 — — 6,035,348 6,035,348 Advances from Federal Home Loan Bank 559,482 — 608,081 — 608,081 Long-term debt 173,623 — 180,924 — 180,924 Derivative liabilities 8,763 — 8,763 — 8,763 Accrued interest payable 6,156 6,156 — — 6,156 December 31, 2019 Financial assets Cash and cash equivalents $ 373,472 $ 373,472 $ — $ — $ 373,472 Securities available-for-sale 912,580 — 912,580 — 912,580 Federal Home Loan Bank and other bank stock 59,420 — 59,420 — 59,420 Loans held-for-sale 22,642 — 3,409 19,233 22,642 Loans receivable, net of allowance for credit losses 5,894,236 — — 5,894,732 5,894,732 Accrued interest receivable 24,523 24,523 — — 24,523 Derivative assets 3,583 — 3,583 — 3,583 Financial liabilities Deposits 5,427,167 — — 5,430,536 5,430,536 Advances from Federal Home Loan Bank 1,195,000 — 1,222,709 — 1,222,709 Long-term debt 173,421 — 180,213 — 180,213 Derivative liabilities 3,853 — 3,853 — 3,853 Accrued interest payable 4,687 4,687 — — 4,687 |
INVESTMENT SECURITIES (Tables)
INVESTMENT SECURITIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
Summary of Amortized Cost and Fair Value of Available-for-Sale Investment Securities | The following table presents the amortized cost and fair value of the investment securities portfolio as of the dates indicated: ($ in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value September 30, 2020 Securities available-for-sale: SBA loan pool securities $ 17,853 $ 3 $ (49) $ 17,807 U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities 99,862 7,569 — 107,431 U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 216,250 2,182 (36) 218,396 Municipal securities 64,373 4,890 (30) 69,233 Non-agency residential mortgage-backed securities 159 4 — 163 Collateralized loan obligations 703,605 — (17,674) 685,931 Corporate debt securities 141,968 5,220 (282) 146,906 Total securities available-for-sale $ 1,244,070 $ 19,868 $ (18,071) $ 1,245,867 December 31, 2019 Securities available-for-sale: U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities $ 37,613 $ — $ (1,157) $ 36,456 U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 91,543 16 (260) 91,299 Municipal securities 52,997 51 (359) 52,689 Non-agency residential mortgage-backed securities 191 5 — 196 Collateralized loan obligations 733,605 — (15,244) 718,361 Corporate debt securities 13,500 79 — 13,579 Total securities available-for-sale $ 929,449 $ 151 $ (17,020) $ 912,580 |
Proceeds from Sales and Calls of Securities and Associated Gross Gains and Losses | The following table presents proceeds from sales and calls of securities available-for-sale and the associated gross gains and losses realized through earnings upon the sales and calls of securities available-for-sale for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Gross realized gains on sales and calls of securities available-for-sale $ — $ 71 $ 2,011 $ 279 Gross realized losses on sales and calls of securities available-for-sale — (5,134) — (5,134) Net realized (losses) gains on sales and calls of securities available-for-sale $ — $ (5,063) $ 2,011 $ (4,855) Proceeds from sales and calls of securities available-for-sale $ — $ 43,252 $ 52,727 $ 861,008 |
Summary of Investment Securities with Unrealized Losses | The following table summarizes the investment securities with unrealized losses by security type and length of time in a continuous, unrealized loss position as of the dates indicated: Less Than 12 Months 12 Months or Longer Total ($ in thousands) Fair Gross Unrealized Losses Fair Gross Unrealized Losses Fair Gross Unrealized Losses September 30, 2020 Securities available-for-sale: SBA loan pool securities $ 13,351 $ (49) $ — $ — $ 13,351 $ (49) U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 10,153 (36) — — 10,153 (36) Municipal securities 11,381 (30) — — 11,381 (30) Collateralized loan obligations 64,372 (628) 621,559 (17,046) 685,931 (17,674) Corporate debt securities 17,218 (282) — — 17,218 (282) Total securities available-for-sale $ 116,475 $ (1,025) $ 621,559 $ (17,046) $ 738,034 $ (18,071) December 31, 2019 Securities available-for-sale: U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities $ 35,872 $ (1,157) $ — $ — $ 35,872 $ (1,157) U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 73,379 (260) — — 73,379 (260) Municipal securities 31,723 (359) — — 31,723 (359) Collateralized loan obligations 49,553 (447) 668,808 (14,797) 718,361 (15,244) Total securities available-for-sale $ 190,527 $ (2,223) $ 668,808 $ (14,797) $ 859,335 $ (17,020) |
Composition, Repricing and Yield Information of Investment Securities Portfolio | The following table presents the fair value and yield information of the investment securities portfolio, based on the earlier of maturity dates or next repricing date, as of September 30, 2020: One year or less More than One Year through Five Years More than Five Years through Ten Years More than Ten Years Total ($ in thousands) Fair Weighted-Average Yield Fair Weighted-Average Yield Fair Weighted-Average Yield Fair Weighted-Average Yield Fair Weighted-Average Yield Securities available-for-sale: SBA loan pool securities $ 17,807 1.79 % $ — — % $ — — % $ — — % $ 17,807 1.79 % U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities — — % — — % 30,575 2.20 % 76,856 2.35 % 107,431 2.31 % U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations 117,175 0.71 % 11,499 2.01 % 44,743 1.38 % 44,979 0.39 % 218,396 0.85 % Municipal securities — — % — — % 9,526 2.60 % 59,707 2.62 % 69,233 2.62 % Non-agency residential mortgage-backed securities — — % — — % — — % 163 6.35 % 163 6.35 % Collateralized loan obligations 685,931 1.91 % — — % — — % — — % 685,931 1.91 % Corporate debt securities — — % 129,960 5.01 % 16,946 5.73 % — — % 146,906 5.08 % Total securities available-for-sale $ 820,913 1.74 % $ 141,459 4.77 % $ 101,790 2.41 % $ 181,705 1.93 % $ 1,245,867 2.16 % |
LOANS AND ALLOWANCE FOR CREDI_2
LOANS AND ALLOWANCE FOR CREDIT LOSSES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Receivables [Abstract] | |
Loans and Leases Receivable | The following table presents the balances in our loan portfolio as of the dates indicated: ($ in thousands) September 30, December 31, Commercial: Commercial and industrial $ 1,586,824 $ 1,691,270 Commercial real estate 826,683 818,817 Multifamily 1,476,803 1,494,528 SBA (1) 320,573 70,981 Construction 197,629 231,350 Consumer: Single family residential mortgage 1,234,479 1,590,774 Other consumer 35,011 54,165 Total loans (2) $ 5,678,002 $ 5,951,885 Allowance for loan losses (90,927) (57,649) Loans receivable, net $ 5,587,075 $ 5,894,236 (1) Includes 1,128 PPP loans totaling $255.8 million, net of unamortized loan fees totaling $4.1 million at September 30, 2020. (2) Includes net deferred loan origination costs/(fees) and premiums/(discounts) of $6.2 million and $14.3 million at September 30, 2020 and December 31, 2019. |
Risk Categories for Loans and Leases | The following table presents the risk categories for total loans by class of loans and origination year as of September 30, 2020: Term Loans Amortized Cost Basis by Origination Year ($ in thousands) 2020 2019 2018 2017 2016 Prior Revolving Loans Amortized Cost Basis Revolving Loans Amortized Cost Basis Total September 30, 2020 Commercial: Commercial and industrial Pass $ 78,237 $ 103,445 $ 65,134 $ 62,783 $ 47,497 $ 98,676 $ 1,053,219 $ 10,546 $ 1,519,537 Special mention — 473 4,605 — — 1,367 — — 6,445 Substandard 1,332 13,946 1,204 4,650 11,224 9,420 13,803 4,669 60,248 Doubtful — — — — — — 594 — 594 Commercial and industrial 79,569 117,864 70,943 67,433 58,721 109,463 1,067,616 15,215 1,586,824 Commercial real estate Pass 30,740 152,605 214,445 68,904 100,223 193,518 5,791 31,191 797,417 Special mention — 1,857 9,512 — — 5,943 — — 17,312 Substandard — — — — — 11,954 — — 11,954 Doubtful — — — — — — — — — Commercial real estate 30,740 154,462 223,957 68,904 100,223 211,415 5,791 31,191 826,683 Multifamily Pass 216,104 420,664 318,417 233,685 108,405 176,740 — — 1,474,015 Special mention — — — — — 803 — — 803 Substandard — — — — — 1,985 — — 1,985 Doubtful — — — — — — — — — Multifamily 216,104 420,664 318,417 233,685 108,405 179,528 — — 1,476,803 SBA Pass 256,444 15,949 1,327 4,258 11,855 19,136 3,021 445 312,435 Special mention — — — 219 417 914 — 6 1,556 Substandard — — — 1,722 701 1,260 304 1,185 5,172 Doubtful — — 391 — — 632 — 387 1,410 SBA 256,444 15,949 1,718 6,199 12,973 21,942 3,325 2,023 320,573 Construction Pass 31,662 30,008 45,230 70,171 — — — — 177,071 Special mention — — 13,733 667 6,158 — — — 20,558 Substandard — — — — — — — — — Doubtful — — — — — — — — — Construction 31,662 30,008 58,963 70,838 6,158 — — — 197,629 Consumer: Single family residential mortgage Pass 29,067 155,695 294,764 178,386 264,039 254,219 17,548 — 1,193,718 Special mention — — 1,842 668 4,589 5,249 — — 12,348 Substandard — 1,040 493 1,018 5,394 20,468 — — 28,413 Doubtful — — — — — — — — — Single family residential mortgage 29,067 156,735 297,099 180,072 274,022 279,936 17,548 — 1,234,479 Other consumer Pass 43 — 60 — — 1,929 29,453 2,326 33,811 Special mention — — 20 — — 31 314 — 365 Substandard — — — — — 480 279 76 835 Doubtful — — — — — — — — — Other consumer 43 — 80 — — 2,440 30,046 2,402 35,011 Total loans $ 643,629 $ 895,682 $ 971,177 $ 627,131 $ 560,502 $ 804,724 $ 1,124,326 $ 50,831 $ 5,678,002 The following table presents the risk categories for total loans by class of loans as of December 31, 2019: ($ in thousands) Pass Special Mention Substandard Doubtful Total December 31, 2019 Commercial: Commercial and industrial $ 1,580,269 $ 45,323 $ 65,678 $ — $ 1,691,270 Commercial real estate 813,846 2,532 2,439 — 818,817 Multifamily 1,484,931 4,256 5,341 — 1,494,528 SBA 60,982 2,760 5,621 1,618 70,981 Construction 229,771 1,579 — — 231,350 Consumer: Single family residential mortgage 1,559,253 10,735 20,269 517 1,590,774 Other consumer 53,331 346 488 — 54,165 Total $ 5,782,383 $ 67,531 $ 99,836 $ 2,135 $ 5,951,885 |
Aging of Recorded Investment in Past Due Loans and Leases | The following table presents the aging of the recorded investment in past due loans, excluding accrued interest receivable (which is not considered to be material), by class of loans as of the dates indicated: ($ in thousands) 30 - 59 Days Past Due 60 - 89 Days Past Due Greater than 89 Days Past due Total Past Due Current Total September 30, 2020 Non-Traditional Mortgage (NTM) loans: Single family residential mortgage $ 8,344 $ 1,080 $ 19,004 $ 28,428 $ 438,460 $ 466,888 Other consumer — — — — 1,608 1,608 Total NTM loans 8,344 1,080 19,004 28,428 440,068 468,496 Traditional loans: Commercial: Commercial and industrial 142 18 5,641 5,801 1,581,023 1,586,824 Commercial real estate — — — — 826,683 826,683 Multifamily — 803 — 803 1,476,000 1,476,803 SBA 845 910 2,535 4,290 316,283 320,573 Construction — — — — 197,629 197,629 Consumer: Single family residential mortgage 33,387 4,628 4,629 42,644 724,947 767,591 Other consumer 846 226 — 1,072 32,331 33,403 Total traditional loans 35,220 6,585 12,805 54,610 5,154,896 5,209,506 Total $ 43,564 $ 7,665 $ 31,809 $ 83,038 $ 5,594,964 $ 5,678,002 December 31, 2019 NTM loans: Single family residential mortgage $ 3,973 $ 3,535 $ 13,019 $ 20,527 $ 577,830 $ 598,357 Other consumer — — — — 2,299 2,299 Total NTM loans 3,973 3,535 13,019 20,527 580,129 600,656 Traditional loans: Commercial: Commercial and industrial 780 5,670 3,862 10,312 1,680,958 1,691,270 Commercial real estate — — — — 818,817 818,817 Multifamily — — — — 1,494,528 1,494,528 SBA 586 842 2,152 3,580 67,401 70,981 Construction — — — — 231,350 231,350 Consumer: Single family residential mortgage 13,752 3,496 5,606 22,854 969,563 992,417 Other consumer 199 40 95 334 51,532 51,866 Total traditional loans 15,317 10,048 11,715 37,080 5,314,149 5,351,229 Total $ 19,290 $ 13,583 $ 24,734 $ 57,607 $ 5,894,278 $ 5,951,885 |
Composition of Nonaccrual Loans and Leases | The following table presents nonaccrual loans as of the dates indicated: September 30, 2020 December 31, 2019 ($ in thousands) NTM Loans Traditional Loans Total Nonaccrual Loans with no ACL NTM Loans Traditional Loans Total Nonaccrual Loans with no ACL Nonaccrual loans Commercial: Commercial and industrial $ — $ 28,042 $ 28,042 $ 11,027 $ — $ 19,114 $ 19,114 $ 337 Commercial real estate — 6,471 6,471 6,471 — — — — SBA — 4,919 4,919 1,621 — 5,230 5,230 1,474 Construction — — — — — — — — Consumer: Single family residential mortgage 20,619 5,648 26,267 24,385 13,019 5,606 18,625 14,373 Other consumer — 638 638 638 — 385 385 380 Total nonaccrual loans $ 20,619 $ 45,718 $ 66,337 $ 44,142 $ 13,019 $ 30,335 $ 43,354 $ 16,564 |
Allowance for Loan and Lease Losses and Recorded Investment, Excluding Accrued Interest, in Loans | The following table presents a summary of activity in the ACL for the periods indicated: Three Months Ended September 30, ($ in thousands) 2020 2019 Allowance Reserve for Unfunded Loan Commitments Allowance Allowance Reserve for Unfunded Loan Commitments Allowance Balance at beginning of period $ 90,370 $ 4,195 $ 94,565 $ 59,523 $ 4,295 $ 63,818 Loans charged off (1,821) — (1,821) (35,546) — (35,546) Recoveries of loans previously charged off 248 — 248 410 — 410 Net charge-offs (1,573) — (1,573) (35,136) — (35,136) Provision for (reversal of) credit losses 2,130 (989) 1,141 38,540 67 38,607 Balance at end of period $ 90,927 $ 3,206 $ 94,133 $ 62,927 $ 4,362 $ 67,289 Nine Months Ended September 30, ($ in thousands) 2020 2019 Allowance Reserve for Unfunded Loan Commitments Allowance Allowance Reserve for Unfunded Loan Commitments Allowance Balance at beginning of period $ 57,649 $ 4,064 $ 61,713 $ 62,192 $ 4,622 $ 66,814 Impact of adopting ASU 2016-13 7,609 (1,226) 6,383 — — — Loans charged off (3,897) — (3,897) (39,060) — (39,060) Recoveries of loans previously charged off 1,206 — 1,206 730 — 730 Net charge-offs (2,691) — (2,691) (38,330) — (38,330) Provision for (reversal of) credit losses 28,360 368 28,728 39,065 (260) 38,805 Balance at end of period $ 90,927 $ 3,206 $ 94,133 $ 62,927 $ 4,362 $ 67,289 The following table presents the activity and balance in the ALL and the recorded investment, excluding accrued interest, in loans based on the impairment methodology as of or for the three and nine months ended September 30, 2020: ($ in thousands) Commercial and Industrial Commercial Real Estate Multifamily SBA Construction Single Family Residential Mortgage Other Consumer Total ALL: Balance at June 30, 2020 $ 26,618 $ 17,372 $ 25,105 $ 4,184 $ 6,675 $ 9,665 $ 751 $ 90,370 Charge-offs (1,597) — — (224) — — — (1,821) Recoveries 116 — — 132 — — — 248 Net charge-offs (1,481) — — (92) — — — (1,573) Provision for (reversal of) credit losses 1,454 2,001 454 (535) (470) (689) (85) 2,130 Balance at September 30, 2020 $ 26,591 $ 19,373 $ 25,559 $ 3,557 $ 6,205 $ 8,976 $ 666 $ 90,927 Balance at December 31, 2019 $ 22,353 $ 5,941 $ 11,405 $ 3,120 $ 3,906 $ 10,486 $ 438 $ 57,649 Impact of adopting ASC 326 662 4,847 1,809 388 103 (420) 220 7,609 Charge-offs (2,761) — — (580) — (552) (4) (3,897) Recoveries 265 — — 253 — 639 49 1,206 Net (charge-offs) recoveries (2,496) — — (327) — 87 45 (2,691) Provision for (reversal of) credit losses 6,072 8,585 12,345 376 2,196 (1,177) (37) 28,360 Balance at September 30, 2020 $ 26,591 $ 19,373 $ 25,559 $ 3,557 $ 6,205 $ 8,976 $ 666 $ 90,927 Individually evaluated for impairment $ 11,162 $ — $ — $ 2,409 $ — $ 191 $ — $ 13,762 Collectively evaluated for impairment 15,429 19,373 25,559 1,148 6,205 8,785 666 77,165 Total ending ALL balance $ 26,591 $ 19,373 $ 25,559 $ 3,557 $ 6,205 $ 8,976 $ 666 $ 90,927 Loans: Individually evaluated for impairment $ 28,475 $ 6,471 $ — $ 4,865 $ — $ 31,055 $ 638 $ 71,504 Collectively evaluated for impairment 1,558,349 820,212 1,476,803 315,708 197,629 1,203,424 34,373 5,606,498 Total ending loan balances $ 1,586,824 $ 826,683 $ 1,476,803 $ 320,573 $ 197,629 $ 1,234,479 $ 35,011 $ 5,678,002 The following table presents the activity and balance in the ALL and the recorded investment, excluding accrued interest, in loans based on the impairment methodology as of or for the three and nine months ended September 30, 2019: ($ in thousands) Commercial and Industrial Commercial Real Estate Multifamily SBA Construction Lease Financing Single Family Residential Mortgage Other Consumer Total ALL: Balance at June 30, 2019 $ 21,529 $ 6,877 $ 12,625 $ 3,120 $ 3,715 $ — $ 11,072 $ 585 $ 59,523 Charge-offs (34,673) — — (738) — — (135) — (35,546) Recoveries 59 — — 50 — 3 — 298 410 Net (charge-offs) recoveries (34,614) — — (688) — 3 (135) 298 (35,136) Provision (reversal) 37,660 (298) (660) 1,686 165 (3) 342 (352) 38,540 Balance at September 30, 2019 $ 24,575 $ 6,579 $ 11,965 $ 4,118 $ 3,880 $ — $ 11,279 $ 531 $ 62,927 Balance at December 31, 2018 $ 18,191 $ 6,674 $ 17,970 $ 1,827 $ 3,461 $ — $ 13,128 $ 941 $ 62,192 Charge-offs (36,788) — (6) (1,086) — — (1,086) (94) (39,060) Recoveries 103 — — 151 — 9 150 317 730 Net (charge-offs) recoveries (36,685) — (6) (935) — 9 (936) 223 (38,330) Provision (reversal) 43,069 (95) (5,999) 3,226 419 (9) (913) (633) 39,065 Balance at September 30, 2019 $ 24,575 $ 6,579 $ 11,965 $ 4,118 $ 3,880 $ — $ 11,279 $ 531 $ 62,927 Individually evaluated for impairment $ 4,614 $ — $ — $ 2,858 $ — $ — $ — $ 21 $ 7,493 Collectively evaluated for impairment 19,961 6,579 11,965 1,260 3,880 — 11,279 510 55,434 Total ending ALL balance $ 24,575 $ 6,579 $ 11,965 $ 4,118 $ 3,880 $ — $ 11,279 $ 531 $ 62,927 Loans: Individually evaluated for impairment $ 22,042 $ — $ — $ 5,696 $ 2,519 $ — $ 20,641 $ 822 $ 51,720 Collectively evaluated for impairment 1,767,436 891,029 1,563,757 69,663 226,042 — 1,755,312 58,300 6,331,539 Total ending loan balances $ 1,789,478 $ 891,029 $ 1,563,757 $ 75,359 $ 228,561 $ — $ 1,775,953 $ 59,122 $ 6,383,259 |
Loans and Leases Individually Evaluated for Impairment by Class of Loans and Leases | The following table presents loans individually evaluated for impairment by class of loans as of the dates indicated. The recorded investment, excluding accrued interest, presents customer balances net of any partial charge-offs recognized on the loans and net of any deferred fees and costs and any purchase premium or discount. September 30, 2020 December 31, 2019 ($ in thousands) Unpaid Principal Balance Recorded Investment Allowance for Loan Losses Unpaid Principal Balance Recorded Investment Allowance for Loan Losses With no related ALL recorded: Commercial: Commercial and industrial $ 11,533 $ 11,460 $ — $ 1,471 $ 1,460 $ — Commercial real estate 6,741 6,471 — — — — SBA 1,622 1,566 — 1,439 1,379 — Consumer: Single family residential mortgage 29,048 29,174 — 19,319 19,405 — Other consumer 1,093 638 — 671 675 — With an ALL recorded: Commercial: Commercial and industrial 17,020 17,015 11,162 18,776 18,776 3,367 SBA 3,482 3,299 2,409 3,921 3,757 2,045 Consumer: Single family residential mortgage 1,869 1,881 191 4,213 4,252 574 Other consumer — — — 4 4 4 Total $ 72,408 $ 71,504 $ 13,762 $ 49,814 $ 49,708 $ 5,990 The following table presents information on impaired loans, disaggregated by class, for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized Average Recorded Investment Interest Income Recognized Cash Basis Interest Recognized September 30, 2020 Commercial: Commercial and industrial $ 22,016 $ 10 $ 11 $ 24,973 $ 47 $ 50 Commercial real estate 6,593 — — 4,859 — — SBA 5,235 3 3 5,274 9 10 Consumer: Single family residential mortgage 31,457 72 20 31,432 182 99 Other consumer 1,775 — — 1,492 3 3 Total $ 67,076 $ 85 $ 34 $ 68,030 $ 241 $ 162 September 30, 2019 Commercial: Commercial and industrial $ 22,619 $ 40 $ 32 $ 16,154 $ 295 $ 286 Commercial real estate — — — 193 — — SBA 5,843 4 4 4,328 12 12 Construction 2,519 — — 2,519 — — Consumer: Single family residential mortgage 20,706 59 53 20,374 175 150 Other consumer 827 3 4 950 10 10 Total $ 52,514 $ 106 $ 93 $ 44,518 $ 492 $ 458 |
Troubled Debt Restructurings | TDR loans consisted of the following as of the dates indicated: September 30, 2020 December 31, 2019 ($ in thousands) NTM Traditional Loans Total NTM Traditional Loans Total Commercial: Commercial and industrial $ — $ 20,355 $ 20,355 $ — $ 16,245 $ 16,245 SBA — 266 266 — 266 266 Consumer: Single family residential mortgage 2,620 2,169 4,789 2,638 2,394 5,032 Other consumer — — — 294 — 294 Total $ 2,620 $ 22,790 $ 25,410 $ 2,932 $ 18,905 $ 21,837 The following table summarizes the pre-modification and post-modification balances of the new TDRs for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Loans Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment September 30, 2020 Commercial: Commercial and industrial — $ — $ — 1 $ 5,000 $ 5,000 Total — — — 1 $ 5,000 $ 5,000 September 30, 2019 Commercial: Commercial and industrial — $ — $ — 10 $ 17,339 $ 17,020 SBA — $ — $ — 2 $ 3,214 $ 869 Total — $ — $ — 12 $ 20,553 $ 17,889 Three Months Ended Modification Type Change in Principal Payments and Interest Rates Change in Principal Payments Total ($ in thousands) Count Amount Count Amount Count Amount September 30, 2020 Total — $ — — $ — — $ — September 30, 2019 Total — $ — — $ — — $ — Nine Months Ended Modification Type Change in Principal Payments and Interest Rates Change in Principal Payments Total ($ in thousands) Count Amount Count Amount Count Amount September 30, 2020 Commercial: Commercial and industrial 1 $ 5,000 — $ — 1 $ 5,000 Total 1 $ 5,000 — $ — 1 $ 5,000 September 30, 2019 Commercial: Commercial and industrial 10 $ 17,020 — $ — 10 $ 17,020 SBA 2 869 — — 2 869 Total 12 $ 17,889 — $ — 12 $ 17,889 |
Summary of Significant Activities | The following table presents loans transferred from (to) loans held-for-sale by portfolio segment for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) Transfers from Held-For-Sale Transfers (to) Held-For-Sale Transfers from Held-For-Sale Transfers (to) Held-For-Sale September 30, 2020 Total $ — $ — $ — $ — September 30, 2019 Commercial: Commercial real estate $ — $ — $ — $ (573) Multifamily — — — (752,087) SBA — (559) — (559) Consumer: Single family residential mortgage — — — (374,679) Total $ — $ (559) $ — $ (1,127,898) |
Non Traditional Mortgages Portfolio | The following table presents the composition of the NTM portfolio, which are included in the single family residential mortgage portfolio, as of the dates indicated: September 30, 2020 December 31, 2019 ($ in thousands) Count Amount Percent Count Amount Percent Consumer: Single family residential mortgage: Green Loans (HELOC) - first liens 57 $ 39,180 8.4 % 69 $ 49,959 8.3 % Interest-only - first liens 295 425,406 90.8 % 376 545,371 90.8 % Negative amortization 8 2,302 0.5 % 9 3,027 0.5 % Total NTM - first liens 360 466,888 99.7 % 454 598,357 99.6 % Other consumer: Green Loans (HELOC) - second liens 5 1,608 0.3 % 7 2,299 0.4 % Total NTM - second liens 5 1,608 0.3 % 7 2,299 0.4 % Total NTM loans 365 $ 468,496 100.0 % 461 $ 600,656 100.0 % Total loans receivable $ 5,678,002 $ 5,951,885 % of total NTM loans to total loans receivable 8.3 % 10.1 % |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS, NET (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite-Lived Intangible Assets | As of September 30, 2020, the weighted average remaining amortization period for core deposit intangibles was approximately 4.1 years. ($ in thousands) Gross Carrying Value Accumulated Amortization Net Carrying Value September 30, 2020 Core deposit intangibles $ 30,904 $ 27,965 $ 2,939 December 31, 2019 Core deposit intangibles $ 30,904 $ 26,753 $ 4,151 |
Estimated Future Amortization Expense | The following table presents estimated future amortization expenses as of September 30, 2020: ($ in thousands) Remainder of 2020 2021 2022 2023 2024 Total Estimated future amortization expense $ 306 $ 1,082 $ 799 $ 517 $ 235 $ 2,939 |
FEDERAL HOME LOAN BANK ADVANC_2
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Federal Home Loan Banks [Abstract] | |
Summary of Advances from the FHLB | The following table presents advances from the FHLB as of the dates indicated: ($ in thousands) September 30, December 31, Fixed rate: Outstanding balance $ 566,000 (1) $ 730,000 Interest rates ranging from — % (2) 1.82 % Interest rates ranging to 3.32 % 3.32 % Weighted average interest rate 2.39 % 2.66 % Variable rate: Outstanding balance $ — $ 465,000 Weighted average interest rate — % 1.66 % (1) Excludes $6.5 million of unamortized debt issuance costs at September 30, 2020. (2) Includes $10.0 million in FHLB recovery advances with an interest rate of 0.00%, consisting of $5.0 million with a maturity date of November 27, 2020 and $5.0 million with a maturity date of May 27, 2021. |
LONG-TERM DEBT (Tables)
LONG-TERM DEBT (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | The following table presents our long-term debt as of the dates indicated: September 30, 2020 December 31, 2019 ($ in thousands) Par Value Unamortized Debt Issuance Cost and Discount Par Value Unamortized Debt Issuance Cost and Discount 5.25% senior notes due April 15, 2025 $ 175,000 $ (1,377) $ 175,000 $ (1,579) Total $ 175,000 $ (1,377) $ 175,000 $ (1,579) |
DERIVATIVE INSTRUMENTS (Tables)
DERIVATIVE INSTRUMENTS (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Amount and Market Value of Mortgage Banking Derivatives | The following table presents the notional amount and fair value of derivative instruments included in the consolidated statements of financial condition as of the dates indicated. September 30, 2020 December 31, 2019 ($ in thousands) Notional Amount Fair Notional Amount Fair Derivative assets: Interest rate swaps and caps on loans $ 68,556 $ 8,163 $ 70,674 $ 3,445 Foreign exchange contracts 3,548 45 4,643 138 Total $ 72,104 $ 8,208 $ 75,317 $ 3,583 Derivative liabilities: Interest rate swaps and caps on loans $ 68,556 $ 8,749 $ 70,674 3,717 Foreign exchange contracts 3,548 14 4,643 136 Total $ 72,104 $ 8,763 $ 75,317 $ 3,853 |
EMPLOYEE STOCK COMPENSATION (Ta
EMPLOYEE STOCK COMPENSATION (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Share-Based Compensation Expense | The following table presents stock-based compensation expense and the related tax benefits for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Stock options $ — $ 3 $ 4 $ (13) Restricted stock awards and units 1,346 1,491 4,388 3,857 Total share-based compensation expense $ 1,346 $ 1,494 $ 4,392 $ 3,844 Related tax benefits $ 396 $ 439 $ 1,293 $ 1,130 |
Unrecognized Share-Based Compensation Expense | The following table presents unrecognized stock-based compensation expense as of September 30, 2020: ($ in thousands) Unrecognized Expense Weighted-Average Remaining Expected Recognition Period Restricted stock awards and restricted stock units $ 8,189 2.1 years Total $ 8,189 2.1 years |
Option Activity | The following table represents stock option activity for the three months ended September 30, 2020: Three Months Ended September 30, 2020 ($ in thousands except per share data) Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contract Term Aggregated Intrinsic Value Outstanding at beginning of period 55,069 $ 13.96 3.7 years Outstanding at end of period 55,069 $ 13.96 3.5 years $ (210) Exercisable at end of period 55,069 $ 13.96 3.5 years $ (210) The following table represents stock option activity for the nine months ended September 30, 2020: Nine Months Ended September 30, 2020 ($ in thousands except per share data) Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contract Term Aggregated Intrinsic Value Outstanding at beginning of period 62,521 $ 13.85 4.3 years Exercised (7,452) $ 13.05 5.2 years Outstanding at end of period 55,069 $ 13.96 3.5 years $ (210) Exercisable at end of period 55,069 $ 13.96 3.5 years $ (210) |
Nonvested Share Activity | The following table sets forth information regarding unvested stock options for the three and nine months ended September 30, 2020: Three Months Ended Nine Months Ended Number of Shares Weighted-Average Exercise Price Per Share Number of Shares Weighted-Average Outstanding at beginning of period 2,248 $ 13.75 2,248 $ 13.75 Vested (2,248) $ 13.75 (2,248) $ 13.75 Forfeited — $ — — $ — Outstanding at end of period — $ — — $ — |
Restricted Stock and Restricted Stock Units Activity | The following table presents unvested restricted stock awards and restricted stock units activity for the three and nine months ended September 30, 2020: Three Months Ended Nine Months Ended Number of Shares Weighted Average Grant Date Fair Value Per Share Number of Shares Weighted Outstanding at beginning of period 912,670 $ 14.91 923,482 $ 15.74 Granted (1) 4,457 $ 11.22 358,593 $ 13.76 Vested (2) (15,881) $ 15.42 (309,576) $ 15.92 Forfeited (3) (18,005) $ 16.09 (89,258) $ 16.69 Outstanding at end of period 883,241 $ 14.86 883,241 $ 14.86 (1) There were zero and 78,771 performance-based shares/units included in shares granted for the three and nine months ended September 30, 2020. (2) There were zero and 18,473 performance-based shares/units included in vested shares for the three and nine months ended September 30, 2020. (3) The number of forfeited shares includes aggregate performance-based shares/units of zero and 17,404 for the three and nine months ended September 30, 2020. |
Summary of all Outstanding SARs | The following table represents SARs activity and the weighted average exercise price per share as of and for the three months ended September 30, 2020: Three Months Ended September 30, 2020 ($ in thousands except per share data) Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contract Term Aggregated Intrinsic Value Outstanding at beginning of period 1,559,012 $ 11.60 2.1 years $ (1,812) Outstanding at end of period 1,559,012 $ 11.60 1.9 years $ (2,264) Exercisable at end of period 1,559,012 $ 11.60 1.9 years $ (2,264) The following table represents SARs activity and the weighted average exercise price per share as of and for the nine months ended September 30, 2020: Nine Months Ended September 30, ($ in thousands except per share data) Number of Shares Weighted-Average Exercise Price Per Share Weighted-Average Remaining Contract Term Aggregated Intrinsic Value Outstanding at beginning of period 1,559,012 $ 11.60 2.6 years $ 8,508 Outstanding at end of period 1,559,012 $ 11.60 1.9 years $ (2,264) Exercisable at end of period 1,559,012 $ 11.60 1.9 years $ (2,264) |
STOCKHOLDERS' EQUITY (Tables)
STOCKHOLDERS' EQUITY (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Equity [Abstract] | |
Summary of Preferred Stock | The following table presents our total outstanding preferred stock as of the dates indicated: September 30, 2020 December 31, 2019 ($ in thousands) Shares Outstanding Liquidation Preference Carrying Value Shares Outstanding Liquidation Preference Carrying Value Series D 7.375% non-cumulative perpetual 93,270 $ 93,270 $ 89,922 96,629 $ 96,629 $ 93,162 Series E 7.00% non-cumulative perpetual 98,702 98,702 94,956 100,477 100,477 96,663 Total 191,972 $ 191,972 $ 184,878 197,106 $ 197,106 $ 189,825 |
Changes to Accumulate Other Comprehensive Income by Components | The following table presents changes to AOCI for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Unrealized (loss) gain on securities available-for-sale Balance at beginning of period $ (15,565) $ (12,668) $ (11,900) $ (24,117) Unrealized gain (loss) arising during the period 23,859 (1,408) 20,677 15,014 Unrealized gain arising from the reclassification of securities held-to-maturity to securities available-for-sale — — — — Impairment loss on investment securities — 731 — 731 Reclassification adjustment from other comprehensive income — 5,063 (2,011) 4,855 Tax effect of current period changes (7,028) (1,289) (5,500) (6,054) Total changes, net of taxes 16,831 3,097 13,166 14,546 Balance at end of period $ 1,266 $ (9,571) $ 1,266 $ (9,571) |
VARIABLE INTEREST ENTITIES (Tab
VARIABLE INTEREST ENTITIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Variable Interest Entity [Line Items] | |
Summary of Unconsolidated VIEs | The following table represents the carrying value of the associated unconsolidated assets and liabilities and the associated maximum loss exposure for alternative energy partnerships as of the dates indicated: ($ in thousands) September 30, December 31, Cash $ 3,101 $ 4,224 Equipment, net of depreciation 242,988 248,920 Other assets 7,291 6,301 Total unconsolidated assets $ 253,380 $ 259,445 Total unconsolidated liabilities $ 6,048 $ 7,143 Maximum loss exposure $ 27,786 $ 32,525 |
Affordable Housing Fund Investment | |
Variable Interest Entity [Line Items] | |
Summary of Unconsolidated VIEs | The following table presents information regarding balances in our qualified affordable housing partnerships for the periods indicated: ($ in thousands) September 30, December 31, Ending balance (1) $ 44,443 $ 36,462 Aggregate funding commitment 61,278 49,278 Total amount funded 42,378 26,905 Unfunded commitment 18,900 22,373 Maximum loss exposure 44,443 36,462 (1) Included in other assets in the accompanying Consolidated Statements of Financial Condition. The following table presents information regarding activity in our qualified affordable housing partnerships for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Fundings $ 1,602 $ 8,325 $ 15,473 $ 8,779 Proportional amortization recognized 1,724 1,464 4,019 2,654 Income tax credits recognized 1,007 724 3,215 1,833 |
Variable Interest Entity, Not Primary Beneficiary | |
Variable Interest Entity [Line Items] | |
Summary of Unconsolidated VIEs | The following table presents information regarding activity in our alternative energy partnerships for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Fundings $ — $ — $ 3,631 $ 235 Cash distribution from investment 611 534 1,612 1,529 Gain (loss) on investments in alternative energy partnerships 1,430 940 (308) (655) Income tax credits recognized — 862 — 2,585 Tax expense (benefit) recognized from HLBV application 185 254 (111) (177) |
EARNINGS (LOSS) PER COMMON SH_2
EARNINGS (LOSS) PER COMMON SHARE (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Earnings Per Share [Abstract] | |
Basic and Diluted Earnings Per Common Share | The following table presents computations of basic and diluted earnings (loss) per common share ("EPS") for the three and nine months ended September 30, 2020: Three Months Ended September 30, 2020 Nine Months Ended September 30, 2020 ($ in thousands except per share data) Common Stock Class B Common Stock Class B Common Stock Net income (loss) $ 15,761 $ 152 $ (9,043) $ (86) Less: Income allocated to participating securities (278) (3) — — Less: participating securities dividends (93) (1) (279) (3) Less: preferred stock dividends (3,414) (33) (10,323) (99) Less: preferred stock redemption (7) — 563 5 Net income (loss) allocated to common stockholders $ 11,969 $ 115 $ (19,082) $ (183) Weighted average common shares outstanding 49,631,334 477,321 49,723,791 477,321 Dilutive effects of restricted shares/units 82,278 — — — Dilutive effects of stock options — — — — Average shares and dilutive common shares 49,713,612 477,321 49,723,791 477,321 Basic earnings (loss) per common share $ 0.24 $ 0.24 $ (0.38) $ (0.38) Diluted earnings (loss) per common share $ 0.24 $ 0.24 $ (0.38) $ (0.38) Three Months Ended September 30, 2019 Nine Months Ended September 30, 2019 ($ in thousands except per share data) Common Stock Class B Common Stock Common Stock Class B Common Stock Net (loss) income $ (13,999) $ (133) $ 9,398 $ 89 Less: income allocated to participating securities — — — — Less: participating securities dividends (93) (1) (386) (4) Less: preferred stock dividends (3,371) (32) (11,906) (113) Less: preferred stock redemption (5,045) (48) (5,045) (48) Net loss allocated to common stockholders $ (22,508) $ (214) $ (7,939) $ (76) Weighted average common shares outstanding 50,404,906 477,321 50,327,108 477,321 Dilutive effects of stock units — — — — Dilutive effects of stock options — — — — Average shares and dilutive common shares 50,404,906 477,321 50,327,108 477,321 Basic earnings per common share $ (0.45) $ (0.45) $ (0.16) $ (0.16) Diluted earnings per common share $ (0.45) $ (0.45) $ (0.16) $ (0.16) |
LOAN COMMITMENTS AND OTHER RE_2
LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Contractual Amount of Financial Instruments with Off-Balance-Sheet Risk | The following table presents the contractual amount of financial instruments with off-balance-sheet risk as of the periods indicated: September 30, 2020 December 31, 2019 ($ in thousands) Fixed Rate Variable Rate Fixed Rate Variable Rate Commitments to extend credit $ 20,181 $ 49,274 $ 473 $ 129,495 Unused lines of credit 1,778 1,334,060 703 1,049,632 Letters of credit 157 9,202 134 5,316 |
REVENUE RECOGNITION (Tables)
REVENUE RECOGNITION (Tables) | 9 Months Ended |
Sep. 30, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Summary of Noninterest (Loss) Income | The following presents noninterest income, segregated by revenue streams, in-scope and out-of-scope of Topic 606 - Revenue From Contracts With Customers , for the periods indicated: Three Months Ended Nine Months Ended ($ in thousands) 2020 2019 2020 2019 Noninterest income In scope of Topic 606 Deposit service fees $ 648 $ 599 $ 1,607 $ 1,841 Debit card fees 384 138 941 429 Investment commissions — 146 — 685 Other 49 93 157 309 Noninterest income (in-scope of Topic 606) 1,081 976 2,705 3,264 Noninterest income (out-of-scope of Topic 606) 2,873 2,205 8,838 3,922 Total noninterest income $ 3,954 $ 3,181 $ 11,543 $ 7,186 |
SUMMARY OF SIGNIFICANT ACCOUN_4
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Details) $ in Thousands | Jan. 01, 2020USD ($) | Sep. 30, 2020USD ($)banking_office | Dec. 31, 2019USD ($) | Jun. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Dec. 31, 2018USD ($) |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Number of banking offices | banking_office | 31 | ||||||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | us-gaap:AccountingStandardsUpdate201613Member | us-gaap:AccountingStandardsUpdate201613Member | ||||
Impact of adopting ASU 2016-13 on retained earnings | $ (874,254) | $ (907,245) | $ (846,959) | $ (900,988) | $ (963,544) | $ (945,534) | |
Loans funded | 5,678,002 | 5,951,885 | 6,383,259 | ||||
PPP loans | Commercial | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Loans funded | 255,800 | ||||||
Retained Earnings | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Impact of adopting ASU 2016-13 on retained earnings | $ (95,001) | (127,733) | $ (85,670) | $ (120,221) | $ (146,039) | $ (140,952) | |
Impact of ASC 326 Adoption | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Increase to allowance for credit losses | $ 6,400 | ||||||
Impact of adopting ASU 2016-13 on retained earnings | 4,503 | ||||||
Impact of ASC 326 Adoption | Retained Earnings | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Impact of adopting ASU 2016-13 on retained earnings | $ 4,503 |
SUMMARY OF SIGNIFICANT ACCOUN_5
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Impact of Adopting ASU 2016-13 (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Jun. 30, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Dec. 31, 2018 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | $ 90,927 | $ 57,649 | $ 57,649 | ||||
Allowance for credit losses - unfunded loan commitments | 4,064 | ||||||
Commercial real estate | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | $ 94,133 | $ 94,565 | 61,713 | $ 67,289 | $ 63,818 | $ 66,814 | |
Commercial | Commercial and industrial | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 22,353 | ||||||
Commercial | Commercial real estate | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 5,941 | ||||||
Commercial | Multifamily | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 11,405 | ||||||
Commercial | SBA | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 3,120 | ||||||
Commercial | Construction | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 3,906 | ||||||
Consumer | Single family residential mortgage | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 10,486 | ||||||
Consumer | Other consumer | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 438 | ||||||
As Reported Under ASC 326 | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 65,258 | ||||||
Allowance for credit losses - unfunded loan commitments | 2,838 | ||||||
As Reported Under ASC 326 | Commercial | Commercial and industrial | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 23,015 | ||||||
As Reported Under ASC 326 | Commercial | Commercial real estate | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 10,788 | ||||||
As Reported Under ASC 326 | Commercial | Multifamily | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 13,214 | ||||||
As Reported Under ASC 326 | Commercial | SBA | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 3,508 | ||||||
As Reported Under ASC 326 | Commercial | Construction | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 4,009 | ||||||
As Reported Under ASC 326 | Consumer | Single family residential mortgage | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 10,066 | ||||||
As Reported Under ASC 326 | Consumer | Other consumer | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 658 | ||||||
Impact of ASC 326 Adoption | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 7,609 | ||||||
Allowance for credit losses - unfunded loan commitments | (1,226) | ||||||
Impact of ASC 326 Adoption | Commercial real estate | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | $ 6,383 | $ 0 | |||||
Impact of ASC 326 Adoption | Commercial | Commercial and industrial | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 662 | ||||||
Impact of ASC 326 Adoption | Commercial | Commercial real estate | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 4,847 | ||||||
Impact of ASC 326 Adoption | Commercial | Multifamily | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 1,809 | ||||||
Impact of ASC 326 Adoption | Commercial | SBA | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 388 | ||||||
Impact of ASC 326 Adoption | Commercial | Construction | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | 103 | ||||||
Impact of ASC 326 Adoption | Consumer | Single family residential mortgage | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | (420) | ||||||
Impact of ASC 326 Adoption | Consumer | Other consumer | |||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |||||||
Allowance for credit losses - loans | $ 220 |
FAIR VALUES OF FINANCIAL INST_3
FAIR VALUES OF FINANCIAL INSTRUMENTS - Additional Information (Detail) - USD ($) | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Discontinued Operations | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Loans held-for-sale that were 90 days or more past due and still accruing | $ 0 | $ 0 |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Aggregate unpaid principal balance | $ 1,500,000 | $ 19,800,000 |
Insured Loans | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Expected loss rate | 1.55% | 1.55% |
Uninsured Loans | ||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||
Expected loss rate | 20.00% | 20.00% |
FAIR VALUES OF FINANCIAL INST_4
FAIR VALUES OF FINANCIAL INSTRUMENTS - Recurring Basis (Detail) - USD ($) | Sep. 30, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | $ 1,245,867,000 | $ 912,580,000 |
Derivative assets | 8,208,000 | 3,583,000 |
Derivative liabilities | 8,763,000 | 3,853,000 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 1,245,867,000 | 912,580,000 |
Derivative assets | 8,208,000 | 3,583,000 |
Derivative liabilities | 8,763,000 | 3,853,000 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 1,245,867,000 | 912,580,000 |
Derivative assets | 8,208,000 | 3,583,000 |
Derivative liabilities | 8,763,000 | 3,853,000 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans held-for-sale, carried at fair value | 0 | 0 |
Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans held-for-sale, carried at fair value | 466,000 | 3,409,000 |
Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Loans held-for-sale, carried at fair value | 1,383,000 | 19,233,000 |
Recurring | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Loans held-for-sale, carried at fair value | 1,849,000 | 22,642,000 |
SBA loan pool securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 17,807,000 | |
SBA loan pool securities | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | |
SBA loan pool securities | Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 17,807,000 | |
SBA loan pool securities | Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | |
SBA loan pool securities | Recurring | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 17,807,000 | |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 107,431,000 | 36,456,000 |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 107,431,000 | 36,456,000 |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | Recurring | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 107,431,000 | 36,456,000 |
U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 218,396,000 | 91,299,000 |
U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations | Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 218,396,000 | 91,299,000 |
U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations | Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations | Recurring | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 218,396,000 | 91,299,000 |
Municipal securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 69,233,000 | 52,689,000 |
Municipal securities | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Municipal securities | Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 69,233,000 | 52,689,000 |
Municipal securities | Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Municipal securities | Recurring | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 69,233,000 | 52,689,000 |
Non-agency residential mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 163,000 | 196,000 |
Non-agency residential mortgage-backed securities | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Non-agency residential mortgage-backed securities | Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 163,000 | 196,000 |
Non-agency residential mortgage-backed securities | Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Non-agency residential mortgage-backed securities | Recurring | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 163,000 | 196,000 |
Collateralized loan obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 685,931,000 | 718,361,000 |
Collateralized loan obligations | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Collateralized loan obligations | Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 685,931,000 | 718,361,000 |
Collateralized loan obligations | Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Collateralized loan obligations | Recurring | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 685,931,000 | 718,361,000 |
Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 146,906,000 | 13,579,000 |
Corporate debt securities | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Corporate debt securities | Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 146,906,000 | 13,579,000 |
Corporate debt securities | Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 0 | 0 |
Corporate debt securities | Recurring | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available-for-sale securities | 146,906,000 | 13,579,000 |
Interest rate swaps and caps on loans | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Interest rate swaps and caps on loans | Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 8,163,000 | 3,445,000 |
Derivative liabilities | 8,749,000 | 3,717,000 |
Interest rate swaps and caps on loans | Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Interest rate swaps and caps on loans | Recurring | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 8,163,000 | 3,445,000 |
Derivative liabilities | 8,749,000 | 3,717,000 |
Foreign exchange contracts | Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Foreign exchange contracts | Recurring | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 45,000 | 138,000 |
Derivative liabilities | 14,000 | 136,000 |
Foreign exchange contracts | Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Foreign exchange contracts | Recurring | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 45,000 | 138,000 |
Derivative liabilities | $ 14,000 | $ 136,000 |
FAIR VALUES OF FINANCIAL INST_5
FAIR VALUES OF FINANCIAL INSTRUMENTS - Reconciliation of Assets Measured at Fair Value on Recurring Basis (Detail) - Recurring - Significant Unobservable Inputs (Level 3) - U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | ||||
Balance at beginning of period | $ 16,685 | $ 21,075 | $ 19,233 | $ 25,040 |
Total gains (losses) (realized/unrealized): | ||||
Included in earnings—fair value adjustment | 18 | 2 | (1,351) | (1) |
Additions | 0 | 406 | 0 | 406 |
Sales, settlements, and other | (15,320) | (978) | (16,499) | (4,940) |
Balance at end of period | $ 1,383 | $ 20,505 | $ 1,383 | $ 20,505 |
FAIR VALUES OF FINANCIAL INST_6
FAIR VALUES OF FINANCIAL INSTRUMENTS - Fair Value Option Loans Held-for-Sale (Details) - Continuing Operations - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Fair Value | |||||
Total loans | $ 1,849 | $ 1,849 | $ 22,642 | ||
Non-accrual loans | 651 | 651 | 8,125 | ||
Unpaid Principal Balance | |||||
Total loans | 2,149 | 2,149 | 23,455 | ||
Non-accrual loans | 750 | 750 | 8,370 | ||
Difference | |||||
Total loans | (300) | (300) | (813) | ||
Non-accrual loans | (99) | (99) | (245) | ||
Non-accrual loans, guaranteed by US government | 200 | 200 | $ 6,700 | ||
Net gains (losses) from fair value changes: | $ 24 | $ 17 | $ (1,537) | $ 77 |
FAIR VALUES OF FINANCIAL INST_7
FAIR VALUES OF FINANCIAL INSTRUMENTS - Nonrecurring Basis (Details) - Nonrecurring - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Single family residential mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 0 | $ 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial and industrial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Single family residential mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Commercial and industrial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Significant Other Observable Inputs (Level 2) | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Single family residential mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 1,881 | 3,678 |
Significant Unobservable Inputs (Level 3) | Commercial and industrial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 17,015 | 15,409 |
Significant Unobservable Inputs (Level 3) | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 3,299 | 1,711 |
Carrying Value | Single family residential mortgage | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 1,881 | 3,678 |
Carrying Value | Commercial and industrial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 17,015 | 15,409 |
Carrying Value | SBA | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 3,299 | $ 1,711 |
FAIR VALUES OF FINANCIAL INST_8
FAIR VALUES OF FINANCIAL INSTRUMENTS - Gains and (Losses) on Non-Recurring Assets (Detail) - Nonrecurring - Impaired loans - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Single family residential mortgage | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Losses recognized on assets measured at fair value | $ (191) | $ 0 | $ (722) | $ (490) |
Commercial and industrial | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Losses recognized on assets measured at fair value | (3,106) | 0 | (11,620) | 0 |
SBA | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Losses recognized on assets measured at fair value | (1,534) | 0 | (3,078) | (46) |
Other consumer | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Losses recognized on assets measured at fair value | $ 0 | $ 0 | $ (4) | $ (88) |
FAIR VALUES OF FINANCIAL INST_9
FAIR VALUES OF FINANCIAL INSTRUMENTS - Carrying Amounts and Estimated Fair Values of Financial Instruments (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Financial assets | ||
Cash and cash equivalents | $ 292,490 | $ 373,472 |
Securities available-for-sale, at fair value | 1,245,867 | 912,580 |
Federal Home Loan Bank and other bank stock | 44,809 | 59,420 |
Loans held-for-sale, carried at fair value | 1,849 | 22,642 |
Loans receivable, net of allowance for loan losses | 5,716,880 | 5,894,732 |
Accrued interest receivable | 32,416 | 24,523 |
Derivative assets | 8,208 | 3,583 |
Financial liabilities | ||
Deposits | 6,035,348 | 5,430,536 |
Advances from Federal Home Loan Bank | 608,081 | 1,222,709 |
Long-term debt | 180,924 | 180,213 |
Derivative liabilities | 8,763 | 3,853 |
Accrued interest payable | 6,156 | 4,687 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Financial assets | ||
Cash and cash equivalents | 292,490 | 373,472 |
Securities available-for-sale, at fair value | 0 | 0 |
Federal Home Loan Bank and other bank stock | 0 | 0 |
Loans held-for-sale, carried at fair value | 0 | 0 |
Loans receivable, net of allowance for loan losses | 0 | 0 |
Accrued interest receivable | 32,416 | 24,523 |
Derivative assets | 0 | 0 |
Financial liabilities | ||
Deposits | 0 | 0 |
Advances from Federal Home Loan Bank | 0 | 0 |
Long-term debt | 0 | 0 |
Derivative liabilities | 0 | 0 |
Accrued interest payable | 6,156 | 4,687 |
Significant Other Observable Inputs (Level 2) | ||
Financial assets | ||
Cash and cash equivalents | 0 | 0 |
Securities available-for-sale, at fair value | 1,245,867 | 912,580 |
Federal Home Loan Bank and other bank stock | 44,809 | 59,420 |
Loans held-for-sale, carried at fair value | 466 | 3,409 |
Loans receivable, net of allowance for loan losses | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Derivative assets | 8,208 | 3,583 |
Financial liabilities | ||
Deposits | 0 | 0 |
Advances from Federal Home Loan Bank | 608,081 | 1,222,709 |
Long-term debt | 180,924 | 180,213 |
Derivative liabilities | 8,763 | 3,853 |
Accrued interest payable | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Financial assets | ||
Cash and cash equivalents | 0 | 0 |
Securities available-for-sale, at fair value | 0 | 0 |
Federal Home Loan Bank and other bank stock | 0 | 0 |
Loans held-for-sale, carried at fair value | 1,383 | 19,233 |
Loans receivable, net of allowance for loan losses | 5,716,880 | 5,894,732 |
Accrued interest receivable | 0 | 0 |
Derivative assets | 0 | 0 |
Financial liabilities | ||
Deposits | 6,035,348 | 5,430,536 |
Advances from Federal Home Loan Bank | 0 | 0 |
Long-term debt | 0 | 0 |
Derivative liabilities | 0 | 0 |
Accrued interest payable | 0 | 0 |
Carrying Value | ||
Financial assets | ||
Cash and cash equivalents | 292,490 | 373,472 |
Securities available-for-sale, at fair value | 1,245,867 | 912,580 |
Federal Home Loan Bank and other bank stock | 44,809 | 59,420 |
Loans held-for-sale, carried at fair value | 1,849 | 22,642 |
Loans receivable, net of allowance for loan losses | 5,587,075 | 5,894,236 |
Accrued interest receivable | 32,416 | 24,523 |
Derivative assets | 8,208 | 3,583 |
Financial liabilities | ||
Deposits | 6,032,266 | 5,427,167 |
Advances from Federal Home Loan Bank | 559,482 | 1,195,000 |
Long-term debt | 173,623 | 173,421 |
Derivative liabilities | 8,763 | 3,853 |
Accrued interest payable | $ 6,156 | $ 4,687 |
INVESTMENT SECURITIES - Summary
INVESTMENT SECURITIES - Summary of Amortized Cost and Fair Value (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | $ 1,244,070 | $ 929,449 |
Gross Unrealized Gains | 19,868 | 151 |
Gross Unrealized Losses | (18,071) | (17,020) |
Securities available-for-sale, at fair value | 1,245,867 | 912,580 |
Less Than 12 Months | 116,475 | 190,527 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (1,025) | (2,223) |
12 Months or Longer | 621,559 | 668,808 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (17,046) | (14,797) |
Debt Securities, Available-for-sale, Unrealized Loss Position | 738,034 | 859,335 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | (18,071) | (17,020) |
SBA loan pool securities | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 17,853 | |
Gross Unrealized Gains | 3 | |
Gross Unrealized Losses | (49) | |
Securities available-for-sale, at fair value | 17,807 | |
Less Than 12 Months | 13,351 | |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (49) | |
12 Months or Longer | 0 | |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | |
Debt Securities, Available-for-sale, Unrealized Loss Position | 13,351 | |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | (49) | |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 99,862 | 37,613 |
Gross Unrealized Gains | 7,569 | 0 |
Gross Unrealized Losses | 0 | (1,157) |
Securities available-for-sale, at fair value | 107,431 | 36,456 |
Less Than 12 Months | 10,153 | 35,872 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (36) | (1,157) |
12 Months or Longer | 0 | 0 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | 0 |
Debt Securities, Available-for-sale, Unrealized Loss Position | 10,153 | 35,872 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | (36) | (1,157) |
U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 216,250 | 91,543 |
Gross Unrealized Gains | 2,182 | 16 |
Gross Unrealized Losses | (36) | (260) |
Securities available-for-sale, at fair value | 218,396 | 91,299 |
Less Than 12 Months | 73,379 | |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (260) | |
12 Months or Longer | 0 | |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | |
Debt Securities, Available-for-sale, Unrealized Loss Position | 73,379 | |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | (260) | |
Municipal securities | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 64,373 | 52,997 |
Gross Unrealized Gains | 4,890 | 51 |
Gross Unrealized Losses | (30) | (359) |
Securities available-for-sale, at fair value | 69,233 | 52,689 |
Less Than 12 Months | 11,381 | 31,723 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (30) | (359) |
12 Months or Longer | 0 | 0 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | 0 |
Debt Securities, Available-for-sale, Unrealized Loss Position | 11,381 | 31,723 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | (30) | (359) |
Non-agency residential mortgage-backed securities | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 159 | 191 |
Gross Unrealized Gains | 4 | 5 |
Gross Unrealized Losses | 0 | 0 |
Securities available-for-sale, at fair value | 163 | 196 |
Collateralized loan obligations | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 703,605 | 733,605 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | (17,674) | (15,244) |
Securities available-for-sale, at fair value | 685,931 | 718,361 |
Less Than 12 Months | 64,372 | 49,553 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (628) | (447) |
12 Months or Longer | 621,559 | 668,808 |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (17,046) | (14,797) |
Debt Securities, Available-for-sale, Unrealized Loss Position | 685,931 | 718,361 |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | (17,674) | (15,244) |
Corporate debt securities | ||
Debt Securities, Available-for-sale, Fair Value to Amortized Cost [Abstract] | ||
Amortized Cost | 141,968 | 13,500 |
Gross Unrealized Gains | 5,220 | 79 |
Gross Unrealized Losses | (282) | 0 |
Securities available-for-sale, at fair value | 146,906 | $ 13,579 |
Less Than 12 Months | 17,218 | |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (282) | |
12 Months or Longer | 0 | |
Debt Securities, Available-for-sale, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | 0 | |
Debt Securities, Available-for-sale, Unrealized Loss Position | 17,218 | |
Debt Securities, Available-for-sale, Unrealized Loss Position, Accumulated Loss | $ (282) |
INVESTMENT SECURITIES - Additio
INVESTMENT SECURITIES - Additional Information (Detail) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020USD ($)security | Sep. 30, 2019USD ($) | Sep. 30, 2020USD ($)security | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($)security | |
Debt Securities, Available-for-sale [Line Items] | |||||
Allowance for credit losses for debt securities | $ 0 | $ 0 | |||
OTTI recorded | $ 0 | $ 731,000 | $ 0 | $ 731,000 | |
Securities available for sale portfolio | security | 104 | 104 | 70 | ||
Available for sale securities in unrealized loss position | security | 51 | 51 | 60 | ||
Collateral Pledged | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Securities pledged | $ 43,100,000 | $ 43,100,000 | $ 44,000,000 | ||
Available-for-sale securities | |||||
Debt Securities, Available-for-sale [Line Items] | |||||
Accrued interest receivable on debt securities available-for-sale | $ 6,000,000 | $ 6,000,000 | $ 5,600,000 |
INVESTMENT SECURITIES - Proceed
INVESTMENT SECURITIES - Proceeds from Sales and Calls of Securities and Associated Gross Gains and Losses (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |||||
Gross realized gains on sales and calls of securities available-for-sale | $ 0 | $ 71 | $ 2,011 | $ 279 | |
Gross realized losses on sales and calls of securities available-for-sale | 0 | (5,134) | 0 | (5,134) | |
Net realized (losses) gains on sales and calls of securities available-for-sale | 0 | $ 2,011 | (5,063) | 2,011 | (4,855) |
Proceeds from sales and calls of securities available-for-sale | $ 0 | $ 43,252 | $ 52,727 | $ 861,008 |
INVESTMENT SECURITIES - Summa_2
INVESTMENT SECURITIES - Summary of Investment Securities with Unrealized Losses (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Securities available-for-sale: | ||
Less Than 12 Months | $ 116,475 | $ 190,527 |
12 Months or Longer | 621,559 | 668,808 |
Total | 738,034 | 859,335 |
Gross Unrealized Losses | ||
Less Than 12 Months | (1,025) | (2,223) |
12 Months or Longer | (17,046) | (14,797) |
Total | (18,071) | (17,020) |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | ||
Securities available-for-sale: | ||
Less Than 12 Months | 10,153 | 35,872 |
12 Months or Longer | 0 | 0 |
Total | 10,153 | 35,872 |
Gross Unrealized Losses | ||
Less Than 12 Months | (36) | (1,157) |
12 Months or Longer | 0 | 0 |
Total | (36) | (1,157) |
U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations | ||
Securities available-for-sale: | ||
Less Than 12 Months | 73,379 | |
12 Months or Longer | 0 | |
Total | 73,379 | |
Gross Unrealized Losses | ||
Less Than 12 Months | (260) | |
12 Months or Longer | 0 | |
Total | (260) | |
Municipal securities | ||
Securities available-for-sale: | ||
Less Than 12 Months | 11,381 | 31,723 |
12 Months or Longer | 0 | 0 |
Total | 11,381 | 31,723 |
Gross Unrealized Losses | ||
Less Than 12 Months | (30) | (359) |
12 Months or Longer | 0 | 0 |
Total | (30) | (359) |
Collateralized loan obligations | ||
Securities available-for-sale: | ||
Less Than 12 Months | 64,372 | 49,553 |
12 Months or Longer | 621,559 | 668,808 |
Total | 685,931 | 718,361 |
Gross Unrealized Losses | ||
Less Than 12 Months | (628) | (447) |
12 Months or Longer | (17,046) | (14,797) |
Total | (17,674) | $ (15,244) |
Corporate debt securities | ||
Securities available-for-sale: | ||
Less Than 12 Months | 17,218 | |
12 Months or Longer | 0 | |
Total | 17,218 | |
Gross Unrealized Losses | ||
Less Than 12 Months | (282) | |
12 Months or Longer | 0 | |
Total | $ (282) |
INVESTMENT SECURITIES - Composi
INVESTMENT SECURITIES - Composition, Repricing and Yield Information of Investment Securities Portfolio (Details) $ in Thousands | Sep. 30, 2020USD ($) |
Debt Securities, Available-for-sale [Line Items] | |
Securities available-for-sale, one year or less, fair value | $ 820,913 |
Securities available-for-sale, one year or less, weighted average yield (percent) | 1.74% |
Securities available-for-sale, more than one year through five years, fair value | $ 141,459 |
Securities available-for-sale, more than one year through five years, weighted average yield (percent) | 4.77% |
Securities available-for-sale, more than five years through ten years, fair value | $ 101,790 |
Securities available-for-sale, more than five years through ten years, weighted average yield (percent) | 2.41% |
Securities available-for-sale, more than ten years, fair value | $ 181,705 |
Securities available-for-sale, more than ten years, weighted average yield (percent) | 1.93% |
Securities available-for-sale, fair value | $ 1,245,867 |
Securities available-for-sale, weighted average yield (percent) | 2.16% |
SBA loan pool securities | |
Debt Securities, Available-for-sale [Line Items] | |
Securities available-for-sale, one year or less, fair value | $ 17,807 |
Securities available-for-sale, one year or less, weighted average yield (percent) | 1.79% |
Securities available-for-sale, more than one year through five years, fair value | $ 0 |
Securities available-for-sale, more than one year through five years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than five years through ten years, fair value | $ 0 |
Securities available-for-sale, more than five years through ten years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than ten years, fair value | $ 0 |
Securities available-for-sale, more than ten years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, fair value | $ 17,807 |
Securities available-for-sale, weighted average yield (percent) | 1.79% |
U.S. government agency and U.S. government sponsored enterprise residential mortgage-backed securities | |
Debt Securities, Available-for-sale [Line Items] | |
Securities available-for-sale, one year or less, fair value | $ 0 |
Securities available-for-sale, one year or less, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than one year through five years, fair value | $ 0 |
Securities available-for-sale, more than one year through five years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than five years through ten years, fair value | $ 30,575 |
Securities available-for-sale, more than five years through ten years, weighted average yield (percent) | 2.20% |
Securities available-for-sale, more than ten years, fair value | $ 76,856 |
Securities available-for-sale, more than ten years, weighted average yield (percent) | 2.35% |
Securities available-for-sale, fair value | $ 107,431 |
Securities available-for-sale, weighted average yield (percent) | 2.31% |
U.S. government agency and U.S. government sponsored enterprise collateralized mortgage obligations | |
Debt Securities, Available-for-sale [Line Items] | |
Securities available-for-sale, one year or less, fair value | $ 117,175 |
Securities available-for-sale, one year or less, weighted average yield (percent) | 0.71% |
Securities available-for-sale, more than one year through five years, fair value | $ 11,499 |
Securities available-for-sale, more than one year through five years, weighted average yield (percent) | 2.01% |
Securities available-for-sale, more than five years through ten years, fair value | $ 44,743 |
Securities available-for-sale, more than five years through ten years, weighted average yield (percent) | 1.38% |
Securities available-for-sale, more than ten years, fair value | $ 44,979 |
Securities available-for-sale, more than ten years, weighted average yield (percent) | 0.39% |
Securities available-for-sale, fair value | $ 218,396 |
Securities available-for-sale, weighted average yield (percent) | 0.85% |
Municipal securities | |
Debt Securities, Available-for-sale [Line Items] | |
Securities available-for-sale, one year or less, fair value | $ 0 |
Securities available-for-sale, one year or less, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than one year through five years, fair value | $ 0 |
Securities available-for-sale, more than one year through five years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than five years through ten years, fair value | $ 9,526 |
Securities available-for-sale, more than five years through ten years, weighted average yield (percent) | 2.60% |
Securities available-for-sale, more than ten years, fair value | $ 59,707 |
Securities available-for-sale, more than ten years, weighted average yield (percent) | 2.62% |
Securities available-for-sale, fair value | $ 69,233 |
Securities available-for-sale, weighted average yield (percent) | 2.62% |
Non-agency residential mortgage-backed securities | |
Debt Securities, Available-for-sale [Line Items] | |
Securities available-for-sale, one year or less, fair value | $ 0 |
Securities available-for-sale, one year or less, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than one year through five years, fair value | $ 0 |
Securities available-for-sale, more than one year through five years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than five years through ten years, fair value | $ 0 |
Securities available-for-sale, more than five years through ten years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than ten years, fair value | $ 163 |
Securities available-for-sale, more than ten years, weighted average yield (percent) | 6.35% |
Securities available-for-sale, fair value | $ 163 |
Securities available-for-sale, weighted average yield (percent) | 6.35% |
Collateralized loan obligations | |
Debt Securities, Available-for-sale [Line Items] | |
Securities available-for-sale, one year or less, fair value | $ 685,931 |
Securities available-for-sale, one year or less, weighted average yield (percent) | 1.91% |
Securities available-for-sale, more than one year through five years, fair value | $ 0 |
Securities available-for-sale, more than one year through five years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than five years through ten years, fair value | $ 0 |
Securities available-for-sale, more than five years through ten years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than ten years, fair value | $ 0 |
Securities available-for-sale, more than ten years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, fair value | $ 685,931 |
Securities available-for-sale, weighted average yield (percent) | 1.91% |
Corporate debt securities | |
Debt Securities, Available-for-sale [Line Items] | |
Securities available-for-sale, one year or less, fair value | $ 0 |
Securities available-for-sale, one year or less, weighted average yield (percent) | 0.00% |
Securities available-for-sale, more than one year through five years, fair value | $ 129,960 |
Securities available-for-sale, more than one year through five years, weighted average yield (percent) | 5.01% |
Securities available-for-sale, more than five years through ten years, fair value | $ 16,946 |
Securities available-for-sale, more than five years through ten years, weighted average yield (percent) | 5.73% |
Securities available-for-sale, more than ten years, fair value | $ 0 |
Securities available-for-sale, more than ten years, weighted average yield (percent) | 0.00% |
Securities available-for-sale, fair value | $ 146,906 |
Securities available-for-sale, weighted average yield (percent) | 5.08% |
LOANS AND ALLOWANCE FOR CREDI_3
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Schedule of Loans Receivable (Detail) $ in Thousands | Sep. 30, 2020USD ($)loan | Jun. 30, 2020USD ($) | Jan. 01, 2020USD ($) | Dec. 31, 2019USD ($) | Sep. 30, 2019USD ($) | Jun. 30, 2019USD ($) | Dec. 31, 2018USD ($) |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Loans receivable | $ 5,678,002 | $ 5,951,885 | $ 6,383,259 | ||||
Allowance for loan losses | (90,927) | $ (57,649) | (57,649) | ||||
Loans receivable, net | 5,587,075 | 5,894,236 | |||||
Deferred loan costs/(fees) and premiums/(discounts), net | 6,200 | 14,300 | |||||
Commercial real estate | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Allowance for loan losses | (94,133) | $ (94,565) | (61,713) | (67,289) | $ (63,818) | $ (66,814) | |
Commercial | Commercial and industrial | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Loans receivable | 1,586,824 | 1,691,270 | 1,789,478 | ||||
Allowance for loan losses | (22,353) | ||||||
Commercial | Commercial real estate | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Loans receivable | 826,683 | 818,817 | 891,029 | ||||
Allowance for loan losses | (5,941) | ||||||
Commercial | Multifamily | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Loans receivable | 1,476,803 | 1,494,528 | 1,563,757 | ||||
Allowance for loan losses | (11,405) | ||||||
Commercial | SBA | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Loans receivable | 320,573 | 70,981 | 75,359 | ||||
Allowance for loan losses | (3,120) | ||||||
Commercial | Construction | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Loans receivable | 197,629 | 231,350 | $ 228,561 | ||||
Allowance for loan losses | (3,906) | ||||||
Commercial | PPP loans | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Loans receivable | $ 255,800 | ||||||
Number of loans | loan | 1,128 | ||||||
Deferred loan costs/(fees) and premiums/(discounts), net | $ 4,100 | ||||||
Consumer | Single family residential mortgage | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Loans receivable | 1,234,479 | 1,590,774 | |||||
Allowance for loan losses | (10,486) | ||||||
Consumer | Other consumer | |||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||
Loans receivable | $ 35,011 | $ 54,165 | |||||
Allowance for loan losses | $ (438) |
LOANS AND ALLOWANCE FOR CREDI_4
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Credit Quality Indicators Additional Information (Details) | 9 Months Ended |
Sep. 30, 2020 | |
Receivables [Abstract] | |
Loans delinquent | 60 days |
LOANS AND ALLOWANCE FOR CREDI_5
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Risk Categories for Loans (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 |
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | $ 643,629 | ||
2019 | 895,682 | ||
2018 | 971,177 | ||
2017 | 627,131 | ||
2016 | 560,502 | ||
Prior | 804,724 | ||
Revolving Loans Amortized Cost Basis | 1,124,326 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 50,831 | ||
Total | 5,678,002 | $ 5,951,885 | $ 6,383,259 |
Pass | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total | 5,782,383 | ||
Special Mention | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total | 67,531 | ||
Substandard | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total | 99,836 | ||
Doubtful | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
Total | 2,135 | ||
Commercial | Commercial and industrial | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 79,569 | ||
2019 | 117,864 | ||
2018 | 70,943 | ||
2017 | 67,433 | ||
2016 | 58,721 | ||
Prior | 109,463 | ||
Revolving Loans Amortized Cost Basis | 1,067,616 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 15,215 | ||
Total | 1,586,824 | 1,691,270 | 1,789,478 |
Commercial | Commercial and industrial | Pass | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 78,237 | ||
2019 | 103,445 | ||
2018 | 65,134 | ||
2017 | 62,783 | ||
2016 | 47,497 | ||
Prior | 98,676 | ||
Revolving Loans Amortized Cost Basis | 1,053,219 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 10,546 | ||
Total | 1,519,537 | 1,580,269 | |
Commercial | Commercial and industrial | Special Mention | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 473 | ||
2018 | 4,605 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 1,367 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 6,445 | 45,323 | |
Commercial | Commercial and industrial | Substandard | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 1,332 | ||
2019 | 13,946 | ||
2018 | 1,204 | ||
2017 | 4,650 | ||
2016 | 11,224 | ||
Prior | 9,420 | ||
Revolving Loans Amortized Cost Basis | 13,803 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 4,669 | ||
Total | 60,248 | 65,678 | |
Commercial | Commercial and industrial | Doubtful | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 0 | ||
Revolving Loans Amortized Cost Basis | 594 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 594 | 0 | |
Commercial | Commercial real estate | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 30,740 | ||
2019 | 154,462 | ||
2018 | 223,957 | ||
2017 | 68,904 | ||
2016 | 100,223 | ||
Prior | 211,415 | ||
Revolving Loans Amortized Cost Basis | 5,791 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 31,191 | ||
Total | 826,683 | 818,817 | 891,029 |
Commercial | Commercial real estate | Pass | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 30,740 | ||
2019 | 152,605 | ||
2018 | 214,445 | ||
2017 | 68,904 | ||
2016 | 100,223 | ||
Prior | 193,518 | ||
Revolving Loans Amortized Cost Basis | 5,791 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 31,191 | ||
Total | 797,417 | 813,846 | |
Commercial | Commercial real estate | Special Mention | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 1,857 | ||
2018 | 9,512 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 5,943 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 17,312 | 2,532 | |
Commercial | Commercial real estate | Substandard | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 11,954 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 11,954 | 2,439 | |
Commercial | Commercial real estate | Doubtful | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 0 | 0 | |
Commercial | Multifamily | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 216,104 | ||
2019 | 420,664 | ||
2018 | 318,417 | ||
2017 | 233,685 | ||
2016 | 108,405 | ||
Prior | 179,528 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 1,476,803 | 1,494,528 | 1,563,757 |
Commercial | Multifamily | Pass | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 216,104 | ||
2019 | 420,664 | ||
2018 | 318,417 | ||
2017 | 233,685 | ||
2016 | 108,405 | ||
Prior | 176,740 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 1,474,015 | 1,484,931 | |
Commercial | Multifamily | Special Mention | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 803 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 803 | 4,256 | |
Commercial | Multifamily | Substandard | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 1,985 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 1,985 | 5,341 | |
Commercial | Multifamily | Doubtful | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 0 | 0 | |
Commercial | SBA | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 256,444 | ||
2019 | 15,949 | ||
2018 | 1,718 | ||
2017 | 6,199 | ||
2016 | 12,973 | ||
Prior | 21,942 | ||
Revolving Loans Amortized Cost Basis | 3,325 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 2,023 | ||
Total | 320,573 | 70,981 | 75,359 |
Commercial | SBA | Pass | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 256,444 | ||
2019 | 15,949 | ||
2018 | 1,327 | ||
2017 | 4,258 | ||
2016 | 11,855 | ||
Prior | 19,136 | ||
Revolving Loans Amortized Cost Basis | 3,021 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 445 | ||
Total | 312,435 | 60,982 | |
Commercial | SBA | Special Mention | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 219 | ||
2016 | 417 | ||
Prior | 914 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 6 | ||
Total | 1,556 | 2,760 | |
Commercial | SBA | Substandard | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 1,722 | ||
2016 | 701 | ||
Prior | 1,260 | ||
Revolving Loans Amortized Cost Basis | 304 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 1,185 | ||
Total | 5,172 | 5,621 | |
Commercial | SBA | Doubtful | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 391 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 632 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 387 | ||
Total | 1,410 | 1,618 | |
Commercial | Construction | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 31,662 | ||
2019 | 30,008 | ||
2018 | 58,963 | ||
2017 | 70,838 | ||
2016 | 6,158 | ||
Prior | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 197,629 | 231,350 | $ 228,561 |
Commercial | Construction | Pass | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 31,662 | ||
2019 | 30,008 | ||
2018 | 45,230 | ||
2017 | 70,171 | ||
2016 | 0 | ||
Prior | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 177,071 | 229,771 | |
Commercial | Construction | Special Mention | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 13,733 | ||
2017 | 667 | ||
2016 | 6,158 | ||
Prior | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 20,558 | 1,579 | |
Commercial | Construction | Substandard | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 0 | 0 | |
Commercial | Construction | Doubtful | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 0 | 0 | |
Consumer | Single family residential mortgage | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 29,067 | ||
2019 | 156,735 | ||
2018 | 297,099 | ||
2017 | 180,072 | ||
2016 | 274,022 | ||
Prior | 279,936 | ||
Revolving Loans Amortized Cost Basis | 17,548 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 1,234,479 | 1,590,774 | |
Consumer | Single family residential mortgage | Pass | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 29,067 | ||
2019 | 155,695 | ||
2018 | 294,764 | ||
2017 | 178,386 | ||
2016 | 264,039 | ||
Prior | 254,219 | ||
Revolving Loans Amortized Cost Basis | 17,548 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 1,193,718 | 1,559,253 | |
Consumer | Single family residential mortgage | Special Mention | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 1,842 | ||
2017 | 668 | ||
2016 | 4,589 | ||
Prior | 5,249 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 12,348 | 10,735 | |
Consumer | Single family residential mortgage | Substandard | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 1,040 | ||
2018 | 493 | ||
2017 | 1,018 | ||
2016 | 5,394 | ||
Prior | 20,468 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 28,413 | 20,269 | |
Consumer | Single family residential mortgage | Doubtful | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 0 | 517 | |
Consumer | Other consumer | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 43 | ||
2019 | 0 | ||
2018 | 80 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 2,440 | ||
Revolving Loans Amortized Cost Basis | 30,046 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 2,402 | ||
Total | 35,011 | 54,165 | |
Consumer | Other consumer | Pass | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 43 | ||
2019 | 0 | ||
2018 | 60 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 1,929 | ||
Revolving Loans Amortized Cost Basis | 29,453 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 2,326 | ||
Total | 33,811 | 53,331 | |
Consumer | Other consumer | Special Mention | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 20 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 31 | ||
Revolving Loans Amortized Cost Basis | 314 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | 365 | 346 | |
Consumer | Other consumer | Substandard | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 480 | ||
Revolving Loans Amortized Cost Basis | 279 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 76 | ||
Total | 835 | 488 | |
Consumer | Other consumer | Doubtful | |||
Financing Receivable, Credit Quality Indicator [Line Items] | |||
2020 | 0 | ||
2019 | 0 | ||
2018 | 0 | ||
2017 | 0 | ||
2016 | 0 | ||
Prior | 0 | ||
Revolving Loans Amortized Cost Basis | 0 | ||
Revolving Loans Amortized Cost Basis Converted to Term | 0 | ||
Total | $ 0 | $ 0 |
LOANS AND ALLOWANCE FOR CREDI_6
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Aging of Recorded Investment in Past Due Loans (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 |
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | $ 83,038 | $ 57,607 | |
Current | 5,594,964 | 5,894,278 | |
Total | 5,678,002 | 5,951,885 | $ 6,383,259 |
30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 43,564 | 19,290 | |
60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 7,665 | 13,583 | |
Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 31,809 | 24,734 | |
Traditional Loans | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 54,610 | 37,080 | |
Current | 5,154,896 | 5,314,149 | |
Total | 5,209,506 | 5,351,229 | |
Traditional Loans | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 35,220 | 15,317 | |
Traditional Loans | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 6,585 | 10,048 | |
Traditional Loans | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 12,805 | 11,715 | |
Consumer | Single family residential mortgage | |||
Financing Receivable, Past Due [Line Items] | |||
Total | 1,234,479 | 1,590,774 | |
Consumer | Other consumer | |||
Financing Receivable, Past Due [Line Items] | |||
Total | 35,011 | 54,165 | |
Consumer | Non-Traditional Mortgage (NTM) loans | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 28,428 | 20,527 | |
Current | 440,068 | 580,129 | |
Total | 468,496 | 600,656 | |
Consumer | Non-Traditional Mortgage (NTM) loans | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 8,344 | 3,973 | |
Consumer | Non-Traditional Mortgage (NTM) loans | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 1,080 | 3,535 | |
Consumer | Non-Traditional Mortgage (NTM) loans | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 19,004 | 13,019 | |
Consumer | Non-Traditional Mortgage (NTM) loans | Single family residential mortgage | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 28,428 | 20,527 | |
Current | 438,460 | 577,830 | |
Total | 466,888 | 598,357 | |
Consumer | Non-Traditional Mortgage (NTM) loans | Single family residential mortgage | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 8,344 | 3,973 | |
Consumer | Non-Traditional Mortgage (NTM) loans | Single family residential mortgage | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 1,080 | 3,535 | |
Consumer | Non-Traditional Mortgage (NTM) loans | Single family residential mortgage | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 19,004 | 13,019 | |
Consumer | Non-Traditional Mortgage (NTM) loans | Other consumer | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Current | 1,608 | 2,299 | |
Total | 1,608 | 2,299 | |
Consumer | Non-Traditional Mortgage (NTM) loans | Other consumer | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Consumer | Non-Traditional Mortgage (NTM) loans | Other consumer | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Consumer | Non-Traditional Mortgage (NTM) loans | Other consumer | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Consumer | Traditional Loans | Single family residential mortgage | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 42,644 | 22,854 | |
Current | 724,947 | 969,563 | |
Total | 767,591 | 992,417 | |
Consumer | Traditional Loans | Single family residential mortgage | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 33,387 | 13,752 | |
Consumer | Traditional Loans | Single family residential mortgage | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 4,628 | 3,496 | |
Consumer | Traditional Loans | Single family residential mortgage | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 4,629 | 5,606 | |
Consumer | Traditional Loans | Other consumer | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 1,072 | 334 | |
Current | 32,331 | 51,532 | |
Total | 33,403 | 51,866 | |
Consumer | Traditional Loans | Other consumer | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 846 | 199 | |
Consumer | Traditional Loans | Other consumer | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 226 | 40 | |
Consumer | Traditional Loans | Other consumer | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 95 | |
Commercial | Commercial and industrial | |||
Financing Receivable, Past Due [Line Items] | |||
Total | 1,586,824 | 1,691,270 | 1,789,478 |
Commercial | Commercial real estate | |||
Financing Receivable, Past Due [Line Items] | |||
Total | 826,683 | 818,817 | 891,029 |
Commercial | Multifamily | |||
Financing Receivable, Past Due [Line Items] | |||
Total | 1,476,803 | 1,494,528 | 1,563,757 |
Commercial | SBA | |||
Financing Receivable, Past Due [Line Items] | |||
Total | 320,573 | 70,981 | 75,359 |
Commercial | Construction | |||
Financing Receivable, Past Due [Line Items] | |||
Total | 197,629 | 231,350 | $ 228,561 |
Commercial | Traditional Loans | Commercial and industrial | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 5,801 | 10,312 | |
Current | 1,581,023 | 1,680,958 | |
Total | 1,586,824 | 1,691,270 | |
Commercial | Traditional Loans | Commercial and industrial | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 142 | 780 | |
Commercial | Traditional Loans | Commercial and industrial | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 18 | 5,670 | |
Commercial | Traditional Loans | Commercial and industrial | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 5,641 | 3,862 | |
Commercial | Traditional Loans | Commercial real estate | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Current | 826,683 | 818,817 | |
Total | 826,683 | 818,817 | |
Commercial | Traditional Loans | Commercial real estate | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Commercial | Traditional Loans | Commercial real estate | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Commercial | Traditional Loans | Commercial real estate | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Commercial | Traditional Loans | Multifamily | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 803 | 0 | |
Current | 1,476,000 | 1,494,528 | |
Total | 1,476,803 | 1,494,528 | |
Commercial | Traditional Loans | Multifamily | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Commercial | Traditional Loans | Multifamily | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 803 | 0 | |
Commercial | Traditional Loans | Multifamily | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Commercial | Traditional Loans | SBA | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 4,290 | 3,580 | |
Current | 316,283 | 67,401 | |
Total | 320,573 | 70,981 | |
Commercial | Traditional Loans | SBA | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 845 | 586 | |
Commercial | Traditional Loans | SBA | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 910 | 842 | |
Commercial | Traditional Loans | SBA | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 2,535 | 2,152 | |
Commercial | Traditional Loans | Construction | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Current | 197,629 | 231,350 | |
Total | 197,629 | 231,350 | |
Commercial | Traditional Loans | Construction | 30 - 59 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Commercial | Traditional Loans | Construction | 60 - 89 Days Past Due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | 0 | 0 | |
Commercial | Traditional Loans | Construction | Greater than 89 Days Past due | |||
Financing Receivable, Past Due [Line Items] | |||
Total Past Due | $ 0 | $ 0 |
LOANS AND ALLOWANCE FOR CREDI_7
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Composition of Nonaccrual Loans (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | $ 66,337 | $ 43,354 |
Nonaccrual Loans with no ACL | 44,142 | 16,564 |
NTM Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 20,619 | 13,019 |
Traditional Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 45,718 | 30,335 |
Commercial | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 28,042 | 19,114 |
Nonaccrual Loans with no ACL | 11,027 | 337 |
Commercial | Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 6,471 | 0 |
Nonaccrual Loans with no ACL | 6,471 | 0 |
Commercial | SBA | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 4,919 | 5,230 |
Nonaccrual Loans with no ACL | 1,621 | 1,474 |
Commercial | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 0 | 0 |
Nonaccrual Loans with no ACL | 0 | 0 |
Commercial | NTM Loans | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 0 | 0 |
Commercial | NTM Loans | Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 0 | 0 |
Commercial | NTM Loans | SBA | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 0 | 0 |
Commercial | NTM Loans | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 0 | 0 |
Commercial | Traditional Loans | Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 28,042 | 19,114 |
Commercial | Traditional Loans | Commercial real estate | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 6,471 | 0 |
Commercial | Traditional Loans | SBA | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 4,919 | 5,230 |
Commercial | Traditional Loans | Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 0 | 0 |
Consumer | Single family residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 26,267 | 18,625 |
Nonaccrual Loans with no ACL | 24,385 | 14,373 |
Consumer | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 638 | 385 |
Nonaccrual Loans with no ACL | 638 | 380 |
Consumer | NTM Loans | Single family residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 20,619 | 13,019 |
Consumer | NTM Loans | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 0 | 0 |
Consumer | Traditional Loans | Single family residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | 5,648 | 5,606 |
Consumer | Traditional Loans | Other consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Total non-accrual loans | $ 638 | $ 385 |
LOANS AND ALLOWANCE FOR CREDI_8
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Nonaccrual Loans and Leases Additional Information (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Financing Receivable, Past Due [Line Items] | ||
Loans 90 days past due and still accruing | $ 547 | $ 547 |
Loans on non-accrual status | 66,337 | 43,354 |
Consumer | Single family residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Loans on non-accrual status | 26,267 | 18,625 |
Loans in process of foreclosure | 3,700 | 15,700 |
NTM Loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans on non-accrual status | 20,619 | 13,019 |
NTM Loans | Consumer | Single family residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Loans on non-accrual status | 20,619 | 13,019 |
NTM Loans | Green Loans | Non-performing loans | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Loans on non-accrual status | 4,500 | 1,500 |
Green Loans (HELOC) - first liens | NTM Loans | Interest Only Loans | Non-performing loans | Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Loans on non-accrual status | $ 16,100 | $ 11,500 |
LOANS AND ALLOWANCE FOR CREDI_9
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Allowance for Credit Losses Additional Information (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||||||
Sep. 30, 2020USD ($) | Jun. 30, 2020USD ($) | Sep. 30, 2019USD ($)Loan | Sep. 30, 2020USD ($) | Sep. 30, 2019USD ($) | Jan. 01, 2020USD ($) | Dec. 31, 2019USD ($) | Jun. 30, 2019USD ($) | Dec. 31, 2018USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Unfunded loan commitments | $ 90,927 | $ 90,927 | $ 57,649 | $ 57,649 | |||||
Provision for credit losses | 1,141 | $ 11,826 | $ 38,607 | 28,728 | $ 38,805 | ||||
Collateral lending relationship threshold | $ 5,000 | ||||||||
Unfunded Loan Commitment | |||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Unfunded loan commitments | 3,200 | 3,200 | 4,100 | ||||||
Number of loans | Loan | 53 | ||||||||
Commitments represented | $ 536,000 | ||||||||
Commercial real estate | |||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Unfunded loan commitments | 94,133 | $ 94,565 | 67,289 | 94,133 | 67,289 | 61,713 | $ 63,818 | $ 66,814 | |
Net charge-off | 1,573 | 35,136 | 2,691 | 38,330 | |||||
Provision for credit losses | 1,141 | 38,607 | 28,728 | $ 38,805 | |||||
Commercial | Commercial real estate | |||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Unfunded loan commitments | 5,941 | ||||||||
Commercial | Commercial and industrial | |||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Unfunded loan commitments | $ 22,353 | ||||||||
Provision for credit losses | 3,000 | ||||||||
Loans receivable | |||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Accrued interest receivable on loans receivable | $ 25,800 | $ 25,800 | $ 18,900 | ||||||
Loans receivable | Commercial | |||||||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||||||
Net charge-off | $ 35,100 |
LOANS AND ALLOWANCE FOR CRED_10
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Allowance for Loan Losses (Detail) - USD ($) $ in Thousands | Jan. 01, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||
Balance at beginning of period | $ 57,649 | $ 57,649 | |||||
Provision for credit losses | $ 1,141 | $ 11,826 | $ 38,607 | 28,728 | $ 38,805 | ||
Balance at end of period | $ 57,649 | 90,927 | $ 90,927 | $ 57,649 | |||
Accounting Standards Update [Extensible List] | us-gaap:AccountingStandardsUpdate201613Member | us-gaap:AccountingStandardsUpdate201613Member | us-gaap:AccountingStandardsUpdate201613Member | ||||
Loans | |||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||
Balance at beginning of period | $ 61,713 | 94,565 | 63,818 | $ 61,713 | 66,814 | $ 66,814 | |
Charge-offs | (1,821) | (35,546) | (3,897) | (39,060) | |||
Recoveries | 248 | 410 | 1,206 | 730 | |||
Net (charge-offs) recoveries | (1,573) | (35,136) | (2,691) | (38,330) | |||
Provision for credit losses | 1,141 | 38,607 | 28,728 | 38,805 | |||
Balance at end of period | 94,133 | 94,565 | 67,289 | 94,133 | 67,289 | 61,713 | |
Impact of adopting ASU 2016-13 | |||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||
Balance at end of period | 7,609 | ||||||
Impact of adopting ASU 2016-13 | Loans | |||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||
Balance at beginning of period | 6,383 | 6,383 | 0 | 0 | |||
Balance at end of period | 6,383 | ||||||
Allowance for Loan Losses | |||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||
Balance at beginning of period | 57,649 | 90,370 | 59,523 | 57,649 | 62,192 | 62,192 | |
Charge-offs | (1,821) | (35,546) | (3,897) | (39,060) | |||
Recoveries | 248 | 410 | 1,206 | 730 | |||
Net (charge-offs) recoveries | (1,573) | (35,136) | (2,691) | (38,330) | |||
Provision for credit losses | 2,130 | 38,540 | 28,360 | 39,065 | |||
Balance at end of period | 90,927 | 90,370 | 62,927 | 90,927 | 62,927 | 57,649 | |
Allowance for Loan Losses | Loans | |||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||
Balance at beginning of period | 57,649 | 90,370 | 59,523 | 57,649 | 62,192 | 62,192 | |
Charge-offs | (1,821) | (35,546) | (3,897) | (39,060) | |||
Recoveries | 248 | 410 | 1,206 | 730 | |||
Net (charge-offs) recoveries | (1,573) | (35,136) | (2,691) | (38,330) | |||
Provision for credit losses | 2,130 | 38,540 | 28,360 | 39,065 | |||
Balance at end of period | 90,927 | 90,370 | 62,927 | 90,927 | 62,927 | 57,649 | |
Allowance for Loan Losses | Impact of adopting ASU 2016-13 | |||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||
Balance at beginning of period | 7,609 | 7,609 | |||||
Balance at end of period | 7,609 | ||||||
Allowance for Loan Losses | Impact of adopting ASU 2016-13 | Loans | |||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||
Balance at beginning of period | 7,609 | 7,609 | 0 | 0 | |||
Balance at end of period | 7,609 | ||||||
Reserve for Unfunded Loan Commitments | Loans | |||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||
Balance at beginning of period | 4,064 | 4,195 | 4,295 | 4,064 | 4,622 | 4,622 | |
Charge-offs | 0 | 0 | 0 | 0 | |||
Recoveries | 0 | 0 | 0 | 0 | |||
Net (charge-offs) recoveries | 0 | 0 | 0 | 0 | |||
Provision for credit losses | (989) | 67 | 368 | (260) | |||
Balance at end of period | $ 3,206 | $ 4,195 | $ 4,362 | 3,206 | 4,362 | 4,064 | |
Reserve for Unfunded Loan Commitments | Impact of adopting ASU 2016-13 | Loans | |||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||
Balance at beginning of period | $ (1,226) | $ (1,226) | $ 0 | 0 | |||
Balance at end of period | $ (1,226) |
LOANS AND ALLOWANCE FOR CRED_11
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Allowance for Loan Losses and Recorded Investment Excluding Accrued Interest in Loans (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||||
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | $ 57,649 | |||||
Provision for credit losses | $ 1,141 | $ 11,826 | $ 38,607 | 28,728 | $ 38,805 | |
Balance at end of period | 90,927 | 90,927 | ||||
Loans: | ||||||
Individually evaluated for impairment | 71,504 | 51,720 | 71,504 | 51,720 | ||
Collectively evaluated for impairment | 5,606,498 | 6,331,539 | 5,606,498 | 6,331,539 | ||
Total | 5,678,002 | 6,383,259 | 5,678,002 | 6,383,259 | $ 5,951,885 | |
Commercial real estate | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 94,565 | 63,818 | 61,713 | 66,814 | ||
Charge-offs | (1,821) | (35,546) | (3,897) | (39,060) | ||
Recoveries of loans previously charged off | 248 | 410 | 1,206 | 730 | ||
Net (charge-offs) recoveries | (1,573) | (35,136) | (2,691) | (38,330) | ||
Provision for credit losses | 1,141 | 38,607 | 28,728 | 38,805 | ||
Balance at end of period | 94,133 | 94,565 | 67,289 | 94,133 | 67,289 | |
Commercial | Commercial and industrial | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Provision for credit losses | 3,000 | |||||
Loans: | ||||||
Individually evaluated for impairment | 28,475 | 22,042 | 28,475 | 22,042 | ||
Collectively evaluated for impairment | 1,558,349 | 1,767,436 | 1,558,349 | 1,767,436 | ||
Total | 1,586,824 | 1,789,478 | 1,586,824 | 1,789,478 | 1,691,270 | |
Commercial | Commercial real estate | ||||||
Loans: | ||||||
Individually evaluated for impairment | 6,471 | 0 | 6,471 | 0 | ||
Collectively evaluated for impairment | 820,212 | 891,029 | 820,212 | 891,029 | ||
Total | 826,683 | 891,029 | 826,683 | 891,029 | 818,817 | |
Commercial | Multifamily | ||||||
Loans: | ||||||
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||
Collectively evaluated for impairment | 1,476,803 | 1,563,757 | 1,476,803 | 1,563,757 | ||
Total | 1,476,803 | 1,563,757 | 1,476,803 | 1,563,757 | 1,494,528 | |
Commercial | SBA | ||||||
Loans: | ||||||
Individually evaluated for impairment | 4,865 | 5,696 | 4,865 | 5,696 | ||
Collectively evaluated for impairment | 315,708 | 69,663 | 315,708 | 69,663 | ||
Total | 320,573 | 75,359 | 320,573 | 75,359 | 70,981 | |
Commercial | Construction | ||||||
Loans: | ||||||
Individually evaluated for impairment | 0 | 2,519 | 0 | 2,519 | ||
Collectively evaluated for impairment | 197,629 | 226,042 | 197,629 | 226,042 | ||
Total | 197,629 | 228,561 | 197,629 | 228,561 | $ 231,350 | |
Commercial | Lease Financing | ||||||
Loans: | ||||||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 0 | 0 | ||||
Total | 0 | 0 | ||||
Consumer | Single Family Residential Mortgage | ||||||
Loans: | ||||||
Individually evaluated for impairment | 31,055 | 20,641 | 31,055 | 20,641 | ||
Collectively evaluated for impairment | 1,203,424 | 1,755,312 | 1,203,424 | 1,755,312 | ||
Total | 1,234,479 | 1,775,953 | 1,234,479 | 1,775,953 | ||
Consumer | Other Consumer | ||||||
Loans: | ||||||
Individually evaluated for impairment | 638 | 822 | 638 | 822 | ||
Collectively evaluated for impairment | 34,373 | 58,300 | 34,373 | 58,300 | ||
Total | 35,011 | 59,122 | 35,011 | 59,122 | ||
Allowance for Loan Losses | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 90,370 | 59,523 | 57,649 | 62,192 | ||
Charge-offs | (1,821) | (35,546) | (3,897) | (39,060) | ||
Recoveries of loans previously charged off | 248 | 410 | 1,206 | 730 | ||
Net (charge-offs) recoveries | (1,573) | (35,136) | (2,691) | (38,330) | ||
Provision for credit losses | 2,130 | 38,540 | 28,360 | 39,065 | ||
Balance at end of period | 90,927 | 90,370 | 62,927 | 90,927 | 62,927 | |
Individually evaluated for impairment | 13,762 | 7,493 | 13,762 | 7,493 | ||
Collectively evaluated for impairment | 77,165 | 55,434 | 77,165 | 55,434 | ||
Allowance for Loan Losses | Commercial real estate | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 90,370 | 59,523 | 57,649 | 62,192 | ||
Charge-offs | (1,821) | (35,546) | (3,897) | (39,060) | ||
Recoveries of loans previously charged off | 248 | 410 | 1,206 | 730 | ||
Net (charge-offs) recoveries | (1,573) | (35,136) | (2,691) | (38,330) | ||
Provision for credit losses | 2,130 | 38,540 | 28,360 | 39,065 | ||
Balance at end of period | 90,927 | 90,370 | 62,927 | 90,927 | 62,927 | |
Allowance for Loan Losses | Commercial | Commercial and industrial | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 26,618 | 21,529 | 22,353 | 18,191 | ||
Charge-offs | (1,597) | (34,673) | (2,761) | (36,788) | ||
Recoveries of loans previously charged off | 116 | 59 | 265 | 103 | ||
Net (charge-offs) recoveries | (1,481) | (34,614) | (2,496) | (36,685) | ||
Provision for credit losses | 1,454 | 37,660 | 6,072 | 43,069 | ||
Balance at end of period | 26,591 | 26,618 | 24,575 | 26,591 | 24,575 | |
Individually evaluated for impairment | 11,162 | 4,614 | 11,162 | 4,614 | ||
Collectively evaluated for impairment | 15,429 | 19,961 | 15,429 | 19,961 | ||
Allowance for Loan Losses | Commercial | Commercial real estate | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 17,372 | 6,877 | 5,941 | 6,674 | ||
Charge-offs | 0 | 0 | 0 | 0 | ||
Recoveries of loans previously charged off | 0 | 0 | 0 | 0 | ||
Net (charge-offs) recoveries | 0 | 0 | 0 | 0 | ||
Provision for credit losses | 2,001 | (298) | 8,585 | (95) | ||
Balance at end of period | 19,373 | 17,372 | 6,579 | 19,373 | 6,579 | |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||
Collectively evaluated for impairment | 19,373 | 6,579 | 19,373 | 6,579 | ||
Allowance for Loan Losses | Commercial | Multifamily | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 25,105 | 12,625 | 11,405 | 17,970 | ||
Charge-offs | 0 | 0 | 0 | (6) | ||
Recoveries of loans previously charged off | 0 | 0 | 0 | 0 | ||
Net (charge-offs) recoveries | 0 | 0 | 0 | (6) | ||
Provision for credit losses | 454 | (660) | 12,345 | (5,999) | ||
Balance at end of period | 25,559 | 25,105 | 11,965 | 25,559 | 11,965 | |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||
Collectively evaluated for impairment | 25,559 | 11,965 | 25,559 | 11,965 | ||
Allowance for Loan Losses | Commercial | SBA | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 4,184 | 3,120 | 3,120 | 1,827 | ||
Charge-offs | (224) | (738) | (580) | (1,086) | ||
Recoveries of loans previously charged off | 132 | 50 | 253 | 151 | ||
Net (charge-offs) recoveries | (92) | (688) | (327) | (935) | ||
Provision for credit losses | (535) | 1,686 | 376 | 3,226 | ||
Balance at end of period | 3,557 | 4,184 | 4,118 | 3,557 | 4,118 | |
Individually evaluated for impairment | 2,409 | 2,858 | 2,409 | 2,858 | ||
Collectively evaluated for impairment | 1,148 | 1,260 | 1,148 | 1,260 | ||
Allowance for Loan Losses | Commercial | Construction | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 6,675 | 3,715 | 3,906 | 3,461 | ||
Charge-offs | 0 | 0 | 0 | 0 | ||
Recoveries of loans previously charged off | 0 | 0 | 0 | 0 | ||
Net (charge-offs) recoveries | 0 | 0 | 0 | 0 | ||
Provision for credit losses | (470) | 165 | 2,196 | 419 | ||
Balance at end of period | 6,205 | 6,675 | 3,880 | 6,205 | 3,880 | |
Individually evaluated for impairment | 0 | 0 | 0 | 0 | ||
Collectively evaluated for impairment | 6,205 | 3,880 | 6,205 | 3,880 | ||
Allowance for Loan Losses | Commercial | Lease Financing | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 0 | 0 | ||||
Charge-offs | 0 | 0 | ||||
Recoveries of loans previously charged off | 3 | 9 | ||||
Net (charge-offs) recoveries | 3 | 9 | ||||
Provision for credit losses | (3) | (9) | ||||
Balance at end of period | 0 | 0 | ||||
Individually evaluated for impairment | 0 | 0 | ||||
Collectively evaluated for impairment | 0 | 0 | ||||
Allowance for Loan Losses | Consumer | Single Family Residential Mortgage | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 9,665 | 11,072 | 10,486 | 13,128 | ||
Charge-offs | 0 | (135) | (552) | (1,086) | ||
Recoveries of loans previously charged off | 0 | 0 | 639 | 150 | ||
Net (charge-offs) recoveries | 0 | (135) | 87 | (936) | ||
Provision for credit losses | (689) | 342 | (1,177) | (913) | ||
Balance at end of period | 8,976 | 9,665 | 11,279 | 8,976 | 11,279 | |
Individually evaluated for impairment | 191 | 0 | 191 | 0 | ||
Collectively evaluated for impairment | 8,785 | 11,279 | 8,785 | 11,279 | ||
Allowance for Loan Losses | Consumer | Other Consumer | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 751 | 585 | 438 | 941 | ||
Charge-offs | 0 | 0 | (4) | (94) | ||
Recoveries of loans previously charged off | 0 | 298 | 49 | 317 | ||
Net (charge-offs) recoveries | 0 | 298 | 45 | 223 | ||
Provision for credit losses | (85) | (352) | (37) | (633) | ||
Balance at end of period | 666 | $ 751 | 531 | 666 | 531 | |
Individually evaluated for impairment | 0 | 21 | 0 | 21 | ||
Collectively evaluated for impairment | $ 666 | $ 510 | 666 | 510 | ||
Impact of adopting ASU 2016-13 | Commercial real estate | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 6,383 | 0 | ||||
Impact of adopting ASU 2016-13 | Allowance for Loan Losses | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 7,609 | |||||
Impact of adopting ASU 2016-13 | Allowance for Loan Losses | Commercial real estate | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 7,609 | $ 0 | ||||
Impact of adopting ASU 2016-13 | Allowance for Loan Losses | Commercial | Commercial and industrial | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 662 | |||||
Impact of adopting ASU 2016-13 | Allowance for Loan Losses | Commercial | Commercial real estate | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 4,847 | |||||
Impact of adopting ASU 2016-13 | Allowance for Loan Losses | Commercial | Multifamily | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 1,809 | |||||
Impact of adopting ASU 2016-13 | Allowance for Loan Losses | Commercial | SBA | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 388 | |||||
Impact of adopting ASU 2016-13 | Allowance for Loan Losses | Commercial | Construction | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | 103 | |||||
Impact of adopting ASU 2016-13 | Allowance for Loan Losses | Consumer | Single Family Residential Mortgage | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | (420) | |||||
Impact of adopting ASU 2016-13 | Allowance for Loan Losses | Consumer | Other Consumer | ||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | ||||||
Balance at beginning of period | $ 220 |
LOANS AND ALLOWANCE FOR CRED_12
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Loans Individually Evaluated for Impairment by Class of Loans (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Unpaid Principal Balance | |||||
Total | $ 72,408 | $ 72,408 | $ 49,814 | ||
Recorded Investment | |||||
Total | 71,504 | 71,504 | 49,708 | ||
Allowance for Loan and Lease Losses | 13,762 | 13,762 | 5,990 | ||
Average Recorded Investment | 67,076 | $ 52,514 | 68,030 | $ 44,518 | |
Interest Income Recognized | 85 | 106 | 241 | 492 | |
Cash Basis Interest Recognized | 34 | 93 | 162 | 458 | |
Commercial | Commercial and industrial | |||||
Unpaid Principal Balance | |||||
With no related allowance recorded | 11,533 | 11,533 | 1,471 | ||
With an allowance recorded | 17,020 | 17,020 | 18,776 | ||
Recorded Investment | |||||
With no related allowance recorded | 11,460 | 11,460 | 1,460 | ||
With an allowance recorded | 17,015 | 17,015 | 18,776 | ||
Allowance for Loan and Lease Losses | 11,162 | 11,162 | 3,367 | ||
Average Recorded Investment | 22,016 | 22,619 | 24,973 | 16,154 | |
Interest Income Recognized | 10 | 40 | 47 | 295 | |
Cash Basis Interest Recognized | 11 | 32 | 50 | 286 | |
Commercial | Commercial real estate | |||||
Unpaid Principal Balance | |||||
With no related allowance recorded | 6,741 | 6,741 | 0 | ||
Recorded Investment | |||||
With no related allowance recorded | 6,471 | 6,471 | 0 | ||
Average Recorded Investment | 6,593 | 0 | 4,859 | 193 | |
Interest Income Recognized | 0 | 0 | 0 | 0 | |
Cash Basis Interest Recognized | 0 | 0 | 0 | 0 | |
Commercial | SBA | |||||
Unpaid Principal Balance | |||||
With no related allowance recorded | 1,622 | 1,622 | 1,439 | ||
With an allowance recorded | 3,482 | 3,482 | 3,921 | ||
Recorded Investment | |||||
With no related allowance recorded | 1,566 | 1,566 | 1,379 | ||
With an allowance recorded | 3,299 | 3,299 | 3,757 | ||
Allowance for Loan and Lease Losses | 2,409 | 2,409 | 2,045 | ||
Average Recorded Investment | 5,235 | 5,843 | 5,274 | 4,328 | |
Interest Income Recognized | 3 | 4 | 9 | 12 | |
Cash Basis Interest Recognized | 3 | 4 | 10 | 12 | |
Commercial | Construction | |||||
Recorded Investment | |||||
Average Recorded Investment | 2,519 | 2,519 | |||
Interest Income Recognized | 0 | 0 | |||
Cash Basis Interest Recognized | 0 | 0 | |||
Consumer | Single family residential mortgage | |||||
Unpaid Principal Balance | |||||
With no related allowance recorded | 29,048 | 29,048 | 19,319 | ||
With an allowance recorded | 1,869 | 1,869 | 4,213 | ||
Recorded Investment | |||||
With no related allowance recorded | 29,174 | 29,174 | 19,405 | ||
With an allowance recorded | 1,881 | 1,881 | 4,252 | ||
Allowance for Loan and Lease Losses | 191 | 191 | 574 | ||
Average Recorded Investment | 31,457 | 20,706 | 31,432 | 20,374 | |
Interest Income Recognized | 72 | 59 | 182 | 175 | |
Cash Basis Interest Recognized | 20 | 53 | 99 | 150 | |
Consumer | Other consumer | |||||
Unpaid Principal Balance | |||||
With no related allowance recorded | 1,093 | 1,093 | 671 | ||
With an allowance recorded | 0 | 0 | 4 | ||
Recorded Investment | |||||
With no related allowance recorded | 638 | 638 | 675 | ||
With an allowance recorded | 0 | 0 | 4 | ||
Allowance for Loan and Lease Losses | 0 | 0 | $ 4 | ||
Average Recorded Investment | 1,775 | 827 | 1,492 | 950 | |
Interest Income Recognized | 0 | 3 | 3 | 10 | |
Cash Basis Interest Recognized | $ 0 | $ 4 | $ 3 | $ 10 |
LOANS AND ALLOWANCE FOR CRED_13
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Components of Troubled Debt Restructured Loans and Leases (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | $ 25,410 | $ 21,837 |
NTM Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 2,620 | 2,932 |
Traditional Loans | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 22,790 | 18,905 |
Commercial | Commercial and industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 20,355 | 16,245 |
Commercial | SBA | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 266 | 266 |
Commercial | NTM Loans | Commercial and industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 0 | 0 |
Commercial | NTM Loans | SBA | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 0 | 0 |
Commercial | Traditional Loans | Commercial and industrial | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 20,355 | 16,245 |
Commercial | Traditional Loans | SBA | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 266 | 266 |
Consumer | Single family residential mortgage | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 4,789 | 5,032 |
Consumer | Other consumer | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 0 | 294 |
Consumer | NTM Loans | Single family residential mortgage | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 2,620 | 2,638 |
Consumer | NTM Loans | Other consumer | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 0 | 294 |
Consumer | Traditional Loans | Single family residential mortgage | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | 2,169 | 2,394 |
Consumer | Traditional Loans | Other consumer | ||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||
Troubled debt restructured loans and leases | $ 0 | $ 0 |
LOANS AND ALLOWANCE FOR CRED_14
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Troubled Debt Restructurings Additional Information (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020USD ($)loan | Sep. 30, 2019loan | Sep. 30, 2020USD ($)loan | Sep. 30, 2019loan | Dec. 31, 2019USD ($) | |
Receivables [Abstract] | |||||
Commitments to lend to customers with outstanding loans classified as TDRs | $ 157 | $ 157 | $ 135 | ||
Accruing TDRs | 5,400 | 5,400 | 6,600 | ||
Nonaccruing TDRs | $ 20,000 | $ 20,000 | $ 15,200 | ||
Number of loans modified that had payments default during the period | loan | 0 | 0 | 1 | 0 |
LOANS AND ALLOWANCE FOR CRED_15
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Loans by Class Modified as Troubled Debt Restructurings (Detail) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020USD ($)loan | Sep. 30, 2019USD ($)loan | Sep. 30, 2020USD ($)loan | Sep. 30, 2019USD ($)loan | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 12 | |||
Post-Modification Outstanding Recorded Investment | $ 17,889 | |||
Commercial | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | 0 | 1 | 12 |
Pre- Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 5,000 | $ 20,553 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 5,000 | $ 17,889 |
Commercial | Commercial and industrial | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | 0 | 1 | 10 |
Pre- Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 5,000 | $ 17,339 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 | $ 5,000 | $ 17,020 |
Commercial | SBA | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | 2 | ||
Pre- Modification Outstanding Recorded Investment | $ 0 | $ 3,214 | ||
Post-Modification Outstanding Recorded Investment | $ 0 | $ 869 |
LOANS AND ALLOWANCE FOR CRED_16
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Summary of TDR Modification Type (Details) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020USD ($)loan | Sep. 30, 2019USD ($)loan | Sep. 30, 2020USD ($)loan | Sep. 30, 2019USD ($)loan | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 12 | |||
Post-Modification Outstanding Recorded Investment | $ | $ 17,889 | |||
Change in Principal Payments and Interest Rates | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 12 | |||
Post-Modification Outstanding Recorded Investment | $ | $ 17,889 | |||
Change in Principal Payments | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | |||
Post-Modification Outstanding Recorded Investment | $ | $ 0 | |||
Commercial | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | 0 | 1 | 12 |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 5,000 | $ 17,889 |
Commercial | Change in Principal Payments and Interest Rates | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | 0 | 1 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 5,000 | |
Commercial | Change in Principal Payments | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | 0 | 0 | |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 0 | |
Commercial | Commercial and industrial | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | 0 | 1 | 10 |
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | $ 5,000 | $ 17,020 |
Commercial | Commercial and industrial | Change in Principal Payments and Interest Rates | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 1 | 10 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 5,000 | $ 17,020 | ||
Commercial | Commercial and industrial | Change in Principal Payments | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | 0 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 0 | ||
Commercial | SBA | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | 2 | ||
Post-Modification Outstanding Recorded Investment | $ | $ 0 | $ 869 | ||
Commercial | SBA | Change in Principal Payments and Interest Rates | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 2 | |||
Post-Modification Outstanding Recorded Investment | $ | $ 869 | |||
Commercial | SBA | Change in Principal Payments | ||||
Financing Receivable, Troubled Debt Restructuring [Line Items] | ||||
Number of Loans | loan | 0 | |||
Post-Modification Outstanding Recorded Investment | $ | $ 0 |
LOANS AND ALLOWANCE FOR CRED_17
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Purchases, Sales, and Transfers (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Purchases of loans (excluding loans held-for-sale) | $ 129,000,000 | $ 0 | $ 154,900,000 | $ 0 | |
Transfers from Held-For-Sale | 0 | 0 | |||
Transfers (to) Held-For-Sale | (559,000) | (1,127,898,000) | |||
Gain (loss) on sale of loans | 272,000 | $ 0 | 4,310,000 | 245,000 | 8,629,000 |
Commercial | Commercial real estate | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Transfers from Held-For-Sale | 0 | 0 | |||
Transfers (to) Held-For-Sale | 0 | (573,000) | |||
Commercial | Multifamily | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Transfers from Held-For-Sale | 0 | 0 | |||
Transfers (to) Held-For-Sale | 0 | (752,087,000) | |||
Loans sold | 573,500,000 | 751,600,000 | |||
Gain (loss) on sale of loans | 8,900,000 | 11,700,000 | |||
Commercial | SBA | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Transfers from Held-For-Sale | 0 | 0 | |||
Transfers (to) Held-For-Sale | (559,000) | (559,000) | |||
Consumer | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Transfers from Held-For-Sale | 0 | 0 | |||
Transfers (to) Held-For-Sale | 0 | 0 | |||
Consumer | Multifamily | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Transfers (to) Held-For-Sale | (573,900,000) | ||||
Consumer | Single family residential mortgage | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Transfers from Held-For-Sale | 0 | 0 | |||
Transfers (to) Held-For-Sale | 0 | (374,679,000) | |||
Loans sold | 17,600,000 | 144,000 | 17,600,000 | 374,800,000 | |
Gain (loss) on sale of loans | $ 297,000 | $ 8,000 | $ 297,000 | $ 1,800,000 |
LOANS AND ALLOWANCE FOR CRED_18
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Non Traditional Mortgage Loans Additional Information (Details) | Sep. 30, 2020portfolio_product |
NTM Loans | Interest-only | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Number of interest-only products | 3 |
LOANS AND ALLOWANCE FOR CRED_19
LOANS AND ALLOWANCE FOR CREDIT LOSSES - Non Traditional Mortgages Portfolio (Detail) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020USD ($)loan | Dec. 31, 2019USD ($)loan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 5,678,002 | $ 5,951,885 |
NTM Loans | Loan Portfolio Concentration Risk | Loan Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk percentage (percent) | 8.30% | 10.10% |
Consumer | NTM Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | loan | 365 | 461 |
Total loans | $ 468,496 | $ 600,656 |
Consumer | NTM Loans | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk percentage (percent) | 100.00% | 100.00% |
Consumer | NTM Loans | Green Loans (HELOC) - first liens | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | loan | 360 | 454 |
Total loans | $ 466,888 | $ 598,357 |
Consumer | NTM Loans | Green Loans (HELOC) - first liens | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk percentage (percent) | 99.70% | 99.60% |
Consumer | NTM Loans | Green Loans (HELOC) - first liens | Green Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | loan | 57 | 69 |
Total loans | $ 39,180 | $ 49,959 |
Consumer | NTM Loans | Green Loans (HELOC) - first liens | Green Loans | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk percentage (percent) | 8.40% | 8.30% |
Consumer | NTM Loans | Green Loans (HELOC) - first liens | Interest Only Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | loan | 295 | 376 |
Total loans | $ 425,406 | $ 545,371 |
Consumer | NTM Loans | Green Loans (HELOC) - first liens | Interest Only Loans | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk percentage (percent) | 90.80% | 90.80% |
Consumer | NTM Loans | Green Loans (HELOC) - first liens | Negative amortization | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | loan | 8 | 9 |
Total loans | $ 2,302 | $ 3,027 |
Consumer | NTM Loans | Green Loans (HELOC) - first liens | Negative amortization | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk percentage (percent) | 0.50% | 0.50% |
Consumer | NTM Loans | Green Loans (HELOC) - second liens | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | loan | 5 | 7 |
Total loans | $ 1,608 | $ 2,299 |
Consumer | NTM Loans | Green Loans (HELOC) - second liens | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk percentage (percent) | 0.30% | 0.40% |
Consumer | NTM Loans | Green Loans (HELOC) - second liens | Green Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Count | loan | 5 | 7 |
Total loans | $ 1,608 | $ 2,299 |
Consumer | NTM Loans | Green Loans (HELOC) - second liens | Green Loans | Loan Portfolio Concentration Risk | Nontraditional Mortgage Loans Portfolio | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Concentration risk percentage (percent) | 0.30% | 0.40% |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS, NET - Additional Information (Detail) - USD ($) | Aug. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 |
Finite-Lived Intangible Assets [Line Items] | |||||||
Goodwill | $ 37,144,000 | $ 37,144,000 | $ 37,144,000 | ||||
Goodwill impairment | $ 0 | ||||||
Amortization of intangible assets | $ 353,000 | $ 430,000 | $ 500,000 | $ 1,212,000 | $ 1,741,000 | ||
Core deposit intangibles | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Weighted average amortization period | 4 years 1 month 6 days | ||||||
Core deposit intangibles | Minimum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Amortization period of other intangible assets | 4 years | ||||||
Core deposit intangibles | Maximum | |||||||
Finite-Lived Intangible Assets [Line Items] | |||||||
Amortization period of other intangible assets | 10 years |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS, NET - Other Intangible Assets (Detail) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Finite-Lived Intangible Assets [Line Items] | ||
Net Carrying Value | $ 2,939 | |
Core deposit intangibles | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Value | 30,904 | $ 30,904 |
Accumulated Amortization | 27,965 | 26,753 |
Net Carrying Value | $ 2,939 | $ 4,151 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS, NET - Estimated Future Amortization Expense (Detail) $ in Thousands | Sep. 30, 2020USD ($) |
Finite-Lived Intangible Assets, Net, Amortization Expense, Fiscal Year Maturity [Abstract] | |
Remainder of 2020 | $ 306 |
2021 | 1,082 |
2022 | 799 |
2023 | 517 |
2024 | 235 |
Net Carrying Value | $ 2,939 |
FEDERAL HOME LOAN BANK ADVANC_3
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS - Summary of Advances from the FHLB (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Fixed rate: | ||
Outstanding balance | $ 566,000 | $ 730,000 |
Variable rate: | ||
Outstanding balance | $ 0 | $ 465,000 |
Weighted average interest rate (percent) | 0.00% | 1.66% |
Unamortized debt issuance costs | $ 6,500 | |
Advances Maturing November 27, 2020 and May 27, 2021 | ||
Fixed rate: | ||
Outstanding balance | $ 10,000 | |
Interest rate (percent) | 0.00% | |
Advance Maturing November 27, 2020 | ||
Fixed rate: | ||
Outstanding balance | $ 5,000 | |
Advance Maturing May 27, 2021 | ||
Fixed rate: | ||
Outstanding balance | $ 5,000 | |
Minimum | ||
Fixed rate: | ||
Interest rate (percent) | 0.00% | 1.82% |
Maximum | ||
Fixed rate: | ||
Interest rate (percent) | 3.32% | 3.32% |
Weighted average (percent) | ||
Fixed rate: | ||
Interest rate (percent) | 2.39% | 2.66% |
FEDERAL HOME LOAN BANK ADVANC_4
FEDERAL HOME LOAN BANK ADVANCES AND OTHER BORROWINGS - Additional Information (Detail) | 1 Months Ended | 9 Months Ended | ||
Jun. 30, 2020USD ($) | Sep. 30, 2020USD ($)correspondent_bank | Sep. 30, 2019USD ($) | Dec. 31, 2019USD ($) | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||||
Repayment of FHLB advances | $ 235,000,000 | $ 25,000,000 | ||
Weighted average interest rate (percent) | 0.00% | 1.66% | ||
Overnight borrowings | $ 0 | |||
Advances maturing within three months | 105,000,000 | |||
Advances maturing beyond three months | 461,000,000 | |||
Weighted average life of advances maturing within three months and beyond three months | 4 years 8 months 12 days | |||
Weighted average interest rate advances maturing within three months and beyond three months (percent) | 2.51% | |||
Advances from FHLB collateralized | 2,410,000,000 | $ 3,050,000,000 | ||
Securities sold under repurchase agreements | $ 0 | 0 | ||
FHLB Advance Repaid June 2020 | ||||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||||
Repayment of FHLB advances | $ 100,000,000 | |||
Weighted average interest rate (percent) | 2.07% | |||
Extinguishment fee | 2,500,000 | |||
FHLB Advance Refinanced June 2020 | ||||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||||
FHLB advances refinanced | $ 111,000,000 | |||
Line of Credit | Unsecured Federal Funds Line of Credit | ||||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||||
Line of credit facility | $ 185,000,000 | |||
Other borrowings | $ 0 | |||
Number of correspondent banks | correspondent_bank | 5 | |||
Federal Reserve Bank Advances | ||||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||||
Line of credit facility | $ 427,700,000 | |||
Other borrowings | 0 | $ 0 | ||
Federal Reserve Bank Advances | Collateralized loan obligations | ||||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||||
Advances from FHLB collateralized | 879,900,000 | |||
Collateral on line of credit facility | 23,500,000 | |||
Federal Home Loan Bank of San Francisco | ||||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | ||||
Amount of additional available borrowing | 890,000,000 | |||
FHLB stock | $ 17,600,000 | $ 32,300,000 |
LONG-TERM DEBT - Summary of Lon
LONG-TERM DEBT - Summary of Long-Term Debt (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Debt Instrument [Line Items] | ||
Par Value | $ 175,000 | $ 175,000 |
Unamortized Debt Issuance Cost and Discount | $ (1,377) | $ (1,579) |
Senior Notes | 5.25% Senior Notes Due April 15, 2025 | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.25% | 5.25% |
Par Value | $ 175,000 | $ 175,000 |
Unamortized Debt Issuance Cost and Discount | $ (1,377) | $ (1,579) |
LONG-TERM DEBT - Additional Inf
LONG-TERM DEBT - Additional Information (Detail) | Sep. 30, 2020 | Dec. 31, 2019 |
Senior Notes | 5.25% Senior Notes Due April 15, 2025 | ||
Debt Instrument [Line Items] | ||
Stated interest rate | 5.25% | 5.25% |
INCOME TAXES - Additional Infor
INCOME TAXES - Additional Information (Detail) - USD ($) | 3 Months Ended | 9 Months Ended | 12 Months Ended | ||||
Dec. 31, 2020 | Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | |
Valuation Allowance [Line Items] | |||||||
Income tax expense (benefit) | $ 2,400,000 | $ (5,600,000) | $ (5,100,000) | $ 1,400,000 | |||
Effective tax rate (percent) | 12.90% | 28.40% | 35.90% | 12.90% | |||
Valuation allowance | $ 0 | $ 0 | $ 0 | ||||
Net deferred tax asset | 43,700,000 | 43,700,000 | 44,900,000 | ||||
Unrecognized tax benefits | 1,100,000 | 1,100,000 | 977,000 | ||||
Unrecognized tax benefits that would impact the effective tax rate | 846,000 | 846,000 | |||||
Accrued interest or penalties | $ 0 | $ 0 | $ 0 | ||||
Expect | |||||||
Valuation Allowance [Line Items] | |||||||
Effective tax rate (percent) | 25.00% | ||||||
Expect | Minimum | |||||||
Valuation Allowance [Line Items] | |||||||
Effective tax rate (percent) | 10.00% | ||||||
Expect | Maximum | |||||||
Valuation Allowance [Line Items] | |||||||
Effective tax rate (percent) | 15.00% |
DERIVATIVE INSTRUMENTS - Amount
DERIVATIVE INSTRUMENTS - Amount and Market Value of Mortgage Banking Derivatives (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Derivatives, Fair Value [Line Items] | |||||
Gain (loss) on derivatives | $ (285) | $ (8,964) | |||
Gain realized on sale of loans into securitization | $ 8,900 | ||||
Notional Amount Assets | $ 72,104 | 72,104 | $ 75,317 | ||
Derivatives asset, fair values | 8,208 | 8,208 | 3,583 | ||
Notional Amount Liability | 72,104 | 72,104 | 75,317 | ||
Derivatives liability, fair values | 8,763 | 8,763 | 3,853 | ||
Interest rate swaps, Caps on loans, and Foreign exchange contracts | |||||
Derivatives, Fair Value [Line Items] | |||||
Gain (loss) on derivatives | 3 | 517 | (285) | (9,300) | |
Notional Amount Assets | 68,556 | 68,556 | 70,674 | ||
Derivatives asset, fair values | 8,163 | 8,163 | 3,445 | ||
Notional Amount Liability | 68,556 | 68,556 | 70,674 | ||
Derivatives liability, fair values | 8,749 | 8,749 | 3,717 | ||
Interest rate swaps and caps on loans | |||||
Derivatives, Fair Value [Line Items] | |||||
Gain (loss) on derivatives | $ 603 | $ 9,000 | |||
Foreign exchange contracts | |||||
Derivatives, Fair Value [Line Items] | |||||
Notional Amount Assets | 3,548 | 3,548 | 4,643 | ||
Derivatives asset, fair values | 45 | 45 | 138 | ||
Notional Amount Liability | 3,548 | 3,548 | 4,643 | ||
Derivatives liability, fair values | $ 14 | $ 14 | $ 136 |
EMPLOYEE STOCK COMPENSATION - A
EMPLOYEE STOCK COMPENSATION - Additional Information (Detail) - shares | Aug. 21, 2012 | Sep. 30, 2020 | May 31, 2018 |
Stock option awards | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 3 years | ||
Award expiration period | 7 years | ||
Stock option awards | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 5 years | ||
Award expiration period | 10 years | ||
Restricted stock awards and restricted stock units | Minimum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 1 year | ||
Restricted stock awards and restricted stock units | Maximum | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award vesting period | 5 years | ||
Stock appreciation rights | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Award expiration period | 10 years | ||
2018 Omnibus Plan | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Maximum number of shares authorized for grant | 4,417,882 | ||
Common stock available under new plan (in shares) | 3,372,588 |
EMPLOYEE STOCK COMPENSATION - S
EMPLOYEE STOCK COMPENSATION - Share Based Compensation Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total share-based compensation expense | $ 1,346 | $ 1,494 | $ 4,392 | $ 3,844 |
Related tax benefits | 396 | 439 | 1,293 | 1,130 |
Unrecognized Expense | 8,189 | $ 8,189 | ||
Weighted-Average Remaining Expected Recognition Period | 2 years 1 month 6 days | |||
Stock option awards | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total share-based compensation expense | 0 | 3 | $ 4 | (13) |
Restricted stock awards and restricted stock units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Total share-based compensation expense | 1,346 | $ 1,491 | 4,388 | $ 3,857 |
Unrecognized Expense | $ 8,189 | $ 8,189 | ||
Weighted-Average Remaining Expected Recognition Period | 2 years 1 month 6 days |
EMPLOYEE STOCK COMPENSATION - O
EMPLOYEE STOCK COMPENSATION - Option Activity (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | |
Number of Shares | ||||
Outstanding at beginning of period (in shares) | 55,069 | 62,521 | 62,521 | |
Exercised (shares) | (7,452) | |||
Outstanding at end of period (in shares) | 55,069 | 55,069 | 55,069 | 62,521 |
Exercisable at end of period (in shares) | 55,069 | 55,069 | ||
Weighted-Average Exercise Price Per Share | ||||
Outstanding at beginning of period (in dollars per share) | $ 13.96 | $ 13.85 | $ 13.85 | |
Exercised (in dollars per share) | 13.05 | |||
Outstanding at end of period (in dollars per share) | 13.96 | $ 13.96 | 13.96 | $ 13.85 |
Exercisable at end of period (in dollars per share) | $ 13.96 | $ 13.96 | ||
Weighted-Average Remaining Contract Term | ||||
Outstanding | 3 years 6 months | 3 years 8 months 12 days | 3 years 6 months | 4 years 3 months 18 days |
Exercised | 5 years 2 months 12 days | |||
Exercisable at end of period | 3 years 6 months | 3 years 6 months | ||
Aggregated Intrinsic Value | ||||
Outstanding | $ (210) | $ (210) | ||
Exercisable at end of period | $ (210) | $ (210) |
EMPLOYEE STOCK COMPENSATION - N
EMPLOYEE STOCK COMPENSATION - Nonvested Stock Option Activity (Detail) - $ / shares | 3 Months Ended | 9 Months Ended |
Sep. 30, 2020 | Sep. 30, 2020 | |
Number of Shares | ||
Non-vested outstanding at beginning of period (in shares) | 2,248 | 2,248 |
Vested (in shares) | (2,248) | (2,248) |
Forfeited (in shares) | 0 | 0 |
Non-vested outstanding at end of period (in shares) | 0 | 0 |
Weighted- Average Exercise Price per Share | ||
Non-vested outstanding at beginning of period (in dollars per share) | $ 13.75 | $ 13.75 |
Vested (in dollars per share) | 13.75 | 13.75 |
Forfeited (in dollars per share) | 0 | 0 |
Non-vested outstanding at end of period (in dollars per share) | $ 0 | $ 0 |
EMPLOYEE STOCK COMPENSATION -_2
EMPLOYEE STOCK COMPENSATION - Nonvested Restricted Stock Awards and Restricted Stock Units (Detail) - $ / shares | 3 Months Ended | 9 Months Ended |
Sep. 30, 2020 | Sep. 30, 2020 | |
Restricted stock awards and restricted stock units | ||
Number of Shares | ||
Outstanding at beginning of period (in shares) | 912,670 | 923,482 |
Granted (in shares) | 4,457 | 358,593 |
Vested (in shares) | (15,881) | (309,576) |
Forfeited (in shares) | (18,005) | (89,258) |
Outstanding at end of period (in shares) | 883,241 | 883,241 |
Weighted Average Grant Date Fair Value Per Share | ||
Outstanding at beginning of period (in dollars per share) | $ 14.91 | $ 15.74 |
Granted (in dollars per share) | 11.22 | 13.76 |
Vested (in dollars per share) | 15.42 | 15.92 |
Forfeited (in dollars per share) | 16.09 | 16.69 |
Outstanding at end of period (in dollars per share) | $ 14.86 | $ 14.86 |
Performance shares | ||
Number of Shares | ||
Granted (in shares) | 0 | 78,771 |
Vested (in shares) | 0 | (18,473) |
Forfeited (in shares) | 0 | (17,404) |
EMPLOYEE STOCK COMPENSATION -_3
EMPLOYEE STOCK COMPENSATION - Summary of SARs Activity (Details) - Stock appreciation rights - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 6 Months Ended | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2020 | Dec. 31, 2019 | |
Number of Shares | ||||
Outstanding at beginning of period (in shares) | 1,559,012 | 1,559,012 | 1,559,012 | |
Outstanding at end of period (in shares) | 1,559,012 | 1,559,012 | 1,559,012 | 1,559,012 |
Exercisable at end of period (in shares) | 1,559,012 | 1,559,012 | ||
Weighted-Average Exercise Price Per Share | ||||
Outstanding at beginning of period (in dollars per share) | $ 11.60 | $ 11.60 | $ 11.60 | |
Outstanding at end of period (in dollars per share) | 11.60 | $ 11.60 | 11.60 | $ 11.60 |
Exercisable at end of period (in dollars per share) | $ 11.60 | $ 11.60 | ||
Weighted-Average Remaining Contract Term | ||||
Outstanding | 1 year 10 months 24 days | 2 years 1 month 6 days | 1 year 10 months 24 days | 2 years 7 months 6 days |
Exercisable at end of period | 1 year 10 months 24 days | 1 year 10 months 24 days | ||
Aggregated Intrinsic Value | ||||
Outstanding | $ (2,264) | $ (1,812) | $ (2,264) | $ 8,508 |
Exercisable at end of period | $ (2,264) | $ (2,264) |
STOCKHOLDERS' EQUITY - Preferre
STOCKHOLDERS' EQUITY - Preferred Stock (Details) - Preferred Stock - USD ($) $ / shares in Units, $ in Thousands | Aug. 23, 2019 | Sep. 30, 2020 | Sep. 30, 2020 |
Class of Stock [Line Items] | |||
Preferred stock, authorized (in shares) | 50,000,000 | 50,000,000 | |
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | $ 1,000 | |
Series D Depository Shares | |||
Class of Stock [Line Items] | |||
Interest in shares (percent) | 2.50% | ||
Shares redeemed (in shares) | 734,823 | 100 | 134,410 |
Payment for redemption of shares | $ 2 | $ 2,700 | |
Series D Preferred Stock | |||
Class of Stock [Line Items] | |||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | $ 1,000 | |
Shares redeemed (in shares) | 18,371 | 3 | 3,360 |
Payment for redemption of shares | $ 19,400 | ||
Deferred issuance costs reclassified to retained earnings | $ 1,700 | $ 0 | $ 541 |
Series E Depository Shares | |||
Class of Stock [Line Items] | |||
Interest in shares (percent) | 2.50% | ||
Shares redeemed (in shares) | 980,928 | 6,502 | 70,967 |
Payment for redemption of shares | $ 163 | $ 1,700 | |
Series E Preferred Stock | |||
Class of Stock [Line Items] | |||
Preferred stock, liquidation preference per share (in dollars per share) | $ 1,000 | $ 1,000 | |
Shares redeemed (in shares) | 24,523 | 163 | 1,774 |
Payment for redemption of shares | $ 26,600 | ||
Deferred issuance costs reclassified to retained earnings | $ 3,400 | $ (6) | $ 27 |
STOCKHOLDERS' EQUITY - Summary
STOCKHOLDERS' EQUITY - Summary of Preferred Stock (Details) - USD ($) $ in Thousands | 9 Months Ended | |
Sep. 30, 2020 | Dec. 31, 2019 | |
Class of Stock [Line Items] | ||
Carrying Value | $ 184,878 | $ 189,825 |
Preferred Stock | ||
Class of Stock [Line Items] | ||
Preferred stock, outstanding (in shares) | 191,972 | 197,106 |
Liquidation Preference | $ 191,972 | $ 197,106 |
Carrying Value | $ 184,878 | $ 189,825 |
Preferred Stock | Series D 7.375% non-cumulative perpetual | ||
Class of Stock [Line Items] | ||
Non cumulative preferred stock, dividend rate (percent) | 7.375% | |
Preferred stock, outstanding (in shares) | 93,270 | 96,629 |
Liquidation Preference | $ 93,270 | $ 96,629 |
Carrying Value | $ 89,922 | $ 93,162 |
Preferred Stock | Series E 7.00% non-cumulative perpetual | ||
Class of Stock [Line Items] | ||
Non cumulative preferred stock, dividend rate (percent) | 7.00% | |
Preferred stock, outstanding (in shares) | 98,702 | 100,477 |
Liquidation Preference | $ 98,702 | $ 100,477 |
Carrying Value | $ 94,956 | $ 96,663 |
STOCKHOLDERS' EQUITY - Stock Re
STOCKHOLDERS' EQUITY - Stock Repurchase Program (Details) - USD ($) | 3 Months Ended | 9 Months Ended | |
Sep. 30, 2020 | Sep. 30, 2020 | Feb. 10, 2020 | |
Equity, Class of Treasury Stock [Line Items] | |||
Shares repurchased (shares) | 827,584 | ||
Aggregate repurchases | $ 12,041,000 | ||
February 10, 2020 Share Repurchase Program | |||
Equity, Class of Treasury Stock [Line Items] | |||
Authorized repurchase amount | $ 45,000,000 | ||
Shares repurchased (shares) | 0 | 827,584 | |
Weighted average price (in usd per share) | $ 14.50 | ||
Aggregate repurchases | $ 12,000,000 |
STOCKHOLDERS' EQUITY - Changes
STOCKHOLDERS' EQUITY - Changes to Accumulated Other Comprehensive (Loss) Income by Components (Detail) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||
Impairment loss on investment securities | $ 0 | $ 0 | $ (731) | $ 0 | $ (731) |
Gain (loss) on securities available-for-sale | |||||
Accumulated Other Comprehensive Income (Loss), Net of Tax [Roll Forward] | |||||
Balance at beginning of period | (15,565) | (12,668) | (11,900) | (24,117) | |
Unrealized gain (loss) arising during the period | 23,859 | (1,408) | 20,677 | 15,014 | |
Unrealized gain arising from the reclassification of securities held-to-maturity to securities available-for-sale | 0 | 0 | 0 | 0 | |
Impairment loss on investment securities | 0 | 731 | 0 | 731 | |
Reclassification adjustment from other comprehensive income | 0 | 5,063 | (2,011) | 4,855 | |
Tax effect of current period changes | (7,028) | (1,289) | (5,500) | (6,054) | |
Total changes, net of taxes | 16,831 | 3,097 | 13,166 | 14,546 | |
Balance at end of period | $ 1,266 | $ (15,565) | $ (9,571) | $ 1,266 | $ (9,571) |
VARIABLE INTEREST ENTITIES - Ad
VARIABLE INTEREST ENTITIES - Additional Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Variable Interest Entity [Line Items] | |||||
Total assets | $ 7,738,106 | $ 7,828,410 | $ 7,738,106 | ||
Variable Interest Entity, Not Primary Beneficiary | |||||
Variable Interest Entity [Line Items] | |||||
Funding transferred | 0 | $ 0 | 3,631 | $ 235 | |
Total assets | 253,380 | 259,445 | 253,380 | ||
Maximum loss exposure | 27,786 | 32,525 | 27,786 | ||
Variable Interest Entity, Not Primary Beneficiary | Other Assets | |||||
Variable Interest Entity [Line Items] | |||||
Total assets | $ 27,800 | 29,300 | $ 27,800 | ||
Variable Interest Entity, Not Primary Beneficiary | Multifamily | |||||
Variable Interest Entity [Line Items] | |||||
Funding transferred | $ 573,500 | ||||
Credit losses guaranteed (percent) | 12.00% | 12.00% | |||
Repurchase liability recognized | $ 3,500 | $ 3,500 | |||
Maximum loss exposure | $ 68,800 | $ 68,800 |
VARIABLE INTEREST ENTITIES - In
VARIABLE INTEREST ENTITIES - Information Regarding Activity in Alternative Energy Partnerships (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Variable Interest Entity [Line Items] | |||||
Gain (loss) on investments in alternative energy partnerships | $ 1,430 | $ 167 | $ 940 | $ (308) | $ (655) |
Variable Interest Entity, Not Primary Beneficiary | |||||
Variable Interest Entity [Line Items] | |||||
Funding transferred | 0 | 0 | 3,631 | 235 | |
Cash distribution from investment | 611 | 534 | 1,612 | 1,529 | |
Gain (loss) on investments in alternative energy partnerships | 1,430 | 940 | (308) | (655) | |
Income tax credits recognized | 0 | 862 | 0 | 2,585 | |
Tax expense (benefit) recognized from HLBV application | $ 185 | $ 254 | $ (111) | $ (177) |
VARIABLE INTEREST ENTITIES - Su
VARIABLE INTEREST ENTITIES - Summary of Unconsolidated VIEs (Details) - USD ($) $ in Thousands | Sep. 30, 2020 | Dec. 31, 2019 |
Variable Interest Entity [Line Items] | ||
Equipment, net of depreciation | $ 123,812 | $ 128,021 |
Other assets | 189,866 | 185,946 |
Total assets | 7,738,106 | 7,828,410 |
Total unconsolidated liabilities | 6,863,852 | 6,921,165 |
Variable Interest Entity, Not Primary Beneficiary | ||
Variable Interest Entity [Line Items] | ||
Cash | 3,101 | 4,224 |
Equipment, net of depreciation | 242,988 | 248,920 |
Other assets | 7,291 | 6,301 |
Total assets | 253,380 | 259,445 |
Total unconsolidated liabilities | 6,048 | 7,143 |
Maximum loss exposure | $ 27,786 | $ 32,525 |
VARIABLE INTEREST ENTITIES - Ba
VARIABLE INTEREST ENTITIES - Balances and Activity in Affordable Housing Partnerships (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | Dec. 31, 2019 | |
Variable Interest Entity [Line Items] | |||||
Funding of equity investment | $ 17,346 | $ 14,599 | |||
Variable Interest Entity, Not Primary Beneficiary | |||||
Variable Interest Entity [Line Items] | |||||
Maximum loss exposure | 32,525 | ||||
Maximum loss exposure | $ 27,786 | 27,786 | |||
Income tax credits recognized | 185 | $ 254 | (111) | (177) | |
Affordable Housing Fund Investment | |||||
Variable Interest Entity [Line Items] | |||||
Alternative investments unfunded investment commitments | 18,900 | 18,900 | |||
Funding of equity investment | 1,602 | 8,325 | 15,473 | 8,779 | |
Proportional amortization recognized | 1,724 | 1,464 | 4,019 | 2,654 | |
Affordable Housing Fund Investment | Variable Interest Entity, Not Primary Beneficiary | |||||
Variable Interest Entity [Line Items] | |||||
Maximum loss exposure | 36,462 | ||||
Aggregate funding commitment | 61,278 | 61,278 | $ 49,278 | ||
Total amount funded | 42,378 | 42,378 | 26,905 | ||
Alternative investments unfunded investment commitments | 18,900 | 18,900 | $ 22,373 | ||
Maximum loss exposure | 44,443 | 44,443 | |||
Income tax credits recognized | $ 1,007 | $ 724 | $ 3,215 | $ 1,833 |
EARNINGS (LOSS) PER COMMON SH_3
EARNINGS (LOSS) PER COMMON SHARE - Computations for Basic and Diluted Earnings/(Loss) (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Schedule of Earnings Per Share [Line Items] | |||||
Less: Income allocated to participating securities | $ (281) | $ 0 | $ 0 | $ 0 | $ 0 |
Less: participating securities dividends | (94) | (94) | (94) | (282) | (390) |
Less: preferred stock dividends | (3,447) | (3,442) | (3,403) | (10,422) | (12,019) |
Less: preferred stock redemption | (7) | $ 49 | (5,093) | 568 | (5,093) |
Voting | |||||
Schedule of Earnings Per Share [Line Items] | |||||
Net (loss) income | 15,761 | (13,999) | (9,043) | 9,398 | |
Less: Income allocated to participating securities | (278) | 0 | 0 | 0 | |
Less: participating securities dividends | (93) | (93) | (279) | (386) | |
Less: preferred stock dividends | (3,414) | (3,371) | (10,323) | (11,906) | |
Less: preferred stock redemption | (7) | (5,045) | 563 | (5,045) | |
Net income (loss) allocated to common stockholders | $ 11,969 | $ (22,508) | $ (19,082) | $ (7,939) | |
Weighted average common shares outstanding (in shares) | 49,631,334 | 50,404,906 | 49,723,791 | 50,327,108 | |
Average shares and dilutive common shares (in shares) | 49,713,612 | 50,404,906 | 49,723,791 | 50,327,108 | |
Basic loss per common share | |||||
Basic earnings (loss) per common share (in usd per share) | $ 0.24 | $ (0.44) | $ (0.45) | $ (0.38) | $ (0.16) |
Diluted loss per common share | |||||
Diluted earnings (loss) per common share (in usd per share) | $ 0.24 | (0.44) | $ (0.45) | $ (0.38) | $ (0.16) |
Voting | Restricted shares / units | |||||
Schedule of Earnings Per Share [Line Items] | |||||
Dilutive effects of stock units and stock options (in shares) | 82,278 | 0 | 0 | 0 | |
Voting | Stock Option | |||||
Schedule of Earnings Per Share [Line Items] | |||||
Dilutive effects of stock units and stock options (in shares) | 0 | 0 | 0 | 0 | |
Class B Common Stock | |||||
Schedule of Earnings Per Share [Line Items] | |||||
Net (loss) income | $ 152 | $ (133) | $ (86) | $ 89 | |
Less: Income allocated to participating securities | (3) | 0 | 0 | 0 | |
Less: participating securities dividends | (1) | (1) | (3) | (4) | |
Less: preferred stock dividends | (33) | (32) | (99) | (113) | |
Less: preferred stock redemption | 0 | (48) | 5 | (48) | |
Net income (loss) allocated to common stockholders | $ 115 | $ (214) | $ (183) | $ (76) | |
Weighted average common shares outstanding (in shares) | 477,321 | 477,321 | 477,321 | 477,321 | |
Average shares and dilutive common shares (in shares) | 477,321 | 477,321 | 477,321 | 477,321 | |
Basic loss per common share | |||||
Basic earnings (loss) per common share (in usd per share) | $ 0.24 | (0.44) | $ (0.45) | $ (0.38) | $ (0.16) |
Diluted loss per common share | |||||
Diluted earnings (loss) per common share (in usd per share) | $ 0.24 | $ (0.44) | $ (0.45) | $ (0.38) | $ (0.16) |
Class B Common Stock | Restricted shares / units | |||||
Schedule of Earnings Per Share [Line Items] | |||||
Dilutive effects of stock units and stock options (in shares) | 0 | 0 | 0 | 0 | |
Class B Common Stock | Stock Option | |||||
Schedule of Earnings Per Share [Line Items] | |||||
Dilutive effects of stock units and stock options (in shares) | 0 | 0 | 0 | 0 |
EARNINGS (LOSS) PER COMMON SH_4
EARNINGS (LOSS) PER COMMON SHARE - Additional Information (Detail) - shares | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Restricted shares / units | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Stock excluded from computation of earnings per share (in shares) | 643,901 | 1,062,826 | 938,526 | 967,376 |
Stock Option | ||||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | ||||
Stock excluded from computation of earnings per share (in shares) | 55,069 | 60,956 | 55,314 | 127,212 |
LOAN COMMITMENTS AND OTHER RE_3
LOAN COMMITMENTS AND OTHER RELATED ACTIVITIES - Contractual Amount of Financial Instruments with Off-Balance-Sheet Risk (Detail) - USD ($) $ in Thousands | 9 Months Ended | 12 Months Ended |
Sep. 30, 2020 | Dec. 31, 2019 | |
Affordable Housing Fund Investment | ||
Other Commitments [Line Items] | ||
Alternative investments unfunded investment commitments | $ 18,900 | |
Small Business Investment Companies | ||
Other Commitments [Line Items] | ||
Alternative investments unfunded investment commitments | 5,600 | |
Other Investments | ||
Other Commitments [Line Items] | ||
Alternative investments unfunded investment commitments | 10,500 | |
Commitments to extend credit | ||
Other Commitments [Line Items] | ||
Fixed Rate | 20,181 | $ 473 |
Variable Rate | 49,274 | 129,495 |
Unused lines of credit | ||
Other Commitments [Line Items] | ||
Fixed Rate | 1,778 | 703 |
Variable Rate | 1,334,060 | 1,049,632 |
Letters of credit | ||
Other Commitments [Line Items] | ||
Fixed Rate | 157 | 134 |
Variable Rate | $ 9,202 | $ 5,316 |
REVENUE RECOGNITION - Summary o
REVENUE RECOGNITION - Summary of Noninterest Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | |||
Sep. 30, 2020 | Jun. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Disaggregation of Revenue [Line Items] | |||||
Noninterest income (in-scope of Topic 606) | $ 1,081 | $ 976 | $ 2,705 | $ 3,264 | |
Noninterest income (out-of-scope of Topic 606) | 2,873 | 2,205 | 8,838 | 3,922 | |
Total noninterest income | 3,954 | $ 5,528 | 3,181 | 11,543 | 7,186 |
Deposit service fees | |||||
Disaggregation of Revenue [Line Items] | |||||
Noninterest income (in-scope of Topic 606) | 648 | 599 | 1,607 | 1,841 | |
Debit card fees | |||||
Disaggregation of Revenue [Line Items] | |||||
Noninterest income (in-scope of Topic 606) | 384 | 138 | 941 | 429 | |
Investment commissions | |||||
Disaggregation of Revenue [Line Items] | |||||
Noninterest income (in-scope of Topic 606) | 0 | 146 | 0 | 685 | |
Other | |||||
Disaggregation of Revenue [Line Items] | |||||
Noninterest income (in-scope of Topic 606) | $ 49 | $ 93 | $ 157 | $ 309 |
RELATED-PARTY TRANSACTIONS - Na
RELATED-PARTY TRANSACTIONS - Narrative (Details) - Special Committee Investigation Indemnification - USD ($) $ in Thousands | 3 Months Ended | 9 Months Ended | ||
Sep. 30, 2020 | Sep. 30, 2019 | Sep. 30, 2020 | Sep. 30, 2019 | |
Executive Officers and Directors | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 120 | $ 120 | ||
Former Chair, President And Chief Executive Officer | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | 3,500 | $ 198 | 10,500 | |
Former Interim Chief Financial Officer and Chief Strategy Officer | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 298 | $ 302 | 769 | |
Former Director | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | 180 | |||
Former General Counsel | ||||
Related Party Transaction [Line Items] | ||||
Expenses from transactions with related parties | $ 497 | $ 646 |
SUBSEQUENT EVENTS (Details)
SUBSEQUENT EVENTS (Details) - USD ($) | Oct. 30, 2020 | Sep. 30, 2020 | Dec. 31, 2019 |
Subsequent Event [Line Items] | |||
Aggregate principal amount | $ 175,000,000 | $ 175,000,000 | |
Subsequent Event | Fixed-to-Floating Rate Subordinated Notes due 2030 | Subordinated notes | |||
Subsequent Event [Line Items] | |||
Aggregate principal amount | $ 85,000,000 | ||
Stated interest rate | 4.375% | ||
Public offering price as percentage of aggregate principal (percent) | 100.00% |