Document and Entity Information
Document and Entity Information - USD ($) | 12 Months Ended | ||
Dec. 31, 2021 | Feb. 21, 2022 | Jun. 30, 2021 | |
Document Document And Entity Information | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Transition Report | false | ||
Document Period End Date | Dec. 31, 2021 | ||
Entity File Number | 001-35654 | ||
Entity Registrant Name | NATIONAL BANK HOLDINGS CORP | ||
Entity Incorporation, State or Country Code | DE | ||
Entity Tax Identification Number | 27-0563799 | ||
Entity Address, Address Line One | 7800 East Orchard Road, Suite 300 | ||
Entity Address, City or Town | Greenwood Village | ||
Entity Address, State or Province | CO | ||
Entity Address, Postal Zip Code | 80111 | ||
City Area Code | 303 | ||
Local Phone Number | 892-8715 | ||
Title of 12(b) Security | Class A Common Stock, Par Value $0.01 | ||
Trading Symbol | NBHC | ||
Security Exchange Name | NYSE | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Common Stock, Shares Outstanding | 29,959,010 | ||
Entity Public Float | $ 1,139,000,000 | ||
Auditor Name | KPMG, LLP | ||
Auditor Firm ID | 185 | ||
Auditor Location | Kansas City, MO | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2021 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0001475841 | ||
Amendment Flag | false |
Consolidated Statements of Fina
Consolidated Statements of Financial Condition - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
ASSETS | ||
Cash and due from banks | $ 845,195 | $ 605,065 |
Interest bearing bank deposits | 500 | 500 |
Cash and cash equivalents | 845,695 | 605,565 |
Investment securities available-for-sale (at fair value) | 691,847 | 661,955 |
Investment securities held-to-maturity (fair value of $599,260 and $381,691 at December 31, 2021 and December 31, 2020, respectively) | 609,012 | 376,615 |
Non-marketable securities | 50,740 | 22,073 |
Loans | 4,513,383 | 4,353,726 |
Allowance for credit losses | (49,694) | (59,777) |
Loans, net | 4,463,689 | 4,293,949 |
Loans held for sale | 139,142 | 247,813 |
Other real estate owned | 7,005 | 4,730 |
Premises and equipment, net | 96,747 | 106,982 |
Goodwill | 115,027 | 115,027 |
Intangible assets, net | 12,322 | 17,928 |
Other assets | 182,785 | 207,313 |
Total assets | 7,214,011 | 6,659,950 |
Liabilities: | ||
Non-interest bearing demand deposits | 2,506,265 | 2,111,045 |
Interest bearing demand deposits | 555,401 | 514,286 |
Savings and money market | 2,332,591 | 2,064,769 |
Time deposits | 833,916 | 986,132 |
Total deposits | 6,228,173 | 5,676,232 |
Securities sold under agreements to repurchase | 22,768 | 22,897 |
Long-term debt, net | 39,478 | |
Other liabilities | 83,486 | 140,130 |
Total liabilities | 6,373,905 | 5,839,259 |
Shareholders' equity: | ||
Common stock, par value $0.01 per share: 400,000,000 shares authorized; 51,487,907 and 51,487,907 shares issued; 29,958,764 and 30,634,291 shares outstanding at December 31, 2021 and December 31, 2020, respectively | 515 | 515 |
Additional paid-in capital | 1,014,294 | 1,011,362 |
Retained earnings | 289,876 | 223,175 |
Treasury stock of 21,384,676 and 20,686,986 shares at December 31, 2021 and December 31, 2020, respectively, at cost | (457,616) | (424,127) |
Accumulated other comprehensive (loss) income, net of tax | (6,963) | 9,766 |
Total shareholders' equity | 840,106 | 820,691 |
Total liabilities and shareholders' equity | $ 7,214,011 | $ 6,659,950 |
Consolidated Statements of Fi_2
Consolidated Statements of Financial Condition (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Statement of Financial Position [Abstract] | ||
Investment securities held-to-maturity, fair value | $ 599,260 | $ 381,691 |
Common Stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common Stock, shares authorized | 400,000,000 | 400,000,000 |
Common Stock, shares issued | 51,487,907 | 51,487,907 |
Common Stock, shares outstanding | 29,958,764 | 30,634,291 |
Treasury stock, shares | 21,384,676 | 20,686,986 |
Consolidated Statements of Oper
Consolidated Statements of Operations - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Interest and dividend income: | |||
Interest and fees on loans | $ 181,816 | $ 200,026 | $ 218,836 |
Interest and dividends on investment securities | 17,325 | 16,505 | 21,297 |
Dividends on non-marketable securities | 838 | 1,157 | 1,770 |
Interest on interest-bearing bank deposits | 986 | 314 | 698 |
Total interest and dividend income | 200,965 | 218,002 | 242,601 |
Interest expense: | |||
Interest on deposits | 13,602 | 23,629 | 29,803 |
Interest on borrowings | 219 | 1,427 | 6,968 |
Total interest expense | 13,821 | 25,056 | 36,771 |
Net interest income before provision for loan losses | 187,144 | 192,946 | 205,830 |
Provision (release) expense for loan losses | (9,293) | 17,630 | 11,643 |
Net interest income after provision for loan losses | 196,437 | 175,316 | 194,187 |
Non-interest income: | |||
Mortgage banking income | 63,360 | 102,384 | 42,346 |
Bank-owned life insurance income | 2,208 | 2,360 | 1,713 |
Other non-interest income | 12,174 | 4,719 | 5,888 |
OREO-related income | 35 | 387 | 315 |
Total non-interest income | 110,364 | 140,258 | 82,752 |
Non-interest expense: | |||
Salaries and benefits | 127,504 | 141,170 | 122,732 |
Occupancy and equipment | 25,283 | 27,473 | 27,336 |
Telecommunications and data processing | 9,310 | 9,042 | 8,754 |
Marketing and business development | 2,509 | 2,802 | 3,897 |
FDIC deposit insurance | 1,850 | 1,168 | 1,049 |
Bank card expenses | 5,177 | 4,388 | 4,780 |
Professional fees | 5,423 | 2,946 | 3,256 |
Other non-interest expense | 10,414 | 10,547 | 10,867 |
Problem asset workout | 2,063 | 3,148 | 3,186 |
Gain on OREO sales, net | (475) | (38) | (7,193) |
Core deposit intangible asset amortization | 1,183 | 1,183 | 1,183 |
Banking center consolidation-related expense | 1,589 | 2,348 | 898 |
Total non-interest expense | 191,830 | 206,177 | 180,745 |
Income before income taxes | 114,971 | 109,397 | 96,194 |
Income tax expense | 21,365 | 20,806 | 15,829 |
Net income | $ 93,606 | $ 88,591 | $ 80,365 |
Earnings per share-basic (in dollars per share) | $ 3.04 | $ 2.87 | $ 2.57 |
Earnings per share-diluted (in dollars per share) | $ 3.01 | $ 2.85 | $ 2.55 |
Weighted average number of common shares outstanding: | |||
Basic (Shares) | 30,727,566 | 30,857,086 | 31,175,825 |
Diluted (Shares) | 31,068,159 | 31,075,857 | 31,530,817 |
Service charges | |||
Non-interest income: | |||
Non-interest income | $ 14,894 | $ 14,962 | $ 17,895 |
Bank card fees | |||
Non-interest income: | |||
Non-interest income | $ 17,693 | $ 15,446 | $ 14,595 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 93,606 | $ 88,591 | $ 80,365 |
Securities available-for-sale: | |||
Net unrealized (losses) gains arising during the period, net of tax benefit (expense) of $5,034, ($2,634), and ($4,510) for the years ended 2021, 2020 and 2019, respectively. | (16,186) | 8,482 | 14,352 |
Less: amortization of net unrealized holding gains to income, net of tax benefit of $168, $248, and $320 for the years ended 2021, 2020 and 2019, respectively. | (543) | (778) | (1,015) |
Other comprehensive (loss) income | (16,729) | 7,704 | 13,337 |
Comprehensive income | $ 76,877 | $ 96,295 | $ 93,702 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Comprehensive Income [Abstract] | |||
Tax benefit (expense) on net unrealized (losses) gains arising during the period | $ 5,034 | $ (2,634) | $ (4,510) |
Tax benefit of amortization of net unrealized holding gains to income | $ 168 | $ 248 | $ 320 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Common stock [Member] | Additional paid-in capital [Member] | Retained earnings [Member]Cumulative Effect, Period of Adoption, Adjustment [Member] | Retained earnings [Member] | Treasury stock [Member] | Accumulated other comprehensive income (loss), net [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | Total |
Balance in the beginning at Dec. 31, 2018 | $ 515 | $ 1,014,399 | $ 106,990 | $ (415,623) | $ (11,275) | $ 695,006 | ||
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 80,365 | 80,365 | ||||||
Stock-based compensation | 4,869 | 4,869 | ||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | (10,045) | 6,661 | (3,384) | |||||
Cash dividends declared | (23,529) | (23,529) | ||||||
Other comprehensive income (loss) | 13,337 | 13,337 | ||||||
Balance in the ending at Dec. 31, 2019 | 515 | 1,009,223 | $ 256 | 164,082 | (408,962) | 2,062 | $ 256 | 766,920 |
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 88,591 | 88,591 | ||||||
Stock-based compensation | 5,299 | 5,299 | ||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | (3,160) | 4,311 | 1,151 | |||||
Repurchase of shares | (19,476) | (19,476) | ||||||
Cash dividends declared | (24,875) | (24,875) | ||||||
Other comprehensive income (loss) | 7,704 | 7,704 | ||||||
Balance in the ending at Dec. 31, 2020 | 515 | 1,011,362 | $ 4,623 | 223,175 | (424,127) | 9,766 | $ 4,623 | 820,691 |
Increase (Decrease) in Stockholders' Equity | ||||||||
Net income | 93,606 | 93,606 | ||||||
Stock-based compensation | 5,541 | 5,541 | ||||||
Issuance of stock under purchase and equity compensation plans, including gain on reissuance of treasury stock, net | (2,609) | 2,911 | 302 | |||||
Repurchase of shares | (36,400) | (36,400) | ||||||
Cash dividends declared | (26,905) | (26,905) | ||||||
Other comprehensive income (loss) | (16,729) | (16,729) | ||||||
Balance in the ending at Dec. 31, 2021 | $ 515 | $ 1,014,294 | $ 289,876 | $ (457,616) | $ (6,963) | $ 840,106 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Statement of Stockholders' Equity [Abstract] | |||
Gain on reissuance of treasury stock | $ 4,661 | $ 1,588 | $ 6,010 |
Shares repurchased (shares) | 912,213 | 734,117 | |
Cash dividends declared per share | $ 0.87 | $ 0.80 | $ 0.75 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash flows from operating activities: | |||
Net income | $ 93,606 | $ 88,591 | $ 80,365 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||
Provision (release) expense for loan losses | (9,293) | 17,630 | 11,643 |
Provision (release) expense for mortgage loan repurchases | (108) | 662 | (366) |
Depreciation and amortization | 13,585 | 14,449 | 15,038 |
Change in current income tax receivable | 1,045 | (2,371) | 1,955 |
Change in deferred income taxes | (226) | 3,477 | 8,793 |
Net excess tax (benefit) expense from stock-based compensation | (644) | 51 | (2,160) |
Discount accretion, net of premium amortization on securities | 4,335 | 3,374 | 2,047 |
Loan accretion | (6,582) | (11,694) | (15,590) |
Gain on sale of mortgages, net | (56,946) | (98,250) | (39,922) |
Origination of loans held for sale, net of repayments | (1,867,734) | (2,376,660) | (1,317,547) |
Proceeds from sales of loans held for sale | 2,041,158 | 2,348,166 | 1,289,877 |
Bank-owned life insurance income | (2,208) | (2,360) | (1,713) |
Gain on the sale of other real estate owned, net | (475) | (38) | (7,193) |
(Income) loss from non-marketable securities | (2,985) | 406 | 298 |
Originations of mortgage serving rights | (7,882) | (10,354) | (27) |
Proceeds from sales of mortgage servicing rights | 11,375 | ||
Gain on sale of mortgage servicing rights | (1,290) | ||
(Recovery) impairment of mortgage servicing rights | (740) | 751 | 129 |
Impairment on other real estate owned | 799 | 470 | 1,082 |
Impairment on fixed assets related to banking center consolidations | 1,553 | 1,631 | 898 |
Gain on sale of fixed assets | (3,768) | (300) | |
Gain from banking center divestiture | (778) | ||
Stock-based compensation | 5,541 | 5,299 | 4,869 |
Operating lease payments | (5,099) | (5,414) | (5,294) |
Change in other assets | 24,225 | (18,073) | 670 |
Change in other liabilities | (50,962) | 34,045 | 16,391 |
Net cash provided by (used in) operating activities | 179,502 | (6,212) | 44,243 |
Cash flows from investing activities: | |||
Proceeds from non-marketable securities | 2,006 | 13,709 | 14,737 |
Proceeds from maturities of investment securities available-for-sale | 235,860 | 271,508 | 195,467 |
Proceeds from maturities of investment securities held-to-maturity | 161,923 | 88,071 | 60,948 |
Proceeds from sales of investment securities available-for-sale | 0 | 0 | 20,378 |
Proceeds from sales of other real estate owned | 1,917 | 3,671 | 12,112 |
Purchase of non-marketable securities | (27,688) | (4,107) | (18,700) |
Purchase of investment securities available-for-sale | (288,580) | (286,130) | (45,745) |
Purchase of investment securities held-to-maturity | (397,758) | (284,170) | (10,201) |
Sales (purchases) of premises and equipment, net | 5,146 | (4,352) | (11,204) |
Net (increase) decrease in loans | (166,662) | 49,209 | (312,844) |
Purchase of bank-owned life insurance | (20,000) | ||
Net cash used in investing activities | (473,836) | (152,591) | (115,052) |
Cash flows from financing activities: | |||
Net increase in deposits | 552,719 | 939,100 | 201,511 |
Net decrease in repurchase agreements and other short-term borrowings | (129) | (34,038) | (9,112) |
Proceeds from long-term debt | 40,000 | ||
Payment of long-term debt issuance costs | (535) | ||
Advances from FHLB | 947,431 | 1,477,447 | |
FHLB repayments | (1,155,106) | (1,571,432) | |
Issuance of stock under purchase and equity compensation plans | (2,267) | (749) | (6,229) |
Proceeds from exercise of stock options | 2,489 | 1,832 | 2,788 |
Payment of dividends | (26,888) | (24,816) | (23,530) |
Repurchase of common stock | (36,400) | (19,476) | |
Net cash provided by financing activities | 528,989 | 654,178 | 71,443 |
Increase in cash, cash equivalents and restricted cash | 234,655 | 495,375 | 634 |
Cash, cash equivalents and restricted cash at beginning of the year | 615,565 | 120,190 | 119,556 |
Cash, cash equivalents and restricted cash at end of period | 850,220 | 615,565 | 120,190 |
Supplemental disclosure of cash flow information during the period: | |||
Cash paid for interest | 16,638 | 27,622 | 34,458 |
Net tax payment | 15,389 | 22,111 | 9,271 |
Supplemental schedule of non-cash activities: | |||
Loans transferred to other real estate owned at fair value | 4,516 | 1,533 | 2,705 |
(Decrease) increase in loans purchased but not settled | (16,351) | 7,372 | |
Loans transferred from loans held for sale to loans | $ 7,807 | $ 3,625 | 1,732 |
Lease right-of-use assets obtained | $ (30,474) |
Consolidated Statements of Ca_2
Consolidated Statements of Cash Flows (Parenthetical) - USD ($) $ in Millions | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 |
Restricted Cash, Asset, Statement of Financial Position [Extensible List] | Other Assets | Other Assets | Other Assets |
Peoples Inc | |||
Restricted cash placed in escrow | $ 4.5 | $ 10 | $ 10 |
Basis of Presentation
Basis of Presentation | 12 Months Ended |
Dec. 31, 2021 | |
Basis of Presentation | |
Basis of Presentation | Note 1 Basis of Presenta tion National Bank Holdings Corporation is a bank holding company that was incorporated in the State of Delaware in 2009. The Company is headquartered in Greenwood Village, Colorado, and its primary operations are conducted through its wholly owned subsidiary, NBH Bank, a Colorado state-chartered bank and a member of the Federal Reserve System. The Company provides a variety of banking products to both commercial and consumer clients through a network of 81 banking centers as of December 31, 2021, located primarily in Colorado, the greater Kansas City region, Texas, Utah and New Mexico, as well as through online and mobile banking products and services. The accompanying consolidated financial statements include the accounts of the Company and its wholly owned subsidiary, NBH Bank. The accompanying consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) and, where applicable, with general practices in the banking industry or guidelines prescribed by bank regulatory agencies. The consolidated financial statements reflect all adjustments which are, in the opinion of management, necessary for a fair statement of the results presented. All such adjustments are of a normal recurring nature. All significant intercompany balances and transactions have been eliminated in consolidation. Certain reclassifications of prior years' amounts are made whenever necessary to conform to current period presentation. During 2021, the Company updated its asset classifications to include certain financial instruments within non-marketable securities that were previously reported in other assets in the statements of financial condition. The prior period presentations have been reclassified to conform to the current period presentations. Refer to note 5 for further discussion. All amounts are in thousands, except share data and per share data, or as otherwise noted. While general economic conditions have been improving, the COVID-19 pandemic caused disruption to the communities we serve and has changed the way we live and work. We continue to remain committed to ensuring our associates, clients and communities are receiving the support they need through our banking centers and our digital banking platform. Our teams have been working diligently to support our clients who are experiencing financial hardship due to COVID-19 through participation in the SBA’s Paycheck Protection Program, including assistance with PPP loan forgiveness applications, and loan modifications, as needed. While access to vaccines in the United States has increased, the efficacy of those vaccines, the impact of emerging targeted vaccine mandates and new variants of the virus, and the length of time that the government-mandated measures must remain in place or potentially be reinstituted to address COVID-19 are unknown. The pandemic has had a negative impact to the U.S. labor market, consumer spending and business operations, and it is not clear how long new outbreaks of COVID-19 cases will have a continued impact. GAAP requires management to make estimates that affect the reported amounts of assets, liabilities, revenues and expenses and disclosures of contingent assets and liabilities. By their nature, estimates are based on judgment and available information. Management has made significant estimates in certain areas, such as the fair values of financial instruments, contingent liabilities and the allowance for credit losses (“ACL”). Because of the inherent uncertainties associated with any estimation process and future changes in market and economic conditions, it is possible that actual results could differ significantly from those estimates. |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2021 | |
Summary of Significant Accounting Policies | |
Summary of Significant Accounting Policies | Note 2 Summary of Significant Accounting Policies a) Cash and cash equivalents b) Investment securities Management evaluates all investments in an unrealized loss position on a quarterly basis, and more frequently when economic or market conditions warrant such evaluation. If the Company has the intent to sell the security or it is more likely than not that the Company will be required to sell the security, the security is written down to fair value and the entire loss is recorded in earnings. If either of the above criteria is not met, we evaluate whether the decline in fair value is the result of credit losses or other factors. In making the assessment, we may consider various factors including the extent to which fair value is less than amortized cost, performance on any underlying collateral, downgrades in the ratings of the security by a rating agency, the failure of the issuer to make scheduled interest or principal payments and adverse conditions specifically related to the security. If the assessment indicates that a credit loss exists, the present value of cash flows expected to be collected are compared to the amortized cost basis of the security and any excess is recorded as an allowance for credit loss. When the loss is not considered a result of credit loss, the cost basis of the security is written down to fair value, with the loss charge recognized in AOCI. The Company does not measure expected credit losses for U.S. agency-backed held-to-maturity securities, since the risk of nonpayment of the amortized cost basis is zero. Credit losses are not estimated for AIR from investment securities as interest deemed uncollectible is written off through interest income. Prior to the adoption of ASU 2016-13, declines in the fair value of held-to-maturity and available-for-sale securities below their cost that were deemed to be other-than-temporarily impaired were reflected in earnings as realized losses. In estimating other-than-temporary-impairment prior to January 1, 2020, the Company considered, among other things, the severity and duration of the unrealized loss position; adverse conditions specifically related to the security; changes in expected future cash flows; downgrades in the rating of the security by a rating agency; the failure of the issuer to make scheduled interest or principal payments; whether the Company had the intent to sell the security; and whether it was more likely than not that the Company would be required to sell the security. c) Non-marketable securities d) Loans receivable — Estimated fair values of acquired loans are based on a discounted cash flow methodology that considers various factors including the type of loan and related collateral, the expected timing of cash flows, classification status, fixed or variable interest rate, term of loan and whether or not the loan is amortizing, and a discount rate reflecting the Company’s assessment of risk inherent in the cash flow estimates. Discounts created when the loans are recorded at their estimated fair values at acquisition are accreted over the remaining term of the loan as an adjustment to the related loan’s yield. Similar to originated loans described below, the accrual of interest income on acquired loans is discontinued when the collection of principal or interest, in whole or in part, is doubtful. Interest income on acquired loans and interest income on loans originated by the Company is accrued and credited to income as it is earned using the interest method based on daily balances of the principal amount outstanding. However, interest is generally not accrued on loans 90 days or more past due, unless they are well secured and in the process of collection. Additionally, in certain situations, loans that are not contractually past due may be placed on non-accrual status due to the continued failure to adhere to contractual payment terms by the borrower coupled with other pertinent factors, such as insufficient collateral value or deficient primary and secondary sources of repayment. Accrued interest receivable is reversed when a loan is placed on non-accrual status and payments received generally reduce the carrying value of the loan. Interest is not accrued while a loan is on non-accrual status and interest income is generally recognized on a cash basis only after payment in full of the past due principal and collection of principal outstanding is reasonably assured. A loan may be placed back on accrual status if all contractual payments have been received, or sooner under certain conditions and collection of future principal and interest payments is no longer doubtful. In the event of borrower default, the Company may seek recovery in compliance with state lending laws, the respective loan agreements, and credit monitoring and remediation procedures that may include modifying or restructuring a loan from its original terms, for economic or legal reasons, to provide a concession to the borrower from their original terms due to borrower financial difficulties in order to facilitate repayment. Such restructured loans are considered “troubled debt restructurings” and are identified in accordance with ASC 310-40. The CARES Act afforded financial institutions the option to modify loans within certain parameters in response to the COVID-19 pandemic without requiring the modifications to be classified as TDRs if the borrower has been adversely impacted by COVID-19 and was current on their loan payments. The Company has modified loans due to the effects of the COVID-19 pandemic that were not classified as TDRs. Modifications include deferral of principal as well as full-payment deferral for a period ranging from three months to one year. e) Loans held for sale — The Company enters into commitments to originate residential mortgage loans whereby the interest rate on the loan is determined prior to funding (i.e. interest rate lock commitments). Such interest rate lock commitments on mortgage loans to be sold in the secondary market are considered to be derivatives. To protect against the price risk inherent in residential mortgage loan commitments, the Company utilizes both "best efforts" and "mandatory delivery" forward loan sale commitments to mitigate the risk of potential increases or decreases in the values of loans that would result from the change in market rates for such loans. The Company manages the interest rate risk on interest rate lock commitments by entering into forward sale contracts of mortgage backed securities. Such contracts are accounted for as derivatives and are recorded at fair value as derivative assets or liabilities. They are carried in the consolidated statements of financial condition within other assets or other liabilities, and changes in fair value are recorded net as a component of mortgage banking income in the consolidated statements of operations. The gross gains on loan sales are recognized based on new loan commitments with adjustment for price and pair-off activity. Commission expenses on loans held for sale are recognized based on loans closed. f) Allowance for credit losses Measurement of Credit Losses on Financial Instruments The ACL represents management’s estimate of lifetime credit losses inherent in loans as of the balance sheet date. The Company measures expected credit losses for loans on a pooled basis when similar risk characteristics exist. The Company has identified four primary loan segments that are further stratified into 11 loan classes to provide more granularity in analyzing loss history based upon specific loss drivers and risk factors affecting each loan class. Generally, the underlying risk of loss for each of these loan classes will follow certain norms/trends in various economic environments. Loans that do not share risk characteristics are evaluated on an individual basis and are not included in the collective evaluation. Those loans include loans on non-accrual status, loans in bankruptcy, and TDRs described below. If a specific allowance is warranted based on the borrower’s overall financial condition, the specific allowance is calculated based on discounted expected cash flows using the loan’s initial contractual effective interest rate or the fair value of the collateral less selling costs for collateral-dependent loans. The Company utilizes a DCF model developed within a third-party software tool to establish expected lifetime credit losses for the loan portfolio. The ACL is calculated as the difference between the amortized cost basis and the projections from the DCF analysis. The DCF model allows for individual life of loan cash flow modeling, excluding extensions and renewals, using loan-specific interest rates and repayment schedules adjusted for estimated prepayment rates and loss recovery timing delays. The model incorporates forecasts of certain national macroeconomic factors, including unemployment rates, HPI, retail sales and GDP, which drive correlated probability of default (“PD”) and loss given default (“LGD”) rates. PD and LGD, in turn, drive the losses predicted in establishing our ACL. PD and LGD rates along with prepayment rates and loss recovery time delays are determined at a loan class level making use of both internal and peer historical loss rate data. The determination and application of the ACL accounting policy involves judgments, estimates, and uncertainties that are subject to change. For periods beyond the reasonable and supportable forecast period, we revert to historical long-term average loss rates on a straight-line basis. The length of the forecast period spans four quarters. The length of the reversion period is based on management’s assessment of the length and pattern of the current economic cycle and typically ranges from four to eight quarters. Management accounts for the inherent uncertainty of the underlying economic forecast by reviewing and weighting alternate forecast scenarios. Additionally, the ACL calculation includes subjective adjustments for qualitative risk factors that are likely to cause estimated credit losses to differ from historical experience. These qualitative adjustments may increase or reduce reserve levels and include adjustments for lending management experience and risk tolerance, loan review and audit results, asset quality and portfolio trends, loan portfolio growth and industry concentrations. The Company has elected to exclude AIR from the allowance for credit losses calculation. When a loan is placed on non-accrual, any recorded AIR is reversed against interest income. The determination and application of the ACL accounting policy involves judgments, estimates, and uncertainties that are subject to change. Changes in these assumptions, estimates or the conditions surrounding them may have a material impact on our financial condition, liquidity or results of operations. Various regulatory agencies, as an integral part of the examination process, periodically review the ACL. Such agencies may require the Company to recognize additions to the ACL or reserve increases to adversely graded classified loans based on their judgments about information available to them at the time of their examinations. The ACL is decreased by net charge-offs and is increased by provisions for loan losses that are charged to the statements of operations. Charge-offs, if any, are typically measured for each loan based on a thorough analysis of the most probable source of repayment, such as the present value of the loan’s expected future cash flows, the loan’s estimated fair value, or the estimated fair value of the underlying collateral less costs of disposition for collateral-dependent loans. When it is determined that specific loans, or portions thereof, are uncollectible, these amounts are charged off against the ACL. The Company uses an internal risk rating system to indicate credit quality in the loan portfolio. The risk rating system is applied to all loans and uses a series of grades, which reflect management’s assessment of the risk attributable to loans based on an analysis of the borrower’s financial condition and ability to meet contractual debt service requirements. Loans that management perceives to have acceptable risk are categorized as “Pass” loans. The “Special Mention” loans represent loans that have potential credit weaknesses that deserve management’s close attention. Special mention loans include borrowers that have potential weaknesses or unwarranted risks that, unless corrected, may threaten the borrower’s ability to meet debt requirements. However, these borrowers are still believed to have the ability to respond to and resolve the financial issues that threaten their financial situation. Loans classified as “Substandard” are inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Substandard loans have a distinct possibility of loss if the deficiencies are not corrected. “Doubtful” loans are loans that management believes the collection of payments in accordance with the terms of the loan agreement is highly questionable and improbable. Credit quality indicators are reviewed and updated in accordance with internal policy based on loan balance and risk rating. Interest accrual is discontinued on doubtful loans and certain substandard loans. Unfunded loan commitments In addition to the ACL for funded loans, the Company maintains reserves to cover the risk of loss associated with off-balance sheet unfunded loan commitments. The allowance for off-balance sheet credit losses is maintained within the other liabilities in the statements of financial condition. Under the CECL framework, adjustments to this liability are recorded as provision for credit losses in the statements of operations. Unfunded loan commitment balances are evaluated by loan class and further segregated by revolving and non-revolving commitments. In order to establish the required level of reserve, the Company applies average historical utilization rates and ACL loan model loss rates for each loan class to the outstanding unfunded commitment balances. Prior to the adoption of ASU 2016-13, the Company’s determination of the allowance took into consideration, among other matters, the estimated fair value of the underlying collateral, economic conditions, historical net loan losses, the estimated loss emergence period, estimated default rates, any declines in cash flow assumptions from acquisitions, loan structures, growth factors and other elements that warrant recognition. Under the prior incurred loss methodology, the Company routinely evaluated adversely risk-rated credits for impairment. Impairment, if any, was typically measured for each loan based on a thorough analysis of the most probable source of repayment, including the present value of the loan’s expected future cash flows, the loan’s estimated fair value, or the estimated fair value of the underlying collateral less costs of disposition for collateral dependent loans. General allowances were established for loans with similar characteristics. In this process, general allowance factors were based on an analysis of historical loss and recovery experience, if any, related to originated and acquired loans, as well as certain industry experience, with adjustments made for qualitative or environmental factors that were likely to cause estimated credit losses to differ from historical experience. To the extent that the data supporting such factors had limitations, management’s judgment and experience played a key role in determining the allowance estimates. g) Premises and equipment 7 3 h) Goodwill and intangible assets qualitative assessment, that it is more likely than not that the fair value of the reporting unit is greater than the carrying amount no additional procedures are performed; however, if the Company determines that it is more likely than not that the fair value of the reporting unit is less than the carrying amount the Company will compare the fair value of the reporting unit to its carrying amount. Any excess of the carrying amount over fair value would indicate a potential impairment and the Company would proceed to perform an additional test to determine whether goodwill has been impaired and calculate the amount of that impairment. Intangible assets that have finite useful lives, such as core deposit intangibles, are amortized over their estimated useful lives. The Company’s core deposit intangible assets represent the value of the anticipated future cost savings that will result from the acquired core deposit relationships versus an alternative source of funding. Judgment may be used in assessing goodwill and intangible assets for impairment. Estimates of fair value are based on projections of revenues, operating costs and cash flows of the reporting unit considering historical and anticipated future results, general economic and market conditions, as well as the impact of planned business or operational strategies. The valuations use a combination of present value techniques to measure fair value considering market factors. Additionally, judgment is used in determining the useful lives of finite-lived intangible assets. Adverse changes in the economic environment, operations of the reporting unit, or changes in judgments and projections could result in a significantly different estimate of the fair value of the reporting unit and could result in an impairment of goodwill and/or intangible assets. MSRs associated with loans originated and sold, where servicing is retained, are initially capitalized at fair value and included in intangible assets in the consolidated statements of financial condition. For subsequent measurement purposes, the Company measures servicing assets based on the lower of cost or market using the amortization method. The values of these capitalized servicing rights are amortized as an offset to the loan servicing income earned in relation to the servicing revenue expected to be earned. The carrying values of these rights are reviewed quarterly for impairment based on the fair value of those assets. For purposes of impairment evaluation and measurement, management stratifies MSRs based on the predominant risk characteristics of the underlying loans, including loan type and loan term. If, by individual stratum, the carrying amount of these MSRs exceeds fair value, a valuation allowance is established and the impairment is recognized in mortgage banking income. If the fair value of impaired MSRs subsequently increases, management recognizes the increase in fair value in current period mortgage banking income and, through a reduction in the valuation allowance, adjusts the carrying value of the MSRs to a level not in excess of amortized cost. i) Reserve for Mortgage Loan Repurchase Losses– The Company establishes mortgage repurchase reserves related to various representations and warranties that reflect management’s estimate of losses based on a combination of factors. Such factors incorporate actual and historic loss history, delinquency trends in the portfolio and economic conditions. The Company establishes a reserve at the time loans are sold and updates the reserve estimate quarterly during the estimated loan life. The repurchase reserve is included in other liabilities in the consolidated statements of financial condition. j) Other real estate owned k) Bank-owned life insurance l) Securities purchased under agreements to resell and securities sold under agreements to repurchase m) Stock-based compensation The fair value of stock options is measured using a Black-Scholes model. The fair value of time-based restricted stock awards and performance stock units with performance based vesting criteria is based on the Company’s stock price on the date of grant. The fair value of performance stock units with market-based vesting criteria is measured using a Monte Carlo simulation model. Compensation expense for the portion of the awards that contain performance and service vesting conditions is recognized over the requisite service period based on the fair value of the awards on the grant date. Compensation expense for the portion of the awards that contain a market vesting condition is recognized over the derived service period based on the fair value of the awards on the grant date. The amortization of stock-based compensation reflects any estimated forfeitures, and the expense realized in subsequent periods may be adjusted to reflect the actual forfeitures realized. The outstanding stock options primarily carry a maximum contractual term of ten years. To the extent that any award is forfeited, surrendered, terminated, expires, or lapses without being vested or exercised, the shares of stock subject to such award not delivered are again made available for awards under the Plan. Excess tax benefits and tax deficiencies (including tax benefits of dividends on share-based payment awards) are recognized in the consolidated statements of operations as a component of income tax expense or benefit and are classified as an operating activity within the Company’s consolidated statements of cash flows. The tax effects of exercised, expired or vested awards are treated as discrete items in the reporting period in which they occur and may result in increased volatility in our effective tax rate. Cash paid by the Company when directly withholding shares for tax withholding purposes is classified as a financing activity in the consolidated statements of cash flows. n) Income taxes Deferred tax assets and liabilities are recognized for temporary differences between the financial reporting basis and the tax basis of the Company’s assets and liabilities at enacted tax rates expected to be in effect when such amounts are realized or settled. Deferred tax assets and liabilities are adjusted for the effects of changes in tax rates in the period of change. The Company establishes a valuation allowance when management believes, based on the weight of available evidence, it is more likely than not that some portion of the deferred tax assets will not be realized. The Company recognizes and measures income tax benefits based upon a two-step model: 1) a tax position must be more likely than not to be sustained based solely on its technical merits in order to be recognized; and 2) the benefit is measured as the largest dollar amount of that position that is more likely than not to be sustained upon settlement. The difference between the benefit recognized for a position in this model and the tax benefit claimed on a tax return is treated as an unrecognized tax benefit. The Company recognizes income tax related interest and penalties in other non-interest expense. o) Earnings per share p) Interest Rate Swap Derivatives The Company offers interest rate swap products to certain of its clients to manage potential changes in interest rates. Each contract between the Company and a client is offset with a contract between the Company and an institutional counterparty, thus minimizing the Company's exposure to rate changes. The Company's portfolio consists of a “matched book,” and as such, changes in fair value of the swap pairs will largely offset in earnings. In accordance with applicable accounting guidance, if certain conditions are met, a derivative may be designated as (1) a hedge of the exposure to changes in the fair value of a recognized asset or liability, or of an unrecognized firm commitment, that are attributable to a particular risk (referred to as a fair value hedge) or (2) a hedge of the exposure to variability in the cash flows of a recognized asset or liability, or of a forecasted transaction, that is attributable to a particular risk (referred to as a cash flow hedge). The Company documents all hedging relationships at the inception of each hedging relationship and uses industry accepted methodologies and ranges to determine the effectiveness of each hedge. The fair value of the hedged item is calculated using the estimated future cash flows of the hedged item and applying discount rates equal to the market interest rate for the hedged item at the inception of the hedging relationship (inception benchmark interest rate plus an inception credit spread), adjusted for changes in the designated benchmark interest rate thereafter. q) Treasury stock to additional paid-in capital in the consolidated statements of financial condition. If the reissuance price is less than the cost basis (loss), the difference is recorded to additional paid-in capital to the extent there is a cumulative treasury stock paid-in capital balance. Any loss in excess of the cumulative treasury stock paid-in capital balance is charged to retained earnings. r) Acquisition activities Identifiable intangible assets are recognized separately if they arise from contractual or other legal rights or if they are separable (i.e., capable of being sold, transferred, licensed, rented, or exchanged separately from the entity). Deposit liabilities and the related depositor relationship intangible assets, known as the core deposit intangible assets, may be exchanged in observable exchange transactions. As a result, the core deposit intangible asset is considered identifiable, because the separability criterion has been met. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2021 | |
Recent Accounting Pronouncements | |
Recent Accounting Pronouncements | Note 3 Recent Accounting Pronouncements Leases Leases Leases liabilities Financial Instruments - Credit Losses Measurement of Credit Losses on Financial Instruments Other Pronouncements Intangibles - Goodwill and Other Simplifying the Test for Goodwill Impairment Fair Value Measurement Disclosure Framework-Changes to the Disclosure Requirements for Fair Value Measurement |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2021 | |
Investment Securities | |
Investment Securities | Note 4 Investment Securities The Company’s investment securities portfolio is comprised of available-for-sale and held-to-maturity investment securities. These investment securities totaled $1.3 billion at December 31, 2021 and included $0.7 billion of available-for-sale securities and $0.6 billion of held-to-maturity securities. At December 31, 2020, investment securities totaled $1.0 billion and included $0.6 billion of available-for-sale securities and $0.4 billion of held-to-maturity securities. Available-for-sale Available-for-sale securities are summarized as follows as of the dates indicated: December 31, 2021 Amortized Gross Gross cost unrealized gains unrealized losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 231,523 $ 1,436 $ (5,263) $ 227,696 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 467,490 1,889 (8,045) 461,334 Municipal securities 230 7 — 237 Corporate debt 2,000 111 — 2,111 Other securities 469 — — 469 Total investment securities available-for-sale $ 701,712 $ 3,443 $ (13,308) $ 691,847 December 31, 2020 Amortized Gross Gross cost unrealized gains unrealized losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 193,424 $ 2,952 $ (42) $ 196,334 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 454,345 8,778 (344) 462,779 Municipal securities 362 13 — 375 Corporate debt 2,000 — (2) 1,998 Other securities 469 — — 469 Total investment securities available-for-sale $ 650,600 $ 11,743 $ (388) $ 661,955 During 2021 and 2020, purchases of available-for-sale securities totaled $288.6 million and $286.1 million, respectively. Maturities and paydowns of available-for-sale securities during 2021 and 2020 totaled $235.9 million and $271.5 million, respectively. There were no sales of available-for-sale securities during 2021 or 2020. At December 31, 2021 and 2020, the Company’s available-for-sale investment portfolio was primarily comprised of mortgage-backed securities, and all mortgage-backed securities were backed by GSE collateral such as FHLMC and FNMA and the government owned agency GNMA. The tables below summarize the available-for-sale securities with unrealized losses as of the dates shown, along with the length of the impairment period: December 31, 2021 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 163,579 $ (4,404) $ 22,852 $ (859) $ 186,431 $ (5,263) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 237,759 (5,593) 48,750 (2,452) 286,509 (8,045) Total $ 401,338 $ (9,997) $ 71,602 $ (3,311) $ 472,940 $ (13,308) December 31, 2020 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 26,878 $ (42) $ 1 $ — $ 26,879 $ (42) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 95,888 (328) 2,138 (16) 98,026 (344) Corporate debt 1,998 (2) — — 1,998 (2) Total $ 124,764 $ (372) $ 2,139 $ (16) $ 126,903 $ (388) Management evaluated all of the available-for-sale securities in an unrealized loss position at December 31, 2021 and December 31, 2020. The portfolio included 49 securities, which were in an unrealized loss position at December 31, 2021, compared to 22 securities at December 31, 2020. The unrealized losses in the Company’s investment portfolio at December 31, 2021 and 2020 were caused by changes in interest rates. The Company has no intention to sell these securities and believes it will not be required to sell the securities before the recovery of their amortized cost. Management believes that default of the available-for-sale securities is highly unlikely. FHLMC, FNMA and GNMA guaranteed mortgage-backed securities have a long history of zero credit losses, an explicit guarantee by the U.S. government (although limited for FNMA and FHLMC securities) and yields that generally trade based on market views of prepayment and liquidity risk rather than credit risk. Certain securities are pledged as collateral for public deposits, securities sold under agreements to repurchase and to secure borrowing capacity at the FRB, if needed. The fair value of available-for-sale investment securities pledged as collateral totaled $363.4 million and $385.8 million at December 31, 2021 and 2020, respectively. The Bank may also pledge available-for-sale investment securities as collateral for FHLB advances. No securities were pledged for this purpose at December 31, 2021 or 2020. Mortgage-backed securities may have actual maturities that differ from contractual maturities depending on the repayment characteristics and experience of the underlying financial instruments. As of December 31, 2021, municipal securities with an amortized cost and fair value of $0.2 million were due between one to five years. Corporate debt securities with an amortized cost of $2.0 million and fair value of $2.1 million were due after five years through ten years. Other securities with an amortized cost and fair value of $0.5 million as of December 31, 2021 have no stated contractual maturity date. As of December 31, 2021 and December 31, 2020, AIR from available-for-sale investment securities totaled $1.0 million and $1.1 million, respectively, and was included within other assets in the statements of financial condition. Held-to-maturity Held-to-maturity investment securities are summarized as follows as of the dates indicated: December 31, 2021 Gross Gross Amortized unrealized unrealized cost gains losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 312,916 $ 2,061 $ (5,363) $ 309,614 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 296,096 122 (6,572) 289,646 Total investment securities held-to-maturity $ 609,012 $ 2,183 $ (11,935) $ 599,260 December 31, 2020 Gross Gross Amortized unrealized unrealized cost gains losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 306,187 $ 4,940 $ (197) $ 310,930 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 70,428 396 (63) 70,761 Total investment securities held-to-maturity $ 376,615 $ 5,336 $ (260) $ 381,691 During 2021 and 2020, purchases of held-to-maturity securities totaled $397.8 million and $284.2 million, respectively. Maturities and paydowns of held-to-maturity securities totaled $161.9 million and $88.1 million during 2021 and 2020, respectively. The held-to-maturity portfolio included 48 securities which were in an unrealized loss position at December 31, 2021, compared to nine securities at December 31, 2020. The tables below summarize the held-to-maturity securities with unrealized losses as of the dates shown, along with the length of the impairment period: December 31, 2021 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 197,095 $ (3,499) $ 45,353 $ (1,864) $ 242,448 $ (5,363) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 276,098 (6,572) — — 276,098 (6,572) Total $ 473,193 $ (10,071) $ 45,353 $ (1,864) $ 518,546 $ (11,935) December 31, 2020 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 53,453 $ (197) $ — $ — $ 53,453 $ (197) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 19,554 (63) — — 19,554 (63) Total $ 73,007 $ (260) $ — $ — $ 73,007 $ (260) The Company does not measure expected credit losses on a financial asset, or group of financial assets, in which historical credit loss information adjusted for current conditions and reasonable and supportable forecasts results in an expectation that nonpayment of the amortized cost basis is zero. Management evaluated held-to-maturity securities noting they are backed by loans guaranteed by either U.S. government agencies or U.S. government sponsored entities, and management believes that default is highly unlikely given this governmental backing and long history without credit losses. Additionally, management notes that yields on which the portfolio generally trades are based upon market views of prepayment and liquidity risk and not credit risk. The Company has no intention to sell any held-to-maturity securities and believes it will not be required to sell any held-to-maturity securities before the recovery of their amortized cost. Certain securities are pledged as collateral for public deposits, securities sold under agreements to repurchase and to secure borrowing capacity at the FRB, if needed. The carrying value of held-to-maturity investment securities pledged as collateral totaled $147.3 million and $140.6 million at December 31, 2021 and December 31, 2020, respectively. The Bank may also pledge held-to-maturity investment securities as collateral for FHLB advances. No held-to-maturity investment securities were pledged for this purpose at December 31, 2021 or 2020. Actual maturities of mortgage-backed securities may differ from scheduled maturities depending on the repayment characteristics and experience of the underlying financial instruments. As of December 31, 2021 and December 31, 2020, AIR from held-to-maturity investment securities totaled $0.9 million and $0.7 million, respectively, and was included within other assets in the statements of financial condition. |
Non-marketable Securities
Non-marketable Securities | 12 Months Ended |
Dec. 31, 2021 | |
Non-marketable Securities | |
Non-marketable Securities | Note 5 Non-marketable Securities During 2021, the Company updated its asset classifications to include certain financial instruments previously included in other assets within non-marketable securities in the statements of financial condition. Non-marketable securities totaled $50.7 million and $22.1 million at December 31, 2021 and 2020, respectively, and included FRB stock, FHLB stock and other non-marketable securities. At December 31, 2021, other non-marketable securities totaled $36.2 million and consisted of equity method investments totaling $16.2 million and convertible preferred stock without readily determinable fair values totaling $20.0 million. During the years ended December 31, 2021 and 2020, purchases of non-marketable securities totaled $27.7 million and $4.1 million, respectively. Included in these purchases were investments in two fintech firms, Finstro Global Holdings, Inc. of $20.0 million and Figure Technologies of $2.0 million. At December 31, 2020, the Company held $5.6 million of equity method investments. At December 31, 2021, the Company held $13.9 million of FRB stock and $0.7 million of FHLB stock for regulatory or debt facility purposes. At December 31, 2020, the Company held $13.9 million of FRB stock and $2.6 million of FHLB stock. These are restricted securities which, lacking a market, are carried at cost. There have been no identified events or changes in circumstances that may have an adverse effect on the investments carried at cost. |
Loans
Loans | 12 Months Ended |
Dec. 31, 2021 | |
Loans | |
Loans | Note 6 Loans The loan portfolio is comprised of loans originated by the Company and loans that were acquired in connection with the Company’s acquisitions. The tables below show the loan portfolio composition including carrying value by segment as of the dates shown. The carrying value of loans is net of discounts, fees, costs and fair value marks of $9.4 million and $16.2 million at December 31, 2021 and 2020, respectively. Included in commercial loans are fully-guaranteed loans originated as part of the SBA’s Paycheck Protection Program of which $21.7 million and $176.1 million, net of fees and costs, were outstanding at December 31, 2021 and 2020, respectively. December 31, 2021 Total loans % of total Commercial $ 3,162,417 70.1% Commercial real estate non-owner occupied 664,729 14.7% Residential real estate 668,656 14.8% Consumer 17,581 0.4% Total $ 4,513,383 100.0% December 31, 2020 Total loans % of total Commercial $ 3,044,065 70.0% Commercial real estate non-owner occupied 631,996 14.5% Residential real estate 658,659 15.1% Consumer 19,006 0.4% Total $ 4,353,726 100.0% Information about delinquent and non-accrual loans is shown in the following tables at December 31, 2021 and 2020: December 31, 2021 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 481 $ — $ 1,490 $ 1,971 $ 1,494,176 $ 1,496,147 Municipal and non-profit 202 — — 202 928,843 929,045 Owner occupied commercial real estate 207 — 4,525 4,732 528,904 533,636 Food and agribusiness 89 — 64 153 203,436 203,589 Total commercial 979 — 6,079 7,058 3,155,359 3,162,417 Commercial real estate non-owner occupied: Construction — — — — 86,126 86,126 Acquisition/development — — — — 9,609 9,609 Multifamily — — — — 92,174 92,174 Non-owner occupied 94 217 121 432 476,388 476,820 Total commercial real estate 94 217 121 432 664,297 664,729 Residential real estate: Senior lien 399 198 4,251 4,848 609,780 614,628 Junior lien 179 — 374 553 53,475 54,028 Total residential real estate 578 198 4,625 5,401 663,255 668,656 Consumer 36 5 7 48 17,533 17,581 Total loans $ 1,687 $ 420 $ 10,832 $ 12,939 $ 4,500,444 $ 4,513,383 December 31, 2021 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 1,490 $ — $ 1,490 Municipal and non-profit — — — Owner occupied commercial real estate 4,525 — 4,525 Food and agribusiness 64 — 64 Total commercial 6,079 — 6,079 Commercial real estate non-owner occupied: Construction — — — Acquisition/development — — — Multifamily — — — Non-owner occupied 121 — 121 Total commercial real estate 121 — 121 Residential real estate: Senior lien 3,274 977 4,251 Junior lien 374 — 374 Total residential real estate 3,648 977 4,625 Consumer 7 — 7 Total loans $ 9,855 $ 977 $ 10,832 December 31, 2020 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 170 $ — $ 6,312 $ 6,482 $ 1,440,256 $ 1,446,738 Municipal and non-profit — — — — 870,791 870,791 Owner occupied commercial real estate — — 5,450 5,450 510,789 516,239 Food and agribusiness 146 — 422 568 209,729 210,297 Total commercial 316 — 12,184 12,500 3,031,565 3,044,065 Commercial real estate non-owner occupied: Construction — — — — 91,125 91,125 Acquisition/development — — 6 6 24,665 24,671 Multifamily — — 1,523 1,523 67,233 68,756 Non-owner occupied — — 135 135 447,309 447,444 Total commercial real estate — — 1,664 1,664 630,332 631,996 Residential real estate: Senior lien 527 160 5,820 6,507 577,764 584,271 Junior lien 95 — 709 804 73,584 74,388 Total residential real estate 622 160 6,529 7,311 651,348 658,659 Consumer 30 2 10 42 18,964 19,006 Total loans $ 968 $ 162 $ 20,387 $ 21,517 $ 4,332,209 $ 4,353,726 December 31, 2020 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 6,080 $ 232 $ 6,312 Municipal and non-profit — — — Owner occupied commercial real estate 2,698 2,752 5,450 Food and agribusiness 88 334 422 Total commercial 8,866 3,318 12,184 Commercial real estate non-owner occupied: Construction — — — Acquisition/development 6 — 6 Multifamily — 1,523 1,523 Non-owner occupied 135 — 135 Total commercial real estate 141 1,523 1,664 Residential real estate: Senior lien 4,158 1,662 5,820 Junior lien 709 — 709 Total residential real estate 4,867 1,662 6,529 Consumer 10 — 10 Total loans $ 13,884 $ 6,503 $ 20,387 Loans are considered past due or delinquent when the contractual principal or interest due in accordance with the terms of the loan agreement remains unpaid after the due date of the scheduled payment. Non-accrual loans include non-accrual loans and TDRs on non-accrual status. There was no interest income recognized from non-accrual loans during the years ended December 31, 2021 and 2020. The Company’s internal risk rating system uses a series of grades, which reflect our assessment of the credit quality of loans based on an analysis of the borrower's financial condition, liquidity and ability to meet contractual debt service requirements and are categorized as “Pass”, “Special mention”, “Substandard” and “Doubtful”. For a description of the general characteristics of the risk grades, refer to note 2 Summary of Significant Accounting Policies. The amortized cost basis for all loans as determined by the Company’s internal risk rating system and year of origination is shown in the following tables as of December 31, 2021 and 2020: December 31, 2021 Revolving Revolving loans loans Origination year amortized converted 2021 2020 2019 2018 2017 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 424,813 $ 155,268 $ 146,420 $ 128,002 $ 49,408 $ 18,529 $ 519,678 $ 5,975 $ 1,448,093 Special mention — 1,122 2,000 3,446 22,654 4,440 1,824 250 35,736 Substandard — 99 89 744 10,399 303 105 — 11,739 Doubtful — 375 — 54 49 101 — — 579 Total commercial and industrial 424,813 156,864 148,509 132,246 82,510 23,373 521,607 6,225 1,496,147 Municipal and non-profit: Pass 234,827 93,310 69,509 81,175 147,115 302,574 535 — 929,045 Total municipal and non-profit 234,827 93,310 69,509 81,175 147,115 302,574 535 — 929,045 Owner occupied commercial real estate: Pass 122,641 81,072 84,359 71,183 48,086 77,100 13,666 1,688 499,795 Special mention — — 9,155 3,864 1,429 13,443 — — 27,891 Substandard — 1,192 1,527 — 220 2,028 — — 4,967 Doubtful — 389 550 — — 44 — — 983 Total owner occupied commercial real estate 122,641 82,653 95,591 75,047 49,735 92,615 13,666 1,688 533,636 Food and agribusiness: Pass 11,245 20,606 6,966 21,427 2,443 24,047 107,978 24 194,736 Special mention — 4,670 1,234 — — 215 1,897 — 8,016 Substandard — — — — 259 578 — — 837 Total food and agribusiness 11,245 25,276 8,200 21,427 2,702 24,840 109,875 24 203,589 Total commercial 793,526 358,103 321,809 309,895 282,062 443,402 645,683 7,937 3,162,417 Commercial real estate non-owner occupied: Construction: Pass 39,584 10,047 29,496 — 222 — 6,777 — 86,126 Total construction 39,584 10,047 29,496 — 222 — 6,777 — 86,126 Acquisition/development: Pass 1,691 385 766 1,830 30 4,907 — — 9,609 Total acquisition/development 1,691 385 766 1,830 30 4,907 — — 9,609 Multifamily: Pass 3,101 32,619 2,184 15,977 193 37,713 — — 91,787 Special mention — — — — — 387 — — 387 Total multifamily 3,101 32,619 2,184 15,977 193 38,100 — — 92,174 Non-owner occupied Pass 59,060 58,964 122,452 18,425 92,349 95,265 557 — 447,072 Special mention — — 5,747 5,584 9,745 3,898 — — 24,974 Substandard — — — 729 — 4,045 — — 4,774 Total non-owner occupied 59,060 58,964 128,199 24,738 102,094 103,208 557 — 476,820 Total commercial real estate non-owner occupied 103,436 102,015 160,645 42,545 102,539 146,215 7,334 — 664,729 Residential real estate: Senior lien Pass 223,120 100,476 38,696 21,889 29,554 177,051 18,278 188 609,252 Special mention — — — — — 290 — — 290 Substandard 44 325 684 318 299 3,416 — — 5,086 Total senior lien 223,164 100,801 39,380 22,207 29,853 180,757 18,278 188 614,628 Junior lien Pass 1,320 2,150 2,731 1,639 951 3,209 40,921 328 53,249 Special mention — — — — — — 24 322 346 Substandard — 19 — 62 131 221 — — 433 Total junior lien 1,320 2,169 2,731 1,701 1,082 3,430 40,945 650 54,028 Total residential real estate 224,484 102,970 42,111 23,908 30,935 184,187 59,223 838 668,656 Consumer Pass 8,815 3,528 1,241 631 131 557 2,653 19 17,575 Substandard — — — — — 6 — — 6 Total consumer 8,815 3,528 1,241 631 131 563 2,653 19 17,581 Total loans $ 1,130,261 $ 566,616 $ 525,806 $ 376,979 $ 415,667 $ 774,367 $ 714,893 $ 8,794 $ 4,513,383 December 31, 2020 Revolving Revolving loans loans Origination year amortized converted 2020 2019 2018 2017 2016 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 372,041 $ 212,388 $ 189,753 $ 93,822 $ 15,145 $ 17,662 $ 499,283 $ 991 $ 1,401,085 Special mention — 1,445 7,381 4,845 5,810 729 2,329 1,478 24,017 Substandard 23 1,238 925 11,885 56 4,840 1,341 — 20,308 Doubtful — — 34 456 — 809 29 — 1,328 Total commercial and industrial 372,064 215,071 198,093 111,008 21,011 24,040 502,982 2,469 1,446,738 Municipal and non-profit: Pass 131,961 91,911 125,247 156,275 124,269 238,453 2,675 — 870,791 Total municipal and non-profit 131,961 91,911 125,247 156,275 124,269 238,453 2,675 — 870,791 Owner occupied commercial real estate: Pass 100,791 107,558 90,398 53,131 32,648 87,758 1,401 — 473,685 Special mention 1,581 2,236 2,714 544 3,254 19,341 — — 29,670 Substandard — 1,988 6,211 251 93 3,802 — — 12,345 Doubtful — 511 — — — 28 — — 539 Total owner occupied commercial real estate 102,372 112,293 99,323 53,926 35,995 110,929 1,401 — 516,239 Food and agribusiness: Pass 28,139 9,198 20,242 7,198 9,556 28,330 106,007 126 208,796 Special mention — — — — — 222 — — 222 Substandard — — — 302 — 977 — — 1,279 Total food and agribusiness 28,139 9,198 20,242 7,500 9,556 29,529 106,007 126 210,297 Total commercial 634,536 428,473 442,905 328,709 190,831 402,951 613,065 2,595 3,044,065 Commercial real estate non-owner occupied: Construction: Pass 15,841 49,658 17,349 4,072 — — 2,006 1,807 90,733 Special mention 392 — — — — — — — 392 Total construction 16,233 49,658 17,349 4,072 — — 2,006 1,807 91,125 Acquisition/development: Pass 3,762 1,997 1,947 8,373 4,559 3,694 11 — 24,343 Special mention — — — 34 — 253 — — 287 Substandard — — — — — 41 — — 41 Total acquisition/development 3,762 1,997 1,947 8,407 4,559 3,988 11 — 24,671 Multifamily: Pass 29,738 13,670 137 212 18,050 4,990 — — 66,797 Special mention — — — — — 436 — — 436 Substandard — — — — — 1,523 — — 1,523 Total multifamily 29,738 13,670 137 212 18,050 6,949 — — 68,756 Non-owner occupied Pass 51,445 92,225 25,362 86,975 26,613 118,144 3,083 643 404,490 Special mention 70 5,458 5,841 22,737 — 3,662 100 — 37,868 Substandard — — 779 — 3,937 370 — — 5,086 Total non-owner occupied 51,515 97,683 31,982 109,712 30,550 122,176 3,183 643 447,444 Total commercial real estate non-owner occupied 101,248 163,008 51,415 122,403 53,159 133,113 5,200 2,450 631,996 Residential real estate: Senior lien Pass 129,551 76,504 36,493 47,887 88,358 173,091 24,884 218 576,986 Special mention — — — — — 463 — — 463 Substandard 95 818 20 1,232 550 4,107 — — 6,822 Total senior lien 129,646 77,322 36,513 49,119 88,908 177,661 24,884 218 584,271 Junior lien Pass 3,479 4,217 2,553 1,775 1,226 3,760 55,860 365 73,235 Special mention — — — — — 21 341 — 362 Substandard — 112 101 177 55 287 — 59 791 Total junior lien 3,479 4,329 2,654 1,952 1,281 4,068 56,201 424 74,388 Total residential real estate 133,125 81,651 39,167 51,071 90,189 181,729 81,085 642 658,659 Consumer: Pass 9,777 3,348 1,674 489 329 623 2,700 19 18,959 Substandard — — 37 — 2 8 — — 47 Total consumer 9,777 3,348 1,711 489 331 631 2,700 19 19,006 Total loans $ 878,686 $ 676,480 $ 535,198 $ 502,672 $ 334,510 $ 718,424 $ 702,050 $ 5,706 $ 4,353,726 Loans evaluated individually We evaluate loans individually when they no longer share risk characteristics with pooled loans. These loans include loans on non-accrual status, loans in bankruptcy, and TDRs described below. If a specific allowance is warranted based on the borrower’s overall financial condition, the specific allowance is calculated based on discounted expected cash flows using the loan’s initial contractual effective interest rate or the fair value of the collateral less selling costs for collateral-dependent loans. A loan is considered collateral-dependent when the borrower is experiencing financial difficulty and repayment is expected to be provided substantially through the operation or sale of the collateral. Management individually evaluates collateral-dependent loans with an amortized cost basis of $250 thousand or more and includes collateral-dependent loans less than $250 thousand within the general allowance population. The amortized cost basis of collateral-dependent loans over $250 thousand was as follows at December 31, 2021 and 2020: December 31, 2021 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 3,270 $ 1,261 $ 4,531 Owner-occupied commercial real estate 4,012 255 4,267 Total Commercial 7,282 1,516 8,798 Residential real estate Senior lien 2,212 — 2,212 Total residential real estate 2,212 — 2,212 Total loans $ 9,494 $ 1,516 $ 11,010 December 31, 2020 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 7,579 $ 3,005 $ 10,584 Owner-occupied commercial real estate 3,701 284 3,985 Food and agribusiness 334 — 334 Total Commercial 11,614 3,289 14,903 Commercial real estate non owner-occupied Acquisition/development 1,573 — 1,573 Multifamily 1,523 — 1,523 Total commercial real estate 3,096 — 3,096 Residential real estate Senior lien 2,021 — 2,021 Total residential real estate 2,021 — 2,021 Total loans $ 16,731 $ 3,289 $ 20,020 Loan modifications and troubled debt restructurings The Company’s policy is to review each prospective credit to determine the appropriateness and the adequacy of security or collateral prior to making a loan. In the event of borrower default, the Company seeks recovery in compliance with lending laws, the respective loan agreements, and credit monitoring and remediation procedures that may include restructuring a loan to provide a concession by the Company to the borrower from their original terms due to borrower financial difficulties in order to facilitate repayment. Additionally, if a borrower’s repayment obligation has been discharged by a court, and that debt has not been reaffirmed by the borrower, regardless of past due status, the loan is considered to be a TDR. The CARES Act afforded financial institutions the option to modify loans within certain parameters in response to the COVID-19 pandemic without requiring the modifications to be classified as TDRs under ASC Topic 310 if the borrower has been adversely impacted by COVID-19 and was current on their loan payments. The Company modified 19 loans totaling $9.9 million during the year ended December 31, 2021 and 510 loans totaling $519.0 million during the year ended December 31, 2020, due to the effects of the COVID-19 pandemic, that were not classified as TDRs. Modified loans that remained on a payment deferral plan, paying interest only, at December 31, 2021 totaled $5.3 million, or 0.1% of the total loan population. At December 31, 2021, $206 thousand of loan modifications related to COVID-19 were a subsequent modification and one loan totaling $206 thousand was classified as non-accrual. At December 31, 2020, modified loans that remained on a payment deferral plan totaled $173.6 million, or 4.0% of the total loan portfolio, of which 26.2% were a subsequent modification. During 2021, the Company restructured four loans with an amortized cost basis of $1.1 million to facilitate repayment that are considered TDRs. Loan modifications were a reduction of the principal payment, a reduction in interest rate, or an extension of term. The tables below provide additional information related to accruing TDRs at December 31, 2021 and 2020: December 31, 2021 Amortized Average year-to-date Unpaid Unfunded commitments cost basis amortized cost basis principal balance to fund TDRs Commercial $ 4,066 $ 4,472 $ 4,417 $ — Commercial real estate non-owner occupied 725 767 892 — Residential real estate 2,395 2,468 2,781 — Consumer — — — — Total $ 7,186 $ 7,707 $ 8,090 $ — December 31, 2020 Amortized Average year-to-date Unpaid Unfunded commitments cost basis amortized cost basis principal balance to fund TDRs Commercial $ 9,387 $ 9,544 $ 9,978 $ 150 Commercial real estate non-owner occupied 2,400 2,351 4,105 — Residential real estate 2,121 2,185 2,922 12 Consumer 37 37 37 — Total $ 13,945 $ 14,117 $ 17,042 $ 162 The following table summarizes the Company’s carrying value of non-accrual TDRs as of December 31, 2021 and 2020: December 31, 2021 December 31, 2020 Commercial $ 644 $ 3,397 Commercial real estate non-owner occupied 117 1,644 Residential real estate 1,605 3,156 Consumer — — Total non-accruing TDRs $ 2,366 $ 8,197 Accrual of interest is resumed on loans that were previously on non-accrual only after the loan has performed sufficiently for a period of time. The Company had no TDRs that were modified within the past 12 months and had defaulted on their restructured terms during the year ended December 31, 2021. During 2020, the Company had three TDRs totaling $3.4 million that had been modified within the prior 12 months and defaulted on their restructured terms. For purposes of this disclosure, the Company considers “default” to mean 90 days or more past due on principal or interest. The allowance for credit losses related to TDRs on non-accrual status is determined by individual evaluation, including collateral adequacy, using the same process as loans on non-accrual status which are not classified as TDRs. |
Allowance for Credit Losses
Allowance for Credit Losses | 12 Months Ended |
Dec. 31, 2021 | |
Allowance for Credit Losses | |
Allowance for Credit Losses | Note 7 Allowance for Credit Losses The tables below detail the Company’s allowance for credit losses as of the dates shown: Year ended December 31, 2021 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 30,376 $ 17,448 $ 11,492 $ 461 $ 59,777 Charge-offs (1,171) — (24) (621) (1,816) Recoveries 371 7 48 126 552 Provision expense (release) for loan losses 1,680 (7,422) (3,460) 383 (8,819) Ending balance $ 31,256 $ 10,033 $ 8,056 $ 349 $ 49,694 Year ended December 31, 2020 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 30,442 $ 4,850 $ 3,468 $ 304 $ 39,064 Cumulative effect adjustment (1) (1,299) 1,666 5,314 155 5,836 Charge-offs (2,023) (412) (67) (726) (3,228) Recoveries 394 — 32 145 571 Provision expense for loan losses 2,862 11,344 2,745 583 17,534 Ending balance $ 30,376 $ 17,448 $ 11,492 $ 461 $ 59,777 (1) Related to the adoption of Accounting Standards Update No. 2016-13, Measurement of Credit Losses on Financial Instruments In evaluating the loan portfolio for an appropriate ACL level, excluding loans evaluated individually, loans were grouped into segments based on broad characteristics such as primary use and underlying collateral. Within the segments, the portfolio was further disaggregated into classes of loans with similar attributes and risk characteristics for purposes of developing the underlying data used within the discounted cash flow model including, but not limited to, prepayment and recovery rates as well as loss rates tied to macro-economic conditions within management’s reasonable and supportable forecast. The ACL also includes subjective adjustments based upon qualitative risk factors including asset quality, loss trends, lending management, portfolio growth and loan review/internal audit results. Net charge-offs on loans during the year ended December 31, 2021 were $1.3 million. The Company recorded a provision release of $9.3 million during 2021, which included a provision release of $8.8 million for funded loans and a provision release of $0.5 million for unfunded loan commitments. Provision release was driven by strong asset quality and an improved outlook in the CECL model’s underlying economic forecast. Net charge-offs on loans during the year ended December 31, 2020 were $2.7 million. The Company recorded total provision expense of $17.6 million during 2020, which included a provision expense of $17.5 million for funded loans and a provision expense of $0.1 million for unfunded loan commitments. Provision expense was recorded to provide coverage for the impact of deteriorating economic conditions as a result of COVID-19 and to support non-PPP originated loan growth. The Company has elected to exclude AIR from the allowance for credit losses calculation. As of December 31, 2021 and December 31, 2020, AIR from loans totaled $15.7 million and $16.7 million, respectively. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2021 | |
Leases | |
Leases | Note 8 Leases Right-of-use (“ROU”) lease assets totaled $19.7 million and $25.4 million as of December 31, 2021 and 2020, respectively, and were included in other assets in the consolidated statements of financial condition. The related lease liabilities totaled $20.3 million and $26.0 million as of December 31, 2021 and 2020, respectively, and were included in other liabilities in the consolidated statements of financial condition. The Company has operating leases for banking centers, corporate offices and ATM locations, with remaining lease terms ranging from one year to ten years. The Company only included reasonably certain renewal options in the lease terms. The weighted-average remaining lease term for our operating leases was 4.7 years and 5.4 years at December 31, 2021 and 2020, respectively. As of December 31, 2021 and 2020, the weighted-average discount rate were 3.25% and 3.36%, respectively, utilizing the Company’s incremental FHLB borrowing rate for borrowings of a similar term at the date of lease commencement. Rent expense totaled $5.1 million and $5.7 million for the years ended December 31, 2021 and 2020, respectively, and was recorded within occupancy and equipment in the consolidated statements of operations. Lease payments do not include non-lease components such as real estate taxes, insurance and common area maintenance. Below is a summary of undiscounted future minimum lease payments as of December 31, 2021: Years ending December 31, Amount 2022 $ 4,511 2023 4,171 2024 3,741 2025 2,985 2026 1,967 Thereafter 10,174 Total lease payments 27,549 Less: Imputed interest (7,296) Present value of operating lease liabilities $ 20,253 |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2021 | |
Premises and Equipment | |
Premises and Equipment | Note 9 Premises and Equipment Premises and equipment consisted of the following at December 31, 2021 and 2020: December 31, 2021 December 31, 2020 Land $ 30,556 $ 33,149 Buildings and improvements 86,201 92,463 Equipment 63,553 60,205 Total premises and equipment, at cost 180,310 185,817 Less: accumulated depreciation and amortization (83,563) (78,835) Premises and equipment, net $ 96,747 $ 106,982 The Company recorded $7.3 million, $8.1 million and $8.2 million of depreciation expense during 2021, 2020 and 2019, respectively, as a component of occupancy and equipment expense in the consolidated statements of operations. The Company disposed of $13.7 million, $3.6 million and $0.0 million of premises and equipment, net, during 2021, 2020 and 2019, respectively. The company recorded gains on sale of premises and equipment totaling $3.8 million and $0.3 million during the years ended December 31, 2021 and 2020, respectively, within other non-interest income in the consolidated statements of operations. During 2021, the Company recognized $1.6 million of impairment in its consolidated statements of operations related to premises and equipment classified as held-for-sale totaling $6.0 million at the time of impairment. During 2020, the Company recognized $1.6 million of impairments from the consolidation of 12 banking centers classified as held-for-sale totaling $8.0 million. |
Other Real Estate Owned
Other Real Estate Owned | 12 Months Ended |
Dec. 31, 2021 | |
Other Real Estate Owned | |
Other Real Estate Owned | Note 10 Other Real Estate Owned A summary of the activity in OREO during 2021 and 2020 is as follows: For the years ended December 31, 2021 2020 Beginning balance $ 4,730 $ 7,300 Transfers from loan portfolio, at fair value 4,516 1,533 Impairments (799) (470) Sales (1,442) (3,633) Ending balance $ 7,005 $ 4,730 During the year ended December 31, 2021 and 2020, the Company sold OREO properties with net book balances of $1.4 million and $3.6 million, respectively. Sales of OREO properties resulted in net OREO gains of $475 thousand and $38 thousand which were included within gain on OREO sales, net in the consolidated statements of operations for the years ended December 31, 2021 and 2020, respectively. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2021 | |
Goodwill and Intangible Assets | |
Goodwill and Intangible Assets | Note 11 Goodwill and Intangible Assets Goodwill and core deposit intangible In connection with our acquisitions, the Company recorded goodwill of $115.0 million. Goodwill is measured as the excess of the fair value of consideration paid over the fair value of net assets acquired. No goodwill impairment was recorded during the years ended December 31, 2021 or December 31, 2020. The gross carrying amount of the core deposit intangibles and the associated accumulated amortization at December 31, 2021 and December 31, 2020, are presented as follows: December 31, 2021 December 31, 2020 Gross Net Gross Net carrying Accumulated carrying carrying Accumulated carrying amount amortization amount amount amortization amount Core deposit intangible $ 48,834 $ (42,469) $ 6,365 $ 48,834 $ (41,286) $ 7,548 The Company is amortizing the core deposit intangibles from acquisitions on a straight line basis over 7 The following table shows the estimated future amortization expense for the core deposit intangibles as of December 31, 2021: Years ending December 31, Amount 2022 $ 1,127 2023 1,048 2024 1,048 2025 1,048 2026 1,048 Mortgage servicing rights MSRs represent rights to service loans originated by the Company and sold to government-sponsored enterprises including FHLMC, FNMA, GNMA and FHLB and are included in other assets in the consolidated statements of financial condition. Mortgage loans serviced for others were $0.7 billion at December 31, 2021 and $1.4 billion at December 31, 2020. Below are the changes in the MSRs for the years presented: For the years ended December 31, 2021 2020 Beginning balance $ 10,380 $ 2,630 Originations 7,881 10,354 Sales (10,499) — Recovery (impairment) 740 (751) Amortization (2,545) (1,853) Ending balance 5,957 10,380 Fair value of mortgage servicing rights $ 7,729 $ 11,542 During the year ended December 31, 2021, the Company sold rights to service loans totaling $1.3 billion in unpaid principal balances from our mortgage servicing rights portfolio as a strategic move to reduce the risk associated with mortgage servicing. As a result of the sale, the book value of our mortgage servicing right intangible decreased $10.5 million and generated a gain of $1.3 million included in mortgage banking income in the consolidated statements of operations. The fair value of MSRs was determined based upon a discounted cash flow analysis. The cash flow analysis included assumptions for discount rates and prepayment speeds. Discount rates ranged from 9.5% to 10.0%, and the constant prepayment speed ranged from 9.3% to 14.5% for the December 31, 2021 valuation. Discount rates ranged from 9.5% to 10.5%, and the constant prepayment speed ranged from 15.4% to 21.3% for the December 31, 2020 valuation. Included in mortgage banking income in the consolidated statements of operations was servicing income of $3.5 million and $1.7 million for the years ended December 31, 2021 and 2020, respectively. MSRs are evaluated and impairment is recognized to the extent fair value is less than the carrying amount. The Company evaluates impairment by stratifying MSRs based on the predominant risk characteristics of the underlying loans, including loan type and loan term. The Company is amortizing the MSRs in proportion to and over the period of the estimated net servicing income of the underlying loans. The following table shows the estimated future amortization expense for the MSRs as of December 31, 2021: Years ending December 31, Amount 2022 $ 813 2023 702 2024 606 2025 524 2026 453 |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2021 | |
Deposits | |
Deposits | Note 12 Deposits Total deposits were $6.2 billion and $5.7 billion at December 31, 2021 and 2020, respectively. Time deposits were $0.8 billion and $1.0 billion at December 31, 2021 and 2020, respectively. The following table summarizes the Company’s time deposits by remaining contractual maturity: Years ending December 31, Amount 2022 $ 555,361 2023 197,026 2024 50,617 2025 27,882 2026 2,445 Thereafter 585 Total time deposits $ 833,916 The Company incurred interest expense on deposits as follows during the years indicated: For the years ended December 31, 2021 2020 2019 Interest bearing demand deposits $ 1,088 $ 1,921 $ 1,514 Money market accounts 3,995 5,342 9,046 Savings accounts 1,157 1,342 2,717 Time deposits 7,362 15,024 16,526 Total $ 13,602 $ 23,629 $ 29,803 The Federal Reserve System requires cash balances to be maintained at the FRB based on certain deposit levels. There was no minimum reserve requirement for the Bank at December 31, 2021. |
Borrowings
Borrowings | 12 Months Ended |
Dec. 31, 2021 | |
Borrowings | |
Borrowings | Note 13 Borrowings Borrowings consist of securities sold under agreements to repurchase, subordinated debt and FHLB advances. Securities sold under agreements to repurchase The following table sets forth selected information regarding repurchase agreements during 2021, 2020 and 2019: As of and for the years ended December 31, 2021 2020 2019 Maximum amount of outstanding agreements at any month end during the period $ 23,574 $ 54,489 $ 68,600 Average amount outstanding during the period 20,338 30,355 60,445 Weighted average interest rate for the period 0.11% 0.45% 1.11% The Company enters into repurchase agreements to facilitate the needs of its clients. As of December 31, 2021, 2020 and 2019, the Company sold securities under agreements to repurchase totaling $22.8 million, $22.9 million and $56.9 million, respectively. The Company pledged mortgage-backed securities with a fair value of approximately $28.8 million, $27.7 million and $65.6 million, as of December 31, 2021, 2020 and 2019, respectively, for these agreements. The Company monitors collateral levels on a continuous basis and may be required to provide additional collateral based on the fair value of the underlying securities. As of December 31, 2021, 2020 and 2019, the Company had The vast majority of the Company’s repurchase agreements are overnight transactions with clients that mature the day after the transaction. At December 31, 2021, 2020 and 2019, none of the Company’s repurchase agreements were for periods longer than one day. The repurchase agreements are subject to a master netting arrangement; however, the Company has not offset any of the amounts shown in the consolidated financial statements. Long-term debt During the fourth quarter of 2021, the Company entered into a subordinated note purchase agreement to issue and sell a fixed-to-floating rate note totaling $40.0 million. The balance on the note at December 31, 2021, net of long-term debt issuance costs totaling $0.5 million, totaled $39.5 million. Interest expense totaling $183.3 thousand was recorded within other liabilities in the consolidated statements of financial condition during the year ended December 31, 2021. The note is subordinated, unsecured and matures on November 15, 2031. Payments consist of interest only. Beginning November 15, 2021, the note will initially be payable semi-annually in arrears and will bear interest at 3.00% per annum until November 15, 2026 (or any earlier redemption date). From November 15, 2026 until November 15, 2031 (or any earlier redemption date) payments will be made quarterly in arrears, and the interest rate shall reset quarterly to an interest rate per annum equal to the then current three-month term SOFR plus 203 basis points. The Company intends to use the net proceeds from the sale of the note for general corporate purposes. Prior to November 5, 2026, the Company may redeem the note only under certain limited circumstances. Beginning on November 5, 2026 through maturity, the note may be redeemed, at the Company’s option, on any scheduled interest payment date. Any redemption by the Company would be at a redemption price equal to 100% of the principal amount of the note being redeemed, together with any accrued and unpaid interest on the note being redeemed up to but excluding the date of redemption. The note is not subject to redemption at the option of the holder. Federal Home Loan Bank advances As a member of the FHLB, the Bank has access to a line of credit and term financing from the FHLB with total available credit of $0.9 billion at December 31, 2021. At December 31, 2021 and 2020, the Bank had no outstanding borrowings from the FHLB. At December 31, 2019, the Bank had $192.7 million in line of credit advances from the FHLB that matured within a day. At December 31, 2019, the Bank had $15.0 million in term advances from the FHLB with fixed interest rates between 1.55% - 2.33% and maturity dates of 2020 - 2021 . The Bank may have investment securities and loans pledged as collateral for FHLB advances. There were no investment securities pledged at December 31, 2021 or 2020. At December 31, 2019, investment securities pledged were $17.6 million. Loans pledged were $1.3 billion, $1.2 billion and $1.5 billion at December 31, 2021, 2020 and 2019, respectively. There was no interest expense related to FHLB advances and other short-term borrowings for the year ended December 31, 2021, compared to $1.3 million and $6.3 million for the years ended December 31, 2020 and 2019, respectively. |
Regulatory Capital
Regulatory Capital | 12 Months Ended |
Dec. 31, 2021 | |
Regulatory Capital | |
Regulatory Capital | Note 14 Regulatory Capital As a bank holding company that has elected to be treated as a financial holding company, the Company and NBH Bank is subject to regulatory capital adequacy requirements implemented by the Federal Reserve, including maintaining capital positions at the “well-capitalized” level. The federal banking agencies have risk-based capital adequacy regulations intended to provide a measure of capital adequacy that reflects the degree of risk associated with a banking organization’s operations. Under these regulations, assets are assigned to one of several risk categories, and nominal dollar amounts of assets and credit equivalent amounts of off-balance-sheet items are multiplied by a risk-adjustment percentage for the category. Under the Basel III requirements, at December 31, 2021 and 2020, the Company and the Bank met all capital requirements, including the capital conservation buffer of 2.5%. The Company and Bank had regulatory capital ratios in excess of the levels established for well-capitalized institutions, as detailed in the tables below: December 31, 2021 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized (1) Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 10.4% $ 731,087 N/A N/A 4.0% $ 281,463 NBH Bank 9.1% 637,115 5.0% $ 350,584 4.0% 280,467 Common equity tier 1 risk based capital: Consolidated 14.3% $ 731,087 N/A N/A 7.0% $ 358,813 NBH Bank 12.5% 637,115 6.5% $ 331,427 7.0% 356,921 Tier 1 risk based capital ratio: Consolidated 14.3% $ 731,087 N/A N/A 8.5% $ 435,701 NBH Bank 12.5% 637,115 8.0% $ 407,910 8.5% 433,404 Total risk based capital ratio: Consolidated 15.9% $ 816,117 N/A N/A 10.5% $ 538,219 NBH Bank 13.4% 682,145 10.0% $ 509,888 10.5% 535,382 December 31, 2020 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized (1) Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 10.7% $ 696,311 N/A N/A 4.0% $ 260,370 NBH Bank 9.2% 600,622 5.0% $ 325,447 4.0% 260,358 Common equity tier 1 risk based capital: Consolidated 14.7% $ 696,311 N/A N/A 7.0% $ 331,632 NBH Bank 12.7% 600,622 6.5% $ 307,631 7.0% 331,295 Tier 1 risk based capital ratio: Consolidated 14.7% $ 696,311 N/A N/A 8.5% $ 402,696 NBH Bank 12.7% 600,622 8.0% $ 378,623 8.5% 402,287 Total risk based capital ratio: Consolidated 15.8% $ 749,899 N/A N/A 10.5% $ 497,448 NBH Bank 13.8% 654,209 10.0% $ 473,279 10.5% 496,943 |
Revenue from Contracts with Cli
Revenue from Contracts with Clients | 12 Months Ended |
Dec. 31, 2021 | |
Revenue from Contracts with Clients | |
Revenue from Contracts with Clients | Note 15 Revenue from Contracts with Clients Revenue is recognized when obligations under the terms of a contract with clients are satisfied. Below is the detail of the Company’s revenue from contracts with clients. Service charges and other fees Service charge fees are primarily comprised of monthly service fees, check orders, and other deposit account related fees. Other fees include revenue from processing Bank card fees Bank card fees are primarily comprised of debit card income, ATM fees, merchant services income, and other fees. Debit card income is primarily comprised of interchange fees earned whenever the Company’s debit cards are processed through card payment networks such as Visa. ATM fees are primarily generated when a Bank cardholder uses a non-Bank ATM or a non-Bank cardholder uses a Bank ATM. Merchant services income mainly represents fees charged to merchants to process their debit card transactions. The Company’s performance obligation for bank card fees are largely satisfied, and related revenue recognized, when the services are rendered or upon completion. Payment is typically received immediately or in the following month. Gain on OREO sales, net Gain on OREO sales, net is recognized when the Company meets its performance obligation to transfer title to the buyer. The gain or loss is measured as the excess of the proceeds received compared to the OREO carrying value. Sales proceeds are received in cash at the time of transfer. The following table presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, and non-interest expense in-scope of Topic 606 for the years ended December 31, 2021, 2020 and 2019. For the years ended December 31, 2021 2020 2019 Non-interest income In-scope of Topic 606: Service charges and other fees $ 18,066 $ 16,913 $ 19,720 Bank card fees 17,693 15,446 14,595 Non-interest income (in-scope of Topic 606) 35,759 32,359 34,315 Non-interest income (out-of-scope of Topic 606) 69,975 107,899 48,437 Total non-interest income $ 105,734 $ 140,258 $ 82,752 Non-interest expense In-scope of Topic 606: Gain on OREO sales, net $ 475 $ 38 7,193 Total revenue in-scope of Topic 606 $ 36,234 $ 32,397 $ 41,508 Contract acquisition costs The Company utilizes the practical expedient which allows entities to expense immediately contract acquisition costs when the asset that would have resulted from capitalizing these costs would have been amortized in one year or less. The Company has not capitalized any contract acquisition costs. |
Stock-based Compensation and Be
Stock-based Compensation and Benefits | 12 Months Ended |
Dec. 31, 2021 | |
Stock-based Compensation and Benefits | |
Stock-based Compensation and Benefits | Note 16 Stock-based Compensation and Benefits The Company provides stock-based compensation in accordance with shareholder-approved plans. In 2014, shareholders approved the 2014 Omnibus Incentive Plan (the "2014 Plan"). The 2014 Plan replaces the NBH Holdings Corp. 2009 Equity Incentive Plan (the "Prior Plan"), pursuant to which the Company granted equity awards prior to the approval of the 2014 Plan. Pursuant to the 2014 Plan, the Compensation Committee of the Board of Directors has the authority to grant, from time to time, awards of stock options, stock appreciation rights, restricted stock, restricted stock units, performance units, other stock-based awards, or any combination thereof to eligible persons. As of December 31, 2021, the aggregate number of Class A common stock available for issuance under the 2014 Plan is 4,048,761 shares. Any shares that are subject to stock options or stock appreciation rights under the 2014 Plan will be counted against the amount available for issuance as one share for every one share granted, and any shares that are subject to awards under the 2014 Plan other than stock options or stock appreciation rights will be counted against the amount available for issuance as 3.25 shares for every one share granted. The 2014 Plan provides for recycling of shares from both the Prior Plan and the 2014 Plan, the terms of which are further described in the Company's Proxy Statement for its 2014 Annual Meeting of Shareholders. Upon an option exercise, it is the Company’s policy to issue shares from treasury stock. To date, the Company has issued stock options, restricted stock and performance stock units under the plans. The Compensation Committee sets the option exercise price at the time of grant, but in no case is the exercise price less than the fair market value of a share of stock at the date of grant. Stock options The Company issues stock options, which are primarily time-vesting with 1/3 1 Below are the weighted average assumptions used in the Black-Scholes option pricing model to determine fair value of the Company’s stock options granted in 2021, 2020 and 2019: 2021 2020 2019 Weighted average fair value $ 9.65 $ 3.37 $ 6.31 Weighted average risk-free interest rate (1) 1.14% 0.44% 2.35% Expected volatility (2) 30.54% 25.08% 20.56% Expected term (years) (3) 6.04 6.04 6.05 Dividend yield (4) 2.09% 3.44% 2.00% (1) The risk-free rate for the expected term of the options was based on the U.S. Treasury yield curve at the date of grant and based on the expected term. (2) Expected volatility was calculated using historical volatility of the Company’s stock price for a period commensurate with the expected term of the options. (3) The expected term was estimated to be the average of the contractual vesting term and time to expiration. (4) The dividend yield was calculated in accordance with the Company’s dividend policy at the time of grant. The Company issued stock options in accordance with the 2014 Plan during 2021. The following table summarizes stock option activity for 2021: Weighted average Weighted remaining average contractual Aggregate exercise term in intrinsic Options price years value Outstanding at December 31, 2020 768,129 $ 26.35 6.91 $ 5,224 Granted 82,587 40.18 Exercised (128,551) 25.00 Forfeited (26,205) 27.80 Outstanding at December 31, 2021 695,960 28.19 6.57 $ 10,964 Options exercisable at December 31, 2021 440,806 26.94 5.49 7,492 Options vested and expected to vest 677,858 28.07 6.51 10,756 Stock option expense is a component of salaries and benefits in the consolidated statements of operations and totaled $0.9 million, $1.0 million and $0.7 million for 2021, 2020 and 2019, respectively. At December 31, 2021, there was $0.4 million of total unrecognized compensation cost related to non-vested stock options granted under the plans. The cost is expected to be recognized over a weighted average period of 2.0 years. The following table summarizes the Company’s outstanding stock options: Options outstanding Options exercisable Weighted average Number remaining contractual Weighted average Number Weighted average Range of exercise price outstanding life (years) exercise price exercisable exercise price $ 18.00 - 22.99 159,208 3.35 $ 19.22 159,208 $ 19.22 23.00 - 27.99 193,046 8.24 23.13 60,728 23.14 28.00 - 32.99 89,409 6.25 32.56 87,455 32.62 33.00 - 37.99 172,080 6.57 34.14 132,133 34.12 38.00 and above 82,217 9.22 40.24 1,282 40.51 Restricted stock awards The Company issues primarily time-based restricted stock awards that vest over a range of a 1 Performance stock units During the years ended December 2021, 2020 and 2019, the Company granted 52,526, 68,498 , and 60,781 performance stock units in accordance with the 2014 Plan, respectively. The Company grants performance stock units which represent initial target awards and do not reflect potential increases or decreases resulting from the final performance results, which are to be determined at the end of the three-year performance period (vesting date). The actual number of shares to be awarded at the end of the performance period will range from 0% - 150% of the initial target awards. For awards granted prior to 2020, 60% of the award is based on the Company’s cumulative earnings per share (EPS target) during the performance period, and 40% of the award is based on the Company’s cumulative total shareholder return (TSR target), or TSR, during the performance period. On the vesting date, the Company’s TSR will be compared to the respective TSRs of the companies comprising the KBW Regional Index at the grant date to determine the shares awarded. The fair value of the EPS target portion of the award was determined based on the closing stock price of the Company’s common stock on the grant date. The fair value of the TSR target portion of the award was determined using a Monte Carlo Simulation at the grant date. In establishing the PSU components during 2021 and 2020, the Compensation Committee determined the EPS target portion of the award would not be an effective metric in light of economic uncertainty surrounding COVID-19. Consequently, the Compensation Committee granted an award based upon a relative return on tangible assets (“ROTA”). Annually, the Company’s ROTA is compared to the respective ROTA of companies comprising the KBW Regional Index. At the end of the measurement period, the Company’s ranking will be averaged to determine the shares awarded. The fair value of the relative ROTA award was determined based on the closing stock price of the Company’s common stock on the grant date. The weighted-average grant date fair value per unit for the relative ROTA target portion and the TSR target portion granted during 2021 was $40.16 and $33.11, respectively. The initial weighted-average performance price for the TSR target portion granted during 2021 was $33.04. During 2021 and 2020, the Company awarded an additional 30,024 and 17,852 units due to final performance results related to performance stock units granted in 2018 and 2017, respectively. The following table summarizes restricted stock and performance stock unit activity during 2021 and 2020: Weighted Weighted Restricted average grant- Performance average grant- stock shares date fair value stock units date fair value Unvested at December 31, 2019 122,198 $ 34.19 158,874 $ 31.19 Granted 127,400 23.94 68,498 26.74 Adjustment due to performance — — 17,852 33.22 Vested (69,444) 32.60 (53,540) 33.22 Forfeited (13,524) 29.25 (6,847) 29.52 Unvested at December 31, 2020 166,630 $ 27.42 184,837 $ 29.21 Granted 89,351 39.99 52,526 37.01 Adjustment due to performance — — 30,024 30.38 Vested (90,645) 29.78 (90,016) 30.38 Forfeited (20,869) 29.54 (16,977) 28.96 Unvested at December 31, 2021 144,467 $ 33.40 160,394 $ 31.36 As of December 31, 2021, the total unrecognized compensation cost related to the non-vested restricted stock awards and performance stock units totaled $2.3 million and $2.4 million, respectively, and is expected to be recognized over a weighted average period of approximately 2.0 years and 1.8 years, respectively. Expense related to non-vested restricted stock awards totaled $2.7 million, $2.5 million and $2.2 million during 2021, 2020 and 2019, respectively. Expense related to non-vested performance stock units totaled $2.0 million, $1.8 million and $2.0 million during 2021, 2020 and 2019, respectively. Expense related to non-vested restricted stock awards and units is a component of salaries and benefits in the Company’s consolidated statements of operations. Employee stock purchase plan The 2014 Employee Stock Purchase Plan (“ESPP”) is intended to be a qualified plan within the meaning of Section 423 of the Internal Revenue Code of 1986 and allows eligible employees to purchase shares of common stock through payroll deductions up to a limit of $25,000 per calendar year and 2,000 shares per offering period. The price an employee pays for shares is 90.0% of the fair market value of Company common stock on the last day of the offering period. The offering periods are the six-month periods commencing on March 1 and September 1 of each year and ending on August 31 and February 28 (or February 29 in the case of a leap year) of each year. There are no vesting or other restrictions on the stock purchased by employees under the ESPP. Under the ESPP, the total number of shares of common stock reserved for issuance totaled 400,000 shares, of which 281,896 was available for issuance at December 31, 2021. Under the ESPP, employees purchased 20,980 shares and 23,212 shares during 2021 and 2020, respectively. |
Common Stock
Common Stock | 12 Months Ended |
Dec. 31, 2021 | |
Common Stock | |
Common Stock | Note 17 Common Stock The Company had 29,958,764 and 30,634,291 shares of Class A common stock outstanding at December 31, 2021 and 2020, respectively. Additionally, the Company had 144,467 and 166,630 shares outstanding at December 31, 2021 and 2020, respectively, of restricted Class A common stock issued but not yet vested under the 2014 Omnibus Incentive Plan that are not included in shares outstanding until such time that they are vested; however, these shares do have voting and certain dividend rights during the vesting period. On February 24, 2021, the Company’s Board of Directors authorized a new program to repurchase up to $75.0 million of the Company’s stock from time to time in either the open market or through privately negotiated transactions. The new program of $75.0 million replaced the previously authorized $50.0 million stock repurchase program announced in February 2020 in its entirety. During 2021, the Company repurchased 912,213 shares for $36.4 million at a weighted average price per share of $39.88. The remaining authorization under the current program as of December 31, 2021 was $38.6 million. |
Earnings Per Share
Earnings Per Share | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share | |
Earnings Per Share | Note 18 Earnings Per Share The Company calculates earnings per share under the two-class method, as certain non-vested share awards contain non-forfeitable rights to dividends. As such, these awards are considered securities that participate in the earnings of the Company. Non-vested shares are discussed further in note 16. The Company had 29,958,764 and 30,634,291 shares of Class A common stock outstanding as of December 31, 2021 and 2020, respectively, exclusive of issued non-vested restricted shares. Certain stock options and non-vested restricted shares are potentially dilutive securities, but are not included in the calculation of diluted earnings per share because to do so would have been anti-dilutive for 2021, 2020 and 2019. The following table illustrates the computation of basic and diluted earnings per share for 2021, 2020 and 2019: For the years ended December 31, 2021 2020 2019 Net income $ 93,606 $ 88,591 $ 80,365 Less: income allocated to participating securities (133) (130) (94) Income allocated to common shareholders $ 93,473 $ 88,461 $ 80,271 Weighted average shares outstanding for basic earnings per common share 30,727,566 30,857,086 31,175,825 Dilutive effect of equity awards 340,593 218,771 354,992 Weighted average shares outstanding for diluted earnings per common share 31,068,159 31,075,857 31,530,817 Basic earnings per share $ 3.04 $ 2.87 $ 2.57 Diluted earnings per share 3.01 2.85 2.55 The Company had 695,960, 768,129 and 657,114 outstanding stock options to purchase common stock at weighted average exercise prices of $28.19, $26.35 and $26.69 per share at December 31, 2021, 2020 and 2019, respectively, which have time-vesting criteria, and as such, any dilution is derived only for the time frame in which the vesting criteria had been met and where the inclusion of those stock options is dilutive. The Company had 304,861, 351,467 and 281,072 unvested restricted shares and performance stock units issued as of December 31, 2021, 2020 and 2019, respectively, which have performance, market and/or time-vesting criteria, and as such, any dilution is derived only for the time frame in which the vesting criteria had been met and where the inclusion of those restricted shares and units is dilutive. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2021 | |
Income Taxes | |
Income Taxes | Note 19 Income Taxes Income tax expense attributable to income before taxes was $21.4 million, $20.8 million and $15.8 million for 2021, 2020 and 2019, respectively. Included in income tax was $0.6 million of tax benefit, $51 thousand of tax expense and $2.2 million of tax benefit from stock compensation activity during 2021, 2020 and 2019, respectively. (a) Income taxes Total income taxes for 2021, 2020 and 2019 were allocated as follows: For the years ended December 31, 2021 2020 2019 Current expense: U.S. federal $ 13,746 $ 16,460 $ 8,947 State and local 2,643 3,255 2,280 Total current income tax expense 16,389 19,715 11,227 Deferred expense: U.S. federal 4,327 560 4,115 State and local 649 531 487 Total deferred income tax expense 4,976 1,091 4,602 Income tax expense $ 21,365 $ 20,806 $ 15,829 (b) Tax Rate Reconciliation The reconciliation between the income tax expenses and the amounts computed by applying the U.S. federal income tax rate to pretax income is as follows: For the years ended December 31, 2021 2020 2019 Income tax at federal statutory rates (21%) $ 24,144 $ 22,974 $ 20,201 State income taxes, net of federal benefits 2,601 2,991 2,186 Tax-exempt loan interest income (4,862) (4,628) (4,354) Bank-owned life insurance income (603) (575) (475) Stock-based compensation (733) 43 (1,925) Non-deductible compensation 852 388 253 Other (34) (387) (57) Income tax expense $ 21,365 $ 20,806 $ 15,829 (c) Significant Components of Deferred Taxes The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2021 and 2020 are presented below: December 31, 2021 December 31, 2020 Deferred tax assets: Excess tax basis of acquired loans over carrying value $ 679 $ 966 Allowance for credit losses 11,806 14,154 Other real estate owned 645 634 Accrued stock-based compensation 1,384 2,070 Accrued compensation 4,355 3,674 Capitalized start-up costs 1,223 1,540 Accrued expenses 316 532 Net deferred loan fees 1,021 1,015 Net operating loss 573 641 Lease liability 4,811 6,154 Net unrealized losses on investment securities 2,169 — Other 1,791 2,025 Total deferred tax assets 30,773 33,405 Deferred tax liabilities: Intangible assets (4,822) (2,563) Net unrealized gains on investment securities — (3,033) Premises and equipment (1,858) (1,599) Right of use assets (4,674) (6,015) Prepaid expenses (255) (229) Mortgage servicing rights (1,415) (2,458) Other (59) (44) Total deferred tax liabilities (13,083) (15,941) Net deferred tax asset $ 17,690 $ 17,464 At December 31, 2021, the Company had federal and state net operating loss carryovers (“NOLs”) of $2.2 million and $3.2 million, respectively, which are available to offset future taxable income. The federal NOLs expire in varying amounts through 2034, and the state NOLs expire in varying amounts between 2026 and 2034. While these NOLs are subject to certain restrictions on the amount that can be utilized per year, the Company does not expect any tax attribute carryovers to expire before they are utilized. In assessing the realizability of deferred tax assets, management considers whether it is more likely than not that some portion or all of the deferred tax assets will be realized. The ultimate realization of deferred tax assets is dependent upon the generation of future taxable income during the periods in which those temporary differences become deductible. Management considers the scheduled reversal of deferred tax liabilities, if any (including the impact of available carryforward periods), projected future taxable income, and tax-planning strategies in making this assessment. For the years ended December 31, 2021 and 2020, management believes a valuation allowance on the deferred tax asset is not necessary based on the current and future projected earnings of the Company. The Company has no ASC 740-10 unrecognized tax benefits recorded as of December 31, 2021 and 2020 and does not expect the total amount of unrecognized tax benefits to significantly increase within the next 12 months. The Company and its subsidiary bank are subject to income tax by federal, state and local government taxing authorities. The Company is not currently subject to any open income tax examinations; however, the Company’s tax returns for the years ended December 31, 2018 through 2021 remain subject to examination by U.S. federal income tax authorities. The years open to examination by state and local government authorities vary by jurisdiction. |
Derivatives
Derivatives | 12 Months Ended |
Dec. 31, 2021 | |
Derivatives | |
Derivatives | Note 20 Derivatives Risk management objective of using derivatives The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company has established policies stipulating that neither carrying value nor fair value at risk should exceed established guidelines. The Company has designed strategies to confine these risks within the established limits and identify appropriate trade-offs in the financial structure of its balance sheet. These strategies include the use of derivative financial instruments to help achieve the desired balance sheet repricing structure while meeting the desired objectives of its clients. Currently the Company employs certain interest rate swaps that are designated as fair value hedges as well as economic hedges. The Company manages a matched book with respect to its derivative instruments in order to minimize its net risk exposure resulting from such transactions. Fair values of derivative instruments on the balance sheet The table below presents the fair value of the Company’s derivative financial instruments as well as their classification in the consolidated statements of financial condition as of December 31, 2021 and 2020. Information about the valuation methods used to measure fair value is provided in note 22. Asset derivatives fair value Liability derivatives fair value Balance Sheet December 31, December 31, Balance Sheet December 31, December 31, location 2021 2020 Location 2021 2020 Derivatives designated as hedging instruments: Interest rate products Other assets $ 477 $ — Other liabilities $ 12,221 $ 38,884 Total derivatives designated as hedging instruments $ 477 $ — $ 12,221 $ 38,884 Derivatives not designated as hedging instruments: Interest rate products Other assets $ 8,321 $ 18,149 Other liabilities $ 8,329 $ 18,176 Interest rate lock commitments Other assets 1,792 7,001 Other liabilities 197 298 Forward contracts Other assets 91 — Other liabilities 266 2,622 Total derivatives not designated as hedging instruments $ 10,204 $ 25,150 $ 8,792 $ 21,096 Fair value hedges Interest rate swaps designated as fair value hedges involve the receipt of variable-rate amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without the exchange of the underlying notional amount. As of December 31, 2021, the Company had interest rate swaps with a notional amount of $343.1 million that were designated as fair value hedges. These interest rate swaps were associated with $345.2 million of the Company’s fixed-rate loans included in loans receivable in the statements of financial condition as of December 31, 2021, before a gain of $16.1 million from the fair value hedge adjustment in the carrying amount. As of December 31, 2020, the Company had interest rate swaps with a notional amount of $387.1 million that were designated as fair value hedges. These interest rate swaps were associated with $389.9 million of the Company’s fixed-rate loans as of December 31, 2020, excluding a gain of $40.1 million from the fair value hedge adjustment in the carrying amount. For derivatives designated and that qualify as fair value hedges, the gain or loss on the derivative as well as the offsetting loss or gain on the hedged item attributable to the hedged risk are recognized in earnings. The Company includes the gain or loss on the hedged items in the same line item as the offsetting loss or gain on the related derivatives. Non-designated hedges Derivatives not designated as hedges are not speculative and consist of interest rate swaps with commercial banking clients that facilitate their respective risk management strategies. Interest rate swaps are simultaneously hedged by offsetting interest rate swaps that the Company executes with a third party, such that the Company minimizes its net risk exposure resulting from such transactions. As the interest rate swaps associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the client swaps and the offsetting swaps are recognized directly in earnings. As of December 31, 2021, the Company had matched interest rate swap transactions with an aggregate notional amount of $394.4 million related to this program. As of December 31, 2020, the Company had matched interest rate swap transactions with an aggregate notional amount of $456.0 million. As part of its mortgage banking activities, the Company enters into interest rate lock commitments, which are commitments to originate loans where the interest rate on the loan is determined prior to funding and the clients have locked into that interest rate. The Company then locks in the loan and interest rate with an investor and commits to deliver the loan if settlement occurs ("best efforts") or commits to deliver the locked loan in a binding ("mandatory") delivery program with an investor. Fair value changes of certain loans under interest rate lock commitments are hedged with forward sales contracts of MBS. Forward sales contracts of MBS are recorded at fair value with changes in fair value recorded in non-interest income. Interest rate lock commitments and commitments to deliver loans to investors are considered derivatives. The market value of interest rate lock commitments and best efforts contracts are not readily ascertainable with precision because they are not actively traded in stand-alone markets. The Company determines the fair value of interest rate lock commitments and delivery contracts by measuring the fair value of the underlying assets. The fair value of the underlying assets is impacted by current interest rates, remaining origination fees, costs of production to be incurred, and the probability that the interest rate lock commitments will close or will be funded. Certain additional risks arise from these forward delivery contracts in that the counterparties to the contracts may not be able to meet the terms of the contracts. The Company does not expect any counterparty to any MBS contract to fail to meet its obligation. Additional risks inherent in mandatory delivery programs include the risk that, if the Company fails to deliver the loans subject to interest rate risk lock commitments, it will still be obligated to “pair off” MBS to the counterparty. Should this be required, the Company could incur significant costs in acquiring replacement loans and such costs could have an adverse effect in the consolidated financial statements. The fair value of the mortgage banking derivative is recorded as a freestanding asset or liability with the change in value being The Company had interest rate lock commitments with a notional value of $110.0 million and forward contracts with a notional value of $198.3 million at December 31, 2021. At December 31, 2020, the Company had interest rate lock commitments with a notional value of $258.8 million and forward contracts with a notional value of $375.3 million. Effect of derivative instruments on the consolidated statements of operations The tables below present the effect of the Company’s derivative financial instruments on the consolidated statements of operations for 2021 and 2020: Location of gain (loss) Amount of gain recognized in income on derivatives Derivatives in fair value recognized in income on For the years ended December 31, hedging relationships derivatives 2021 2020 Interest rate products Interest and fees on loans $ 4,568 $ 4,405 Location of gain (loss) Amount of loss recognized in income on hedged items recognized in income on For the years ended December 31, Hedged items hedged items 2021 2020 Interest rate products Interest and fees on loans $ (3,026) $ (6,376) Location of gain (loss) Amount of gain (loss) recognized in income on derivatives Derivatives not designated recognized in income on For the years ended December 31, as hedging instruments derivatives 2021 2020 Interest rate products Other non-interest expense $ 23 $ (7) Interest rate lock commitments Mortgage banking income (6,852) 7,218 Forward contracts Mortgage banking income 2,447 (2,339) Total $ (4,382) $ 4,872 Credit-risk-related contingent features The Company has agreements with its derivative counterparties that contain a provision where if the Company defaults on any of its indebtedness for reasons other than an error or omission of an administrative or operational nature, including default where repayment of the indebtedness has not been accelerated by the lender, then the Company could also be declared in default on its derivative obligations. The Company also has agreements with certain of its derivative counterparties that contain a provision where if the Company fails to maintain its status as a well/adequately capitalized institution, then the counterparty has the right to terminate the derivative positions and the Company would be required to settle its obligations under the agreements. As of December 31, 2021, the termination value of derivatives in a net liability position related to these agreements was $20.8 million, which includes accrued interest but excludes any adjustment for nonperformance risk. The Company has minimum collateral posting thresholds with certain of its derivative counterparties and, as of December 31, 2021, the Company had posted $21.6 million in eligible collateral. If the Company had breached any of these provisions at December 31, 2021, it could have been required to settle its obligations under the agreements at the termination value. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies | |
Commitments and Contingencies | Note 21 Commitments and Contingencies In the normal course of business, the Company enters into various off-balance sheet commitments to help meet the financing needs of clients. These financial instruments include commitments to extend credit, commercial and consumer lines of credit and standby letters of credit. The same credit policies are applied to these commitments as the loans in the consolidated statements of financial condition; however, these commitments involve varying degrees of credit risk in excess of the amount recognized in the consolidated statements of financial condition. The total amounts of unused commitments do not necessarily represent future credit exposure or cash requirements, as commitments often expire without being drawn upon. However, the contractual amount of these commitments, offset by any additional collateral pledged, represents the Company’s potential credit loss exposure. Total unfunded commitments at December 31, 2021 and 2020 were as follows: December 31, 2021 December 31, 2020 Commitments to fund loans $ 462,151 $ 311,237 Unfunded commitments under lines of credit 530,397 537,325 Commercial and standby letters of credit 7,321 7,320 Total unfunded commitments $ 999,869 $ 855,882 Commitments to fund loans Unfunded commitments under lines of credit Commercial and standby letters of credit various forms of “back-up” commitments to guarantee the performance of a client to a third party. While these arrangements represent a potential cash outlay for the Company, the majority of these letters of credit will expire without being drawn upon. Letters of credit are subject to the same underwriting and credit approval process as traditional loans, and as such, many of them have various forms of collateral securing the commitment, which may include real estate, personal property, receivables or marketable securities. Contingencies Mortgage loans sold to investors may be subject to repurchase or indemnification in the event of specific default by the borrower or subsequent discovery that underwriting standards were not met. The Company established a reserve liability for expected losses related to these representations and warranties based upon management’s evaluation of actual and historic loss history, delinquency trends in the portfolio and economic conditions. Charges against the reserve during the year ended December 31, 2021 and 2020 totaling $0.5 million and $0.5 million, respectively, were primarily driven by early payoffs. The Company recorded a repurchase reserve of $2.1 million and $2.7 million at December 31, 2021 and 2020, respectively, which is included in other liabilities in the consolidated statements of financial condition. The following table summarizes mortgage repurchase reserve activity for the periods presented: For the years ended December 31, 2021 2020 Beginning balance $ 2,741 $ 2,589 Provision (released from) charged to operating expense, net (108) 662 Charge-offs (531) (510) Ending balance $ 2,102 $ 2,741 In the ordinary course of business, the Company and the Bank may be subject to litigation. Based upon the available information and advice from the Company’s legal counsel, management does not believe that any potential, threatened or pending litigation to which it is a party will have a material adverse effect on the Company’s liquidity, financial condition or results of operations. |
Fair Value Measurements
Fair Value Measurements | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Measurements | |
Fair Value Measurements | Note 22 Fair Value Measurements The Company uses fair value measurements to record fair value adjustments to certain assets and liabilities and to disclose the fair value of its financial instruments. Fair value is defined as the price that would be received to sell an asset or paid to transfer a liability in an orderly transaction between market participants at the measurement date. For disclosure purposes, the Company groups its financial and non-financial assets and liabilities into three different levels based on the nature of the instrument and the availability and reliability of the information that is used to determine fair value. The three levels are defined as follows: ● Level 1—Includes assets or liabilities in which the valuation methodologies are based on unadjusted quoted prices in active markets for identical assets or liabilities. ● Level 2—Includes assets or liabilities in which the inputs to the valuation methodologies are based on similar assets or liabilities in inactive markets, quoted prices for identical or similar assets or liabilities in inactive markets, and inputs other than quoted prices that are observable, such as interest rates, yield curves, volatilities, prepayment speeds, and other inputs obtained from observable market input. ● Level 3—Includes assets or liabilities in which the inputs to the valuation methodology are based on at least one significant assumption that is not observable in the marketplace. These valuations may rely on management’s judgment and may include internally-developed model-based valuation techniques. Level 1 inputs are considered to be the most transparent and reliable and level 3 inputs are considered to be the least transparent and reliable. The Company assumes the use of the principal market to conduct a transaction of each particular asset or liability being measured and then considers the assumptions that market participants would use when pricing the asset or liability. Whenever possible, the Company first looks for quoted prices for identical assets or liabilities in active markets (level 1 inputs) to value each asset or liability. However, when inputs from identical assets or liabilities on active markets are not available, the Company utilizes market observable data for similar assets and liabilities. The Company maximizes the use of observable inputs and limits the use of unobservable inputs to occasions when observable inputs are not available. The need to use unobservable inputs generally results from the lack of market liquidity of the actual financial instrument or of the underlying collateral. While third party price indications may be available in those cases, limited trading activity can challenge the observability of those inputs. Changes in the valuation inputs used for measuring the fair value of financial instruments may occur due to changes in current market conditions or other factors. Such changes may necessitate a transfer of the financial instruments to another level in the hierarchy based on the new inputs used. The Company recognizes these transfers at the end of the reporting period that the transfer occurs. During 2021 and 2020, there were no transfers of financial instruments between the hierarchy levels. The following is a description of the valuation methodologies used for assets and liabilities measured at fair value, as well as the general classification of each instrument under the valuation hierarchy: Fair Value of Financial Instruments Measured on a Recurring Basis Investment securities available-for-sale Loans held for sale Interest rate swap derivatives Mortgage banking derivatives on market prices for similar financial instruments), which includes matching specific terms and maturities of the forward commitments against applicable investor pricing. The tables below present the financial instruments measured at fair value on a recurring basis as of December 31, 2021 and 2020, in the consolidated statements of financial condition utilizing the hierarchy structure described above: December 31, 2021 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ — $ 227,696 $ — $ 227,696 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 461,334 — 461,334 Municipal securities — 237 — 237 Corporate debt — 2,111 — 2,111 Loans held for sale — 139,142 — 139,142 Interest rate swap derivatives — 8,798 — 8,798 Mortgage banking derivatives — — 1,883 1,883 Total assets at fair value $ — $ 839,318 $ 1,883 $ 841,201 Liabilities: Interest rate swap derivatives $ — $ 20,550 $ — $ 20,550 Mortgage banking derivatives — — 463 463 Total liabilities at fair value $ — $ 20,550 $ 463 $ 21,013 December 31, 2020 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ — $ 196,334 $ — $ 196,334 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 462,779 — 462,779 Municipal securities — 318 — 318 Corporate debt — 1,998 — 1,998 Loans held for sale — 247,813 — 247,813 Interest rate swap derivatives — 18,149 — 18,149 Mortgage banking derivatives — — 7,001 7,001 Total assets at fair value $ — $ 927,391 $ 7,001 $ 934,392 Liabilities: Interest rate swap derivatives $ — $ 57,060 $ — $ 57,060 Mortgage banking derivatives — — 2,920 2,920 Total liabilities at fair value $ — $ 57,060 $ 2,920 $ 59,980 The table below details the changes in level 3 financial instruments during 2021: Mortgage banking derivatives, net Balance at December 31, 2020 $ 4,081 Loss included in earnings, net (4,405) Fees and costs included in earnings, net 1,744 Balance at December 31, 2021 $ 1,420 Fair Value of Financial Instruments Measured on a Non-recurring Basis Certain assets may be recorded at fair value on a non-recurring basis as conditions warrant. These non-recurring fair value measurements typically result from the application of lower of cost or fair value accounting or a write-down occurring during the period. Individually evaluated loans OREO Mortgage servicing rights Premises and equipment The Company may be required to record fair value adjustments on other available-for-sale and municipal securities valued at par on a non-recurring basis. The tables below provide information regarding losses from the assets recorded at fair value on a non-recurring basis at December 31, 2021 and 2020. December 31, 2021 Total Losses from fair value changes Individually evaluated loans $ 14,083 $ 1,816 Other real estate owned 7,005 799 Premises and equipment 6,032 1,552 Total $ 27,120 $ 4,167 December 31, 2020 Total Losses from fair value changes Individually evaluated loans $ 25,480 $ 3,228 Other real estate owned 4,730 470 Premises and equipment 8,024 1,631 Mortgage servicing rights 10,380 751 Total $ 48,614 $ 6,080 The Company did not record any liabilities measured at fair value on a non-recurring basis during 2021 and 2020. |
Fair Value of Financial Instrum
Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Measurements | |
Fair Value of Financial Instruments | Note 23 Fair Value of Financial Instruments The fair value of a financial instrument is the amount that would be exchanged between willing parties, other than in a forced liquidation. Fair value is determined based upon quoted market prices to the extent possible; however, in many instances, there are no quoted market prices for the Company’s various financial instruments. In cases where quoted market prices are not available, fair values are based on estimates using present value or other valuation techniques that may be significantly impacted by the assumptions used, including the discount rate and estimates of future cash flows. Changes in any of these assumptions could significantly affect the fair value estimates. The fair value of the financial instruments listed below does not reflect a premium or discount that could result from offering all of the Company’s holdings of financial instruments at one time, nor does it reflect the underlying value of the Company, as ASC Topic 825 excludes certain financial instruments and all non-financial instruments from its disclosure requirements. The estimated fair value amounts have been determined by the Company using available market information and appropriate valuation methodologies and are based on the exit price concept within ASC Topic 825 and applied to this disclosure on a prospective basis. Considerable judgment is required to interpret market data in order to develop the estimates of fair value. Accordingly, the estimates presented herein are not necessarily indicative of the amounts the Company could realize in a current market exchange. The fair value of financial instruments at December 31, 2021 and 2020 are set forth below: Level in fair value December 31, 2021 December 31, 2020 measurement Carrying Estimated Carrying Estimated hierarchy amount fair value amount fair value ASSETS Cash and cash equivalents Level 1 $ 845,695 $ 845,695 $ 605,565 $ 605,565 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 227,696 227,696 196,334 196,334 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 461,334 461,334 462,779 462,779 Municipal securities available-for-sale Level 2 237 237 318 318 Municipal securities available-for-sale Level 3 — — 57 57 Corporate debt Level 2 2,111 2,111 1,998 1,998 Other available-for-sale securities Level 3 469 469 469 469 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 312,916 309,614 306,187 310,930 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 296,096 289,646 70,428 70,761 Non-marketable securities Level 2 14,533 14,533 16,493 16,493 Loans receivable Level 3 4,513,383 4,540,847 4,353,726 4,511,357 Loans held for sale Level 2 139,142 139,142 247,813 247,813 Accrued interest receivable Level 2 17,848 17,848 18,795 18,795 Interest rate swap derivatives Level 2 8,798 8,798 18,149 18,149 Mortgage banking derivatives Level 3 1,883 1,883 7,001 7,001 LIABILITIES Deposit transaction accounts Level 2 5,394,257 5,394,257 4,690,100 4,690,100 Time deposits Level 2 833,916 833,163 986,132 993,070 Securities sold under agreements to repurchase Level 2 22,768 22,768 22,897 22,897 Long-term debt Level 2 40,000 40,000 — — Accrued interest payable Level 2 3,944 3,944 6,762 6,762 Interest rate swap derivatives Level 2 20,550 20,550 57,060 57,060 Mortgage banking derivatives Level 3 463 463 2,920 2,920 |
Parent Company Only Financial S
Parent Company Only Financial Statements | 12 Months Ended |
Dec. 31, 2021 | |
Parent Company Only Financial Statements | |
Parent Company Only Financial Statements | Note 24 Parent Company Only Financial Statements Parent company only financial information for National Bank Holdings Corporation is summarized as follows: Condensed Statements of Financial Condition December 31, 2021 December 31, 2020 ASSETS Cash and cash equivalents $ 107,154 $ 91,402 Non-marketable securities 24,178 58 Investment in subsidiaries 746,135 725,002 Other assets 7,366 14,751 Total assets $ 884,833 $ 831,213 LIABILITIES AND STOCKHOLDERS’ EQUITY Long-term debt, net $ 39,478 $ — Other liabilities 5,249 10,522 Total liabilities 44,727 10,522 Shareholders’ equity 840,106 820,691 Total liabilities and shareholders’ equity $ 884,833 $ 831,213 Condensed Statements of Operations For the years ended December 31, 2021 2020 2019 Income Equity in undistributed earnings of subsidiaries $ 37,866 $ 67,416 $ 28,133 Distributions from subsidiaries 63,000 27,200 55,725 Income from non-marketable securities 553 — — Total income 101,419 94,616 83,858 Expenses Interest expense 197 — — Salaries and benefits 5,622 5,136 4,925 Other expenses 5,042 2,621 2,463 Total expenses 10,861 7,757 7,388 Income before income taxes 90,558 86,859 76,470 Income tax benefit (3,048) (1,732) (3,895) Net income $ 93,606 $ 88,591 $ 80,365 Condensed Statements of Cash Flows For the years ended December 31, 2021 2020 2019 Cash flows from operating activities: Net income $ 93,606 $ 88,591 $ 80,365 Equity in undistributed earnings of subsidiaries (37,866) (67,416) (28,133) Stock-based compensation expense 5,541 5,299 4,869 Net excess tax (benefit) expense from stock-based compensation (644) 51 (2,160) Amortization 13 — — Other (3,747) 3,074 5,045 Net cash provided by operating activities 56,903 29,599 59,986 Cash flows from investing activities: Purchase of non-marketable securities (23,025) — — Net cash used in investing activities (23,025) — — Cash flows from financing activities: Proceeds from issuance of long-term debt 40,000 — — Payments of long-term debt issuance costs (535) — — Issuance of stock under purchase and equity compensation plans (2,267) (749) (6,229) Proceeds from exercise of stock options 2,489 1,832 2,788 Payment of dividends (26,888) (24,816) (23,530) Repurchase of shares (36,400) (19,476) — Net cash used in financing activities (23,601) (43,209) (26,971) Net increase (decrease) in cash, cash equivalents and restricted cash 10,277 (13,610) 33,015 Cash, cash equivalents and restricted cash at beginning of the year 101,402 115,012 81,997 Cash, cash equivalents and restricted cash at end of the year $ 111,679 $ 101,402 $ 115,012 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2021 | |
Summary of Significant Accounting Policies | |
Cash and cash equivalents | a) Cash and cash equivalents |
Investment securities | b) Investment securities Management evaluates all investments in an unrealized loss position on a quarterly basis, and more frequently when economic or market conditions warrant such evaluation. If the Company has the intent to sell the security or it is more likely than not that the Company will be required to sell the security, the security is written down to fair value and the entire loss is recorded in earnings. If either of the above criteria is not met, we evaluate whether the decline in fair value is the result of credit losses or other factors. In making the assessment, we may consider various factors including the extent to which fair value is less than amortized cost, performance on any underlying collateral, downgrades in the ratings of the security by a rating agency, the failure of the issuer to make scheduled interest or principal payments and adverse conditions specifically related to the security. If the assessment indicates that a credit loss exists, the present value of cash flows expected to be collected are compared to the amortized cost basis of the security and any excess is recorded as an allowance for credit loss. When the loss is not considered a result of credit loss, the cost basis of the security is written down to fair value, with the loss charge recognized in AOCI. The Company does not measure expected credit losses for U.S. agency-backed held-to-maturity securities, since the risk of nonpayment of the amortized cost basis is zero. Credit losses are not estimated for AIR from investment securities as interest deemed uncollectible is written off through interest income. Prior to the adoption of ASU 2016-13, declines in the fair value of held-to-maturity and available-for-sale securities below their cost that were deemed to be other-than-temporarily impaired were reflected in earnings as realized losses. In estimating other-than-temporary-impairment prior to January 1, 2020, the Company considered, among other things, the severity and duration of the unrealized loss position; adverse conditions specifically related to the security; changes in expected future cash flows; downgrades in the rating of the security by a rating agency; the failure of the issuer to make scheduled interest or principal payments; whether the Company had the intent to sell the security; and whether it was more likely than not that the Company would be required to sell the security. |
Non-marketable securities | c) Non-marketable securities |
Loans receivable | d) Loans receivable — Estimated fair values of acquired loans are based on a discounted cash flow methodology that considers various factors including the type of loan and related collateral, the expected timing of cash flows, classification status, fixed or variable interest rate, term of loan and whether or not the loan is amortizing, and a discount rate reflecting the Company’s assessment of risk inherent in the cash flow estimates. Discounts created when the loans are recorded at their estimated fair values at acquisition are accreted over the remaining term of the loan as an adjustment to the related loan’s yield. Similar to originated loans described below, the accrual of interest income on acquired loans is discontinued when the collection of principal or interest, in whole or in part, is doubtful. Interest income on acquired loans and interest income on loans originated by the Company is accrued and credited to income as it is earned using the interest method based on daily balances of the principal amount outstanding. However, interest is generally not accrued on loans 90 days or more past due, unless they are well secured and in the process of collection. Additionally, in certain situations, loans that are not contractually past due may be placed on non-accrual status due to the continued failure to adhere to contractual payment terms by the borrower coupled with other pertinent factors, such as insufficient collateral value or deficient primary and secondary sources of repayment. Accrued interest receivable is reversed when a loan is placed on non-accrual status and payments received generally reduce the carrying value of the loan. Interest is not accrued while a loan is on non-accrual status and interest income is generally recognized on a cash basis only after payment in full of the past due principal and collection of principal outstanding is reasonably assured. A loan may be placed back on accrual status if all contractual payments have been received, or sooner under certain conditions and collection of future principal and interest payments is no longer doubtful. In the event of borrower default, the Company may seek recovery in compliance with state lending laws, the respective loan agreements, and credit monitoring and remediation procedures that may include modifying or restructuring a loan from its original terms, for economic or legal reasons, to provide a concession to the borrower from their original terms due to borrower financial difficulties in order to facilitate repayment. Such restructured loans are considered “troubled debt restructurings” and are identified in accordance with ASC 310-40. The CARES Act afforded financial institutions the option to modify loans within certain parameters in response to the COVID-19 pandemic without requiring the modifications to be classified as TDRs if the borrower has been adversely impacted by COVID-19 and was current on their loan payments. The Company has modified loans due to the effects of the COVID-19 pandemic that were not classified as TDRs. Modifications include deferral of principal as well as full-payment deferral for a period ranging from three months to one year. |
Loans held for sale | e) Loans held for sale — The Company enters into commitments to originate residential mortgage loans whereby the interest rate on the loan is determined prior to funding (i.e. interest rate lock commitments). Such interest rate lock commitments on mortgage loans to be sold in the secondary market are considered to be derivatives. To protect against the price risk inherent in residential mortgage loan commitments, the Company utilizes both "best efforts" and "mandatory delivery" forward loan sale commitments to mitigate the risk of potential increases or decreases in the values of loans that would result from the change in market rates for such loans. The Company manages the interest rate risk on interest rate lock commitments by entering into forward sale contracts of mortgage backed securities. Such contracts are accounted for as derivatives and are recorded at fair value as derivative assets or liabilities. They are carried in the consolidated statements of financial condition within other assets or other liabilities, and changes in fair value are recorded net as a component of mortgage banking income in the consolidated statements of operations. The gross gains on loan sales are recognized based on new loan commitments with adjustment for price and pair-off activity. Commission expenses on loans held for sale are recognized based on loans closed. |
Allowance for credit losses | f) Allowance for credit losses Measurement of Credit Losses on Financial Instruments The ACL represents management’s estimate of lifetime credit losses inherent in loans as of the balance sheet date. The Company measures expected credit losses for loans on a pooled basis when similar risk characteristics exist. The Company has identified four primary loan segments that are further stratified into 11 loan classes to provide more granularity in analyzing loss history based upon specific loss drivers and risk factors affecting each loan class. Generally, the underlying risk of loss for each of these loan classes will follow certain norms/trends in various economic environments. Loans that do not share risk characteristics are evaluated on an individual basis and are not included in the collective evaluation. Those loans include loans on non-accrual status, loans in bankruptcy, and TDRs described below. If a specific allowance is warranted based on the borrower’s overall financial condition, the specific allowance is calculated based on discounted expected cash flows using the loan’s initial contractual effective interest rate or the fair value of the collateral less selling costs for collateral-dependent loans. The Company utilizes a DCF model developed within a third-party software tool to establish expected lifetime credit losses for the loan portfolio. The ACL is calculated as the difference between the amortized cost basis and the projections from the DCF analysis. The DCF model allows for individual life of loan cash flow modeling, excluding extensions and renewals, using loan-specific interest rates and repayment schedules adjusted for estimated prepayment rates and loss recovery timing delays. The model incorporates forecasts of certain national macroeconomic factors, including unemployment rates, HPI, retail sales and GDP, which drive correlated probability of default (“PD”) and loss given default (“LGD”) rates. PD and LGD, in turn, drive the losses predicted in establishing our ACL. PD and LGD rates along with prepayment rates and loss recovery time delays are determined at a loan class level making use of both internal and peer historical loss rate data. The determination and application of the ACL accounting policy involves judgments, estimates, and uncertainties that are subject to change. For periods beyond the reasonable and supportable forecast period, we revert to historical long-term average loss rates on a straight-line basis. The length of the forecast period spans four quarters. The length of the reversion period is based on management’s assessment of the length and pattern of the current economic cycle and typically ranges from four to eight quarters. Management accounts for the inherent uncertainty of the underlying economic forecast by reviewing and weighting alternate forecast scenarios. Additionally, the ACL calculation includes subjective adjustments for qualitative risk factors that are likely to cause estimated credit losses to differ from historical experience. These qualitative adjustments may increase or reduce reserve levels and include adjustments for lending management experience and risk tolerance, loan review and audit results, asset quality and portfolio trends, loan portfolio growth and industry concentrations. The Company has elected to exclude AIR from the allowance for credit losses calculation. When a loan is placed on non-accrual, any recorded AIR is reversed against interest income. The determination and application of the ACL accounting policy involves judgments, estimates, and uncertainties that are subject to change. Changes in these assumptions, estimates or the conditions surrounding them may have a material impact on our financial condition, liquidity or results of operations. Various regulatory agencies, as an integral part of the examination process, periodically review the ACL. Such agencies may require the Company to recognize additions to the ACL or reserve increases to adversely graded classified loans based on their judgments about information available to them at the time of their examinations. The ACL is decreased by net charge-offs and is increased by provisions for loan losses that are charged to the statements of operations. Charge-offs, if any, are typically measured for each loan based on a thorough analysis of the most probable source of repayment, such as the present value of the loan’s expected future cash flows, the loan’s estimated fair value, or the estimated fair value of the underlying collateral less costs of disposition for collateral-dependent loans. When it is determined that specific loans, or portions thereof, are uncollectible, these amounts are charged off against the ACL. The Company uses an internal risk rating system to indicate credit quality in the loan portfolio. The risk rating system is applied to all loans and uses a series of grades, which reflect management’s assessment of the risk attributable to loans based on an analysis of the borrower’s financial condition and ability to meet contractual debt service requirements. Loans that management perceives to have acceptable risk are categorized as “Pass” loans. The “Special Mention” loans represent loans that have potential credit weaknesses that deserve management’s close attention. Special mention loans include borrowers that have potential weaknesses or unwarranted risks that, unless corrected, may threaten the borrower’s ability to meet debt requirements. However, these borrowers are still believed to have the ability to respond to and resolve the financial issues that threaten their financial situation. Loans classified as “Substandard” are inadequately protected by the current sound worth and paying capacity of the obligor or of the collateral pledged, if any. Substandard loans have a distinct possibility of loss if the deficiencies are not corrected. “Doubtful” loans are loans that management believes the collection of payments in accordance with the terms of the loan agreement is highly questionable and improbable. Credit quality indicators are reviewed and updated in accordance with internal policy based on loan balance and risk rating. Interest accrual is discontinued on doubtful loans and certain substandard loans. Unfunded loan commitments In addition to the ACL for funded loans, the Company maintains reserves to cover the risk of loss associated with off-balance sheet unfunded loan commitments. The allowance for off-balance sheet credit losses is maintained within the other liabilities in the statements of financial condition. Under the CECL framework, adjustments to this liability are recorded as provision for credit losses in the statements of operations. Unfunded loan commitment balances are evaluated by loan class and further segregated by revolving and non-revolving commitments. In order to establish the required level of reserve, the Company applies average historical utilization rates and ACL loan model loss rates for each loan class to the outstanding unfunded commitment balances. Prior to the adoption of ASU 2016-13, the Company’s determination of the allowance took into consideration, among other matters, the estimated fair value of the underlying collateral, economic conditions, historical net loan losses, the estimated loss emergence period, estimated default rates, any declines in cash flow assumptions from acquisitions, loan structures, growth factors and other elements that warrant recognition. Under the prior incurred loss methodology, the Company routinely evaluated adversely risk-rated credits for impairment. Impairment, if any, was typically measured for each loan based on a thorough analysis of the most probable source of repayment, including the present value of the loan’s expected future cash flows, the loan’s estimated fair value, or the estimated fair value of the underlying collateral less costs of disposition for collateral dependent loans. General allowances were established for loans with similar characteristics. In this process, general allowance factors were based on an analysis of historical loss and recovery experience, if any, related to originated and acquired loans, as well as certain industry experience, with adjustments made for qualitative or environmental factors that were likely to cause estimated credit losses to differ from historical experience. To the extent that the data supporting such factors had limitations, management’s judgment and experience played a key role in determining the allowance estimates. |
Premises and equipment | g) Premises and equipment 7 3 |
Goodwill and intangible assets | h) Goodwill and intangible assets qualitative assessment, that it is more likely than not that the fair value of the reporting unit is greater than the carrying amount no additional procedures are performed; however, if the Company determines that it is more likely than not that the fair value of the reporting unit is less than the carrying amount the Company will compare the fair value of the reporting unit to its carrying amount. Any excess of the carrying amount over fair value would indicate a potential impairment and the Company would proceed to perform an additional test to determine whether goodwill has been impaired and calculate the amount of that impairment. Intangible assets that have finite useful lives, such as core deposit intangibles, are amortized over their estimated useful lives. The Company’s core deposit intangible assets represent the value of the anticipated future cost savings that will result from the acquired core deposit relationships versus an alternative source of funding. Judgment may be used in assessing goodwill and intangible assets for impairment. Estimates of fair value are based on projections of revenues, operating costs and cash flows of the reporting unit considering historical and anticipated future results, general economic and market conditions, as well as the impact of planned business or operational strategies. The valuations use a combination of present value techniques to measure fair value considering market factors. Additionally, judgment is used in determining the useful lives of finite-lived intangible assets. Adverse changes in the economic environment, operations of the reporting unit, or changes in judgments and projections could result in a significantly different estimate of the fair value of the reporting unit and could result in an impairment of goodwill and/or intangible assets. MSRs associated with loans originated and sold, where servicing is retained, are initially capitalized at fair value and included in intangible assets in the consolidated statements of financial condition. For subsequent measurement purposes, the Company measures servicing assets based on the lower of cost or market using the amortization method. The values of these capitalized servicing rights are amortized as an offset to the loan servicing income earned in relation to the servicing revenue expected to be earned. The carrying values of these rights are reviewed quarterly for impairment based on the fair value of those assets. For purposes of impairment evaluation and measurement, management stratifies MSRs based on the predominant risk characteristics of the underlying loans, including loan type and loan term. If, by individual stratum, the carrying amount of these MSRs exceeds fair value, a valuation allowance is established and the impairment is recognized in mortgage banking income. If the fair value of impaired MSRs subsequently increases, management recognizes the increase in fair value in current period mortgage banking income and, through a reduction in the valuation allowance, adjusts the carrying value of the MSRs to a level not in excess of amortized cost. |
Reserve for Mortgage Loan Repurchase Losses | i) Reserve for Mortgage Loan Repurchase Losses– The Company establishes mortgage repurchase reserves related to various representations and warranties that reflect management’s estimate of losses based on a combination of factors. Such factors incorporate actual and historic loss history, delinquency trends in the portfolio and economic conditions. The Company establishes a reserve at the time loans are sold and updates the reserve estimate quarterly during the estimated loan life. The repurchase reserve is included in other liabilities in the consolidated statements of financial condition. |
Other real estate owned | j) Other real estate owned |
Bank-owned life insurance | k) Bank-owned life insurance |
Securities purchased under agreements to resell and securities sold under agreements to repurchase | l) Securities purchased under agreements to resell and securities sold under agreements to repurchase |
Stock-based compensation | m) Stock-based compensation The fair value of stock options is measured using a Black-Scholes model. The fair value of time-based restricted stock awards and performance stock units with performance based vesting criteria is based on the Company’s stock price on the date of grant. The fair value of performance stock units with market-based vesting criteria is measured using a Monte Carlo simulation model. Compensation expense for the portion of the awards that contain performance and service vesting conditions is recognized over the requisite service period based on the fair value of the awards on the grant date. Compensation expense for the portion of the awards that contain a market vesting condition is recognized over the derived service period based on the fair value of the awards on the grant date. The amortization of stock-based compensation reflects any estimated forfeitures, and the expense realized in subsequent periods may be adjusted to reflect the actual forfeitures realized. The outstanding stock options primarily carry a maximum contractual term of ten years. To the extent that any award is forfeited, surrendered, terminated, expires, or lapses without being vested or exercised, the shares of stock subject to such award not delivered are again made available for awards under the Plan. Excess tax benefits and tax deficiencies (including tax benefits of dividends on share-based payment awards) are recognized in the consolidated statements of operations as a component of income tax expense or benefit and are classified as an operating activity within the Company’s consolidated statements of cash flows. The tax effects of exercised, expired or vested awards are treated as discrete items in the reporting period in which they occur and may result in increased volatility in our effective tax rate. Cash paid by the Company when directly withholding shares for tax withholding purposes is classified as a financing activity in the consolidated statements of cash flows. |
Income taxes | n) Income taxes Deferred tax assets and liabilities are recognized for temporary differences between the financial reporting basis and the tax basis of the Company’s assets and liabilities at enacted tax rates expected to be in effect when such amounts are realized or settled. Deferred tax assets and liabilities are adjusted for the effects of changes in tax rates in the period of change. The Company establishes a valuation allowance when management believes, based on the weight of available evidence, it is more likely than not that some portion of the deferred tax assets will not be realized. The Company recognizes and measures income tax benefits based upon a two-step model: 1) a tax position must be more likely than not to be sustained based solely on its technical merits in order to be recognized; and 2) the benefit is measured as the largest dollar amount of that position that is more likely than not to be sustained upon settlement. The difference between the benefit recognized for a position in this model and the tax benefit claimed on a tax return is treated as an unrecognized tax benefit. The Company recognizes income tax related interest and penalties in other non-interest expense. |
Earnings per share | o) Earnings per share |
Interest Rate Swap Derivatives | p) Interest Rate Swap Derivatives The Company offers interest rate swap products to certain of its clients to manage potential changes in interest rates. Each contract between the Company and a client is offset with a contract between the Company and an institutional counterparty, thus minimizing the Company's exposure to rate changes. The Company's portfolio consists of a “matched book,” and as such, changes in fair value of the swap pairs will largely offset in earnings. In accordance with applicable accounting guidance, if certain conditions are met, a derivative may be designated as (1) a hedge of the exposure to changes in the fair value of a recognized asset or liability, or of an unrecognized firm commitment, that are attributable to a particular risk (referred to as a fair value hedge) or (2) a hedge of the exposure to variability in the cash flows of a recognized asset or liability, or of a forecasted transaction, that is attributable to a particular risk (referred to as a cash flow hedge). The Company documents all hedging relationships at the inception of each hedging relationship and uses industry accepted methodologies and ranges to determine the effectiveness of each hedge. The fair value of the hedged item is calculated using the estimated future cash flows of the hedged item and applying discount rates equal to the market interest rate for the hedged item at the inception of the hedging relationship (inception benchmark interest rate plus an inception credit spread), adjusted for changes in the designated benchmark interest rate thereafter. |
Treasury stock | q) Treasury stock to additional paid-in capital in the consolidated statements of financial condition. If the reissuance price is less than the cost basis (loss), the difference is recorded to additional paid-in capital to the extent there is a cumulative treasury stock paid-in capital balance. Any loss in excess of the cumulative treasury stock paid-in capital balance is charged to retained earnings. |
Acquisition activities | r) Acquisition activities Identifiable intangible assets are recognized separately if they arise from contractual or other legal rights or if they are separable (i.e., capable of being sold, transferred, licensed, rented, or exchanged separately from the entity). Deposit liabilities and the related depositor relationship intangible assets, known as the core deposit intangible assets, may be exchanged in observable exchange transactions. As a result, the core deposit intangible asset is considered identifiable, because the separability criterion has been met. |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Investment Securities | |
Available-for-sale Securities | Available-for-sale securities are summarized as follows as of the dates indicated: December 31, 2021 Amortized Gross Gross cost unrealized gains unrealized losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 231,523 $ 1,436 $ (5,263) $ 227,696 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 467,490 1,889 (8,045) 461,334 Municipal securities 230 7 — 237 Corporate debt 2,000 111 — 2,111 Other securities 469 — — 469 Total investment securities available-for-sale $ 701,712 $ 3,443 $ (13,308) $ 691,847 December 31, 2020 Amortized Gross Gross cost unrealized gains unrealized losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 193,424 $ 2,952 $ (42) $ 196,334 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 454,345 8,778 (344) 462,779 Municipal securities 362 13 — 375 Corporate debt 2,000 — (2) 1,998 Other securities 469 — — 469 Total investment securities available-for-sale $ 650,600 $ 11,743 $ (388) $ 661,955 |
Summary of unrealized losses for available-for-sale securities | The tables below summarize the available-for-sale securities with unrealized losses as of the dates shown, along with the length of the impairment period: December 31, 2021 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 163,579 $ (4,404) $ 22,852 $ (859) $ 186,431 $ (5,263) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 237,759 (5,593) 48,750 (2,452) 286,509 (8,045) Total $ 401,338 $ (9,997) $ 71,602 $ (3,311) $ 472,940 $ (13,308) December 31, 2020 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 26,878 $ (42) $ 1 $ — $ 26,879 $ (42) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 95,888 (328) 2,138 (16) 98,026 (344) Corporate debt 1,998 (2) — — 1,998 (2) Total $ 124,764 $ (372) $ 2,139 $ (16) $ 126,903 $ (388) |
Held-to-maturity Securities | Held-to-maturity investment securities are summarized as follows as of the dates indicated: December 31, 2021 Gross Gross Amortized unrealized unrealized cost gains losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 312,916 $ 2,061 $ (5,363) $ 309,614 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 296,096 122 (6,572) 289,646 Total investment securities held-to-maturity $ 609,012 $ 2,183 $ (11,935) $ 599,260 December 31, 2020 Gross Gross Amortized unrealized unrealized cost gains losses Fair value Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 306,187 $ 4,940 $ (197) $ 310,930 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 70,428 396 (63) 70,761 Total investment securities held-to-maturity $ 376,615 $ 5,336 $ (260) $ 381,691 |
Summary of unrealized losses for held-to-maturity securities | During 2021 and 2020, purchases of held-to-maturity securities totaled $397.8 million and $284.2 million, respectively. Maturities and paydowns of held-to-maturity securities totaled $161.9 million and $88.1 million during 2021 and 2020, respectively. The held-to-maturity portfolio included 48 securities which were in an unrealized loss position at December 31, 2021, compared to nine securities at December 31, 2020. The tables below summarize the held-to-maturity securities with unrealized losses as of the dates shown, along with the length of the impairment period: December 31, 2021 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 197,095 $ (3,499) $ 45,353 $ (1,864) $ 242,448 $ (5,363) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 276,098 (6,572) — — 276,098 (6,572) Total $ 473,193 $ (10,071) $ 45,353 $ (1,864) $ 518,546 $ (11,935) December 31, 2020 Less than 12 months 12 months or more Total Fair Unrealized Fair Unrealized Fair Unrealized value losses value losses value losses Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ 53,453 $ (197) $ — $ — $ 53,453 $ (197) Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises 19,554 (63) — — 19,554 (63) Total $ 73,007 $ (260) $ — $ — $ 73,007 $ (260) |
Loans (Tables)
Loans (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Loans | |
Loan Portfolio Composition Including Carrying Value by Segment of Originated and Acquired Loans Accounted for under ASC Topic 310-30 and Loans Covered by the FDIC Loss Sharing Agreements | December 31, 2021 Total loans % of total Commercial $ 3,162,417 70.1% Commercial real estate non-owner occupied 664,729 14.7% Residential real estate 668,656 14.8% Consumer 17,581 0.4% Total $ 4,513,383 100.0% December 31, 2020 Total loans % of total Commercial $ 3,044,065 70.0% Commercial real estate non-owner occupied 631,996 14.5% Residential real estate 658,659 15.1% Consumer 19,006 0.4% Total $ 4,353,726 100.0% |
Past Due Financing Receivables | Information about delinquent and non-accrual loans is shown in the following tables at December 31, 2021 and 2020: December 31, 2021 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 481 $ — $ 1,490 $ 1,971 $ 1,494,176 $ 1,496,147 Municipal and non-profit 202 — — 202 928,843 929,045 Owner occupied commercial real estate 207 — 4,525 4,732 528,904 533,636 Food and agribusiness 89 — 64 153 203,436 203,589 Total commercial 979 — 6,079 7,058 3,155,359 3,162,417 Commercial real estate non-owner occupied: Construction — — — — 86,126 86,126 Acquisition/development — — — — 9,609 9,609 Multifamily — — — — 92,174 92,174 Non-owner occupied 94 217 121 432 476,388 476,820 Total commercial real estate 94 217 121 432 664,297 664,729 Residential real estate: Senior lien 399 198 4,251 4,848 609,780 614,628 Junior lien 179 — 374 553 53,475 54,028 Total residential real estate 578 198 4,625 5,401 663,255 668,656 Consumer 36 5 7 48 17,533 17,581 Total loans $ 1,687 $ 420 $ 10,832 $ 12,939 $ 4,500,444 $ 4,513,383 December 31, 2021 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 1,490 $ — $ 1,490 Municipal and non-profit — — — Owner occupied commercial real estate 4,525 — 4,525 Food and agribusiness 64 — 64 Total commercial 6,079 — 6,079 Commercial real estate non-owner occupied: Construction — — — Acquisition/development — — — Multifamily — — — Non-owner occupied 121 — 121 Total commercial real estate 121 — 121 Residential real estate: Senior lien 3,274 977 4,251 Junior lien 374 — 374 Total residential real estate 3,648 977 4,625 Consumer 7 — 7 Total loans $ 9,855 $ 977 $ 10,832 December 31, 2020 Greater 30-89 days than 90 days Total past past due and past due and Non-accrual due and accruing accruing loans non-accrual Current Total loans Commercial: Commercial and industrial $ 170 $ — $ 6,312 $ 6,482 $ 1,440,256 $ 1,446,738 Municipal and non-profit — — — — 870,791 870,791 Owner occupied commercial real estate — — 5,450 5,450 510,789 516,239 Food and agribusiness 146 — 422 568 209,729 210,297 Total commercial 316 — 12,184 12,500 3,031,565 3,044,065 Commercial real estate non-owner occupied: Construction — — — — 91,125 91,125 Acquisition/development — — 6 6 24,665 24,671 Multifamily — — 1,523 1,523 67,233 68,756 Non-owner occupied — — 135 135 447,309 447,444 Total commercial real estate — — 1,664 1,664 630,332 631,996 Residential real estate: Senior lien 527 160 5,820 6,507 577,764 584,271 Junior lien 95 — 709 804 73,584 74,388 Total residential real estate 622 160 6,529 7,311 651,348 658,659 Consumer 30 2 10 42 18,964 19,006 Total loans $ 968 $ 162 $ 20,387 $ 21,517 $ 4,332,209 $ 4,353,726 December 31, 2020 Non-accrual loans Non-accrual loans with a related with no related allowance for allowance for Non-accrual credit loss credit loss loans Commercial: Commercial and industrial $ 6,080 $ 232 $ 6,312 Municipal and non-profit — — — Owner occupied commercial real estate 2,698 2,752 5,450 Food and agribusiness 88 334 422 Total commercial 8,866 3,318 12,184 Commercial real estate non-owner occupied: Construction — — — Acquisition/development 6 — 6 Multifamily — 1,523 1,523 Non-owner occupied 135 — 135 Total commercial real estate 141 1,523 1,664 Residential real estate: Senior lien 4,158 1,662 5,820 Junior lien 709 — 709 Total residential real estate 4,867 1,662 6,529 Consumer 10 — 10 Total loans $ 13,884 $ 6,503 $ 20,387 |
Credit Exposure for Loans as Determined by Company's Internal Risk Rating System | The amortized cost basis for all loans as determined by the Company’s internal risk rating system and year of origination is shown in the following tables as of December 31, 2021 and 2020: December 31, 2021 Revolving Revolving loans loans Origination year amortized converted 2021 2020 2019 2018 2017 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 424,813 $ 155,268 $ 146,420 $ 128,002 $ 49,408 $ 18,529 $ 519,678 $ 5,975 $ 1,448,093 Special mention — 1,122 2,000 3,446 22,654 4,440 1,824 250 35,736 Substandard — 99 89 744 10,399 303 105 — 11,739 Doubtful — 375 — 54 49 101 — — 579 Total commercial and industrial 424,813 156,864 148,509 132,246 82,510 23,373 521,607 6,225 1,496,147 Municipal and non-profit: Pass 234,827 93,310 69,509 81,175 147,115 302,574 535 — 929,045 Total municipal and non-profit 234,827 93,310 69,509 81,175 147,115 302,574 535 — 929,045 Owner occupied commercial real estate: Pass 122,641 81,072 84,359 71,183 48,086 77,100 13,666 1,688 499,795 Special mention — — 9,155 3,864 1,429 13,443 — — 27,891 Substandard — 1,192 1,527 — 220 2,028 — — 4,967 Doubtful — 389 550 — — 44 — — 983 Total owner occupied commercial real estate 122,641 82,653 95,591 75,047 49,735 92,615 13,666 1,688 533,636 Food and agribusiness: Pass 11,245 20,606 6,966 21,427 2,443 24,047 107,978 24 194,736 Special mention — 4,670 1,234 — — 215 1,897 — 8,016 Substandard — — — — 259 578 — — 837 Total food and agribusiness 11,245 25,276 8,200 21,427 2,702 24,840 109,875 24 203,589 Total commercial 793,526 358,103 321,809 309,895 282,062 443,402 645,683 7,937 3,162,417 Commercial real estate non-owner occupied: Construction: Pass 39,584 10,047 29,496 — 222 — 6,777 — 86,126 Total construction 39,584 10,047 29,496 — 222 — 6,777 — 86,126 Acquisition/development: Pass 1,691 385 766 1,830 30 4,907 — — 9,609 Total acquisition/development 1,691 385 766 1,830 30 4,907 — — 9,609 Multifamily: Pass 3,101 32,619 2,184 15,977 193 37,713 — — 91,787 Special mention — — — — — 387 — — 387 Total multifamily 3,101 32,619 2,184 15,977 193 38,100 — — 92,174 Non-owner occupied Pass 59,060 58,964 122,452 18,425 92,349 95,265 557 — 447,072 Special mention — — 5,747 5,584 9,745 3,898 — — 24,974 Substandard — — — 729 — 4,045 — — 4,774 Total non-owner occupied 59,060 58,964 128,199 24,738 102,094 103,208 557 — 476,820 Total commercial real estate non-owner occupied 103,436 102,015 160,645 42,545 102,539 146,215 7,334 — 664,729 Residential real estate: Senior lien Pass 223,120 100,476 38,696 21,889 29,554 177,051 18,278 188 609,252 Special mention — — — — — 290 — — 290 Substandard 44 325 684 318 299 3,416 — — 5,086 Total senior lien 223,164 100,801 39,380 22,207 29,853 180,757 18,278 188 614,628 Junior lien Pass 1,320 2,150 2,731 1,639 951 3,209 40,921 328 53,249 Special mention — — — — — — 24 322 346 Substandard — 19 — 62 131 221 — — 433 Total junior lien 1,320 2,169 2,731 1,701 1,082 3,430 40,945 650 54,028 Total residential real estate 224,484 102,970 42,111 23,908 30,935 184,187 59,223 838 668,656 Consumer Pass 8,815 3,528 1,241 631 131 557 2,653 19 17,575 Substandard — — — — — 6 — — 6 Total consumer 8,815 3,528 1,241 631 131 563 2,653 19 17,581 Total loans $ 1,130,261 $ 566,616 $ 525,806 $ 376,979 $ 415,667 $ 774,367 $ 714,893 $ 8,794 $ 4,513,383 December 31, 2020 Revolving Revolving loans loans Origination year amortized converted 2020 2019 2018 2017 2016 Prior cost basis to term Total Commercial: Commercial and industrial: Pass $ 372,041 $ 212,388 $ 189,753 $ 93,822 $ 15,145 $ 17,662 $ 499,283 $ 991 $ 1,401,085 Special mention — 1,445 7,381 4,845 5,810 729 2,329 1,478 24,017 Substandard 23 1,238 925 11,885 56 4,840 1,341 — 20,308 Doubtful — — 34 456 — 809 29 — 1,328 Total commercial and industrial 372,064 215,071 198,093 111,008 21,011 24,040 502,982 2,469 1,446,738 Municipal and non-profit: Pass 131,961 91,911 125,247 156,275 124,269 238,453 2,675 — 870,791 Total municipal and non-profit 131,961 91,911 125,247 156,275 124,269 238,453 2,675 — 870,791 Owner occupied commercial real estate: Pass 100,791 107,558 90,398 53,131 32,648 87,758 1,401 — 473,685 Special mention 1,581 2,236 2,714 544 3,254 19,341 — — 29,670 Substandard — 1,988 6,211 251 93 3,802 — — 12,345 Doubtful — 511 — — — 28 — — 539 Total owner occupied commercial real estate 102,372 112,293 99,323 53,926 35,995 110,929 1,401 — 516,239 Food and agribusiness: Pass 28,139 9,198 20,242 7,198 9,556 28,330 106,007 126 208,796 Special mention — — — — — 222 — — 222 Substandard — — — 302 — 977 — — 1,279 Total food and agribusiness 28,139 9,198 20,242 7,500 9,556 29,529 106,007 126 210,297 Total commercial 634,536 428,473 442,905 328,709 190,831 402,951 613,065 2,595 3,044,065 Commercial real estate non-owner occupied: Construction: Pass 15,841 49,658 17,349 4,072 — — 2,006 1,807 90,733 Special mention 392 — — — — — — — 392 Total construction 16,233 49,658 17,349 4,072 — — 2,006 1,807 91,125 Acquisition/development: Pass 3,762 1,997 1,947 8,373 4,559 3,694 11 — 24,343 Special mention — — — 34 — 253 — — 287 Substandard — — — — — 41 — — 41 Total acquisition/development 3,762 1,997 1,947 8,407 4,559 3,988 11 — 24,671 Multifamily: Pass 29,738 13,670 137 212 18,050 4,990 — — 66,797 Special mention — — — — — 436 — — 436 Substandard — — — — — 1,523 — — 1,523 Total multifamily 29,738 13,670 137 212 18,050 6,949 — — 68,756 Non-owner occupied Pass 51,445 92,225 25,362 86,975 26,613 118,144 3,083 643 404,490 Special mention 70 5,458 5,841 22,737 — 3,662 100 — 37,868 Substandard — — 779 — 3,937 370 — — 5,086 Total non-owner occupied 51,515 97,683 31,982 109,712 30,550 122,176 3,183 643 447,444 Total commercial real estate non-owner occupied 101,248 163,008 51,415 122,403 53,159 133,113 5,200 2,450 631,996 Residential real estate: Senior lien Pass 129,551 76,504 36,493 47,887 88,358 173,091 24,884 218 576,986 Special mention — — — — — 463 — — 463 Substandard 95 818 20 1,232 550 4,107 — — 6,822 Total senior lien 129,646 77,322 36,513 49,119 88,908 177,661 24,884 218 584,271 Junior lien Pass 3,479 4,217 2,553 1,775 1,226 3,760 55,860 365 73,235 Special mention — — — — — 21 341 — 362 Substandard — 112 101 177 55 287 — 59 791 Total junior lien 3,479 4,329 2,654 1,952 1,281 4,068 56,201 424 74,388 Total residential real estate 133,125 81,651 39,167 51,071 90,189 181,729 81,085 642 658,659 Consumer: Pass 9,777 3,348 1,674 489 329 623 2,700 19 18,959 Substandard — — 37 — 2 8 — — 47 Total consumer 9,777 3,348 1,711 489 331 631 2,700 19 19,006 Total loans $ 878,686 $ 676,480 $ 535,198 $ 502,672 $ 334,510 $ 718,424 $ 702,050 $ 5,706 $ 4,353,726 |
Schedule of collateral dependent loans | December 31, 2021 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 3,270 $ 1,261 $ 4,531 Owner-occupied commercial real estate 4,012 255 4,267 Total Commercial 7,282 1,516 8,798 Residential real estate Senior lien 2,212 — 2,212 Total residential real estate 2,212 — 2,212 Total loans $ 9,494 $ 1,516 $ 11,010 December 31, 2020 Total amortized Real property Business assets cost basis Commercial Commercial and industrial $ 7,579 $ 3,005 $ 10,584 Owner-occupied commercial real estate 3,701 284 3,985 Food and agribusiness 334 — 334 Total Commercial 11,614 3,289 14,903 Commercial real estate non owner-occupied Acquisition/development 1,573 — 1,573 Multifamily 1,523 — 1,523 Total commercial real estate 3,096 — 3,096 Residential real estate Senior lien 2,021 — 2,021 Total residential real estate 2,021 — 2,021 Total loans $ 16,731 $ 3,289 $ 20,020 |
Additional Information Related to Accruing TDR's | December 31, 2021 Amortized Average year-to-date Unpaid Unfunded commitments cost basis amortized cost basis principal balance to fund TDRs Commercial $ 4,066 $ 4,472 $ 4,417 $ — Commercial real estate non-owner occupied 725 767 892 — Residential real estate 2,395 2,468 2,781 — Consumer — — — — Total $ 7,186 $ 7,707 $ 8,090 $ — December 31, 2020 Amortized Average year-to-date Unpaid Unfunded commitments cost basis amortized cost basis principal balance to fund TDRs Commercial $ 9,387 $ 9,544 $ 9,978 $ 150 Commercial real estate non-owner occupied 2,400 2,351 4,105 — Residential real estate 2,121 2,185 2,922 12 Consumer 37 37 37 — Total $ 13,945 $ 14,117 $ 17,042 $ 162 |
Summary of Company's Carrying Value of Non-Accrual TDR's | The following table summarizes the Company’s carrying value of non-accrual TDRs as of December 31, 2021 and 2020: December 31, 2021 December 31, 2020 Commercial $ 644 $ 3,397 Commercial real estate non-owner occupied 117 1,644 Residential real estate 1,605 3,156 Consumer — — Total non-accruing TDRs $ 2,366 $ 8,197 |
Allowance for Credit Losses (Ta
Allowance for Credit Losses (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Allowance for Credit Losses | |
Summary of Company's Allowance for Loan Losses ("ALL") and Recorded Investment in Loans | The tables below detail the Company’s allowance for credit losses as of the dates shown: Year ended December 31, 2021 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 30,376 $ 17,448 $ 11,492 $ 461 $ 59,777 Charge-offs (1,171) — (24) (621) (1,816) Recoveries 371 7 48 126 552 Provision expense (release) for loan losses 1,680 (7,422) (3,460) 383 (8,819) Ending balance $ 31,256 $ 10,033 $ 8,056 $ 349 $ 49,694 Year ended December 31, 2020 Non-owner occupied commercial Residential Commercial real estate real estate Consumer Total Beginning balance $ 30,442 $ 4,850 $ 3,468 $ 304 $ 39,064 Cumulative effect adjustment (1) (1,299) 1,666 5,314 155 5,836 Charge-offs (2,023) (412) (67) (726) (3,228) Recoveries 394 — 32 145 571 Provision expense for loan losses 2,862 11,344 2,745 583 17,534 Ending balance $ 30,376 $ 17,448 $ 11,492 $ 461 $ 59,777 (1) Related to the adoption of Accounting Standards Update No. 2016-13, Measurement of Credit Losses on Financial Instruments |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Leases | |
Summary of future minimum lease payments | Below is a summary of undiscounted future minimum lease payments as of December 31, 2021: Years ending December 31, Amount 2022 $ 4,511 2023 4,171 2024 3,741 2025 2,985 2026 1,967 Thereafter 10,174 Total lease payments 27,549 Less: Imputed interest (7,296) Present value of operating lease liabilities $ 20,253 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Premises and Equipment | |
Schedule of Premises and Equipment | Premises and equipment consisted of the following at December 31, 2021 and 2020: December 31, 2021 December 31, 2020 Land $ 30,556 $ 33,149 Buildings and improvements 86,201 92,463 Equipment 63,553 60,205 Total premises and equipment, at cost 180,310 185,817 Less: accumulated depreciation and amortization (83,563) (78,835) Premises and equipment, net $ 96,747 $ 106,982 |
Other Real Estate Owned (Tables
Other Real Estate Owned (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Other Real Estate Owned | |
Summary of Activity in OREO Balances | A summary of the activity in OREO during 2021 and 2020 is as follows: For the years ended December 31, 2021 2020 Beginning balance $ 4,730 $ 7,300 Transfers from loan portfolio, at fair value 4,516 1,533 Impairments (799) (470) Sales (1,442) (3,633) Ending balance $ 7,005 $ 4,730 |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Summary of gross carrying amount of intangible assets and the associated accumulated amortization | The gross carrying amount of the core deposit intangibles and the associated accumulated amortization at December 31, 2021 and December 31, 2020, are presented as follows: December 31, 2021 December 31, 2020 Gross Net Gross Net carrying Accumulated carrying carrying Accumulated carrying amount amortization amount amount amortization amount Core deposit intangible $ 48,834 $ (42,469) $ 6,365 $ 48,834 $ (41,286) $ 7,548 |
Summary of changes in the mortgage servicing rights | Below are the changes in the MSRs for the years presented: For the years ended December 31, 2021 2020 Beginning balance $ 10,380 $ 2,630 Originations 7,881 10,354 Sales (10,499) — Recovery (impairment) 740 (751) Amortization (2,545) (1,853) Ending balance 5,957 10,380 Fair value of mortgage servicing rights $ 7,729 $ 11,542 |
Core Deposits | |
Summary of estimated future amortization expense for the next five fiscal years | The following table shows the estimated future amortization expense for the core deposit intangibles as of December 31, 2021: Years ending December 31, Amount 2022 $ 1,127 2023 1,048 2024 1,048 2025 1,048 2026 1,048 |
MSRs | |
Summary of estimated future amortization expense for the next five fiscal years | The following table shows the estimated future amortization expense for the MSRs as of December 31, 2021: Years ending December 31, Amount 2022 $ 813 2023 702 2024 606 2025 524 2026 453 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Deposits | |
Summary of Time Deposits Based Upon Contractual Maturity | Years ending December 31, Amount 2022 $ 555,361 2023 197,026 2024 50,617 2025 27,882 2026 2,445 Thereafter 585 Total time deposits $ 833,916 |
Schedule of Interest Expense on Deposits | The Company incurred interest expense on deposits as follows during the years indicated: For the years ended December 31, 2021 2020 2019 Interest bearing demand deposits $ 1,088 $ 1,921 $ 1,514 Money market accounts 3,995 5,342 9,046 Savings accounts 1,157 1,342 2,717 Time deposits 7,362 15,024 16,526 Total $ 13,602 $ 23,629 $ 29,803 |
Borrowings (Tables)
Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Borrowings | |
Schedule of Selected Information Regarding Repurchase Agreements | The following table sets forth selected information regarding repurchase agreements during 2021, 2020 and 2019: As of and for the years ended December 31, 2021 2020 2019 Maximum amount of outstanding agreements at any month end during the period $ 23,574 $ 54,489 $ 68,600 Average amount outstanding during the period 20,338 30,355 60,445 Weighted average interest rate for the period 0.11% 0.45% 1.11% |
Regulatory Capital (Tables)
Regulatory Capital (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Regulatory Capital | |
Capital Ratio Requirements under Prompt Corrective Action or Other Regulatory Requirements | December 31, 2021 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized (1) Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 10.4% $ 731,087 N/A N/A 4.0% $ 281,463 NBH Bank 9.1% 637,115 5.0% $ 350,584 4.0% 280,467 Common equity tier 1 risk based capital: Consolidated 14.3% $ 731,087 N/A N/A 7.0% $ 358,813 NBH Bank 12.5% 637,115 6.5% $ 331,427 7.0% 356,921 Tier 1 risk based capital ratio: Consolidated 14.3% $ 731,087 N/A N/A 8.5% $ 435,701 NBH Bank 12.5% 637,115 8.0% $ 407,910 8.5% 433,404 Total risk based capital ratio: Consolidated 15.9% $ 816,117 N/A N/A 10.5% $ 538,219 NBH Bank 13.4% 682,145 10.0% $ 509,888 10.5% 535,382 December 31, 2020 Required to be Required to be well capitalized under considered prompt corrective adequately Actual action provisions capitalized (1) Ratio Amount Ratio Amount Ratio Amount Tier 1 leverage ratio: Consolidated 10.7% $ 696,311 N/A N/A 4.0% $ 260,370 NBH Bank 9.2% 600,622 5.0% $ 325,447 4.0% 260,358 Common equity tier 1 risk based capital: Consolidated 14.7% $ 696,311 N/A N/A 7.0% $ 331,632 NBH Bank 12.7% 600,622 6.5% $ 307,631 7.0% 331,295 Tier 1 risk based capital ratio: Consolidated 14.7% $ 696,311 N/A N/A 8.5% $ 402,696 NBH Bank 12.7% 600,622 8.0% $ 378,623 8.5% 402,287 Total risk based capital ratio: Consolidated 15.8% $ 749,899 N/A N/A 10.5% $ 497,448 NBH Bank 13.8% 654,209 10.0% $ 473,279 10.5% 496,943 |
Revenue from Contracts with C_2
Revenue from Contracts with Clients (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Revenue from Contracts with Clients | |
Summary of non-interest income segregated by revenue streams | The following table presents non-interest income, segregated by revenue streams in-scope and out-of-scope of Topic 606, and non-interest expense in-scope of Topic 606 for the years ended December 31, 2021, 2020 and 2019. For the years ended December 31, 2021 2020 2019 Non-interest income In-scope of Topic 606: Service charges and other fees $ 18,066 $ 16,913 $ 19,720 Bank card fees 17,693 15,446 14,595 Non-interest income (in-scope of Topic 606) 35,759 32,359 34,315 Non-interest income (out-of-scope of Topic 606) 69,975 107,899 48,437 Total non-interest income $ 105,734 $ 140,258 $ 82,752 Non-interest expense In-scope of Topic 606: Gain on OREO sales, net $ 475 $ 38 7,193 Total revenue in-scope of Topic 606 $ 36,234 $ 32,397 $ 41,508 |
Stock-based Compensation and _2
Stock-based Compensation and Benefits (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Stock-based Compensation and Benefits | |
Schedule of weighted average assumptions using Black-Scholes option-pricing model | Below are the weighted average assumptions used in the Black-Scholes option pricing model to determine fair value of the Company’s stock options granted in 2021, 2020 and 2019: 2021 2020 2019 Weighted average fair value $ 9.65 $ 3.37 $ 6.31 Weighted average risk-free interest rate (1) 1.14% 0.44% 2.35% Expected volatility (2) 30.54% 25.08% 20.56% Expected term (years) (3) 6.04 6.04 6.05 Dividend yield (4) 2.09% 3.44% 2.00% (1) The risk-free rate for the expected term of the options was based on the U.S. Treasury yield curve at the date of grant and based on the expected term. (2) Expected volatility was calculated using historical volatility of the Company’s stock price for a period commensurate with the expected term of the options. (3) The expected term was estimated to be the average of the contractual vesting term and time to expiration. (4) The dividend yield was calculated in accordance with the Company’s dividend policy at the time of grant. |
Summary of Option Activity | The Company issued stock options in accordance with the 2014 Plan during 2021. The following table summarizes stock option activity for 2021: Weighted average Weighted remaining average contractual Aggregate exercise term in intrinsic Options price years value Outstanding at December 31, 2020 768,129 $ 26.35 6.91 $ 5,224 Granted 82,587 40.18 Exercised (128,551) 25.00 Forfeited (26,205) 27.80 Outstanding at December 31, 2021 695,960 28.19 6.57 $ 10,964 Options exercisable at December 31, 2021 440,806 26.94 5.49 7,492 Options vested and expected to vest 677,858 28.07 6.51 10,756 |
Summary of outstanding stock options | The following table summarizes the Company’s outstanding stock options: Options outstanding Options exercisable Weighted average Number remaining contractual Weighted average Number Weighted average Range of exercise price outstanding life (years) exercise price exercisable exercise price $ 18.00 - 22.99 159,208 3.35 $ 19.22 159,208 $ 19.22 23.00 - 27.99 193,046 8.24 23.13 60,728 23.14 28.00 - 32.99 89,409 6.25 32.56 87,455 32.62 33.00 - 37.99 172,080 6.57 34.14 132,133 34.12 38.00 and above 82,217 9.22 40.24 1,282 40.51 |
Summary of Restricted Stock Activity | The following table summarizes restricted stock and performance stock unit activity during 2021 and 2020: Weighted Weighted Restricted average grant- Performance average grant- stock shares date fair value stock units date fair value Unvested at December 31, 2019 122,198 $ 34.19 158,874 $ 31.19 Granted 127,400 23.94 68,498 26.74 Adjustment due to performance — — 17,852 33.22 Vested (69,444) 32.60 (53,540) 33.22 Forfeited (13,524) 29.25 (6,847) 29.52 Unvested at December 31, 2020 166,630 $ 27.42 184,837 $ 29.21 Granted 89,351 39.99 52,526 37.01 Adjustment due to performance — — 30,024 30.38 Vested (90,645) 29.78 (90,016) 30.38 Forfeited (20,869) 29.54 (16,977) 28.96 Unvested at December 31, 2021 144,467 $ 33.40 160,394 $ 31.36 |
Earnings Per Share (Tables)
Earnings Per Share (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Earnings Per Share | |
Schedule of Computation of Basic and Diluted Income (Loss) Per Share | The following table illustrates the computation of basic and diluted earnings per share for 2021, 2020 and 2019: For the years ended December 31, 2021 2020 2019 Net income $ 93,606 $ 88,591 $ 80,365 Less: income allocated to participating securities (133) (130) (94) Income allocated to common shareholders $ 93,473 $ 88,461 $ 80,271 Weighted average shares outstanding for basic earnings per common share 30,727,566 30,857,086 31,175,825 Dilutive effect of equity awards 340,593 218,771 354,992 Weighted average shares outstanding for diluted earnings per common share 31,068,159 31,075,857 31,530,817 Basic earnings per share $ 3.04 $ 2.87 $ 2.57 Diluted earnings per share 3.01 2.85 2.55 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Income Taxes | |
Components of Income Tax Expense | Total income taxes for 2021, 2020 and 2019 were allocated as follows: For the years ended December 31, 2021 2020 2019 Current expense: U.S. federal $ 13,746 $ 16,460 $ 8,947 State and local 2,643 3,255 2,280 Total current income tax expense 16,389 19,715 11,227 Deferred expense: U.S. federal 4,327 560 4,115 State and local 649 531 487 Total deferred income tax expense 4,976 1,091 4,602 Income tax expense $ 21,365 $ 20,806 $ 15,829 |
Components of Tax Rate Reconciliation | The reconciliation between the income tax expenses and the amounts computed by applying the U.S. federal income tax rate to pretax income is as follows: For the years ended December 31, 2021 2020 2019 Income tax at federal statutory rates (21%) $ 24,144 $ 22,974 $ 20,201 State income taxes, net of federal benefits 2,601 2,991 2,186 Tax-exempt loan interest income (4,862) (4,628) (4,354) Bank-owned life insurance income (603) (575) (475) Stock-based compensation (733) 43 (1,925) Non-deductible compensation 852 388 253 Other (34) (387) (57) Income tax expense $ 21,365 $ 20,806 $ 15,829 |
Significant Components of Deferred Taxes | The tax effects of temporary differences that give rise to significant portions of the deferred tax assets and deferred tax liabilities at December 31, 2021 and 2020 are presented below: December 31, 2021 December 31, 2020 Deferred tax assets: Excess tax basis of acquired loans over carrying value $ 679 $ 966 Allowance for credit losses 11,806 14,154 Other real estate owned 645 634 Accrued stock-based compensation 1,384 2,070 Accrued compensation 4,355 3,674 Capitalized start-up costs 1,223 1,540 Accrued expenses 316 532 Net deferred loan fees 1,021 1,015 Net operating loss 573 641 Lease liability 4,811 6,154 Net unrealized losses on investment securities 2,169 — Other 1,791 2,025 Total deferred tax assets 30,773 33,405 Deferred tax liabilities: Intangible assets (4,822) (2,563) Net unrealized gains on investment securities — (3,033) Premises and equipment (1,858) (1,599) Right of use assets (4,674) (6,015) Prepaid expenses (255) (229) Mortgage servicing rights (1,415) (2,458) Other (59) (44) Total deferred tax liabilities (13,083) (15,941) Net deferred tax asset $ 17,690 $ 17,464 |
Derivatives (Tables)
Derivatives (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Derivatives | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | Information about the valuation methods used to measure fair value is provided in note 22. Asset derivatives fair value Liability derivatives fair value Balance Sheet December 31, December 31, Balance Sheet December 31, December 31, location 2021 2020 Location 2021 2020 Derivatives designated as hedging instruments: Interest rate products Other assets $ 477 $ — Other liabilities $ 12,221 $ 38,884 Total derivatives designated as hedging instruments $ 477 $ — $ 12,221 $ 38,884 Derivatives not designated as hedging instruments: Interest rate products Other assets $ 8,321 $ 18,149 Other liabilities $ 8,329 $ 18,176 Interest rate lock commitments Other assets 1,792 7,001 Other liabilities 197 298 Forward contracts Other assets 91 — Other liabilities 266 2,622 Total derivatives not designated as hedging instruments $ 10,204 $ 25,150 $ 8,792 $ 21,096 |
Derivative Instruments, Gain (Loss) | The tables below present the effect of the Company’s derivative financial instruments on the consolidated statements of operations for 2021 and 2020: Location of gain (loss) Amount of gain recognized in income on derivatives Derivatives in fair value recognized in income on For the years ended December 31, hedging relationships derivatives 2021 2020 Interest rate products Interest and fees on loans $ 4,568 $ 4,405 Location of gain (loss) Amount of loss recognized in income on hedged items recognized in income on For the years ended December 31, Hedged items hedged items 2021 2020 Interest rate products Interest and fees on loans $ (3,026) $ (6,376) Location of gain (loss) Amount of gain (loss) recognized in income on derivatives Derivatives not designated recognized in income on For the years ended December 31, as hedging instruments derivatives 2021 2020 Interest rate products Other non-interest expense $ 23 $ (7) Interest rate lock commitments Mortgage banking income (6,852) 7,218 Forward contracts Mortgage banking income 2,447 (2,339) Total $ (4,382) $ 4,872 |
Commitments and Contingencies (
Commitments and Contingencies (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Commitments and Contingencies | |
Schedule of Total Unfunded Commitments | Total unfunded commitments at December 31, 2021 and 2020 were as follows: December 31, 2021 December 31, 2020 Commitments to fund loans $ 462,151 $ 311,237 Unfunded commitments under lines of credit 530,397 537,325 Commercial and standby letters of credit 7,321 7,320 Total unfunded commitments $ 999,869 $ 855,882 |
Schedule of Repurchase Reserve | The following table summarizes mortgage repurchase reserve activity for the periods presented: For the years ended December 31, 2021 2020 Beginning balance $ 2,741 $ 2,589 Provision (released from) charged to operating expense, net (108) 662 Charge-offs (531) (510) Ending balance $ 2,102 $ 2,741 |
Fair Value Measurements (Tables
Fair Value Measurements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Measurements | |
Tables of Financial Instruments Measured At Fair Value on Recurring Basis | The tables below present the financial instruments measured at fair value on a recurring basis as of December 31, 2021 and 2020, in the consolidated statements of financial condition utilizing the hierarchy structure described above: December 31, 2021 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ — $ 227,696 $ — $ 227,696 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 461,334 — 461,334 Municipal securities — 237 — 237 Corporate debt — 2,111 — 2,111 Loans held for sale — 139,142 — 139,142 Interest rate swap derivatives — 8,798 — 8,798 Mortgage banking derivatives — — 1,883 1,883 Total assets at fair value $ — $ 839,318 $ 1,883 $ 841,201 Liabilities: Interest rate swap derivatives $ — $ 20,550 $ — $ 20,550 Mortgage banking derivatives — — 463 463 Total liabilities at fair value $ — $ 20,550 $ 463 $ 21,013 December 31, 2020 Level 1 Level 2 Level 3 Total Assets: Investment securities available-for-sale: Mortgage-backed securities: Residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises $ — $ 196,334 $ — $ 196,334 Other residential MBS issued or guaranteed by U.S. Government agencies or sponsored enterprises — 462,779 — 462,779 Municipal securities — 318 — 318 Corporate debt — 1,998 — 1,998 Loans held for sale — 247,813 — 247,813 Interest rate swap derivatives — 18,149 — 18,149 Mortgage banking derivatives — — 7,001 7,001 Total assets at fair value $ — $ 927,391 $ 7,001 $ 934,392 Liabilities: Interest rate swap derivatives $ — $ 57,060 $ — $ 57,060 Mortgage banking derivatives — — 2,920 2,920 Total liabilities at fair value $ — $ 57,060 $ 2,920 $ 59,980 |
Table of Changes in Level 3 Financial Instruments | The table below details the changes in level 3 financial instruments during 2021: Mortgage banking derivatives, net Balance at December 31, 2020 $ 4,081 Loss included in earnings, net (4,405) Fees and costs included in earnings, net 1,744 Balance at December 31, 2021 $ 1,420 |
Table of Assets Recorded at Fair Value On a Non-Recurring Basis | The tables below provide information regarding losses from the assets recorded at fair value on a non-recurring basis at December 31, 2021 and 2020. December 31, 2021 Total Losses from fair value changes Individually evaluated loans $ 14,083 $ 1,816 Other real estate owned 7,005 799 Premises and equipment 6,032 1,552 Total $ 27,120 $ 4,167 December 31, 2020 Total Losses from fair value changes Individually evaluated loans $ 25,480 $ 3,228 Other real estate owned 4,730 470 Premises and equipment 8,024 1,631 Mortgage servicing rights 10,380 751 Total $ 48,614 $ 6,080 |
Fair Value of Financial Instr_2
Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Fair Value Measurements | |
Fair Value of Financial Instruments | The fair value of financial instruments at December 31, 2021 and 2020 are set forth below: Level in fair value December 31, 2021 December 31, 2020 measurement Carrying Estimated Carrying Estimated hierarchy amount fair value amount fair value ASSETS Cash and cash equivalents Level 1 $ 845,695 $ 845,695 $ 605,565 $ 605,565 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 227,696 227,696 196,334 196,334 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises available-for-sale Level 2 461,334 461,334 462,779 462,779 Municipal securities available-for-sale Level 2 237 237 318 318 Municipal securities available-for-sale Level 3 — — 57 57 Corporate debt Level 2 2,111 2,111 1,998 1,998 Other available-for-sale securities Level 3 469 469 469 469 Mortgage-backed securities—residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 312,916 309,614 306,187 310,930 Mortgage-backed securities—other residential mortgage-backed securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity Level 2 296,096 289,646 70,428 70,761 Non-marketable securities Level 2 14,533 14,533 16,493 16,493 Loans receivable Level 3 4,513,383 4,540,847 4,353,726 4,511,357 Loans held for sale Level 2 139,142 139,142 247,813 247,813 Accrued interest receivable Level 2 17,848 17,848 18,795 18,795 Interest rate swap derivatives Level 2 8,798 8,798 18,149 18,149 Mortgage banking derivatives Level 3 1,883 1,883 7,001 7,001 LIABILITIES Deposit transaction accounts Level 2 5,394,257 5,394,257 4,690,100 4,690,100 Time deposits Level 2 833,916 833,163 986,132 993,070 Securities sold under agreements to repurchase Level 2 22,768 22,768 22,897 22,897 Long-term debt Level 2 40,000 40,000 — — Accrued interest payable Level 2 3,944 3,944 6,762 6,762 Interest rate swap derivatives Level 2 20,550 20,550 57,060 57,060 Mortgage banking derivatives Level 3 463 463 2,920 2,920 |
Parent Company Only Financial_2
Parent Company Only Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2021 | |
Parent Company Only Financial Statements | |
Condensed Statements | Parent company only financial information for National Bank Holdings Corporation is summarized as follows: Condensed Statements of Financial Condition December 31, 2021 December 31, 2020 ASSETS Cash and cash equivalents $ 107,154 $ 91,402 Non-marketable securities 24,178 58 Investment in subsidiaries 746,135 725,002 Other assets 7,366 14,751 Total assets $ 884,833 $ 831,213 LIABILITIES AND STOCKHOLDERS’ EQUITY Long-term debt, net $ 39,478 $ — Other liabilities 5,249 10,522 Total liabilities 44,727 10,522 Shareholders’ equity 840,106 820,691 Total liabilities and shareholders’ equity $ 884,833 $ 831,213 Condensed Statements of Operations For the years ended December 31, 2021 2020 2019 Income Equity in undistributed earnings of subsidiaries $ 37,866 $ 67,416 $ 28,133 Distributions from subsidiaries 63,000 27,200 55,725 Income from non-marketable securities 553 — — Total income 101,419 94,616 83,858 Expenses Interest expense 197 — — Salaries and benefits 5,622 5,136 4,925 Other expenses 5,042 2,621 2,463 Total expenses 10,861 7,757 7,388 Income before income taxes 90,558 86,859 76,470 Income tax benefit (3,048) (1,732) (3,895) Net income $ 93,606 $ 88,591 $ 80,365 Condensed Statements of Cash Flows For the years ended December 31, 2021 2020 2019 Cash flows from operating activities: Net income $ 93,606 $ 88,591 $ 80,365 Equity in undistributed earnings of subsidiaries (37,866) (67,416) (28,133) Stock-based compensation expense 5,541 5,299 4,869 Net excess tax (benefit) expense from stock-based compensation (644) 51 (2,160) Amortization 13 — — Other (3,747) 3,074 5,045 Net cash provided by operating activities 56,903 29,599 59,986 Cash flows from investing activities: Purchase of non-marketable securities (23,025) — — Net cash used in investing activities (23,025) — — Cash flows from financing activities: Proceeds from issuance of long-term debt 40,000 — — Payments of long-term debt issuance costs (535) — — Issuance of stock under purchase and equity compensation plans (2,267) (749) (6,229) Proceeds from exercise of stock options 2,489 1,832 2,788 Payment of dividends (26,888) (24,816) (23,530) Repurchase of shares (36,400) (19,476) — Net cash used in financing activities (23,601) (43,209) (26,971) Net increase (decrease) in cash, cash equivalents and restricted cash 10,277 (13,610) 33,015 Cash, cash equivalents and restricted cash at beginning of the year 101,402 115,012 81,997 Cash, cash equivalents and restricted cash at end of the year $ 111,679 $ 101,402 $ 115,012 |
Basis of Presentation (Details)
Basis of Presentation (Details) | 12 Months Ended |
Dec. 31, 2021item | |
Basis of Presentation | |
Number of full service banking offices | 81 |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies - Narrative (Details) | 12 Months Ended |
Dec. 31, 2021loan | |
Significant Accounting Policies [Line Items] | |
Residential mortgage loans held for sale period | 45 days |
Number of primary loan segment | 4 |
Number of loan classes | 11 |
Buildings [Member] | |
Significant Accounting Policies [Line Items] | |
Estimated useful life of the asset | 39 years |
Maximum [Member] | |
Significant Accounting Policies [Line Items] | |
Fair values are subject to refinement maximum year | 1 year |
Maximum [Member] | COVID-19 | |
Significant Accounting Policies [Line Items] | |
Deferral period | 1 year |
Maximum [Member] | Stock options [Member] | |
Significant Accounting Policies [Line Items] | |
Contractual term | 10 years |
Maximum [Member] | Building Improvements [Member] | |
Significant Accounting Policies [Line Items] | |
Estimated useful life of the asset | 15 years |
Maximum [Member] | Equipment [Member] | |
Significant Accounting Policies [Line Items] | |
Estimated useful life of the asset | 7 years |
Minimum [Member] | COVID-19 | |
Significant Accounting Policies [Line Items] | |
Deferral period | 3 months |
Minimum [Member] | Building Improvements [Member] | |
Significant Accounting Policies [Line Items] | |
Estimated useful life of the asset | 7 years |
Minimum [Member] | Equipment [Member] | |
Significant Accounting Policies [Line Items] | |
Estimated useful life of the asset | 3 years |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Stockholders' equity | $ 840,106 | $ 820,691 | $ 766,920 | $ 695,006 | ||
Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Stockholders' equity | $ 4,623 | $ 256 | ||||
ASU 2016-02 AND ASU 2018-11 | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Lease right-of-use assets | $ 30,500 | |||||
Lease liabilities | 30,500 | |||||
Stockholders' equity | $ 300 | |||||
ASU 2016-13 | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Increase in allowance for credit losses | $ 5,800 | |||||
Increase in allowance for credit losses net of tax | 4,600 | |||||
ASU 2016-13 | Cumulative Effect, Period of Adoption, Adjustment [Member] | Mortgage-Backed Securities (MBS) [Member] | ||||||
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | ||||||
Increase in allowance for credit losses net of tax | $ 0 |
Investment Securities - Narrati
Investment Securities - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021USD ($)security | Dec. 31, 2020USD ($)security | Dec. 31, 2019USD ($) | |
Investment securities total | $ 1,300,000 | $ 1,000,000 | |
Amortized cost | 701,712 | 650,600 | |
Available-for-sale securities | 691,847 | 661,955 | |
Held-to-maturity securities | 609,012 | 376,615 | |
Purchases of available-for-sale securities | 288,580 | 286,130 | $ 45,745 |
Maturities and paydowns of available-for-sale securities | 235,860 | 271,508 | 195,467 |
Sales of available-for-sale securities | $ 0 | $ 0 | 20,378 |
Number of securities | security | 49 | 22 | |
Fair value of collateral | $ 0 | $ 0 | |
Fair value of available-for-sale investment securities pledged as collateral | 363,400 | 385,800 | |
Purchases of held-to-maturity securities | 397,758 | 284,170 | 10,201 |
Maturities and paydowns of held-to-maturity securities | $ 161,923 | $ 88,071 | $ 60,948 |
Number of held-to-maturity securities in unrealized loss positions | security | 48 | 9 | |
Held-to-maturity investment securities pledged as collateral | $ 147,300 | $ 140,600 | |
Held-to-maturity investment securities held as collateral | 0 | 0 | |
Investment Securities Available-For-Sale [Member] | |||
Accrued interest receivable | 1,000 | 1,100 | |
Held-to-maturity Securities [Member] | |||
Accrued interest receivable | 900 | $ 700 | |
Municipal securities maturing within one to five years [Member] | |||
Amortized cost | 200 | ||
Available-for-sale securities | 200 | ||
Corporate debt securities due after five to ten years [Member] | |||
Amortized cost | 2,000 | ||
Available-for-sale securities | 2,100 | ||
Other Securities Investments with No Contractual Maturity [Member] | |||
Amortized cost | $ 500 |
Investment Securities - Summary
Investment Securities - Summary of Available-for-Sale Investment Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | $ 701,712 | $ 650,600 |
Gross unrealized gains | 3,443 | 11,743 |
Gross unrealized losses | (13,308) | (388) |
Investment securities available-for-sale (at fair value) | 691,847 | 661,955 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 231,523 | 193,424 |
Gross unrealized gains | 1,436 | 2,952 |
Gross unrealized losses | (5,263) | (42) |
Investment securities available-for-sale (at fair value) | 227,696 | 196,334 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 467,490 | 454,345 |
Gross unrealized gains | 1,889 | 8,778 |
Gross unrealized losses | (8,045) | (344) |
Investment securities available-for-sale (at fair value) | 461,334 | 462,779 |
Municipal [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 230 | 362 |
Gross unrealized gains | 7 | 13 |
Investment securities available-for-sale (at fair value) | 237 | 375 |
Corporate Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 2,000 | 2,000 |
Gross unrealized gains | 111 | |
Gross unrealized losses | (2) | |
Investment securities available-for-sale (at fair value) | 2,111 | 1,998 |
Other Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Amortized cost | 469 | 469 |
Investment securities available-for-sale (at fair value) | $ 469 | $ 469 |
Investment Securities - Summa_2
Investment Securities - Summary of Unrealized Losses (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Fair Value | $ 401,338 | $ 124,764 |
Less than 12 months, Unrealized losses | (9,997) | (372) |
12 months or more, Fair Value | 71,602 | 2,139 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (3,311) | (16) |
Total, Fair Value | 472,940 | 126,903 |
Total, Unrealized losses | (13,308) | (388) |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 163,579 | 26,878 |
Less than 12 months, Unrealized losses | (4,404) | (42) |
12 months or more, Fair Value | 22,852 | 1 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (859) | |
Total, Fair Value | 186,431 | 26,879 |
Total, Unrealized losses | (5,263) | (42) |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 237,759 | 95,888 |
Less than 12 months, Unrealized losses | (5,593) | (328) |
12 months or more, Fair Value | 48,750 | 2,138 |
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (2,452) | (16) |
Total, Fair Value | 286,509 | 98,026 |
Total, Unrealized losses | $ (8,045) | (344) |
Corporate Debt Securities [Member] | ||
Schedule of Available-for-sale Securities [Line Items] | ||
Less than 12 months, Fair Value | 1,998 | |
Less than 12 months, Unrealized losses | (2) | |
Total, Fair Value | 1,998 | |
Total, Unrealized losses | $ (2) |
Investment Securities - Summa_3
Investment Securities - Summary of Held-to-maturity Investment Securities (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity Securities | $ 609,012 | $ 376,615 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Gain | 2,183 | 5,336 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Loss | (11,935) | (260) |
Fair value | 599,260 | 381,691 |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity Securities | 312,916 | 306,187 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Gain | 2,061 | 4,940 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Loss | (5,363) | (197) |
Fair value | 309,614 | 310,930 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Held-to-maturity Securities | 296,096 | 70,428 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Gain | 122 | 396 |
Held-to-maturity Securities, Accumulated Unrecognized Holding Loss | (6,572) | (63) |
Fair value | $ 289,646 | $ 70,761 |
Investment Securities - Summa_4
Investment Securities - Summary of Held-to-Maturity Securities, Unrealized Losses (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair Value, Less than 12 months | $ 473,193 | $ 73,007 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (10,071) | (260) |
Fair Value, 12 months or more | 45,353 | |
Held-to-maturity Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (1,864) | |
Total Fair Value | 518,546 | 73,007 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss | (11,935) | (260) |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair Value, Less than 12 months | 197,095 | 53,453 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (3,499) | (197) |
Fair Value, 12 months or more | 45,353 | |
Held-to-maturity Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss | (1,864) | |
Total Fair Value | 242,448 | 53,453 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss | (5,363) | (197) |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Schedule of Held-to-maturity Securities [Line Items] | ||
Fair Value, Less than 12 months | 276,098 | 19,554 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss | (6,572) | (63) |
Total Fair Value | 276,098 | 19,554 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Accumulated Loss | $ (6,572) | $ (63) |
Non-Marketable Securities - Nar
Non-Marketable Securities - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Schedule of Cost-method Investments [Line Items] | |||
Non-marketable securities | $ 50,740 | $ 22,073 | |
Purchase of non-marketable securities | 27,688 | 4,107 | $ 18,700 |
Other non-marketable securities | 36,200 | ||
Equity method investments | 16,200 | 5,600 | |
Convertible preferred stock without readily determinable fair values | 20,000 | ||
FRB stock | 13,900 | 13,900 | |
FHLB Stock | 700 | $ 2,600 | |
Finstro Global Holdings Inc | |||
Schedule of Cost-method Investments [Line Items] | |||
Purchase of non-marketable securities | 20,000 | ||
Figure Technologies | |||
Schedule of Cost-method Investments [Line Items] | |||
Purchase of non-marketable securities | $ 2,000 |
Loans - Loan Portfolio Composit
Loans - Loan Portfolio Composition Including Carrying Value by Segment of Loans Accounted for under ASC Topic 310-30 (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Loans [Line Items] | ||
Fees and cost related to loans | $ 9,400 | $ 16,200 |
Total Loans | $ 4,513,383 | $ 4,353,726 |
% of Total | 100.00% | 100.00% |
Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 3,162,417 | $ 3,044,065 |
% of Total | 70.10% | 70.00% |
Commercial Portfolio Segment [Member] | Paycheck Protection Program Loans [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 21,700 | $ 176,100 |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 664,729 | $ 631,996 |
% of Total | 14.70% | 14.50% |
Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 668,656 | $ 658,659 |
% of Total | 14.80% | 15.10% |
Consumer Loan [Member] | ||
Loans [Line Items] | ||
Total Loans | $ 17,581 | $ 19,006 |
% of Total | 0.40% | 0.40% |
Loans - Loan Delinquency (Detai
Loans - Loan Delinquency (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Loans [Line Items] | ||
Non- accrual loans | $ 10,832 | $ 20,387 |
Total past due and non-accrual | 12,939 | 21,517 |
Total loans | 4,513,383 | 4,353,726 |
Non-accrual loans with a related allowance | 9,855 | 13,884 |
Non-accrual loans with no related allowance | 977 | 6,503 |
Interest income recognized non-accrual | 0 | 0 |
Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 6,079 | 12,184 |
Total past due and non-accrual | 7,058 | 12,500 |
Total loans | 3,162,417 | 3,044,065 |
Non-accrual loans with a related allowance | 6,079 | 8,866 |
Non-accrual loans with no related allowance | 3,318 | |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 1,490 | 6,312 |
Total past due and non-accrual | 1,971 | 6,482 |
Total loans | 1,496,147 | 1,446,738 |
Non-accrual loans with a related allowance | 1,490 | 6,080 |
Non-accrual loans with no related allowance | 232 | |
Commercial Portfolio Segment [Member] | Municipal [Member] | ||
Loans [Line Items] | ||
Total past due and non-accrual | 202 | |
Total loans | 929,045 | 870,791 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 4,525 | 5,450 |
Total past due and non-accrual | 4,732 | 5,450 |
Total loans | 533,636 | 516,239 |
Non-accrual loans with a related allowance | 4,525 | 2,698 |
Non-accrual loans with no related allowance | 2,752 | |
Commercial Portfolio Segment [Member] | Agriculture [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 64 | 422 |
Total past due and non-accrual | 153 | 568 |
Total loans | 203,589 | 210,297 |
Non-accrual loans with a related allowance | 64 | 88 |
Non-accrual loans with no related allowance | 334 | |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 121 | 1,664 |
Total past due and non-accrual | 432 | 1,664 |
Total loans | 664,729 | 631,996 |
Non-accrual loans with a related allowance | 121 | 141 |
Non-accrual loans with no related allowance | 1,523 | |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Loans [Line Items] | ||
Total loans | 86,126 | 91,125 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 6 | |
Total past due and non-accrual | 6 | |
Total loans | 9,609 | 24,671 |
Non-accrual loans with a related allowance | 6 | |
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 1,523 | |
Total past due and non-accrual | 1,523 | |
Total loans | 92,174 | 68,756 |
Non-accrual loans with no related allowance | 1,523 | |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 121 | 135 |
Total past due and non-accrual | 432 | 135 |
Total loans | 476,820 | 447,444 |
Non-accrual loans with a related allowance | 121 | 135 |
Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 4,625 | 6,529 |
Total past due and non-accrual | 5,401 | 7,311 |
Total loans | 668,656 | 658,659 |
Non-accrual loans with a related allowance | 3,648 | 4,867 |
Non-accrual loans with no related allowance | 977 | 1,662 |
Residential Portfolio Segment [Member] | Sr lien [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 4,251 | 5,820 |
Total past due and non-accrual | 4,848 | 6,507 |
Total loans | 614,628 | 584,271 |
Non-accrual loans with a related allowance | 3,274 | 4,158 |
Non-accrual loans with no related allowance | 977 | 1,662 |
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 374 | 709 |
Total past due and non-accrual | 553 | 804 |
Total loans | 54,028 | 74,388 |
Non-accrual loans with a related allowance | 374 | 709 |
Consumer Loan [Member] | ||
Loans [Line Items] | ||
Non- accrual loans | 7 | 10 |
Total past due and non-accrual | 48 | 42 |
Total loans | 17,581 | 19,006 |
Non-accrual loans with a related allowance | 7 | 10 |
30-89 Days Past Due | ||
Loans [Line Items] | ||
Total loans | 1,687 | 968 |
30-89 Days Past Due | Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total loans | 979 | 316 |
30-89 Days Past Due | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Loans [Line Items] | ||
Total loans | 481 | 170 |
30-89 Days Past Due | Commercial Portfolio Segment [Member] | Municipal [Member] | ||
Loans [Line Items] | ||
Total loans | 202 | |
30-89 Days Past Due | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Total loans | 207 | |
30-89 Days Past Due | Commercial Portfolio Segment [Member] | Agriculture [Member] | ||
Loans [Line Items] | ||
Total loans | 89 | 146 |
30-89 Days Past Due | Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total loans | 94 | |
30-89 Days Past Due | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Total loans | 94 | |
30-89 Days Past Due | Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total loans | 578 | 622 |
30-89 Days Past Due | Residential Portfolio Segment [Member] | Sr lien [Member] | ||
Loans [Line Items] | ||
Total loans | 399 | 527 |
30-89 Days Past Due | Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | ||
Loans [Line Items] | ||
Total loans | 179 | 95 |
30-89 Days Past Due | Consumer Loan [Member] | ||
Loans [Line Items] | ||
Total loans | 36 | 30 |
Greater than 90 Days Past Due | ||
Loans [Line Items] | ||
Total loans | 420 | 162 |
Greater than 90 Days Past Due | Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total loans | 217 | |
Greater than 90 Days Past Due | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Total loans | 217 | |
Greater than 90 Days Past Due | Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total loans | 198 | 160 |
Greater than 90 Days Past Due | Residential Portfolio Segment [Member] | Sr lien [Member] | ||
Loans [Line Items] | ||
Total loans | 198 | 160 |
Greater than 90 Days Past Due | Consumer Loan [Member] | ||
Loans [Line Items] | ||
Total loans | 5 | 2 |
Current | ||
Loans [Line Items] | ||
Total loans | 4,500,444 | 4,332,209 |
Current | Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total loans | 3,155,359 | 3,031,565 |
Current | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Loans [Line Items] | ||
Total loans | 1,494,176 | 1,440,256 |
Current | Commercial Portfolio Segment [Member] | Municipal [Member] | ||
Loans [Line Items] | ||
Total loans | 928,843 | 870,791 |
Current | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Total loans | 528,904 | 510,789 |
Current | Commercial Portfolio Segment [Member] | Agriculture [Member] | ||
Loans [Line Items] | ||
Total loans | 203,436 | 209,729 |
Current | Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total loans | 664,297 | 630,332 |
Current | Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Loans [Line Items] | ||
Total loans | 86,126 | 91,125 |
Current | Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | ||
Loans [Line Items] | ||
Total loans | 9,609 | 24,665 |
Current | Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | ||
Loans [Line Items] | ||
Total loans | 92,174 | 67,233 |
Current | Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | ||
Loans [Line Items] | ||
Total loans | 476,388 | 447,309 |
Current | Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Total loans | 663,255 | 651,348 |
Current | Residential Portfolio Segment [Member] | Sr lien [Member] | ||
Loans [Line Items] | ||
Total loans | 609,780 | 577,764 |
Current | Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | ||
Loans [Line Items] | ||
Total loans | 53,475 | 73,584 |
Current | Consumer Loan [Member] | ||
Loans [Line Items] | ||
Total loans | $ 17,533 | $ 18,964 |
Loans - Carrying Value of Loan
Loans - Carrying Value of Loan Portfolio by Segment and Credit Quality Indicator (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | $ 1,130,261 | $ 878,686 |
2020/2019 | 566,616 | 676,480 |
2019/2018 | 525,806 | 535,198 |
2018/2017 | 376,979 | 502,672 |
2017/2016 | 415,667 | 334,510 |
Prior | 774,367 | 718,424 |
Revolving Loans Amortized Cost Basis | 714,893 | 702,050 |
Revolving Loans Converted to Term | 8,794 | 5,706 |
Total loans | 4,513,383 | 4,353,726 |
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 793,526 | 634,536 |
2020/2019 | 358,103 | 428,473 |
2019/2018 | 321,809 | 442,905 |
2018/2017 | 309,895 | 328,709 |
2017/2016 | 282,062 | 190,831 |
Prior | 443,402 | 402,951 |
Revolving Loans Amortized Cost Basis | 645,683 | 613,065 |
Revolving Loans Converted to Term | 7,937 | 2,595 |
Total loans | 3,162,417 | 3,044,065 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 424,813 | 372,064 |
2020/2019 | 156,864 | 215,071 |
2019/2018 | 148,509 | 198,093 |
2018/2017 | 132,246 | 111,008 |
2017/2016 | 82,510 | 21,011 |
Prior | 23,373 | 24,040 |
Revolving Loans Amortized Cost Basis | 521,607 | 502,982 |
Revolving Loans Converted to Term | 6,225 | 2,469 |
Total loans | 1,496,147 | 1,446,738 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 424,813 | 372,041 |
2020/2019 | 155,268 | 212,388 |
2019/2018 | 146,420 | 189,753 |
2018/2017 | 128,002 | 93,822 |
2017/2016 | 49,408 | 15,145 |
Prior | 18,529 | 17,662 |
Revolving Loans Amortized Cost Basis | 519,678 | 499,283 |
Revolving Loans Converted to Term | 5,975 | 991 |
Total loans | 1,448,093 | 1,401,085 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2020/2019 | 1,122 | 1,445 |
2019/2018 | 2,000 | 7,381 |
2018/2017 | 3,446 | 4,845 |
2017/2016 | 22,654 | 5,810 |
Prior | 4,440 | 729 |
Revolving Loans Amortized Cost Basis | 1,824 | 2,329 |
Revolving Loans Converted to Term | 250 | 1,478 |
Total loans | 35,736 | 24,017 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 23 | |
2020/2019 | 99 | 1,238 |
2019/2018 | 89 | 925 |
2018/2017 | 744 | 11,885 |
2017/2016 | 10,399 | 56 |
Prior | 303 | 4,840 |
Revolving Loans Amortized Cost Basis | 105 | 1,341 |
Total loans | 11,739 | 20,308 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | Doubtful [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2020/2019 | 375 | |
2019/2018 | 34 | |
2018/2017 | 54 | 456 |
2017/2016 | 49 | |
Prior | 101 | 809 |
Revolving Loans Amortized Cost Basis | 29 | |
Total loans | 579 | 1,328 |
Commercial Portfolio Segment [Member] | Municipal [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 234,827 | 131,961 |
2020/2019 | 93,310 | 91,911 |
2019/2018 | 69,509 | 125,247 |
2018/2017 | 81,175 | 156,275 |
2017/2016 | 147,115 | 124,269 |
Prior | 302,574 | 238,453 |
Revolving Loans Amortized Cost Basis | 535 | 2,675 |
Total loans | 929,045 | 870,791 |
Commercial Portfolio Segment [Member] | Municipal [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 234,827 | |
2020/2019 | 93,310 | |
2019/2018 | 69,509 | |
2018/2017 | 81,175 | |
2017/2016 | 147,115 | |
Prior | 302,574 | |
Revolving Loans Amortized Cost Basis | 535 | |
Total loans | 929,045 | |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 122,641 | 102,372 |
2020/2019 | 82,653 | 112,293 |
2019/2018 | 95,591 | 99,323 |
2018/2017 | 75,047 | 53,926 |
2017/2016 | 49,735 | 35,995 |
Prior | 92,615 | 110,929 |
Revolving Loans Amortized Cost Basis | 13,666 | 1,401 |
Revolving Loans Converted to Term | 1,688 | |
Total loans | 533,636 | 516,239 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 122,641 | 100,791 |
2020/2019 | 81,072 | 107,558 |
2019/2018 | 84,359 | 90,398 |
2018/2017 | 71,183 | 53,131 |
2017/2016 | 48,086 | 32,648 |
Prior | 77,100 | 87,758 |
Revolving Loans Amortized Cost Basis | 13,666 | 1,401 |
Revolving Loans Converted to Term | 1,688 | |
Total loans | 499,795 | 473,685 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 1,581 | |
2020/2019 | 2,236 | |
2019/2018 | 9,155 | 2,714 |
2018/2017 | 3,864 | 544 |
2017/2016 | 1,429 | 3,254 |
Prior | 13,443 | 19,341 |
Total loans | 27,891 | 29,670 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2020/2019 | 1,192 | 1,988 |
2019/2018 | 1,527 | 6,211 |
2018/2017 | 251 | |
2017/2016 | 220 | 93 |
Prior | 2,028 | 3,802 |
Total loans | 4,967 | 12,345 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | Doubtful [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2020/2019 | 389 | 511 |
2019/2018 | 550 | |
Prior | 44 | 28 |
Total loans | 983 | 539 |
Commercial Portfolio Segment [Member] | Agriculture [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 11,245 | 28,139 |
2020/2019 | 25,276 | 9,198 |
2019/2018 | 8,200 | 20,242 |
2018/2017 | 21,427 | 7,500 |
2017/2016 | 2,702 | 9,556 |
Prior | 24,840 | 29,529 |
Revolving Loans Amortized Cost Basis | 109,875 | 106,007 |
Revolving Loans Converted to Term | 24 | 126 |
Total loans | 203,589 | 210,297 |
Commercial Portfolio Segment [Member] | Agriculture [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 11,245 | 28,139 |
2020/2019 | 20,606 | 9,198 |
2019/2018 | 6,966 | 20,242 |
2018/2017 | 21,427 | 7,198 |
2017/2016 | 2,443 | 9,556 |
Prior | 24,047 | 28,330 |
Revolving Loans Amortized Cost Basis | 107,978 | 106,007 |
Revolving Loans Converted to Term | 24 | 126 |
Total loans | 194,736 | 208,796 |
Commercial Portfolio Segment [Member] | Agriculture [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2020/2019 | 4,670 | |
2019/2018 | 1,234 | |
Prior | 215 | 222 |
Revolving Loans Amortized Cost Basis | 1,897 | |
Total loans | 8,016 | 222 |
Commercial Portfolio Segment [Member] | Agriculture [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2018/2017 | 302 | |
2017/2016 | 259 | |
Prior | 578 | 977 |
Total loans | 837 | 1,279 |
Commercial Portfolio Segment [Member] | Multifamily [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 131,961 | |
2020/2019 | 91,911 | |
2019/2018 | 125,247 | |
2018/2017 | 156,275 | |
2017/2016 | 124,269 | |
Prior | 238,453 | |
Revolving Loans Amortized Cost Basis | 2,675 | |
Total loans | 870,791 | |
Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 103,436 | 101,248 |
2020/2019 | 102,015 | 163,008 |
2019/2018 | 160,645 | 51,415 |
2018/2017 | 42,545 | 122,403 |
2017/2016 | 102,539 | 53,159 |
Prior | 146,215 | 133,113 |
Revolving Loans Amortized Cost Basis | 7,334 | 5,200 |
Revolving Loans Converted to Term | 2,450 | |
Total loans | 664,729 | 631,996 |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 39,584 | 16,233 |
2020/2019 | 10,047 | 49,658 |
2019/2018 | 29,496 | 17,349 |
2018/2017 | 4,072 | |
2017/2016 | 222 | |
Revolving Loans Amortized Cost Basis | 6,777 | 2,006 |
Revolving Loans Converted to Term | 1,807 | |
Total loans | 86,126 | 91,125 |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 39,584 | 15,841 |
2020/2019 | 10,047 | 49,658 |
2019/2018 | 29,496 | 17,349 |
2018/2017 | 4,072 | |
2017/2016 | 222 | |
Revolving Loans Amortized Cost Basis | 6,777 | 2,006 |
Revolving Loans Converted to Term | 1,807 | |
Total loans | 86,126 | 90,733 |
Commercial Real Estate Portfolio Segment [Member] | Construction Loans [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 392 | |
Total loans | 392 | |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 1,691 | 3,762 |
2020/2019 | 385 | 1,997 |
2019/2018 | 766 | 1,947 |
2018/2017 | 1,830 | 8,407 |
2017/2016 | 30 | 4,559 |
Prior | 4,907 | 3,988 |
Revolving Loans Amortized Cost Basis | 11 | |
Total loans | 9,609 | 24,671 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 1,691 | 3,762 |
2020/2019 | 385 | 1,997 |
2019/2018 | 766 | 1,947 |
2018/2017 | 1,830 | 8,373 |
2017/2016 | 30 | 4,559 |
Prior | 4,907 | 3,694 |
Revolving Loans Amortized Cost Basis | 11 | |
Total loans | 9,609 | 24,343 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2018/2017 | 34 | |
Prior | 253 | |
Total loans | 287 | |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 41 | |
Total loans | 41 | |
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 3,101 | 29,738 |
2020/2019 | 32,619 | 13,670 |
2019/2018 | 2,184 | 137 |
2018/2017 | 15,977 | 212 |
2017/2016 | 193 | 18,050 |
Prior | 38,100 | 6,949 |
Total loans | 92,174 | 68,756 |
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 3,101 | 29,738 |
2020/2019 | 32,619 | 13,670 |
2019/2018 | 2,184 | 137 |
2018/2017 | 15,977 | 212 |
2017/2016 | 193 | 18,050 |
Prior | 37,713 | 4,990 |
Total loans | 91,787 | 66,797 |
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 387 | 436 |
Total loans | 387 | 436 |
Commercial Real Estate Portfolio Segment [Member] | Multifamily [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 1,523 | |
Total loans | 1,523 | |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 59,060 | 51,515 |
2020/2019 | 58,964 | 97,683 |
2019/2018 | 128,199 | 31,982 |
2018/2017 | 24,738 | 109,712 |
2017/2016 | 102,094 | 30,550 |
Prior | 103,208 | 122,176 |
Revolving Loans Amortized Cost Basis | 557 | 3,183 |
Revolving Loans Converted to Term | 643 | |
Total loans | 476,820 | 447,444 |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 59,060 | 51,445 |
2020/2019 | 58,964 | 92,225 |
2019/2018 | 122,452 | 25,362 |
2018/2017 | 18,425 | 86,975 |
2017/2016 | 92,349 | 26,613 |
Prior | 95,265 | 118,144 |
Revolving Loans Amortized Cost Basis | 557 | 3,083 |
Revolving Loans Converted to Term | 643 | |
Total loans | 447,072 | 404,490 |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 70 | |
2020/2019 | 5,458 | |
2019/2018 | 5,747 | 5,841 |
2018/2017 | 5,584 | 22,737 |
2017/2016 | 9,745 | |
Prior | 3,898 | 3,662 |
Revolving Loans Amortized Cost Basis | 100 | |
Total loans | 24,974 | 37,868 |
Commercial Real Estate Portfolio Segment [Member] | Non Owner-Occupied [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2019/2018 | 779 | |
2018/2017 | 729 | |
2017/2016 | 3,937 | |
Prior | 4,045 | 370 |
Total loans | 4,774 | 5,086 |
Residential Portfolio Segment [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 224,484 | 133,125 |
2020/2019 | 102,970 | 81,651 |
2019/2018 | 42,111 | 39,167 |
2018/2017 | 23,908 | 51,071 |
2017/2016 | 30,935 | 90,189 |
Prior | 184,187 | 181,729 |
Revolving Loans Amortized Cost Basis | 59,223 | 81,085 |
Revolving Loans Converted to Term | 838 | 642 |
Total loans | 668,656 | 658,659 |
Residential Portfolio Segment [Member] | Sr lien [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 223,164 | 129,646 |
2020/2019 | 100,801 | 77,322 |
2019/2018 | 39,380 | 36,513 |
2018/2017 | 22,207 | 49,119 |
2017/2016 | 29,853 | 88,908 |
Prior | 180,757 | 177,661 |
Revolving Loans Amortized Cost Basis | 18,278 | 24,884 |
Revolving Loans Converted to Term | 188 | 218 |
Total loans | 614,628 | 584,271 |
Residential Portfolio Segment [Member] | Sr lien [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 223,120 | 129,551 |
2020/2019 | 100,476 | 76,504 |
2019/2018 | 38,696 | 36,493 |
2018/2017 | 21,889 | 47,887 |
2017/2016 | 29,554 | 88,358 |
Prior | 177,051 | 173,091 |
Revolving Loans Amortized Cost Basis | 18,278 | 24,884 |
Revolving Loans Converted to Term | 188 | 218 |
Total loans | 609,252 | 576,986 |
Residential Portfolio Segment [Member] | Sr lien [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 290 | 463 |
Total loans | 290 | 463 |
Residential Portfolio Segment [Member] | Sr lien [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 44 | 95 |
2020/2019 | 325 | 818 |
2019/2018 | 684 | 20 |
2018/2017 | 318 | 1,232 |
2017/2016 | 299 | 550 |
Prior | 3,416 | 4,107 |
Total loans | 5,086 | 6,822 |
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 1,320 | 3,479 |
2020/2019 | 2,169 | 4,329 |
2019/2018 | 2,731 | 2,654 |
2018/2017 | 1,701 | 1,952 |
2017/2016 | 1,082 | 1,281 |
Prior | 3,430 | 4,068 |
Revolving Loans Amortized Cost Basis | 40,945 | 56,201 |
Revolving Loans Converted to Term | 650 | 424 |
Total loans | 54,028 | 74,388 |
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 1,320 | 3,479 |
2020/2019 | 2,150 | 4,217 |
2019/2018 | 2,731 | 2,553 |
2018/2017 | 1,639 | 1,775 |
2017/2016 | 951 | 1,226 |
Prior | 3,209 | 3,760 |
Revolving Loans Amortized Cost Basis | 40,921 | 55,860 |
Revolving Loans Converted to Term | 328 | 365 |
Total loans | 53,249 | 73,235 |
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | Special Mention [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
Prior | 21 | |
Revolving Loans Amortized Cost Basis | 24 | 341 |
Revolving Loans Converted to Term | 322 | |
Total loans | 346 | 362 |
Residential Portfolio Segment [Member] | Jr Lien 1-4 Family Closed End [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2020/2019 | 19 | 112 |
2019/2018 | 101 | |
2018/2017 | 62 | 177 |
2017/2016 | 131 | 55 |
Prior | 221 | 287 |
Revolving Loans Converted to Term | 59 | |
Total loans | 433 | 791 |
Consumer Loan [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 8,815 | 9,777 |
2020/2019 | 3,528 | 3,348 |
2019/2018 | 1,241 | 1,711 |
2018/2017 | 631 | 489 |
2017/2016 | 131 | 331 |
Prior | 563 | 631 |
Revolving Loans Amortized Cost Basis | 2,653 | 2,700 |
Revolving Loans Converted to Term | 19 | 19 |
Total loans | 17,581 | 19,006 |
Consumer Loan [Member] | Pass [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2021/2020 | 8,815 | 9,777 |
2020/2019 | 3,528 | 3,348 |
2019/2018 | 1,241 | 1,674 |
2018/2017 | 631 | 489 |
2017/2016 | 131 | 329 |
Prior | 557 | 623 |
Revolving Loans Amortized Cost Basis | 2,653 | 2,700 |
Revolving Loans Converted to Term | 19 | 19 |
Total loans | 17,575 | 18,959 |
Consumer Loan [Member] | Substandard [Member] | ||
Financing Receivable, Credit Quality Indicator [Line Items] | ||
2019/2018 | 37 | |
2017/2016 | 2 | |
Prior | 6 | 8 |
Total loans | $ 6 | $ 47 |
Loans - Collateral Dependent Lo
Loans - Collateral Dependent Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | $ 11,010 | $ 20,020 |
Management evaluated loan with amortized cost basis | 250 | |
Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 8,798 | 14,903 |
Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 4,531 | 10,584 |
Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 4,267 | 3,985 |
Commercial Portfolio Segment [Member] | Agriculture [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 334 | |
Commercial Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 3,096 | |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,573 | |
Commercial Real Estate Portfolio Segment [Member] | Commercial Multifamily [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,523 | |
Residential Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 2,212 | 2,021 |
Residential Portfolio Segment [Member] | Sr lien [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 2,212 | 2,021 |
Real Estate [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 9,494 | 16,731 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 7,282 | 11,614 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 3,270 | 7,579 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 4,012 | 3,701 |
Real Estate [Member] | Commercial Portfolio Segment [Member] | Agriculture [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 334 | |
Real Estate [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 3,096 | |
Real Estate [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition/Development [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,573 | |
Real Estate [Member] | Commercial Real Estate Portfolio Segment [Member] | Commercial Multifamily [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,523 | |
Real Estate [Member] | Residential Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 2,212 | 2,021 |
Real Estate [Member] | Residential Portfolio Segment [Member] | Sr lien [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 2,212 | 2,021 |
Equipment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,516 | 3,289 |
Equipment [Member] | Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,516 | 3,289 |
Equipment [Member] | Commercial Portfolio Segment [Member] | Commercial and Industrial [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | 1,261 | 3,005 |
Equipment [Member] | Commercial Portfolio Segment [Member] | Owner-Occupied [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Amortized Cost Basis | $ 255 | $ 284 |
Loans - Troubled Debt Restructu
Loans - Troubled Debt Restructuring and Loans Accounted for Under ASC Topic 310-30 Narratives (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021USD ($)loanitem | Dec. 31, 2020USD ($)loanitem | |
Debt Instrument [Line Items] | ||
Loans receivable | $ 4,463,689 | $ 4,293,949 |
Non- accrual loans | $ 10,832 | $ 20,387 |
TDR's modified within the past year that defaulted on their restructured terms | loan | 0 | 3 |
Financing Receivable, Modifications, Subsequent Default, Recorded Investment | $ 3,400 | |
COVID-19 | ||
Debt Instrument [Line Items] | ||
Number of restructured loans not identified as TDRs | item | 19 | 510 |
Loans modified and not identified as TDRs | $ 9,900 | $ 519,000 |
Loans with a second modification and not identified as TDRS | 206 | |
Loans receivable | $ 5,300 | $ 173,600 |
Total loan population (as percentage) | 0.10% | 4.00% |
Number of loans modified classified as non-accrual | loan | 1 | |
Non- accrual loans | $ 206 | |
Percentage of subsequent modification | 26.20% | |
Troubled Debt Restructurings [Member] | ||
Debt Instrument [Line Items] | ||
Number of restructured loans | loan | 4 | |
Amortized cost basis of restructured loans | $ 1,100 |
Loans - Additional Information
Loans - Additional Information Related to Accruing TDR's (Details) - Accruing TDR [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Loans [Line Items] | ||
Recorded Investment | $ 7,186 | $ 13,945 |
Average year-to- date recorded investment | 7,707 | 14,117 |
Unpaid principal balance | 8,090 | 17,042 |
Unfunded commitments to fund TDRs | 162 | |
Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Recorded Investment | 4,066 | 9,387 |
Average year-to- date recorded investment | 4,472 | 9,544 |
Unpaid principal balance | 4,417 | 9,978 |
Unfunded commitments to fund TDRs | 150 | |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Recorded Investment | 725 | 2,400 |
Average year-to- date recorded investment | 767 | 2,351 |
Unpaid principal balance | 892 | 4,105 |
Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Recorded Investment | 2,395 | 2,121 |
Average year-to- date recorded investment | 2,468 | 2,185 |
Unpaid principal balance | $ 2,781 | 2,922 |
Unfunded commitments to fund TDRs | 12 | |
Consumer Loan [Member] | ||
Loans [Line Items] | ||
Recorded Investment | 37 | |
Average year-to- date recorded investment | 37 | |
Unpaid principal balance | $ 37 |
Loans - Summary of Company's Ca
Loans - Summary of Company's Carrying Value of Non-Accrual TDR's (Details) - Non-Accruing TDR [Member] - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Loans [Line Items] | ||
Carrying Value of Non - Accruing TDR's | $ 2,366 | $ 8,197 |
Commercial Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Carrying Value of Non - Accruing TDR's | 644 | 3,397 |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Carrying Value of Non - Accruing TDR's | 117 | 1,644 |
Residential Portfolio Segment [Member] | ||
Loans [Line Items] | ||
Carrying Value of Non - Accruing TDR's | $ 1,605 | $ 3,156 |
Allowance for Credit Losses - S
Allowance for Credit Losses - Summary of Company's Allowance for Loan Losses ("All") and Recorded Investment in Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | $ 59,777 | $ 39,064 |
Charge-offs | (1,816) | (3,228) |
Recoveries | 552 | 571 |
Provision expense (release) for loan losses | (8,819) | 17,534 |
Ending balance | 49,694 | 59,777 |
Cumulative Effect, Period of Adoption, Adjustment [Member] | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 5,836 | |
Ending balance | 5,836 | |
Commercial Portfolio Segment [Member] | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 30,376 | 30,442 |
Charge-offs | (1,171) | (2,023) |
Recoveries | 371 | 394 |
Provision expense (release) for loan losses | 1,680 | 2,862 |
Ending balance | 31,256 | 30,376 |
Commercial Portfolio Segment [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | (1,299) | |
Ending balance | (1,299) | |
Residential Portfolio Segment [Member] | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 11,492 | 3,468 |
Charge-offs | (24) | (67) |
Recoveries | 48 | 32 |
Provision expense (release) for loan losses | (3,460) | 2,745 |
Ending balance | 8,056 | 11,492 |
Residential Portfolio Segment [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 5,314 | |
Ending balance | 5,314 | |
Consumer Loan [Member] | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 461 | 304 |
Charge-offs | (621) | (726) |
Recoveries | 126 | 145 |
Provision expense (release) for loan losses | 383 | 583 |
Ending balance | 349 | 461 |
Consumer Loan [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 155 | |
Ending balance | 155 | |
Non Owner-Occupied [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | 17,448 | 4,850 |
Charge-offs | (412) | |
Recoveries | 7 | |
Provision expense (release) for loan losses | (7,422) | 11,344 |
Ending balance | 10,033 | 17,448 |
Non Owner-Occupied [Member] | Commercial Real Estate Portfolio Segment [Member] | Cumulative Effect, Period of Adoption, Adjustment [Member] | ||
Allowance for Loan and Lease Losses [Roll Forward] | ||
Beginning balance | $ 1,666 | |
Ending balance | $ 1,666 |
Allowance for Credit Losses - N
Allowance for Credit Losses - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Allowance For Loan And Lease Losses [Line Items] | |||
Charge-offs, net | $ 1,300 | $ 2,700 | |
Provision (release) expense | (8,819) | 17,534 | |
Provision (release) expense for loan losses | (9,293) | 17,630 | $ 11,643 |
Accrued interest receivable | 15,700 | 16,700 | |
Unfunded loan commitment reserves [Member] | |||
Allowance For Loan And Lease Losses [Line Items] | |||
Provision (release) expense | $ (500) | $ 100 |
Leases - ASC Topic 842 (Details
Leases - ASC Topic 842 (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Leases | ||
Lease right-of-use | $ 19,700 | $ 25,400 |
Operating Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | Other Assets | Other Assets |
Lease liabilities | $ 20,253 | $ 26,000 |
Operating Lease, Liability, Statement of Financial Position [Extensible List] | Other Liabilities | Other Liabilities |
Weighted-average remaining lease term (in years) | 4 years 8 months 12 days | 5 years 4 months 24 days |
Weighted-average discount rate (in percent) | 3.25% | 3.36% |
Rent expense | $ 5,100 | $ 5,700 |
Remaining undiscounted cash flows | ||
2022 | 4,511 | |
2023 | 4,171 | |
2024 | 3,741 | |
2025 | 2,985 | |
2026 | 1,967 | |
Thereafter | 10,174 | |
Total lease payments | 27,549 | |
Less: Imputed interest | (7,296) | |
Present value of operating lease liabilities | $ 20,253 | $ 26,000 |
Maximum [Member] | ||
Leases | ||
Term of lease (in years) | 10 years | |
Minimum [Member] | ||
Leases | ||
Term of lease (in years) | 1 year |
Premises and Equipment - Schedu
Premises and Equipment - Schedule of Premises and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Property, Plant and Equipment [Line Items] | ||
Total premises and equipment, at cost | $ 180,310 | $ 185,817 |
Less: accumulated depreciation and amortization | (83,563) | (78,835) |
Property, Plant and Equipment, Net, Total | 96,747 | 106,982 |
Land [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total premises and equipment, at cost | 30,556 | 33,149 |
Building Improvements [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total premises and equipment, at cost | 86,201 | 92,463 |
Equipment [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Total premises and equipment, at cost | $ 63,553 | $ 60,205 |
Premises and Equipment - Narrat
Premises and Equipment - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($)item | Dec. 31, 2019USD ($) | |
Premises and Equipment | |||
Depreciation expense | $ 7,300 | $ 8,100 | $ 8,200 |
Disposal of premises and equipment | 13,700 | 3,600 | $ 0 |
Gain on sale of fixed assets | 3,768 | 300 | |
Impairment on fixed assets related to banking center consolidations | 1,600 | $ 1,600 | |
Number of banking centers classified as held-for-sale | item | 12 | ||
Banking center classified as held-for-sale | $ 6,000 | $ 8,000 |
Other Real Estate Owned - Summa
Other Real Estate Owned - Summary of Activity in OREO Balances (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Other Real Estate [Roll Forward] | |||
Beginning balance | $ 7,005 | $ 4,730 | $ 7,300 |
Transfers from loan portfolio, at fair value | 4,516 | 1,533 | $ 2,705 |
Impairments | (799) | (470) | |
Sales | (1,442) | (3,633) | |
Ending balance | $ 4,730 | $ 7,300 |
Other Real Estate Owned - Narra
Other Real Estate Owned - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Other Real Estate Owned | |||
OREO Sold | $ 1,400 | $ 3,600 | |
Gain (loss) on OREO sales, net | $ 475 | $ 38 | $ 7,193 |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Narrative (Details) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | |
Goodwill and Intangible Assets | |||
Goodwill acquired | $ 115,027 | $ 115,027 | |
Goodwill Impairment | 0 | 0 | |
Amortization of acquired identifiable intangibles | 1,183 | 1,183 | $ 1,183 |
Mortgage loans serviced | 700,000 | 1,400,000 | |
Mortgage service fees | 3,500 | 1,700 | |
Core Deposits | |||
Goodwill and Intangible Assets | |||
Amortization of acquired identifiable intangibles | $ 1,200 | 1,200 | $ 1,200 |
Core Deposits | Minimum [Member] | |||
Goodwill and Intangible Assets | |||
Amortization period | 7 years | ||
Core Deposits | Maximum [Member] | |||
Goodwill and Intangible Assets | |||
Amortization period | 10 years | ||
MSRs | |||
Goodwill and Intangible Assets | |||
Amortization of acquired identifiable intangibles | $ 2,545 | $ 1,853 | |
MSRs | Measurement Input, Discount Rate [Member] | Minimum [Member] | |||
Goodwill and Intangible Assets | |||
Servicing assets measurement input (as a percent) | 0.095 | 0.095 | |
MSRs | Measurement Input, Discount Rate [Member] | Maximum [Member] | |||
Goodwill and Intangible Assets | |||
Servicing assets measurement input (as a percent) | 0.100 | 0.105 | |
MSRs | Measurement Input, Constant Prepayment Rate [Member] | Minimum [Member] | |||
Goodwill and Intangible Assets | |||
Servicing assets measurement input (as a percent) | 0.093 | 0.154 | |
MSRs | Measurement Input, Constant Prepayment Rate [Member] | Maximum [Member] | |||
Goodwill and Intangible Assets | |||
Servicing assets measurement input (as a percent) | 0.145 | 0.213 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Carrying Amounts (Details) - Core Deposits - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Carrying amount of intangible assets | ||
Gross carrying amount | $ 48,834 | $ 48,834 |
Accumulated amortization | (42,469) | (41,286) |
Net carrying amount | $ 6,365 | $ 7,548 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Summary of Estimated Future Amortization Expense (Details) $ in Thousands | Dec. 31, 2021USD ($) |
Core Deposits | |
Estimated future amortization expense | |
For the years ending December 31, 2022 | $ 1,127 |
For the years ending December 31, 2023 | 1,048 |
For the years ending December 31, 2024 | 1,048 |
For the years ending December 31, 2025 | 1,048 |
For the years ending December 31, 2026 | 1,048 |
MSRs | |
Estimated future amortization expense | |
For the years ending December 31, 2022 | 813 |
For the years ending December 31, 2023 | 702 |
For the years ending December 31, 2024 | 606 |
For the years ending December 31, 2025 | 524 |
For the years ending December 31, 2026 | $ 453 |
Goodwill and Intangible Asset_5
Goodwill and Intangible Assets - Changes in Servicing Rights (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Changes in the mortgage servicing rights | |||
Amortization | $ (1,183) | $ (1,183) | $ (1,183) |
Sale of Mortgage Servicing Rights | |||
Gain on sale of mortgage servicing rights | 1,290 | ||
MSRs | |||
Changes in the mortgage servicing rights | |||
Beginning balance | 10,380 | 2,630 | |
Originations | 7,881 | 10,354 | |
Sales | (10,499) | ||
Recovery (impairment) | 740 | (751) | |
Amortization | (2,545) | (1,853) | |
Ending balance | 5,957 | 10,380 | $ 2,630 |
Fair value of mortgage servicing rights | 7,729 | $ 11,542 | |
Sale of Mortgage Servicing Rights | |||
Unpaid principal balances from mortgage servicing rights portfolio | 1,300,000 | ||
Decrease in mortgage servicing right intangible | 10,500 | ||
Gain on sale of mortgage servicing rights | $ 1,300 |
Deposits - Narrative (Details)
Deposits - Narrative (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deposits | ||
Total Deposits | $ 6,228,173 | $ 5,676,232 |
Time deposits | 833,916 | $ 986,132 |
Minimum reserve required | $ 0 |
Deposits - Summary of Time Depo
Deposits - Summary of Time Deposits Based Upon Contractual Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deposits | ||
2022 | $ 555,361 | |
2023 | 197,026 | |
2024 | 50,617 | |
2025 | 27,882 | |
2026 | 2,445 | |
Thereafter | 585 | |
Time Deposits, Total | $ 833,916 | $ 986,132 |
Deposits - Schedule of Interest
Deposits - Schedule of Interest Expense on Deposits (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Deposits | |||
Interest bearing demand deposits | $ 1,088 | $ 1,921 | $ 1,514 |
Money market accounts | 3,995 | 5,342 | 9,046 |
Savings accounts | 1,157 | 1,342 | 2,717 |
Time deposits | 7,362 | 15,024 | 16,526 |
Interest expense | $ 13,602 | $ 23,629 | $ 29,803 |
Borrowings - Narrative (Details
Borrowings - Narrative (Details) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Assets Sold under Agreements to Repurchase [Line Items] | ||||
Amount of repurchase agreements | $ 22,800,000 | $ 22,800,000 | $ 22,900,000 | $ 56,900,000 |
Fair value of collateral | 0 | 0 | 0 | |
Fair value of Collateral pledged for repurchase agreement | 6,100,000 | 6,100,000 | 2,100,000 | 7,000,000 |
Remaining balance on the note | 39,478,000 | 39,478,000 | ||
Federal home loan bank, advances, general debt obligations, maximum amount available | 900,000,000 | 900,000,000 | ||
Loans pledged | 1,300,000,000 | 1,300,000,000 | 1,200,000,000 | 1,500,000,000 |
Interest expense related to FHLB advances | 0 | 1,300,000 | 6,300,000 | |
Line of credit [Member] | ||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||
FHLB advances | $ 0 | $ 0 | 0 | 192,700,000 |
Term financing [Member] | ||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Due Date, Earliest | 2020 | 2020 | ||
Federal Home Loan Bank, Advances, Branch of FHLB Bank, Due Date, Last | 2021 | 2021 | ||
FHLB advances | 15,000,000 | |||
Term financing [Member] | Minimum [Member] | ||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||
Interest rate range of FHLB advances | 1.55% | 1.55% | ||
Term financing [Member] | Maximum [Member] | ||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||
Interest rate range of FHLB advances | 2.33% | 2.33% | ||
Subordinated Debt [Member] | Fixed-To-Floating Rate Note, Maturing November 2031 [Member] | ||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||
Subordinated note | $ 40,000,000 | $ 40,000,000 | ||
Remaining balance on the note | 39,500,000 | 39,500,000 | ||
Debt issuance costs | $ 500,000 | 500,000 | ||
Interest rate (as a percent) | 3.00% | |||
Variable rate basis (as a percent) | 2.03% | |||
Redemption price as a percent of principal | 100.00% | |||
Subordinated Debt [Member] | Fixed-To-Floating Rate Note, Maturing November 2031 [Member] | Other Liabilities [Member] | ||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||
Interest expense | 183,300 | |||
Federal Home Loan Bank of Des Moines [Member] | ||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||
Fair value of collateral | $ 0 | 0 | 0 | 17,600,000 |
Maturity on Demand [Member] | ||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||
Amount of repurchase agreements | 0 | 0 | 0 | 0 |
U.S. Treasury Securities [Member] | ||||
Assets Sold under Agreements to Repurchase [Line Items] | ||||
Fair value of collateral | $ 28,800,000 | $ 28,800,000 | $ 27,700,000 | $ 65,600,000 |
Borrowings - Schedule of Select
Borrowings - Schedule of Selected Information Regarding Repurchase Agreements (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Deposits | |||
Maximum amount of outstanding agreements at any month end during the period | $ 23,574 | $ 54,489 | $ 68,600 |
Average amount outstanding during the period | $ 20,338 | $ 30,355 | $ 60,445 |
Weighted average interest rate for the period | 0.11% | 0.45% | 1.11% |
Regulatory Capital - Capital Ra
Regulatory Capital - Capital Ratio Requirements under Prompt Corrective Action or Other Regulatory Requirements (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021USD ($) | Dec. 31, 2020USD ($) | |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Capital conservation buffer | 2.50% | 2.50% |
Consolidated [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Leverage Ratio | 10.4 | 10.7 |
Common equity risk-based ratio | 14.3 | 14.7 |
Risk-based capital Ratio | 14.3 | 14.7 |
Total risk-based capital Ratio | 15.9 | 15.8 |
Leverage Amount | $ 731,087 | $ 696,311 |
Common equity risk-based amount | 731,087 | 696,311 |
Risk-based capital amount | 731,087 | 696,311 |
Total risk-based capital Amount | $ 816,117 | $ 749,899 |
Required to be considered adequately capitalized Ratio, leverage ratio | 4 | 4 |
Required to be considered adequately capitalized Ratio, risk-based common equity capital ratio | 7.00% | 7.00% |
Required to be considered adequately capitalized Ratio, risk-based capital ratio | 8.5 | 8.5 |
Required to be considered adequately capitalized Ratio, Total risk-based capital ratio | 10.5 | 10.5 |
Required to be considered adequately capitalized leverage Amount | $ 281,463 | $ 260,370 |
Required to be considered adequately capitalized common equity capital amount | 358,813 | 331,632 |
Required to be considered adequately capitalized risk-based capital Amount | 435,701 | 402,696 |
Required to be considered adequately capitalized Total risk-based capital Amount | $ 538,219 | $ 497,448 |
NBH Bank, N.A. [Member] | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Leverage Ratio | 9.1 | 9.2 |
Common equity risk-based ratio | 12.5 | 12.7 |
Risk-based capital Ratio | 12.5 | 12.7 |
Total risk-based capital Ratio | 13.4 | 13.8 |
Leverage Amount | $ 637,115 | $ 600,622 |
Common equity risk-based amount | 637,115 | 600,622 |
Risk-based capital amount | 637,115 | 600,622 |
Total risk-based capital Amount | $ 682,145 | $ 654,209 |
Required to be considered well capitalized Ratio, leverage ratio | 5 | 5 |
Required to be considered adequately capitalized Ratio, risk-based common equity capital ratio | 6.50% | 6.50% |
Required to be considered well capitalized Ratio, risk-based capital ratio | 8 | 8 |
Required to be considered well capitalized Ratio, Total risk-based capital ratio | 10 | 0.100 |
Required to be considered well capitalized leverage Amount | $ 350,584 | $ 325,447 |
Required to be considered well capitalized common equity capital amount | 331,427 | 307,631 |
Required to be considered well capitalized risk-based capital Amount | 407,910 | 378,623 |
Required to be considered well capitalized Total risk-based capital Amount | $ 509,888 | $ 473,279 |
Required to be considered adequately capitalized Ratio, leverage ratio | 4 | 4 |
Required to be considered adequately capitalized Ratio, risk-based common equity capital ratio | 7.00% | 7.00% |
Required to be considered adequately capitalized Ratio, risk-based capital ratio | 8.5 | 8.5 |
Required to be considered adequately capitalized Ratio, Total risk-based capital ratio | 10.5 | 10.5 |
Required to be considered adequately capitalized leverage Amount | $ 280,467 | $ 260,358 |
Required to be considered adequately capitalized common equity capital amount | 356,921 | 331,295 |
Required to be considered adequately capitalized risk-based capital Amount | 433,404 | 402,287 |
Required to be considered adequately capitalized Total risk-based capital Amount | $ 535,382 | $ 496,943 |
Revenue from Contracts with C_3
Revenue from Contracts with Clients - Non-interest income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Revenue from Contracts with Clients | |||
Gain (loss) on OREO sales, net | $ 475 | $ 38 | $ 7,193 |
Service charges | |||
Revenue from Contracts with Clients | |||
Non-interest income | 14,894 | 14,962 | 17,895 |
Bank card fees | |||
Revenue from Contracts with Clients | |||
Non-interest income | 17,693 | 15,446 | 14,595 |
ASU 2014-09 | |||
Revenue from Contracts with Clients | |||
Non-interest income | 105,734 | 140,258 | 82,752 |
ASU 2014-09 | In-scope of Topic 606 | |||
Revenue from Contracts with Clients | |||
Non-interest income | 35,759 | 32,359 | 34,315 |
Gain (loss) on OREO sales, net | (475) | (38) | (7,193) |
Total Revenue | 36,234 | 32,397 | 41,508 |
ASU 2014-09 | In-scope of Topic 606 | Service charges | |||
Revenue from Contracts with Clients | |||
Non-interest income | 18,066 | 16,913 | 19,720 |
ASU 2014-09 | In-scope of Topic 606 | Bank card fees | |||
Revenue from Contracts with Clients | |||
Non-interest income | 17,693 | 15,446 | 14,595 |
ASU 2014-09 | Out-of-scope of Topic 606 | |||
Revenue from Contracts with Clients | |||
Non-interest income | $ 69,975 | $ 107,899 | $ 48,437 |
Stock-based Compensation and _3
Stock-based Compensation and Benefits - Narrative (Details) - USD ($) | 12 Months Ended | 96 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2021 | |
NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Number of shares authorized | 4,048,761 | 4,048,761 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Reduction in Number of Shares for Every One Option or Stock Appreciation Right Granted | 1 | |||
Share-based Compensation Arrangement by Share-based Payment Award, Reduction in Number of Shares for Every One Award Other Than An Option or Stock Appreciation Right Granted | 3.25 | |||
Stock options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | $ 900,000 | $ 1,000,000 | $ 700,000 | |
Unrecognized compensation expense | $ 400,000 | $ 400,000 | ||
Unrecognized compensation cost, weighted-average period, years | 2 years | |||
Stock options [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Award Vesting Rights, Percentage | 33.33% | |||
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | $ 2,700,000 | $ 2,500,000 | 2,200,000 | |
Awards granted (in shares) | 89,351 | 127,400 | ||
Restricted Stock [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized compensation expense | $ 2,300,000 | $ 2,300,000 | ||
Unrecognized compensation cost, weighted-average period, years | 2 years | |||
Performance stock units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock based compensation expense | $ 2,000,000 | $ 1,800,000 | $ 2,000,000 | |
Awards granted (in shares) | 52,526 | 68,498 | ||
Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Unrecognized compensation expense | $ 2,400,000 | $ 2,400,000 | ||
Unrecognized compensation cost, weighted-average period, years | 1 year 9 months 18 days | |||
Performance period | 3 years | |||
Awards granted (in shares) | 52,526 | 68,498 | 60,781 | |
Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | EPS target | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of awards based on performance type | 60.00% | |||
Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | TSR target | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of awards based on performance type | 40.00% | |||
Employee Stock [Member] | Employee Stock Purchase Plan 2014 [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Maximum stock purchases by employees, value | $ 25,000 | |||
Maximum stock purchases by employees (in shares) | 2,000 | |||
Discount on purchase of common stock (as a percent) | 90.00% | |||
Offering period for employee stock purchases | 6 months | |||
Number of shares authorized | 400,000 | 400,000 | ||
Shares available for issuance | 281,896 | 281,896 | ||
Employees purchased shares (in shares) | 20,980 | 23,212 | ||
Minimum [Member] | Stock options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Minimum [Member] | Restricted Stock [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 1 year | |||
Minimum [Member] | Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of initial target awards | 0.00% | |||
Maximum [Member] | Stock options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 4 years | |||
Contractual term (in years) | 10 years | |||
Maximum [Member] | Restricted Stock [Member] | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Vesting period | 3 years | |||
Maximum [Member] | Performance stock units | NBH Holdings Corp. 2014 Omnibus Incentive Plan [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Percentage of initial target awards | 150.00% |
Stock-based Compensation and _4
Stock-based Compensation and Benefits - Summary of Option Activity (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | ||
Outstanding Options, beginning | 768,129 | 657,114 |
Granted, Options | 82,587 | |
Exercised, Options | (128,551) | |
Forfeited, Options | (26,205) | |
Outstanding Options, ending | 695,960 | 768,129 |
Options exercisable at end of period, Options | 440,806 | |
Options vested and expected to vest, Options | 677,858 | |
Outstanding, Weighted average exercise price, beginning | $ 26.35 | $ 26.69 |
Granted, Weighted average exercise price | 40.18 | |
Exercised, Weighted average exercise price | 25 | |
Forfeited, Weighted average exercise price | 27.80 | |
Outstanding, Weighted average exercised price, ending | 28.19 | $ 26.35 |
Options exercisable at end of period, Weighted average exercise price | 26.94 | |
Options vested and expected to vest, Weighted average exercise price | $ 28.07 | |
Outstanding, Weighted average remaining contractual term in years | 6 years 6 months 25 days | 6 years 10 months 28 days |
Options exercisable at end of period, weighted average remaining contractual term in years | 5 years 5 months 26 days | |
Options vested and expected to vest, Weighted average remaining contractual term in years | 6 years 6 months 3 days | |
Outstanding, Aggregate intrinsic value, beginning | $ 5,224 | |
Outstanding, Aggregate intrinsic value, ending | 10,964 | $ 5,224 |
Aggregate intrinsic Value of Options exercisable at end of period | 7,492 | |
Options vested and expected to vest, Aggregate Intrinsic Value | $ 10,756 |
Stock-based Compensation and _5
Stock-based Compensation and Benefits - Schedule Of Weighted Average Assumptions Using Black-Scholes option-Pricing Model (Details) - Stock options [Member] - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share Based Compensation [Line Items] | |||
Weighted average fair value | $ 9.65 | $ 3.37 | $ 6.31 |
Risk-free interest rate | 1.14% | 0.44% | 2.35% |
Expected volatility | 30.54% | 25.08% | 20.56% |
Expected term (years) | 6 years 14 days | 6 years 14 days | 6 years 18 days |
Dividend yield | 2.09% | 3.44% | 2.00% |
Stock-based Compensation and _6
Stock-based Compensation and Benefits - Summary of Restricted Stock Activity (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ||
Weighted average beginning measurement period price | $ 33.04 | |
Restricted Stock [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Unvested Restricted shares, Beginning (in shares) | 166,630 | 122,198 |
Unvested Restricted shares, Granted (in shares) | 89,351 | 127,400 |
Unvested Restricted shares, Vested (in shares) | (90,645) | (69,444) |
Unvested Restricted shares, Forfeited (in shares) | (20,869) | (13,524) |
Unvested Restricted shares, Ending (in shares) | 144,467 | 166,630 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ||
Weighted average grant-date fair value, Beginning (in dollars per share) | $ 27.42 | $ 34.19 |
Weighted average grant-date fair value, Granted (in dollars per share) | 39.99 | 23.94 |
Weighted average grant-date fair value, Vested (in dollars per share) | 29.78 | 32.60 |
Weighted average grant-date fair value, Forfeited (in dollars per share) | 29.54 | 29.25 |
Weighted average grant-date fair value, Ending (in dollars per share) | $ 33.40 | $ 27.42 |
Performance stock units | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward] | ||
Unvested Restricted shares, Beginning (in shares) | 184,837 | 158,874 |
Unvested Restricted shares, Granted (in shares) | 52,526 | 68,498 |
Unvested Restricted shares, Net adjustment due to performance (in shares) | 30,024 | 17,852 |
Unvested Restricted shares, Vested (in shares) | (90,016) | (53,540) |
Unvested Restricted shares, Forfeited (in shares) | (16,977) | (6,847) |
Unvested Restricted shares, Ending (in shares) | 160,394 | 184,837 |
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ||
Weighted average grant-date fair value, Beginning (in dollars per share) | $ 29.21 | $ 31.19 |
Weighted average grant-date fair value, Granted (in dollars per share) | 37.01 | 26.74 |
Weighted average grant-date fair value, Net adjustment due to performance (in dollars per share) | 30.38 | 33.22 |
Weighted average grant-date fair value, Vested (in dollars per share) | 30.38 | 33.22 |
Weighted average grant-date fair value, Forfeited (in dollars per share) | 28.96 | 29.52 |
Weighted average grant-date fair value, Ending (in dollars per share) | 31.36 | $ 29.21 |
ROTA | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ||
Weighted average grant-date fair value, Granted (in dollars per share) | 40.16 | |
TSR | ||
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Roll Forward] | ||
Weighted average grant-date fair value, Granted (in dollars per share) | $ 33.11 |
Stock-based Compensation and _7
Stock-based Compensation and Benefits - Summarizes Information about Outstanding Stock Options (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options Outstanding, Number | 695,960 | 768,129 | 657,114 |
Options Outstanding, Weighted Average Remaining Contractual Life in years | 6 years 6 months 25 days | 6 years 10 months 28 days | |
Options Outstanding, Weighted Average Exercise Price | $ 28.19 | $ 26.35 | $ 26.69 |
Options Vested, Number | 677,858 | ||
Options Vested, Weighted Average Exercise Price | $ 28.07 | ||
18.00 - 22.99 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options Outstanding, Low Range of Exercise Price | 18 | ||
Options Outstanding, High Range of Exercise Price | $ 22.99 | ||
Options Outstanding, Number | 159,208 | ||
Options Outstanding, Weighted Average Remaining Contractual Life in years | 3 years 4 months 6 days | ||
Options Outstanding, Weighted Average Exercise Price | $ 19.22 | ||
Options Vested, Number | 159,208 | ||
Options Vested, Weighted Average Exercise Price | $ 19.22 | ||
23.00 - 27.99 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options Outstanding, Low Range of Exercise Price | 23 | ||
Options Outstanding, High Range of Exercise Price | $ 27.99 | ||
Options Outstanding, Number | 193,046 | ||
Options Outstanding, Weighted Average Remaining Contractual Life in years | 8 years 2 months 26 days | ||
Options Outstanding, Weighted Average Exercise Price | $ 23.13 | ||
Options Vested, Number | 60,728 | ||
Options Vested, Weighted Average Exercise Price | $ 23.14 | ||
28.00 - 32.99 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options Outstanding, Low Range of Exercise Price | 28 | ||
Options Outstanding, High Range of Exercise Price | $ 32.99 | ||
Options Outstanding, Number | 89,409 | ||
Options Outstanding, Weighted Average Remaining Contractual Life in years | 6 years 3 months | ||
Options Outstanding, Weighted Average Exercise Price | $ 32.56 | ||
Options Vested, Number | 87,455 | ||
Options Vested, Weighted Average Exercise Price | $ 32.62 | ||
33.00 and 37.99 | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options Outstanding, Low Range of Exercise Price | 33 | ||
Options Outstanding, High Range of Exercise Price | $ 37.99 | ||
Options Outstanding, Number | 172,080 | ||
Options Outstanding, Weighted Average Remaining Contractual Life in years | 6 years 6 months 25 days | ||
Options Outstanding, Weighted Average Exercise Price | $ 34.14 | ||
Options Vested, Number | 132,133 | ||
Options Vested, Weighted Average Exercise Price | $ 34.12 | ||
38.00 and above | |||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||
Options Outstanding, Low Range of Exercise Price | 38 | ||
Options Outstanding, Exercise Price | $ 38 | ||
Options Outstanding, Number | 82,217 | ||
Options Outstanding, Weighted Average Remaining Contractual Life in years | 9 years 2 months 19 days | ||
Options Outstanding, Weighted Average Exercise Price | $ 40.24 | ||
Options Vested, Number | 1,282 | ||
Options Vested, Weighted Average Exercise Price | $ 40.51 |
Common Stock - Narrative (Detai
Common Stock - Narrative (Details) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |||
Dec. 31, 2021 | Dec. 31, 2020 | Feb. 24, 2021 | Feb. 26, 2020 | |
Schedule Of Common Stock [Line Items] | ||||
Shares outstanding | 29,958,764 | 30,634,291 | ||
Common Class A [Member] | ||||
Schedule Of Common Stock [Line Items] | ||||
Shares outstanding | 29,958,764 | 30,634,291 | ||
Restricted issued but not yet vested, shares | 144,467 | 166,630 | ||
February 2021 Board Authorized Share Purchase Program | ||||
Schedule Of Common Stock [Line Items] | ||||
Stock repurchase program, authorized amount | $ 75 | |||
Remaining authorized amount | $ 38.6 | |||
Shares repurchased (in shares) | 912,213 | |||
Shares repurchased | $ 36.4 | |||
Shares repurchased (weighted average cost per share) | $ 39.88 | |||
February 2020 Board Authorized Share Repurchase Program | ||||
Schedule Of Common Stock [Line Items] | ||||
Stock repurchase program, authorized amount | $ 50 |
Earnings Per Share - Narrative
Earnings Per Share - Narrative (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Earnings Per Share | |||
Shares outstanding | 29,958,764 | 30,634,291 | |
Outstanding stock options to purchase common stock | 695,960 | 768,129 | 657,114 |
Outstanding stock options to purchase common stock, per share | $ 28.19 | $ 26.35 | $ 26.69 |
Restricted shares outstanding | 304,861 | 351,467 | 281,072 |
Earnings Per Share - Schedule o
Earnings Per Share - Schedule of Computation of Basic and Diluted Income Per Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Net income | $ 93,606 | $ 88,591 | $ 80,365 |
Less: income allocated to participating securities | (133) | (130) | (94) |
Income allocated to common shareholders | $ 93,473 | $ 88,461 | $ 80,271 |
Weighted average shares outstanding for basic earnings per common share | 30,727,566 | 30,857,086 | 31,175,825 |
Weighted average shares outstanding for diluted earnings per common share | 31,068,159 | 31,075,857 | 31,530,817 |
Basic earnings per share (in dollars per share) | $ 3.04 | $ 2.87 | $ 2.57 |
Diluted earnings per share (in dollars per share) | $ 3.01 | $ 2.85 | $ 2.55 |
Equity Option [Member] | |||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Line Items] | |||
Dilutive effect of equity awards | 340,593 | 218,771 | 354,992 |
Income Taxes - Components of In
Income Taxes - Components of Income Tax Expense (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Current expense: [Abstract] | |||
U.S. federal | $ 13,746 | $ 16,460 | $ 8,947 |
State and local | 2,643 | 3,255 | 2,280 |
Total current income tax expense | 16,389 | 19,715 | 11,227 |
Deferred expense: | |||
U.S. federal | 4,327 | 560 | 4,115 |
State and local | 649 | 531 | 487 |
Total deferred income tax expense | 4,976 | 1,091 | 4,602 |
Income tax expense | $ 21,365 | $ 20,806 | $ 15,829 |
Income Taxes - Components of Ta
Income Taxes - Components of Tax Rate Reconciliation (Details) - USD ($) $ in Thousands | 12 Months Ended | 36 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2021 | |
Income Taxes | ||||
Statutory rate | 21.00% | |||
Income tax at federal statutory rates (21%) | $ 24,144 | $ 22,974 | $ 20,201 | |
State income taxes, net of federal benefits | 2,601 | 2,991 | 2,186 | |
Tax-exempt loan interest income | (4,862) | (4,628) | (4,354) | |
Bank-owned life insurance income | (603) | (575) | (475) | |
Stock-based compensation | (733) | 43 | (1,925) | |
Non-deductible compensation | 852 | 388 | 253 | |
Other | (34) | (387) | (57) | |
Income tax expense | $ 21,365 | $ 20,806 | $ 15,829 |
Income Taxes - Significant Comp
Income Taxes - Significant Components of Deferred Taxes (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Deferred tax assets: | ||
Excess tax basis of acquired loans over carrying value | $ 679 | $ 966 |
Allowance for credit losses | 11,806 | 14,154 |
Other real estate owned | 645 | 634 |
Accrued stock-based compensation | 1,384 | 2,070 |
Accrued compensation | 4,355 | 3,674 |
Capitalized start-up costs | 1,223 | 1,540 |
Accrued expenses | 316 | 532 |
Net deferred loan fees | 1,021 | 1,015 |
Net operating loss | 573 | 641 |
Lease liability | 4,811 | 6,154 |
Net unrealized losses on investment securities | 2,169 | |
Other | 1,791 | 2,025 |
Total deferred tax assets | 30,773 | 33,405 |
Deferred tax liabilities: | ||
Intangible assets | (4,822) | (2,563) |
Net unrealized gains on investment securities | (3,033) | |
Premises and equipment | (1,858) | (1,599) |
Right of use assets | (4,674) | (6,015) |
Prepaid expenses | (255) | (229) |
Mortgage servicing rights | (1,415) | (2,458) |
Other | (59) | (44) |
Total deferred tax liabilities | (13,083) | (15,941) |
Net deferred tax asset | $ 17,690 | $ 17,464 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) $ in Thousands | 12 Months Ended | 36 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2021 | |
Operating Loss Carryforwards [Line Items] | ||||
Income tax expense | $ 21,365 | $ 20,806 | $ 15,829 | |
Income tax benefit from stock compensation activity | 600 | $ 51 | $ 2,200 | |
Statutory rate | 21.00% | |||
Domestic Country [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Net operating loss carryovers (NOLs) | 2,200 | $ 2,200 | ||
State and Local Jurisdiction [Member] | ||||
Operating Loss Carryforwards [Line Items] | ||||
Net operating loss carryovers (NOLs) | $ 3,200 | $ 3,200 |
Derivatives - FV of Derivatives
Derivatives - FV of Derivatives on the Balance Sheet (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | $ 477 | |
Liability derivatives fair value | 12,221 | $ 38,884 |
Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 10,204 | 25,150 |
Liability derivatives fair value | 8,792 | 21,096 |
Other assets [Member] | Interest rate products [Member] | Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 477 | |
Other assets [Member] | Interest rate products [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 8,321 | 18,149 |
Other assets [Member] | Interest Rate Lock Commitments [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 1,792 | 7,001 |
Other assets [Member] | Forward Contracts [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Asset derivatives fair value | 91 | |
Other Liabilities [Member] | Interest rate products [Member] | Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | 12,221 | 38,884 |
Other Liabilities [Member] | Interest rate products [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | 8,329 | 18,176 |
Other Liabilities [Member] | Interest Rate Lock Commitments [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | 197 | 298 |
Other Liabilities [Member] | Forward Contracts [Member] | Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Liability derivatives fair value | $ 266 | $ 2,622 |
Derivatives - Narrative (Detail
Derivatives - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Derivative [Line Items] | ||
Hedged Loans | $ 345.2 | $ 389.9 |
Cumulative fair value hedge adjustment | 16.1 | 40.1 |
Termination value of derivatives in net liability position | 20.8 | |
Eligible collateral posted | 21.6 | |
Interest Rate Lock Commitments [Member] | ||
Derivative [Line Items] | ||
Notional amount | 258.8 | |
Interest Rate Lock Commitments Notional Amount Member | ||
Derivative [Line Items] | ||
Notional amount | 110 | |
Forward Loan Sales Commitments Notional Amount Member | ||
Derivative [Line Items] | ||
Notional amount | 198.3 | |
Forward Contract Notional Member | ||
Derivative [Line Items] | ||
Notional amount | 375.3 | |
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||
Derivative [Line Items] | ||
Notional amount | 343.1 | 387.1 |
Not Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | ||
Derivative [Line Items] | ||
Notional amount | $ 394.4 | $ 456 |
Derivatives - Derivatives on th
Derivatives - Derivatives on the Income Statement (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Amount of gain (loss) recognized in income on derivatives | $ (4,382) | $ 4,872 |
Interest rate products [Member] | Not Designated as Hedging Instrument [Member] | Other Non-Interest expense [Member] | ||
Derivative [Line Items] | ||
Amount of gain (loss) recognized in income on derivatives | 23 | (7) |
Interest rate products [Member] | Fair Value Hedging [Member] | Designated as Hedging Instrument [Member] | Interest income [Member] | ||
Derivative [Line Items] | ||
Amount of gain (loss) recognized in income on derivatives | 4,568 | 4,405 |
Amount of (loss) gain recognized in income on hedged items | (3,026) | (6,376) |
Forward Contracts [Member] | Not Designated as Hedging Instrument [Member] | Mortgage banking income [Member] | ||
Derivative [Line Items] | ||
Amount of gain (loss) recognized in income on derivatives | 2,447 | (2,339) |
Interest Rate Lock Commitments [Member] | Not Designated as Hedging Instrument [Member] | Mortgage banking income [Member] | ||
Derivative [Line Items] | ||
Amount of gain (loss) recognized in income on derivatives | $ (6,852) | $ 7,218 |
Commitments and Contingencies -
Commitments and Contingencies - Schedule of Total Unfunded Commitments (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | $ 999,869 | $ 855,882 |
Unfunded loan commitment reserves [Member] | ||
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | 462,151 | 311,237 |
Unfunded Commitment Line Of Credit [Member] | ||
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | 530,397 | 537,325 |
Commercial And Standby Letters Of Credit [Member] | ||
Commitment And Contingencies [Line Items] | ||
Total unfunded commitments | $ 7,321 | $ 7,320 |
Commitments and Contingencies_2
Commitments and Contingencies - Repurchase Reserve (Details) - Loans Sold Subject to Repurchase [Member] - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Commitment And Contingencies [Line Items] | ||
Beginning balance | $ 2,741 | $ 2,589 |
Provision (released from) charged to operating expense, net | (108) | 662 |
Charge-offs | (531) | (510) |
Ending balance | $ 2,102 | $ 2,741 |
Fair Value Measurements - Trans
Fair Value Measurements - Transfer Between Hierarchy Levels (Details) | Dec. 31, 2021USD ($) |
Fair Value Measurements | |
Level 1 to Level 2 Transfer, Asset | $ 0 |
Fair Value Measurements - Addit
Fair Value Measurements - Additional Information (Details) | 12 Months Ended | ||
Dec. 31, 2021USD ($)loan | Dec. 31, 2020USD ($)loan | Dec. 31, 2019USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Residential mortgage loans held for sale period | 45 days | ||
Interest Rate Lock Commitments, Average Percentage Of Estimated Pull Through Rate To Calculate Fair Value | 86.7 | ||
Loans | $ 4,513,383,000 | $ 4,353,726,000 | |
Impairment on other real estate owned | 799,000 | 470,000 | $ 1,082,000 |
Impairment on fixed assets related to banking center consolidations | 1,600,000 | 1,600,000 | |
Net Book Balance Of Fixed Assets Sold | 6,000,000 | 8,000,000 | |
Banking centers classified as held-for-sale | $ 7 | ||
Minimum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Estimated selling cost (as a percent) | 6.00% | ||
Maximum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Estimated selling cost (as a percent) | 10.00% | ||
Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Estimated selling cost (as a percent) | 7.20% | ||
Fair Value, Nonrecurring [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Nonrecurring Loans Reserves | $ 1,600,000 | $ 1,900,000 | |
Number of Loans measured | loan | 6 | 7 | |
Loans | $ 5,100,000 | $ 7,500,000 | |
Impaired loans [Member]. | Measurement Input, Discount Rate [Member] | Minimum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Discount rate | 6.00% | ||
Impaired loans [Member]. | Measurement Input, Discount Rate [Member] | Maximum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Discount rate | 15.00% | ||
Impaired loans [Member]. | Measurement Input, Discount Rate [Member] | Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair value of loans measurement input (as a percent) | 8.3 | ||
Mortgage servicing rights member | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impairment on mortgage servicing rights | $ (700,000) | $ 800,000 | |
Mortgage servicing rights member | Minimum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Discount rate | 9.50% | 9.50% | |
Mortgage servicing rights member | Maximum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Discount rate | 10.00% | 10.50% | |
Mortgage servicing rights member | Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Discount rate | 9.50% | 9.50% | |
Mortgage servicing rights member | Measurement Input, Constant Prepayment Rate [Member] | Minimum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 9.3 | 15.4 | |
Mortgage servicing rights member | Measurement Input, Constant Prepayment Rate [Member] | Maximum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 14.5 | 21.3 | |
Mortgage servicing rights member | Measurement Input, Constant Prepayment Rate [Member] | Weighted Average | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Servicing assets measurement input (as a percent) | 9.4 | 15.8 |
Fair Value Measurements - Table
Fair Value Measurements - Tables of Financial Instruments Measured At Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | $ 841,201 | $ 934,392 |
Total liabilities at fair value | 21,013 | 59,980 |
Municipal [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 237 | 318 |
Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 2,111 | 1,998 |
Loans held for sale member | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 139,142 | 247,813 |
Mortgage-Backed Securities (MBS) [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 227,696 | 196,334 |
Mortgage-Backed Securities (MBS) [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 461,334 | 462,779 |
Level 2 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 839,318 | 927,391 |
Total liabilities at fair value | 20,550 | 57,060 |
Level 2 [Member] | Municipal [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 237 | 318 |
Level 2 [Member] | Corporate Debt Securities [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 2,111 | 1,998 |
Level 2 [Member] | Loans held for sale member | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 139,142 | 247,813 |
Level 2 [Member] | Mortgage-Backed Securities (MBS) [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 227,696 | 196,334 |
Level 2 [Member] | Mortgage-Backed Securities (MBS) [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 461,334 | 462,779 |
Level 3 [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 1,883 | 7,001 |
Total liabilities at fair value | 463 | 2,920 |
Interest Rate Swap [Member] | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 8,798 | 18,149 |
Total liabilities at fair value | 20,550 | 57,060 |
Interest Rate Swap [Member] | Level 2 [Member] | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 8,798 | 18,149 |
Total liabilities at fair value | 20,550 | 57,060 |
Mortgage banking derivatives | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 1,883 | 7,001 |
Total liabilities at fair value | 463 | 2,920 |
Mortgage banking derivatives | Level 3 [Member] | Derivative [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 1,883 | 7,001 |
Total liabilities at fair value | $ 463 | $ 2,920 |
Fair Value Measurements - Tab_2
Fair Value Measurements - Table of Changes in Level 3 Financial Instruments (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2021USD ($) | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |
Beginning Balance | $ 4,081 |
Gain (loss) included in earnings, net | (4,405) |
Fees and costs included in earnings, net | 1,744 |
Ending Balance | $ 1,420 |
Fair Value Measurements - Input
Fair Value Measurements - Inputs Used to Determine Fair Values of Oreo are Considered Level 3 Inputs in Fair Value Hierarchy (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2021 | Dec. 31, 2020 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | $ 841,201 | $ 934,392 |
Fair Value, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 27,120 | 48,614 |
Losses From Fair Value Changes | 4,167 | 6,080 |
Impaired loans [Member] | Fair Value, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 14,083 | 25,480 |
Losses From Fair Value Changes | 1,816 | 3,228 |
Other Real Estate Owned [Member] | Fair Value, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 7,005 | 4,730 |
Losses From Fair Value Changes | 799 | 470 |
Mortgage servicing rights member | Fair Value, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 10,380 | |
Losses From Fair Value Changes | 751 | |
Premise And Equipment [Member] | Fair Value, Nonrecurring [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total assets at fair value | 6,032 | 8,024 |
Losses From Fair Value Changes | $ 1,552 | $ 1,631 |
Fair Value of Financial Instr_3
Fair Value of Financial Instruments - Schedule of Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 |
ASSETS: | ||
Cash and cash equivalents | $ 845,695 | $ 605,565 |
Investment securities available-for-sale (at fair value) | 691,847 | 661,955 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 609,012 | 376,615 |
Non-marketable securities | 50,740 | 22,073 |
Loans receivable | 4,463,689 | 4,293,949 |
Capital stock of FHLB | 700 | 2,600 |
Total Loans | 4,513,383 | 4,353,726 |
Loans held-for-sale | 139,142 | 247,813 |
Accrued interest receivable | 15,700 | 16,700 |
LIABILITIES: | ||
Time deposits | 833,916 | 986,132 |
Securities sold under agreements to repurchase | 22,768 | 22,897 |
Long-term debt | 39,478 | |
Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 227,696 | 196,334 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 312,916 | 306,187 |
Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 461,334 | 462,779 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 296,096 | 70,428 |
Other Securities [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 469 | 469 |
Municipal [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 237 | 375 |
Corporate Debt Securities [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 2,111 | 1,998 |
Carrying Amount [Member] | Level 1 [Member] | ||
ASSETS: | ||
Cash and cash equivalents | 845,695 | 605,565 |
Carrying Amount [Member] | Level 2 [Member] | ||
ASSETS: | ||
Non-marketable securities | 14,533 | 16,493 |
Loans held-for-sale | 139,142 | 247,813 |
Accrued interest receivable | 17,848 | 18,795 |
LIABILITIES: | ||
Deposit transaction accounts | 5,394,257 | 4,690,100 |
Time deposits | 833,916 | 986,132 |
Securities sold under agreements to repurchase | 22,768 | 22,897 |
Long-term debt | 40,000 | |
Accrued interest payable | 3,944 | 6,762 |
Carrying Amount [Member] | Level 3 [Member] | ||
ASSETS: | ||
Total Loans | 4,513,383 | 4,353,726 |
Carrying Amount [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 227,696 | 196,334 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 312,916 | 306,187 |
Carrying Amount [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 461,334 | 462,779 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 296,096 | 70,428 |
Carrying Amount [Member] | Other Securities [Member] | Level 3 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 469 | 469 |
Carrying Amount [Member] | Municipal [Member] | Level 2 [Member] | ||
ASSETS: | ||
Municipal obligations | 237 | 318 |
Carrying Amount [Member] | Municipal [Member] | Level 3 [Member] | ||
ASSETS: | ||
Municipal obligations | 57 | |
Carrying Amount [Member] | Corporate Debt Securities [Member] | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 2,111 | 1,998 |
Estimated Fair Value [Member] | Level 1 [Member] | ||
ASSETS: | ||
Cash and cash equivalents | 845,695 | 605,565 |
Estimated Fair Value [Member] | Level 2 [Member] | ||
ASSETS: | ||
Non-marketable securities | 14,533 | 16,493 |
Loans held-for-sale | 139,142 | 247,813 |
Accrued interest receivable | 17,848 | 18,795 |
LIABILITIES: | ||
Deposit transaction accounts | 5,394,257 | 4,690,100 |
Time deposits | 833,163 | 993,070 |
Securities sold under agreements to repurchase | 22,768 | 22,897 |
Long-term debt | 40,000 | |
Accrued interest payable | 3,944 | 6,762 |
Estimated Fair Value [Member] | Level 3 [Member] | ||
ASSETS: | ||
Total Loans | 4,540,847 | 4,511,357 |
Estimated Fair Value [Member] | Residential Mortgage Pass-Through Securities Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member]. | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 227,696 | 196,334 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 309,614 | 310,930 |
Estimated Fair Value [Member] | Other Residential MBS Issued or Guaranteed by U.S. Government Agencies or Sponsored Enterprises [Member] | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 461,334 | 462,779 |
Mortgage-backed securities-residential mortgage pass-through securities issued or guaranteed by U.S. Government agencies or sponsored enterprises held-to-maturity | 289,646 | 70,761 |
Estimated Fair Value [Member] | Other Securities [Member] | Level 3 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 469 | 469 |
Estimated Fair Value [Member] | Municipal [Member] | Level 2 [Member] | ||
ASSETS: | ||
Municipal obligations | 237 | 318 |
Estimated Fair Value [Member] | Municipal [Member] | Level 3 [Member] | ||
ASSETS: | ||
Municipal obligations | 57 | |
Estimated Fair Value [Member] | Corporate Debt Securities [Member] | Level 2 [Member] | ||
ASSETS: | ||
Investment securities available-for-sale (at fair value) | 2,111 | 1,998 |
Interest Rate Swap [Member] | Carrying Amount [Member] | Level 2 [Member] | ||
ASSETS: | ||
Derivative asset | 8,798 | 18,149 |
LIABILITIES: | ||
Derivative liability | 20,550 | 57,060 |
Interest Rate Swap [Member] | Estimated Fair Value [Member] | Level 2 [Member] | ||
ASSETS: | ||
Derivative asset | 8,798 | 18,149 |
LIABILITIES: | ||
Derivative liability | 20,550 | 57,060 |
Mortgage banking derivatives | Carrying Amount [Member] | Level 3 [Member] | ||
ASSETS: | ||
Derivative asset | 1,883 | 7,001 |
LIABILITIES: | ||
Derivative liability | 463 | 2,920 |
Mortgage banking derivatives | Estimated Fair Value [Member] | Level 3 [Member] | ||
ASSETS: | ||
Derivative asset | 1,883 | 7,001 |
LIABILITIES: | ||
Derivative liability | $ 463 | $ 2,920 |
Parent Company Only Financial_3
Parent Company Only Financial Statements - Condensed Statements of Financial Condition (Details) - USD ($) $ in Thousands | Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
ASSETS | ||||
Cash and cash equivalents | $ 845,695 | $ 605,565 | ||
Non-marketable securities | 50,740 | 22,073 | ||
Other assets | 182,785 | 207,313 | ||
Total assets | 7,214,011 | 6,659,950 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Long-term debt, net | 39,478 | |||
Other liabilities | 83,486 | 140,130 | ||
Total liabilities | 6,373,905 | 5,839,259 | ||
Stockholders' equity | 840,106 | 820,691 | $ 766,920 | $ 695,006 |
Total liabilities and shareholders' equity | 7,214,011 | 6,659,950 | ||
Consolidated [Member] | Reportable Legal Entities [Member] | ||||
ASSETS | ||||
Cash and cash equivalents | 107,154 | 91,402 | ||
Non-marketable securities | 24,178 | 58 | ||
Investment in subsidiaries | 746,135 | 725,002 | ||
Other assets | 7,366 | 14,751 | ||
Total assets | 884,833 | 831,213 | ||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||
Long-term debt, net | 39,478 | |||
Other liabilities | 5,249 | 10,522 | ||
Total liabilities | 44,727 | 10,522 | ||
Stockholders' equity | 840,106 | 820,691 | ||
Total liabilities and shareholders' equity | $ 884,833 | $ 831,213 |
Parent Company Only Financial_4
Parent Company Only Financial Statements - Condensed Statements of Operations (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Income from non-marketable securities | $ 838 | $ 1,157 | $ 1,770 |
Interest expense: | |||
Interest expense | 13,821 | 25,056 | 36,771 |
Salaries and benefits | 127,504 | 141,170 | 122,732 |
Income before income taxes | 114,971 | 109,397 | 96,194 |
Income tax expense | 21,365 | 20,806 | 15,829 |
Net income | 93,606 | 88,591 | 80,365 |
Consolidated [Member] | Reportable Legal Entities [Member] | |||
Equity in undistributed earnings of subsidiaries | 37,866 | 67,416 | 28,133 |
Distributions from subsidiaries | 63,000 | 27,200 | 55,725 |
Income from non-marketable securities | 553 | ||
Total income | 101,419 | 94,616 | 83,858 |
Interest expense: | |||
Interest expense | 197 | ||
Salaries and benefits | 5,622 | 5,136 | 4,925 |
Other expenses | 5,042 | 2,621 | 2,463 |
Total expenses | 10,861 | 7,757 | 7,388 |
Income before income taxes | 90,558 | 86,859 | 76,470 |
Income tax expense | (3,048) | (1,732) | (3,895) |
Net income | $ 93,606 | $ 88,591 | $ 80,365 |
Parent Company Only Financial_5
Parent Company Only Financial Statements - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2021 | Dec. 31, 2020 | Dec. 31, 2019 | |
Cash flows from operating activities: | |||
Net income | $ 93,606 | $ 88,591 | $ 80,365 |
Stock-based compensation expense | 5,541 | 5,299 | 4,869 |
Net excess tax benefit on stock-based compensation | (644) | 51 | (2,160) |
Net cash provided by (used in) operating activities | 179,502 | (6,212) | 44,243 |
Cash flows from investing activities: | |||
Purchase of non-marketable securities | (27,688) | (4,107) | (18,700) |
Net cash used in investing activities | (473,836) | (152,591) | (115,052) |
Cash flows from financing activities: | |||
Proceeds from issuance of long-term debt | 40,000 | ||
Payment of long-term debt issuance costs | (535) | ||
Issuance of stock under purchase and equity compensation plans | (2,267) | (749) | (6,229) |
Proceeds from exercise of stock options | 2,489 | 1,832 | 2,788 |
Payment of dividends | (26,888) | (24,816) | (23,530) |
Repurchase of shares | (36,400) | (19,476) | |
Net cash provided by financing activities | 528,989 | 654,178 | 71,443 |
Increase in cash, cash equivalents and restricted cash | 234,655 | 495,375 | 634 |
Cash, cash equivalents and restricted cash at beginning of the year | 615,565 | 120,190 | 119,556 |
Cash, cash equivalents and restricted cash at end of period | 850,220 | 615,565 | 120,190 |
Consolidated [Member] | Reportable Legal Entities [Member] | |||
Cash flows from operating activities: | |||
Net income | 93,606 | 88,591 | 80,365 |
Equity in undistributed earnings of subsidiaries | (37,866) | (67,416) | (28,133) |
Stock-based compensation expense | 5,541 | 5,299 | 4,869 |
Net excess tax benefit on stock-based compensation | (644) | 51 | (2,160) |
Amortization | 13 | ||
Other | (3,747) | 3,074 | 5,045 |
Net cash provided by (used in) operating activities | 56,903 | 29,599 | 59,986 |
Cash flows from investing activities: | |||
Purchase of non-marketable securities | (23,025) | ||
Net cash used in investing activities | (23,025) | ||
Cash flows from financing activities: | |||
Proceeds from issuance of long-term debt | 40,000 | ||
Payment of long-term debt issuance costs | (535) | ||
Issuance of stock under purchase and equity compensation plans | (2,267) | (749) | (6,229) |
Proceeds from exercise of stock options | 2,489 | 1,832 | 2,788 |
Payment of dividends | (26,888) | (24,816) | (23,530) |
Repurchase of shares | (36,400) | (19,476) | |
Net cash provided by financing activities | (23,601) | (43,209) | (26,971) |
Increase in cash, cash equivalents and restricted cash | 10,277 | (13,610) | 33,015 |
Cash, cash equivalents and restricted cash at beginning of the year | 101,402 | 115,012 | 81,997 |
Cash, cash equivalents and restricted cash at end of period | $ 111,679 | $ 101,402 | $ 115,012 |