Document and Entity Information
Document and Entity Information - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2016 | Feb. 28, 2017 | Jun. 30, 2016 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2016 | ||
Document Fiscal Year Focus | 2,016 | ||
Document Fiscal Period Focus | FY | ||
Trading Symbol | UBNK | ||
Entity Registrant Name | United Financial Bancorp, Inc. | ||
Entity Central Index Key | 1,501,364 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Filer Category | Accelerated Filer | ||
Entity Common Stock, Shares Outstanding | 50,817,157 | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Current Reporting Status | Yes | ||
Entity Voluntary Filers | No | ||
Entity Public Float | $ 629.9 |
Consolidated Statements of Cond
Consolidated Statements of Condition - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Cash and cash equivalents: | ||
Cash and due from banks | $ 47,248 | $ 47,602 |
Short-term investments | 43,696 | 47,574 |
Total cash and cash equivalents | 90,944 | 95,176 |
Available for sale securities-at fair value | 1,043,411 | 1,059,169 |
Held to maturity securities-at amortized cost | 14,038 | 14,565 |
Loans held for sale | 62,517 | 10,136 |
Loans receivable (net of allowance for loan losses of $42,798 in 2016 and $33,887 in 2015) | 4,870,552 | 4,587,062 |
Federal Home Loan Bank stock, at cost | 53,476 | 51,196 |
Accrued interest receivable | 18,771 | 15,740 |
Deferred tax asset-net | 39,962 | 33,094 |
Premises and equipment-net | 51,757 | 54,779 |
Goodwill | 115,281 | 115,281 |
Core deposit intangible | 5,902 | 7,506 |
Cash surrender value of bank-owned life insurance | 167,823 | 125,101 |
Other assets | 65,086 | 59,736 |
Total Assets | 6,599,520 | 6,228,541 |
Deposits: | ||
Non-interest-bearing | 708,050 | 657,718 |
Interest-bearing | 4,003,122 | 3,779,353 |
Total deposits | 4,711,172 | 4,437,071 |
Mortgagors’ and investors’ escrow accounts | 13,354 | 13,526 |
Advances from the Federal Home Loan Bank | 1,046,712 | 949,003 |
Other borrowings | 122,907 | 150,017 |
Accrued expenses and other liabilities | 49,509 | 53,403 |
Total liabilities | 5,943,654 | 5,603,020 |
Commitments and contingencies (notes 7 and 20) | ||
Stockholders’ equity: | ||
Preferred stock (no par value; 2,000,000 shares authorized; no shares issued) | 0 | 0 |
Common stock (no par value; 120,000,000 shares authorized; 50,786,671 and 49,941,428 shares issued and outstanding at December 31, 2016 and 2015, respectively) | 531,848 | 519,587 |
Additional paid-in capital | 7,227 | 10,722 |
Unearned compensation — ESOP | (5,694) | (5,922) |
Retained earnings | 137,838 | 112,013 |
Accumulated other comprehensive loss, net of tax | (15,353) | (10,879) |
Total stockholders’ equity | 655,866 | 625,521 |
Total Liabilities and Stockholders’ Equity | $ 6,599,520 | $ 6,228,541 |
Consolidated Statements of Con3
Consolidated Statements of Condition (Parenthetical) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Statement of Financial Position [Abstract] | ||
Allowance for loan losses, loans receivable | $ 42,798 | $ 33,887 |
Preferred stock, shares authorized (in shares) | 2,000,000 | 2,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Common stock, shares authorized (in shares) | 120,000,000 | 120,000,000 |
Common stock, shares issued (in shares) | 50,786,671 | 49,941,428 |
Common stock, shares outstanding (in shares) | 50,786,671 | 49,941,428 |
Consolidated Statements of Net
Consolidated Statements of Net Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Interest and dividend income: | |||
Loans | $ 179,819 | $ 165,409 | $ 133,011 |
Securities-taxable interest | 19,678 | 20,039 | 16,367 |
Securities-non-taxable interest | 8,392 | 8,354 | 5,113 |
Securities-dividends | 3,920 | 2,363 | 1,302 |
Interest-bearing deposits | 343 | 180 | 86 |
Total interest and dividend income | 212,152 | 196,345 | 155,879 |
Interest expense: | |||
Deposits | 25,576 | 21,442 | 13,559 |
Borrowed funds | 15,477 | 10,321 | 4,448 |
Total interest expense | 41,053 | 31,763 | 18,007 |
Net interest income (expense) | 171,099 | 164,582 | 137,872 |
Provision for loan losses | 13,437 | 13,005 | 9,496 |
Net interest income after provision for loan losses | 157,662 | 151,577 | 128,376 |
Non-interest income: | |||
Service charges and fees | 20,259 | 21,040 | 13,509 |
Income from mortgage banking activities | 8,227 | 9,552 | 3,203 |
Bank-owned life insurance income | 3,394 | 3,616 | 3,042 |
Gain on sales of securities, net | 1,961 | 939 | 1,228 |
Net loss on limited partnership investments | (3,995) | (3,136) | (4,224) |
Other income (loss) | 238 | 476 | (153) |
Total non-interest income | 30,084 | 32,487 | 16,605 |
Non-interest expense: | |||
Salaries and employee benefits | 75,384 | 67,469 | 59,332 |
Occupancy and equipment | 14,986 | 15,442 | 13,239 |
Service bureau fees | 7,986 | 6,728 | 8,179 |
Professional fees | 3,917 | 6,317 | 3,662 |
Marketing and promotions | 3,049 | 2,321 | 2,296 |
FDIC insurance assessments | 3,573 | 3,692 | 2,553 |
Core deposit intangible amortization | 1,604 | 1,796 | 1,283 |
Merger related expense | 0 | 1,575 | 36,918 |
FHLBB prepayment penalties | 1,454 | 0 | 0 |
Other | 22,020 | 22,855 | 16,970 |
Total non-interest expense | 133,973 | 128,195 | 144,432 |
Income before income taxes | 53,773 | 55,869 | 549 |
Provision (benefit) for income taxes | 4,112 | 6,229 | (6,233) |
Net income | $ 49,661 | $ 49,640 | $ 6,782 |
Net income per share: | |||
Basic (usd per share) | $ 1 | $ 1.01 | $ 0.16 |
Diluted (usd per share) | $ 0.99 | $ 1 | $ 0.16 |
Weighted-average shares outstanding: | |||
Basic (in shares) | 49,731,149 | 48,912,807 | 42,829,094 |
Diluted (in shares) | 50,089,030 | 49,385,566 | 43,269,517 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | ||
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 49,661 | $ 49,640 | $ 6,782 | |
Securities available for sale: | ||||
Unrealized holding gains (losses) | (5,063) | (5,912) | 13,847 | |
Reclassification adjustment for gains realized in income | [1] | (1,961) | (939) | (1,228) |
Net unrealized gains (losses) | (7,024) | (6,851) | 12,619 | |
Tax effect - benefit (expense) | 2,529 | 2,462 | (4,430) | |
Net-of-tax amount - securities available for sale | (4,495) | (4,389) | 8,189 | |
Interest rate swaps designated as cash flow hedges: | ||||
Unrealized losses | (1,472) | (3,108) | (8,385) | |
Reclassification adjustment for losses recognized in interest expense | [2] | 2,362 | 12 | 0 |
Net unrealized gains (losses) | 890 | (3,096) | (8,385) | |
Tax effect - benefit (expense) | (321) | 1,116 | 2,945 | |
Net-of-tax amount - interest rate swaps | 569 | (1,980) | (5,440) | |
Pension and Post-retirement plans: | ||||
Gains (losses) arising during the period | (1,358) | 2,106 | (6,832) | |
Reclassification adjustment for prior service costs recognized in net periodic benefit cost | [3] | 7 | 7 | 13 |
Reclassification adjustment for losses (gains) recognized in net periodic benefit cost | [4] | 495 | 759 | (286) |
Prior service cost arising during the period | 0 | 0 | 168 | |
Net change in gains (losses) and prior service costs | (856) | 2,872 | (6,937) | |
Tax effect - benefit (expense) | 308 | (892) | 2,464 | |
Net-of-tax amount - pension and post-retirement plans | (548) | 1,980 | (4,473) | |
Total other comprehensive loss | (4,474) | (4,389) | (1,724) | |
Comprehensive income | $ 45,187 | $ 45,251 | $ 5,058 | |
[1] | Amounts are included in gain on sales of securities, net in the Consolidated Statements of Net Income. Income tax expense associated with the reclassification adjustment for the years ended December 31, 2016, 2015 and 2014 was $707, $338 and $442, respectively. | |||
[2] | Amounts are included in interest expense on borrowed funds in the Consolidated Statements of Net Income. Income tax benefit associated with the reclassification adjustment for the years ended December 31, 2016, 2015 and 2014 was $851, $4 and $0, respectively. | |||
[3] | Amounts are included in salaries and employee benefits expense in the Consolidated Statements of Net Income. Income tax benefit associated with the reclassification adjustment for the years ended December 31, 2016, 2015 and 2014 was $3, $3 and $7, respectively. | |||
[4] | Amounts are included in salaries and employee benefits expense in the Consolidated Statements of Net Income. Income tax expense (benefit) associated with the reclassification adjustment for the years ended December 31, 2016, 2015 and 2014 was $(178), $(451) and $103, respectively. |
Consolidated Statements of Com6
Consolidated Statements of Comprehensive Income (Parenthetical) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Statement of Comprehensive Income [Abstract] | |||
Income tax expense associated with the reclassification adjustment for gains realized in net income | $ 707 | $ 338 | $ 442 |
Income tax benefit associated with the reclassification adjustment from AOCI for borrowed funds | 851 | 4 | 0 |
Income tax benefit associated with the reclassification adjustment for prior service costs under post-retirement plans | 3 | 3 | 7 |
Income tax expense (benefit) associated with the reclassification adjustment for losses (benefit) recognized in net periodic benefit cost under post-retirement plans | $ (178) | $ (451) | $ 103 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Stockholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-in Capital | Unearned Compensation - ESOP | Retained Earnings | Accumulated Other Comprehensive Loss | Treasury Stock |
Balance (in shares) at Dec. 31, 2013 | 29,456,290 | 3,487,886 | |||||
Balance at Dec. 31, 2013 | $ 299,382 | $ 243,776 | $ 15,808 | $ (7,151) | $ 96,078 | $ (4,766) | $ (44,363) |
Increase (Decrease) in Stockholders' Equity | |||||||
Comprehensive income | 5,058 | 6,782 | (1,724) | ||||
Issuance of common stock for the acquisition of United Financial Bancorp, Inc (in shares) | 26,706,401 | ||||||
Issuance of common stock for the acquisition of United Financial Bancorp, Inc | 356,365 | $ 356,365 | |||||
Cancellation of treasury shares (in shares) | (3,476,270) | (3,476,270) | |||||
Cancellation of treasury shares | 0 | $ (44,226) | $ 44,226 | ||||
Common stock repurchased (in shares) | (3,507,324) | ||||||
Common stock repurchased | (47,772) | $ (47,772) | |||||
Share-based compensation expense | 3,957 | 3,957 | |||||
ESOP shares released or committed to be released | 1,727 | 726 | 1,001 | ||||
Shares issued for stock options exercised (in shares) | 321,058 | (11,616) | |||||
Shares issued for stock options exercised | 2,246 | $ 4,530 | (2,421) | $ 137 | |||
Shares issued for restricted stock grants (in shares) | 138,482 | ||||||
Shares issued for restricted stock grants | 0 | $ 1,889 | (1,889) | ||||
Cancellation of shares for tax withholding (in shares) | (100,937) | ||||||
Cancellation of shares for tax withholding | (1,367) | $ (373) | (994) | ||||
Tax effects of share-based awards | 820 | 820 | |||||
Dividends declared ($0.40, $0.46, and $0.48 per common share) | (18,008) | (18,008) | |||||
Balance (in shares) at Dec. 31, 2014 | 49,537,700 | 0 | |||||
Balance at Dec. 31, 2014 | 602,408 | $ 514,189 | 16,007 | (6,150) | 84,852 | (6,490) | $ 0 |
Increase (Decrease) in Stockholders' Equity | |||||||
Comprehensive income | 45,251 | 49,640 | (4,389) | ||||
Common stock repurchased (in shares) | (377,700) | ||||||
Common stock repurchased | (5,171) | $ (5,171) | |||||
Share-based compensation expense | 1,076 | 1,076 | |||||
ESOP shares released or committed to be released | 299 | 71 | 228 | ||||
Shares issued for stock options exercised (in shares) | 545,148 | ||||||
Shares issued for stock options exercised | 4,765 | $ 7,281 | (2,516) | ||||
Shares issued for restricted stock grants (in shares) | 259,845 | ||||||
Shares issued for restricted stock grants | 0 | $ 3,491 | (3,491) | ||||
Cancellation of shares for tax withholding (in shares) | (22,430) | ||||||
Cancellation of shares for tax withholding | (311) | $ (188) | (123) | ||||
Forfeited unvested restricted stock (in shares) | (1,135) | ||||||
Forfeited unvested restricted stock | 0 | $ (15) | 15 | ||||
Tax effects of share-based awards | (317) | (317) | |||||
Dividends declared ($0.40, $0.46, and $0.48 per common share) | $ (22,479) | (22,479) | |||||
Balance (in shares) at Dec. 31, 2015 | 49,941,428 | 49,941,428 | 0 | ||||
Balance at Dec. 31, 2015 | $ 625,521 | $ 519,587 | 10,722 | (5,922) | 112,013 | (10,879) | $ 0 |
Increase (Decrease) in Stockholders' Equity | |||||||
Comprehensive income | 45,187 | 49,661 | (4,474) | ||||
Share-based compensation expense | 2,252 | 2,252 | |||||
ESOP shares released or committed to be released | $ 308 | 80 | 228 | ||||
Shares issued for stock options exercised (in shares) | 680,677 | 655,689 | |||||
Shares issued for stock options exercised | $ 6,275 | $ 8,958 | (2,683) | ||||
Shares issued for restricted stock grants (in shares) | 215,814 | ||||||
Shares issued for restricted stock grants | 0 | $ 3,368 | (3,368) | ||||
Cancellation of shares for tax withholding (in shares) | (21,446) | ||||||
Cancellation of shares for tax withholding | (327) | $ 0 | (327) | ||||
Forfeited unvested restricted stock (in shares) | (4,814) | ||||||
Forfeited unvested restricted stock | 0 | $ (65) | 65 | ||||
Tax effects of share-based awards | 486 | 486 | |||||
Dividends declared ($0.40, $0.46, and $0.48 per common share) | $ (23,836) | (23,836) | |||||
Balance (in shares) at Dec. 31, 2016 | 50,786,671 | 50,786,671 | 0 | ||||
Balance at Dec. 31, 2016 | $ 655,866 | $ 531,848 | $ 7,227 | $ (5,694) | $ 137,838 | $ (15,353) | $ 0 |
Consolidated Statements of Cha8
Consolidated Statements of Changes in Stockholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Retained Earnings | |||
Dividends declared/ paid per common share (usd per share) | $ 0.48 | $ 0.46 | $ 0.40 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities: | |||
Net income | $ 49,661 | $ 49,640 | $ 6,782 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||
Provision for loan losses | 13,437 | 13,005 | 9,496 |
Amortization of premiums and discounts on investments, net | 5,410 | 5,041 | 2,680 |
Accretion of intangible assets and purchase accounting marks, net | (1,019) | (10,835) | (10,899) |
Amortization of subordinated debt issuance costs | 126 | 126 | 34 |
Share-based compensation expense | 2,252 | 1,076 | 3,957 |
ESOP expense | 308 | 299 | 1,727 |
FHLBB prepayment penalties | 1,454 | 0 | 288 |
Tax effects of share-based awards | (486) | 317 | (820) |
Net gain from sales of securities | (1,961) | (939) | (1,228) |
Loans originated for sale | (422,183) | (406,960) | (145,124) |
Proceeds from sales of loans held for sale | 369,802 | 405,044 | 137,326 |
Increase in mortgage servicing asset | (3,030) | (2,345) | (138) |
Gain on sales of OREO | (121) | (218) | (409) |
Net change in mortgage banking fair value adjustment | 139 | 39 | (356) |
Loss on disposal of equipment | 178 | 191 | 1,210 |
Write-downs of other real estate owned | 126 | 118 | 213 |
Depreciation and amortization of premises and equipment | 5,516 | 5,340 | 3,762 |
Loss on limited partnerships | 3,995 | 3,136 | 4,224 |
Loss (gain) on lease terminations | 0 | (195) | 1,888 |
Deferred income tax (benefit) expense | (4,352) | 3,582 | 7,361 |
Increase in cash surrender value of bank-owned life insurance | (3,324) | (3,397) | (3,042) |
Income recognized from death benefit on bank-owned life insurance | (70) | (219) | 0 |
Net change in: | |||
Deferred loan fees and premiums | (4,618) | (3,013) | (1,603) |
Accrued interest receivable | (3,031) | (1,528) | (2,237) |
Other assets | (4,327) | (16,172) | (33,243) |
Accrued expenses and other liabilities | (4,195) | 9,637 | 8,552 |
Net cash provided by (used in) operating activities | (313) | 50,770 | (9,599) |
Cash flows from investing activities: | |||
Proceeds from sales of available for sale securities | 268,162 | 280,564 | 511,044 |
Proceeds from calls and maturities of available for sale securities | 27,076 | 16,655 | 21,220 |
Principal payments on available for sale securities | 95,490 | 86,128 | 61,425 |
Principal payments on held to maturity securities | 496 | 774 | 783 |
Purchases of available for sale securities | (385,386) | (398,794) | (885,610) |
Purchases of held to maturity securities | 0 | 0 | (2,342) |
Cash acquired from Legacy United | 0 | 0 | 25,410 |
Redemption of FHLBB stock | 3,392 | 0 | 2,297 |
Purchase of FHLBB stock | (5,672) | (19,246) | (1,860) |
Proceeds from sale of other real estate owned | 2,158 | 2,683 | 3,869 |
Purchases of loans | (176,301) | (348,175) | (16,310) |
Loan originations, net of principal repayments | (119,817) | (366,495) | (302,918) |
Purchase of bank-owned life insurance | (40,000) | 0 | 0 |
Proceeds from bank-owned life insurance death benefit | 689 | 1,158 | 0 |
Proceeds from sale of equipment | 686 | 364 | 327 |
Purchases of premises and equipment | (3,465) | (3,593) | (12,719) |
Net cash used in investing activities | (332,492) | (747,977) | (595,384) |
Cash flows from financing activities: | |||
Net increase in non-interest-bearing deposits | 50,332 | 69,649 | 2,550 |
Net increase in interest-bearing deposits | 225,103 | 335,320 | 357,800 |
Net increase (decrease) in mortgagors’ and investors’ escrow accounts | (172) | 522 | 4,604 |
Net increase in short-term FHLBB advances | 174,800 | 196,200 | 275,776 |
Proceeds from long-term FHLBB advances | 0 | 181,800 | 10,000 |
Repayments of long-term FHLBB borrowings and penalty | (76,785) | (8,056) | (18,542) |
Net increase (decrease) in other borrowings, excluding proceeds from subordinated debt issuance | (27,303) | (46,491) | 4,860 |
Proceeds from issuance of subordinated debt, net of issuance costs | 0 | 0 | 73,733 |
Proceeds from exercise of stock options | 6,275 | 4,765 | 2,246 |
Common stock repurchased | 0 | (5,171) | (47,772) |
Cancellation of shares for tax withholding | (327) | (311) | (1,367) |
Tax effects of share-based awards | 486 | (317) | 820 |
Cash dividends paid on common stock | (23,836) | (22,479) | (18,008) |
Net cash provided by financing activities | 328,573 | 705,431 | 646,700 |
Net (decrease) increase in cash and cash equivalents | (4,232) | 8,224 | 41,717 |
Cash and cash equivalents - beginning of year | 95,176 | 86,952 | 45,235 |
Cash and cash equivalents - end of year | 90,944 | 95,176 | 86,952 |
Cash paid during the year for: | |||
Interest | 43,709 | 36,532 | 21,824 |
Income taxes, net | 3,655 | (6,744) | 3,599 |
Transfer of loans to other real estate owned | 3,298 | 1,099 | 2,339 |
Increase (decrease) in due to broker, investment purchases | 6 | (1,105) | (4,855) |
Increase (decrease) in due to broker, common stock buyback | 0 | (523) | 523 |
Acquisition of non-cash assets and liabilities: | |||
Fair value of assets acquired | 0 | 0 | 2,396,937 |
Fair value of liabilities assumed | $ 0 | $ 0 | $ 2,154,713 |
SUMMARY OF SIGNIFICANT ACCOUNTI
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES | Note 1. SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES Nature of Operations and Financial Statement Presentation On April 30, 2014, Rockville Financial, Inc. (“Rockville”) completed its merger with United Financial Bancorp, Inc. (“Legacy United”) and changed its legal entity name to United Financial Bancorp, Inc. (the “Company”). In connection with this merger, Rockville Bank, the Company’s principal asset and wholly-owned subsidiary, completed its merger with Legacy United’s banking subsidiary, United Bank, and changed its name to United Bank (the “Bank”). Discussions throughout this report related to the merger with Legacy United are referred to as the “Merger”. The results of operations of Legacy United or assets acquired are included only from the date of acquisition. The consolidated financial statements and the accompanying notes presented in this report include the accounts of the Company, the Bank, and the Bank’s wholly-owned subsidiaries, United Bank Mortgage Company, United Bank Investment Corp., Inc., United Bank Commercial Properties, Inc., United Bank Residential Properties, Inc., United Northeast Financial Advisors, Inc., United Bank Investment Sub, Inc., UB Properties, LLC, and UCB Securities, Inc. II. In addition, the Bank has a real estate investment trust subsidiary, United Financial Realty HC, Inc. of which has one wholly-owned subsidiary, United Financial Business Trust I. The Company is a bank holding company under the Bank Holding Company Act of 1956, as amended, headquartered in Glastonbury, Connecticut and incorporated under the laws of Connecticut in 2004. At December 31, 2016 , the Company’s principal asset was all of the outstanding capital stock of United Bank, a wholly-owned subsidiary of the Company. The Company, through United Bank and various subsidiaries, delivers financial services to individuals, families and businesses primarily throughout Connecticut and western Massachusetts and the surrounding regions through 53 banking offices, its commercial loan and mortgage loan production offices, 63 ATMs, telephone banking, mobile banking and its online website (www.bankatunited.com). The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and to general practices in the financial services industry. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the realizability of deferred tax assets, the valuation of derivative instruments and hedging activities, the evaluation of securities for other-than-temporary impairment and review of goodwill for impairment. Certain reclassifications have been made to prior periods’ consolidated financial statements to conform to the 2016 presentation. These reclassifications had no impact on the Company’s consolidated financial position, results of operations or net change in cash equivalents. All significant intercompany transactions have been eliminated. Common Share Repurchases The Company is chartered in the state of Connecticut. Connecticut law does not provide for treasury shares, rather shares repurchased by the Company constitute authorized but unissued shares. GAAP states that accounting for treasury stock shall conform to state law. Therefore, the cost of shares repurchased by the Company has been allocated to common stock balances. Notwithstanding the foregoing, prior to December 31, 2014, the Consolidated Statements of Changes in Shareholders’ Equity refers to repurchased shares as “treasury stock.” Cash and Cash Equivalents For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, and short term investments with original maturities of three months or less. Securities Securities are classified at the time of purchase as “available for sale,” “held to maturity,” or “trading.” Classification is re-evaluated at each quarter end for consistency with corporate goals and objectives. Debt securities held to maturity are those which the Company has the ability and intent to hold to maturity. Securities held to maturity are recorded at amortized cost. Amortized cost includes the amortization of premiums or accretion of discounts using the level yield method. Such amortization and accretion is included in interest income from securities. Securities classified as available for sale are recorded at fair value. Unrealized gains and losses, net of taxes, are calculated each reporting period and presented as a separate component of other comprehensive income (“OCI”). Securities bought and held for the purpose of selling in the near term are classified as trading. Trading securities, if any, are recorded at fair value with calculated gains and losses recognized in non-interest income in the respective accounting period. The Company did not have a trading portfolio at December 31, 2016, 2015 and 2014. Securities transferred from available for sale to held to maturity are recorded at fair value at the time of transfer. The respective gain or loss is reclassified as a separate component of OCI and amortized as an adjustment to interest income using the level yield method. The Company did not transfer any securities from available for sale to held to maturity during 2016, 2015 and 2014 . Securities are reviewed quarterly for other-than-temporary impairment (“OTTI”). All securities classified as held to maturity or available for sale that are in an unrealized loss position are evaluated for OTTI. The evaluation considers several factors including the amount of the unrealized loss, the period of time the security has been in a loss position and the financial condition and near-term prospects of the issuer and guarantor, where applicable. If the Company intends to sell the security or, if it is more likely than not the Company will be required to sell the security prior to recovery of its amortized cost basis, or for debt securities, the present value of expected cash flows is not sufficient to recover the entire amortized cost basis, the security is written down to fair value and the respective write-down is recorded in non-interest income in the Consolidated Statements of Net Income. If the Company does not intend to sell the security and if it is more likely than not that the Company will not be required to sell the security prior to recovery of its amortized cost basis, only the credit component of any impairment charge of a debt security would be recognized as a loss in non-interest income in the Consolidated Statements of Net Income. The remaining impairment would be recorded in OCI. A decline in the value of an equity security that is considered to have OTTI is recorded as a loss in non-interest income in the Consolidated Statements of Net Income. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific identification method. Derivative Financial Instruments Derivatives are recognized as either assets or liabilities and are recorded at fair value on the Company’s Consolidated Statements of Condition. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative and resulting designation. The Company’s hedging policies permit the use of various derivative financial instruments to manage interest rate risk or to hedge specified assets and liabilities. Derivatives executed with the same counterparty are generally subject to netting arrangements; however, fair value amounts recognized for derivatives and fair value amounts recognized for the right/obligation to reclaim/return cash collateral are not offset for financial reporting purposes. To qualify for hedge accounting, derivatives must be highly effective at reducing the risk associated with the exposure being hedged and must be designated as a hedge at the inception of the derivative contract. If derivative instruments are designated as fair value hedges, and such hedges are highly effective, both the change in the fair value of the hedge and the hedged item are included in current earnings. If derivative instruments are designated as cash flow hedges, fair value adjustments related to the effective portion are recorded in other comprehensive income and are reclassified to earnings when the hedged transaction is reflected in earnings. Ineffective portions of cash flow hedges are reflected in earnings as they occur. Actual cash receipts and/or payments and related accruals on derivatives related to hedges are recorded as adjustments to the interest income or interest expense associated with the hedged item. During the life of the hedge, the Company formally assesses whether derivatives designated as hedging instruments continue to be highly effective in offsetting changes in the fair value or cash flows of hedged items. If it is determined that a hedge has ceased to be highly effective, the Company will discontinue hedge accounting prospectively. At such time, previous adjustments to the carrying value of the hedged item are reversed into current earnings and the derivative instrument is reclassified to a trading position recorded at fair value. For derivatives not designated as hedges, changes in fair value are recognized in earnings, in non-interest income. Derivative Loan Commitments Mortgage loan commitments are referred to as derivative loan commitments if the loan that will result from exercise of the commitment will be held for sale upon funding. Loan commitments that are derivatives are recognized at fair value on the Consolidated Statements of Condition in other assets and other liabilities with changes in their fair values recorded in other non-interest income. Fair value is based on the value of servicing rights and the interest rate differential from the commitment date to the current valuation date of the underlying mortgage loans. In estimating fair value, the Company assigns a probability to a loan commitment based on an expectation that it will be exercised and the loan will be funded. Subsequent to inception, changes in the fair value of the loan commitment are recognized based on changes in the fair value of the underlying mortgage loan due to interest rate changes, changes in the probability the derivative loan commitment will be exercised, and the passage of time. In estimating fair value, the Company assigns a probability to a loan commitment based on an expectation that it will be exercised and the loan will be funded. Forward Loan Sale Commitments To protect against the portfolio risks inherent in derivative loan commitments or rate locks associated with fixed rate residential lending, the Company utilizes both “mandatory delivery” and “best efforts” forward loan sale commitments to mitigate the risk of potential decreases in the values of loans and long-term interest rate risk that may result from the exercise of the derivative loan commitments. These forward loan sale commitments are accounted for as derivative instruments. The Company estimates the fair value of its forward loan sales commitments using a methodology similar to that used for derivative loan commitments, excluding the valuation of servicing rights. Forward loan sale commitments are recognized at fair value on the Consolidated Statements of Condition in other assets and other liabilities with changes in fair value recorded in other non-interest income. Federal Home Loan Bank Stock The Company, as a member of the Federal Home Loan Bank system, is required to maintain an investment in capital stock of the Federal Home Loan Bank of Boston (“FHLBB”) based primarily on its level of borrowings from the FHLBB. Based on the redemption provisions of the FHLBB, the stock has no quoted market value and is carried at cost. At its discretion, the FHLBB may declare dividends on the stock. FHLBB stock may be redeemed at par value five years following termination of FHLBB membership, subject to limitations which may be imposed by the FHLBB or its regulator, the Federal Housing Finance Board, to maintain capital adequacy of the FHLBB. While the Company currently has no intentions to terminate its FHLBB membership, the ability to redeem its investment in FHLBB stock would be subject to the conditions imposed by the FHLBB. The Company reviews for impairment based on the ultimate recoverability of the cost basis in the FHLBB stock. Based on the capital adequacy and the liquidity position of the FHLBB, management believes there is no impairment related to the carrying amount of the Company’s FHLBB stock as of December 31, 2016 and 2015 . Loans Held For Sale The Company primarily classifies newly originated residential real estate mortgage loans as held for sale based on intent, which is determined when loans are rate locked. Residential real estate mortgage loans not designated as held for sale are retained based upon available liquidity, interest rate risk management and other business purposes. The Company has elected the fair value option pursuant to Accounting Standards Codification (“ASC”) 825, Financial Instruments, for closed loans intended for sale. The Company elected the fair value option in order to reduce certain timing differences and better match changes in fair values of the loans with changes in the fair value of the derivative forward loan sale contracts used to economically hedge them. Fair values are estimated using quoted loan market prices. Changes in the fair value of loans held for sale are recorded in earnings and are offset by changes in fair value related to forward sale commitments. Gains or losses on sales of loans are included in non-interest income. Direct loan origination costs and fees are deferred upon origination and are recognized as part of the gain or loss on the date of sale. Residential loans are sold by the Company without recourse. The Company currently sells these loans servicing retained, with the exception of a limited volume of government production sold servicing released. Loans Loans we originate and intend to hold in our portfolio are stated at current unpaid principal balances, net of deferred loan origination costs and fees. Commitment fees for which the likelihood of exercise is remote are recognized over the loan commitment period on a straight-line basis. Loans that we acquired in the merger with Legacy United were recorded at fair value with no carryover of the related allowance for loan losses at the time of acquisition. Determining the fair value of the loans involved estimating the amount and timing of principal and interest cash flows expected to be collected on the loans and discounting those cash flows at a market rate of interest. The Company’s loan portfolio includes owner-occupied commercial real estate, investor non-owner commercial real estate, commercial and residential construction, commercial business, residential real estate, home equity and other consumer loan segments. Residential real estate loans include one-to-four family owner occupied first mortgages. A loan is classified as a troubled debt restructure (“TDR”) when certain concessions have been made to the original contractual terms, such as reductions of interest rates or deferral of interest or principal payments, due to the borrowers’ financial difficulties. All TDR loans are initially classified as impaired and generally remain impaired as TDRs for the remaining life of the loan. Impaired and TDR classification may be removed if the borrower demonstrates compliance with the modified terms and the restructuring agreement specifies an interest rate equal to that which would be provided to a borrower with similar credit at the time of restructuring. Interest and Fees on Loans Interest on loans is accrued and included in interest income based on contractual rates applied to principal amounts outstanding. Accrual of interest is discontinued, and previously accrued income is reversed, when loan payments are 90 days or more past due or when, in the judgment of management, collectability of the loan or loan interest becomes uncertain. Past due status is based on the contractual payment terms of the loan. Subsequent recognition of income occurs only to the extent payment is received subject to management’s assessment of the collectability of the remaining interest and principal. A non-accrual loan is restored to accrual status when the loan is brought current, collectability of interest and principal is no longer in doubt and six months of continuous payments have been received. Loan origination fees and direct loan origination costs (including loan commitment fees) are deferred, and the net amount is recognized as an adjustment of the related loan’s yield utilizing the interest method over the contractual life of the loan. Fair value acquisition adjustments are determined as of the date of acquisition based upon facts and circumstances, including the amount and timing of principal and interest cash flows expected to be collected on the loans and discounting those cash flows at a market rate of interest. Subsequent to acquisition, the fair value acquisition adjustments are generally amortized over the remaining life of the loan under the interest method, or a constant effective yield method. For ASC 310-30 loans, Loans and Debt Securities Acquired with Deteriorated Credit Quality (“ASC 310-30”), the interest method is applicable to a loan or a pool of loans as determined by characteristics including but not limited to borrower type, loan purpose, geographic location and collateral type. In recording the acquisition data fair values of acquired impaired loans, management calculates a non-accretable difference (the credit component of the purchased loans) and an accretable difference (the yield component of the purchased loans). For changes in cash flows expected to be collected, we adjust the amount of accretable yield recognized on a prospective basis over the remaining lives of the loans. Allowance for Loan Losses The allowance for loan losses is a reserve established through a provision for loan losses charged to expense and represents management’s best estimate of probable losses incurred within the existing loan portfolio as of the balance sheet date. The level of the allowance reflects management’s view of trends in loan loss activity, current loan portfolio quality and present economic, political and regulatory conditions. Portions of the allowance may be allocated for specific loans; however, the allowance is available for any loan that is charged off. The allowance is increased by provisions charged to earnings and by recoveries of amounts previously charged off, and is reduced by charge-offs on loans (or portions thereof) deemed to be uncollectible. Loan charge-offs are recognized when management believes the collectability of the principal balance outstanding is unlikely. Full or partial charge-offs on collateral dependent impaired loans are generally recognized when the collateral is deemed to be insufficient to support the carrying value of the loan. A methodology is used to systematically measure the amount of estimated loan loss exposure inherent in the loan portfolio for the purposes of establishing a sufficient allowance for loans losses, as further described below. General component: The general component of the allowance for loan losses is based on historical loss experience adjusted for qualitative factors stratified by the loan segments. Management uses a rolling average of historical losses based on a three -year loss history to capture relevant loss data for each loan segment. This historical loss factor is adjusted for the following qualitative factors: levels and trends in delinquencies; level and trend of charge-offs and recoveries; trends in volume and types of loans; effects of changes in risk selection and underwriting standards, changes in risk selection and underwriting standards; experience and depth of lending weighted average risk rating; and national and local economic trends and conditions. The general component of the allowance for loan and lease loss also includes a reserve based upon historical loss experience for loans which were acquired and have subsequently evidenced deterioration following initial acquisition. Our acquired loan portfolio is comprised of purchased loans that show no evidence of credit deterioration subsequent to acquisition and therefore these loans are not part of the covered portfolio. Acquired impaired loans are loans with evidence of deterioration upon to acquisition and are not considered in the covered portfolio in establishing the allowance for loan loss. There were no changes in the Company’s methodology pertaining to the general component of the allowance for loan losses during 2016. The qualitative factors are determined based on the various risk characteristics of each loan segment. Risk characteristics relevant to each portfolio segment are as follows: Residential real estate and home equity loans – The Company establishes maximum loan-to-value and debt-to-income ratios and minimum credit scores as an integral component of the underwriting criteria. Loans in these segments are collateralized by owner-occupied residential real estate and repayment is dependent on the income and credit quality of the individual borrower. Within the qualitative allowance factors, national and local economic trends including unemployment rates and potential declines in property value, are key elements reviewed as a component of establishing the appropriate allocation. Overall economic conditions, unemployment rates and housing price trends will influence the underlying credit quality of these segments. Owner-occupied and investor non-owner occupied commercial real estate – Loans in these segments are primarily income-producing properties throughout Connecticut, western Massachusetts, and other select markets in the Northeast. The underlying cash flows generated by the properties could be adversely impacted by a downturn in the economy as evidenced by increased vacancy rates, which in turn, will have an effect on the credit quality in this segment. Management obtains rent rolls annually, continually monitors the cash flows of these loans and performs stress testing. Construction loans – Loans in this segment primarily include commercial real estate development and residential subdivision loans for which payment is derived from the sale of the property. Credit risk is affected by cost overruns, time to sell at an adequate price, and market conditions. Commercial business loans – Loans in this segment are made to businesses and are generally secured by assets of the business. Repayment is expected from the cash flows of the business. A weakened economy and its effect on business profitability and cash flow could have an effect on the credit quality in this segment. Other Consumer – Loans in this segment are secured or unsecured and repayment is dependent on the credit quality of the individual borrower. A significant portion of these loans are secured by boats. For acquired loans accounted for under ASC 310-30, our allowance for loan losses is estimated based upon our expected cash flows for these loans. To the extent that we experience a deterioration in borrower credit quality resulting in a decrease in our expected cash flows subsequent to the acquisition of the loans, an allowance for loan losses would be established based on our estimate of future credit losses over the remaining life of the loans. Allocated component: The allocated component relates to loans that are classified as impaired. Impairment is measured on a loan by loan basis for commercial, commercial real estate and construction loans by either the present value of expected future cash flows discounted at the loan's effective interest rate or the fair value of the collateral if the loan is collateral dependent. An allowance is established when the discounted cash flows (or collateral value) of the impaired loan is lower than the carrying value of that loan. Updated property evaluations are obtained at the time of impairment and serve as the basis for the loss allocation if foreclosure is probable or the loan is collateral dependent. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Loans which are placed on non-accrual status, or deemed troubled debt restructures, are considered impaired by the Company and subject to impairment testing for possible partial or full charge-off when loss can be reasonably determined. Generally, when all contractual payments on a loan are not expected to be collected, or the loan has failed to make contractual payments for a period of 90 days or more, a loan is placed on non-accrual status. In accordance with the Company's loan policy, losses on open and closed end consumer loans are recognized within a period of 120 days past due. For commercial loans, there is no threshold in terms of days past due for losses to be recognized as a result of the complexity in reasonably determining losses within a set time frame. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. When a loan is determined to be impaired, the Company makes a determination if the repayment of the obligation is collateral dependent. As a majority of impaired loans are collateralized by real estate, appraisals on the underlying value of the property securing the obligation are utilized in determining the specific impairment amount that is allocated to the loan as a component of the allowance calculation. If the loan is collateral dependent, an updated appraisal is obtained within a short period of time from the date the loan is determined to be impaired; typically no longer than 30 days for a residential property and 90 days for a commercial real estate property. The appraisal and the appraised value are reviewed for adequacy and then further discounted for estimated disposition costs and the period of time until resolution, in order to determine the impairment amount. The Company updates the appraised value at least annually and on a more frequent basis if current market factors indicate a potential change in valuation. The majority of the Company’s loans are collateralized by real estate located in central and eastern Connecticut and western Massachusetts in addition to a portion of the commercial real estate loan portfolio located in the Northeast region of the United States. Accordingly, the collateral value of a substantial portion of the Company’s loan portfolio and real estate acquired through foreclosure is susceptible to changes in market conditions in these areas. Unallocated component: An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating allocated and general reserves in the portfolio. The allowance for loan losses has been determined in accordance with GAAP, under which the Company is required to maintain an allowance for probable losses at the balance sheet date. The Company is responsible for the timely and periodic determination of the amount of the allowance required. Management believes that the allowance for loan losses is adequate to cover specifically identifiable losses, as well as, estimated losses inherent in our portfolio that are probable, but not specifically identifiable. While management regularly evaluates the adequacy of the allowance for loan losses, future additions to the allowance may be necessary based on changes in assumptions and economic conditions. In addition, various regulatory agencies, as an integral part of their examination process, periodically review the Company’s allowance for loan losses. Such agencies may require the Company to recognize additions to the allowance based on their judgments about information available to them at the time of their examination. Servicing The Company services mortgage loans for others. Mortgage servicing assets are recognized at fair value as separate assets when rights are acquired through purchase or through sale of financial assets. Fair value is determined using prices for similar assets with similar characteristics, when available, or based upon discounted cash flows using market-based assumptions. The Company’s servicing asset valuation is performed by an independent third party using a static valuation model representing a projection of a single interest rate/market environment into the future and discounting the resulting assumed cash flow back to present value. Discount rates, servicing costs, float earnings rates and delinquency information as well as the use of the medium PSA quotations provided by Security Industry and Financial Market Association are used to calculate the value of the servicing asset. Capitalized servicing rights are reported in other assets at fair value, with changes in fair value recorded in income from mortgage banking activities. Other Real Estate Owned Real estate acquired through, or in lieu of, loan foreclosure is held for sale and is initially recorded at fair value, less costs to sell, at the date of foreclosure, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of carrying amount or fair value less costs to sell. At December 31, 2016 and 2015 , the Company had $1.9 million and $755,000 , respectively, of other real estate owned included in other assets on the Consolidated Statements of Condition. Revenue and expenses from operations, changes in the valuation allowance and any direct write-downs are included in non-interest expense. Gains and losses on the sale of other real estate owned are recorded in other income (loss) in the Consolidated Statements of Net Income. Bank-Owned Life Insurance Bank-owned life insurance (“BOLI”) represents life insurance on certain current and former employees who have consented to allow the Bank to be the beneficiary of those policies. BOLI is recorded as an asset at cash surrender value. Increases in the cash surrender value of the policies, as well as insurance proceeds received in excess of carrying value, are recorded in non-interest income and are not subject to income tax. Management reviews the credit quality and financial strength of the insurance carriers on a quarterly and annual basis. BOLI with any individual carrier is limited to 15% of capital plus reserves. Transfers of Financial Assets Transfers of an entire financial asset, a group of entire financial assets, or a participating interest in an entire financial asset are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when: (1) the assets have been isolated from the Company, (2) the transferee obtains the right to pledge or exchange the transferred assets and no condition both constrains the transferee from taking advantage of that right and provides more than a trivial benefit for the transferor, and (3) the Company does not maintain effective control over the transferred assets through either: (a) an agreement that both entitles and obligates the transferor to repurchase or redeem the assets before maturity or (b) the ability to unilaterally cause the holder to return specific assets, other than through a cleanup call. Premises and Equipment Premises and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation is charged to operations using the straight-line method over the estimated useful lives of the related assets which range from 3 to 39 1/2 years. Leasehold improvements are amortized over the shorter of the improvements’ estimated economic lives or the related lease terms. Expected lease terms include lease option periods to the extent that the exercise of such options are reasonably assured. Maintenance and repairs are expensed as incurred and impro |
RECENT ACCOUNTING PRONOUNCEMENT
RECENT ACCOUNTING PRONOUNCEMENTS | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
RECENT ACCOUNTING PRONOUNCEMENTS | Note 2. RECENT ACCOUNTING PRONOUNCEMENTS Intangibles In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2017-04 Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. The guidance removes Step 2 of the Goodwill Impairment Test, which requires hypothetical purchase price allocation. A goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The new guidance will simplify financial reporting since it eliminates the need to determine the fair value of individual assets and liabilities of a reporting unit to measure the goodwill impairment. Currently, failing Step 1 of the goodwill impairment test did not necessarily result in impairment. However, under the new guidance, failing Step 1 will always result in impairment. This ASU will be applied prospectively, and is effective for public business entities that are U.S. Securities and Exchange Commission filers, including the Company, for its annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. Early adoption is permitted for any impairment test performed after January 1, 2017. This ASU is not expected to have an impact on the Company’s Consolidated Financial Statements. Business Combinations In January 2017, the FASB issued ASU No. 2017-01 Business Combinations (Topic 805): Clarifying the Definition of a Business which revises the definition of a business when evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. To be considered a business, an acquisition would have to include an input and a substantive process that together significantly contribute to the ability to create outputs. The new guidance provides a framework to evaluate when an input and a substantive process are present. To be a business without outputs, there will now need to be an organized workforce. This ASU also narrows the definition of an output so that the term is consistent with how outputs are described in Topic 606, Revenue from Contracts with Customers . Public business entities should apply the amendments in this Update to annual periods beginning after December 15, 2017, including interim periods within those periods. This ASU is not expected to have an impact on the Company’s Consolidated Financial Statements. Statement of Cash Flows In November 2016, the FASB issued ASU No. 2016-18 Statement of Cash Flows (Topic 230): Restricted Cash as a part of the consensus of the FASB’s Emerging Issues Task Force. The intention of this ASU is to reduce diversity in the presentation of restricted cash and restricted cash equivalents in the Statement of Cash Flows. Currently, there is no guidance as to how to present restricted cash and cash equivalents. The ASU requires that restricted cash and restricted cash equivalents be included as components of total cash and cash equivalents as presented on the Statement of Cash Flows. However, the ASU does not clarify the definitions of the terms “restricted cash” or “restricted cash equivalents” but states that an entity should continue to provide appropriate disclosures about its accounting policies pertaining to restricted cash. ASU 2016-18 is effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. This ASU is not expected to have a significant impact on the Company’s Consolidated Financial Statements. Statement of Cash Flows In August 2016, the FASB issued ASU No. 2016-15 Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments to address eight specific cash flow issues with the objective of reducing diversity in practice in how certain transactions are classified in the statement of cash flows. The issues identified within the ASU include: 1) debt prepayments and extinguishment costs, 2) settlement of zero-coupon debt, 3) settlement of contingent consideration, 4) insurance proceeds, 5) settlement of corporate-owned life insurance (COLI) and bank-owned life insurance (BOLI) policies, 6) distributions from equity method investees, 7) beneficial interests in securitization transactions, and 8) receipts and payments with aspects of more than one class of cash flows. ASU 2016-15 is effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact of the ASU on the disclosures in the Company’s Statements of Cash Flows, but does not expect this ASU to have a material impact on the Company’s Consolidated Financial Statements. Financial Instruments In June 2016, FASB issued ASU No. 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments which amends the Board’s guidance on the impairment of financial instruments. The ASU adds to GAAP an impairment model (known as the current expected credit loss (CECL) model) that is based on expected losses rather than incurred losses. Under the new guidance, an entity recognizes as an allowance its estimate of expected credit losses, which the FASB believes will result in more timely recognition of such losses. The ASU is also intended to reduce the complexity of U.S. GAAP by decreasing the number of credit impairment models that entities use to account for debt instruments. For public business entities that are U.S. Securities and Exchange Commission filers, such as the Company, this ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. All entities may adopt the amendments in this Update earlier as of the fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. This ASU potentially could have a significant impact on the Company’s allowance for loan losses, however, no assessment of the potential impact has been determined. Efforts are in process to quantify and prepare for the ASU’s effective date. Compensation In March 2016, the FASB issued ASU No. 2016-09 Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting as part of the Board’s simplification initiative aimed at reducing complexity in accounting standards . This ASU simplifies several aspects of the accounting for employee share-based payment transactions for both public and nonpublic entities, including; accounting for income taxes as an income tax benefit or expense in the income statement rather than through equity; classification of excess tax benefits on the statement of cash flows; forfeitures; statutory tax withholding requirements; classification of awards as either equity or liabilities and; classification of employee taxes paid on the statement of cash flows when an employer withholds shares for tax-withholding purposes. For public business entities, the amendments are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. For all other entities, the amendments are effective for annual periods beginning after December 15, 2017, and interim periods within annual periods beginning after December 15, 2018. Early adoption is permitted for any entity in any interim or annual period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. An entity that elects early adoption must adopt all of the amendments in the same period. This ASU is expected to have a $500,000 annual income tax benefit on the Company’s Financial Statements through the income statement. Derivatives and Hedging In March 2016, the FASB issued ASU No. 2016-06 Derivatives and Hedging (Topic 815): Contingent Put and Call Options in Debt Instruments as part of the consensus of the Emerging Issues Task Force. This ASU addresses inconsistent interpretations of whether an event that triggers an entity’s ability to exercise the embedded contingent option must be indexed to interest rates or credit risk for that option to qualify as clearly and closely related. The ASU clarifies that in assessing whether an embedded contingent put or call option is clearly and closely related to the debt host, an entity is required to perform only the four-step decision sequence in ASC 815-15-25-42 as amended by the ASU. The entity does not have to separately assess whether the event that triggers its ability to exercise the contingent option is itself indexed only to interest rates or credit risk. For public business entities, the amendments in the ASU are effective for annual reporting periods, and interim period therein, beginning after December 15, 2016. Early adoption is permitted. This ASU is not expected to have a material impact on the Company’s Consolidated Financial Statements. Leases In February 2016, the FASB issued ASU No. 2016-02 Leases (Topic 842) . This ASU introduces a lessee model that brings most leases on the balance sheet and aligns many of the underlying principles of the new lessor model with those in the new revenue recognition standard, ASC 606, Revenue From Contracts with Customers . The new leases standard represents a whole-sale change to lease accounting and will most likely result in significant implementation challenges during the transition period and beyond. Classification will be based on criteria that are largely similar to those applied in current lease accounting, but without explicit bright lines. The new guidance will be effective for public business entities for annual periods beginning after December 15, 2018 (i.e. calendar periods beginning on January 1, 2019), and interim periods therein. This ASU is not expected to have a significant impact on the Company’s Consolidated Financial Statements. Financial Instruments In January 2016, the FASB issued ASU No. 2016-01 Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. This ASU requires entities to carry all investments in equity securities, including other ownership interests such as partnerships, unincorporated joint ventures and limited liability companies, at fair value through net income. For equity investments that do not have readily determinable market values, the entity may choose to report the investment at cost minus impairments. This new requirement does not apply to investments that qualify for the equity method of accounting or to those that result in consolidation of these investments. The ASU supersedes current guidance and no longer requires equity securities with readily determinable fair value to be classified into categories (i.e. trading or available for sale). The ASU clarifies that when identifying observable price changes, an entity should consider relevant transactions “that are known or can reasonably be known“ and that an entity is not required to spend undue cost and effort to identify such transactions. The ASU also indicates that an entity should consider a security’s rights and obligations, such as voting rights, distribution rights and preferences, and conversion features, when evaluating whether the security issued by the same issuer is similar to the equity security held by the entity. The ASU further provides for the elimination of disclosure requirements related to financial instruments measured at amortized cost. For public business entities, the new standard will require disclosure of fair value using the exit price notion for all financial instruments measured at amortized cost. Pursuant to the ASU, recognition and measurement will take effect for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. For all entities, the ASU permits early adoption of the instrument-specific credit risk provision. This ASU is not expected to have a significant impact on the Company’s Consolidated Financial Statements. |
MERGER
MERGER | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
MERGER | Note 3. MERGER The Company acquired 100% of the outstanding common shares and completed its merger with Legacy United on April 30, 2014. Legacy United’s principal subsidiary was a federally chartered savings bank headquartered in West Springfield, Massachusetts, which operated 35 branch locations, two express drive-up branches, and two loan production offices, primarily in the Springfield and Worcester regions of Massachusetts and in Central Connecticut. The Company entered into the Merger agreement based on its assessment of the anticipated benefits, including enhanced market share and expansion of its banking franchise. The Merger was accounted for as a purchase and, as such, was included in the results of operations from the date of the Merger. The Merger was funded with shares of Rockville common stock and cash. As of the close of trading on April 30, 2014, all of the shareholders of Legacy United received 1.3472 shares of Rockville for each share of Legacy United common stock owned at that date. Total consideration paid at closing was valued at $356.4 million , based on the closing price of $13.16 of Rockville common stock, the value of Legacy United exercisable options and cash paid for fractional shares on April 30, 2014. The following table summarizes the Merger on April 30, 2014: (Dollars and shares in thousands) Transaction Related Items Legacy United Goodwill Other Identifiable Intangibles Shares Issued Value of Legacy United Exercisable Options Total Purchase Price Balance at April 30, 2014 Assets Equity $ 2,442,525 $ 304,505 $ 114,211 $ 10,585 26,706 $ 4,909 $ 356,394 The transaction was accounted for using the purchase method of accounting in accordance with ASC Topic 805, Business Combinations . Accordingly, the purchase price was allocated based on the estimated fair market values of the assets and liabilities acquired. See the Company’s 2014 audited consolidated financial statements and notes thereto included in United Financial Bancorp, Inc.’s Annual Report on Form 10-K as of and for the year ended December 31, 2014 for additional information. |
GOODWILL AND CORE DEPOSIT INTAN
GOODWILL AND CORE DEPOSIT INTANGIBLES | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND CORE DEPOSIT INTANGIBLES | Note 4. GOODWILL AND CORE DEPOSIT INTANGIBLES The changes in the carrying amount of goodwill and core deposit intangible assets are summarized as follows: Goodwill Core Deposit Intangible (In thousands) Balance at December 31, 2014 $ 115,240 $ 9,302 Adjustments 41 — Amortization expense — (1,796 ) Balance at December 31, 2015 $ 115,281 $ 7,506 Amortization expense — (1,604 ) Balance at December 31, 2016 $ 115,281 $ 5,902 Estimated amortization expense for the years ending December 31, 2017 $ 1,411 2018 1,219 2019 1,026 2020 834 2021 642 2022 and thereafter 770 Total remaining $ 5,902 The goodwill associated with the acquisition of Legacy United is not tax deductible. In accordance with ASC 350 , Intangibles – Goodwill and Other , goodwill will not be amortized, but will be subject to at least an annual impairment review. The Company tests goodwill impairment annually in the fourth quarter or more frequently if events or changes in circumstances indicate that impairment is possible. No impairment was recorded on goodwill for the years ended December 31, 2016, 2015 and 2014 . The amortizing intangible asset associated with the acquisition consists of the core deposit intangible. The core deposit intangible is being amortized using the sum of the years’ digits method over its estimated life of 10 years . Amortization expense of the core deposit intangible was $1.6 million , $1.8 million , and $1.3 million for the years ended December 31, 2016, 2015 and 2014 . |
RESTRICTIONS ON CASH AND DUE FR
RESTRICTIONS ON CASH AND DUE FROM BANKS | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
RESTRICTIONS ON CASH AND DUE FROM BANKS | Note 5. RESTRICTIONS ON CASH AND DUE FROM BANKS The Company is required to maintain a percentage of transaction account balances on deposit with the Federal Reserve Bank that was offset by the Company’s average vault cash. As of December 31, 2016 and 2015 , the Company was required to have cash and liquid assets of $25.8 million and $24.0 million , respectively, to meet these requirements. |
SECURITIES
SECURITIES | 12 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
SECURITIES | Note 6. SECURITIES The amortized cost, gross unrealized gains, gross unrealized losses and fair values of investment securities at December 31, 2016 and 2015 are as follows: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value December 31, 2016 (In thousands) Available for sale: Debt securities: Government-sponsored residential mortgage-backed securities $ 181,419 $ 365 $ (2,236 ) $ 179,548 Government-sponsored residential collateralized debt obligations 184,185 438 (1,363 ) 183,260 Government-sponsored commercial mortgage-backed securities 26,949 23 (442 ) 26,530 Government-sponsored commercial collateralized debt obligations 164,433 296 (1,802 ) 162,927 Asset-backed securities 166,336 1,619 (988 ) 166,967 Corporate debt securities 76,787 533 (2,305 ) 75,015 Obligations of states and political subdivisions 223,733 127 (7,484 ) 216,376 Total debt securities 1,023,842 3,401 (16,620 ) 1,010,623 Marketable equity securities, by sector: Banks 32,174 482 (243 ) 32,413 Industrial 109 58 — 167 Oil and gas 131 77 — 208 Total marketable equity securities 32,414 617 (243 ) 32,788 Total available for sale securities $ 1,056,256 $ 4,018 $ (16,863 ) $ 1,043,411 Held to maturity: Debt securities: Government-sponsored residential mortgage-backed securities $ 1,717 $ 172 $ — $ 1,889 Obligations of states and political subdivisions 12,321 654 (35 ) 12,940 Total held to maturity securities $ 14,038 $ 826 $ (35 ) $ 14,829 December 31, 2015 Available for sale: Debt securities: U.S. Government and government-sponsored enterprise obligations $ 10,159 $ 13 $ (83 ) $ 10,089 Government-sponsored residential mortgage-backed securities 146,434 731 (1,304 ) 145,861 Government-sponsored residential collateralized debt obligations 287,515 855 (1,403 ) 286,967 Government-sponsored commercial mortgage-backed securities 21,144 21 (200 ) 20,965 Government-sponsored commercial collateralized debt obligations 128,617 626 (271 ) 128,972 Asset-backed securities 162,895 43 (3,037 ) 159,901 Corporate debt securities 62,356 91 (2,487 ) 59,960 Obligations of states and political subdivisions 201,217 1,561 (1,663 ) 201,115 Total debt securities 1,020,337 3,941 (10,448 ) 1,013,830 Marketable equity securities, by sector: Banks 41,558 1,099 (544 ) 42,113 Industrial 109 34 — 143 Mutual funds 2,854 65 (4 ) 2,915 Oil and gas 132 36 — 168 Total marketable equity securities 44,653 1,234 (548 ) 45,339 Total available for sale securities $ 1,064,990 $ 5,175 $ (10,996 ) $ 1,059,169 Held to maturity: Debt securities: Government-sponsored residential mortgage-backed securities $ 2,205 $ 244 $ — $ 2,449 Obligations of states and political subdivisions 12,360 884 (10 ) 13,234 Total held to maturity securities $ 14,565 $ 1,128 $ (10 ) $ 15,683 At December 31, 2016 , the net unrealized loss on securities available for sale of $12.8 million , net of income taxes of $4.6 million , or $8.2 million , was included in accumulated other comprehensive loss. At December 31, 2015 , the net unrealized loss on securities available for sale of $5.8 million , net of income taxes of $2.1 million , or $3.7 million , was included in accumulated other comprehensive loss. The amortized cost and fair value of debt securities at December 31, 2016 by contractual maturities are presented below. Actual maturities may differ from contractual maturities because the securities may be called or repaid without any penalties. Because mortgage-backed securities require periodic principal paydowns, they are not included in the maturity categories in the following maturity summary: Available for Sale Held to Maturity Amortized Cost Fair Value Amortized Cost Fair Value (In thousands) Maturity: After 1 year through 5 years $ 11,096 $ 11,201 $ 1,181 $ 1,202 After 5 years through 10 years 69,787 68,683 — — After 10 years 219,637 211,507 11,140 11,738 300,520 291,391 12,321 12,940 Government-sponsored residential mortgage-backed securities 181,419 179,548 1,717 1,889 Government-sponsored residential collateralized debt obligations 184,185 183,260 — — Government-sponsored commercial mortgage-backed securities 26,949 26,530 — — Government-sponsored commercial collateralized debt obligations 164,433 162,927 — — Asset-backed securities 166,336 166,967 — — Total debt securities $ 1,023,842 $ 1,010,623 $ 14,038 $ 14,829 At December 31, 2016 , the Company had 115 securities, with a fair value of $510.0 million , pledged as derivative collateral and collateral for reverse repurchase borrowings. See Notes 11 and 13. For the years ended December 31, 2016, 2015 and 2014 , proceeds from the sale of available for sale securities and gross realized gains and losses on the sale of available for sale securities are presented below: For the Years Ended December 31, 2016 2015 2014 (In thousands) Proceeds from the sale of available for sale securities $ 268,162 $ 280,564 $ 511,044 Gross realized gains on the sale of available for sale securities 2,880 3,090 2,711 Gross realized losses on the sale of available for sale securities 919 2,151 1,483 As of December 31, 2016 , the Company did not have any exposure to private-label mortgage-backed securities. The Company did not own any single security with an aggregate book value in excess of 10% of the Company’s stockholders’ equity at December 31, 2016 and 2015 . The Company’s Management Investment Committee reviews state exposure in the obligations of states and political subdivisions portfolio on an ongoing basis. As of December 31, 2016 , the estimated fair value of this portfolio was $229.3 million , with no significant geographic exposure concentrations. Of the total state and political subdivisions of $229.3 million , $96.8 million were representative of general obligation bonds for which $61.1 million are general obligations of political subdivisions of the respective state, rather than general obligations of the state itself. The following table summarizes gross unrealized losses and fair value, aggregated by category and length of time the securities have been in a continuous unrealized loss position, as of December 31, 2016 and 2015 : Less than 12 months 12 Months or More Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss (In thousands) December 31, 2016 Available for sale: Debt securities: Government-sponsored residential mortgage-backed securities $ 156,000 $ (2,236 ) $ — $ — $ 156,000 $ (2,236 ) Government-sponsored residential collateralized debt obligations 109,468 (1,082 ) 6,691 (281 ) 116,159 (1,363 ) Government-sponsored commercial mortgage-backed securities 23,808 (442 ) — — 23,808 (442 ) Government-sponsored commercial collateralized debt obligations 128,238 (1,802 ) — — 128,238 (1,802 ) Asset-backed securities 23,415 (163 ) 20,326 (825 ) 43,741 (988 ) Corporate debt securities 43,990 (885 ) 3,335 (1,420 ) 47,325 (2,305 ) Obligations of states and political subdivisions 156,891 (5,620 ) 41,136 (1,864 ) 198,027 (7,484 ) Total debt securities 641,810 (12,230 ) 71,488 (4,390 ) 713,298 (16,620 ) Marketable equity securities 19,002 (243 ) — — 19,002 (243 ) Total available for sale securities $ 660,812 $ (12,473 ) $ 71,488 $ (4,390 ) $ 732,300 $ (16,863 ) Held to Maturity: Debt Securities: Obligations of states and political subdivisions $ — $ — $ 1,070 $ (35 ) $ 1,070 $ (35 ) Total held to maturity securities $ — $ — $ 1,070 $ (35 ) $ 1,070 $ (35 ) December 31, 2015 Available for sale: Debt securities: U.S. Government and government sponsored enterprise obligations $ 4,867 $ (66 ) $ 4,977 $ (17 ) $ 9,844 $ (83 ) Government-sponsored residential mortgage-backed securities 107,142 (1,183 ) 7,195 (121 ) 114,337 (1,304 ) Government-sponsored residential collateralized debt obligations 152,278 (1,357 ) 3,506 (46 ) 155,784 (1,403 ) Government-sponsored commercial mortgage-backed securities 16,207 (200 ) — — 16,207 (200 ) Government-sponsored commercial collateralized debt obligations 38,151 (221 ) 3,496 (50 ) 41,647 (271 ) Asset-backed securities 93,723 (1,233 ) 49,462 (1,804 ) 143,185 (3,037 ) Corporate debt securities 42,102 (797 ) 6,720 (1,690 ) 48,822 (2,487 ) Obligations of states and political subdivisions 47,878 (946 ) 42,685 (717 ) 90,563 (1,663 ) Total debt securities 502,348 (6,003 ) 118,041 (4,445 ) 620,389 (10,448 ) Marketable equity securities: 18,449 (287 ) 6,176 (261 ) 24,625 (548 ) Total $ 520,797 $ (6,290 ) $ 124,217 $ (4,706 ) $ 645,014 $ (10,996 ) Held to Maturity: Debt Securities: Obligations of states and political subdivisions $ 1,104 $ (10 ) $ — $ — $ 1,104 $ (10 ) Total held to maturity securities $ 1,104 $ (10 ) $ — $ — $ 1,104 $ (10 ) Of the securities summarized above as of December 31, 2016 , 170 issues had unrealized losses equaling 1.9% of the cost basis for less than twelve months and 31 issues had unrealized losses equaling 5.8% of the amortized cost basis for twelve months or more. As of December 31, 2015 , 146 issues had unrealized losses for less than twelve months and 96 issues had losses for twelve months or more. Management believes that no individual unrealized loss as of December 31, 2016 represents an other-than-temporary impairment, based on its detailed quarterly review of the securities portfolio. Among other things, the other-than-temporary impairment review of the investment securities portfolio focuses on the combined factors of percentage and length of time by which an issue is below book value as well as consideration of issuer specific information (present value of cash flows expected to be collected, issuer rating changes and trends, credit worthiness and review of underlying collateral), broad market details and the Company’s intent to sell the security or if it is more likely than not that the Company will be required to sell the debt security before recovering its cost. The Company also considers whether the depreciation is due to interest rates or credit risk. The following paragraphs outline the Company’s position related to unrealized losses in its investment securities portfolio at December 31, 2016 : Government-sponsored residential mortgage backed securities, collateralized mortgage obligations, commercial mortgage-backed securities, and commercial mortgage obligations. The unrealized losses on the Company’s government-sponsored collateralized debt obligations and commercial mortgage backed securities were caused by the increase in interest rates and interest rate expectations. The Company monitors this risk, and therefore, strives to minimize premiums within this security class. The Company does not expect these securities to settle at a price less than the par value of the securities. Obligations of states and political subdivisions. The unrealized loss on obligations of states and political subdivisions relates to securities with no geographic concentration. The unrealized loss was due to an upward shift in interest rates and certain parts of the municipal bond credit curve that resulted in a negative impact to the respective bonds’ pricing, relative to the time of purchase. Corporate debt securities. The unrealized losses on corporate debt securities is primarily related to one pooled trust preferred security, Preferred Term Security XXVIII, Ltd (“PRETSL XXVIII”). The unrealized loss on this security is primarily caused by the overall low interest rate environment because it reprices quarterly to the three month LIBOR and market spreads on similar securities have increased. No loss of principal or break in yield is projected. Based on the existing credit profile, management does not believe that this security will suffer from any credit related losses. The unrealized loss on the remainder of the corporate credit portfolio has been driven primarily by a general widening in credit spreads across the curve. Asset-Backed Securities . The unrealized losses on the Company’s asset-backed securities were largely driven a general widening in credit spreads across the yield curve relative to the time of purchase. The majority of these securities have resetting coupons that adjust on quarterly basis and the market spreads on similar securities have increased. Based on the credit profiles and asset qualities of the individual securities, management does not believe that the securities will suffer from any credit related losses. The Company does not expect these securities to settle at a price less than the par value of the securities. The Company will continue to review its entire portfolio for other-than-temporarily impaired securities with additional attention being given to high risk securities such as the one pooled trust preferred security that the Company owns. |
LOANS RECEIVABLE AND ALLOWANCE
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
LOANS RECEIVABLE AND ALLOANCE FOR LOAN LOSSES | Note 7. LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES A summary of the Company’s loan portfolio at December 31, 2016 and 2015 is as follows: December 31, 2016 2015 Amount Percent Amount Percent (In thousands) Commercial real estate loans Owner occupied commercial real estate $ 416,718 8.5 % $ 322,084 7.0 % Investor non-owner occupied commercial real estate 1,705,319 34.8 1,673,248 36.3 Commercial construction 98,794 2.0 129,922 2.8 Total commercial real estate loans 2,220,831 45.3 2,125,254 46.1 Commercial business loans 724,557 14.8 603,332 13.1 Consumer loans Residential real estate 1,156,227 23.6 1,179,915 25.6 Home equity 536,772 11.0 431,282 9.3 Residential construction 53,934 1.1 41,084 0.9 Other consumer 209,393 4.2 233,064 5.0 Total consumer loans 1,956,326 39.9 1,885,345 40.8 Total loans 4,901,714 100.0 % 4,613,931 100.0 % Net deferred loan costs and premiums 11,636 7,018 Allowance for loan losses (42,798 ) (33,887 ) Loans - net $ 4,870,552 $ 4,587,062 At December 31, 2016 , the Company had pledged $1.22 billion and $194.0 million of eligible loan collateral to support available borrowing capacity at the FHLBB and FRB, respectively. See Note 12. Acquired Loans: Gross loans acquired from the Legacy United merger totaled $1.88 billion . Acquired performing loans totaled $1.86 billion with a fair value of $1.83 billion . The Company’s best estimate at the acquisition date of contractual cash flows not expected to be collected on acquired performing loans was $29.1 million . Loans acquired and determined to be impaired totaled $18.5 million . Additionally, during the year ended December 31, 2015, the Company purchased three loan portfolios consisting of marine finance consumer loans, home improvement loans and home equity lines of credit and during the year ended December 31, 2016 , the Company continued to purchase home equity lines of credit. The outstanding balance of purchased loans serviced by others at December 31, 2016 and 2015 was $208.8 million and $324.3 million , respectively. The impaired loans are accounted for in accordance with ASC 310-30. At December 31, 2016 , the net recorded carrying amount of loans accounted for under ASC 310-30 was $4.5 million and the aggregate outstanding principal balance was $7.1 million . The following table summarizes the activity in the non-accretable discount for purchased credit impaired loans for the periods presented: For the Years Ended December 31, 2016 2015 (In thousands) Balance at beginning of period $ (5,810 ) $ (7,989 ) Acquisitions — (3,674 ) Accretion — 223 Paid off 868 2,533 Reclassification to accretable 2,357 3,097 Balance at end of year $ (2,585 ) $ (5,810 ) Allowance for Loan Losses. Changes in the allowance for loan losses for the years ended December 31, 2016, 2015 and 2014 are as follows: Owner-occupied CRE Investor CRE Construction Commercial Residential Real Estate Home Equity Other Consumer Unallocated Total (In thousands) December 31, 2016 Balance, beginning of year $ 2,174 $ 12,859 $ 1,895 $ 5,827 75 $ 7,801 $ 2,391 $ 146 $ 794 $ 33,887 Provision for loan losses 1,704 2,806 15 3,364 1,022 1,096 2,768 662 13,437 Loans charged off (169 ) (1,207 ) — (1,018 ) (1,043 ) (742 ) (1,710 ) — (5,889 ) Recoveries of loans previously charged off 56 411 3 557 74 113 149 — 1,363 Balance, end of year $ 3,765 $ 14,869 $ 1,913 $ 8,730 $ 7,854 $ 2,858 $ 1,353 $ 1,456 $ 42,798 December 31, 2015 Balance, beginning of year $ 1,281 $ 8,137 $ 1,470 $ 5,808 $ 5,998 $ 1,929 $ 75 $ 111 $ 24,809 Provision for loan losses 1,074 5,217 891 1,693 2,268 887 292 683 13,005 Loans charged off (181 ) (837 ) (466 ) (2,513 ) (744 ) (427 ) (324 ) — (5,492 ) Recoveries of loans previously charged off — 342 — 839 279 2 103 — 1,565 Balance, end of year $ 2,174 $ 12,859 $ 1,895 $ 5,827 $ 7,801 $ 2,391 $ 146 $ 794 $ 33,887 December 31, 2014 Balance, beginning of year $ 917 $ 7,371 $ 829 $ 3,394 $ 4,571 $ 1,825 $ 29 $ 247 $ 19,183 Provision (credit) for loan losses 364 1,516 641 3,723 2,809 441 138 (136 ) 9,496 Loans charged off — (750 ) — (1,406 ) (1,557 ) (337 ) (139 ) — (4,189 ) Recoveries of loans previously charged off — — — 97 175 — 47 — 319 Balance, end of year $ 1,281 $ 8,137 $ 1,470 $ 5,808 $ 5,998 $ 1,929 $ 75 $ 111 $ 24,809 Further information pertaining to the allowance for loan losses and impaired loans at December 31, 2016 and 2015 follows: Owner-occupied CRE Investor CRE Construction Commercial Residential Real Estate Home Equity Other Consumer Unallocated Total (In thousands) December 31, 2016 Allowance related to loans individually evaluated and deemed impaired $ — $ — $ — $ 646 $ 68 $ — $ — $ — $ 714 Allowance related to loans collectively evaluated and not deemed impaired 3,765 14,869 1,913 7,862 7,786 2,858 1,353 1,456 41,862 Allowance related to loans acquired with deteriorated credit quality — — — 222 — — — — 222 Total allowance for loan losses $ 3,765 $ 14,869 $ 1,913 $ 8,730 $ 7,854 $ 2,858 $ 1,353 $ 1,456 $ 42,798 Loans deemed impaired $ 3,331 $ 9,949 $ 3,325 $ 7,812 $ 16,563 $ 6,910 $ 2,220 $ — $ 50,110 Loans not deemed impaired 413,387 1,694,190 149,403 715,436 1,139,664 529,862 205,136 — 4,847,078 Loans acquired with deteriorated credit quality — 1,180 — 1,309 — — 2,037 — 4,526 Total loans $ 416,718 $ 1,705,319 $ 152,728 $ 724,557 $ 1,156,227 $ 536,772 $ 209,393 $ — $ 4,901,714 December 31, 2015 Allowance related to loans individually evaluated and deemed impaired $ — $ — $ 147 $ 121 $ 74 $ — $ — $ — $ 342 Allowance related to loans collectively evaluated and not deemed impaired 2,174 12,859 1,748 5,531 7,727 2,391 146 794 33,370 Allowance related to loans acquired with deteriorated credit quality — — — 175 — — — — 175 Total allowance for loan losses $ 2,174 $ 12,859 $ 1,895 $ 5,827 $ 7,801 $ 2,391 $ 146 $ 794 $ 33,887 Loans deemed impaired $ 4,037 $ 13,923 $ 4,660 $ 13,035 $ 16,036 $ 4,556 $ 8 $ — $ 56,255 Loans not deemed impaired 317,628 1,657,721 166,346 588,982 1,163,879 426,726 230,061 — 4,551,343 Loans acquired with deteriorated credit quality 419 1,604 — 1,315 — — 2,995 — 6,333 Total loans $ 322,084 $ 1,673,248 $ 171,006 $ 603,332 $ 1,179,915 $ 431,282 $ 233,064 $ — $ 4,613,931 Past Due and Non-Accrual Loans . The following is a summary of past due and non-accrual loans at December 31, 2016 and 2015 : 30-59 Days Past Due 60-89 Days Past Due Past Due 90 Days or More Total Past Due Past Due 90 Days or More and Still Accruing Loans on Non-accrual (In thousands) December 31, 2016 Owner-occupied CRE $ 482 $ 15 $ 1,667 $ 2,164 $ — $ 2,733 Investor CRE 2,184 697 3,260 6,141 — 4,858 Construction 709 — 1,933 2,642 — 2,138 Commercial business loans 3,289 41 2,373 5,703 38 2,409 Residential real estate 2,826 22 7,863 10,711 308 14,393 Home equity 2,232 722 2,797 5,751 56 5,330 Other consumer 838 379 1,095 2,312 348 2,202 Total $ 12,560 $ 1,876 $ 20,988 $ 35,424 $ 750 $ 34,063 December 31, 2015 Owner-occupied CRE $ 900 $ 191 $ 1,505 $ 2,596 $ — $ 3,055 Investor CRE 3,154 2,498 4,519 10,171 — 8,565 Construction 214 449 2,135 2,798 — 2,808 Commercial business loans 526 266 2,804 3,596 66 4,244 Residential real estate 8,507 2,112 6,936 17,555 238 14,056 Home equity 2,009 646 1,549 4,204 — 5,066 Other consumer 17 3 8 28 3 8 Total $ 15,327 $ 6,165 $ 19,456 $ 40,948 $ 307 $ 37,802 At December 31, 2016 and 2015 , loans reported as past due 90 days or more and still accruing totaled $750,000 and $307,000 , respectively. Loans reported as of 90 days or more and still accruing as of December 31, 2016 represented consumer loans which carry a guarantee by the U.S. Government as well as several residential mortgages which were reported as 90 days delinquent on a non-business processing day at year end. Loans reported as 90 days or more and still accruing as of December 31, 2015 represent Legacy United purchased credit impaired loans for which an accretable fair value interest mark is being recognized and one loan which is fully guaranteed by the U.S. Government. Impaired Loans . The following is a summary of impaired loans with and without a valuation allowance as of December 31, 2016 and 2015 : December 31, 2016 December 31, 2015 Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance (In thousands) Impaired loans without a valuation allowance: Owner-occupied CRE $ 3,331 $ 4,107 $ 4,037 $ 5,370 Investor CRE 9,949 10,601 13,923 15,011 Construction 3,325 5,051 4,442 6,869 Commercial business loans 3,742 4,856 12,634 14,477 Residential real estate 15,312 18,440 14,056 16,876 Home equity 6,910 7,864 5,259 5,953 Other consumer 2,220 2,220 8 11 Total 44,789 53,139 54,359 64,567 Impaired loans with a valuation allowance: Construction $ — $ — $ — $ 218 $ 218 $ 147 Commercial business loans 4,070 4,168 646 401 401 121 Residential real estate 1,251 1,267 68 1,277 1,292 74 Total 5,321 5,435 714 1,896 1,911 342 Total impaired loans $ 50,110 $ 58,574 $ 714 $ 56,255 $ 66,478 $ 342 The following is a summary of average recorded investment in impaired loans and interest income recognized on those loans for the years ended December 31, 2016, 2015 and 2014 : For the Year Ended For the Year Ended For the Year Ended Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized (In thousands) Impaired loans: Owner-occupied CRE $ 3,924 $ 150 $ 2,258 $ 144 $ 2,711 $ 235 Investor CRE 11,363 447 16,166 550 9,157 49 Construction 4,087 124 3,784 299 2,646 $ 81 Commercial business loans 12,167 282 7,835 431 3,087 121 Residential real estate 16,485 715 14,645 579 10,833 439 Home equity 5,856 202 3,568 37 1,888 12 Other consumer 819 1 24 — 110 1 Total $ 54,701 $ 1,921 $ 48,280 $ 2,040 $ 30,432 $ 938 No additional funds are committed to be advanced in connection with impaired loans other than those noted below in conjunction with TDRs. Troubled Debt Restructurings (“TDR”) . The restructuring of a loan is considered a “troubled debt restructuring” if both (i) the restructuring constitutes a concession by the creditor and (ii) the debtor is experiencing financial difficulties. A TDR may include (i) a transfer from the debtor to the creditor of receivables from third parties, real estate, or other assets to satisfy fully or partially a debt, (ii) issuance or other granting of an equity interest to the creditor by the debtor to satisfy fully or partially a debt unless the equity interest is granted pursuant to existing terms for converting debt into an equity interest, and (iii) modifications of terms of a debt. The following table provides detail of TDR balances for the periods presented: At December 31, At December 31, (In thousands) Recorded investment in TDRs: Accrual status $ 16,048 $ 18,453 Non-accrual status 7,304 5,611 Total recorded investment in TDRs $ 23,352 $ 24,064 Accruing TDRs performing under modified terms more than one year $ 10,020 $ 5,821 Specific reserves for TDRs included in the balance of allowance for loan losses $ 714 $ 223 Additional funds committed to borrowers in TDR status $ 3 $ 513 Loans restructured as TDRs during 2016 and 2015 are set forth in the following table: For the Year Ended For the Year Ended (Dollars in thousands) Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Owner-occupied CRE 5 $ 654 $ 666 — $ — $ — Investor CRE — — — 2 791 791 Construction 2 67 67 2 564 564 Commercial business loans 8 3,033 5,006 8 9,180 9,680 Residential real estate 13 1,320 1,329 19 3,019 3,040 Home equity 18 1,572 1,574 19 1,613 1,602 Other consumer 1 132 132 — — — Total TDRs 47 $ 6,778 $ 8,774 50 $ 15,167 $ 15,677 The following table provides information on how loans were modified as TDRs during the periods indicated: For the Year Ended December 31, 2016 Extended Adjusted Adjusted Rate and Maturity Payment Deferral Other (In thousands) Owner-occupied CRE $ 510 $ — $ 86 $ — $ 58 Construction 23 — 44 — — Commercial business loans 2,350 — 243 348 92 Residential real estate 87 — 672 561 — Home equity — 261 707 604 — Other consumer — — 132 — — Total $ 2,970 $ 261 $ 1,884 $ 1,513 $ 150 For the Year Ended December 31, 2015 Extended Adjusted Adjusted Rate and Maturity Payment Deferral Other (In thousands) Investor CRE $ 538 $ — $ 253 $ — $ — Construction 564 — — — — Commercial business loans 9,673 — 7 — — Residential real estate — 1,202 521 786 549 Home equity — — 1,138 28 418 Other consumer — — — — — Total $ 10,775 $ 1,202 $ 1,919 $ 814 $ 967 Loans restructured as TDRs during 2014 totaled $9.2 million consisting of 46 loans. The majority of the balance was concentrated in construction loans, consisting of fifteen loans, for which the maturity was extended. TDRs that subsequently defaulted within twelve months of restructuring during the years ended December 31, 2016 and 2015 follows: For the Year Ended For the Year Ended Number of Contracts Recorded Investment Number of Contracts Recorded Investment (Dollars in thousands) Residential real estate 3 $ 456 5 $ 769 Home equity 1 151 — — Investor CRE — — 2 806 Commercial business 2 495 — — Total troubled debt restructuring 6 $ 1,102 7 $ 1,575 The financial impact of the TDR loans has been minimal to date. Typically, residential loans are restructured with a modification and extension of the loan amortization and maturity at substantially the same interest rate as contained in the original credit extension. As part of the TDR process, the current value of the property is compared to the Company’s carrying value and if not fully supported, a write down is processed through the allowance for loan losses. Commercial real estate loans and commercial business loans also contain payment modification agreements and a like assessment of the underlying collateral value is performed if the borrower’s cash flow may be inadequate to service the entire obligation. Credit Quality Information. The Company utilizes a nine -grade internal loan rating system for residential real estate, owner-occupied commercial real estate, investor non-owner occupied commercial real estate, construction, commercial and other consumer loans as follows: Loans rated 1 — 5: Loans in these categories are considered “pass” rated loans with low to average risk. Loans rated 6: Loans in this category are considered “special mention.” These loans reflect signs of potential weakness and are being closely monitored by management. Loans rated 7: Loans in this category are considered “substandard.” Generally, a loan is considered substandard if it is inadequately protected by the current net worth and paying capacity of the obligor and/or the collateral pledged. There is a distinct possibility that the Company will sustain some loss if the weakness is not corrected. Loans rated 8: Loans in this category are considered “doubtful.” Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, highly questionable and improbable. Loans rated 9: Loans in this category are considered uncollectible (“loss”) and of such little value that their continuance as loans is not warranted. At the time of loan origination, a risk rating based on this nine -point grading system is assigned to each loan based on the loan officer’s assessment of risk. For residential real estate and other consumer loans, the Company considers factors such as updated FICO scores, employment status, home prices, loan to value and geography. On an ongoing basis for portfolio monitoring purposes, the Company estimates the current value of property secured as collateral for impaired home equity and residential first mortgage lending products. Residential real estate, home equity, and other consumer loans are pass rated unless their payment history reveals signs of deterioration, which may result in modifications to the original contractual terms. In situations which require modification to the loan terms, the internal loan grade will typically be reduced to substandard. More complex loans, such as commercial business loans, construction loans and commercial real estate loans require that our internal credit area further evaluate the risk rating of the individual loan, with the credit area and Chief Credit Officer having final determination of the appropriate risk rating. These more complex loans and relationships receive an in-depth analysis and periodic review to assess the appropriate risk rating on a post-closing basis with changes made to the risk rating as the borrower’s and economic conditions warrant. The credit quality of the Company’s loan portfolio is reviewed by a third-party risk assessment firm on a quarterly basis and by the Company’s internal credit management function. The internal and external analysis of the loan portfolio is utilized to identify and quantify loans with higher than normal risk. Loans having a higher risk profile are assigned a risk rating corresponding to the level of weakness identified in the loan. All loans risk rated Special Mention, Substandard or Doubtful are reviewed by management not less than on a quarterly basis to assess the level of risk and to ensure that appropriate actions are being taken to minimize potential loss exposure. Loans identified as being loss are fully charged off. The following table presents the Company’s loans by risk rating at December 31, 2016 and 2015 : Owner-Occupied CRE Investor CRE Construction Commercial Residential Real Estate Home Equity Other Consumer (In thousands) December 31, 2016 Loans rated 1 — 5 $ 388,389 $ 1,656,256 $ 150,411 $ 698,458 $ 1,139,662 $ 531,359 $ 207,193 Loans rated 6 7,139 18,040 204 7,466 1,267 — — Loans rated 7 21,190 31,023 2,113 18,633 15,298 5,413 2,200 Loans rated 8 — — — — — — — Loans rated 9 — — — — — — — $ 416,718 $ 1,705,319 $ 152,728 $ 724,557 $ 1,156,227 $ 536,772 $ 209,393 December 31, 2015 Loans rated 1 — 5 $ 298,509 $ 1,610,582 $ 156,607 $ 568,248 $ 1,162,393 $ 426,702 $ 233,054 Loans rated 6 10,074 38,448 10,860 8,382 1,355 24 — Loans rated 7 13,501 24,218 3,539 26,655 16,167 4,553 10 Loans rated 8 — — — 47 — — — Loans rated 9 — — — — — 3 — $ 322,084 $ 1,673,248 $ 171,006 $ 603,332 $ 1,179,915 $ 431,282 $ 233,064 Related Party Loans . In the normal course of business, the Company grants loans to executive officers, Directors and other related parties. Changes in loans outstanding to such related parties for the years ended December 31, 2016 and 2015 are as follows: 2016 2015 (In thousands) Balance, beginning of year $ 2,645 $ 3,722 Loans related to parties who terminated service during the year — (924 ) Additional loans and advances 390 875 Repayments (750 ) (1,028 ) Balance, end of year $ 2,285 $ 2,645 As of December 31, 2016 and 2015 , all related party loans were performing. Related party loans were made on the same terms as those for comparable loans and transactions with unrelated parties, other than certain mortgage loans which were made to employees with over one year of service with the Company which have rates 0.50% below market rates at the time of origination. Loan Servicing The Company services certain residential and commercial loans for third parties. The aggregate principal balance of loans serviced for others was $1.05 billion , $863.7 million and $559.1 million as of December 31, 2016, 2015 and 2014 , respectively. The balances of these loans are not included on the accompanying Consolidated Statements of Condition. During the years ended December 31, 2016, 2015 and 2014 , the Company received servicing fee income in the amount of $1.7 million , $1.3 million and $964,000 , respectively, which are included in income from mortgage banking activity in the Consolidated Statements of Net Income. The risks inherent in mortgage servicing assets relate primarily to changes in prepayments that result from shifts in mortgage interest rates. At December 31, 2016 , the fair value of servicing rights was determined using pretax internal rates of return ranging from 9.5% to 11.5% and the Public Securities Association (“PSA”) Standard Prepayment model to estimate prepayments on the portfolio with an average prepayment speed of 166 . At December 31, 2015 , the fair value of servicing rights was determined using pretax internal rates of return ranging from 9.5% to 11.5% and the PSA Standard Prepayment model to estimate prepayments on the portfolio with an average prepayment speed of 183 . Mortgage servicing rights (“MSRs”) are included in other assets in the Consolidated Statements of Condition. Changes in the fair value of MSRs are included in income from mortgage banking activities in the Consolidated Statements of Net Income. The following table summarizes MSRs capitalized along with related fair value adjustments for the years ended December 31, 2016, 2015 and 2014 : Years Ended December 31, 2016 2015 2014 (In thousands) Mortgage servicing rights: Balance at beginning of year $ 7,074 $ 4,729 $ 4,103 Addition of Legacy United mortgage servicing rights — — 764 Change in fair value recognized in income 567 (586 ) (1,269 ) Issuances/additions 2,463 2,931 1,131 Balance at end of year $ 10,104 $ 7,074 $ 4,729 |
PREMISES AND EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
PREMISES AND EQUIPMENT | Note 8. PREMISES AND EQUIPMENT Premises and equipment at December 31, 2016 and 2015 are summarized as follows: At December 31, Estimated Useful Life 2016 2015 (In thousands) Land and improvements $ 964 $ 950 up to 15 years Buildings 39,809 40,375 10 - 39.5 years Furniture and equipment 29,310 27,468 3 - 10 years Leasehold improvements 9,838 8,961 5 - 10 years Assets under capitalized leases 4,151 4,902 5 - 10 years 84,072 82,656 Accumulated depreciation and amortization (32,315 ) (27,877 ) Premises and equipment, net $ 51,757 $ 54,779 Depreciation and amortization expense was $5.5 million , $5.3 million and $3.8 million for the years ended December 31, 2016, 2015 and 2014 , respectively. |
OTHER ASSETS
OTHER ASSETS | 12 Months Ended |
Dec. 31, 2016 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
OTHER ASSETS | Note 9. OTHER ASSETS The components of Other Assets at December 31, 2016 and 2015 are summarized below: At December 31, 2016 2015 (In thousands) Current tax receivable $ 237 $ 4,770 Partnership investments 31,271 21,441 Mortgage servicing rights 10,104 7,074 Derivative assets 11,734 12,910 Other real estate owned 1,890 755 Other 9,850 12,786 Total other assets $ 65,086 $ 59,736 |
DEPOSITS
DEPOSITS | 12 Months Ended |
Dec. 31, 2016 | |
Banking and Thrift [Abstract] | |
DEPOSITS | Note 10. DEPOSITS Deposits at December 31, 2016 and 2015 were as follows: December 31, 2016 2015 (In thousands) Demand and NOW $ 1,206,722 $ 1,019,161 Regular savings 518,820 508,377 Money markets 1,222,952 1,182,422 Time deposits 1,762,678 1,727,111 Total deposits $ 4,711,172 $ 4,437,071 Time deposits in denominations of $250,000 or more were $474.0 million and $253.7 million as of December 31, 2016 and 2015 , respectively. Contractual maturities of time deposits as of December 31, 2016 are summarized below: December 31, 2016 (In thousands) 2017 $ 1,138,996 2018 480,998 2019 36,136 2020 82,276 2021 24,272 $ 1,762,678 Included in time deposits are brokered deposits which amounted to $215.7 million and $392.0 million at December 31, 2016 and 2015 , respectively. Included in money market deposits at December 31, 2016 and 2015 are brokered deposits of $367.4 million and $123.1 million , respectively. |
BORROWINGS
BORROWINGS | 12 Months Ended |
Dec. 31, 2016 | |
Banking and Thrift [Abstract] | |
BORROWINGS | Note 11. BORROWINGS Federal Home Loan Bank Advances Contractual maturities and weighted-average rates of outstanding advances from the FHLBB as of December 31, 2016 and 2015 are summarized below: December 31, 2016 December 31, 2015 Amount Weighted- Average Rate Amount Weighted- Average Rate (Dollars in thousands) 2016 $ — — % $ 637,580 0.60 % 2017 803,000 0.94 151,000 1.76 2018 139,792 1.48 120,795 1.54 2019 20,000 1.45 20,000 1.63 2020 33,000 0.86 11,458 0.47 2021 30,000 0.59 — — Thereafter 19,182 0.89 4,672 2.35 $ 1,044,974 0.99 % $ 945,505 0.93 % The total carrying value of advances from the FHLBB at December 31, 2016 was $1.05 billion , which includes a remaining fair value adjustment of $1.7 million on advances acquired in the Merger. At December 31, 2015 , the carrying value of FHLBB advances was $949.0 million , which includes a remaining fair value adjustment of $3.5 million on advances acquired in the Merger. At December 31, 2016 , eight advances totaling $93.0 million with interest rates ranging from 0.39% to 4.49% , which are scheduled to mature between 2017 and 2031 , are callable by the FHLBB. Advances are collateralized by first mortgage loans and investment securities with an estimated eligible collateral value of $1.41 billion and $1.26 billion at December 31, 2016 and 2015 , respectively. In addition to the outstanding advances, the Company also has access to an unused line of credit with the FHLBB amounting to $10.0 million at December 31, 2016 and 2015 . In accordance with an agreement with the FHLBB, the qualified collateral must be free and clear of liens, pledges and have a discounted value equal to the aggregate amount of the line of credit and outstanding advances. At December 31, 2016 , the Company could borrow immediately an additional $277.4 million from the FHLBB, inclusive of the line of credit. The Company is required to acquire and hold shares of capital stock in the FHLBB in an amount at least equal to the sum of 0.35% of the aggregate principal amount of its unpaid residential mortgage loans and similar obligations at the beginning of each year, and up to 4.5% of its advances (borrowings) from the FHLBB. The carrying value of FHLBB stock approximates fair value based on the redemption provisions of the stock. At December 31, 2016 , the Company had $53.5 million in FHLBB capital stock. Repurchase Agreements The following table presents the Company’s outstanding borrowings under repurchase agreements as of December 31, 2016 and December 31, 2015 : Remaining Contractual Maturity of the Agreements Overnight Up to 1 Year 1 - 3 Years Greater than 3 Years Total (Dollars in thousands) December 31, 2016 Repurchase Agreements U.S. Treasury and agency securities $ 18,897 $ — $ 20,000 $ — $ 38,897 December 31, 2015 Repurchase Agreements U.S. Treasury and agency securities $ 19,278 $ 25,000 $ 20,000 $ — $ 64,278 As of December 31, 2016 and 2015 , advances outstanding under wholesale reverse repurchase agreements totaled $20.0 million and $45.0 million , respectively. The outstanding advances at December 31, 2016 consisted of two individual borrowings with remaining terms of 3 years or less and a weighted average cost of 2.59% . The outstanding advances at December 31, 2015 had a weighted average cost of 1.51% . Retail repurchase agreements are for a term of one day and are backed by the purchasers’ interest in certain U.S. Treasury and Agency securities. As of December 31, 2016 , retail repurchase agreements totaled $18.9 million . The Company had $19.3 million of retail repurchase agreements at December 31, 2015 . Subordinated Debentures On September 23, 2014, the Company closed its public offering of $75.0 million of its 5.75% Subordinated Notes due October 1, 2024 (the “Notes”). The Notes were offered to the public at par. The Company has used the proceeds for general corporate purposes. Interest on the Notes is payable semi-annually in arrears on April 1 and October 1 of each year, commencing on April 1, 2015. The carrying value, net of issuance costs, totaled $74.0 million and $73.9 million at December 31, 2016 and 2015 , respectively. The Company assumed junior subordinated debt as a result of the Merger in the form of trust preferred securities issued through a private placement offering with a face amount of $7.7 million . The Company recorded a fair value acquisition discount of $2.3 million on May 1, 2014. The remaining unamortized discount was $2.0 million and $2.1 million at December 31, 2016 and 2015 , respectively. This issue has a maturity date of March 15, 2036 and bears a floating rate of interest that reprices quarterly at the 3-month LIBOR rate plus 1.85% . The interest rate at December 31, 2016 was 2.85% . A special redemption provision allows the Company to redeem this issue at par on March 15, June 15, September 15, or December 15 of any year subsequent to March 15, 2011. Other Borrowings The Company acquired secured borrowings totaling $2.8 million in the Merger. These borrowings related to two transfers of financial assets that did not meet the definition of a participating interest and did not meet sale accounting criteria; therefore, they are accounted for as secured borrowings and classified as long-term debt on the Consolidated Statements of Condition. Both of the financial assets paid off during the year ended December 31, 2016 . The balance outstanding amounted to $1.7 million at December 31, 2015 . The Company has capital lease obligations for three of its leased banking branches, which were acquired in the Merger. At December 31, 2016 , the balance of capital lease obligations totaled $4.3 million . See Note 8 in th e Notes to Consolidated Financial Statements for further information. Other Sources of Wholesale Funding The Company has relationships with brokered sweep deposit providers by which funds are deposited by the counterparties at the Company’s request. Amounts outstanding under these agreements are reported as interest-bearing deposits and totaled $367.4 million at a cost of 0.58% at December 31, 2016 and $123.1 million at a cost of 0.45% at December 31, 2015 . The Company maintains open dialogue with the brokered sweep providers and has the ability to increase the deposit balances upon request, up to certain limits based upon internal policy requirements. Additionally, the Company has unused federal funds lines of credit with four counterparties totaling $107.5 million at December 31, 2016 . |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | Note 12. INCOME TAXES The components of the income tax expense (benefit) for the years ended December 31, 2016, 2015 and 2014 are as follows: 2016 2015 2014 (In thousands) Current tax provision (benefit): Federal $ 6,262 $ 1,302 $ (13,905 ) State 2,202 1,345 311 Total current 8,464 2,647 (13,594 ) Deferred tax provision (benefit): Federal (3,698 ) 3,275 7,482 State (654 ) 307 (121 ) Total deferred (4,352 ) 3,582 7,361 Total income tax expense (benefit) $ 4,112 $ 6,229 $ (6,233 ) For the years ended December 31, 2016, 2015 and 2014 , the provision for income taxes differs from the amount computed by applying the statutory Federal income tax rate of 35% to pre-tax income for the following reasons: Years Ended December 31, 2016 2015 2014 (In thousands) Provision for income tax at statutory rate $ 18,820 $ 19,554 $ 192 Increase (decrease) resulting from: State income taxes, net of federal benefit 1,006 1,074 124 Increase in cash surrender value of bank-owned life insurance (1,188 ) (1,266 ) (1,065 ) Dividend received deduction (544 ) (471 ) (276 ) Tax exempt interest and disallowed interest expense (3,726 ) (3,826 ) (1,740 ) Employee Stock Ownership Plan 28 25 153 Nondeductible acquisition costs — — 440 Excess parachute payments — 442 1,615 Investment tax credits (10,541 ) (8,649 ) (5,596 ) Other, net 257 (654 ) (80 ) Total provision (benefit) for income taxes $ 4,112 $ 6,229 $ (6,233 ) Effective income tax rate (benefit) 7.6 % 11.1 % (1,135.3 )% The tax effects of temporary differences that give rise to deferred tax assets and deferred tax liabilities at December 31, 2016 and 2015 are presented below: December 31, 2016 2015 (In thousands) Deferred tax assets: Loans $ 17,980 $ 14,558 Investment security losses 97 150 Net unrealized losses on securities available for sale 4,816 2,107 Net unrealized losses on interest rate swaps 1,254 1,603 Pension, deferred compensation and post-retirement liabilities 3,010 2,723 Stock incentive award plan 1,939 2,044 Deposits - purchase accounting adjustment 369 891 Accrued expenses 8,799 8,043 Tax attributes 7,938 3,539 Other — 3,166 Gross deferred tax assets 46,202 38,824 Valuation allowance (2,594 ) (2,706 ) Gross deferred tax assets, net of valuation allowance 43,608 36,118 Deferred tax liabilities: Other purchase accounting adjustments (2,542 ) (3,024 ) Other (1,104 ) — Gross deferred tax liabilities (3,646 ) (3,024 ) Net deferred tax asset $ 39,962 $ 33,094 The Company assesses the realizability of our deferred tax assets and whether it is more likely than not that all or a portion of the deferred tax assets will be realized. The Company considers projections of future taxable income during the periods in which deferred tax assets and liabilities are scheduled to reverse. Additionally, in determining the availability of operating loss carrybacks and other tax attributes, both projected future taxable income and tax planning strategies are considered in making this assessment. Based upon the level of available historical taxable income, the opportunity for the net operating loss carrybacks, and projections for the Company’s future taxable income over the periods which the Company’s deferred tax assets are realizable, the Company believes it is more likely than not that it will realize the full federal benefit of these deductible differences at December 31, 2016 and 2015 . Net operating losses may be carried back to the preceding two taxable years for Federal income tax purposes and forward to the succeeding 20 taxable years for Federal and Connecticut state income tax purposes, subject to certain limitations. At December 31, 2016 , the Company had net operating loss carryforwards of $ 1.5 million for Federal income tax purposes, which will begin to expire in 2023. These losses, subject to an annual limitation, were obtained through the acquisition of Legacy United Bank. As of December 31, 2016 and 2015 , the Company had a valuation allowance of $ 2.6 million and $ 2.7 million , respectively, against its state deferred tax asset absent net operating loss carryforwards, in connection with the creation of a Connecticut Passive Investment Company pursuant to legislation enacted in 1998. As of December 31, 2016 and 2015 , the Company had $ 186.2 million and $174.3 million , respectively, in Connecticut net operating loss carryforwards that will begin to expire in 2023 and for which a 100% valuation allowance has been established. Under the Passive Investment Company legislation, Connecticut Passive Investment Companies are not subject to the Connecticut Corporate Business Tax and dividends paid by the passive investment company to the Company are exempt from the Connecticut Corporate Business Tax. The change in the valuation allowance was recognized through the effective tax rate. For the year ended December 31, 2016 , the Company generated tax credits of $12.5 million as compared to approximately $ 10.1 million in Federal and State tax credits in 2015. The credit benefit is recognized through the effective tax rate in the year in which they become available. Retained earnings at December 31, 2016 includes a contingency reserve for loan losses of approximately $3.8 million , which represents the tax positions that existed at December 31, 1987, and is maintained in accordance with provisions of the Internal Revenue Code applicable to mutual savings banks. Amounts transferred to the reserve have been claimed as deductions from taxable income, and, if the reserve is used for purposes other than to absorb losses on loans, a Federal income tax liability could be incurred. It is not anticipated that the Company will incur a Federal income tax liability relating to this reserve balance, and accordingly, deferred income taxes of approximately $1.4 million at December 31, 2016 have not been recognized. As of December 31, 2016 and 2015 , there were $497,000 and $375,000 , respectively, recorded in uncertain tax benefit positions related to federal and state income tax matters based upon tax positions that related to the current year, respectively. Prior to 2014, there were no material uncertain tax positions related to income tax matters. The Company records interest and penalties as part of income tax expense. No interest or penalties were recorded for the years ended December 31, 2016, 2015 and 2014 . The Company is currently open to audit under the statute of limitations by the Internal Revenue Service and state taxing authorities for the years ended December 31, 2013 and after. |
DERIVATIVES AND HEDGING ACTIVIT
DERIVATIVES AND HEDGING ACTIVITIES | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
DERIVATIVES AND HEDGING ACTIVITIES | Note 13. DERIVATIVES AND HEDGING ACTIVITIES Risk Management Objective of Using Derivatives The Company is exposed to certain risks arising from both its business operations and economic conditions. The Company principally manages its exposure to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its debt funding and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s investments and borrowings. The Company also has interest rate derivatives that result from a service provided to certain qualifying customers. The Company manages a matched book with respect to its derivative instruments in order to minimize its net risk exposure resulting from such transactions. Information about interest rate swap agreements and non-hedging derivative assets and liabilities as of December 31, 2016 and 2015 is as follows: Notional Amount Weighted- Average Remaining Maturity Weighted-Average Rate Estimated Fair Value Net Received Paid (In thousands) (In years) (In thousands) December 31, 2016 Cash flow hedges: Forward starting interest rate swaps on future borrowings $ 100,000 7.36 TBD (1 ) 2.43 % $ (483 ) Interest rate swaps 240,000 3.24 0.91 % 1.74 % (2,719 ) Fair value hedges: Interest rate swaps 35,000 0.72 1.04 % 0.82 % (2 ) 1 Non-hedging derivatives: Forward loan sale commitments 61,991 0.00 153 Derivative loan commitments 30,239 0.00 421 Interest rate swap 7,500 9.54 (660 ) Loan level swaps - dealer (3) 468,417 7.75 2.42 % 3.84 % (4,888 ) Loan level swaps - borrowers (3) 468,417 7.75 3.84 % 2.42 % 4,869 Total $ 1,411,564 $ (3,306 ) December 31, 2015 Cash flow hedges: Forward starting interest rate swaps on future borrowings $ 150,000 7.99 TBD (1 ) 2.46 % $ (2,072 ) Interest rate swaps 280,000 2.65 0.46 % 1.28 % (2,020 ) Fair value hedges: Interest rate swaps 35,000 1.72 1.04 % 0.48 % (2 ) 24 Non-hedging derivatives: Forward loan sale commitments 25,060 0.00 (13 ) Derivative loan commitments 9,403 0.00 223 Loan level swaps - dealer (3) 333,981 9.05 1.94 % 3.93 % (12,059 ) Loan level swaps - borrowers (3) 333,981 9.05 3.93 % 1.94 % 12,152 Total $ 1,167,425 $ (3,765 ) (1) The receiver leg of the cash flow hedges is floating rate and indexed to the 3-month USD-LIBOR-BBA, as determined two London banking days prior to the first day of each calendar quarter, commencing with the earliest effective trade. The earliest effective trade date for the cash flow hedges is October 16, 2017. (2) The paying leg is one month LIBOR plus a fixed spread ; above rate in effect as of December 31, 2016 and 2015, respectively. (3) The Company offers a loan level hedging product to qualifying commercial borrowers that seek to mitigate risk to rising interest rates. As such, the Company enters into equal and offsetting trades with dealer counterparties. Cash Flow Hedges of Interest Rate Risk The Company’s objectives in using cash flow hedges are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. Interest rate swaps designated as cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. The effective portion of changes in the fair value of derivatives designated and that qualify as cash flow hedges is recorded in accumulated other comprehensive income and is subsequently reclassified into earnings in the period that the hedged forecasted transaction affects earnings. The ineffective portion of the change in fair value of the derivatives is recognized directly in earnings. The Company has not recorded any hedge ineffectiveness since inception. Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s variable-rate debt. The Company expects to reclassify $1.5 million from accumulated other comprehensive loss to interest expense during the next 12 months. The Company is hedging its exposure to the variability in future cash flows for forecasted transactions over a maximum period of 36 months (excluding forecasted transactions related to the payment of variable interest on existing financial instruments). As of December 31, 2016 , the Company had nine outstanding interest rate swaps with a notional value of $340.0 million that were designated as cash flow hedges of interest rate risk. Fair Value Hedges of Interest Rate Risk The Company is exposed to changes in the fair value of certain of its fixed rate obligations due to changes in benchmark interest rates. The Company uses interest rate swaps to manage its exposure to changes in fair value on these instruments attributable to changes in the benchmark interest rate. Interest rate swaps designated as fair value hedges involve the receipt of fixed-rate amounts from a counterparty in exchange for the Company making variable rate payments over the life of the agreements without the exchange of the underlying notional 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. During the years ended December 31, 2016 and 2015 , amounts recognized as interest expense related to hedge ineffectiveness were negligible. The net reduction of interest income was negligible for the years ended December 31, 2016 and 2015 . As of December 31, 2016 , the Company had three outstanding interest rate swaps with a notional of $35.0 million that were designated as fair value hedges of interest rate risk. Non-Designated Hedges Loan Level Interest Rate Swaps Qualifying derivatives not designated as hedges are not speculative and result from a service the Company provides to certain customers. The Company executes interest rate derivatives with commercial banking customers to facilitate their respective risk management strategies. Those interest rate derivatives are simultaneously hedged by offsetting derivatives 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 derivatives associated with this program do not meet the strict hedge accounting requirements, changes in the fair value of both the customer derivatives and the offsetting derivatives are recognized directly in earnings. As of December 31, 2016 , the Company had sixty-eight borrower-facing interest rate swaps with an aggregate notional amount of $468.4 million and sixty-eight broker-facing interest rate swaps also with an aggregate notional value amount of $468.4 million related to this program. As of December 31, 2016 , the Company had five risk participation agreements with three counterparties related to a loan level interest rate swap with five of its commercial banking customers. Of these agreements, four were entered into in conjunction with credit enhancements provided to the borrowers by the counterparties; therefore, if the borrowers default, the counterparties are responsible for a percentage of the exposure. At December 31, 2016 , the notional amount of the these risk participation agreements was $26.4 million , reflecting the counterparty participation level of 39.2% . During the third quarter of 2015, an additional agreement was entered into in conjunction with credit enhancements provided to the borrower by the Company, whereby the Company is responsible for a percentage of the exposure to the counterparty. At December 31, 2016 , the notional amount of this risk participation agreement was $6.1 million , reflecting the counterparty participation of 33.1% . The risk participation agreements are a guarantee of performance on a derivative and accordingly, are recorded at fair value on the Company’s Consolidated Statements of Condition. Mortgage Servicing Rights Interest Rate Swap As of December 31, 2016 , the Company had one receive-fixed interest rate derivative with a notional amount of $7.5 million and a maturity date in July 2026. The derivative was executed to protect against a portion of the devaluation of the Company’s mortgage servicing right asset that occurs in a falling rate environment. The instrument is marked to market through the income statement. Derivative Loan Commitments Additionally, the Company enters into mortgage loan commitments that are also referred to as derivative loan commitments if the loan that will result from exercise of the commitment will be held for sale upon funding. The Company enters into commitments to fund residential mortgage loans at specified rates and times in the future, with the intention that these loans will subsequently be sold in the secondary market. Outstanding derivative loan commitments expose the Company to the risk that the price of the loans arising from exercise of the loan commitment might decline from inception of the rate lock to funding of the loan due to increases in mortgage interest rates. If interest rates increase, the value of these loan commitments decreases. Conversely, if interest rates decrease, the value of these loan commitments increases. Forward Loan Sale Commitments To protect against the price risk inherent in derivative loan commitments, the Company utilizes To Be Announced (“TBA”) as well as cash (“mandatory delivery” and “best efforts”) forward loan sale commitments to mitigate the risk of potential decreases in the values of loans that would result from the exercise of the derivative loan commitments. With TBA and mandatory cash contracts, the Company commits to deliver a certain principal amount of mortgage loans to an investor/counterparty at a specified price on or before a specified date. If the market improves (rates decline) and the Company fails to deliver the amount of mortgages necessary to fulfill the commitment by the specified date, it is obligated to pay a “pair-off” fee, based on then-current market prices, to the investor/counterparty to compensate the investor for the shortfall. Conversely if the market declines (rates worsen) the investor/counterparty is obligated to pay a “pair-off” fee to the Company based on then-current market prices. The Company expects that these forward loan sale commitments, TBA and mandatory, will experience changes in fair value opposite to the change in fair value of derivative loan commitments. With best effort cash contracts, the Company commits to deliver an individual mortgage loan of a specified principal amount and quality to an investor if the loan to the underlying borrower closes. Generally best efforts cash contracts have no pair off risk regardless of market movement. The price the investor will pay the seller for an individual loan is specified prior to the loan being funded (e.g., on the same day the lender commits to lend funds to a potential borrower). The Company expects that these best efforts forward loan sale commitments will experience a net neutral shift in fair value with related derivative loan commitments. Fair Values of Derivative Instruments on the Company’s Consolidated Statements of Financial Condition The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Consolidated Statements of Condition as of December 31, 2016 and 2015 : Derivative Assets Derivative Liabilities Fair Value Fair Value Balance Sheet Location Dec 31, Dec 31, Balance Sheet Location Dec 31, Dec 31, (In thousands) (In thousands) Derivatives designated as hedging instruments: Interest rate swap - cash flow hedges Other Assets $ 246 $ 478 Other Liabilities $ 3,448 $ 4,570 Interest rate swap - fair value hedges Other Assets 18 50 Other Liabilities 17 26 Total derivatives designated as hedging instruments $ 264 $ 528 $ 3,465 $ 4,596 Derivatives not designated as hedging instruments: Forward loan sale commitments Other Assets $ 204 $ 7 Other Liabilities $ 51 $ 20 Derivative loan commitments Other Assets 421 223 — — Interest rate swap — — Other Liabilities 660 — Interest rate swap - with customers Other Assets 7,864 12,152 Other Liabilities 2,995 — Interest rate swap - with counterparties Other Assets 2,981 — Other Liabilities 7,869 12,059 Total derivatives not designated as hedging $ 11,470 $ 12,382 $ 11,575 $ 12,079 Effect of Derivative Instruments in the Company’s Consolidated Statements of Net Income and Changes in Stockholders’ Equity The tables below present the effect of derivative instruments in the Company’s Consolidated Statements of Net Income and Changes in Stockholders’ Equity designated as hedging instruments for the years ended December 31, 2016, 2015 and 2014 : Derivatives Designated as Cash Flow Hedging Instruments Amount of Loss Recognized in OCI on Derivatives (Effective Portion) For the Years Ended December 31, 2016 2015 2014 (In thousands) Interest Rate Swaps $ (1,472 ) $ (3,108 ) $ (8,385 ) Derivatives Designated as Cash Flow Hedging Instruments Amount of Loss Reclassified from AOCI into Income (Effective Portion) For the Years Ended December 31, 2016 2015 2014 (In thousands) Interest Rate Swaps $ (2,362 ) $ (12 ) $ — Amount of Gain (Loss) Recognized in Income on Derivatives For the Years Ended December 31, Derivatives in Fair Value Hedging Relationships Location on Gain (Loss) Recognized in Income 2016 2015 2014 (In thousands) Interest Rate Swaps Interest income $ (23 ) $ 106 $ 101 Amount of Gain (Loss) Recognized in Income on Hedged Items For the Years Ended December 31, 2016 2015 2014 (In thousands) Interest Rate Swaps Interest income $ 25 $ (106 ) $ (101 ) The table below presents the effect of derivative instruments in the Company’s Consolidated Statements of Net Income for derivatives not designated as hedging instruments for the years ended December 31, 2016, 2015 and 2014 : Amount of Gain (Loss) Recognized for the Years Ended December 31, 2016 2015 2014 (In thousands) Derivatives not designated as hedging instruments: Derivative loan commitments $ 198 $ 10 $ 193 Forward loan sale commitments 166 (1 ) (33 ) Interest rate swaps (772 ) 231 (70 ) Interest rate swap - risk participation agreement — — (1 ) $ (408 ) $ 240 $ 89 Credit-risk-related Contingent Features The Company has agreements with each of its derivative counterparties that contain a provision where if the Company defaults on any of its indebtedness or fails to maintain a well-capitalized rating, then the Company could also be declared in default on its derivative obligations and could be required to terminate its derivative positions with the counterparty. As of December 31, 2016 , there was $740,000 collateral posted by the counterparties to the Company related to these agreements. As of December 31, 2015, there was no collateral posted by the counterparties to the Company related to these agreements. As of December 31, 2016 , the fair value of derivatives in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $13.2 million . As of December 31, 2016 , the Company has minimum collateral posting thresholds with four of its derivative counterparties and has posted collateral with a market value of $9.0 million against its obligations under these agreements. A degree of netting occurs on occasions where the Company has exposure to a counterparty and the counterparty has exposure to the Company. If the Company had breached any of these provisions at December 31, 2016 , it could have been required to settle its obligations under the agreements at the termination value and would have been required to pay any additional amounts due in excess of amounts previously posted as collateral with the respective counterparty. As of December 31, 2016 and 2015 , the fair value of derivatives in a net asset position, which includes accrued interest but excludes any adjustment for non-performance risk, related to these agreements was $2.8 million and $2.1 million , respectively. |
FAIR VALUE MEASUREMENT
FAIR VALUE MEASUREMENT | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE MEASUREMENT | Note 14. FAIR VALUE MEASUREMENT Fair value estimates are made as of a specific point in time based on the characteristics of the assets and liabilities and relevant market information. The fair value estimates are measured within the fair value hierarchy. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below: Level 1 : Quoted prices are available in active markets for identical assets and liabilities as of the reporting date. The quoted price is not adjusted because of the size of the position relative to trading volume. Level 2 : Pricing inputs are observable for assets and liabilities, either directly or indirectly but are not the same as those used in Level 1. Fair value is determined through the use of models or other valuation methodologies. Level 3 : Pricing inputs are unobservable for assets and liabilities and include situations where there is little, if any, market activity and the determination of fair value requires significant judgment or estimation. The inputs used to measure fair value may fall into different levels of the fair value hierarchy. In such instances, the determination of which category within the fair value hierarchy is appropriate for any given asset and liability is based on the lowest level of input that is significant to the fair value of the asset and liability. When available, quoted market prices are used. In other cases, fair values are based on estimates using present value or other valuation techniques. These techniques involve uncertainties and are significantly affected by the assumptions used and judgments made regarding risk characteristics of various financial instruments, discount rates, estimates of future cash flows, future expected loss experience and other factors. Changes in assumptions could significantly affect these estimates and could be material. Derived fair value estimates may not be substantiated by comparison to independent markets and, in certain cases, could not be realized in an immediate sale of the instrument. Fair value estimates for financial instrument fair value disclosures are based on existing financial instruments without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not financial instruments. Accordingly, the aggregate fair value amounts presented do not purport to represent the underlying market value of the Company. Loans Held for Sale: The Company has elected the fair value option for its portfolio of residential real estate mortgage loans held for sale to reduce certain timing differences and better match changes in fair value of the loans with changes in the fair value of the derivative loan sale contracts used to economically hedge them. The aggregate principal amount of the residential real estate mortgage loans held for sale was $61.9 million and $9.8 million at December 31, 2016 and 2015 , respectively. The aggregate fair value of these loans as of the same dates was $62.5 million and $10.1 million , respectively. There were no residential real estate mortgage loans held for sale 90 days or more past due at December 31, 2016 and 2015 . Changes in the fair value of mortgage loans held for sale are reported as a component of income from mortgage banking activities in the Consolidated Statements of Net Income. The following table presents the gains (losses) in fair value related to mortgage loans held for sale for the periods indicated: Years Ended December 31, 2016 2015 2014 (In thousands) Mortgage loans held for sale $ (192 ) $ (50 ) $ 195 Assets and Liabilities Measured at Fair Value on a Recurring Basis The following tables detail the assets and liabilities carried at fair value on a recurring basis as of December 31, 2016 and 2015 and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine the fair value. There were no transfers in and out of Level 1, Level 2 and Level 3 measurements during years ended December 31, 2016 and 2015 . Total Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) December 31, 2016 Available for Sale Securities: Government-sponsored residential mortgage-backed securities $ 179,548 $ — $ 179,548 $ — Government-sponsored residential collateralized debt obligations 183,260 — 183,260 — Government-sponsored commercial mortgage-backed securities 26,530 — 26,530 — Government-sponsored commercial collateralized debt obligations 162,927 — 162,927 — Asset-backed securities 166,967 — 13,087 153,880 Corporate debt securities 75,015 — 73,423 1,592 Obligations of states and political subdivisions 216,376 — 216,376 — Marketable equity securities 32,788 375 32,413 — Total available for sale securities $ 1,043,411 $ 375 $ 887,564 $ 155,472 Mortgage loan derivative assets $ 625 $ — $ 625 $ — Mortgage loan derivative liabilities 51 — 51 — Loans held for sale 62,517 — 62,517 — Mortgage servicing rights 10,104 — — 10,104 Interest rate swap assets 11,109 — 11,109 — Interest rate swap liabilities 14,989 — 14,989 — December 31, 2015 Available for Sale Securities: U.S. Government and government-sponsored enterprise obligations $ 10,089 $ — $ 10,089 $ — Government-sponsored residential mortgage-backed securities 145,861 — 145,861 — Government-sponsored residential collateralized debt obligations 286,967 — 286,967 — Government-sponsored commercial mortgage-backed securities 20,965 — 20,965 — Government-sponsored commercial collateralized debt obligations 128,972 — 128,972 — Asset-backed securities 159,901 — 15,388 144,513 Corporate debt securities 59,960 — 58,403 1,557 Obligations of states and political subdivisions 201,115 — 201,115 — Marketable equity securities 45,339 3,227 42,112 — Total available for sale securities $ 1,059,169 $ 3,227 $ 909,872 $ 146,070 Mortgage loan derivative assets $ 230 $ — $ 230 $ — Mortgage loan derivative liabilities 20 — 20 — Loans held for sale 10,136 — 10,136 — Mortgage servicing rights 7,074 — — 7,074 Interest rate swap assets 12,680 — 12,680 — Interest rate swap liabilities 16,655 — 16,655 — The following table presents additional information about assets measured at fair value on a recurring basis for which the Company utilized Level 3 inputs to determine fair value: For the Years Ended December 31, 2016 2015 (In thousands) Balance of available for sale securities, at beginning of period $ 146,070 $ 137,207 Purchases 6,857 10,794 Principal payments and net accretion (1,030 ) (1,392 ) Total realized losses on sales included in income (143 ) — Total unrealized gains (losses) included in other comprehensive income 3,718 (539 ) Balance at end of period $ 155,472 $ 146,070 Balance of mortgage servicing rights at beginning of period $ 7,074 $ 4,729 Issuances 2,463 2,931 Change in fair value recognized in income 567 (586 ) Balance at end of period $ 10,104 $ 7,074 The following valuation methodologies are used for assets that are recorded at fair value on a recurring basis. Available for Sale Securities: Fair value measurement is based upon quoted prices, if available. If quoted prices are not available, fair values are measured using an independent pricing service. Level 1 securities are those traded on active markets for identical securities including U.S. treasury securities, equity securities and mutual funds. Level 2 securities include U.S. Government agency obligations, U.S. Government-sponsored enterprises, mortgage-backed securities, obligations of states and political subdivisions, corporate and other debt securities. Level 3 securities include private placement securities and thinly traded equity securities. All fair value measurements are obtained from a third party pricing service and are not adjusted by management. Matrix pricing is used for pricing most obligations of states and political subdivisions, which is a mathematical technique widely used in the industry to value debt securities without relying exclusively on quoted prices for specific securities but rather by relying on securities relationships to other benchmark quoted securities. The grouping of securities is completed according to insurer, credit support, state of issuance and rating to incorporate additional spreads and municipal bond yield curves. The valuation of the Company’s asset-backed securities is determined utilizing an approach that combines advanced analytics with structural and fundamental cash flow analysis based upon observed market based yields. The third party provider’s model analyzes each instrument’s underlying collateral given observable collateral characteristics and credit statistics to extrapolate future performance and project cash flows, by incorporating expectations of default probabilities, recovery rates, prepayment speeds, loss severities and a derived discount rate. The Company has determined that due to the liquidity and significance of unobservable inputs, that asset-backed securities are classified in Level 3 of the valuation hierarchy. The Company holds one pooled trust preferred security. The security’s fair value is based on unobservable issuer-provided financial information and discounted cash flow models derived from the underlying structured pool and therefore is classified as Level 3. Loans Held for Sale: The fair value of residential mortgage loans held for sale is estimated using quoted market prices for loans with similar characteristics provided by government-sponsored entities. Any changes in the valuation of mortgage loans held for sale is based upon the change in market interest rates between closing the loan and the measurement date and an immaterial portion attributable to changes in instrument-specific credit risk The Company has determined that loans held for sale are classified in Level 2 of the valuation hierarchy. Mortgage Servicing Rights: A mortgage servicing right (“MSR”) asset represents the amount by which the present value of the estimated future net cash flows to be received from servicing loans are expected to more than adequately compensate the Company for performing the servicing. The fair value of servicing rights is provided by a third party and is estimated using a present value cash flow model. The most important assumptions used in the valuation model are the anticipated rate of the loan prepayments and discount rates. Adjustments are recorded monthly, as the cash flows derived from the valuation model change the fair value of the asset. Although some assumptions in determining fair value are based on standards used by market participants, some are based on unobservable inputs and therefore are classified in Level 3 of the valuation hierarchy. Derivatives: Derivative instruments related to commitments for loans to be sold are carried at fair value. Fair value is determined through quotes obtained from actively traded mortgage markets. Any change in fair value for rate lock commitments to the borrower is based upon the change in market interest rates between making the rate lock commitment and the measurement date and, for forward loan sale commitments to the investor, is based upon the change in market interest rates from entering into the forward loan sales contract and the measurement date. Both the loan commitments to the borrowers and the forward loan sale commitments to investors are derivatives pursuant to the requirements of FASB ASC 815-10; however, the Company has not designated them as hedging instruments. Accordingly, they are marked to fair value through earnings. The Company’s intention is to sell the majority of its fixed rate mortgage loans with original terms of 30 years on a servicing retained basis as well as certain 10 , 15 and 20 year loans. The servicing value has been included in the pricing of the rate lock commitments. The Company estimates a fallout rate of approximately 11% based upon historical averages in determining the fair value of rate lock commitments. Although the use of historical averages is based upon unobservable data, the Company believes that this input is insignificant to the valuation and, therefore, has concluded that the fair value measurements meet the Level 2 criteria. The Company continually reassesses the significance of the fallout rate on the fair value measurement and updates the fallout rate accordingly. Hedging derivatives include interest rate swaps as part of management’s strategy to manage interest rate risk. The valuation of the Company’s interest rate swaps is obtained from a third-party pricing service and is determined using a discounted cash flow analysis on the expected cash flows of each derivative. The pricing analysis is based on observable inputs for the contractual terms of the derivatives, including the period to maturity and interest rate curves. The Company has determined that the majority of the inputs used to value its interest rate derivatives fall within Level 2 of the fair value hierarchy. The following table presents additional quantitative information about assets measured at fair value on a recurring basis for which the Company utilized Level 3 inputs to determine fair value at December 31, 2016 : (Dollars in thousands) Fair Value Valuation Technique Unobservable Inputs Range (Weighted Average) Asset-backed securities $ 153,880 Discounted Cash Flow Discount Rates 2.9% - 4.5% (4.5%) Cumulative Default % 5.6% - 8.0% (8.0%) Loss Given Default 1.7% - 2.5% (2.5%) Corporate debt - pooled trust $ 1,592 Discounted Cash Flow Discount Rate 7.3% (7.3%) preferred security Cumulative Default % 2.8% - 41.6% (12.7%) Loss Given Default 85% - 100% (93.8%) Mortgage servicing rights $ 10,104 Discounted Cash Flow Discount Rate 9.0% - 18.0% (10.5%) Cost to Service $50 - $110 ($61.30) Float Earnings Rate 0.25% (0.25%) Asset-backed securities : Given the level of market activity for the asset backed securities in the portfolio, the discount rates utilized in the fair value measurement were derived by analyzing current market yields for comparable securities and research reports issued by brokers and dealers in the financial services industry. Adjustments were then made for credit and structural differences between these types of securities. There is an inverse correlation between the discount rate and the fair value measurement. When the discount rate increases, the fair value decreases. Other significant unobservable inputs to the fair value measurement of the asset backed securities in the portfolio included prospective defaults and recoveries. The cumulative default percentage represents the lifetime defaults assumed. The loss given default percentage represents the percentage of current and projected defaults assumed to be lost. There is an inverse correlation between the default percentages and the fair value measurement. When default percentages increase, the fair value decreases. Corporate debt : Given the level of market activity the trust preferred securities in the form of collateralized debt obligations, the discount rate utilized in the fair value measurement were derived by analyzing current market yields for trust preferred securities of individual name issuers in the financial services industry. Adjustments were then made for credit and structural differences between these types of securities. There is an inverse correlation between the discount rate and the fair value measurement. When the discount rate increases, the fair value decreases. Other significant unobservable inputs to the fair value measurement of the collateralized debt obligations included prospective defaults and recoveries. The cumulative default percentage represents the lifetime defaults assumed, excluding currently defaulted collateral and including all performing and currently deferring collateral. As a result, the cumulative default percentage also reflects assumptions of the possibility of currently deferring collateral curing and becoming current. The loss given default percentage represents the percentage of current and projected defaults assumed to be lost. There is an inverse correlation between the cumulative default and loss given default percentages and the fair value measurement. When default percentages increase, the fair value decreases. Mortgage servicing rights : The discount rate utilized in the fair value measurement was derived by analyzing recent and historical pricing for MSRs. Adjustments were then made for various loan and investor types underlying these MSRs. There is an inverse correlation between the discount rate and the fair value measurement. When the discount rate increases, the fair value decreases. Other significant unobservable inputs to the fair value measurement of MSR’s include cost to service, an input that is not as simple as taking total costs and dividing by a number of loans. It is a figure informed by marginal cost and pricing for MSRs by competing firms, taking other assumptions into consideration. It is different for different loan types. There is an inverse correlation between the cost to service and the fair value measurement. When the cost assumption increase, the fair value decreases. Assets and Liabilities Measured at Fair Value on a Non-Recurring Basis The Company may also be required, from time to time, to measure certain other assets at fair value on a non-recurring basis in accordance with generally accepted accounting principles; that is, the instruments are not measured at fair value on an ongoing basis but are subject to fair value adjustments in certain circumstances. These adjustments to fair value usually result from application of lower-of-cost-or-market accounting or write-downs of individual assets. There were no liabilities measured at fair value on a non-recurring basis at December 31, 2016 and 2015 . The following tables detail the assets carried at fair value on a non-recurring basis at December 31, 2016 and 2015 and indicate the fair value hierarchy of the valuation technique utilized by the Company to determine fair value: Total Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) December 31, 2016 Impaired loans $ 5,100 $ — $ — $ 5,100 Other real estate owned 1,890 — — 1,890 Total $ 6,990 $ — $ — $ 6,990 December 31, 2015 Impaired loans $ 2,096 $ — $ — $ 2,096 Other real estate owned 755 — — 755 Total $ 2,851 $ — $ — $ 2,851 The following is a description of the valuation methodologies used for assets that are recorded at fair value on a non-recurring basis: Impaired Loans : Accounting standards require that a creditor recognize the impairment of a loan if the present value of expected future cash flows discounted at the loan’s effective interest rate (or, alternatively, the observable market price of the loan or the fair value of the collateral) is less than the recorded investment in the impaired loan. Non-recurring fair value adjustments to collateral dependent loans are recorded, when necessary, to reflect partial write-downs and the specific reserve allocations based upon observable market price or current appraised value of the collateral less selling costs and discounts based on management’s judgment of current conditions. Based on the significance of management’s judgment, the Company records collateral dependent impaired loans as non-recurring Level 3 fair value measurements. Other Real Estate Owned: The Company classifies property acquired through foreclosure or acceptance of deed-in-lieu of foreclosure, as other real estate owned (“OREO”) in its financial statements. Upon foreclosure, the property securing the loan is recorded at fair value as determined by real estate appraisals less the estimated selling expense. Appraisals are based upon observable market data such as comparable sales within the real estate market. Assumptions are also made based on management’s judgment of the appraisals and current real estate market conditions and therefore these assets are classified as non-recurring Level 3 assets in the fair value hierarchy. Losses on assets recorded at fair value at year-end on a non-recurring basis are as follows: For the Years Ended December 31, 2016 2015 2014 (In thousands) Impaired loans $ (541 ) $ (274 ) $ (1,865 ) Other real estate owned (126 ) (118 ) (213 ) Total $ (667 ) $ (392 ) $ (2,078 ) Disclosures about Fair Value of Financial Instruments The following methods and assumptions were used by management to estimate the fair value of each additional class of financial instruments for which it is practicable to estimate that value. Cash and Cash Equivalents: Carrying value is assumed to represent fair value for cash and due from banks and short-term investments, which have original maturities of 90 days or less. Loans Receivable - net: The fair value of the net loan portfolio is determined by discounting the estimated future cash flows using the prevailing interest rates and appropriate credit and prepayment risk adjustments as of period-end at which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities. The fair value of non-performing loans is estimated using the Company’s prior credit experience. Federal Home Loan Bank of Boston (“FHLBB”) stock: FHLBB stock is a non-marketable equity security which is assumed to have a fair value equal to its carrying value due to the fact that it can only be redeemed by the FHLB Boston at par value. Accrued Interest Receivable: Carrying value is assumed to represent fair value. Deposits and Mortgagors’ and Investors’ Escrow Accounts: The fair value of demand, non-interest- bearing checking, savings and certain money market deposits is determined as the amount payable on demand at the reporting date. The fair value of time deposits is estimated by discounting the estimated future cash flows using rates offered for deposits of similar remaining maturities as of period-end. FHLBB Advances and Other Borrowings: The fair value of borrowed funds is estimated by discounting the future cash flows using market rates for similar borrowings. As of December 31, 2016 and 2015 , the carrying value and estimated fair values of the Company’s financial instruments are as described below: Carrying Value Fair Value Level 1 Level 2 Level 3 Total (In thousands) December 31, 2016 Financial assets: Cash and cash equivalents $ 90,944 $ 90,944 $ — $ — $ 90,944 Available for sale securities 1,043,411 375 887,564 155,472 1,043,411 Held to maturity securities 14,038 — 14,829 — 14,829 Loans held for sale 62,517 — 62,517 — 62,517 Loans receivable-net 4,870,552 — — 4,895,638 4,895,638 FHLBB stock 53,476 — — 53,476 53,476 Accrued interest receivable 18,771 — — 18,771 18,771 Derivative assets 11,734 — 11,734 — 11,734 Mortgage servicing rights 10,104 — — 10,104 10,104 Financial liabilities: Deposits 4,711,172 — — 4,711,774 4,711,774 Mortgagors’ and investors’ escrow accounts 13,354 — — 13,354 13,354 FHLBB advances and other borrowings 1,169,619 — 1,167,066 — 1,167,066 Derivative liabilities 15,040 — 15,040 — 15,040 December 31, 2015 Financial assets: Cash and cash equivalents $ 95,176 $ 95,176 $ — $ — $ 95,176 Available for sale securities 1,059,169 3,227 909,872 146,070 1,059,169 Held to maturity securities 14,565 — 15,683 — 15,683 Loans held for sale 10,136 — 10,136 — 10,136 Loans receivable-net 4,587,062 — — 4,629,243 4,629,243 FHLBB stock 51,196 — — 51,196 51,196 Accrued interest receivable 15,740 — — 15,740 15,740 Derivative assets 12,910 — 12,910 — 12,910 Mortgage servicing rights 7,074 — — 7,074 7,074 Financial liabilities: Deposits 4,437,071 — — 4,436,456 4,436,456 Mortgagors’ and investors’ escrow accounts 13,526 — — 13,526 13,526 FHLBB advances and other borrowings 1,099,020 — 1,096,452 — 1,096,452 Derivative liabilities 16,675 — 16,675 — 16,675 Certain financial instruments and all nonfinancial investments are exempt from disclosure requirements. Accordingly, the aggregate fair value of amounts presented above may not necessarily represent the underlying fair value of the Company. |
SHARE-BASED COMPENSATION PLANS
SHARE-BASED COMPENSATION PLANS | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
SHARE-BASED COMPENSATION PLANS | Note 15. SHARE-BASED COMPENSATION PLANS The Company maintains and operates the Rockville Financial, Inc. 2006 Stock Incentive Award Plan (the “2006 Plan”) as approved by the Company’s Board and stockholders. The 2006 Plan allows the Company to use stock options, stock awards, stock appreciation rights and performance awards to attract, retain and reward performance of qualified employees and others who contribute to the success of the Company. The Company maintains and operates the Rockville Financial, Inc. 2012 Stock Incentive Award Plan (the “2012 Plan”) as approved by the Company’s Board and stockholders. The 2012 Plan allowed the Company to use stock options, stock awards, stock appreciation rights and performance awards to attract, retain and reward performance of qualified employees and others who contribute to the success of the Company. In connection with a merger, the Company assumed the following share-based compensation plans: (a) United Financial Bancorp, Inc. 2006 Stock-Based Incentive Plan, (b) United Financial Bancorp, Inc. 2008 Equity Incentive Plan, (c) CNB Financial Corp. 2008 Equity Incentive Plan, and (d) CNB Amended and Restated Stock Option Plan collectively referred to as “the Legacy United Stock Plans.” On October 29, 2015, a special meeting of shareholders was held and the shareholders approved the 2015 Omnibus Stock Incentive Plan (the “2015 Plan”). The 2015 Plan allows the Company to use stock options, stock awards, and performance awards to attract, retain and reward performance of qualified employees and others who contribute to the success of the Company. The 2015 Plan reserves a total of up to 4,050,000 shares (the “Cap”) of Company common stock for issuance upon the grant or exercise of awards made pursuant to the 2015 Plan. Of these shares, the Company may grant shares in the form of restricted stock, performance shares and other share-based awards and may grant stock options. However, the number of shares issuable will be adjusted by a “fungible ratio” of 2.35 . This means that for each share award other than a stock option share or a stock appreciation right share, each 1 share awarded shall be deemed to be 2.35 shares awarded. The 2015 Plan became effective as of the date of approval by the Company’s shareholders, and upon shareholder approval no other awards may be granted from the previously approved or assumed plans. As of December 31, 2016 , 2,916,059 shares remained available for future grants under the 2015 Plan. Total employee and Director share-based compensation expense recognized for stock options and restricted stock was $2.3 million with a related tax benefit recorded of $797,000 for the year ended December 31, 2016 . Of the total expense, the amount for Director share-based compensation expense recognized (in the Consolidated Statements of Net Income as other non-interest expense) was $425,000 , and the amount for officer share-based compensation expense recognized (in the Consolidated Statements of Net Income as salaries and employee benefit expense) was $1.8 million . Total employee and Director share-based compensation expense recognized for stock options and restricted stock was $1.1 million with a related tax benefit recorded of $388,000 for the year ended December 31, 2015 . Of the total expense, the amount for Director share-based compensation expense recognized (in the Consolidated Statements of Net Income as other non-interest expense) was $252,000 , the amount for officer share-based compensation expense recognized (in the Consolidated Statements of Net Income as salaries and employee benefit expense) was $707,000 , and merger and acquisition expense (in the Consolidated Statements of Net Income as non-interest expense) was $117,000 due to the acceleration of vesting as a result of an executive officer exercising a merger related change in control agreement. Total employee and Director share-based compensation expense recognized for stock options and restricted stock was $1.4 million , with a related tax benefit recorded of $500,000 , and $2.5 million with a related tax benefit recorded of $855,000 , respectively for the year ended December 31, 2014 . Of the total expense, the amount for Director share-based compensation expense recognized (in the Consolidated Statements of Net Income as other non-interest expense) was $301,000 , the amount for officer share-based compensation expense recognized (in the Consolidated Statements of Net Income as salaries and benefits expense) was $1.1 million , and merger and acquisition expense recognized (in the Consolidated Statements of Net Income as non-interest expense) was $2.6 million reflecting Director and officer expense due to the accelerated vesting of all outstanding stock options and restricted stock which occurred on the effective date of the Merger. The fair values of stock option and restricted stock awards, measured at grant date, are amortized to compensation expense on a straight-line basis over the vesting period. Stock Options: The following table presents the activity related to the Company’s stock options outstanding, including options that have stock appreciation rights (“SARs”), under the Plans for the year ended December 31, 2016 : Number of Stock Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (in millions) Outstanding at December 31, 2015 2,649,735 $ 10.88 Granted — — Exercised (680,677 ) 9.79 2.7 Forfeited, expired, or canceled (32,605 ) 13.68 Outstanding at December 31, 2016 1,936,453 $ 11.21 5.2 $ 13.5 Stock options vested and exercisable at December 31, 2016 1,840,286 $ 11.08 5.1 $ 8.6 On May 2, 2014, the Company registered 1,291,793 options at an exercise price of $9.36 per share (adjusted for the exchange ratio) pursuant to its Registration Statement on Form S-8 under which the Company assumed all outstanding fully vested stock options under the Legacy United Stock Plans, which include options that were granted as SARs. These options have terms expiring between 2014 and 2022. As of April 30, 2014, the effective time of the Merger, all outstanding Company stock options, including those held by directors and executive officers, became fully vested in accordance with the change in control provisions within the merger agreement. The expense related to the accelerated vesting recorded during the second quarter of 2014 totaled $1.1 million and was included in non-interest expenses as merger related expense. As of December 31, 2016 , the unrecognized cost related to outstanding stock options was $105,000 and will be recognized over a weighted-average period of 1.3 years. The Company used the Black-Scholes option pricing model for estimating the fair value of stock options granted. There were no stock options granted in 2016 or 2015. Stock options provide grantees the option to purchase shares of common stock at a specified exercise price and expire ten years from the date of grant. Restricted Stock: Restricted stock provides grantees with rights to shares of common stock upon completion of a service period. During the restriction period, all shares are considered outstanding and dividends are paid on the restricted stock. The following table presents the activity for unvested restricted stock for the year ended December 31, 2016 : Number of Shares Weighted-Average Grant-Date Fair Value Unvested as of December 31, 2015 326,013 $ 13.20 Granted 215,814 15.61 Vested (98,207 ) 13.47 Forfeited (4,814 ) 13.58 Unvested as of December 31, 2016 438,806 $ 14.53 The fair value of restricted shares that vested during the years ended December 31, 2016, 2015 and 2014 was $1.3 million , $780,000 , and $3.0 million, respectively. The weighted-average grant date fair value of restricted stock granted during the years ended December 31, 2016, 2015 and 2014 was $15.61 , $13.08 and $13.64 , respectively. As of April 30, 2014, the effective time of the merger, all outstanding Company restricted stock awards, including those held by directors and executive officers, became fully vested in accordance with the change in control provisions within the merger agreement. The expense related to the accelerated vesting recorded during the second quarter of 2014 was $1.5 million , and was included in non-interest expenses as merger related expense. As of December 31, 2016 , there was $5.1 million of total unrecognized compensation cost related to unvested restricted stock which is expected to be recognized over a weighted-average period of 2.3 years. Of the remaining unvested restricted stock, 168,985 shares will vest in 2017, 158,346 shares will vest in 2018, 101,319 shares will vest in 2019, 5,078 shares will vest in 2020, and 5,078 will vest in 2021. All unvested restricted stock shares are expected to vest. Employee Stock Ownership Plan: In connection with the reorganization and stock offering completed in 2005, the Company established an ESOP for eligible employees of the Company, and authorized the Company to lend funds to the ESOP to purchase 699,659 or 3.6% of the shares issued in the initial public offering. Upon completion of the 2005 reorganization, the ESOP borrowed $4.4 million from the Company to purchase 437,287 shares of common stock. Additional shares of 59,300 and 203,072 were subsequently purchased by the ESOP in the open market at a total cost of $817,000 and $2.7 million in 2006 and 2005, respectively, with additional funds borrowed from the Company. The interest rate for the original ESOP loan was the prime rate plus one percent , or 4.25% as of December 31, 2014. As the loan was repaid to the Company, shares were released from collateral and allocated to the accounts of the participants. There is no outstanding balance as the loan was paid in full on December 31, 2014 . As part of the second-step conversion and stock offering completed in 2011, the Bank authorized the Company to lend funds to the ESOP to purchase 684,395 shares, 276,017 shares of which were purchased during the public offering at a cost of $10.00 per share. In March 2011, the remaining shares totaling 408,378 were subsequently purchased by the ESOP in the open market at an average cost of $10.56 per share, or $4.3 million . The interest rate for the second ESOP loan is the prime rate plus one percent , or 4.75% as of December 31, 2016 . As of December 31, 2016 , the outstanding balance for the loan was $6.2 million , with a remaining term of 24 years. Principal payments of $863,000 have been made on the loan since inception. Dividends paid in 2016 totaling $274,000 on all unallocated ESOP shares were offset to the interest payable on the note owed by the Company. The total ESOP expense was $308,000 , $299,000 and $1.7 million for the years ended December 31, 2016, 2015 and 2014 , respectively. At December 31, 2016 , there were 136,879 allocated and 547,516 unallocated ESOP shares and the unallocated shares had an aggregate fair value of $9.9 million . Effective January 1, 2014, the Company merged its ESOP with its Defined Contribution Plan, or 401(k). In addition to employer matching cash contributions to the 401(k) Plan, shares released from the pay down on the ESOP loans will be allocated to all participants in the 401(k) Plan. |
PENSION PLANS AND OTHER POST-RE
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS | Note 16. PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS Defined Benefit, Supplemental and Other Post-retirement Plans Legacy Rockville offered a noncontributory defined benefit pension plan through December 31, 2012 for eligible employees who met certain minimum service and age requirements hired before January 1, 2005. Pension plan benefits were based upon employee earnings during the period of credited service. The pension plan was frozen effective December 31, 2012. Employees hired on or after January 1, 2005 receive no benefits under the plan. All other employees accrue no additional retirement benefits on or after January 1, 2013, and the amount of their qualified retirement income will not exceed the amount of benefits determined as of December 31, 2012. The Company also has supplemental retirement plans (the “Supplemental Plans”) that provide benefits for certain key officers. Benefits under the Supplemental Plans are based on a predetermined formula and are reduced by other benefits. The liability arising from these plans is being accrued over the participants’ remaining periods of service so that at the expected retirement dates, the present value of the annual payments will have been expensed. The Company also provides an unfunded post-retirement medical, health and life insurance benefit plan for retirees and employees hired prior to March 31, 1993. The following table sets forth changes in the benefit obligation, changes in plan assets and the funded status of the pension plan and post-retirement benefit plans for the years ended December 31, 2016, 2015 and 2014 : Qualified Pension Plan December 31, Supplemental Executive Retirement Plans December 31, Other Post- Retirement Benefits December 31, 2016 2015 2014 2016 2015 2014 2016 2015 2014 (In thousands ) Change in Benefit Obligation: Benefit obligation at beginning of year $ 27,115 $ 30,571 $ 24,224 $ 929 $ 1,368 $ 1,191 $ 1,841 $ 2,218 $ 1,926 Service cost — 60 75 22 24 25 13 23 19 Interest cost 1,186 1,162 1,145 39 40 54 76 80 85 Plan participants’ contributions — — — — — — 27 28 26 Actuarial loss (gain) 1,088 (3,821 ) 6,460 37 (79 ) 166 180 (413 ) 271 Benefits paid and administration expenses (914 ) (857 ) (1,333 ) (27 ) (31 ) (484 ) (96 ) (95 ) (109 ) Curtailments, settlements, special termination benefits — — — — (393 ) 416 — — — Benefit obligation at end of year $ 28,475 $ 27,115 $ 30,571 $ 1,000 $ 929 $ 1,368 $ 2,041 $ 1,841 $ 2,218 Change in Plan Assets: Fair value of plan assets at beginning of year $ 25,240 $ 26,519 $ 26,258 $ — $ — $ — $ — $ — $ — Actual return (loss) on plan assets 1,571 (422 ) 1,594 — — — — — — Employer contributions 528 — — 27 424 484 69 67 83 Plan participants’ contributions — — — — — — 27 28 26 Benefits paid and administration expenses (914 ) (857 ) (1,333 ) (27 ) (31 ) (484 ) (96 ) (95 ) (109 ) Settlements — — — — (393 ) — — — — Fair value of plan assets at end of year $ 26,425 $ 25,240 $ 26,519 $ — $ — $ — $ — $ — $ — Funded Status: Underfunded status at end of year $ (2,050 ) $ (1,875 ) $ (4,052 ) $ (1,000 ) $ (929 ) $ (1,368 ) $ (2,041 ) $ (1,841 ) $ (2,218 ) Amounts Recognized in the Consolidated Statements of Condition Accrued expenses and other liabilities $ (2,050 ) $ (1,875 ) $ (4,052 ) $ (1,000 ) $ (929 ) $ (1,368 ) $ (2,041 ) $ (1,841 ) $ (2,218 ) The components of accumulated other comprehensive loss related to pensions and other post-retirement benefits and related tax effects at December 31, 2016, 2015 and 2014 are summarized below: Qualified Pension Plan December 31, Supplemental Executive Retirement Plans December 31, Other Post- Retirement Benefits December 31, 2016 2015 2014 2016 2015 2014 2016 2015 2014 (In thousands ) Amounts Recognized in Accumulated Other Comprehensive Loss Consist of: Prior service cost $ — $ — $ — $ 78 $ 85 $ 92 $ — $ — $ — Net loss (gain) 7,696 7,050 9,362 117 79 202 45 (134 ) 297 Total accumulated other comprehensive loss (income) 7,696 7,050 9,362 195 164 294 45 (134 ) 297 Deferred tax (asset) liability (2,773 ) (2,540 ) (3,278 ) (70 ) (59 ) (69 ) (16 ) 48 (97 ) Net impact on accumulated other comprehensive loss $ 4,923 $ 4,510 $ 6,084 $ 125 $ 105 $ 225 $ 29 $ (86 ) $ 200 The following table sets forth the components of net periodic benefit costs and other amounts recognized in other comprehensive income (loss) for the retirement plans for the years ended December 31, 2016, 2015 and 2014 : Qualified Pension Plan Supplemental Executive Retirement Plans Other Post- Retirement Benefits 2016 2015 2014 2016 2015 2014 2016 2015 2014 (In thousands) Components of Net Periodic Benefit Cost: Service cost $ — $ 60 $ 75 $ 22 $ 24 $ 25 $ 13 $ 23 $ 19 Interest cost 1,186 1,162 1,145 39 40 54 76 80 85 Expected return on plan assets (1,624 ) (1,824 ) (1,595 ) — — — — — — Amortization of net actuarial losses (gains) 495 738 (277 ) — 3 2 — 18 (10 ) Amortization of prior service cost — — — 7 7 12 — — — Settlement charge — — — — 39 651 — — — Net periodic benefit cost (income) 57 136 (652 ) 68 113 744 89 121 94 Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income: Net loss (gain) 1,140 (1,574 ) 6,460 37 (80 ) 100 180 (413 ) 271 Change in prior service credit — — — — — (168 ) — — — Amortization of net (loss) gain (495 ) (738 ) 277 — (3 ) (2 ) — (18 ) 10 Amortization of prior service cost — — — (7 ) (7 ) (12 ) — — — Loss recognized due to settlement — — — — (39 ) — — — — Total recognized in other comprehensive income (loss) 645 (2,312 ) 6,737 30 (129 ) (82 ) 180 (431 ) 281 Total recognized in net periodic benefit cost and other comprehensive income (loss) $ 702 $ (2,176 ) $ 6,085 $ 98 $ (16 ) $ 662 $ 269 $ (310 ) $ 375 Amounts in accumulated other comprehensive loss that are expected to be recognized as components of net periodic benefit cost during 2017 are $570,000 , $8,000 and $0 for the qualified pension plan, supplemental executive retirement plan and other post-retirement benefits plan, respectively. Weighted-average assumptions used to determine pension benefit obligations at December 31, follow: Qualified Pension Supplemental Retirement Plans Other Post-Retirement Benefits 2016 2015 2016 2015 2016 2015 Discount rate 4.15 % 4.45 % 4.00 % 4.30 % 4.00 % 4.25 % Expected return on plan assets 6.50 % 7.00 % — % — % — % — % Weighted-average assumptions used to determine net benefit pension expense for the years ended December 31, follow: Qualified Pension Supplemental Retirement Plans Other Post-Retirement Benefits 2016 2015 2014 2016 2015 2014 2016 2015 2014 Discount rate 4.45 % 3.85 % 4.80 % 4.30 % 3.70 % 4.70 % 4.25 % 3.70 % 4.55 % Expected return on plan assets 7.00 % 7.00 % 7.25 % — % — % — % — % — % — % Rate of compensation increase — % — % — % 4.00 % 4.00 % 4.00 % 4.00 % 4.00 % 4.00 % The accumulated post-retirement benefit obligation for the other post-retirement benefits was $2.0 million and $1.8 million as of December 31, 2016 and 2015 , respectively. The Company does not intend to apply for the government subsidy under Medicare Part-D for post-retirement prescription drug benefits. Therefore, the impact of the subsidy is not reflected in the development of the liabilities for the plan. As of December 31, 2013, prescription drug benefits are included in the post-retirement benefits offered to employees hired prior to March 1, 1993. The expected long-term rate of return is based on current and expected asset allocations, as well as the long-term historical risks and returns with each asset class within the plan portfolio. A lower expected rate of return on plan assets increases pension costs. The discount rate assumption used to measure the post-retirement benefit obligations is set by reference to high-quality bond indices, as well as certain yield curves. The Citigroup Pension Liability Index was used as a benchmark. A higher discount rate decreases the present value of benefit obligations and decreases pension expense. Assumed Healthcare Trend Rates The Company’s accumulated other post-retirement benefit obligations take into account certain cost-sharing provisions. The annual rate of increase in the cost of covered benefits (i.e., healthcare cost trend rate) is assumed to be 7% at December 31, 2016 . Assumed healthcare cost trend rates have a significant effect on the amounts reported for the healthcare plans. A one percentage point change in the assumed healthcare cost trend rate would have the following effects: 1% Increase 1% Decrease (In thousands) Effect on post-retirement benefit obligation $ 2,272 $ 1,848 Effect on total service and interest 115 90 Plan Assets The fair value of major categories of pension plan assets as of December 31, 2016 and 2015 are as follows: Total Fair Value Percent (In thousands) December 31, 2016 Fixed income funds $ 10,255 39 % Domestic equity funds 8,124 31 International equity funds 5,125 19 Hedge funds 2,710 10 Money market funds 211 1 Total $ 26,425 100 % December 31, 2015 Fixed income funds $ 10,135 40 % Domestic equity funds 7,557 30 International equity funds 4,572 18 Hedge funds 2,697 11 Money market funds 279 1 Total $ 25,240 100 % All plan assets are measured at fair value in Level 1 based on quoted market prices in an active exchange market. The Company’s investment goal is to obtain a competitive risk adjusted return on the Pension Plan assets commensurate with prudent investment practices and the plan’s responsibility to provide retirement benefits for its participants, retirees and their beneficiaries. The 2016 targeted allocation for fixed income, domestic equity securities, international equity securities, and hedge funds was 40% , 30% , 20% and 10% , respectively. The Pension Plan’s investment policy does not explicitly designate allowable or prohibited investments; instead, it provides guidance regarding investment diversification and other prudent investment practices to limit the risk of loss. The Plan’s asset allocation targets are strategic and long-term in nature and are designed to take advantage of the risk reducing impacts of asset class diversification. Plan assets are periodically rebalanced to their asset class targets to reduce risk and to retain the portfolio’s strategic risk/return profile. Investments within each asset category are further diversified with regard to investment style and concentration of holdings. Contributions There were $528,000 in contributions to the Qualified Pension Plan in 2016 and no contributions during 2015. The Company expects to make $200,000 in contributions to the Qualified Pension Plan in 2017. Estimated Future Benefit Payments The benefit payments, which reflect expected future service, as appropriate, expected to be paid are as follows: Qualified Pension Plan Supplemental Executive Retirement Plans Other Post- Retirement Benefits (In thousands) Years Ending December 31, 2017 $ 970 $ 28 $ 100 2018 1,070 41 100 2019 1,180 41 110 2020 1,310 41 120 2021 1,360 41 120 Years 2022-2026 7,280 295 600 Multi-Employer Defined Benefit Plan As a result of the Merger, the Company participates in the Pentegra Defined Benefit Plan for Financial Institutions (the “Pentegra DB Plan”), a tax-qualified defined-benefit pension plan. The Pentegra DB Plan’s Employer Identification Number is 13-5645888 and the Plan Number is 333. The Pentegra DB Plan operates as a multi-employer plan for accounting purposes and as a multi-employer plan under the Employee Retirement Income Security Act of 1974 and the Internal Revenue Code. There are no collective bargaining agreements in place that require contributions to the Pentegra DB Plan. The Pentegra DB Plan is a single plan under Internal Revenue Code Section 413(c) and, as a result, all of the assets stand behind all of the liabilities. Accordingly, under the Pentegra DB Plan, contributions made by a participating employer may be used to provide benefits to participants of other participating employers. The funded status (market value of plan assets divided by funding target) of the Pentegra DB Plan as of July 1, 2016 and 2015 was 114.8% and 114.4% , respectively, per the actuarial valuation reports. Market value of plan assets reflects contributions received through June 30, 2016. The Company’s contributions to the Pentegra DB Plan will not be more than 5% of the total contributions to the Pentegra DB Plan. A $50,000 contribution, recorded as pension expense, was made in 2016 and 2015, and a $50,000 contribution was accrued in 2014 and paid in 2015. The Company will make the future required contributions and incur applicable pension expense going forward. 401(k) Plan The Company has a tax-qualified 401(k) plan for the benefit of its eligible employees. Beginning January 1, 2005, the 401(k) Plan was amended to pay all employees, even those who do not contribute to the 401(k) Plan, an automatic 3% of pay “safe harbor” contribution that is fully vested to participants of the 401(k) Plan. For employees hired on or after January 1, 2005, the Company also will make a discretionary matching contribution equal to a uniform percentage of the amount of the salary reduction the employee elected to defer, which percentage will be determined each year by the Company. In connection with the pension plan being frozen at December 31, 2012, the Company provides additional benefits to the impacted employees defined benefit through the 401(k) Plan beginning January 1, 2013 for a five year period. Effective January 1, 2014, the Company merged its Employee Stock Ownership Plan with its 401(k) Plan. The Company recorded expenses of $1.7 million , $2.1 million , and $515,000 related to the plan for the years ended December 31, 2016, 2015 and 2014 , respectively. |
REGULATORY MATTERS
REGULATORY MATTERS | 12 Months Ended |
Dec. 31, 2016 | |
Banking and Thrift [Abstract] | |
REGULATORY MATTERS | Note 17. REGULATORY MATTERS Minimum regulatory capital requirements The Company (on a consolidated basis) and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory, and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company’s and the Bank’s consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Company and the Bank must meet specific capital guidelines that involve qualitative measures of their assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classification are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Prompt corrective action provisions are not applicable to bank holding companies. Federal banking regulators include minimum capital ratios as displayed in the following table of common equity. Additionally, community banking institutions must maintain a capital conservation buffer of common equity Tier I capital in an amount greater than 2.5% of total risk-weighted assets to avoid being subject to limitations on capital distributions and discretionary bonuses. The capital conservation buffer is being phased in over three years, beginning on January 1, 2016, with an initial phase-in of 0.625%. Also, certain deductions from and adjustments to regulatory capital are being phased in over several years. Management believes that the Company capital levels will remain characterized as “well capitalized” throughout the phase in periods. As of December 31, 2016 , the most recent notification from the Federal Deposit Insurance Corporation categorized the Bank as well capitalized under the regulatory framework from prompt corrective action. To be categorized as well capitalized, an institution must maintain minimum ratios as set forth in the following tables. There are no conditions or events since the notification that management believes have changed the Bank’s category. Management believes, as of December 31, 2016 and 2015 , that the Company and the Bank meet all capital adequacy requirements to which they are subject. The Company’s and the Bank’s actual capital amounts and ratios as of December 31, 2016 and 2015 are also presented in the following table: Actual Minimum For Capital Adequacy Purposes Minimum To Be Well- Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) United Bank: December 31, 2016 Total capital to risk weighted assets $ 619,020 12.1 % $ 409,269 8.0 % $ 511,587 10.0 % Common equity tier 1 capital to risk weighted assets 574,632 11.2 230,879 4.5 333,492 6.5 Tier 1 capital to risk weighted assets 574,632 11.2 307,839 6.0 410,451 8.0 Tier 1 capital to total average assets 574,632 9.0 255,392 4.0 319,240 5.0 December 31, 2015 Total capital to risk weighted assets $ 558,969 11.2 % $ 398,552 8.0 % $ 498,190 10.0 % Common equity tier 1 capital to risk weighted assets 523,786 10.5 224,266 4.5 323,940 6.5 Tier 1 capital to risk weighted assets 523,786 10.5 299,022 6.0 398,695 8.0 Tier 1 capital to total average assets 523,786 8.9 234,882 4.0 293,602 5.0 United Financial Bancorp, Inc.: December 31, 2016 Total capital to risk weighted assets $ 668,816 13.0 % $ 411,579 8.0 % N/A N/A Common equity tier 1 capital to risk weighted assets 549,428 10.7 231,068 4.5 N/A N/A Tier 1 capital to risk weighted assets 549,428 10.7 308,090 6.0 N/A N/A Tier 1 capital to total average assets 549,428 8.6 255,548 4.0 N/A N/A December 31, 2015 Total capital to risk weighted assets $ 628,915 12.5 % $ 401,542 8.0 % N/A N/A Common equity tier 1 capital to risk weighted assets 518,732 10.3 225,972 4.5 N/A N/A Tier 1 capital to risk weighted assets 518,732 10.3 301,296 6.0 N/A N/A Tier 1 capital to total average assets 518,732 8.9 233,926 4.0 N/A N/A Our ability to pay dividends to our stockholders is substantially dependent upon the Bank’s ability to pay dividends to the Company. The Federal Reserve guidance sets forth the supervisory expectation that bank holding companies will inform and consult with Federal Reserve staff in advance of issuing a dividend that exceeds earnings for the quarter and should not pay dividends in a rolling four quarter period in an amount that exceeds net income for that period. Federal law also prohibits the Bank from paying dividends that would be greater than its undivided profits after deducting statutory bad debt in excess of its allowance for loan losses. The FDIC may limit a savings bank’s ability to pay dividends. No dividends may be paid to the Company’s shareholder if such dividends would reduce stockholders’ equity below the amount of the liquidation account required by the Connecticut conversion regulations. Connecticut law restricts the amount of dividends that the Bank can pay based on net income included in retained earnings for the current year and the preceding two years. As of December 31, 2016 , $79.8 million was available for the payment of dividends. Connecticut banking laws grant banks broad lending authority. With certain limited exceptions, any one obligor under this statutory authority may not exceed 10% and 15%, respectively, of a bank’s capital and allowance for loan losses. The following table provides a reconciliation of the Company’s total consolidated equity to the capital amounts for the Bank reflected in the preceding table: December 31, 2016 2015 (In thousands) Total consolidated equity $ 655,866 $ 625,521 Adjustments: Additional Bank-only equity 26,119 5,054 Accumulated other comprehensive loss 15,353 10,879 Disallowed goodwill and other intangible assets (117,161 ) (116,816 ) Disallowed deferred tax assets (3,327 ) (852 ) Other (2,218 ) — Tier 1 capital 574,632 523,786 Allowance for loan losses and off-balance sheet credit losses 44,327 35,124 Unrealized gains on available-for-sale securities includible in total risk-based capital 61 59 Total risk-based capital $ 619,020 $ 558,969 |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE LOSS | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
ACCUMULATED OTHER COMPREHENSIVE LOSS | Note 18. ACCUMULATED OTHER COMPREHENSIVE LOSS The components of accumulated other comprehensive loss, included in stockholders’ equity, are as follows: December 31, 2016 December 31, 2015 (In thousands) Benefit plans: Unrecognized net actuarial loss $ (7,936 ) $ (7,080 ) Tax effect 2,859 2,551 Net-of-tax amount (5,077 ) (4,529 ) Securities available for sale: Net unrealized loss (12,845 ) (5,821 ) Tax effect 4,617 2,088 Net-of-tax amount (8,228 ) (3,733 ) Interest rate swaps: Net unrealized loss (3,202 ) (4,092 ) Tax effect 1,154 1,475 Net-of-tax amount (2,048 ) (2,617 ) $ (15,353 ) $ (10,879 ) |
NET INCOME PER SHARE
NET INCOME PER SHARE | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
NET INCOME PER SHARE | Note 19. NET INCOME PER SHARE The following table sets forth the calculation of basic and diluted net income per share for the years ended December 31, 2016, 2015 and 2014 : Years Ended December 31, (In thousands, except share data) 2016 2015 2014 Net income $ 49,661 $ 49,640 $ 6,782 Adjusted weighted-average common shares outstanding 50,290,934 49,495,381 43,491,441 Less: average number of unvested ESOP award shares 559,785 582,574 662,347 Weighted-average basic shares outstanding 49,731,149 48,912,807 42,829,094 Dilutive effect of stock options 357,881 472,759 440,423 Weighted-average diluted shares 50,089,030 49,385,566 43,269,517 Net income per share: Basic $ 1.00 $ 1.01 $ 0.16 Diluted $ 0.99 $ 1.00 $ 0.16 For the years ended December 31, 2016, 2015 and 2014 , respectively, 258,000 , 638,000 , and 328,000 options were anti-dilutive and therefore excluded from the earnings per share calculation. |
OTHER COMMITMENTS AND CONTINGEN
OTHER COMMITMENTS AND CONTINGENCIES | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
OTHER COMMITMENTS AND CONTINGENCIES | Note 20. OTHER COMMITMENTS AND CONTINGENCIES Leases: The Company leases certain of its branches and other office facilities under non-cancelable capital and operating lease agreements. Many of these leases contain renewal options and escalation clauses which provide for increased rental expense. In addition to rental payments, the branch leases require payments for executory costs. The Company also leases certain equipment under non-cancelable operating leases. Future minimum rental commitments under the terms of these leases, by year and in the aggregate, are as follows as of December 31, 2016 : (In thousands) 2017 $ 5,134 2018 4,883 2019 4,738 2020 4,336 2021 4,007 Thereafter 17,099 $ 40,197 Total rental expense charged to operations for all cancelable and non-cancelable operating leases was $4.6 million , $5.1 million and $5.8 million for the years ended December 31, 2016, 2015 and 2014 , respectively. The Company, as a landlord, leases space to third party tenants under non-cancelable operating leases. In addition to base rent, the leases require payments for executory costs. Future minimum rents receivable under the non-cancelable leases are as follows as of December 31, 2016 : (In thousands) 2017 $ 505 2018 429 2019 411 $ 1,345 Rental income is recorded as a reduction to occupancy and equipment expense in the accompanying Consolidated Statements of Net Income and amounted to $553,000 , $490,000 and $407,000 for the years ended December 31, 2016, 2015 and 2014 , respectively. Legal Matters: The Company is involved in various legal proceedings that have arisen in the normal course of business. The Company is not involved in any legal proceedings deemed to be material as of December 31, 2016 . Financial Instruments with Off-Balance Sheet Risk: In the normal course of business, the Company is a party to financial instruments with off-balance sheet risk to meet the financing needs of its customers. These financial instruments include commitments to extend credit through issuing standby letters of credit and undisbursed portions of construction loans and involve, to varying degrees, elements of credit and interest rate risk in excess of the amounts recognized in the statements of financial condition. The contractual amounts of those instruments reflect the extent of involvement the Company has in particular classes of financial instruments. The contractual amounts of commitments to extend credit represent the amounts of potential accounting loss should the contract be fully drawn upon, the customer defaults and the value of any existing collateral obligations is deemed worthless. The Company uses the same credit policies in making commitments as it does for on-balance sheet instruments. Off-balance sheet financial instruments whose contract amounts represent credit risk are as follows at December 31, 2016 and 2015 : December 31, 2016 2015 (In thousands) Commitments to extend credit: Commitment to grant loans $ 197,070 $ 219,407 Undisbursed construction loans 90,149 103,140 Undisbursed home equity lines of credit 364,421 320,140 Undisbursed commercial lines of credit 382,018 302,700 Standby letters of credit 13,588 9,477 Unused credit card lines 12,327 6,725 Unused checking overdraft lines of credit 1,465 1,293 Total $ 1,061,038 $ 962,882 Commitments to extend credit are agreements to lend to a customer as long as there is no violation of any condition established in the contract. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Standby letters of credit are conditional commitments issued by the Company to guarantee the performance of a customer to a third party. Since these commitments could expire without being drawn upon, the total commitment amounts do not necessarily represent future cash requirements. The Company evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Company upon extension of credit, is based on management’s credit evaluation of the counterparty. Collateral held varies but may include residential and commercial property, accounts receivable, inventory, property, plant and equipment, deposits, and securities. Other Commitments The Company invests in partnerships, including low income housing tax credit, new markets housing tax credit, and alternative energy tax credit partnerships. The net carrying balance of these investments totaled $31.3 million at December 31, 2016 and is included in other assets in the Consolidated Statement of Condition. At December 31, 2016 , the Company was contractually committed under these limited partnership agreements to make additional capital contributions of $4.5 million , which constitutes our maximum potential obligation to these partnerships. |
SELECTED QUARTERLY CONSOLIDATED
SELECTED QUARTERLY CONSOLIDATED INFORMATION (UNAUDITED) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
SELECTED QUARTERLY CONSOLIDATED INFORMATION (UNAUDITED) | Note 21. SELECTED QUARTERLY CONSOLIDATED INFORMATION (UNAUDITED) The Company’s quarterly results of operations were as follows: 2016 2015 Fourth Quarter Third Quarter Second Quarter First Quarter Fourth Quarter Third Quarter Second Quarter First Quarter (In thousands, except per share data) Interest and dividend income $ 53,621 $ 53,336 $ 51,621 $ 53,574 $ 49,714 $ 49,625 $ 48,711 $ 48,295 Interest expense 10,449 10,307 10,125 10,172 9,021 7,982 7,808 6,952 Net interest income 43,172 43,029 41,496 43,402 40,693 41,643 40,903 41,343 Provision for loan losses 3,359 3,766 3,624 2,688 3,780 3,252 4,462 1,511 Net interest income after provision for loan losses 39,813 39,263 37,872 40,714 36,913 38,391 36,441 39,832 Non-interest income 8,936 7,889 6,532 6,727 8,463 7,818 9,371 6,835 Other non-interest expense 33,293 32,236 34,681 33,763 35,305 31,876 30,357 30,657 Income before income taxes 15,456 14,916 9,723 13,678 10,071 14,333 15,455 16,010 Provision for income taxes 906 757 665 1,784 169 952 2,123 2,985 Net income $ 14,550 $ 14,159 $ 9,058 $ 11,894 $ 9,902 $ 13,381 $ 13,332 $ 13,025 Earnings per share: Basic $ 0.29 $ 0.28 $ 0.18 $ 0.24 $ 0.20 $ 0.27 $ 0.27 $ 0.27 Diluted $ 0.29 $ 0.28 $ 0.18 $ 0.24 $ 0.20 $ 0.27 $ 0.27 $ 0.26 Stock Price (per share): High $ 18.49 $ 14.16 $ 13.51 $ 12.81 $ 14.16 $ 13.87 $ 13.91 $ 14.47 Low $ 13.51 $ 12.64 $ 12.16 $ 10.28 $ 12.45 $ 12.14 $ 12.25 $ 12.00 The second quarter of 2016 was significantly impact by the Company’s announced reorganization plan which included $1.4 million of severance costs. The fourth quarter of 2015 was significantly impacted by $1.6 million of merger related expenses. |
PARENT COMPANY FINANCIAL INFORM
PARENT COMPANY FINANCIAL INFORMATION | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
PARENT COMPANY FINANCIAL INFORMATION | Note 22. PARENT COMPANY FINANCIAL INFORMATION The following represents the Company’s Condensed Statements of Condition as of December 31, 2016 and 2015 and Condensed Statements of Net Income and Cash Flows for the years ended December 31, 2016, 2015 and 2014 which should be read in conjunction with the Consolidated Financial Statements and related notes: Condensed Statements of Condition At December 31, 2016 2015 (In thousands) Assets: Cash and due from banks $ 16,567 $ 28,825 Investment in United Bank 681,985 630,575 Due from United Bank 11,405 9,374 Other assets 27,308 37,938 Total Assets $ 737,265 $ 706,712 Liabilities and Stockholders’ Equity: Subordinated debentures $ 79,716 $ 79,489 Accrued expenses and other liabilities 1,683 1,702 Stockholders’ equity 655,866 625,521 Total Liabilities and Stockholders’ Equity $ 737,265 $ 706,712 Condensed Statements of Net Income For the Years Ended December 31, 2016 2015 2014 (In thousands) Dividend income from United Bank $ — $ 30,913 $ 13,310 Other interest and dividend income 159 103 35 Interest expense on subordinated debentures (4,738 ) (4,682 ) (1,353 ) Net interest income (expense) (4,579 ) 26,334 11,992 Non-interest income — 434 73 General and administrative expense 4,982 4,714 7,257 Income (loss) before tax benefit and equity in undistributed net income (loss) of United Bank (9,561 ) 22,054 4,808 Income tax benefit 3,338 3,094 2,566 Income (loss) before equity in undistributed net income of United Bank (6,223 ) 25,148 7,374 Equity in undistributed net income (loss) of United Bank 55,884 24,492 (592 ) Net income $ 49,661 $ 49,640 $ 6,782 Condensed Statements of Cash Flows For the Years ended December 31, 2016 2015 2014 (In thousands) Cash flows from operating activities: Net income $ 49,661 $ 49,640 $ 6,782 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Amortization of purchase accounting marks, net 100 75 41 Amortization of subordinated debt issuance costs, net 127 127 34 Share-based compensation expense 2,252 1,076 3,957 ESOP expense 308 299 1,727 Undistributed income of United Bank (55,884 ) (24,492 ) 592 Deferred tax provision 4,237 188 959 Tax provision (benefit) of stock-based awards (486 ) 317 (820 ) Net change in: Due from United Bank (2,031 ) 6,491 (5,021 ) Other assets 6,879 (32,849 ) 4,028 Accrued expenses and other liabilities (19 ) (53 ) (2,651 ) Net cash provided by (used in) operating activities 5,144 819 9,628 Cash flows from investing activities: Cash acquired from United Financial Bancorp, Inc., net — — 6,546 Net cash provided by investing activities — — 6,546 Cash flows from financing activities: Proceeds from debt offering, net of expenses — — 73,733 Common stock repurchased — (5,171 ) (47,249 ) Proceeds from the exercise of stock options 6,275 4,765 2,246 Cancellation of shares for tax withholding (327 ) (311 ) (1,367 ) Tax effects of share-based awards 486 (317 ) 820 Cash dividends paid on common stock (23,836 ) (22,479 ) (18,008 ) Net cash provided by (used in) financing activities (17,402 ) (23,513 ) 10,175 Net increase (decrease) in cash and cash equivalents (12,258 ) (22,694 ) 26,349 Cash and cash equivalents — beginning of year 28,825 51,519 25,170 Cash and cash equivalents — end of year $ 16,567 $ 28,825 $ 51,519 Supplemental disclosures of cash flow information: Cash paid (refunded) for income taxes, net $ 3,655 $ (6,744 ) $ 3,599 |
SUMMARY OF SIGNIFICANT ACCOUN32
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2016 | |
Accounting Policies [Abstract] | |
Nature of Operations and Financial Statement Presentation | On April 30, 2014, Rockville Financial, Inc. (“Rockville”) completed its merger with United Financial Bancorp, Inc. (“Legacy United”) and changed its legal entity name to United Financial Bancorp, Inc. (the “Company”). In connection with this merger, Rockville Bank, the Company’s principal asset and wholly-owned subsidiary, completed its merger with Legacy United’s banking subsidiary, United Bank, and changed its name to United Bank (the “Bank”). Discussions throughout this report related to the merger with Legacy United are referred to as the “Merger”. The results of operations of Legacy United or assets acquired are included only from the date of acquisition. The consolidated financial statements and the accompanying notes presented in this report include the accounts of the Company, the Bank, and the Bank’s wholly-owned subsidiaries, United Bank Mortgage Company, United Bank Investment Corp., Inc., United Bank Commercial Properties, Inc., United Bank Residential Properties, Inc., United Northeast Financial Advisors, Inc., United Bank Investment Sub, Inc., UB Properties, LLC, and UCB Securities, Inc. II. In addition, the Bank has a real estate investment trust subsidiary, United Financial Realty HC, Inc. of which has one wholly-owned subsidiary, United Financial Business Trust I. The Company is a bank holding company under the Bank Holding Company Act of 1956, as amended, headquartered in Glastonbury, Connecticut and incorporated under the laws of Connecticut in 2004. At December 31, 2016 , the Company’s principal asset was all of the outstanding capital stock of United Bank, a wholly-owned subsidiary of the Company. The Company, through United Bank and various subsidiaries, delivers financial services to individuals, families and businesses primarily throughout Connecticut and western Massachusetts and the surrounding regions through 53 banking offices, its commercial loan and mortgage loan production offices, 63 ATMs, telephone banking, mobile banking and its online website (www.bankatunited.com). The consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States of America (“GAAP”) and to general practices in the financial services industry. The preparation of financial statements in conformity with GAAP requires management to make estimates and assumptions that affect the reported amounts of assets, liabilities, revenues and expenses. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant change in the near term relate to the determination of the allowance for loan losses, the realizability of deferred tax assets, the valuation of derivative instruments and hedging activities, the evaluation of securities for other-than-temporary impairment and review of goodwill for impairment. Certain reclassifications have been made to prior periods’ consolidated financial statements to conform to the 2016 presentation. These reclassifications had no impact on the Company’s consolidated financial position, results of operations or net change in cash equivalents. All significant intercompany transactions have been eliminated. |
Common Share Repurchases | The Company is chartered in the state of Connecticut. Connecticut law does not provide for treasury shares, rather shares repurchased by the Company constitute authorized but unissued shares. GAAP states that accounting for treasury stock shall conform to state law. Therefore, the cost of shares repurchased by the Company has been allocated to common stock balances. Notwithstanding the foregoing, prior to December 31, 2014, the Consolidated Statements of Changes in Shareholders’ Equity refers to repurchased shares as “treasury stock.” |
Cash and Cash Equivalents | For purposes of reporting cash flows, cash and cash equivalents include cash on hand, amounts due from banks, and short term investments with original maturities of three months or less. |
Securities | Securities are classified at the time of purchase as “available for sale,” “held to maturity,” or “trading.” Classification is re-evaluated at each quarter end for consistency with corporate goals and objectives. Debt securities held to maturity are those which the Company has the ability and intent to hold to maturity. Securities held to maturity are recorded at amortized cost. Amortized cost includes the amortization of premiums or accretion of discounts using the level yield method. Such amortization and accretion is included in interest income from securities. Securities classified as available for sale are recorded at fair value. Unrealized gains and losses, net of taxes, are calculated each reporting period and presented as a separate component of other comprehensive income (“OCI”). Securities bought and held for the purpose of selling in the near term are classified as trading. Trading securities, if any, are recorded at fair value with calculated gains and losses recognized in non-interest income in the respective accounting period. The Company did not have a trading portfolio at December 31, 2016, 2015 and 2014. Securities transferred from available for sale to held to maturity are recorded at fair value at the time of transfer. The respective gain or loss is reclassified as a separate component of OCI and amortized as an adjustment to interest income using the level yield method. The Company did not transfer any securities from available for sale to held to maturity during 2016, 2015 and 2014 . Securities are reviewed quarterly for other-than-temporary impairment (“OTTI”). All securities classified as held to maturity or available for sale that are in an unrealized loss position are evaluated for OTTI. The evaluation considers several factors including the amount of the unrealized loss, the period of time the security has been in a loss position and the financial condition and near-term prospects of the issuer and guarantor, where applicable. If the Company intends to sell the security or, if it is more likely than not the Company will be required to sell the security prior to recovery of its amortized cost basis, or for debt securities, the present value of expected cash flows is not sufficient to recover the entire amortized cost basis, the security is written down to fair value and the respective write-down is recorded in non-interest income in the Consolidated Statements of Net Income. If the Company does not intend to sell the security and if it is more likely than not that the Company will not be required to sell the security prior to recovery of its amortized cost basis, only the credit component of any impairment charge of a debt security would be recognized as a loss in non-interest income in the Consolidated Statements of Net Income. The remaining impairment would be recorded in OCI. A decline in the value of an equity security that is considered to have OTTI is recorded as a loss in non-interest income in the Consolidated Statements of Net Income. Gains and losses on the sale of securities are recorded on the trade date and are determined using the specific identification method. |
Derivative Financial Instruments | Derivatives are recognized as either assets or liabilities and are recorded at fair value on the Company’s Consolidated Statements of Condition. The accounting for changes in the fair value of derivatives depends on the intended use of the derivative and resulting designation. The Company’s hedging policies permit the use of various derivative financial instruments to manage interest rate risk or to hedge specified assets and liabilities. Derivatives executed with the same counterparty are generally subject to netting arrangements; however, fair value amounts recognized for derivatives and fair value amounts recognized for the right/obligation to reclaim/return cash collateral are not offset for financial reporting purposes. To qualify for hedge accounting, derivatives must be highly effective at reducing the risk associated with the exposure being hedged and must be designated as a hedge at the inception of the derivative contract. If derivative instruments are designated as fair value hedges, and such hedges are highly effective, both the change in the fair value of the hedge and the hedged item are included in current earnings. If derivative instruments are designated as cash flow hedges, fair value adjustments related to the effective portion are recorded in other comprehensive income and are reclassified to earnings when the hedged transaction is reflected in earnings. Ineffective portions of cash flow hedges are reflected in earnings as they occur. Actual cash receipts and/or payments and related accruals on derivatives related to hedges are recorded as adjustments to the interest income or interest expense associated with the hedged item. During the life of the hedge, the Company formally assesses whether derivatives designated as hedging instruments continue to be highly effective in offsetting changes in the fair value or cash flows of hedged items. If it is determined that a hedge has ceased to be highly effective, the Company will discontinue hedge accounting prospectively. At such time, previous adjustments to the carrying value of the hedged item are reversed into current earnings and the derivative instrument is reclassified to a trading position recorded at fair value. For derivatives not designated as hedges, changes in fair value are recognized in earnings, in non-interest income. |
Derivative Loan Commitments | Mortgage loan commitments are referred to as derivative loan commitments if the loan that will result from exercise of the commitment will be held for sale upon funding. Loan commitments that are derivatives are recognized at fair value on the Consolidated Statements of Condition in other assets and other liabilities with changes in their fair values recorded in other non-interest income. Fair value is based on the value of servicing rights and the interest rate differential from the commitment date to the current valuation date of the underlying mortgage loans. In estimating fair value, the Company assigns a probability to a loan commitment based on an expectation that it will be exercised and the loan will be funded. Subsequent to inception, changes in the fair value of the loan commitment are recognized based on changes in the fair value of the underlying mortgage loan due to interest rate changes, changes in the probability the derivative loan commitment will be exercised, and the passage of time. In estimating fair value, the Company assigns a probability to a loan commitment based on an expectation that it will be exercised and the loan will be funded. |
Forward Loan Sale Commitments | To protect against the portfolio risks inherent in derivative loan commitments or rate locks associated with fixed rate residential lending, the Company utilizes both “mandatory delivery” and “best efforts” forward loan sale commitments to mitigate the risk of potential decreases in the values of loans and long-term interest rate risk that may result from the exercise of the derivative loan commitments. These forward loan sale commitments are accounted for as derivative instruments. The Company estimates the fair value of its forward loan sales commitments using a methodology similar to that used for derivative loan commitments, excluding the valuation of servicing rights. Forward loan sale commitments are recognized at fair value on the Consolidated Statements of Condition in other assets and other liabilities with changes in fair value recorded in other non-interest income. |
Federal Home Loan Bank Stock | The Company, as a member of the Federal Home Loan Bank system, is required to maintain an investment in capital stock of the Federal Home Loan Bank of Boston (“FHLBB”) based primarily on its level of borrowings from the FHLBB. Based on the redemption provisions of the FHLBB, the stock has no quoted market value and is carried at cost. At its discretion, the FHLBB may declare dividends on the stock. FHLBB stock may be redeemed at par value five years following termination of FHLBB membership, subject to limitations which may be imposed by the FHLBB or its regulator, the Federal Housing Finance Board, to maintain capital adequacy of the FHLBB. While the Company currently has no intentions to terminate its FHLBB membership, the ability to redeem its investment in FHLBB stock would be subject to the conditions imposed by the FHLBB. The Company reviews for impairment based on the ultimate recoverability of the cost basis in the FHLBB stock. |
Loans Held For Sale | The Company primarily classifies newly originated residential real estate mortgage loans as held for sale based on intent, which is determined when loans are rate locked. Residential real estate mortgage loans not designated as held for sale are retained based upon available liquidity, interest rate risk management and other business purposes. The Company has elected the fair value option pursuant to Accounting Standards Codification (“ASC”) 825, Financial Instruments, for closed loans intended for sale. The Company elected the fair value option in order to reduce certain timing differences and better match changes in fair values of the loans with changes in the fair value of the derivative forward loan sale contracts used to economically hedge them. Fair values are estimated using quoted loan market prices. Changes in the fair value of loans held for sale are recorded in earnings and are offset by changes in fair value related to forward sale commitments. Gains or losses on sales of loans are included in non-interest income. Direct loan origination costs and fees are deferred upon origination and are recognized as part of the gain or loss on the date of sale. Residential loans are sold by the Company without recourse. The Company currently sells these loans servicing retained, with the exception of a limited volume of government production sold servicing released. |
Loans | Loans we originate and intend to hold in our portfolio are stated at current unpaid principal balances, net of deferred loan origination costs and fees. Commitment fees for which the likelihood of exercise is remote are recognized over the loan commitment period on a straight-line basis. Loans that we acquired in the merger with Legacy United were recorded at fair value with no carryover of the related allowance for loan losses at the time of acquisition. Determining the fair value of the loans involved estimating the amount and timing of principal and interest cash flows expected to be collected on the loans and discounting those cash flows at a market rate of interest. The Company’s loan portfolio includes owner-occupied commercial real estate, investor non-owner commercial real estate, commercial and residential construction, commercial business, residential real estate, home equity and other consumer loan segments. Residential real estate loans include one-to-four family owner occupied first mortgages. A loan is classified as a troubled debt restructure (“TDR”) when certain concessions have been made to the original contractual terms, such as reductions of interest rates or deferral of interest or principal payments, due to the borrowers’ financial difficulties. All TDR loans are initially classified as impaired and generally remain impaired as TDRs for the remaining life of the loan. Impaired and TDR classification may be removed if the borrower demonstrates compliance with the modified terms and the restructuring agreement specifies an interest rate equal to that which would be provided to a borrower with similar credit at the time of restructuring. |
Interest and Fees on Loans | Interest on loans is accrued and included in interest income based on contractual rates applied to principal amounts outstanding. Accrual of interest is discontinued, and previously accrued income is reversed, when loan payments are 90 days or more past due or when, in the judgment of management, collectability of the loan or loan interest becomes uncertain. Past due status is based on the contractual payment terms of the loan. Subsequent recognition of income occurs only to the extent payment is received subject to management’s assessment of the collectability of the remaining interest and principal. A non-accrual loan is restored to accrual status when the loan is brought current, collectability of interest and principal is no longer in doubt and six months of continuous payments have been received. Loan origination fees and direct loan origination costs (including loan commitment fees) are deferred, and the net amount is recognized as an adjustment of the related loan’s yield utilizing the interest method over the contractual life of the loan. Fair value acquisition adjustments are determined as of the date of acquisition based upon facts and circumstances, including the amount and timing of principal and interest cash flows expected to be collected on the loans and discounting those cash flows at a market rate of interest. Subsequent to acquisition, the fair value acquisition adjustments are generally amortized over the remaining life of the loan under the interest method, or a constant effective yield method. For ASC 310-30 loans, Loans and Debt Securities Acquired with Deteriorated Credit Quality (“ASC 310-30”), the interest method is applicable to a loan or a pool of loans as determined by characteristics including but not limited to borrower type, loan purpose, geographic location and collateral type. In recording the acquisition data fair values of acquired impaired loans, management calculates a non-accretable difference (the credit component of the purchased loans) and an accretable difference (the yield component of the purchased loans). For changes in cash flows expected to be collected, we adjust the amount of accretable yield recognized on a prospective basis over the remaining lives of the loans. |
Allowance for Loan Losses | The allowance for loan losses is a reserve established through a provision for loan losses charged to expense and represents management’s best estimate of probable losses incurred within the existing loan portfolio as of the balance sheet date. The level of the allowance reflects management’s view of trends in loan loss activity, current loan portfolio quality and present economic, political and regulatory conditions. Portions of the allowance may be allocated for specific loans; however, the allowance is available for any loan that is charged off. The allowance is increased by provisions charged to earnings and by recoveries of amounts previously charged off, and is reduced by charge-offs on loans (or portions thereof) deemed to be uncollectible. Loan charge-offs are recognized when management believes the collectability of the principal balance outstanding is unlikely. Full or partial charge-offs on collateral dependent impaired loans are generally recognized when the collateral is deemed to be insufficient to support the carrying value of the loan. A methodology is used to systematically measure the amount of estimated loan loss exposure inherent in the loan portfolio for the purposes of establishing a sufficient allowance for loans losses, as further described below. General component: The general component of the allowance for loan losses is based on historical loss experience adjusted for qualitative factors stratified by the loan segments. Management uses a rolling average of historical losses based on a three -year loss history to capture relevant loss data for each loan segment. This historical loss factor is adjusted for the following qualitative factors: levels and trends in delinquencies; level and trend of charge-offs and recoveries; trends in volume and types of loans; effects of changes in risk selection and underwriting standards, changes in risk selection and underwriting standards; experience and depth of lending weighted average risk rating; and national and local economic trends and conditions. The general component of the allowance for loan and lease loss also includes a reserve based upon historical loss experience for loans which were acquired and have subsequently evidenced deterioration following initial acquisition. Our acquired loan portfolio is comprised of purchased loans that show no evidence of credit deterioration subsequent to acquisition and therefore these loans are not part of the covered portfolio. Acquired impaired loans are loans with evidence of deterioration upon to acquisition and are not considered in the covered portfolio in establishing the allowance for loan loss. There were no changes in the Company’s methodology pertaining to the general component of the allowance for loan losses during 2016. The qualitative factors are determined based on the various risk characteristics of each loan segment. Risk characteristics relevant to each portfolio segment are as follows: Residential real estate and home equity loans – The Company establishes maximum loan-to-value and debt-to-income ratios and minimum credit scores as an integral component of the underwriting criteria. Loans in these segments are collateralized by owner-occupied residential real estate and repayment is dependent on the income and credit quality of the individual borrower. Within the qualitative allowance factors, national and local economic trends including unemployment rates and potential declines in property value, are key elements reviewed as a component of establishing the appropriate allocation. Overall economic conditions, unemployment rates and housing price trends will influence the underlying credit quality of these segments. Owner-occupied and investor non-owner occupied commercial real estate – Loans in these segments are primarily income-producing properties throughout Connecticut, western Massachusetts, and other select markets in the Northeast. The underlying cash flows generated by the properties could be adversely impacted by a downturn in the economy as evidenced by increased vacancy rates, which in turn, will have an effect on the credit quality in this segment. Management obtains rent rolls annually, continually monitors the cash flows of these loans and performs stress testing. Construction loans – Loans in this segment primarily include commercial real estate development and residential subdivision loans for which payment is derived from the sale of the property. Credit risk is affected by cost overruns, time to sell at an adequate price, and market conditions. Commercial business loans – Loans in this segment are made to businesses and are generally secured by assets of the business. Repayment is expected from the cash flows of the business. A weakened economy and its effect on business profitability and cash flow could have an effect on the credit quality in this segment. Other Consumer – Loans in this segment are secured or unsecured and repayment is dependent on the credit quality of the individual borrower. A significant portion of these loans are secured by boats. For acquired loans accounted for under ASC 310-30, our allowance for loan losses is estimated based upon our expected cash flows for these loans. To the extent that we experience a deterioration in borrower credit quality resulting in a decrease in our expected cash flows subsequent to the acquisition of the loans, an allowance for loan losses would be established based on our estimate of future credit losses over the remaining life of the loans. Allocated component: The allocated component relates to loans that are classified as impaired. Impairment is measured on a loan by loan basis for commercial, commercial real estate and construction loans by either the present value of expected future cash flows discounted at the loan's effective interest rate or the fair value of the collateral if the loan is collateral dependent. An allowance is established when the discounted cash flows (or collateral value) of the impaired loan is lower than the carrying value of that loan. Updated property evaluations are obtained at the time of impairment and serve as the basis for the loss allocation if foreclosure is probable or the loan is collateral dependent. A loan is considered impaired when, based on current information and events, it is probable that the Company will be unable to collect the scheduled payments of principal or interest when due according to the contractual terms of the loan agreement. Loans which are placed on non-accrual status, or deemed troubled debt restructures, are considered impaired by the Company and subject to impairment testing for possible partial or full charge-off when loss can be reasonably determined. Generally, when all contractual payments on a loan are not expected to be collected, or the loan has failed to make contractual payments for a period of 90 days or more, a loan is placed on non-accrual status. In accordance with the Company's loan policy, losses on open and closed end consumer loans are recognized within a period of 120 days past due. For commercial loans, there is no threshold in terms of days past due for losses to be recognized as a result of the complexity in reasonably determining losses within a set time frame. Factors considered by management in determining impairment include payment status, collateral value and the probability of collecting scheduled principal and interest payments when due. When a loan is determined to be impaired, the Company makes a determination if the repayment of the obligation is collateral dependent. As a majority of impaired loans are collateralized by real estate, appraisals on the underlying value of the property securing the obligation are utilized in determining the specific impairment amount that is allocated to the loan as a component of the allowance calculation. If the loan is collateral dependent, an updated appraisal is obtained within a short period of time from the date the loan is determined to be impaired; typically no longer than 30 days for a residential property and 90 days for a commercial real estate property. The appraisal and the appraised value are reviewed for adequacy and then further discounted for estimated disposition costs and the period of time until resolution, in order to determine the impairment amount. The Company updates the appraised value at least annually and on a more frequent basis if current market factors indicate a potential change in valuation. The majority of the Company’s loans are collateralized by real estate located in central and eastern Connecticut and western Massachusetts in addition to a portion of the commercial real estate loan portfolio located in the Northeast region of the United States. Accordingly, the collateral value of a substantial portion of the Company’s loan portfolio and real estate acquired through foreclosure is susceptible to changes in market conditions in these areas. Unallocated component: An unallocated component is maintained to cover uncertainties that could affect management’s estimate of probable losses. The unallocated component of the allowance reflects the margin of imprecision inherent in the underlying assumptions used in the methodologies for estimating allocated and general reserves in the portfolio. The allowance for loan losses has been determined in accordance with GAAP, under which the Company is required to maintain an allowance for probable losses at the balance sheet date. The Company is responsible for the timely and periodic determination of the amount of the allowance required. Management believes that the allowance for loan losses is adequate to cover specifically identifiable losses, as well as, estimated losses inherent in our portfolio that are probable, but not specifically identifiable. While management regularly evaluates the adequacy of the allowance for loan losses, future additions to the allowance may be necessary based on changes in assumptions and economic conditions. In addition, various regulatory agencies, as an integral part of their examination process, periodically review the Company’s allowance for loan losses. Such agencies may require the Company to recognize additions to the allowance based on their judgments about information available to them at the time of their examination. |
Servicing | The Company services mortgage loans for others. Mortgage servicing assets are recognized at fair value as separate assets when rights are acquired through purchase or through sale of financial assets. Fair value is determined using prices for similar assets with similar characteristics, when available, or based upon discounted cash flows using market-based assumptions. The Company’s servicing asset valuation is performed by an independent third party using a static valuation model representing a projection of a single interest rate/market environment into the future and discounting the resulting assumed cash flow back to present value. Discount rates, servicing costs, float earnings rates and delinquency information as well as the use of the medium PSA quotations provided by Security Industry and Financial Market Association are used to calculate the value of the servicing asset. Capitalized servicing rights are reported in other assets at fair value, with changes in fair value recorded in income from mortgage banking activities. |
Other Real Estate Owned | Real estate acquired through, or in lieu of, loan foreclosure is held for sale and is initially recorded at fair value, less costs to sell, at the date of foreclosure, establishing a new cost basis. Subsequent to foreclosure, valuations are periodically performed by management and the assets are carried at the lower of carrying amount or fair value less costs to sell. At December 31, 2016 and 2015 , the Company had $1.9 million and $755,000 , respectively, of other real estate owned included in other assets on the Consolidated Statements of Condition. Revenue and expenses from operations, changes in the valuation allowance and any direct write-downs are included in non-interest expense. Gains and losses on the sale of other real estate owned are recorded in other income (loss) in the Consolidated Statements of Net Income. |
Bank-Owned Life Insurance | Bank-owned life insurance (“BOLI”) represents life insurance on certain current and former employees who have consented to allow the Bank to be the beneficiary of those policies. BOLI is recorded as an asset at cash surrender value. Increases in the cash surrender value of the policies, as well as insurance proceeds received in excess of carrying value, are recorded in non-interest income and are not subject to income tax. Management reviews the credit quality and financial strength of the insurance carriers on a quarterly and annual basis. BOLI with any individual carrier is limited to 15% of capital plus reserves. |
Transfers of Financial Assets | Transfers of an entire financial asset, a group of entire financial assets, or a participating interest in an entire financial asset are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when: (1) the assets have been isolated from the Company, (2) the transferee obtains the right to pledge or exchange the transferred assets and no condition both constrains the transferee from taking advantage of that right and provides more than a trivial benefit for the transferor, and (3) the Company does not maintain effective control over the transferred assets through either: (a) an agreement that both entitles and obligates the transferor to repurchase or redeem the assets before maturity or (b) the ability to unilaterally cause the holder to return specific assets, other than through a cleanup call. |
Premises and Equipment | Premises and equipment are stated at cost, net of accumulated depreciation and amortization. Depreciation is charged to operations using the straight-line method over the estimated useful lives of the related assets which range from 3 to 39 1/2 years. Leasehold improvements are amortized over the shorter of the improvements’ estimated economic lives or the related lease terms. Expected lease terms include lease option periods to the extent that the exercise of such options are reasonably assured. Maintenance and repairs are expensed as incurred and improvements are capitalized. |
Marketing and Promotions | Marketing and promotions costs are expensed as incurred. |
Impairment of Long-Lived Assets Other Than Goodwill | Long-lived assets are reviewed for impairment whenever events or changes in business circumstances indicate that the remaining useful life may warrant revision or that the carrying amount of the long-lived asset may not be fully recoverable. If impairment is determined to exist, any related impairment loss is calculated based on fair value through a charge to non-interest expense. Impairment losses on assets to be disposed of, if any, are based on the estimated proceeds to be received, less costs of disposal. |
Goodwill | Goodwill is recognized for the excess of the acquisition cost over the fair values of the net assets acquired. Goodwill is not amortized and is instead reviewed for impairment at least annually, or on an interim basis if an event occurs or circumstances change that would more likely than not reduce the fair value below its carrying value. Any impairment write-down is charged to non-interest expense in the Consolidated Statements of Net Income. |
Income Taxes | The Company recognizes income taxes under the asset and liability method. Under this method, deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the financial statement carrying amounts of existing assets and liabilities and their respective tax bases. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Deferred tax assets are reduced by a valuation allowance when, in the opinion of management, it is more likely than not that all or some portion of the deferred tax assets will not be realized. A tax position that meets the more likely than not recognition threshold is initially and subsequently measured as the largest amount of tax benefit that has a greater than 50% likelihood of being realized upon settlement with a taxing authority that has full knowledge of all relevant information. The determination of whether or not a tax position has met the more likely than not recognition threshold considers the facts, circumstances and information available at the reporting date and is subject to management’s judgment. |
Investments in Limited Partnerships | The Company evaluates investments including joint ventures, low income housing tax credit partnerships and other limited partnerships to determine whether consolidation is necessary. The Company applies the equity method of accounting to its investments in limited partnerships. The Company has interests in limited partnerships that own and operate affordable housing and rehabilitation projects as well as alternative energy projects. Investments in these projects serve as an element of the Company’s compliance with the Community Reinvestment Act and in serving the interest of public welfare, and the Company receives tax benefits in the form of deductions for operating losses and tax credits. The tax credits generally may be used to reduce taxes currently payable or may be carried back one year or forward 20 years to recapture or reduce taxes. The Company regularly evaluates the partnership investments for impairment. The tax credits are recorded in the years they become available to reduce income taxes through the provision for income taxes, while basis adjustments under the equity method or impairment are recorded in loss on investments in limited partnerships on the Consolidated Statements of Net Income. |
Pension and Other Post-Retirement Benefits | The Company has a noncontributory defined benefit pension plan that provides benefits for full-time employees hired before January 1, 2005, meeting certain requirements as to age and length of service. The benefits are based on years of service and average compensation, as defined. The Company’s funding policy is to contribute an amount needed to meet the minimum funding standards established by the Employee Retirement Security Act of 1974 (“ERISA”). The compensation cost of an employees’ pension benefit is recognized on the projected unit cost method over the employee’s approximate service period. As of December 31, 2012, the Company froze its noncontributory defined benefit pension plan, at which time participants in the plan stopped earning additional benefits under the plan. The Company began providing additional benefits to these employees under the Company’s 401(k) Plan as of January 1, 2013. See Note 16, “Pension Plans and Other Post-Retirement Benefits”, for further information on these benefits. In addition to the qualified plan, the Company has supplemental retirement plans for certain key officers. These plans, which are nonqualified, were designed to offset the impact of changes in the pension plan that limit benefits for highly compensated employees under qualified pension plans. The compensation cost of an employee’s pension benefit is recognized on the projected unit credit method over the employee’s approximate service period. The aggregate cost method is utilized for funding purposes. The Company accounts for its defined benefit pension plan using an actuarial model that allocates pension costs over the service period of employees in the plan. The Company accounts for the over-funded or under-funded status of its defined benefit plan as an asset or liability in its consolidated balance sheets and recognizes changes in the funded status in the year in which the changes occur through other comprehensive income or loss. The Company also provides certain health care and life insurance benefits for retired employees hired prior to March 1, 1993. Participants become eligible for the benefits if they retire after reaching age 62 with five or more years of service. Benefits are paid in fixed amounts depending on length of service at retirement. The Company accrues for the estimated costs of these benefits through charges to expense during the years that employees render service; however, the Company does not fund this plan. |
Fair Values of 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. ASC Topic 820, Fair Value Measurements and Disclosures, establishes a framework for measuring fair value and expands disclosures about fair value measurements. The required disclosures about fair value measurements have been included in Note 14, “Fair Value Measurement” in the Notes to Consolidated Financial Statements. |
Earnings per Common Share | Basic earnings per share excludes dilution and is computed by dividing income available to common stockholders by the weighted-average number of shares outstanding for the period. If rights to dividends on unvested awards are non-forfeitable, these unvested awards are considered outstanding in the computation of basic earnings per share. Diluted earnings per share reflects the potential dilution that could occur if securities or other contracts to issue common stock were exercised or converted into common stock or resulted in the issuance of common stock that then shared in the earnings of the entity. Potential common shares that may be issued by the Company relate to outstanding stock options and restricted stock awards and are determined using the treasury stock method. Unearned Employee Stock Ownership Plan (“ESOP”) shares are not considered outstanding for calculating basic and diluted earnings per common share. ESOP shares committed to be released are considered to be outstanding for purposes of the earnings per share computation. ESOP shares that have not been legally released, but that relate to employee services rendered during an accounting period (interim or annual) ending before the related debt service payment is made, are considered committed to be released. |
Employee Stock Ownership Plan | ESOP shares are shown as a reduction of stockholders’ equity and presented as unearned compensation - ESOP. During the period the ESOP shares are committed to be released, the Company recognizes compensation cost equal to the average fair value of the ESOP shares. When the shares are released, unearned compensation - ESOP is reduced by the cost of the ESOP shares released and the differential between the fair value and the cost is recorded in additional paid-in capital. The loan receivable from the ESOP to the Company is not reported as an asset nor is the Company’s guarantee to fund the ESOP reported as a liability on the Company’s Consolidated Statements of Condition. Effective January 1, 2014, the Company merged its ESOP with its Defined Contribution Plan, or 401(k) Plan. |
Share-Based Compensation | The Company measures the cost of employee services received in exchange for an award of equity instruments based on the grant date fair value of the award. These costs are recognized on a straight-line basis over the vesting period during which an employee is required to provide services in exchange for the award; the requisite service period. The Company uses the Black-Scholes option pricing model to estimate the fair value of stock options granted. When determining the estimated fair value of stock options granted, the Company utilizes various assumptions regarding the expected volatility of the stock price, estimated forfeitures using historical data on employee terminations, the risk-free interest rate for periods within the contractual life of the stock option, and the expected dividend yield that the Company expects over the expected life of the options granted. Reductions in compensation expense associated with forfeited options are estimated at the date of grant, and this estimated forfeiture rate is adjusted monthly based on actual forfeiture experience. The Company measures the fair value of the restricted stock using the closing market price of the Company’s common stock on the date of grant. The Company expenses the grant date fair value of the Company’s stock options and restricted stock with a corresponding increase in equity. |
Off-balance Sheet Financial Instruments | In the ordinary course of business, the Company enters into off-balance sheet financial instruments, consisting primarily of credit related financial instruments. These financial instruments are recorded in the Consolidated Financial Statements when they are funded or related fees are incurred or received. |
Segment Information | As a community oriented financial institution, substantially all of the Company’s operations involve the delivery of loan and deposit products to customers. Management makes operating decisions and assesses performance based on an ongoing review of these community-banking operations, which constitutes the Company’s only operating segment for financial reporting purposes. |
Recent Accounting Pronouncements | Intangibles In January 2017, the Financial Accounting Standards Board (“FASB”) issued Accounting Standards Update (“ASU”) No. 2017-04 Intangibles-Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment. The guidance removes Step 2 of the Goodwill Impairment Test, which requires hypothetical purchase price allocation. A goodwill impairment will now be the amount by which a reporting unit’s carrying value exceeds its fair value, not to exceed the carrying amount of goodwill. The new guidance will simplify financial reporting since it eliminates the need to determine the fair value of individual assets and liabilities of a reporting unit to measure the goodwill impairment. Currently, failing Step 1 of the goodwill impairment test did not necessarily result in impairment. However, under the new guidance, failing Step 1 will always result in impairment. This ASU will be applied prospectively, and is effective for public business entities that are U.S. Securities and Exchange Commission filers, including the Company, for its annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. Early adoption is permitted for any impairment test performed after January 1, 2017. This ASU is not expected to have an impact on the Company’s Consolidated Financial Statements. Business Combinations In January 2017, the FASB issued ASU No. 2017-01 Business Combinations (Topic 805): Clarifying the Definition of a Business which revises the definition of a business when evaluating whether transactions should be accounted for as acquisitions (or disposals) of assets or businesses. To be considered a business, an acquisition would have to include an input and a substantive process that together significantly contribute to the ability to create outputs. The new guidance provides a framework to evaluate when an input and a substantive process are present. To be a business without outputs, there will now need to be an organized workforce. This ASU also narrows the definition of an output so that the term is consistent with how outputs are described in Topic 606, Revenue from Contracts with Customers . Public business entities should apply the amendments in this Update to annual periods beginning after December 15, 2017, including interim periods within those periods. This ASU is not expected to have an impact on the Company’s Consolidated Financial Statements. Statement of Cash Flows In November 2016, the FASB issued ASU No. 2016-18 Statement of Cash Flows (Topic 230): Restricted Cash as a part of the consensus of the FASB’s Emerging Issues Task Force. The intention of this ASU is to reduce diversity in the presentation of restricted cash and restricted cash equivalents in the Statement of Cash Flows. Currently, there is no guidance as to how to present restricted cash and cash equivalents. The ASU requires that restricted cash and restricted cash equivalents be included as components of total cash and cash equivalents as presented on the Statement of Cash Flows. However, the ASU does not clarify the definitions of the terms “restricted cash” or “restricted cash equivalents” but states that an entity should continue to provide appropriate disclosures about its accounting policies pertaining to restricted cash. ASU 2016-18 is effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. This ASU is not expected to have a significant impact on the Company’s Consolidated Financial Statements. Statement of Cash Flows In August 2016, the FASB issued ASU No. 2016-15 Statement of Cash Flows (Topic 230): Classification of Certain Cash Receipts and Cash Payments to address eight specific cash flow issues with the objective of reducing diversity in practice in how certain transactions are classified in the statement of cash flows. The issues identified within the ASU include: 1) debt prepayments and extinguishment costs, 2) settlement of zero-coupon debt, 3) settlement of contingent consideration, 4) insurance proceeds, 5) settlement of corporate-owned life insurance (COLI) and bank-owned life insurance (BOLI) policies, 6) distributions from equity method investees, 7) beneficial interests in securitization transactions, and 8) receipts and payments with aspects of more than one class of cash flows. ASU 2016-15 is effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted. The Company is currently evaluating the impact of the ASU on the disclosures in the Company’s Statements of Cash Flows, but does not expect this ASU to have a material impact on the Company’s Consolidated Financial Statements. Financial Instruments In June 2016, FASB issued ASU No. 2016-13 Financial Instruments - Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments which amends the Board’s guidance on the impairment of financial instruments. The ASU adds to GAAP an impairment model (known as the current expected credit loss (CECL) model) that is based on expected losses rather than incurred losses. Under the new guidance, an entity recognizes as an allowance its estimate of expected credit losses, which the FASB believes will result in more timely recognition of such losses. The ASU is also intended to reduce the complexity of U.S. GAAP by decreasing the number of credit impairment models that entities use to account for debt instruments. For public business entities that are U.S. Securities and Exchange Commission filers, such as the Company, this ASU is effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. All entities may adopt the amendments in this Update earlier as of the fiscal years beginning after December 15, 2018, including interim periods within those fiscal years. This ASU potentially could have a significant impact on the Company’s allowance for loan losses, however, no assessment of the potential impact has been determined. Efforts are in process to quantify and prepare for the ASU’s effective date. Compensation In March 2016, the FASB issued ASU No. 2016-09 Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment Accounting as part of the Board’s simplification initiative aimed at reducing complexity in accounting standards . This ASU simplifies several aspects of the accounting for employee share-based payment transactions for both public and nonpublic entities, including; accounting for income taxes as an income tax benefit or expense in the income statement rather than through equity; classification of excess tax benefits on the statement of cash flows; forfeitures; statutory tax withholding requirements; classification of awards as either equity or liabilities and; classification of employee taxes paid on the statement of cash flows when an employer withholds shares for tax-withholding purposes. For public business entities, the amendments are effective for annual periods beginning after December 15, 2016, and interim periods within those annual periods. For all other entities, the amendments are effective for annual periods beginning after December 15, 2017, and interim periods within annual periods beginning after December 15, 2018. Early adoption is permitted for any entity in any interim or annual period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. An entity that elects early adoption must adopt all of the amendments in the same period. This ASU is expected to have a $500,000 annual income tax benefit on the Company’s Financial Statements through the income statement. Derivatives and Hedging In March 2016, the FASB issued ASU No. 2016-06 Derivatives and Hedging (Topic 815): Contingent Put and Call Options in Debt Instruments as part of the consensus of the Emerging Issues Task Force. This ASU addresses inconsistent interpretations of whether an event that triggers an entity’s ability to exercise the embedded contingent option must be indexed to interest rates or credit risk for that option to qualify as clearly and closely related. The ASU clarifies that in assessing whether an embedded contingent put or call option is clearly and closely related to the debt host, an entity is required to perform only the four-step decision sequence in ASC 815-15-25-42 as amended by the ASU. The entity does not have to separately assess whether the event that triggers its ability to exercise the contingent option is itself indexed only to interest rates or credit risk. For public business entities, the amendments in the ASU are effective for annual reporting periods, and interim period therein, beginning after December 15, 2016. Early adoption is permitted. This ASU is not expected to have a material impact on the Company’s Consolidated Financial Statements. Leases In February 2016, the FASB issued ASU No. 2016-02 Leases (Topic 842) . This ASU introduces a lessee model that brings most leases on the balance sheet and aligns many of the underlying principles of the new lessor model with those in the new revenue recognition standard, ASC 606, Revenue From Contracts with Customers . The new leases standard represents a whole-sale change to lease accounting and will most likely result in significant implementation challenges during the transition period and beyond. Classification will be based on criteria that are largely similar to those applied in current lease accounting, but without explicit bright lines. The new guidance will be effective for public business entities for annual periods beginning after December 15, 2018 (i.e. calendar periods beginning on January 1, 2019), and interim periods therein. This ASU is not expected to have a significant impact on the Company’s Consolidated Financial Statements. Financial Instruments In January 2016, the FASB issued ASU No. 2016-01 Financial Instruments - Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities. This ASU requires entities to carry all investments in equity securities, including other ownership interests such as partnerships, unincorporated joint ventures and limited liability companies, at fair value through net income. For equity investments that do not have readily determinable market values, the entity may choose to report the investment at cost minus impairments. This new requirement does not apply to investments that qualify for the equity method of accounting or to those that result in consolidation of these investments. The ASU supersedes current guidance and no longer requires equity securities with readily determinable fair value to be classified into categories (i.e. trading or available for sale). The ASU clarifies that when identifying observable price changes, an entity should consider relevant transactions “that are known or can reasonably be known“ and that an entity is not required to spend undue cost and effort to identify such transactions. The ASU also indicates that an entity should consider a security’s rights and obligations, such as voting rights, distribution rights and preferences, and conversion features, when evaluating whether the security issued by the same issuer is similar to the equity security held by the entity. The ASU further provides for the elimination of disclosure requirements related to financial instruments measured at amortized cost. For public business entities, the new standard will require disclosure of fair value using the exit price notion for all financial instruments measured at amortized cost. Pursuant to the ASU, recognition and measurement will take effect for public companies for fiscal years beginning after December 15, 2017, including interim periods within those fiscal years. For all entities, the ASU permits early adoption of the instrument-specific credit risk provision. |
MERGER (Tables)
MERGER (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Business Combinations [Abstract] | |
Summary of Merger | The following table summarizes the Merger on April 30, 2014: (Dollars and shares in thousands) Transaction Related Items Legacy United Goodwill Other Identifiable Intangibles Shares Issued Value of Legacy United Exercisable Options Total Purchase Price Balance at April 30, 2014 Assets Equity $ 2,442,525 $ 304,505 $ 114,211 $ 10,585 26,706 $ 4,909 $ 356,394 |
GOODWILL AND CORE DEPOSIT INT34
GOODWILL AND CORE DEPOSIT INTANGIBLES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The changes in the carrying amount of goodwill and core deposit intangible assets are summarized as follows: Goodwill Core Deposit Intangible (In thousands) Balance at December 31, 2014 $ 115,240 $ 9,302 Adjustments 41 — Amortization expense — (1,796 ) Balance at December 31, 2015 $ 115,281 $ 7,506 Amortization expense — (1,604 ) Balance at December 31, 2016 $ 115,281 $ 5,902 Estimated amortization expense for the years ending December 31, 2017 $ 1,411 2018 1,219 2019 1,026 2020 834 2021 642 2022 and thereafter 770 Total remaining $ 5,902 |
SECURITIES (Tables)
SECURITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Investments, Debt and Equity Securities [Abstract] | |
Available for Sale and Held to Maturity Securities | The amortized cost, gross unrealized gains, gross unrealized losses and fair values of investment securities at December 31, 2016 and 2015 are as follows: Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value December 31, 2016 (In thousands) Available for sale: Debt securities: Government-sponsored residential mortgage-backed securities $ 181,419 $ 365 $ (2,236 ) $ 179,548 Government-sponsored residential collateralized debt obligations 184,185 438 (1,363 ) 183,260 Government-sponsored commercial mortgage-backed securities 26,949 23 (442 ) 26,530 Government-sponsored commercial collateralized debt obligations 164,433 296 (1,802 ) 162,927 Asset-backed securities 166,336 1,619 (988 ) 166,967 Corporate debt securities 76,787 533 (2,305 ) 75,015 Obligations of states and political subdivisions 223,733 127 (7,484 ) 216,376 Total debt securities 1,023,842 3,401 (16,620 ) 1,010,623 Marketable equity securities, by sector: Banks 32,174 482 (243 ) 32,413 Industrial 109 58 — 167 Oil and gas 131 77 — 208 Total marketable equity securities 32,414 617 (243 ) 32,788 Total available for sale securities $ 1,056,256 $ 4,018 $ (16,863 ) $ 1,043,411 Held to maturity: Debt securities: Government-sponsored residential mortgage-backed securities $ 1,717 $ 172 $ — $ 1,889 Obligations of states and political subdivisions 12,321 654 (35 ) 12,940 Total held to maturity securities $ 14,038 $ 826 $ (35 ) $ 14,829 December 31, 2015 Available for sale: Debt securities: U.S. Government and government-sponsored enterprise obligations $ 10,159 $ 13 $ (83 ) $ 10,089 Government-sponsored residential mortgage-backed securities 146,434 731 (1,304 ) 145,861 Government-sponsored residential collateralized debt obligations 287,515 855 (1,403 ) 286,967 Government-sponsored commercial mortgage-backed securities 21,144 21 (200 ) 20,965 Government-sponsored commercial collateralized debt obligations 128,617 626 (271 ) 128,972 Asset-backed securities 162,895 43 (3,037 ) 159,901 Corporate debt securities 62,356 91 (2,487 ) 59,960 Obligations of states and political subdivisions 201,217 1,561 (1,663 ) 201,115 Total debt securities 1,020,337 3,941 (10,448 ) 1,013,830 Marketable equity securities, by sector: Banks 41,558 1,099 (544 ) 42,113 Industrial 109 34 — 143 Mutual funds 2,854 65 (4 ) 2,915 Oil and gas 132 36 — 168 Total marketable equity securities 44,653 1,234 (548 ) 45,339 Total available for sale securities $ 1,064,990 $ 5,175 $ (10,996 ) $ 1,059,169 Held to maturity: Debt securities: Government-sponsored residential mortgage-backed securities $ 2,205 $ 244 $ — $ 2,449 Obligations of states and political subdivisions 12,360 884 (10 ) 13,234 Total held to maturity securities $ 14,565 $ 1,128 $ (10 ) $ 15,683 |
Amortized Cost and Fair Value of Debt Securities | The amortized cost and fair value of debt securities at December 31, 2016 by contractual maturities are presented below. Actual maturities may differ from contractual maturities because the securities may be called or repaid without any penalties. Because mortgage-backed securities require periodic principal paydowns, they are not included in the maturity categories in the following maturity summary: Available for Sale Held to Maturity Amortized Cost Fair Value Amortized Cost Fair Value (In thousands) Maturity: After 1 year through 5 years $ 11,096 $ 11,201 $ 1,181 $ 1,202 After 5 years through 10 years 69,787 68,683 — — After 10 years 219,637 211,507 11,140 11,738 300,520 291,391 12,321 12,940 Government-sponsored residential mortgage-backed securities 181,419 179,548 1,717 1,889 Government-sponsored residential collateralized debt obligations 184,185 183,260 — — Government-sponsored commercial mortgage-backed securities 26,949 26,530 — — Government-sponsored commercial collateralized debt obligations 164,433 162,927 — — Asset-backed securities 166,336 166,967 — — Total debt securities $ 1,023,842 $ 1,010,623 $ 14,038 $ 14,829 |
Available for Sale Securities | For the years ended December 31, 2016, 2015 and 2014 , proceeds from the sale of available for sale securities and gross realized gains and losses on the sale of available for sale securities are presented below: For the Years Ended December 31, 2016 2015 2014 (In thousands) Proceeds from the sale of available for sale securities $ 268,162 $ 280,564 $ 511,044 Gross realized gains on the sale of available for sale securities 2,880 3,090 2,711 Gross realized losses on the sale of available for sale securities 919 2,151 1,483 |
Summary of Gross Unrealized Losses and Fair Value | The following table summarizes gross unrealized losses and fair value, aggregated by category and length of time the securities have been in a continuous unrealized loss position, as of December 31, 2016 and 2015 : Less than 12 months 12 Months or More Total Fair Value Unrealized Loss Fair Value Unrealized Loss Fair Value Unrealized Loss (In thousands) December 31, 2016 Available for sale: Debt securities: Government-sponsored residential mortgage-backed securities $ 156,000 $ (2,236 ) $ — $ — $ 156,000 $ (2,236 ) Government-sponsored residential collateralized debt obligations 109,468 (1,082 ) 6,691 (281 ) 116,159 (1,363 ) Government-sponsored commercial mortgage-backed securities 23,808 (442 ) — — 23,808 (442 ) Government-sponsored commercial collateralized debt obligations 128,238 (1,802 ) — — 128,238 (1,802 ) Asset-backed securities 23,415 (163 ) 20,326 (825 ) 43,741 (988 ) Corporate debt securities 43,990 (885 ) 3,335 (1,420 ) 47,325 (2,305 ) Obligations of states and political subdivisions 156,891 (5,620 ) 41,136 (1,864 ) 198,027 (7,484 ) Total debt securities 641,810 (12,230 ) 71,488 (4,390 ) 713,298 (16,620 ) Marketable equity securities 19,002 (243 ) — — 19,002 (243 ) Total available for sale securities $ 660,812 $ (12,473 ) $ 71,488 $ (4,390 ) $ 732,300 $ (16,863 ) Held to Maturity: Debt Securities: Obligations of states and political subdivisions $ — $ — $ 1,070 $ (35 ) $ 1,070 $ (35 ) Total held to maturity securities $ — $ — $ 1,070 $ (35 ) $ 1,070 $ (35 ) December 31, 2015 Available for sale: Debt securities: U.S. Government and government sponsored enterprise obligations $ 4,867 $ (66 ) $ 4,977 $ (17 ) $ 9,844 $ (83 ) Government-sponsored residential mortgage-backed securities 107,142 (1,183 ) 7,195 (121 ) 114,337 (1,304 ) Government-sponsored residential collateralized debt obligations 152,278 (1,357 ) 3,506 (46 ) 155,784 (1,403 ) Government-sponsored commercial mortgage-backed securities 16,207 (200 ) — — 16,207 (200 ) Government-sponsored commercial collateralized debt obligations 38,151 (221 ) 3,496 (50 ) 41,647 (271 ) Asset-backed securities 93,723 (1,233 ) 49,462 (1,804 ) 143,185 (3,037 ) Corporate debt securities 42,102 (797 ) 6,720 (1,690 ) 48,822 (2,487 ) Obligations of states and political subdivisions 47,878 (946 ) 42,685 (717 ) 90,563 (1,663 ) Total debt securities 502,348 (6,003 ) 118,041 (4,445 ) 620,389 (10,448 ) Marketable equity securities: 18,449 (287 ) 6,176 (261 ) 24,625 (548 ) Total $ 520,797 $ (6,290 ) $ 124,217 $ (4,706 ) $ 645,014 $ (10,996 ) Held to Maturity: Debt Securities: Obligations of states and political subdivisions $ 1,104 $ (10 ) $ — $ — $ 1,104 $ (10 ) Total held to maturity securities $ 1,104 $ (10 ) $ — $ — $ 1,104 $ (10 ) |
LOANS RECEIVABLE AND ALLOWANC36
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Receivables [Abstract] | |
Summary of Company's Loan Portfolio | A summary of the Company’s loan portfolio at December 31, 2016 and 2015 is as follows: December 31, 2016 2015 Amount Percent Amount Percent (In thousands) Commercial real estate loans Owner occupied commercial real estate $ 416,718 8.5 % $ 322,084 7.0 % Investor non-owner occupied commercial real estate 1,705,319 34.8 1,673,248 36.3 Commercial construction 98,794 2.0 129,922 2.8 Total commercial real estate loans 2,220,831 45.3 2,125,254 46.1 Commercial business loans 724,557 14.8 603,332 13.1 Consumer loans Residential real estate 1,156,227 23.6 1,179,915 25.6 Home equity 536,772 11.0 431,282 9.3 Residential construction 53,934 1.1 41,084 0.9 Other consumer 209,393 4.2 233,064 5.0 Total consumer loans 1,956,326 39.9 1,885,345 40.8 Total loans 4,901,714 100.0 % 4,613,931 100.0 % Net deferred loan costs and premiums 11,636 7,018 Allowance for loan losses (42,798 ) (33,887 ) Loans - net $ 4,870,552 $ 4,587,062 |
Summary of Changes in Purchased Accounting Adjustments, Accretable and Nonaccretable Yields of Acquired Loans | The following table summarizes the activity in the non-accretable discount for purchased credit impaired loans for the periods presented: For the Years Ended December 31, 2016 2015 (In thousands) Balance at beginning of period $ (5,810 ) $ (7,989 ) Acquisitions — (3,674 ) Accretion — 223 Paid off 868 2,533 Reclassification to accretable 2,357 3,097 Balance at end of year $ (2,585 ) $ (5,810 ) |
Summary of Changes in Allowance for Loan Losses | Changes in the allowance for loan losses for the years ended December 31, 2016, 2015 and 2014 are as follows: Owner-occupied CRE Investor CRE Construction Commercial Residential Real Estate Home Equity Other Consumer Unallocated Total (In thousands) December 31, 2016 Balance, beginning of year $ 2,174 $ 12,859 $ 1,895 $ 5,827 75 $ 7,801 $ 2,391 $ 146 $ 794 $ 33,887 Provision for loan losses 1,704 2,806 15 3,364 1,022 1,096 2,768 662 13,437 Loans charged off (169 ) (1,207 ) — (1,018 ) (1,043 ) (742 ) (1,710 ) — (5,889 ) Recoveries of loans previously charged off 56 411 3 557 74 113 149 — 1,363 Balance, end of year $ 3,765 $ 14,869 $ 1,913 $ 8,730 $ 7,854 $ 2,858 $ 1,353 $ 1,456 $ 42,798 December 31, 2015 Balance, beginning of year $ 1,281 $ 8,137 $ 1,470 $ 5,808 $ 5,998 $ 1,929 $ 75 $ 111 $ 24,809 Provision for loan losses 1,074 5,217 891 1,693 2,268 887 292 683 13,005 Loans charged off (181 ) (837 ) (466 ) (2,513 ) (744 ) (427 ) (324 ) — (5,492 ) Recoveries of loans previously charged off — 342 — 839 279 2 103 — 1,565 Balance, end of year $ 2,174 $ 12,859 $ 1,895 $ 5,827 $ 7,801 $ 2,391 $ 146 $ 794 $ 33,887 December 31, 2014 Balance, beginning of year $ 917 $ 7,371 $ 829 $ 3,394 $ 4,571 $ 1,825 $ 29 $ 247 $ 19,183 Provision (credit) for loan losses 364 1,516 641 3,723 2,809 441 138 (136 ) 9,496 Loans charged off — (750 ) — (1,406 ) (1,557 ) (337 ) (139 ) — (4,189 ) Recoveries of loans previously charged off — — — 97 175 — 47 — 319 Balance, end of year $ 1,281 $ 8,137 $ 1,470 $ 5,808 $ 5,998 $ 1,929 $ 75 $ 111 $ 24,809 |
Summary of Allowance for Loan Losses and Impaired Loans | Further information pertaining to the allowance for loan losses and impaired loans at December 31, 2016 and 2015 follows: Owner-occupied CRE Investor CRE Construction Commercial Residential Real Estate Home Equity Other Consumer Unallocated Total (In thousands) December 31, 2016 Allowance related to loans individually evaluated and deemed impaired $ — $ — $ — $ 646 $ 68 $ — $ — $ — $ 714 Allowance related to loans collectively evaluated and not deemed impaired 3,765 14,869 1,913 7,862 7,786 2,858 1,353 1,456 41,862 Allowance related to loans acquired with deteriorated credit quality — — — 222 — — — — 222 Total allowance for loan losses $ 3,765 $ 14,869 $ 1,913 $ 8,730 $ 7,854 $ 2,858 $ 1,353 $ 1,456 $ 42,798 Loans deemed impaired $ 3,331 $ 9,949 $ 3,325 $ 7,812 $ 16,563 $ 6,910 $ 2,220 $ — $ 50,110 Loans not deemed impaired 413,387 1,694,190 149,403 715,436 1,139,664 529,862 205,136 — 4,847,078 Loans acquired with deteriorated credit quality — 1,180 — 1,309 — — 2,037 — 4,526 Total loans $ 416,718 $ 1,705,319 $ 152,728 $ 724,557 $ 1,156,227 $ 536,772 $ 209,393 $ — $ 4,901,714 December 31, 2015 Allowance related to loans individually evaluated and deemed impaired $ — $ — $ 147 $ 121 $ 74 $ — $ — $ — $ 342 Allowance related to loans collectively evaluated and not deemed impaired 2,174 12,859 1,748 5,531 7,727 2,391 146 794 33,370 Allowance related to loans acquired with deteriorated credit quality — — — 175 — — — — 175 Total allowance for loan losses $ 2,174 $ 12,859 $ 1,895 $ 5,827 $ 7,801 $ 2,391 $ 146 $ 794 $ 33,887 Loans deemed impaired $ 4,037 $ 13,923 $ 4,660 $ 13,035 $ 16,036 $ 4,556 $ 8 $ — $ 56,255 Loans not deemed impaired 317,628 1,657,721 166,346 588,982 1,163,879 426,726 230,061 — 4,551,343 Loans acquired with deteriorated credit quality 419 1,604 — 1,315 — — 2,995 — 6,333 Total loans $ 322,084 $ 1,673,248 $ 171,006 $ 603,332 $ 1,179,915 $ 431,282 $ 233,064 $ — $ 4,613,931 |
Summary of Past Due and Non-Accrual Loans | The following is a summary of past due and non-accrual loans at December 31, 2016 and 2015 : 30-59 Days Past Due 60-89 Days Past Due Past Due 90 Days or More Total Past Due Past Due 90 Days or More and Still Accruing Loans on Non-accrual (In thousands) December 31, 2016 Owner-occupied CRE $ 482 $ 15 $ 1,667 $ 2,164 $ — $ 2,733 Investor CRE 2,184 697 3,260 6,141 — 4,858 Construction 709 — 1,933 2,642 — 2,138 Commercial business loans 3,289 41 2,373 5,703 38 2,409 Residential real estate 2,826 22 7,863 10,711 308 14,393 Home equity 2,232 722 2,797 5,751 56 5,330 Other consumer 838 379 1,095 2,312 348 2,202 Total $ 12,560 $ 1,876 $ 20,988 $ 35,424 $ 750 $ 34,063 December 31, 2015 Owner-occupied CRE $ 900 $ 191 $ 1,505 $ 2,596 $ — $ 3,055 Investor CRE 3,154 2,498 4,519 10,171 — 8,565 Construction 214 449 2,135 2,798 — 2,808 Commercial business loans 526 266 2,804 3,596 66 4,244 Residential real estate 8,507 2,112 6,936 17,555 238 14,056 Home equity 2,009 646 1,549 4,204 — 5,066 Other consumer 17 3 8 28 3 8 Total $ 15,327 $ 6,165 $ 19,456 $ 40,948 $ 307 $ 37,802 |
Summary of Impaired Loans with and without Valuation Allowance | The following is a summary of impaired loans with and without a valuation allowance as of December 31, 2016 and 2015 : December 31, 2016 December 31, 2015 Recorded Investment Unpaid Principal Balance Related Allowance Recorded Investment Unpaid Principal Balance Related Allowance (In thousands) Impaired loans without a valuation allowance: Owner-occupied CRE $ 3,331 $ 4,107 $ 4,037 $ 5,370 Investor CRE 9,949 10,601 13,923 15,011 Construction 3,325 5,051 4,442 6,869 Commercial business loans 3,742 4,856 12,634 14,477 Residential real estate 15,312 18,440 14,056 16,876 Home equity 6,910 7,864 5,259 5,953 Other consumer 2,220 2,220 8 11 Total 44,789 53,139 54,359 64,567 Impaired loans with a valuation allowance: Construction $ — $ — $ — $ 218 $ 218 $ 147 Commercial business loans 4,070 4,168 646 401 401 121 Residential real estate 1,251 1,267 68 1,277 1,292 74 Total 5,321 5,435 714 1,896 1,911 342 Total impaired loans $ 50,110 $ 58,574 $ 714 $ 56,255 $ 66,478 $ 342 |
Average Recorded Investment in Impaired Loans | The following is a summary of average recorded investment in impaired loans and interest income recognized on those loans for the years ended December 31, 2016, 2015 and 2014 : For the Year Ended For the Year Ended For the Year Ended Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized Average Recorded Investment Interest Income Recognized (In thousands) Impaired loans: Owner-occupied CRE $ 3,924 $ 150 $ 2,258 $ 144 $ 2,711 $ 235 Investor CRE 11,363 447 16,166 550 9,157 49 Construction 4,087 124 3,784 299 2,646 $ 81 Commercial business loans 12,167 282 7,835 431 3,087 121 Residential real estate 16,485 715 14,645 579 10,833 439 Home equity 5,856 202 3,568 37 1,888 12 Other consumer 819 1 24 — 110 1 Total $ 54,701 $ 1,921 $ 48,280 $ 2,040 $ 30,432 $ 938 |
Schedule of Troubled Debt Restructurings | The following table provides detail of TDR balances for the periods presented: At December 31, At December 31, (In thousands) Recorded investment in TDRs: Accrual status $ 16,048 $ 18,453 Non-accrual status 7,304 5,611 Total recorded investment in TDRs $ 23,352 $ 24,064 Accruing TDRs performing under modified terms more than one year $ 10,020 $ 5,821 Specific reserves for TDRs included in the balance of allowance for loan losses $ 714 $ 223 Additional funds committed to borrowers in TDR status $ 3 $ 513 |
Troubled Debt Restructurings | Loans restructured as TDRs during 2016 and 2015 are set forth in the following table: For the Year Ended For the Year Ended (Dollars in thousands) Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Owner-occupied CRE 5 $ 654 $ 666 — $ — $ — Investor CRE — — — 2 791 791 Construction 2 67 67 2 564 564 Commercial business loans 8 3,033 5,006 8 9,180 9,680 Residential real estate 13 1,320 1,329 19 3,019 3,040 Home equity 18 1,572 1,574 19 1,613 1,602 Other consumer 1 132 132 — — — Total TDRs 47 $ 6,778 $ 8,774 50 $ 15,167 $ 15,677 The following table provides information on how loans were modified as TDRs during the periods indicated: For the Year Ended December 31, 2016 Extended Adjusted Adjusted Rate and Maturity Payment Deferral Other (In thousands) Owner-occupied CRE $ 510 $ — $ 86 $ — $ 58 Construction 23 — 44 — — Commercial business loans 2,350 — 243 348 92 Residential real estate 87 — 672 561 — Home equity — 261 707 604 — Other consumer — — 132 — — Total $ 2,970 $ 261 $ 1,884 $ 1,513 $ 150 For the Year Ended December 31, 2015 Extended Adjusted Adjusted Rate and Maturity Payment Deferral Other (In thousands) Investor CRE $ 538 $ — $ 253 $ — $ — Construction 564 — — — — Commercial business loans 9,673 — 7 — — Residential real estate — 1,202 521 786 549 Home equity — — 1,138 28 418 Other consumer — — — — — Total $ 10,775 $ 1,202 $ 1,919 $ 814 $ 967 Loans restructured as TDRs during 2014 totaled $9.2 million consisting of 46 loans. The majority of the balance was concentrated in construction loans, consisting of fifteen loans, for which the maturity was extended. TDRs that subsequently defaulted within twelve months of restructuring during the years ended December 31, 2016 and 2015 follows: For the Year Ended For the Year Ended Number of Contracts Recorded Investment Number of Contracts Recorded Investment (Dollars in thousands) Residential real estate 3 $ 456 5 $ 769 Home equity 1 151 — — Investor CRE — — 2 806 Commercial business 2 495 — — Total troubled debt restructuring 6 $ 1,102 7 $ 1,575 |
Company's Loans by Risk Rating | The following table presents the Company’s loans by risk rating at December 31, 2016 and 2015 : Owner-Occupied CRE Investor CRE Construction Commercial Residential Real Estate Home Equity Other Consumer (In thousands) December 31, 2016 Loans rated 1 — 5 $ 388,389 $ 1,656,256 $ 150,411 $ 698,458 $ 1,139,662 $ 531,359 $ 207,193 Loans rated 6 7,139 18,040 204 7,466 1,267 — — Loans rated 7 21,190 31,023 2,113 18,633 15,298 5,413 2,200 Loans rated 8 — — — — — — — Loans rated 9 — — — — — — — $ 416,718 $ 1,705,319 $ 152,728 $ 724,557 $ 1,156,227 $ 536,772 $ 209,393 December 31, 2015 Loans rated 1 — 5 $ 298,509 $ 1,610,582 $ 156,607 $ 568,248 $ 1,162,393 $ 426,702 $ 233,054 Loans rated 6 10,074 38,448 10,860 8,382 1,355 24 — Loans rated 7 13,501 24,218 3,539 26,655 16,167 4,553 10 Loans rated 8 — — — 47 — — — Loans rated 9 — — — — — 3 — $ 322,084 $ 1,673,248 $ 171,006 $ 603,332 $ 1,179,915 $ 431,282 $ 233,064 |
Schedule of Changes in Loans Outstanding to Related Parties | Changes in loans outstanding to such related parties for the years ended December 31, 2016 and 2015 are as follows: 2016 2015 (In thousands) Balance, beginning of year $ 2,645 $ 3,722 Loans related to parties who terminated service during the year — (924 ) Additional loans and advances 390 875 Repayments (750 ) (1,028 ) Balance, end of year $ 2,285 $ 2,645 |
Summary of Mortgage Servicing Rights Capitalized and Amortized | The following table summarizes MSRs capitalized along with related fair value adjustments for the years ended December 31, 2016, 2015 and 2014 : Years Ended December 31, 2016 2015 2014 (In thousands) Mortgage servicing rights: Balance at beginning of year $ 7,074 $ 4,729 $ 4,103 Addition of Legacy United mortgage servicing rights — — 764 Change in fair value recognized in income 567 (586 ) (1,269 ) Issuances/additions 2,463 2,931 1,131 Balance at end of year $ 10,104 $ 7,074 $ 4,729 |
PREMISES AND EQUIPMENT (Tables)
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Premises and equipment at December 31, 2016 and 2015 are summarized as follows: At December 31, Estimated Useful Life 2016 2015 (In thousands) Land and improvements $ 964 $ 950 up to 15 years Buildings 39,809 40,375 10 - 39.5 years Furniture and equipment 29,310 27,468 3 - 10 years Leasehold improvements 9,838 8,961 5 - 10 years Assets under capitalized leases 4,151 4,902 5 - 10 years 84,072 82,656 Accumulated depreciation and amortization (32,315 ) (27,877 ) Premises and equipment, net $ 51,757 $ 54,779 |
OTHER ASSETS (Tables)
OTHER ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | |
Components of Other Assets | The components of Other Assets at December 31, 2016 and 2015 are summarized below: At December 31, 2016 2015 (In thousands) Current tax receivable $ 237 $ 4,770 Partnership investments 31,271 21,441 Mortgage servicing rights 10,104 7,074 Derivative assets 11,734 12,910 Other real estate owned 1,890 755 Other 9,850 12,786 Total other assets $ 65,086 $ 59,736 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Banking and Thrift [Abstract] | |
Summary of Deposits | Deposits at December 31, 2016 and 2015 were as follows: December 31, 2016 2015 (In thousands) Demand and NOW $ 1,206,722 $ 1,019,161 Regular savings 518,820 508,377 Money markets 1,222,952 1,182,422 Time deposits 1,762,678 1,727,111 Total deposits $ 4,711,172 $ 4,437,071 |
Summary of Contractual Maturities of Time Deposits | Contractual maturities of time deposits as of December 31, 2016 are summarized below: December 31, 2016 (In thousands) 2017 $ 1,138,996 2018 480,998 2019 36,136 2020 82,276 2021 24,272 $ 1,762,678 |
BORROWINGS (Tables)
BORROWINGS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Banking and Thrift [Abstract] | |
Contractual Maturities and Weighted-Average Rates of Outstanding Advances | Contractual maturities and weighted-average rates of outstanding advances from the FHLBB as of December 31, 2016 and 2015 are summarized below: December 31, 2016 December 31, 2015 Amount Weighted- Average Rate Amount Weighted- Average Rate (Dollars in thousands) 2016 $ — — % $ 637,580 0.60 % 2017 803,000 0.94 151,000 1.76 2018 139,792 1.48 120,795 1.54 2019 20,000 1.45 20,000 1.63 2020 33,000 0.86 11,458 0.47 2021 30,000 0.59 — — Thereafter 19,182 0.89 4,672 2.35 $ 1,044,974 0.99 % $ 945,505 0.93 % |
Schedule of Repurchase Agreements | The following table presents the Company’s outstanding borrowings under repurchase agreements as of December 31, 2016 and December 31, 2015 : Remaining Contractual Maturity of the Agreements Overnight Up to 1 Year 1 - 3 Years Greater than 3 Years Total (Dollars in thousands) December 31, 2016 Repurchase Agreements U.S. Treasury and agency securities $ 18,897 $ — $ 20,000 $ — $ 38,897 December 31, 2015 Repurchase Agreements U.S. Treasury and agency securities $ 19,278 $ 25,000 $ 20,000 $ — $ 64,278 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Income Tax Disclosure [Abstract] | |
Components of Income Tax Expense | The components of the income tax expense (benefit) for the years ended December 31, 2016, 2015 and 2014 are as follows: 2016 2015 2014 (In thousands) Current tax provision (benefit): Federal $ 6,262 $ 1,302 $ (13,905 ) State 2,202 1,345 311 Total current 8,464 2,647 (13,594 ) Deferred tax provision (benefit): Federal (3,698 ) 3,275 7,482 State (654 ) 307 (121 ) Total deferred (4,352 ) 3,582 7,361 Total income tax expense (benefit) $ 4,112 $ 6,229 $ (6,233 ) |
Summary of Provision for Income Taxes | For the years ended December 31, 2016, 2015 and 2014 , the provision for income taxes differs from the amount computed by applying the statutory Federal income tax rate of 35% to pre-tax income for the following reasons: Years Ended December 31, 2016 2015 2014 (In thousands) Provision for income tax at statutory rate $ 18,820 $ 19,554 $ 192 Increase (decrease) resulting from: State income taxes, net of federal benefit 1,006 1,074 124 Increase in cash surrender value of bank-owned life insurance (1,188 ) (1,266 ) (1,065 ) Dividend received deduction (544 ) (471 ) (276 ) Tax exempt interest and disallowed interest expense (3,726 ) (3,826 ) (1,740 ) Employee Stock Ownership Plan 28 25 153 Nondeductible acquisition costs — — 440 Excess parachute payments — 442 1,615 Investment tax credits (10,541 ) (8,649 ) (5,596 ) Other, net 257 (654 ) (80 ) Total provision (benefit) for income taxes $ 4,112 $ 6,229 $ (6,233 ) Effective income tax rate (benefit) 7.6 % 11.1 % (1,135.3 )% |
Summary of Deferred Tax Assets and Deferred Tax Liabilities | The tax effects of temporary differences that give rise to deferred tax assets and deferred tax liabilities at December 31, 2016 and 2015 are presented below: December 31, 2016 2015 (In thousands) Deferred tax assets: Loans $ 17,980 $ 14,558 Investment security losses 97 150 Net unrealized losses on securities available for sale 4,816 2,107 Net unrealized losses on interest rate swaps 1,254 1,603 Pension, deferred compensation and post-retirement liabilities 3,010 2,723 Stock incentive award plan 1,939 2,044 Deposits - purchase accounting adjustment 369 891 Accrued expenses 8,799 8,043 Tax attributes 7,938 3,539 Other — 3,166 Gross deferred tax assets 46,202 38,824 Valuation allowance (2,594 ) (2,706 ) Gross deferred tax assets, net of valuation allowance 43,608 36,118 Deferred tax liabilities: Other purchase accounting adjustments (2,542 ) (3,024 ) Other (1,104 ) — Gross deferred tax liabilities (3,646 ) (3,024 ) Net deferred tax asset $ 39,962 $ 33,094 |
DERIVATIVES AND HEDGING ACTIV42
DERIVATIVES AND HEDGING ACTIVITIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Interest Rate Swap Agreements and Non-Hedging Derivative Assets and Liabilities | Information about interest rate swap agreements and non-hedging derivative assets and liabilities as of December 31, 2016 and 2015 is as follows: Notional Amount Weighted- Average Remaining Maturity Weighted-Average Rate Estimated Fair Value Net Received Paid (In thousands) (In years) (In thousands) December 31, 2016 Cash flow hedges: Forward starting interest rate swaps on future borrowings $ 100,000 7.36 TBD (1 ) 2.43 % $ (483 ) Interest rate swaps 240,000 3.24 0.91 % 1.74 % (2,719 ) Fair value hedges: Interest rate swaps 35,000 0.72 1.04 % 0.82 % (2 ) 1 Non-hedging derivatives: Forward loan sale commitments 61,991 0.00 153 Derivative loan commitments 30,239 0.00 421 Interest rate swap 7,500 9.54 (660 ) Loan level swaps - dealer (3) 468,417 7.75 2.42 % 3.84 % (4,888 ) Loan level swaps - borrowers (3) 468,417 7.75 3.84 % 2.42 % 4,869 Total $ 1,411,564 $ (3,306 ) December 31, 2015 Cash flow hedges: Forward starting interest rate swaps on future borrowings $ 150,000 7.99 TBD (1 ) 2.46 % $ (2,072 ) Interest rate swaps 280,000 2.65 0.46 % 1.28 % (2,020 ) Fair value hedges: Interest rate swaps 35,000 1.72 1.04 % 0.48 % (2 ) 24 Non-hedging derivatives: Forward loan sale commitments 25,060 0.00 (13 ) Derivative loan commitments 9,403 0.00 223 Loan level swaps - dealer (3) 333,981 9.05 1.94 % 3.93 % (12,059 ) Loan level swaps - borrowers (3) 333,981 9.05 3.93 % 1.94 % 12,152 Total $ 1,167,425 $ (3,765 ) (1) The receiver leg of the cash flow hedges is floating rate and indexed to the 3-month USD-LIBOR-BBA, as determined two London banking days prior to the first day of each calendar quarter, commencing with the earliest effective trade. The earliest effective trade date for the cash flow hedges is October 16, 2017. (2) The paying leg is one month LIBOR plus a fixed spread ; above rate in effect as of December 31, 2016 and 2015, respectively. (3) The Company offers a loan level hedging product to qualifying commercial borrowers that seek to mitigate risk to rising interest rates. As such, the Company enters into equal and offsetting trades with dealer counterparties. |
Tabular Disclosure of Fair Values of Derivative Instruments | The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Consolidated Statements of Condition as of December 31, 2016 and 2015 : Derivative Assets Derivative Liabilities Fair Value Fair Value Balance Sheet Location Dec 31, Dec 31, Balance Sheet Location Dec 31, Dec 31, (In thousands) (In thousands) Derivatives designated as hedging instruments: Interest rate swap - cash flow hedges Other Assets $ 246 $ 478 Other Liabilities $ 3,448 $ 4,570 Interest rate swap - fair value hedges Other Assets 18 50 Other Liabilities 17 26 Total derivatives designated as hedging instruments $ 264 $ 528 $ 3,465 $ 4,596 Derivatives not designated as hedging instruments: Forward loan sale commitments Other Assets $ 204 $ 7 Other Liabilities $ 51 $ 20 Derivative loan commitments Other Assets 421 223 — — Interest rate swap — — Other Liabilities 660 — Interest rate swap - with customers Other Assets 7,864 12,152 Other Liabilities 2,995 — Interest rate swap - with counterparties Other Assets 2,981 — Other Liabilities 7,869 12,059 Total derivatives not designated as hedging $ 11,470 $ 12,382 $ 11,575 $ 12,079 |
Schedule of Effect of Derivative Financial Instruments on Income Statement | The tables below present the effect of derivative instruments in the Company’s Consolidated Statements of Net Income and Changes in Stockholders’ Equity designated as hedging instruments for the years ended December 31, 2016, 2015 and 2014 : Derivatives Designated as Cash Flow Hedging Instruments Amount of Loss Recognized in OCI on Derivatives (Effective Portion) For the Years Ended December 31, 2016 2015 2014 (In thousands) Interest Rate Swaps $ (1,472 ) $ (3,108 ) $ (8,385 ) Derivatives Designated as Cash Flow Hedging Instruments Amount of Loss Reclassified from AOCI into Income (Effective Portion) For the Years Ended December 31, 2016 2015 2014 (In thousands) Interest Rate Swaps $ (2,362 ) $ (12 ) $ — Amount of Gain (Loss) Recognized in Income on Derivatives For the Years Ended December 31, Derivatives in Fair Value Hedging Relationships Location on Gain (Loss) Recognized in Income 2016 2015 2014 (In thousands) Interest Rate Swaps Interest income $ (23 ) $ 106 $ 101 Amount of Gain (Loss) Recognized in Income on Hedged Items For the Years Ended December 31, 2016 2015 2014 (In thousands) Interest Rate Swaps Interest income $ 25 $ (106 ) $ (101 ) The table below presents the effect of derivative instruments in the Company’s Consolidated Statements of Net Income for derivatives not designated as hedging instruments for the years ended December 31, 2016, 2015 and 2014 : Amount of Gain (Loss) Recognized for the Years Ended December 31, 2016 2015 2014 (In thousands) Derivatives not designated as hedging instruments: Derivative loan commitments $ 198 $ 10 $ 193 Forward loan sale commitments 166 (1 ) (33 ) Interest rate swaps (772 ) 231 (70 ) Interest rate swap - risk participation agreement — — (1 ) $ (408 ) $ 240 $ 89 |
FAIR VALUE MEASUREMENT (Tables)
FAIR VALUE MEASUREMENT (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Measured on Recurring Basis, Gain (Loss) Included in Earnings | The following table presents the gains (losses) in fair value related to mortgage loans held for sale for the periods indicated: Years Ended December 31, 2016 2015 2014 (In thousands) Mortgage loans held for sale $ (192 ) $ (50 ) $ 195 |
Schedule of Assets Recorded at Fair Value on Recurring Basis | The following tables detail the assets and liabilities carried at fair value on a recurring basis as of December 31, 2016 and 2015 and indicates the fair value hierarchy of the valuation techniques utilized by the Company to determine the fair value. There were no transfers in and out of Level 1, Level 2 and Level 3 measurements during years ended December 31, 2016 and 2015 . Total Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) December 31, 2016 Available for Sale Securities: Government-sponsored residential mortgage-backed securities $ 179,548 $ — $ 179,548 $ — Government-sponsored residential collateralized debt obligations 183,260 — 183,260 — Government-sponsored commercial mortgage-backed securities 26,530 — 26,530 — Government-sponsored commercial collateralized debt obligations 162,927 — 162,927 — Asset-backed securities 166,967 — 13,087 153,880 Corporate debt securities 75,015 — 73,423 1,592 Obligations of states and political subdivisions 216,376 — 216,376 — Marketable equity securities 32,788 375 32,413 — Total available for sale securities $ 1,043,411 $ 375 $ 887,564 $ 155,472 Mortgage loan derivative assets $ 625 $ — $ 625 $ — Mortgage loan derivative liabilities 51 — 51 — Loans held for sale 62,517 — 62,517 — Mortgage servicing rights 10,104 — — 10,104 Interest rate swap assets 11,109 — 11,109 — Interest rate swap liabilities 14,989 — 14,989 — December 31, 2015 Available for Sale Securities: U.S. Government and government-sponsored enterprise obligations $ 10,089 $ — $ 10,089 $ — Government-sponsored residential mortgage-backed securities 145,861 — 145,861 — Government-sponsored residential collateralized debt obligations 286,967 — 286,967 — Government-sponsored commercial mortgage-backed securities 20,965 — 20,965 — Government-sponsored commercial collateralized debt obligations 128,972 — 128,972 — Asset-backed securities 159,901 — 15,388 144,513 Corporate debt securities 59,960 — 58,403 1,557 Obligations of states and political subdivisions 201,115 — 201,115 — Marketable equity securities 45,339 3,227 42,112 — Total available for sale securities $ 1,059,169 $ 3,227 $ 909,872 $ 146,070 Mortgage loan derivative assets $ 230 $ — $ 230 $ — Mortgage loan derivative liabilities 20 — 20 — Loans held for sale 10,136 — 10,136 — Mortgage servicing rights 7,074 — — 7,074 Interest rate swap assets 12,680 — 12,680 — Interest rate swap liabilities 16,655 — 16,655 — |
Schedule of Assets Measured at Fair Value on Recurring Basis Using Level 3 Inputs | The following table presents additional information about assets measured at fair value on a recurring basis for which the Company utilized Level 3 inputs to determine fair value: For the Years Ended December 31, 2016 2015 (In thousands) Balance of available for sale securities, at beginning of period $ 146,070 $ 137,207 Purchases 6,857 10,794 Principal payments and net accretion (1,030 ) (1,392 ) Total realized losses on sales included in income (143 ) — Total unrealized gains (losses) included in other comprehensive income 3,718 (539 ) Balance at end of period $ 155,472 $ 146,070 Balance of mortgage servicing rights at beginning of period $ 7,074 $ 4,729 Issuances 2,463 2,931 Change in fair value recognized in income 567 (586 ) Balance at end of period $ 10,104 $ 7,074 |
Fair Value Inputs, Assets, Quantitative Information | The following table presents additional quantitative information about assets measured at fair value on a recurring basis for which the Company utilized Level 3 inputs to determine fair value at December 31, 2016 : (Dollars in thousands) Fair Value Valuation Technique Unobservable Inputs Range (Weighted Average) Asset-backed securities $ 153,880 Discounted Cash Flow Discount Rates 2.9% - 4.5% (4.5%) Cumulative Default % 5.6% - 8.0% (8.0%) Loss Given Default 1.7% - 2.5% (2.5%) Corporate debt - pooled trust $ 1,592 Discounted Cash Flow Discount Rate 7.3% (7.3%) preferred security Cumulative Default % 2.8% - 41.6% (12.7%) Loss Given Default 85% - 100% (93.8%) Mortgage servicing rights $ 10,104 Discounted Cash Flow Discount Rate 9.0% - 18.0% (10.5%) Cost to Service $50 - $110 ($61.30) Float Earnings Rate 0.25% (0.25%) |
Summary of Assets Recorded at Fair Value on Non-Recurring Basis | The following tables detail the assets carried at fair value on a non-recurring basis at December 31, 2016 and 2015 and indicate the fair value hierarchy of the valuation technique utilized by the Company to determine fair value: Total Fair Value Quoted Prices in Active Markets for Identical Assets (Level 1) Other Observable Inputs (Level 2) Significant Unobservable Inputs (Level 3) (In thousands) December 31, 2016 Impaired loans $ 5,100 $ — $ — $ 5,100 Other real estate owned 1,890 — — 1,890 Total $ 6,990 $ — $ — $ 6,990 December 31, 2015 Impaired loans $ 2,096 $ — $ — $ 2,096 Other real estate owned 755 — — 755 Total $ 2,851 $ — $ — $ 2,851 |
Summary of Losses on Assets Recorded at Fair Value on Non-Recurring Basis | Losses on assets recorded at fair value at year-end on a non-recurring basis are as follows: For the Years Ended December 31, 2016 2015 2014 (In thousands) Impaired loans $ (541 ) $ (274 ) $ (1,865 ) Other real estate owned (126 ) (118 ) (213 ) Total $ (667 ) $ (392 ) $ (2,078 ) |
Summary of Carrying Value and Estimated Fair Values of Financial Instruments | As of December 31, 2016 and 2015 , the carrying value and estimated fair values of the Company’s financial instruments are as described below: Carrying Value Fair Value Level 1 Level 2 Level 3 Total (In thousands) December 31, 2016 Financial assets: Cash and cash equivalents $ 90,944 $ 90,944 $ — $ — $ 90,944 Available for sale securities 1,043,411 375 887,564 155,472 1,043,411 Held to maturity securities 14,038 — 14,829 — 14,829 Loans held for sale 62,517 — 62,517 — 62,517 Loans receivable-net 4,870,552 — — 4,895,638 4,895,638 FHLBB stock 53,476 — — 53,476 53,476 Accrued interest receivable 18,771 — — 18,771 18,771 Derivative assets 11,734 — 11,734 — 11,734 Mortgage servicing rights 10,104 — — 10,104 10,104 Financial liabilities: Deposits 4,711,172 — — 4,711,774 4,711,774 Mortgagors’ and investors’ escrow accounts 13,354 — — 13,354 13,354 FHLBB advances and other borrowings 1,169,619 — 1,167,066 — 1,167,066 Derivative liabilities 15,040 — 15,040 — 15,040 December 31, 2015 Financial assets: Cash and cash equivalents $ 95,176 $ 95,176 $ — $ — $ 95,176 Available for sale securities 1,059,169 3,227 909,872 146,070 1,059,169 Held to maturity securities 14,565 — 15,683 — 15,683 Loans held for sale 10,136 — 10,136 — 10,136 Loans receivable-net 4,587,062 — — 4,629,243 4,629,243 FHLBB stock 51,196 — — 51,196 51,196 Accrued interest receivable 15,740 — — 15,740 15,740 Derivative assets 12,910 — 12,910 — 12,910 Mortgage servicing rights 7,074 — — 7,074 7,074 Financial liabilities: Deposits 4,437,071 — — 4,436,456 4,436,456 Mortgagors’ and investors’ escrow accounts 13,526 — — 13,526 13,526 FHLBB advances and other borrowings 1,099,020 — 1,096,452 — 1,096,452 Derivative liabilities 16,675 — 16,675 — 16,675 |
SHARE-BASED COMPENSATION PLANS
SHARE-BASED COMPENSATION PLANS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Activity Related to Stock Options | The following table presents the activity related to the Company’s stock options outstanding, including options that have stock appreciation rights (“SARs”), under the Plans for the year ended December 31, 2016 : Number of Stock Options Weighted- Average Exercise Price Weighted- Average Remaining Contractual Term (in years) Aggregate Intrinsic Value (in millions) Outstanding at December 31, 2015 2,649,735 $ 10.88 Granted — — Exercised (680,677 ) 9.79 2.7 Forfeited, expired, or canceled (32,605 ) 13.68 Outstanding at December 31, 2016 1,936,453 $ 11.21 5.2 $ 13.5 Stock options vested and exercisable at December 31, 2016 1,840,286 $ 11.08 5.1 $ 8.6 |
Activity for Restricted Stock | The following table presents the activity for unvested restricted stock for the year ended December 31, 2016 : Number of Shares Weighted-Average Grant-Date Fair Value Unvested as of December 31, 2015 326,013 $ 13.20 Granted 215,814 15.61 Vested (98,207 ) 13.47 Forfeited (4,814 ) 13.58 Unvested as of December 31, 2016 438,806 $ 14.53 |
PENSION PLANS AND OTHER POST-45
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Compensation and Retirement Disclosure [Abstract] | |
Summary of Changes in Benefit Obligation, Plan Assets and Funded Status of Pension Plans and Post-Retirement Benefit Plans | The following table sets forth changes in the benefit obligation, changes in plan assets and the funded status of the pension plan and post-retirement benefit plans for the years ended December 31, 2016, 2015 and 2014 : Qualified Pension Plan December 31, Supplemental Executive Retirement Plans December 31, Other Post- Retirement Benefits December 31, 2016 2015 2014 2016 2015 2014 2016 2015 2014 (In thousands ) Change in Benefit Obligation: Benefit obligation at beginning of year $ 27,115 $ 30,571 $ 24,224 $ 929 $ 1,368 $ 1,191 $ 1,841 $ 2,218 $ 1,926 Service cost — 60 75 22 24 25 13 23 19 Interest cost 1,186 1,162 1,145 39 40 54 76 80 85 Plan participants’ contributions — — — — — — 27 28 26 Actuarial loss (gain) 1,088 (3,821 ) 6,460 37 (79 ) 166 180 (413 ) 271 Benefits paid and administration expenses (914 ) (857 ) (1,333 ) (27 ) (31 ) (484 ) (96 ) (95 ) (109 ) Curtailments, settlements, special termination benefits — — — — (393 ) 416 — — — Benefit obligation at end of year $ 28,475 $ 27,115 $ 30,571 $ 1,000 $ 929 $ 1,368 $ 2,041 $ 1,841 $ 2,218 Change in Plan Assets: Fair value of plan assets at beginning of year $ 25,240 $ 26,519 $ 26,258 $ — $ — $ — $ — $ — $ — Actual return (loss) on plan assets 1,571 (422 ) 1,594 — — — — — — Employer contributions 528 — — 27 424 484 69 67 83 Plan participants’ contributions — — — — — — 27 28 26 Benefits paid and administration expenses (914 ) (857 ) (1,333 ) (27 ) (31 ) (484 ) (96 ) (95 ) (109 ) Settlements — — — — (393 ) — — — — Fair value of plan assets at end of year $ 26,425 $ 25,240 $ 26,519 $ — $ — $ — $ — $ — $ — Funded Status: Underfunded status at end of year $ (2,050 ) $ (1,875 ) $ (4,052 ) $ (1,000 ) $ (929 ) $ (1,368 ) $ (2,041 ) $ (1,841 ) $ (2,218 ) Amounts Recognized in the Consolidated Statements of Condition Accrued expenses and other liabilities $ (2,050 ) $ (1,875 ) $ (4,052 ) $ (1,000 ) $ (929 ) $ (1,368 ) $ (2,041 ) $ (1,841 ) $ (2,218 ) |
Components of Accumulated Other Comprehensive Income Related to Pensions and Other Post-Retirement Benefits, on Pre-Tax Basis | The components of accumulated other comprehensive loss related to pensions and other post-retirement benefits and related tax effects at December 31, 2016, 2015 and 2014 are summarized below: Qualified Pension Plan December 31, Supplemental Executive Retirement Plans December 31, Other Post- Retirement Benefits December 31, 2016 2015 2014 2016 2015 2014 2016 2015 2014 (In thousands ) Amounts Recognized in Accumulated Other Comprehensive Loss Consist of: Prior service cost $ — $ — $ — $ 78 $ 85 $ 92 $ — $ — $ — Net loss (gain) 7,696 7,050 9,362 117 79 202 45 (134 ) 297 Total accumulated other comprehensive loss (income) 7,696 7,050 9,362 195 164 294 45 (134 ) 297 Deferred tax (asset) liability (2,773 ) (2,540 ) (3,278 ) (70 ) (59 ) (69 ) (16 ) 48 (97 ) Net impact on accumulated other comprehensive loss $ 4,923 $ 4,510 $ 6,084 $ 125 $ 105 $ 225 $ 29 $ (86 ) $ 200 |
Components of Net Periodic Benefit Costs and Other Amounts Recognized in Accumulated Other Comprehensive Loss for Retirement Plans | The following table sets forth the components of net periodic benefit costs and other amounts recognized in other comprehensive income (loss) for the retirement plans for the years ended December 31, 2016, 2015 and 2014 : Qualified Pension Plan Supplemental Executive Retirement Plans Other Post- Retirement Benefits 2016 2015 2014 2016 2015 2014 2016 2015 2014 (In thousands) Components of Net Periodic Benefit Cost: Service cost $ — $ 60 $ 75 $ 22 $ 24 $ 25 $ 13 $ 23 $ 19 Interest cost 1,186 1,162 1,145 39 40 54 76 80 85 Expected return on plan assets (1,624 ) (1,824 ) (1,595 ) — — — — — — Amortization of net actuarial losses (gains) 495 738 (277 ) — 3 2 — 18 (10 ) Amortization of prior service cost — — — 7 7 12 — — — Settlement charge — — — — 39 651 — — — Net periodic benefit cost (income) 57 136 (652 ) 68 113 744 89 121 94 Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income: Net loss (gain) 1,140 (1,574 ) 6,460 37 (80 ) 100 180 (413 ) 271 Change in prior service credit — — — — — (168 ) — — — Amortization of net (loss) gain (495 ) (738 ) 277 — (3 ) (2 ) — (18 ) 10 Amortization of prior service cost — — — (7 ) (7 ) (12 ) — — — Loss recognized due to settlement — — — — (39 ) — — — — Total recognized in other comprehensive income (loss) 645 (2,312 ) 6,737 30 (129 ) (82 ) 180 (431 ) 281 Total recognized in net periodic benefit cost and other comprehensive income (loss) $ 702 $ (2,176 ) $ 6,085 $ 98 $ (16 ) $ 662 $ 269 $ (310 ) $ 375 |
Summary of Weighted-Average Assumptions Used to Determine Pension Benefit Obligations | Weighted-average assumptions used to determine pension benefit obligations at December 31, follow: Qualified Pension Supplemental Retirement Plans Other Post-Retirement Benefits 2016 2015 2016 2015 2016 2015 Discount rate 4.15 % 4.45 % 4.00 % 4.30 % 4.00 % 4.25 % Expected return on plan assets 6.50 % 7.00 % — % — % — % — % |
Summary of Weighted-Average Assumptions Used to Determine Net Benefit Pension Expense | Weighted-average assumptions used to determine net benefit pension expense for the years ended December 31, follow: Qualified Pension Supplemental Retirement Plans Other Post-Retirement Benefits 2016 2015 2014 2016 2015 2014 2016 2015 2014 Discount rate 4.45 % 3.85 % 4.80 % 4.30 % 3.70 % 4.70 % 4.25 % 3.70 % 4.55 % Expected return on plan assets 7.00 % 7.00 % 7.25 % — % — % — % — % — % — % Rate of compensation increase — % — % — % 4.00 % 4.00 % 4.00 % 4.00 % 4.00 % 4.00 % |
Summary of Change in Assumed Healthcare Cost Trend Rate | A one percentage point change in the assumed healthcare cost trend rate would have the following effects: 1% Increase 1% Decrease (In thousands) Effect on post-retirement benefit obligation $ 2,272 $ 1,848 Effect on total service and interest 115 90 |
Summary of Pension Plan Assets | The fair value of major categories of pension plan assets as of December 31, 2016 and 2015 are as follows: Total Fair Value Percent (In thousands) December 31, 2016 Fixed income funds $ 10,255 39 % Domestic equity funds 8,124 31 International equity funds 5,125 19 Hedge funds 2,710 10 Money market funds 211 1 Total $ 26,425 100 % December 31, 2015 Fixed income funds $ 10,135 40 % Domestic equity funds 7,557 30 International equity funds 4,572 18 Hedge funds 2,697 11 Money market funds 279 1 Total $ 25,240 100 % |
Summary of Estimated Future Benefit Payments | The benefit payments, which reflect expected future service, as appropriate, expected to be paid are as follows: Qualified Pension Plan Supplemental Executive Retirement Plans Other Post- Retirement Benefits (In thousands) Years Ending December 31, 2017 $ 970 $ 28 $ 100 2018 1,070 41 100 2019 1,180 41 110 2020 1,310 41 120 2021 1,360 41 120 Years 2022-2026 7,280 295 600 |
REGULATORY MATTERS (Tables)
REGULATORY MATTERS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Banking and Thrift [Abstract] | |
Regulatory Capital Amounts and Ratios | Actual Minimum For Capital Adequacy Purposes Minimum To Be Well- Capitalized Under Prompt Corrective Action Provisions Amount Ratio Amount Ratio Amount Ratio (Dollars in thousands) United Bank: December 31, 2016 Total capital to risk weighted assets $ 619,020 12.1 % $ 409,269 8.0 % $ 511,587 10.0 % Common equity tier 1 capital to risk weighted assets 574,632 11.2 230,879 4.5 333,492 6.5 Tier 1 capital to risk weighted assets 574,632 11.2 307,839 6.0 410,451 8.0 Tier 1 capital to total average assets 574,632 9.0 255,392 4.0 319,240 5.0 December 31, 2015 Total capital to risk weighted assets $ 558,969 11.2 % $ 398,552 8.0 % $ 498,190 10.0 % Common equity tier 1 capital to risk weighted assets 523,786 10.5 224,266 4.5 323,940 6.5 Tier 1 capital to risk weighted assets 523,786 10.5 299,022 6.0 398,695 8.0 Tier 1 capital to total average assets 523,786 8.9 234,882 4.0 293,602 5.0 United Financial Bancorp, Inc.: December 31, 2016 Total capital to risk weighted assets $ 668,816 13.0 % $ 411,579 8.0 % N/A N/A Common equity tier 1 capital to risk weighted assets 549,428 10.7 231,068 4.5 N/A N/A Tier 1 capital to risk weighted assets 549,428 10.7 308,090 6.0 N/A N/A Tier 1 capital to total average assets 549,428 8.6 255,548 4.0 N/A N/A December 31, 2015 Total capital to risk weighted assets $ 628,915 12.5 % $ 401,542 8.0 % N/A N/A Common equity tier 1 capital to risk weighted assets 518,732 10.3 225,972 4.5 N/A N/A Tier 1 capital to risk weighted assets 518,732 10.3 301,296 6.0 N/A N/A Tier 1 capital to total average assets 518,732 8.9 233,926 4.0 N/A N/A |
Reconciliation of Company's Total Consolidated Equity to Capital Amounts | The following table provides a reconciliation of the Company’s total consolidated equity to the capital amounts for the Bank reflected in the preceding table: December 31, 2016 2015 (In thousands) Total consolidated equity $ 655,866 $ 625,521 Adjustments: Additional Bank-only equity 26,119 5,054 Accumulated other comprehensive loss 15,353 10,879 Disallowed goodwill and other intangible assets (117,161 ) (116,816 ) Disallowed deferred tax assets (3,327 ) (852 ) Other (2,218 ) — Tier 1 capital 574,632 523,786 Allowance for loan losses and off-balance sheet credit losses 44,327 35,124 Unrealized gains on available-for-sale securities includible in total risk-based capital 61 59 Total risk-based capital $ 619,020 $ 558,969 |
ACCUMULATED OTHER COMPREHENSI47
ACCUMULATED OTHER COMPREHENSIVE LOSS (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Equity [Abstract] | |
Components of Accumulated Other Comprehensive Loss, Net of Taxes | The components of accumulated other comprehensive loss, included in stockholders’ equity, are as follows: December 31, 2016 December 31, 2015 (In thousands) Benefit plans: Unrecognized net actuarial loss $ (7,936 ) $ (7,080 ) Tax effect 2,859 2,551 Net-of-tax amount (5,077 ) (4,529 ) Securities available for sale: Net unrealized loss (12,845 ) (5,821 ) Tax effect 4,617 2,088 Net-of-tax amount (8,228 ) (3,733 ) Interest rate swaps: Net unrealized loss (3,202 ) (4,092 ) Tax effect 1,154 1,475 Net-of-tax amount (2,048 ) (2,617 ) $ (15,353 ) $ (10,879 ) |
NET INCOME PER SHARE (Tables)
NET INCOME PER SHARE (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Earnings Per Share [Abstract] | |
Schedule of Basic and Diluted Net Income Per Share | The following table sets forth the calculation of basic and diluted net income per share for the years ended December 31, 2016, 2015 and 2014 : Years Ended December 31, (In thousands, except share data) 2016 2015 2014 Net income $ 49,661 $ 49,640 $ 6,782 Adjusted weighted-average common shares outstanding 50,290,934 49,495,381 43,491,441 Less: average number of unvested ESOP award shares 559,785 582,574 662,347 Weighted-average basic shares outstanding 49,731,149 48,912,807 42,829,094 Dilutive effect of stock options 357,881 472,759 440,423 Weighted-average diluted shares 50,089,030 49,385,566 43,269,517 Net income per share: Basic $ 1.00 $ 1.01 $ 0.16 Diluted $ 0.99 $ 1.00 $ 0.16 |
OTHER COMMITMENTS AND CONTING49
OTHER COMMITMENTS AND CONTINGENCIES (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Commitments and Contingencies Disclosure [Abstract] | |
Future Minimum Rental Commitments Under Terms of Leases | Future minimum rental commitments under the terms of these leases, by year and in the aggregate, are as follows as of December 31, 2016 : (In thousands) 2017 $ 5,134 2018 4,883 2019 4,738 2020 4,336 2021 4,007 Thereafter 17,099 $ 40,197 |
Future Minimum Rental Receivable Under Non-Cancelable Leases | Future minimum rents receivable under the non-cancelable leases are as follows as of December 31, 2016 : (In thousands) 2017 $ 505 2018 429 2019 411 $ 1,345 |
Financial Instruments Contract Amounts Represent Credit Risk | Off-balance sheet financial instruments whose contract amounts represent credit risk are as follows at December 31, 2016 and 2015 : December 31, 2016 2015 (In thousands) Commitments to extend credit: Commitment to grant loans $ 197,070 $ 219,407 Undisbursed construction loans 90,149 103,140 Undisbursed home equity lines of credit 364,421 320,140 Undisbursed commercial lines of credit 382,018 302,700 Standby letters of credit 13,588 9,477 Unused credit card lines 12,327 6,725 Unused checking overdraft lines of credit 1,465 1,293 Total $ 1,061,038 $ 962,882 |
SELECTED QUARTERLY CONSOLIDAT50
SELECTED QUARTERLY CONSOLIDATED INFORMATION (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Quarterly Financial Information Disclosure [Abstract] | |
Quarterly Financial Information of Company | The Company’s quarterly results of operations were as follows: 2016 2015 Fourth Quarter Third Quarter Second Quarter First Quarter Fourth Quarter Third Quarter Second Quarter First Quarter (In thousands, except per share data) Interest and dividend income $ 53,621 $ 53,336 $ 51,621 $ 53,574 $ 49,714 $ 49,625 $ 48,711 $ 48,295 Interest expense 10,449 10,307 10,125 10,172 9,021 7,982 7,808 6,952 Net interest income 43,172 43,029 41,496 43,402 40,693 41,643 40,903 41,343 Provision for loan losses 3,359 3,766 3,624 2,688 3,780 3,252 4,462 1,511 Net interest income after provision for loan losses 39,813 39,263 37,872 40,714 36,913 38,391 36,441 39,832 Non-interest income 8,936 7,889 6,532 6,727 8,463 7,818 9,371 6,835 Other non-interest expense 33,293 32,236 34,681 33,763 35,305 31,876 30,357 30,657 Income before income taxes 15,456 14,916 9,723 13,678 10,071 14,333 15,455 16,010 Provision for income taxes 906 757 665 1,784 169 952 2,123 2,985 Net income $ 14,550 $ 14,159 $ 9,058 $ 11,894 $ 9,902 $ 13,381 $ 13,332 $ 13,025 Earnings per share: Basic $ 0.29 $ 0.28 $ 0.18 $ 0.24 $ 0.20 $ 0.27 $ 0.27 $ 0.27 Diluted $ 0.29 $ 0.28 $ 0.18 $ 0.24 $ 0.20 $ 0.27 $ 0.27 $ 0.26 Stock Price (per share): High $ 18.49 $ 14.16 $ 13.51 $ 12.81 $ 14.16 $ 13.87 $ 13.91 $ 14.47 Low $ 13.51 $ 12.64 $ 12.16 $ 10.28 $ 12.45 $ 12.14 $ 12.25 $ 12.00 |
PARENT COMPANY FINANCIAL INFO51
PARENT COMPANY FINANCIAL INFORMATION (Tables) | 12 Months Ended |
Dec. 31, 2016 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Condensed Statements of Condition | Condensed Statements of Condition At December 31, 2016 2015 (In thousands) Assets: Cash and due from banks $ 16,567 $ 28,825 Investment in United Bank 681,985 630,575 Due from United Bank 11,405 9,374 Other assets 27,308 37,938 Total Assets $ 737,265 $ 706,712 Liabilities and Stockholders’ Equity: Subordinated debentures $ 79,716 $ 79,489 Accrued expenses and other liabilities 1,683 1,702 Stockholders’ equity 655,866 625,521 Total Liabilities and Stockholders’ Equity $ 737,265 $ 706,712 |
Condensed Statements of Net Income | Condensed Statements of Net Income For the Years Ended December 31, 2016 2015 2014 (In thousands) Dividend income from United Bank $ — $ 30,913 $ 13,310 Other interest and dividend income 159 103 35 Interest expense on subordinated debentures (4,738 ) (4,682 ) (1,353 ) Net interest income (expense) (4,579 ) 26,334 11,992 Non-interest income — 434 73 General and administrative expense 4,982 4,714 7,257 Income (loss) before tax benefit and equity in undistributed net income (loss) of United Bank (9,561 ) 22,054 4,808 Income tax benefit 3,338 3,094 2,566 Income (loss) before equity in undistributed net income of United Bank (6,223 ) 25,148 7,374 Equity in undistributed net income (loss) of United Bank 55,884 24,492 (592 ) Net income $ 49,661 $ 49,640 $ 6,782 |
Condensed Statements of Cash Flows | Condensed Statements of Cash Flows For the Years ended December 31, 2016 2015 2014 (In thousands) Cash flows from operating activities: Net income $ 49,661 $ 49,640 $ 6,782 Adjustments to reconcile net income to net cash provided by (used in) operating activities: Amortization of purchase accounting marks, net 100 75 41 Amortization of subordinated debt issuance costs, net 127 127 34 Share-based compensation expense 2,252 1,076 3,957 ESOP expense 308 299 1,727 Undistributed income of United Bank (55,884 ) (24,492 ) 592 Deferred tax provision 4,237 188 959 Tax provision (benefit) of stock-based awards (486 ) 317 (820 ) Net change in: Due from United Bank (2,031 ) 6,491 (5,021 ) Other assets 6,879 (32,849 ) 4,028 Accrued expenses and other liabilities (19 ) (53 ) (2,651 ) Net cash provided by (used in) operating activities 5,144 819 9,628 Cash flows from investing activities: Cash acquired from United Financial Bancorp, Inc., net — — 6,546 Net cash provided by investing activities — — 6,546 Cash flows from financing activities: Proceeds from debt offering, net of expenses — — 73,733 Common stock repurchased — (5,171 ) (47,249 ) Proceeds from the exercise of stock options 6,275 4,765 2,246 Cancellation of shares for tax withholding (327 ) (311 ) (1,367 ) Tax effects of share-based awards 486 (317 ) 820 Cash dividends paid on common stock (23,836 ) (22,479 ) (18,008 ) Net cash provided by (used in) financing activities (17,402 ) (23,513 ) 10,175 Net increase (decrease) in cash and cash equivalents (12,258 ) (22,694 ) 26,349 Cash and cash equivalents — beginning of year 28,825 51,519 25,170 Cash and cash equivalents — end of year $ 16,567 $ 28,825 $ 51,519 Supplemental disclosures of cash flow information: Cash paid (refunded) for income taxes, net $ 3,655 $ (6,744 ) $ 3,599 |
SUMMARY OF SIGNIFICANT ACCOUN52
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES - Additional Information (Detail) | 12 Months Ended | |||
Dec. 31, 2016USD ($)Subsidiaryyearofficeatm | Dec. 31, 2015USD ($) | Dec. 31, 2014USD ($) | Dec. 31, 2013USD ($) | |
Summary Of Significant Accounting Policies [Line Items] | ||||
Number of wholly-owned subsidiaries | Subsidiary | 1 | |||
Other real estate owned | $ 1,890,000 | $ 755,000 | ||
Number of banking offices | office | 53 | |||
Number of ATMs | atm | 63 | |||
Stock's quoted market value | $ 0 | |||
Period after termination of membership in FHLBB that must pass before stock is redeemable | 5 years | |||
Impairment charges | $ 0 | 0 | ||
Period of continuous payments for non-accrual loans to be restored to accrual status | 6 months | |||
Historical loss factor number of years | 3 years | |||
BOLI limit with any individual carrier, as percentage of capital plus reserves (percent) | 15.00% | |||
Write-downs of long-lived assets were recorded for any period presented | $ 0 | 0 | $ 0 | |
Goodwill impairment during period | 0 | 0 | 0 | |
Uncertain tax positions | $ 497,000 | $ 375,000 | $ 252,000 | $ 0 |
Eligible age required for the benefits | year | 62 | |||
Minimum years of service for the benefits | 5 years | |||
Consumer loans | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Recognition period of losses on open and closed end consumer loans | 120 days | |||
Minimum | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Premises and equipment, estimated useful life | 3 years | |||
Maximum | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Loan payments days | 90 days | |||
Collateral dependent days | 90 days | |||
Premises and equipment, estimated useful life | 39 years 6 months | |||
Maximum | Residential Real Estate | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Number of days before which impairment evaluation is likely to happen | 30 days | |||
Maximum | Commercial Real Estate | ||||
Summary Of Significant Accounting Policies [Line Items] | ||||
Commercial real estate property | 90 days |
RECENT ACCOUNTING PRONOUNCEME53
RECENT ACCOUNTING PRONOUNCEMENTS (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Accounting Standards Update 2016-09, Excess Tax Benefit Component | Pro Forma | |
New Accounting Pronouncements or Change in Accounting Principle [Line Items] | |
Employee service share-based compensation, tax benefit | $ 500 |
MERGER - Additional Information
MERGER - Additional Information (Detail) - Legacy United $ / shares in Units, $ in Thousands | Apr. 30, 2014USD ($)location$ / sharesshares |
Loans At Acquisition Date [Line Items] | |
Acquired common shares outstanding, percentage | 100.00% |
Number of branch location | 35 |
Shares issued to acquiree entity (in shares) | shares | 1.3472 |
Total consideration paid at closing | $ | $ 356,394 |
Closing price of the common share (usd per share) | $ / shares | $ 13.16 |
Express Drive-Up | |
Loans At Acquisition Date [Line Items] | |
Number of branch location | 2 |
Loan Production Offices | |
Loans At Acquisition Date [Line Items] | |
Number of branch location | 2 |
MERGER- Summary of Merger (Deta
MERGER- Summary of Merger (Detail) - USD ($) $ in Thousands | Apr. 30, 2014 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Loans At Acquisition Date [Line Items] | ||||
Goodwill | $ 115,281 | $ 115,281 | $ 115,240 | |
Legacy United | ||||
Loans At Acquisition Date [Line Items] | ||||
Assets | $ 2,442,525 | |||
Equity | 304,505 | |||
Goodwill | 114,211 | |||
Other Identifiable Intangibles | 10,585 | |||
Shares Issued | 26,706 | |||
Value of Legacy United Exercisable Options | 4,909 | |||
Total Purchase Price | $ 356,394 |
GOODWILL AND CORE DEPOSIT INT56
GOODWILL AND CORE DEPOSIT INTANGIBLES - Schedule of Goodwill and Core Deposit Intangible Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Goodwill | |||
Beginning balance | $ 115,281 | $ 115,240 | |
Adjustments | 41 | ||
Ending balance | 115,281 | 115,281 | $ 115,240 |
Core Deposit Intangible | |||
Beginning balance | 7,506 | 9,302 | |
Adjustments | 0 | ||
Amortization expense | (1,604) | (1,796) | (1,283) |
Ending balance | $ 5,902 | $ 7,506 | $ 9,302 |
GOODWILL AND CORE DEPOSIT INT57
GOODWILL AND CORE DEPOSIT INTANGIBLES - Estimated Amortization Expense (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Estimated amortization expense for the years ending December 31, | |||
2,017 | $ 1,411 | ||
2,018 | 1,219 | ||
2,019 | 1,026 | ||
2,020 | 834 | ||
2,021 | 642 | ||
2022 and thereafter | 770 | ||
Core deposit intangible | $ 5,902 | $ 7,506 | $ 9,302 |
GOODWILL AND CORE DEPOSIT INT58
GOODWILL AND CORE DEPOSIT INTANGIBLES - Additional Information (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Finite-Lived Intangible Assets [Line Items] | |||
Goodwill impairment during period | $ 0 | $ 0 | $ 0 |
Core deposit intangible amortization | $ 1,604,000 | 1,796,000 | 1,283,000 |
Legacy United | Core deposit intangibles | |||
Finite-Lived Intangible Assets [Line Items] | |||
Core deposits, estimated useful life | 10 years | ||
Core deposit intangible amortization | $ 1,600,000 | $ 1,800,000 | $ 1,300,000 |
RESTRICTIONS ON CASH AND DUE 59
RESTRICTIONS ON CASH AND DUE FROM BANKS - Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Receivables [Abstract] | ||
Cash and liquid assets | $ 25.8 | $ 24 |
SECURITIES - Available for Sale
SECURITIES - Available for Sale and Held to Maturity Securities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Debt securities: | ||
Amortized Cost | $ 1,023,842 | $ 1,020,337 |
Gross Unrealized Gains | 3,401 | 3,941 |
Gross Unrealized Losses | (16,620) | (10,448) |
Fair Value | 1,010,623 | 1,013,830 |
Total available for sale securities | ||
Amortized Cost | 1,056,256 | 1,064,990 |
Gross Unrealized Gains | 4,018 | 5,175 |
Gross Unrealized Losses | (16,863) | (10,996) |
Fair Value | 1,043,411 | 1,059,169 |
Held to maturity: | ||
Amortized Cost | 14,038 | 14,565 |
Gross Unrealized Gains | 826 | 1,128 |
Gross Unrealized Losses | (35) | (10) |
Held to maturity securities | 14,829 | 15,683 |
U.S. Government and government-sponsored enterprise obligations | ||
Debt securities: | ||
Amortized Cost | 10,159 | |
Gross Unrealized Gains | 13 | |
Gross Unrealized Losses | (83) | |
Fair Value | 10,089 | |
Government-sponsored residential mortgage-backed securities | ||
Debt securities: | ||
Amortized Cost | 181,419 | 146,434 |
Gross Unrealized Gains | 365 | 731 |
Gross Unrealized Losses | (2,236) | (1,304) |
Fair Value | 179,548 | 145,861 |
Held to maturity: | ||
Amortized Cost | 1,717 | 2,205 |
Gross Unrealized Gains | 172 | 244 |
Gross Unrealized Losses | 0 | 0 |
Held to maturity securities | 1,889 | 2,449 |
Government-sponsored residential collateralized debt obligations | ||
Debt securities: | ||
Amortized Cost | 184,185 | 287,515 |
Gross Unrealized Gains | 438 | 855 |
Gross Unrealized Losses | (1,363) | (1,403) |
Fair Value | 183,260 | 286,967 |
Government-sponsored commercial mortgage-backed securities | ||
Debt securities: | ||
Amortized Cost | 26,949 | 21,144 |
Gross Unrealized Gains | 23 | 21 |
Gross Unrealized Losses | (442) | (200) |
Fair Value | 26,530 | 20,965 |
Government-sponsored commercial collateralized debt obligations | ||
Debt securities: | ||
Amortized Cost | 164,433 | 128,617 |
Gross Unrealized Gains | 296 | 626 |
Gross Unrealized Losses | (1,802) | (271) |
Fair Value | 162,927 | 128,972 |
Asset-backed securities | ||
Debt securities: | ||
Amortized Cost | 166,336 | 162,895 |
Gross Unrealized Gains | 1,619 | 43 |
Gross Unrealized Losses | (988) | (3,037) |
Fair Value | 166,967 | 159,901 |
Corporate debt securities | ||
Debt securities: | ||
Amortized Cost | 76,787 | 62,356 |
Gross Unrealized Gains | 533 | 91 |
Gross Unrealized Losses | (2,305) | (2,487) |
Fair Value | 75,015 | 59,960 |
Obligations of states and political subdivisions | ||
Debt securities: | ||
Amortized Cost | 223,733 | 201,217 |
Gross Unrealized Gains | 127 | 1,561 |
Gross Unrealized Losses | (7,484) | (1,663) |
Fair Value | 216,376 | 201,115 |
Held to maturity: | ||
Amortized Cost | 12,321 | 12,360 |
Gross Unrealized Gains | 654 | 884 |
Gross Unrealized Losses | (35) | (10) |
Held to maturity securities | 12,940 | 13,234 |
Marketable equity securities | ||
Marketable equity securities, by sector: | ||
Amortized Cost | 32,414 | 44,653 |
Gross Unrealized Gains | 617 | 1,234 |
Gross Unrealized Losses | (243) | (548) |
Fair Value | 32,788 | 45,339 |
Marketable equity securities | Banks | ||
Marketable equity securities, by sector: | ||
Amortized Cost | 32,174 | 41,558 |
Gross Unrealized Gains | 482 | 1,099 |
Gross Unrealized Losses | (243) | (544) |
Fair Value | 32,413 | 42,113 |
Marketable equity securities | Industrial | ||
Marketable equity securities, by sector: | ||
Amortized Cost | 109 | 109 |
Gross Unrealized Gains | 58 | 34 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | 167 | 143 |
Marketable equity securities | Mutual funds | ||
Marketable equity securities, by sector: | ||
Amortized Cost | 2,854 | |
Gross Unrealized Gains | 65 | |
Gross Unrealized Losses | (4) | |
Fair Value | 2,915 | |
Marketable equity securities | Oil and gas | ||
Marketable equity securities, by sector: | ||
Amortized Cost | 131 | 132 |
Gross Unrealized Gains | 77 | 36 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | $ 208 | $ 168 |
SECURITIES - Additional Informa
SECURITIES - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2016USD ($)security | Dec. 31, 2015USD ($)security | |
Investments, Debt and Equity Securities [Abstract] | ||
Net unrealized gain (loss) on securities available for sale | $ (12,800,000) | $ (5,800,000) |
Net unrealized gain (loss) on securities available for sale, income taxes (benefit) | (4,600,000) | (2,100,000) |
Accumulated other comprehensive income (loss) | $ (8,200,000) | $ (3,700,000) |
Encumbered securities | security | 115 | |
Fair value pledged for derivative collateral | $ 510,000,000 | |
Estimated fair value of obligations of states and political subdivisions | 229,300,000 | |
General obligation bonds | 96,800,000 | |
Obligations of political subdivisions | $ 61,100,000 | |
Available-for-sale securities with unrealized losses, less than twelve months | security | 170 | |
Unrealized losses equaling cost basis for less than twelve months (percent) | 1.90% | |
Securities with unrealized losses for twelve months or more | security | 31 | |
Unrealized losses equaling cost basis for twelve months or more (percent) | 5.80% | |
Number of issues had unrealized losses for less than twelve months | security | 146 | |
Number of issues had unrealized losses for twelve months or more | security | 96 | |
Individual unrealized loss that represent an other than temporary impairment | $ 0 | |
Number of pooled trust securities | security | 1 | |
Yield on security | 0.00% |
SECURITIES - Amortized Cost and
SECURITIES - Amortized Cost and Fair Value of Debt Securities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Amortized Cost | ||
After 1 year through 5 years | $ 11,096 | |
After 5 years through 10 years | 69,787 | |
After 10 years | 219,637 | |
Single maturity date | 300,520 | |
Amortized Cost | 1,023,842 | $ 1,020,337 |
Fair Value | ||
After 1 year through 5 years | 11,201 | |
After 5 years through 10 years | 68,683 | |
After 10 years | 211,507 | |
Single maturity date | 291,391 | |
Fair Value | 1,010,623 | 1,013,830 |
Amortized Cost | ||
After 1 year through 5 years | 1,181 | |
After 5 years through 10 years | 0 | |
After 10 years | 11,140 | |
Single maturity date | 12,321 | |
Amortized Cost | 14,038 | 14,565 |
Fair Value | ||
After 1 year through 5 years | 1,202 | |
After 5 years through 10 years | 0 | |
After 10 years | 11,738 | |
Single maturity date | 12,940 | |
Fair Value | 14,829 | 15,683 |
Government-sponsored residential mortgage-backed securities | ||
Amortized Cost | ||
Without single maturity date | 181,419 | |
Amortized Cost | 181,419 | 146,434 |
Fair Value | ||
Without single maturity date | 179,548 | |
Fair Value | 179,548 | 145,861 |
Amortized Cost | ||
Without single maturity date | 1,717 | |
Fair Value | ||
Without single maturity date | 1,889 | |
Fair Value | 1,889 | 2,449 |
Government-sponsored residential collateralized debt obligations | ||
Amortized Cost | ||
Without single maturity date | 184,185 | |
Amortized Cost | 184,185 | 287,515 |
Fair Value | ||
Without single maturity date | 183,260 | |
Fair Value | 183,260 | 286,967 |
Amortized Cost | ||
Without single maturity date | 0 | |
Fair Value | ||
Without single maturity date | 0 | |
Government-sponsored commercial mortgage-backed securities | ||
Amortized Cost | ||
Without single maturity date | 26,949 | |
Amortized Cost | 26,949 | 21,144 |
Fair Value | ||
Without single maturity date | 26,530 | |
Fair Value | 26,530 | 20,965 |
Amortized Cost | ||
Without single maturity date | 0 | |
Fair Value | ||
Without single maturity date | 0 | |
Government-sponsored commercial collateralized debt obligations | ||
Amortized Cost | ||
Without single maturity date | 164,433 | |
Amortized Cost | 164,433 | 128,617 |
Fair Value | ||
Without single maturity date | 162,927 | |
Fair Value | 162,927 | 128,972 |
Amortized Cost | ||
Without single maturity date | 0 | |
Fair Value | ||
Without single maturity date | 0 | |
Asset-backed securities | ||
Amortized Cost | ||
Without single maturity date | 166,336 | |
Amortized Cost | 166,336 | 162,895 |
Fair Value | ||
Without single maturity date | 166,967 | |
Fair Value | 166,967 | $ 159,901 |
Amortized Cost | ||
Without single maturity date | 0 | |
Fair Value | ||
Without single maturity date | $ 0 |
SECURITIES - Available for Sa63
SECURITIES - Available for Sale Securities (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Investments, Debt and Equity Securities [Abstract] | |||
Proceeds from the sale of available for sale securities | $ 268,162 | $ 280,564 | $ 511,044 |
Gross realized gains on the sale of available for sale securities | 2,880 | 3,090 | 2,711 |
Gross realized losses on the sale of available for sale securities | $ 919 | $ 2,151 | $ 1,483 |
SECURITIES - Summary of Gross U
SECURITIES - Summary of Gross Unrealized Losses and Fair Value (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value | ||
Less than 12 months | $ 660,812 | $ 520,797 |
12 Months or More | 71,488 | 124,217 |
Total | 732,300 | 645,014 |
Unrealized Loss | ||
Less than 12 months | (12,473) | (6,290) |
12 Months or More | (4,390) | (4,706) |
Total | (16,863) | (10,996) |
Fair Value | ||
Less than 12 months | 0 | 1,104 |
12 Months or More | 1,070 | 0 |
Total | 1,070 | 1,104 |
Unrealized Loss | ||
Less than 12 months | 0 | (10) |
12 Months or More | (35) | 0 |
Total | (35) | (10) |
Total debt securities | ||
Fair Value | ||
Less than 12 months | 641,810 | 502,348 |
12 Months or More | 71,488 | 118,041 |
Total | 713,298 | 620,389 |
Unrealized Loss | ||
Less than 12 months | (12,230) | (6,003) |
12 Months or More | (4,390) | (4,445) |
Total | (16,620) | (10,448) |
U.S. Government and government-sponsored enterprise obligations | ||
Fair Value | ||
Less than 12 months | 4,867 | |
12 Months or More | 4,977 | |
Total | 9,844 | |
Unrealized Loss | ||
Less than 12 months | (66) | |
12 Months or More | (17) | |
Total | (83) | |
Government-sponsored residential mortgage-backed securities | ||
Fair Value | ||
Less than 12 months | 156,000 | 107,142 |
12 Months or More | 0 | 7,195 |
Total | 156,000 | 114,337 |
Unrealized Loss | ||
Less than 12 months | (2,236) | (1,183) |
12 Months or More | 0 | (121) |
Total | (2,236) | (1,304) |
Government-sponsored residential collateralized debt obligations | ||
Fair Value | ||
Less than 12 months | 109,468 | 152,278 |
12 Months or More | 6,691 | 3,506 |
Total | 116,159 | 155,784 |
Unrealized Loss | ||
Less than 12 months | (1,082) | (1,357) |
12 Months or More | (281) | (46) |
Total | (1,363) | (1,403) |
Government-sponsored commercial mortgage-backed securities | ||
Fair Value | ||
Less than 12 months | 23,808 | 16,207 |
12 Months or More | 0 | 0 |
Total | 23,808 | 16,207 |
Unrealized Loss | ||
Less than 12 months | (442) | (200) |
12 Months or More | 0 | 0 |
Total | (442) | (200) |
Government-sponsored commercial collateralized debt obligations | ||
Fair Value | ||
Less than 12 months | 128,238 | 38,151 |
12 Months or More | 0 | 3,496 |
Total | 128,238 | 41,647 |
Unrealized Loss | ||
Less than 12 months | (1,802) | (221) |
12 Months or More | 0 | (50) |
Total | (1,802) | (271) |
Asset-backed securities | ||
Fair Value | ||
Less than 12 months | 23,415 | 93,723 |
12 Months or More | 20,326 | 49,462 |
Total | 43,741 | 143,185 |
Unrealized Loss | ||
Less than 12 months | (163) | (1,233) |
12 Months or More | (825) | (1,804) |
Total | (988) | (3,037) |
Corporate debt securities | ||
Fair Value | ||
Less than 12 months | 43,990 | 42,102 |
12 Months or More | 3,335 | 6,720 |
Total | 47,325 | 48,822 |
Unrealized Loss | ||
Less than 12 months | (885) | (797) |
12 Months or More | (1,420) | (1,690) |
Total | (2,305) | (2,487) |
Obligations of states and political subdivisions | ||
Fair Value | ||
Less than 12 months | 156,891 | 47,878 |
12 Months or More | 41,136 | 42,685 |
Total | 198,027 | 90,563 |
Unrealized Loss | ||
Less than 12 months | (5,620) | (946) |
12 Months or More | (1,864) | (717) |
Total | (7,484) | (1,663) |
Fair Value | ||
Less than 12 months | 0 | 1,104 |
12 Months or More | 1,070 | 0 |
Total | 1,070 | 1,104 |
Unrealized Loss | ||
Less than 12 months | 0 | (10) |
12 Months or More | (35) | 0 |
Total | (35) | (10) |
Marketable equity securities | ||
Fair Value | ||
Less than 12 months | 19,002 | 18,449 |
12 Months or More | 0 | 6,176 |
Total | 19,002 | 24,625 |
Unrealized Loss | ||
Less than 12 months | (243) | (287) |
12 Months or More | 0 | (261) |
Total | $ (243) | $ (548) |
LOANS RECEIVABLE AND ALLOWANC65
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Summary of Company's Loan Portfolio (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 4,901,714 | $ 4,613,931 | ||
Net deferred loan costs and premiums | 11,636 | 7,018 | ||
Allowance for loan losses | (42,798) | (33,887) | $ (24,809) | $ (19,183) |
Loans - net | $ 4,870,552 | $ 4,587,062 | ||
Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 100.00% | 100.00% | ||
Commercial real estate loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 2,220,831 | $ 2,125,254 | ||
Commercial real estate loans | Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 45.30% | 46.10% | ||
Commercial real estate loans | Owner occupied | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 416,718 | $ 322,084 | ||
Allowance for loan losses | $ (3,765) | $ (2,174) | (1,281) | (917) |
Commercial real estate loans | Owner occupied | Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 8.50% | 7.00% | ||
Commercial real estate loans | Investor non-owner occupied | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 1,705,319 | $ 1,673,248 | ||
Allowance for loan losses | $ (14,869) | $ (12,859) | (8,137) | (7,371) |
Commercial real estate loans | Investor non-owner occupied | Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 34.80% | 36.30% | ||
Commercial real estate loans | Construction | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 98,794 | $ 129,922 | ||
Commercial real estate loans | Construction | Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 2.00% | 2.80% | ||
Commercial business loans | Commercial business loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 724,557 | $ 603,332 | ||
Allowance for loan losses | $ (8,730) | $ (5,827) | (5,808) | (3,394) |
Commercial business loans | Commercial business loans | Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 14.80% | 13.10% | ||
Consumer loans | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 1,956,326 | $ 1,885,345 | ||
Consumer loans | Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 39.90% | 40.80% | ||
Consumer loans | Residential real estate | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 1,156,227 | $ 1,179,915 | ||
Allowance for loan losses | $ (7,854) | $ (7,801) | (5,998) | (4,571) |
Consumer loans | Residential real estate | Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 23.60% | 25.60% | ||
Consumer loans | Home equity | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 536,772 | $ 431,282 | ||
Allowance for loan losses | $ (2,858) | $ (2,391) | (1,929) | (1,825) |
Consumer loans | Home equity | Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 11.00% | 9.30% | ||
Consumer loans | Residential construction | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 53,934 | $ 41,084 | ||
Consumer loans | Residential construction | Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 1.10% | 0.90% | ||
Consumer loans | Other consumer | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Total loans | $ 209,393 | $ 233,064 | ||
Allowance for loan losses | $ (1,353) | $ (146) | $ (75) | $ (29) |
Consumer loans | Other consumer | Loans Receivable Concentration Risk | Loans Receivable | ||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||||
Percent of total loans | 4.20% | 5.00% |
LOANS RECEIVABLE AND ALLOWANC66
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Additional Information (Detail) | 1 Months Ended | 12 Months Ended | |||
Dec. 31, 2015USD ($)loanloan_portfolio | Dec. 31, 2016USD ($)gradecontract | Dec. 31, 2015USD ($)contractloan | Dec. 31, 2014USD ($)loan | Apr. 30, 2014USD ($) | |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Eligible loan collateral to support available borrowing capacity at the FHLBB | $ 1,220,000,000 | ||||
Eligible loan collateral to support available borrowing capacity at the FRB | 194,000,000 | ||||
Total loans | $ 4,613,931,000 | 4,901,714,000 | $ 4,613,931,000 | ||
Loans not deemed impaired | 4,551,343,000 | 4,847,078,000 | 4,551,343,000 | ||
Loans determined to be impaired | $ 56,255,000 | 50,110,000 | 56,255,000 | ||
Number of loan portfolios purchased | loan_portfolio | 3 | ||||
Significant purchases, net | $ 324,300,000 | 208,800,000 | 324,300,000 | ||
Net recorded carrying amount of loans | 4,587,062,000 | 4,870,552,000 | 4,587,062,000 | ||
Financing receivables 90 days past due and still accruing | $ 307,000 | 750,000 | $ 307,000 | ||
Number of U.S. Government fully guaranteed contracts 90 days past due and still accruing | loan | 1 | 1 | |||
Additional funds advanced in connection with impaired loans | $ 0 | ||||
Number of loans with extended maturities | contract | 6 | 7 | |||
Number of grade | grade | 9 | ||||
Minimum years of service for employee to receive mortgage loans below market rates | 1 year | ||||
Rates below market rates at the time of origination | 0.50% | ||||
Aggregate principal balance of loans serviced for third parties | $ 863,700,000 | $ 1,050,000,000 | $ 863,700,000 | $ 559,100,000 | |
Servicing fee income | $ 1,700,000 | $ 1,300,000 | 964,000,000 | ||
Average prepayment speed | 166 | 183 | |||
Minimum | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Internal rates of return used for determination of fair value | 9.50% | 9.50% | |||
Maximum | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Internal rates of return used for determination of fair value | 11.50% | 11.50% | |||
Troubled Debt Restructurings | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Recorded investment in TDRs | $ 24,064,000 | $ 23,352,000 | $ 24,064,000 | $ 9,200,000 | |
Number of contracts | loan | 46 | ||||
Number of loans with extended maturities | loan | 15 | ||||
Legacy United | |||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||||
Total loans | $ 1,880,000,000 | ||||
Loans not deemed impaired | 1,860,000,000 | ||||
Fair value of loans not deemed impaired | 1,830,000,000 | ||||
Estimate of cash flows not expected to be collected on acquired performing loans | 29,100,000 | ||||
Loans determined to be impaired | $ 18,500,000 | ||||
Net recorded carrying amount of loans | 4,500,000 | ||||
Loans outstanding | $ 7,100,000 |
LOANS RECEIVABLE AND ALLOWANC67
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Summary of Accretable Yields for Purchased Credit Impaired Loans (Details) - Purchased Credit Impaired Loans - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Purchased Accounting Adjustments for Purchased Credit Impaired Loans | ||
Balance at beginning of period | $ (5,810) | $ (7,989) |
Acquisition | 0 | (3,674) |
Accretion | 0 | 223 |
Paid off | 868 | 2,533 |
Reclassification to accretable | 2,357 | 3,097 |
Balance at end of period | $ (2,585) | $ (5,810) |
LOANS RECEIVABLE AND ALLOWANC68
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Summary of Changes in Allowance for Loan Losses (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Changes in Allowance for Loan Losses | |||||||||||
Balance, beginning of year | $ 33,887 | $ 24,809 | $ 33,887 | $ 24,809 | $ 19,183 | ||||||
Provision for loan losses | $ 3,359 | $ 3,766 | $ 3,624 | 2,688 | $ 3,780 | $ 3,252 | $ 4,462 | 1,511 | 13,437 | 13,005 | 9,496 |
Loans charged off | (5,889) | (5,492) | (4,189) | ||||||||
Recoveries of loans previously charged off | 1,363 | 1,565 | 319 | ||||||||
Balance, end of year | 42,798 | 33,887 | 42,798 | 33,887 | 24,809 | ||||||
Commercial real estate loans | Owner occupied | |||||||||||
Changes in Allowance for Loan Losses | |||||||||||
Balance, beginning of year | 2,174 | 1,281 | 2,174 | 1,281 | 917 | ||||||
Provision for loan losses | 1,704 | 1,074 | 364 | ||||||||
Loans charged off | (169) | (181) | 0 | ||||||||
Recoveries of loans previously charged off | 56 | 0 | 0 | ||||||||
Balance, end of year | 3,765 | 2,174 | 3,765 | 2,174 | 1,281 | ||||||
Commercial real estate loans | Investor non-owner occupied | |||||||||||
Changes in Allowance for Loan Losses | |||||||||||
Balance, beginning of year | 12,859 | 8,137 | 12,859 | 8,137 | 7,371 | ||||||
Provision for loan losses | 2,806 | 5,217 | 1,516 | ||||||||
Loans charged off | (1,207) | (837) | (750) | ||||||||
Recoveries of loans previously charged off | 411 | 342 | 0 | ||||||||
Balance, end of year | 14,869 | 12,859 | 14,869 | 12,859 | 8,137 | ||||||
Commercial real estate loans and consumer | Construction | |||||||||||
Changes in Allowance for Loan Losses | |||||||||||
Balance, beginning of year | 1,895 | 1,470 | 1,895 | 1,470 | 829 | ||||||
Provision for loan losses | 15 | 891 | 641 | ||||||||
Loans charged off | 0 | (466) | 0 | ||||||||
Recoveries of loans previously charged off | 3 | 0 | 0 | ||||||||
Balance, end of year | 1,913 | 1,895 | 1,913 | 1,895 | 1,470 | ||||||
Commercial business loans | Commercial business loans | |||||||||||
Changes in Allowance for Loan Losses | |||||||||||
Balance, beginning of year | 5,827 | 5,808 | 5,827 | 5,808 | 3,394 | ||||||
Provision for loan losses | 3,364 | 1,693 | 3,723 | ||||||||
Loans charged off | (1,018) | (2,513) | (1,406) | ||||||||
Recoveries of loans previously charged off | 557 | 839 | 97 | ||||||||
Balance, end of year | 8,730 | 5,827 | 8,730 | 5,827 | 5,808 | ||||||
Consumer loans | Residential real estate | |||||||||||
Changes in Allowance for Loan Losses | |||||||||||
Balance, beginning of year | 7,801 | 5,998 | 7,801 | 5,998 | 4,571 | ||||||
Provision for loan losses | 1,022 | 2,268 | 2,809 | ||||||||
Loans charged off | (1,043) | (744) | (1,557) | ||||||||
Recoveries of loans previously charged off | 74 | 279 | 175 | ||||||||
Balance, end of year | 7,854 | 7,801 | 7,854 | 7,801 | 5,998 | ||||||
Consumer loans | Home equity | |||||||||||
Changes in Allowance for Loan Losses | |||||||||||
Balance, beginning of year | 2,391 | 1,929 | 2,391 | 1,929 | 1,825 | ||||||
Provision for loan losses | 1,096 | 887 | 441 | ||||||||
Loans charged off | (742) | (427) | (337) | ||||||||
Recoveries of loans previously charged off | 113 | 2 | 0 | ||||||||
Balance, end of year | 2,858 | 2,391 | 2,858 | 2,391 | 1,929 | ||||||
Consumer loans | Other consumer | |||||||||||
Changes in Allowance for Loan Losses | |||||||||||
Balance, beginning of year | 146 | 75 | 146 | 75 | 29 | ||||||
Provision for loan losses | 2,768 | 292 | 138 | ||||||||
Loans charged off | (1,710) | (324) | (139) | ||||||||
Recoveries of loans previously charged off | 149 | 103 | 47 | ||||||||
Balance, end of year | 1,353 | 146 | 1,353 | 146 | 75 | ||||||
Unallocated | |||||||||||
Changes in Allowance for Loan Losses | |||||||||||
Balance, beginning of year | $ 794 | $ 111 | 794 | 111 | 247 | ||||||
Provision for loan losses | 662 | 683 | (136) | ||||||||
Loans charged off | 0 | 0 | 0 | ||||||||
Recoveries of loans previously charged off | 0 | 0 | 0 | ||||||||
Balance, end of year | $ 1,456 | $ 794 | $ 1,456 | $ 794 | $ 111 |
LOANS RECEIVABLE AND ALLOWANC69
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Summary of Allowance for Loan Losses and Impaired Loans (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans individually evaluated and deemed impaired | $ 714 | $ 342 | ||
Allowance related to loans collectively evaluated and not deemed impaired | 41,862 | 33,370 | ||
Total allowance for loan losses | 42,798 | 33,887 | $ 24,809 | $ 19,183 |
Loans deemed impaired | 50,110 | 56,255 | ||
Loans not deemed impaired | 4,847,078 | 4,551,343 | ||
Total loans | 4,901,714 | 4,613,931 | ||
Receivables acquired with deteriorated credit quality | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans acquired with deteriorated credit quality | 222 | 175 | ||
Loans acquired with deteriorated credit quality | 4,526 | 6,333 | ||
Commercial real estate loans | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | 2,220,831 | 2,125,254 | ||
Commercial real estate loans | Owner occupied | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans individually evaluated and deemed impaired | 0 | 0 | ||
Allowance related to loans collectively evaluated and not deemed impaired | 3,765 | 2,174 | ||
Total allowance for loan losses | 3,765 | 2,174 | 1,281 | 917 |
Loans deemed impaired | 3,331 | 4,037 | ||
Loans not deemed impaired | 413,387 | 317,628 | ||
Total loans | 416,718 | 322,084 | ||
Commercial real estate loans | Owner occupied | Receivables acquired with deteriorated credit quality | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans acquired with deteriorated credit quality | 0 | 0 | ||
Loans acquired with deteriorated credit quality | 0 | 419 | ||
Commercial real estate loans | Investor non-owner occupied | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans individually evaluated and deemed impaired | 0 | 0 | ||
Allowance related to loans collectively evaluated and not deemed impaired | 14,869 | 12,859 | ||
Total allowance for loan losses | 14,869 | 12,859 | 8,137 | 7,371 |
Loans deemed impaired | 9,949 | 13,923 | ||
Loans not deemed impaired | 1,694,190 | 1,657,721 | ||
Total loans | 1,705,319 | 1,673,248 | ||
Commercial real estate loans | Investor non-owner occupied | Receivables acquired with deteriorated credit quality | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans acquired with deteriorated credit quality | 0 | 0 | ||
Loans acquired with deteriorated credit quality | 1,180 | 1,604 | ||
Commercial real estate loans and consumer | Construction | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans individually evaluated and deemed impaired | 0 | 147 | ||
Allowance related to loans collectively evaluated and not deemed impaired | 1,913 | 1,748 | ||
Total allowance for loan losses | 1,913 | 1,895 | 1,470 | 829 |
Loans deemed impaired | 3,325 | 4,660 | ||
Loans not deemed impaired | 149,403 | 166,346 | ||
Total loans | 152,728 | 171,006 | ||
Commercial real estate loans and consumer | Construction | Receivables acquired with deteriorated credit quality | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans acquired with deteriorated credit quality | 0 | 0 | ||
Loans acquired with deteriorated credit quality | 0 | 0 | ||
Commercial business loans | Commercial business loans | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans individually evaluated and deemed impaired | 646 | 121 | ||
Allowance related to loans collectively evaluated and not deemed impaired | 7,862 | 5,531 | ||
Total allowance for loan losses | 8,730 | 5,827 | 5,808 | 3,394 |
Loans deemed impaired | 7,812 | 13,035 | ||
Loans not deemed impaired | 715,436 | 588,982 | ||
Total loans | 724,557 | 603,332 | ||
Commercial business loans | Commercial business loans | Receivables acquired with deteriorated credit quality | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans acquired with deteriorated credit quality | 222 | 175 | ||
Loans acquired with deteriorated credit quality | 1,309 | 1,315 | ||
Consumer loans | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Total loans | 1,956,326 | 1,885,345 | ||
Consumer loans | Residential real estate | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans individually evaluated and deemed impaired | 68 | 74 | ||
Allowance related to loans collectively evaluated and not deemed impaired | 7,786 | 7,727 | ||
Total allowance for loan losses | 7,854 | 7,801 | 5,998 | 4,571 |
Loans deemed impaired | 16,563 | 16,036 | ||
Loans not deemed impaired | 1,139,664 | 1,163,879 | ||
Total loans | 1,156,227 | 1,179,915 | ||
Consumer loans | Residential real estate | Receivables acquired with deteriorated credit quality | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans acquired with deteriorated credit quality | 0 | 0 | ||
Loans acquired with deteriorated credit quality | 0 | 0 | ||
Consumer loans | Home equity | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans individually evaluated and deemed impaired | 0 | 0 | ||
Allowance related to loans collectively evaluated and not deemed impaired | 2,858 | 2,391 | ||
Total allowance for loan losses | 2,858 | 2,391 | 1,929 | 1,825 |
Loans deemed impaired | 6,910 | 4,556 | ||
Loans not deemed impaired | 529,862 | 426,726 | ||
Total loans | 536,772 | 431,282 | ||
Consumer loans | Home equity | Receivables acquired with deteriorated credit quality | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans acquired with deteriorated credit quality | 0 | 0 | ||
Loans acquired with deteriorated credit quality | 0 | 0 | ||
Consumer loans | Other consumer | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans individually evaluated and deemed impaired | 0 | 0 | ||
Allowance related to loans collectively evaluated and not deemed impaired | 1,353 | 146 | ||
Total allowance for loan losses | 1,353 | 146 | 75 | 29 |
Loans deemed impaired | 2,220 | 8 | ||
Loans not deemed impaired | 205,136 | 230,061 | ||
Total loans | 209,393 | 233,064 | ||
Consumer loans | Other consumer | Receivables acquired with deteriorated credit quality | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans acquired with deteriorated credit quality | 0 | 0 | ||
Loans acquired with deteriorated credit quality | 2,037 | 2,995 | ||
Unallocated | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans individually evaluated and deemed impaired | 0 | 0 | ||
Allowance related to loans collectively evaluated and not deemed impaired | 1,456 | 794 | ||
Total allowance for loan losses | 1,456 | 794 | $ 111 | $ 247 |
Loans deemed impaired | 0 | 0 | ||
Loans not deemed impaired | 0 | 0 | ||
Total loans | 0 | 0 | ||
Unallocated | Receivables acquired with deteriorated credit quality | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Allowance related to loans acquired with deteriorated credit quality | 0 | 0 | ||
Loans acquired with deteriorated credit quality | $ 0 | $ 0 |
LOANS RECEIVABLE AND ALLOWANC70
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Summary of Past Due and Non-Accrual Loans (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Owner-occupied CRE | ||
Total Past Due | $ 35,424 | $ 40,948 |
Past Due 90 Days or More and Still Accruing | 750 | 307 |
Loans on Non-accrual | 34,063 | 37,802 |
30-59 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 12,560 | 15,327 |
60-89 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 1,876 | 6,165 |
Past Due 90 Days or More | ||
Owner-occupied CRE | ||
Total Past Due | 20,988 | 19,456 |
Commercial real estate loans | Owner occupied | ||
Owner-occupied CRE | ||
Total Past Due | 2,164 | 2,596 |
Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans on Non-accrual | 2,733 | 3,055 |
Commercial real estate loans | Owner occupied | 30-59 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 482 | 900 |
Commercial real estate loans | Owner occupied | 60-89 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 15 | 191 |
Commercial real estate loans | Owner occupied | Past Due 90 Days or More | ||
Owner-occupied CRE | ||
Total Past Due | 1,667 | 1,505 |
Commercial real estate loans | Investor non-owner occupied | ||
Owner-occupied CRE | ||
Total Past Due | 6,141 | 10,171 |
Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans on Non-accrual | 4,858 | 8,565 |
Commercial real estate loans | Investor non-owner occupied | 30-59 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 2,184 | 3,154 |
Commercial real estate loans | Investor non-owner occupied | 60-89 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 697 | 2,498 |
Commercial real estate loans | Investor non-owner occupied | Past Due 90 Days or More | ||
Owner-occupied CRE | ||
Total Past Due | 3,260 | 4,519 |
Commercial real estate loans and consumer | Construction | ||
Owner-occupied CRE | ||
Total Past Due | 2,642 | 2,798 |
Past Due 90 Days or More and Still Accruing | 0 | 0 |
Loans on Non-accrual | 2,138 | 2,808 |
Commercial real estate loans and consumer | Construction | 30-59 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 709 | 214 |
Commercial real estate loans and consumer | Construction | 60-89 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 0 | 449 |
Commercial real estate loans and consumer | Construction | Past Due 90 Days or More | ||
Owner-occupied CRE | ||
Total Past Due | 1,933 | 2,135 |
Commercial business loans | Commercial business loans | ||
Owner-occupied CRE | ||
Total Past Due | 5,703 | 3,596 |
Past Due 90 Days or More and Still Accruing | 38 | 66 |
Loans on Non-accrual | 2,409 | 4,244 |
Commercial business loans | Commercial business loans | 30-59 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 3,289 | 526 |
Commercial business loans | Commercial business loans | 60-89 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 41 | 266 |
Commercial business loans | Commercial business loans | Past Due 90 Days or More | ||
Owner-occupied CRE | ||
Total Past Due | 2,373 | 2,804 |
Consumer loans | Residential real estate | ||
Owner-occupied CRE | ||
Total Past Due | 10,711 | 17,555 |
Past Due 90 Days or More and Still Accruing | 308 | 238 |
Loans on Non-accrual | 14,393 | 14,056 |
Consumer loans | Residential real estate | 30-59 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 2,826 | 8,507 |
Consumer loans | Residential real estate | 60-89 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 22 | 2,112 |
Consumer loans | Residential real estate | Past Due 90 Days or More | ||
Owner-occupied CRE | ||
Total Past Due | 7,863 | 6,936 |
Consumer loans | Home equity | ||
Owner-occupied CRE | ||
Total Past Due | 5,751 | 4,204 |
Past Due 90 Days or More and Still Accruing | 56 | 0 |
Loans on Non-accrual | 5,330 | 5,066 |
Consumer loans | Home equity | 30-59 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 2,232 | 2,009 |
Consumer loans | Home equity | 60-89 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 722 | 646 |
Consumer loans | Home equity | Past Due 90 Days or More | ||
Owner-occupied CRE | ||
Total Past Due | 2,797 | 1,549 |
Consumer loans | Other consumer | ||
Owner-occupied CRE | ||
Total Past Due | 2,312 | 28 |
Past Due 90 Days or More and Still Accruing | 348 | 3 |
Loans on Non-accrual | 2,202 | 8 |
Consumer loans | Other consumer | 30-59 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 838 | 17 |
Consumer loans | Other consumer | 60-89 Days Past Due | ||
Owner-occupied CRE | ||
Total Past Due | 379 | 3 |
Consumer loans | Other consumer | Past Due 90 Days or More | ||
Owner-occupied CRE | ||
Total Past Due | $ 1,095 | $ 8 |
LOANS RECEIVABLE AND ALLOWANC71
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Summary of Impaired Loans with and without Valuation Allowance (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Owner-occupied CRE | ||
Recorded Investment, Impaired loans without a valuation allowance | $ 44,789 | $ 54,359 |
Unpaid Principal Balance, Impaired loans without a valuation allowance | 53,139 | 64,567 |
Recorded Investment, Impaired loans with a valuation allowance | 5,321 | 1,896 |
Unpaid Principal Balance, Impaired loans with a valuation allowance | 5,435 | 1,911 |
Recorded Investment, Total impaired loans | 50,110 | 56,255 |
Unpaid Principal Balance, Total impaired loans | 58,574 | 66,478 |
Allowance related to loans individually evaluated and deemed impaired | 714 | 342 |
Commercial real estate loans | Owner occupied | ||
Owner-occupied CRE | ||
Recorded Investment, Impaired loans without a valuation allowance | 3,331 | 4,037 |
Unpaid Principal Balance, Impaired loans without a valuation allowance | 4,107 | 5,370 |
Recorded Investment, Total impaired loans | 3,331 | 4,037 |
Allowance related to loans individually evaluated and deemed impaired | 0 | 0 |
Commercial real estate loans | Investor non-owner occupied | ||
Owner-occupied CRE | ||
Recorded Investment, Impaired loans without a valuation allowance | 9,949 | 13,923 |
Unpaid Principal Balance, Impaired loans without a valuation allowance | 10,601 | 15,011 |
Recorded Investment, Total impaired loans | 9,949 | 13,923 |
Allowance related to loans individually evaluated and deemed impaired | 0 | 0 |
Commercial real estate loans and consumer | Construction | ||
Owner-occupied CRE | ||
Recorded Investment, Impaired loans without a valuation allowance | 3,325 | 4,442 |
Unpaid Principal Balance, Impaired loans without a valuation allowance | 5,051 | 6,869 |
Recorded Investment, Impaired loans with a valuation allowance | 0 | 218 |
Unpaid Principal Balance, Impaired loans with a valuation allowance | 0 | 218 |
Recorded Investment, Total impaired loans | 3,325 | 4,660 |
Allowance related to loans individually evaluated and deemed impaired | 0 | 147 |
Commercial business loans | Commercial business loans | ||
Owner-occupied CRE | ||
Recorded Investment, Impaired loans without a valuation allowance | 3,742 | 12,634 |
Unpaid Principal Balance, Impaired loans without a valuation allowance | 4,856 | 14,477 |
Recorded Investment, Impaired loans with a valuation allowance | 4,070 | 401 |
Unpaid Principal Balance, Impaired loans with a valuation allowance | 4,168 | 401 |
Recorded Investment, Total impaired loans | 7,812 | 13,035 |
Allowance related to loans individually evaluated and deemed impaired | 646 | 121 |
Consumer loans | Residential real estate | ||
Owner-occupied CRE | ||
Recorded Investment, Impaired loans without a valuation allowance | 15,312 | 14,056 |
Unpaid Principal Balance, Impaired loans without a valuation allowance | 18,440 | 16,876 |
Recorded Investment, Impaired loans with a valuation allowance | 1,251 | 1,277 |
Unpaid Principal Balance, Impaired loans with a valuation allowance | 1,267 | 1,292 |
Recorded Investment, Total impaired loans | 16,563 | 16,036 |
Allowance related to loans individually evaluated and deemed impaired | 68 | 74 |
Consumer loans | Home equity | ||
Owner-occupied CRE | ||
Recorded Investment, Impaired loans without a valuation allowance | 6,910 | 5,259 |
Unpaid Principal Balance, Impaired loans without a valuation allowance | 7,864 | 5,953 |
Recorded Investment, Total impaired loans | 6,910 | 4,556 |
Allowance related to loans individually evaluated and deemed impaired | 0 | 0 |
Consumer loans | Other consumer | ||
Owner-occupied CRE | ||
Recorded Investment, Impaired loans without a valuation allowance | 2,220 | 8 |
Unpaid Principal Balance, Impaired loans without a valuation allowance | 2,220 | 11 |
Recorded Investment, Total impaired loans | 2,220 | 8 |
Allowance related to loans individually evaluated and deemed impaired | $ 0 | $ 0 |
LOANS RECEIVABLE AND ALLOWANC72
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Average Recorded Investment in Impaired Loans (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Owner-occupied CRE | |||
Average Recorded Investment without a valuation allowance | $ 54,701 | $ 48,280 | $ 30,432 |
Interest Income Recognized without a valuation allowance | 1,921 | 2,040 | 938 |
Commercial real estate loans | Owner occupied | |||
Owner-occupied CRE | |||
Average Recorded Investment without a valuation allowance | 3,924 | 2,258 | 2,711 |
Interest Income Recognized without a valuation allowance | 150 | 144 | 235 |
Commercial real estate loans | Investor non-owner occupied | |||
Owner-occupied CRE | |||
Average Recorded Investment without a valuation allowance | 11,363 | 16,166 | 9,157 |
Interest Income Recognized without a valuation allowance | 447 | 550 | 49 |
Commercial real estate loans and consumer | Construction | |||
Owner-occupied CRE | |||
Average Recorded Investment without a valuation allowance | 4,087 | 3,784 | 2,646 |
Interest Income Recognized without a valuation allowance | 124 | 299 | 81 |
Commercial business loans | Commercial business loans | |||
Owner-occupied CRE | |||
Average Recorded Investment without a valuation allowance | 12,167 | 7,835 | 3,087 |
Interest Income Recognized without a valuation allowance | 282 | 431 | 121 |
Consumer loans | Residential real estate | |||
Owner-occupied CRE | |||
Average Recorded Investment without a valuation allowance | 16,485 | 14,645 | 10,833 |
Interest Income Recognized without a valuation allowance | 715 | 579 | 439 |
Consumer loans | Home equity | |||
Owner-occupied CRE | |||
Average Recorded Investment without a valuation allowance | 5,856 | 3,568 | 1,888 |
Interest Income Recognized without a valuation allowance | 202 | 37 | 12 |
Consumer loans | Other consumer | |||
Owner-occupied CRE | |||
Average Recorded Investment without a valuation allowance | 819 | 24 | 110 |
Interest Income Recognized without a valuation allowance | $ 1 | $ 0 | $ 1 |
LOANS RECEIVABLE AND ALLOWANC73
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Summary of Troubled Debt Restructurings (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
Non-accrual status | $ 34,063 | $ 37,802 | |
Troubled Debt Restructurings | |||
Impaired Financing Receivable, Recorded Investment [Abstract] | |||
Accrual status | 16,048 | 18,453 | |
Non-accrual status | 7,304 | 5,611 | |
Total recorded investment in TDRs | 23,352 | 24,064 | $ 9,200 |
Accruing TDRs performing under modified terms more than one year | 10,020 | 5,821 | |
Specific reserves for TDRs included in the balance of allowance for loan losses | 714 | 223 | |
Additional funds committed to borrowers in TDR status | $ 3 | $ 513 |
LOANS RECEIVABLE AND ALLOWANC74
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Troubled Debt Restructurings (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016USD ($)contract | Dec. 31, 2015USD ($)contract | |
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 47 | 50 |
Pre-Modification Outstanding Recorded Investment | $ 6,778 | $ 15,167 |
Post-Modification Outstanding Recorded Investment | $ 8,774 | $ 15,677 |
Commercial real estate loans | Owner occupied | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 5 | 0 |
Pre-Modification Outstanding Recorded Investment | $ 654 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 666 | $ 0 |
Commercial real estate loans | Investor non-owner occupied | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 0 | 2 |
Pre-Modification Outstanding Recorded Investment | $ 0 | $ 791 |
Post-Modification Outstanding Recorded Investment | $ 0 | $ 791 |
Commercial real estate loans and consumer | Construction | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 2 | 2 |
Pre-Modification Outstanding Recorded Investment | $ 67 | $ 564 |
Post-Modification Outstanding Recorded Investment | $ 67 | $ 564 |
Commercial business loans | Commercial business loans | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 8 | 8 |
Pre-Modification Outstanding Recorded Investment | $ 3,033 | $ 9,180 |
Post-Modification Outstanding Recorded Investment | $ 5,006 | $ 9,680 |
Consumer loans | Residential real estate | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 13 | 19 |
Pre-Modification Outstanding Recorded Investment | $ 1,320 | $ 3,019 |
Post-Modification Outstanding Recorded Investment | $ 1,329 | $ 3,040 |
Consumer loans | Home equity | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 18 | 19 |
Pre-Modification Outstanding Recorded Investment | $ 1,572 | $ 1,613 |
Post-Modification Outstanding Recorded Investment | $ 1,574 | $ 1,602 |
Consumer loans | Other consumer | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 1 | 0 |
Pre-Modification Outstanding Recorded Investment | $ 132 | $ 0 |
Post-Modification Outstanding Recorded Investment | $ 132 | $ 0 |
LOANS RECEIVABLE AND ALLOWANC75
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Summary of How Loans Were Modified as TDRs (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | $ 8,774 | $ 15,677 |
Extended Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 2,970 | 10,775 |
Adjusted Interest Rates | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 261 | 1,202 |
Adjusted Rate and Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 1,884 | 1,919 |
Payment Deferral | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 1,513 | 814 |
Other | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 150 | 967 |
Commercial real estate loans | Owner occupied | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 666 | 0 |
Commercial real estate loans | Owner occupied | Extended Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 510 | |
Commercial real estate loans | Owner occupied | Adjusted Interest Rates | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | |
Commercial real estate loans | Owner occupied | Adjusted Rate and Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 86 | |
Commercial real estate loans | Owner occupied | Payment Deferral | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | |
Commercial real estate loans | Owner occupied | Other | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 58 | |
Commercial real estate loans | Investor non-owner occupied | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 791 |
Commercial real estate loans | Investor non-owner occupied | Extended Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 538 | |
Commercial real estate loans | Investor non-owner occupied | Adjusted Interest Rates | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | |
Commercial real estate loans | Investor non-owner occupied | Adjusted Rate and Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 253 | |
Commercial real estate loans | Investor non-owner occupied | Payment Deferral | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | |
Commercial real estate loans | Investor non-owner occupied | Other | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | |
Commercial real estate loans and consumer | Construction | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 67 | 564 |
Commercial real estate loans and consumer | Construction | Extended Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 23 | 564 |
Commercial real estate loans and consumer | Construction | Adjusted Interest Rates | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 0 |
Commercial real estate loans and consumer | Construction | Adjusted Rate and Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 44 | 0 |
Commercial real estate loans and consumer | Construction | Payment Deferral | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 0 |
Commercial real estate loans and consumer | Construction | Other | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 0 |
Commercial business loans | Commercial business loans | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 5,006 | 9,680 |
Commercial business loans | Commercial business loans | Extended Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 2,350 | 9,673 |
Commercial business loans | Commercial business loans | Adjusted Interest Rates | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 0 |
Commercial business loans | Commercial business loans | Adjusted Rate and Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 243 | 7 |
Commercial business loans | Commercial business loans | Payment Deferral | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 348 | 0 |
Commercial business loans | Commercial business loans | Other | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 92 | 0 |
Consumer loans | Residential real estate | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 1,329 | 3,040 |
Consumer loans | Residential real estate | Extended Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 87 | 0 |
Consumer loans | Residential real estate | Adjusted Interest Rates | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 1,202 |
Consumer loans | Residential real estate | Adjusted Rate and Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 672 | 521 |
Consumer loans | Residential real estate | Payment Deferral | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 561 | 786 |
Consumer loans | Residential real estate | Other | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 549 |
Consumer loans | Home equity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 1,574 | 1,602 |
Consumer loans | Home equity | Extended Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 0 |
Consumer loans | Home equity | Adjusted Interest Rates | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 261 | 0 |
Consumer loans | Home equity | Adjusted Rate and Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 707 | 1,138 |
Consumer loans | Home equity | Payment Deferral | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 604 | 28 |
Consumer loans | Home equity | Other | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 418 |
Consumer loans | Other consumer | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 132 | 0 |
Consumer loans | Other consumer | Extended Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 0 |
Consumer loans | Other consumer | Adjusted Interest Rates | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 0 |
Consumer loans | Other consumer | Adjusted Rate and Maturity | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 132 | 0 |
Consumer loans | Other consumer | Payment Deferral | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | 0 | 0 |
Consumer loans | Other consumer | Other | ||
Financing Receivable, Modifications [Line Items] | ||
Post-Modification Outstanding Recorded Investment | $ 0 | $ 0 |
LOANS RECEIVABLE AND ALLOWANC76
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Summary of Loans Modified as TDRs within Previous 12 Months and Payment Default (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016USD ($)contract | Dec. 31, 2015USD ($)contract | |
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 6 | 7 |
Recorded Investment | $ | $ 1,102 | $ 1,575 |
Consumer loans | Residential real estate | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 3 | 5 |
Recorded Investment | $ | $ 456 | $ 769 |
Consumer loans | Home equity | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 1 | 0 |
Recorded Investment | $ | $ 151 | $ 0 |
Commercial real estate loans | Investor non-owner occupied | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 0 | 2 |
Recorded Investment | $ | $ 0 | $ 806 |
Commercial business loans | Commercial business loans | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Contracts | contract | 2 | 0 |
Recorded Investment | $ | $ 495 | $ 0 |
LOANS RECEIVABLE AND ALLOWANC77
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Company's Loans by Risk Rating (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | $ 4,901,714 | $ 4,613,931 |
Commercial real estate loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 2,220,831 | 2,125,254 |
Commercial real estate loans | Owner occupied | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 416,718 | 322,084 |
Commercial real estate loans | Owner occupied | Loans rated 1 — 5 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 388,389 | 298,509 |
Commercial real estate loans | Owner occupied | Loans rated 6 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 7,139 | 10,074 |
Commercial real estate loans | Owner occupied | Loans rated 7 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 21,190 | 13,501 |
Commercial real estate loans | Owner occupied | Loans rated 8 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Commercial real estate loans | Owner occupied | Loans rated 9 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Commercial real estate loans | Investor non-owner occupied | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 1,705,319 | 1,673,248 |
Commercial real estate loans | Investor non-owner occupied | Loans rated 1 — 5 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 1,656,256 | 1,610,582 |
Commercial real estate loans | Investor non-owner occupied | Loans rated 6 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 18,040 | 38,448 |
Commercial real estate loans | Investor non-owner occupied | Loans rated 7 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 31,023 | 24,218 |
Commercial real estate loans | Investor non-owner occupied | Loans rated 8 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Commercial real estate loans | Investor non-owner occupied | Loans rated 9 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Commercial real estate loans and consumer | Construction | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 152,728 | 171,006 |
Commercial real estate loans and consumer | Construction | Loans rated 1 — 5 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 150,411 | 156,607 |
Commercial real estate loans and consumer | Construction | Loans rated 6 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 204 | 10,860 |
Commercial real estate loans and consumer | Construction | Loans rated 7 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 2,113 | 3,539 |
Commercial real estate loans and consumer | Construction | Loans rated 8 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Commercial real estate loans and consumer | Construction | Loans rated 9 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Commercial business loans | Commercial business loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 724,557 | 603,332 |
Commercial business loans | Commercial business loans | Loans rated 1 — 5 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 698,458 | 568,248 |
Commercial business loans | Commercial business loans | Loans rated 6 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 7,466 | 8,382 |
Commercial business loans | Commercial business loans | Loans rated 7 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 18,633 | 26,655 |
Commercial business loans | Commercial business loans | Loans rated 8 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 47 |
Commercial business loans | Commercial business loans | Loans rated 9 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Consumer loans | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 1,956,326 | 1,885,345 |
Consumer loans | Residential real estate | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 1,156,227 | 1,179,915 |
Consumer loans | Residential real estate | Loans rated 1 — 5 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 1,139,662 | 1,162,393 |
Consumer loans | Residential real estate | Loans rated 6 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 1,267 | 1,355 |
Consumer loans | Residential real estate | Loans rated 7 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 15,298 | 16,167 |
Consumer loans | Residential real estate | Loans rated 8 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Consumer loans | Residential real estate | Loans rated 9 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Consumer loans | Home equity | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 536,772 | 431,282 |
Consumer loans | Home equity | Loans rated 1 — 5 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 531,359 | 426,702 |
Consumer loans | Home equity | Loans rated 6 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 24 |
Consumer loans | Home equity | Loans rated 7 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 5,413 | 4,553 |
Consumer loans | Home equity | Loans rated 8 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Consumer loans | Home equity | Loans rated 9 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 3 |
Consumer loans | Other consumer | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 209,393 | 233,064 |
Consumer loans | Other consumer | Loans rated 1 — 5 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 207,193 | 233,054 |
Consumer loans | Other consumer | Loans rated 6 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Consumer loans | Other consumer | Loans rated 7 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 2,200 | 10 |
Consumer loans | Other consumer | Loans rated 8 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | 0 | 0 |
Consumer loans | Other consumer | Loans rated 9 | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Total real estate loans | $ 0 | $ 0 |
LOANS RECEIVABLE AND ALLOWANC78
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Changes in Loans Outstanding to Related Parties (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Changes in Loans Outstanding, Related Parties | ||
Balance, beginning of year | $ 2,645 | $ 3,722 |
Loans related to parties who terminated service during the year | 0 | (924) |
Additional loans and advances | 390 | 875 |
Repayments | (750) | (1,028) |
Balance, end of year | $ 2,285 | $ 2,645 |
LOANS RECEIVABLE AND ALLOWANC79
LOANS RECEIVABLE AND ALLOWANCE FOR LOAN LOSSES - Summary of Mortgage Servicing Rights Capitalized and Amortized (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Mortgage servicing rights: | |||
Balance at beginning of year | $ 7,074 | $ 4,729 | $ 4,103 |
Issuances/additions | 2,463 | 2,931 | 1,131 |
Change in fair value recognized in income | 567 | (586) | (1,269) |
Balance at end of year | 10,104 | 7,074 | 4,729 |
Legacy United | |||
Mortgage servicing rights: | |||
Issuances/additions | $ 0 | $ 0 | $ 764 |
PREMISES AND EQUIPMENT - Premis
PREMISES AND EQUIPMENT - Premises and Equipment (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 84,072 | $ 82,656 |
Accumulated depreciation and amortization | (32,315) | (27,877) |
Premises and equipment, net | $ 51,757 | 54,779 |
Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 3 years | |
Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 39 years 6 months | |
Land and improvements | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 964 | 950 |
Land and improvements | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 15 years | |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 39,809 | 40,375 |
Buildings | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 10 years | |
Buildings | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 39 years 6 months | |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 29,310 | 27,468 |
Furniture and equipment | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 3 years | |
Furniture and equipment | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 10 years | |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 9,838 | 8,961 |
Leasehold improvements | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 5 years | |
Leasehold improvements | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 10 years | |
Assets under capitalized leases | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, gross | $ 4,151 | $ 4,902 |
Assets under capitalized leases | Minimum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 5 years | |
Assets under capitalized leases | Maximum | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment, estimated useful life | 10 years |
PREMISES AND EQUIPMENT - Additi
PREMISES AND EQUIPMENT - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation and amortization | $ 5,516 | $ 5,340 | $ 3,762 |
OTHER ASSETS - Additional Infor
OTHER ASSETS - Additional Information (Details) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Deferred Costs, Capitalized, Prepaid, and Other Assets Disclosure [Abstract] | ||||
Current tax receivable | $ 237 | $ 4,770 | ||
Partnership investments | 31,271 | 21,441 | ||
Mortgage servicing rights | 10,104 | 7,074 | $ 4,729 | $ 4,103 |
Derivative assets | 11,734 | 12,910 | ||
Other real estate owned | 1,890 | 755 | ||
Other | 9,850 | 12,786 | ||
Total other assets | $ 65,086 | $ 59,736 |
DEPOSITS - Summary of Deposits
DEPOSITS - Summary of Deposits (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Banking and Thrift [Abstract] | ||
Demand and NOW | $ 1,206,722 | $ 1,019,161 |
Regular savings | 518,820 | 508,377 |
Money markets | 1,222,952 | 1,182,422 |
Time deposits | 1,762,678 | 1,727,111 |
Total deposits | $ 4,711,172 | $ 4,437,071 |
DEPOSITS - Additional Informati
DEPOSITS - Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2016 | Dec. 31, 2015 |
Banking and Thrift [Abstract] | ||
Time deposits in denominations of $250,000 or more | $ 474 | $ 253.7 |
Brokered time deposits | 215.7 | 392 |
Brokered money market deposits | $ 367.4 | $ 123.1 |
DEPOSITS - Summary of Contractu
DEPOSITS - Summary of Contractual Maturities of Time Deposits (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Banking and Thrift [Abstract] | ||
2,017 | $ 1,138,996 | |
2,018 | 480,998 | |
2,019 | 36,136 | |
2,020 | 82,276 | |
2,021 | 24,272 | |
Contractual maturities of time deposits, Total | $ 1,762,678 | $ 1,727,111 |
BORROWINGS - Contractual Maturi
BORROWINGS - Contractual Maturities and Weighted-Average Rates of Outstanding Advances (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Federal Home Loan Bank, Advances, Fiscal Year Maturity [Abstract] | ||
2,016 | $ 0 | $ 637,580 |
2,017 | 803,000 | 151,000 |
2,018 | 139,792 | 120,795 |
2,019 | 20,000 | 20,000 |
2,020 | 33,000 | 11,458 |
2,021 | 30,000 | 0 |
Thereafter | 19,182 | 4,672 |
Total federal home loan bank advances | $ 1,044,974 | $ 945,505 |
Weighted-Average rate in 2016 | 0.00% | 0.60% |
Weighted-Average rate in 2017 | 0.94% | 1.76% |
Weighted-Average rate in 2018 | 1.48% | 1.54% |
Weighted-Average rate in 2019 | 1.45% | 1.63% |
Weighted-Average rate in 2020 | 0.86% | 0.47% |
Weighted-Average rate in 2021 | 0.59% | 0.00% |
Weighted-Average rate Thereafter | 0.89% | 2.35% |
Weighted Average | ||
Federal Home Loan Bank, Advances, Fiscal Year Maturity [Abstract] | ||
FHLBB, advances, branch of FHLB bank, interest rate | 0.99% | 0.93% |
BORROWINGS - Additional Informa
BORROWINGS - Additional Information (Detail) | 12 Months Ended | ||||
Dec. 31, 2016USD ($)loancounterpartyadvance | Dec. 31, 2015USD ($) | Sep. 23, 2014USD ($) | May 01, 2014USD ($) | Apr. 30, 2014USD ($)Transferleased_bank_branch | |
Fair Value, Option, Qualitative Disclosures Related to Election [Line Items] | |||||
Advances from FHLBB | $ 1,050,000,000 | $ 949,000,000 | |||
Fair value adjustment on FHLBB advances acquired in the Merger | 1,700,000 | 3,500,000 | |||
Estimated eligible collateral value | 1,410,000,000 | 1,260,000,000 | |||
Unused line of credit | 10,000,000 | 10,000,000 | |||
Additional borrowings | $ 277,400,000 | ||||
Percent of aggregate principal amount | 0.35% | ||||
Borrowings from the FHLBB (percent) | 4.50% | ||||
Federal Home Loan Bank Stock | $ 53,476,000 | 51,196,000 | |||
Other borrowings | 122,907,000 | 150,017,000 | |||
Borrowings acquired in the Merger | 1,700,000 | $ 2,800,000 | |||
Number of transfers | Transfer | 2 | ||||
Number of leased bank branches | leased_bank_branch | 3 | ||||
Capital lease obligations | 4,300,000 | ||||
Subordinated Debt | |||||
Fair Value, Option, Qualitative Disclosures Related to Election [Line Items] | |||||
Junior subordinated debt, face amount | $ 7,700,000 | ||||
Fair value acquisition discount | $ 2,000,000 | 2,100,000 | $ 2,300,000 | ||
Basis spread on variable rate | 1.85% | ||||
Percentage of other borrowings at cost | 2.85% | ||||
Wholesale Reverse Repurchase Agreements | |||||
Fair Value, Option, Qualitative Disclosures Related to Election [Line Items] | |||||
Other borrowings | $ 20,000,000 | $ 45,000,000 | |||
Number of individual borrowings, wholesale reverse purchase agreements | loan | 2 | ||||
Wholesale reverse repurchase agreements, remaining term | 3 years | ||||
Weighted average cost (percent) | 2.59% | 1.51% | |||
Retail Repurchase Agreements | |||||
Fair Value, Option, Qualitative Disclosures Related to Election [Line Items] | |||||
Other borrowings | $ 18,900,000 | $ 19,300,000 | |||
Subordinated Notes Due October 2024 | Subordinated Debt | |||||
Fair Value, Option, Qualitative Disclosures Related to Election [Line Items] | |||||
Subordinated notes, face amount | $ 75,000,000 | ||||
Subordinated notes, stated interest rate | 5.75% | ||||
Subordinated notes, carrying value | $ 74,000,000 | $ 73,900,000 | |||
Brokered Sweep Deposit | |||||
Fair Value, Option, Qualitative Disclosures Related to Election [Line Items] | |||||
Percentage of other borrowings at cost | 0.58% | 0.45% | |||
Other borrowings | $ 367,400,000 | $ 123,100,000 | |||
Number of counterparties to unused federal funds lines of credit | counterparty | 4 | ||||
Unused federal funds lines of credit | $ 107,500,000 | ||||
Federal Home Loan Bank, Advances, Callable Option | |||||
Fair Value, Option, Qualitative Disclosures Related to Election [Line Items] | |||||
Advances from FHLBB | $ 93,000,000 | ||||
Number of advances | advance | 8 | ||||
Federal Home Loan Bank, Advances, Callable Option | Minimum | |||||
Fair Value, Option, Qualitative Disclosures Related to Election [Line Items] | |||||
Federal home loan bank advances interest rate at period end | 0.39% | ||||
Federal Home Loan Bank, Advances, Callable Option | Maximum | |||||
Fair Value, Option, Qualitative Disclosures Related to Election [Line Items] | |||||
Federal home loan bank advances interest rate at period end | 4.49% |
BORROWINGS - Outstanding Borrow
BORROWINGS - Outstanding Borrowings Under Repurchase Agreement (Details) - US Treasury and Government - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Assets Sold under Agreements to Repurchase [Line Items] | ||
Borrowings under repurchase agreements | $ 38,897 | $ 64,278 |
Overnight | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Borrowings under repurchase agreements | 18,897 | 19,278 |
Up to 1 Year | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Borrowings under repurchase agreements | 0 | 25,000 |
1 - 3 Years | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Borrowings under repurchase agreements | 20,000 | 20,000 |
Greater than 3 Years | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Borrowings under repurchase agreements | $ 0 | $ 0 |
INCOME TAXES - Components of In
INCOME TAXES - Components of Income Tax Expense (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Current tax provision (benefit): | |||||||||||
Federal | $ 6,262 | $ 1,302 | $ (13,905) | ||||||||
State | 2,202 | 1,345 | 311 | ||||||||
Total current | 8,464 | 2,647 | (13,594) | ||||||||
Deferred tax provision (benefit): | |||||||||||
Federal | (3,698) | 3,275 | 7,482 | ||||||||
State | (654) | 307 | (121) | ||||||||
State | (4,352) | 3,582 | 7,361 | ||||||||
Total income tax expense (benefit) | $ 906 | $ 757 | $ 665 | $ 1,784 | $ 169 | $ 952 | $ 2,123 | $ 2,985 | $ 4,112 | $ 6,229 | $ (6,233) |
INCOME TAXES - Summary of Provi
INCOME TAXES - Summary of Provision for Income Taxes (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||||||||||
Provision for income tax at statutory rate | $ 18,820 | $ 19,554 | $ 192 | ||||||||
Increase (decrease) resulting from: | |||||||||||
State income taxes, net of federal benefit | 1,006 | 1,074 | 124 | ||||||||
Increase in cash surrender value of bank-owned life insurance | (1,188) | (1,266) | (1,065) | ||||||||
Dividend received deduction | (544) | (471) | (276) | ||||||||
Tax exempt interest and disallowed interest expense | (3,726) | (3,826) | (1,740) | ||||||||
Employee Stock Ownership Plan | 28 | 25 | 153 | ||||||||
Nondeductible acquisition costs | 0 | 0 | 440 | ||||||||
Excess parachute payments | 0 | 442 | 1,615 | ||||||||
Investment tax credits | (10,541) | (8,649) | (5,596) | ||||||||
Other, net | 257 | (654) | (80) | ||||||||
Total income tax expense (benefit) | $ 906 | $ 757 | $ 665 | $ 1,784 | $ 169 | $ 952 | $ 2,123 | $ 2,985 | $ 4,112 | $ 6,229 | $ (6,233) |
Effective income tax rate (benefit) | 7.60% | 11.10% | (1135.30%) |
INCOME TAXES - Summary of Defer
INCOME TAXES - Summary of Deferred Tax Assets and Deferred Tax Liabilities (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Deferred tax assets: | ||
Loans | $ 17,980 | $ 14,558 |
Investment security losses | 97 | 150 |
Net unrealized losses on securities available for sale | 4,816 | 2,107 |
Net unrealized losses on interest rate swaps | 1,254 | 1,603 |
Pension, deferred compensation and post-retirement liabilities | 3,010 | 2,723 |
Stock incentive award plan | 1,939 | 2,044 |
Deposits - purchase accounting adjustment | 369 | 891 |
Accrued expenses | 8,799 | 8,043 |
Tax attributes | 7,938 | 3,539 |
Other | 0 | 3,166 |
Gross deferred tax assets | 46,202 | 38,824 |
Valuation allowance | (2,594) | (2,706) |
Gross deferred tax assets, net of valuation allowance | 43,608 | 36,118 |
Deferred tax liabilities: | ||
Other purchase accounting adjustments | (2,542) | (3,024) |
Other | (1,104) | 0 |
Gross deferred tax liabilities | (3,646) | (3,024) |
Net deferred tax asset | $ 39,962 | $ 33,094 |
INCOME TAXES - Additional Infor
INCOME TAXES - Additional Information (Detail) - USD ($) | 12 Months Ended | |||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 | |
Operating Loss Carryforwards [Line Items] | ||||
Federal statutory income tax rate | 35.00% | 35.00% | 35.00% | |
Federal net operating loss | $ 1,500,000 | |||
Valuation allowance | 2,594,000 | $ 2,706,000 | ||
Tax credit carryforward | 12,500,000 | |||
Contingency reserve for loan losses | 3,800,000 | |||
Unrecognized deferred income taxes | 1,400,000 | |||
Uncertain tax positions | 497,000 | 375,000 | $ 252,000 | $ 0 |
Accrued interest and penalties | 0 | 0 | $ 0 | |
Investment Tax Credit Carryforward | ||||
Operating Loss Carryforwards [Line Items] | ||||
Tax credit carryforward | 10,100,000 | |||
Connecticut | ||||
Operating Loss Carryforwards [Line Items] | ||||
State net operating loss | $ 186,200,000 | $ 174,300,000 |
DERIVATIVES AND HEDGING ACTIV93
DERIVATIVES AND HEDGING ACTIVITIES - Schedule of Interest Rate Swap Agreements and Non-Hedging Derivative Assets and Liabilities (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Derivative [Line Items] | ||
Notional Amount | $ 1,411,564 | $ 1,167,425 |
Estimated Fair Value Net | (3,306) | (3,765) |
Designated as Hedging Instrument | Cash flow hedges | Forward starting interest rate swaps on future borrowings | ||
Derivative [Line Items] | ||
Notional Amount | $ 100,000 | $ 150,000 |
Weighted-Average Maturity (in years) | 7 years 4 months 10 days | 7 years 11 months 25 days |
Weighted-Average Interest Rate Swaps, Paid | 2.43% | 2.46% |
Estimated Fair Value Net | $ (483) | $ (2,072) |
Designated as Hedging Instrument | Cash flow hedges | Interest rate swaps | ||
Derivative [Line Items] | ||
Notional Amount | $ 240,000 | $ 280,000 |
Weighted-Average Maturity (in years) | 3 years 2 months 25 days | 2 years 7 months 25 days |
Weighted- Average Interest Rate Swaps, Rate Received | 0.91% | 0.46% |
Weighted-Average Interest Rate Swaps, Paid | 1.74% | 1.28% |
Estimated Fair Value Net | $ (2,719) | $ (2,020) |
Designated as Hedging Instrument | Fair value hedges | Interest rate swaps | ||
Derivative [Line Items] | ||
Notional Amount | $ 35,000 | $ 35,000 |
Weighted-Average Maturity (in years) | 8 months 21 days | 1 year 8 months 21 days |
Weighted- Average Interest Rate Swaps, Rate Received | 1.04% | 1.04% |
Weighted-Average Interest Rate Swaps, Paid | 0.82% | 0.48% |
Estimated Fair Value Net | $ 1 | $ 24 |
Not Designated as Hedging Instrument | Interest rate swaps | ||
Derivative [Line Items] | ||
Notional Amount | $ 7,500 | |
Weighted-Average Maturity (in years) | 9 years 6 months 15 days | |
Estimated Fair Value Net | $ (660) | |
Not Designated as Hedging Instrument | Forward loan sale commitments | ||
Derivative [Line Items] | ||
Notional Amount | $ 61,991 | $ 25,060 |
Weighted-Average Maturity (in years) | 0 years | 0 years |
Estimated Fair Value Net | $ 153 | $ (13) |
Not Designated as Hedging Instrument | Derivative loan commitments | ||
Derivative [Line Items] | ||
Notional Amount | $ 30,239 | $ 9,403 |
Weighted-Average Maturity (in years) | 0 years | 0 years |
Estimated Fair Value Net | $ 421 | $ 223 |
Not Designated as Hedging Instrument | Loan level swaps - dealer | ||
Derivative [Line Items] | ||
Notional Amount | $ 468,417 | $ 333,981 |
Weighted-Average Maturity (in years) | 7 years 8 months 30 days | 9 years 17 days |
Weighted- Average Interest Rate Swaps, Rate Received | 2.42% | 1.94% |
Weighted-Average Interest Rate Swaps, Paid | 3.84% | 3.93% |
Estimated Fair Value Net | $ (4,888) | $ (12,059) |
Not Designated as Hedging Instrument | Loan level swaps - borrowers | ||
Derivative [Line Items] | ||
Notional Amount | $ 468,417 | $ 333,981 |
Weighted-Average Maturity (in years) | 7 years 8 months 30 days | 9 years 17 days |
Weighted- Average Interest Rate Swaps, Rate Received | 3.84% | 3.93% |
Weighted-Average Interest Rate Swaps, Paid | 2.42% | 1.94% |
Estimated Fair Value Net | $ 4,869 | $ 12,152 |
DERIVATIVES AND HEDGING ACTIV94
DERIVATIVES AND HEDGING ACTIVITIES - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2016USD ($)counterpartyborrowerderivative | Dec. 31, 2015USD ($) | |
Derivative [Line Items] | ||
Notional amount | $ 1,411,564,000 | $ 1,167,425,000 |
Amount of collateral | 740,000 | 0 |
Fair value of net derivative, asset position | $ 13,200,000 | |
Number of counterparties above threshold | counterparty | 4 | |
Fair value of net derivative | $ 2,800,000 | 2,100,000 |
Minimum | ||
Derivative [Line Items] | ||
Amount of collateral | $ 9,000,000 | |
Interest Rate Contract | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Number of derivative instruments | derivative | 1 | |
Notional amount | $ 7,500,000 | |
Interest rate swaps | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Notional amount | $ 7,500,000 | |
Borrower | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Number of derivative instruments | derivative | 68 | |
Notional amount | $ 468,400,000 | |
Brokerage Activities | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Number of derivative instruments | derivative | 68 | |
Notional amount | $ 468,400,000 | |
Interest rate swap - risk participation agreement | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Number of derivative instruments | derivative | 5 | |
Number of counterparties | counterparty | 3 | |
Number of customers | borrower | 5 | |
Interest Rate Swap, Risk Participation Agreement, Credit Enhancements Provided By Counterparty | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Number of derivative instruments | derivative | 4 | |
Notional amount | $ 26,400,000 | |
Counterparty participation level, percent | 39.20% | |
Interest Rate Swap, Risk Participation Agreement, Credit Enhancements Provided By The Bank | Not Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Notional amount | $ 6,100,000 | |
Counterparty participation level, percent | 33.10% | |
Cash flow hedges | Interest Rate Contract | ||
Derivative [Line Items] | ||
Estimated gain (loss) to be reclassified to interest expense | $ (1,500,000) | |
Forecasted transactions period | 36 months | |
Cash flow hedges | Interest Rate Contract | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Number of derivative instruments | derivative | 9 | |
Notional amount | $ 340,000,000 | |
Cash flow hedges | Interest rate swaps | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Notional amount | 240,000,000 | 280,000,000 |
Fair value hedges | Interest rate swaps | ||
Derivative [Line Items] | ||
Net reduction to interest expense | $ 0 | 0 |
Fair value hedges | Interest rate swaps | Designated as Hedging Instrument | ||
Derivative [Line Items] | ||
Number of derivative instruments | derivative | 3 | |
Notional amount | $ 35,000,000 | $ 35,000,000 |
DERIVATIVES AND HEDGING ACTIV95
DERIVATIVES AND HEDGING ACTIVITIES - Tabular Disclosure of Fair Values of Derivative Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | $ 264 | $ 528 |
Derivative Liabilities | 3,465 | 4,596 |
Designated as Hedging Instrument | Cash flow hedges | Interest rate swaps | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 246 | 478 |
Designated as Hedging Instrument | Cash flow hedges | Interest rate swaps | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 3,448 | 4,570 |
Designated as Hedging Instrument | Fair value hedges | Interest rate swaps | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 18 | 50 |
Designated as Hedging Instrument | Fair value hedges | Interest rate swaps | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 17 | 26 |
Not Designated as Hedging Instrument | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 11,470 | 12,382 |
Derivative Liabilities | 11,575 | 12,079 |
Not Designated as Hedging Instrument | Forward loan sale commitments | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 204 | 7 |
Not Designated as Hedging Instrument | Forward loan sale commitments | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 51 | 20 |
Not Designated as Hedging Instrument | Derivative loan commitments | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 421 | 223 |
Not Designated as Hedging Instrument | Derivative loan commitments | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 0 | 0 |
Not Designated as Hedging Instrument | Interest rate swaps | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 0 | 0 |
Not Designated as Hedging Instrument | Interest rate swaps | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 660 | 0 |
Not Designated as Hedging Instrument | Interest rate swaps | With Customers | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 7,864 | 12,152 |
Not Designated as Hedging Instrument | Interest rate swaps | With Customers | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | 2,995 | 0 |
Not Designated as Hedging Instrument | Interest rate swaps | With Counterparties | Other Assets | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Assets | 2,981 | 0 |
Not Designated as Hedging Instrument | Interest rate swaps | With Counterparties | Other Liabilities | ||
Derivatives, Fair Value [Line Items] | ||
Derivative Liabilities | $ 7,869 | $ 12,059 |
DERIVATIVES AND HEDGING ACTIV96
DERIVATIVES AND HEDGING ACTIVITIES - Schedule of Effect of Derivative Financial Instruments on Income Statement (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Designated as Hedging Instrument | Interest rate swaps | Cash flow hedges | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Loss Recognized in OCI on Derivatives (Effective Portion) | $ (1,472) | $ (3,108) | $ (8,385) |
Amount of Loss Reclassified from AOCI into Income (Effective Portion) | (2,362) | (12) | 0 |
Designated as Hedging Instrument | Interest rate swaps | Fair value hedges | Interest income | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivatives | (23) | 106 | 101 |
Amount of Gain (Loss) Recognized in Income on Hedged Items | 25 | (106) | (101) |
Not Designated as Hedging Instrument | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivatives | (408) | 240 | 89 |
Not Designated as Hedging Instrument | Derivative loan commitments | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivatives | 198 | 10 | 193 |
Not Designated as Hedging Instrument | Forward loan sale commitments | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivatives | 166 | (1) | (33) |
Not Designated as Hedging Instrument | Interest rate swaps | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivatives | (772) | 231 | (70) |
Not Designated as Hedging Instrument | Interest rate swap - risk participation agreement | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Amount of Gain (Loss) Recognized in Income on Derivatives | $ 0 | $ 0 | $ (1) |
FAIR VALUE MEASUREMENT - Additi
FAIR VALUE MEASUREMENT - Additional Information (Detail) | 12 Months Ended | |
Dec. 31, 2016USD ($)securitytrust_security | Dec. 31, 2015USD ($) | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Residential real estate mortgage loans held for sale | $ 61,900,000 | $ 9,800,000 |
Loans held for sale, fair value | 62,500,000 | 10,100,000 |
Residential real estate mortgage loans held for sale, 90 days or more past due | 0 | 0 |
Transfers in and out of Level 1, Level 2 and Level 3 measurements | $ 0 | 0 |
Number of pooled trust securities | security | 1 | |
Fixed rate mortgage loans term (in years) | 30 years | |
Maturity period, term 1 (in years) | 10 years | |
Maturity period, term 2 (in years) | 15 years | |
Maturity period, term 3 (in years) | 20 years | |
Estimates fallout rate based upon historical average (percent) | 11.00% | |
Liabilities measured at fair value on a non-recurring basis | $ 0 | $ 0 |
Short-term investments, maturity period | 90 days | |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Number of pooled trust securities | trust_security | 1 |
FAIR VALUE MEASUREMENT - Change
FAIR VALUE MEASUREMENT - Changes in Fair Value of Mortgage Loans Held for Sale (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Net Gain From Sales of Loans | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Mortgage loans held for sale | $ (192) | $ (50) | $ 195 |
FAIR VALUE MEASUREMENT - Schedu
FAIR VALUE MEASUREMENT - Schedule of Assets Recorded at Fair Value on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | $ 1,043,411 | $ 1,059,169 |
Mortgage loan derivative assets | 11,734 | 12,910 |
Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 1,043,411 | 1,059,169 |
Recurring | Mortgage Loan Derivative Assets & Liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loan derivative assets | 625 | 230 |
Mortgage loan derivative liabilities | 51 | 20 |
Loans held for sale | 62,517 | 10,136 |
Recurring | Government-sponsored residential collateralized debt obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 183,260 | 286,967 |
Recurring | Government-sponsored commercial collateralized debt obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 162,927 | 128,972 |
Recurring | Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 166,967 | 159,901 |
Recurring | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 75,015 | 59,960 |
Recurring | Obligations of states and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 216,376 | 201,115 |
Recurring | Government-sponsored residential mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 179,548 | 145,861 |
Recurring | Government-sponsored commercial mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 26,530 | 20,965 |
Recurring | Marketable equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 32,788 | 45,339 |
Recurring | Mortgage servicing rights | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage servicing rights | 10,104 | 7,074 |
Recurring | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap assets | 11,109 | 12,680 |
Interest rate swap liabilities | 14,989 | 16,655 |
Recurring | U.S. Government and government-sponsored enterprise obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 10,089 | |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 375 | 3,227 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage Loan Derivative Assets & Liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loan derivative assets | 0 | 0 |
Mortgage loan derivative liabilities | 0 | 0 |
Loans held for sale | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Government-sponsored residential collateralized debt obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Government-sponsored commercial collateralized debt obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Obligations of states and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Government-sponsored residential mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Government-sponsored commercial mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Marketable equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 375 | 3,227 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage servicing rights | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage servicing rights | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap assets | 0 | 0 |
Interest rate swap liabilities | 0 | 0 |
Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Government and government-sponsored enterprise obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | |
Recurring | Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 887,564 | 909,872 |
Recurring | Other Observable Inputs (Level 2) | Mortgage Loan Derivative Assets & Liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loan derivative assets | 625 | 230 |
Mortgage loan derivative liabilities | 51 | 20 |
Loans held for sale | 62,517 | 10,136 |
Recurring | Other Observable Inputs (Level 2) | Government-sponsored residential collateralized debt obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 183,260 | 286,967 |
Recurring | Other Observable Inputs (Level 2) | Government-sponsored commercial collateralized debt obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 162,927 | 128,972 |
Recurring | Other Observable Inputs (Level 2) | Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 13,087 | 15,388 |
Recurring | Other Observable Inputs (Level 2) | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 73,423 | 58,403 |
Recurring | Other Observable Inputs (Level 2) | Obligations of states and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 216,376 | 201,115 |
Recurring | Other Observable Inputs (Level 2) | Government-sponsored residential mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 179,548 | 145,861 |
Recurring | Other Observable Inputs (Level 2) | Government-sponsored commercial mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 26,530 | 20,965 |
Recurring | Other Observable Inputs (Level 2) | Marketable equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 32,413 | 42,112 |
Recurring | Other Observable Inputs (Level 2) | Mortgage servicing rights | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage servicing rights | 0 | 0 |
Recurring | Other Observable Inputs (Level 2) | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap assets | 11,109 | 12,680 |
Interest rate swap liabilities | 14,989 | 16,655 |
Recurring | Other Observable Inputs (Level 2) | U.S. Government and government-sponsored enterprise obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 10,089 | |
Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 155,472 | 146,070 |
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage Loan Derivative Assets & Liabilities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage loan derivative assets | 0 | 0 |
Mortgage loan derivative liabilities | 0 | 0 |
Loans held for sale | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Government-sponsored residential collateralized debt obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Government-sponsored commercial collateralized debt obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Asset-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 153,880 | 144,513 |
Recurring | Significant Unobservable Inputs (Level 3) | Corporate debt securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 1,592 | 1,557 |
Recurring | Significant Unobservable Inputs (Level 3) | Obligations of states and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Government-sponsored residential mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Government-sponsored commercial mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Marketable equity securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage servicing rights | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Mortgage servicing rights | 10,104 | 7,074 |
Recurring | Significant Unobservable Inputs (Level 3) | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Interest rate swap assets | 0 | 0 |
Interest rate swap liabilities | $ 0 | 0 |
Recurring | Significant Unobservable Inputs (Level 3) | U.S. Government and government-sponsored enterprise obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Available for sale securities | $ 0 |
FAIR VALUE MEASUREMENT - Sch100
FAIR VALUE MEASUREMENT - Schedule of Assets Measured at Fair Value on Recurring Basis Using Level 3 Inputs (Detail) - Recurring - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Mortgage servicing rights | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation | ||
Balance at beginning of period | $ 7,074 | $ 4,729 |
Total realized losses on sales included in income / Change in fair value recognized in income | 567 | (586) |
Issuances | 2,463 | 2,931 |
Balance at end of period | 10,104 | 7,074 |
Available for Sale Securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation | ||
Balance at beginning of period | 146,070 | 137,207 |
Purchases | 6,857 | 10,794 |
Principal payments and net accretion | (1,030) | (1,392) |
Total realized losses on sales included in income / Change in fair value recognized in income | (143) | 0 |
Total unrealized gains (losses) included in other comprehensive income | 3,718 | (539) |
Balance at end of period | $ 155,472 | $ 146,070 |
FAIR VALUE MEASUREMENT - Add101
FAIR VALUE MEASUREMENT - Additional Quantitative Information (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Available for sale securities | $ 1,043,411,000 | $ 1,059,169,000 |
Recurring | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Available for sale securities | 1,043,411,000 | 1,059,169,000 |
Recurring | Asset-backed securities | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Available for sale securities | 166,967,000 | 159,901,000 |
Recurring | Corporate debt securities | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Available for sale securities | 75,015,000 | 59,960,000 |
Recurring | Significant Unobservable Inputs (Level 3) | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Available for sale securities | 155,472,000 | 146,070,000 |
Recurring | Significant Unobservable Inputs (Level 3) | Asset-backed securities | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Available for sale securities | $ 153,880,000 | 144,513,000 |
Recurring | Significant Unobservable Inputs (Level 3) | Asset-backed securities | Minimum | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Discount Rates | 2.90% | |
Cumulative Default % | 5.60% | |
Loss Given Default | 1.70% | |
Recurring | Significant Unobservable Inputs (Level 3) | Asset-backed securities | Maximum | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Discount Rates | 4.50% | |
Cumulative Default % | 8.00% | |
Loss Given Default | 2.50% | |
Recurring | Significant Unobservable Inputs (Level 3) | Asset-backed securities | Weighted Average | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Discount Rates | 4.50% | |
Cumulative Default % | 8.00% | |
Loss Given Default | 2.50% | |
Recurring | Significant Unobservable Inputs (Level 3) | Corporate debt securities | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Available for sale securities | $ 1,592,000 | 1,557,000 |
Recurring | Significant Unobservable Inputs (Level 3) | Corporate debt securities | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Discount Rates | 7.30% | |
Recurring | Significant Unobservable Inputs (Level 3) | Corporate debt securities | Minimum | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Cumulative Default % | 2.80% | |
Loss Given Default | 85.00% | |
Recurring | Significant Unobservable Inputs (Level 3) | Corporate debt securities | Maximum | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Cumulative Default % | 41.60% | |
Loss Given Default | 100.00% | |
Recurring | Significant Unobservable Inputs (Level 3) | Corporate debt securities | Weighted Average | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Discount Rates | 7.30% | |
Cumulative Default % | 12.70% | |
Loss Given Default | 93.80% | |
Recurring | Significant Unobservable Inputs (Level 3) | Mortgage loans | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Mortgage servicing rights | $ 10,104,000 | |
Recurring | Mortgage servicing rights | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Mortgage servicing rights | 10,104,000 | 7,074,000 |
Recurring | Mortgage servicing rights | Significant Unobservable Inputs (Level 3) | ||
Fair Value Inputs, Assets, Quantitative Information [Line Items] | ||
Mortgage servicing rights | $ 10,104,000 | $ 7,074,000 |
Recurring | Mortgage servicing rights | Significant Unobservable Inputs (Level 3) | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Float Earnings Rate | 0.25% | |
Recurring | Mortgage servicing rights | Significant Unobservable Inputs (Level 3) | Minimum | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Discount Rates | 9.00% | |
Cost to Service | $ 50 | |
Recurring | Mortgage servicing rights | Significant Unobservable Inputs (Level 3) | Maximum | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Discount Rates | 18.00% | |
Cost to Service | $ 110 | |
Recurring | Mortgage servicing rights | Significant Unobservable Inputs (Level 3) | Weighted Average | Discounted cash flow | ||
Fair Value Inputs [Abstract] | ||
Discount Rates | 10.50% | |
Cost to Service | $ 61.30 | |
Float Earnings Rate | 0.25% |
FAIR VALUE MEASUREMENT - Summar
FAIR VALUE MEASUREMENT - Summary of Assets Recorded at Fair Value on Non-Recurring Basis (Detail) - Nonrecurring - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | $ 5,100 | $ 2,096 |
Other real estate owned | 1,890 | 755 |
Total | 6,990 | 2,851 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Other real estate owned | 0 | 0 |
Total | 0 | 0 |
Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 0 | 0 |
Other real estate owned | 0 | 0 |
Total | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Impaired loans | 5,100 | 2,096 |
Other real estate owned | 1,890 | 755 |
Total | $ 6,990 | $ 2,851 |
FAIR VALUE MEASUREMENT - Sum103
FAIR VALUE MEASUREMENT - Summary of Losses on Assets Recorded at Fair Value on Non-Recurring Basis (Detail) - Nonrecurring - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Impaired loans | $ (541) | $ (274) | $ (1,865) |
Other real estate owned | (126) | (118) | (213) |
Total | $ (667) | $ (392) | $ (2,078) |
FAIR VALUE MEASUREMENT - Sum104
FAIR VALUE MEASUREMENT - Summary of Carrying Value and Estimated Fair Values of Financial Instruments (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Financial assets: | ||
Available for sale securities | $ 1,043,411 | $ 1,059,169 |
Held to maturity securities | 14,829 | 15,683 |
Loans held for sale | 62,500 | 10,100 |
Financial liabilities: | ||
FHLBB advances and other borrowings | 1,046,712 | 949,003 |
Carrying Value [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 90,944 | 95,176 |
Available for sale securities | 1,043,411 | 1,059,169 |
Held to maturity securities | 14,038 | 14,565 |
Loans held for sale | 62,517 | 10,136 |
Loans receivable-net | 4,870,552 | 4,587,062 |
FHLBB stock | 53,476 | 51,196 |
Accrued interest receivable | 18,771 | 15,740 |
Derivative assets | 11,734 | 12,910 |
Mortgage servicing rights | 10,104 | 7,074 |
Financial liabilities: | ||
Deposits | 4,711,172 | 4,437,071 |
Mortgagors’ and investors’ escrow accounts | 13,354 | 13,526 |
FHLBB advances and other borrowings | 1,169,619 | 1,099,020 |
Derivative liabilities | 15,040 | 16,675 |
Fair Value [Member] | ||
Financial assets: | ||
Cash and cash equivalents | 90,944 | 95,176 |
Available for sale securities | 1,043,411 | 1,059,169 |
Held to maturity securities | 14,829 | 15,683 |
Loans held for sale | 62,517 | 10,136 |
Loans receivable-net | 4,895,638 | 4,629,243 |
FHLBB stock | 53,476 | 51,196 |
Accrued interest receivable | 18,771 | 15,740 |
Derivative assets | 11,734 | 12,910 |
Mortgage servicing rights | 10,104 | 7,074 |
Financial liabilities: | ||
Deposits | 4,711,774 | 4,436,456 |
Mortgagors’ and investors’ escrow accounts | 13,354 | 13,526 |
FHLBB advances and other borrowings | 1,167,066 | 1,096,452 |
Derivative liabilities | 15,040 | 16,675 |
Fair Value [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Financial assets: | ||
Cash and cash equivalents | 90,944 | 95,176 |
Available for sale securities | 375 | 3,227 |
Held to maturity securities | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans receivable-net | 0 | 0 |
FHLBB stock | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Derivative assets | 0 | 0 |
Mortgage servicing rights | 0 | 0 |
Financial liabilities: | ||
Deposits | 0 | 0 |
Mortgagors’ and investors’ escrow accounts | 0 | 0 |
FHLBB advances and other borrowings | 0 | 0 |
Derivative liabilities | 0 | 0 |
Fair Value [Member] | Other Observable Inputs (Level 2) | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
Available for sale securities | 887,564 | 909,872 |
Held to maturity securities | 14,829 | 15,683 |
Loans held for sale | 62,517 | 10,136 |
Loans receivable-net | 0 | 0 |
FHLBB stock | 0 | 0 |
Accrued interest receivable | 0 | 0 |
Derivative assets | 11,734 | 12,910 |
Mortgage servicing rights | 0 | 0 |
Financial liabilities: | ||
Deposits | 0 | 0 |
Mortgagors’ and investors’ escrow accounts | 0 | 0 |
FHLBB advances and other borrowings | 1,167,066 | 1,096,452 |
Derivative liabilities | 15,040 | 16,675 |
Fair Value [Member] | Significant Unobservable Inputs (Level 3) | ||
Financial assets: | ||
Cash and cash equivalents | 0 | 0 |
Available for sale securities | 155,472 | 146,070 |
Held to maturity securities | 0 | 0 |
Loans held for sale | 0 | 0 |
Loans receivable-net | 4,895,638 | 4,629,243 |
FHLBB stock | 53,476 | 51,196 |
Accrued interest receivable | 18,771 | 15,740 |
Derivative assets | 0 | 0 |
Mortgage servicing rights | 10,104 | 7,074 |
Financial liabilities: | ||
Deposits | 4,711,774 | 4,436,456 |
Mortgagors’ and investors’ escrow accounts | 13,354 | 13,526 |
FHLBB advances and other borrowings | 0 | 0 |
Derivative liabilities | $ 0 | $ 0 |
SHARE-BASED COMPENSATION PLA105
SHARE-BASED COMPENSATION PLANS - Plans Additional Information (Detail) $ in Thousands | Apr. 30, 2014USD ($) | Jun. 30, 2015USD ($) | Jun. 30, 2014USD ($) | Dec. 31, 2016USD ($)shares | Dec. 31, 2015USD ($)shares | Dec. 31, 2014USD ($) | Oct. 29, 2015shares |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Stock awards, granted (in shares) | shares | 0 | 0 | |||||
Employee and Director | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | $ 2,300 | $ 1,100 | |||||
Tax benefit recorded | 797 | 388 | |||||
Director | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | 425 | 252 | $ 301 | ||||
Officer | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | $ 1,800 | 707 | 1,100 | ||||
Share-based compensation | $ 2,600 | $ 117 | |||||
2015 Omnibus Stock Incentive Plan | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares authorized under the plan (in shares) | shares | 4,050,000 | ||||||
Fungible ratio | 2.35 | ||||||
Shares available for future grants (in shares) | shares | 2,916,059 | ||||||
Restricted Stock | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Restricted shares granted (in shares) | shares | 215,814 | ||||||
Share-based compensation | $ 1,500 | ||||||
Restricted Stock | Employee and Director | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | 2,500 | ||||||
Tax benefit recorded | 855 | ||||||
Stock Option | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation | $ 1,100 | ||||||
Stock Option | Employee and Director | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Share-based compensation expense | 1,400 | ||||||
Tax benefit recorded | $ 500 |
SHARE-BASED COMPENSATION PLA106
SHARE-BASED COMPENSATION PLANS - Activity Related to Stock Options (Detail) - USD ($) $ / shares in Units, $ in Millions | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Number of Stock Options (shares) | ||
Outstanding at December 31, 2015 (in shares) | 2,649,735 | |
Granted (in shares) | 0 | 0 |
Exercised (in shares) | (680,677) | |
Forfeited, expired or canceled (in shares) | (32,605) | |
Outstanding at December 31, 2016 (in shares) | 1,936,453 | 2,649,735 |
Stock options vested and exercisable at December 31, 2016 (in shares) | 1,840,286 | |
Stock Options, Weighted- Average Exercise Price (usd per share) | ||
Outstanding at December 31, 2015 (usd per share) | $ 10.88 | |
Granted (usd per share) | 0 | |
Exercised (usd per share) | 9.79 | |
Forfeited or expired (usd per share) | 13.68 | |
Outstanding at December 31, 2016 (usd per share) | 11.21 | $ 10.88 |
Stock options vested and exercisable at December 31, 2016 (usd per share) | $ 11.08 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | ||
Weighted Average Remaining Contractual Term, Outstanding at December 31, 2016 | 5 years 2 months 12 days | |
Weighted Average Remaining Contractual Term, Stock options vested and exercisable at December 31, 2016 | 5 years 1 month 6 days | |
Aggregate Intrinsic Value, Exercised | $ 2.7 | |
Aggregate Intrinsic Value, Outstanding at December 31, 2016 | 13.5 | |
Aggregate Intrinsic Value, Stock options vested and exercisable at December 31, 2016 | $ 8.6 |
SHARE-BASED COMPENSATION PLA107
SHARE-BASED COMPENSATION PLANS - Stock Options - Additional Information (Detail) - USD ($) $ / shares in Units, $ in Thousands | May 02, 2014 | Jun. 30, 2014 | Dec. 31, 2016 | Dec. 31, 2015 |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock awards, granted (in shares) | 0 | 0 | ||
Common stock granted expiration period | 10 years | |||
Stock Option | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation | $ 1,100 | |||
Compensation cost not yet recognized | $ 105 | |||
Cost not yet recognized, period for recognition | 1 year 4 months | |||
Legacy United | Stock Option | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Stock awards, granted (in shares) | 1,291,793 | |||
Exercisable options, weighted-average exercise price (usd per share) | $ 9.36 |
SHARE-BASED COMPENSATION PLA108
SHARE-BASED COMPENSATION PLANS - Activity for Restricted Stock (Detail) - Restricted Stock - $ / shares | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Number of Shares, Restricted Stock Activity (shares) | |||
Beginning balance (in shares) | 326,013 | ||
Granted (in shares) | 215,814 | ||
Vested (in shares) | (98,207) | ||
Forfeited (in shares) | (4,814) | ||
Ending balance (in shares) | 438,806 | 326,013 | |
Restricted Stock Options, Weighted Average Grant Date Fair Value (usd per share) | |||
Beginning balance (usd per share) | $ 13.20 | ||
Granted (usd per share) | 15.61 | $ 13.08 | $ 13.64 |
Vested (usd per share) | 13.47 | ||
Forfeited (usd per share) | 13.58 | ||
Ending balance (usd per share) | $ 14.53 | $ 13.20 |
SHARE-BASED COMPENSATION PLA109
SHARE-BASED COMPENSATION PLANS - Restricted Stock - Additional Information (Detail) - Restricted Stock - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Aggregate fair value of vested options | $ 1,300 | $ 780 | $ 3,000 | |
Granted, weighted average grant date fair value (usd per share) | $ 15.61 | $ 13.08 | $ 13.64 | |
Share-based compensation | $ 1,500 | |||
Compensation cost not yet recognized | $ 5,100 | |||
Cost not yet recognized, period for recognition | 2 years 4 months | |||
Unvested restricted stock expected year one (in shares) | 168,985 | |||
Unvested restricted stock expected year two (in shares) | 158,346 | |||
Unvested restricted stock expected year three (in shares) | 101,319 | |||
Unvested restricted stock expected year four (in shares) | 5,078 | |||
Unvested restricted stock expected year five (in shares) | 5,078 |
SHARE-BASED COMPENSATION PLA110
SHARE-BASED COMPENSATION PLANS - Employee Stock Ownership Plan - Additional Information (Detail) - USD ($) | 1 Months Ended | 12 Months Ended | |||||
Mar. 31, 2011 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2011 | Dec. 31, 2006 | Dec. 31, 2005 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
ESOP expense | $ 308,000 | $ 299,000 | $ 1,727,000 | ||||
Allocated ESOP shares (in shares) | 136,879 | ||||||
Unallocated ESOP shares (in shares) | 547,516 | ||||||
Aggregate fair value of unallocated shares | $ 9,900,000 | ||||||
Employee Stock Ownership Plan 2005 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares issued in initial public offering (in shares) | 699,659 | ||||||
Percentage of shares issued in initial public offering | 3.60% | ||||||
Borrowings from the company | $ 4,400,000 | ||||||
Purchase of common stock (in shares) | 437,287 | ||||||
Additional shares purchased by the ESOP in the open market (in shares) | 59,300 | 203,072 | |||||
Total cost incurred for the additional shares purchased by ESOP | $ 817,000 | $ 2,700,000 | |||||
Employee stock ownership plan effective rate | 4.25% | ||||||
Employee stock ownership plan loan outstanding balance | $ 0 | ||||||
Employee Stock Ownership Plan 2005 | Prime Rate | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Interest rate for the ESOP loan | 1.00% | ||||||
Employee Stock Ownership Plan 2011 | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Shares issued in initial public offering (in shares) | 684,395 | ||||||
Purchase of common stock (in shares) | 276,017 | ||||||
Employee stock ownership plan effective rate | 4.75% | ||||||
Employee stock ownership plan loan outstanding balance | $ 6,200,000 | ||||||
Principal payments | $ 863,000 | ||||||
Initial public offering cost (usd per share) | $ 10 | ||||||
Remaining shares (in shares) | 408,378 | ||||||
Average cost, per share (usd per share) | $ 10.56 | ||||||
Average cost, incurred for the purchase of shares in the open market | $ 4,300,000 | ||||||
Employee stock ownership plan remaining term to repayment | 24 years | ||||||
Dividends paid to ESOP | $ 274,000 | ||||||
Employee Stock Ownership Plan 2011 | Prime Rate | |||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||
Interest rate for the ESOP loan | 1.00% |
PENSION PLANS AND OTHER POST111
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS - Summary of Changes in Benefit Obligation, Plan Assets and Funded Status of Pension Plans and Post-Retirement Benefit Plans (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Change in Plan Assets: | |||
Fair value of plan assets at beginning of year | $ 25,240,000 | ||
Fair value of plan assets at end of year | 26,425,000 | $ 25,240,000 | |
Qualified Pension Plan | |||
Change in Benefit Obligation: | |||
Benefit obligation at beginning of year | 27,115,000 | 30,571,000 | $ 24,224,000 |
Service cost | 0 | 60,000 | 75,000 |
Interest cost | 1,186,000 | 1,162,000 | 1,145,000 |
Plan participants’ contributions | 0 | 0 | 0 |
Actuarial loss (gain) | 1,088,000 | (3,821,000) | 6,460,000 |
Benefits paid and administration expenses | (914,000) | (857,000) | (1,333,000) |
Curtailments, settlements, special termination benefits | 0 | 0 | 0 |
Benefit obligation at end of year | 28,475,000 | 27,115,000 | 30,571,000 |
Change in Plan Assets: | |||
Fair value of plan assets at beginning of year | 25,240,000 | 26,519,000 | 26,258,000 |
Actual return (loss) on plan assets | 1,571,000 | (422,000) | 1,594,000 |
Employer contributions | 528,000 | 0 | 0 |
Plan participants’ contributions | 0 | 0 | 0 |
Benefits paid and administration expenses | (914,000) | (857,000) | (1,333,000) |
Settlements | 0 | 0 | 0 |
Fair value of plan assets at end of year | 26,425,000 | 25,240,000 | 26,519,000 |
Funded Status: | |||
Underfunded status at end of year | (2,050,000) | (1,875,000) | (4,052,000) |
Amounts Recognized in the Consolidated Statements of Condition | |||
Accrued expenses and other liabilities | (2,050,000) | (1,875,000) | (4,052,000) |
Supplemental Executive Retirement Plans | |||
Change in Benefit Obligation: | |||
Benefit obligation at beginning of year | 929,000 | 1,368,000 | 1,191,000 |
Service cost | 22,000 | 24,000 | 25,000 |
Interest cost | 39,000 | 40,000 | 54,000 |
Plan participants’ contributions | 0 | 0 | 0 |
Actuarial loss (gain) | 37,000 | (79,000) | 166,000 |
Benefits paid and administration expenses | (27,000) | (31,000) | (484,000) |
Curtailments, settlements, special termination benefits | 0 | (393,000) | 416,000 |
Benefit obligation at end of year | 1,000,000 | 929,000 | 1,368,000 |
Change in Plan Assets: | |||
Fair value of plan assets at beginning of year | 0 | 0 | 0 |
Actual return (loss) on plan assets | 0 | 0 | 0 |
Employer contributions | 27,000 | 424,000 | 484,000 |
Plan participants’ contributions | 0 | 0 | 0 |
Benefits paid and administration expenses | (27,000) | (31,000) | (484,000) |
Settlements | 0 | (393,000) | 0 |
Fair value of plan assets at end of year | 0 | 0 | 0 |
Funded Status: | |||
Underfunded status at end of year | (1,000,000) | (929,000) | (1,368,000) |
Amounts Recognized in the Consolidated Statements of Condition | |||
Accrued expenses and other liabilities | (1,000,000) | (929,000) | (1,368,000) |
Other Post - Retirement Benefits | |||
Change in Benefit Obligation: | |||
Benefit obligation at beginning of year | 1,841,000 | 2,218,000 | 1,926,000 |
Service cost | 13,000 | 23,000 | 19,000 |
Interest cost | 76,000 | 80,000 | 85,000 |
Plan participants’ contributions | 27,000 | 28,000 | 26,000 |
Actuarial loss (gain) | 180,000 | (413,000) | 271,000 |
Benefits paid and administration expenses | (96,000) | (95,000) | (109,000) |
Curtailments, settlements, special termination benefits | 0 | 0 | 0 |
Benefit obligation at end of year | 2,041,000 | 1,841,000 | 2,218,000 |
Change in Plan Assets: | |||
Fair value of plan assets at beginning of year | 0 | 0 | 0 |
Actual return (loss) on plan assets | 0 | 0 | 0 |
Employer contributions | 69,000 | 67,000 | 83,000 |
Plan participants’ contributions | 27,000 | 28,000 | 26,000 |
Benefits paid and administration expenses | (96,000) | (95,000) | (109,000) |
Settlements | 0 | 0 | 0 |
Fair value of plan assets at end of year | 0 | 0 | 0 |
Funded Status: | |||
Underfunded status at end of year | (2,041,000) | (1,841,000) | (2,218,000) |
Amounts Recognized in the Consolidated Statements of Condition | |||
Accrued expenses and other liabilities | $ (2,041,000) | $ (1,841,000) | $ (2,218,000) |
PENSION PLANS AND OTHER POST112
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS - Components of Accumulated Other Comprehensive Income Related to Pensions and Other Post-Retirement Benefits, on Pre-Tax Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 |
Qualified Pension Plan | |||
Amounts Recognized in Accumulated Other Comprehensive Loss Consist of: | |||
Prior service cost | $ 0 | $ 0 | $ 0 |
Net loss (gain) | 7,696 | 7,050 | 9,362 |
Total accumulated other comprehensive loss (income) | 7,696 | 7,050 | 9,362 |
Deferred tax (asset) liability | (2,773) | (2,540) | (3,278) |
Net impact on accumulated other comprehensive loss | 4,923 | 4,510 | 6,084 |
Supplemental Executive Retirement Plans | |||
Amounts Recognized in Accumulated Other Comprehensive Loss Consist of: | |||
Prior service cost | 78 | 85 | 92 |
Net loss (gain) | 117 | 79 | 202 |
Total accumulated other comprehensive loss (income) | 195 | 164 | 294 |
Deferred tax (asset) liability | (70) | (59) | (69) |
Net impact on accumulated other comprehensive loss | 125 | 105 | 225 |
Other Post - Retirement Benefits | |||
Amounts Recognized in Accumulated Other Comprehensive Loss Consist of: | |||
Prior service cost | 0 | 0 | 0 |
Net loss (gain) | 45 | (134) | 297 |
Total accumulated other comprehensive loss (income) | 45 | (134) | 297 |
Deferred tax (asset) liability | (16) | 48 | (97) |
Net impact on accumulated other comprehensive loss | $ 29 | $ (86) | $ 200 |
PENSION PLANS AND OTHER POST113
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS - Components of Net Periodic Benefit Costs and Other Amounts Recognized in Accumulated Other Comprehensive Loss for Retirement Plans (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income: | |||
Change in prior service credit | $ 0 | $ 0 | $ (168) |
Qualified Pension Plan | |||
Components of Net Periodic Benefit Cost: | |||
Service cost | 0 | 60 | 75 |
Interest cost | 1,186 | 1,162 | 1,145 |
Expected return on plan assets | (1,624) | (1,824) | (1,595) |
Amortization of net actuarial losses (gains) | 495 | 738 | (277) |
Amortization of prior service cost | 0 | 0 | 0 |
Settlement charge | 0 | 0 | 0 |
Net periodic benefit cost (income) | 57 | 136 | (652) |
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income: | |||
Net loss (gain) | 1,140 | (1,574) | 6,460 |
Change in prior service credit | 0 | 0 | 0 |
Amortization of net (loss) gain | (495) | (738) | 277 |
Amortization of prior service cost | 0 | 0 | 0 |
Loss recognized due to settlement | 0 | 0 | 0 |
Total recognized in other comprehensive income (loss) | 645 | (2,312) | 6,737 |
Total recognized in net periodic benefit cost and other comprehensive income (loss) | 702 | (2,176) | 6,085 |
Supplemental Executive Retirement Plans | |||
Components of Net Periodic Benefit Cost: | |||
Service cost | 22 | 24 | 25 |
Interest cost | 39 | 40 | 54 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of net actuarial losses (gains) | 0 | 3 | 2 |
Amortization of prior service cost | 7 | 7 | 12 |
Settlement charge | 0 | 39 | 651 |
Net periodic benefit cost (income) | 68 | 113 | 744 |
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income: | |||
Net loss (gain) | 37 | (80) | 100 |
Change in prior service credit | 0 | 0 | (168) |
Amortization of net (loss) gain | 0 | (3) | (2) |
Amortization of prior service cost | (7) | (7) | (12) |
Loss recognized due to settlement | 0 | (39) | 0 |
Total recognized in other comprehensive income (loss) | 30 | (129) | (82) |
Total recognized in net periodic benefit cost and other comprehensive income (loss) | 98 | (16) | 662 |
Other Post - Retirement Benefits | |||
Components of Net Periodic Benefit Cost: | |||
Service cost | 13 | 23 | 19 |
Interest cost | 76 | 80 | 85 |
Expected return on plan assets | 0 | 0 | 0 |
Amortization of net actuarial losses (gains) | 0 | 18 | (10) |
Amortization of prior service cost | 0 | 0 | 0 |
Settlement charge | 0 | 0 | 0 |
Net periodic benefit cost (income) | 89 | 121 | 94 |
Other Changes in Plan Assets and Benefit Obligations Recognized in Other Comprehensive Income: | |||
Net loss (gain) | 180 | (413) | 271 |
Change in prior service credit | 0 | 0 | 0 |
Amortization of net (loss) gain | 0 | (18) | 10 |
Amortization of prior service cost | 0 | 0 | 0 |
Loss recognized due to settlement | 0 | 0 | 0 |
Total recognized in other comprehensive income (loss) | 180 | (431) | 281 |
Total recognized in net periodic benefit cost and other comprehensive income (loss) | $ 269 | $ (310) | $ 375 |
PENSION PLANS AND OTHER POST114
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS - Additional Information (Detail) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Jul. 01, 2016 | Jul. 01, 2015 | |
Defined Benefit Plan Disclosure [Line Items] | |||||
Accumulated post-retirement benefit obligation | $ 2,000,000 | $ 1,800,000 | |||
Annual rate of increase in cost of covered benefits | 7.00% | ||||
Percentage of contribution fully vested to participants of the 401(k) Plan | 3.00% | ||||
Vesting period | 5 years | ||||
Company's contribution to 401 (k) plan | $ 1,700,000 | 2,100,000 | $ 515,000 | ||
Pentegra DB Plan | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Company contribution | $ 50,000 | 50,000 | |||
Funded percentage | 114.80% | 114.40% | |||
Company contribution, percentage (not more than) | 5.00% | ||||
Marketable equity securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Percentage of targeted allocation | 40.00% | ||||
Total debt securities | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Percentage of targeted allocation | 30.00% | ||||
Real Estate | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Percentage of targeted allocation | 20.00% | ||||
Cash and cash equivalents | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
Percentage of targeted allocation | 10.00% | ||||
Qualified Pension Plan | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
AOCL expected to be recognized as components of net periodic benefit cost during 2017 | $ 570,000 | ||||
Company contribution | 528,000 | 0 | 0 | ||
Expected company contribution | 200,000 | ||||
Supplemental Executive Retirement Plans | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
AOCL expected to be recognized as components of net periodic benefit cost during 2017 | 8,000 | ||||
Company contribution | 27,000 | 424,000 | 484,000 | ||
Other Post - Retirement Benefits | |||||
Defined Benefit Plan Disclosure [Line Items] | |||||
AOCL expected to be recognized as components of net periodic benefit cost during 2017 | 0 | ||||
Company contribution | $ 69,000 | $ 67,000 | $ 83,000 |
PENSION PLANS AND OTHER POST115
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS - Summary of Weighted-Average Assumptions Used to Determine Pension Benefit Obligations (Detail) | Dec. 31, 2016 | Dec. 31, 2015 |
Qualified Pension Plan | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 4.15% | 4.45% |
Expected return on plan assets | 6.50% | 7.00% |
Supplemental Executive Retirement Plans | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 4.00% | 4.30% |
Expected return on plan assets | 0.00% | 0.00% |
Other Post - Retirement Benefits | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 4.00% | 4.25% |
Expected return on plan assets | 0.00% | 0.00% |
PENSION PLANS AND OTHER POST116
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS - Summary of Weighted-Average Assumptions Used to Determine Net Benefit Pension Expense (Detail) | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Qualified Pension Plan | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 4.45% | 3.85% | 4.80% |
Expected return on plan assets | 7.00% | 7.00% | 7.25% |
Rate of compensation increase | 0.00% | 0.00% | 0.00% |
Supplemental Executive Retirement Plans | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 4.30% | 3.70% | 4.70% |
Expected return on plan assets | 0.00% | 0.00% | 0.00% |
Rate of compensation increase | 4.00% | 4.00% | 4.00% |
Other Post - Retirement Benefits | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Discount rate | 4.25% | 3.70% | 4.55% |
Expected return on plan assets | 0.00% | 0.00% | 0.00% |
Rate of compensation increase | 4.00% | 4.00% | 4.00% |
PENSION PLANS AND OTHER POST117
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS - Summary of Change in Assumed Healthcare Cost Trend Rate (Detail) $ in Thousands | 12 Months Ended |
Dec. 31, 2016USD ($) | |
Defined Benefit Plan, Effect of One-Percentage Point Change in Assumed Health Care Cost Trend Rates [Abstract] | |
Effect on post-retirement benefit obligation increase | $ 2,272 |
Effect on total service and interest increase | 115 |
Effect on post-retirement benefit obligation decrease | 1,848 |
Effect on total service and interest decrease | $ 90 |
PENSION PLANS AND OTHER POST118
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS - Summary of Pension Plan Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Defined Benefit Plan Disclosure [Line Items] | ||
Total Fair Value | $ 26,425 | $ 25,240 |
Percent of plan assets | 100.00% | 100.00% |
Fixed income funds | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total Fair Value | $ 10,255 | $ 10,135 |
Percent of plan assets | 39.00% | 40.00% |
Domestic equity funds | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total Fair Value | $ 8,124 | $ 7,557 |
Percent of plan assets | 31.00% | 30.00% |
International equity funds | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total Fair Value | $ 5,125 | $ 4,572 |
Percent of plan assets | 19.00% | 18.00% |
Hedge funds | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total Fair Value | $ 2,710 | $ 2,697 |
Percent of plan assets | 10.00% | 11.00% |
Money market funds | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total Fair Value | $ 211 | $ 279 |
Percent of plan assets | 1.00% | 1.00% |
PENSION PLANS AND OTHER POST119
PENSION PLANS AND OTHER POST-RETIREMENT BENEFITS - Summary of Estimated Future Benefit Payments (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Qualified Pension Plan | |
Defined Benefit Plan Disclosure [Line Items] | |
2,017 | $ 970 |
2,018 | 1,070 |
2,019 | 1,180 |
2,020 | 1,310 |
2,021 | 1,360 |
Years 2022-2026 | 7,280 |
Supplemental Executive Retirement Plans | |
Defined Benefit Plan Disclosure [Line Items] | |
2,017 | 28 |
2,018 | 41 |
2,019 | 41 |
2,020 | 41 |
2,021 | 41 |
Years 2022-2026 | 295 |
Other Post - Retirement Benefits | |
Defined Benefit Plan Disclosure [Line Items] | |
2,017 | 100 |
2,018 | 100 |
2,019 | 110 |
2,020 | 120 |
2,021 | 120 |
Years 2022-2026 | $ 600 |
REGULATORY MATTERS - Regulatory
REGULATORY MATTERS - Regulatory Capital Amounts and Ratios (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Total capital to risk weighted assets | ||
Actual, Amount | $ 619,020 | $ 558,969 |
Tier 1 capital to risk weighted assets | ||
Actual, Amount | 574,632 | 523,786 |
United Bank | ||
Total capital to risk weighted assets | ||
Actual, Amount | $ 619,020 | $ 558,969 |
Actual, Ratio | 12.10% | 11.20% |
Minimum For Capital Adequacy Purposes, Amount | $ 409,269 | $ 398,552 |
Minimum For Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Minimum To Be Well-Capitalized Under Prompt Corrective Action Provisions, Amount | $ 511,587 | $ 498,190 |
Minimum To Be Well-Capitalized Under Prompt Corrective Action Provisions, Ratio | 10.00% | 10.00% |
Common equity tier 1 capital to risk weighted assets | ||
Actual, Amount | $ 574,632 | $ 523,786 |
Actual, Ratio | 11.20% | 10.50% |
Minimum for Capital Adequacy Purposes, Amount | $ 230,879 | $ 224,266 |
Minimum for Capital Adequacy Purposes, Ratio | 4.50% | 4.50% |
Minimum To Be Well-Capitalized Under Prompt Corrective Action Provisions, Amount | $ 333,492 | $ 323,940 |
Minimum To Be Well-Capitalized Under Prompt Corrective Action Provisions, Ratio | 6.50% | 6.50% |
Tier 1 capital to risk weighted assets | ||
Actual, Amount | $ 574,632 | $ 523,786 |
Actual, Ratio | 11.20% | 10.50% |
Minimum For Capital Adequacy Purposes, Amount | $ 307,839 | $ 299,022 |
Minimum For Capital Adequacy Purposes, Ratio | 6.00% | 6.00% |
Minimum To Be Well-Capitalized Under Prompt Corrective Action Provisions, Amount | $ 410,451 | $ 398,695 |
Minimum To Be Well-Capitalized Under Prompt Corrective Action Provisions, Ratio | 8.00% | 8.00% |
Tier 1 capital to total average assets | ||
Actual, Amount | $ 574,632 | $ 523,786 |
Actual, Ratio | 9.00% | 8.90% |
Minimum For Capital Adequacy Purposes, Amount | $ 255,392 | $ 234,882 |
Minimum For Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
Minimum To Be Well-Capitalized Under Prompt Corrective Action Provisions, Amount | $ 319,240 | $ 293,602 |
Minimum To Be Well-Capitalized Under Prompt Corrective Action Provisions, Ratio | 5.00% | 5.00% |
United Financial Bancorp, Inc | ||
Total capital to risk weighted assets | ||
Actual, Amount | $ 668,816 | $ 628,915 |
Actual, Ratio | 13.00% | 12.50% |
Minimum For Capital Adequacy Purposes, Amount | $ 411,579 | $ 401,542 |
Minimum For Capital Adequacy Purposes, Ratio | 8.00% | 8.00% |
Common equity tier 1 capital to risk weighted assets | ||
Actual, Amount | $ 549,428 | $ 518,732 |
Actual, Ratio | 10.70% | 10.30% |
Minimum for Capital Adequacy Purposes, Amount | $ 231,068 | $ 225,972 |
Minimum for Capital Adequacy Purposes, Ratio | 4.50% | 4.50% |
Tier 1 capital to risk weighted assets | ||
Actual, Amount | $ 549,428 | $ 518,732 |
Actual, Ratio | 10.70% | 10.30% |
Minimum For Capital Adequacy Purposes, Amount | $ 308,090 | $ 301,296 |
Minimum For Capital Adequacy Purposes, Ratio | 6.00% | 6.00% |
Tier 1 capital to total average assets | ||
Actual, Amount | $ 549,428 | $ 518,732 |
Actual, Ratio | 8.60% | 8.90% |
Minimum For Capital Adequacy Purposes, Amount | $ 255,548 | $ 233,926 |
Minimum For Capital Adequacy Purposes, Ratio | 4.00% | 4.00% |
REGULATORY MATTERS - Additional
REGULATORY MATTERS - Additional Information (Detail) $ in Millions | Dec. 31, 2016USD ($) |
Banking and Thrift [Abstract] | |
Amount available for the payment of dividends | $ 79.8 |
REGULATORY MATTERS - Reconcilia
REGULATORY MATTERS - Reconciliation of Company's Total Consolidated Equity to Capital Amounts (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Banking and Thrift [Abstract] | ||||
Total consolidated equity | $ 655,866 | $ 625,521 | $ 602,408 | $ 299,382 |
Adjustments: | ||||
Additional Bank-only equity | 26,119 | 5,054 | ||
Accumulated other comprehensive loss | 15,353 | 10,879 | ||
Disallowed goodwill and other intangible assets | (117,161) | (116,816) | ||
Disallowed deferred tax assets | (3,327) | (852) | ||
Other | (2,218) | 0 | ||
Tier 1 capital | 574,632 | 523,786 | ||
Allowance for loan losses and off-balance sheet credit losses | 44,327 | 35,124 | ||
Unrealized gains on available-for-sale securities includible in total risk-based capital | 61 | 59 | ||
Total risk-based capital | $ 619,020 | $ 558,969 |
ACCUMULATED OTHER COMPREHENS123
ACCUMULATED OTHER COMPREHENSIVE LOSS - Components of Accumulated Other Comprehensive Loss, Included in Stockholders' Equity (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2016 | Dec. 31, 2015 | |
Benefit plans | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Unrealized gain (loss) | $ (7,936) | $ (7,080) |
Tax effect | 2,859 | 2,551 |
Other comprehensive income (loss), net of tax | (5,077) | (4,529) |
Securities available for sale | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Unrealized gain (loss) | (12,845) | (5,821) |
Tax effect | 4,617 | 2,088 |
Other comprehensive income (loss), net of tax | (8,228) | (3,733) |
Interest rate swaps | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Unrealized gain (loss) | (3,202) | (4,092) |
Tax effect | 1,154 | 1,475 |
Other comprehensive income (loss), net of tax | (2,048) | (2,617) |
Accumulated Other Comprehensive Loss | ||
Accumulated Other Comprehensive Income (Loss) [Line Items] | ||
Other comprehensive income (loss), net of tax | $ (15,353) | $ (10,879) |
NET INCOME PER SHARE - Schedule
NET INCOME PER SHARE - Schedule of Basic and Diluted Net Income Per Share (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share [Abstract] | |||||||||||
Net income | $ 14,550 | $ 14,159 | $ 9,058 | $ 11,894 | $ 9,902 | $ 13,381 | $ 13,332 | $ 13,025 | $ 49,661 | $ 49,640 | $ 6,782 |
Adjusted weighted-average common shares outstanding (in shares) | 50,290,934 | 49,495,381 | 43,491,441 | ||||||||
Less: average number of unvested ESOP award shares (in shares) | 559,785 | 582,574 | 662,347 | ||||||||
Weighted-average basic shares outstanding (in shares) | 49,731,149 | 48,912,807 | 42,829,094 | ||||||||
Dilutive effect of stock options (in shares) | 357,881 | 472,759 | 440,423 | ||||||||
Weighted-average diluted shares (in shares) | 50,089,030 | 49,385,566 | 43,269,517 | ||||||||
Net income per share: | |||||||||||
Basic (usd per share) | $ 0.29 | $ 0.28 | $ 0.18 | $ 0.24 | $ 0.20 | $ 0.27 | $ 0.27 | $ 0.27 | $ 1 | $ 1.01 | $ 0.16 |
Diluted (usd per share) | $ 0.29 | $ 0.28 | $ 0.18 | $ 0.24 | $ 0.20 | $ 0.27 | $ 0.27 | $ 0.26 | $ 0.99 | $ 1 | $ 0.16 |
NET INCOME PER SHARE - Addition
NET INCOME PER SHARE - Additional Information (Detail) - shares shares in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Earnings Per Share [Abstract] | |||
Anti-dilutive options excluded from earnings per share calculation (in shares) | 258 | 638 | 328 |
OTHER COMMITMENTS AND CONTIN126
OTHER COMMITMENTS AND CONTINGENCIES - Future Minimum Rental Commitments Under Terms of Leases (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Operating Leases, Future Minimum Payments Due, Fiscal Year Maturity [Abstract] | |
2,017 | $ 5,134 |
2,018 | 4,883 |
2,019 | 4,738 |
2,020 | 4,336 |
2,021 | 4,007 |
Thereafter | 17,099 |
Future minimum rental commitments under the terms of leases | $ 40,197 |
OTHER COMMITMENTS AND CONTIN127
OTHER COMMITMENTS AND CONTINGENCIES - Leases Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Commitments and Contingencies Disclosure [Abstract] | |||
Total rental expense charged to operations for all cancelable and non-cancelable operating leases | $ 4,600 | $ 5,100 | $ 5,800 |
Rental income | $ 553 | $ 490 | $ 407 |
OTHER COMMITMENTS AND CONTIN128
OTHER COMMITMENTS AND CONTINGENCIES - Future Minimum Rental Receivable Under Non-Cancelable Leases (Detail) $ in Thousands | Dec. 31, 2016USD ($) |
Operating Leases, Future Minimum Payments Receivable [Abstract] | |
2,017 | $ 505 |
2,018 | 429 |
2,019 | 411 |
Future minimum rental receivable under the non-cancelable leases | $ 1,345 |
OTHER COMMITMENTS AND CONTIN129
OTHER COMMITMENTS AND CONTINGENCIES - Financial Instruments Contract Amounts Represent Credit Risk (Detail) - Commitments to extend credit - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 |
Commitments to extend credit: | ||
Fair value disclosure, off-balance sheet risks, amount, liability | $ 1,061,038 | $ 962,882 |
Commitment to grant loans | ||
Commitments to extend credit: | ||
Fair value disclosure, off-balance sheet risks, amount, liability | 197,070 | 219,407 |
Undisbursed construction loans | ||
Commitments to extend credit: | ||
Fair value disclosure, off-balance sheet risks, amount, liability | 90,149 | 103,140 |
Undisbursed home equity lines of credit | ||
Commitments to extend credit: | ||
Fair value disclosure, off-balance sheet risks, amount, liability | 364,421 | 320,140 |
Undisbursed commercial lines of credit | ||
Commitments to extend credit: | ||
Fair value disclosure, off-balance sheet risks, amount, liability | 382,018 | 302,700 |
Standby letters of credit | ||
Commitments to extend credit: | ||
Fair value disclosure, off-balance sheet risks, amount, liability | 13,588 | 9,477 |
Unused credit card lines | ||
Commitments to extend credit: | ||
Fair value disclosure, off-balance sheet risks, amount, liability | 12,327 | 6,725 |
Unused checking overdraft lines of credit | ||
Commitments to extend credit: | ||
Fair value disclosure, off-balance sheet risks, amount, liability | $ 1,465 | $ 1,293 |
OTHER COMMITMENTS AND CONTIN130
OTHER COMMITMENTS AND CONTINGENCIES - Other Commitments Additional Information (Details) - Tax credit partnerships $ in Millions | Dec. 31, 2016USD ($) |
Other Commitments [Line Items] | |
Net carrying balance of investments | $ 31.3 |
Capital contribution commitments | $ 4.5 |
SELECTED QUARTERLY CONSOLIDA131
SELECTED QUARTERLY CONSOLIDATED INFORMATION (UNAUDITED) - Quarterly Financial Information of Company (Detail) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Quarterly Financial Information Disclosure [Abstract] | |||||||||||
Interest and dividend income | $ 53,621 | $ 53,336 | $ 51,621 | $ 53,574 | $ 49,714 | $ 49,625 | $ 48,711 | $ 48,295 | $ 212,152 | $ 196,345 | $ 155,879 |
Interest expense on subordinated debentures | 10,449 | 10,307 | 10,125 | 10,172 | 9,021 | 7,982 | 7,808 | 6,952 | 41,053 | 31,763 | 18,007 |
Net interest income (expense) | 43,172 | 43,029 | 41,496 | 43,402 | 40,693 | 41,643 | 40,903 | 41,343 | 171,099 | 164,582 | 137,872 |
Provision for loan losses | 3,359 | 3,766 | 3,624 | 2,688 | 3,780 | 3,252 | 4,462 | 1,511 | 13,437 | 13,005 | 9,496 |
Net interest income after provision for loan losses | 39,813 | 39,263 | 37,872 | 40,714 | 36,913 | 38,391 | 36,441 | 39,832 | 157,662 | 151,577 | 128,376 |
Non-interest income | 8,936 | 7,889 | 6,532 | 6,727 | 8,463 | 7,818 | 9,371 | 6,835 | 30,084 | 32,487 | 16,605 |
Other non-interest expense | 33,293 | 32,236 | 34,681 | 33,763 | 35,305 | 31,876 | 30,357 | 30,657 | 133,973 | 128,195 | 144,432 |
Income before income taxes | 15,456 | 14,916 | 9,723 | 13,678 | 10,071 | 14,333 | 15,455 | 16,010 | 53,773 | 55,869 | 549 |
Provision for income taxes | 906 | 757 | 665 | 1,784 | 169 | 952 | 2,123 | 2,985 | 4,112 | 6,229 | (6,233) |
Net income | $ 14,550 | $ 14,159 | $ 9,058 | $ 11,894 | $ 9,902 | $ 13,381 | $ 13,332 | $ 13,025 | $ 49,661 | $ 49,640 | $ 6,782 |
Earnings per share: | |||||||||||
Basic (usd per share) | $ 0.29 | $ 0.28 | $ 0.18 | $ 0.24 | $ 0.20 | $ 0.27 | $ 0.27 | $ 0.27 | $ 1 | $ 1.01 | $ 0.16 |
Diluted (usd per share) | 0.29 | 0.28 | 0.18 | 0.24 | 0.20 | 0.27 | 0.27 | 0.26 | $ 0.99 | $ 1 | $ 0.16 |
Stock Price (per share): | |||||||||||
High (usd per share) | 18.49 | 14.16 | 13.51 | 12.81 | 14.16 | 13.87 | 13.91 | 14.47 | |||
Low (usd per share) | $ 13.51 | $ 12.64 | $ 12.16 | $ 10.28 | $ 12.45 | $ 12.14 | $ 12.25 | $ 12 |
SELECTED QUARTERLY CONSOLIDA132
SELECTED QUARTERLY CONSOLIDATED INFORMATION (UNAUDITED) - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | |
Jun. 30, 2016 | Dec. 31, 2015 | |
Quarterly Financial Information Disclosure [Abstract] | ||
Severance costs | $ 1.4 | |
Merger related expenses | $ 1.6 |
PARENT COMPANY FINANCIAL INF133
PARENT COMPANY FINANCIAL INFORMATION - Condensed Statements of Condition (Detail) - USD ($) $ in Thousands | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | Dec. 31, 2013 |
Assets: | ||||
Cash and due from banks | $ 47,248 | $ 47,602 | ||
Other assets | 65,086 | 59,736 | ||
Total Assets | 6,599,520 | 6,228,541 | ||
Liabilities and Stockholders’ Equity: | ||||
Accrued expenses and other liabilities | 49,509 | 53,403 | ||
Stockholders’ equity | 655,866 | 625,521 | $ 602,408 | $ 299,382 |
Total Liabilities and Stockholders’ Equity | 6,599,520 | 6,228,541 | ||
Parent Company | ||||
Assets: | ||||
Cash and due from banks | 16,567 | 28,825 | ||
Investment in United Bank | 681,985 | 630,575 | ||
Due from United Bank | 11,405 | 9,374 | ||
Other assets | 27,308 | 37,938 | ||
Total Assets | 737,265 | 706,712 | ||
Liabilities and Stockholders’ Equity: | ||||
Subordinated debentures | 79,716 | 79,489 | ||
Accrued expenses and other liabilities | 1,683 | 1,702 | ||
Stockholders’ equity | 655,866 | 625,521 | ||
Total Liabilities and Stockholders’ Equity | $ 737,265 | $ 706,712 |
PARENT COMPANY FINANCIAL INF134
PARENT COMPANY FINANCIAL INFORMATION - Condensed Statements of Net Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Interest and dividend income: | |||||||||||
Net interest income (expense) | $ 43,172 | $ 43,029 | $ 41,496 | $ 43,402 | $ 40,693 | $ 41,643 | $ 40,903 | $ 41,343 | $ 171,099 | $ 164,582 | $ 137,872 |
Non-interest income | 8,936 | 7,889 | 6,532 | 6,727 | 8,463 | 7,818 | 9,371 | 6,835 | 30,084 | 32,487 | 16,605 |
Income before income taxes | 15,456 | 14,916 | 9,723 | 13,678 | 10,071 | 14,333 | 15,455 | 16,010 | 53,773 | 55,869 | 549 |
Income tax benefit | (906) | (757) | (665) | (1,784) | (169) | (952) | (2,123) | (2,985) | (4,112) | (6,229) | 6,233 |
Net income | $ 14,550 | $ 14,159 | $ 9,058 | $ 11,894 | $ 9,902 | $ 13,381 | $ 13,332 | $ 13,025 | 49,661 | 49,640 | 6,782 |
Parent Company | |||||||||||
Interest and dividend income: | |||||||||||
Dividend income from United Bank | 0 | 30,913 | 13,310 | ||||||||
Other interest and dividend income | 159 | 103 | 35 | ||||||||
Interest expense on subordinated debentures | (4,738) | (4,682) | (1,353) | ||||||||
Net interest income (expense) | (4,579) | 26,334 | 11,992 | ||||||||
Non-interest income | 0 | 434 | 73 | ||||||||
General and administrative expense | 4,982 | 4,714 | 7,257 | ||||||||
Income before income taxes | (9,561) | 22,054 | 4,808 | ||||||||
Income tax benefit | 3,338 | 3,094 | 2,566 | ||||||||
Income (loss) before equity in undistributed net income of United Bank | (6,223) | 25,148 | 7,374 | ||||||||
Equity in undistributed net income (loss) of United Bank | 55,884 | 24,492 | (592) | ||||||||
Net income | $ 49,661 | $ 49,640 | $ 6,782 |
PARENT COMPANY FINANCIAL INF135
PARENT COMPANY FINANCIAL INFORMATION - Condensed Statements of Cash Flows (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2016 | Sep. 30, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 | Sep. 30, 2015 | Jun. 30, 2015 | Mar. 31, 2015 | Dec. 31, 2016 | Dec. 31, 2015 | Dec. 31, 2014 | |
Cash flows from operating activities: | |||||||||||
Net income | $ 14,550 | $ 14,159 | $ 9,058 | $ 11,894 | $ 9,902 | $ 13,381 | $ 13,332 | $ 13,025 | $ 49,661 | $ 49,640 | $ 6,782 |
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||||||||
Amortization of subordinated debt issuance costs, net | 126 | 126 | 34 | ||||||||
Share-based compensation expense | 2,252 | 1,076 | 3,957 | ||||||||
ESOP expense | 308 | 299 | 1,727 | ||||||||
Tax provision (benefit) of stock-based awards | (486) | 317 | (820) | ||||||||
Net change in: | |||||||||||
Other assets | (4,327) | (16,172) | (33,243) | ||||||||
Net cash provided by (used in) operating activities | (313) | 50,770 | (9,599) | ||||||||
Cash flows from investing activities: | |||||||||||
Net cash used in investing activities | (332,492) | (747,977) | (595,384) | ||||||||
Cash flows from financing activities: | |||||||||||
Cancellation of shares for tax withholding | (327) | (311) | (1,367) | ||||||||
Tax effects of share-based awards | 486 | (317) | 820 | ||||||||
Cash dividends paid on common stock | (23,836) | (22,479) | (18,008) | ||||||||
Net cash provided by financing activities | 328,573 | 705,431 | 646,700 | ||||||||
Net (decrease) increase in cash and cash equivalents | (4,232) | 8,224 | 41,717 | ||||||||
Cash and cash equivalents - beginning of year | 95,176 | 86,952 | 95,176 | 86,952 | 45,235 | ||||||
Cash and cash equivalents - end of year | 90,944 | 95,176 | 90,944 | 95,176 | 86,952 | ||||||
Parent Company | |||||||||||
Cash flows from operating activities: | |||||||||||
Net income | 49,661 | 49,640 | 6,782 | ||||||||
Adjustments to reconcile net income to net cash provided by (used in) operating activities: | |||||||||||
Amortization of purchase accounting marks, net | 100 | 75 | 41 | ||||||||
Amortization of subordinated debt issuance costs, net | 127 | 127 | 34 | ||||||||
Share-based compensation expense | 2,252 | 1,076 | 3,957 | ||||||||
ESOP expense | 308 | 299 | 1,727 | ||||||||
Undistributed income of United Bank | (55,884) | (24,492) | 592 | ||||||||
Deferred tax provision | 4,237 | 188 | 959 | ||||||||
Tax provision (benefit) of stock-based awards | (486) | 317 | (820) | ||||||||
Net change in: | |||||||||||
Due from United Bank | (2,031) | 6,491 | (5,021) | ||||||||
Other assets | 6,879 | (32,849) | 4,028 | ||||||||
Accrued expenses and other liabilities | (19) | (53) | (2,651) | ||||||||
Net cash provided by (used in) operating activities | 5,144 | 819 | 9,628 | ||||||||
Cash flows from investing activities: | |||||||||||
Cash acquired from United Financial Bancorp, Inc., net | 0 | 0 | 6,546 | ||||||||
Net cash used in investing activities | 0 | 0 | 6,546 | ||||||||
Cash flows from financing activities: | |||||||||||
Proceeds from debt offering, net of expenses | 0 | 0 | 73,733 | ||||||||
Common stock repurchased | 0 | (5,171) | (47,249) | ||||||||
Proceeds from the exercise of stock options | 6,275 | 4,765 | 2,246 | ||||||||
Cancellation of shares for tax withholding | (327) | (311) | (1,367) | ||||||||
Tax effects of share-based awards | 486 | (317) | 820 | ||||||||
Cash dividends paid on common stock | (23,836) | (22,479) | (18,008) | ||||||||
Net cash provided by financing activities | (17,402) | (23,513) | 10,175 | ||||||||
Net (decrease) increase in cash and cash equivalents | (12,258) | (22,694) | 26,349 | ||||||||
Cash and cash equivalents - beginning of year | $ 28,825 | $ 51,519 | 28,825 | 51,519 | 25,170 | ||||||
Cash and cash equivalents - end of year | $ 16,567 | $ 28,825 | 16,567 | 28,825 | 51,519 | ||||||
Supplemental disclosures of cash flow information: | |||||||||||
Cash paid (refunded) for income taxes, net | $ 3,655 | $ (6,744) | $ 3,599 |