Cover
Cover - USD ($) shares in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Jan. 31, 2021 | Jun. 30, 2020 | |
Cover [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2020 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Transition Report | false | ||
Entity File Number | 1-15817 | ||
Entity Registrant Name | OLD NATIONAL BANCORP | ||
Entity Incorporation, State or Country Code | IN | ||
Entity Tax Identification Number | 35-1539838 | ||
Entity Address, Address Line One | One Main Street | ||
Entity Address, City or Town | Evansville, | ||
Entity Address, State or Province | IN | ||
Entity Address, Postal Zip Code | 47708 | ||
City Area Code | 800 | ||
Local Phone Number | 731-2265 | ||
Title of 12(b) Security | Common Stock, No Par Value | ||
Trading Symbol | ONB | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
ICFR Auditor Attestation Flag | true | ||
Entity Shell Company | false | ||
Entity Public Float | $ 2,248,155,309 | ||
Entity Common Stock, Shares Outstanding (in shares) | 165,378 | ||
Documents Incorporated by Reference | Portions of the Proxy Statement for the Annual Meeting of Shareholders to be held April 29, 2021 are incorporated by reference into Part III of this Form 10-K. | ||
Amendment Flag | false | ||
Document Fiscal Year Focus | 2020 | ||
Document Fiscal Period Focus | FY | ||
Entity Central Index Key | 0000707179 |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | |
Assets | |||
Cash and due from banks | $ 268,208 | $ 234,766 | |
Money market and other interest-earning investments | 321,504 | 41,571 | |
Total cash and cash equivalents | 589,712 | 276,337 | |
Equity securities, at fair value | 2,547 | 6,842 | |
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 5,970,115 | 5,385,091 | |
Federal Home Loan Bank/Federal Reserve Bank stock, at cost | 169,433 | 164,099 | |
Loans held for sale, at fair value | 63,250 | 46,898 | |
Loans: | |||
Total loans, net of unearned income | 13,786,479 | 12,117,524 | |
Allowance for loan losses | [1] | (131,388) | (54,619) |
Net loans | 13,655,091 | 12,062,905 | |
Premises and equipment, net | 464,408 | 490,925 | |
Operating lease right-of-use assets | 76,197 | 95,477 | |
Accrued interest receivable | 85,306 | 85,123 | |
Goodwill | 1,036,994 | 1,036,994 | |
Other intangible assets | 46,014 | 60,105 | |
Company-owned life insurance | 456,110 | 448,967 | |
Other assets | 345,445 | 251,904 | |
Total assets | 22,960,622 | 20,411,667 | |
Deposits: | |||
Noninterest-bearing demand | 5,633,672 | 4,042,286 | |
Interest-bearing: | |||
Checking and NOW | 4,877,046 | 4,149,639 | |
Savings | 3,395,747 | 2,845,423 | |
Money market | 1,908,118 | 1,833,819 | |
Other time deposits | 1,103,313 | 1,589,988 | |
Brokered deposits | 119,557 | 92,242 | |
Total deposits | 17,037,453 | 14,553,397 | |
Federal funds purchased and interbank borrowings | 1,166 | 350,414 | |
Securities sold under agreements to repurchase | 431,166 | 327,782 | |
Federal Home Loan Bank advances | 1,991,435 | 1,822,847 | |
Other borrowings | 252,787 | 243,685 | |
Operating lease liabilities | 86,598 | 99,500 | |
Accrued expenses and other liabilities | 187,361 | 161,589 | |
Total liabilities | 19,987,966 | 17,559,214 | |
Commitments and contingencies (Note 20) | |||
Shareholders' Equity | |||
Preferred stock, series A, 2,000 shares authorized, no shares issued or outstanding | 0 | 0 | |
Common stock, $1.00 per share stated value, 300,000 shares authorized, 165,367 and 169,616 shares issued and outstanding, respectively | 165,367 | 169,616 | |
Capital surplus | 1,875,626 | 1,944,445 | |
Retained earnings | 783,892 | 682,185 | |
Accumulated other comprehensive income (loss), net of tax | 147,771 | 56,207 | |
Total shareholders' equity | 2,972,656 | 2,852,453 | |
Total liabilities and shareholders' equity | 22,960,622 | 20,411,667 | |
Commercial | |||
Loans: | |||
Total loans, net of unearned income | 3,956,422 | 2,890,296 | |
Allowance for loan losses | (30,567) | (21,359) | |
Commercial real estate | |||
Loans: | |||
Total loans, net of unearned income | 5,946,512 | 5,166,792 | |
Allowance for loan losses | (75,810) | (20,535) | |
Residential real estate | |||
Loans: | |||
Total loans, net of unearned income | 2,248,422 | 2,334,289 | |
Allowance for loan losses | (12,608) | (2,299) | |
Consumer credit, net of unearned income | |||
Loans: | |||
Total loans, net of unearned income | 1,635,123 | 1,726,147 | |
U.S. Treasury | |||
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 10,208 | 17,682 | |
U.S. government-sponsored entities and agencies | |||
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 841,988 | 592,984 | |
Mortgage-backed securities | |||
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 3,339,098 | 3,183,861 | |
States and political subdivisions | |||
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 1,492,162 | 1,275,643 | |
Other securities | |||
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | $ 286,659 | $ 314,921 | |
[1] | Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - $ / shares | Dec. 31, 2020 | Dec. 31, 2019 |
Statement of Financial Position [Abstract] | ||
Preferred stock, shares authorized (in shares) | 2,000,000 | 2,000,000 |
Preferred stock, shares issued (in shares) | 0 | 0 |
Preferred stock, shares outstanding (in shares) | 0 | 0 |
Common stock, stated value (in dollars per share) | $ 1 | $ 1 |
Authorized and unissued common shares reserved for issuance (in shares) | 300,000,000 | 300,000,000 |
Common stock, shares issued (in shares) | 165,367,000 | |
Common stock, shares outstanding (in shares) | 169,616,000 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) shares in Thousands, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Loans including fees: | ||||
Taxable | $ 515,980 | $ 569,718 | $ 508,293 | |
Nontaxable | 13,908 | 15,919 | 16,299 | |
Investment securities: | ||||
Taxable | 98,953 | 113,832 | 80,168 | |
Nontaxable | 33,899 | 29,248 | 26,655 | |
Money market and other interest-earning investments | 568 | 1,670 | 630 | |
Total interest income | 663,308 | 730,387 | 632,045 | |
Interest Expense | ||||
Deposits | 28,169 | 69,364 | 41,277 | |
Federal funds purchased and interbank borrowings | 1,296 | 5,656 | 4,793 | |
Securities sold under agreements to repurchase | 854 | 2,517 | 1,962 | |
Federal Home Loan Bank advances | 27,274 | 37,452 | 34,925 | |
Other borrowings | 9,621 | 11,125 | 11,486 | |
Total interest expense | 67,214 | 126,114 | 94,443 | |
Net interest income | 596,094 | 604,273 | 537,602 | |
Provision for loan losses | [1] | 38,395 | 4,747 | 6,966 |
Net interest income after provision for loan losses | 557,699 | 599,526 | 530,636 | |
Noninterest Income | ||||
Wealth management fees | 36,806 | 37,072 | 36,863 | |
Service charges on deposit accounts | 35,081 | 44,915 | 44,026 | |
Debit card and ATM fees | 20,178 | 21,652 | 20,216 | |
Mortgage banking revenue | 62,775 | 26,622 | 17,657 | |
Investment product fees | 21,614 | 21,785 | 20,539 | |
Capital markets income | 22,480 | 13,270 | 4,934 | |
Company-owned life insurance | 12,031 | 11,539 | 10,584 | |
Debt securities gains (losses), net | 10,767 | 1,923 | 2,060 | |
Net gain on banking center divestitures | 0 | 0 | 13,989 | |
Other income | 17,542 | 20,539 | 24,437 | |
Total noninterest income | 239,274 | 199,317 | 195,305 | |
Noninterest Expense | ||||
Salaries and employee benefits | 293,590 | 289,452 | 281,275 | |
Occupancy | 55,316 | 55,255 | 51,941 | |
Equipment | 16,690 | 16,903 | 14,861 | |
Marketing | 10,874 | 15,898 | 15,847 | |
Data processing | 41,086 | 37,589 | 36,170 | |
Communication | 9,731 | 10,702 | 10,846 | |
Professional fees | 15,755 | 22,854 | 14,503 | |
FDIC assessment | 6,722 | 6,030 | 10,638 | |
Amortization of intangibles | 14,091 | 16,911 | 14,442 | |
Amortization of tax credit investments | 18,788 | 2,749 | 22,949 | |
Other expense | 58,774 | 34,144 | 43,789 | |
Total noninterest expense | 541,417 | 508,487 | 517,261 | |
Income before income taxes | 255,556 | 290,356 | 208,680 | |
Income tax expense | 29,147 | 52,150 | 17,850 | |
Net income | $ 226,409 | $ 238,206 | $ 190,830 | |
Net income per common share - basic (in dollars per share) | $ 1.37 | $ 1.39 | $ 1.23 | |
Net income per common share - diluted (in dollars per share) | $ 1.36 | $ 1.38 | $ 1.22 | |
Weighted average number of common shares outstanding - basic (in shares) | 165,509 | 171,907 | 155,675 | |
Weighted average number of common shares outstanding - diluted (in shares) | 166,177 | 172,687 | 156,539 | |
Dividends per common share (in dollars per share) | $ 0.56 | $ 0.52 | $ 0.52 | |
[1] | Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Comprehensive Income [Abstract] | |||
Net income | $ 226,409 | $ 238,206 | $ 190,830 |
Change in debt securities available-for-sale: | |||
Unrealized holding gains (losses) for the period | 125,214 | 123,006 | (4,769) |
Reclassification for securities transferred to held-to-maturity | 0 | 0 | 14,007 |
Reclassification adjustment for securities (gains) losses realized in income | (10,767) | (1,923) | (2,060) |
Income tax effect | (25,243) | (27,604) | (1,386) |
Unrealized gains (losses) on available-for-sale debt securities | 89,204 | 93,479 | 5,792 |
Change in securities held-to-maturity: | |||
Adjustment for securities transferred to available-for-sale | 0 | 8,200 | 19,412 |
Adjustment for securities transferred from available-for-sale | 0 | 0 | (14,007) |
Amortization of unrealized losses on securities transferred from available-for-sale | 0 | 2,812 | 2,181 |
Income tax effect | 0 | (2,497) | (1,394) |
Changes from securities held-to-maturity | 0 | 8,515 | 6,192 |
Cash flow hedges: | |||
Net unrealized derivative gains (losses) on cash flow hedges | 8,261 | (543) | |
Net unrealized derivative gains (losses) on cash flow hedges | 5,145 | ||
Reclassification adjustment for (gains) losses realized in net income | (5,153) | (596) | |
Reclassification adjustment for (gains) losses realized in net income | 150 | ||
Income tax effect | (764) | 280 | |
Income tax effect | (1,298) | ||
Changes from cash flow hedges | 2,344 | (859) | |
Changes from cash flow hedges | 3,997 | ||
Defined benefit pension plans: | |||
Amortization of net loss recognized in income | 21 | 30 | 191 |
Income tax effect | (5) | (8) | (47) |
Changes from defined benefit pension plans | 16 | 22 | 144 |
Other comprehensive income (loss) | 91,564 | 101,157 | 16,125 |
Comprehensive income | $ 317,973 | $ 339,363 | $ 206,955 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Total | Adjustment | Adjusted Balance | Minnesota-Based Klein Financial, Inc. | Common Stock | Common StockAdjusted Balance | Common StockMinnesota-Based Klein Financial, Inc. | Capital Surplus | Capital SurplusAdjusted Balance | Capital SurplusMinnesota-Based Klein Financial, Inc. | Retained Earnings | Retained EarningsAdjustment | Retained EarningsAdjusted Balance | Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss)Adjustment | Accumulated Other Comprehensive Income (Loss)Adjusted Balance |
Beginning Balance at Dec. 31, 2017 | $ 2,154,397 | $ (4,179) | $ 2,150,218 | $ 152,040 | $ 152,040 | $ 1,639,499 | $ 1,639,499 | $ 413,130 | $ (4,127) | $ 409,003 | $ (50,272) | $ (52) | $ (50,324) | |||
Reclassification of certain tax effects related to the Tax Cuts and Jobs Act of 2017 | (10,751) | 10,751 | (10,751) | |||||||||||||
Net income | 190,830 | 190,830 | ||||||||||||||
Other comprehensive income (loss) | 16,125 | 16,125 | ||||||||||||||
Acquisition | 406,474 | $ 406,474 | $ 22,772 | $ 383,702 | ||||||||||||
Dividends - common stock | (82,161) | (82,161) | ||||||||||||||
Common stock issued | 497 | 29 | 468 | |||||||||||||
Common stock repurchased | (1,805) | (104) | (1,701) | |||||||||||||
Share-based compensation expense | 8,118 | 8,118 | ||||||||||||||
Stock activity under incentive compensation plans | 1,274 | 404 | 1,609 | (739) | ||||||||||||
Ending Balance at Dec. 31, 2018 | 2,689,570 | 6,322 | 2,695,892 | 175,141 | 175,141 | 2,031,695 | 2,031,695 | 527,684 | 6,322 | 534,006 | (44,950) | (44,950) | ||||
Net income | 238,206 | 238,206 | ||||||||||||||
Other comprehensive income (loss) | 101,157 | 101,157 | ||||||||||||||
Dividends - common stock | (89,474) | (89,474) | ||||||||||||||
Common stock issued | 567 | 36 | 531 | |||||||||||||
Common stock repurchased | (102,413) | (6,174) | (96,239) | |||||||||||||
Share-based compensation expense | 7,993 | 7,993 | ||||||||||||||
Stock activity under incentive compensation plans | 525 | 613 | 465 | (553) | ||||||||||||
Ending Balance at Dec. 31, 2019 | 2,852,453 | $ (31,150) | $ 2,821,303 | 169,616 | $ 169,616 | 1,944,445 | $ 1,944,445 | 682,185 | $ (31,150) | $ 651,035 | 56,207 | $ 56,207 | ||||
Net income | 226,409 | 226,409 | ||||||||||||||
Other comprehensive income (loss) | 91,564 | 91,564 | ||||||||||||||
Dividends - common stock | (92,946) | (92,946) | ||||||||||||||
Common stock issued | 577 | 43 | 534 | |||||||||||||
Common stock repurchased | (82,358) | (5,115) | (77,243) | |||||||||||||
Share-based compensation expense | 7,707 | 7,707 | ||||||||||||||
Stock activity under incentive compensation plans | 400 | 823 | 183 | (606) | ||||||||||||
Ending Balance at Dec. 31, 2020 | $ 2,972,656 | $ 165,367 | $ 1,875,626 | $ 783,892 | $ 147,771 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Statement of Stockholders' Equity [Abstract] | |||
Dividends per common share (in dollars per share) | $ 0.56 | $ 0.52 | $ 0.52 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||
Cash Flows From Operating Activities | ||||
Net income | $ 226,409 | $ 238,206 | $ 190,830 | |
Adjustments to reconcile net income to cash provided by operating activities: | ||||
Depreciation | 28,911 | 26,719 | 23,773 | |
Amortization of other intangible assets | 14,091 | 16,911 | 14,442 | |
Amortization of tax credit investments | 18,788 | 2,749 | 22,949 | |
Net premium amortization on investment securities | 18,798 | 19,210 | 14,384 | |
Accretion income related to acquired loans | (23,331) | (42,772) | (40,598) | |
Share-based compensation expense | 7,707 | 7,993 | 8,118 | |
Excess tax (benefit) expense on share-based compensation | 401 | |||
Excess tax (benefit) expense on share-based compensation | (766) | (1,069) | ||
Provision for loan losses | [1] | 38,395 | 4,747 | 6,966 |
Debt securities (gains) losses, net | (10,767) | (1,923) | (2,060) | |
Net gain on banking center divestitures | 0 | 0 | (13,989) | |
Net (gains) losses on sales of loans and other assets | (23,787) | (7,370) | (2,290) | |
Increase in cash surrender value of company-owned life insurance | (12,031) | (11,539) | (10,584) | |
Residential real estate loans originated for sale | (1,432,488) | (854,848) | (501,999) | |
Proceeds from sales of residential real estate loans | 1,455,067 | 834,024 | 514,891 | |
(Increase) decrease in interest receivable | (183) | 4,340 | 2,038 | |
(Increase) decrease in other assets | (105,203) | 23,322 | 8,578 | |
Increase (decrease) in accrued expenses and other liabilities | 20,210 | (24,944) | (1,443) | |
Net cash flows provided by (used in) operating activities | 219,820 | 233,756 | 234,407 | |
Cash Flows From Investing Activities | ||||
Cash received (paid) from acquisitions, net | 0 | 0 | 60,759 | |
Payments related to banking center divestitures | 0 | 0 | (210,659) | |
Purchases of investment securities available-for-sale | (2,803,406) | (2,366,089) | (663,338) | |
Purchases of Federal Home Loan Bank/Federal Reserve Bank stock | (10,025) | (21,142) | (23,066) | |
Proceeds from maturities, prepayments, and calls of investment securities available-for-sale | 1,990,383 | 1,175,272 | 419,270 | |
Proceeds from sales of investment securities available-for-sale | 299,885 | 424,140 | 139,364 | |
Proceeds from maturities, prepayments, and calls of investment securities held-to-maturity | 0 | 115,648 | 55,520 | |
Proceeds from sales of investment securities held-to-maturity | 0 | 9,921 | 0 | |
Proceeds from sales of Federal Home Loan Bank/Federal Reserve Bank stock | 4,691 | 23 | 2,409 | |
Proceeds from sales of equity securities | 39,296 | 130 | 128 | |
Proceeds from sale of student loan portfolio | 0 | 0 | 70,674 | |
Loan originations and payments, net | (1,644,119) | 163,551 | (102,928) | |
Proceeds from company-owned life insurance death benefits | 4,888 | 6,796 | 6,501 | |
Proceeds from sale of premises and equipment and other assets | 7,826 | 3,769 | 7,341 | |
Purchases of premises and equipment and other assets | (30,871) | (37,423) | (33,391) | |
Net cash flows provided by (used in) investing activities | (2,141,452) | (525,404) | (271,416) | |
Net increase (decrease) in: | ||||
Deposits | 2,484,056 | 203,448 | 261,551 | |
Federal funds purchased and interbank borrowings | (349,248) | 80,279 | (64,898) | |
Securities sold under agreements to repurchase | 103,384 | (34,512) | (41,997) | |
Other borrowings | 4,171 | (4,377) | (1,505) | |
Payments for maturities of Federal Home Loan Bank advances | (751,505) | (377,978) | (1,001,888) | |
Payments for modification of Federal Home Loan Bank advances | (31,124) | 0 | 0 | |
Proceeds from Federal Home Loan Bank advances | 950,000 | 575,000 | 995,000 | |
Cash dividends paid on common stock | (92,946) | (89,474) | (82,161) | |
Common stock repurchased | (82,358) | (102,413) | (1,805) | |
Proceeds from exercise of stock options | 0 | 280 | 948 | |
Common stock issued | 577 | 567 | 497 | |
Net cash flows provided by (used in) financing activities | 2,235,007 | 250,820 | 63,742 | |
Net increase (decrease) in cash and cash equivalents | 313,375 | (40,828) | 26,733 | |
Cash and cash equivalents at beginning of period | 276,337 | 317,165 | 290,432 | |
Cash and cash equivalents at end of period | $ 589,712 | $ 276,337 | $ 317,165 | |
[1] | Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. |
Nature of Operations
Nature of Operations | 12 Months Ended |
Dec. 31, 2020 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations | NATURE OF OPERATIONS Old National Bancorp, a financial holding company headquartered in Evansville, Indiana, operates primarily in Indiana, Kentucky, Michigan, Minnesota, and Wisconsin. Its principal subsidiary is Old National Bank. Through its bank and non-bank affiliates, Old National Bancorp provides to its clients an array of financial services including loan, deposit, wealth management, investment consulting, and investment products. |
Basis of Presentation and Signi
Basis of Presentation and Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation and Significant Accounting Policies | BASIS OF PRESENTATION AND SIGNIFICANT ACCOUNTING POLICIES Basis of Presentation The accompanying consolidated financial statements include the accounts of Old National Bancorp and its wholly-owned affiliates (hereinafter collectively referred to as “Old National”) and have been prepared in conformity with accounting principles generally accepted in the United States of America and prevailing practices within the banking industry. Such principles require management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and the disclosures of contingent assets and liabilities at the date of the financial statements and amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. All significant intercompany transactions and balances have been eliminated. Certain prior year amounts have been reclassified to conform to the current presentation. Such reclassifications had no effect on prior year net income or shareholders’ equity and were insignificant amounts. Equity Securities Equity securities consist of mutual funds held in trusts associated with deferred compensation plans for former directors and executives. These mutual funds are recorded as equity securities at fair value. Gains and losses are included in other income in 2020 and 2019 and net securities gains in 2018. Investment Securities Old National classified all of its debt investment securities as available-for-sale at December 31, 2020. Debt securities classified as available-for-sale are recorded at fair value with the unrealized gains and losses, net of tax effect, recorded in other comprehensive income. Realized gains and losses affect income and the prior fair value adjustments are reclassified within shareholders’ equity. Prior to the fourth quarter of 2019, Old National also had debt securities classified as held-to-maturity. Debt securities classified as held-to-maturity, which management had the intent and ability to hold to maturity, were reported at amortized cost. Interest income included amortization of purchase premiums or discounts. Premiums and discounts were amortized on the level-yield method. Anticipated prepayments were considered when amortizing premiums and discounts on mortgage backed securities. Gains and losses on the sale of available-for-sale debt securities are determined using the specific-identification method. Available-for-sale debt securities in unrealized loss positions are evaluated for impairment related to credit losses at least quarterly. For available-for sale debt securities in an unrealized loss position, we first assess whether we intend to sell, or it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through income. For available-for-sale debt securities that do not meet the criteria, we evaluate whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security and the issuer, among other factors. If this assessment indicates that a credit loss exists, we compare the present value of cash flows expected to be collected from the security with the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis for the security, a credit loss exists and an allowance for credit losses is recorded, limited to the amount that the fair value of the security is less than its amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income, net of applicable taxes. Accrued interest receivable on available-for-sale debt securities is excluded from the estimate of credit losses. Federal Home Loan Bank Stock Old National is a member of the FHLB system. Members are required to own a certain amount of stock based on the level of borrowings and other factors and may invest in additional amounts. FHLB stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. Loans Held for Sale Loans that Old National has originated with an intent to sell are classified as loans held for sale and are recorded at fair value, determined individually, as of the balance sheet date. The loan’s fair value includes the servicing value of the loans as well as any accrued interest. Conventional mortgage production is sold on a servicing retained basis. Certain loans, such as government guaranteed mortgage loans are sold on servicing released basis. Mortgage loans held for immediate sale in the secondary market were $63.3 million at December 31, 2020, compared to $46.9 million at December 31, 2019. Loans Loans that Old National intends to hold for investment purposes are classified as portfolio loans. Portfolio loans are carried at the principal balance outstanding, net of earned interest, purchase premiums or discounts, deferred loan fees and costs, and an allowance for credit losses. Interest income is accrued on the principal balances of loans outstanding. For all loan classes, a loan is generally placed on nonaccrual status when principal or interest becomes 90 days past due unless it is well secured and in the process of collection, or earlier when concern exists as to the ultimate collectability of principal or interest. Interest accrued but not received is reversed against earnings. Cash interest received on these loans is applied to the principal balance until the principal is recovered or until the loan returns to accrual status. Loans may be returned to accrual status when all the principal and interest amounts contractually due are brought current, remain current for a prescribed period, and future payments are reasonably assured. Old National has purchased loans, some of which have experienced more than insignificant credit deterioration since origination. PCD loans are recorded at the amount paid. An allowance for credit losses is determined using the same methodology as other loans held for investment. The initial allowance for credit losses determined on a collective basis is allocated to individual loans. The sum of the loan’s purchase price and initial allowance for credit losses becomes its initial amortized cost basis. The difference between the initial amortized cost basis and the par value of the loan is a noncredit discount or premium, which is accreted or amortized into interest income over the life of the loan. Subsequent changes to the allowance for credit losses are recorded through provision for credit losses. Allowance for Credit Losses for Loans Credit quality within the loans held for investment portfolio is continuously monitored by management and is reflected within the allowance for credit losses for loans. The allowance for credit losses is an estimate of expected losses inherent within the Company’s loans held for investment portfolio. Credit quality is assessed and monitored by evaluating various attributes and the results of those evaluations are utilized in underwriting new loans and in our process for estimating expected credit losses. Expected credit loss inherent in non-cancelable off-balance-sheet credit exposures is accounted for as a separate liability included in other liabilities on the balance sheet. The allowance for credit losses for loans held for investment is adjusted by a credit loss expense, which is reported in earnings, and reduced by the charge-off of loan amounts, net of recoveries. We have made a policy election to report accrued interest receivable as a separate line item on the balance sheet. The allowance for credit loss estimation process involves procedures to appropriately consider the unique characteristics of the loan portfolio segments. These segments are further disaggregated into loan classes based on the level at which credit risk is monitored. When computing the level of expected credit losses, credit loss assumptions are estimated using a model that categorizes loan pools based on loss history, delinquency status, and other credit trends and risk characteristics, including current conditions and reasonable and supportable forecasts about the future. Determining the appropriateness of the allowance is complex and requires judgment by management about the effect of matters that are inherently uncertain. In future periods evaluations of the overall loan portfolio, in light of the factors and forecasts then prevailing, may result in significant changes in the allowance and credit loss expense in those future periods. The allowance level is influenced by loan volumes, loan AQR migration or delinquency status, changes in historical loss experience, and other conditions influencing loss expectations, such as reasonable and supportable forecasts of economic conditions. The methodology for estimating the amount of expected credit losses reported in the allowance for credit losses has two basic components: first, an asset-specific component involving individual loans that do not share risk characteristics with other loans and the measurement of expected credit losses for such individual loans; and second, a pooled component for estimated expected credit losses for pools of loans that share similar risk characteristics. We utilize a discounted cashflow approach to determine the allowance for credit losses for performing loans and nonperforming loans. Expected cashflows are created for each loan and discounted using the effective yield. The discounted sum of expected cashflows is then compared to the amortized cost and any shortfall is recorded as reserve. Expected cashflows are created using a combination of contractual payment schedules, calculated PDs, LGD, and prepayment assumptions as well as qualitative factors. For the commercial and commercial real estate loans, the PD is forecast using a regression model to determine the likelihood of a loan moving into nonaccrual within the time horizon. For residential and consumer loans, the PD is forecast using a regression model to determine the likelihood of a loan being charged-off within the time horizon. The regression models use combinations of variables to assess systematic and unsystematic risk. Variables used for unsystematic risk are borrower specific and help to gauge the risk of default from an individual borrower. Variables for systematic risk, risk inherent to all borrowers, come from the use of forward-looking economic forecasts and include variables such as unemployment rate, gross domestic product, and house price index. The LGD is defined as credit loss incurred when an obligor of the bank defaults. Qualitative factors include items such as changes in lending policies or procedures and economic uncertainty in forward-looking forecasts. Further information regarding Old National’s policies and methodology used to estimate the allowance for credit losses for loans is presented in Note 3. Premises and Equipment Premises and equipment are stated at cost less accumulated depreciation. Land is stated at cost. Depreciation is charged to operating expense over the useful lives of the assets, principally on the straight-line method. Useful lives for premises and equipment are as follows: buildings and building improvements – 15 to 39 years; and furniture and equipment – 3 to 7 years. Leasehold improvements are depreciated over the lesser of their useful lives or the term of the lease. Maintenance and repairs are expensed as incurred while major additions and improvements are capitalized. Interest costs on construction of qualifying assets are capitalized. Premises and equipment are reviewed for impairment when events indicate their carrying amount may not be recoverable from future undiscounted cash flows. If impaired, the assets are adjusted to fair value. Such impairments are included in other expense. Goodwill and Other Intangible Assets The excess of the cost of acquired entities over the fair value of identifiable assets acquired less liabilities assumed is recorded as goodwill. Amortization of goodwill and indefinite-lived assets is not recorded. However, the recoverability of goodwill and other intangible assets are tested annually for impairment. Other intangible assets, including core deposits and customer business relationships, are amortized primarily on an accelerated basis over their estimated useful lives, generally over a period of 5 to 15 years. Company-Owned Life Insurance Old National has purchased, as well as obtained through acquisitions, life insurance policies on certain key executives. Old National records company-owned life insurance at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement. Loan Servicing Rights When loans are sold with servicing retained, servicing rights are initially recorded at fair value with the income statement effect recorded in gain on sales of loans. Fair value is based on market prices for comparable servicing contracts, when available or alternatively, is based on a valuation model that calculates the present value of estimated future net servicing income. All classes of servicing assets are subsequently measured using the amortization method which requires servicing rights to be amortized into noninterest income in proportion to, and over the period of, the estimated future net servicing income of the underlying loans. Loan servicing rights are included in other assets on the balance sheet. Loan servicing rights are evaluated for impairment based upon the fair value of the rights as compared to carrying amount. Impairment is determined by stratifying rights into groupings based on predominant risk characteristics, such as interest rate, loan type, term, and investor type. Impairment is recognized through a valuation allowance for an individual grouping, to the extent that fair value is less than the carrying amount. If Old National later determines that all or a portion of the impairment no longer exists for a particular grouping, a reduction of the allowance may be recorded as an increase to income. Changes in valuation allowances are reported with mortgage banking revenue on the income statement. The fair values of servicing rights are subject to significant fluctuations as a result of changes in estimated and actual prepayment speeds and default rates and losses. Servicing fee income, which is reported on the income statement as mortgage banking revenue, is recorded for fees earned for servicing loans. The fees are based on a contractual percentage of the outstanding principal, or a fixed amount per loan and are recorded as income when earned. Derivative Financial Instruments As part of Old National’s overall interest rate risk management, Old National uses derivative instruments, including TBA forward agreements and interest rate swaps, collars, caps, and floors. All derivative instruments are recognized on the balance sheet at their fair value. At the inception of the derivative contract, Old National designates the derivative as (1) a hedge of the fair value of a recognized asset or liability or of an unrecognized firm commitment (“fair value hedge”), (2) a hedge of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow hedge”), or (3) an instrument with no hedging designation (“stand-alone derivative”). For a fair value hedge, the change in value of the derivative, as well as the offsetting change in value of the hedged item attributable to the hedged risk, are recognized in current earnings during the period of the change in fair values. For a cash flow hedge, the gain or loss on the derivative is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Changes in the fair value of derivatives that do not qualify for hedge accounting are reported currently in earnings, in noninterest income. Net cash settlements on derivatives that qualify for hedge accounting are recorded in interest income or interest expense, based on the item being hedged. Net cash settlements on derivatives that do not qualify for hedge accounting are reported in noninterest income. Old National formally documents all relationships between derivatives and hedged items, as well as the risk-management objective and strategy for undertaking various hedge transactions. This documentation includes linking fair value or cash flow hedges to specific assets and liabilities on the balance sheet or to specific firm commitments or forecasted transactions. Old National also formally assesses, both at the hedge’s inception and on an ongoing basis, whether the derivative instruments that are used in hedging transactions are highly effective in offsetting changes in fair values or cash flows of the hedged items. Old National discontinues hedge accounting prospectively when it is determined that (1) the derivative is no longer effective in offsetting changes in the fair value or cash flows of the hedged item; (2) the derivative expires, is sold, or terminated; (3) the derivative instrument is de-designated as a hedge because the forecasted transaction is no longer probable of occurring; (4) a hedged firm commitment no longer meets the definition of a firm commitment; or (5) management otherwise determines that designation of the derivative as a hedging instrument is no longer appropriate. When hedge accounting is discontinued, subsequent changes in fair value of the derivative are recorded as noninterest income. When a fair value hedge is discontinued, the hedged asset or liability is no longer adjusted for changes in fair value and the existing basis adjustment is amortized or accreted over the remaining life of the asset or liability. When a cash flow hedge is discontinued but the hedged cash flows or forecasted transaction is still expected to occur, changes in value that were accumulated in other comprehensive income are amortized or accreted into earnings over the same periods which the hedged transactions will affect earnings. Old National enters into various stand-alone mortgage-banking derivatives in order to hedge the risk associated with the fluctuation of interest rates. Changes in fair value are recorded as mortgage banking revenue. Old National also enters into various stand-alone derivative contracts to provide derivative products to customers which are carried at fair value with changes in fair value recorded as other noninterest income. Old National is exposed to losses if a counterparty fails to make its payments under a contract in which Old National is in the net receiving position. Old National anticipates that the counterparties will be able to fully satisfy their obligations under the agreements. In addition, Old National obtains collateral above certain thresholds of the fair value of its hedges for each counterparty based upon their credit standing. All of the contracts to which Old National is a party settle monthly, quarterly, or semiannually. Further, Old National has netting agreements with the dealers with which it does business. Credit-Related Financial Instruments In the ordinary course of business, Old National’s bank subsidiary has entered into credit-related financial instruments consisting of commitments to extend credit, commercial letters of credit, and standby letters of credit. The notional amount of these commitments is not reflected in the consolidated financial statements until they are funded. Old National maintains an allowance for credit losses on unfunded commercial lending commitments and letters of credit to provide for the risk of loss inherent in these arrangements. The allowance is computed using a methodology similar to that used to determine the allowance for credit losses for loans, modified to take into account the probability of a drawdown on the commitment. The allowance for credit losses on unfunded loan commitments is classified as a liability account on the balance sheet and is adjusted as a provision for credit loss expense included in other expense. Repossessed Collateral Other real estate owned and repossessed personal property are initially recorded at the fair value of the property less estimated cost to sell and are included in other assets on the balance sheet. Physical possession of residential real estate property collateralizing a consumer mortgage loan occurs when legal title is obtained upon completion of foreclosure or when the borrower conveys all interest in the property to satisfy the loan through the completion of a deed in lieu of foreclosure or through a similar legal agreement. Any excess recorded investment over the fair value of the property received is charged to the allowance for credit losses. Any subsequent write-downs are recorded in noninterest expense, as are the costs of operating the properties. Gains or losses resulting from the sale of collateral are recognized in noninterest expense at the date of sale. Securities Purchased Under Agreements to Resell and Securities Sold Under Agreements to Repurchase We purchase certain securities, generally U.S. government-sponsored entity and agency securities, under agreements to resell. The amounts advanced under these agreements represent short-term secured loans and are reflected as assets in the accompanying consolidated balance sheets. We also sell certain securities under agreements to repurchase. These agreements are treated as collateralized financing transactions. These secured borrowings are reflected as liabilities in the accompanying consolidated balance sheets and are recorded at the amount of cash received in connection with the transaction. Short-term securities sold under agreements to repurchase generally mature within one Share-Based Compensation Compensation cost is recognized for stock options, stock appreciation rights, and restricted stock awards and units issued to employees based on the fair value of these awards at the date of grant. A Black-Scholes model is utilized to estimate the fair value of stock options and appreciation rights, while the market price of our Common Stock at the date of grant is used for restricted stock awards. A third party provider is used to value certain restricted stock units where the performance measure is based on total shareholder return. Compensation expense is recognized over the required service period. Forfeitures are recognized as they occur. Income Taxes Income tax expense is the total of the current year income tax due or refundable and the change in deferred tax assets and liabilities. Deferred tax assets and liabilities are the expected future tax amounts for the temporary differences between carrying amounts and tax bases of assets and liabilities, computed using enacted tax rates. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. We recognize a tax position as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. We recognize interest and/or penalties related to income tax matters in income tax expense. Old National is a limited partner in several tax-advantaged limited partnerships whose purpose is to invest in approved qualified affordable housing, renewable energy, or other renovation or community revitalization projects. These investments are included in other assets on the balance sheet, with any unfunded commitments included with other liabilities. Certain of these assets qualify for the proportional amortization method and are amortized over the period that Old National expects to receive the tax credits, with the expense included within income tax expense on the consolidated statements of income. The other investments are accounted for under the equity method, with the expense included within noninterest expense on the consolidated statements of income. All of our tax credit investments are evaluated for impairment at the end of each reporting period. Loss Contingencies Loss contingencies, including claims and legal actions arising in the normal course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. See Note 20 to the consolidated financial statements for further disclosure. Cash Equivalents and Cash Flows For the purpose of presentation in the accompanying consolidated statement of cash flows, cash and cash equivalents are defined as cash, due from banks, federal funds sold and resell agreements, and money market investments, which have maturities less than 90 days. Cash flows from loans, either originated or acquired, are classified at that time according to management’s intent to either sell or hold the loan for the foreseeable future. When management’s intent is to sell the loan, the cash flows of that loan are presented as operating cash flows. When management’s intent is to hold the loan for the foreseeable future, the cash flows of that loan are presented as investing cash flows. The following table summarizes supplemental cash flow information: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Cash payments: Interest $ 70,043 $ 127,713 $ 91,813 Income taxes (net of refunds) 24,436 5,494 (2,505) Noncash Investing and Financing Activities: Securities transferred from held-to-maturity to available-for-sale — 381,992 447,026 Securities transferred from available-for-sale to held-to-maturity — — 323,990 Transfer of premises and equipment to assets held for sale 16,661 2,689 9,634 Operating lease right-of-use assets obtained in exchange for lease obligations (116) 113,498 — Finance lease right-of-use assets obtained in exchange for lease obligations 5,225 7,871 — The following table summarizes the common shares issued and resultant value of total shareholders’ equity associated with acquisitions: (dollars and shares in thousands) Shares of Total Year Ended December 31, 2018 Acquisition of Klein 22,772 $ 406,474 There were no acquisitions during 2020 or 2019. Business Combinations Old National accounts for business combinations using the acquisition method of accounting. The accounts of an acquired entity are included as of the date of acquisition, and any excess of purchase price over the fair value of the net assets acquired is capitalized as goodwill. Old National typically issues Common Stock and/or pays cash for an acquisition, depending on the terms of the acquisition agreement. The value of Common Stock issued is determined based on the market price of the stock as of the closing of the acquisition. Acquisition costs are expensed when incurred. Impact of Accounting Changes Accounting Guidance Adopted in 2020 FASB ASC 326 – In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments and all related subsequent amendments thereto (“ASC 326” or “Topic 326”). The main objective of this amendment is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments within its scope, including loans held for investment purposes and other commitments to extend credit held by a reporting entity at each reporting date. The amendment requires the measurement of all expected credit losses for the in-scope financial assets at the date of origination or acquisition, and at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to enhance their credit loss estimates. The amendment requires enhanced disclosures to help investors and other financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. In addition, the ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. The current expected credit loss measurement will be used to estimate the allowance for credit losses over the life of the financial assets. The amendments in this update became effective for annual periods and interim periods within those annual periods beginning after December 15, 2019. As previously disclosed, Old National formed a cross-functional committee to oversee the adoption of the ASU at the effective date. A working group was also formed to develop a project plan focused on understanding the ASU, researching issues, identifying data needs for modeling inputs, technology requirements, modeling considerations, and ensuring overarching governance was achieved for each objective and milestone. The working group identified seven distinct loan portfolios for which a model to estimate credit losses has been developed. For all seven loan portfolios, the data sets have been identified, populated, and internally validated. Old National has completed data and model validation testing. During the last half of 2019, the project plan targeted parallel processing of our existing allowance for loan losses model compared to the CECL model, as well as model sensitivity analysis, determination of qualitative adjustments, supporting analytics, and execution of the governance and approval process. Internal controls related to the CECL process were finalized prior to adoption on January 1, 2020. The CECL modeling measurements for estimating the current expected life-time credit losses for loans and debt securities includes the following major items: • Initial loss forecast – using a forecast period of one year for all allowance portfolio segments and off-balance-sheet credit exposures, using forward-looking economic scenarios of expected losses. • Historical loss forecast – for a period incorporating the remaining contractual life, adjusted for prepayments, and the changes in various economic variables during representative historical and recessionary periods. • Reversion period – using two years, which links the initial loss forecast to the historical loss forecast based on economic conditions at the measurement date. • Discounted cash flow aggregator – using the items above to estimate the life-time credit losses for all portfolios and losses for loans modified as a TDR. Old National adopted CECL on January 1, 2020 using the modified retrospective method for all financial assets measured at amortized cost and off-balance-sheet credit exposures. Results for the reporting periods after January 1, 2020 are presented under Topic 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP. As of that date, Old National increased the allowance for credit losses for loans by $41.3 million and increased the allowance for credit losses for unfunded loan commitments by $4.5 million, since the ASU covers credit losses over the expected life of a loan as well as considering future changes in macroeconomic conditions. The increase related to the acquired loan portfolio totaled $27.1 million. Under the previously applicable accounting guidance, any remaining unamortized loan discount on an individual loan could be used to offset a charge-off for that loan, so the allowance for loan losses needed for the acquired loans was reduced by the remaining loan discounts. ASU 2016-13 requires an allowance for credit losses to be recognized in addition to the loan discount. The impact of adopting the ASU, and at each subsequent reporting period, is highly dependent on credit quality, macroeconomic forecasts and conditions, composition of our loans and available-for-sale securities portfolio, along with other management judgeme |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | INVESTMENT SECURITIES The following table summarizes the amortized cost and fair value of the available-for-sale investment securities portfolio and the corresponding amounts of unrealized gains, unrealized losses, and basis adjustments recognized in accumulated other comprehensive income (loss): (dollars in thousands) Amortized Unrealized Unrealized Basis Adjustments Fair December 31, 2020 Available-for-Sale U.S. Treasury $ 9,909 $ 299 $ — $ — $ 10,208 U.S. government-sponsored entities and agencies 841,133 5,744 (3,921) (968) 841,988 Mortgage-backed securities - Agency 3,249,002 91,086 (990) — 3,339,098 States and political subdivisions 1,405,868 86,325 (31) — 1,492,162 Pooled trust preferred securities 13,763 — (5,850) — 7,913 Other securities 265,079 14,260 (593) — 278,746 Total available-for-sale securities $ 5,784,754 $ 197,714 $ (11,385) $ (968) $ 5,970,115 December 31, 2019 Available-for-Sale U.S. Treasury $ 17,567 $ 117 $ (2) $ — $ 17,682 U.S. government-sponsored entities and agencies 596,595 1,027 (4,638) — 592,984 Mortgage-backed securities - Agency 3,151,550 41,363 (9,052) — 3,183,861 States and political subdivisions 1,232,497 44,193 (1,047) — 1,275,643 Pooled trust preferred securities 13,811 — (5,589) — 8,222 Other securities 301,189 6,842 (1,332) — 306,699 Total available-for-sale securities $ 5,313,209 $ 93,542 $ (21,660) $ — $ 5,385,091 During the fourth quarter of 2019, Old National inadvertently sold six held-to-maturity classified municipal bond investment securities valued at $9.7 million for a gain of $0.3 million. After the trade settled, Old National determined the sale of the held-to-maturity investment securities was not one of the permissible sale exceptions afforded by the current accounting guidance. Accordingly, Old National reclassified the entire held-to-maturity portfolio totaling $382.0 million into the available-for-sale portfolio, which increased capital by $19.4 million. The increase in capital included $13.0 million of unrealized holding gains at the date of transfer, net of tax, which is included on the consolidated statement of comprehensive income in unrealized holding gains (losses) on available-for-sale debt securities of $93.5 million for the year ended December 31, 2019. Management does not expect to use the held-to-maturity category for at least two years from the date of the sale. Proceeds from sales or calls of available-for-sale investment securities, the resulting realized gains and realized losses, and other securities gains or losses were as follows: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Proceeds from sales of available-for-sale debt securities $ 299,885 $ 424,140 $ 139,364 Proceeds from calls of available-for-sale debt securities 465,179 441,851 32,437 Total $ 765,064 $ 865,991 $ 171,801 Realized gains on sales of available-for-sale debt securities $ 11,172 $ 4,620 $ 3,259 Realized gains on calls of available-for-sale debt securities 121 93 283 Realized losses on sales of available-for-sale debt securities (500) (2,760) (1,469) Realized losses on calls of available-for-sale debt securities (26) (30) (63) Other securities gains (losses) (1) — — 50 Debt securities gains (losses), net $ 10,767 $ 1,923 $ 2,060 (1) Other securities gains (losses) in 2018 included realized gains and losses of equity securities previously classified as trading securities. For 2020 and 2019, gains (losses) on equity securities are included in other income. Investment securities pledged to secure public and other funds had a carrying value of $2.427 billion at December 31, 2020 and $2.104 billion at December 31, 2019. At December 31, 2020, Old National had a concentration of investment securities issued by certain states and their political subdivisions with the following aggregate market values: $515.6 million issued by Indiana, which represented 17.3% of shareholders’ equity, and $194.3 million issued by Texas, which represented 6.5% of shareholders’ equity. Of the Indiana municipal bonds, 99% are rated “A” or better, and the remaining 1% generally represent non-rated local interest bonds where Old National has a market presence. All of the Texas municipal bonds are rated “A” or better, and the majority of issues are backed by the “AAA” rated State of Texas Permanent School Fund Guarantee Program. All of the mortgage-backed securities in the investment portfolio are residential mortgage-backed securities. The amortized cost and fair value of the investment securities portfolio are shown by contractual maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Weighted average yield is based on amortized cost. At December 31, 2020 (dollars in thousands) Amortized Fair Weighted Maturity Available-for-Sale Within one year $ 353,414 $ 358,852 2.61 % One to five years 2,828,719 2,922,695 2.27 % Five to ten years 1,029,340 1,049,684 1.98 % Beyond ten years 1,573,281 1,638,884 2.90 % Total $ 5,784,754 $ 5,970,115 2.41 % The following table summarizes the available-for-sale investment securities with unrealized losses for which an allowance for credit losses has not been recorded by aggregated major security type and length of time in a continuous unrealized loss position: Less than 12 months 12 months or longer Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized Losses December 31, 2020 Available-for-Sale U.S. government-sponsored entities $ 355,528 $ (3,921) $ — $ — $ 355,528 $ (3,921) Mortgage-backed securities - Agency 275,833 (895) 3,572 (95) 279,405 (990) States and political subdivisions 3,497 (31) — — 3,497 (31) Pooled trust preferred securities — — 7,913 (5,850) 7,913 (5,850) Other securities 19,404 (70) 24,871 (523) 44,275 (593) Total available-for-sale $ 654,262 $ (4,917) $ 36,356 $ (6,468) $ 690,618 $ (11,385) December 31, 2019 Available-for-Sale U.S. Treasury $ 999 $ (2) $ — $ — $ 999 $ (2) U.S. government-sponsored entities 357,647 (4,638) — — 357,647 (4,638) Mortgage-backed securities - Agency 786,245 (6,122) 212,056 (2,930) 998,301 (9,052) States and political subdivisions 120,166 (1,016) 7,006 (31) 127,172 (1,047) Pooled trust preferred securities — — 8,222 (5,589) 8,222 (5,589) Other securities 30,765 (182) 87,066 (1,150) 117,831 (1,332) Total available-for-sale $ 1,295,822 $ (11,960) $ 314,350 $ (9,700) $ 1,610,172 $ (21,660) Available-for-sale debt securities in unrealized loss positions are evaluated for impairment related to credit losses at least quarterly. For available-for sale debt securities in an unrealized loss position, we first assess whether we intend to sell, or it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through income. For available-for sale debt securities that do not meet the criteria, we evaluate whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security and the issuer, among other factors. If this assessment indicates that a credit loss exists, we compare the present value of cash flows expected to be collected from the security with the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis for the security, a credit loss exists and an allowance for credit losses is recorded, limited to the amount that the fair value of the security is less than its amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income, net of applicable taxes. No allowance for credit losses for available-for-sale debt securities was needed at December 31, 2020. Accrued interest receivable on available-for-sale debt securities totaled $27.0 million at December 31, 2020 and is excluded from the estimate of credit losses. The U.S. government sponsored entities and agencies and mortgage-backed securities – agency are either explicitly or implicitly guaranteed by the U.S. government, are highly rated by major credit rating agencies, and have a long history of no credit losses. Therefore, for those securities, we do not record expected credit losses. Prior to the adoption of ASC 326, we did not record OTTI in 2019 or 2018. At December 31, 2020, Old National’s securities portfolio consisted of 1,918 securities, 69 of which were in an unrealized loss position. The unrealized losses attributable to our U.S. government-sponsored entities and agencies, agency mortgage-backed securities, states and political subdivisions, and other securities are the result of fluctuations in interest rates. Our pooled trust preferred securities are discussed below. At December 31, 2020, we had no intent to sell any securities that were in an unrealized loss position nor is it expected that we would be required to sell the securities prior to their anticipated recovery. Pooled Trust Preferred Securities At December 31, 2020, our securities portfolio contained two pooled trust preferred securities with a fair value of $7.9 million and unrealized losses of $5.9 million. These securities are evaluated using collateral-specific assumptions to estimate the expected future interest and principal cash flows. For the years ended December 31, 2020 and 2019, we did not recognize any losses on these securities. The table below summarizes the relevant characteristics of our pooled trust preferred securities as well as our single issuer trust preferred securities that are included in the “other securities” category in this footnote. Each of the pooled trust preferred securities support a more senior tranche of security holders. Both pooled trust preferred securities have experienced credit defaults. However, we believe that the value of the instruments lies in the full and timely interest payments that will be received through maturity, the steady amortization that will be experienced until maturity, and the full return of principal by the final maturity of the collateralized debt obligations. (dollars in thousands) Class Lowest Amortized Fair Unrealized # of Issuers Actual Expected Excess December 31, 2020 Pooled trust preferred securities: Pretsl XXVII LTD B B $ 4,223 $ 2,331 $ (1,892) 32/41 14.4 % 10.8% 35.1% Trapeza Ser 13A A2A BBB 9,540 5,582 (3,958) 39/41 4.5 % 6.4% 52.0% 13,763 7,913 (5,850) Single Issuer trust preferred securities: JP Morgan Chase & Co BBB- 4,809 4,463 (346) Total $ 18,572 $ 12,376 $ (6,196) (1) Lowest rating for the security provided by any nationally recognized credit rating agency. Equity Securities Old National’s equity securities with readily determinable fair values totaled $2.5 million at December 31, 2020 and $6.8 million at December 31, 2019. There were gains on equity securities of $1.4 million during 2020, $0.7 million during 2019, and $0.1 million during 2018. Old National also has equity securities without readily determinable fair values that are included in other assets that totaled $105.8 million at December 31, 2020 and $91.4 million at December 31, 2019. These are illiquid investments that consist of partnerships, limited liability companies, and other ownership interests that support affordable housing, economic development, and community revitalization initiatives in low-to-moderate income neighborhoods. There were impairments on these securities totaling $117 thousand during 2020 and no impairments or adjustments in 2019 or 2018. |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses | 12 Months Ended |
Dec. 31, 2020 | |
Receivables [Abstract] | |
Loans and Allowance for Credit Losses | LOANS AND ALLOWANCE FOR CREDIT LOSSES Loans Old National’s loans consist primarily of loans made to consumers and commercial clients in various industries including manufacturing, agribusiness, transportation, mining, wholesaling, and retailing. Most of Old National’s lending activity occurs within our principal geographic markets of Indiana, Kentucky, Michigan, Minnesota, and Wisconsin. Old National manages concentrations of credit exposure by industry, product, geography, customer relationship, and loan size. While loans to lessors of both residential and non-residential real estate exceed 10% of total loans, no individual sub-segment category within those broader categories reaches the 10% threshold. The loan categories used to monitor and analyze interest income and yields are different than the portfolio segments used to determine the allowance for credit losses for loans. The allowance for credit losses was calculated by pooling loans of similar credit risk characteristics and credit monitoring procedures. The four loan portfolios are classified into seven segments of loans - commercial, commercial real estate, BBCC, residential real estate, indirect, direct, and home equity. The commercial and commercial real estate loan categories shown on the balance sheet include the same pool of loans as the commercial, commercial real estate, and BBCC portfolio segments. The consumer loan category shown on the balance sheet is comprised of the same loans in the indirect, direct, and home equity portfolio segments. The composition of loans by portfolio segment as of December 31, 2020 follows: December 31, 2020 Segment December 31, 2020 Statement Portfolio After (dollars in thousands) Balance Reclassifications Reclassifications Loans: Commercial $ 3,956,422 $ (198,722) $ 3,757,700 Commercial real estate 5,946,512 (171,701) 5,774,811 BBCC N/A 370,423 370,423 Residential real estate 2,248,422 — 2,248,422 Consumer 1,635,123 (1,635,123) N/A Indirect N/A 913,902 913,902 Direct N/A 164,807 164,807 Home equity N/A 556,414 556,414 Total $ 13,786,479 $ — $ 13,786,479 The composition of loans by portfolio segment follows: (dollars in thousands) December 31, January 1, Commercial (1) (2) $ 3,757,700 $ 2,817,833 Commercial real estate 5,774,811 4,890,890 BBCC 370,423 352,714 Residential real estate 2,248,422 2,334,394 Indirect 913,902 935,594 Direct 164,807 228,526 Home equity 556,414 562,051 Total loans 13,786,479 12,122,002 Allowance for credit losses (131,388) (95,966) Net loans $ 13,655,091 $ 12,026,036 (1) Includes direct finance leases of $32.3 million at December 31, 2020 and $47.2 million at January 1, 2020. (2) Includes remaining PPP loans of $943.0 million at December 31, 2020. The risk characteristics of each loan portfolio segment are as follows: Commercial Commercial loans are classified primarily on the identified cash flows of the borrower and secondarily on the underlying collateral provided by the borrower. The cash flows of borrowers, however, may not be as expected and the collateral securing these loans may fluctuate in value. Most commercial loans are secured by the assets being financed or other business assets such as accounts receivable or inventory and may incorporate a personal guarantee; however, some loans may be made on an unsecured basis. In the case of loans secured by accounts receivable, the availability of funds for the repayment of these loans may be substantially dependent on the ability of the borrower to collect amounts due from its customers. Section 1102 of the CARES Act created the PPP, a program administered by the SBA to provide loans to small businesses for payroll and other basic expenses during the COVID-19 pandemic. Old National has participated in the PPP as a lender. These loans are eligible to be forgiven if certain conditions are satisfied and are fully guaranteed by the SBA. Additionally, loan payments will also be deferred for the first six months of the loan term. The PPP commenced on April 3, 2020 and was available to qualified borrowers through August 8, 2020. No collateral or personal guarantees were required. Neither the government nor lenders are permitted to charge the recipients any fees. During 2020, Old National originated over 9,700 loans with balances in excess of $1.5 billion to new and existing customers through the PPP. At December 31, 2020, remaining PPP loans totaled $943.0 million. On December 27, 2020, President Trump signed into law the CAA. The CAA, among other things, extends the life of the PPP, effectively creating a second round of PPP loans for eligible businesses. Old National is participating in the CAA’s second round of PPP lending. In mid-January Old National opened its lending portal and began processing PPP loan applications. Currently, Old National is focused on helping minority-owned business, women-owned business, not-for-profit entities, and existing first round PPP customers with the lending process. Additionally, section 541 of the CAA extends the relief provided by the CARES Act for financial institutions to suspend the GAAP accounting treatment for troubled debt restructuring to January 1, 2022. Commercial Real Estate Commercial real estate loans are viewed primarily as cash flow loans and secondarily as loans secured by real estate. Commercial real estate lending typically involves higher loan principal amounts, and the repayment of these loans is generally dependent on the successful operation of the property securing the loan or the business conducted on the property securing the loan. Commercial real estate loans may be adversely affected by conditions in the real estate markets or in the general economy. The properties securing Old National’s commercial real estate portfolio are diverse in terms of type and geographic location. Management monitors and evaluates commercial real estate loans based on collateral, geography and risk grade criteria. In addition, management tracks the level of owner-occupied commercial real estate loans versus non-owner occupied loans. Included with commercial real estate are construction loans, which are underwritten utilizing independent appraisal reviews, sensitivity analysis of absorption and lease rates, financial analysis of the developers and property owners, and feasibility studies, if available. Construction loans are generally based on estimates of costs and value associated with the complete project. These estimates may be inaccurate. Construction loans often involve the disbursement of substantial funds with repayment substantially dependent on the success of the ultimate project. Sources of repayment for these types of loans may be pre-committed permanent loans from approved long-term lenders (including Old National), sales of developed property, or an interim loan commitment from Old National until permanent financing is obtained. These loans are closely monitored by on-site inspections and are considered to have higher risks than other real estate loans due to their ultimate repayment being sensitive to interest rate changes, governmental regulation of real property, general economic conditions, and the availability of long-term financing. At 222%, Old National Bank’s commercial real estate loans as a percentage of its risk-based capital remained well below the regulatory guideline limit of 300% at December 31, 2020. BBCC BBCC loans are typically granted to small businesses with gross revenues of less than $5 million and aggregate debt of less than $1 million. Old National has established minimum debt service coverage ratios, minimum FICO scores for owners and guarantors, and the ability to show relatively stable earnings as criteria to help mitigate risk. Repayment of these loans depends on the personal income of the borrowers and the cash flows of the business. These factors can be affected by changes in economic conditions such as unemployment levels. Residential With respect to residential loans that are secured by 1-4 family residences and are generally owner occupied, Old National typically establishes a maximum loan-to-value ratio and generally requires private mortgage insurance if that ratio is exceeded. Repayment of these loans is primarily dependent on the personal income of the borrowers, which can be impacted by economic conditions in their market areas such as unemployment levels. Repayment can also be impacted by changes in residential property values. Portfolio risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers. Indirect Indirect loans are secured by automobile collateral, generally new and used cars and trucks from auto dealers that operate within our footprint. Old National typically mitigates the risk of indirect loans by establishing minimum FICO scores, maximum loan-to-value ratios, and maximum debt-to-income ratios. Repayment of these loans depends largely on the personal income of the borrowers which can be affected by changes in economic conditions such as unemployment levels. Portfolio risk is mitigated by the fact that the loans are of smaller amounts spread over many borrowers, conservative credit policies, and ongoing reviews of dealer relationships. Direct Direct loans are typically secured by collateral such as auto or real estate or are unsecured. Old National has established conservative underwriting standards such as minimum FICO scores, maximum loan-to-value ratios, and maximum debt-to-income ratios. Repayment of these loans depends largely on the personal income of the borrowers which can be affected by changes in economic conditions such as unemployment levels. Portfolio risk is mitigated by the fact that the loans are of smaller amounts spread over many borrowers along with conservative credit policies. Home Equity Home equity loans are generally secured by 1-4 family residences that are owner occupied. Old National has established conservative underwriting standards such as minimum FICO scores, maximum loan-to-value ratios, and maximum debt-to-income ratios. Repayment of these loans depends largely on the personal income of the borrowers which can be affected by changes in economic conditions such as unemployment levels. Portfolio risk is mitigated by the fact that the loans are of smaller amounts spread over many borrowers, along with conservative credit policies as well as monitoring of updated borrower credit scores. Related Party Loans In the ordinary course of business, Old National grants loans to certain executive officers, directors, and significant subsidiaries (collectively referred to as “related parties”). Activity in related party loans is presented in the following table: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Balance at beginning of period $ 2,345 $ 9,310 $ 9,481 New loans 1,848 1,218 9,152 Repayments (1,715) (2,063) (8,721) Officer and director changes (34) (6,120) (602) Balance at end of period $ 2,444 $ 2,345 $ 9,310 Allowance for Credit Losses Loans Credit quality within the loans held for investment portfolio is continuously monitored by management and is reflected within the allowance for credit losses for loans. The allowance for credit losses is an estimate of expected losses inherent within the Company’s loans held for investment portfolio. Credit quality is assessed and monitored by evaluating various attributes and the results of those evaluations are utilized in underwriting new loans and in our process for estimating expected credit losses. Expected credit loss inherent in non-cancelable off-balance-sheet credit exposures is accounted for as a separate liability included in other liabilities on the balance sheet. The allowance for credit losses for loans held for investment is adjusted by a credit loss expense, which is reported in earnings, and reduced by the charge-off of loan amounts, net of recoveries. Old National has made a policy election to report accrued interest receivable as a separate line item on the balance sheet. Accrued interest receivable on loans totaled $57.3 million at December 31, 2020 and is excluded from the estimate of credit losses. The allowance for credit loss estimation process involves procedures to appropriately consider the unique characteristics of its loan portfolio segments. These segments are further disaggregated into loan classes based on the level at which credit risk is monitored. When computing the level of expected credit losses, credit loss assumptions are estimated using a model that categorizes loan pools based on loss history, delinquency status, and other credit trends and risk characteristics, including current conditions and reasonable and supportable forecasts about the future. Determining the appropriateness of the allowance is complex and requires judgment by management about the effect of matters that are inherently uncertain. In future periods evaluations of the overall loan portfolio, in light of the factors and forecasts then prevailing, may result in significant changes in the allowance and credit loss expense in those future periods. The allowance level is influenced by loan volumes, loan AQR migration or delinquency status, changes in historical loss experience, and other conditions influencing loss expectations, such as reasonable and supportable forecasts of economic conditions. The methodology for estimating the amount of expected credit losses reported in the allowance for credit losses has two basic components: first, an asset-specific component involving individual loans that do not share risk characteristics with other loans and the measurement of expected credit losses for such individual loans; and second, a pooled component for estimated expected credit losses for pools of loans that share similar risk characteristics. See Note 1 for more information about CECL for loans and unfunded loan commitments. The allowance for credit losses increased for the year ended December 31, 2020 primarily due to the implementation of ASC 326 and the macroeconomic factors surrounding the COVID-19 pandemic. The forecast scenario includes elevated unemployment, which is forecasted to increase slightly through the second quarter of 2021. The scenario also shows a slight decrease in nominal gross domestic product with a return to growth by the third quarter of 2021. In addition to these quantitative inputs, several qualitative factors were considered, including the risk that the economic decline, specifically unemployment and gross domestic product, prove to be more severe and/or prolonged than our baseline forecast. Also, the efficacy, distribution, and consumption of the vaccine along with new variants of the virus pose additional risk. The mitigating impact of any additional fiscal stimulus, including direct payments to individuals, increased unemployment benefits, as well as the various government sponsored loan programs, was also considered. Old National’s activity in the allowance for credit losses for loans by portfolio segment was as follows: (dollars in thousands) Balance at Impact of Sub-Total Charge-offs Recoveries Provision Balance at Year Ended December 31, 2020 Allowance for credit losses: Commercial $ 21,359 $ 7,150 $ 28,509 $ (5,593) $ 3,629 $ 4,022 $ 30,567 Commercial real estate 20,535 25,548 46,083 (4,323) 4,515 29,535 75,810 BBCC 2,279 3,702 5,981 (95) 140 94 6,120 Residential real estate 2,299 6,986 9,285 (824) 633 3,514 12,608 Indirect 5,319 (1,669) 3,650 (2,754) 1,922 762 3,580 Direct 1,863 (1,059) 804 (1,763) 819 995 855 Home equity 965 689 1,654 (201) 922 (527) 1,848 Total allowance for credit losses $ 54,619 $ 41,347 $ 95,966 $ (15,553) $ 12,580 $ 38,395 $ 131,388 PPP loans were factored in the provision for credit losses for the year ended December 31, 2020; however, due to the SBA guaranty and our borrowers’ adherence to the PPP terms, the provision impact was insignificant. Unfunded Loan Commitments Old National maintains an allowance for credit losses on unfunded commercial lending commitments and letters of credit to provide for the risk of loss inherent in these arrangements. The allowance is computed using a methodology similar to that used to determine the allowance for credit losses for loans, modified to take into account the probability of a drawdown on the commitment. The allowance for credit losses on unfunded loan commitments is classified as a liability account on the balance sheet. Old National’s activity in the allowance for credit losses on unfunded loan commitments was as follows: (dollars in thousands) Year Ended Allowance for credit losses on unfunded loan commitments: Balance at beginning of period $ 2,656 Impact of adopting ASC 326 4,549 Sub-Total 7,205 Expense (reversal of expense) for credit losses 4,484 Balance at end of period $ 11,689 Credit Quality Old National’s management monitors the credit quality of its loans on an ongoing basis with the AQR for commercial loans reviewed annually or at renewal and the performance of its residential and consumer loans based upon the accrual status refreshed at least quarterly. Internally, management assigns an AQR to each non-homogeneous commercial, commercial real estate, and BBCC loan in the portfolio. The primary determinants of the AQR are the reliability of the primary source of repayment and the past, present, and projected financial condition of the borrower. The AQR will also consider current industry conditions. Major factors used in determining the AQR can vary based on the nature of the loan, but commonly include factors such as debt service coverage, internal cash flow, liquidity, leverage, operating performance, debt burden, FICO scores, occupancy, interest rate sensitivity, and expense burden. Old National uses the following definitions for risk ratings: Criticized . Special mention loans that have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. Classified – Substandard . Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. Classified – Nonaccrual . Loans classified as nonaccrual have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection in full, on the basis of currently existing facts, conditions, and values, in doubt. Classified – Doubtful . Loans classified as doubtful have all the weaknesses inherent in those classified as nonaccrual, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. Pass rated loans are those loans that are other than criticized, classified – substandard, classified – nonaccrual, or classified – doubtful. The following table summarizes the risk category of commercial, commercial real estate, and BBCC loans by loan portfolio segment and class of loan: Risk Rating (dollars in thousands) Pass Criticized Classified - Classified - Classified - Total December 31, 2020 Commercial: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 262,538 $ 5,369 $ 8,441 $ 4,379 $ 610 $ 281,337 2016 124,041 3,383 2,774 49 296 130,543 2017 227,710 9,508 9,836 6,951 2,748 256,753 2018 171,228 15,003 10,077 4,701 1,016 202,025 2019 420,736 9,603 6,369 3,754 — 440,462 2020 1,675,964 23,982 6,501 2,600 — 1,709,047 Revolving Loans 549,849 10,307 15,344 778 — 576,278 Revolving to Term Loans 148,508 2,685 3,049 7,013 — 161,255 Total $ 3,580,574 $ 79,840 $ 62,391 $ 30,225 $ 4,670 $ 3,757,700 Commercial real estate: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 513,658 $ 33,490 $ 8,665 $ 12,564 $ 3,274 $ 571,651 2016 496,086 17,648 5,308 1,635 19,283 539,960 2017 677,119 46,994 26,691 9,456 18,926 779,186 2018 749,102 26,464 13,565 5,393 — 794,524 2019 1,041,305 49,271 4,700 2,054 1,832 1,099,162 2020 1,537,226 6,874 11,451 1,408 — 1,556,959 Revolving Loans 28,122 — — — — 28,122 Revolving to Term Loans 382,219 19,804 2,911 313 — 405,247 Total $ 5,424,837 $ 200,545 $ 73,291 $ 32,823 $ 43,315 $ 5,774,811 BBCC: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 5,327 $ — $ — $ — $ 30 $ 5,357 2016 24,946 643 33 — — 25,622 2017 36,288 414 246 200 70 37,218 2018 49,875 621 195 134 847 51,672 2019 73,913 1,403 1,417 551 3 77,287 2020 94,828 1,599 233 161 — 96,821 Revolving Loans 52,393 868 317 89 — 53,667 Revolving to Term Loans 19,353 1,259 701 1,466 — 22,779 Total $ 356,923 $ 6,807 $ 3,142 $ 2,601 $ 950 $ 370,423 For residential real estate and consumer loan classes, Old National evaluates credit quality based on the aging status of the loan and by payment activity. The performing or nonperforming status is updated on an on-going basis dependent upon improvement and deterioration in credit quality. The following table presents the amortized cost in residential real estate and consumer loans based on payment activity: Payment Performance (dollars in thousands) Performing Nonperforming Total December 31, 2020 Residential real estate: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 620,999 $ 20,775 $ 641,774 2016 202,457 2,131 204,588 2017 190,376 892 191,268 2018 132,107 680 132,787 2019 453,132 251 453,383 2020 624,435 65 624,500 Revolving Loans — — — Revolving to Term Loans 122 — 122 Total $ 2,223,628 $ 24,794 $ 2,248,422 Indirect: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 21,088 $ 192 $ 21,280 2016 52,225 429 52,654 2017 96,587 666 97,253 2018 134,893 777 135,670 2019 253,514 443 253,957 2020 352,989 22 353,011 Revolving Loans — — — Revolving to Term Loans 77 — 77 Total $ 911,373 $ 2,529 $ 913,902 Direct: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 19,465 $ 526 $ 19,991 2016 8,527 247 8,774 2017 16,182 64 16,246 2018 30,510 171 30,681 2019 29,189 141 29,330 2020 32,499 22 32,521 Revolving Loans 26,028 4 26,032 Revolving to Term Loans 1,229 3 1,232 Total $ 163,629 $ 1,178 $ 164,807 Home equity: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ — $ 116 $ 116 2016 238 11 249 2017 891 — 891 2018 444 — 444 2019 997 37 1,034 2020 1 — 1 Revolving Loans 529,275 94 529,369 Revolving to Term Loans 20,314 3,996 24,310 Total $ 552,160 $ 4,254 $ 556,414 Nonaccrual and Past Due Loans Old National does not record interest on nonaccrual loans until principal is recovered. For all loan classes, a loan is generally placed on nonaccrual status when principal or interest becomes 90 days past due unless it is well secured and in the process of collection, or earlier when concern exists as to the ultimate collectability of principal or interest. Interest accrued but not received is reversed against earnings. Cash interest received on these loans is applied to the principal balance until the principal is recovered or until the loan returns to accrual status. Loans may be returned to accrual status when all the principal and interest amounts contractually due are brought current, remain current for a prescribed period, and future payments are reasonably assured. The following table presents the aging of the amortized cost basis in past due loans by class of loans: (dollars in thousands) 30-59 Days 60-89 Days Past Due Total Current Total December 31, 2020 Commercial $ 2,977 $ 664 $ 2,100 $ 5,741 $ 3,751,959 $ 3,757,700 Commercial real estate 887 128 27,272 28,287 5,746,524 5,774,811 BBCC 894 882 61 1,837 368,586 370,423 Residential 11,639 3,296 7,666 22,601 2,225,821 2,248,422 Indirect 5,222 960 492 6,674 907,228 913,902 Direct 753 533 426 1,712 163,095 164,807 Home equity 1,075 377 1,663 3,115 553,299 556,414 Total $ 23,447 $ 6,840 $ 39,680 $ 69,967 $ 13,716,512 $ 13,786,479 The following table presents the amortized cost basis of loans on nonaccrual status and loans past due 90 days or more and still accruing by class of loan: January 1, 2020 September 30, 2020 December 31, 2020 (dollars in thousands) Nonaccrual Nonaccrual Nonaccrual Nonaccrual Past Due Commercial $ 40,103 $ 34,188 $ 34,895 $ 3,394 $ 122 Commercial real estate 58,350 67,859 76,138 22,152 20 BBCC 4,530 3,601 3,551 — — Residential 20,970 23,914 24,794 — — Indirect 3,318 2,619 2,529 — 12 Direct 1,303 1,264 1,178 27 13 Home equity 3,857 4,166 4,254 45 — Total $ 132,431 $ 137,611 $ 147,339 $ 25,618 $ 167 Interest income recognized on nonaccrual loans was insignificant during the year ended December 31, 2020. When management determines that foreclosure is probable, expected credit losses for collateral dependent loans are based on the fair value of the collateral at the reporting date, adjusted for selling costs as appropriate. A loan is considered collateral dependent when the borrower is experiencing financial difficulty and the loan is expected to be repaid substantially through the operation or sale of the collateral. The class of loan represents the primary collateral type associated with the loan. Significant quarter over quarter changes are reflective of changes in nonaccrual status and not necessarily associated with credit quality indicators like appraisal value. The following table presents the amortized cost basis of collateral dependent loans by class of loan: Type of Collateral (dollars in thousands) Real Blanket Investment Auto Other December 31, 2020 Commercial $ 8,976 $ 19,253 $ 5,379 $ 394 $ 893 Commercial Real Estate 60,844 472 1,137 — 13,685 BBCC 1,425 1,929 63 134 — Residential 24,794 — — — — Indirect — — — 2,529 — Direct 901 — 2 235 29 Home equity 4,254 — — — — Total loans $ 101,194 $ 21,654 $ 6,581 $ 3,292 $ 14,607 Loan Participations Old National has loan participations, which qualify as participating interests, with other financial institutions. At December 31, 2020, these loans totaled $1.043 billion, of which $478.9 million had been sold to other financial institutions and $563.6 million was retained by Old National. The loan participations convey proportionate ownership rights with equal priority to each participating interest holder; involve no recourse (other than ordinary representations and warranties) to, or subordination by, any participating interest holder; all cash flows are divided among the participating interest holders in proportion to each holder’s share of ownership; and no holder has the right to pledge the entire financial asset unless all participating interest holders agree. Troubled Debt Restructurings Old National may choose to restructure the contractual terms of certain loans. The decision to restructure a loan, versus aggressively enforcing the collection of the loan, may benefit Old National by increasing the ultimate probability of collection. Any loans that are modified are reviewed by Old National to identify if a TDR has occurred, which is when for economic or legal reasons related to a borrower’s financial difficulties, Old National Bank grants a concession to the borrower that it would not otherwise consider. Terms may be modified to fit the ability of the borrower to repay in line with its current financial status. The modification of the terms of such loans include one or a combination of the following: a reduction of the stated interest rate of the loan, an extension of the maturity date at a stated rate of interest lower than the current market rate of new debt with similar risk, or a permanent reduction of the recorded investment of the loan. Loans modified in a TDR are typically placed on nonaccrual status until we determine the future collection of principal and interest is reasonably assured, which generally requires that the borrower demonstrate a period of performance according to the restructured terms for six months. If we are unable to resolve a nonperforming loan issue, the credit will be charged off when it is apparent there will be a loss. For large commercial type loans, each relationship is individually analyzed for evidence of apparent loss based on quantitative benchmarks or subjectively based upon certain events or particular circumstances. Generally, Old National charges off small commercial loans scored through our small business credit center with contractual balances under $250,000 that are 90 days or more delinquent and do not have adequate collateral support. For residential and consumer loans, a charge off is recorded at the time foreclosure is initiated or when the loan becomes 120 to 180 days past due, whichever is earlier. For commercial TDRs, an allocated reserve is established within the allowance for credit losses for the difference between the carrying value of the loan and its computed value. To determine the computed value of the loan, one of the following methods is selected: (1) the present value of expected cash flows discounted at the loan’s original effective interest rate, (2) the loan’s observable market price, or (3) the fair value of the collateral, if the loan is collateral dependent. The allocated reserve is established as the difference between the carrying value of the loan and the collectable value. If there are significant changes in the amount or timing of the loan’s expected future cash flows, impairment is recalculated and the valuation allowance is adjusted accordingly. When a residential or consumer loan is identified as a TDR, the loan is typically written down to its collateral value less selling costs. The following table presents activity in TDRs: (dollars in thousands) Beginning Balance (Charge-offs)/ Recoveries (Payments)/ Disbursements Additions Ending Balance Year Ended December 31, 2020 Commercial $ 12,412 $ 633 $ (4,557) $ 2,602 $ 11,090 Commercial real estate 14,277 4,801 (8,502) 7,030 17,606 BBCC 578 (19) (447) — 112 Residential 3,107 — (283) — 2,824 Indirect — 9 (9) — — Direct 983 23 (267) — 739 Home equity 381 3 (102) — 282 Total $ 31,738 $ 5,450 $ (14,167) $ 9,632 $ 32,653 TDRs included within nonaccrual loans totaled $14.9 million at December 31, 2020 and $13.8 million at December 31, 2019. Old National has allocated specific reserves to customers whose loan terms have been modified as TDRs totaling $1.6 million at December 31, 2020 and $0.9 million at December 31, 2019. At December 31, 2020, Old National had not committed to lend any additional funds to customers with outstanding loans that are classified as TDRs, compared to $2.3 million at December 31, 2019. The pre-modification and post-modification outstanding recorded investments of loans modified as TDRs during the years ended December 31, 2020, 2019, and 2018 are the same except for when the loan modifications involve the forgiveness of principal. The following table presents loans modified as TDRs that occurred during the years ended December 31, 2020, 2019, and 2018: (dollars in thousands) Total Year Ended December 31, 2020 TDR: Number of loans 4 Pre-modification outstanding recorded investment $ 9,632 Post-modification outstanding recorded investment 9,632 Year Ended December 31, 2019 TDR: Number of loans 14 Pre-modification outstanding recorded investment $ 21,131 Post-modification outstanding recorded investment 21,131 Year Ended December 31, 2018 TDR: Number of loans 10 Pre-modification outstanding recorded investment $ 5,691 Post-modification outstanding recorded investment 5,691 The TDRs that occurred during 2020 increased the allowance for credit losses by $0.3 million and resulted in no charge-offs during 2020. The TDRs that occurred during 2019 increased the allowance for loan losses by $2.0 million and resulted in $3.9 million in charge-offs during 2019. The TDRs that occurred during 2018 did not have a material impact on the allowance for loan losses and resulted in no charge-offs during 2018. A loan is considered to be in payment default once it is 90 days contractually past due under the modified terms. TDRs for which there was a payment default within twelve months following the modification during the year were insignificant in 2020, 2019, and 2018. The terms of certain other loans were modified during 2020 and 2019 that did not meet the definition of a TDR. It is our process to review all classified and criticized loans that, during the period, have been renewed, have entered into a forbearance agreement, have gone from principal and interest to interest only, or have extended the maturity date. In orde |
Other Real Estate Owned
Other Real Estate Owned | 12 Months Ended |
Dec. 31, 2020 | |
Real Estate Owned, Disclosure of Detailed Components [Abstract] | |
Other Real Estate Owned | OTHER REAL ESTATE OWNED The following table presents activity in other real estate owned: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Balance at beginning of period $ 2,169 $ 3,232 $ 8,810 Additions (1) 965 1,192 2,025 Sales (1,505) (2,077) (6,689) Impairments (305) (178) (914) Balance at end of period (2) $ 1,324 $ 2,169 $ 3,232 (1) Additions in 2018 included other real estate owned of $1.0 million acquired from Klein in November 2018. (2) Includes repossessed personal property of $0.2 million at December 31, 2020 and $0.4 million at December 31, 2019. Foreclosed residential real estate property recorded as a result of obtaining physical possession of the property included in the table above totaled $0.8 million at December 31, 2020 and $0.5 million at December 31, 2019. Consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings are in process totaled $2.7 million at December 31, 2020 and $3.7 million at December 31, 2019. |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | PREMISES AND EQUIPMENT The composition of premises and equipment was as follows: December 31, (dollars in thousands) 2020 2019 Land $ 72,600 $ 79,569 Buildings 373,660 380,925 Furniture, fixtures, and equipment 110,735 112,654 Leasehold improvements 44,734 44,136 Total 601,729 617,284 Accumulated depreciation (137,321) (126,359) Premises and equipment, net $ 464,408 $ 490,925 Depreciation expense was $28.9 million in 2020, $26.7 million in 2019, and $23.8 million in 2018. Finance Leases Old National leases certain banking center buildings under finance leases that are included in premises and equipment. See Notes 6 and 13 to the consolidated financial statements for detail regarding these leases. |
Leases
Leases | 12 Months Ended |
Dec. 31, 2020 | |
Lessee Disclosure [Abstract] | |
Leases | LEASES Old National determines if an arrangement is or contains a lease at contract inception. Operating leases are included in operating lease right-of-use assets and operating lease liabilities in our consolidated balance sheets. Finance leases are included in premises and equipment and other borrowings in our consolidated balance sheets. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. In determining the present value of lease payments, we use the implicit lease rate when readily determinable. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date. The incremental borrowing rate is the rate of interest that we would have to pay to borrow on a collateralized basis over a similar term in an amount equal to the lease payments in a similar economic environment. Old National has operating and finance leases for land, office space, banking centers, and equipment. These leases are generally for periods of 10 to 20 years with various renewal options. We include certain renewal options in the measurement of our right-of-use assets and lease liabilities if they are reasonably certain to be exercised. Variable lease payments that are dependent on an index or a rate are initially measured using the index or rate at the commencement date and are included in the measurement of the lease liability. Variable lease payments that are not dependent on an index or a rate are excluded from the measurement of the lease liability and are recognized in profit and loss when incurred. Variable lease payments are defined as payments made for the right to use an asset that vary because of changes in facts or circumstances occurring after the commencement date, other than the passage of time. Old National has lease agreements with lease and non-lease components, which are generally accounted for separately. For real estate leases, non-lease components and other non-components, such as common area maintenance charges, real estate taxes, and insurance are not included in the measurement of the lease liability since they are generally able to be segregated. For certain equipment leases, Old National accounts for the lease and non-lease components as a single lease component using the practical expedient available for that class of assets. Old National does not have any material sub-lease agreements. The components of lease expense were as follows: Affected Line Years Ended December 31, (dollars in thousands) 2020 2019 Operating lease cost occupancy/equipment expense $ 23,548 $ 17,001 Finance lease cost: Amortization of right-of-use assets occupancy expense 1,044 651 Interest on lease liabilities interest expense 364 320 Short-term lease cost occupancy expense — 6 Sub-lease income occupancy expense (512) (703) Total $ 24,444 $ 17,275 Lease expense for operating leases was $17.9 million in 2018. Supplemental balance sheet information related to leases was as follows: December 31, (dollars in thousands) 2020 2019 Operating Leases Operating lease right-of-use assets $ 76,197 $ 95,477 Operating lease liabilities 86,598 99,500 Finance Leases Premises and equipment, net 11,351 7,170 Other borrowings 11,813 7,406 Weighted-Average Remaining Lease Term (in Years) Operating leases 10.6 10.6 Finance leases 10.3 11.3 Weighted-Average Discount Rate Operating leases 3.40 % 3.45 % Finance leases 3.46 % 4.43 % Supplemental cash flow information related to leases was as follows: Years Ended December 31, (dollars in thousands) 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 15,906 $ 17,493 Operating cash flows from finance leases 364 320 Financing cash flows from finance leases 819 465 The following table presents a maturity analysis of the Company’s lease liability by lease classification at December 31, 2020: (dollars in thousands) Operating Finance 2021 $ 14,245 $ 1,394 2022 13,241 1,412 2023 9,534 1,438 2024 8,366 1,444 2025 8,116 1,437 Thereafter 50,462 7,006 Total undiscounted lease payments 103,964 14,131 Amounts representing interest (17,366) (2,318) Lease liability $ 86,598 $ 11,813 Old National leases certain office space and buildings to unrelated parties in exchange for consideration. All of these tenant leases are classified as operating leases. The following table presents a maturity analysis of the Company’s tenant leases at December 31, 2020: (dollars in thousands) Tenant 2021 $ 2,422 2022 1,900 2023 1,541 2024 1,409 2025 1,056 Thereafter 1,464 Total undiscounted lease payments $ 9,792 |
Leases | LEASES Old National determines if an arrangement is or contains a lease at contract inception. Operating leases are included in operating lease right-of-use assets and operating lease liabilities in our consolidated balance sheets. Finance leases are included in premises and equipment and other borrowings in our consolidated balance sheets. Right-of-use assets represent our right to use an underlying asset for the lease term and lease liabilities represent our obligation to make lease payments arising from the lease. Right-of-use assets and liabilities are recognized at commencement date based on the present value of lease payments over the lease term. In determining the present value of lease payments, we use the implicit lease rate when readily determinable. As most of our leases do not provide an implicit rate, we use our incremental borrowing rate based on the information available at commencement date. The incremental borrowing rate is the rate of interest that we would have to pay to borrow on a collateralized basis over a similar term in an amount equal to the lease payments in a similar economic environment. Old National has operating and finance leases for land, office space, banking centers, and equipment. These leases are generally for periods of 10 to 20 years with various renewal options. We include certain renewal options in the measurement of our right-of-use assets and lease liabilities if they are reasonably certain to be exercised. Variable lease payments that are dependent on an index or a rate are initially measured using the index or rate at the commencement date and are included in the measurement of the lease liability. Variable lease payments that are not dependent on an index or a rate are excluded from the measurement of the lease liability and are recognized in profit and loss when incurred. Variable lease payments are defined as payments made for the right to use an asset that vary because of changes in facts or circumstances occurring after the commencement date, other than the passage of time. Old National has lease agreements with lease and non-lease components, which are generally accounted for separately. For real estate leases, non-lease components and other non-components, such as common area maintenance charges, real estate taxes, and insurance are not included in the measurement of the lease liability since they are generally able to be segregated. For certain equipment leases, Old National accounts for the lease and non-lease components as a single lease component using the practical expedient available for that class of assets. Old National does not have any material sub-lease agreements. The components of lease expense were as follows: Affected Line Years Ended December 31, (dollars in thousands) 2020 2019 Operating lease cost occupancy/equipment expense $ 23,548 $ 17,001 Finance lease cost: Amortization of right-of-use assets occupancy expense 1,044 651 Interest on lease liabilities interest expense 364 320 Short-term lease cost occupancy expense — 6 Sub-lease income occupancy expense (512) (703) Total $ 24,444 $ 17,275 Lease expense for operating leases was $17.9 million in 2018. Supplemental balance sheet information related to leases was as follows: December 31, (dollars in thousands) 2020 2019 Operating Leases Operating lease right-of-use assets $ 76,197 $ 95,477 Operating lease liabilities 86,598 99,500 Finance Leases Premises and equipment, net 11,351 7,170 Other borrowings 11,813 7,406 Weighted-Average Remaining Lease Term (in Years) Operating leases 10.6 10.6 Finance leases 10.3 11.3 Weighted-Average Discount Rate Operating leases 3.40 % 3.45 % Finance leases 3.46 % 4.43 % Supplemental cash flow information related to leases was as follows: Years Ended December 31, (dollars in thousands) 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 15,906 $ 17,493 Operating cash flows from finance leases 364 320 Financing cash flows from finance leases 819 465 The following table presents a maturity analysis of the Company’s lease liability by lease classification at December 31, 2020: (dollars in thousands) Operating Finance 2021 $ 14,245 $ 1,394 2022 13,241 1,412 2023 9,534 1,438 2024 8,366 1,444 2025 8,116 1,437 Thereafter 50,462 7,006 Total undiscounted lease payments 103,964 14,131 Amounts representing interest (17,366) (2,318) Lease liability $ 86,598 $ 11,813 Old National leases certain office space and buildings to unrelated parties in exchange for consideration. All of these tenant leases are classified as operating leases. The following table presents a maturity analysis of the Company’s tenant leases at December 31, 2020: (dollars in thousands) Tenant 2021 $ 2,422 2022 1,900 2023 1,541 2024 1,409 2025 1,056 Thereafter 1,464 Total undiscounted lease payments $ 9,792 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | GOODWILL AND OTHER INTANGIBLE ASSETS The following table presents the changes in the carrying amount of goodwill: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Balance at beginning of period $ 1,036,994 $ 1,036,258 $ 828,051 Acquisitions and adjustments — 736 208,787 Divestitures — — (580) Balance at end of period $ 1,036,994 $ 1,036,994 $ 1,036,258 Old National performed the required annual goodwill impairment test as of August 31, 2020 and there was no impairment. No events or circumstances since the August 31, 2020 annual impairment test were noted that would indicate it was more likely than not a goodwill impairment exists. The gross carrying amounts and accumulated amortization of other intangible assets were as follows: (dollars in thousands) Gross Accumulated Net December 31, 2020 Core deposit $ 112,723 $ (69,623) $ 43,100 Customer trust relationships 16,547 (13,633) 2,914 Total intangible assets $ 129,270 $ (83,256) $ 46,014 December 31, 2019 Core deposit $ 119,051 $ (63,020) $ 56,031 Customer trust relationships 16,547 (12,473) 4,074 Total intangible assets $ 135,598 $ (75,493) $ 60,105 Other intangible assets consist of core deposit intangibles and customer relationship intangibles and are being amortized primarily on an accelerated basis over their estimated useful lives, generally over a period of 5 to 15 years. Old National reviews other intangible assets for possible impairment whenever events or changes in circumstances indicate that carrying amounts may not be recoverable. No impairment charges were recorded in 2020, 2019, or 2018. Total amortization expense associated with intangible assets was $14.1 million in 2020, $16.9 million in 2019, and $14.4 million in 2018. Estimated amortization expense for future years is as follows: (dollars in thousands) 2021 $ 11,336 2022 9,014 2023 7,053 2024 5,645 2025 4,509 Thereafter 8,457 Total $ 46,014 |
Loan Servicing Rights
Loan Servicing Rights | 12 Months Ended |
Dec. 31, 2020 | |
Text Block [Abstract] | |
Loan Servicing Rights | LOAN SERVICING RIGHTSLoan servicing rights are included in other assets on the balance sheet. At December 31, 2020, loan servicing rights derived from mortgage loans sold with servicing retained totaled $26.7 million, compared to $25.4 million at December 31, 2019. Loans serviced for others are not reported as assets. The principal balance of mortgage loans serviced for others was $3.613 billion at December 31, 2020, compared to $3.445 billion at December 31, 2019. Custodial escrow balances maintained in connection with serviced loans were $16.2 million at December 31, 2020 and $12.7 million at December 31, 2019. The following table summarizes the carrying values and activity related to loan servicing rights and the related valuation allowance: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Balance at beginning of period $ 25,399 $ 24,512 $ 24,690 Additions (1) 12,810 6,499 4,264 Amortization (10,085) (5,612) (4,442) Balance before valuation allowance at end of period 28,124 25,399 24,512 Valuation allowance: Balance at beginning of period (31) (15) (29) (Additions)/recoveries (1,376) (16) 14 Balance at end of period (1,407) (31) (15) Loan servicing rights, net $ 26,717 $ 25,368 $ 24,497 (1) Additions in 2018 include loan servicing rights of $0.3 million acquired from Klein in November 2018. At December 31, 2020, the fair value of servicing rights was $26.8 million, which was determined using a discount rate of 9% and a conditional prepayment rate of 14%. At December 31, 2019, the fair value of servicing rights was $26.5 million, which was determined using a discount rate of 12% and a conditional prepayment rate of 10%. |
Qualified Affordable Housing Pr
Qualified Affordable Housing Projects and Other Tax Credit Investments | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Qualified Affordable Housing Projects and Other Tax Credit Investments | QUALIFIED AFFORDABLE HOUSING PROJECTS AND OTHER TAX CREDIT INVESTMENTS Old National is a limited partner in several tax-advantaged limited partnerships whose purpose is to invest in approved qualified affordable housing, renewable energy, or other renovation or community revitalization projects. These investments are included in other assets on the balance sheet, with any unfunded commitments included with other liabilities. As of December 31, 2020, Old National expects to recover its remaining investments through the use of the tax credits that are generated by the investments. The following table summarizes Old National’s investments in qualified affordable housing projects and other tax credit investments: (dollars in thousands) December 31, 2020 December 31, 2019 Investment Accounting Method Investment Unfunded Commitment (1) Investment Unfunded Commitment LIHTC Proportional amortization $ 33,609 $ 6,845 $ 29,735 $ 3,911 FHTC Equity 18,660 22,398 22,403 17,886 NMTC Proportional amortization 6,120 — — — Renewable Energy Equity 3,611 862 7,523 4,129 Total $ 62,000 $ 30,105 $ 59,661 $ 25,926 (1) All commitments will be paid by Old National by 2027. The following table summarizes the amortization expense and tax benefit recognized for Old National’s qualified affordable housing projects and other tax credit investments: (dollars in thousands) Amortization Tax Expense Year Ended December 31, 2020 LIHTC $ 3,105 $ (4,071) FHTC 13,237 (15,582) NMTC 900 (1,100) Renewable Energy 4,651 (4,122) Total $ 21,893 $ (24,875) Year Ended December 31, 2019 LIHTC $ 3,168 $ (4,102) FHTC 1,113 (1,244) CReED (3) 13 — Renewable Energy 1,623 (1,740) Total $ 5,917 $ (7,086) Year Ended December 31, 2018 LIHTC $ 2,585 $ (3,349) FHTC 9,206 (10,775) CReED (3) 687 (687) Renewable Energy 13,056 (14,566) Total $ 25,534 $ (29,377) (1) The amortization expense for the LIHTC investments is included in our income tax expense. The amortization expense for the FHTC, NMTC, CReED, and Renewable Energy tax credits is included in noninterest expense. (2) All of the tax benefits recognized are included in our income tax expense. The tax benefit recognized for the FHTC, NMTC, CReED, and Renewable Energy investments primarily reflects the tax credits generated from the investments and excludes the net tax expense (benefit) and deferred tax liability of the investments’ income (loss). (3) The CReED tax credit investment qualifies for an Indiana state tax credit. |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2020 | |
Deposits [Abstract] | |
Deposits | DEPOSITS At December 31, 2020, brokered deposits consist of $100.0 million of demand deposits and $19.6 million of time deposits. Time deposits that meet or exceed the FDIC insurance limit of $250,000 totaled $285.1 million at December 31, 2020 and $546.0 million at December 31, 2019. At December 31, 2020, the scheduled maturities of total time deposits were as follows: (dollars in thousands) Due in 2021 $ 825,822 Due in 2022 139,466 Due in 2023 82,288 Due in 2024 37,280 Due in 2025 30,947 Thereafter 7,067 Total $ 1,122,870 |
Securities Sold Under Agreement
Securities Sold Under Agreements to Repurchase | 12 Months Ended |
Dec. 31, 2020 | |
Transfers and Servicing [Abstract] | |
Securities Sold Under Agreements to Repurchase | SECURITIES SOLD UNDER AGREEMENTS TO REPURCHASE Securities sold under agreements to repurchase are secured borrowings. Old National pledges investment securities to secure these borrowings. The following table presents securities sold under agreements to repurchase and related weighted-average interest rates for each of the years ended December 31: (dollars in thousands) 2020 2019 Outstanding at year-end $ 431,166 $ 327,782 Average amount outstanding 375,961 342,654 Maximum amount outstanding at any month-end 438,039 367,884 Weighted-average interest rate: During year 0.23 % 0.73 % End of year 0.12 0.53 The following table presents the contractual maturity of our secured borrowings and class of collateral pledged: At December 31, 2020 Remaining Contractual Maturity of the Agreements (dollars in thousands) Overnight and Up to 30-90 Days Greater Than Total Repurchase Agreements: U.S. Treasury and agency securities $ 431,166 $ — $ — $ — $ 431,166 Total $ 431,166 $ — $ — $ — $ 431,166 The fair value of securities pledged to secure repurchase agreements may decline. Old National has pledged securities valued at 114% of the gross outstanding balance of repurchase agreements at December 31, 2020 to manage this risk. |
Federal Home Loan Bank Advances
Federal Home Loan Bank Advances | 12 Months Ended |
Dec. 31, 2020 | |
Advances from Federal Home Loan Banks [Abstract] | |
Federal Home Loan Bank Advances | FEDERAL HOME LOAN BANK ADVANCES The following table summarizes Old National Bank’s FHLB advances: December 31, (dollars in thousands) 2020 2019 FHLB advances (fixed rates 0.14% to 4.96% and variable rates 0.10% to 0.12%) maturing January 2021 to August 2035 $ 1,999,160 $ 1,800,664 Fair value hedge basis adjustments and unamortized (7,725) 22,183 Total other borrowings $ 1,991,435 $ 1,822,847 FHLB advances had weighted-average rates of 1.32% at December 31, 2020 and 2.19% at December 31, 2019. Investment securities and residential real estate loans collateralize these borrowings up to 140% of outstanding debt. In 2020, Old National modified $500.0 million pertaining to four FHLB advances, which lowered their weighted average effective rates from 2.00% to 1.28%. At December 31, 2020, unamortized prepayment fees related to these modifications totaled $30.0 million. Contractual maturities of FHLB advances at December 31, 2020 were as follows: (dollars in thousands) Due in 2021 $ 95,000 Due in 2022 29,000 Due in 2023 160 Due in 2024 75,000 Due in 2025 550,000 Thereafter 1,250,000 Fair value hedge basis adjustments and unamortized prepayment fees (7,725) Total $ 1,991,435 |
Other Borrowings
Other Borrowings | 12 Months Ended |
Dec. 31, 2020 | |
Other Liabilities Disclosure [Abstract] | |
Other Borrowings | OTHER BORROWINGS The following table summarizes Old National’s other borrowings: December 31, (dollars in thousands) 2020 2019 Old National Bancorp: Senior unsecured notes (fixed rate 4.125%) maturing August 2024 $ 175,000 $ 175,000 Unamortized debt issuance costs related (559) (715) Junior subordinated debentures (variable rates of 1.80% to 1.98%) maturing March 2035 to June 2037 42,000 52,310 Other basis adjustments (3,195) (2,833) Old National Bank: Finance lease liabilities 11,813 7,406 Subordinated debentures (variable rate 4.57%) 12,000 12,000 Leveraged loans for NMTC (fixed rates of 1.00% to 1.43%) maturing December 2046 to December 2052 15,300 — Other 428 517 Total other borrowings $ 252,787 $ 243,685 Contractual maturities of other borrowings at December 31, 2020 were as follows: (dollars in thousands) Due in 2021 $ 1,025 Due in 2022 1,073 Due in 2023 1,132 Due in 2024 176,170 Due in 2025 1,198 Thereafter 75,515 Unamortized debt issuance costs and other (3,326) Total $ 252,787 Senior Notes In August 2014, Old National issued $175.0 million of senior unsecured notes with a 4.125% interest rate. These notes pay interest on February 15 and August 15. The notes mature on August 15, 2024. Junior Subordinated Debentures Junior subordinated debentures related to trust preferred securities are classified in “other borrowings.” On November 1, 2017, Old National acquired Anchor (MN) and exceeded $15 billion in assets. As a result, these securities can only be treated as Tier 2 capital for regulatory purposes, subject to certain limitations. Prior to the fourth quarter of 2017, these securities qualified as Tier 1 capital for regulatory purposes. Through various acquisitions, Old National assumed junior subordinated debenture obligations related to various trusts that issued trust preferred securities. Old National guarantees the payment of distributions on the trust preferred securities issued by the trusts. Proceeds from the issuance of each of these securities were used to purchase junior subordinated debentures with the same financial terms as the securities issued by the trusts. Old National, at any time, may redeem the junior subordinated debentures at par and, thereby cause a redemption of the trust preferred securities in whole or in part. In February 2020, Old National redeemed at par $4.1 million of junior subordinated debentures issued in October 2002 by Anchor (MN) (as successor to VFSC, Inc.), which was acquired by Old National in 2017. This subsequently caused the redemption of all of the common and capital (preferred) securities issued by VFSC Capital Trust II by the same amount in aggregate. At the time of redemption, the rate on this floating rate instrument was 5.36%. In March 2020, Old National redeemed at par $3.1 million of junior subordinated debentures issued in April 2004 by Anchor (MN) (as successor to VFSC, Inc.), which was acquired by Old National in 2017. This subsequently caused the redemption of all of the common and capital (preferred) securities issued by VFSC Capital Trust III by the same amount in aggregate. At the time of redemption, the rate on this floating rate instrument was 4.71%. In April 2020, Old National redeemed at par $3.1 million of junior subordinated debentures issued in April 2002 by Anchor (MN) (as successor to VFSC, Inc.), which was acquired by Old National in 2017. This subsequently caused the redemption of all of the common and capital (preferred) securities issued by VFSC Capital Trust I by the same amount in aggregate. At the time of redemption, the rate on this floating rate instrument was 5.62%. The following table summarizes the terms of our outstanding junior subordinated debentures as of December 31, 2020: (dollars in thousands) Name of Trust Issuance Date Issuance Rate Rate at December 31, Maturity Date St. Joseph Capital Trust II March 2005 $ 5,000 3-month LIBOR plus 1.75% 1.98 % March 17, 2035 Anchor Capital Trust III August 2005 5,000 3-month LIBOR plus 1.55% 1.80 % September 30, 2035 Home Federal Statutory September 2006 15,000 3-month LIBOR plus 1.65% 1.87 % September 15, 2036 Monroe Bancorp Capital July 2006 3,000 3-month LIBOR plus 1.60% 1.84 % October 7, 2036 Tower Capital Trust 3 December 2006 9,000 3-month LIBOR plus 1.69% 1.92 % March 1, 2037 Monroe Bancorp Statutory March 2007 5,000 3-month LIBOR plus 1.60% 1.82 % June 15, 2037 Total $ 42,000 Subordinated Debentures On November 1, 2017, Old National assumed $12.0 million of subordinated fixed-to-floating notes related to the acquisition of Anchor (MN). The subordinated debentures had a 5.75% fixed rate of interest through October 29, 2020. From October 30, 2020 to the October 30, 2025 maturity date, the debentures have a floating rate of interest equal to the three-month LIBOR rate plus 4.356%. Finance Lease Liabilities Old National has long-term finance lease liabilities for certain banking centers totaling $11.8 million. The economic substance of these leases is that Old National is financing the acquisition of the building through the lease and accordingly, the building is recorded as a right-of-use asset in premises and equipment and the lease is recorded as a liability in other borrowings. The right-of-use assets and lease liabilities are initially measured at the present value of the lease payments over the lease term using Old National’s incremental borrowing rate based on the information available at the commencement date of the lease. See Note 6 to the consolidated financial statements for a maturity analysis of the Company’s finance lease liabilities. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2020 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following table summarizes the changes within each classification of AOCI, net of tax: (dollars in thousands) Unrealized Unrealized Gains and Defined Total Year Ended December 31, 2020 Balance at beginning of period $ 56,131 $ — $ 240 $ (164) $ 56,207 Other comprehensive income (loss) before reclassifications 97,596 — 6,230 — 103,826 Amounts reclassified from AOCI to income (1) (8,392) — (3,886) 16 (12,262) Balance at end of period $ 145,335 $ — $ 2,584 $ (148) $ 147,771 Year Ended December 31, 2019 Balance at beginning of period $ (37,348) $ (8,515) $ 1,099 $ (186) $ (44,950) Other comprehensive income (loss) before reclassifications 94,964 6,419 (410) — 100,973 Amounts reclassified from AOCI (1) (1,485) 2,096 (449) 22 184 Balance at end of period $ 56,131 $ — $ 240 $ (164) $ 56,207 Year Ended December 31, 2018 Balance at beginning of period $ (35,557) $ (12,107) $ (2,337) $ (271) $ (50,272) Amount reclassified from AOCI to retained earnings for cumulative effect of change in accounting principle — — (52) — (52) Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 (7,583) (2,600) (509) (59) (10,751) Other comprehensive income (loss) before reclassifications 7,454 4,514 3,884 — 15,852 Amounts reclassified from AOCI (1) (1,662) 1,678 113 144 273 Balance at end of period $ (37,348) $ (8,515) $ 1,099 $ (186) $ (44,950) (1) See table below for details about reclassifications to income. The following table summarizes the significant amounts reclassified out of each component of AOCI: Details about AOCI Components Amount Reclassified Affected Line Item in the Years Ended December 31, (dollars in thousands) 2020 2019 2018 Unrealized gains and losses on $ 10,767 $ 1,923 $ 2,060 Debt securities gains (losses), net (2,375) (438) (398) Income tax (expense) benefit $ 8,392 $ 1,485 $ 1,662 Net income Unrealized gains and losses on $ — $ (2,812) $ (2,181) Interest income (expense) — 716 503 Income tax (expense) benefit $ — $ (2,096) $ (1,678) Net income Gains and losses on cash flow hedges $ 5,153 $ 596 $ (150) Interest income (expense) (1,267) (147) 37 Income tax (expense) benefit $ 3,886 $ 449 $ (113) Net income Amortization of defined benefit Actuarial gains (losses) $ (21) $ (30) $ (191) Salaries and employee benefits 5 8 47 Income tax (expense) benefit $ (16) $ (22) $ (144) Net income Total reclassifications for the period $ 12,262 $ (184) $ (273) Net income |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | INCOME TAXES Following is a summary of the major items comprising the differences in taxes from continuing operations computed at the federal statutory rate and as recorded in the consolidated statement of income: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Provision at statutory rate of 21% $ 53,667 $ 60,975 $ 43,823 Tax-exempt income: Tax-exempt interest (10,776) (10,243) (9,021) Section 291/265 interest disallowance 189 435 321 Company-owned life insurance income (2,290) (2,423) (2,223) Tax-exempt income (12,877) (12,231) (10,923) State income taxes 4,840 6,720 5,621 Tax credit investments - federal (15,159) (4,411) (21,576) Other, net (1,324) 1,097 905 Income tax expense $ 29,147 $ 52,150 $ 17,850 Effective tax rate 11.4 % 18.0 % 8.6 % The lower effective tax rate in 2020 when compared to 2019 was primarily the result of an increase in federal tax credits available in 2020. The higher effective tax rate in 2019 when compared to 2018 was primarily the result of a decrease in federal tax credits available in 2019, as well as an increase in pre-tax book income. The provision for income taxes consisted of the following components: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Income taxes currently payable: Federal $ 19,223 $ 22,908 $ 12,256 State 6,498 4,490 4,601 Deferred income taxes related to: Federal 3,188 20,402 (1,513) State 238 4,350 2,506 Deferred income tax expense 3,426 24,752 993 Income tax expense $ 29,147 $ 52,150 $ 17,850 Net Deferred Tax Assets Net deferred tax assets are included in other assets on the balance sheet. Significant components of net deferred tax assets (liabilities) were as follows: December 31, (dollars in thousands) 2020 2019 Deferred Tax Assets Allowance for loan losses, net of recapture $ 34,971 $ 14,179 Benefit plan accruals 20,076 19,673 Alternative minimum tax credit — 1,272 Net operating loss carryforwards 18,982 25,336 Deferred gain on securities 2,102 3,754 Acquired loans 11,989 16,784 Operating lease liabilities 24,245 26,503 Tax credit investments and other partnerships 1,054 1,765 Other real estate owned 28 141 Other, net 460 591 Total deferred tax assets 113,907 109,998 Deferred Tax Liabilities Purchase accounting (18,232) (17,564) Loan servicing rights (6,582) (6,289) Premises and equipment (14,008) (12,167) Prepaid expenses (955) (973) Operating lease right-of-use assets (21,569) (25,448) Unrealized gains on available-for-sale investment securities (40,756) (15,751) Unrealized gains on hedges (1,080) (78) Other, net (1,555) (2,023) Total deferred tax liabilities (104,737) (80,293) Net deferred tax assets $ 9,170 $ 29,705 Through the acquisition of Anchor (WI) in the second quarter of 2016 and Lafayette Savings Bank in the fourth quarter of 2014, both former thrifts, Old National Bank’s retained earnings at December 31, 2020 include base-year bad debt reserves, created for tax purposes prior to 1988, totaling $52.8 million. Of this total, $50.9 million was acquired from Anchor (WI), and $1.9 million was acquired from Lafayette Savings Bank. Base-year reserves are subject to recapture in the unlikely event that Old National Bank (1) makes distributions in excess of current and accumulated earnings and profits, as calculated for federal income tax purposes, (2) redeems its stock, or (3) liquidates. Old National Bank has no intention of making such a nondividend distribution. Accordingly, under current accounting principles, a related deferred income tax liability of $13.0 million has not been recognized. No valuation allowance was recorded at December 31, 2020 or 2019 because, based on current expectations, Old National believes it will generate sufficient income in future years to realize deferred tax assets. Old National has federal net operating loss carryforwards totaling $52.4 million at December 31, 2020 and $78.5 million at December 31, 2019. This federal net operating loss was acquired from the acquisition of Anchor (WI) in 2016. If not used, the federal net operating loss carryforwards will expire from 2029 to 2033. Old National has recorded state net operating loss carryforwards totaling $132.2 million at December 31, 2020 and $148.4 million at December 31, 2019. If not used, the state net operating loss carryforwards will expire from 2024 to 2033. The federal and recorded state net operating loss carryforwards are subject to an annual limitation under Internal Revenue Code section 382. Old National believes that all of the recorded net operating loss carryforwards will be used prior to expiration. Unrecognized Tax Benefits Old National reduced an immaterial amount of unrecognized tax benefits to zero in 2020 after an Internal Revenue Service audit was finalized. Old National and its subsidiaries file a consolidated U.S. federal income tax return, as well as filing various state returns. The 2017 through 2020 tax years are open and subject to examination. |
Share-Based Compensation and Ot
Share-Based Compensation and Other Employee Benefit Plans | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Share-Based Compensation and Other Employee Benefit Plans | SHARE-BASED COMPENSATION AND OTHER EMPLOYEE BENEFIT PLANS Our Amended and Restated 2008 Incentive Compensation Plan (the “ICP”), which was shareholder-approved, permits the grant of share-based awards to its employees. At December 31, 2020, 2.9 million shares were available for issuance. The granting of awards to key employees is typically in the form of restricted stock awards or units. We believe that such awards better align the interests of our employees with those of our shareholders. Total compensation cost that has been charged against income for the ICP was $7.7 million in 2020, $8.0 million in 2019, and $8.1 million in 2018. The total income tax benefit was $1.9 million in 2020, $2.0 million in 2019, and $2.0 million in 2018. Restricted Stock Awards Restricted stock awards require certain service requirements and commonly have vesting periods of 3 years. Compensation expense is recognized on a straight-line basis over the vesting period. Shares are subject to certain restrictions and risk of forfeiture by the participants. A summary of changes in our nonvested shares for the year follows: (shares in thousands) Shares Weighted Year Ended December 31, 2020 Nonvested balance at beginning of period 406 $ 16.98 Granted during the year 365 14.79 Vested during the year (193) 17.16 Forfeited during the year (20) 16.53 Nonvested balance at end of period 558 $ 15.51 As of December 31, 2020, there was $5.7 million of total unrecognized compensation cost related to nonvested shares granted under the ICP. The cost is expected to be recognized over a weighted-average period of 2.1 years. The total fair value of the shares vested was $2.9 million in 2020, $3.4 million in 2019, and $3.4 million in 2018. Restricted Stock Units Restricted stock units require certain performance requirements and have vesting periods of 3 years. Compensation expense is recognized on a straight-line basis over the vesting period. Shares are subject to certain restrictions and risk of forfeiture by the participants. A summary of changes in our nonvested shares for the year follows: (shares in thousands) Shares Weighted Year Ended December 31, 2020 Nonvested balance at beginning of period 965 $ 14.07 Granted during the year 344 17.14 Vested during the year (437) 16.31 Forfeited during the year (1) 12.62 Dividend equivalents adjustment 40 14.48 Nonvested balance at end of period 911 $ 14.18 As of December 31, 2020, there was $3.6 million of total unrecognized compensation cost related to nonvested shares granted under the ICP. The cost is expected to be recognized over a weighted-average period of 1.7 years. Stock Options and Appreciation Rights Option awards are generally granted with an exercise price equal to the market price of our Common Stock at the date of grant; these option awards have vesting periods ranging from 3 to 5 years and have 10-year contractual terms. Old National has not granted stock options since 2009. However, Old National did acquire stock options and stock appreciation rights through prior year acquisitions. Old National recorded no incremental expense associated with the conversion of these options and stock appreciation rights. As of December 31, 2020, all options were fully vested and all compensation costs had been expensed. At December 31, 2020, the outstanding shares consisted of stock appreciation rights acquired through prior year acquisitions. A summary of the activity in stock appreciation rights in 2020 follows: (shares in thousands) Shares Weighted Weighted Aggregate Year Ended December 31, 2020 Outstanding at beginning of period 57 $ 4.11 Exercised (16) 3.76 Outstanding at end of period 41 $ 4.24 1.35 $ 509.8 Options exercisable at end of year 41 $ 4.24 1.35 $ 509.8 Information related to stock option and appreciation rights follows: Year Ended December 31, (dollars in thousands) 2020 2019 2018 Intrinsic value of options/appreciation rights exercised $ 213 $ 178 $ 385 Cash received from options/appreciation rights exercises — 280 948 Tax benefit realized from options/appreciation rights exercises 85 71 154 Outside Director Stock Compensation Program Old National maintains a director stock compensation program covering all outside directors. Compensation shares are earned semi-annually. Beginning in 2017, any shares awarded to directors are anticipated to be issued from the ICP. In 2020, 28 thousand shares were issued to directors, compared to 12 thousand shares in 2019, and 16 thousand shares in 2018. Employee Stock Ownership Plan The Employee Stock Ownership and Savings Plan (the “401(k) Plan”) permits employees to participate the first month following one month of service. Old National matches 75% of employee compensation deferral contributions of the first 4% of compensation, and 50% of the next 4% of compensation. In addition to matching contributions, Old National may make discretionary contributions to the 401(k) Plan in the form of Old National stock or cash. Our Board of Directors designated no discretionary profit sharing contributions in 2020, 2019, or 2018. All contributions vest immediately and plan participants may elect to redirect funds among any of the investment options provided under the 401( k) Plan. The number of Old National shares in the 401(k) Plan were 0.6 million at December 31, 2020 and December 31, 2019. All shares owned through the 401(k) Plan are included in the calculation of weighted-average shares outstanding for purposes of calculating diluted and basic earnings per share. Contribution expense under the 401(k) Plan was $9.5 million in 2020, $9.8 million in 2019, and $8.6 million in 2018. |
Shareholders' Equity
Shareholders' Equity | 12 Months Ended |
Dec. 31, 2020 | |
Equity [Abstract] | |
Shareholders' Equity | SHAREHOLDERS' EQUITY Dividend Reinvestment and Stock Purchase Plan Old National has a dividend reinvestment and stock purchase plan under which common shares issued may be either repurchased shares or authorized and previously unissued shares. A new plan became effective on August 13, 2018, with total authorized and unissued common shares reserved for issuance of 3.3 million. At December 31, 2020, 3.3 million authorized and unissued common shares were available for issuance under the plan. Employee Stock Purchase Plan Old National has an employee stock purchase plan under which eligible employees can purchase common shares at a price not less than 95% of the fair market value of the common shares on the purchase date. The amount of common shares purchased cannot exceed 10% of the employee’s compensation. The maximum number of shares that may be purchased under this plan is 500,000 shares. In 2020, 43,000 shares were issued related to this plan with proceeds of approximately $577,000. In 2019, 36,000 shares were issued related to this plan with proceeds of approximately $567,000. Share Repurchase Plan In the first quarter of 2020, the Board of Directors approved the repurchase of up to 7.0 million of the Company’s common shares to be repurchased, as conditions warrant, through January 31, 2021. During 2020, Old National repurchased 4.9 million common shares under the plan, which reduced equity by $78.7 million. The program was suspended in March 2020 given the uncertain economic conditions. On January 28, 2021, the Board of Directors approved the adoption of a stock repurchase plan that authorizes the repurchase of up to $100 million of shares of Common Stock, as conditions warrant, through January 31, 2022. Net Income per Share Basic and diluted net income per share are calculated using the two-class method. Net income is divided by the weighted-average number of common shares outstanding during the period. Adjustments to the weighted average number of common shares outstanding are made only when such adjustments will dilute net income per common share. Net income is then divided by the weighted-average number of common shares and common share equivalents during the period. The following table reconciles basic and diluted net income per share. (dollars and shares in thousands, Years Ended December 31, 2020 2019 2018 Basic Net Income Per Share Net income $ 226,409 $ 238,206 $ 190,830 Weighted average common shares outstanding 165,509 171,907 155,675 $ 1.37 $ 1.39 $ 1.23 Diluted Net Income Per Share Net income $ 226,409 $ 238,206 $ 190,830 Weighted average common shares outstanding 165,509 171,907 155,675 Effect of dilutive securities: Restricted stock 632 733 796 Stock options and appreciation rights 36 47 68 Weighted average shares outstanding 166,177 172,687 156,539 $ 1.36 $ 1.38 $ 1.22 |
Fair Value
Fair Value | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Fair Value | FAIR VALUE Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values: • Level 1 – Quoted prices (unadjusted) for identical assets or liabilities in active markets that the entity has the ability to access as of the measurement date. • Level 2 – Significant other observable inputs other than Level 1 prices such as quoted prices for similar assets or liabilities; quoted prices in markets that are not active; or other inputs that are observable or can be corroborated by observable market data. • Level 3 – Significant unobservable inputs that reflect a company’s own assumptions about the assumptions that market participants would use in pricing an asset or liability. Old National used the following methods and significant assumptions to estimate the fair value of each type of financial instrument: Investment securities : The fair values for investment securities are determined by quoted market prices, if available (Level 1). For securities where quoted prices are not available, fair values are calculated based on market prices of similar securities (Level 2). For securities where quoted prices or market prices of similar securities are not available, fair values are calculated using discounted cash flows or other market indicators (Level 3). Discounted cash flows are calculated using swap and LIBOR curves plus spreads that adjust for loss severities, volatility, credit risk, and optionality. During times when trading is more liquid, broker quotes are used (if available) to validate the model. Rating agency and industry research reports as well as defaults and deferrals on individual securities are reviewed and incorporated into the calculations. Residential loans held for sale : The fair value of loans held for sale is determined using quoted prices for a similar asset, adjusted for specific attributes of that loan (Level 2). Derivative financial instruments : The fair values of derivative financial instruments are based on derivative valuation models using market data inputs as of the valuation date (Level 2). Recurring Basis Assets and liabilities measured at fair value on a recurring basis, including financial assets and liabilities for which we have elected the fair value option, are summarized below: Fair Value Measurements at December 31, 2020 Using (dollars in thousands) Carrying Value Quoted Prices in Significant Significant Financial Assets Equity securities $ 2,547 $ 2,547 $ — $ — Investment securities available-for-sale: U.S. Treasury 10,208 10,208 — — U.S. government-sponsored entities and agencies 841,988 — 841,988 — Mortgage-backed securities - Agency 3,339,098 — 3,339,098 — States and political subdivisions 1,492,162 — 1,492,162 — Pooled trust preferred securities 7,913 — — 7,913 Other securities 278,746 — 278,746 — Residential loans held for sale 63,250 — 63,250 — Derivative assets 140,201 — 140,201 — Financial Liabilities Derivative liabilities 18,187 — 18,187 — Fair Value Measurements at December 31, 2019 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant Financial Assets Equity securities $ 6,842 $ 6,842 $ — $ — Investment securities available-for-sale: U.S. Treasury 17,682 17,682 — — U.S. government-sponsored entities and agencies 592,984 — 592,984 — Mortgage-backed securities - Agency 3,183,861 — 3,183,861 — States and political subdivisions 1,275,643 — 1,275,603 40 Pooled trust preferred securities 8,222 — — 8,222 Other securities 306,699 31,169 275,530 — Residential loans held for sale 46,898 — 46,898 — Derivative assets 51,301 — 51,301 — Financial Liabilities Derivative liabilities 12,393 — 12,393 — The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3): (dollars in thousands) Pooled Trust State and Year Ended December 31, 2020 Balance at beginning of period $ 8,222 $ 40 Accretion (amortization) of discount 15 — Sales/payments received (64) (40) Increase (decrease) in fair value of securities (260) — Balance at end of period $ 7,913 $ — Year Ended December 31, 2019 Balance at beginning of period $ 8,495 $ 4,108 Accretion (amortization) of discount 12 — Sales/payments received (62) (35) Increase (decrease) in fair value of securities (223) — Transfers out of Level 3 — (4,033) Balance at end of period $ 8,222 $ 40 Year Ended December 31, 2018 Balance at beginning of period $ 8,448 $ — Accretion (amortization) of discount 17 (56) Sales/payments received (338) — Increase (decrease) in fair value of securities 368 28 Transfers into Level 3 — 4,136 Balance at end of period $ 8,495 $ 4,108 The accretion or amortization of discounts on securities in the table above is included in interest income. The increase in the fair value of securities in the table above is included in the unrealized holding gains (losses) for the period in the statement of other comprehensive income. An increase in fair value is reflected in the balance sheet as an increase in the fair value of investment securities available-for-sale, an increase in accumulated other comprehensive income, which is included in shareholders’ equity, and a decrease in other assets related to the tax impact. The decrease in the fair value of securities in the table above is included in the unrealized holding gains (losses) for the period in the statement of other comprehensive income. A decrease in fair value is reflected in the balance sheet as a decrease in the fair value of investment securities available-for-sale, a decrease in accumulated other comprehensive income, which is included in shareholders’ equity, and an increase in other assets related to the tax impact. During 2019, Old National received third party pricing on a $4.0 million state and political subdivisions security and transferred it out of Level 3. Old National transferred $4.1 million of state and political subdivisions securities to Level 3 during 2018 because Old National could no longer obtain evidence of observable inputs. The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 of the fair value hierarchy: (dollars in thousands) Fair Value Valuation Unobservable Input Range (Weighted December 31, 2020 Pooled trust preferred securities $ 7,913 Discounted cash flow Constant prepayment rate (1) 0.0% Additional asset defaults (2) 6.0% - 8.7% (6.8%) Expected asset recoveries (3) 0.0% - 23.2% (7.3%) December 31, 2019 Pooled trust preferred securities $ 8,222 Discounted cash flow Constant prepayment rate (1) 0.0% Additional asset defaults (2) 6.2% - 8.0% (6.8%) Expected asset recoveries (3) 0.0% - 19.1% (6.0%) State and political subdivisions 40 Discounted cash flow No observable inputs N/A Local municipality issuances Old National owns 100% Carried at par (1) Assuming no prepayments. (2) Each currently performing pool asset is assigned a default probability based on the banking environment, which is adjusted for specific issuer evaluation, of 0%, 50%, or 100%. (3) Each currently defaulted pool asset is assigned a recovery probability based on specific issuer evaluation of 0%, 25%, or 100%. (4) Unobservable inputs are weighted by the estimated number of defaults and current performing collateral of the instruments. Significant changes in any of the unobservable inputs used in the fair value measurement in isolation would have resulted in a significant change to the fair value measurement. The pooled trust preferred securities Old National owns are subordinate note classes that rely on an ongoing cash flow stream to support their values. The senior note classes receive the benefit of prepayments to the detriment of subordinate note classes since the ongoing interest cash flow stream is reduced by the early redemption. Generally, a change in prepayment rates or additional pool asset defaults would have an impact that is directionally opposite from a change in the expected recovery of a defaulted pool asset. Non-Recurring Basis Assets measured at fair value on a non-recurring basis are summarized below: Fair Value Measurements at December 31, 2020 Using (dollars in thousands) Carrying Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Significant Unobservable Inputs Collateral Dependent Loans: Commercial loans $ 10,747 $ — $ — $ 10,747 Commercial real estate loans 40,653 — — 40,653 Loan servicing rights 26,717 — 26,717 — Commercial and commercial real estate loans that are deemed collateral dependent are valued using the discounted cash flows. The liquidation amounts are based on the fair value of the underlying collateral using the most recently available appraisals with certain adjustments made based on the type of property, age of appraisal, current status of the property, and other related factors to estimate the current value of the collateral. These commercial and commercial real estate loans had a principal amount of $57.2 million, with a valuation allowance of $5.8 million at December 31, 2020. Old National recorded provision expense associated with these loans totaling $2.1 million in 2020. Other real estate owned and other repossessed property is measured at fair value less costs to sell. Old National did not have any other real estate owned or repossessed property measured at fair value on a non-recurring basis at December 31, 2020. There were write-downs of other real estate owned of $161 thousand in 2020. Loan servicing rights are evaluated for impairment based upon the fair value of the rights as compared to the carrying amount. If the carrying amount of an individual tranche exceeds fair value, impairment is recorded on that tranche so that the servicing asset is carried at fair value. Fair value is determined at a tranche level, based on market prices for comparable mortgage servicing contracts when available, or alternatively based on a valuation model that calculates the present value of estimated future net servicing income. The valuation model utilizes a discount rate, weighted average prepayment speed, and other economic factors that market participants would use in estimating future net servicing income and that can be validated against available market data (Level 2). The valuation allowance for loan servicing rights with impairments at December 31, 2020 totaled $1.4 million. Old National recorded impairments associated with these loan servicing rights totaling $1.4 million in 2020. Assets measured at fair value on a non-recurring basis at December 31, 2019 are summarized below: Fair Value Measurements at December 31, 2019 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant Collateral Dependent Loans: Commercial loans $ 10,361 $ — $ — $ 10,361 Commercial real estate loans 11,610 — — 11,610 Foreclosed Assets: Commercial real estate 21 — — 21 Residential 22 — — 22 Loan servicing rights 4,662 — 4,662 — At December 31, 2019, commercial and commercial real estate loans that are deemed collateral dependent had a principal amount of $30.9 million, with a valuation allowance of $8.9 million. Old National recorded provision expense associated with these loans totaling $4.1 million in 2019. Other real estate owned and other repossessed property had a net carrying amount of $43 thousand at December 31, 2019. There were write-downs of other real estate owned of $60 thousand in 2019. The valuation allowance for loan servicing rights with impairments at December 31, 2019 totaled $31 thousand. There were impairments associated with these loan servicing rights totaling $16 thousand in 2019. The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 of the fair value hierarchy: (dollars in thousands) Fair Valuation Unobservable Range (Weighted December 31, 2020 Collateral Dependent Loans Commercial loans $ 10,747 Discounted Discount for type of property, 0% - 33% (12%) Commercial real estate loans 40,653 Discounted Discount for type of property, 0% -18% (7%) December 31, 2019 Collateral Dependent Loans Commercial loans $ 10,361 Fair value of collateral Discount for type of property, 0% - 50% (13%) Commercial real estate loans (1) 11,610 Fair value of collateral Discount for type of property, 45% Foreclosed Assets Commercial real estate (1) 21 Fair value of collateral Discount for type of property, 43% Residential (1) 22 Fair value of collateral Discount for type of property, 21% (1) There was only one collateral dependent commercial real estate loan, one foreclosed commercial real estate asset, and one foreclosed residential asset at December 31, 2019, so no range or weighted average is reported. (2) Unobservable inputs were weighted by the relative fair value of the instruments. Fair Value Option Old National may elect to report most financial instruments and certain other items at fair value on an instrument-by instrument basis with changes in fair value reported in net income. After the initial adoption, the election is made at the acquisition of an eligible financial asset, financial liability, or firm commitment or when certain specified reconsideration events occur. The fair value election may not be revoked once an election is made. Residential Loans Held For Sale Old National has elected the fair value option for residential loans held for sale. For these loans, interest income is recorded in the consolidated statements of income based on the contractual amount of interest income earned on the financial assets (except any that are on nonaccrual status). None of these loans are 90 days or more past due, nor are any on nonaccrual status. Included in the income statement is interest income for loans held for sale totaling $2.0 million in 2020, $1.4 million in 2019, and $0.5 million in 2018. Old National has elected the fair value option for newly originated conforming fixed-rate and adjustable-rate first mortgage loans held for sale. These loans are intended for sale and are hedged with derivative instruments. Old National has elected the fair value option to mitigate accounting mismatches in cases where hedge accounting is complex and to achieve operational simplification. The fair value option was not elected for loans held for investment. The difference between the aggregate fair value and the aggregate remaining principal balance for loans for which the fair value option has been elected was as follows: (dollars in thousands) Aggregate Difference Contractual December 31, 2020 Residential loans held for sale $ 63,250 $ 3,485 $ 59,765 December 31, 2019 Residential loans held for sale $ 46,898 $ 1,529 $ 45,369 Accrued interest at period end is included in the fair value of the instruments. The following table presents the amount of gains and losses from fair value changes included in income before income taxes for financial assets carried at fair value: (dollars in thousands) Other Interest Interest Total Changes Year Ended December 31, 2020 Residential loans held for sale $ 1,962 $ 18 $ (24) $ 1,956 Year Ended December 31, 2019 Residential loans held for sale $ 1,036 $ 18 $ — $ 1,054 Financial Instruments Not Carried at Fair Value The carrying amounts and estimated fair values of financial instruments not carried at fair value were as follows: Fair Value Measurements at December 31, 2020 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant Financial Assets Cash, due from banks, money market, $ 589,712 $ 589,712 $ — $ — Loans, net: Commercial 3,922,642 — — 3,912,948 Commercial real estate 5,867,795 — — 5,797,447 Residential real estate 2,235,814 — — 2,264,274 Consumer credit 1,628,840 — — 1,618,365 Accrued interest receivable 85,306 21 27,977 57,308 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 5,633,672 $ 5,633,672 $ — $ — Checking, NOW, savings, and money market interest-bearing deposits 10,180,911 10,180,911 — — Other time deposits 1,103,313 — 1,121,365 — Brokered deposits 119,557 — 119,514 — Federal funds purchased and interbank borrowings 1,166 1,166 — — Securities sold under agreements to repurchase 431,166 431,166 — — FHLB advances 1,991,435 — 2,092,033 — Other borrowings 252,787 — 254,612 — Accrued interest payable 5,443 — 5,443 — Standby letters of credit 462 — — 462 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 11,822 Fair Value Measurements at December 31, 2019 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant Financial Assets Cash, due from banks, money market, $ 276,337 $ 276,337 $ — $ — Loans, net: Commercial 2,867,711 — — 2,831,298 Commercial real estate 5,145,204 — — 5,130,848 Residential real estate 2,331,990 — — 2,357,341 Consumer credit 1,718,000 — — 1,676,253 Accrued interest receivable 85,123 15 28,185 56,923 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 4,042,286 $ 4,042,286 $ — $ — Checking, NOW, savings, and money market interest-bearing deposits 8,828,881 8,828,881 — — Other time deposits 1,589,988 — 1,600,214 — Brokered deposits 92,242 — 92,355 — Federal funds purchased and interbank borrowings 350,414 350,414 — — Securities sold under agreements to repurchase 327,782 327,782 — — FHLB advances 1,822,847 — 1,875,089 — Other borrowings 243,685 — 254,519 — Accrued interest payable 8,272 — 8,272 — Standby letters of credit 573 — — 573 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 4,302 The methods utilized to measure the fair value of financial instruments at December 31, 2020 and 2019 represent an approximation of exit price, however, an actual exit price may differ. |
Derivative Financial Instrument
Derivative Financial Instruments | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | DERIVATIVE FINANCIAL INSTRUMENTS As part of our overall interest rate risk management, Old National uses derivative instruments, including interest rate swaps, collars, caps, and floors. The notional amount does not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual agreements. The notional amounts of these derivative instruments were $1.452 billion at December 31, 2020 and $665.5 million at December 31, 2019. These derivative financial instruments at December 31, 2020 consisted of $379.0 million notional amount of receive-fixed, pay-variable interest rate swaps on certain of its borrowings, $347.5 million notional amount of pay-fixed, receive-variable interest rate swaps on certain of its available-for-sale investment securities, $325.0 million notional amount of pay-fixed, receive-variable interest rate swaps on certain of its borrowings, and $400.0 million notional amount interest rate collars and floors related to variable-rate commercial loan pools. Derivative financial instruments at December 31, 2019 consisted of $130.5 million notional amount of receive-fixed, pay-variable interest rate swaps on certain of its borrowings, $25.0 million notional amount of pay-fixed, receive-variable interest rate swaps on certain of its borrowings, and $510.0 million notional amount interest rate collars and floors related to variable-rate commercial loan pools. These hedges were entered into to manage interest rate risk. Derivative instruments are recognized on the balance sheet at their fair value and are not reported on a net basis. In accordance with ASC 815-20-35-1, subsequent changes in fair value for a hedging instrument that has been designated and qualifies as part of a hedging relationship should be accounted for in the following manner: Cash flow hedges : changes in fair value are recognized as a component in other comprehensive income. Fair value hedges : changes in fair value are recognized concurrently in earnings. As long as a hedging instrument is designated and the results of the effectiveness testing support that the instrument qualifies for hedge accounting treatment, 100% of the periodic changes in fair value of the hedging instrument are accounted for as outlined above. This is the case whether or not economic mismatches exist in the hedging relationship. As a result, there is no periodic measurement or recognition of ineffectiveness. Rather, the full impact of hedge gains and losses is recognized in the period in which the hedged transactions impact earnings. The change in fair value of the hedging instrument that is included in the assessment of hedge effectiveness is presented in the same income statement line item that is used to present the earnings effect of the hedged item. Commitments to fund certain mortgage loans (interest rate lock commitments) and forward commitments for the future delivery of mortgage loans to third party investors are considered derivatives. These derivative contracts do not qualify for hedge accounting. At December 31, 2020, the notional amounts of the interest rate lock commitments were $224.7 million and forward commitments were $261.0 million. At December 31, 2019, the notional amounts of the interest rate lock commitments were $65.7 million and forward commitments were $101.6 million. It is our practice to enter into forward commitments for the future delivery of residential mortgage loans to third party investors when interest rate lock commitments are entered into in order to economically hedge the effect of changes in interest rates resulting from our commitment to fund the loans. Old National also enters into derivative instruments for the benefit of its customers. The notional amounts of these customer derivative instruments and the offsetting counterparty derivative instruments were $2.008 billion at December 31, 2020. The notional amounts of these customer derivative instruments and the offsetting counterparty derivative instruments were $1.298 billion at December 31, 2019. These derivative contracts do not qualify for hedge accounting. These instruments include interest rate swaps, caps, and collars. Commonly, Old National will economically hedge significant exposures related to these derivative contracts entered into for the benefit of customers by entering into offsetting contracts with approved, reputable, independent counterparties with substantially matching terms. Old National enters into derivative financial instruments as part of its foreign currency risk management strategies. These derivative instruments consist of foreign currency forward contracts to accommodate the business needs of its customers. Old National does not designate these foreign currency forward contracts for hedge accounting treatment. The notional amounts of these foreign currency forward contracts and the offsetting counterparty derivative instruments were $9.9 million at December 31, 2020 and $8.2 million at December 31, 2019. Credit risk arises from the possible inability of counterparties to meet the terms of their contracts. Old National’s exposure is limited to the replacement value of the contracts rather than the notional, principal, or contract amounts. There are provisions in our agreements with the counterparties that allow for certain unsecured credit exposure up to an agreed threshold. Exposures in excess of the agreed thresholds are collateralized. In addition, we minimize credit risk through credit approvals, limits, and monitoring procedures. Amounts reported in AOCI related to cash flow hedges will be reclassified to interest income or interest expense as interest payments are received or paid on Old National’s derivative instruments. During the next 12 months, we estimate that $6.1 million will be reclassified to interest income and $1.8 million will be reclassified to interest expense. The following table summarizes the fair value of derivative financial instruments utilized by Old National: (dollars in thousands) Balance Fair Balance Fair December 31, 2020 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 17,202 Other liabilities $ 1,988 Total derivatives designated as hedging instruments $ 17,202 $ 1,988 Derivatives not designated as hedging instruments Interest rate contracts (1) Other assets $ 113,300 Other liabilities $ 13,676 Mortgage contracts Other assets 9,375 Other liabilities 2,335 Foreign currency contracts Other assets 324 Other liabilities 188 Total derivatives not designated as hedging instruments $ 122,999 $ 16,199 Total $ 140,201 $ 18,187 December 31, 2019 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 7,157 Other liabilities $ 1,046 Total derivatives designated as hedging instruments $ 7,157 $ 1,046 Derivatives not designated as hedging instruments Interest rate contracts (1) Other assets $ 42,224 Other liabilities $ 10,883 Mortgage contracts Other assets 1,702 Other liabilities 354 Foreign currency contracts Other assets 218 Other liabilities 110 Total derivatives not designated as hedging instruments $ 44,144 $ 11,347 Total $ 51,301 $ 12,393 (1) The fair values of counterparty interest rate swaps are zero due to the settlement of centrally-cleared variation margin rules. The net adjustment was $100.4 million as of December 31, 2020 and $31.6 million as of December 31, 2019. Summary information about the interest rate swaps designated as fair value hedges is as follows: December 31, (dollars in thousands) 2020 2019 Notional amounts $ 726,516 $ 130,500 Weighted average pay rates 0.63 % 1.82 % Weighted average receive rates 1.23 % 2.20 % Weighted average maturity (in years) 6.9 2.8 Fair value of swaps $ 9,766 $ 1,555 The effect of derivative instruments in fair value hedging relationships on the consolidated statements of income were as follows: (dollars in thousands) Gain (Loss) Derivatives in Location of Gain or Gain (Loss) Hedged Items Location of Gain or Year Ended Interest rate contracts Interest income/(expense) $ 7,238 Fixed-rate debt Interest income/(expense) $ (7,283) Interest rate contracts Interest income/(expense) 973 Fixed-rate Interest income/(expense) (967) Total $ 8,211 $ (8,250) Year Ended Interest rate contracts Interest income/(expense) $ 12,577 Fixed-rate debt Interest income/(expense) $ (12,587) Year Ended Interest rate contracts Interest income/(expense) $ 7,662 Fixed-rate debt Interest income/(expense) $ (7,634) Summary information about the interest rate swaps designated as cash flow hedges is as follows: December 31, (dollars in thousands) 2020 2019 Notional amounts $ 325,000 $ 25,000 Weighted average pay rates 0.74 % 3.52 % Weighted average receive rates 0.39 % 1.93 % Weighted average maturity (in years) 3.5 2.1 Unrealized gains (losses) $ (1,188) $ (954) Old National has designated its interest rate collars as cash flow hedges. The structure of these instruments is such that Old National pays the counterparty an incremental amount if the collar index exceeds the cap rate. Conversely, Old National receives an incremental amount if the index falls below the floor rate. No payments are required if the collar index falls between the cap and floor rates. Summary information about the collars designated as cash flow hedges is as follows: December 31, (dollars in thousands) 2020 2019 Notional amounts $ 300,000 $ 300,000 Weighted average cap rates 3.21 % 3.21 % Weighted average floor rates 2.21 % 2.21 % Weighted average rates 0.15 % 1.70 % Weighted average maturity (in years) 0.8 1.9 Unrealized gains (losses) $ 5,244 $ 3,691 Old National has designated its interest rate floor transactions as cash flow hedges. The structure of these instruments is such that Old National receives an incremental amount if the index falls below the floor strike rate. No payments are required if the index remains above the floor strike rate. Summary information about the interest rate floor transactions designated as cash flow hedges is as follows: (dollars in thousands) December 31, Notional amounts $ 100,000 Weighted average floor strike rate 0.75 % Weighted average rates 0.15 % Weighted average maturity (in years) 2.3 Unrealized gains (losses) $ 1,392 The structure of Old National’s interest rate floor spread transactions at December 31, 2019 was such that Old National received an incremental amount if the index fell below the purchased floor strike rate. Old National paid an incremental amount if the index fell below the sold floor rate. Floor corridor protection was limited to the spread between the purchased floor strike rate and the sold floor rate. No payments were required if the index remained above the purchased floor strike rate. Old National terminated these interest rate floor spread transactions during the first quarter of 2020. Summary information about the floor spread transactions designated as cash flow hedges at December 31, 2019 was as follows: (dollars in thousands) December 31, Notional amounts $ 210,000 Weighted average purchased floor strike rate 2.00 % Weighted average sold floor rate 1.00 % Weighted average rate 1.70 % Weighted average maturity (in years) 2.1 Unrealized gains (losses) $ 1,820 The effect of derivative instruments in cash flow hedging relationships on the consolidated statements of income were as follows: Years Ended December 31, Years Ended December 31, (dollars in thousands) 2020 2019 2018 2020 2019 2018 Derivatives in Location of Gain or Gain (Loss) Gain (Loss) Interest rate contracts Interest income/(expense) $ 8,261 $ (543) $ 5,145 $ 5,153 $ 596 $ (150) The effect of derivatives not designated as hedging instruments on the consolidated statements of income were as follows: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Derivatives Not Designated as Location of Gain or (Loss) Gain (Loss) Interest rate contracts (1) Other income/(expense) $ (551) $ (174) $ (7) Mortgage contracts Mortgage banking revenue 5,692 789 (189) Foreign currency contracts Other income/(expense) 13 50 42 Total $ 5,154 $ 665 $ (154) (1) Includes the valuation differences between the customer and offsetting swaps. |
Commitments and Contingencies
Commitments and Contingencies | 12 Months Ended |
Dec. 31, 2020 | |
Commitments and Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | COMMITMENTS AND CONTINGENCIES COVID-19 As previously disclosed, a novel strain of coronavirus, COVID-19, was reported in Wuhan, China and continues to unfold across the U.S. The spread of the COVID-19 virus had an impact on our operations as of December 31, 2020, and the Company expects that the virus will continue to have an impact on the business, financial condition, and results of operations of the Company and its customers. The COVID-19 pandemic caused changes in the behavior of customers, businesses, and their employees, including illness, quarantines, social distancing practices, cancellation of events and travel, business and school shutdowns, reduction in commercial activity and financial transactions, supply chain interruptions, increased unemployment, and overall economic and financial market instability. Future effects, including additional actions taken by federal, state, and local governments to contain COVID-19 or treat its impact, are unknown. However, if these actions are sustained, it may adversely impact several industries within our geographic footprint and impair the ability of Old National’s customers to fulfill their contractual obligations to the Company. This could cause Old National to experience a material adverse effect on our business operations, asset valuations, financial condition, and results of operations. Material adverse impacts may include all or a combination of valuation impairments on Old National’s intangible assets, investments, loans, loan servicing rights, deferred tax assets, or counter-party risk derivatives. Litigation In the normal course of business, Old National Bancorp and its subsidiaries have been named, from time to time, as defendants in various legal actions. Certain of the actual or threatened legal actions may include claims for substantial compensatory and/or punitive damages or claims for indeterminate amounts of damages. Old National contests liability and/or the amount of damages as appropriate in each pending matter. In view of the inherent difficulty of predicting the outcome of such matters, particularly in cases where claimants seek substantial or indeterminate damages or where investigations and proceedings are in the early stages, Old National cannot predict with certainty the loss or range of loss, if any, related to such matters, how or if such matters will be resolved, when they will ultimately be resolved, or what the eventual settlement, or other relief, if any, might be. Subject to the foregoing, Old National believes, based on current knowledge and after consultation with counsel, that the outcome of such pending matters will not have a material adverse effect on the consolidated financial condition of Old National, although the outcome of such matters could be material to Old National’s operating results and cash flows for a particular future period, depending on, among other things, the level of Old National’s revenues or income for such period. Old National will accrue for a loss contingency if (1) it is probable that a future event will occur and confirm the loss and (2) the amount of the loss can be reasonably estimated. Old National is not currently involved in any material litigation. Credit-Related Financial Instruments In the normal course of business, Old National’s banking affiliates have entered into various agreements to extend credit, including loan commitments of $3.720 billion and standby letters of credit of $86.9 million at December 31, 2020. At December 31, 2020, approximately $3.463 billion of the loan commitments had fixed rates and $257.8 million had floating rates, with the floating interest rates ranging from 0% to 14%. At December 31, 2019, loan commitments totaled $2.779 billion and standby letters of credit totaled $87.8 million. These commitments are not reflected in the consolidated financial statements. The allowance for unfunded loan commitments totaled $11.7 million at December 31, 2020 and $2.7 million at December 31, 2019. The increase in allowance for unfunded loan commitments included a cumulative-effect adjustment of $4.5 million effective January 1, 2020 due to the adoption of ASC 326. See Note 1 for additional information about CECL for unfunded loan commitments. Old National had credit extensions with various unaffiliated banks related to letter of credit commitments issued on behalf of Old National’s clients totaling $7.9 million at December 31, 2020 and $8.7 million at December 31, 2019. Old National provided collateral to the unaffiliated banks to secure credit extensions totaling $7.5 million at December 31, 2020 and $7.7 million December 31, 2019. Old National did not provide collateral for the remaining credit extensions. Visa Class B Restricted Shares In 2008, Old National received Visa Class B restricted shares as part of Visa’s initial public offering. These shares are transferable only under limited circumstances until they can be converted into the publicly traded Class A |
Financial Guarantees
Financial Guarantees | 12 Months Ended |
Dec. 31, 2020 | |
Guarantees and Product Warranties [Abstract] | |
Financial Guarantees | FINANCIAL GUARANTEES Old National holds instruments, in the normal course of business with clients, that are considered financial guarantees in accordance with FASB ASC 460-10 (FIN 45, Guarantor’s Accounting and Disclosure Requirements for Guarantees, Including Indirect Guarantees of Indebtedness of Others ) , which requires Old National to record the instruments at fair value. Standby letters of credit guarantees are issued in connection with agreements made by clients to counterparties. Standby letters of credit are contingent upon failure of the client to perform the terms of the underlying contract. Credit risk associated with standby letters of credit is essentially the same as that associated with extending loans to clients and is subject to normal credit policies. The term of these standby letters of credit is typically one year or less. At December 31, 2020, the notional amount of standby letters of credit was $86.9 million, which represented the maximum amount of future funding requirements, and the carrying value was $0.5 million. At December 31, 2019, the notional amount of standby letters of credit was $87.8 million, which represented the maximum amount of future funding requirements, and the carrying value was $0.6 million. Old National is a party in risk participation transactions of interest rate swaps, which had total notional amount of $54.3 million at December 31, 2020. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 12 Months Ended |
Dec. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | REVENUE FROM CONTRACTS WITH CUSTOMERS Old National’s revenue from contracts with customers in the scope of Topic 606 is recognized within noninterest income. The consolidated statements of income include all categories of noninterest income. The following table reflects only the categories of noninterest income that are within the scope of Topic 606: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Wealth management fees $ 36,806 $ 37,072 $ 36,863 Service charges on deposit accounts 35,081 44,915 44,026 Debit card and ATM fees 20,178 21,652 20,216 Investment product fees 21,614 21,785 20,539 Other income: Merchant processing fees 3,150 3,105 2,927 Gain (loss) on other real estate owned 240 254 1,270 Safe deposit box fees 957 1,206 1,124 Insurance premiums and commissions 407 815 399 Total $ 118,433 $ 130,804 $ 127,364 Wealth management fees : Old National earns wealth management fees based upon asset custody and investment management services provided to individual and institutional customers. Most of these customers receive monthly or quarterly billings for services rendered based upon the market value of assets in custody. Fees that are transaction based are recognized at the point in time that the transaction is executed. Service charges on deposit accounts : Old National earns fees from deposit customers for transaction-based, account maintenance, and overdraft services. Transaction-based fees and overdraft fees are recognized at a point in time, since the customer generally has a right to cancel the depository arrangement at any time. The arrangement is considered a day-to-day contract with ongoing renewals and optional purchases, so the duration of the contract does not extend beyond the services already performed. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which Old National satisfies its performance obligation. Debit card and ATM fees : Debit card and ATM fees include ATM usage fees and debit card interchange income. As with the transaction-based fees on deposit accounts, the ATM fees are recognized at the point in time that Old National fulfills the customer’s request. Old National earns interchange fees from cardholder transactions processed through card association networks. Interchange rates are generally set by the card associations based upon purchase volumes and other factors. Interchange fees represent a percentage of the underlying transaction value and are recognized daily, concurrently with the transaction processing services provided to the cardholder. Investment product fees : Investment product fees are the commissions and fees received from a registered broker/dealer and investment adviser that provide those services to Old National customers. Old National acts as an agent in arranging the relationship between the customer and the third-party service provider. These fees are recognized monthly from the third-party broker based upon services already performed, net of the processing fees charged to Old National by the broker. |
Regulatory Restrictions
Regulatory Restrictions | 12 Months Ended |
Dec. 31, 2020 | |
Compliance With Regulatory Capital Requirements Under Banking Regulations [Abstract] | |
Regulatory Restrictions | REGULATORY RESTRICTIONS Restrictions on Cash and Due from Banks Prior to March of 2020, Old National’s affiliate bank was required to maintain reserve balances on hand and with the Federal Reserve Bank that are interest-bearing and unavailable for investment purposes. The Federal Reserve Board reduced reserve requirement ratios to 0% effective March 26, 2020. This action eliminated reserve requirements for all depository institutions. The reserve balances were $115.3 million at December 31, 2019. In addition, Old National had cash and due from banks which was held as collateral for collateralized swap positions of $7.8 million at December 31, 2020 and $6.9 million at December 31, 2019. Restrictions on Transfers from Affiliate Bank Regulations limit the amount of dividends an affiliate bank can declare in any year without obtaining prior regulatory approval. Prior regulatory approval is required if dividends to be declared in any year would exceed net earnings of the current year plus retained net profits for the preceding two years. Prior regulatory approval to pay dividends was not required in 2018, 2019, or 2020 and is not currently required. Restrictions on the Payment of Dividends Old National has traditionally paid a quarterly dividend to common stockholders. The payment of dividends is subject to legal and regulatory restrictions. Any payment of dividends in the future will depend, in large part, on Old National’s earnings, capital requirements, financial condition, and other factors considered relevant by our Board of Directors. Capital Adequacy Old National and Old National Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can elicit certain mandatory actions by regulators that, if undertaken, could have a direct material effect on Old National’s financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, Old National and Old National Bank must meet specific capital guidelines that involve quantitative measures of assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The capital amounts and classifications 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. Quantitative measures established by regulation to ensure capital adequacy require Old National and Old National Bank to maintain minimum amounts and ratios as set forth in the following tables. At December 31, 2020, Old National and Old National Bank exceeded the regulatory minimums and Old National Bank met the regulatory definition of “well-capitalized” based on the most recent regulatory notification. There have been no conditions or events since that notification that management believes have changed Old National Bank’s category. The following table summarizes capital ratios for Old National and Old National Bank: Actual Fully Phased-In Prompt Corrective Action (dollars in thousands) Amount Ratio Amount Ratio Amount Ratio December 31, 2020 Total capital to risk-weighted Old National Bancorp $ 1,949,757 12.69 % $ 1,613,753 10.50 % N/A N/A % Old National Bank 1,973,180 12.90 1,606,657 10.50 1,530,149 10.00 Common equity Tier 1 capital Old National Bancorp 1,805,194 11.75 1,075,835 7.00 N/A N/A Old National Bank 1,870,617 12.23 1,071,104 7.00 994,597 6.50 Tier 1 capital to risk-weighted Old National Bancorp 1,805,194 11.75 1,306,371 8.50 N/A N/A Old National Bank 1,870,617 12.23 1,300,627 8.50 1,224,119 8.00 Tier 1 capital to average assets Old National Bancorp 1,805,194 8.20 880,845 4.00 N/A N/A Old National Bank 1,870,617 8.67 863,087 4.00 1,078,859 5.00 December 31, 2019 Total capital to risk-weighted Old National Bancorp $ 1,828,312 12.99 % $ 1,477,763 10.50 % N/A N/A % Old National Bank 1,891,612 13.50 1,471,122 10.50 1,401,069 10.00 Common equity Tier 1 capital Old National Bancorp 1,706,727 12.13 985,175 7.00 N/A N/A Old National Bank 1,822,337 13.01 980,748 7.00 910,695 6.50 Tier 1 capital to risk-weighted Old National Bancorp 1,706,727 12.13 1,196,284 8.50 N/A N/A Old National Bank 1,822,737 13.01 1,190,909 8.50 1,120,855 8.00 Tier 1 capital to average assets Old National Bancorp 1,706,727 8.88 768,537 4.00 N/A N/A Old National Bank 1,822,737 9.62 757,783 4.00 947,228 5.00 (1) As of January 1, 2019, Basel III Capital Rules required banking organizations to maintain: a minimum ratio of common equity Tier 1 to risk-weighted assets of at least 4.5%, plus a 2.5% “capital conservation buffer”; a minimum ratio of Tier 1 capital to risk-weighted assets of at least 6.0%, plus the 2.5% capital conservation buffer; a minimum ratio of total capital to risk-weighted assets of at least 8.0%, plus the 2.5% capital conservation buffer; and a minimum ratio of Tier 1 capital to adjusted average consolidated assets of at least 4.0%. In December 2018, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC approved a final rule to address changes to credit loss accounting under GAAP, including banking organizations’ implementation of CECL. The final rule provides banking organizations the option to phase in over a three-year period the day-one adverse effects on regulatory capital that may result from the adoption of the new accounting standard. In March 2020, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC published an interim final rule to delay the estimated impact on regulatory capital stemming from the implementation of CECL. The interim final rule maintains the three-year transition option in the previous rule and provides banks the option to delay for two years an estimate of CECL’s effect on regulatory capital, relative to the incurred loss methodology’s effect on regulatory capital, followed by a three-year transition period (five-year transition option). Old National is adopting the capital transition relief over the permissible five-year period. |
Parent Company Financial Statem
Parent Company Financial Statements | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Financial Information Disclosure [Abstract] | |
Parent Company Financial Statements | PARENT COMPANY FINANCIAL STATEMENTS The following are the condensed parent company only financial statements of Old National: OLD NATIONAL BANCORP (PARENT COMPANY ONLY) December 31, (dollars in thousands) 2020 2019 Assets Deposits in affiliate bank $ 73,340 $ 41,289 Equity securities 2,435 6,724 Investment securities - available-for-sale 14,198 4,018 Investment in affiliates: Banking subsidiaries 3,037,930 2,966,575 Non-banks 4,969 4,885 Other assets 89,776 89,093 Total assets $ 3,222,648 $ 3,112,584 Liabilities and Shareholders' Equity Other liabilities $ 36,746 $ 36,369 Other borrowings 213,246 223,762 Shareholders' equity 2,972,656 2,852,453 Total liabilities and shareholders' equity $ 3,222,648 $ 3,112,584 OLD NATIONAL BANCORP (PARENT COMPANY ONLY) Years Ended December 31, (dollars in thousands) 2020 2019 2018 Income Dividends from affiliates $ 230,000 $ 165,000 $ 105,000 Debt securities gains (losses), net 574 631 49 Other income 3,622 2,209 2,126 Other income from affiliates 5 5 5 Total income 234,201 167,845 107,180 Expense Interest on borrowings 8,649 10,203 10,425 Other expenses 16,351 15,505 21,936 Total expense 25,000 25,708 32,361 Income before income taxes and equity in undistributed earnings of affiliates 209,201 142,137 74,819 Income tax expense (benefit) (5,317) (6,165) (5,693) Income before equity in undistributed earnings of affiliates 214,518 148,302 80,512 Equity in undistributed earnings of affiliates 11,891 89,904 110,318 Net income $ 226,409 $ 238,206 $ 190,830 OLD NATIONAL BANCORP (PARENT COMPANY ONLY) Years Ended December 31, (dollars in thousands) 2020 2019 2018 Cash Flows From Operating Activities Net income $ 226,409 $ 238,206 $ 190,830 Adjustments to reconcile net income to cash Depreciation 46 52 53 Debt securities (gains) losses, net (574) (631) (49) Share-based compensation expense 7,707 7,993 8,118 (Increase) decrease in other assets (51) (3,685) 28,754 Increase (decrease) in other liabilities 1,084 1,046 3,147 Equity in undistributed earnings of affiliates (11,891) (89,904) (110,318) Net cash flows provided by (used in) operating activities 222,730 153,077 120,535 Cash Flows From Investing Activities Net cash and cash equivalents of acquisitions — — 8,281 Proceeds from dissolution of subsidiary — 224 — Proceeds from sales of equity securities 4,431 130 128 Purchases of investment securities (10,073) (3,085) (76) Proceeds from sales of premises and equipment 354 847 1,065 Purchases of premises and equipment (354) (869) (945) Net cash flows provided by (used in) investing activities (5,642) (2,753) 8,453 Cash Flows From Financing Activities Payments for maturities/redemptions of other borrowings (10,310) (8,000) — Cash dividends paid on common stock (92,946) (89,474) (82,161) Common stock repurchased (82,358) (102,413) (1,805) Proceeds from exercise of stock options — 280 948 Common stock issued 577 567 497 Net cash flows provided by (used in) financing activities (185,037) (199,040) (82,521) Net increase (decrease) in cash and cash equivalents 32,051 (48,716) 46,467 Cash and cash equivalents at beginning of period 41,289 90,005 43,538 Cash and cash equivalents at end of period $ 73,340 $ 41,289 $ 90,005 |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2020 | |
Segment Reporting [Abstract] | |
Segment Information | SEGMENT INFORMATIONOperating segments are components of an enterprise about which separate financial information is available that is evaluated regularly by the chief operating decision maker in deciding how to allocate resources and in assessing performance. Old National Bank, Old National’s bank subsidiary, is the only significant subsidiary upon which management makes decisions regarding how to allocate resources and assess performance. Each of the banking centers of Old National Bank provide a group of similar community banking services, including such products and services as commercial, real estate and consumer loans, time deposits, checking and savings accounts, cash management, brokerage, trust, and investment advisory services. The individual banking centers located throughout our Midwest footprint have similar operating and economic characteristics. While the chief decision maker monitors the revenue streams of the various products, services, and regional locations, operations are managed and financial performance is evaluated on a Company-wide basis. Accordingly, all of the community banking services and banking center locations are considered by management to be aggregated into one reportable operating segment, community banking. |
Interim Financial Data (Unaudit
Interim Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Interim Financial Data (Unaudited) | INTERIM FINANCIAL DATA (UNAUDITED) The following table details the quarterly results of operations for the years ended December 31, 2020 and 2019. (unaudited, dollars Three Months Ended Three Months Ended except per share data) 12/312020 9/302020 6/302020 3/312020 12/312019 9/302019 6/302019 3/312019 Interest income $ 173,249 $ 160,086 $ 161,974 $ 167,999 $ 176,553 $ 185,853 $ 189,063 $ 178,918 Interest expense 12,170 14,513 16,303 24,228 27,654 32,757 33,833 31,870 Net interest income 161,079 145,573 145,671 143,771 148,899 153,096 155,230 147,048 Provision for loan losses (1) (1,100) — 22,545 16,950 1,264 1,437 1,003 1,043 Noninterest income 58,552 64,759 58,461 57,502 47,726 53,961 51,214 46,416 Noninterest expense (2) 142,318 120,234 120,121 158,744 134,743 122,585 128,118 123,041 Income before income taxes 78,413 90,098 61,466 25,579 60,618 83,035 77,323 69,380 Income tax expense 4,293 12,154 9,761 2,939 11,433 13,254 14,359 13,104 Net income $ 74,120 $ 77,944 $ 51,705 $ 22,640 $ 49,185 $ 69,781 $ 62,964 $ 56,276 Net income per share: Basic $ 0.45 $ 0.47 $ 0.32 $ 0.13 $ 0.29 $ 0.41 $ 0.37 $ 0.32 Diluted 0.44 0.47 0.32 0.13 0.29 0.41 0.36 0.32 Average shares: Basic 164,799 164,773 164,732 167,748 169,235 170,746 172,985 174,734 Diluted 165,631 165,419 165,302 168,404 170,186 171,551 173,675 175,368 (1) Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. (2) Noninterest expense for the three months ended March 31, 2020 included $31.2 million of charges related to The ONB Way strategic initiative. |
Basis of Presentation and Sig_2
Basis of Presentation and Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Basis of Presentation | Basis of Presentation The accompanying consolidated financial statements include the accounts of Old National Bancorp and its wholly-owned affiliates (hereinafter collectively referred to as “Old National”) and have been prepared in conformity with accounting principles generally accepted in the United States of America and prevailing practices within the banking industry. Such principles require management to make estimates and assumptions that affect the reported amounts of assets, liabilities, and the disclosures of contingent assets and liabilities at the date of the financial statements and amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. All significant intercompany transactions and balances have been eliminated. Certain prior year amounts have been reclassified to conform to the current presentation. Such reclassifications had no effect on prior year net income or shareholders’ equity and were insignificant amounts. |
Equity Securities | Equity Securities Equity securities consist of mutual funds held in trusts associated with deferred compensation plans for former directors and executives. These mutual funds are recorded as equity securities at fair value. Gains and losses are included in other income in 2020 and 2019 and net securities gains in 2018. |
Investment Securities | Investment Securities Old National classified all of its debt investment securities as available-for-sale at December 31, 2020. Debt securities classified as available-for-sale are recorded at fair value with the unrealized gains and losses, net of tax effect, recorded in other comprehensive income. Realized gains and losses affect income and the prior fair value adjustments are reclassified within shareholders’ equity. Prior to the fourth quarter of 2019, Old National also had debt securities classified as held-to-maturity. Debt securities classified as held-to-maturity, which management had the intent and ability to hold to maturity, were reported at amortized cost. Interest income included amortization of purchase premiums or discounts. Premiums and discounts were amortized on the level-yield method. Anticipated prepayments were considered when amortizing premiums and discounts on mortgage backed securities. Gains and losses on the sale of available-for-sale debt securities are determined using the specific-identification method. Available-for-sale debt securities in unrealized loss positions are evaluated for impairment related to credit losses at least quarterly. For available-for sale debt securities in an unrealized loss position, we first assess whether we intend to sell, or it is more likely than not that we will be required to sell the security before recovery of its amortized cost basis. If either of the criteria regarding intent or requirement to sell is met, the security’s amortized cost basis is written down to fair value through income. For available-for-sale debt securities that do not meet the criteria, we evaluate whether the decline in fair value has resulted from credit losses or other factors. In making this assessment, management considers the extent to which fair value is less than amortized cost, any changes to the rating of the security by a rating agency, and adverse conditions specifically related to the security and the issuer, among other factors. If this assessment indicates that a credit loss exists, we compare the present value of cash flows expected to be collected from the security with the amortized cost basis of the security. If the present value of cash flows expected to be collected is less than the amortized cost basis for the security, a credit loss exists and an allowance for credit losses is recorded, limited to the amount that the fair value of the security is less than its amortized cost basis. Any impairment that has not been recorded through an allowance for credit losses is recognized in other comprehensive income, net of applicable taxes. Accrued interest receivable on available-for-sale debt securities is excluded from the estimate of credit losses. |
Federal Home Loan Bank Stock | Federal Home Loan Bank Stock Old National is a member of the FHLB system. Members are required to own a certain amount of stock based on the level of borrowings and other factors and may invest in additional amounts. FHLB stock is carried at cost, classified as a restricted security, and periodically evaluated for impairment based on ultimate recovery of par value. Both cash and stock dividends are reported as income. |
Loans Held for Sale | Loans Held for SaleLoans that Old National has originated with an intent to sell are classified as loans held for sale and are recorded at fair value, determined individually, as of the balance sheet date. The loan’s fair value includes the servicing value of the loans as well as any accrued interest. Conventional mortgage production is sold on a servicing retained basis. Certain loans, such as government guaranteed mortgage loans are sold on servicing released basis. |
Loans | Loans Loans that Old National intends to hold for investment purposes are classified as portfolio loans. Portfolio loans are carried at the principal balance outstanding, net of earned interest, purchase premiums or discounts, deferred loan fees and costs, and an allowance for credit losses. Interest income is accrued on the principal balances of loans outstanding. For all loan classes, a loan is generally placed on nonaccrual status when principal or interest becomes 90 days past due unless it is well secured and in the process of collection, or earlier when concern exists as to the ultimate collectability of principal or interest. Interest accrued but not received is reversed against earnings. Cash interest received on these loans is applied to the principal balance until the principal is recovered or until the loan returns to accrual status. Loans may be returned to accrual status when all the principal and interest amounts contractually due are brought current, remain current for a prescribed period, and future payments are reasonably assured. |
Allowance for Credit Losses for Loans | Allowance for Credit Losses for Loans Credit quality within the loans held for investment portfolio is continuously monitored by management and is reflected within the allowance for credit losses for loans. The allowance for credit losses is an estimate of expected losses inherent within the Company’s loans held for investment portfolio. Credit quality is assessed and monitored by evaluating various attributes and the results of those evaluations are utilized in underwriting new loans and in our process for estimating expected credit losses. Expected credit loss inherent in non-cancelable off-balance-sheet credit exposures is accounted for as a separate liability included in other liabilities on the balance sheet. The allowance for credit losses for loans held for investment is adjusted by a credit loss expense, which is reported in earnings, and reduced by the charge-off of loan amounts, net of recoveries. We have made a policy election to report accrued interest receivable as a separate line item on the balance sheet. The allowance for credit loss estimation process involves procedures to appropriately consider the unique characteristics of the loan portfolio segments. These segments are further disaggregated into loan classes based on the level at which credit risk is monitored. When computing the level of expected credit losses, credit loss assumptions are estimated using a model that categorizes loan pools based on loss history, delinquency status, and other credit trends and risk characteristics, including current conditions and reasonable and supportable forecasts about the future. Determining the appropriateness of the allowance is complex and requires judgment by management about the effect of matters that are inherently uncertain. In future periods evaluations of the overall loan portfolio, in light of the factors and forecasts then prevailing, may result in significant changes in the allowance and credit loss expense in those future periods. The allowance level is influenced by loan volumes, loan AQR migration or delinquency status, changes in historical loss experience, and other conditions influencing loss expectations, such as reasonable and supportable forecasts of economic conditions. The methodology for estimating the amount of expected credit losses reported in the allowance for credit losses has two basic components: first, an asset-specific component involving individual loans that do not share risk characteristics with other loans and the measurement of expected credit losses for such individual loans; and second, a pooled component for estimated expected credit losses for pools of loans that share similar risk characteristics. We utilize a discounted cashflow approach to determine the allowance for credit losses for performing loans and nonperforming loans. Expected cashflows are created for each loan and discounted using the effective yield. The discounted sum of expected cashflows is then compared to the amortized cost and any shortfall is recorded as reserve. Expected cashflows are created using a combination of contractual payment schedules, calculated PDs, LGD, and prepayment assumptions as well as qualitative factors. For the commercial and commercial real estate loans, the PD is forecast using a regression model to determine the likelihood of a loan moving into nonaccrual within the time horizon. For residential and consumer loans, the PD is forecast using a regression model to determine the likelihood of a loan being charged-off within the time horizon. The regression models use combinations of variables to assess systematic and unsystematic risk. Variables used for unsystematic risk are borrower specific and help to gauge the risk of default from an individual borrower. Variables for systematic risk, risk inherent to all borrowers, come from the use of forward-looking economic forecasts and include variables such as unemployment rate, gross domestic product, and house price index. The LGD is defined as credit loss incurred when an obligor of the bank defaults. Qualitative factors include items such as changes in lending policies or procedures and economic uncertainty in forward-looking forecasts. Further information regarding Old National’s policies and methodology used to estimate the allowance for credit losses for loans is presented in Note 3. |
Premises and Equipment | Premises and Equipment Premises and equipment are stated at cost less accumulated depreciation. Land is stated at cost. Depreciation is charged to operating expense over the useful lives of the assets, principally on the straight-line method. Useful lives for premises and equipment are as follows: buildings and building improvements – 15 to 39 years; and furniture and equipment – 3 to 7 years. Leasehold improvements are depreciated over the lesser of their useful lives or the term of the lease. Maintenance and repairs are expensed as incurred while major additions and improvements are capitalized. Interest costs on construction of qualifying assets are capitalized. Premises and equipment are reviewed for impairment when events indicate their carrying amount may not be recoverable from future undiscounted cash flows. If impaired, the assets are adjusted to fair value. Such impairments are included in other expense. |
Goodwill and Other Intangible Assets | Goodwill and Other Intangible Assets The excess of the cost of acquired entities over the fair value of identifiable assets acquired less liabilities assumed is recorded as goodwill. Amortization of goodwill and indefinite-lived assets is not recorded. However, the recoverability of goodwill and other intangible assets are tested annually for impairment. Other intangible assets, including core deposits and customer business relationships, are amortized primarily on an accelerated basis over their estimated useful lives, generally over a period of 5 to 15 years. |
Company-Owned Life Insurance | Company-Owned Life Insurance Old National has purchased, as well as obtained through acquisitions, life insurance policies on certain key executives. Old National records company-owned life insurance at the amount that can be realized under the insurance contract at the balance sheet date, which is the cash surrender value adjusted for other charges or other amounts due that are probable at settlement. |
Loan Servicing Rights | Loan Servicing Rights When loans are sold with servicing retained, servicing rights are initially recorded at fair value with the income statement effect recorded in gain on sales of loans. Fair value is based on market prices for comparable servicing contracts, when available or alternatively, is based on a valuation model that calculates the present value of estimated future net servicing income. All classes of servicing assets are subsequently measured using the amortization method which requires servicing rights to be amortized into noninterest income in proportion to, and over the period of, the estimated future net servicing income of the underlying loans. Loan servicing rights are included in other assets on the balance sheet. Loan servicing rights are evaluated for impairment based upon the fair value of the rights as compared to carrying amount. Impairment is determined by stratifying rights into groupings based on predominant risk characteristics, such as interest rate, loan type, term, and investor type. Impairment is recognized through a valuation allowance for an individual grouping, to the extent that fair value is less than the carrying amount. If Old National later determines that all or a portion of the impairment no longer exists for a particular grouping, a reduction of the allowance may be recorded as an increase to income. Changes in valuation allowances are reported with mortgage banking revenue on the income statement. The fair values of servicing rights are subject to significant fluctuations as a result of changes in estimated and actual prepayment speeds and default rates and losses. Servicing fee income, which is reported on the income statement as mortgage banking revenue, is recorded for fees earned for servicing loans. The fees are based on a contractual percentage of the outstanding principal, or a fixed amount per loan and are recorded as income when earned. |
Derivative Financial Instruments | Derivative Financial Instruments As part of Old National’s overall interest rate risk management, Old National uses derivative instruments, including TBA forward agreements and interest rate swaps, collars, caps, and floors. All derivative instruments are recognized on the balance sheet at their fair value. At the inception of the derivative contract, Old National designates the derivative as (1) a hedge of the fair value of a recognized asset or liability or of an unrecognized firm commitment (“fair value hedge”), (2) a hedge of a forecasted transaction or of the variability of cash flows to be received or paid related to a recognized asset or liability (“cash flow hedge”), or (3) an instrument with no hedging designation (“stand-alone derivative”). For a fair value hedge, the change in value of the derivative, as well as the offsetting change in value of the hedged item attributable to the hedged risk, are recognized in current earnings during the period of the change in fair values. For a cash flow hedge, the gain or loss on the derivative is reported as a component of other comprehensive income and reclassified into earnings in the same period or periods during which the hedged transaction affects earnings. Changes in the fair value of derivatives that do not qualify for hedge accounting are reported currently in earnings, in noninterest income. Net cash settlements on derivatives that qualify for hedge accounting are recorded in interest income or interest expense, based on the item being hedged. Net cash settlements on derivatives that do not qualify for hedge accounting are reported in noninterest income. Old National formally documents all relationships between derivatives and hedged items, as well as the risk-management objective and strategy for undertaking various hedge transactions. This documentation includes linking fair value or cash flow hedges to specific assets and liabilities on the balance sheet or to specific firm commitments or forecasted transactions. Old National also formally assesses, both at the hedge’s inception and on an ongoing basis, whether the derivative instruments that are used in hedging transactions are highly effective in offsetting changes in fair values or cash flows of the hedged items. Old National discontinues hedge accounting prospectively when it is determined that (1) the derivative is no longer effective in offsetting changes in the fair value or cash flows of the hedged item; (2) the derivative expires, is sold, or terminated; (3) the derivative instrument is de-designated as a hedge because the forecasted transaction is no longer probable of occurring; (4) a hedged firm commitment no longer meets the definition of a firm commitment; or (5) management otherwise determines that designation of the derivative as a hedging instrument is no longer appropriate. When hedge accounting is discontinued, subsequent changes in fair value of the derivative are recorded as noninterest income. When a fair value hedge is discontinued, the hedged asset or liability is no longer adjusted for changes in fair value and the existing basis adjustment is amortized or accreted over the remaining life of the asset or liability. When a cash flow hedge is discontinued but the hedged cash flows or forecasted transaction is still expected to occur, changes in value that were accumulated in other comprehensive income are amortized or accreted into earnings over the same periods which the hedged transactions will affect earnings. Old National enters into various stand-alone mortgage-banking derivatives in order to hedge the risk associated with the fluctuation of interest rates. Changes in fair value are recorded as mortgage banking revenue. Old National also enters into various stand-alone derivative contracts to provide derivative products to customers which are carried at fair value with changes in fair value recorded as other noninterest income. |
Credit-Related Financial Instruments | Credit-Related Financial Instruments In the ordinary course of business, Old National’s bank subsidiary has entered into credit-related financial instruments consisting of commitments to extend credit, commercial letters of credit, and standby letters of credit. The notional amount of these commitments is not reflected in the consolidated financial statements until they are funded. Old National maintains an allowance for credit losses on unfunded commercial lending commitments and letters of credit to provide for the risk of loss inherent in these arrangements. The allowance is computed using a methodology similar to that used to determine the allowance for credit losses for loans, modified to take into account the probability of a drawdown on the commitment. The allowance for credit losses on unfunded loan commitments is classified as a liability account on the balance sheet and is adjusted as a provision for credit loss expense included in other expense. |
Repossessed Collateral | Repossessed Collateral Other real estate owned and repossessed personal property are initially recorded at the fair value of the property less estimated cost to sell and are included in other assets on the balance sheet. Physical possession of residential real estate property collateralizing a consumer mortgage loan occurs when legal title is obtained upon completion of foreclosure or when the borrower conveys all interest in the property to satisfy the loan through the completion of a deed in lieu of foreclosure or through a similar legal agreement. Any excess recorded investment over the fair value of the property received is charged to the allowance for credit losses. Any subsequent write-downs are recorded in noninterest expense, as are the costs of operating the properties. Gains or losses resulting from the sale of collateral are recognized in noninterest expense at the date of sale. |
Securities Purchased under Agreements to Resell and Securities Sold under Agreements to Repurchase | Securities Purchased Under Agreements to Resell and Securities Sold Under Agreements to Repurchase We purchase certain securities, generally U.S. government-sponsored entity and agency securities, under agreements to resell. The amounts advanced under these agreements represent short-term secured loans and are reflected as assets in the accompanying consolidated balance sheets. We also sell certain securities under agreements to repurchase. These agreements are treated as collateralized financing transactions. These secured borrowings are reflected as liabilities in the accompanying consolidated balance sheets and are recorded at the amount of cash received in connection with the transaction. Short-term securities sold under agreements to repurchase generally mature within one |
Share-Based Compensation | Share-Based Compensation Compensation cost is recognized for stock options, stock appreciation rights, and restricted stock awards and units issued to employees based on the fair value of these awards at the date of grant. A Black-Scholes model is utilized to estimate the fair value of stock options and appreciation rights, while the market price of our Common Stock at the date of grant is used for restricted stock awards. A third party provider is used to value certain restricted stock units where the performance measure is based on total shareholder return. Compensation expense is recognized over the required service period. Forfeitures are recognized as they occur. |
Income Taxes | Income Taxes Income tax expense is the total of the current year income tax due or refundable and the change in deferred tax assets and liabilities. Deferred tax assets and liabilities are the expected future tax amounts for the temporary differences between carrying amounts and tax bases of assets and liabilities, computed using enacted tax rates. A valuation allowance, if needed, reduces deferred tax assets to the amount expected to be realized. We recognize a tax position as a benefit only if it is “more likely than not” that the tax position would be sustained in a tax examination, with a tax examination being presumed to occur. The amount recognized is the largest amount of tax benefit that is greater than 50% likely of being realized on examination. For tax positions not meeting the “more likely than not” test, no tax benefit is recorded. We recognize interest and/or penalties related to income tax matters in income tax expense. Old National is a limited partner in several tax-advantaged limited partnerships whose purpose is to invest in approved qualified affordable housing, renewable energy, or other renovation or community revitalization projects. These investments are included in other assets on the balance sheet, with any unfunded commitments included with other liabilities. Certain of these assets qualify for the proportional amortization method and are amortized over the period that Old National expects to receive the tax credits, with the expense included within income tax expense on the consolidated statements of income. The other investments are accounted for under the equity method, with the expense included within noninterest expense on the consolidated statements of income. All of our tax credit investments are evaluated for impairment at the end of each reporting period. |
Loss Contingencies | Loss Contingencies Loss contingencies, including claims and legal actions arising in the normal course of business, are recorded as liabilities when the likelihood of loss is probable and an amount or range of loss can be reasonably estimated. See Note 20 to the consolidated financial statements for further disclosure. |
Cash Equivalents and Cash Flows | Cash Equivalents and Cash Flows For the purpose of presentation in the accompanying consolidated statement of cash flows, cash and cash equivalents are defined as cash, due from banks, federal funds sold and resell agreements, and money market investments, which have maturities less than 90 days. Cash flows from loans, either originated or acquired, are classified at that time according to management’s intent to either sell or hold the loan for the foreseeable future. When management’s intent is to sell the loan, the cash flows of that loan are presented as operating cash flows. When management’s intent is to hold the loan for the foreseeable future, the cash flows of that loan are presented as investing cash flows. The following table summarizes supplemental cash flow information: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Cash payments: Interest $ 70,043 $ 127,713 $ 91,813 Income taxes (net of refunds) 24,436 5,494 (2,505) Noncash Investing and Financing Activities: Securities transferred from held-to-maturity to available-for-sale — 381,992 447,026 Securities transferred from available-for-sale to held-to-maturity — — 323,990 Transfer of premises and equipment to assets held for sale 16,661 2,689 9,634 Operating lease right-of-use assets obtained in exchange for lease obligations (116) 113,498 — Finance lease right-of-use assets obtained in exchange for lease obligations 5,225 7,871 — The following table summarizes the common shares issued and resultant value of total shareholders’ equity associated with acquisitions: (dollars and shares in thousands) Shares of Total Year Ended December 31, 2018 Acquisition of Klein 22,772 $ 406,474 There were no acquisitions during 2020 or 2019. |
Business Combinations | Business Combinations Old National accounts for business combinations using the acquisition method of accounting. The accounts of an acquired entity are included as of the date of acquisition, and any excess of purchase price over the fair value of the net assets acquired is capitalized as goodwill. Old National typically issues Common Stock and/or pays cash for an acquisition, depending on the terms of the acquisition agreement. The value of Common Stock issued is determined based on the market price of the stock as of the closing of the acquisition. Acquisition costs are expensed when incurred. |
Impact of Accounting Changes | Impact of Accounting Changes Accounting Guidance Adopted in 2020 FASB ASC 326 – In June 2016, the FASB issued ASU No. 2016-13, Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments and all related subsequent amendments thereto (“ASC 326” or “Topic 326”). The main objective of this amendment is to provide financial statement users with more decision-useful information about the expected credit losses on financial instruments within its scope, including loans held for investment purposes and other commitments to extend credit held by a reporting entity at each reporting date. The amendment requires the measurement of all expected credit losses for the in-scope financial assets at the date of origination or acquisition, and at the reporting date based on historical experience, current conditions, and reasonable and supportable forecasts. Financial institutions and other organizations will now use forward-looking information to enhance their credit loss estimates. The amendment requires enhanced disclosures to help investors and other financial statement users better understand significant estimates and judgments used in estimating credit losses, as well as the credit quality and underwriting standards of an organization’s portfolio. In addition, the ASU amends the accounting for credit losses on available-for-sale debt securities and purchased financial assets with credit deterioration. The current expected credit loss measurement will be used to estimate the allowance for credit losses over the life of the financial assets. The amendments in this update became effective for annual periods and interim periods within those annual periods beginning after December 15, 2019. As previously disclosed, Old National formed a cross-functional committee to oversee the adoption of the ASU at the effective date. A working group was also formed to develop a project plan focused on understanding the ASU, researching issues, identifying data needs for modeling inputs, technology requirements, modeling considerations, and ensuring overarching governance was achieved for each objective and milestone. The working group identified seven distinct loan portfolios for which a model to estimate credit losses has been developed. For all seven loan portfolios, the data sets have been identified, populated, and internally validated. Old National has completed data and model validation testing. During the last half of 2019, the project plan targeted parallel processing of our existing allowance for loan losses model compared to the CECL model, as well as model sensitivity analysis, determination of qualitative adjustments, supporting analytics, and execution of the governance and approval process. Internal controls related to the CECL process were finalized prior to adoption on January 1, 2020. The CECL modeling measurements for estimating the current expected life-time credit losses for loans and debt securities includes the following major items: • Initial loss forecast – using a forecast period of one year for all allowance portfolio segments and off-balance-sheet credit exposures, using forward-looking economic scenarios of expected losses. • Historical loss forecast – for a period incorporating the remaining contractual life, adjusted for prepayments, and the changes in various economic variables during representative historical and recessionary periods. • Reversion period – using two years, which links the initial loss forecast to the historical loss forecast based on economic conditions at the measurement date. • Discounted cash flow aggregator – using the items above to estimate the life-time credit losses for all portfolios and losses for loans modified as a TDR. Old National adopted CECL on January 1, 2020 using the modified retrospective method for all financial assets measured at amortized cost and off-balance-sheet credit exposures. Results for the reporting periods after January 1, 2020 are presented under Topic 326 while prior period amounts continue to be reported in accordance with previously applicable GAAP. As of that date, Old National increased the allowance for credit losses for loans by $41.3 million and increased the allowance for credit losses for unfunded loan commitments by $4.5 million, since the ASU covers credit losses over the expected life of a loan as well as considering future changes in macroeconomic conditions. The increase related to the acquired loan portfolio totaled $27.1 million. Under the previously applicable accounting guidance, any remaining unamortized loan discount on an individual loan could be used to offset a charge-off for that loan, so the allowance for loan losses needed for the acquired loans was reduced by the remaining loan discounts. ASU 2016-13 requires an allowance for credit losses to be recognized in addition to the loan discount. The impact of adopting the ASU, and at each subsequent reporting period, is highly dependent on credit quality, macroeconomic forecasts and conditions, composition of our loans and available-for-sale securities portfolio, along with other management judgements. As of January 1, 2020, Old National recorded a cumulative-effect adjustment of $31.2 million to decrease retained earnings. Old National did not record an allowance for credit losses on its available-for-sale debt securities under the newly codified available-for-sale debt security impairment model, as the majority of these securities are government agency-backed securities for which the risk of loss is minimal. We adopted CECL using the prospective transition approach for financial assets purchased with credit deterioration that were previously classified as purchased credit impaired and accounted for under ASC 310-30. In accordance with the standard, we did not reassess whether PCI assets met the definition of PCD assets as of the date of adoption. On January 1, 2020, the amortized cost basis of the PCD assets were adjusted to reflect the addition of $4.5 million to the allowance for credit losses for loans. The remaining noncredit discount in the amount of $11.8 million (based on the adjusted amortized cost basis) will be accreted into interest income at the effective interest rate as of January 1, 2020. The loan categories used to monitor and analyze interest income and yields are different than the portfolio segments used to determine the allowance for credit losses for loans. The allowance for credit losses was calculated by pooling loans of similar credit risk characteristics and credit monitoring procedures. The four loan portfolios are classified into seven segments of loans - commercial, commercial real estate, BBCC, residential real estate, indirect, direct, and home equity. The commercial and commercial real estate loan categories shown on the balance sheet include the same pool of loans as the commercial, commercial real estate, and BBCC portfolio segments. The consumer loan category shown on the balance sheet is comprised of the same loans in the indirect, direct, and home equity portfolio segments. The composition of loans by portfolio segment as of December 31, 2019 follows: (dollars in thousands) December 31, 2019 Segment December 31, 2019 Loans: Commercial $ 2,890,296 $ (75,142) $ 2,815,154 Commercial real estate 5,166,792 (277,539) 4,889,253 BBCC N/A 352,681 352,681 Residential real estate 2,334,289 — 2,334,289 Consumer 1,726,147 (1,726,147) N/A Indirect N/A 935,584 935,584 Direct N/A 228,524 228,524 Home equity N/A 562,039 562,039 Total $ 12,117,524 $ — $ 12,117,524 Allowance: Commercial $ (22,585) $ 1,226 $ (21,359) Commercial real estate (21,588) 1,053 (20,535) BBCC N/A (2,279) (2,279) Residential real estate (2,299) — (2,299) Consumer (8,147) 8,147 N/A Indirect N/A (5,319) (5,319) Direct N/A (1,863) (1,863) Home equity N/A (965) (965) Total $ (54,619) $ — $ (54,619) The following table illustrates the impact of adoption of the ASU: (dollars in thousands) December 31, 2019 Impact of January 1, 2020 Assets: Loans, net of unearned income: Commercial $ 2,815,154 $ 2,679 $ 2,817,833 Commercial real estate 4,889,253 1,637 4,890,890 BBCC 352,681 33 352,714 Residential real estate 2,334,289 105 2,334,394 Indirect 935,584 10 935,594 Direct 228,524 2 228,526 Home equity 562,039 12 562,051 Total 12,117,524 4,478 12,122,002 Allowance: Commercial (21,359) (7,150) (28,509) Commercial real estate (20,535) (25,548) (46,083) BBCC (2,279) (3,702) (5,981) Residential real estate (2,299) (6,986) (9,285) Indirect (5,319) 1,669 (3,650) Direct (1,863) 1,059 (804) Home equity (965) (689) (1,654) Total allowance for credit losses on loans (54,619) (41,347) (95,966) Net loans $ 12,062,905 $ (36,869) $ 12,026,036 Net deferred tax assets $ 29,705 $ 10,268 $ 39,973 Liabilities: Allowance for credit losses on unfunded loan commitments $ 2,656 $ 4,549 $ 7,205 Shareholders' equity: Retained earnings $ 682,185 $ (31,150) $ 651,035 In December 2018, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC approved a final rule to address changes to credit loss accounting under GAAP, including banking organizations’ implementation of CECL. The final rule provides banking organizations the option to phase in over a three-year period the day-one adverse effects on regulatory capital that may result from the adoption of the new accounting standard. In March 2020, the OCC, the Board of Governors of the Federal Reserve System, and the FDIC published an interim final rule to delay the estimated impact on regulatory capital stemming from the implementation of CECL. The interim final rule maintains the three-year transition option in the previous rule and provides banks the option to delay for two years an estimate of CECL’s effect on regulatory capital, relative to the incurred loss methodology’s effect on regulatory capital, followed by a three-year transition period (five-year transition option). Old National is adopting the capital transition relief over the permissible five-year period. FASB ASC 350 – In January 2017, the FASB issued ASU No. 2017-04, Intangibles: Goodwill and Other: Simplifying the Test for Goodwill Impairment . To simplify the subsequent measurement of goodwill, the amendments eliminate Step 2 from the goodwill impairment test. The annual, or interim, goodwill impairment test is performed by comparing the fair value of a reporting unit with its carrying amount. An impairment charge should be recognized for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. In addition, the income tax effects of tax deductible goodwill on the carrying amount of the reporting unit should be considered when measuring the goodwill impairment loss, if applicable. The amendments also eliminate the requirements for any reporting unit with a zero or negative carrying amount to perform Step 2 of the goodwill impairment test. An entity still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary. The amendments should be applied on a prospective basis. The nature of and reason for the change in accounting principle should be disclosed upon transition. The amendments in this update became effective for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019 and did not have a material impact on the financial statements. FASB ASC 820 – In August 2018, the FASB issued ASU No. 2018-13, Fair Value Measurement (Topic 820): Disclosure Framework – Changes to the Disclosure Requirements for Fair Value Measurement . The updated guidance improves the disclosure requirements on fair value measurements. The ASU removes certain disclosures required by Topic 820 related to transfers between Level 1 and Level 2 of the fair value hierarchy; the policy for timing of transfers between levels; the valuation processes for Level 3 fair value measurements; and for nonpublic entities, the changes in unrealized gains and losses for the period included in earnings for recurring Level 3 fair value measurements held at the end of the reporting period. The ASU modifies certain disclosures required by Topic 820 related to disclosure of transfers into and out of Level 3 of the fair value hierarchy and purchases and issues of Level 3 assets and liabilities for nonpublic entities; the requirement to disclose the timing of liquidation of an investee’s assets and the date when restrictions from redemption might lapse only if the investee has communicated the timing to the entity or announced the timing publicly for investments in certain entities that calculate net asset value; and clarification that the measurement uncertainty disclosure is to communicate information about the uncertainty in measurement as of the reporting date. The ASU adds certain disclosure requirements related to changes in unrealized gains and losses for the period included in other comprehensive income for recurring Level 3 fair value measurements held at the end of the reporting period and the range and weighted average of significant unobservable inputs used to develop Level 3 fair value measurements. For certain unobservable inputs, an entity may disclose other quantitative information in lieu of the weighted average if the entity determines that other quantitative information would be a more reasonable and rational method to reflect the distribution of unobservable inputs used to develop Level 3 fair value measurements. The amendments in this update became effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2019 and did not have a material impact on the financial statements. FASB ASC 350 – In August 2018, the FASB issued ASU No. 2018-15, Intangibles – Goodwill and Other – Internal-Use Software (Subtopic 350-40): Customer’s Accounting for Implementation Costs Incurred in a Cloud Computing Arrangement that is a Service Contract . The amendments in this update align the requirements for capitalizing implementation costs incurred in a hosting arrangement that is a service contract with the requirements for capitalizing implementation costs incurred to develop or obtain internal-use software. The amendments in this update became effective for fiscal years beginning after December 15, 2019, and interim periods within those fiscal years and did not have a material impact on the financial statements. FASB ASC 842 – In March 2019, the FASB issued ASU No. 2019-01, Leases (Topic 842): Codification Improvements . The amendments in ASU No. 2019-01 align the guidance for fair value of the underlying asset by lessors that are not manufacturers or dealers in Topic 842 with that of existing guidance. As a result, the fair value of the underlying asset at lease commencement is its cost, reflecting any volume or trade discounts that may apply. However, if there has been a significant lapse of time between when the underlying asset is acquired and when the lease commences, the definition of fair value in Topic 820, Fair Value Measurement should be applied. ASU No. 2019-01 also requires lessors within the scope of Topic 942, Financial Services—Depository and Lending , to present all “principal payments received under leases” within investing activities. The amendments in this update became effective for annual periods and interim periods within those annual periods beginning after December 15, 2019 and did not have a material impact on the financial statements. FASB ASC 326, 815, and 825 – In April 2019, the FASB issued ASU No. 2019-04, Codification Improvements to Topic 326, Financial Instruments—Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments. The amendments related to Topic 326 address accrued interest, transfers between classifications or categories for loans and debt securities, recoveries, vintage disclosures, and contractual extensions and renewal options and became effective for annual periods and interim periods within those annual periods beginning after December 15, 2019. The improvements and clarifications related to Topic 815 address partial-term fair value hedges of interest-rate risk, amortization, and disclosure of fair value hedge basis adjustments and consideration of hedged contractually specified interest rate under the hypothetical method and became effective for the annual reporting period beginning January 1, 2020. The amendments related to Topic 825 contain various improvements to ASU 2016-01, including scope; held-to-maturity debt securities fair value disclosures; and remeasurement of equity securities at historical exchange rates and became effective for fiscal years and interim periods beginning after December 15, 2019. The amendments in this update did not have a material impact on the financial statements. FASB ASC 326 – In May 2019, the FASB issued ASU No. 2019-05, Financial Instruments—Credit Losses (Topic 326): Targeted Transition Relief. These amendments provide targeted transition relief allowing entities to irrevocably elect the fair value option, on an instrument-by-instrument basis, for certain financial assets (excluding held-to-maturity debt securities) previously measured at amortized cost. In November 2019, the FASB issued 2019-11, Codification Improvements to Topic 326, Financial Instruments—Credit Losses , to make improvements to the credit losses standard. Most significantly, the standard clarifies guidance around how to report expected recoveries for PCD assets. “Expected recoveries” describes a situation in which an organization recognizes a full or partial write-off of the amortized cost basis of a financial asset, but then later determines that the amount written off, or a portion of that amount, will in fact be recovered. This ASU permits organizations to record expected recoveries on PCD assets. In addition to other narrow technical improvements, the ASU also reinforces existing guidance that prohibits organizations from recognizing negative allowances for available-for-sale debt securities. The amendments in these updates became effective for annual periods and interim periods within those annual periods beginning after December 15, 2019 and did not have a material impact on the consolidated financial statements. FASB ASC 718 – In November 2019, the FASB issued ASU No. 2019-08, Compensation – Stock Compensation (Topic 718) and Revenue from Contracts with Customers (Topic 606): Codification Improvements—Share-Based Consideration Payable to a Customer. This ASU requires companies to measure and classify (on the balance sheet) share-based payments to customers by applying the guidance in Topic 718, Compensation—Stock Compensation . As a result, the amount recorded as a reduction in revenue would be measured based on the grant-date fair value of the share-based payment. The amendments in this update become effective for annual periods and interim periods within those annual periods beginning after December 15, 2019 and did not have a material impact on the consolidated financial statements. FASB ASC 326 and 842 – In February 2020, the FASB issued ASU No. 2020-02, Financial Instruments—Credit Losses (Topic 326) and Leases (Topic 842): Amendments to SEC Paragraphs Pursuant to SEC Staff Accounting Bulletin No. 119 and Update to SEC Section on Effective Date Related to Accounting Standards Update No. 2016-02, Leases (Topic 842). This ASU inserts a paragraph to address the November 2019 issuance of SEC SAB 119, Accounting for Loan Losses by Registrants Engaged in Lending Activities Subject to FASB ASC Topic 326 . The SAB updates existing staff guidance on developing a systematic methodology for estimating credit losses, and it explains the documentation the staff typically would expect from registrants in support of estimates of current expected credit losses for lending activities, when material. The amendments in this update became effective upon issuance and did not have a material impact on the consolidated financial statements. FASB ASC 848 – In March 2020, the FASB issued ASU 2020-04, Reference Rate Reform (Topic 848): Facilitation of the Effects of Reference Rate Reform on Financial Reporting , which provides temporary, optional guidance to ease the potential burden in accounting for, or recognizing the effects of, the transition away from the LIBOR or other interbank offered rate on financial reporting. To help with the transition to new reference rates, the ASU provides optional expedients and exceptions for applying GAAP to affected contract modifications and hedge accounting relationships. The main provisions include: • A change in a contract’s reference interest rate would be accounted for as a continuation of that contract rather than as the creation of a new one for contracts, including loans, debt, leases, and other arrangements, that meet specific criteria. • When updating its hedging strategies in response to reference rate reform, an entity would be allowed to preserve its hedge accounting. The guidance is applicable only to contracts or hedge accounting relationships that reference LIBOR or another reference rate expected to be discontinued. Because the guidance is meant to help entities through the transition period, it will be in effect for a limited time and will not apply to contract modifications made and hedging relationships entered into or evaluated after December 31, 2022, except for hedging relationships existing as of December 31, 2022, for which an entity has elected certain optional expedients that are retained through the end of the hedging relationship. The amendments in this ASU are effective March 12, 2020 through December 31, 2022. ASU 2020-04 permits relief solely for reference rate reform actions and permits different elections over the effective date for legacy and new activity. Accordingly, Old National is evaluating and reassessing the elections on a quarterly basis. For current elections in effect regarding the assertion of the probability of forecasted transactions, Old National elects the expedient to assert the probability of the hedged interest payments and receipts regardless of any expected modification in terms related to reference rate reform. Old National believes the adoption of this guidance on activities subsequent to December 31, 2020 through December 31, 2022 will not have a material impact on the consolidated financial statements. Codification Improvements to Financial Instruments – In March 2020, the FASB issued ASU 2020-03, Codification Improvements to Financial Instruments . This ASU was issued to clarify and improve various financial instruments Topics. The amendments include the following improvements: • Issue 1 – Clarifies that all entities are required to provide fair value option disclosures. • Issue 2 – Clarifies the applicability of the portfolio exception in measuring fair value for nonfinancial items accounted for as derivatives. • Issue 3 – Clarifies that disclosure requirements in Topic 320 apply to disclosure requirements in Topic 942 for depository and lending institutions. • Issue 4 – Added cross-reference of line-of-credit or revolving-debt arrangements guidance to guidance in accounting for fees between debtor and creditor and third-party costs directly related to exchanges or modifications of debt instruments. • Issue 5 – Clarifies that fair value measurement disclosure requirements do not apply to entities using the net asset value per share practical expedient. • Issue 6 – Aligns the contractual term to measure expected credit losses for a net investment in a lease under the Credit Loss Standard (Topic 326) with the lease term determined under the Leases Standard (Topic 842). • Issue 7 – Clarifies that when an entity regains control of financial assets sold, an allowance for credit losses should be recorded in accordance with Topic 326. For Issue 1, Issue 2, Issue 4, and Issue 5, the amendments are effective upon issuance and did not have a material impact on the consolidated financial statements. For Issue 3, the amendments to ASU 2016-01 are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years and did not have a material impact on the consolidated financial statements. For Issues 6 and 7, the amendments to ASU 2016-13 are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years and did not have a material impact on the consolidated financial statements. Guidance on Non-TDR Loan Modifications due to COVID-19 – On March 22, 2020, a statement was issued by our banking regulators and titled the “Interagency Statement on Loan Modifications and Reporting for Financial Institutions Working with Customers Affected by the Coronavirus” (the “Interagency Statement”) that encourages financial institutions to work prudently with borrowers who are or may be unable to meet their contractual payment obligations due to the effects of COVID-19. Additionally, Section 4013 of the CARES Act that passed on March 27, 2020 further provides that a qualified loan modification is exempt by law from classification as a TDR as defined by GAAP, from the period beginning March 1, 2020 until the earlier of December 31, 2020 or the date that is 60 days after the date on which the national emergency concerning the COVID-19 outbreak declared by the President of the United States under the National Emergencies Act terminates. Section 541 of the CAA extends this relief to the earlier of January 1, 2022 or 60 days after the national emergency termination date. The Interagency Statement was subsequently revised in April 2020 to clarify the interaction of the original guidance with Section 4013 of the CARES Act, as well as setting forth the banking regulators’ views on consumer protection considerations. In accordance with such guidance, we are offering short-term modifications made in response to COVID-19 to borrowers who are current and otherwise not past due. These include short-term (180 days or less) modifications in the form of payment deferrals, fee waivers, extensions of repayment terms, or other delays in payment that are insignificant. See Note 6 for further information on non-TDR loan modifications. Accounting Guidance Issued But Not Yet Adopted FASB ASC 715 – In August 2018, the FASB issued ASU No. 2018-14, Compensation – Retirement Benefits – Defined Benefit Plans – General (Subtopic 715-20): Disclosure Framework – Changes to the Disclosure Requirements for Defined Benefit Plans . The amendments in this update modify the disclosure requirements for employers that sponsor defined benefit pension or other postretirement plans. The amendments in this update become effective for fiscal years ending after December 15, 2020 and will not have a material impact on the consolidated financial statements. FASB ASC 740 – In December 2019, the FASB issued ASU No. 2019-12, Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes. This ASU removes specific exceptions to the general principles in Topic 740 in GAAP. It eliminates the need for an organization to analyze whether the following apply in a given period: (1) exception to the incremental approach for intraperiod tax allocation; (2) exceptions to accounting for basis differences when there are ownership changes in foreign investments; and (3) exception in interim period income tax accounting for year-to-date losses that exceed anticipated losses. The ASU also improves financial statement preparers’ application of income tax-related guidance and simplifies GAAP for: (1) franchise taxes that are partially based on income; (2) transactions with a government that result in a step up in the tax basis of goodwill; (3) separate financial statements of legal entities that are not subject to tax; and (4) enacted changes in tax laws in interim periods. The amendments in this update become effective for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years. Early adoption is permitted. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements. FASB ASC 321, 323, and 815 – In January 2020, the FASB issued ASU No. 2020-01, Investments – Equity Securities (Topic 321), Investments – Equity Method and Joint Ventures (Topic 323), and Derivatives and Hedging (Topic 815) – Clarifying the Interactions Between Topic 321, Topic 323, and Topic 815 (a Consensus of the Emerging Issues Task Force). The ASU clarifies the interaction between ASU 2016-01, Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities and the ASU on equity method investments. ASU 2016-01 provides companies with an alternative to measure certain equity securities without a readily determinable fair value at cost, minus impairment, if any, unless an observable transaction for an identical or similar security occurs. ASU 2020-01 clarifies that for purposes of applying the Topic 321 measurement alternative, an entity should consider observable transactions that require it to either apply or discontinue the equity method of accounting under Topic 323, immediately before applying or upon discontinuing the equity method. In addition, the new ASU provides direction that a company should not consider whether the underlying securities would be accounted for under the equity method or the fair value option when it is determining the accounting for certain forward contracts and purchased options, upon either settlement or exercise. The amendments in this update become effective for fiscal years beginning after December 15, 2020, and interim periods within those fiscal years. Early adoption is permitted, and the amendments are to be applied prospectively. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements. FASB ASC 470 and 815 – In August 2020, the FASB issued ASU 2020-06, Debt—Debt with Conversion and Other Options (Subtopic 470-20) and Derivatives and Hedging— Contracts in Entity’s Own Equity (Subtopic 815-40): Accounting for Convertible Instruments and Contracts in an Entity’s Own Equity , to clarify the accounting for certain financial instruments with characteristics of liabilities and equity. The amendments in this update reduce the number of accounting models for convertible debt instruments and convertible preferred stock by removing the cash conversion model and the beneficial conversion feature model. Limiting the accounting models will result in fewer embedded conversion features being separately recognized from the host contract. Convertible instruments that continue to be subject to separation models are (1) those with embedded conversion features that are not clearly and closely related to the host contract, that meet the definition of a derivative, and that do not qualify for a scope exception from derivative accounting and (2) convertible debt instruments issued with substantial premiums for which the premiums are recorded as paid-in-capital. In addition, this ASU improves disclosure requirements for convertible instruments and earnings-per-share guidance. The ASU also revises the derivative scope exception guidance to reduce form-over-substance-based accounting conclusions driven by remote contingent events. The amendments in this update are effective for fiscal years beginning after December 15, 2021, and interim periods within those fiscal years. Early adoption will be permitted, but no earlier than for fiscal years beginning after December 15, 2020. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements. Acquisitions and Dispositions of Businesses and Related Pro Forma Information – In May 2020, the SEC issued a final rule that revises the circumstances that require financial statements and related pro forma information for acquisitions and dispositions of businesses. The intent of the rule is to allow for more meaningful conclusions on when an acquired or disposed business is significant as well as to improve the related disclosure requirements. The changes are intended to improve the financial information about acquired or disposed businesses, facilitate more timely access to capital, and reduce the complexity and costs to prepare the disclosure. The final rule is effective January 1, 2021; however, voluntary early compliance is permitted. FASB ASC 310 – In October 2020, the FASB issue |
Basis of Presentation and Sig_3
Basis of Presentation and Significant Accounting Policies (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Summary of Supplemental Cash Flow Information | The following table summarizes supplemental cash flow information: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Cash payments: Interest $ 70,043 $ 127,713 $ 91,813 Income taxes (net of refunds) 24,436 5,494 (2,505) Noncash Investing and Financing Activities: Securities transferred from held-to-maturity to available-for-sale — 381,992 447,026 Securities transferred from available-for-sale to held-to-maturity — — 323,990 Transfer of premises and equipment to assets held for sale 16,661 2,689 9,634 Operating lease right-of-use assets obtained in exchange for lease obligations (116) 113,498 — Finance lease right-of-use assets obtained in exchange for lease obligations 5,225 7,871 — |
Summary of Common Shares Issued and Resultant Value of Total Shareholders' Equity | The following table summarizes the common shares issued and resultant value of total shareholders’ equity associated with acquisitions: (dollars and shares in thousands) Shares of Total Year Ended December 31, 2018 Acquisition of Klein 22,772 $ 406,474 |
Schedule of Composition of Loans and Impact of Adoption | The composition of loans by portfolio segment as of December 31, 2019 follows: (dollars in thousands) December 31, 2019 Segment December 31, 2019 Loans: Commercial $ 2,890,296 $ (75,142) $ 2,815,154 Commercial real estate 5,166,792 (277,539) 4,889,253 BBCC N/A 352,681 352,681 Residential real estate 2,334,289 — 2,334,289 Consumer 1,726,147 (1,726,147) N/A Indirect N/A 935,584 935,584 Direct N/A 228,524 228,524 Home equity N/A 562,039 562,039 Total $ 12,117,524 $ — $ 12,117,524 Allowance: Commercial $ (22,585) $ 1,226 $ (21,359) Commercial real estate (21,588) 1,053 (20,535) BBCC N/A (2,279) (2,279) Residential real estate (2,299) — (2,299) Consumer (8,147) 8,147 N/A Indirect N/A (5,319) (5,319) Direct N/A (1,863) (1,863) Home equity N/A (965) (965) Total $ (54,619) $ — $ (54,619) The following table illustrates the impact of adoption of the ASU: (dollars in thousands) December 31, 2019 Impact of January 1, 2020 Assets: Loans, net of unearned income: Commercial $ 2,815,154 $ 2,679 $ 2,817,833 Commercial real estate 4,889,253 1,637 4,890,890 BBCC 352,681 33 352,714 Residential real estate 2,334,289 105 2,334,394 Indirect 935,584 10 935,594 Direct 228,524 2 228,526 Home equity 562,039 12 562,051 Total 12,117,524 4,478 12,122,002 Allowance: Commercial (21,359) (7,150) (28,509) Commercial real estate (20,535) (25,548) (46,083) BBCC (2,279) (3,702) (5,981) Residential real estate (2,299) (6,986) (9,285) Indirect (5,319) 1,669 (3,650) Direct (1,863) 1,059 (804) Home equity (965) (689) (1,654) Total allowance for credit losses on loans (54,619) (41,347) (95,966) Net loans $ 12,062,905 $ (36,869) $ 12,026,036 Net deferred tax assets $ 29,705 $ 10,268 $ 39,973 Liabilities: Allowance for credit losses on unfunded loan commitments $ 2,656 $ 4,549 $ 7,205 Shareholders' equity: Retained earnings $ 682,185 $ (31,150) $ 651,035 December 31, 2020 Segment December 31, 2020 Statement Portfolio After (dollars in thousands) Balance Reclassifications Reclassifications Loans: Commercial $ 3,956,422 $ (198,722) $ 3,757,700 Commercial real estate 5,946,512 (171,701) 5,774,811 BBCC N/A 370,423 370,423 Residential real estate 2,248,422 — 2,248,422 Consumer 1,635,123 (1,635,123) N/A Indirect N/A 913,902 913,902 Direct N/A 164,807 164,807 Home equity N/A 556,414 556,414 Total $ 13,786,479 $ — $ 13,786,479 |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Investments, Debt and Equity Securities [Abstract] | |
Amortized Cost and Fair Value of Available-for-Sale and Held-to-Maturity Investment Securities Portfolio | The following table summarizes the amortized cost and fair value of the available-for-sale investment securities portfolio and the corresponding amounts of unrealized gains, unrealized losses, and basis adjustments recognized in accumulated other comprehensive income (loss): (dollars in thousands) Amortized Unrealized Unrealized Basis Adjustments Fair December 31, 2020 Available-for-Sale U.S. Treasury $ 9,909 $ 299 $ — $ — $ 10,208 U.S. government-sponsored entities and agencies 841,133 5,744 (3,921) (968) 841,988 Mortgage-backed securities - Agency 3,249,002 91,086 (990) — 3,339,098 States and political subdivisions 1,405,868 86,325 (31) — 1,492,162 Pooled trust preferred securities 13,763 — (5,850) — 7,913 Other securities 265,079 14,260 (593) — 278,746 Total available-for-sale securities $ 5,784,754 $ 197,714 $ (11,385) $ (968) $ 5,970,115 December 31, 2019 Available-for-Sale U.S. Treasury $ 17,567 $ 117 $ (2) $ — $ 17,682 U.S. government-sponsored entities and agencies 596,595 1,027 (4,638) — 592,984 Mortgage-backed securities - Agency 3,151,550 41,363 (9,052) — 3,183,861 States and political subdivisions 1,232,497 44,193 (1,047) — 1,275,643 Pooled trust preferred securities 13,811 — (5,589) — 8,222 Other securities 301,189 6,842 (1,332) — 306,699 Total available-for-sale securities $ 5,313,209 $ 93,542 $ (21,660) $ — $ 5,385,091 |
Schedule of Proceeds from Sales or Calls and Realized Gain and Losses of Available-for-Sale Investment Securities and Other Securities | Proceeds from sales or calls of available-for-sale investment securities, the resulting realized gains and realized losses, and other securities gains or losses were as follows: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Proceeds from sales of available-for-sale debt securities $ 299,885 $ 424,140 $ 139,364 Proceeds from calls of available-for-sale debt securities 465,179 441,851 32,437 Total $ 765,064 $ 865,991 $ 171,801 Realized gains on sales of available-for-sale debt securities $ 11,172 $ 4,620 $ 3,259 Realized gains on calls of available-for-sale debt securities 121 93 283 Realized losses on sales of available-for-sale debt securities (500) (2,760) (1,469) Realized losses on calls of available-for-sale debt securities (26) (30) (63) Other securities gains (losses) (1) — — 50 Debt securities gains (losses), net $ 10,767 $ 1,923 $ 2,060 (1) Other securities gains (losses) in 2018 included realized gains and losses of equity securities previously classified as trading securities. For 2020 and 2019, gains (losses) on equity securities are included in other income. |
Expected Maturities of Investment Securities Portfolio | Weighted average yield is based on amortized cost. At December 31, 2020 (dollars in thousands) Amortized Fair Weighted Maturity Available-for-Sale Within one year $ 353,414 $ 358,852 2.61 % One to five years 2,828,719 2,922,695 2.27 % Five to ten years 1,029,340 1,049,684 1.98 % Beyond ten years 1,573,281 1,638,884 2.90 % Total $ 5,784,754 $ 5,970,115 2.41 % |
Available-for-Sale and Held-to-Maturity Investment Securities with Unrealized Losses by Aggregated Major Security Type and Length of Time in Continuous Unrealized Loss Position | The following table summarizes the available-for-sale investment securities with unrealized losses for which an allowance for credit losses has not been recorded by aggregated major security type and length of time in a continuous unrealized loss position: Less than 12 months 12 months or longer Total (dollars in thousands) Fair Unrealized Fair Unrealized Fair Unrealized Losses December 31, 2020 Available-for-Sale U.S. government-sponsored entities $ 355,528 $ (3,921) $ — $ — $ 355,528 $ (3,921) Mortgage-backed securities - Agency 275,833 (895) 3,572 (95) 279,405 (990) States and political subdivisions 3,497 (31) — — 3,497 (31) Pooled trust preferred securities — — 7,913 (5,850) 7,913 (5,850) Other securities 19,404 (70) 24,871 (523) 44,275 (593) Total available-for-sale $ 654,262 $ (4,917) $ 36,356 $ (6,468) $ 690,618 $ (11,385) December 31, 2019 Available-for-Sale U.S. Treasury $ 999 $ (2) $ — $ — $ 999 $ (2) U.S. government-sponsored entities 357,647 (4,638) — — 357,647 (4,638) Mortgage-backed securities - Agency 786,245 (6,122) 212,056 (2,930) 998,301 (9,052) States and political subdivisions 120,166 (1,016) 7,006 (31) 127,172 (1,047) Pooled trust preferred securities — — 8,222 (5,589) 8,222 (5,589) Other securities 30,765 (182) 87,066 (1,150) 117,831 (1,332) Total available-for-sale $ 1,295,822 $ (11,960) $ 314,350 $ (9,700) $ 1,610,172 $ (21,660) |
Trust Preferred Securities | The table below summarizes the relevant characteristics of our pooled trust preferred securities as well as our single issuer trust preferred securities that are included in the “other securities” category in this footnote. Each of the pooled trust preferred securities support a more senior tranche of security holders. Both pooled trust preferred securities have experienced credit defaults. However, we believe that the value of the instruments lies in the full and timely interest payments that will be received through maturity, the steady amortization that will be experienced until maturity, and the full return of principal by the final maturity of the collateralized debt obligations. (dollars in thousands) Class Lowest Amortized Fair Unrealized # of Issuers Actual Expected Excess December 31, 2020 Pooled trust preferred securities: Pretsl XXVII LTD B B $ 4,223 $ 2,331 $ (1,892) 32/41 14.4 % 10.8% 35.1% Trapeza Ser 13A A2A BBB 9,540 5,582 (3,958) 39/41 4.5 % 6.4% 52.0% 13,763 7,913 (5,850) Single Issuer trust preferred securities: JP Morgan Chase & Co BBB- 4,809 4,463 (346) Total $ 18,572 $ 12,376 $ (6,196) (1) Lowest rating for the security provided by any nationally recognized credit rating agency. |
Loans and Allowance for Credi_2
Loans and Allowance for Credit Losses (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Receivables [Abstract] | |
Schedule of Composition of Loans and Impact of Adoption | The composition of loans by portfolio segment as of December 31, 2019 follows: (dollars in thousands) December 31, 2019 Segment December 31, 2019 Loans: Commercial $ 2,890,296 $ (75,142) $ 2,815,154 Commercial real estate 5,166,792 (277,539) 4,889,253 BBCC N/A 352,681 352,681 Residential real estate 2,334,289 — 2,334,289 Consumer 1,726,147 (1,726,147) N/A Indirect N/A 935,584 935,584 Direct N/A 228,524 228,524 Home equity N/A 562,039 562,039 Total $ 12,117,524 $ — $ 12,117,524 Allowance: Commercial $ (22,585) $ 1,226 $ (21,359) Commercial real estate (21,588) 1,053 (20,535) BBCC N/A (2,279) (2,279) Residential real estate (2,299) — (2,299) Consumer (8,147) 8,147 N/A Indirect N/A (5,319) (5,319) Direct N/A (1,863) (1,863) Home equity N/A (965) (965) Total $ (54,619) $ — $ (54,619) The following table illustrates the impact of adoption of the ASU: (dollars in thousands) December 31, 2019 Impact of January 1, 2020 Assets: Loans, net of unearned income: Commercial $ 2,815,154 $ 2,679 $ 2,817,833 Commercial real estate 4,889,253 1,637 4,890,890 BBCC 352,681 33 352,714 Residential real estate 2,334,289 105 2,334,394 Indirect 935,584 10 935,594 Direct 228,524 2 228,526 Home equity 562,039 12 562,051 Total 12,117,524 4,478 12,122,002 Allowance: Commercial (21,359) (7,150) (28,509) Commercial real estate (20,535) (25,548) (46,083) BBCC (2,279) (3,702) (5,981) Residential real estate (2,299) (6,986) (9,285) Indirect (5,319) 1,669 (3,650) Direct (1,863) 1,059 (804) Home equity (965) (689) (1,654) Total allowance for credit losses on loans (54,619) (41,347) (95,966) Net loans $ 12,062,905 $ (36,869) $ 12,026,036 Net deferred tax assets $ 29,705 $ 10,268 $ 39,973 Liabilities: Allowance for credit losses on unfunded loan commitments $ 2,656 $ 4,549 $ 7,205 Shareholders' equity: Retained earnings $ 682,185 $ (31,150) $ 651,035 December 31, 2020 Segment December 31, 2020 Statement Portfolio After (dollars in thousands) Balance Reclassifications Reclassifications Loans: Commercial $ 3,956,422 $ (198,722) $ 3,757,700 Commercial real estate 5,946,512 (171,701) 5,774,811 BBCC N/A 370,423 370,423 Residential real estate 2,248,422 — 2,248,422 Consumer 1,635,123 (1,635,123) N/A Indirect N/A 913,902 913,902 Direct N/A 164,807 164,807 Home equity N/A 556,414 556,414 Total $ 13,786,479 $ — $ 13,786,479 |
Schedule of Composition of Loans | The composition of loans by portfolio segment follows: (dollars in thousands) December 31, January 1, Commercial (1) (2) $ 3,757,700 $ 2,817,833 Commercial real estate 5,774,811 4,890,890 BBCC 370,423 352,714 Residential real estate 2,248,422 2,334,394 Indirect 913,902 935,594 Direct 164,807 228,526 Home equity 556,414 562,051 Total loans 13,786,479 12,122,002 Allowance for credit losses (131,388) (95,966) Net loans $ 13,655,091 $ 12,026,036 (1) Includes direct finance leases of $32.3 million at December 31, 2020 and $47.2 million at January 1, 2020. (2) Includes remaining PPP loans of $943.0 million at December 31, 2020. |
Schedule of Activity in Related Party Loans | Activity in related party loans is presented in the following table: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Balance at beginning of period $ 2,345 $ 9,310 $ 9,481 New loans 1,848 1,218 9,152 Repayments (1,715) (2,063) (8,721) Officer and director changes (34) (6,120) (602) Balance at end of period $ 2,444 $ 2,345 $ 9,310 |
Schedule of Activity in Allowance for Loan Losses | Old National’s activity in the allowance for credit losses for loans by portfolio segment was as follows: (dollars in thousands) Balance at Impact of Sub-Total Charge-offs Recoveries Provision Balance at Year Ended December 31, 2020 Allowance for credit losses: Commercial $ 21,359 $ 7,150 $ 28,509 $ (5,593) $ 3,629 $ 4,022 $ 30,567 Commercial real estate 20,535 25,548 46,083 (4,323) 4,515 29,535 75,810 BBCC 2,279 3,702 5,981 (95) 140 94 6,120 Residential real estate 2,299 6,986 9,285 (824) 633 3,514 12,608 Indirect 5,319 (1,669) 3,650 (2,754) 1,922 762 3,580 Direct 1,863 (1,059) 804 (1,763) 819 995 855 Home equity 965 689 1,654 (201) 922 (527) 1,848 Total allowance for credit losses $ 54,619 $ 41,347 $ 95,966 $ (15,553) $ 12,580 $ 38,395 $ 131,388 (dollars in thousands) Year Ended Allowance for credit losses on unfunded loan commitments: Balance at beginning of period $ 2,656 Impact of adopting ASC 326 4,549 Sub-Total 7,205 Expense (reversal of expense) for credit losses 4,484 Balance at end of period $ 11,689 Old National’s activity in the allowance for loan losses was as follows: (dollars in thousands) Commercial Commercial Real Estate Residential Consumer Total Year Ended December 31, 2019 Allowance for loan losses: Balance at beginning of period $ 21,742 $ 23,470 $ 2,277 $ 7,972 $ 55,461 Charge-offs (3,819) (2,846) (661) (7,463) (14,789) Recoveries 1,650 3,774 146 3,630 9,200 Provision 3,012 (2,810) 537 4,008 4,747 Balance at end of period $ 22,585 $ 21,588 $ 2,299 $ 8,147 $ 54,619 Year Ended December 31, 2018 Allowance for loan losses: Balance at beginning of period $ 19,246 $ 21,436 $ 1,763 $ 7,936 $ 50,381 Charge-offs (3,087) (879) (1,100) (7,903) (12,969) Recoveries 1,519 2,740 2,118 4,706 11,083 Provision 4,064 173 (504) 3,233 6,966 Balance at end of period $ 21,742 $ 23,470 $ 2,277 $ 7,972 $ 55,461 The following table disaggregates Old National’s allowance for credit losses and amortized cost basis in loans by measurement methodology: (dollars in thousands) Commercial Commercial Residential Consumer Total December 31, 2019 Allowance for loan losses: Individually evaluated for impairment $ 7,891 $ 1,006 $ — $ — $ 8,897 Collectively evaluated for impairment 14,692 20,582 2,299 7,954 45,527 Loans acquired with deteriorated credit quality 2 — — 193 195 Total allowance for loan losses $ 22,585 $ 21,588 $ 2,299 $ 8,147 $ 54,619 Loans and leases outstanding: Individually evaluated for impairment $ 41,479 $ 63,288 $ — $ — $ 104,767 Collectively evaluated for impairment 2,843,536 5,084,737 2,326,907 1,723,715 11,978,895 Loans acquired with deteriorated credit quality 5,281 18,767 7,382 2,432 33,862 Total loans and leases outstanding $ 2,890,296 $ 5,166,792 $ 2,334,289 $ 1,726,147 $ 12,117,524 |
Schedule of Risk Category of Commercial and Commercial Real Estate Loans | The following table summarizes the risk category of commercial, commercial real estate, and BBCC loans by loan portfolio segment and class of loan: Risk Rating (dollars in thousands) Pass Criticized Classified - Classified - Classified - Total December 31, 2020 Commercial: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 262,538 $ 5,369 $ 8,441 $ 4,379 $ 610 $ 281,337 2016 124,041 3,383 2,774 49 296 130,543 2017 227,710 9,508 9,836 6,951 2,748 256,753 2018 171,228 15,003 10,077 4,701 1,016 202,025 2019 420,736 9,603 6,369 3,754 — 440,462 2020 1,675,964 23,982 6,501 2,600 — 1,709,047 Revolving Loans 549,849 10,307 15,344 778 — 576,278 Revolving to Term Loans 148,508 2,685 3,049 7,013 — 161,255 Total $ 3,580,574 $ 79,840 $ 62,391 $ 30,225 $ 4,670 $ 3,757,700 Commercial real estate: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 513,658 $ 33,490 $ 8,665 $ 12,564 $ 3,274 $ 571,651 2016 496,086 17,648 5,308 1,635 19,283 539,960 2017 677,119 46,994 26,691 9,456 18,926 779,186 2018 749,102 26,464 13,565 5,393 — 794,524 2019 1,041,305 49,271 4,700 2,054 1,832 1,099,162 2020 1,537,226 6,874 11,451 1,408 — 1,556,959 Revolving Loans 28,122 — — — — 28,122 Revolving to Term Loans 382,219 19,804 2,911 313 — 405,247 Total $ 5,424,837 $ 200,545 $ 73,291 $ 32,823 $ 43,315 $ 5,774,811 BBCC: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 5,327 $ — $ — $ — $ 30 $ 5,357 2016 24,946 643 33 — — 25,622 2017 36,288 414 246 200 70 37,218 2018 49,875 621 195 134 847 51,672 2019 73,913 1,403 1,417 551 3 77,287 2020 94,828 1,599 233 161 — 96,821 Revolving Loans 52,393 868 317 89 — 53,667 Revolving to Term Loans 19,353 1,259 701 1,466 — 22,779 Total $ 356,923 $ 6,807 $ 3,142 $ 2,601 $ 950 $ 370,423 Payment Performance (dollars in thousands) Performing Nonperforming Total December 31, 2020 Residential real estate: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 620,999 $ 20,775 $ 641,774 2016 202,457 2,131 204,588 2017 190,376 892 191,268 2018 132,107 680 132,787 2019 453,132 251 453,383 2020 624,435 65 624,500 Revolving Loans — — — Revolving to Term Loans 122 — 122 Total $ 2,223,628 $ 24,794 $ 2,248,422 Indirect: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 21,088 $ 192 $ 21,280 2016 52,225 429 52,654 2017 96,587 666 97,253 2018 134,893 777 135,670 2019 253,514 443 253,957 2020 352,989 22 353,011 Revolving Loans — — — Revolving to Term Loans 77 — 77 Total $ 911,373 $ 2,529 $ 913,902 Direct: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ 19,465 $ 526 $ 19,991 2016 8,527 247 8,774 2017 16,182 64 16,246 2018 30,510 171 30,681 2019 29,189 141 29,330 2020 32,499 22 32,521 Revolving Loans 26,028 4 26,032 Revolving to Term Loans 1,229 3 1,232 Total $ 163,629 $ 1,178 $ 164,807 Home equity: Term Loans at Amortized Cost by Origination Year: Prior to 2016 $ — $ 116 $ 116 2016 238 11 249 2017 891 — 891 2018 444 — 444 2019 997 37 1,034 2020 1 — 1 Revolving Loans 529,275 94 529,369 Revolving to Term Loans 20,314 3,996 24,310 Total $ 552,160 $ 4,254 $ 556,414 The risk category or commercial and commercial real estate loans by class of loans was as follows: December 31, 2019 (dollars in thousands) Commercial Commercial Commercial Corporate Credit Exposure Credit Risk Profile by Internally Assigned Grade Grade: Pass $ 2,702,605 $ 665,512 $ 4,191,455 Criticized 84,676 34,651 115,514 Classified - substandard 63,979 — 101,693 Classified - nonaccrual 22,240 12,929 38,822 Classified - doubtful 16,796 — 6,216 Total $ 2,890,296 $ 713,092 $ 4,453,700 The following table presents the recorded investment in residential and consumer loans based on payment activity: Consumer (dollars in thousands) Residential Home Equity Auto Other December 31, 2019 Performing $ 2,311,670 $ 555,025 $ 1,013,760 $ 147,383 Nonperforming 22,619 3,996 3,527 2,456 Total $ 2,334,289 $ 559,021 $ 1,017,287 $ 149,839 |
Schedule of Past Due Financing Receivables | The following table presents the aging of the amortized cost basis in past due loans by class of loans: (dollars in thousands) 30-59 Days 60-89 Days Past Due Total Current Total December 31, 2020 Commercial $ 2,977 $ 664 $ 2,100 $ 5,741 $ 3,751,959 $ 3,757,700 Commercial real estate 887 128 27,272 28,287 5,746,524 5,774,811 BBCC 894 882 61 1,837 368,586 370,423 Residential 11,639 3,296 7,666 22,601 2,225,821 2,248,422 Indirect 5,222 960 492 6,674 907,228 913,902 Direct 753 533 426 1,712 163,095 164,807 Home equity 1,075 377 1,663 3,115 553,299 556,414 Total $ 23,447 $ 6,840 $ 39,680 $ 69,967 $ 13,716,512 $ 13,786,479 |
Financing Receivable, Nonaccrual | The following table presents the amortized cost basis of loans on nonaccrual status and loans past due 90 days or more and still accruing by class of loan: January 1, 2020 September 30, 2020 December 31, 2020 (dollars in thousands) Nonaccrual Nonaccrual Nonaccrual Nonaccrual Past Due Commercial $ 40,103 $ 34,188 $ 34,895 $ 3,394 $ 122 Commercial real estate 58,350 67,859 76,138 22,152 20 BBCC 4,530 3,601 3,551 — — Residential 20,970 23,914 24,794 — — Indirect 3,318 2,619 2,529 — 12 Direct 1,303 1,264 1,178 27 13 Home equity 3,857 4,166 4,254 45 — Total $ 132,431 $ 137,611 $ 147,339 $ 25,618 $ 167 Type of Collateral (dollars in thousands) Real Blanket Investment Auto Other December 31, 2020 Commercial $ 8,976 $ 19,253 $ 5,379 $ 394 $ 893 Commercial Real Estate 60,844 472 1,137 — 13,685 BBCC 1,425 1,929 63 134 — Residential 24,794 — — — — Indirect — — — 2,529 — Direct 901 — 2 235 29 Home equity 4,254 — — — — Total loans $ 101,194 $ 21,654 $ 6,581 $ 3,292 $ 14,607 |
Schedule of Activity in Trouble Debt Restructurings | The following table presents activity in TDRs: (dollars in thousands) Beginning Balance (Charge-offs)/ Recoveries (Payments)/ Disbursements Additions Ending Balance Year Ended December 31, 2020 Commercial $ 12,412 $ 633 $ (4,557) $ 2,602 $ 11,090 Commercial real estate 14,277 4,801 (8,502) 7,030 17,606 BBCC 578 (19) (447) — 112 Residential 3,107 — (283) — 2,824 Indirect — 9 (9) — — Direct 983 23 (267) — 739 Home equity 381 3 (102) — 282 Total $ 31,738 $ 5,450 $ (14,167) $ 9,632 $ 32,653 The following table presents activity in TDRs: (dollars in thousands) Beginning Balance (Charge-offs)/ Recoveries (Payments)/ Disbursements Additions Ending Balance Year Ended December 31, 2019 Commercial $ 10,275 $ (1,911) $ (3,733) $ 10,231 $ 14,862 Commercial real estate 27,671 (2,112) (23,182) 10,027 12,404 Residential 3,390 — (971) 557 2,976 Consumer 2,374 13 (1,207) 316 1,496 Total $ 43,710 $ (4,010) $ (29,093) $ 21,131 $ 31,738 Year Ended December 31, 2018 Commercial $ 12,088 $ (169) $ (5,188) $ 3,544 $ 10,275 Commercial real estate 34,705 561 (8,808) 1,213 27,671 Residential 3,315 23 (450) 502 3,390 Consumer 3,895 16 (1,969) 432 2,374 Total $ 54,003 $ 431 $ (16,415) $ 5,691 $ 43,710 |
Schedule of Loans by Class Modified as Troubled Debt Restructuring | The following table presents loans modified as TDRs that occurred during the years ended December 31, 2020, 2019, and 2018: (dollars in thousands) Total Year Ended December 31, 2020 TDR: Number of loans 4 Pre-modification outstanding recorded investment $ 9,632 Post-modification outstanding recorded investment 9,632 Year Ended December 31, 2019 TDR: Number of loans 14 Pre-modification outstanding recorded investment $ 21,131 Post-modification outstanding recorded investment 21,131 Year Ended December 31, 2018 TDR: Number of loans 10 Pre-modification outstanding recorded investment $ 5,691 Post-modification outstanding recorded investment 5,691 |
Financing Receivable, Non-Troubled Debt Restructuring Modification | The table below presents these loan deferrals by loan category: (dollars in thousands) June 30, 2020 September 30, 2020 December 31, 2020 December 31, 2020 Commercial and commercial real estate $ 1,170,119 $ 125,603 $ 53,823 101 Residential real estate 78,639 1,654 1,855 6 Consumer 54,786 10,315 8,224 348 Total $ 1,303,544 $ 137,572 $ 63,902 455 (1) Includes second deferrals between 90 and 180 days totaling $6.3 million of commercial and commercial real estate loans and $0.6 million of consumer loans. |
Schedule of Impaired Loans | The following table presents Old National’s impaired loans at December 31, 2019. Only purchased loans that have experienced subsequent impairment since the date acquired (excluding loans acquired with deteriorated credit quality) are included in the table below. (dollars in thousands) Recorded Unpaid Principal Related December 31, 2019 With no related allowance recorded: Commercial $ 23,227 $ 23,665 $ — Commercial Real Estate - Construction 12,929 12,929 — Commercial Real Estate - Other 37,674 38,112 — Residential 1,774 1,794 — Consumer 403 568 — With an allowance recorded: Commercial 18,252 18,305 7,891 Commercial Real Estate - Other 12,685 12,685 1,006 Residential 1,201 1,201 39 Consumer 1,094 1,094 55 Total $ 109,239 $ 110,353 $ 8,991 The average balance of impaired loans are included in the table below. Years Ended December 31, (dollars in thousands) 2019 2018 Average Recorded Investment With no related allowance recorded: Commercial $ 22,629 $ 21,295 Commercial Real Estate - Construction 6,465 — Commercial Real Estate - Other 39,401 39,902 Residential 2,052 2,305 Consumer 923 832 With an allowance recorded: Commercial 15,816 9,546 Commercial Real Estate - Construction 6,912 7,365 Commercial Real Estate - Other 20,420 27,317 Residential 981 840 Consumer 1,219 1,957 Total $ 116,818 $ 111,359 Old National’s past due loans were as follows: (dollars in thousands) 30-59 Days 60-89 Days Past Due Nonaccrual Total Current December 31, 2019 Commercial $ 1,489 $ 498 $ — $ 39,036 $ 41,023 $ 2,849,273 Commercial Real Estate: Construction 187 — — 12,929 13,116 699,976 Other 2,223 665 181 45,038 48,107 4,405,593 Residential 11,054 2,426 20 21,023 34,523 2,299,766 Consumer: Home equity 1,020 554 107 3,785 5,466 553,555 Auto 7,704 919 154 3,527 12,304 1,004,983 Other 1,372 147 108 1,074 2,701 147,138 Total $ 25,049 $ 5,209 $ 570 $ 126,412 $ 157,240 $ 11,960,284 |
Other Real Estate Owned (Tables
Other Real Estate Owned (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Real Estate Owned, Disclosure of Detailed Components [Abstract] | |
Activity in Other Real Estate Owned | The following table presents activity in other real estate owned: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Balance at beginning of period $ 2,169 $ 3,232 $ 8,810 Additions (1) 965 1,192 2,025 Sales (1,505) (2,077) (6,689) Impairments (305) (178) (914) Balance at end of period (2) $ 1,324 $ 2,169 $ 3,232 (1) Additions in 2018 included other real estate owned of $1.0 million acquired from Klein in November 2018. (2) Includes repossessed personal property of $0.2 million at December 31, 2020 and $0.4 million at December 31, 2019. |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Property, Plant and Equipment [Abstract] | |
Summary of Premises and Equipment | The composition of premises and equipment was as follows: December 31, (dollars in thousands) 2020 2019 Land $ 72,600 $ 79,569 Buildings 373,660 380,925 Furniture, fixtures, and equipment 110,735 112,654 Leasehold improvements 44,734 44,136 Total 601,729 617,284 Accumulated depreciation (137,321) (126,359) Premises and equipment, net $ 464,408 $ 490,925 |
Leases (Tables)
Leases (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Lessee Disclosure [Abstract] | |
Schedule of Components of Lease Expense | The components of lease expense were as follows: Affected Line Years Ended December 31, (dollars in thousands) 2020 2019 Operating lease cost occupancy/equipment expense $ 23,548 $ 17,001 Finance lease cost: Amortization of right-of-use assets occupancy expense 1,044 651 Interest on lease liabilities interest expense 364 320 Short-term lease cost occupancy expense — 6 Sub-lease income occupancy expense (512) (703) Total $ 24,444 $ 17,275 |
Schedule of Supplemental Balance Sheet Information Related to Leases | Supplemental balance sheet information related to leases was as follows: December 31, (dollars in thousands) 2020 2019 Operating Leases Operating lease right-of-use assets $ 76,197 $ 95,477 Operating lease liabilities 86,598 99,500 Finance Leases Premises and equipment, net 11,351 7,170 Other borrowings 11,813 7,406 Weighted-Average Remaining Lease Term (in Years) Operating leases 10.6 10.6 Finance leases 10.3 11.3 Weighted-Average Discount Rate Operating leases 3.40 % 3.45 % Finance leases 3.46 % 4.43 % |
Schedule of Supplemental Cash Flow Information Related to Leases | Supplemental cash flow information related to leases was as follows: Years Ended December 31, (dollars in thousands) 2020 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 15,906 $ 17,493 Operating cash flows from finance leases 364 320 Financing cash flows from finance leases 819 465 |
Schedule of Maturity Analysis of Lease Liability by Lease Classification | The following table presents a maturity analysis of the Company’s lease liability by lease classification at December 31, 2020: (dollars in thousands) Operating Finance 2021 $ 14,245 $ 1,394 2022 13,241 1,412 2023 9,534 1,438 2024 8,366 1,444 2025 8,116 1,437 Thereafter 50,462 7,006 Total undiscounted lease payments 103,964 14,131 Amounts representing interest (17,366) (2,318) Lease liability $ 86,598 $ 11,813 |
Schedule of Maturity Analysis of Tenant Leases | The following table presents a maturity analysis of the Company’s tenant leases at December 31, 2020: (dollars in thousands) Tenant 2021 $ 2,422 2022 1,900 2023 1,541 2024 1,409 2025 1,056 Thereafter 1,464 Total undiscounted lease payments $ 9,792 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in Carrying Amount of Goodwill | The following table presents the changes in the carrying amount of goodwill: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Balance at beginning of period $ 1,036,994 $ 1,036,258 $ 828,051 Acquisitions and adjustments — 736 208,787 Divestitures — — (580) Balance at end of period $ 1,036,994 $ 1,036,994 $ 1,036,258 |
Schedule of Gross Carrying Amounts and Accumulated Amortization of Other Intangible Assets | The gross carrying amounts and accumulated amortization of other intangible assets were as follows: (dollars in thousands) Gross Accumulated Net December 31, 2020 Core deposit $ 112,723 $ (69,623) $ 43,100 Customer trust relationships 16,547 (13,633) 2,914 Total intangible assets $ 129,270 $ (83,256) $ 46,014 December 31, 2019 Core deposit $ 119,051 $ (63,020) $ 56,031 Customer trust relationships 16,547 (12,473) 4,074 Total intangible assets $ 135,598 $ (75,493) $ 60,105 |
Schedule of Estimated Amortization Expense for Future Years | Estimated amortization expense for future years is as follows: (dollars in thousands) 2021 $ 11,336 2022 9,014 2023 7,053 2024 5,645 2025 4,509 Thereafter 8,457 Total $ 46,014 |
Loan Servicing Rights (Tables)
Loan Servicing Rights (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Text Block [Abstract] | |
Components of Loan Servicing Rights and Valuation Allowance | The following table summarizes the carrying values and activity related to loan servicing rights and the related valuation allowance: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Balance at beginning of period $ 25,399 $ 24,512 $ 24,690 Additions (1) 12,810 6,499 4,264 Amortization (10,085) (5,612) (4,442) Balance before valuation allowance at end of period 28,124 25,399 24,512 Valuation allowance: Balance at beginning of period (31) (15) (29) (Additions)/recoveries (1,376) (16) 14 Balance at end of period (1,407) (31) (15) Loan servicing rights, net $ 26,717 $ 25,368 $ 24,497 (1) Additions in 2018 include loan servicing rights of $0.3 million acquired from Klein in November 2018. |
Qualified Affordable Housing _2
Qualified Affordable Housing Projects and Other Tax Credit Investments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Accounting Policies [Abstract] | |
Schedule of Qualified Affordable Housing Projects and Other Tax Credit Investments | The following table summarizes Old National’s investments in qualified affordable housing projects and other tax credit investments: (dollars in thousands) December 31, 2020 December 31, 2019 Investment Accounting Method Investment Unfunded Commitment (1) Investment Unfunded Commitment LIHTC Proportional amortization $ 33,609 $ 6,845 $ 29,735 $ 3,911 FHTC Equity 18,660 22,398 22,403 17,886 NMTC Proportional amortization 6,120 — — — Renewable Energy Equity 3,611 862 7,523 4,129 Total $ 62,000 $ 30,105 $ 59,661 $ 25,926 (1) All commitments will be paid by Old National by 2027. The following table summarizes the amortization expense and tax benefit recognized for Old National’s qualified affordable housing projects and other tax credit investments: (dollars in thousands) Amortization Tax Expense Year Ended December 31, 2020 LIHTC $ 3,105 $ (4,071) FHTC 13,237 (15,582) NMTC 900 (1,100) Renewable Energy 4,651 (4,122) Total $ 21,893 $ (24,875) Year Ended December 31, 2019 LIHTC $ 3,168 $ (4,102) FHTC 1,113 (1,244) CReED (3) 13 — Renewable Energy 1,623 (1,740) Total $ 5,917 $ (7,086) Year Ended December 31, 2018 LIHTC $ 2,585 $ (3,349) FHTC 9,206 (10,775) CReED (3) 687 (687) Renewable Energy 13,056 (14,566) Total $ 25,534 $ (29,377) (1) The amortization expense for the LIHTC investments is included in our income tax expense. The amortization expense for the FHTC, NMTC, CReED, and Renewable Energy tax credits is included in noninterest expense. (2) All of the tax benefits recognized are included in our income tax expense. The tax benefit recognized for the FHTC, NMTC, CReED, and Renewable Energy investments primarily reflects the tax credits generated from the investments and excludes the net tax expense (benefit) and deferred tax liability of the investments’ income (loss). (3) The CReED tax credit investment qualifies for an Indiana state tax credit. |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Deposits [Abstract] | |
Schedule of Maturities of Total Time Deposits | At December 31, 2020, the scheduled maturities of total time deposits were as follows: (dollars in thousands) Due in 2021 $ 825,822 Due in 2022 139,466 Due in 2023 82,288 Due in 2024 37,280 Due in 2025 30,947 Thereafter 7,067 Total $ 1,122,870 |
Securities Sold Under Agreeme_2
Securities Sold Under Agreements to Repurchase (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Transfers and Servicing [Abstract] | |
Schedule Of Securities Sold Under Agreements To Repurchase And Weighted Average Interest Rates Table Text Block | The following table presents securities sold under agreements to repurchase and related weighted-average interest rates for each of the years ended December 31: (dollars in thousands) 2020 2019 Outstanding at year-end $ 431,166 $ 327,782 Average amount outstanding 375,961 342,654 Maximum amount outstanding at any month-end 438,039 367,884 Weighted-average interest rate: During year 0.23 % 0.73 % End of year 0.12 0.53 |
Schedule Of Remaining Contractual Maturity Of Secured Borrowings And Class Of Collateral Pledged Under Repurchase Agreements Table Text Block | The following table presents the contractual maturity of our secured borrowings and class of collateral pledged: At December 31, 2020 Remaining Contractual Maturity of the Agreements (dollars in thousands) Overnight and Up to 30-90 Days Greater Than Total Repurchase Agreements: U.S. Treasury and agency securities $ 431,166 $ — $ — $ — $ 431,166 Total $ 431,166 $ — $ — $ — $ 431,166 |
Federal Home Loan Bank Advanc_2
Federal Home Loan Bank Advances (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Advances from Federal Home Loan Banks [Abstract] | |
Summary of FHLB Advances | The following table summarizes Old National Bank’s FHLB advances: December 31, (dollars in thousands) 2020 2019 FHLB advances (fixed rates 0.14% to 4.96% and variable rates 0.10% to 0.12%) maturing January 2021 to August 2035 $ 1,999,160 $ 1,800,664 Fair value hedge basis adjustments and unamortized (7,725) 22,183 Total other borrowings $ 1,991,435 $ 1,822,847 |
Summary of Contractual Maturities of FHLB Advances | Contractual maturities of FHLB advances at December 31, 2020 were as follows: (dollars in thousands) Due in 2021 $ 95,000 Due in 2022 29,000 Due in 2023 160 Due in 2024 75,000 Due in 2025 550,000 Thereafter 1,250,000 Fair value hedge basis adjustments and unamortized prepayment fees (7,725) Total $ 1,991,435 |
Other Borrowings (Tables)
Other Borrowings (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Other Liabilities Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments | The following table summarizes Old National’s other borrowings: December 31, (dollars in thousands) 2020 2019 Old National Bancorp: Senior unsecured notes (fixed rate 4.125%) maturing August 2024 $ 175,000 $ 175,000 Unamortized debt issuance costs related (559) (715) Junior subordinated debentures (variable rates of 1.80% to 1.98%) maturing March 2035 to June 2037 42,000 52,310 Other basis adjustments (3,195) (2,833) Old National Bank: Finance lease liabilities 11,813 7,406 Subordinated debentures (variable rate 4.57%) 12,000 12,000 Leveraged loans for NMTC (fixed rates of 1.00% to 1.43%) maturing December 2046 to December 2052 15,300 — Other 428 517 Total other borrowings $ 252,787 $ 243,685 The following table summarizes the terms of our outstanding junior subordinated debentures as of December 31, 2020: (dollars in thousands) Name of Trust Issuance Date Issuance Rate Rate at December 31, Maturity Date St. Joseph Capital Trust II March 2005 $ 5,000 3-month LIBOR plus 1.75% 1.98 % March 17, 2035 Anchor Capital Trust III August 2005 5,000 3-month LIBOR plus 1.55% 1.80 % September 30, 2035 Home Federal Statutory September 2006 15,000 3-month LIBOR plus 1.65% 1.87 % September 15, 2036 Monroe Bancorp Capital July 2006 3,000 3-month LIBOR plus 1.60% 1.84 % October 7, 2036 Tower Capital Trust 3 December 2006 9,000 3-month LIBOR plus 1.69% 1.92 % March 1, 2037 Monroe Bancorp Statutory March 2007 5,000 3-month LIBOR plus 1.60% 1.82 % June 15, 2037 Total $ 42,000 |
Schedule of Maturities of Long-term Debt | Contractual maturities of other borrowings at December 31, 2020 were as follows: (dollars in thousands) Due in 2021 $ 1,025 Due in 2022 1,073 Due in 2023 1,132 Due in 2024 176,170 Due in 2025 1,198 Thereafter 75,515 Unamortized debt issuance costs and other (3,326) Total $ 252,787 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Equity [Abstract] | |
Schedule of AOCI | The following table summarizes the changes within each classification of AOCI, net of tax: (dollars in thousands) Unrealized Unrealized Gains and Defined Total Year Ended December 31, 2020 Balance at beginning of period $ 56,131 $ — $ 240 $ (164) $ 56,207 Other comprehensive income (loss) before reclassifications 97,596 — 6,230 — 103,826 Amounts reclassified from AOCI to income (1) (8,392) — (3,886) 16 (12,262) Balance at end of period $ 145,335 $ — $ 2,584 $ (148) $ 147,771 Year Ended December 31, 2019 Balance at beginning of period $ (37,348) $ (8,515) $ 1,099 $ (186) $ (44,950) Other comprehensive income (loss) before reclassifications 94,964 6,419 (410) — 100,973 Amounts reclassified from AOCI (1) (1,485) 2,096 (449) 22 184 Balance at end of period $ 56,131 $ — $ 240 $ (164) $ 56,207 Year Ended December 31, 2018 Balance at beginning of period $ (35,557) $ (12,107) $ (2,337) $ (271) $ (50,272) Amount reclassified from AOCI to retained earnings for cumulative effect of change in accounting principle — — (52) — (52) Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 (7,583) (2,600) (509) (59) (10,751) Other comprehensive income (loss) before reclassifications 7,454 4,514 3,884 — 15,852 Amounts reclassified from AOCI (1) (1,662) 1,678 113 144 273 Balance at end of period $ (37,348) $ (8,515) $ 1,099 $ (186) $ (44,950) (1) See table below for details about reclassifications to income. |
Reclassifications out of Accumulated Other Comprehensive Income (Loss) | The following table summarizes the significant amounts reclassified out of each component of AOCI: Details about AOCI Components Amount Reclassified Affected Line Item in the Years Ended December 31, (dollars in thousands) 2020 2019 2018 Unrealized gains and losses on $ 10,767 $ 1,923 $ 2,060 Debt securities gains (losses), net (2,375) (438) (398) Income tax (expense) benefit $ 8,392 $ 1,485 $ 1,662 Net income Unrealized gains and losses on $ — $ (2,812) $ (2,181) Interest income (expense) — 716 503 Income tax (expense) benefit $ — $ (2,096) $ (1,678) Net income Gains and losses on cash flow hedges $ 5,153 $ 596 $ (150) Interest income (expense) (1,267) (147) 37 Income tax (expense) benefit $ 3,886 $ 449 $ (113) Net income Amortization of defined benefit Actuarial gains (losses) $ (21) $ (30) $ (191) Salaries and employee benefits 5 8 47 Income tax (expense) benefit $ (16) $ (22) $ (144) Net income Total reclassifications for the period $ 12,262 $ (184) $ (273) Net income |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Income Tax Disclosure [Abstract] | |
Summary of Differences in Taxes from Continuing Operations Computed at Statutory Rate | Following is a summary of the major items comprising the differences in taxes from continuing operations computed at the federal statutory rate and as recorded in the consolidated statement of income: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Provision at statutory rate of 21% $ 53,667 $ 60,975 $ 43,823 Tax-exempt income: Tax-exempt interest (10,776) (10,243) (9,021) Section 291/265 interest disallowance 189 435 321 Company-owned life insurance income (2,290) (2,423) (2,223) Tax-exempt income (12,877) (12,231) (10,923) State income taxes 4,840 6,720 5,621 Tax credit investments - federal (15,159) (4,411) (21,576) Other, net (1,324) 1,097 905 Income tax expense $ 29,147 $ 52,150 $ 17,850 Effective tax rate 11.4 % 18.0 % 8.6 % |
Provision for Income Taxes | The provision for income taxes consisted of the following components: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Income taxes currently payable: Federal $ 19,223 $ 22,908 $ 12,256 State 6,498 4,490 4,601 Deferred income taxes related to: Federal 3,188 20,402 (1,513) State 238 4,350 2,506 Deferred income tax expense 3,426 24,752 993 Income tax expense $ 29,147 $ 52,150 $ 17,850 |
Schedule of Significant Components of Net Deferred Tax Assets (Liabilities) | Significant components of net deferred tax assets (liabilities) were as follows: December 31, (dollars in thousands) 2020 2019 Deferred Tax Assets Allowance for loan losses, net of recapture $ 34,971 $ 14,179 Benefit plan accruals 20,076 19,673 Alternative minimum tax credit — 1,272 Net operating loss carryforwards 18,982 25,336 Deferred gain on securities 2,102 3,754 Acquired loans 11,989 16,784 Operating lease liabilities 24,245 26,503 Tax credit investments and other partnerships 1,054 1,765 Other real estate owned 28 141 Other, net 460 591 Total deferred tax assets 113,907 109,998 Deferred Tax Liabilities Purchase accounting (18,232) (17,564) Loan servicing rights (6,582) (6,289) Premises and equipment (14,008) (12,167) Prepaid expenses (955) (973) Operating lease right-of-use assets (21,569) (25,448) Unrealized gains on available-for-sale investment securities (40,756) (15,751) Unrealized gains on hedges (1,080) (78) Other, net (1,555) (2,023) Total deferred tax liabilities (104,737) (80,293) Net deferred tax assets $ 9,170 $ 29,705 |
Share-Based Compensation and _2
Share-Based Compensation and Other Employee Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Share-based Payment Arrangement [Abstract] | |
Summary of Changes in Nonvested Restricted Stock Awards | A summary of changes in our nonvested shares for the year follows: (shares in thousands) Shares Weighted Year Ended December 31, 2020 Nonvested balance at beginning of period 406 $ 16.98 Granted during the year 365 14.79 Vested during the year (193) 17.16 Forfeited during the year (20) 16.53 Nonvested balance at end of period 558 $ 15.51 |
Summary of Changes in Nonvested Restricted Shares | A summary of changes in our nonvested shares for the year follows: (shares in thousands) Shares Weighted Year Ended December 31, 2020 Nonvested balance at beginning of period 965 $ 14.07 Granted during the year 344 17.14 Vested during the year (437) 16.31 Forfeited during the year (1) 12.62 Dividend equivalents adjustment 40 14.48 Nonvested balance at end of period 911 $ 14.18 |
Summary of Activity in Stock Option Plan | A summary of the activity in stock appreciation rights in 2020 follows: (shares in thousands) Shares Weighted Weighted Aggregate Year Ended December 31, 2020 Outstanding at beginning of period 57 $ 4.11 Exercised (16) 3.76 Outstanding at end of period 41 $ 4.24 1.35 $ 509.8 Options exercisable at end of year 41 $ 4.24 1.35 $ 509.8 |
Schedule of Information Related to Stock Option Plan | Information related to stock option and appreciation rights follows: Year Ended December 31, (dollars in thousands) 2020 2019 2018 Intrinsic value of options/appreciation rights exercised $ 213 $ 178 $ 385 Cash received from options/appreciation rights exercises — 280 948 Tax benefit realized from options/appreciation rights exercises 85 71 154 |
Shareholders' Equity (Tables)
Shareholders' Equity (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Equity [Abstract] | |
Summary of Table Reconciling Basic and Diluted Net Income Per Share | The following table reconciles basic and diluted net income per share. (dollars and shares in thousands, Years Ended December 31, 2020 2019 2018 Basic Net Income Per Share Net income $ 226,409 $ 238,206 $ 190,830 Weighted average common shares outstanding 165,509 171,907 155,675 $ 1.37 $ 1.39 $ 1.23 Diluted Net Income Per Share Net income $ 226,409 $ 238,206 $ 190,830 Weighted average common shares outstanding 165,509 171,907 155,675 Effect of dilutive securities: Restricted stock 632 733 796 Stock options and appreciation rights 36 47 68 Weighted average shares outstanding 166,177 172,687 156,539 $ 1.36 $ 1.38 $ 1.22 |
Fair Value (Tables)
Fair Value (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis | Assets and liabilities measured at fair value on a recurring basis, including financial assets and liabilities for which we have elected the fair value option, are summarized below: Fair Value Measurements at December 31, 2020 Using (dollars in thousands) Carrying Value Quoted Prices in Significant Significant Financial Assets Equity securities $ 2,547 $ 2,547 $ — $ — Investment securities available-for-sale: U.S. Treasury 10,208 10,208 — — U.S. government-sponsored entities and agencies 841,988 — 841,988 — Mortgage-backed securities - Agency 3,339,098 — 3,339,098 — States and political subdivisions 1,492,162 — 1,492,162 — Pooled trust preferred securities 7,913 — — 7,913 Other securities 278,746 — 278,746 — Residential loans held for sale 63,250 — 63,250 — Derivative assets 140,201 — 140,201 — Financial Liabilities Derivative liabilities 18,187 — 18,187 — Fair Value Measurements at December 31, 2019 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant Financial Assets Equity securities $ 6,842 $ 6,842 $ — $ — Investment securities available-for-sale: U.S. Treasury 17,682 17,682 — — U.S. government-sponsored entities and agencies 592,984 — 592,984 — Mortgage-backed securities - Agency 3,183,861 — 3,183,861 — States and political subdivisions 1,275,643 — 1,275,603 40 Pooled trust preferred securities 8,222 — — 8,222 Other securities 306,699 31,169 275,530 — Residential loans held for sale 46,898 — 46,898 — Derivative assets 51,301 — 51,301 — Financial Liabilities Derivative liabilities 12,393 — 12,393 — |
Reconciliation of All Assets Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3) | The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3): (dollars in thousands) Pooled Trust State and Year Ended December 31, 2020 Balance at beginning of period $ 8,222 $ 40 Accretion (amortization) of discount 15 — Sales/payments received (64) (40) Increase (decrease) in fair value of securities (260) — Balance at end of period $ 7,913 $ — Year Ended December 31, 2019 Balance at beginning of period $ 8,495 $ 4,108 Accretion (amortization) of discount 12 — Sales/payments received (62) (35) Increase (decrease) in fair value of securities (223) — Transfers out of Level 3 — (4,033) Balance at end of period $ 8,222 $ 40 Year Ended December 31, 2018 Balance at beginning of period $ 8,448 $ — Accretion (amortization) of discount 17 (56) Sales/payments received (338) — Increase (decrease) in fair value of securities 368 28 Transfers into Level 3 — 4,136 Balance at end of period $ 8,495 $ 4,108 |
Quantitative Information about Significant Unobservable Inputs Used in Fair Value Measurements | The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 of the fair value hierarchy: (dollars in thousands) Fair Value Valuation Unobservable Input Range (Weighted December 31, 2020 Pooled trust preferred securities $ 7,913 Discounted cash flow Constant prepayment rate (1) 0.0% Additional asset defaults (2) 6.0% - 8.7% (6.8%) Expected asset recoveries (3) 0.0% - 23.2% (7.3%) December 31, 2019 Pooled trust preferred securities $ 8,222 Discounted cash flow Constant prepayment rate (1) 0.0% Additional asset defaults (2) 6.2% - 8.0% (6.8%) Expected asset recoveries (3) 0.0% - 19.1% (6.0%) State and political subdivisions 40 Discounted cash flow No observable inputs N/A Local municipality issuances Old National owns 100% Carried at par (1) Assuming no prepayments. (2) Each currently performing pool asset is assigned a default probability based on the banking environment, which is adjusted for specific issuer evaluation, of 0%, 50%, or 100%. (3) Each currently defaulted pool asset is assigned a recovery probability based on specific issuer evaluation of 0%, 25%, or 100%. (4) Unobservable inputs are weighted by the estimated number of defaults and current performing collateral of the instruments. The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 of the fair value hierarchy: (dollars in thousands) Fair Valuation Unobservable Range (Weighted December 31, 2020 Collateral Dependent Loans Commercial loans $ 10,747 Discounted Discount for type of property, 0% - 33% (12%) Commercial real estate loans 40,653 Discounted Discount for type of property, 0% -18% (7%) December 31, 2019 Collateral Dependent Loans Commercial loans $ 10,361 Fair value of collateral Discount for type of property, 0% - 50% (13%) Commercial real estate loans (1) 11,610 Fair value of collateral Discount for type of property, 45% Foreclosed Assets Commercial real estate (1) 21 Fair value of collateral Discount for type of property, 43% Residential (1) 22 Fair value of collateral Discount for type of property, 21% (1) There was only one collateral dependent commercial real estate loan, one foreclosed commercial real estate asset, and one foreclosed residential asset at December 31, 2019, so no range or weighted average is reported. (2) Unobservable inputs were weighted by the relative fair value of the instruments. |
Assets Measured at Fair Value on a Non-Recurring Basis | Assets measured at fair value on a non-recurring basis are summarized below: Fair Value Measurements at December 31, 2020 Using (dollars in thousands) Carrying Quoted Prices in Active Markets for Identical Assets (Level 1) Significant Significant Unobservable Inputs Collateral Dependent Loans: Commercial loans $ 10,747 $ — $ — $ 10,747 Commercial real estate loans 40,653 — — 40,653 Loan servicing rights 26,717 — 26,717 — Assets measured at fair value on a non-recurring basis at December 31, 2019 are summarized below: Fair Value Measurements at December 31, 2019 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant Collateral Dependent Loans: Commercial loans $ 10,361 $ — $ — $ 10,361 Commercial real estate loans 11,610 — — 11,610 Foreclosed Assets: Commercial real estate 21 — — 21 Residential 22 — — 22 Loan servicing rights 4,662 — 4,662 — |
Schedule of Difference Between the Aggregate Fair Value and the Aggregate Remaining Principal Balance | The difference between the aggregate fair value and the aggregate remaining principal balance for loans for which the fair value option has been elected was as follows: (dollars in thousands) Aggregate Difference Contractual December 31, 2020 Residential loans held for sale $ 63,250 $ 3,485 $ 59,765 December 31, 2019 Residential loans held for sale $ 46,898 $ 1,529 $ 45,369 The following table presents the amount of gains and losses from fair value changes included in income before income taxes for financial assets carried at fair value: (dollars in thousands) Other Interest Interest Total Changes Year Ended December 31, 2020 Residential loans held for sale $ 1,962 $ 18 $ (24) $ 1,956 Year Ended December 31, 2019 Residential loans held for sale $ 1,036 $ 18 $ — $ 1,054 |
Carrying Amounts and Estimated Fair Values of Financial Instruments, Not Carried at Fair Value | The carrying amounts and estimated fair values of financial instruments not carried at fair value were as follows: Fair Value Measurements at December 31, 2020 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant Financial Assets Cash, due from banks, money market, $ 589,712 $ 589,712 $ — $ — Loans, net: Commercial 3,922,642 — — 3,912,948 Commercial real estate 5,867,795 — — 5,797,447 Residential real estate 2,235,814 — — 2,264,274 Consumer credit 1,628,840 — — 1,618,365 Accrued interest receivable 85,306 21 27,977 57,308 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 5,633,672 $ 5,633,672 $ — $ — Checking, NOW, savings, and money market interest-bearing deposits 10,180,911 10,180,911 — — Other time deposits 1,103,313 — 1,121,365 — Brokered deposits 119,557 — 119,514 — Federal funds purchased and interbank borrowings 1,166 1,166 — — Securities sold under agreements to repurchase 431,166 431,166 — — FHLB advances 1,991,435 — 2,092,033 — Other borrowings 252,787 — 254,612 — Accrued interest payable 5,443 — 5,443 — Standby letters of credit 462 — — 462 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 11,822 Fair Value Measurements at December 31, 2019 Using (dollars in thousands) Carrying Quoted Prices in Significant Significant Financial Assets Cash, due from banks, money market, $ 276,337 $ 276,337 $ — $ — Loans, net: Commercial 2,867,711 — — 2,831,298 Commercial real estate 5,145,204 — — 5,130,848 Residential real estate 2,331,990 — — 2,357,341 Consumer credit 1,718,000 — — 1,676,253 Accrued interest receivable 85,123 15 28,185 56,923 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 4,042,286 $ 4,042,286 $ — $ — Checking, NOW, savings, and money market interest-bearing deposits 8,828,881 8,828,881 — — Other time deposits 1,589,988 — 1,600,214 — Brokered deposits 92,242 — 92,355 — Federal funds purchased and interbank borrowings 350,414 350,414 — — Securities sold under agreements to repurchase 327,782 327,782 — — FHLB advances 1,822,847 — 1,875,089 — Other borrowings 243,685 — 254,519 — Accrued interest payable 8,272 — 8,272 — Standby letters of credit 573 — — 573 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 4,302 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Summary of Fair Value of Derivative Financial Instruments | The following table summarizes the fair value of derivative financial instruments utilized by Old National: (dollars in thousands) Balance Fair Balance Fair December 31, 2020 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 17,202 Other liabilities $ 1,988 Total derivatives designated as hedging instruments $ 17,202 $ 1,988 Derivatives not designated as hedging instruments Interest rate contracts (1) Other assets $ 113,300 Other liabilities $ 13,676 Mortgage contracts Other assets 9,375 Other liabilities 2,335 Foreign currency contracts Other assets 324 Other liabilities 188 Total derivatives not designated as hedging instruments $ 122,999 $ 16,199 Total $ 140,201 $ 18,187 December 31, 2019 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 7,157 Other liabilities $ 1,046 Total derivatives designated as hedging instruments $ 7,157 $ 1,046 Derivatives not designated as hedging instruments Interest rate contracts (1) Other assets $ 42,224 Other liabilities $ 10,883 Mortgage contracts Other assets 1,702 Other liabilities 354 Foreign currency contracts Other assets 218 Other liabilities 110 Total derivatives not designated as hedging instruments $ 44,144 $ 11,347 Total $ 51,301 $ 12,393 (1) The fair values of counterparty interest rate swaps are zero due to the settlement of centrally-cleared variation margin rules. The net adjustment was $100.4 million as of December 31, 2020 and $31.6 million as of December 31, 2019. |
Summary of Interest Rate Swaps Designated as Fair Value Hedges | Summary information about the interest rate swaps designated as fair value hedges is as follows: December 31, (dollars in thousands) 2020 2019 Notional amounts $ 726,516 $ 130,500 Weighted average pay rates 0.63 % 1.82 % Weighted average receive rates 1.23 % 2.20 % Weighted average maturity (in years) 6.9 2.8 Fair value of swaps $ 9,766 $ 1,555 Summary information about the interest rate swaps designated as cash flow hedges is as follows: December 31, (dollars in thousands) 2020 2019 Notional amounts $ 325,000 $ 25,000 Weighted average pay rates 0.74 % 3.52 % Weighted average receive rates 0.39 % 1.93 % Weighted average maturity (in years) 3.5 2.1 Unrealized gains (losses) $ (1,188) $ (954) December 31, (dollars in thousands) 2020 2019 Notional amounts $ 300,000 $ 300,000 Weighted average cap rates 3.21 % 3.21 % Weighted average floor rates 2.21 % 2.21 % Weighted average rates 0.15 % 1.70 % Weighted average maturity (in years) 0.8 1.9 Unrealized gains (losses) $ 5,244 $ 3,691 is as follows: (dollars in thousands) December 31, Notional amounts $ 100,000 Weighted average floor strike rate 0.75 % Weighted average rates 0.15 % Weighted average maturity (in years) 2.3 Unrealized gains (losses) $ 1,392 |
Schedule Of Derivative Instruments Effect On Consolidated Statement Of Income | The effect of derivative instruments in fair value hedging relationships on the consolidated statements of income were as follows: (dollars in thousands) Gain (Loss) Derivatives in Location of Gain or Gain (Loss) Hedged Items Location of Gain or Year Ended Interest rate contracts Interest income/(expense) $ 7,238 Fixed-rate debt Interest income/(expense) $ (7,283) Interest rate contracts Interest income/(expense) 973 Fixed-rate Interest income/(expense) (967) Total $ 8,211 $ (8,250) Year Ended Interest rate contracts Interest income/(expense) $ 12,577 Fixed-rate debt Interest income/(expense) $ (12,587) Year Ended Interest rate contracts Interest income/(expense) $ 7,662 Fixed-rate debt Interest income/(expense) $ (7,634) The effect of derivative instruments in cash flow hedging relationships on the consolidated statements of income were as follows: Years Ended December 31, Years Ended December 31, (dollars in thousands) 2020 2019 2018 2020 2019 2018 Derivatives in Location of Gain or Gain (Loss) Gain (Loss) Interest rate contracts Interest income/(expense) $ 8,261 $ (543) $ 5,145 $ 5,153 $ 596 $ (150) The effect of derivatives not designated as hedging instruments on the consolidated statements of income were as follows: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Derivatives Not Designated as Location of Gain or (Loss) Gain (Loss) Interest rate contracts (1) Other income/(expense) $ (551) $ (174) $ (7) Mortgage contracts Mortgage banking revenue 5,692 789 (189) Foreign currency contracts Other income/(expense) 13 50 42 Total $ 5,154 $ 665 $ (154) (1) Includes the valuation differences between the customer and offsetting swaps. |
Schedule of Floor Spread Transactions Designated as Cash Flow Hedges | Summary information about the floor spread transactions designated as cash flow hedges at December 31, 2019 was as follows: (dollars in thousands) December 31, Notional amounts $ 210,000 Weighted average purchased floor strike rate 2.00 % Weighted average sold floor rate 1.00 % Weighted average rate 1.70 % Weighted average maturity (in years) 2.1 Unrealized gains (losses) $ 1,820 |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Revenue from Contract with Customer [Abstract] | |
Summary of Topic 606 Revenue Items | The following table reflects only the categories of noninterest income that are within the scope of Topic 606: Years Ended December 31, (dollars in thousands) 2020 2019 2018 Wealth management fees $ 36,806 $ 37,072 $ 36,863 Service charges on deposit accounts 35,081 44,915 44,026 Debit card and ATM fees 20,178 21,652 20,216 Investment product fees 21,614 21,785 20,539 Other income: Merchant processing fees 3,150 3,105 2,927 Gain (loss) on other real estate owned 240 254 1,270 Safe deposit box fees 957 1,206 1,124 Insurance premiums and commissions 407 815 399 Total $ 118,433 $ 130,804 $ 127,364 |
Regulatory Restrictions (Tables
Regulatory Restrictions (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Compliance With Regulatory Capital Requirements Under Banking Regulations [Abstract] | |
Schedule of Capital Ratios | The following table summarizes capital ratios for Old National and Old National Bank: Actual Fully Phased-In Prompt Corrective Action (dollars in thousands) Amount Ratio Amount Ratio Amount Ratio December 31, 2020 Total capital to risk-weighted Old National Bancorp $ 1,949,757 12.69 % $ 1,613,753 10.50 % N/A N/A % Old National Bank 1,973,180 12.90 1,606,657 10.50 1,530,149 10.00 Common equity Tier 1 capital Old National Bancorp 1,805,194 11.75 1,075,835 7.00 N/A N/A Old National Bank 1,870,617 12.23 1,071,104 7.00 994,597 6.50 Tier 1 capital to risk-weighted Old National Bancorp 1,805,194 11.75 1,306,371 8.50 N/A N/A Old National Bank 1,870,617 12.23 1,300,627 8.50 1,224,119 8.00 Tier 1 capital to average assets Old National Bancorp 1,805,194 8.20 880,845 4.00 N/A N/A Old National Bank 1,870,617 8.67 863,087 4.00 1,078,859 5.00 December 31, 2019 Total capital to risk-weighted Old National Bancorp $ 1,828,312 12.99 % $ 1,477,763 10.50 % N/A N/A % Old National Bank 1,891,612 13.50 1,471,122 10.50 1,401,069 10.00 Common equity Tier 1 capital Old National Bancorp 1,706,727 12.13 985,175 7.00 N/A N/A Old National Bank 1,822,337 13.01 980,748 7.00 910,695 6.50 Tier 1 capital to risk-weighted Old National Bancorp 1,706,727 12.13 1,196,284 8.50 N/A N/A Old National Bank 1,822,737 13.01 1,190,909 8.50 1,120,855 8.00 Tier 1 capital to average assets Old National Bancorp 1,706,727 8.88 768,537 4.00 N/A N/A Old National Bank 1,822,737 9.62 757,783 4.00 947,228 5.00 (1) As of January 1, 2019, Basel III Capital Rules required banking organizations to maintain: a minimum ratio of common equity Tier 1 to risk-weighted assets of at least 4.5%, plus a 2.5% “capital conservation buffer”; a minimum ratio of Tier 1 capital to risk-weighted assets of at least 6.0%, plus the 2.5% capital conservation buffer; a minimum ratio of total capital to risk-weighted assets of at least 8.0%, plus the 2.5% capital conservation buffer; and a minimum ratio of Tier 1 capital to adjusted average consolidated assets of at least 4.0%. |
Parent Company Financial Stat_2
Parent Company Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Balance Sheets | OLD NATIONAL BANCORP (PARENT COMPANY ONLY) December 31, (dollars in thousands) 2020 2019 Assets Deposits in affiliate bank $ 73,340 $ 41,289 Equity securities 2,435 6,724 Investment securities - available-for-sale 14,198 4,018 Investment in affiliates: Banking subsidiaries 3,037,930 2,966,575 Non-banks 4,969 4,885 Other assets 89,776 89,093 Total assets $ 3,222,648 $ 3,112,584 Liabilities and Shareholders' Equity Other liabilities $ 36,746 $ 36,369 Other borrowings 213,246 223,762 Shareholders' equity 2,972,656 2,852,453 Total liabilities and shareholders' equity $ 3,222,648 $ 3,112,584 |
Condensed Statements of Income | OLD NATIONAL BANCORP (PARENT COMPANY ONLY) Years Ended December 31, (dollars in thousands) 2020 2019 2018 Income Dividends from affiliates $ 230,000 $ 165,000 $ 105,000 Debt securities gains (losses), net 574 631 49 Other income 3,622 2,209 2,126 Other income from affiliates 5 5 5 Total income 234,201 167,845 107,180 Expense Interest on borrowings 8,649 10,203 10,425 Other expenses 16,351 15,505 21,936 Total expense 25,000 25,708 32,361 Income before income taxes and equity in undistributed earnings of affiliates 209,201 142,137 74,819 Income tax expense (benefit) (5,317) (6,165) (5,693) Income before equity in undistributed earnings of affiliates 214,518 148,302 80,512 Equity in undistributed earnings of affiliates 11,891 89,904 110,318 Net income $ 226,409 $ 238,206 $ 190,830 |
Condensed Statement of Cash Flows | OLD NATIONAL BANCORP (PARENT COMPANY ONLY) Years Ended December 31, (dollars in thousands) 2020 2019 2018 Cash Flows From Operating Activities Net income $ 226,409 $ 238,206 $ 190,830 Adjustments to reconcile net income to cash Depreciation 46 52 53 Debt securities (gains) losses, net (574) (631) (49) Share-based compensation expense 7,707 7,993 8,118 (Increase) decrease in other assets (51) (3,685) 28,754 Increase (decrease) in other liabilities 1,084 1,046 3,147 Equity in undistributed earnings of affiliates (11,891) (89,904) (110,318) Net cash flows provided by (used in) operating activities 222,730 153,077 120,535 Cash Flows From Investing Activities Net cash and cash equivalents of acquisitions — — 8,281 Proceeds from dissolution of subsidiary — 224 — Proceeds from sales of equity securities 4,431 130 128 Purchases of investment securities (10,073) (3,085) (76) Proceeds from sales of premises and equipment 354 847 1,065 Purchases of premises and equipment (354) (869) (945) Net cash flows provided by (used in) investing activities (5,642) (2,753) 8,453 Cash Flows From Financing Activities Payments for maturities/redemptions of other borrowings (10,310) (8,000) — Cash dividends paid on common stock (92,946) (89,474) (82,161) Common stock repurchased (82,358) (102,413) (1,805) Proceeds from exercise of stock options — 280 948 Common stock issued 577 567 497 Net cash flows provided by (used in) financing activities (185,037) (199,040) (82,521) Net increase (decrease) in cash and cash equivalents 32,051 (48,716) 46,467 Cash and cash equivalents at beginning of period 41,289 90,005 43,538 Cash and cash equivalents at end of period $ 73,340 $ 41,289 $ 90,005 |
Interim Financial Data (Unaud_2
Interim Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2020 | |
Quarterly Financial Information Disclosure [Abstract] | |
Interim Financial Data | The following table details the quarterly results of operations for the years ended December 31, 2020 and 2019. (unaudited, dollars Three Months Ended Three Months Ended except per share data) 12/312020 9/302020 6/302020 3/312020 12/312019 9/302019 6/302019 3/312019 Interest income $ 173,249 $ 160,086 $ 161,974 $ 167,999 $ 176,553 $ 185,853 $ 189,063 $ 178,918 Interest expense 12,170 14,513 16,303 24,228 27,654 32,757 33,833 31,870 Net interest income 161,079 145,573 145,671 143,771 148,899 153,096 155,230 147,048 Provision for loan losses (1) (1,100) — 22,545 16,950 1,264 1,437 1,003 1,043 Noninterest income 58,552 64,759 58,461 57,502 47,726 53,961 51,214 46,416 Noninterest expense (2) 142,318 120,234 120,121 158,744 134,743 122,585 128,118 123,041 Income before income taxes 78,413 90,098 61,466 25,579 60,618 83,035 77,323 69,380 Income tax expense 4,293 12,154 9,761 2,939 11,433 13,254 14,359 13,104 Net income $ 74,120 $ 77,944 $ 51,705 $ 22,640 $ 49,185 $ 69,781 $ 62,964 $ 56,276 Net income per share: Basic $ 0.45 $ 0.47 $ 0.32 $ 0.13 $ 0.29 $ 0.41 $ 0.37 $ 0.32 Diluted 0.44 0.47 0.32 0.13 0.29 0.41 0.36 0.32 Average shares: Basic 164,799 164,773 164,732 167,748 169,235 170,746 172,985 174,734 Diluted 165,631 165,419 165,302 168,404 170,186 171,551 173,675 175,368 (1) Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. (2) Noninterest expense for the three months ended March 31, 2020 included $31.2 million of charges related to The ONB Way strategic initiative. |
Basis of Presentation and Sig_4
Basis of Presentation and Significant Accounting Policies - Additional Information (Detail) $ in Thousands | Jan. 01, 2020USD ($) | Dec. 31, 2020USD ($) | Dec. 31, 2020portfolio | Dec. 31, 2020segment | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2017USD ($) | ||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Loans held for sale, at fair value | $ 63,250 | $ 46,898 | |||||||
Percentage of income tax examination likelihood of tax benefits | 50.00% | ||||||||
Number of distinct loan portfolios | portfolio | 7 | ||||||||
Current expected credit losses, initial loss forecast term | 1 year | ||||||||
Current expected credit losses, reversion period, term | 2 years | ||||||||
Allowance for loan losses | $ 131,388 | [1] | 54,619 | [1] | $ 55,461 | $ 50,381 | |||
Shareholders' equity | (2,972,656) | (2,852,453) | (2,689,570) | (2,154,397) | |||||
Noncredit discount amount accreted into interest income | $ 11,800 | ||||||||
Number of loan portfolios | portfolio | 4 | ||||||||
Number of loan segments | 7 | 7 | |||||||
Retained Earnings | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Shareholders' equity | (783,892) | (682,185) | (527,684) | (413,130) | |||||
Adjustment | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Allowance for loan losses | 41,347 | 41,347 | |||||||
Allowance for credit losses on unfunded loan commitments | 4,549 | ||||||||
Shareholders' equity | 31,150 | (6,322) | 4,179 | ||||||
Adjustment | Retained Earnings | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Shareholders' equity | 31,150 | $ (6,322) | $ 4,127 | ||||||
Adjustment | Retained Earnings | Accounting Standards Update 2016-13 | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Shareholders' equity | 31,200 | ||||||||
Residential Mortgage Loans | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Loans held for sale, at fair value | $ 63,300 | $ 46,900 | |||||||
Acquired Loan Portfolio | Adjustment | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Allowance for loan losses | $ 27,100 | ||||||||
Minimum | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Maturity of short-term securities sold under agreements to repurchase | 1 day | ||||||||
Minimum | Core Deposits and Other Intangible Assets | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Estimated useful lives of core deposits and customer relationships | 5 years | ||||||||
Minimum | Building and Building Improvements | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Useful lives for premises and equipment, years | 15 years | ||||||||
Minimum | Furniture and Equipment | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Useful lives for premises and equipment, years | 3 years | ||||||||
Maximum | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Maturity of short-term securities sold under agreements to repurchase | 4 days | ||||||||
Maximum | Core Deposits and Other Intangible Assets | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Estimated useful lives of core deposits and customer relationships | 15 years | ||||||||
Maximum | Building and Building Improvements | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Useful lives for premises and equipment, years | 39 years | ||||||||
Maximum | Furniture and Equipment | |||||||||
Basis Of Presentation And Significant Accounting Policies [Line Items] | |||||||||
Useful lives for premises and equipment, years | 7 years | ||||||||
[1] | Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. |
Basis of Presentation and Sig_5
Basis of Presentation and Significant Accounting Policies - Summary of Supplemental Cash Flow Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash payments: | |||
Interest | $ 70,043 | $ 127,713 | $ 91,813 |
Income taxes (net of refunds) | 24,436 | 5,494 | (2,505) |
Noncash Investing and Financing Activities: | |||
Securities transferred from held-to-maturity to available-for-sale | 0 | 381,992 | 447,026 |
Securities transferred from available-for-sale to held-to-maturity | 0 | 0 | 323,990 |
Transfer of premises and equipment to assets held for sale | 16,661 | 2,689 | 9,634 |
Operating lease right-of-use assets obtained in exchange for lease obligations | (116) | ||
Operating lease right-of-use assets obtained in exchange for lease obligations | 113,498 | 0 | |
Finance lease right-of-use assets obtained in exchange for lease obligations | $ 5,225 | $ 7,871 | $ 0 |
Basis of Presentation and Sig_6
Basis of Presentation and Significant Accounting Policies - Summary of Common Shares Issued and Resultant Value of Total Shareholders' Equity (Detail) shares in Thousands, $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($)shares | |
Common Shares Issued and Value of Shares Holders' Equity [Line Items] | |
Acquisition, Total Shareholders' Equity | $ 406,474 |
Minnesota-Based Klein Financial, Inc. | |
Common Shares Issued and Value of Shares Holders' Equity [Line Items] | |
Acquisition, Total Shareholders' Equity | $ 406,474 |
Minnesota-Based Klein Financial, Inc. | Common Stock | |
Common Shares Issued and Value of Shares Holders' Equity [Line Items] | |
Acquisition, Shares of Common Stock (in shares) | shares | 22,772 |
Acquisition, Total Shareholders' Equity | $ 22,772 |
Basis of Presentation and Sig_7
Basis of Presentation and Significant Accounting Policies - Schedule of Composition of Loans and Impact of Adoption (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Assets | ||||||||
Total loans | $ 13,786,479 | $ 12,117,524 | ||||||
Allowance | (131,388) | [1] | (54,619) | [1] | $ (55,461) | $ (50,381) | ||
Net loans | 13,655,091 | 12,062,905 | ||||||
Shareholders' equity: | ||||||||
Retained earnings | 783,892 | 682,185 | ||||||
Previously Reported | ||||||||
Assets | ||||||||
Total loans | $ 12,117,524 | 12,117,524 | $ 12,117,524 | |||||
Allowance | (54,619) | (54,619) | (54,619) | (55,461) | ||||
Net loans | 12,062,905 | |||||||
Net deferred tax assets | 29,705 | |||||||
Liabilities | ||||||||
Allowance for credit losses on unfunded loan commitments | 2,656 | |||||||
Shareholders' equity: | ||||||||
Retained earnings | 682,185 | |||||||
Adjustment | ||||||||
Assets | ||||||||
Total loans | 4,478 | |||||||
Allowance | (41,347) | (41,347) | ||||||
Net loans | (36,869) | |||||||
Net deferred tax assets | 10,268 | |||||||
Liabilities | ||||||||
Allowance for credit losses on unfunded loan commitments | 4,549 | |||||||
Shareholders' equity: | ||||||||
Retained earnings | (31,150) | |||||||
Adjusted Balance | ||||||||
Assets | ||||||||
Total loans | 13,786,479 | 12,122,002 | ||||||
Allowance | (131,388) | (95,966) | (95,966) | |||||
Net loans | 13,655,091 | 12,026,036 | ||||||
Net deferred tax assets | 39,973 | |||||||
Liabilities | ||||||||
Allowance for credit losses on unfunded loan commitments | 7,205 | |||||||
Shareholders' equity: | ||||||||
Retained earnings | 651,035 | |||||||
Commercial | ||||||||
Assets | ||||||||
Total loans | 3,956,422 | 2,890,296 | ||||||
Allowance | (30,567) | (21,359) | (21,742) | (19,246) | ||||
Commercial | Previously Reported | ||||||||
Assets | ||||||||
Total loans | 2,815,154 | 2,890,296 | 2,815,154 | |||||
Allowance | (21,359) | (22,585) | (21,359) | (21,742) | ||||
Commercial | Revision of Prior Period, Adjustment | ||||||||
Assets | ||||||||
Total loans | (75,142) | |||||||
Allowance | 1,226 | |||||||
Commercial | Adjustment | ||||||||
Assets | ||||||||
Total loans | (198,722) | 2,679 | ||||||
Allowance | (7,150) | (7,150) | ||||||
Commercial | Adjusted Balance | ||||||||
Assets | ||||||||
Total loans | 3,757,700 | 2,817,833 | ||||||
Allowance | (28,509) | (28,509) | ||||||
Commercial real estate | ||||||||
Assets | ||||||||
Total loans | 5,946,512 | 5,166,792 | ||||||
Allowance | (75,810) | (20,535) | (23,470) | (21,436) | ||||
Commercial real estate | Previously Reported | ||||||||
Assets | ||||||||
Total loans | 4,889,253 | 5,166,792 | 4,889,253 | |||||
Allowance | (20,535) | (21,588) | (20,535) | (23,470) | ||||
Commercial real estate | Revision of Prior Period, Adjustment | ||||||||
Assets | ||||||||
Total loans | (277,539) | |||||||
Allowance | 1,053 | |||||||
Commercial real estate | Adjustment | ||||||||
Assets | ||||||||
Total loans | (171,701) | 1,637 | ||||||
Allowance | (25,548) | (25,548) | ||||||
Commercial real estate | Adjusted Balance | ||||||||
Assets | ||||||||
Total loans | 5,774,811 | 4,890,890 | ||||||
Allowance | (46,083) | (46,083) | ||||||
BBCC | ||||||||
Assets | ||||||||
Allowance | (6,120) | (2,279) | ||||||
BBCC | Previously Reported | ||||||||
Assets | ||||||||
Total loans | 352,681 | 352,681 | ||||||
Allowance | (2,279) | (2,279) | ||||||
BBCC | Revision of Prior Period, Adjustment | ||||||||
Assets | ||||||||
Total loans | 352,681 | |||||||
Allowance | (2,279) | |||||||
BBCC | Adjustment | ||||||||
Assets | ||||||||
Total loans | 370,423 | 33 | ||||||
Allowance | (3,702) | (3,702) | ||||||
BBCC | Adjusted Balance | ||||||||
Assets | ||||||||
Total loans | 370,423 | 352,714 | ||||||
Allowance | (5,981) | (5,981) | ||||||
Residential real estate | ||||||||
Assets | ||||||||
Total loans | 2,248,422 | 2,334,289 | ||||||
Allowance | (12,608) | (2,299) | (2,277) | (1,763) | ||||
Residential real estate | Previously Reported | ||||||||
Assets | ||||||||
Total loans | 2,334,289 | 2,334,289 | 2,334,289 | |||||
Allowance | (2,299) | (2,299) | (2,299) | (2,277) | ||||
Residential real estate | Revision of Prior Period, Adjustment | ||||||||
Assets | ||||||||
Total loans | 0 | |||||||
Allowance | 0 | |||||||
Residential real estate | Adjustment | ||||||||
Assets | ||||||||
Total loans | 0 | 105 | ||||||
Allowance | (6,986) | (6,986) | ||||||
Residential real estate | Adjusted Balance | ||||||||
Assets | ||||||||
Total loans | 2,248,422 | 2,334,394 | ||||||
Allowance | (9,285) | (9,285) | ||||||
Consumer credit, net of unearned income | ||||||||
Assets | ||||||||
Total loans | 1,635,123 | 1,726,147 | ||||||
Allowance | (7,972) | $ (7,936) | ||||||
Consumer credit, net of unearned income | Previously Reported | ||||||||
Assets | ||||||||
Total loans | 1,726,147 | |||||||
Allowance | (8,147) | $ (7,972) | ||||||
Consumer credit, net of unearned income | Revision of Prior Period, Adjustment | ||||||||
Assets | ||||||||
Total loans | (1,726,147) | |||||||
Allowance | 8,147 | |||||||
Consumer credit, net of unearned income | Adjustment | ||||||||
Assets | ||||||||
Total loans | (1,635,123) | |||||||
Indirect | ||||||||
Assets | ||||||||
Total loans | 913,902 | |||||||
Allowance | (3,580) | (5,319) | ||||||
Indirect | Previously Reported | ||||||||
Assets | ||||||||
Total loans | 935,584 | 935,584 | ||||||
Allowance | (5,319) | (5,319) | ||||||
Indirect | Revision of Prior Period, Adjustment | ||||||||
Assets | ||||||||
Total loans | 935,584 | |||||||
Allowance | (5,319) | |||||||
Indirect | Adjustment | ||||||||
Assets | ||||||||
Total loans | 913,902 | 10 | ||||||
Allowance | 1,669 | 1,669 | ||||||
Indirect | Adjusted Balance | ||||||||
Assets | ||||||||
Total loans | 913,902 | 935,594 | ||||||
Allowance | (3,650) | (3,650) | ||||||
Direct | ||||||||
Assets | ||||||||
Total loans | 164,807 | |||||||
Allowance | (855) | (1,863) | ||||||
Direct | Previously Reported | ||||||||
Assets | ||||||||
Total loans | 228,524 | 228,524 | ||||||
Allowance | (1,863) | (1,863) | ||||||
Direct | Revision of Prior Period, Adjustment | ||||||||
Assets | ||||||||
Total loans | 228,524 | |||||||
Allowance | (1,863) | |||||||
Direct | Adjustment | ||||||||
Assets | ||||||||
Total loans | 164,807 | 2 | ||||||
Allowance | 1,059 | 1,059 | ||||||
Direct | Adjusted Balance | ||||||||
Assets | ||||||||
Total loans | 164,807 | 228,526 | ||||||
Allowance | (804) | (804) | ||||||
Home equity | ||||||||
Assets | ||||||||
Total loans | 556,414 | |||||||
Allowance | (1,848) | (965) | ||||||
Home equity | Previously Reported | ||||||||
Assets | ||||||||
Total loans | 562,039 | 562,039 | ||||||
Allowance | (965) | (965) | ||||||
Home equity | Revision of Prior Period, Adjustment | ||||||||
Assets | ||||||||
Total loans | 562,039 | |||||||
Allowance | $ (965) | |||||||
Home equity | Adjustment | ||||||||
Assets | ||||||||
Total loans | 556,414 | 12 | ||||||
Allowance | (689) | (689) | ||||||
Home equity | Adjusted Balance | ||||||||
Assets | ||||||||
Total loans | $ 556,414 | 562,051 | ||||||
Allowance | $ (1,654) | $ (1,654) | ||||||
[1] | Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. |
Investment Securities - Amortiz
Investment Securities - Amortized Cost and Fair Value of Available-for-Sale and Held-to-Maturity Investment Securities Portfolio (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Amortized Cost | $ 5,784,754 | $ 5,313,209 |
Unrealized Gains | 197,714 | 93,542 |
Unrealized Losses | (11,385) | (21,660) |
Basis Adjustments | (968) | 0 |
Fair Value | 5,970,115 | 5,385,091 |
U.S. Treasury | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Amortized Cost | 9,909 | 17,567 |
Unrealized Gains | 299 | 117 |
Unrealized Losses | 0 | (2) |
Basis Adjustments | 0 | 0 |
Fair Value | 10,208 | 17,682 |
U.S. government-sponsored entities and agencies | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Amortized Cost | 841,133 | 596,595 |
Unrealized Gains | 5,744 | 1,027 |
Unrealized Losses | (3,921) | (4,638) |
Basis Adjustments | (968) | 0 |
Fair Value | 841,988 | 592,984 |
Mortgage-backed securities | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Amortized Cost | 3,249,002 | 3,151,550 |
Unrealized Gains | 91,086 | 41,363 |
Unrealized Losses | (990) | (9,052) |
Basis Adjustments | 0 | 0 |
Fair Value | 3,339,098 | 3,183,861 |
States and political subdivisions | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Amortized Cost | 1,405,868 | 1,232,497 |
Unrealized Gains | 86,325 | 44,193 |
Unrealized Losses | (31) | (1,047) |
Basis Adjustments | 0 | 0 |
Fair Value | 1,492,162 | 1,275,643 |
Pooled trust preferred securities | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Amortized Cost | 13,763 | 13,811 |
Unrealized Gains | 0 | 0 |
Unrealized Losses | (5,850) | (5,589) |
Basis Adjustments | 0 | 0 |
Fair Value | 7,913 | 8,222 |
Other securities | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Amortized Cost | 265,079 | 301,189 |
Unrealized Gains | 14,260 | 6,842 |
Unrealized Losses | (593) | (1,332) |
Basis Adjustments | 0 | 0 |
Fair Value | $ 278,746 | $ 306,699 |
Investment Securities - Additio
Investment Securities - Additional Information (Detail) | 3 Months Ended | 12 Months Ended | ||
Dec. 31, 2019USD ($)security | Dec. 31, 2020USD ($)security | Dec. 31, 2019USD ($)security | Dec. 31, 2018USD ($) | |
Summary of Investment Holdings [Line Items] | ||||
Reclassification of securities | $ 382,000,000 | $ 382,000,000 | ||
Increase in capital due to reclassification of held-to-maturity portfolio to available-for-sale portfolio | 19,400,000 | |||
Unrealized holding gains, net of tax | 13,000,000 | |||
Unrealized holding gains (losses) on available-for-sale debt securities | $ 89,204,000 | 93,479,000 | $ 5,792,000 | |
Securities pledged to secure public and other funds, carrying value | 2,104,000,000 | 2,427,000,000 | 2,104,000,000 | |
Accrued interest receivable on available-for-sale debt securities | $ 27,000,000 | |||
OTTI losses on securities | 0 | 0 | ||
Number of securities in security portfolio | security | 1,918 | |||
Number of securities in unrealized loss position | security | 69 | |||
Total investment securities - available-for-sale | 5,385,091,000 | $ 5,970,115,000 | 5,385,091,000 | |
Unrealized losses | 21,660,000 | 11,385,000 | 21,660,000 | |
Equity securities, at fair value | 6,842,000 | 2,547,000 | 6,842,000 | |
Gains on equity securities | 1,400,000 | 700,000 | 100,000 | |
Impairments on equity securities without readily determinable fair value | 117,000 | 0 | 0 | |
Downward adjustments on equity securities without readily determinable fair value | 117,000 | 0 | $ 0 | |
Other assets | ||||
Summary of Investment Holdings [Line Items] | ||||
Equity securities without readily determinable fair value | 91,400,000 | 105,800,000 | 91,400,000 | |
Pooled trust preferred securities | ||||
Summary of Investment Holdings [Line Items] | ||||
OTTI losses on securities | $ 0 | 0 | ||
Number of pooled trust preferred securities | security | 2 | |||
Total investment securities - available-for-sale | 8,222,000 | $ 7,913,000 | 8,222,000 | |
Unrealized losses | $ 5,589,000 | 5,850,000 | $ 5,589,000 | |
Indiana | ||||
Summary of Investment Holdings [Line Items] | ||||
Investment securities issued by states and political subdivisions, market value | $ 515,600,000 | |||
State and political subdivision investment, equity percentage | 17.30% | |||
Percentage of municipal bonds rated A or better | 99.00% | |||
Percentage of non rated local interest bonds | 1.00% | |||
Texas | ||||
Summary of Investment Holdings [Line Items] | ||||
Investment securities issued by states and political subdivisions, market value | $ 194,300,000 | |||
State and political subdivision investment, equity percentage | 6.50% | |||
Municipal Bond | ||||
Summary of Investment Holdings [Line Items] | ||||
Number of securities sold | security | 6 | 6 | ||
Investment securities held-to-maturity sold | $ 9,700,000 | |||
Gain on investment securities held-to-maturity sold | $ 300,000 |
Investment Securities - Schedul
Investment Securities - Schedule of Proceeds from Sales or Calls and Realized Gain and Losses of Available-for-sale Investment Securities and Other Securities (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Investments, Debt and Equity Securities [Abstract] | |||
Proceeds from sales of investment securities available-for-sale | $ 299,885 | $ 424,140 | $ 139,364 |
Proceeds from calls of available-for-sale debt securities | 465,179 | 441,851 | 32,437 |
Total | 765,064 | 865,991 | 171,801 |
Realized gains on sales of available-for-sale debt securities | 11,172 | 4,620 | 3,259 |
Realized gains on calls of available-for-sale debt securities | 121 | 93 | 283 |
Realized losses on sales of available-for-sale debt securities | (500) | (2,760) | (1,469) |
Realized losses on calls of available-for-sale debt securities | (26) | (30) | (63) |
Other securities gains (losses) | 0 | 0 | 50 |
Debt securities gains (losses), net | $ 10,767 | $ 1,923 | $ 2,060 |
Investment Securities - Expecte
Investment Securities - Expected Maturities of Investment Securities Portfolio (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Available-for-sale, Amortized Cost | ||
Within one year | $ 353,414 | |
One to five years | 2,828,719 | |
Five to ten years | 1,029,340 | |
Beyond ten years | 1,573,281 | |
Total | 5,784,754 | $ 5,313,209 |
Available-for-sale, Fair Value | ||
Within one year | 358,852 | |
One to five years | 2,922,695 | |
Five to ten years | 1,049,684 | |
Beyond ten years | 1,638,884 | |
Total | $ 5,970,115 | $ 5,385,091 |
Available-for-sale, Weighted Average Yield | ||
Within one year | 2.61% | |
One to five years | 2.27% | |
Five to ten years | 1.98% | |
Beyond ten years | 2.90% | |
Total | 2.41% |
Investment Securities - Availab
Investment Securities - Available-for-Sale and Held-to-Maturity Investment Securities with Unrealized Losses by Aggregated Major Security Type and Length of Time in Continuous Unrealized Loss Position (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | $ 654,262 | $ 1,295,822 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (4,917) | (11,960) |
Available-for-Sale, 12 months or longer, Fair Value | 36,356 | 314,350 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (6,468) | (9,700) |
Available-for-Sale, Fair Value | 690,618 | 1,610,172 |
Available-for-Sale, Unrealized Losses | (11,385) | (21,660) |
U.S. Treasury | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 999 | |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (2) | |
Available-for-Sale, 12 months or longer, Fair Value | 0 | |
Available-for-Sale, 12 months or longer, Unrealized Losses | 0 | |
Available-for-Sale, Fair Value | 999 | |
Available-for-Sale, Unrealized Losses | 0 | (2) |
U.S. government-sponsored entities and agencies | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 355,528 | 357,647 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (3,921) | (4,638) |
Available-for-Sale, 12 months or longer, Fair Value | 0 | 0 |
Available-for-Sale, 12 months or longer, Unrealized Losses | 0 | 0 |
Available-for-Sale, Fair Value | 355,528 | 357,647 |
Available-for-Sale, Unrealized Losses | (3,921) | (4,638) |
Mortgage-backed securities | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 275,833 | 786,245 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (895) | (6,122) |
Available-for-Sale, 12 months or longer, Fair Value | 3,572 | 212,056 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (95) | (2,930) |
Available-for-Sale, Fair Value | 279,405 | 998,301 |
Available-for-Sale, Unrealized Losses | (990) | (9,052) |
States and political subdivisions | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 3,497 | 120,166 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (31) | (1,016) |
Available-for-Sale, 12 months or longer, Fair Value | 0 | 7,006 |
Available-for-Sale, 12 months or longer, Unrealized Losses | 0 | (31) |
Available-for-Sale, Fair Value | 3,497 | 127,172 |
Available-for-Sale, Unrealized Losses | (31) | (1,047) |
Pooled trust preferred securities | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 0 | 0 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | 0 | 0 |
Available-for-Sale, 12 months or longer, Fair Value | 7,913 | 8,222 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (5,850) | (5,589) |
Available-for-Sale, Fair Value | 7,913 | 8,222 |
Available-for-Sale, Unrealized Losses | (5,850) | (5,589) |
Other securities | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 19,404 | 30,765 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (70) | (182) |
Available-for-Sale, 12 months or longer, Fair Value | 24,871 | 87,066 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (523) | (1,150) |
Available-for-Sale, Fair Value | 44,275 | 117,831 |
Available-for-Sale, Unrealized Losses | $ (593) | $ (1,332) |
Investment Securities - Trust P
Investment Securities - Trust Preferred Securities (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($)security | Dec. 31, 2019USD ($) | |
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Total | $ 5,784,754 | $ 5,313,209 |
Fair Value | 5,970,115 | $ 5,385,091 |
Pooled Trust Preferred Securities | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Total | 13,763 | |
Fair Value | 7,913 | |
Available-for-Sale, Unrealized Gain/ (Loss) | $ (5,850) | |
Pooled Trust Preferred Securities | Pretsl XXVII LTD | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Pooled trust preferred securities, Class | B | |
Lowest Credit Rating | B | |
Total | $ 4,223 | |
Fair Value | 2,331 | |
Available-for-Sale, Unrealized Gain/ (Loss) | $ (1,892) | |
Number of Issuers Currently Performing | security | 32 | |
Number Of Issuers Currently Remaining | security | 41 | |
Actual Deferrals and Defaults as a Percent of Original Collateral | 14.40% | |
Expected Defaults as a % of Remaining Performing Collateral | 10.80% | |
Excess Subordination as a % of Current Performing Collateral | 35.10% | |
Pooled Trust Preferred Securities | Trapeza Ser 13A | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Pooled trust preferred securities, Class | A2A | |
Lowest Credit Rating | BBB | |
Total | $ 9,540 | |
Fair Value | 5,582 | |
Available-for-Sale, Unrealized Gain/ (Loss) | $ (3,958) | |
Number of Issuers Currently Performing | security | 39 | |
Number Of Issuers Currently Remaining | security | 41 | |
Actual Deferrals and Defaults as a Percent of Original Collateral | 4.50% | |
Expected Defaults as a % of Remaining Performing Collateral | 6.40% | |
Excess Subordination as a % of Current Performing Collateral | 52.00% | |
Single Issuer Trust Preferred Securities | JP Morgan Chase & Co | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Lowest Credit Rating | BBB- | |
Total | $ 4,809 | |
Fair Value | 4,463 | |
Available-for-Sale, Unrealized Gain/ (Loss) | (346) | |
Trust Preferred Securities | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Total | 18,572 | |
Fair Value | 12,376 | |
Available-for-Sale, Unrealized Gain/ (Loss) | $ (6,196) |
Loans and Allowance for Credi_3
Loans and Allowance for Credit Losses - Additional Information (Detail) | 12 Months Ended | ||||||
Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) | Dec. 31, 2018USD ($) | Dec. 31, 2020segment | Dec. 31, 2020 | Dec. 31, 2020portfolio | Dec. 31, 2020application | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Number of loan portfolios | portfolio | 4 | ||||||
Number of loan segments | 7 | 7 | |||||
Total loans, net of unearned income | $ 13,786,479,000 | $ 12,117,524,000 | |||||
Accrued interest receivable, loans | $ 57,300,000 | ||||||
Loan placed on nonaccrual when past due, number of days | 90 days | ||||||
Loan participations | $ 1,043,000,000 | ||||||
Loan participations sold | 478,900,000 | ||||||
Loan participations retained | 563,600,000 | ||||||
Financing receivable TDR's included with non-accrual loans | 14,900,000 | 13,800,000 | |||||
Financing receivable troubled debt restructurings specific reserves | 1,600,000 | 900,000 | |||||
Unfunded commitments on TDRs | 0 | 2,300,000 | |||||
Recoveries from credit losses | (38,395,000) | $ (6,966,000) | |||||
Charge-offs | (5,450,000) | (431,000) | |||||
Allowance for loan losses charge-offs | $ 15,553,000 | 12,969,000 | |||||
Number of days for a loan to be considered to be in payment default | 90 days | ||||||
Troubled Debt Restructurings During Period | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Recoveries from credit losses | $ 300,000 | 2,000,000 | |||||
Charge-offs | 0 | 3,900,000 | 0 | ||||
Commercial | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
PPP, number of applications processed and approved (over) | application | 9,700 | ||||||
PPP, amount of funding | 1,500,000,000 | ||||||
Total loans, net of unearned income | 3,956,422,000 | 2,890,296,000 | |||||
Recoveries from credit losses | (4,022,000) | (4,064,000) | |||||
Charge-offs | (633,000) | 169,000 | |||||
Allowance for loan losses charge-offs | 5,593,000 | 3,087,000 | |||||
Commercial | PPP Loans | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans, net of unearned income | 943,000,000 | ||||||
Commercial real estate | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans, net of unearned income | 5,946,512,000 | $ 5,166,792,000 | |||||
Percentage of risk-based capital | 222.00% | ||||||
Regulatory guideline limit | 300.00% | ||||||
Recoveries from credit losses | (29,535,000) | (173,000) | |||||
Charge-offs | (4,801,000) | (561,000) | |||||
Allowance for loan losses charge-offs | $ 4,323,000 | $ 879,000 | |||||
Credit Concentration Risk | Non Residential Real Estate | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Concentration risk percentage | 10.00% | ||||||
Credit Concentration Risk | Residential Real Estate | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Concentration risk percentage | 10.00% |
Loans and Allowance for Credi_4
Loans and Allowance for Credit Losses - Schedule of Composition of Loans and Impact of Adoption (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | $ 13,786,479 | $ 12,117,524 | |||||
Allowance | (131,388) | [1] | (54,619) | [1] | $ (55,461) | $ (50,381) | |
Net loans | 13,655,091 | 12,062,905 | |||||
Adjustment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | $ 4,478 | ||||||
Allowance | (41,347) | (41,347) | |||||
Net loans | (36,869) | ||||||
Adjusted Balance | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 13,786,479 | 12,122,002 | |||||
Allowance | (131,388) | (95,966) | (95,966) | ||||
Net loans | 13,655,091 | 12,026,036 | |||||
Commercial | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 3,956,422 | 2,890,296 | |||||
Allowance | (30,567) | (21,359) | (21,742) | (19,246) | |||
Commercial | Adjustment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | (198,722) | 2,679 | |||||
Allowance | (7,150) | (7,150) | |||||
Commercial | Adjusted Balance | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 3,757,700 | 2,817,833 | |||||
Allowance | (28,509) | (28,509) | |||||
Commercial | PPP Loans | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 943,000 | ||||||
Commercial real estate | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 5,946,512 | 5,166,792 | |||||
Allowance | (75,810) | (20,535) | (23,470) | (21,436) | |||
Commercial real estate | Adjustment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | (171,701) | 1,637 | |||||
Allowance | (25,548) | (25,548) | |||||
Commercial real estate | Adjusted Balance | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 5,774,811 | 4,890,890 | |||||
Allowance | (46,083) | (46,083) | |||||
BBCC | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Allowance | (6,120) | (2,279) | |||||
BBCC | Adjustment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 370,423 | 33 | |||||
Allowance | (3,702) | (3,702) | |||||
BBCC | Adjusted Balance | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 370,423 | 352,714 | |||||
Allowance | (5,981) | (5,981) | |||||
Residential real estate | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 2,248,422 | 2,334,289 | |||||
Allowance | (12,608) | (2,299) | (2,277) | (1,763) | |||
Residential real estate | Adjustment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 0 | 105 | |||||
Allowance | (6,986) | (6,986) | |||||
Residential real estate | Adjusted Balance | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 2,248,422 | 2,334,394 | |||||
Allowance | (9,285) | (9,285) | |||||
Consumer | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 1,635,123 | 1,726,147 | |||||
Allowance | $ (7,972) | $ (7,936) | |||||
Consumer | Adjustment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | (1,635,123) | ||||||
Indirect | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 913,902 | ||||||
Allowance | (3,580) | (5,319) | |||||
Indirect | Adjustment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 913,902 | 10 | |||||
Allowance | 1,669 | 1,669 | |||||
Indirect | Adjusted Balance | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 913,902 | 935,594 | |||||
Allowance | (3,650) | (3,650) | |||||
Direct | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 164,807 | ||||||
Allowance | (855) | (1,863) | |||||
Direct | Adjustment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 164,807 | 2 | |||||
Allowance | 1,059 | 1,059 | |||||
Direct | Adjusted Balance | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 164,807 | 228,526 | |||||
Allowance | (804) | (804) | |||||
Home equity | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 556,414 | ||||||
Allowance | (1,848) | (965) | |||||
Home equity | Adjustment | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 556,414 | 12 | |||||
Allowance | (689) | (689) | |||||
Home equity | Adjusted Balance | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | 556,414 | 562,051 | |||||
Allowance | (1,654) | $ (1,654) | |||||
Direct Finance Leases | |||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||||
Total loans | $ 32,300 | $ 47,200 | |||||
[1] | Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. |
Loans and Allowance for Credi_5
Loans and Allowance for Credit Losses - Schedule of Activity in Related Party Loans (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Loans and Leases Receivable, Related Parties [Roll Forward] | |||
Balance at beginning of period | $ 2,345 | $ 9,310 | $ 9,481 |
New loans | 1,848 | 1,218 | 9,152 |
Repayments | (1,715) | (2,063) | (8,721) |
Officer and director changes | (34) | (6,120) | (602) |
Balance at end of period | $ 2,444 | $ 2,345 | $ 9,310 |
Loans and Allowance for Credi_6
Loans and Allowance for Credit Losses - Schedule of Activity in Allowance for Loan Losses (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | $ 54,619 | [1] | $ 55,461 | $ 50,381 | |
Charge-offs | (15,553) | (12,969) | |||
Recoveries | 12,580 | 11,083 | |||
Provision for Credit Losses | 38,395 | 6,966 | |||
Balance at End of Period | 131,388 | [1] | 54,619 | [1] | 55,461 |
Previously Reported | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 54,619 | 55,461 | |||
Charge-offs | (14,789) | ||||
Recoveries | 9,200 | ||||
Provision for Credit Losses | 4,747 | ||||
Balance at End of Period | 54,619 | 55,461 | |||
Adjustment | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 41,347 | ||||
Balance at End of Period | 41,347 | ||||
Adjusted Balance | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 95,966 | ||||
Balance at End of Period | 131,388 | 95,966 | |||
Commercial | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 21,359 | 21,742 | 19,246 | ||
Charge-offs | (5,593) | (3,087) | |||
Recoveries | 3,629 | 1,519 | |||
Provision for Credit Losses | 4,022 | 4,064 | |||
Balance at End of Period | 30,567 | 21,359 | 21,742 | ||
Commercial | Previously Reported | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 22,585 | 21,742 | |||
Charge-offs | (3,819) | ||||
Recoveries | 1,650 | ||||
Provision for Credit Losses | 3,012 | ||||
Balance at End of Period | 22,585 | 21,742 | |||
Commercial | Adjustment | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 7,150 | ||||
Balance at End of Period | 7,150 | ||||
Commercial | Adjusted Balance | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 28,509 | ||||
Balance at End of Period | 28,509 | ||||
Commercial real estate | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 20,535 | 23,470 | 21,436 | ||
Charge-offs | (4,323) | (879) | |||
Recoveries | 4,515 | 2,740 | |||
Provision for Credit Losses | 29,535 | 173 | |||
Balance at End of Period | 75,810 | 20,535 | 23,470 | ||
Commercial real estate | Previously Reported | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 21,588 | 23,470 | |||
Charge-offs | (2,846) | ||||
Recoveries | 3,774 | ||||
Provision for Credit Losses | (2,810) | ||||
Balance at End of Period | 21,588 | 23,470 | |||
Commercial real estate | Adjustment | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 25,548 | ||||
Balance at End of Period | 25,548 | ||||
Commercial real estate | Adjusted Balance | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 46,083 | ||||
Balance at End of Period | 46,083 | ||||
BBCC | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 2,279 | ||||
Charge-offs | (95) | ||||
Recoveries | 140 | ||||
Provision for Credit Losses | 94 | ||||
Balance at End of Period | 6,120 | 2,279 | |||
BBCC | Adjustment | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 3,702 | ||||
Balance at End of Period | 3,702 | ||||
BBCC | Adjusted Balance | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 5,981 | ||||
Balance at End of Period | 5,981 | ||||
Residential real estate | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 2,299 | 2,277 | 1,763 | ||
Charge-offs | (824) | (1,100) | |||
Recoveries | 633 | 2,118 | |||
Provision for Credit Losses | 3,514 | (504) | |||
Balance at End of Period | 12,608 | 2,299 | 2,277 | ||
Residential real estate | Previously Reported | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 2,299 | 2,277 | |||
Charge-offs | (661) | ||||
Recoveries | 146 | ||||
Provision for Credit Losses | 537 | ||||
Balance at End of Period | 2,299 | 2,277 | |||
Residential real estate | Adjustment | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 6,986 | ||||
Balance at End of Period | 6,986 | ||||
Residential real estate | Adjusted Balance | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 9,285 | ||||
Balance at End of Period | 9,285 | ||||
Consumer | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 7,972 | 7,936 | |||
Charge-offs | (7,903) | ||||
Recoveries | 4,706 | ||||
Provision for Credit Losses | 3,233 | ||||
Balance at End of Period | 7,972 | ||||
Consumer | Previously Reported | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 8,147 | 7,972 | |||
Charge-offs | (7,463) | ||||
Recoveries | 3,630 | ||||
Provision for Credit Losses | 4,008 | ||||
Balance at End of Period | 8,147 | $ 7,972 | |||
Indirect | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 5,319 | ||||
Charge-offs | (2,754) | ||||
Recoveries | 1,922 | ||||
Provision for Credit Losses | 762 | ||||
Balance at End of Period | 3,580 | 5,319 | |||
Indirect | Adjustment | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | (1,669) | ||||
Balance at End of Period | (1,669) | ||||
Indirect | Adjusted Balance | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 3,650 | ||||
Balance at End of Period | 3,650 | ||||
Direct | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 1,863 | ||||
Charge-offs | (1,763) | ||||
Recoveries | 819 | ||||
Provision for Credit Losses | 995 | ||||
Balance at End of Period | 855 | 1,863 | |||
Direct | Adjustment | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | (1,059) | ||||
Balance at End of Period | (1,059) | ||||
Direct | Adjusted Balance | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 804 | ||||
Balance at End of Period | 804 | ||||
Home equity | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 965 | ||||
Charge-offs | (201) | ||||
Recoveries | 922 | ||||
Provision for Credit Losses | (527) | ||||
Balance at End of Period | 1,848 | 965 | |||
Home equity | Adjustment | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | 689 | ||||
Balance at End of Period | 689 | ||||
Home equity | Adjusted Balance | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Balance at Beginning of Period | $ 1,654 | ||||
Balance at End of Period | $ 1,654 | ||||
[1] | Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. |
Loans and Allowance for Credi_7
Loans and Allowance for Credit Losses - Schedule of Allowance for Credit Losses on Unfunded Loan Commitments (Details) - Unfunded Loan Commitment $ in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | |
Balance at beginning of period | $ 2,656 |
Expense (reversal of expense) for credit losses | 4,484 |
Balance at end of period | 11,689 |
Adjustment | |
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | |
Balance at beginning of period | 4,549 |
Adjusted Balance | |
Off-Balance Sheet, Credit Loss, Liability [Roll Forward] | |
Balance at beginning of period | $ 7,205 |
Loans and Allowance for Credi_8
Loans and Allowance for Credit Losses - Schedule of Risk Rating and Payment Performance (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 |
Risk Category Of Loans [Line Items] | |||
Total loans | $ 13,786,479 | $ 12,117,524 | |
Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 13,786,479 | $ 12,122,002 | |
Real Estate | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 101,194 | ||
Auto | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 3,292 | ||
Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 14,607 | ||
Commercial | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 3,956,422 | 2,890,296 | |
Commercial | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 281,337 | ||
2016 | 130,543 | ||
2017 | 256,753 | ||
2018 | 202,025 | ||
2019 | 440,462 | ||
2020 | 1,709,047 | ||
Revolving Loans | 576,278 | ||
Revolving to Term Loans | 161,255 | ||
Total loans | 3,757,700 | 2,817,833 | |
Commercial | Commercial Real Estate - Construction | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 713,092 | ||
Commercial | Commercial Real Estate - Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 4,453,700 | ||
Commercial | Real Estate | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 8,976 | ||
Commercial | Auto | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 394 | ||
Commercial | Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 893 | ||
Commercial real estate | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 5,946,512 | 5,166,792 | |
Commercial real estate | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 571,651 | ||
2016 | 539,960 | ||
2017 | 779,186 | ||
2018 | 794,524 | ||
2019 | 1,099,162 | ||
2020 | 1,556,959 | ||
Revolving Loans | 28,122 | ||
Revolving to Term Loans | 405,247 | ||
Total loans | 5,774,811 | 4,890,890 | |
Commercial real estate | Real Estate | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 60,844 | ||
Commercial real estate | Auto | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 0 | ||
Commercial real estate | Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 13,685 | ||
BBCC | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 5,357 | ||
2016 | 25,622 | ||
2017 | 37,218 | ||
2018 | 51,672 | ||
2019 | 77,287 | ||
2020 | 96,821 | ||
Revolving Loans | 53,667 | ||
Revolving to Term Loans | 22,779 | ||
Total loans | 370,423 | 352,714 | |
BBCC | Real Estate | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 1,425 | ||
BBCC | Auto | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 134 | ||
BBCC | Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 0 | ||
Residential real estate | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 641,774 | ||
2016 | 204,588 | ||
2017 | 191,268 | ||
2018 | 132,787 | ||
2019 | 453,383 | ||
2020 | 624,500 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 122 | ||
Total loans | 2,248,422 | 2,334,289 | |
Residential real estate | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 2,248,422 | 2,334,394 | |
Residential real estate | Performing | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 620,999 | ||
2016 | 202,457 | ||
2017 | 190,376 | ||
2018 | 132,107 | ||
2019 | 453,132 | ||
2020 | 624,435 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 122 | ||
Total loans | 2,223,628 | 2,311,670 | |
Residential real estate | Nonperforming | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 20,775 | ||
2016 | 2,131 | ||
2017 | 892 | ||
2018 | 680 | ||
2019 | 251 | ||
2020 | 65 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 0 | ||
Total loans | 24,794 | 22,619 | |
Residential real estate | Real Estate | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 24,794 | ||
Residential real estate | Auto | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 0 | ||
Residential real estate | Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 0 | ||
Indirect | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 21,280 | ||
2016 | 52,654 | ||
2017 | 97,253 | ||
2018 | 135,670 | ||
2019 | 253,957 | ||
2020 | 353,011 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 77 | ||
Total loans | 913,902 | ||
Indirect | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 913,902 | 935,594 | |
Indirect | Performing | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 21,088 | ||
2016 | 52,225 | ||
2017 | 96,587 | ||
2018 | 134,893 | ||
2019 | 253,514 | ||
2020 | 352,989 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 77 | ||
Total loans | 911,373 | ||
Indirect | Nonperforming | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 192 | ||
2016 | 429 | ||
2017 | 666 | ||
2018 | 777 | ||
2019 | 443 | ||
2020 | 22 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 0 | ||
Total loans | 2,529 | ||
Indirect | Real Estate | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 0 | ||
Indirect | Auto | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 2,529 | ||
Indirect | Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 0 | ||
Direct | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 19,991 | ||
2016 | 8,774 | ||
2017 | 16,246 | ||
2018 | 30,681 | ||
2019 | 29,330 | ||
2020 | 32,521 | ||
Revolving Loans | 26,032 | ||
Revolving to Term Loans | 1,232 | ||
Total loans | 164,807 | ||
Direct | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 164,807 | 228,526 | |
Direct | Performing | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 19,465 | ||
2016 | 8,527 | ||
2017 | 16,182 | ||
2018 | 30,510 | ||
2019 | 29,189 | ||
2020 | 32,499 | ||
Revolving Loans | 26,028 | ||
Revolving to Term Loans | 1,229 | ||
Total loans | 163,629 | ||
Direct | Nonperforming | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 526 | ||
2016 | 247 | ||
2017 | 64 | ||
2018 | 171 | ||
2019 | 141 | ||
2020 | 22 | ||
Revolving Loans | 4 | ||
Revolving to Term Loans | 3 | ||
Total loans | 1,178 | ||
Direct | Real Estate | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 901 | ||
Direct | Auto | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 235 | ||
Direct | Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 29 | ||
Home equity | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 116 | ||
2016 | 249 | ||
2017 | 891 | ||
2018 | 444 | ||
2019 | 1,034 | ||
2020 | 1 | ||
Revolving Loans | 529,369 | ||
Revolving to Term Loans | 24,310 | ||
Total loans | 556,414 | ||
Home equity | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 556,414 | $ 562,051 | |
Home equity | Performing | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 0 | ||
2016 | 238 | ||
2017 | 891 | ||
2018 | 444 | ||
2019 | 997 | ||
2020 | 1 | ||
Revolving Loans | 529,275 | ||
Revolving to Term Loans | 20,314 | ||
Total loans | 552,160 | ||
Home equity | Nonperforming | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 116 | ||
2016 | 11 | ||
2017 | 0 | ||
2018 | 0 | ||
2019 | 37 | ||
2020 | 0 | ||
Revolving Loans | 94 | ||
Revolving to Term Loans | 3,996 | ||
Total loans | 4,254 | ||
Home equity | Real Estate | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 4,254 | ||
Home equity | Auto | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 0 | ||
Home equity | Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 0 | ||
Consumer | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 1,635,123 | 1,726,147 | |
Consumer | Home Equity Line of Credit | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 559,021 | ||
Consumer | Home Equity Line of Credit | Performing | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 555,025 | ||
Consumer | Home Equity Line of Credit | Nonperforming | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 3,996 | ||
Consumer | Auto | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 1,017,287 | ||
Consumer | Auto | Performing | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 1,013,760 | ||
Consumer | Auto | Nonperforming | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 3,527 | ||
Consumer | Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 149,839 | ||
Consumer | Other | Performing | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 147,383 | ||
Consumer | Other | Nonperforming | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 2,456 | ||
Pass | Commercial | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 2,702,605 | ||
Pass | Commercial | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 262,538 | ||
2016 | 124,041 | ||
2017 | 227,710 | ||
2018 | 171,228 | ||
2019 | 420,736 | ||
2020 | 1,675,964 | ||
Revolving Loans | 549,849 | ||
Revolving to Term Loans | 148,508 | ||
Total loans | 3,580,574 | ||
Pass | Commercial | Commercial Real Estate - Construction | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 665,512 | ||
Pass | Commercial | Commercial Real Estate - Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 4,191,455 | ||
Pass | Commercial real estate | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 513,658 | ||
2016 | 496,086 | ||
2017 | 677,119 | ||
2018 | 749,102 | ||
2019 | 1,041,305 | ||
2020 | 1,537,226 | ||
Revolving Loans | 28,122 | ||
Revolving to Term Loans | 382,219 | ||
Total loans | 5,424,837 | ||
Pass | BBCC | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 5,327 | ||
2016 | 24,946 | ||
2017 | 36,288 | ||
2018 | 49,875 | ||
2019 | 73,913 | ||
2020 | 94,828 | ||
Revolving Loans | 52,393 | ||
Revolving to Term Loans | 19,353 | ||
Total loans | 356,923 | ||
Criticized | Commercial | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 84,676 | ||
Criticized | Commercial | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 5,369 | ||
2016 | 3,383 | ||
2017 | 9,508 | ||
2018 | 15,003 | ||
2019 | 9,603 | ||
2020 | 23,982 | ||
Revolving Loans | 10,307 | ||
Revolving to Term Loans | 2,685 | ||
Total loans | 79,840 | ||
Criticized | Commercial | Commercial Real Estate - Construction | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 34,651 | ||
Criticized | Commercial | Commercial Real Estate - Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 115,514 | ||
Criticized | Commercial real estate | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 33,490 | ||
2016 | 17,648 | ||
2017 | 46,994 | ||
2018 | 26,464 | ||
2019 | 49,271 | ||
2020 | 6,874 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 19,804 | ||
Total loans | 200,545 | ||
Criticized | BBCC | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 0 | ||
2016 | 643 | ||
2017 | 414 | ||
2018 | 621 | ||
2019 | 1,403 | ||
2020 | 1,599 | ||
Revolving Loans | 868 | ||
Revolving to Term Loans | 1,259 | ||
Total loans | 6,807 | ||
Classified - Substandard | Commercial | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 63,979 | ||
Classified - Substandard | Commercial | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 8,441 | ||
2016 | 2,774 | ||
2017 | 9,836 | ||
2018 | 10,077 | ||
2019 | 6,369 | ||
2020 | 6,501 | ||
Revolving Loans | 15,344 | ||
Revolving to Term Loans | 3,049 | ||
Total loans | 62,391 | ||
Classified - Substandard | Commercial | Commercial Real Estate - Construction | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 0 | ||
Classified - Substandard | Commercial | Commercial Real Estate - Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 101,693 | ||
Classified - Substandard | Commercial real estate | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 8,665 | ||
2016 | 5,308 | ||
2017 | 26,691 | ||
2018 | 13,565 | ||
2019 | 4,700 | ||
2020 | 11,451 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 2,911 | ||
Total loans | 73,291 | ||
Classified - Substandard | BBCC | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 0 | ||
2016 | 33 | ||
2017 | 246 | ||
2018 | 195 | ||
2019 | 1,417 | ||
2020 | 233 | ||
Revolving Loans | 317 | ||
Revolving to Term Loans | 701 | ||
Total loans | 3,142 | ||
Classified - Nonaccrual | Commercial | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 22,240 | ||
Classified - Nonaccrual | Commercial | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 4,379 | ||
2016 | 49 | ||
2017 | 6,951 | ||
2018 | 4,701 | ||
2019 | 3,754 | ||
2020 | 2,600 | ||
Revolving Loans | 778 | ||
Revolving to Term Loans | 7,013 | ||
Total loans | 30,225 | ||
Classified - Nonaccrual | Commercial | Commercial Real Estate - Construction | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 12,929 | ||
Classified - Nonaccrual | Commercial | Commercial Real Estate - Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 38,822 | ||
Classified - Nonaccrual | Commercial real estate | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 12,564 | ||
2016 | 1,635 | ||
2017 | 9,456 | ||
2018 | 5,393 | ||
2019 | 2,054 | ||
2020 | 1,408 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 313 | ||
Total loans | 32,823 | ||
Classified - Nonaccrual | BBCC | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 0 | ||
2016 | 0 | ||
2017 | 200 | ||
2018 | 134 | ||
2019 | 551 | ||
2020 | 161 | ||
Revolving Loans | 89 | ||
Revolving to Term Loans | 1,466 | ||
Total loans | 2,601 | ||
Classified - Doubtful | Commercial | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 16,796 | ||
Classified - Doubtful | Commercial | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 610 | ||
2016 | 296 | ||
2017 | 2,748 | ||
2018 | 1,016 | ||
2019 | 0 | ||
2020 | 0 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 0 | ||
Total loans | 4,670 | ||
Classified - Doubtful | Commercial | Commercial Real Estate - Construction | |||
Risk Category Of Loans [Line Items] | |||
Total loans | 0 | ||
Classified - Doubtful | Commercial | Commercial Real Estate - Other | |||
Risk Category Of Loans [Line Items] | |||
Total loans | $ 6,216 | ||
Classified - Doubtful | Commercial real estate | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 3,274 | ||
2016 | 19,283 | ||
2017 | 18,926 | ||
2018 | 0 | ||
2019 | 1,832 | ||
2020 | 0 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 0 | ||
Total loans | 43,315 | ||
Classified - Doubtful | BBCC | Adjusted Balance | |||
Risk Category Of Loans [Line Items] | |||
Prior to 2016 | 30 | ||
2016 | 0 | ||
2017 | 70 | ||
2018 | 847 | ||
2019 | 3 | ||
2020 | 0 | ||
Revolving Loans | 0 | ||
Revolving to Term Loans | 0 | ||
Total loans | $ 950 |
Loans and Allowance for Credi_9
Loans and Allowance for Credit Losses - Schedule of Past Due Loans (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Sep. 30, 2020 | Jan. 01, 2020 | Dec. 31, 2019 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | $ 157,240 | |||
Current | 11,960,284 | |||
Total loans | $ 13,786,479 | 12,117,524 | ||
Nonaccrual | 147,339 | $ 137,611 | $ 132,431 | 126,412 |
Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 69,967 | |||
Current | 13,716,512 | |||
Total loans | 13,786,479 | 12,122,002 | ||
Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 3,292 | |||
Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 14,607 | |||
Commercial | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 41,023 | |||
Current | 2,849,273 | |||
Total loans | 3,956,422 | 2,890,296 | ||
Nonaccrual | 34,895 | 34,188 | 40,103 | 39,036 |
Commercial | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 5,741 | |||
Current | 3,751,959 | |||
Total loans | 3,757,700 | 2,817,833 | ||
Commercial | Commercial Real Estate - Construction | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 713,092 | |||
Commercial | Commercial Real Estate - Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 4,453,700 | |||
Commercial | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 394 | |||
Commercial | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 893 | |||
Commercial real estate | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 5,946,512 | 5,166,792 | ||
Nonaccrual | 76,138 | 67,859 | 58,350 | |
Commercial real estate | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 28,287 | |||
Current | 5,746,524 | |||
Total loans | 5,774,811 | 4,890,890 | ||
Commercial real estate | Commercial Real Estate - Construction | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 13,116 | |||
Current | 699,976 | |||
Nonaccrual | 12,929 | |||
Commercial real estate | Commercial Real Estate - Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 48,107 | |||
Current | 4,405,593 | |||
Nonaccrual | 45,038 | |||
Commercial real estate | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 0 | |||
Commercial real estate | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 13,685 | |||
BBCC | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Nonaccrual | 3,551 | 3,601 | 4,530 | |
BBCC | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 1,837 | |||
Current | 368,586 | |||
Total loans | 370,423 | 352,714 | ||
BBCC | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 134 | |||
BBCC | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 0 | |||
Residential real estate | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 34,523 | |||
Current | 2,299,766 | |||
Total loans | 2,248,422 | 2,334,289 | ||
Nonaccrual | 24,794 | 23,914 | 20,970 | 21,023 |
Residential real estate | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 22,601 | |||
Current | 2,225,821 | |||
Total loans | 2,248,422 | 2,334,394 | ||
Residential real estate | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 0 | |||
Residential real estate | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 0 | |||
Indirect | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 913,902 | |||
Nonaccrual | 2,529 | 2,619 | 3,318 | |
Indirect | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 6,674 | |||
Current | 907,228 | |||
Total loans | 913,902 | 935,594 | ||
Indirect | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 2,529 | |||
Indirect | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 0 | |||
Direct | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 164,807 | |||
Nonaccrual | 1,178 | 1,264 | 1,303 | |
Direct | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 1,712 | |||
Current | 163,095 | |||
Total loans | 164,807 | 228,526 | ||
Direct | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 235 | |||
Direct | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 29 | |||
Home equity | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 556,414 | |||
Nonaccrual | 4,254 | $ 4,166 | 3,857 | |
Home equity | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 3,115 | |||
Current | 553,299 | |||
Total loans | 556,414 | $ 562,051 | ||
Home equity | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 0 | |||
Home equity | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 0 | |||
Consumer | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Total loans | 1,635,123 | 1,726,147 | ||
Consumer | Home Equity Line of Credit | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 5,466 | |||
Current | 553,555 | |||
Total loans | 559,021 | |||
Nonaccrual | 3,785 | |||
Consumer | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 12,304 | |||
Current | 1,004,983 | |||
Total loans | 1,017,287 | |||
Nonaccrual | 3,527 | |||
Consumer | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 2,701 | |||
Current | 147,138 | |||
Total loans | 149,839 | |||
Nonaccrual | 1,074 | |||
30-59 Days Past Due | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 25,049 | |||
30-59 Days Past Due | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 23,447 | |||
30-59 Days Past Due | Commercial | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 1,489 | |||
30-59 Days Past Due | Commercial | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 2,977 | |||
30-59 Days Past Due | Commercial real estate | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 887 | |||
30-59 Days Past Due | Commercial real estate | Commercial Real Estate - Construction | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 187 | |||
30-59 Days Past Due | Commercial real estate | Commercial Real Estate - Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 2,223 | |||
30-59 Days Past Due | BBCC | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 894 | |||
30-59 Days Past Due | Residential real estate | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 11,054 | |||
30-59 Days Past Due | Residential real estate | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 11,639 | |||
30-59 Days Past Due | Indirect | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 5,222 | |||
30-59 Days Past Due | Direct | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 753 | |||
30-59 Days Past Due | Home equity | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 1,075 | |||
30-59 Days Past Due | Consumer | Home Equity Line of Credit | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 1,020 | |||
30-59 Days Past Due | Consumer | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 7,704 | |||
30-59 Days Past Due | Consumer | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 1,372 | |||
60-89 Days Past Due | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 5,209 | |||
60-89 Days Past Due | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 6,840 | |||
60-89 Days Past Due | Commercial | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 498 | |||
60-89 Days Past Due | Commercial | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 664 | |||
60-89 Days Past Due | Commercial real estate | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 128 | |||
60-89 Days Past Due | Commercial real estate | Commercial Real Estate - Construction | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 0 | |||
60-89 Days Past Due | Commercial real estate | Commercial Real Estate - Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 665 | |||
60-89 Days Past Due | BBCC | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 882 | |||
60-89 Days Past Due | Residential real estate | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 2,426 | |||
60-89 Days Past Due | Residential real estate | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 3,296 | |||
60-89 Days Past Due | Indirect | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 960 | |||
60-89 Days Past Due | Direct | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 533 | |||
60-89 Days Past Due | Home equity | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 377 | |||
60-89 Days Past Due | Consumer | Home Equity Line of Credit | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 554 | |||
60-89 Days Past Due | Consumer | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 919 | |||
60-89 Days Past Due | Consumer | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 147 | |||
Past Due 90 Days or More | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 570 | |||
Past Due 90 Days or More | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 39,680 | |||
Past Due 90 Days or More | Commercial | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 0 | |||
Past Due 90 Days or More | Commercial | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 2,100 | |||
Past Due 90 Days or More | Commercial real estate | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 27,272 | |||
Past Due 90 Days or More | Commercial real estate | Commercial Real Estate - Construction | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 0 | |||
Past Due 90 Days or More | Commercial real estate | Commercial Real Estate - Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 181 | |||
Past Due 90 Days or More | BBCC | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 61 | |||
Past Due 90 Days or More | Residential real estate | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 20 | |||
Past Due 90 Days or More | Residential real estate | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 7,666 | |||
Past Due 90 Days or More | Indirect | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 492 | |||
Past Due 90 Days or More | Direct | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 426 | |||
Past Due 90 Days or More | Home equity | Adjusted Balance | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | $ 1,663 | |||
Past Due 90 Days or More | Consumer | Home Equity Line of Credit | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 107 | |||
Past Due 90 Days or More | Consumer | Auto | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | 154 | |||
Past Due 90 Days or More | Consumer | Other | ||||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||||
Past due | $ 108 |
Loans and Allowance for Cred_10
Loans and Allowance for Credit Losses - Schedule of Nonaccrual Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Sep. 30, 2020 | Jan. 01, 2020 | Dec. 31, 2019 |
Financing Receivable, Nonaccrual [Line Items] | ||||
Nonaccrual Amortized Cost | $ 147,339 | $ 137,611 | $ 132,431 | $ 126,412 |
Nonaccrual With No Related Allowance | 25,618 | |||
Past Due 90 Days or More and Accruing | 167 | |||
Commercial | ||||
Financing Receivable, Nonaccrual [Line Items] | ||||
Nonaccrual Amortized Cost | 34,895 | 34,188 | 40,103 | 39,036 |
Nonaccrual With No Related Allowance | 3,394 | |||
Past Due 90 Days or More and Accruing | 122 | |||
Commercial real estate | ||||
Financing Receivable, Nonaccrual [Line Items] | ||||
Nonaccrual Amortized Cost | 76,138 | 67,859 | 58,350 | |
Nonaccrual With No Related Allowance | 22,152 | |||
Past Due 90 Days or More and Accruing | 20 | |||
BBCC | ||||
Financing Receivable, Nonaccrual [Line Items] | ||||
Nonaccrual Amortized Cost | 3,551 | 3,601 | 4,530 | |
Nonaccrual With No Related Allowance | 0 | |||
Past Due 90 Days or More and Accruing | 0 | |||
Residential real estate | ||||
Financing Receivable, Nonaccrual [Line Items] | ||||
Nonaccrual Amortized Cost | 24,794 | 23,914 | 20,970 | $ 21,023 |
Nonaccrual With No Related Allowance | 0 | |||
Past Due 90 Days or More and Accruing | 0 | |||
Indirect | ||||
Financing Receivable, Nonaccrual [Line Items] | ||||
Nonaccrual Amortized Cost | 2,529 | 2,619 | 3,318 | |
Nonaccrual With No Related Allowance | 0 | |||
Past Due 90 Days or More and Accruing | 12 | |||
Direct | ||||
Financing Receivable, Nonaccrual [Line Items] | ||||
Nonaccrual Amortized Cost | 1,178 | 1,264 | 1,303 | |
Nonaccrual With No Related Allowance | 27 | |||
Past Due 90 Days or More and Accruing | 13 | |||
Home equity | ||||
Financing Receivable, Nonaccrual [Line Items] | ||||
Nonaccrual Amortized Cost | 4,254 | $ 4,166 | $ 3,857 | |
Nonaccrual With No Related Allowance | 45 | |||
Past Due 90 Days or More and Accruing | $ 0 |
Loans and Allowance for Cred_11
Loans and Allowance for Credit Losses - Schedule of Types of Collateral (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | $ 13,786,479 | $ 12,117,524 |
Real Estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 101,194 | |
Blanket Lien | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 21,654 | |
Investment Securities/Cash | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 6,581 | |
Auto | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 3,292 | |
Other | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 14,607 | |
Commercial | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 3,956,422 | 2,890,296 |
Commercial | Real Estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 8,976 | |
Commercial | Blanket Lien | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 19,253 | |
Commercial | Investment Securities/Cash | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 5,379 | |
Commercial | Auto | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 394 | |
Commercial | Other | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 893 | |
Commercial real estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 5,946,512 | 5,166,792 |
Commercial real estate | Real Estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 60,844 | |
Commercial real estate | Blanket Lien | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 472 | |
Commercial real estate | Investment Securities/Cash | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 1,137 | |
Commercial real estate | Auto | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Commercial real estate | Other | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 13,685 | |
BBCC | Real Estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 1,425 | |
BBCC | Blanket Lien | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 1,929 | |
BBCC | Investment Securities/Cash | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 63 | |
BBCC | Auto | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 134 | |
BBCC | Other | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Residential real estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 2,248,422 | $ 2,334,289 |
Residential real estate | Real Estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 24,794 | |
Residential real estate | Blanket Lien | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Residential real estate | Investment Securities/Cash | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Residential real estate | Auto | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Residential real estate | Other | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Indirect | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 913,902 | |
Indirect | Real Estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Indirect | Blanket Lien | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Indirect | Investment Securities/Cash | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Indirect | Auto | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 2,529 | |
Indirect | Other | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Direct | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 164,807 | |
Direct | Real Estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 901 | |
Direct | Blanket Lien | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Direct | Investment Securities/Cash | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 2 | |
Direct | Auto | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 235 | |
Direct | Other | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 29 | |
Home equity | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 556,414 | |
Home equity | Real Estate | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 4,254 | |
Home equity | Blanket Lien | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Home equity | Investment Securities/Cash | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Home equity | Auto | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | 0 | |
Home equity | Other | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | $ 0 |
Loans and Allowance for Cred_12
Loans and Allowance for Credit Losses - Schedule of Activity in Troubled Debt Restructurings (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | $ 31,738 | $ 43,710 | $ 54,003 |
(Charge-offs)/ Recoveries | 5,450 | 431 | |
(Payments)/ Disbursements | (14,167) | (16,415) | |
Additions | 9,632 | 5,691 | |
Balance at end of period | 32,653 | 31,738 | 43,710 |
Previously Reported | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 31,738 | 43,710 | |
(Charge-offs)/ Recoveries | (4,010) | ||
(Payments)/ Disbursements | (29,093) | ||
Additions | 21,131 | ||
Balance at end of period | 31,738 | 43,710 | |
Commercial | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 12,412 | 10,275 | 12,088 |
(Charge-offs)/ Recoveries | 633 | (169) | |
(Payments)/ Disbursements | (4,557) | (5,188) | |
Additions | 2,602 | 3,544 | |
Balance at end of period | 11,090 | 12,412 | 10,275 |
Commercial | Previously Reported | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 14,862 | 10,275 | |
(Charge-offs)/ Recoveries | (1,911) | ||
(Payments)/ Disbursements | (3,733) | ||
Additions | 10,231 | ||
Balance at end of period | 14,862 | 10,275 | |
Commercial real estate | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 14,277 | 27,671 | 34,705 |
(Charge-offs)/ Recoveries | 4,801 | 561 | |
(Payments)/ Disbursements | (8,502) | (8,808) | |
Additions | 7,030 | 1,213 | |
Balance at end of period | 17,606 | 14,277 | 27,671 |
Commercial real estate | Previously Reported | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 12,404 | 27,671 | |
(Charge-offs)/ Recoveries | (2,112) | ||
(Payments)/ Disbursements | (23,182) | ||
Additions | 10,027 | ||
Balance at end of period | 12,404 | 27,671 | |
BBCC | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 578 | ||
(Charge-offs)/ Recoveries | (19) | ||
(Payments)/ Disbursements | (447) | ||
Additions | 0 | ||
Balance at end of period | 112 | 578 | |
Residential real estate | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 3,107 | 3,390 | 3,315 |
(Charge-offs)/ Recoveries | 0 | 23 | |
(Payments)/ Disbursements | (283) | (450) | |
Additions | 0 | 502 | |
Balance at end of period | 2,824 | 3,107 | 3,390 |
Residential real estate | Previously Reported | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 2,976 | 3,390 | |
(Charge-offs)/ Recoveries | 0 | ||
(Payments)/ Disbursements | (971) | ||
Additions | 557 | ||
Balance at end of period | 2,976 | 3,390 | |
Indirect | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 0 | ||
(Charge-offs)/ Recoveries | 9 | ||
(Payments)/ Disbursements | (9) | ||
Additions | 0 | ||
Balance at end of period | 0 | 0 | |
Direct | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 983 | ||
(Charge-offs)/ Recoveries | 23 | ||
(Payments)/ Disbursements | (267) | ||
Additions | 0 | ||
Balance at end of period | 739 | 983 | |
Home equity | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 381 | ||
(Charge-offs)/ Recoveries | 3 | ||
(Payments)/ Disbursements | (102) | ||
Additions | 0 | ||
Balance at end of period | 282 | 381 | |
Consumer | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | 2,374 | 3,895 | |
(Charge-offs)/ Recoveries | 16 | ||
(Payments)/ Disbursements | (1,969) | ||
Additions | 432 | ||
Balance at end of period | 2,374 | ||
Consumer | Previously Reported | |||
Financing Receivable, Troubled Debt Restructuring [Roll Forward] | |||
Balance at beginning of period | $ 1,496 | 2,374 | |
(Charge-offs)/ Recoveries | 13 | ||
(Payments)/ Disbursements | (1,207) | ||
Additions | 316 | ||
Balance at end of period | $ 1,496 | $ 2,374 |
Loans and Allowance for Cred_13
Loans and Allowance for Credit Losses - Schedule of Loans by Class Modified as Troubled Debt Restructuring (Detail) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020USD ($)loan | Dec. 31, 2019USD ($)loan | Dec. 31, 2018USD ($)loan | |
Receivables [Abstract] | |||
Number of loans | loan | 4 | 14 | 10 |
Pre-modification outstanding recorded investment | $ 9,632 | $ 21,131 | $ 5,691 |
Post-modification outstanding recorded investment | $ 9,632 | $ 21,131 | $ 5,691 |
Loans and Allowance for Cred_14
Loans and Allowance for Credit Losses - Non-TDR Loan Modifications due to COVID-19 (Details) - CARES Act Modification $ in Thousands | 3 Months Ended |
Dec. 31, 2020USD ($)numberOfLoanPortfolios | |
Financing Receivable, Non-Troubled Debt Restructuring Modifications, Amount [Roll Forward] | |
June 30, 2020 Deferrals Balance | $ 137,572 |
Booked Amount End of Period Balance | $ 63,902 |
December 31, 2020 Number of Deferrals | numberOfLoanPortfolios | 455 |
Commercial and commercial real estate | |
Financing Receivable, Non-Troubled Debt Restructuring Modifications, Amount [Roll Forward] | |
June 30, 2020 Deferrals Balance | $ 125,603 |
Booked Amount End of Period Balance | $ 53,823 |
December 31, 2020 Number of Deferrals | numberOfLoanPortfolios | 101 |
Second deferrals between 90 and 180 days, amount | $ 6,300 |
Residential real estate | |
Financing Receivable, Non-Troubled Debt Restructuring Modifications, Amount [Roll Forward] | |
June 30, 2020 Deferrals Balance | 1,654 |
Booked Amount End of Period Balance | $ 1,855 |
December 31, 2020 Number of Deferrals | numberOfLoanPortfolios | 6 |
Consumer | |
Financing Receivable, Non-Troubled Debt Restructuring Modifications, Amount [Roll Forward] | |
June 30, 2020 Deferrals Balance | $ 10,315 |
Booked Amount End of Period Balance | $ 8,224 |
December 31, 2020 Number of Deferrals | numberOfLoanPortfolios | 348 |
Second deferrals between 90 and 180 days, amount | $ 600 |
Loans and Allowance for Cred_15
Loans and Allowance for Credit Losses - Schedule of Allowance for Credit Losses and Amortized Cost Basis (Details) - USD ($) $ in Thousands | Dec. 31, 2020 | Jan. 01, 2020 | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Allowance for loan losses: | ||||||||
Total allowance for loan losses | $ 131,388 | [1] | $ 54,619 | [1] | $ 55,461 | $ 50,381 | ||
Loans and leases outstanding: | ||||||||
Individually evaluated for impairment | 104,767 | |||||||
Collectively evaluated for impairment | 11,978,895 | |||||||
Certain Loans Acquired in Transfer Accounted for as Debt Securities, Outstanding Balance | 33,862 | |||||||
Total loans | 13,786,479 | 12,117,524 | ||||||
Previously Reported | ||||||||
Allowance for loan losses: | ||||||||
Individually evaluated for impairment | 8,897 | |||||||
Collectively evaluated for impairment | 45,527 | |||||||
Allowance for loan losses, Loans acquired with deteriorated credit quality | 195 | |||||||
Total allowance for loan losses | $ 54,619 | 54,619 | $ 54,619 | 55,461 | ||||
Loans and leases outstanding: | ||||||||
Total loans | 12,117,524 | 12,117,524 | 12,117,524 | |||||
Commercial | ||||||||
Allowance for loan losses: | ||||||||
Total allowance for loan losses | 30,567 | 21,359 | 21,742 | 19,246 | ||||
Loans and leases outstanding: | ||||||||
Individually evaluated for impairment | 41,479 | |||||||
Collectively evaluated for impairment | 2,843,536 | |||||||
Certain Loans Acquired in Transfer Accounted for as Debt Securities, Outstanding Balance | 5,281 | |||||||
Total loans | 3,956,422 | 2,890,296 | ||||||
Commercial | Previously Reported | ||||||||
Allowance for loan losses: | ||||||||
Individually evaluated for impairment | 7,891 | |||||||
Collectively evaluated for impairment | 14,692 | |||||||
Allowance for loan losses, Loans acquired with deteriorated credit quality | 2 | |||||||
Total allowance for loan losses | 21,359 | 22,585 | 21,359 | 21,742 | ||||
Loans and leases outstanding: | ||||||||
Total loans | 2,815,154 | 2,890,296 | 2,815,154 | |||||
Commercial real estate | ||||||||
Allowance for loan losses: | ||||||||
Total allowance for loan losses | 75,810 | 20,535 | 23,470 | 21,436 | ||||
Loans and leases outstanding: | ||||||||
Individually evaluated for impairment | 63,288 | |||||||
Collectively evaluated for impairment | 5,084,737 | |||||||
Certain Loans Acquired in Transfer Accounted for as Debt Securities, Outstanding Balance | 18,767 | |||||||
Total loans | 5,946,512 | 5,166,792 | ||||||
Commercial real estate | Previously Reported | ||||||||
Allowance for loan losses: | ||||||||
Individually evaluated for impairment | 1,006 | |||||||
Collectively evaluated for impairment | 20,582 | |||||||
Allowance for loan losses, Loans acquired with deteriorated credit quality | 0 | |||||||
Total allowance for loan losses | 20,535 | 21,588 | 20,535 | 23,470 | ||||
Loans and leases outstanding: | ||||||||
Total loans | 4,889,253 | 5,166,792 | 4,889,253 | |||||
Residential real estate | ||||||||
Allowance for loan losses: | ||||||||
Total allowance for loan losses | 12,608 | 2,299 | 2,277 | 1,763 | ||||
Loans and leases outstanding: | ||||||||
Individually evaluated for impairment | 0 | |||||||
Collectively evaluated for impairment | 2,326,907 | |||||||
Certain Loans Acquired in Transfer Accounted for as Debt Securities, Outstanding Balance | 7,382 | |||||||
Total loans | 2,248,422 | 2,334,289 | ||||||
Residential real estate | Previously Reported | ||||||||
Allowance for loan losses: | ||||||||
Individually evaluated for impairment | 0 | |||||||
Collectively evaluated for impairment | 2,299 | |||||||
Allowance for loan losses, Loans acquired with deteriorated credit quality | 0 | |||||||
Total allowance for loan losses | 2,299 | 2,299 | 2,299 | 2,277 | ||||
Loans and leases outstanding: | ||||||||
Total loans | $ 2,334,289 | 2,334,289 | $ 2,334,289 | |||||
Consumer | ||||||||
Allowance for loan losses: | ||||||||
Total allowance for loan losses | 7,972 | $ 7,936 | ||||||
Loans and leases outstanding: | ||||||||
Individually evaluated for impairment | 0 | |||||||
Collectively evaluated for impairment | 1,723,715 | |||||||
Certain Loans Acquired in Transfer Accounted for as Debt Securities, Outstanding Balance | 2,432 | |||||||
Total loans | $ 1,635,123 | 1,726,147 | ||||||
Consumer | Previously Reported | ||||||||
Allowance for loan losses: | ||||||||
Individually evaluated for impairment | 0 | |||||||
Collectively evaluated for impairment | 7,954 | |||||||
Allowance for loan losses, Loans acquired with deteriorated credit quality | 193 | |||||||
Total allowance for loan losses | 8,147 | $ 7,972 | ||||||
Loans and leases outstanding: | ||||||||
Total loans | $ 1,726,147 | |||||||
[1] | Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. |
Loans and Allowance for Cred_16
Loans and Allowance for Credit Losses - Schedule of Impaired Loans (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Recorded Investment | ||
Total | $ 109,239 | |
Unpaid Principal Balance | ||
Total | 110,353 | |
Related Allowance | 8,991 | |
Average Recorded Investment | ||
Total | 116,818 | $ 111,359 |
Commercial | ||
Recorded Investment | ||
With no related allowance recorded | 23,227 | |
With related allowance recorded | 18,252 | |
Unpaid Principal Balance | ||
With no related allowance recorded | 23,665 | |
With related allowance recorded | 18,305 | |
Related Allowance | 7,891 | |
Average Recorded Investment | ||
With no related allowance recorded | 22,629 | 21,295 |
With an allowance recorded recorded | 15,816 | 9,546 |
Commercial real estate | ||
Recorded Investment | ||
With related allowance recorded | 12,685 | |
Unpaid Principal Balance | ||
With related allowance recorded | 12,685 | |
Related Allowance | 1,006 | |
Commercial real estate | Commercial Real Estate - Construction | ||
Recorded Investment | ||
With no related allowance recorded | 12,929 | |
Unpaid Principal Balance | ||
With no related allowance recorded | 12,929 | |
Average Recorded Investment | ||
With no related allowance recorded | 6,465 | 0 |
With an allowance recorded recorded | 6,912 | 7,365 |
Commercial real estate | Commercial Real Estate - Other | ||
Recorded Investment | ||
With no related allowance recorded | 37,674 | |
Unpaid Principal Balance | ||
With no related allowance recorded | 38,112 | |
Average Recorded Investment | ||
With no related allowance recorded | 39,401 | 39,902 |
With an allowance recorded recorded | 20,420 | 27,317 |
Residential real estate | ||
Recorded Investment | ||
With no related allowance recorded | 1,774 | |
With related allowance recorded | 1,201 | |
Unpaid Principal Balance | ||
With no related allowance recorded | 1,794 | |
With related allowance recorded | 1,201 | |
Related Allowance | 39 | |
Average Recorded Investment | ||
With no related allowance recorded | 2,052 | 2,305 |
With an allowance recorded recorded | 981 | 840 |
Consumer | ||
Recorded Investment | ||
With no related allowance recorded | 403 | |
With related allowance recorded | 1,094 | |
Unpaid Principal Balance | ||
With no related allowance recorded | 568 | |
With related allowance recorded | 1,094 | |
Related Allowance | 55 | |
Average Recorded Investment | ||
With no related allowance recorded | 923 | 832 |
With an allowance recorded recorded | $ 1,219 | $ 1,957 |
Other Real Estate Owned - Activ
Other Real Estate Owned - Activity in Other Real Estate Owned (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2020 | Dec. 31, 2019 | Nov. 30, 2018 | |
Other Real Estate [Roll Forward] | ||||||
Balance at beginning of period | $ 2,169 | $ 3,232 | $ 8,810 | |||
Additions | 965 | 1,192 | 2,025 | |||
Sales | (1,505) | (2,077) | (6,689) | |||
Impairments | (305) | (178) | (914) | |||
Balance at end of period | 1,324 | 2,169 | 3,232 | |||
Other Real Estate | $ 2,169 | $ 3,232 | $ 3,232 | $ 1,324 | $ 2,169 | |
Repossessed personal property | $ 200 | $ 400 | ||||
Klein Bank | Other Real Estate Owned | ||||||
Other Real Estate [Roll Forward] | ||||||
Other Real Estate | $ 1,000 |
Other Real Estate Owned - Addit
Other Real Estate Owned - Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Real Estate Owned, Disclosure of Detailed Components [Abstract] | ||
Value of foreclosed residential real estate property | $ 0.8 | $ 0.5 |
Value of mortgage loans in process of foreclosure | $ 2.7 | $ 3.7 |
Premises and Equipment - Summar
Premises and Equipment - Summary of Premises and Equipment (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Property, Plant and Equipment [Line Items] | ||
Total | $ 601,729 | $ 617,284 |
Accumulated depreciation | (137,321) | (126,359) |
Premises and equipment, net | 464,408 | 490,925 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Total | 72,600 | 79,569 |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Total | 373,660 | 380,925 |
Furniture, fixtures, and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Total | 110,735 | 112,654 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Total | $ 44,734 | $ 44,136 |
Premises and Equipment - Additi
Premises and Equipment - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation | $ 28,911 | $ 26,719 | $ 23,773 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2018 | Dec. 31, 2020 | |
Lessee, Lease, Description [Line Items] | ||
Lease expense under operating leases | $ 17.9 | |
Minimum | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease term | 10 years | |
Finance lease term | 10 years | |
Maximum | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease term | 20 years | |
Finance lease term | 20 years |
Leases - Schedule of Components
Leases - Schedule of Components of Lease Expense (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Finance lease cost: | ||
Total | $ 24,444 | $ 17,275 |
occupancy/equipment expense | ||
Lessee, Lease, Description [Line Items] | ||
Operating lease cost | 23,548 | 17,001 |
occupancy expense | ||
Finance lease cost: | ||
Amortization of right-of-use assets | 1,044 | 651 |
Short-term lease cost | 0 | 6 |
Sub-lease income | (512) | (703) |
interest expense | ||
Finance lease cost: | ||
Interest on lease liabilities | $ 364 | $ 320 |
Leases - Schedule of Supplement
Leases - Schedule of Supplemental Balance Sheet Information Related to Leases (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Operating Leases | ||
Operating lease right-of-use assets | $ 76,197 | $ 95,477 |
Operating lease liabilities | 86,598 | 99,500 |
Finance Leases | ||
Premises and equipment, net | $ 11,351 | $ 7,170 |
Finance Lease, Right-of-Use Asset, Statement of Financial Position [Extensible List] | us-gaap:PropertyPlantAndEquipmentAndFinanceLeaseRightOfUseAssetAfterAccumulatedDepreciationAndAmortization | us-gaap:PropertyPlantAndEquipmentAndFinanceLeaseRightOfUseAssetAfterAccumulatedDepreciationAndAmortization |
Other borrowings | $ 11,813 | $ 7,406 |
Finance Lease, Liability, Statement of Financial Position [Extensible List] | us-gaap:OtherBorrowings | us-gaap:OtherBorrowings |
Weighted-Average Remaining Lease Term (in Years) | ||
Operating leases | 10 years 7 months 6 days | 10 years 7 months 6 days |
Finance leases | 10 years 3 months 18 days | 11 years 3 months 18 days |
Weighted-Average Discount Rate | ||
Operating leases | 3.40% | 3.45% |
Finance leases | 3.46% | 4.43% |
Leases - Schedule of Suppleme_2
Leases - Schedule of Supplemental Cash Flow Information Related to Leases (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Cash paid for amounts included in the measurement of lease liabilities: | ||
Operating cash flows from operating leases | $ 15,906 | $ 17,493 |
Operating cash flows from finance leases | 364 | 320 |
Financing cash flows from finance leases | $ 819 | $ 465 |
Leases - Schedule of Maturity A
Leases - Schedule of Maturity Analysis of Lease Liability by Lease Classification (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Operating Leases | ||
2021 | $ 14,245 | |
2022 | 13,241 | |
2023 | 9,534 | |
2024 | 8,366 | |
2025 | 8,116 | |
Thereafter | 50,462 | |
Total undiscounted lease payments | 103,964 | |
Amounts representing interest | (17,366) | |
Lease liability | 86,598 | $ 99,500 |
Finance Leases | ||
2021 | 1,394 | |
2022 | 1,412 | |
2023 | 1,438 | |
2024 | 1,444 | |
2025 | 1,437 | |
Thereafter | 7,006 | |
Total undiscounted lease payments | 14,131 | |
Amounts representing interest | (2,318) | |
Lease liability | $ 11,813 | $ 7,406 |
Leases - Schedule of Maturity_2
Leases - Schedule of Maturity Analysis of Tenant Leases (Detail) $ in Thousands | Dec. 31, 2020USD ($) |
Tenant Leases | |
2021 | $ 2,422 |
2022 | 1,900 |
2023 | 1,541 |
2024 | 1,409 |
2025 | 1,056 |
Thereafter | 1,464 |
Total undiscounted lease payments | $ 9,792 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Schedule of Changes in Carrying Amount of Goodwill (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |||
Balance at beginning of period | $ 1,036,994 | $ 1,036,258 | $ 828,051 |
Acquisitions and adjustments | 0 | 736 | 208,787 |
Divestitures | 0 | 0 | (580) |
Balance at end of period | $ 1,036,994 | $ 1,036,994 | $ 1,036,258 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) | Aug. 31, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 |
Goodwill [Line Items] | ||||
Goodwill impairment | $ 0 | |||
Impairment charges | $ 0 | $ 0 | $ 0 | |
Amortization of other intangible assets | $ 14,091,000 | $ 16,911,000 | $ 14,442,000 | |
Core Deposits and Other Intangible Assets | Minimum | ||||
Goodwill [Line Items] | ||||
Estimated useful lives of core deposits and customer relationships | 5 years | |||
Core Deposits and Other Intangible Assets | Maximum | ||||
Goodwill [Line Items] | ||||
Estimated useful lives of core deposits and customer relationships | 15 years |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Schedule of Gross Carrying Amounts and Accumulated Amortization of Other Intangible Assets (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | $ 129,270 | $ 135,598 |
Accumulated Amortization and Impairment | (83,256) | (75,493) |
Net Carrying Amount | 46,014 | 60,105 |
Core deposit | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 112,723 | 119,051 |
Accumulated Amortization and Impairment | (69,623) | (63,020) |
Net Carrying Amount | 43,100 | 56,031 |
Customer trust relationships | ||
Finite-Lived Intangible Assets [Line Items] | ||
Gross Carrying Amount | 16,547 | 16,547 |
Accumulated Amortization and Impairment | (13,633) | (12,473) |
Net Carrying Amount | $ 2,914 | $ 4,074 |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets - Schedule of Estimated Amortization Expense for Future Years (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Finite-Lived Intangible Assets, Amortization Expense, Maturity Schedule [Abstract] | ||
2021 | $ 11,336 | |
2022 | 9,014 | |
2023 | 7,053 | |
2024 | 5,645 | |
2025 | 4,509 | |
Thereafter | 8,457 | |
Net Carrying Amount | $ 46,014 | $ 60,105 |
Loan Servicing Rights - Additio
Loan Servicing Rights - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Transfers and Servicing [Abstract] | |||
Loan servicing rights | $ 26,717 | $ 25,368 | $ 24,497 |
Principal balance of loans serviced for others | 3,613,000 | 3,445,000 | |
Funds held in escrow | 16,200 | 12,700 | |
Fair value of servicing rights | $ 26,800 | $ 26,500 | |
Fair value at discount rate | 9.00% | 12.00% | |
Fair value inputs weighted average prepayment speed | 14.00% | 10.00% |
Loan Servicing Rights - Compone
Loan Servicing Rights - Components of Loan Servicing Rights and Valuation Allowance (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Nov. 30, 2018 | |
Servicing asset: | ||||
Balance at beginning of period | $ 25,399 | $ 24,512 | $ 24,690 | |
Additions | 12,810 | 6,499 | 4,264 | |
Amortization | (10,085) | (5,612) | (4,442) | |
Balance before valuation allowance at end of period | 28,124 | 25,399 | 24,512 | |
Valuation allowance: | ||||
Balance at beginning of period | (31) | (15) | (29) | |
(Additions)/recoveries | (1,376) | (16) | 14 | |
Balance at end of period | (1,407) | (31) | (15) | |
Loan servicing rights, net | $ 26,717 | $ 25,368 | $ 24,497 | |
KleinBank | ||||
Valuation allowance: | ||||
Loan servicing rights | $ 300 |
Qualified Affordable Housing _3
Qualified Affordable Housing Projects and Other Tax Credit Investments (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Investment Holdings [Line Items] | |||
Investment | $ 62,000 | $ 59,661 | |
Unfunded Commitment | 30,105 | 25,926 | |
Amortization Expense | 21,893 | 5,917 | $ 25,534 |
Tax Expense (Benefit) Recognized | (24,875) | (7,086) | (29,377) |
LIHTC | |||
Investment Holdings [Line Items] | |||
Investment, Proportional amortization | 33,609 | 29,735 | |
Unfunded commitment, Proportional amortization | 6,845 | 3,911 | |
Amortization Expense | 3,105 | 3,168 | 2,585 |
Tax Expense (Benefit) Recognized | (4,071) | (4,102) | (3,349) |
FHTC | |||
Investment Holdings [Line Items] | |||
Investment, Equity | 18,660 | 22,403 | |
Unfunded commitment, Equity | 22,398 | 17,886 | |
Amortization Expense | 13,237 | 1,113 | 9,206 |
Tax Expense (Benefit) Recognized | (15,582) | (1,244) | (10,775) |
New Markets Tax Credit | |||
Investment Holdings [Line Items] | |||
Investment, Proportional amortization | 6,120 | 0 | |
Unfunded commitment, Proportional amortization | 0 | 0 | |
Amortization Expense | 900 | ||
Tax Expense (Benefit) Recognized | (1,100) | ||
Renewable Energy | |||
Investment Holdings [Line Items] | |||
Investment, Equity | 3,611 | 7,523 | |
Unfunded commitment, Equity | 862 | 4,129 | |
Amortization Expense | 4,651 | 1,623 | 13,056 |
Tax Expense (Benefit) Recognized | $ (4,122) | (1,740) | (14,566) |
CReED | |||
Investment Holdings [Line Items] | |||
Amortization Expense | 13 | 687 | |
Tax Expense (Benefit) Recognized | $ 0 | $ (687) |
Deposits - Additional Informati
Deposits - Additional Information (Detail) - USD ($) $ in Millions | Dec. 31, 2020 | Dec. 31, 2019 |
Deposits [Abstract] | ||
Brokered demand deposits | $ 100 | |
Brokered time deposits | 19.6 | |
Time deposits, meet or exceed FDIC insurance limit of $250,000 | $ 285.1 | $ 546 |
Deposits - Schedule of Maturiti
Deposits - Schedule of Maturities of Total Time Deposits (Detail) $ in Thousands | Dec. 31, 2020USD ($) |
Maturities of Time Deposits [Abstract] | |
Due in 2021 | $ 825,822 |
Due in 2022 | 139,466 |
Due in 2023 | 82,288 |
Due in 2024 | 37,280 |
Due in 2025 | 30,947 |
Thereafter | 7,067 |
Total | $ 1,122,870 |
Securities Sold Under Agreeme_3
Securities Sold Under Agreements to Repurchase - Schedule of Securities Sold under Agreements to Repurchase and Related Weighted-Average Interest Rates (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Securities Sold under Agreements to Repurchase [Abstract] | ||
Securities sold under agreements to repurchase | $ 431,166,000 | $ 327,782,000 |
Average amount outstanding | 375,961,000 | 342,654,000 |
Maximum amount outstanding at any month-end | $ 438,039,000 | $ 367,884,000 |
Weighted average interest rate during period | 0.23% | 0.73% |
Weighted average interest rate at end of period | 0.12% | 0.53% |
Securities Sold Under Agreeme_4
Securities Sold Under Agreements to Repurchase - Schedule of Remaining Contractual Maturity of Secured Borrowings and Class of Collateral Pledged Under Repurchase Agreements (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Assets Sold under Agreements to Repurchase [Line Items] | ||
Secured borrowings and class of collateral pledged under repurchase agreements | $ 431,166 | $ 327,782 |
U.S. Treasury | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Secured borrowings and class of collateral pledged under repurchase agreements | 431,166 | |
Overnight and Continuous | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Secured borrowings and class of collateral pledged under repurchase agreements | 431,166 | |
Overnight and Continuous | U.S. Treasury | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Secured borrowings and class of collateral pledged under repurchase agreements | 431,166 | |
Up to 30 Days | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Secured borrowings and class of collateral pledged under repurchase agreements | 0 | |
Up to 30 Days | U.S. Treasury | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Secured borrowings and class of collateral pledged under repurchase agreements | 0 | |
30-90 Days | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Secured borrowings and class of collateral pledged under repurchase agreements | 0 | |
30-90 Days | U.S. Treasury | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Secured borrowings and class of collateral pledged under repurchase agreements | 0 | |
Greater Than 90 days | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Secured borrowings and class of collateral pledged under repurchase agreements | 0 | |
Greater Than 90 days | U.S. Treasury | ||
Assets Sold under Agreements to Repurchase [Line Items] | ||
Secured borrowings and class of collateral pledged under repurchase agreements | $ 0 |
Securities Sold Under Agreeme_5
Securities Sold Under Agreements to Repurchase - Additional Information (Detail) | 12 Months Ended |
Dec. 31, 2020 | |
Securities Sold under Agreements to Repurchase [Abstract] | |
Gross outstanding balance of repurchase agreements collateralized by securities percentage | 114.00% |
Federal Home Loan Bank Advanc_3
Federal Home Loan Bank Advances - Summary of FHLB Advances (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Federal Home Loan Bank, Advances [Line Items] | ||
Fair value hedge basis adjustments and unamortized prepayment fees | $ (7,725) | $ 22,183 |
Federal Home Loan Bank advances | 1,991,435 | 1,822,847 |
Old National Bank | ||
Federal Home Loan Bank, Advances [Line Items] | ||
FHLB advances (fixed rates 0.14% to 4.96% and variable rates 0.10% to 0.12%) maturing January 2021 to August 2035 | $ 1,999,160 | $ 1,800,664 |
Minimum | FHLB Advances | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Fixed rates | 0.14% | |
Variable rates | 0.10% | |
Maximum | FHLB Advances | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Fixed rates | 4.96% | |
Variable rates | 0.12% |
Federal Home Loan Bank Advanc_4
Federal Home Loan Bank Advances - Additional Information (Detail) $ in Millions | 3 Months Ended | ||
Dec. 31, 2020USD ($)advance | Sep. 30, 2020 | Dec. 31, 2019 | |
Federal Home Loan Bank, Advances [Line Items] | |||
Weighted-average rates of FHLB advances | 1.32% | 2.19% | |
Modifications, amount | $ 500 | ||
Modifications, number of contracts | advance | 4 | ||
Weighted average interest rate | 1.28% | 2.00% | |
Modifications, unamortized prepayment fees | $ 30 | ||
FHLB Advances | |||
Federal Home Loan Bank, Advances [Line Items] | |||
Percentage of borrowings collateralized by investment securities and residential real estate loans | 140.00% |
Federal Home Loan Bank Advanc_5
Federal Home Loan Bank Advances - Summary of Contractual Maturities of FHLB Advances (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Federal Home Loan Bank, Advances, Fiscal Year Maturity [Abstract] | ||
Due in 2021 | $ 95,000 | |
Due in 2022 | 29,000 | |
Due in 2023 | 160 | |
Due in 2024 | 75,000 | |
Due in 2025 | 550,000 | |
Thereafter | 1,250,000 | |
Fair value hedge basis adjustments and unamortized prepayment fees | (7,725) | $ 22,183 |
Federal Home Loan Bank advances | $ 1,991,435 | $ 1,822,847 |
Other Borrowings - Other Borrow
Other Borrowings - Other Borrowings (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Aug. 31, 2014 | |
Debt Instrument [Line Items] | |||
Lease liability | $ 11,813 | $ 7,406 | |
Other borrowings | 252,787 | 243,685 | |
Old National Bank | |||
Debt Instrument [Line Items] | |||
Other basis adjustments | 428 | 517 | |
Lease liability | 11,813 | 7,406 | |
Old National Bancorp | |||
Debt Instrument [Line Items] | |||
Other basis adjustments | (3,195) | (2,833) | |
Other borrowings | $ 213,246 | 223,762 | |
Senior Unsecured Notes | Old National Bancorp | |||
Debt Instrument [Line Items] | |||
Fixed rates | 4.125% | 4.125% | |
Senior unsecured notes (fixed rate 4.125%) maturing August 2024 | $ 175,000 | 175,000 | $ 175,000 |
Unamortized debt issuance costs related to senior unsecured notes | (559) | (715) | |
Junior Subordinated Debentures | Old National Bancorp | |||
Debt Instrument [Line Items] | |||
Junior subordinated debentures (variable rates of 1.80% to 1.98%) maturing March 2035 to June 2037 | $ 42,000 | 52,310 | |
Subordinated Debt | Old National Bank | |||
Debt Instrument [Line Items] | |||
Fixed rates | 4.57% | ||
Subordinated debentures (variable rate 4.57%) | $ 12,000 | 12,000 | |
Leveraged Loans for NMTC | Old National Bank | |||
Debt Instrument [Line Items] | |||
Leveraged loans for NMTC (fixed rates of 1.00% to 1.43%) maturing December 2046 to December 2052 | $ 15,300 | $ 0 | |
Minimum | Junior Subordinated Debentures | Old National Bancorp | |||
Debt Instrument [Line Items] | |||
Variable rates | 1.80% | ||
Minimum | Leveraged Loans for NMTC | Old National Bank | |||
Debt Instrument [Line Items] | |||
Fixed rates | 1.00% | ||
Maximum | Junior Subordinated Debentures | Old National Bancorp | |||
Debt Instrument [Line Items] | |||
Variable rates | 1.98% | ||
Maximum | Leveraged Loans for NMTC | Old National Bank | |||
Debt Instrument [Line Items] | |||
Fixed rates | 1.43% |
Other Borrowings - Contractual
Other Borrowings - Contractual Maturities of Other Borrowings (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Debt Disclosure [Abstract] | ||
Due in 2021 | $ 1,025 | |
Due in 2022 | 1,073 | |
Due in 2023 | 1,132 | |
Due in 2024 | 176,170 | |
Due in 2025 | 1,198 | |
Thereafter | 75,515 | |
Unamortized debt issuance costs and other basis adjustments | (3,326) | |
Total | $ 252,787 | $ 243,685 |
Other Borrowings - Additional I
Other Borrowings - Additional Information (Detail) - USD ($) $ in Thousands | Nov. 01, 2017 | Apr. 30, 2020 | Mar. 31, 2020 | Feb. 29, 2020 | Dec. 31, 2020 | Dec. 31, 2019 | Aug. 31, 2014 |
Debt Instrument [Line Items] | |||||||
Lease liability | $ 11,813 | $ 7,406 | |||||
Old National Bank | |||||||
Debt Instrument [Line Items] | |||||||
Lease liability | $ 11,813 | 7,406 | |||||
Junior Subordinated Debentures | Trust Preferred Securities | |||||||
Debt Instrument [Line Items] | |||||||
Redemption of debentures at par | $ 3,100 | $ 3,100 | $ 4,100 | ||||
Debt instrument floating rate at redemption | 5.62% | 4.71% | 5.36% | ||||
Subordinated Debentures | Anchor Bank (MN) | Subordinated Fixed-To-Floating Notes | |||||||
Debt Instrument [Line Items] | |||||||
Value of subordinated fixed-to-floating notes assumed | $ 12,000 | ||||||
Subordinated Debentures | Anchor Bank (MN) | Subordinated Fixed-To-Floating Notes | LIBOR | |||||||
Debt Instrument [Line Items] | |||||||
Fixed rates | 5.75% | ||||||
LIBOR rate | 4.356% | ||||||
Subordinated Debt | Old National Bank | |||||||
Debt Instrument [Line Items] | |||||||
Fixed rates | 4.57% | ||||||
Old National Bancorp | Senior Unsecured Notes | |||||||
Debt Instrument [Line Items] | |||||||
Senior unsecured notes | $ 175,000 | $ 175,000 | $ 175,000 | ||||
Fixed rates | 4.125% | 4.125% |
Other Borrowings - Summary of T
Other Borrowings - Summary of Terms of Outstanding Junior Subordinated Debentures (Detail) - Trust Preferred Securities - Junior Subordinated Debentures | 12 Months Ended |
Dec. 31, 2020USD ($) | |
Debt Instrument [Line Items] | |
Issuance Amount | $ 42,000,000 |
St. Joseph Capital Trust II | |
Debt Instrument [Line Items] | |
Issuance Amount | $ 5,000,000 |
Rate | 1.98% |
St. Joseph Capital Trust II | LIBOR | |
Debt Instrument [Line Items] | |
Variable rate | 1.75% |
Anchor Capital Trust III | |
Debt Instrument [Line Items] | |
Issuance Amount | $ 5,000,000 |
Rate | 1.80% |
Anchor Capital Trust III | LIBOR | |
Debt Instrument [Line Items] | |
Variable rate | 1.55% |
Home Federal Statutory Trust I | |
Debt Instrument [Line Items] | |
Issuance Amount | $ 15,000,000 |
Rate | 1.87% |
Home Federal Statutory Trust I | LIBOR | |
Debt Instrument [Line Items] | |
Variable rate | 1.65% |
Monroe Bancorp Capital Trust I | |
Debt Instrument [Line Items] | |
Issuance Amount | $ 3,000,000 |
Rate | 1.84% |
Monroe Bancorp Capital Trust I | LIBOR | |
Debt Instrument [Line Items] | |
Variable rate | 1.60% |
Tower Capital Trust 3 | |
Debt Instrument [Line Items] | |
Issuance Amount | $ 9,000,000 |
Rate | 1.92% |
Tower Capital Trust 3 | LIBOR | |
Debt Instrument [Line Items] | |
Variable rate | 1.69% |
Monroe Bancorp Statutory Trust II | |
Debt Instrument [Line Items] | |
Issuance Amount | $ 5,000,000 |
Rate | 1.82% |
Monroe Bancorp Statutory Trust II | LIBOR | |
Debt Instrument [Line Items] | |
Variable rate | 1.60% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Schedule of AOCI (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | $ 2,852,453 | $ 2,689,570 | $ 2,154,397 |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (10,751) | ||
Other comprehensive income (loss) before reclassifications | 103,826 | 100,973 | 15,852 |
Amounts reclassified from AOCI to income | (12,262) | 184 | 273 |
Ending Balance | 2,972,656 | 2,852,453 | 2,689,570 |
Adjustment | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | (31,150) | 6,322 | (4,179) |
Ending Balance | (31,150) | 6,322 | |
Accumulated Other Comprehensive Income (Loss) | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | 56,207 | (44,950) | (50,272) |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (10,751) | ||
Ending Balance | 147,771 | 56,207 | (44,950) |
Accumulated Other Comprehensive Income (Loss) | Adjustment | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | (52) | ||
Unrealized Gains and Losses on Available- for-Sale Debt Securities | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | 56,131 | (37,348) | (35,557) |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (7,583) | ||
Other comprehensive income (loss) before reclassifications | 97,596 | 94,964 | 7,454 |
Amounts reclassified from AOCI to income | (8,392) | (1,485) | (1,662) |
Ending Balance | 145,335 | 56,131 | (37,348) |
Unrealized Gains and Losses on Available- for-Sale Debt Securities | Adjustment | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | 0 | ||
Unrealized Gains and Losses on Held-to- Maturity Securities | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | 0 | (8,515) | (12,107) |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (2,600) | ||
Other comprehensive income (loss) before reclassifications | 0 | 6,419 | 4,514 |
Amounts reclassified from AOCI to income | 0 | 2,096 | 1,678 |
Ending Balance | 0 | 0 | (8,515) |
Unrealized Gains and Losses on Held-to- Maturity Securities | Adjustment | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | 0 | ||
Gains and Losses on Cash Flow Hedges | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | 240 | 1,099 | (2,337) |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (509) | ||
Other comprehensive income (loss) before reclassifications | 6,230 | (410) | 3,884 |
Amounts reclassified from AOCI to income | (3,886) | (449) | 113 |
Ending Balance | 2,584 | 240 | 1,099 |
Gains and Losses on Cash Flow Hedges | Adjustment | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | (52) | ||
Defined Benefit Pension Plans | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | (164) | (186) | (271) |
Amounts reclassified from AOCI to retained earnings related to the Tax Cuts and Jobs Act of 2017 | (59) | ||
Other comprehensive income (loss) before reclassifications | 0 | 0 | 0 |
Amounts reclassified from AOCI to income | 16 | 22 | 144 |
Ending Balance | $ (148) | $ (164) | (186) |
Defined Benefit Pension Plans | Adjustment | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | $ 0 |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Reclassifications out of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Debt securities gains (losses), net | $ 10,767 | $ 1,923 | $ 2,060 | ||||||||
Income tax (expense) benefit | $ (4,293) | $ (12,154) | $ (9,761) | $ (2,939) | $ (11,433) | $ (13,254) | $ (14,359) | $ (13,104) | (29,147) | (52,150) | (17,850) |
Interest income (expense) | 161,079 | 145,573 | 145,671 | 143,771 | 148,899 | 153,096 | 155,230 | 147,048 | 596,094 | 604,273 | 537,602 |
Salaries and employee benefits | (293,590) | (289,452) | (281,275) | ||||||||
Net income | $ 74,120 | $ 77,944 | $ 51,705 | $ 22,640 | $ 49,185 | $ 69,781 | $ 62,964 | $ 56,276 | 226,409 | 238,206 | 190,830 |
Amount Reclassified from AOCI | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Net income | 12,262 | (184) | (273) | ||||||||
Amount Reclassified from AOCI | Unrealized Gains and Losses on Available- for-Sale Debt Securities | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Debt securities gains (losses), net | 10,767 | 1,923 | 2,060 | ||||||||
Income tax (expense) benefit | (2,375) | (438) | (398) | ||||||||
Net income | 8,392 | 1,485 | 1,662 | ||||||||
Amount Reclassified from AOCI | Unrealized Gains and Losses on Held-to- Maturity Securities | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Income tax (expense) benefit | 0 | 716 | 503 | ||||||||
Interest income (expense) | 0 | (2,812) | (2,181) | ||||||||
Net income | 0 | (2,096) | (1,678) | ||||||||
Amount Reclassified from AOCI | Gains and Losses on Cash Flow Hedges | Interest rate contracts | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Income tax (expense) benefit | (1,267) | (147) | 37 | ||||||||
Interest income (expense) | 5,153 | 596 | (150) | ||||||||
Net income | 3,886 | 449 | (113) | ||||||||
Amount Reclassified from AOCI | Defined Benefit Pension Plans | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Income tax (expense) benefit | 5 | 8 | 47 | ||||||||
Salaries and employee benefits | (21) | (30) | (191) | ||||||||
Net income | $ (16) | $ (22) | $ (144) |
Income Taxes - Summary of Diffe
Income Taxes - Summary of Differences in Taxes from Continuing Operations Computed at Statutory Rate (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |||||||||||
Statutory rate | 21.00% | ||||||||||
Provision at statutory rate | $ 53,667 | $ 60,975 | $ 43,823 | ||||||||
Tax-exempt interest | (10,776) | (10,243) | (9,021) | ||||||||
Section 291/265 interest disallowance | 189 | 435 | 321 | ||||||||
Company-owned life insurance income | (2,290) | (2,423) | (2,223) | ||||||||
Tax-exempt income | (12,877) | (12,231) | (10,923) | ||||||||
State income taxes | 4,840 | 6,720 | 5,621 | ||||||||
Tax credit investments - federal | (15,159) | (4,411) | (21,576) | ||||||||
Other, net | (1,324) | 1,097 | 905 | ||||||||
Income tax expense | $ 4,293 | $ 12,154 | $ 9,761 | $ 2,939 | $ 11,433 | $ 13,254 | $ 14,359 | $ 13,104 | $ 29,147 | $ 52,150 | $ 17,850 |
Effective tax rate | 11.40% | 18.00% | 8.60% |
Income Taxes - Provision for In
Income Taxes - Provision for Income Taxes (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income Tax Disclosure [Abstract] | |||||||||||
Federal income taxes currently payable | $ 19,223 | $ 22,908 | $ 12,256 | ||||||||
State income taxes currently payable | 6,498 | 4,490 | 4,601 | ||||||||
Federal income taxes deferred | 3,188 | 20,402 | (1,513) | ||||||||
State income taxes deferred | 238 | 4,350 | 2,506 | ||||||||
Deferred income tax expense | 3,426 | 24,752 | 993 | ||||||||
Income tax expense | $ 4,293 | $ 12,154 | $ 9,761 | $ 2,939 | $ 11,433 | $ 13,254 | $ 14,359 | $ 13,104 | $ 29,147 | $ 52,150 | $ 17,850 |
Income Taxes - Schedule of Sign
Income Taxes - Schedule of Significant Components of Net Deferred Tax Assets (Liabilities) (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Deferred Tax Assets | ||
Allowance for loan losses, net of recapture | $ 34,971 | $ 14,179 |
Benefit plan accruals | 20,076 | 19,673 |
Alternative minimum tax credit | 0 | 1,272 |
Net operating loss carryforwards | 18,982 | 25,336 |
Deferred gain on securities | 2,102 | 3,754 |
Acquired loans | 11,989 | 16,784 |
Operating lease liabilities | 24,245 | 26,503 |
Tax credit investments and other partnerships | 1,054 | 1,765 |
Other real estate owned | 28 | 141 |
Other, net | 460 | 591 |
Total deferred tax assets | 113,907 | 109,998 |
Deferred Tax Liabilities | ||
Purchase accounting | (18,232) | (17,564) |
Loan servicing rights | (6,582) | (6,289) |
Premises and equipment | (14,008) | (12,167) |
Prepaid expenses | (955) | (973) |
Operating lease right-of-use assets | (21,569) | (25,448) |
Unrealized gains on available-for-sale investment securities | (40,756) | (15,751) |
Unrealized gains on hedges | (1,080) | (78) |
Other, net | (1,555) | (2,023) |
Total deferred tax liabilities | (104,737) | (80,293) |
Net deferred tax assets | $ 9,170 | $ 29,705 |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Income Taxes [Line Items] | ||
Bad debt reserves, created for tax purposes | $ 52,800,000 | |
Unrecognized deferred income tax liability | 13,000,000 | |
Valuation allowance recorded | 0 | $ 0 |
Decrease in unrecognized tax benefits | 0 | |
Federal | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards | 52,400,000 | 78,500,000 |
State | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards | 132,200,000 | $ 148,400,000 |
AnchorBank WI | ||
Income Taxes [Line Items] | ||
Bad debt reserves, created for tax purposes | 50,900,000 | |
Lafayette Savings Bank | ||
Income Taxes [Line Items] | ||
Bad debt reserves, created for tax purposes | $ 1,900,000 |
Share-Based Compensation and _3
Share-Based Compensation and Other Employee Benefit Plans - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | ||
Jun. 30, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Remaining shares available for issuance (in shares) | 2,900,000 | |||
Stock based compensation expense | $ 7,700,000 | $ 8,000,000 | $ 8,100,000 | |
Total income tax benefit, stock-based compensation cost | 1,900,000 | 2,000,000 | 2,000,000 | |
Discretionary profit sharing | $ 0 | $ 0 | 0 | |
Shares allocated to the employee stock ownership plan (in shares) | 600,000 | 600,000 | ||
Contribution expense under employee stock ownership plan | $ 9,500,000 | $ 9,800,000 | 8,600,000 | |
Employer Matching Contribution Tranche One | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Contribution plan, employer matching contribution percentage | 75.00% | |||
Defined contribution plans employee contribution percentage of eligible compensation matched by employer | 4.00% | |||
Employer Matching Contribution Tranche Two | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Contribution plan, employer matching contribution percentage | 50.00% | |||
Defined contribution plans employee contribution percentage of eligible compensation matched by employer | 4.00% | |||
Restricted Stock | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation awards, vesting period | 3 years | |||
Unrecognized compensation expense | $ 5,700,000 | |||
Expected weighted-average period for cost recognition (in years) | 2 years 1 month 6 days | |||
Total fair value of shares vested | $ 2,900,000 | $ 3,400,000 | $ 3,400,000 | |
Restricted Stock Units | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation awards, vesting period | 3 years | |||
Unrecognized compensation expense | $ 3,600,000 | |||
Expected weighted-average period for cost recognition (in years) | 1 year 8 months 12 days | |||
Stock Options | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Contractual term, in years | 10 years | |||
Stock Options | Old National Bancorp | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Incremental expense associated with conversion of stock awards | $ 0 | |||
Stock Options | Minimum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation awards, vesting period | 3 years | |||
Stock Options | Maximum | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation awards, vesting period | 5 years | |||
Outside Director Stock Compensation Program | Amended and Restated 2008 Incentive Compensation Plan | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares issued (in shares) | 28,000 | 12,000 | 16,000 |
Share-Based Compensation and _4
Share-Based Compensation and Other Employee Benefit Plans - Summary of Changes in the Nonvested Restricted Shares (Detail) - Restricted Stock shares in Thousands | 12 Months Ended |
Dec. 31, 2020$ / sharesshares | |
Shares | |
Nonvested balance at beginning of period (in shares) | shares | 406 |
Granted during the year (in shares) | shares | 365 |
Vested during the year (in shares) | shares | (193) |
Forfeited during the year (in shares) | shares | (20) |
Nonvested balance at end of period (in shares) | shares | 558 |
Weighted Average Grant-Date Fair Value | |
Nonvested balance at beginning of period (in dollars per share) | $ / shares | $ 16.98 |
Granted during the year (in dollars per share) | $ / shares | 14.79 |
Vested during the year (in dollars per share) | $ / shares | 17.16 |
Forfeited during the year (in dollars per share) | $ / shares | 16.53 |
Nonvested balance at end of period (in dollars per share) | $ / shares | $ 15.51 |
Share-Based Compensation and _5
Share-Based Compensation and Other Employee Benefit Plans - Summary of Changes in the Nonvested Restricted Stock Units (Detail) - Restricted Stock Units shares in Thousands | 12 Months Ended |
Dec. 31, 2020$ / sharesshares | |
Shares | |
Nonvested balance at beginning of period (in shares) | shares | 965 |
Granted during the year (in shares) | shares | 344 |
Vested during the year (in shares) | shares | (437) |
Forfeited during the year (in shares) | shares | (1) |
Dividend equivalents adjustment (in shares) | shares | 40 |
Nonvested balance at end of period (in shares) | shares | 911 |
Weighted Average Grant-Date Fair Value | |
Nonvested balance at beginning of period (in dollars per share) | $ / shares | $ 14.07 |
Granted during the year (in dollars per share) | $ / shares | 17.14 |
Vested during the year (in dollars per share) | $ / shares | 16.31 |
Forfeited during the year (in dollars per share) | $ / shares | 12.62 |
Dividend equivalents adjustment (in dollars per share) | $ / shares | 14.48 |
Nonvested balance at end of period (in dollars per share) | $ / shares | $ 14.18 |
Share-Based Compensation and _6
Share-Based Compensation and Other Employee Benefit Plans - Summary of the Activity in the Stock Option Plan (Detail) $ / shares in Units, shares in Thousands | 12 Months Ended |
Dec. 31, 2020USD ($)$ / sharesshares | |
Shares | |
Outstanding at beginning of period (in shares) | shares | 57 |
Exercised (in shares) | shares | (16) |
Outstanding at end of period (in shares) | shares | 41 |
Options exercisable at end of year, Shares (in shares) | shares | 41 |
Weighted Average Exercise Price | |
Outstanding at beginning of period (in dollars per share) | $ / shares | $ 4.11 |
Exercised (in dollars per share) | $ / shares | 3.76 |
Outstanding at end of period (in dollars per share) | $ / shares | 4.24 |
Options exercisable at end of year, Weighted Average Exercise Price (in dollars per share) | $ / shares | $ 4.24 |
Outstanding at end of period, Weighted Average Remaining Contractual Term in Years | 1 year 4 months 6 days |
Options exercisable at end of year, Weighted Average Remaining Contractual Terms in Years | 1 year 4 months 6 days |
Outstanding at end of period, Aggregate Intrinsic Value | $ | $ 509,800 |
Options exercisable at end of year, Aggregate Intrinsic Value | $ | $ 509,800 |
Share-Based Compensation and _7
Share-Based Compensation and Other Employee Benefit Plans - Schedule of Information Related to the Stock Option Plan (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Share-based Payment Arrangement [Abstract] | |||
Intrinsic value of options/appreciation rights exercised | $ 213 | $ 178 | $ 385 |
Cash received from options/appreciation rights exercises | 0 | 280 | 948 |
Tax benefit realized from options/appreciation rights exercises | $ 85 | $ 71 | $ 154 |
Shareholders' Equity - Addition
Shareholders' Equity - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Jan. 28, 2021 | Mar. 31, 2020 | Aug. 13, 2018 | |
Shareholders' Equity [Line Items] | ||||||
Authorized and unissued common shares reserved for issuance (in shares) | 300,000,000 | 300,000,000 | ||||
Common shares purchase price as percentage of fair market value | 95.00% | |||||
Maximum value of shares purchased as percentage of employee compensation | 10.00% | |||||
Common stock issued | $ 577 | $ 567 | $ 497 | |||
Share Repurchase Plan | ||||||
Shareholders' Equity [Line Items] | ||||||
Stock repurchase program, decrease in equity amount | $ 78,700 | |||||
Share Repurchase Plan | Common Stock | ||||||
Shareholders' Equity [Line Items] | ||||||
Number of shares repurchased (in shares) | 4,900,000 | |||||
Maximum | Share Repurchase Plan | Warrant | ||||||
Shareholders' Equity [Line Items] | ||||||
Number of shares available for repurchase (in shares) | 7,000,000 | |||||
Maximum | Share Repurchase Plan | Warrant | Subsequent Event | ||||||
Shareholders' Equity [Line Items] | ||||||
Number of shares available for repurchase (in shares) | 100,000,000 | |||||
Dividend Reinvestment and Stock Purchase Plan | ||||||
Shareholders' Equity [Line Items] | ||||||
Authorized and unissued common shares reserved for issuance (in shares) | 3,300,000 | 3,300,000 | ||||
Employee Stock Purchase Plan | ||||||
Shareholders' Equity [Line Items] | ||||||
Number of shares available for purchase (shares) | 500,000 | |||||
Shares issued related to dividend reinvestment and stock purchase plan (in shares) | 43,000 | 36,000 | ||||
Common stock issued | $ 577 | $ 567 |
Shareholders' Equity - Summary
Shareholders' Equity - Summary of Table Reconciling Basic and Diluted Net Income Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Basic Net Income Per Share | |||||||||||
Net income | $ 74,120 | $ 77,944 | $ 51,705 | $ 22,640 | $ 49,185 | $ 69,781 | $ 62,964 | $ 56,276 | $ 226,409 | $ 238,206 | $ 190,830 |
Weighted average common shares outstanding (in shares) | 164,799 | 164,773 | 164,732 | 167,748 | 169,235 | 170,746 | 172,985 | 174,734 | 165,509 | 171,907 | 155,675 |
Effect of dilutive securities: | |||||||||||
Restricted stock (in shares) | 632 | 733 | 796 | ||||||||
Stock options (in shares) | 36 | 47 | 68 | ||||||||
Basic Net Income Per Share (in dollars per share) | $ 0.45 | $ 0.47 | $ 0.32 | $ 0.13 | $ 0.29 | $ 0.41 | $ 0.37 | $ 0.32 | $ 1.37 | $ 1.39 | $ 1.23 |
Diluted Net Income Per Share | |||||||||||
Net income | $ 74,120 | $ 77,944 | $ 51,705 | $ 22,640 | $ 49,185 | $ 69,781 | $ 62,964 | $ 56,276 | $ 226,409 | $ 238,206 | $ 190,830 |
Weighted average common shares outstanding (in shares) | 164,799 | 164,773 | 164,732 | 167,748 | 169,235 | 170,746 | 172,985 | 174,734 | 165,509 | 171,907 | 155,675 |
Weighted average shares outstanding (in shares) | 165,631 | 165,419 | 165,302 | 168,404 | 170,186 | 171,551 | 173,675 | 175,368 | 166,177 | 172,687 | 156,539 |
Diluted Net Income Per Share (in dollars per share) | $ 0.44 | $ 0.47 | $ 0.32 | $ 0.13 | $ 0.29 | $ 0.41 | $ 0.36 | $ 0.32 | $ 1.36 | $ 1.38 | $ 1.22 |
Fair Value - Schedule of Fair V
Fair Value - Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity securities, at fair value | $ 2,547 | $ 6,842 |
Total investment securities - available-for-sale | 5,970,115 | 5,385,091 |
Derivative assets | 140,201 | 51,301 |
Derivative liabilities | 18,187 | 12,393 |
U.S. Treasury | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 10,208 | 17,682 |
U.S. government-sponsored entities and agencies | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 841,988 | 592,984 |
Mortgage-backed securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 3,339,098 | 3,183,861 |
States and political subdivisions | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 1,492,162 | 1,275,643 |
Pooled trust preferred securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 7,913 | 8,222 |
Other securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 278,746 | 306,699 |
Fair Value on Recurring Basis | Carrying Value | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity securities, at fair value | 2,547 | 6,842 |
Residential loans held for sale | 63,250 | 46,898 |
Derivative assets | 140,201 | 51,301 |
Derivative liabilities | 18,187 | 12,393 |
Fair Value on Recurring Basis | Carrying Value | U.S. Treasury | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 10,208 | 17,682 |
Fair Value on Recurring Basis | Carrying Value | U.S. government-sponsored entities and agencies | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 841,988 | 592,984 |
Fair Value on Recurring Basis | Carrying Value | Mortgage-backed securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 3,339,098 | 3,183,861 |
Fair Value on Recurring Basis | Carrying Value | States and political subdivisions | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 1,492,162 | 1,275,643 |
Fair Value on Recurring Basis | Carrying Value | Pooled trust preferred securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 7,913 | 8,222 |
Fair Value on Recurring Basis | Carrying Value | Other securities | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 278,746 | 306,699 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity securities, at fair value | 2,547 | 6,842 |
Residential loans held for sale | 0 | 0 |
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity securities, at fair value | 0 | 0 |
Residential loans held for sale | 63,250 | 46,898 |
Derivative assets | 140,201 | 51,301 |
Derivative liabilities | 18,187 | 12,393 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Equity securities, at fair value | 0 | 0 |
Residential loans held for sale | 0 | 0 |
Derivative assets | 0 | 0 |
Derivative liabilities | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | U.S. Treasury | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 10,208 | 17,682 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | U.S. Treasury | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | U.S. Treasury | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | U.S. government-sponsored entities and agencies | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | U.S. government-sponsored entities and agencies | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 841,988 | 592,984 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | U.S. government-sponsored entities and agencies | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Mortgage-backed securities | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Mortgage-backed securities | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 3,339,098 | 3,183,861 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Mortgage-backed securities | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | States and political subdivisions | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | States and political subdivisions | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 1,492,162 | 1,275,603 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | States and political subdivisions | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 40 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Pooled trust preferred securities | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Pooled trust preferred securities | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 0 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Pooled trust preferred securities | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 7,913 | 8,222 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Other securities | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 0 | 31,169 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Other securities | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | 278,746 | 275,530 |
Fair Value on Recurring Basis | Estimate of Fair Value Measurement | Other securities | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||
Total investment securities - available-for-sale | $ 0 | $ 0 |
Fair Value - Reconciliation of
Fair Value - Reconciliation of All Assets Measured at Fair Value on a Recurring Basis Using Significant Unobservable Inputs (Level 3) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
State and Political Subdivisions | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Transfers out of Level 3 | $ (4,000) | ||
Transfers into Level 3 | 4,100 | ||
Significant Unobservable Inputs (Level 3) | Pooled trust preferred securities | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance at beginning of period | $ 8,222 | 8,495 | $ 8,448 |
Accretion (amortization) of discount | 15 | 12 | 17 |
Sales/payments received | (64) | (62) | (338) |
Increase (decrease) in fair value of securities | (260) | (223) | 368 |
Transfers out of Level 3 | 0 | ||
Transfers into Level 3 | 0 | ||
Balance at end of period | 7,913 | 8,222 | 8,495 |
Significant Unobservable Inputs (Level 3) | State and Political Subdivisions | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward] | |||
Balance at beginning of period | 40 | 4,108 | 0 |
Accretion (amortization) of discount | 0 | 0 | (56) |
Sales/payments received | (40) | (35) | 0 |
Increase (decrease) in fair value of securities | 0 | 0 | 28 |
Transfers out of Level 3 | (4,033) | ||
Transfers into Level 3 | 4,136 | ||
Balance at end of period | $ 0 | $ 40 | $ 4,108 |
Fair Value - Additional Informa
Fair Value - Additional Information (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Provision for credit losses | $ 38,395 | $ 6,966 | ||
Other real estate owned property write-downs | 161 | $ 60 | ||
Valuation allowance for loan servicing rights with impairments | 1,407 | 31 | 15 | $ 29 |
Recoveries on loan servicing rights | $ 1,376 | 16 | (14) | |
Net carrying amount other real estate owned and other repossessed property | 43 | |||
Past due period of mortgage loans held for sale, days | 90 days | |||
Interest income for residential loans held for sale | $ 2,000 | 1,400 | $ 500 | |
States and political subdivisions | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Asset, Transfers out of Level 3 | 4,000 | |||
Transfers into Level 3 | 4,100 | |||
Impaired Commercial and Commercial Real Estate Loans | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Principal amount of impaired commercial and commercial real estate loans | 57,200 | 30,900 | ||
Valuation allowance | 5,800 | 8,900 | ||
Provision for credit losses | $ 2,100 | $ 4,100 |
Fair Value - Quantitative Infor
Fair Value - Quantitative Information about Significant Unobservable Inputs Used in Fair Value Measurements (Detail) $ in Thousands | 12 Months Ended | |
Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($)loan | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 5,970,115 | $ 5,385,091 |
Percentage of adjusted specific issuer evaluation defaults | 100.00% | |
Pooled trust preferred securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage of adjusted specific issuer evaluation recoveries | 100.00% | |
Pooled trust preferred securities | Minimum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage of adjusted specific issuer evaluation defaults | 0.00% | |
Percentage of adjusted specific issuer evaluation recoveries | 0.00% | |
Pooled trust preferred securities | Maximum | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Percentage of adjusted specific issuer evaluation defaults | 50.00% | |
Percentage of adjusted specific issuer evaluation recoveries | 25.00% | |
Significant Unobservable Inputs (Level 3) | Pooled trust preferred securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 7,913 | $ 8,222 |
Significant Unobservable Inputs (Level 3) | Pooled trust preferred securities | Constant Prepayment Rate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Pooled trust preferred securities | Minimum | Additional Asset Defaults | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.060 | 0.062 |
Significant Unobservable Inputs (Level 3) | Pooled trust preferred securities | Minimum | Expected Asset Recoveries | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Pooled trust preferred securities | Maximum | Additional Asset Defaults | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.087 | 0.080 |
Significant Unobservable Inputs (Level 3) | Pooled trust preferred securities | Maximum | Expected Asset Recoveries | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.232 | 0.191 |
Significant Unobservable Inputs (Level 3) | Pooled trust preferred securities | Weighted Average | Additional Asset Defaults | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.068 | 0.068 |
Significant Unobservable Inputs (Level 3) | Pooled trust preferred securities | Weighted Average | Expected Asset Recoveries | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.073 | 0.060 |
Significant Unobservable Inputs (Level 3) | States and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 40 | |
Significant Unobservable Inputs (Level 3) | Collateral Dependent Loans | Commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 10,747 | $ 10,361 |
Number of loans | loan | 1 | |
Significant Unobservable Inputs (Level 3) | Collateral Dependent Loans | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 40,653 | $ 11,610 |
Significant Unobservable Inputs (Level 3) | Collateral Dependent Loans | Discount for Type of Property, Age of Appraisal, and Current Status | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.45 | |
Significant Unobservable Inputs (Level 3) | Collateral Dependent Loans | Minimum | Discount for Type of Property, Age of Appraisal, and Current Status | Commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Collateral Dependent Loans | Minimum | Discount for Type of Property, Age of Appraisal, and Current Status | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0 | |
Significant Unobservable Inputs (Level 3) | Collateral Dependent Loans | Maximum | Discount for Type of Property, Age of Appraisal, and Current Status | Commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.33 | 0.50 |
Significant Unobservable Inputs (Level 3) | Collateral Dependent Loans | Maximum | Discount for Type of Property, Age of Appraisal, and Current Status | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.18 | |
Significant Unobservable Inputs (Level 3) | Collateral Dependent Loans | Weighted Average | Discount for Type of Property, Age of Appraisal, and Current Status | Commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.12 | 0.13 |
Significant Unobservable Inputs (Level 3) | Collateral Dependent Loans | Weighted Average | Discount for Type of Property, Age of Appraisal, and Current Status | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.07 | |
Significant Unobservable Inputs (Level 3) | Foreclosed Assets | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 21 | |
Number of loans | loan | 1 | |
Significant Unobservable Inputs (Level 3) | Foreclosed Assets | Residential real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 22 | |
Number of loans | loan | 1 | |
Significant Unobservable Inputs (Level 3) | Foreclosed Assets | Discount for Type of Property, Age of Appraisal, and Current Status | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.43 | |
Significant Unobservable Inputs (Level 3) | Foreclosed Assets | Discount for Type of Property, Age of Appraisal, and Current Status | Residential real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Unobservable Input | 0.21 |
Fair Value - Assets Measured at
Fair Value - Assets Measured at Fair Value on a Non-Recurring Basis (Detail) - Fair Value on Non-recurring Basis - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Commercial Real Estate Foreclosed Assets | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 21 | |
Commercial Real Estate Foreclosed Assets | Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Commercial Real Estate Foreclosed Assets | Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Commercial Real Estate Foreclosed Assets | Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 21 | |
Residential | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 22 | |
Residential | Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Residential | Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | |
Residential | Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 22 | |
Loan servicing rights | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 26,717 | 4,662 |
Loan servicing rights | Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Loan servicing rights | Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 26,717 | 4,662 |
Loan servicing rights | Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Commercial | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 10,747 | 10,361 |
Commercial | Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Commercial | Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Commercial | Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 10,747 | 10,361 |
Commercial real estate | Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 40,653 | 11,610 |
Commercial real estate | Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Commercial real estate | Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Commercial real estate | Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 40,653 | $ 11,610 |
Fair Value - Schedule of Differ
Fair Value - Schedule of Difference between the Aggregate Fair Value and the Aggregate Remaining Principal Balance (Detail) - Residential loans held for sale - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Aggregate Fair Value | $ 63,250 | $ 46,898 |
Difference | 3,485 | 1,529 |
Contractual Principal | $ 59,765 | $ 45,369 |
Fair Value - Changes in Fair Va
Fair Value - Changes in Fair Value for Items Measured at Fair Value Pursuant to Election of the Fair Value (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||||||
Interest income (expense) | $ 161,079 | $ 145,573 | $ 145,671 | $ 143,771 | $ 148,899 | $ 153,096 | $ 155,230 | $ 147,048 | $ 596,094 | $ 604,273 | $ 537,602 |
Interest (Expense) | $ (12,170) | $ (14,513) | $ (16,303) | $ (24,228) | $ (27,654) | $ (32,757) | $ (33,833) | $ (31,870) | (67,214) | (126,114) | $ (94,443) |
Residential loans held for sale | |||||||||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | |||||||||||
Other Gains and (Losses) | 1,962 | 1,036 | |||||||||
Interest income (expense) | 18 | 18 | |||||||||
Interest (Expense) | (24) | 0 | |||||||||
Total Changes in Fair Values Included in Current Period Earnings | $ 1,956 | $ 1,054 |
Fair Value - Carrying Amounts a
Fair Value - Carrying Amounts and Estimated Fair Values of Financial Instruments, Not Carried at Fair Value (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash, due from banks, money market, and other interest-earning investments | $ 589,712 | $ 276,337 |
Net loans | 13,655,091 | 12,062,905 |
Accrued interest receivable | 85,306 | 85,123 |
Noninterest-bearing demand deposits | 5,633,672 | 4,042,286 |
Other time deposits | 1,122,870 | |
Brokered deposits | 119,557 | 92,242 |
Federal funds purchased and interbank borrowings | 1,166 | 350,414 |
Securities sold under agreements to repurchase | 431,166 | 327,782 |
Federal Home Loan Bank advances | 1,991,435 | 1,822,847 |
Other borrowings | 252,787 | 243,685 |
Carrying Value | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash, due from banks, money market, and other interest-earning investments | 589,712 | 276,337 |
Accrued interest receivable | 85,306 | 85,123 |
Noninterest-bearing demand deposits | 5,633,672 | 4,042,286 |
Checking, NOW, savings, and money market interest-bearing deposits | 10,180,911 | 8,828,881 |
Other time deposits | 1,103,313 | 1,589,988 |
Brokered deposits | 119,557 | 92,242 |
Federal funds purchased and interbank borrowings | 1,166 | 350,414 |
Securities sold under agreements to repurchase | 431,166 | 327,782 |
Federal Home Loan Bank advances | 1,991,435 | 1,822,847 |
Other borrowings | 252,787 | 243,685 |
Accrued interest payable | 5,443 | 8,272 |
Standby letters of credit | 462 | 573 |
Commitments to extend credit | 0 | 0 |
Carrying Value | Commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 3,922,642 | 2,867,711 |
Carrying Value | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 5,867,795 | 5,145,204 |
Carrying Value | Residential real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 2,235,814 | 2,331,990 |
Carrying Value | Consumer credit, net of unearned income | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 1,628,840 | 1,718,000 |
Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash, due from banks, money market, and other interest-earning investments | 589,712 | 276,337 |
Accrued interest receivable | 21 | 15 |
Noninterest-bearing demand deposits | 5,633,672 | 4,042,286 |
Checking, NOW, savings, and money market interest-bearing deposits | 10,180,911 | 8,828,881 |
Other time deposits | 0 | 0 |
Brokered deposits | 0 | 0 |
Federal funds purchased and interbank borrowings | 1,166 | 350,414 |
Securities sold under agreements to repurchase | 431,166 | 327,782 |
Federal Home Loan Bank advances | 0 | 0 |
Other borrowings | 0 | 0 |
Accrued interest payable | 0 | 0 |
Standby letters of credit | 0 | 0 |
Commitments to extend credit | 0 | 0 |
Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 0 | 0 |
Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 0 | 0 |
Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | Residential real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 0 | 0 |
Estimate of Fair Value Measurement | Quoted Prices in Active Markets for Identical Assets (Level 1) | Consumer credit, net of unearned income | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 0 | 0 |
Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash, due from banks, money market, and other interest-earning investments | 0 | 0 |
Accrued interest receivable | 27,977 | 28,185 |
Noninterest-bearing demand deposits | 0 | 0 |
Checking, NOW, savings, and money market interest-bearing deposits | 0 | 0 |
Other time deposits | 1,121,365 | 1,600,214 |
Brokered deposits | 119,514 | 92,355 |
Federal funds purchased and interbank borrowings | 0 | 0 |
Securities sold under agreements to repurchase | 0 | 0 |
Federal Home Loan Bank advances | 2,092,033 | 1,875,089 |
Other borrowings | 254,612 | 254,519 |
Accrued interest payable | 5,443 | 8,272 |
Standby letters of credit | 0 | 0 |
Commitments to extend credit | 0 | 0 |
Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | Commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 0 | 0 |
Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 0 | 0 |
Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | Residential real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 0 | 0 |
Estimate of Fair Value Measurement | Significant Other Observable Inputs (Level 2) | Consumer credit, net of unearned income | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 0 | 0 |
Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Cash, due from banks, money market, and other interest-earning investments | 0 | 0 |
Accrued interest receivable | 57,308 | 56,923 |
Noninterest-bearing demand deposits | 0 | 0 |
Checking, NOW, savings, and money market interest-bearing deposits | 0 | 0 |
Other time deposits | 0 | 0 |
Brokered deposits | 0 | 0 |
Federal funds purchased and interbank borrowings | 0 | 0 |
Securities sold under agreements to repurchase | 0 | 0 |
Federal Home Loan Bank advances | 0 | 0 |
Other borrowings | 0 | 0 |
Accrued interest payable | 0 | 0 |
Standby letters of credit | 462 | 573 |
Commitments to extend credit | 11,822 | 4,302 |
Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | Commercial | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 3,912,948 | 2,831,298 |
Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | Commercial real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 5,797,447 | 5,130,848 |
Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | Residential real estate | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | 2,264,274 | 2,357,341 |
Estimate of Fair Value Measurement | Significant Unobservable Inputs (Level 3) | Consumer credit, net of unearned income | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Net loans | $ 1,618,365 | $ 1,676,253 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Additional Information (Detail) - USD ($) | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Derivative [Line Items] | |||||||||||
Notional amounts | $ 1,452,000,000 | $ 665,500,000 | $ 1,452,000,000 | $ 665,500,000 | |||||||
Percentage of periodic changes in fair value qualifies for hedge accounting treatment | 100.00% | 100.00% | |||||||||
Reclassified interest income (expense) | $ 161,079,000 | $ 145,573,000 | $ 145,671,000 | $ 143,771,000 | 148,899,000 | $ 153,096,000 | $ 155,230,000 | $ 147,048,000 | $ 596,094,000 | 604,273,000 | $ 537,602,000 |
Amount Reclassified from AOCI | Interest Income | |||||||||||
Derivative [Line Items] | |||||||||||
Reclassified interest income (expense) | 6,100,000 | ||||||||||
Amount Reclassified from AOCI | interest expense | |||||||||||
Derivative [Line Items] | |||||||||||
Reclassified interest income (expense) | (1,800,000) | ||||||||||
Fixed Interest Swap | |||||||||||
Derivative [Line Items] | |||||||||||
Notional amounts | 379,000,000 | 130,500,000 | 379,000,000 | 130,500,000 | |||||||
Variable Interest Rate Swap, Available-for-sale Investment Securities | |||||||||||
Derivative [Line Items] | |||||||||||
Notional amounts | 347,500,000 | 347,500,000 | |||||||||
Variable Interest Rate Swap, Borrowings | |||||||||||
Derivative [Line Items] | |||||||||||
Notional amounts | 325,000,000 | 25,000,000 | 325,000,000 | 25,000,000 | |||||||
Variable Interest Rate Collars and Floors | |||||||||||
Derivative [Line Items] | |||||||||||
Notional amounts | 400,000,000 | 400,000,000 | |||||||||
Variable Interest Rate Collar | |||||||||||
Derivative [Line Items] | |||||||||||
Notional amounts | 510,000,000 | 510,000,000 | |||||||||
Interest Rate Lock Commitments | |||||||||||
Derivative [Line Items] | |||||||||||
Notional amounts | 224,700,000 | 65,700,000 | 224,700,000 | 65,700,000 | |||||||
Forward Commitments | |||||||||||
Derivative [Line Items] | |||||||||||
Notional amounts | 261,000,000 | 101,600,000 | 261,000,000 | 101,600,000 | |||||||
Offsetting Counter Party Derivative Instrument | |||||||||||
Derivative [Line Items] | |||||||||||
Notional amounts | 2,008,000,000 | 1,298,000,000 | 2,008,000,000 | 1,298,000,000 | |||||||
Customer Derivative Instrument | |||||||||||
Derivative [Line Items] | |||||||||||
Notional amounts | 2,008,000,000 | 1,298,000,000 | 2,008,000,000 | 1,298,000,000 | |||||||
Foreign Currency Forward Contract | Foreign currency contracts | |||||||||||
Derivative [Line Items] | |||||||||||
Notional amounts | $ 9,900,000 | $ 8,200,000 | $ 9,900,000 | $ 8,200,000 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Summary of Fair Value of Derivative Financial Instruments (Detail) - USD ($) | Dec. 31, 2020 | Dec. 31, 2019 |
Derivative [Line Items] | ||
Total derivative assets | $ 140,201,000 | $ 51,301,000 |
Total derivative liabilities | 18,187,000 | 12,393,000 |
Fair values of counterparty interest rate swaps | 0 | |
Interest rate contracts net adjustment | 100,400,000 | 31,600,000 |
Derivatives designated as hedging instruments | ||
Derivative [Line Items] | ||
Total derivative assets | 17,202,000 | 7,157,000 |
Total derivative liabilities | 1,988,000 | 1,046,000 |
Derivatives designated as hedging instruments | Interest rate contracts | Other assets | ||
Derivative [Line Items] | ||
Total derivative assets | 17,202,000 | 7,157,000 |
Derivatives designated as hedging instruments | Interest rate contracts | Other liabilities | ||
Derivative [Line Items] | ||
Total derivative liabilities | 1,988,000 | 1,046,000 |
Derivatives not designated as hedging instruments | ||
Derivative [Line Items] | ||
Total derivative assets | 122,999,000 | 44,144,000 |
Total derivative liabilities | 16,199,000 | 11,347,000 |
Derivatives not designated as hedging instruments | Interest rate contracts | Other assets | ||
Derivative [Line Items] | ||
Total derivative assets | 113,300,000 | 42,224,000 |
Derivatives not designated as hedging instruments | Interest rate contracts | Other liabilities | ||
Derivative [Line Items] | ||
Total derivative liabilities | 13,676,000 | 10,883,000 |
Derivatives not designated as hedging instruments | Mortgage contracts | Other assets | ||
Derivative [Line Items] | ||
Total derivative assets | 9,375,000 | 1,702,000 |
Derivatives not designated as hedging instruments | Mortgage contracts | Other liabilities | ||
Derivative [Line Items] | ||
Total derivative liabilities | 2,335,000 | 354,000 |
Derivatives not designated as hedging instruments | Foreign currency contracts | Other assets | ||
Derivative [Line Items] | ||
Total derivative assets | 324,000 | 218,000 |
Derivatives not designated as hedging instruments | Foreign currency contracts | Other liabilities | ||
Derivative [Line Items] | ||
Total derivative liabilities | $ 188,000 | $ 110,000 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Summary of Interest Rate Swaps Designated as Fair Value Hedges (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amounts | $ 1,452,000,000 | $ 665,500,000 |
Fixed Interest Swap | Fair Value Hedging | Derivatives designated as hedging instruments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amounts | $ 726,516,000 | $ 130,500,000 |
Weighted average pay rates | 0.63% | 1.82% |
Weighted average receive rates | 1.23% | 2.20% |
Weighted average maturity (in years) | 6 years 10 months 24 days | 2 years 9 months 18 days |
Fair value of swaps | $ 9,766,000 | $ 1,555,000 |
Derivative Financial Instrume_6
Derivative Financial Instruments - Schedule of Effect of Derivative Instruments on the Consolidated Statements of Income (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) Recognized in Other Comprehensive Income on Derivative | $ 8,261 | $ (543) | |
Gain (Loss) Reclassified from AOCI into Income | 5,153 | 596 | |
Derivatives not designated as hedging instruments | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) Recognized in Income on Derivative | 5,154 | 665 | $ (154) |
Interest rate contracts | Interest income/(expense) | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) Recognized in Other Comprehensive Income on Derivative | 8,261 | (543) | 5,145 |
Gain (Loss) Reclassified from AOCI into Income | 5,153 | 596 | (150) |
Interest rate contracts | Interest income/(expense) | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) Recognized in Income on Derivative | 8,211 | ||
Gain (Loss) Recognized in Income on Related Hedged Items | (8,250) | ||
Interest rate contracts | Other income/(expense) | Derivatives not designated as hedging instruments | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) Recognized in Income on Derivative | (551) | (174) | (7) |
Fixed-rate debt | Interest income/(expense) | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) Recognized in Income on Derivative | 7,238 | 12,577 | 7,662 |
Gain (Loss) Recognized in Income on Related Hedged Items | (7,283) | (12,587) | (7,634) |
Fixed-rate investment securities | Interest income/(expense) | Fair Value Hedging | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) Recognized in Income on Derivative | 973 | ||
Gain (Loss) Recognized in Income on Related Hedged Items | (967) | ||
Mortgage contracts | Mortgage banking revenue | Derivatives not designated as hedging instruments | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) Recognized in Income on Derivative | 5,692 | 789 | (189) |
Foreign currency contracts | Other income/(expense) | Derivatives not designated as hedging instruments | |||
Derivative Instruments, Gain (Loss) [Line Items] | |||
Gain (Loss) Recognized in Income on Derivative | $ 13 | $ 50 | $ 42 |
Derivative Financial Instrume_7
Derivative Financial Instruments - Summary of Interest Rate Swap Designated as Cash Flow Hedges (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Derivative [Line Items] | ||
Notional amounts | $ 1,452,000,000 | $ 665,500,000 |
Variable Interest Rate Swap | Cash Flow Hedging | Derivatives designated as hedging instruments | ||
Derivative [Line Items] | ||
Notional amounts | $ 325,000,000 | $ 25,000,000 |
Weighted average pay rates | 0.74% | 3.52% |
Weighted average receive rates | 0.39% | 1.93% |
Weighted average maturity (in years) | 3 years 6 months | 2 years 1 month 6 days |
Unrealized gains (losses) | $ (1,188,000) | $ (954,000) |
Derivative Financial Instrume_8
Derivative Financial Instruments - Summary of Collars Designated as Cash Flow Hedges (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amounts | $ 1,452,000,000 | $ 665,500,000 |
Variable Interest Rate Collar | Cash Flow Hedging | Derivatives designated as hedging instruments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amounts | $ 300,000,000 | $ 300,000,000 |
Weighted average cap rates | 3.21% | 3.21% |
Weighted average floor rates | 2.21% | 2.21% |
Weighted average rates | 0.15% | 1.70% |
Weighted average maturity (in years) | 9 months 18 days | 1 year 10 months 24 days |
Unrealized gains (losses) | $ 5,244,000 | $ 3,691,000 |
Derivative Financial Instrume_9
Derivative Financial Instruments - Schedule of Floor Spread Transactions Designated as Cash Flow Hedges (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amounts | $ 1,452,000,000 | $ 665,500,000 |
Interest Rate Floor | Cash Flow Hedging | Derivatives designated as hedging instruments | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amounts | $ 100,000,000 | $ 210,000,000 |
Weighted average floor strike rate | 0.75% | 2.00% |
Weighted average sold floor rate | 1.00% | |
Weighted average rates | 0.15% | 1.70% |
Weighted average maturity (in years) | 2 years 3 months 18 days | 2 years 1 month 6 days |
Unrealized gains (losses) | $ 1,392,000 | $ 1,820,000 |
Commitments and Contingencies (
Commitments and Contingencies (Detail) | 12 Months Ended | ||
Dec. 31, 2020USD ($)shares | Jan. 01, 2020USD ($) | Dec. 31, 2019USD ($) | |
Loss Contingencies [Line Items] | |||
Loan commitments | $ 3,720,000,000 | $ 2,779,000,000 | |
Standby letters of credit | 86,900,000 | 87,800,000 | |
Fixed rate loan commitment | 3,463,000,000 | ||
Floating rate loan commitment | $ 257,800,000 | ||
Loan commitments floating rate, minimum | 0.00% | ||
Loan commitments floating rate, maximum | 14.00% | ||
Allowance for unfunded loan commitments | $ 11,700,000 | 2,700,000 | |
Extended credit | 7,900,000 | 8,700,000 | |
Credit extensions with collateral | $ 7,500,000 | $ 7,700,000 | |
Class B Restricted Shares | Visa | |||
Loss Contingencies [Line Items] | |||
Restricted stock conversion ratio | 1.6228 | ||
Investment owned, balance (in shares) | shares | 65,466 | ||
Investment owned, at cost | $ 0 | ||
Adjustment | |||
Loss Contingencies [Line Items] | |||
Increase in allowance for credit losses on unfunded loan | $ 4,549,000 |
Financial Guarantees (Detail)
Financial Guarantees (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Financial Guarantees [Line Items] | ||
Term of standby letters of credit, years | 1 year | |
Notional amount of standby letters of credit | $ 86,900,000 | $ 87,800,000 |
Carrying value of letters of credit | 500,000 | 600,000 |
Notional amounts | 1,452,000,000 | $ 665,500,000 |
Interest Rate Swap | ||
Financial Guarantees [Line Items] | ||
Notional amounts | $ 54,300,000 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Disaggregation of Revenue [Line Items] | |||
Noninterest income within scope of Topic 606 | $ 118,433 | $ 130,804 | $ 127,364 |
Wealth management fees | |||
Disaggregation of Revenue [Line Items] | |||
Noninterest income within scope of Topic 606 | 36,806 | 37,072 | 36,863 |
Service charges on deposit accounts | |||
Disaggregation of Revenue [Line Items] | |||
Noninterest income within scope of Topic 606 | 35,081 | 44,915 | 44,026 |
Debit card and ATM fees | |||
Disaggregation of Revenue [Line Items] | |||
Noninterest income within scope of Topic 606 | 20,178 | 21,652 | 20,216 |
Investment product fees | |||
Disaggregation of Revenue [Line Items] | |||
Noninterest income within scope of Topic 606 | 21,614 | 21,785 | 20,539 |
Merchant processing fees | |||
Disaggregation of Revenue [Line Items] | |||
Noninterest income within scope of Topic 606 | 3,150 | 3,105 | 2,927 |
Gain (loss) on other real estate owned | |||
Disaggregation of Revenue [Line Items] | |||
Noninterest income within scope of Topic 606 | 240 | 254 | 1,270 |
Safe deposit box fees | |||
Disaggregation of Revenue [Line Items] | |||
Noninterest income within scope of Topic 606 | 957 | 1,206 | 1,124 |
Insurance premiums and commissions | |||
Disaggregation of Revenue [Line Items] | |||
Noninterest income within scope of Topic 606 | $ 407 | $ 815 | $ 399 |
Regulatory Restrictions - Addit
Regulatory Restrictions - Additional Information (Detail) - USD ($) $ in Millions | 12 Months Ended | |
Dec. 31, 2020 | Dec. 31, 2019 | |
Compliance With Regulatory Capital Requirements Under Banking Regulations [Abstract] | ||
Reserve balances | $ 115.3 | |
Cash and due from banks held as collateral | $ 7.8 | $ 6.9 |
Dividend approval threshold, years | 2 years |
Regulatory Restrictions - Sched
Regulatory Restrictions - Schedule of Capital Ratios (Detail) $ in Thousands | Dec. 31, 2020USD ($) | Dec. 31, 2019USD ($) |
Minimum | Basel III Capital Rules | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Tier 1 capital to average assets Fully Phased-In Regulatory Guidelines Minimum, Ratio | 0.040 | |
Old National Bancorp | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total capital to risk-weighted assets Actual, Amount | $ 1,949,757 | $ 1,828,312 |
Common equity Tier 1 capital to risk-weighted assets Actual, Amount | 1,805,194 | 1,706,727 |
Tier 1 capital to risk-weighted assets Actual, Amount | 1,805,194 | 1,706,727 |
Tier 1 capital to average assets Actual, Amount | $ 1,805,194 | $ 1,706,727 |
Total capital to risk-weighted assets Actual, Ratio | 0.1269 | 0.1299 |
Common equity Tier 1 capital to risk-weighted assets Actual, Ratio | 11.75% | 12.13% |
Tier 1 capital to risk-weighted assets Actual, Ratio | 0.1175 | 0.1213 |
Tier 1 capital to average assets Actual, Ratio | 0.0820 | 0.0888 |
Total capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Amount | $ 1,613,753 | $ 1,477,763 |
Common equity Tier 1 capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Amount | 1,075,835 | 985,175 |
Tier 1 capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Amount | 1,306,371 | 1,196,284 |
Tier 1 capital to average assets Fully Phased-In Regulatory Guidelines Minimum, Amount | $ 880,845 | $ 768,537 |
Total capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Ratio | 0.1050 | 0.1050 |
Common equity Tier 1 capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Ratio | 7.00% | 7.00% |
Tier 1 capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Ratio | 0.0850 | 0.0850 |
Tier 1 capital to average assets Fully Phased-In Regulatory Guidelines Minimum, Ratio | 0.0400 | 0.0400 |
Old National Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total capital to risk-weighted assets Actual, Amount | $ 1,973,180 | $ 1,891,612 |
Common equity Tier 1 capital to risk-weighted assets Actual, Amount | 1,870,617 | 1,822,337 |
Tier 1 capital to risk-weighted assets Actual, Amount | 1,870,617 | 1,822,737 |
Tier 1 capital to average assets Actual, Amount | $ 1,870,617 | $ 1,822,737 |
Total capital to risk-weighted assets Actual, Ratio | 0.1290 | 0.1350 |
Common equity Tier 1 capital to risk-weighted assets Actual, Ratio | 12.23% | 13.01% |
Tier 1 capital to risk-weighted assets Actual, Ratio | 0.1223 | 0.1301 |
Tier 1 capital to average assets Actual, Ratio | 0.0867 | 0.0962 |
Total capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Amount | $ 1,606,657 | $ 1,471,122 |
Common equity Tier 1 capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Amount | 1,071,104 | 980,748 |
Tier 1 capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Amount | 1,300,627 | 1,190,909 |
Tier 1 capital to average assets Fully Phased-In Regulatory Guidelines Minimum, Amount | $ 863,087 | $ 757,783 |
Total capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Ratio | 0.1050 | 0.1050 |
Common equity Tier 1 capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Ratio | 7.00% | 7.00% |
Tier 1 capital to risk-weighted assets Fully Phased-In Regulatory Guidelines Minimum, Ratio | 0.0850 | 0.0850 |
Tier 1 capital to average assets Fully Phased-In Regulatory Guidelines Minimum, Ratio | 0.0400 | 0.0400 |
Total capital to risk-weighted assets Well Capitalized Guidelines, Amount | $ 1,530,149 | $ 1,401,069 |
Common equity Tier 1 capital to risk-weighted assets Well Capitalized Guidelines, Amount | 994,597 | 910,695 |
Tier 1 capital to risk-weighted assets Well Capitalized Guidelines, Amount | 1,224,119 | 1,120,855 |
Tier 1 capital to average assets Well Capitalized Guidelines, Amount | $ 1,078,859 | $ 947,228 |
Total capital to risk-weighted assets Well Capitalized Guidelines, Ratio | 0.1000 | 0.1000 |
Common equity Tier 1 capital to risk-weighted assets Well Capitalized Guidelines, Ratio | 6.50% | 6.50% |
Tier 1 capital to risk-weighted assets Well Capitalized Guidelines, Ratio | 0.0800 | 0.0800 |
Tier 1 capital to average assets Well Capitalized Guidelines, Ratio | 0.0500 | 0.0500 |
Parent Company Financial Stat_3
Parent Company Financial Statements - Condensed Balance Sheets (Detail) - USD ($) $ in Thousands | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Assets | ||||
Equity securities, at fair value | $ 2,547 | $ 6,842 | ||
Total investment securities - available-for-sale | 5,970,115 | 5,385,091 | ||
Other assets | 345,445 | 251,904 | ||
Total assets | 22,960,622 | 20,411,667 | ||
Liabilities and Shareholders' Equity | ||||
Other borrowings | 252,787 | 243,685 | ||
Shareholders' equity | 2,972,656 | 2,852,453 | $ 2,689,570 | $ 2,154,397 |
Total liabilities and shareholders' equity | 22,960,622 | 20,411,667 | ||
Old National Bancorp | ||||
Assets | ||||
Deposits in affiliate bank | 73,340 | 41,289 | ||
Equity securities, at fair value | 2,435 | 6,724 | ||
Total investment securities - available-for-sale | 14,198 | 4,018 | ||
Investment in affiliates, Banking subsidiaries | 3,037,930 | 2,966,575 | ||
Investment in affiliates, Non-banks | 4,969 | 4,885 | ||
Other assets | 89,776 | 89,093 | ||
Total assets | 3,222,648 | 3,112,584 | ||
Liabilities and Shareholders' Equity | ||||
Other liabilities | 36,746 | 36,369 | ||
Other borrowings | 213,246 | 223,762 | ||
Shareholders' equity | 2,972,656 | 2,852,453 | ||
Total liabilities and shareholders' equity | $ 3,222,648 | $ 3,112,584 |
Parent Company Financial Stat_4
Parent Company Financial Statements - Condensed Statements of Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Income | |||||||||||
Debt securities gains (losses), net | $ 10,767 | $ 1,923 | $ 2,060 | ||||||||
Expense | |||||||||||
Interest on borrowings | $ 12,170 | $ 14,513 | $ 16,303 | $ 24,228 | $ 27,654 | $ 32,757 | $ 33,833 | $ 31,870 | 67,214 | 126,114 | 94,443 |
Other expenses | 58,774 | 34,144 | 43,789 | ||||||||
Income before income taxes | 78,413 | 90,098 | 61,466 | 25,579 | 60,618 | 83,035 | 77,323 | 69,380 | 255,556 | 290,356 | 208,680 |
Income tax expense (benefit) | 4,293 | 12,154 | 9,761 | 2,939 | 11,433 | 13,254 | 14,359 | 13,104 | 29,147 | 52,150 | 17,850 |
Net income | $ 74,120 | $ 77,944 | $ 51,705 | $ 22,640 | $ 49,185 | $ 69,781 | $ 62,964 | $ 56,276 | 226,409 | 238,206 | 190,830 |
Old National Bancorp | |||||||||||
Income | |||||||||||
Dividends from affiliates | 230,000 | 165,000 | 105,000 | ||||||||
Debt securities gains (losses), net | 574 | 631 | 49 | ||||||||
Other income | 3,622 | 2,209 | 2,126 | ||||||||
Other income from affiliates | 5 | 5 | 5 | ||||||||
Total income | 234,201 | 167,845 | 107,180 | ||||||||
Expense | |||||||||||
Interest on borrowings | 8,649 | 10,203 | 10,425 | ||||||||
Other expenses | 16,351 | 15,505 | 21,936 | ||||||||
Total expense | 25,000 | 25,708 | 32,361 | ||||||||
Income before income taxes | 209,201 | 142,137 | 74,819 | ||||||||
Income tax expense (benefit) | (5,317) | (6,165) | (5,693) | ||||||||
Income before equity in undistributed earnings of affiliates | 214,518 | 148,302 | 80,512 | ||||||||
Equity in undistributed earnings of affiliates | 11,891 | 89,904 | 110,318 | ||||||||
Net income | $ 226,409 | $ 238,206 | $ 190,830 |
Parent Company Financial Stat_5
Parent Company Financial Statements - Condensed Statement of Cash Flows (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | |
Cash Flows From Operating Activities | |||
Net income | $ 226,409 | $ 238,206 | $ 190,830 |
Adjustments to reconcile net income to cash provided by operating activities: | |||
Depreciation | 28,911 | 26,719 | 23,773 |
Debt securities (gains) losses, net | (10,767) | (1,923) | (2,060) |
Share-based compensation expense | 7,707 | 7,993 | 8,118 |
(Increase) decrease in other assets | (105,203) | 23,322 | 8,578 |
Increase (decrease) in other liabilities | 20,210 | (24,944) | (1,443) |
Net cash flows provided by (used in) operating activities | 219,820 | 233,756 | 234,407 |
Cash Flows From Investing Activities | |||
Proceeds from sales of equity securities | 39,296 | 130 | 128 |
Purchases of investment securities | (2,803,406) | (2,366,089) | (663,338) |
Proceeds from sales of premises and equipment | 7,826 | 3,769 | 7,341 |
Purchases of premises and equipment | (30,871) | (37,423) | (33,391) |
Net cash flows provided by (used in) investing activities | (2,141,452) | (525,404) | (271,416) |
Cash Flows From Financing Activities | |||
Cash dividends paid on common stock | (92,946) | (89,474) | (82,161) |
Common stock repurchased | (82,358) | (102,413) | (1,805) |
Proceeds from exercise of stock options | 0 | 280 | 948 |
Common stock issued | 577 | 567 | 497 |
Net cash flows provided by (used in) financing activities | 2,235,007 | 250,820 | 63,742 |
Cash and cash equivalents at beginning of period | 276,337 | 317,165 | 290,432 |
Cash and cash equivalents at end of period | 589,712 | 276,337 | 317,165 |
Old National Bancorp | |||
Cash Flows From Operating Activities | |||
Net income | 226,409 | 238,206 | 190,830 |
Adjustments to reconcile net income to cash provided by operating activities: | |||
Depreciation | 46 | 52 | 53 |
Debt securities (gains) losses, net | (574) | (631) | (49) |
Share-based compensation expense | 7,707 | 7,993 | 8,118 |
(Increase) decrease in other assets | (51) | (3,685) | 28,754 |
Increase (decrease) in other liabilities | 1,084 | 1,046 | 3,147 |
Equity in undistributed earnings of affiliates | (11,891) | (89,904) | (110,318) |
Net cash flows provided by (used in) operating activities | 222,730 | 153,077 | 120,535 |
Cash Flows From Investing Activities | |||
Net cash and cash equivalents of acquisitions | 0 | 0 | 8,281 |
Proceeds from dissolution of subsidiary | 0 | 224 | 0 |
Proceeds from sales of equity securities | 4,431 | 130 | 128 |
Purchases of investment securities | (10,073) | (3,085) | (76) |
Proceeds from sales of premises and equipment | 354 | 847 | 1,065 |
Purchases of premises and equipment | (354) | (869) | (945) |
Net cash flows provided by (used in) investing activities | (5,642) | (2,753) | 8,453 |
Cash Flows From Financing Activities | |||
Payments for maturities/redemptions of other borrowings | (10,310) | (8,000) | 0 |
Cash dividends paid on common stock | (92,946) | (89,474) | (82,161) |
Common stock repurchased | (82,358) | (102,413) | (1,805) |
Proceeds from exercise of stock options | 0 | 280 | 948 |
Common stock issued | 577 | 567 | 497 |
Net cash flows provided by (used in) financing activities | (185,037) | (199,040) | (82,521) |
Net increase (decrease) in cash and cash equivalents | 32,051 | (48,716) | 46,467 |
Cash and cash equivalents at beginning of period | 41,289 | 90,005 | 43,538 |
Cash and cash equivalents at end of period | $ 73,340 | $ 41,289 | $ 90,005 |
Segment Information (Detail)
Segment Information (Detail) | 12 Months Ended |
Dec. 31, 2020Segment | |
Community Banking Segment | |
Segment Reporting Information [Line Items] | |
Number of reportable operating segment | 1 |
Interim Financial Data (Unaud_3
Interim Financial Data (Unaudited) (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 12 Months Ended | ||||||||||||
Dec. 31, 2020 | Sep. 30, 2020 | Jun. 30, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2020 | Dec. 31, 2019 | Dec. 31, 2018 | ||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||||
Interest income | $ 173,249 | $ 160,086 | $ 161,974 | $ 167,999 | $ 176,553 | $ 185,853 | $ 189,063 | $ 178,918 | $ 663,308 | $ 730,387 | $ 632,045 | |||
Interest expense | 12,170 | 14,513 | 16,303 | 24,228 | 27,654 | 32,757 | 33,833 | 31,870 | 67,214 | 126,114 | 94,443 | |||
Net interest income | 161,079 | 145,573 | 145,671 | 143,771 | 148,899 | 153,096 | 155,230 | 147,048 | 596,094 | 604,273 | 537,602 | |||
Provision for loan losses | (1,100) | 0 | 22,545 | 16,950 | 1,264 | 1,437 | 1,003 | 1,043 | 38,395 | [1] | 4,747 | [1] | 6,966 | [1] |
Noninterest income | 58,552 | 64,759 | 58,461 | 57,502 | 47,726 | 53,961 | 51,214 | 46,416 | 239,274 | 199,317 | 195,305 | |||
Noninterest expense | 142,318 | 120,234 | 120,121 | 158,744 | 134,743 | 122,585 | 128,118 | 123,041 | 541,417 | 508,487 | 517,261 | |||
Income before income taxes | 78,413 | 90,098 | 61,466 | 25,579 | 60,618 | 83,035 | 77,323 | 69,380 | 255,556 | 290,356 | 208,680 | |||
Income tax expense | 4,293 | 12,154 | 9,761 | 2,939 | 11,433 | 13,254 | 14,359 | 13,104 | 29,147 | 52,150 | 17,850 | |||
Net income | $ 74,120 | $ 77,944 | $ 51,705 | $ 22,640 | $ 49,185 | $ 69,781 | $ 62,964 | $ 56,276 | $ 226,409 | $ 238,206 | $ 190,830 | |||
Net income per common share - basic (in dollars per share) | $ 0.45 | $ 0.47 | $ 0.32 | $ 0.13 | $ 0.29 | $ 0.41 | $ 0.37 | $ 0.32 | $ 1.37 | $ 1.39 | $ 1.23 | |||
Net income per common share - diluted (in dollars per share) | $ 0.44 | $ 0.47 | $ 0.32 | $ 0.13 | $ 0.29 | $ 0.41 | $ 0.36 | $ 0.32 | $ 1.36 | $ 1.38 | $ 1.22 | |||
Weighted average number of common shares outstanding - basic (in shares) | 164,799 | 164,773 | 164,732 | 167,748 | 169,235 | 170,746 | 172,985 | 174,734 | 165,509 | 171,907 | 155,675 | |||
Weighted average number of common shares outstanding - diluted (in shares) | 165,631 | 165,419 | 165,302 | 168,404 | 170,186 | 171,551 | 173,675 | 175,368 | 166,177 | 172,687 | 156,539 | |||
ONB Way Strategic Initiative | ||||||||||||||
Restructuring Cost and Reserve [Line Items] | ||||||||||||||
Noninterest expense | $ 31,200 | |||||||||||||
[1] | Beginning January 1, 2020, calculation is based on current expected loss methodology. Prior to January 1, 2020, calculation was based on incurred loss methodology. |
Uncategorized Items - onb-20201
Label | Element | Value |
CARES Act Modification Program [Member] | ||
Financing Receivable, Non-Troubled Debt Restructuring Modifications, Amount | onb_FinancingReceivableNonTroubledDebtRestructuringModificationsAmount | $ 1,303,544,000 |
Commercial And Commercial Real Estate Portfolio Segments [Member] | CARES Act Modification Program [Member] | ||
Financing Receivable, Non-Troubled Debt Restructuring Modifications, Amount | onb_FinancingReceivableNonTroubledDebtRestructuringModificationsAmount | 1,170,119,000 |
Residential Portfolio Segment [Member] | CARES Act Modification Program [Member] | ||
Financing Receivable, Non-Troubled Debt Restructuring Modifications, Amount | onb_FinancingReceivableNonTroubledDebtRestructuringModificationsAmount | 78,639,000 |
Consumer Portfolio Segment [Member] | CARES Act Modification Program [Member] | ||
Financing Receivable, Non-Troubled Debt Restructuring Modifications, Amount | onb_FinancingReceivableNonTroubledDebtRestructuringModificationsAmount | $ 54,786,000 |