Document and Entity Information
Document and Entity Information | 6 Months Ended |
Jun. 30, 2019shares | |
Document And Entity Information [Abstract] | |
Document Type | 10-Q |
Amendment Flag | false |
Document Period End Date | Jun. 30, 2019 |
Document Fiscal Year Focus | 2019 |
Document Fiscal Period Focus | Q2 |
Trading Symbol | ONB |
Security Exchange Name | NASDAQ |
Entity Registrant Name | Old National Bancorp /IN/ |
Entity Central Index Key | 0000707179 |
Current Fiscal Year End Date | --12-31 |
Entity Filer Category | Large Accelerated Filer |
Entity Small Business | false |
Entity Emerging Growth Company | false |
Title of 12(b) Security | Common Stock |
Entity Common Stock, Shares Outstanding | 172,231,000 |
Entity Current Reporting Status | Yes |
Entity Interactive Data Current | Yes |
Entity Shell Company | false |
Entity File Number | 1-15817 |
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 |
Document Quarterly Report | true |
Document Transition Report | false |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Assets | |||
Cash and due from banks | $ 239,831 | $ 284,003 | $ 219,626 |
Money market and other interest-earning investments | 61,155 | 33,162 | 54,248 |
Total cash and cash equivalents | 300,986 | 317,165 | 273,874 |
Equity securities | 6,234 | 5,582 | 5,596 |
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 4,667,226 | 4,123,416 | 3,181,665 |
Investment securities - held-to-maturity, at amortized cost (fair value $486,728; $506,103; and $524,597, respectively) | 470,868 | 506,334 | 525,718 |
Federal Home Loan Bank/Federal Reserve Bank stock, at cost | 157,400 | 142,980 | 136,206 |
Loans held for sale, at fair value | 37,904 | 14,911 | 26,198 |
Loans: | |||
Total loans | 12,046,578 | 12,243,892 | 11,295,629 |
Allowance for loan losses | (56,292) | (55,461) | (53,660) |
Net loans | 11,990,286 | 12,188,431 | 11,241,969 |
Premises and equipment, net | 493,481 | 485,912 | 449,304 |
Operating lease right-of-use assets | 106,222 | 0 | 0 |
Accrued interest receivable | 90,543 | 89,464 | 81,290 |
Goodwill | 1,036,258 | 1,036,258 | 828,804 |
Other intangible assets | 68,220 | 77,016 | 45,417 |
Company-owned life insurance | 445,749 | 444,224 | 405,492 |
Net deferred tax assets | 36,002 | 87,048 | 90,187 |
Loan servicing rights | 24,332 | 24,497 | 24,303 |
Other assets | 213,574 | 185,197 | 166,967 |
Total assets | 20,145,285 | 19,728,435 | 17,482,990 |
Deposits: | |||
Noninterest-bearing demand | 3,771,888 | 3,965,380 | 3,600,793 |
Interest-bearing: | |||
Checking and NOW | 3,950,161 | 3,788,339 | 3,054,302 |
Savings | 2,877,673 | 2,944,092 | 3,026,110 |
Money market | 1,819,716 | 1,627,882 | 1,090,621 |
Time | 1,943,663 | 2,024,256 | 1,824,550 |
Total deposits | 14,363,101 | 14,349,949 | 12,596,376 |
Federal funds purchased and interbank borrowings | 410,036 | 270,135 | 175,044 |
Securities sold under agreements to repurchase | 334,540 | 362,294 | 347,511 |
Federal Home Loan Bank advances | 1,730,065 | 1,613,481 | 1,757,308 |
Other borrowings | 251,840 | 247,883 | 250,241 |
Operating lease liabilities | 110,596 | 0 | 0 |
Accrued expenses and other liabilities | 141,968 | 195,123 | 156,295 |
Total liabilities | 17,342,146 | 17,038,865 | 15,282,775 |
Shareholders' Equity | |||
Preferred stock, 2,000 shares authorized, no shares issued or outstanding | 0 | 0 | 0 |
Common stock, $1.00 per share stated value, 300,000 shares authorized, 172,231; 175,141; and 152,351 shares issued and outstanding, respectively | 172,231 | 175,141 | 152,351 |
Capital surplus | 1,981,205 | 2,031,695 | 1,642,790 |
Retained earnings | 607,666 | 527,684 | 471,777 |
Accumulated other comprehensive income (loss), net of tax | 42,037 | (44,950) | (66,703) |
Total shareholders' equity | 2,803,139 | 2,689,570 | 2,200,215 |
Total liabilities and shareholders' equity | 20,145,285 | 19,728,435 | 17,482,990 |
U.S. Treasury [Member] | |||
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 5,466 | 5,301 | 5,257 |
U.S. Government-Sponsored Entities and Agencies [Member] | |||
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 645,458 | 628,151 | 568,231 |
Investment securities - held-to-maturity, at amortized cost (fair value $486,728; $506,103; and $524,597, respectively) | 74,403 | 73,986 | |
Mortgage-Backed Securities - Agency [Member] | |||
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 2,781,515 | 2,209,295 | 1,448,526 |
Investment securities - held-to-maturity, at amortized cost (fair value $486,728; $506,103; and $524,597, respectively) | 118,720 | 127,120 | |
States and Political Subdivisions [Member] | |||
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 908,566 | 940,429 | 797,533 |
Investment securities - held-to-maturity, at amortized cost (fair value $486,728; $506,103; and $524,597, respectively) | 277,745 | 305,228 | |
Other Debt Securities Including Pooled Trust Preferred Securities [Member] | |||
Investment securities - available-for-sale, at fair value: | |||
Total investment securities - available-for-sale | 326,221 | 340,240 | 362,118 |
Commercial Loan [Member] | |||
Loans: | |||
Total loans | 3,074,849 | 3,232,970 | 2,962,895 |
Allowance for loan losses | (22,548) | (21,742) | (21,387) |
Commercial Real Estate [Member] | |||
Loans: | |||
Total loans | 4,993,693 | 4,958,851 | 4,451,772 |
Allowance for loan losses | (23,311) | (23,470) | (22,498) |
Consumer Loan [Member] | |||
Loans: | |||
Total loans | 1,755,838 | 1,803,667 | 1,726,989 |
Allowance for loan losses | (8,164) | (7,972) | (7,908) |
Residential Real Estate [Member] | |||
Loans: | |||
Total loans | $ 2,222,198 | $ 2,248,404 | $ 2,153,973 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Investment securities - held-to-maturity, fair value | $ 486,728 | $ 506,103 | $ 524,597 |
Common stock, stated value | $ 1 | $ 1 | $ 1 |
Authorized and unissued common shares reserved for issuance | 300,000,000 | 300,000,000 | 300,000,000 |
Common stock, shares issued | 172,231,000 | 175,141,000 | 152,351,000 |
Common stock, shares outstanding | 172,231,000 | 175,141,000 | 152,351,000 |
Series A Preferred Stock [Member] | |||
Preferred stock, shares authorized | 2,000,000 | 2,000,000 | 2,000,000 |
Preferred stock, shares issued | 0 | 0 | 0 |
Preferred stock, shares outstanding | 0 | 0 | 0 |
Consolidated Statements of Inco
Consolidated Statements of Income (unaudited) - USD ($) shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Loans including fees: | ||||
Taxable | $ 148,253 | $ 124,610 | $ 287,225 | $ 242,999 |
Nontaxable | 3,986 | 3,984 | 8,209 | 7,858 |
Investment securities: | ||||
Taxable | 29,241 | 18,367 | 57,278 | 37,171 |
Nontaxable | 7,249 | 6,658 | 14,657 | 13,207 |
Money market and other interest-earning investments | 334 | 117 | 612 | 207 |
Total interest income | 189,063 | 153,736 | 367,981 | 301,442 |
Interest Expense | ||||
Deposits | 18,519 | 9,139 | 34,963 | 16,394 |
Federal funds purchased and interbank borrowings | 1,817 | 647 | 3,735 | 1,664 |
Securities sold under agreements to repurchase | 671 | 434 | 1,333 | 793 |
Federal Home Loan Bank advances | 10,039 | 8,824 | 19,970 | 16,604 |
Other borrowings | 2,787 | 2,729 | 5,702 | 5,452 |
Total interest expense | 33,833 | 21,773 | 65,703 | 40,907 |
Net interest income | 155,230 | 131,963 | 302,278 | 260,535 |
Provision for loan losses | 1,003 | 2,446 | 2,046 | 2,826 |
Net interest income after provision for loan losses | 154,227 | 129,517 | 300,232 | 257,709 |
Noninterest Income | ||||
Wealth management fees | 9,909 | 9,746 | 18,444 | 18,772 |
Service charges on deposit accounts | 11,515 | 10,765 | 22,341 | 21,524 |
Debit card and ATM fees | 5,419 | 5,080 | 10,922 | 9,945 |
Mortgage banking revenue | 7,135 | 5,189 | 12,146 | 9,381 |
Investment product fees | 5,591 | 5,066 | 10,862 | 10,097 |
Capital markets income | 3,150 | 896 | 5,667 | 1,394 |
Company-owned life insurance | 2,711 | 2,430 | 5,899 | 5,035 |
Net debt securities gains (losses) | 1,165 | 1,494 | 1,062 | 2,282 |
Other income | 4,619 | 8,623 | 10,287 | 12,764 |
Total noninterest income | 51,214 | 49,289 | 97,630 | 91,194 |
Noninterest Expense | ||||
Salaries and employee benefits | 71,566 | 66,592 | 142,749 | 130,771 |
Occupancy | 14,559 | 12,873 | 29,137 | 26,153 |
Equipment | 4,517 | 3,728 | 8,991 | 7,293 |
Marketing | 4,439 | 3,962 | 8,162 | 7,659 |
Data processing | 10,207 | 9,724 | 19,548 | 18,124 |
Communication | 2,849 | 2,772 | 5,903 | 5,836 |
Professional fees | 4,921 | 2,923 | 7,831 | 5,653 |
Loan expenses | 1,657 | 1,843 | 3,569 | 3,587 |
FDIC assessment | 1,454 | 3,161 | 3,541 | 5,806 |
Amortization of intangibles | 4,325 | 3,416 | 8,797 | 7,025 |
Amortization of tax credit investments | 568 | 11,858 | 828 | 12,574 |
Other expense | 7,056 | 7,608 | 12,103 | 17,136 |
Total noninterest expense | 128,118 | 130,460 | 251,159 | 247,617 |
Income before income taxes | 77,323 | 48,346 | 146,703 | 101,286 |
Income tax expense | 14,359 | 4,345 | 27,463 | 9,302 |
Net income | $ 62,964 | $ 44,001 | $ 119,240 | $ 91,984 |
Net income per common share - basic | $ 0.37 | $ 0.29 | $ 0.69 | $ 0.61 |
Net income per common share - diluted | $ 0.36 | $ 0.29 | $ 0.68 | $ 0.60 |
Weighted average number of common shares outstanding - basic | 172,985 | 151,878 | 173,855 | 151,800 |
Weighted average number of common shares outstanding - diluted | 173,675 | 152,568 | 174,531 | 152,483 |
Dividends per common share | $ 0.13 | $ 0.13 | $ 0.26 | $ 0.26 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income (unaudited) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Statement Of Income And Comprehensive Income [Abstract] | ||||
Net income | $ 62,964 | $ 44,001 | $ 119,240 | $ 91,984 |
Change in debt securities available-for-sale: | ||||
Unrealized holding gains (losses) for the period | 51,249 | (7,327) | 113,514 | (33,121) |
Reclassification for securities transferred to held-to-maturity | 14,007 | |||
Reclassification adjustment for securities (gains) losses realized in income | (1,165) | (1,494) | (1,062) | (2,282) |
Income tax effect | (11,825) | 2,070 | (26,403) | 5,180 |
Unrealized gains (losses) on available-for-sale debt securities | 38,259 | (6,751) | 86,049 | (16,216) |
Change in securities held-to-maturity: | ||||
Adjustment for securities transferred to available-for-sale | 19,412 | |||
Adjustment for securities transferred from available-for-sale | (14,007) | |||
Amortization of unrealized losses on securities transferred from available-for-sale | 564 | 521 | 1,021 | 1,112 |
Income tax effect | (129) | (119) | (235) | (1,145) |
Changes from securities held-to-maturity | 435 | 402 | 786 | 5,372 |
Cash flow hedges: | ||||
Net unrealized derivative gains (losses) on cash flow hedges | 944 | 1,516 | 552 | 6,079 |
Reclassification adjustment for (gains) losses realized in net income | (6) | 10 | (391) | 779 |
Income tax effect | (231) | (375) | (40) | (1,683) |
Changes from cash flow hedges | 707 | 1,151 | 121 | 5,175 |
Defined benefit pension plans: | ||||
Amortization of net loss recognized in income | 21 | 27 | 41 | 54 |
Income tax effect | (5) | (6) | (10) | (13) |
Changes from defined benefit pension plans | 16 | 21 | 31 | 41 |
Other comprehensive income (loss), net of tax | 39,417 | (5,177) | 86,987 | (5,628) |
Comprehensive income | $ 102,381 | $ 38,824 | $ 206,227 | $ 86,356 |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity (unaudited) - USD ($) $ in Thousands | Total | Common Stock [Member] | Capital Surplus [Member] | Retained Earnings [Member] | Accumulated Other Comprehensive Income (Loss) [Member] |
Cumulative effect of change in accounting principles | $ (4,179) | $ (4,127) | $ (52) | ||
Beginning Balance at Dec. 31, 2017 | 2,154,397 | $ 152,040 | $ 1,639,499 | 413,130 | (50,272) |
Balance at Dec. 31, 2017 | 2,150,218 | 152,040 | 1,639,499 | 409,003 | (50,324) |
Reclassification of certain tax effects related to the Tax Cuts and Jobs Act of 2017 | 10,751 | (10,751) | |||
Net income | 47,983 | 47,983 | |||
Other comprehensive income (loss) | (451) | (451) | |||
Dividends - common stock | (19,782) | (19,782) | |||
Common stock issued | 105 | 6 | 99 | ||
Common stock repurchased | (1,115) | (64) | (1,051) | ||
Share-based compensation expense | 1,931 | 1,931 | |||
Stock activity under incentive compensation plans | 229 | 190 | 298 | (259) | |
Ending Balance at Mar. 31, 2018 | 2,179,118 | 152,172 | 1,640,776 | 447,696 | (61,526) |
Beginning Balance at Dec. 31, 2017 | 2,154,397 | 152,040 | 1,639,499 | 413,130 | (50,272) |
Balance at Dec. 31, 2017 | 2,150,218 | 152,040 | 1,639,499 | 409,003 | (50,324) |
Reclassification of certain tax effects related to the Tax Cuts and Jobs Act of 2017 | (10,751) | ||||
Net income | 91,984 | ||||
Other comprehensive income (loss) | (5,628) | ||||
Ending Balance at Jun. 30, 2018 | 2,200,215 | 152,351 | 1,642,790 | 471,777 | (66,703) |
Beginning Balance at Mar. 31, 2018 | 2,179,118 | 152,172 | 1,640,776 | 447,696 | (61,526) |
Net income | 44,001 | 44,001 | |||
Other comprehensive income (loss) | (5,177) | (5,177) | |||
Dividends - common stock | (19,806) | (19,806) | |||
Common stock issued | 117 | 8 | 109 | ||
Common stock repurchased | (634) | (36) | (598) | ||
Share-based compensation expense | 1,675 | 1,675 | |||
Stock activity under incentive compensation plans | 921 | 207 | 828 | (114) | |
Ending Balance at Jun. 30, 2018 | 2,200,215 | 152,351 | 1,642,790 | 471,777 | (66,703) |
Cumulative effect of change in accounting principles | (52) | ||||
Cumulative effect of change in accounting principles | 6,322 | 6,322 | |||
Beginning Balance at Dec. 31, 2018 | 2,689,570 | 175,141 | 2,031,695 | 527,684 | (44,950) |
Balance at Dec. 31, 2018 | 2,695,892 | 175,141 | 2,031,695 | 534,006 | (44,950) |
Net income | 56,276 | 56,276 | |||
Other comprehensive income (loss) | 47,570 | 47,570 | |||
Dividends - common stock | (22,812) | (22,812) | |||
Common stock issued | 130 | 9 | 121 | ||
Common stock repurchased | (27,297) | (1,655) | (25,642) | ||
Share-based compensation expense | 1,800 | 1,800 | |||
Stock activity under incentive compensation plans | 313 | 484 | (12) | (159) | |
Ending Balance at Mar. 31, 2019 | 2,751,872 | 173,979 | 2,007,962 | 567,311 | 2,620 |
Beginning Balance at Dec. 31, 2018 | 2,689,570 | 175,141 | 2,031,695 | 527,684 | (44,950) |
Balance at Dec. 31, 2018 | 2,695,892 | 175,141 | 2,031,695 | 534,006 | (44,950) |
Net income | 119,240 | ||||
Other comprehensive income (loss) | 86,987 | ||||
Ending Balance at Jun. 30, 2019 | 2,803,139 | 172,231 | 1,981,205 | 607,666 | 42,037 |
Beginning Balance at Mar. 31, 2019 | 2,751,872 | 173,979 | 2,007,962 | 567,311 | 2,620 |
Net income | 62,964 | 62,964 | |||
Other comprehensive income (loss) | 39,417 | 39,417 | |||
Dividends - common stock | (22,476) | (22,476) | |||
Common stock issued | 148 | 10 | 138 | ||
Common stock repurchased | (30,845) | (1,884) | (28,961) | ||
Share-based compensation expense | 1,946 | 1,946 | |||
Stock activity under incentive compensation plans | 113 | 126 | 120 | (133) | |
Ending Balance at Jun. 30, 2019 | $ 2,803,139 | $ 172,231 | $ 1,981,205 | $ 607,666 | $ 42,037 |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (unaudited) (Parenthetical) - $ / shares | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Statement Of Stockholders Equity [Abstract] | ||||||
Dividends per common share | $ 0.13 | $ 0.13 | $ 0.13 | $ 0.13 | $ 0.26 | $ 0.26 |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows (unaudited) - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019 | Jun. 30, 2018 | |
Cash Flows From Operating Activities | ||
Net income | $ 119,240 | $ 91,984 |
Adjustments to reconcile net income to cash provided by operating activities: | ||
Depreciation | 13,171 | 11,772 |
Amortization of other intangible assets | 8,797 | 7,025 |
Amortization of tax credit investments | 828 | 12,574 |
Net premium amortization on investment securities | 6,852 | 7,538 |
Accretion income related to acquired loans | (20,257) | (22,312) |
Share-based compensation expense | 3,746 | 3,606 |
Excess tax (benefit) expense on share-based compensation | (1,053) | 432 |
Provision for loan losses | 2,046 | 2,826 |
Net debt securities (gains) losses | (1,062) | (2,282) |
Net (gains) losses on sales of loans and other assets | 227 | 1,078 |
Increase in cash surrender value of company-owned life insurance | (5,899) | (5,035) |
Residential real estate loans originated for sale | (282,134) | (240,201) |
Proceeds from sales of residential real estate loans | 263,028 | 234,736 |
(Increase) decrease in interest receivable | (1,079) | 2,316 |
(Increase) decrease in other assets | 12,344 | 21,208 |
Increase (decrease) in accrued expenses and other liabilities | (44,002) | (22,458) |
Total adjustments | (44,447) | 12,823 |
Net cash flows provided by (used in) operating activities | 74,793 | 104,807 |
Cash Flows From Investing Activities | ||
Purchases of investment securities available-for-sale | (1,039,861) | (235,161) |
Purchases of Federal Home Loan Bank/Federal Reserve Bank stock | (14,439) | (16,520) |
Proceeds from maturities, prepayments, and calls of investment securities available-for-sale | 335,035 | 220,753 |
Proceeds from sales of investment securities available-for-sale | 267,632 | 131,321 |
Proceeds from maturities, prepayments, and calls of investment securities held-to-maturity | 35,958 | 35,750 |
Proceeds from sales of Federal Home Loan Bank/Federal Reserve Bank stock | 19 | |
Proceeds from sales of equity securities | 130 | 128 |
Proceeds from sale of student loan portfolio | 70,674 | |
Loan originations and payments, net | 216,356 | (219,685) |
Proceeds from company-owned life insurance death benefits | 4,374 | 3,296 |
Proceeds from sales of premises and equipment and other assets | 2,534 | 4,708 |
Purchases of premises and equipment and other assets | (24,002) | (17,005) |
Net cash flows provided by (used in) investing activities | (216,264) | (21,741) |
Cash Flows From Financing Activities | ||
Deposits | 13,152 | (9,527) |
Federal funds purchased and interbank borrowings | 139,901 | (159,989) |
Securities sold under agreements to repurchase | (27,754) | (37,299) |
Other borrowings | 3,864 | 1,159 |
Payments for maturities of Federal Home Loan Bank advances | (325,999) | (898,801) |
Proceeds from Federal Home Loan Bank advances | 425,000 | 1,045,000 |
Cash dividends paid on common stock | (45,288) | (39,588) |
Common stock repurchased | (58,142) | (1,749) |
Proceeds from exercise of stock options | 280 | 948 |
Common stock issued | 278 | 222 |
Net cash flows provided by (used in) financing activities | 125,292 | (99,624) |
Net increase (decrease) in cash and cash equivalents | (16,179) | (16,558) |
Cash and cash equivalents at beginning of period | 317,165 | 290,432 |
Cash and cash equivalents at end of period | 300,986 | 273,874 |
Supplemental cash flow information: | ||
Total interest paid | 66,419 | 40,426 |
Total taxes paid (net of refunds) | 1,204 | (819) |
Securities transferred from held-to-maturity to available-for-sale | 447,026 | |
Securities transferred from available-for-sale to held-to-maturity | $ 323,990 | |
Operating lease right-of-use assets obtained in exchange for lease obligations | 117,751 | |
Finance lease right-of-use assets obtained in exchange for lease obligations | $ 7,871 |
Basis of Presentation
Basis of Presentation | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Basis of Presentation | NOTE 1 – BASIS OF PRESENTATION The accompanying unaudited 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. In the opinion of management, the consolidated financial statements contain all the normal and recurring adjustments necessary for a fair statement of the financial position of Old National as of June 30, 2019 and 2018, and December 31, 2018, and the results of its operations for the three and six months ended June 30, 2019 and 2018. Interim results do not necessarily represent annual results. These financial statements should be read in conjunction with Old National’s Annual Report for the year ended December 31, 2018. 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 period net income or shareholders’ equity and were insignificant amounts. |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Changes And Error Corrections [Abstract] | |
Recent Accounting Pronouncements | NOTE 2 – RECENT ACCOUNTING PRONOUNCEMENTS Accounting Guidance Adopted in 2019 FASB ASC 842 – In February 2016, the FASB issued its new lease accounting guidance in ASU No. 2016-02, Leases (Topic 842) . Under the new guidance, lessees will be required to recognize the following for all leases, with the exception of short-term leases, at the commencement date: (1) a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and (2) a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. In July 2018, the FASB issued ASU No. 2018-10, Codification Improvements to Topic 842, Leases Leases (Topic 842): Targeted Improvements Old National elected the optional transition method permitted by ASU No. 2018-11. Under this method, an entity shall recognize and measure leases that exist at the application date and prior comparative periods are not adjusted. In addition, Old National elected the package of practical expedients to leases that commenced before the effective date: 1. An entity need not reassess whether any expired or existing contracts contain leases. 2. An entity need not reassess the lease classification for any expired or existing leases. 3. An entity need not reassess initial direct costs for any existing leases. Old National also elected the practical expedient, which must be applied consistently to all leases, to use hindsight in determining the lease term and in assessing impairment of our right-of-use assets. We also elected a practical expedient to not assess whether existing or expired land easements that were not previously accounted for as leases under Topic 840 contain a lease under this Topic. Both of these practical expedients may be elected separately or in conjunction with each other or the package noted above. Based on both operating and finance leases outstanding at December 31, 2018, the impact of adoption on January 1, 2019 was recording a lease liability of $122.9 million, a right-of-use asset of $118.7 million, and a cumulative-effect adjustment of $6.3 million to increase retained earnings. FASB ASC 310 – In March 2017, the FASB issued ASU No. 2017-08, Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities . This update amends the amortization period for certain purchased callable debt securities held at a premium. FASB is shortening the amortization period for the premium to the earliest call date. Under current GAAP, entities generally amortize the premium as an adjustment of yield over the contractual life of the instrument. Concerns were raised that current GAAP excludes certain callable debt securities from consideration of early repayment of principal even if the holder is certain that the call will be exercised. As a result, upon the exercise of a call on a callable debt security held at a premium, the unamortized premium is recorded as a loss in earnings. There is diversity in practice (1) in the amortization period for premiums of callable debt securities and (2) in how the potential for exercise of a call is factored into current impairment assessments. The amendments in this update became effective for annual reporting periods beginning after December 15, 2018, including interim reporting periods within those annual reporting periods and did not have a material impact on the consolidated financial statements. FASB ASC 718 – In June 2018, the FASB issued ASU No. 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting. The amendments in this update expand the scope of Topic 718, Compensation—Stock Compensation (which currently only includes share-based payments to employees) to include share-based payments issued to nonemployees for goods or services. Consequently, the accounting for share-based payments to nonemployees and employees will be substantially aligned. The ASU supersedes Subtopic 505-50, Equity—Equity-Based Payments to Non-Employees. The amendments in this update became effective for annual periods beginning after December 15, 2018, including interim periods within that fiscal year and did not have a material impact on the consolidated financial statements. FASB ASC 958 – In June 2018, the FASB issued ASU No. 2018-08, Not-for-Profit Entities (Topic 958): Clarifying the Scope and the Accounting Guidance for Contributions Received and Contributions Made. The amendments in this update clarify and improve the scope and accounting guidance around contributions of cash and other assets received and made by not-for-profit organizations and business enterprises. The ASU clarifies and improves current guidance about whether a transfer of assets, or the reduction, settlement, or cancellation of liabilities, is a contribution or an exchange transaction. It provides criteria for determining whether the resource provider is receiving commensurate value in return for the resources transferred which, depending on the outcome, determines whether the organization follows contribution guidance or exchange transaction guidance in the revenue recognition and other applicable standards. It also provides a more robust framework for determining whether a contribution is conditional or unconditional, and for distinguishing a donor-imposed condition from a donor-imposed restriction. This is important because such classification affects the timing of contribution revenue and expense recognition. The new ASU does not apply to transfers of assets from governments to businesses. The amendments in this update became effective for a public business entity for transactions in which the entity serves as a resource recipient to annual periods beginning after June 15, 2018, including interim periods within those annual periods. The amendments in this update became effective for a public business entity for transactions in which the entity serves as a resource provider to annual periods beginning after December 15, 2018, including interim periods within those annual periods and there was no impact. FASB ASC 815 – In October 2018, the FASB issued ASU No. 2018-16, Derivatives and Hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting. In the United States, eligible benchmark interest rates under Topic 815 are interest rates on direct Treasury obligations of the U.S. government (“UST”), the London Interbank Offered Rate (“LIBOR”) swap rate, and the Overnight Index Swap (“OIS”) Rate based on the Fed Funds Effective Rate. When the FASB issued ASU No. 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities , in August 2017, it introduced the Securities Industry and Financial Markets Association (“SIFMA”) Municipal Swap Rate as the fourth permissible U.S. benchmark rate. The new ASU adds the OIS rate based on SOFR as a U.S. benchmark interest rate to facilitate the LIBOR to SOFR transition and provide sufficient lead time for entities to prepare for changes to interest rate risk hedging strategies for both risk management and hedge accounting purposes. The amendments in this update became effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years and the financial statement impact immediately upon adoption was immaterial. The future financial statement impact will depend on any new contracts entered into using new benchmark rates, as well as any existing contracts that get migrated from LIBOR to new benchmark interest rates. The Company has formed a working group who is developing a transition plan for all exposed contracts migrating from LIBOR to SOFR. Additionally, the working group is monitoring industry specific transition guidance around a LIBOR contract’s “fallback” language with the industry goal to minimize or eliminate value transfers resulting from the transition . Accounting Guidance Issued But Not Yet Adopted 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 (“CECL”). 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 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 financial assets held 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 (“ACL”) over the life of the financial assets. The amendments in this update become effective for annual periods and interim periods within those annual periods beginning after December 15, 2019. Early adoption will be permitted beginning after December 15, 2018. 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 and has developed a project plan focused on understanding the ASU, researching issues, identifying data needs for modeling inputs, technology requirements, modeling considerations, and ensuring overarching governance has been achieved for each objective and milestone. Currently, the working group has identified seven distinct loan portfolios for which a model 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 second half of 2019, the project plan is targeting multiple parallel processing of our existing allowance for loan losses model compared to the CECL model, as well as model sensitivity analysis and determination of qualitative adjustments. Currently, our measurements for estimating the current expected life-time credit losses for loans and debt securities (as well as certain beneficial interests classified as held-to-maturity) includes the following major items: • Initial forecast – use a period of one year for all 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 – use a range from 1 to 2 years, which links the initial loss forecast to the historical loss forecast based on economic conditions at the measurement date. • Discounted cash flow (“DCF”) aggregator – using the items above to estimate the life-time credit losses for all portfolios and losses for loans modified as a TDR. During the last half of 2019, Old National will continue researching and resolving interpretive accounting issues in the ASU contemplating various related accounting policies, developing processes and related controls, and considering various reporting disclosures. As of the beginning of the first reporting period in which the new standard is effective, Old National expects to recognize a one-time cumulative effect adjustment increasing the allowance for loan losses, since the ASU covers credit losses over the expected life of a loan as well as considering future changes in macroeconomic conditions. The magnitude of any such one-time adjustment or the overall impact of the new guidance on the consolidated financial statements cannot yet be reasonably estimated, however, we expect to identify a range in our Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2019. 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 . Old National is planning on adopting the capital transition relief over the permissible three-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 qualitative 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 should be adopted for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. Early adoption is permitted on testing dates after January 1, 2017. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements, but it is not expected to have a material impact. 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 become effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2019. Early adoption is permitted. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements, but it is not expected to have a material impact. 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 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 become effective for fiscal years beginning after December 15, 2019, 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 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 become effective for annual periods and interim periods within those annual periods beginning after December 15, 2019. Early adoption is permitted. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements, but it is not expected to have a material impact. 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 will become 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 will become 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 will become effective for fiscal years and interim periods beginning after December 15, 2019. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements, but it is not expected to have a material impact. 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. The amendments in this update become effective for annual periods and interim periods within those annual periods beginning after December 15, 2019. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements, but it is not expected to have a material impact. |
Acquisition and Divestiture Act
Acquisition and Divestiture Activity | 6 Months Ended |
Jun. 30, 2019 | |
Business Combinations [Abstract] | |
Acquisition and Divestiture Activity | NOTE 3 – ACQUISITION AND DIVESTITURE ACTIVITY Acquisition Klein Financial, Inc. Effective November 1, 2018, Old National completed the acquisition of Minnesota-based Klein through a 100% stock merger. Klein was a bank holding company with KleinBank as its wholly-owned subsidiary. Founded in 1907 and headquartered in Chaska, Minnesota with 18 full-service branches, KleinBank was the largest family-owned community bank serving the Twin Cities and its western communities. Old National believes that it will be able to achieve cost savings by integrating the two companies and combining accounting, data processing, retail and lending support, and other administrative functions, which will enable Old National to achieve economies of scale in these areas. Pursuant to the merger agreement, each holder of Klein common stock received 7.92 shares of Old National Common Stock per share of Klein common stock such holder owned. The total fair value of consideration for Klein was $406.5 million, consisting of 22.8 million shares of Old National Common Stock valued at $406.5 million. Through June 30, 2019, transaction and integration costs of $18.8 million associated with this acquisition have been expensed and remaining integration costs will be expensed as incurred. The following table reflects management’s preliminary valuation of the assets acquired and liabilities assumed (in thousands): Cash and cash equivalents $ 60,759 Investment securities 697,951 FHLB/Federal Reserve Bank stock 2,637 Loans held for sale 3,371 Loans 1,049,073 Premises and equipment 33,391 Accrued interest receivable 7,896 Company-owned life insurance 36,380 Net deferred tax assets 6,500 Other real estate owned 954 Other assets 10,299 Deposits (1,713,086 ) Securities sold under agreements to repurchase (19,481 ) Accrued expenses and other liabilities (17,506 ) Net tangible assets acquired 159,138 Definite-lived intangible assets acquired 39,017 Loan servicing rights 285 Goodwill 208,034 Total consideration $ 406,474 Certain loans and premises and equipment measurements have not been finalized and are subject to change. As Old National receives the information related to facts and circumstances that existed as of the acquisition date, we will finalize the provisional measurements recorded. Such adjustments will be included in the allocation in the reporting period in which the final amounts are determined, not to exceed one year from the acquisition date. Goodwill related to this acquisition will not be deductible for tax purposes. The estimated fair value of the core deposit intangible was $39.0 million and is being amortized over an estimated useful life of 12 years. Acquired loan data for Klein can be found in the table below: Best Estimate at Acquisition Date of Fair Value Gross Contractual Contractual Cash of Acquired Loans Cash Flows at Flows Not Expected (in thousands) at Acquisition Date Acquisition Date to be Collected Acquired receivables subject to ASC 310-30 $ 11,663 $ 18,568 $ 4,521 Acquired receivables not subject to ASC 310-30 $ 1,037,410 $ 1,252,954 $ 76,534 |
Net Income Per Share
Net Income Per Share | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Net Income Per Share | NOTE 4 – 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 for the three and six months ended June 30, 2019 and 2018: Three Months Ended Six Months Ended (dollars and shares in thousands, June 30, June 30, except per share data) 2019 2018 2019 2018 Basic Net Income Per Share Net income $ 62,964 $ 44,001 $ 119,240 $ 91,984 Weighted average common shares outstanding 172,985 151,878 173,855 151,800 Basic Net Income Per Share $ 0.37 $ 0.29 $ 0.69 $ 0.61 Diluted Net Income Per Share Net income $ 62,964 $ 44,001 $ 119,240 $ 91,984 Weighted average common shares outstanding 172,985 151,878 173,855 151,800 Effect of dilutive securities: Restricted stock 643 623 626 610 Stock options (1) 47 67 50 73 Weighted average shares outstanding 173,675 152,568 174,531 152,483 Diluted Net Income Per Share $ 0.36 $ 0.29 $ 0.68 $ 0.60 (1) Options to purchase 14 thousand shares outstanding at June 30, 2019 and 2018 were not included in the computation of net income per diluted share for the three and six months ended June 30, 2019 and 2018 because the exercise price of these options was greater than the average market price of the common shares and, therefore, the effect would be antidilutive. |
Investment Securities
Investment Securities | 6 Months Ended |
Jun. 30, 2019 | |
Investments Debt And Equity Securities [Abstract] | |
Investment Securities | NOTE 5 – INVESTMENT SECURITIES The following table summarizes the amortized cost and fair value of the available-for-sale and held-to-maturity investment securities portfolio at June 30, 2019 and December 31, 2018 and the corresponding amounts of unrealized gains and losses therein: Amortized Unrealized Unrealized Fair (dollars in thousands) Cost Gains Losses Value June 30, 2019 Available-for-Sale U.S. Treasury $ 5,353 $ 117 $ (4 ) $ 5,466 U.S. government-sponsored entities and agencies 645,351 1,242 (1,135 ) 645,458 Mortgage-backed securities - Agency 2,746,337 42,248 (7,070 ) 2,781,515 States and political subdivisions 879,187 29,672 (293 ) 908,566 Pooled trust preferred securities 13,836 — (6,000 ) 7,836 Other securities 313,911 6,140 (1,666 ) 318,385 Total available-for-sale securities $ 4,603,975 $ 79,419 $ (16,168 ) $ 4,667,226 Held-to-Maturity U.S. government-sponsored entities and agencies $ 74,403 $ 1,455 $ — $ 75,858 Mortgage-backed securities - Agency 118,720 2,608 — 121,328 States and political subdivisions 277,745 11,797 — 289,542 Total held-to-maturity securities $ 470,868 $ 15,860 $ — $ 486,728 December 31, 2018 Available-for-Sale U.S. Treasury $ 5,332 $ — $ (31 ) $ 5,301 U.S. government-sponsored entities and agencies 639,458 35 (11,342 ) 628,151 Mortgage-backed securities - Agency 2,243,774 9,738 (44,217 ) 2,209,295 States and political subdivisions 932,757 11,113 (3,441 ) 940,429 Pooled trust preferred securities 13,861 — (5,366 ) 8,495 Other securities 337,435 486 (6,176 ) 331,745 Total available-for-sale securities $ 4,172,617 $ 21,372 $ (70,573 ) $ 4,123,416 Held-to-Maturity U.S. government-sponsored entities and agencies $ 73,986 $ — $ (1,627 ) $ 72,359 Mortgage-backed securities - Agency 127,120 39 (2,750 ) 124,409 States and political subdivisions 305,228 6,208 (2,101 ) 309,335 Total held-to-maturity securities $ 506,334 $ 6,247 $ (6,478 ) $ 506,103 Proceeds from sales or calls of available-for-sale investment securities and the resulting realized gains and realized losses were as follows for the three and six months ended June 30, 2019 and 2018: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Proceeds from sales of available-for-sale debt securities $ 258,951 $ 47,064 $ 267,632 $ 131,321 Proceeds from calls of available-for-sale debt securities 38,430 11,211 62,115 28,647 Total $ 297,381 $ 58,275 $ 329,747 $ 159,968 Realized gains on sales of available-for-sale debt securities $ 3,032 $ 1,251 $ 3,103 $ 3,259 Realized gains on calls of available-for-sale debt securities — 283 3 284 Realized losses on sales of available-for-sale debt securities (1,867 ) (48 ) (2,015 ) (1,305 ) Realized losses on calls of available-for-sale debt securities — (4 ) (29 ) (53 ) Other securities gains (losses) (1) — 12 — 97 Net debt securities gains (losses) $ 1,165 $ 1,494 $ 1,062 $ 2,282 (1) For the three and six months ended June 30, 2018, other securities gains (losses) included realized gains and losses of equity securities previously classified as trading securities. For the three and six months ended June 30, 2019, gains (losses) on equity securities are included in other income. (1 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 June 30, 2019 (dollars in thousands) Weighted Amortized Fair Average Maturity Cost Value Yield Available-for-Sale Within one year $ 67,614 $ 67,697 2.78 % One to five years 325,596 328,679 2.62 Five to ten years 637,886 650,816 3.24 Beyond ten years 3,572,879 3,620,034 2.95 Total $ 4,603,975 $ 4,667,226 2.97 % Held-to-Maturity Within one year $ 14,051 $ 14,155 4.48 % One to five years 35,606 36,747 3.98 Five to ten years 74,766 78,137 4.60 Beyond ten years 346,445 357,689 3.63 Total $ 470,868 $ 486,728 3.83 % The following table summarizes the available-for-sale investment securities with unrealized losses at June 30, 2019 and December 31, 2018 by aggregated major security type and length of time in a continuous unrealized loss position: Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized (dollars in thousands) Value Losses Value Losses Value Losses June 30, 2019 Available-for-Sale U.S. Treasury $ — $ — $ 1,491 $ (4 ) $ 1,491 $ (4 ) U.S. government-sponsored entities and agencies 45,107 (207 ) 160,407 (928 ) 205,514 (1,135 ) Mortgage-backed securities - Agency 15,247 (279 ) 697,159 (6,791 ) 712,406 (7,070 ) States and political subdivisions 9,361 (126 ) 54,948 (167 ) 64,309 (293 ) Pooled trust preferred securities — — 7,836 (6,000 ) 7,836 (6,000 ) Other securities 17,895 (156 ) 114,829 (1,510 ) 132,724 (1,666 ) Total available-for-sale $ 87,610 $ (768 ) $ 1,036,670 $ (15,400 ) $ 1,124,280 $ (16,168 ) December 31, 2018 Available-for-Sale U.S. Treasury $ 3,829 $ (12 ) $ 1,472 $ (19 ) $ 5,301 $ (31 ) U.S. government-sponsored entities and agencies 54,701 (594 ) 519,911 (10,748 ) 574,612 (11,342 ) Mortgage-backed securities - Agency 82,289 (742 ) 1,172,984 (43,475 ) 1,255,273 (44,217 ) States and political subdivisions 99,162 (1,340 ) 151,097 (2,101 ) 250,259 (3,441 ) Pooled trust preferred securities — — 8,495 (5,366 ) 8,495 (5,366 ) Other securities 94,607 (1,965 ) 143,842 (4,211 ) 238,449 (6,176 ) Total available-for-sale $ 334,588 $ (4,653 ) $ 1,997,801 $ (65,920 ) $ 2,332,389 $ (70,573 ) The following table summarizes the held-to-maturity investment securities with unrecognized losses at June 30, 2019 and December 31, 2018 by aggregated major security type and length of time in a continuous unrecognized loss position: Less than 12 months 12 months or longer Total Fair Unrecognized Fair Unrecognized Fair Unrecognized (dollars in thousands) Value Losses Value Losses Value Losses June 30, 2019 Held-to-Maturity U.S. government-sponsored entities and agencies $ — $ — $ — $ — $ — $ — Mortgage-backed securities - Agency — — — — — — States and political subdivisions — — — — — — Total held-to-maturity $ — $ — $ — $ — $ — $ — December 31, 2018 Held-to-Maturity U.S. government-sponsored entities and agencies $ — $ — $ 72,359 $ (4,642 ) $ 72,359 $ (4,642 ) Mortgage-backed securities - Agency 4,335 (24 ) 119,207 (8,006 ) 123,542 (8,030 ) States and political subdivisions 24,533 (983 ) 70,022 (3,556 ) 94,555 (4,539 ) Total held-to-maturity $ 28,868 $ (1,007 ) $ 261,588 $ (16,204 ) $ 290,456 $ (17,211 ) The unrecognized losses on held-to-maturity investment securities presented in the table above include unrecognized losses on securities that were transferred from available-for-sale to held-to-maturity totaling $10.7 million at December 31, 2018 Management evaluates debt securities for OTTI at least on a quarterly basis, and more frequently when economic or market conditions warrant such an evaluation. M anagement considers many factors, including: (1) the length of time and the extent to which the fair value has been less than cost, (2) the financial condition and near-term prospects of the issuer, (3) whether the market decline was affected by macroeconomic conditions, and (4) whether the entity has the intent to sell the debt security or more likely than not will be required to sell the debt security before its anticipated recovery. The assessment of whether an other-than-temporary decline exists involves a high degree of subjectivity and judgment and is based on the information available to management at a point in time . When OTTI occurs, the amount of the OTTI recognized in earnings depends on whether an entity intends to sell the security or more likely than not will be required to sell the security before recovery of its amortized cost basis less any current-period credit loss. If an entity intends to sell or more likely than not will be required to sell the security before recovery of its amortized cost basis less any current-period credit loss, the OTTI shall be recognized in earnings equal to the entire difference between the investment’s amortized cost basis and its fair value at the balance sheet date. Otherwise, the OTTI shall be separated into the amount representing the credit loss and the amount related to all other factors. The amount of the total OTTI related to the credit loss is determined based on the present value of cash flows expected to be collected and is recognized in earnings. The amount of the total OTTI related to other factors shall be recognized in other comprehensive income, net of applicable taxes. The previous amortized cost basis less the OTTI recognized in earnings shall become the new amortized cost basis of the investment. There was no OTTI recorded during the six months ended June 30, 2019 or 2018. At June 30, 2019, Old National’s securities portfolio consisted of 1,995 securities, 287 of which were in an unrealized loss position. The unrealized losses attributable to our U.S. Treasury, 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 June 30, 2019, 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 June 30, 2019, our securities portfolio contained two pooled trust preferred securities with a fair value of $7.8 million and unrealized losses of $6.0 million. These securities are evaluated using collateral-specific assumptions to estimate the expected future interest and principal cash flows. For the six months ended June 30, 2019 and 2018, our analysis indicated no OTTI 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, these securities have excess subordination and are not other-than-temporarily impaired as a result of their class hierarchy, which provides more loss protection. Trust preferred securities Actual Expected Excess June 30, 2019 Deferrals Defaults as Subordination (dollars in thousands) # of Issuers and Defaults a % of as a % of Lowest Unrealized Realized Currently as a % of Remaining Current Credit Amortized Fair Gain/ Losses Performing/ Original Performing Performing Class Rating (1) Cost Value (Loss) 2019 Remaining Collateral Collateral Collateral Pooled trust preferred securities: Pretsl XXVII LTD B B $ 4,317 $ 2,131 $ (2,186 ) $ — 33/43 17.2% 4.5% 36.0% Trapeza Ser 13A A2A BBB 9,519 5,705 (3,814 ) — 43/48 4.5% 4.5% 56.7% 13,836 7,836 (6,000 ) — Single Issuer trust preferred securities: JP Morgan Chase & Co BBB- 4,792 4,225 (567 ) — Total $ 18,628 $ 12,061 $ (6,567 ) $ — (1) Lowest rating for the security provided by any nationally recognized credit rating agency. Equity Securities Equity securities are recorded at fair value and totaled $6.2 million at June 30, 2019 and $5.6 million at December 31, 2018. There were losses on equity securities of $18 thousand during the three months ended June 30, 2019 and gains on equity securities of $ 154 thousand during the six months ended June 30, 2019, compared to gains of $ 12 thousand during the three months ended June 30, 2018 and $ 97 thousand during the six months ended June 30, 2018 . Old National also has equity securities without readily determinable fair values that are included in other assets that totaled $ 84.9 million at June 30 , 2019 and $ 79.2 million at December 31, 2018. 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 have been no impairments or downward adjustments on these securities in the six months ended June 30 , 2019 or 2018. |
Loans Held for Sale
Loans Held for Sale | 6 Months Ended |
Jun. 30, 2019 | |
Debt Disclosure [Abstract] | |
Loans Held for Sale | NOTE 6 – LOANS HELD FOR SALE Mortgage loans held for immediate sale in the secondary market were $37.9 million at June 30, 2019, compared to $14.9 million at December 31, 2018. Residential loans that Old National has originated with the intent to sell are recorded at fair value. 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 and Allowance for Loan Lo
Loans and Allowance for Loan Losses | 6 Months Ended |
Jun. 30, 2019 | |
Text Block [Abstract] | |
Loans and Allowance for Loan Losses | NOTE 7 – LOANS AND ALLOWANCE FOR LOAN LOSSES 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, Wisconsin, and Minnesota. 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% The composition of loans by lending classification was as follows: June 30, December 31, (dollars in thousands) 2019 2018 Commercial (1) $ 3,074,849 $ 3,232,970 Commercial real estate: Construction 652,903 504,625 Other 4,340,790 4,454,226 Residential real estate 2,222,198 2,248,404 Consumer credit: Home equity 553,991 589,322 Auto 1,036,244 1,059,633 Other 165,603 154,712 Total loans 12,046,578 12,243,892 Allowance for loan losses (56,292 ) (55,461 ) Net loans $ 11,990,286 $ 12,188,431 (1) Includes direct finance leases of $53.5 million at June 30, 2019 and $60.0 million at December 31, 2018. The risk characteristics of each loan portfolio segment are as follows: Commercial Commercial loans are primarily based 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. Commercial Real Estate These 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 189%, 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 June 30, 2019. 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. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers. Consumer Home equity loans are typically secured by a subordinate interest in 1-4 family residences, and consumer loans are secured by consumer assets such as automobiles or recreational vehicles. Some consumer loans are unsecured such as small installment loans and certain lines of credit. 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 or other collateral values. Risk is mitigated by the fact that the loans are of smaller individual amounts and spread over a large number of borrowers. Allowance for Loan Losses The allowance for loan losses is maintained at a level believed adequate by management to absorb probable losses incurred in the consolidated loan portfolio. Management’s evaluation of the adequacy of the allowance is an estimate based on reviews of individual loans, pools of homogeneous loans, assessments of the impact of current and anticipated economic conditions on the portfolio, and historical loss experience. The allowance is increased through a provision charged to operating expense. Loans deemed to be uncollectible are charged to the allowance. Recoveries of loans previously charged-off are added to the allowance. We utilize a PD and LGD model as a tool to determine the adequacy of the allowance for loan losses for performing commercial and commercial real estate loans. The PD is forecast using a transition matrix to determine the likelihood of a customer’s AQR migrating from its current AQR to any other status within the time horizon. Transition rates are measured using Old National’s own historical experience. The model assumes that recent historical transition rates will continue into the future. The LGD is defined as credit loss incurred when an obligor of the bank defaults. The sum of all net charge-offs for a particular portfolio segment are divided by all loans that have defaulted over a given period of time. The expected loss derived from the model considers the PD, LGD, and exposure at default. Additionally, qualitative factors, such as changes in lending policies or procedures, and economic business conditions are also considered. We use h istoric loss ratios adjusted for economic conditions to determine the appropriate level of allowance for residential real estate and consumer loans. No allowance was brought forward on any of the acquired loans as any credit deterioration evident in the loans was included in the determination of the fair value of the loans at the acquisition date. An allowance for loan losses will be established for any subsequent credit deterioration or adverse changes in expected cash flows. Old National’s activity in the allowance for loan losses for the three and six months ended June 30, 2019 and 2018 was as follows: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total Three Months Ended June 30, 2019 Balance at beginning of period $ 20,406 $ 25,169 $ 2,302 $ 7,682 $ 55,559 Charge-offs (604 ) (389 ) (140 ) (1,743 ) (2,876 ) Recoveries 334 1,205 9 1,058 2,606 Provision 2,412 (2,674 ) 98 1,167 1,003 Balance at end of period $ 22,548 $ 23,311 $ 2,269 $ 8,164 $ 56,292 Three Months Ended June 30, 2018 Balance at beginning of period $ 19,591 $ 20,796 $ 1,763 $ 8,231 $ 50,381 Charge-offs (472 ) (430 ) (295 ) (1,857 ) (3,054 ) Recoveries 249 583 1,697 1,358 3,887 Provision 2,019 1,549 (1,298 ) 176 2,446 Balance at end of period $ 21,387 $ 22,498 $ 1,867 $ 7,908 $ 53,660 Six Months Ended June 30, 2019 Balance at beginning of period $ 21,742 $ 23,470 $ 2,277 $ 7,972 $ 55,461 Charge-offs (764 ) (624 ) (318 ) (4,063 ) (5,769 ) Recoveries 709 1,775 81 1,989 4,554 Provision 861 (1,310 ) 229 2,266 2,046 Balance at end of period $ 22,548 $ 23,311 $ 2,269 $ 8,164 $ 56,292 Six Months Ended June 30, 2018 Balance at beginning of period $ 19,246 $ 21,436 $ 1,763 $ 7,936 $ 50,381 Charge-offs (717 ) (433 ) (657 ) (3,932 ) (5,739 ) Recoveries 760 1,067 1,845 2,520 6,192 Provision 2,098 428 (1,084 ) 1,384 2,826 Balance at end of period $ 21,387 $ 22,498 $ 1,867 $ 7,908 $ 53,660 The following table presents Old National’s recorded investment in loans by portfolio segment at June 30, 2019 and December 31, 2018 and other information regarding the allowance: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total June 30, 2019 Allowance for loan losses: Individually evaluated for impairment $ 6,972 $ 4,847 $ — $ — $ 11,819 Collectively evaluated for impairment 15,574 18,316 2,269 7,967 44,126 Loans acquired with deteriorated credit quality 2 148 — 197 347 Total allowance for loan losses $ 22,548 $ 23,311 $ 2,269 $ 8,164 $ 56,292 Loans and leases outstanding: Individually evaluated for impairment $ 39,751 $ 64,013 $ — $ — $ 103,764 Collectively evaluated for impairment 3,029,505 4,906,060 2,213,720 1,752,887 11,902,172 Loans acquired with deteriorated credit quality 5,593 23,620 8,478 2,951 40,642 Total loans and leases outstanding $ 3,074,849 $ 4,993,693 $ 2,222,198 $ 1,755,838 $ 12,046,578 December 31, 2018 Allowance for loan losses: Individually evaluated for impairment $ 6,035 $ 8,306 $ — $ — $ 14,341 Collectively evaluated for impairment 15,700 14,845 2,276 7,821 40,642 Loans acquired with deteriorated credit quality 7 319 1 151 478 Total allowance for loan losses $ 21,742 $ 23,470 $ 2,277 $ 7,972 $ 55,461 Loans and leases outstanding: Individually evaluated for impairment $ 35,410 $ 83,104 $ — $ — $ 118,514 Collectively evaluated for impairment 3,191,367 4,850,356 2,239,147 1,800,115 12,080,985 Loans acquired with deteriorated credit quality 6,193 25,391 9,257 3,552 44,393 Total loans and leases outstanding $ 3,232,970 $ 4,958,851 $ 2,248,404 $ 1,803,667 $ 12,243,892 Credit Quality Old National’s management monitors the credit quality of its loans in an on-going manner. Internally, management assigns an AQR to each non-homogeneous commercial and commercial real estate loan in the portfolio, with the exception of certain FICO-scored small business loans. The primary determinants of the AQR are based upon 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 risk category of commercial and commercial real estate loans by class of loans at June 30, 2019 and December 31, 2018 was as follows: (dollars in thousands) Commercial Commercial Real Estate - Real Estate - Corporate Credit Exposure Commercial Construction Other Credit Risk Profile by June 30, December 31, June 30, December 31, June 30, December 31, Internally Assigned Grade 2019 2018 2019 2018 2019 2018 Grade: Pass $ 2,902,716 $ 3,029,130 $ 596,761 $ 460,158 $ 4,071,288 $ 4,167,902 Criticized 79,377 98,798 41,945 29,368 99,134 110,586 Classified - substandard 55,446 66,394 394 1,275 114,695 102,961 Classified - nonaccrual 28,613 29,003 13,803 13,824 36,606 37,441 Classified - doubtful 8,697 9,645 — — 19,067 35,336 Total $ 3,074,849 $ 3,232,970 $ 652,903 $ 504,625 $ 4,340,790 $ 4,454,226 Old National considers the performance of the loan portfolio and its impact on the allowance for loan losses. For residential and consumer loan classes, Old National also evaluates credit quality based on the aging status of the loan and by payment activity. The following table presents the recorded investment in residential and consumer loans based on payment activity at June 30, 2019 and December 31, 2018: Consumer Home (dollars in thousands) Residential Equity Auto Other June 30, 2019 Performing $ 2,195,937 $ 549,140 $ 1,032,845 $ 164,479 Nonperforming 26,261 4,851 3,399 1,124 Total $ 2,222,198 $ 553,991 $ 1,036,244 $ 165,603 December 31, 2018 Performing $ 2,223,450 $ 586,235 $ 1,057,038 $ 153,113 Nonperforming 24,954 3,087 2,595 1,599 Total $ 2,248,404 $ 589,322 $ 1,059,633 $ 154,712 Impaired Loans Large commercial credits are subject to individual evaluation for impairment. Retail credits and other small balance credits that are part of a homogeneous group are not tested for individual impairment unless they are modified as a TDR. A loan is considered impaired when it is probable that contractual interest and principal payments will not be collected either for the amounts or by the dates as scheduled in the loan agreement. If a loan is impaired, a portion of the allowance is allocated so that the loan is reported net, at the present value of estimated cash flows using the loan’s existing rate or at the fair value of collateral if repayment is expected solely from the collateral. Old National’s policy, for all but PCI loans, is to recognize interest income on impaired loans unless the loan is placed on nonaccrual status. The following table shows Old National’s impaired loans at June 30, 2019 and December 31, 2018, respectively. 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. Unpaid Recorded Principal Related (dollars in thousands) Investment Balance Allowance June 30, 2019 With no related allowance recorded: Commercial $ 21,136 $ 21,344 $ — Commercial Real Estate - Construction 11,038 11,038 — Commercial Real Estate - Other 29,630 30,311 — Residential 2,349 2,369 — Consumer 1,194 1,365 — With an allowance recorded: Commercial 18,615 18,767 6,972 Commercial Real Estate - Construction 2,764 2,764 1,217 Commercial Real Estate - Other 20,581 20,581 3,630 Residential 858 858 43 Consumer 1,342 1,342 67 Total $ 109,507 $ 110,739 $ 11,929 December 31, 2018 With no related allowance recorded: Commercial $ 22,031 $ 22,292 $ — Commercial Real Estate - Other 41,126 41,914 — Residential 2,276 2,296 — Consumer 362 535 — With an allowance recorded: Commercial 13,379 13,432 6,035 Commercial Real Estate - Construction 13,824 13,824 1,830 Commercial Real Estate - Other 28,154 28,154 6,476 Residential 889 889 44 Consumer 2,013 2,013 101 Total $ 124,054 $ 125,349 $ 14,486 The average balance of impaired loans during the three and six months ended June 30, 2019 and 2018 are included in the table below. Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Average Recorded Investment With no related allowance recorded: Commercial $ 23,242 $ 20,228 $ 21,585 $ 20,073 Commercial Real Estate - Construction 10,996 — 5,519 — Commercial Real Estate - Other 34,387 43,893 35,378 41,771 Residential 2,325 2,189 2,309 2,274 Consumer 1,076 1,741 838 1,722 With an allowance recorded: Commercial 13,965 11,846 15,997 10,091 Commercial Real Estate - Construction 3,160 4,675 8,294 4,675 Commercial Real Estate - Other 22,493 21,439 24,368 24,246 Residential 866 942 874 918 Consumer 1,358 1,970 1,577 2,050 Total $ 113,868 $ 108,923 $ 116,739 $ 107,820 Old National does not record interest on nonaccrual loans until principal is recovered. Interest income recognized on impaired loans during the three and six months ended June 30 , 2019 and 2018 was immaterial. 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 during the current year on such loans is reversed against interest income. Interest accrued in the prior year, if any, is charged to the allowance for loan losses. 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. Loans accounted for under FASB ASC Topic 310-30 accrue interest, even though they may be contractually past due, as any nonpayment of contractual principal or interest is considered in the periodic re-estimation of expected cash flows and is included in the resulting recognition of current period loan loss provision or prospective yield adjustments. Old National’s past due loans at June 30, 2019 and December 31, 2018 were as follows: Past Due 90 Days or 30-59 Days 60-89 Days More and Total (dollars in thousands) Past Due Past Due Accruing Nonaccrual (1) Past Due Current June 30, 2019 Commercial $ 1,306 $ 218 $ — $ 37,310 $ 38,834 $ 3,036,015 Commercial Real Estate: Construction 367 — — 13,803 14,170 638,733 Other 2,142 1,800 — 55,673 59,615 4,281,175 Residential 23,551 3,034 141 26,261 52,987 2,169,211 Consumer: Home equity 1,591 73 48 4,851 6,563 547,428 Auto 4,873 868 200 3,399 9,340 1,026,904 Other 243 519 34 1,124 1,920 163,683 Total loans $ 34,073 $ 6,512 $ 423 $ 142,421 $ 183,429 $ 11,863,149 December 31, 2018 Commercial $ 3,627 $ 279 $ 52 $ 38,648 $ 42,606 $ 3,190,364 Commercial Real Estate: Construction — — — 13,824 13,824 490,801 Other 1,633 500 40 72,777 74,950 4,379,276 Residential 25,947 3,437 258 24,954 54,596 2,193,808 Consumer: Home equity 1,434 960 456 3,087 5,937 583,385 Auto 7,091 1,903 377 2,595 11,966 1,047,667 Other 711 210 170 1,599 2,690 152,022 Total loans $ 40,443 $ 7,289 $ 1,353 $ 157,484 $ 206,569 $ 12,037,323 (1) Includes purchased credit impaired loans of $19.2 million at June 30, 2019 and $20.5 million at December 31, 2018 that are categorized as nonaccrual for credit analysis purposes because the collection of principal or interest is doubtful. However, these loans are accounted for under FASB ASC 310-30 and accordingly treated as performing assets. Loan Participations Old National has loan participations, which qualify as participating interests, with other financial institutions. At June 30, 2019, these loans totaled $928.1 million, of which $446.1 million had been sold to other financial institutions and $482.0 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 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 For commercial TDRs, an allocated reserve is established within the allowance for loan losses for the difference between the carrying value of the loan and its computed value. To determine the 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 value, 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 for the three and six months ended June 30, 2019 and 2018: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total Three Months Ended June 30, 2019 Balance at beginning of period $ 11,646 $ 29,137 $ 3,247 $ 2,313 $ 46,343 (Charge-offs)/recoveries (93 ) 4 — 4 (85 ) (Payments)/disbursements 25 (16,702 ) (167 ) (117 ) (16,961 ) Additions 7,294 6,924 — 316 14,534 Balance at end of period $ 18,872 $ 19,363 $ 3,080 $ 2,516 $ 43,831 Three Months Ended June 30, 2018 Balance at beginning of period $ 11,918 $ 34,488 $ 3,058 $ 4,020 $ 53,484 (Charge-offs)/recoveries (22 ) (12 ) — (320 ) (354 ) (Payments)/disbursements (3,398 ) (196 ) 211 (302 ) (3,685 ) Additions 545 647 502 — 1,694 Balance at end of period $ 9,043 $ 34,927 $ 3,771 $ 3,398 $ 51,139 Six Months Ended June 30, 2019 Balance at beginning of period $ 10,275 $ 27,671 $ 3,390 $ 2,374 $ 43,710 (Charge-offs)/recoveries (100 ) (71 ) — (1 ) (172 ) (Payments)/disbursements (1,004 ) (18,264 ) (310 ) (173 ) (19,751 ) Additions 9,701 10,027 — 316 20,044 Balance at end of period $ 18,872 $ 19,363 $ 3,080 $ 2,516 $ 43,831 Six Months Ended June 30, 2018 Balance at beginning of period $ 12,088 $ 34,705 $ 3,315 $ 3,895 $ 54,003 (Charge-offs)/recoveries (151 ) (22 ) 23 (22 ) (172 ) (Payments)/disbursements (3,978 ) (969 ) (69 ) (907 ) (5,923 ) Additions 1,084 1,213 502 432 3,231 Balance at end of period $ 9,043 $ 34,927 $ 3,771 $ 3,398 $ 51,139 TDRs included with nonaccrual loans totaled $24.7 million at June 30, 2019 and $26.3 million at December 31, 2018. Old National has allocated specific reserves to customers whose loan terms have been modified in TDRs totaling $6.5 million at June 30, 2019 and $3.0 million at December 31, 2018. At June 30, 2019, Old National had committed to lend an additional $6.2 million to customers with outstanding loans that are classified as TDRs. The pre-modification and post-modification outstanding recorded investments of loans modified as TDRs during the six months ended June 30 , 201 9 and 201 8 are the same except for when the loan modifications involve the forgiveness of principal. The following table presents loans by class modified as TDRs that occurred during the six months ended June 30 , 201 9 and 201 8 : Pre-modification Post-modification Outstanding Outstanding Number Recorded Recorded (dollars in thousands) of Loans Investment Investment Six Months Ended June 30, 2019 TDR: Commercial 7 $ 9,701 $ 9,701 Commercial Real Estate - Other 4 10,027 10,027 Consumer 1 316 316 Total 12 $ 20,044 $ 20,044 Six Months Ended June 30, 2018 TDR: Commercial 2 $ 1,084 $ 1,084 Commercial Real Estate - Other 2 1,213 1,213 Residential 1 502 502 Consumer 1 432 432 Total 6 $ 3,231 $ 3,231 The TDRs that occurred during the six months ended June 30, 2019 decreased the allowance for loan losses by $0.8 million and resulted in no charge-offs during the six months ended June 30, 2019. The TDRs that occurred during the six months ended June 30, 2018 did not have a material impact on the allowance for loan losses and resulted in no charge-offs during the six months ended June 30, 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 were insignificant during the six months ended June 30, 2019 and 2018. The terms of certain other loans were modified during 2019 and 2018 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 order to determine whether a borrower is experiencing financial difficulty, an evaluation is performed of the probability that the borrower will be in payment default on its debt in the foreseeable future without the modification. The evaluation is performed under our internal underwriting policy. We also evaluate whether a concession has been granted or if we were adequately compensated through a market interest rate, additional collateral or a bona fide guarantee. We also consider whether the modification was insignificant relative to the other terms of the agreement or the delay in a payment. PCI loans are not considered impaired until after the point at which there has been a degradation of cash flows below our expected cash flows at acquisition. If a PCI loan is subsequently modified, and meets the definition of a TDR, it will be removed from PCI accounting and accounted for as a TDR only if the PCI loan was being accounted for individually. If the PCI loan is being accounted for as part of a pool, it will not be removed from the pool. As of June 30, 2019, it has not been necessary to remove any loans from PCI accounting. In general, once a modified loan is considered a TDR, the loan will always be considered a TDR, and therefore impaired, until it is paid in full, otherwise settled, sold or charged off. However, guidance also permits for loans to be removed from TDR status when subsequently restructured under these circumstances: (1) at the time of the subsequent restructuring, the borrower is not experiencing financial difficulties, and this is documented by a current credit evaluation at the time of the restructuring, (2) under the terms of the subsequent restructuring agreement, the institution has granted no concession to the borrower; and (3) the subsequent restructuring agreement includes market terms that are no less favorable than those that would be offered for a comparable new loan. For loans subsequently restructured that have cumulative principal forgiveness, the loan should continue to be measured in accordance with ASC 310-10, Receivables – Overall . However, consistent with ASC 310-40-50-2, Troubled Debt Restructurings by Creditors, Creditor Disclosure of Troubled Debt Restructurings , the loan would not be required to be reported in the years following the restructuring if the subsequent restructuring meets both of these criteria: (1) has an interest rate at the time of the subsequent restructuring that is not less than a market interest rate; and (2) is performing in compliance with its modified terms after the subsequent restructuring . Purchased Credit Impaired Loans Purchased loans acquired in a business combination are recorded at estimated fair value on their purchase date with no carryover of the related allowance for loan and lease losses. In determining the estimated fair value of purchased loans, management considers a number of factors including, among others, the remaining life of the acquired loans, estimated prepayments, estimated loss ratios, estimated value of the underlying collateral, and net present value of cash flows expected to be received. Purchased loans are accounted for in accordance with guidance for certain loans acquired in a transfer (ASC 310-30), when the loans have evidence of credit deterioration since origination and it is probable at the date of acquisition that the acquirer will not collect all contractually required principal and interest payments. The difference between contractually required payments and the cash flows expected to be collected at acquisition is referred to as the non-accretable difference. Subsequent decreases to the expected cash flows will generally result in a provision for loan and lease losses. Subsequent increases in expected cash flows will result in a reversal of the provision for loan losses to the extent of prior charges and then an adjustment to accretable yield, which would have a positive impact on interest income prospectively. Old National has purchased loans for which there was, at acquisition, evidence of deterioration of credit quality since origination and it was probable, at acquisition, that all contractually required payments would not be collected. The carrying amount of those loans was as follows: June 30, December 31, (dollars in thousands) 2019 2018 Commercial $ 5,593 $ 6,193 Commercial real estate 23,620 25,391 Residential 8,478 9,257 Consumer 2,951 3,552 Carrying amount 40,642 44,393 Allowance for loan losses (347 ) (478 ) Carrying amount, net of allowance $ 40,295 $ 43,915 The outstanding balance of loans accounted for under ASC 310-30, including contractual principal, interest, fees and penalties, was $241.8 million at June 30, 2019 and $246.9 million at December 31, 2018. The accretable difference on PCI loans is the difference between the expected cash flows and the net present value |
Other Real Estate Owned
Other Real Estate Owned | 6 Months Ended |
Jun. 30, 2019 | |
Banking And Thrift [Abstract] | |
Other Real Estate Owned | NOTE 8 – OTHER REAL ESTATE OWNED Other real estate owned is included in other assets. The following table presents activity in other real estate owned for the three and six months ended June 30, 2019 and 2018: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 3,279 $ 6,735 $ 3,232 $ 8,810 Additions 279 625 673 1,175 Sales (705 ) (3,274 ) (977 ) (5,625 ) Impairments (34 ) (357 ) (109 ) (631 ) Balance at end of period (1) $ 2,819 $ 3,729 $ 2,819 $ 3,729 (1) Includes repossessed personal property of $0.2 Foreclosed residential real estate property recorded as a result of obtaining physical possession of the property included in the table above totaled $1.2 |
Premises and Equipment
Premises and Equipment | 6 Months Ended |
Jun. 30, 2019 | |
Property Plant And Equipment [Abstract] | |
Premises and Equipment | NOTE 9 – PREMISES AND EQUIPMENT The composition of premises and equipment at June 30, 2019 and December 31, 2018 was as follows: June 30, December 31, (dollars in thousands) 2019 2018 Land $ 79,521 $ 79,231 Buildings 379,808 365,102 Furniture, fixtures, and equipment 105,318 107,862 Leasehold improvements 44,784 42,288 Total 609,431 594,483 Accumulated depreciation (115,950 ) (108,571 ) Premises and equipment, net $ 493,481 $ 485,912 Depreciation expense was $6.7 million for the three months ended June 30, 2019 and $13.2 million for the six months ended June 30, 2019, compared to $5.9 million for the three months ended June 30, 2018 and $11.8 million for the six months ended June 30, 2018. Finance Leases Old National leases certain branch buildings under finance leases that are included in premises and equipment. See Notes 10 and 16 to the consolidated financial statements for detail regarding these leases. |
Leases
Leases | 6 Months Ended |
Jun. 30, 2019 | |
Lessee Disclosure [Abstract] | |
Leases | NOTE 10 – LEASES Old National adopted FASB Topic 842 as of January 1, 2019. See Note 2 to the consolidated financial statements regarding transition guidance related to the new standard. 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 sheet at June 30, 2019. Finance leases are included in premises and equipment and other borrowings in our consolidated balance sheets at June 30, 2019 and 2018, and December 31, 2018. 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 We have made a policy election to exclude the recognition requirements of Topic 842 to all classes of leases with original terms of 12 months or less. Instead, the short-term lease payments are recognized in profit or loss on a straight-line basis over the lease term. 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 Three Months Six Months Item in the Ended Ended (dollars in thousands) Statement of Income June 30, 2019 June 30, 2019 Operating lease cost occupancy/equipment expense $ 4,291 $ 8,693 Finance lease cost: Amortization of right-of-use assets occupancy expense 160 318 Interest on lease liabilities interest expense 80 161 Short-term lease cost occupancy expense 1 2 Sub-lease income occupancy expense (181 ) (360 ) Total $ 4,351 $ 8,814 Lease expense for operating leases was $4.5 million for the three months ended June 30, 2018 and $8.9 million for the six months ended June 30, 2018. Supplemental balance sheet information related to leases was as follows: (dollars in thousands) June 30, 2019 Operating Leases Operating lease right-of-use assets $ 106,222 Operating lease liabilities 110,596 Finance Leases Premises and equipment, net 7,503 Other borrowings 7,646 Weighted-Average Remaining Lease Term (in Years) Operating leases 10.9 Finance leases 11.7 Weighted-Average Discount Rate Operating leases 3.45 % Finance leases 4.42 % Supplemental cash flow information related to leases was as follows: Six Months Ended (dollars in thousands) June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 8,843 Operating cash flows from finance leases 161 Financing cash flows from finance leases 224 The following table presents a maturity analysis of the Company’s lease liability by lease classification at June 30, 2019: Operating Finance (dollars in thousands) Leases Leases 2019 $ 8,668 $ 400 2020 16,764 803 2021 15,690 809 2022 14,131 815 2023 9,674 830 Thereafter 69,003 6,231 Total undiscounted lease payments 133,930 9,888 Amounts representing interest (23,334 ) (2,242 ) Lease liability $ 110,596 $ 7,646 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 lease s at June 30 , 2019: Tenant (dollars in thousands) Leases 2019 $ 1,014 2020 1,518 2021 1,224 2022 853 2023 712 Thereafter 2,549 Total undiscounted lease payments $ 7,870 |
Goodwill and Other Intangible A
Goodwill and Other Intangible Assets | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Goodwill and Other Intangible Assets | NOTE 11 – GOODWILL AND OTHER INTANGIBLE ASSETS The following table shows the changes in the carrying amount of goodwill for the three and six months ended June 30, 2019 and 2018: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 1,036,258 $ 828,804 $ 1,036,258 $ 828,051 Acquisition adjustments — — — 753 Balance at end of period $ 1,036,258 $ 828,804 $ 1,036,258 $ 828,804 Goodwill is reviewed annually for impairment. No events or circumstances since the August 31, 2018 annual impairment test were noted that would indicate it was more likely than not a goodwill impairment exists. See Note 3 to the consolidated financial statements for detail regarding changes in goodwill recorded in 2018 associated with acquisitions. The gross carrying amount and accumulated amortization of other intangible assets at June 30, 2019 and December 31, 2018 were as follows: Gross Accumulated Net Carrying Amortization Carrying (dollars in thousands) Amount and Impairment Amount June 30, 2019 Core deposit $ 119,051 $ (55,561 ) $ 63,490 Customer trust relationships 16,547 (11,817 ) 4,730 Total intangible assets $ 135,598 $ (67,378 ) $ 68,220 December 31, 2018 Core deposit $ 129,100 $ (57,524 ) $ 71,576 Customer trust relationships 16,547 (11,107 ) 5,440 Total intangible assets $ 145,647 $ (68,631 ) $ 77,016 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 during the six months ended June 30, 2019 or 2018. Total amortization expense associated with intangible assets was $4.3 million for the three months ended June 30, 2019 and $8.8 million for the six months ended June 30, 2019, compared to $3.4 million for the three months ended June 30, 2018 and $7.0 million for the six months ended June 30, 2018. Estimated amortization expense for future years is as follows: (dollars in thousands) 2019 remaining $ 8,114 2020 14,091 2021 11,336 2022 9,014 2023 7,053 Thereafter 18,612 Total $ 68,220 |
Loan Servicing Rights
Loan Servicing Rights | 6 Months Ended |
Jun. 30, 2019 | |
Text Block [Abstract] | |
Loan Servicing Rights | NOTE 12 – LOAN SERVICING RIGHTS At June 30, 2019, loan servicing rights derived from loans sold with servicing retained totaled $24.3 million, compared to $24.5 million at December 31, 2018. Loans serviced for others are not reported as assets. The principal balance of loans serviced for others was $3.326 billion at June 30, 2019, compared to $3.306 billion at December 31, 2018. Approximately 99.7% of the loans serviced for others at June 30, 2019 were residential mortgage loans. Custodial escrow balances maintained in connection with serviced loans were $38.9 million at June 30, 2019 and $10.7 million at December 31, 2018. The following table summarizes the carrying values and activity related to loan servicing rights and the related valuation allowance for the three and six months ended June 30, 2019 and 2018: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 24,271 $ 24,400 $ 24,512 $ 24,690 Additions 1,270 1,181 1,929 1,951 Amortization (1,177 ) (1,263 ) (2,077 ) (2,323 ) Balance before valuation allowance at end of period 24,364 24,318 24,364 24,318 Valuation allowance: Balance at beginning of period (17 ) (20 ) (15 ) (29 ) (Additions)/recoveries (15 ) 5 (17 ) 14 Balance at end of period (32 ) (15 ) (32 ) (15 ) Loan servicing rights, net $ 24,332 $ 24,303 $ 24,332 $ 24,303 At June 30, 2019, the fair value of servicing rights was $25.5 million, which was determined using a discount rate of 12% and a weighted average prepayment speed of 163% PSA. At December 31, 2018, the fair value of servicing rights was $27.4 million, which was determined using a discount rate of 12% and a weighted average prepayment speed of 119% PSA. |
Qualified Affordable Housing Pr
Qualified Affordable Housing Projects and Other Tax Credit Investments | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Qualified Affordable Housing Projects and Other Tax Credit Investments | NOTE 13 – 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. As of June 30, 2019, 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 at June 30, 2019 and December 31, 2018: (dollars in thousands) June 30, 2019 December 31, 2018 Unfunded Unfunded Investment Accounting Method Investment Commitment (1) Investment Commitment LIHTC Proportional amortization $ 31,421 $ 5,149 $ 28,396 $ 2,238 FHTC Equity 22,375 20,777 16,815 17,945 CReED Equity 13 — 17 538 Renewable Energy Equity 8,339 5,725 9,176 17,827 Total $ 62,148 $ 31,651 $ 54,404 $ 38,548 (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 for the three and six months ended June 30 , 2019 and 201 8 : Tax Expense Amortization (Benefit) (dollars in thousands) Expense (1) Recognized (2) Three Months Ended June 30, 2019 LIHTC $ 791 $ (1,042 ) Renewable Energy 568 (533 ) Total $ 1,359 $ (1,575 ) Three Months Ended June 30, 2018 LIHTC $ 643 $ (831 ) FHTC 5,444 (1,948 ) Renewable Energy 6,414 (2,882 ) Total $ 12,501 $ (5,661 ) Six Months Ended June 30, 2019 LIHTC $ 1,584 $ (2,085 ) Renewable Energy 828 (777 ) Total $ 2,412 $ (2,862 ) Six Months Ended June 30, 2018 LIHTC $ 1,281 $ (1,662 ) FHTC 5,444 (3,896 ) Renewable Energy 7,130 (6,296 ) Total $ 13,855 $ (11,854 ) (1) The amortization expense for the LIHTC investments is included in our income tax expense. The amortization expense for the FHTC 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 and Renewable Energy investments primarily reflects the tax credits generated from the investments and excludes the net tax expense (benefit) of the investments’ income (loss). |
Securities Sold Under Agreement
Securities Sold Under Agreements to Repurchase | 6 Months Ended |
Jun. 30, 2019 | |
Transfers And Servicing [Abstract] | |
Securities Sold Under Agreements to Repurchase | NOTE 14 – 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 at or for the six months ended June 30: (dollars in thousands) 2019 2018 Outstanding at June 30, $ 334,540 $ 347,511 Average amount outstanding 346,396 337,612 Maximum amount outstanding at any month-end 367,884 347,511 Weighted-average interest rate: During the six months ended June 30, 0.78 % 0.47 % At June 30, 0.86 0.59 The following table presents the contractual maturity of our secured borrowings and class of collateral pledged: At June 30, 2019 Remaining Contractual Maturity of the Agreements Overnight and Up to Greater Than (dollars in thousands) Continuous 30 Days 30-90 Days 90 days Total Repurchase Agreements: U.S. Treasury and agency securities $ 334,540 $ — $ — $ — $ 334,540 Total $ 334,540 $ — $ — $ — $ 334,540 The fair value of securities pledged to secure repurchase agreements may decline. Old National has pledged securities valued at 111% of the gross outstanding balance of repurchase agreements at June 30, 2019 to manage this risk. |
Federal Home Loan Bank Advances
Federal Home Loan Bank Advances | 6 Months Ended |
Jun. 30, 2019 | |
Banking And Thrift [Abstract] | |
Federal Home Loan Bank Advances | NOTE 15 – FEDERAL HOME LOAN BANK ADVANCES The following table summarizes Old National Bank’s FHLB advances at June 30, 2019 and December 31, 2018: June 30, December 31, (dollars in thousands) 2019 2018 FHLB advances (fixed rates 1.50% to 4.96% and variable rates 2.65% to 2.75%) maturing July 2019 to October 2028 $ 1,702,644 $ 1,603,643 ASC 815 fair value hedge and other basis adjustments 27,421 9,838 Total other borrowings $ 1,730,065 $ 1,613,481 FHLB advances had weighted-average rates of 2.40% at June 30, 2019 and 2.56% at December 31, 2018. Investment securities and residential real estate loans collateralize these borrowings up to 140% of outstanding debt. Contractual maturities of FHLB advances at June 30, 2019 were as follows: (dollars in thousands) Due in 2019 $ 25,480 Due in 2020 100,000 Due in 2021 20,000 Due in 2022 157,000 Due in 2023 164 Thereafter 1,400,000 ASC 815 fair value hedge and other basis adjustments 27,421 Total $ 1,730,065 |
Other Borrowings
Other Borrowings | 6 Months Ended |
Jun. 30, 2019 | |
Other Liabilities Disclosure [Abstract] | |
Other Borrowings | NOTE 16 – OTHER BORROWINGS The following table summarizes Old National’s other borrowings at June 30, 2019 and December 31, 2018: June 30, December 31, (dollars in thousands) 2019 2018 Old National Bancorp: Senior unsecured notes (fixed rate 4.125%) maturing August 2024 $ 175,000 $ 175,000 Unamortized debt issuance costs related to senior unsecured notes (792 ) (870 ) Junior subordinated debentures (variable rates of 3.66% to 6.31%) maturing April 2032 to June 2037 60,310 60,310 Other basis adjustments (2,885 ) (3,046 ) Old National Bank: Finance lease liabilities 7,646 5,262 Subordinated debentures (fixed rate 5.75%) 12,000 12,000 Other 561 (773 ) Total other borrowings $ 251,840 $ 247,883 Contractual maturities of other borrowings at June 30, 2019 were as follows: (dollars in thousands) Due in 2019 $ 239 Due in 2020 499 Due in 2021 524 Due in 2022 553 Due in 2023 591 Thereafter 252,550 Unamortized debt issuance costs and other basis adjustments (3,116 ) Total $ 251,840 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. The following table summarizes the terms of our outstanding junior subordinated debentures at June 30, 2019: (dollars in thousands) Rate at Issuance June 30, Name of Trust Issuance Date Amount Rate 2019 Maturity Date VFSC Capital Trust I April 2002 $ 3,093 6-month LIBOR plus 3.70% 6.31% April 22, 2032 VFSC Capital Trust II October 2002 4,124 3-month LIBOR plus 3.45% 5.98% November 7, 2032 VFSC Capital Trust III April 2004 3,093 3-month LIBOR plus 2.80% 5.25% September 8, 2034 St. Joseph Capital Trust II March 2005 5,000 3-month LIBOR plus 1.75% 4.16% March 17, 2035 Anchor Capital Trust III August 2005 5,000 3-month LIBOR plus 1.55% 3.87% September 30, 2035 Tower Capital Trust 2 December 2005 8,000 3-month LIBOR plus 1.34% 3.66% December 30, 2035 Home Federal Statutory Trust I September 2006 15,000 3-month LIBOR plus 1.65% 4.06% September 15, 2036 Monroe Bancorp Capital Trust I July 2006 3,000 3-month LIBOR plus 1.60% 4.19% October 7, 2036 Tower Capital Trust 3 December 2006 9,000 3-month LIBOR plus 1.69% 4.21% March 1, 2037 Monroe Bancorp Statutory Trust II March 2007 5,000 3-month LIBOR plus 1.60% 4.01% June 15, 2037 Total $ 60,310 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 have 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 $7.6 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 10 to the consolidated financial statements for a maturity analysis of the Company’s finance lease liabilities. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | NOTE 17 – ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) The following table summarizes the changes within each classification of AOCI, net of tax, for the three and six months ended June 30, 2019 and 2018: (dollars in thousands) Unrealized Gains and Losses on Available- for-Sale Debt Securities Unrealized Gains and Losses on Held-to- Maturity Securities Gains and Losses on Cash Flow Hedges Defined Benefit Pension Plans Total Three Months Ended June 30, 2019 Balance at beginning of period $ 10,442 $ (8,164 ) $ 513 $ (171 ) $ 2,620 Other comprehensive income (loss) before reclassifications 39,151 — 711 — 39,862 Amounts reclassified from AOCI to income (1) (892 ) 435 (4 ) 16 (445 ) Balance at end of period $ 48,701 $ (7,729 ) $ 1,220 $ (155 ) $ 42,037 Three Months Ended June 30, 2018 Balance at beginning of period $ (52,605 ) $ (9,737 ) $ 1,126 $ (310 ) $ (61,526 ) Other comprehensive income (loss) before reclassifications (5,615 ) — 1,143 — (4,472 ) Amounts reclassified from AOCI to income (1) (1,136 ) 402 8 21 (705 ) Balance at end of period $ (59,356 ) $ (9,335 ) $ 2,277 $ (289 ) $ (66,703 ) Six Months Ended June 30, 2019 Balance at beginning of period $ (37,348 ) $ (8,515 ) $ 1,099 $ (186 ) $ (44,950 ) Other comprehensive income (loss) before reclassifications 86,862 — 415 — 87,277 Amounts reclassified from AOCI to income (1) (813 ) 786 (294 ) 31 (290 ) Balance at end of period $ 48,701 $ (7,729 ) $ 1,220 $ (155 ) $ 42,037 Six Months Ended June 30, 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 (14,486 ) 4,514 4,587 — (5,385 ) Amounts reclassified from AOCI to income (1) (1,730 ) 858 588 41 (243 ) Balance at end of period $ (59,356 ) $ (9,335 ) $ 2,277 $ (289 ) $ (66,703 ) (1) See tables below for details about reclassifications to income. The following table summarizes the significant amounts reclassified out of each component of AOCI for the three months ended June 30, 2019 and 2018: Amount Reclassified Affected Line Item in the Details about AOCI Components from AOCI Statement of Income Three Months Ended June 30, (dollars in thousands) 2019 2018 Unrealized gains and losses on available-for-sale debt securities $ 1,165 $ 1,494 Net debt securities gains (losses) (273 ) (358 ) Income tax (expense) benefit $ 892 $ 1,136 Net income Unrealized gains and losses on held-to-maturity securities $ (564 ) $ (521 ) Interest income (expense) 129 119 Income tax (expense) benefit $ (435 ) $ (402 ) Net income Gains and losses on cash flow hedges Interest rate contracts $ 6 $ (10 ) Interest income (expense) (2 ) 2 Income tax (expense) benefit $ 4 $ (8 ) Net income Amortization of defined benefit pension items Actuarial gains (losses) $ (21 ) $ (27 ) Salaries and employee benefits 5 6 Income tax (expense) benefit $ (16 ) $ (21 ) Net income Total reclassifications for the period $ 445 $ 705 Net income The following table summarizes the significant amounts reclassified out of each component of AOCI for the six months ended June 30, 2019 and 2018: Amount Reclassified Affected Line Item in the Details about AOCI Components from AOCI Statement of Income Six Months Ended June 30, (dollars in thousands) 2019 2018 Unrealized gains and losses on available-for-sale debt securities $ 1,062 $ 2,282 Net debt securities gains (losses) (249 ) (552 ) Income tax (expense) benefit $ 813 $ 1,730 Net income Unrealized gains and losses on held-to-maturity securities $ (1,021 ) $ (1,112 ) Interest income/(expense) 235 254 Income tax (expense) benefit $ (786 ) $ (858 ) Net income Gains and losses on cash flow hedges Interest rate contracts $ 391 $ (779 ) Interest income/(expense) (97 ) 191 Income tax (expense) benefit $ 294 $ (588 ) Net income Amortization of defined benefit pension items Actuarial gains (losses) $ (41 ) $ (54 ) Salaries and employee benefits 10 13 Income tax (expense) benefit $ (31 ) $ (41 ) Net income Total reclassifications for the period $ 290 $ 243 Net income |
Share-Based Compensation
Share-Based Compensation | 6 Months Ended |
Jun. 30, 2019 | |
Disclosure Of Compensation Related Costs Sharebased Payments [Abstract] | |
Share-Based Compensation | NOTE 18 – SHARE-BASED COMPENSATION At June 30, 2019, Old National had 3.7 million shares remaining available for issuance under the Company’s Amended and Restated 2008 Incentive Compensation Plan. The granting of awards to key employees is typically in the form of restricted stock awards or units. Restricted Stock Awards Old National granted 206 thousand time-based restricted stock awards to certain key officers during the six months ended June 30, 2019, with shares vesting generally over a thirty-six month period. 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. At June 30, 2019, unrecognized compensation expense was estimated to be $6.1 million for unvested restricted stock awards. The cost is expected to be recognized over a weighted-average period of 2.2 years. Old National recorded share-based compensation expense, net of tax, related to restricted stock awards of $0.6 million during the three months ended June 30, 2019 and $1.2 million during the six months ended June 30, 2019, compared to $0.6 million during the three months ended June 30, 2018 and $1.1 million during the six months ended June 30, 2018. Restricted Stock Units Old National granted 375 thousand shares of performance based restricted stock units to certain key officers during the six months ended June 30, 2019, with shares vesting at the end of a thirty-six month period based on the achievement of certain targets. For certain awards, the level of performance could increase or decrease the number of shares earned. 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. At June 30, 2019, unrecognized compensation expense was estimated to be $6.7 million. The cost is expected to be recognized over a weighted-average period of 2.0 years. Old National recorded share-based compensation expense, net of tax, related to restricted stock units of $0.8 million during the three months ended June 30, 2019 and $1.6 million during the six months ended June 30, 2019, compared to $0.7 million during the three months ended June 30, 2018 and $1.6 million during the six months ended June 30, 2018. Stock Options Old National has not granted stock options since 2009. However, Old National did acquire stock options through prior year acquisitions. Old National did not record any share-based compensation expense related to these stock options during the six months ended June 30, 2019 or 2018. Stock Appreciation Rights Old National has never granted stock appreciation rights. However, Old National did acquire stock appreciation rights through a prior year acquisition. Old National did not record any incremental expense associated with the conversion of these stock appreciation rights during the six months ended June 30, 2019 or 2018. At June 30, 2019, 61 thousand stock appreciation rights remained outstanding. |
Income Taxes
Income Taxes | 6 Months Ended |
Jun. 30, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | NOTE 19 – 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 statements of income: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Provision at statutory rate of 21% $ 16,238 $ 10,153 $ 30,808 $ 21,270 Tax-exempt income: Tax-exempt interest (2,604 ) (2,237 ) (5,135 ) (4,428 ) Section 291/265 interest disallowance 123 73 234 135 Company-owned life insurance income (569 ) (510 ) (1,239 ) (1,057 ) Tax-exempt income (3,050 ) (2,674 ) (6,140 ) (5,350 ) State income taxes 1,558 1,028 3,558 2,216 Interim period effective rate adjustment 353 933 1,041 1,025 Tax credit investments - federal (715 ) (4,973 ) (1,134 ) (10,741 ) Other, net (25 ) (122 ) (670 ) 882 Income tax expense $ 14,359 $ 4,345 $ 27,463 $ 9,302 Effective tax rate 18.6 % 9.0 % 18.7 % 9.2 % In accordance with ASC 740-270, Accounting for Interim Reporting The higher effective tax rate during the three and six months ended June 30, 2019 when compared to the three and six months ended June 30, 2018 is primarily the result of a decrease in federal tax credits available. Unrecognized Tax Benefits Old National has an immaterial amount of unrecognized tax benefits. Old National expects the total amount of unrecognized tax benefits to be reduced to zero in the third quarter of 2019. Net Deferred Tax Assets Significant components of net deferred tax assets (liabilities) were as follows at June 30, 2019 and December 31, 2018: June 30, December 31, (dollars in thousands) 2019 2018 Deferred Tax Assets Allowance for loan losses, net of recapture $ 14,605 $ 14,514 Benefit plan accruals 15,481 21,754 Alternative minimum tax credit 2,545 2,545 Net operating loss carryforwards 25,653 31,765 Federal tax credits 696 1,779 Deferred gain on securities 1,773 1,976 Acquired loans 22,470 26,956 Operating lease liabilities 29,642 — Lease exit obligation — 1,025 Unrealized losses on available-for-sale investment securities — 11,853 Unrealized losses on held-to-maturity investment securities 2,262 2,497 Tax credit investments and other partnerships 3,428 3,004 Other real estate owned 158 144 Other, net 713 3,167 Total deferred tax assets 119,426 122,979 Deferred Tax Liabilities Accretion on investment securities (978 ) (595 ) Purchase accounting (17,828 ) (18,100 ) Loan servicing rights (6,100 ) (6,141 ) Premises and equipment (12,134 ) (8,507 ) Prepaid expenses (716 ) (681 ) Operating lease right-of-use assets (28,510 ) — Unrealized gains on available-for-sale investment securities (14,550 ) — Unrealized gains on hedges (398 ) (358 ) Other, net (2,210 ) (1,549 ) Total deferred tax liabilities (83,424 ) (35,931 ) Net deferred tax assets $ 36,002 $ 87,048 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 June 30, 2019 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 June 30, 2019 or December 31, 2018 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 $78.5 million at June 30, 2019 and $104.5 million at December 31, 2018. 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 alternative minimum tax (“AMT”) credit carryforwards totaling $5.6 million at June 30, 2019 and $10.1 million at December 31, 2018. The enactment of H.R. 1 eliminates the parallel tax system known as the AMT and allows any existing AMT credits to be used to reduce regular tax or be refunded from 2018 to 2021. ASC 740 allows for the reclassification of the AMT credit from a deferred tax asset to a current tax asset, except for the amount limited by section 382. Old National has $2.5 million of AMT credit carryforward subject to section 382 limitations. The $2.5 million is maintained in deferred tax assets and the remaining $3.1 million has been reclassified to a current tax asset. Old National has federal tax credit carryforwards of $0.7 million at June 30, 2019 and $1.8 million at December 31, 2018. The federal tax credits consist mainly of energy efficient home credits, low income housing credits, and research and development credits that, if not used, will expire from 2025 to 203 9 . Old National has recorded state net operating loss carryforwards totaling $ million at June 30 , 2019 and $ million at December 31, 201 8 . 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. |
Derivative Financial Instrument
Derivative Financial Instruments | 6 Months Ended |
Jun. 30, 2019 | |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | |
Derivative Financial Instruments | NOTE 20 – 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 amount of these derivative instruments was $907.0 million at June 30, 2019 and June 30 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 will be recognized as a component in other comprehensive income. Fair value hedges : changes in fair value will be recognized concurrently in earnings. Consistent with this guidance, 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 will be accounted for as outlined above. This is the case whether or not economic mismatches exist in the hedging relationship. As a result, there will be no periodic measurement or recognition of ineffectiveness. Rather, the full impact of hedge gains and losses will be recognized in the period in which the hedged transactions impact earnings. While separate measurement and presentation of ineffectiveness is being eliminated, paragraph 815-20-45-1A requires the change in fair value of the hedging instrument that is included in the assessment of hedge effectiveness be 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 June 30 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 $ 1.006 June 30 December 31 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 $3.3 million at June 30 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 $1.7 million will be reclassified to interest income and $1.2 million will be reclassified to interest expense. The following table summarizes the fair value of derivative financial instruments utilized by Old National: Balance Balance Sheet Fair Sheet Fair (dollars in thousands) Location Value Location Value June 30, 2019 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 18,391 Other liabilities $ 3,765 Total derivatives designated as hedging instruments $ 18,391 $ 3,765 Derivatives not designated as hedging instruments Interest rate contracts (1) Other assets $ 39,388 Other liabilities $ 10,461 Mortgage contracts Other assets 3,178 Other liabilities 778 Foreign currency contracts Other assets 149 Other liabilities 107 Total derivatives not designated as hedging instruments $ 42,715 $ 11,346 Total $ 61,106 $ 15,111 December 31, 2018 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 12,741 Other liabilities $ 1,603 Total derivatives designated as hedging instruments $ 12,741 $ 1,603 Derivatives not designated as hedging instruments Interest rate contracts (1) Other assets $ 15,278 Other liabilities $ 10,562 Mortgage contracts Other assets 874 Other liabilities 316 Foreign currency contracts Other assets 112 Other liabilities 69 Total derivatives not designated as hedging instruments $ 16,264 $ 10,947 Total $ 29,005 $ 12,550 (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 $29.1 million as of June 30, 2019 and $4.8 million as of December 31, 2018. Summary information about the interest rate swaps designated as fair value hedges is as follows: June 30, December 31, (dollars in thousands) 2019 2018 Notional amounts $ 432,000 $ 757,000 Weighted average pay rates 2.49 % 2.48 % Weighted average receive rates 2.62 % 2.70 % Weighted average maturity (in years) 3.5 3.9 Fair value of swaps $ 13,133 $ 9,683 The effect of derivative instruments in fair value hedging relationships on the consolidated statements of income for the three and six months ended June 30, 2019 and 2018 were as follows: (dollars in thousands) Gain (Loss) Recognized Location of Gain or Gain (Loss) Hedged Items Location of Gain or in Income on Derivatives in (Loss) Recognized in Recognized in Fair Value (Loss) Recognized in Related Fair Value Hedging in Income on in Income on Hedging in Income on Related Hedged Relationships Derivative Derivative Relationships Hedged Item Items Three Months Ended June 30, 2019 Interest rate contracts Interest income/(expense) $ 6,361 Fixed-rate debt Interest income/(expense) $ (6,352 ) Three Months Ended June 30, 2018 Interest rate contracts Interest income/(expense) $ (944 ) Fixed-rate debt Interest income/(expense) $ 934 Six Months Ended June 30, 2019 Interest rate contracts Interest income/(expense) $ 12,914 Fixed-rate debt Interest income/(expense) $ (12,900 ) Six Months Ended June 30, 2018 Interest rate contracts Interest income/(expense) $ (1,663 ) Fixed-rate debt Interest income/(expense) $ 1,655 Summary information about the interest rate swaps designated as cash flow hedges is as follows: June 30, December 31, (dollars in thousands) 2019 2018 Notional amounts $ 75,000 $ 525,000 Weighted average pay rates 3.06 % 2.21 % Weighted average receive rates 2.47 % 2.63 % Weighted average maturity (in years) 4.1 1.4 Unrealized gains (losses) $ (3,765 ) $ 146 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: June 30, December 31, (dollars in thousands) 2019 2018 Notional amounts $ 300,000 $ 200,000 Weighted average cap rates 3.21 % 3.44 % Weighted average floor rates 2.21 % 2.38 % Weighted average rates 2.42 % 2.35 % Weighted average maturity (in years) 2.4 2.8 Unrealized gains (losses) $ 4,561 $ 1,309 Old National has designated its interest rate floor spread 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 purchased floor strike rate. Old National pays an incremental amount if the index falls below the sold floor rate. Floor corridor protection is limited to the spread between the purchased floor strike rate and the sold floor rate. No payments are required if the index remains above the purchased floor strike rate. Summary information about the floor spread transactions designated as cash flow hedges is as follows: June 30, (dollars in thousands) 2019 Notional amounts $ 100,000 Weighted average purchased floor strike rate 2.00 % Weighted average sold floor rate 1.00 % Weighted average rate 2.40 % Weighted average maturity (in years) 2.0 Unrealized gains (losses) $ 697 Old National had no interest rate floor spread transactions designated as cash flow hedges as of December 31, 2018. The effect of derivative instruments in cash flow hedging relationships on the consolidated statements of income for the three and six months ended June 30, 2019 and 2018 were as follows: Three Months Ended Three Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Gain (Loss) Gain (Loss) Derivatives in Location of Gain or Recognized in Other Reclassified from Cash Flow Hedging (Loss) Reclassified Comprehensive AOCI into Relationships from AOCI into Income Income on Derivative Income Interest rate contracts Interest income/(expense) $ 944 $ 1,516 $ 6 $ (10 ) Six Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Gain (Loss) Gain (Loss) Derivatives in Location of Gain or Recognized in Other Reclassified from Cash Flow Hedging (Loss) Reclassified Comprehensive AOCI into Relationships from AOCI into Income Income on Derivative Income Interest rate contracts Interest income/(expense) $ 552 $ 6,079 $ 391 $ (779 ) The effect of derivatives not designated as hedging instruments on the consolidated statements of income for the three and six months ended June 30, 2019 and 2018 were as follows: Three Months Ended June 30, (dollars in thousands) 2019 2018 Location of Gain or (Loss) Gain (Loss) Derivatives Not Designated as Recognized in Income on Recognized in Income on Hedging Instruments Derivative Derivative Interest rate contracts (1) Other income/(expense) $ (94 ) $ 27 Mortgage contracts Mortgage banking revenue 819 (201 ) Foreign currency contracts Other income/(expense) (14 ) 6 Total $ 711 $ (168 ) Six Months Ended June 30, (dollars in thousands) 2019 2018 Location of Gain or (Loss) Gain (Loss) Derivatives Not Designated as Recognized in Income on Recognized in Income on Hedging Instruments Derivative Derivative Interest rate contracts (1) Other income/(expense) $ (131 ) $ 27 Mortgage contracts Mortgage banking revenue 1,841 437 Foreign currency contracts Other income/(expense) (11 ) 23 Total $ 1,699 $ 487 (1) Includes the valuation differences between the customer and offsetting swaps. |
Commitments and Contingencies
Commitments and Contingencies | 6 Months Ended |
Jun. 30, 2019 | |
Commitments And Contingencies Disclosure [Abstract] | |
Commitments and Contingencies | NOTE 21 – COMMITMENTS AND CONTINGENCIES 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 $2.982 billion and standby letters of credit of $101.3 million at June 30, 2019. At June 30, 2019, approximately $2.744 billion of the loan commitments had fixed rates and $238.4 million had floating rates, with the floating interest rates ranging from 1% to 16%. At December 31, 2018, loan commitments totaled $3.566 billion and standby letters of credit totaled $319.0 million. These commitments are not reflected in the consolidated financial statements. T he allowance for unfunded loan commitments totaled $ million at June 30 , 201 9 and $ 2.5 million at December 31, 201 8 . Old National had credit extensions with various unaffiliated banks related to letter of credit commitments issued on behalf of Old National’s clients totaling $9.9 million at June 30, 2019 and $15.5 million at December 31, 2018. Old National provided collateral to the unaffiliated banks to secure credit extensions totaling $7.8 million at June 30, 2019 and December 31, 2018. 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 common shares. This conversion will not occur until the final settlement of certain litigation for which Visa is indemnified by the holders of Visa’s Class B shares, including Old National. Visa funded an escrow account from its initial public offering to settle these litigation claims. Increases in litigation claims requiring Visa to fund the escrow account due to insufficient funds will result in a reduction of the conversion ratio of each Visa Class B share to unrestricted Class A shares. As of June 30, 2019, the conversion ratio was 1.6298. Based on the existing transfer restriction and the uncertainty of the outcome of the Visa litigation, the 56,210 Class B shares that Old National owns at June 30, 2019 are carried at a zero cost basis and are included in other assets with our equity securities that have no readily determinable fair value. |
Financial Guarantees
Financial Guarantees | 6 Months Ended |
Jun. 30, 2019 | |
Guarantees And Product Warranties [Abstract] | |
Financial Guarantees | NOTE 22 – 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 , Old National is a party in risk participation transactions of interest rate swaps, which had total notional amount of $37.8 million at June 30, 2019. |
Segment Information
Segment Information | 6 Months Ended |
Jun. 30, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | NOTE 23 – SEGMENT INFORMATION Operating 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 branches 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 bank branches 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 branch locations are considered by management to be aggregated into one reportable operating segment, community banking. |
Fair Value
Fair Value | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value | NOTE 24 – 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 Residential loans held for sale Derivative financial instruments 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 June 30, 2019 Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Equity securities $ 6,234 $ 6,234 $ — $ — Investment securities available-for-sale: U.S. Treasury 5,466 5,466 — — U.S. government-sponsored entities and agencies 645,458 — 645,458 — Mortgage-backed securities - Agency 2,781,515 — 2,781,515 — States and political subdivisions 908,566 — 908,526 40 Pooled trust preferred securities 7,836 — — 7,836 Other securities 318,385 31,081 287,304 — Residential loans held for sale 37,904 — 37,904 — Derivative assets 61,106 — 61,106 — Financial Liabilities Derivative liabilities 15,111 — 15,111 — Fair Value Measurements at December 31, 2018 Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Equity securities $ 5,582 $ 5,582 $ — $ — Investment securities available-for-sale: U.S. Treasury 5,301 5,301 — — U.S. government-sponsored entities and agencies 628,151 — 628,151 — Mortgage-backed securities - Agency 2,209,295 — 2,209,295 — States and political subdivisions 940,429 — 936,321 4,108 Pooled trust preferred securities 8,495 — — 8,495 Other securities 331,745 30,259 301,486 — Residential loans held for sale 14,911 — 14,911 — Derivative assets 29,005 — 29,005 — Financial Liabilities Derivative liabilities 12,550 — 12,550 — The table below presents a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3): Pooled Trust States and Preferred Political (dollars in thousands) Securities Subdivisions Three Months Ended June 30, 2019 Balance at beginning of period $ 8,123 $ 40 Accretion of discount 3 — Sales/payments received (17 ) — Increase (decrease) in fair value of securities (273 ) — Balance at end of period $ 7,836 $ 40 Three Months Ended June 30, 2018 Balance at beginning of period $ 8,195 $ 4,061 Accretion (amortization) of discount 5 (18 ) Sales/payments received (17 ) — Increase (decrease) in fair value of securities 22 (15 ) Balance at end of period $ 8,205 $ 4,028 Six Months Ended June 30, 2019 Balance at beginning of period $ 8,495 $ 4,108 Accretion of discount 7 — Sales/payments received (32 ) (35 ) Increase (decrease) in fair value of securities (634 ) — Transfers out of Level 3 — (4,033 ) Balance at end of period $ 7,836 $ 40 Six Months Ended June 30, 2018 Balance at beginning of period $ 8,448 $ — Accretion (amortization) of discount 10 (18 ) Sales/payments received (305 ) — Increase (decrease) in fair value of securities 52 (15 ) Transfers into Level 3 — 4,061 Balance at end of period $ 8,205 $ 4,028 The accretion or amortization of discounts on securities in the table above is included in interest 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. 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 the six months ended June 30 , 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 a $ 4.1 million state and political subdivisions security to Level 3 during the six months ended June 30 , 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: Valuation Unobservable Range (Weighted (dollars in thousands) Fair Value Techniques Input Average) June 30, 2019 Pooled trust preferred securities $ 7,836 Discounted cash flow Constant prepayment rate (a) 0.00% Additional asset defaults (b) 3.5% - 4.2% (4.0%) Expected asset recoveries (c) 0.00% State and political subdivisions 40 Discounted cash flow No observable inputs N/A Local municipality issuance Old National owns 100% Carried at par December 31, 2018 Pooled trust preferred securities $ 8,495 Discounted cash flow Constant prepayment rate (a) 0.00% Additional asset defaults (b) 6.8% - 8.5% (7.3%) Expected asset recoveries (c) 0.00% State and political subdivisions 4,108 Discounted cash flow No observable inputs N/A Local municipality issuance Old National owns 100% Carried at par (a) Assuming no prepayments. (b) 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%. (c) Each currently defaulted pool asset is assigned a recovery probability based on specific issuer evaluation of 0%, 25%, or 100%. Significant changes in any of the unobservable inputs used in the fair value measurement in isolation would result 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 has an impact that is directionally opposite from a change in the expected recovery of a defaulted pool asset. Assets measured at fair value on a non-recurring basis at June 30, 2019 are summarized below: Fair Value Measurements at June 30, 2019 Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Collateral Dependent Impaired Loans: Commercial loans $ 11,642 $ — $ — $ 11,642 Commercial real estate loans 13,928 — — 13,928 Foreclosed Assets: Residential 42 — — 42 Loan servicing rights 3,727 — 3,727 — Impaired commercial and commercial real estate loans that are deemed collateral dependent are valued based on the fair value of the underlying collateral. These estimates are based on 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 impaired commercial and commercial real estate loans had a principal amount of $ 36.2 million, with a valuation allowance of $ 10.6 million at June 30 , 2019 . Old National recorded provision expense associated with these loans totaling $ 1.1 million for the three months ended June 30 , 2019 and $ 2.3 million for the six months ended June 30, 2019 . Old National recorded provision expense associated with impaired commercial and commercial real estate loans that were deemed collateral dependent totaling $ 4.9 million for the three months ended June 30 , 2018 and $ 6.5 million for the six months ended June 30, 2018 . Other real estate owned and other repossessed property is measured at fair value less costs to sell and had a net carrying amount of $42 thousand at June 30, 2019. The estimates of fair value are based on 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. There were no write-downs of other real estate owned during the three or six months ended June 30, 2019, compared to write-downs of $0.1 million for the three months ended June 30, 2018 and $0.4 million for the six months ended June 30, 2018. 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 June 30, 2019 totaled $32 thousand. Old National recorded impairments associated with these loan servicing rights totaling $15 thousand during the three months ended June 30, 2019 and $17 thousand for the six months ended June 30, 2019. There were recoveries associated with loan servicing rights totaling $5 thousand for the three months ended June 30, 2018 and $14 thousand for the six months ended June 30, 2018. Assets measured at fair value on a non-recurring basis at December 31, 2018 are summarized below: Fair Value Measurements at December 31, 2018 Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Collateral Dependent Impaired Loans: Commercial loans $ 7,242 $ — $ — $ 7,242 Commercial real estate loans 29,125 — — 29,125 Foreclosed Assets: Residential 68 — — 68 Loan servicing rights 104 — 104 — At December 31, 2018, impaired commercial and commercial real estate loans had a principal amount of $49.3 million, with a valuation allowance of $12.9 million. Other real estate owned and other repossessed property had a net carrying amount of $68 thousand at December 31, 2018. The valuation allowance for loan servicing rights with impairments at December 31, 2018 totaled $15 thousand. The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 of the fair value hierarchy: Valuation Unobservable Range (Weighted (dollars in thousands) Fair Value Techniques Input Average) June 30, 2019 Collateral Dependent Impaired Loans Commercial loans $ 11,642 Fair value of Discount for type of property, 0% - 90% (25%) collateral age of appraisal, and current status Commercial real estate loans 13,928 Fair value of Discount for type of property, 45% collateral age of appraisal and current status Foreclosed Assets Residential 42 Fair value of Discount for type of property, 5% collateral age of appraisal, and current status December 31, 2018 Collateral Dependent Impaired Loans Commercial loans $ 7,242 Fair value of Discount for type of property, 0% - 90% (35%) collateral age of appraisal, and current status Commercial real estate loans 29,125 Fair value of Discount for type of property, 0% - 50% (35%) collateral age of appraisal and current status Foreclosed Assets Residential 68 Fair value of Discount for type of property, 15% - 16% (15%) collateral age of appraisal, and current status Financial instruments recorded using 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 $306 thousand for the three months ended June 30, 2019 and $494 thousand for the six months ended June 30, 2019, compared to $40 thousand for the three months ended June 30, 2018 and $62 thousand for the six months ended June 30, 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 at June 30, 2019 and December 31, 2018 was as follows: Aggregate Contractual (dollars in thousands) Fair Value Difference Principal June 30, 2019 Residential loans held for sale $ 37,904 $ 1,660 $ 36,244 December 31, 2018 Residential loans held for sale $ 14,911 $ 475 $ 14,436 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: Total Changes in Fair Values Other Included in Gains and Interest Interest Current Period (dollars in thousands) (Losses) Income (Expense) Earnings Three Months Ended June 30, 2019 Residential loans held for sale $ 1,085 $ 5 $ — $ 1,090 Three Months Ended June 30, 2018 Residential loans held for sale $ 387 $ 3 $ — $ 390 Six Months Ended June 30, 2019 Residential loans held for sale $ 1,175 $ 10 $ — $ 1,185 Six Months Ended June 30, 2018 Residential loans held for sale $ 422 $ 3 $ (4 ) $ 421 The carrying amounts and estimated fair values of financial instruments not carried at fair value at June 30, 2019 and December 31, 2018 were as follows: Fair Value Measurements at June 30, 2019 Using Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Cash, due from banks, money market, and other interest-earning investments $ 300,986 $ 300,986 $ — $ — Investment securities held-to-maturity: U.S. government-sponsored entities and agencies 74,403 — 75,858 — Mortgage-backed securities - Agency 118,720 — 121,328 — State and political subdivisions 277,745 — 289,542 — Loans, net: Commercial 3,052,301 — — 2,992,851 Commercial real estate 4,970,382 — — 4,914,521 Residential real estate 2,219,929 — — 2,215,752 Consumer credit 1,747,674 — — 1,717,960 Accrued interest receivable 90,543 13 28,821 61,709 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 3,771,888 $ 3,771,888 $ — $ — Checking, NOW, savings, and money market interest-bearing deposits 8,647,550 8,647,550 — — Time deposits 1,943,663 — 1,940,094 — Federal funds purchased and interbank borrowings 410,036 410,036 — — Securities sold under agreements to repurchase 334,540 334,540 — — FHLB advances 1,730,065 — — 1,770,369 Other borrowings 251,840 — 259,756 — Accrued interest payable 9,155 — 9,155 — Standby letters of credit 527 — — 527 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 5,850 Fair Value Measurements at December 31, 2018 Using Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Cash, due from banks, money market, and other interest-earning investments $ 317,165 $ 317,165 $ — $ — Investment securities held-to-maturity: U.S. government-sponsored entities and agencies 73,986 — 72,359 Mortgage-backed securities - Agency 127,120 — 124,409 — State and political subdivisions 305,228 — 309,335 — Loans, net: Commercial 3,211,228 — — 3,161,132 Commercial real estate 4,935,381 — — 4,781,294 Residential real estate 2,246,127 — — 2,225,853 Consumer credit 1,795,695 — — 1,773,352 Accrued interest receivable 89,464 13 27,580 61,871 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 3,965,380 $ 3,965,380 $ — $ — Checking, NOW, savings, and money market interest-bearing deposits 8,360,313 8,360,313 — — Time deposits 2,024,256 — 2,002,187 — Federal funds purchased and interbank borrowings 270,135 270,135 — — Securities sold under agreements to repurchase 362,294 362,294 — — FHLB advances 1,613,481 — — 1,611,103 Other borrowings 247,883 — 248,065 — Accrued interest payable 9,871 — 9,871 — Standby letters of credit 525 — — 525 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 3,115 The methods utilized to measure the fair value of financial instruments at June 30, 2019 and December 31, 2018 represent an approximation of exit price, however, an actual exit price may differ. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 6 Months Ended |
Jun. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Revenue from Contracts with Customers | NOTE 25 – 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: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Wealth management fees $ 9,909 $ 9,746 $ 18,444 $ 18,772 Service charges on deposit accounts 11,515 10,765 22,341 21,524 Debit card and ATM fees 5,419 5,080 10,922 9,945 Investment product fees 5,591 5,066 10,862 10,097 Other income: Merchant processing fees 821 778 1,528 1,419 Gain (loss) on other real estate owned 125 586 165 721 Safe deposit box fees 258 224 669 628 Insurance premiums and commissions 175 78 375 182 Total $ 33,813 $ 32,323 $ 65,306 $ 63,288 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 Debit card and ATM fees Investment product fees |
Basis of Presentation (Policies
Basis of Presentation (Policies) | 6 Months Ended |
Jun. 30, 2019 | |
Accounting Policies [Abstract] | |
Basis Of Presentation | BASIS OF PRESENTATION The accompanying unaudited 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. In the opinion of management, the consolidated financial statements contain all the normal and recurring adjustments necessary for a fair statement of the financial position of Old National as of June 30, 2019 and 2018, and December 31, 2018, and the results of its operations for the three and six months ended June 30, 2019 and 2018. Interim results do not necessarily represent annual results. These financial statements should be read in conjunction with Old National’s Annual Report for the year ended December 31, 2018. 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 period net income or shareholders’ equity and were insignificant amounts. |
Recent Accounting Pronouncements | Accounting Guidance Adopted in 2019 FASB ASC 842 – In February 2016, the FASB issued its new lease accounting guidance in ASU No. 2016-02, Leases (Topic 842) . Under the new guidance, lessees will be required to recognize the following for all leases, with the exception of short-term leases, at the commencement date: (1) a lease liability, which is a lessee’s obligation to make lease payments arising from a lease, measured on a discounted basis; and (2) a right-of-use asset, which is an asset that represents the lessee’s right to use, or control the use of, a specified asset for the lease term. Under the new guidance, lessor accounting is largely unchanged. In July 2018, the FASB issued ASU No. 2018-10, Codification Improvements to Topic 842, Leases Leases (Topic 842): Targeted Improvements Old National elected the optional transition method permitted by ASU No. 2018-11. Under this method, an entity shall recognize and measure leases that exist at the application date and prior comparative periods are not adjusted. In addition, Old National elected the package of practical expedients to leases that commenced before the effective date: 1. An entity need not reassess whether any expired or existing contracts contain leases. 2. An entity need not reassess the lease classification for any expired or existing leases. 3. An entity need not reassess initial direct costs for any existing leases. Old National also elected the practical expedient, which must be applied consistently to all leases, to use hindsight in determining the lease term and in assessing impairment of our right-of-use assets. We also elected a practical expedient to not assess whether existing or expired land easements that were not previously accounted for as leases under Topic 840 contain a lease under this Topic. Both of these practical expedients may be elected separately or in conjunction with each other or the package noted above. Based on both operating and finance leases outstanding at December 31, 2018, the impact of adoption on January 1, 2019 was recording a lease liability of $122.9 million, a right-of-use asset of $118.7 million, and a cumulative-effect adjustment of $6.3 million to increase retained earnings. FASB ASC 310 – In March 2017, the FASB issued ASU No. 2017-08, Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities . This update amends the amortization period for certain purchased callable debt securities held at a premium. FASB is shortening the amortization period for the premium to the earliest call date. Under current GAAP, entities generally amortize the premium as an adjustment of yield over the contractual life of the instrument. Concerns were raised that current GAAP excludes certain callable debt securities from consideration of early repayment of principal even if the holder is certain that the call will be exercised. As a result, upon the exercise of a call on a callable debt security held at a premium, the unamortized premium is recorded as a loss in earnings. There is diversity in practice (1) in the amortization period for premiums of callable debt securities and (2) in how the potential for exercise of a call is factored into current impairment assessments. The amendments in this update became effective for annual reporting periods beginning after December 15, 2018, including interim reporting periods within those annual reporting periods and did not have a material impact on the consolidated financial statements. FASB ASC 718 – In June 2018, the FASB issued ASU No. 2018-07, Compensation – Stock Compensation (Topic 718): Improvements to Nonemployee Share-Based Payment Accounting. The amendments in this update expand the scope of Topic 718, Compensation—Stock Compensation (which currently only includes share-based payments to employees) to include share-based payments issued to nonemployees for goods or services. Consequently, the accounting for share-based payments to nonemployees and employees will be substantially aligned. The ASU supersedes Subtopic 505-50, Equity—Equity-Based Payments to Non-Employees. The amendments in this update became effective for annual periods beginning after December 15, 2018, including interim periods within that fiscal year and did not have a material impact on the consolidated financial statements. FASB ASC 958 – In June 2018, the FASB issued ASU No. 2018-08, Not-for-Profit Entities (Topic 958): Clarifying the Scope and the Accounting Guidance for Contributions Received and Contributions Made. The amendments in this update clarify and improve the scope and accounting guidance around contributions of cash and other assets received and made by not-for-profit organizations and business enterprises. The ASU clarifies and improves current guidance about whether a transfer of assets, or the reduction, settlement, or cancellation of liabilities, is a contribution or an exchange transaction. It provides criteria for determining whether the resource provider is receiving commensurate value in return for the resources transferred which, depending on the outcome, determines whether the organization follows contribution guidance or exchange transaction guidance in the revenue recognition and other applicable standards. It also provides a more robust framework for determining whether a contribution is conditional or unconditional, and for distinguishing a donor-imposed condition from a donor-imposed restriction. This is important because such classification affects the timing of contribution revenue and expense recognition. The new ASU does not apply to transfers of assets from governments to businesses. The amendments in this update became effective for a public business entity for transactions in which the entity serves as a resource recipient to annual periods beginning after June 15, 2018, including interim periods within those annual periods. The amendments in this update became effective for a public business entity for transactions in which the entity serves as a resource provider to annual periods beginning after December 15, 2018, including interim periods within those annual periods and there was no impact. FASB ASC 815 – In October 2018, the FASB issued ASU No. 2018-16, Derivatives and Hedging (Topic 815): Inclusion of the Secured Overnight Financing Rate (SOFR) Overnight Index Swap (OIS) Rate as a Benchmark Interest Rate for Hedge Accounting. In the United States, eligible benchmark interest rates under Topic 815 are interest rates on direct Treasury obligations of the U.S. government (“UST”), the London Interbank Offered Rate (“LIBOR”) swap rate, and the Overnight Index Swap (“OIS”) Rate based on the Fed Funds Effective Rate. When the FASB issued ASU No. 2017-12, Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities , in August 2017, it introduced the Securities Industry and Financial Markets Association (“SIFMA”) Municipal Swap Rate as the fourth permissible U.S. benchmark rate. The new ASU adds the OIS rate based on SOFR as a U.S. benchmark interest rate to facilitate the LIBOR to SOFR transition and provide sufficient lead time for entities to prepare for changes to interest rate risk hedging strategies for both risk management and hedge accounting purposes. The amendments in this update became effective for fiscal years beginning after December 15, 2018, and interim periods within those fiscal years and the financial statement impact immediately upon adoption was immaterial. The future financial statement impact will depend on any new contracts entered into using new benchmark rates, as well as any existing contracts that get migrated from LIBOR to new benchmark interest rates. The Company has formed a working group who is developing a transition plan for all exposed contracts migrating from LIBOR to SOFR. Additionally, the working group is monitoring industry specific transition guidance around a LIBOR contract’s “fallback” language with the industry goal to minimize or eliminate value transfers resulting from the transition . Accounting Guidance Issued But Not Yet Adopted 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 (“CECL”). 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 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 financial assets held 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 (“ACL”) over the life of the financial assets. The amendments in this update become effective for annual periods and interim periods within those annual periods beginning after December 15, 2019. Early adoption will be permitted beginning after December 15, 2018. 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 and has developed a project plan focused on understanding the ASU, researching issues, identifying data needs for modeling inputs, technology requirements, modeling considerations, and ensuring overarching governance has been achieved for each objective and milestone. Currently, the working group has identified seven distinct loan portfolios for which a model 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 second half of 2019, the project plan is targeting multiple parallel processing of our existing allowance for loan losses model compared to the CECL model, as well as model sensitivity analysis and determination of qualitative adjustments. Currently, our measurements for estimating the current expected life-time credit losses for loans and debt securities (as well as certain beneficial interests classified as held-to-maturity) includes the following major items: • Initial forecast – use a period of one year for all 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 – use a range from 1 to 2 years, which links the initial loss forecast to the historical loss forecast based on economic conditions at the measurement date. • Discounted cash flow (“DCF”) aggregator – using the items above to estimate the life-time credit losses for all portfolios and losses for loans modified as a TDR. During the last half of 2019, Old National will continue researching and resolving interpretive accounting issues in the ASU contemplating various related accounting policies, developing processes and related controls, and considering various reporting disclosures. As of the beginning of the first reporting period in which the new standard is effective, Old National expects to recognize a one-time cumulative effect adjustment increasing the allowance for loan losses, since the ASU covers credit losses over the expected life of a loan as well as considering future changes in macroeconomic conditions. The magnitude of any such one-time adjustment or the overall impact of the new guidance on the consolidated financial statements cannot yet be reasonably estimated, however, we expect to identify a range in our Quarterly Report on Form 10-Q for the quarterly period ended September 30, 2019. 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 . Old National is planning on adopting the capital transition relief over the permissible three-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 qualitative 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 should be adopted for annual or any interim goodwill impairment tests in fiscal years beginning after December 15, 2019. Early adoption is permitted on testing dates after January 1, 2017. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements, but it is not expected to have a material impact. 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 become effective for fiscal years, and interim periods within those fiscal years beginning after December 15, 2019. Early adoption is permitted. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements, but it is not expected to have a material impact. 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 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 become effective for fiscal years beginning after December 15, 2019, 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 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 become effective for annual periods and interim periods within those annual periods beginning after December 15, 2019. Early adoption is permitted. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements, but it is not expected to have a material impact. 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 will become 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 will become 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 will become effective for fiscal years and interim periods beginning after December 15, 2019. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements, but it is not expected to have a material impact. 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. The amendments in this update become effective for annual periods and interim periods within those annual periods beginning after December 15, 2019. Old National is currently evaluating the impact of adopting the new guidance on the consolidated financial statements, but it is not expected to have a material impact. |
Acquisition and Divestiture A_2
Acquisition and Divestiture Activity (Tables) - KleinBank [Member] - Minnesota [Member] | 6 Months Ended |
Jun. 30, 2019 | |
Summary of Fair Values of Acquired Assets, Liabilities Assumed and Resulting Goodwill | The following table reflects management’s preliminary valuation of the assets acquired and liabilities assumed (in thousands): Cash and cash equivalents $ 60,759 Investment securities 697,951 FHLB/Federal Reserve Bank stock 2,637 Loans held for sale 3,371 Loans 1,049,073 Premises and equipment 33,391 Accrued interest receivable 7,896 Company-owned life insurance 36,380 Net deferred tax assets 6,500 Other real estate owned 954 Other assets 10,299 Deposits (1,713,086 ) Securities sold under agreements to repurchase (19,481 ) Accrued expenses and other liabilities (17,506 ) Net tangible assets acquired 159,138 Definite-lived intangible assets acquired 39,017 Loan servicing rights 285 Goodwill 208,034 Total consideration $ 406,474 |
Summary of Acquired Loan Data | Acquired loan data for Klein can be found in the table below: Best Estimate at Acquisition Date of Fair Value Gross Contractual Contractual Cash of Acquired Loans Cash Flows at Flows Not Expected (in thousands) at Acquisition Date Acquisition Date to be Collected Acquired receivables subject to ASC 310-30 $ 11,663 $ 18,568 $ 4,521 Acquired receivables not subject to ASC 310-30 $ 1,037,410 $ 1,252,954 $ 76,534 |
Net Income Per Share (Tables)
Net Income Per Share (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Earnings Per Share [Abstract] | |
Summary of Table Reconciling Basic and Diluted Net Income Per Share | The following table reconciles basic and diluted net income per share for the three and six months ended June 30, 2019 and 2018: Three Months Ended Six Months Ended (dollars and shares in thousands, June 30, June 30, except per share data) 2019 2018 2019 2018 Basic Net Income Per Share Net income $ 62,964 $ 44,001 $ 119,240 $ 91,984 Weighted average common shares outstanding 172,985 151,878 173,855 151,800 Basic Net Income Per Share $ 0.37 $ 0.29 $ 0.69 $ 0.61 Diluted Net Income Per Share Net income $ 62,964 $ 44,001 $ 119,240 $ 91,984 Weighted average common shares outstanding 172,985 151,878 173,855 151,800 Effect of dilutive securities: Restricted stock 643 623 626 610 Stock options (1) 47 67 50 73 Weighted average shares outstanding 173,675 152,568 174,531 152,483 Diluted Net Income Per Share $ 0.36 $ 0.29 $ 0.68 $ 0.60 (1) Options to purchase 14 thousand shares outstanding at June 30, 2019 and 2018 were not included in the computation of net income per diluted share for the three and six months ended June 30, 2019 and 2018 because the exercise price of these options was greater than the average market price of the common shares and, therefore, the effect would be antidilutive. |
Investment Securities (Tables)
Investment Securities (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
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 and held-to-maturity investment securities portfolio at June 30, 2019 and December 31, 2018 and the corresponding amounts of unrealized gains and losses therein: Amortized Unrealized Unrealized Fair (dollars in thousands) Cost Gains Losses Value June 30, 2019 Available-for-Sale U.S. Treasury $ 5,353 $ 117 $ (4 ) $ 5,466 U.S. government-sponsored entities and agencies 645,351 1,242 (1,135 ) 645,458 Mortgage-backed securities - Agency 2,746,337 42,248 (7,070 ) 2,781,515 States and political subdivisions 879,187 29,672 (293 ) 908,566 Pooled trust preferred securities 13,836 — (6,000 ) 7,836 Other securities 313,911 6,140 (1,666 ) 318,385 Total available-for-sale securities $ 4,603,975 $ 79,419 $ (16,168 ) $ 4,667,226 Held-to-Maturity U.S. government-sponsored entities and agencies $ 74,403 $ 1,455 $ — $ 75,858 Mortgage-backed securities - Agency 118,720 2,608 — 121,328 States and political subdivisions 277,745 11,797 — 289,542 Total held-to-maturity securities $ 470,868 $ 15,860 $ — $ 486,728 December 31, 2018 Available-for-Sale U.S. Treasury $ 5,332 $ — $ (31 ) $ 5,301 U.S. government-sponsored entities and agencies 639,458 35 (11,342 ) 628,151 Mortgage-backed securities - Agency 2,243,774 9,738 (44,217 ) 2,209,295 States and political subdivisions 932,757 11,113 (3,441 ) 940,429 Pooled trust preferred securities 13,861 — (5,366 ) 8,495 Other securities 337,435 486 (6,176 ) 331,745 Total available-for-sale securities $ 4,172,617 $ 21,372 $ (70,573 ) $ 4,123,416 Held-to-Maturity U.S. government-sponsored entities and agencies $ 73,986 $ — $ (1,627 ) $ 72,359 Mortgage-backed securities - Agency 127,120 39 (2,750 ) 124,409 States and political subdivisions 305,228 6,208 (2,101 ) 309,335 Total held-to-maturity securities $ 506,334 $ 6,247 $ (6,478 ) $ 506,103 |
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 and the resulting realized gains and realized losses were as follows for the three and six months ended June 30, 2019 and 2018: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Proceeds from sales of available-for-sale debt securities $ 258,951 $ 47,064 $ 267,632 $ 131,321 Proceeds from calls of available-for-sale debt securities 38,430 11,211 62,115 28,647 Total $ 297,381 $ 58,275 $ 329,747 $ 159,968 Realized gains on sales of available-for-sale debt securities $ 3,032 $ 1,251 $ 3,103 $ 3,259 Realized gains on calls of available-for-sale debt securities — 283 3 284 Realized losses on sales of available-for-sale debt securities (1,867 ) (48 ) (2,015 ) (1,305 ) Realized losses on calls of available-for-sale debt securities — (4 ) (29 ) (53 ) Other securities gains (losses) (1) — 12 — 97 Net debt securities gains (losses) $ 1,165 $ 1,494 $ 1,062 $ 2,282 (1) For the three and six months ended June 30, 2018, other securities gains (losses) included realized gains and losses of equity securities previously classified as trading securities. For the three and six months ended June 30, 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 June 30, 2019 (dollars in thousands) Weighted Amortized Fair Average Maturity Cost Value Yield Available-for-Sale Within one year $ 67,614 $ 67,697 2.78 % One to five years 325,596 328,679 2.62 Five to ten years 637,886 650,816 3.24 Beyond ten years 3,572,879 3,620,034 2.95 Total $ 4,603,975 $ 4,667,226 2.97 % Held-to-Maturity Within one year $ 14,051 $ 14,155 4.48 % One to five years 35,606 36,747 3.98 Five to ten years 74,766 78,137 4.60 Beyond ten years 346,445 357,689 3.63 Total $ 470,868 $ 486,728 3.83 % |
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 at June 30, 2019 and December 31, 2018 by aggregated major security type and length of time in a continuous unrealized loss position: Less than 12 months 12 months or longer Total Fair Unrealized Fair Unrealized Fair Unrealized (dollars in thousands) Value Losses Value Losses Value Losses June 30, 2019 Available-for-Sale U.S. Treasury $ — $ — $ 1,491 $ (4 ) $ 1,491 $ (4 ) U.S. government-sponsored entities and agencies 45,107 (207 ) 160,407 (928 ) 205,514 (1,135 ) Mortgage-backed securities - Agency 15,247 (279 ) 697,159 (6,791 ) 712,406 (7,070 ) States and political subdivisions 9,361 (126 ) 54,948 (167 ) 64,309 (293 ) Pooled trust preferred securities — — 7,836 (6,000 ) 7,836 (6,000 ) Other securities 17,895 (156 ) 114,829 (1,510 ) 132,724 (1,666 ) Total available-for-sale $ 87,610 $ (768 ) $ 1,036,670 $ (15,400 ) $ 1,124,280 $ (16,168 ) December 31, 2018 Available-for-Sale U.S. Treasury $ 3,829 $ (12 ) $ 1,472 $ (19 ) $ 5,301 $ (31 ) U.S. government-sponsored entities and agencies 54,701 (594 ) 519,911 (10,748 ) 574,612 (11,342 ) Mortgage-backed securities - Agency 82,289 (742 ) 1,172,984 (43,475 ) 1,255,273 (44,217 ) States and political subdivisions 99,162 (1,340 ) 151,097 (2,101 ) 250,259 (3,441 ) Pooled trust preferred securities — — 8,495 (5,366 ) 8,495 (5,366 ) Other securities 94,607 (1,965 ) 143,842 (4,211 ) 238,449 (6,176 ) Total available-for-sale $ 334,588 $ (4,653 ) $ 1,997,801 $ (65,920 ) $ 2,332,389 $ (70,573 ) The following table summarizes the held-to-maturity investment securities with unrecognized losses at June 30, 2019 and December 31, 2018 by aggregated major security type and length of time in a continuous unrecognized loss position: Less than 12 months 12 months or longer Total Fair Unrecognized Fair Unrecognized Fair Unrecognized (dollars in thousands) Value Losses Value Losses Value Losses June 30, 2019 Held-to-Maturity U.S. government-sponsored entities and agencies $ — $ — $ — $ — $ — $ — Mortgage-backed securities - Agency — — — — — — States and political subdivisions — — — — — — Total held-to-maturity $ — $ — $ — $ — $ — $ — December 31, 2018 Held-to-Maturity U.S. government-sponsored entities and agencies $ — $ — $ 72,359 $ (4,642 ) $ 72,359 $ (4,642 ) Mortgage-backed securities - Agency 4,335 (24 ) 119,207 (8,006 ) 123,542 (8,030 ) States and political subdivisions 24,533 (983 ) 70,022 (3,556 ) 94,555 (4,539 ) Total held-to-maturity $ 28,868 $ (1,007 ) $ 261,588 $ (16,204 ) $ 290,456 $ (17,211 ) |
Trust Preferred Securities | Trust preferred securities Actual Expected Excess June 30, 2019 Deferrals Defaults as Subordination (dollars in thousands) # of Issuers and Defaults a % of as a % of Lowest Unrealized Realized Currently as a % of Remaining Current Credit Amortized Fair Gain/ Losses Performing/ Original Performing Performing Class Rating (1) Cost Value (Loss) 2019 Remaining Collateral Collateral Collateral Pooled trust preferred securities: Pretsl XXVII LTD B B $ 4,317 $ 2,131 $ (2,186 ) $ — 33/43 17.2% 4.5% 36.0% Trapeza Ser 13A A2A BBB 9,519 5,705 (3,814 ) — 43/48 4.5% 4.5% 56.7% 13,836 7,836 (6,000 ) — Single Issuer trust preferred securities: JP Morgan Chase & Co BBB- 4,792 4,225 (567 ) — Total $ 18,628 $ 12,061 $ (6,567 ) $ — (1) Lowest rating for the security provided by any nationally recognized credit rating agency. |
Loans and Allowance for Loan _2
Loans and Allowance for Loan Losses (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Text Block [Abstract] | |
Schedule of Composition of Loans | The composition of loans by lending classification was as follows: June 30, December 31, (dollars in thousands) 2019 2018 Commercial (1) $ 3,074,849 $ 3,232,970 Commercial real estate: Construction 652,903 504,625 Other 4,340,790 4,454,226 Residential real estate 2,222,198 2,248,404 Consumer credit: Home equity 553,991 589,322 Auto 1,036,244 1,059,633 Other 165,603 154,712 Total loans 12,046,578 12,243,892 Allowance for loan losses (56,292 ) (55,461 ) Net loans $ 11,990,286 $ 12,188,431 (1) Includes direct finance leases of $53.5 million at June 30, 2019 and $60.0 million at December 31, 2018. |
Schedule of Activity in Allowance for Loan Losses | Old National’s activity in the allowance for loan losses for the three and six months ended June 30, 2019 and 2018 was as follows: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total Three Months Ended June 30, 2019 Balance at beginning of period $ 20,406 $ 25,169 $ 2,302 $ 7,682 $ 55,559 Charge-offs (604 ) (389 ) (140 ) (1,743 ) (2,876 ) Recoveries 334 1,205 9 1,058 2,606 Provision 2,412 (2,674 ) 98 1,167 1,003 Balance at end of period $ 22,548 $ 23,311 $ 2,269 $ 8,164 $ 56,292 Three Months Ended June 30, 2018 Balance at beginning of period $ 19,591 $ 20,796 $ 1,763 $ 8,231 $ 50,381 Charge-offs (472 ) (430 ) (295 ) (1,857 ) (3,054 ) Recoveries 249 583 1,697 1,358 3,887 Provision 2,019 1,549 (1,298 ) 176 2,446 Balance at end of period $ 21,387 $ 22,498 $ 1,867 $ 7,908 $ 53,660 Six Months Ended June 30, 2019 Balance at beginning of period $ 21,742 $ 23,470 $ 2,277 $ 7,972 $ 55,461 Charge-offs (764 ) (624 ) (318 ) (4,063 ) (5,769 ) Recoveries 709 1,775 81 1,989 4,554 Provision 861 (1,310 ) 229 2,266 2,046 Balance at end of period $ 22,548 $ 23,311 $ 2,269 $ 8,164 $ 56,292 Six Months Ended June 30, 2018 Balance at beginning of period $ 19,246 $ 21,436 $ 1,763 $ 7,936 $ 50,381 Charge-offs (717 ) (433 ) (657 ) (3,932 ) (5,739 ) Recoveries 760 1,067 1,845 2,520 6,192 Provision 2,098 428 (1,084 ) 1,384 2,826 Balance at end of period $ 21,387 $ 22,498 $ 1,867 $ 7,908 $ 53,660 |
Schedule of Recorded Investment in Loans | The following table presents Old National’s recorded investment in loans by portfolio segment at June 30, 2019 and December 31, 2018 and other information regarding the allowance: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total June 30, 2019 Allowance for loan losses: Individually evaluated for impairment $ 6,972 $ 4,847 $ — $ — $ 11,819 Collectively evaluated for impairment 15,574 18,316 2,269 7,967 44,126 Loans acquired with deteriorated credit quality 2 148 — 197 347 Total allowance for loan losses $ 22,548 $ 23,311 $ 2,269 $ 8,164 $ 56,292 Loans and leases outstanding: Individually evaluated for impairment $ 39,751 $ 64,013 $ — $ — $ 103,764 Collectively evaluated for impairment 3,029,505 4,906,060 2,213,720 1,752,887 11,902,172 Loans acquired with deteriorated credit quality 5,593 23,620 8,478 2,951 40,642 Total loans and leases outstanding $ 3,074,849 $ 4,993,693 $ 2,222,198 $ 1,755,838 $ 12,046,578 December 31, 2018 Allowance for loan losses: Individually evaluated for impairment $ 6,035 $ 8,306 $ — $ — $ 14,341 Collectively evaluated for impairment 15,700 14,845 2,276 7,821 40,642 Loans acquired with deteriorated credit quality 7 319 1 151 478 Total allowance for loan losses $ 21,742 $ 23,470 $ 2,277 $ 7,972 $ 55,461 Loans and leases outstanding: Individually evaluated for impairment $ 35,410 $ 83,104 $ — $ — $ 118,514 Collectively evaluated for impairment 3,191,367 4,850,356 2,239,147 1,800,115 12,080,985 Loans acquired with deteriorated credit quality 6,193 25,391 9,257 3,552 44,393 Total loans and leases outstanding $ 3,232,970 $ 4,958,851 $ 2,248,404 $ 1,803,667 $ 12,243,892 |
Schedule of Risk Category of Commercial and Commercial Real Estate Loans | The risk category of commercial and commercial real estate loans by class of loans at June 30, 2019 and December 31, 2018 was as follows: (dollars in thousands) Commercial Commercial Real Estate - Real Estate - Corporate Credit Exposure Commercial Construction Other Credit Risk Profile by June 30, December 31, June 30, December 31, June 30, December 31, Internally Assigned Grade 2019 2018 2019 2018 2019 2018 Grade: Pass $ 2,902,716 $ 3,029,130 $ 596,761 $ 460,158 $ 4,071,288 $ 4,167,902 Criticized 79,377 98,798 41,945 29,368 99,134 110,586 Classified - substandard 55,446 66,394 394 1,275 114,695 102,961 Classified - nonaccrual 28,613 29,003 13,803 13,824 36,606 37,441 Classified - doubtful 8,697 9,645 — — 19,067 35,336 Total $ 3,074,849 $ 3,232,970 $ 652,903 $ 504,625 $ 4,340,790 $ 4,454,226 |
Schedule of Recorded Investment in Residential and Consumer Loans Based on Payment Activity | The following table presents the recorded investment in residential and consumer loans based on payment activity at June 30, 2019 and December 31, 2018: Consumer Home (dollars in thousands) Residential Equity Auto Other June 30, 2019 Performing $ 2,195,937 $ 549,140 $ 1,032,845 $ 164,479 Nonperforming 26,261 4,851 3,399 1,124 Total $ 2,222,198 $ 553,991 $ 1,036,244 $ 165,603 December 31, 2018 Performing $ 2,223,450 $ 586,235 $ 1,057,038 $ 153,113 Nonperforming 24,954 3,087 2,595 1,599 Total $ 2,248,404 $ 589,322 $ 1,059,633 $ 154,712 |
Schedule of Impaired Loans | The following table shows Old National’s impaired loans at June 30, 2019 and December 31, 2018, respectively. 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. Unpaid Recorded Principal Related (dollars in thousands) Investment Balance Allowance June 30, 2019 With no related allowance recorded: Commercial $ 21,136 $ 21,344 $ — Commercial Real Estate - Construction 11,038 11,038 — Commercial Real Estate - Other 29,630 30,311 — Residential 2,349 2,369 — Consumer 1,194 1,365 — With an allowance recorded: Commercial 18,615 18,767 6,972 Commercial Real Estate - Construction 2,764 2,764 1,217 Commercial Real Estate - Other 20,581 20,581 3,630 Residential 858 858 43 Consumer 1,342 1,342 67 Total $ 109,507 $ 110,739 $ 11,929 December 31, 2018 With no related allowance recorded: Commercial $ 22,031 $ 22,292 $ — Commercial Real Estate - Other 41,126 41,914 — Residential 2,276 2,296 — Consumer 362 535 — With an allowance recorded: Commercial 13,379 13,432 6,035 Commercial Real Estate - Construction 13,824 13,824 1,830 Commercial Real Estate - Other 28,154 28,154 6,476 Residential 889 889 44 Consumer 2,013 2,013 101 Total $ 124,054 $ 125,349 $ 14,486 |
Schedule of Average Balance of Impaired Loans | The average balance of impaired loans during the three and six months ended June 30, 2019 and 2018 are included in the table below. Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Average Recorded Investment With no related allowance recorded: Commercial $ 23,242 $ 20,228 $ 21,585 $ 20,073 Commercial Real Estate - Construction 10,996 — 5,519 — Commercial Real Estate - Other 34,387 43,893 35,378 41,771 Residential 2,325 2,189 2,309 2,274 Consumer 1,076 1,741 838 1,722 With an allowance recorded: Commercial 13,965 11,846 15,997 10,091 Commercial Real Estate - Construction 3,160 4,675 8,294 4,675 Commercial Real Estate - Other 22,493 21,439 24,368 24,246 Residential 866 942 874 918 Consumer 1,358 1,970 1,577 2,050 Total $ 113,868 $ 108,923 $ 116,739 $ 107,820 |
Schedule of Past Due Financing Receivables | Old National’s past due loans at June 30, 2019 and December 31, 2018 were as follows: Past Due 90 Days or 30-59 Days 60-89 Days More and Total (dollars in thousands) Past Due Past Due Accruing Nonaccrual (1) Past Due Current June 30, 2019 Commercial $ 1,306 $ 218 $ — $ 37,310 $ 38,834 $ 3,036,015 Commercial Real Estate: Construction 367 — — 13,803 14,170 638,733 Other 2,142 1,800 — 55,673 59,615 4,281,175 Residential 23,551 3,034 141 26,261 52,987 2,169,211 Consumer: Home equity 1,591 73 48 4,851 6,563 547,428 Auto 4,873 868 200 3,399 9,340 1,026,904 Other 243 519 34 1,124 1,920 163,683 Total loans $ 34,073 $ 6,512 $ 423 $ 142,421 $ 183,429 $ 11,863,149 December 31, 2018 Commercial $ 3,627 $ 279 $ 52 $ 38,648 $ 42,606 $ 3,190,364 Commercial Real Estate: Construction — — — 13,824 13,824 490,801 Other 1,633 500 40 72,777 74,950 4,379,276 Residential 25,947 3,437 258 24,954 54,596 2,193,808 Consumer: Home equity 1,434 960 456 3,087 5,937 583,385 Auto 7,091 1,903 377 2,595 11,966 1,047,667 Other 711 210 170 1,599 2,690 152,022 Total loans $ 40,443 $ 7,289 $ 1,353 $ 157,484 $ 206,569 $ 12,037,323 (1) Includes purchased credit impaired loans of $19.2 million at June 30, 2019 and $20.5 million at December 31, 2018 that are categorized as nonaccrual for credit analysis purposes because the collection of principal or interest is doubtful. However, these loans are accounted for under FASB ASC 310-30 and accordingly treated as performing assets. |
Schedule of Activity in Trouble Debt Restructurings | The following table presents activity in TDRs for the three and six months ended June 30, 2019 and 2018: Commercial (dollars in thousands) Commercial Real Estate Residential Consumer Total Three Months Ended June 30, 2019 Balance at beginning of period $ 11,646 $ 29,137 $ 3,247 $ 2,313 $ 46,343 (Charge-offs)/recoveries (93 ) 4 — 4 (85 ) (Payments)/disbursements 25 (16,702 ) (167 ) (117 ) (16,961 ) Additions 7,294 6,924 — 316 14,534 Balance at end of period $ 18,872 $ 19,363 $ 3,080 $ 2,516 $ 43,831 Three Months Ended June 30, 2018 Balance at beginning of period $ 11,918 $ 34,488 $ 3,058 $ 4,020 $ 53,484 (Charge-offs)/recoveries (22 ) (12 ) — (320 ) (354 ) (Payments)/disbursements (3,398 ) (196 ) 211 (302 ) (3,685 ) Additions 545 647 502 — 1,694 Balance at end of period $ 9,043 $ 34,927 $ 3,771 $ 3,398 $ 51,139 Six Months Ended June 30, 2019 Balance at beginning of period $ 10,275 $ 27,671 $ 3,390 $ 2,374 $ 43,710 (Charge-offs)/recoveries (100 ) (71 ) — (1 ) (172 ) (Payments)/disbursements (1,004 ) (18,264 ) (310 ) (173 ) (19,751 ) Additions 9,701 10,027 — 316 20,044 Balance at end of period $ 18,872 $ 19,363 $ 3,080 $ 2,516 $ 43,831 Six Months Ended June 30, 2018 Balance at beginning of period $ 12,088 $ 34,705 $ 3,315 $ 3,895 $ 54,003 (Charge-offs)/recoveries (151 ) (22 ) 23 (22 ) (172 ) (Payments)/disbursements (3,978 ) (969 ) (69 ) (907 ) (5,923 ) Additions 1,084 1,213 502 432 3,231 Balance at end of period $ 9,043 $ 34,927 $ 3,771 $ 3,398 $ 51,139 |
Schedule of Loans by Class Modified as Troubled Debt Restructuring | The following table presents loans by class modified as TDRs that occurred during the six months ended June 30 , 201 9 and 201 8 : Pre-modification Post-modification Outstanding Outstanding Number Recorded Recorded (dollars in thousands) of Loans Investment Investment Six Months Ended June 30, 2019 TDR: Commercial 7 $ 9,701 $ 9,701 Commercial Real Estate - Other 4 10,027 10,027 Consumer 1 316 316 Total 12 $ 20,044 $ 20,044 Six Months Ended June 30, 2018 TDR: Commercial 2 $ 1,084 $ 1,084 Commercial Real Estate - Other 2 1,213 1,213 Residential 1 502 502 Consumer 1 432 432 Total 6 $ 3,231 $ 3,231 |
Schedule of Activity of Purchased Impaired Loans | The carrying amount of those loans was as follows: June 30, December 31, (dollars in thousands) 2019 2018 Commercial $ 5,593 $ 6,193 Commercial real estate 23,620 25,391 Residential 8,478 9,257 Consumer 2,951 3,552 Carrying amount 40,642 44,393 Allowance for loan losses (347 ) (478 ) Carrying amount, net of allowance $ 40,295 $ 43,915 |
Schedule of Accretable Yield of PCI Loans, or Income Expected to be Collected | Accretable yield of PCI loans, or income expected to be collected, was as follows: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 24,389 $ 24,692 $ 25,051 $ 27,835 Accretion of income (2,172 ) (2,547 ) (4,140 ) (7,073 ) Reclassifications from (to) nonaccretable difference 276 2,087 1,582 3,466 Disposals/other adjustments (79 ) 17 (79 ) 21 Balance at end of period $ 22,414 $ 24,249 $ 22,414 $ 24,249 |
Schedule of Receivables for which Contractually Required Payments would not be Collected | PCI loans purchased during 2018 for which it was probable at acquisition that all contractually required payments would not be collected were as follows: (dollars in thousands) Klein (1) Contractually required payments $ 18,568 Nonaccretable difference (4,521 ) Cash flows expected to be collected at acquisition 14,047 Accretable yield (2,384 ) Fair value of acquired loans at acquisition $ 11,663 (1) Old National acquired Klein effective November 1, 2018. |
Other Real Estate Owned (Tables
Other Real Estate Owned (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Banking And Thrift [Abstract] | |
Activity in Other Real Estate Owned | The following table presents activity in other real estate owned for the three and six months ended June 30, 2019 and 2018: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 3,279 $ 6,735 $ 3,232 $ 8,810 Additions 279 625 673 1,175 Sales (705 ) (3,274 ) (977 ) (5,625 ) Impairments (34 ) (357 ) (109 ) (631 ) Balance at end of period (1) $ 2,819 $ 3,729 $ 2,819 $ 3,729 (1) Includes repossessed personal property of $0.2 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Property Plant And Equipment [Abstract] | |
Summary of Premises and Equipment | The composition of premises and equipment at June 30, 2019 and December 31, 2018 was as follows: June 30, December 31, (dollars in thousands) 2019 2018 Land $ 79,521 $ 79,231 Buildings 379,808 365,102 Furniture, fixtures, and equipment 105,318 107,862 Leasehold improvements 44,784 42,288 Total 609,431 594,483 Accumulated depreciation (115,950 ) (108,571 ) Premises and equipment, net $ 493,481 $ 485,912 |
Leases (Tables)
Leases (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Lessee Disclosure [Abstract] | |
Schedule of Components of Lease Expense | The components of lease expense were as follows: Affected Line Three Months Six Months Item in the Ended Ended (dollars in thousands) Statement of Income June 30, 2019 June 30, 2019 Operating lease cost occupancy/equipment expense $ 4,291 $ 8,693 Finance lease cost: Amortization of right-of-use assets occupancy expense 160 318 Interest on lease liabilities interest expense 80 161 Short-term lease cost occupancy expense 1 2 Sub-lease income occupancy expense (181 ) (360 ) Total $ 4,351 $ 8,814 |
Schedule of Supplemental Balance Sheet Information Related to Leases | Supplemental balance sheet information related to leases was as follows: (dollars in thousands) June 30, 2019 Operating Leases Operating lease right-of-use assets $ 106,222 Operating lease liabilities 110,596 Finance Leases Premises and equipment, net 7,503 Other borrowings 7,646 Weighted-Average Remaining Lease Term (in Years) Operating leases 10.9 Finance leases 11.7 Weighted-Average Discount Rate Operating leases 3.45 % Finance leases 4.42 % |
Schedule of Supplemental Cash Flow Information Related to Leases | Supplemental cash flow information related to leases was as follows: Six Months Ended (dollars in thousands) June 30, 2019 Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 8,843 Operating cash flows from finance leases 161 Financing cash flows from finance leases 224 |
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 June 30, 2019: Operating Finance (dollars in thousands) Leases Leases 2019 $ 8,668 $ 400 2020 16,764 803 2021 15,690 809 2022 14,131 815 2023 9,674 830 Thereafter 69,003 6,231 Total undiscounted lease payments 133,930 9,888 Amounts representing interest (23,334 ) (2,242 ) Lease liability $ 110,596 $ 7,646 |
Schedule of Maturity Analysis of Tenant Leases | The following table presents a maturity analysis of the Company’s tenant lease s at June 30 , 2019: Tenant (dollars in thousands) Leases 2019 $ 1,014 2020 1,518 2021 1,224 2022 853 2023 712 Thereafter 2,549 Total undiscounted lease payments $ 7,870 |
Goodwill and Other Intangible_2
Goodwill and Other Intangible Assets (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Goodwill And Intangible Assets Disclosure [Abstract] | |
Schedule of Changes in Carrying Amount of Goodwill | The following table shows the changes in the carrying amount of goodwill for the three and six months ended June 30, 2019 and 2018: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 1,036,258 $ 828,804 $ 1,036,258 $ 828,051 Acquisition adjustments — — — 753 Balance at end of period $ 1,036,258 $ 828,804 $ 1,036,258 $ 828,804 |
Schedule of Gross Carrying Amounts and Accumulated Amortization of Other Intangible Assets | The gross carrying amount and accumulated amortization of other intangible assets at June 30, 2019 and December 31, 2018 were as follows: Gross Accumulated Net Carrying Amortization Carrying (dollars in thousands) Amount and Impairment Amount June 30, 2019 Core deposit $ 119,051 $ (55,561 ) $ 63,490 Customer trust relationships 16,547 (11,817 ) 4,730 Total intangible assets $ 135,598 $ (67,378 ) $ 68,220 December 31, 2018 Core deposit $ 129,100 $ (57,524 ) $ 71,576 Customer trust relationships 16,547 (11,107 ) 5,440 Total intangible assets $ 145,647 $ (68,631 ) $ 77,016 |
Schedule of Estimated Amortization Expense for Future Years | Estimated amortization expense for future years is as follows: (dollars in thousands) 2019 remaining $ 8,114 2020 14,091 2021 11,336 2022 9,014 2023 7,053 Thereafter 18,612 Total $ 68,220 |
Loan Servicing Rights (Tables)
Loan Servicing Rights (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
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 for the three and six months ended June 30, 2019 and 2018: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Balance at beginning of period $ 24,271 $ 24,400 $ 24,512 $ 24,690 Additions 1,270 1,181 1,929 1,951 Amortization (1,177 ) (1,263 ) (2,077 ) (2,323 ) Balance before valuation allowance at end of period 24,364 24,318 24,364 24,318 Valuation allowance: Balance at beginning of period (17 ) (20 ) (15 ) (29 ) (Additions)/recoveries (15 ) 5 (17 ) 14 Balance at end of period (32 ) (15 ) (32 ) (15 ) Loan servicing rights, net $ 24,332 $ 24,303 $ 24,332 $ 24,303 |
Qualified Affordable Housing _2
Qualified Affordable Housing Projects and Other Tax Credit Investments (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
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 at June 30, 2019 and December 31, 2018: (dollars in thousands) June 30, 2019 December 31, 2018 Unfunded Unfunded Investment Accounting Method Investment Commitment (1) Investment Commitment LIHTC Proportional amortization $ 31,421 $ 5,149 $ 28,396 $ 2,238 FHTC Equity 22,375 20,777 16,815 17,945 CReED Equity 13 — 17 538 Renewable Energy Equity 8,339 5,725 9,176 17,827 Total $ 62,148 $ 31,651 $ 54,404 $ 38,548 (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 for the three and six months ended June 30 , 2019 and 201 8 : Tax Expense Amortization (Benefit) (dollars in thousands) Expense (1) Recognized (2) Three Months Ended June 30, 2019 LIHTC $ 791 $ (1,042 ) Renewable Energy 568 (533 ) Total $ 1,359 $ (1,575 ) Three Months Ended June 30, 2018 LIHTC $ 643 $ (831 ) FHTC 5,444 (1,948 ) Renewable Energy 6,414 (2,882 ) Total $ 12,501 $ (5,661 ) Six Months Ended June 30, 2019 LIHTC $ 1,584 $ (2,085 ) Renewable Energy 828 (777 ) Total $ 2,412 $ (2,862 ) Six Months Ended June 30, 2018 LIHTC $ 1,281 $ (1,662 ) FHTC 5,444 (3,896 ) Renewable Energy 7,130 (6,296 ) Total $ 13,855 $ (11,854 ) (1) The amortization expense for the LIHTC investments is included in our income tax expense. The amortization expense for the FHTC 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 and Renewable Energy investments primarily reflects the tax credits generated from the investments and excludes the net tax expense (benefit) of the investments’ income (loss). |
Securities Sold Under Agreeme_2
Securities Sold Under Agreements to Repurchase (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
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 at or for the six months ended June 30: (dollars in thousands) 2019 2018 Outstanding at June 30, $ 334,540 $ 347,511 Average amount outstanding 346,396 337,612 Maximum amount outstanding at any month-end 367,884 347,511 Weighted-average interest rate: During the six months ended June 30, 0.78 % 0.47 % At June 30, 0.86 0.59 |
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 June 30, 2019 Remaining Contractual Maturity of the Agreements Overnight and Up to Greater Than (dollars in thousands) Continuous 30 Days 30-90 Days 90 days Total Repurchase Agreements: U.S. Treasury and agency securities $ 334,540 $ — $ — $ — $ 334,540 Total $ 334,540 $ — $ — $ — $ 334,540 |
Federal Home Loan Bank Advanc_2
Federal Home Loan Bank Advances (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Banking And Thrift [Abstract] | |
Summary of FHLB Advances | The following table summarizes Old National Bank’s FHLB advances at June 30, 2019 and December 31, 2018: June 30, December 31, (dollars in thousands) 2019 2018 FHLB advances (fixed rates 1.50% to 4.96% and variable rates 2.65% to 2.75%) maturing July 2019 to October 2028 $ 1,702,644 $ 1,603,643 ASC 815 fair value hedge and other basis adjustments 27,421 9,838 Total other borrowings $ 1,730,065 $ 1,613,481 |
Summary of Contractual Maturities of FHLB Advances | Contractual maturities of FHLB advances at June 30, 2019 were as follows: (dollars in thousands) Due in 2019 $ 25,480 Due in 2020 100,000 Due in 2021 20,000 Due in 2022 157,000 Due in 2023 164 Thereafter 1,400,000 ASC 815 fair value hedge and other basis adjustments 27,421 Total $ 1,730,065 |
Other Borrowings (Tables)
Other Borrowings (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Other Borrowings | The following table summarizes Old National’s other borrowings at June 30, 2019 and December 31, 2018: June 30, December 31, (dollars in thousands) 2019 2018 Old National Bancorp: Senior unsecured notes (fixed rate 4.125%) maturing August 2024 $ 175,000 $ 175,000 Unamortized debt issuance costs related to senior unsecured notes (792 ) (870 ) Junior subordinated debentures (variable rates of 3.66% to 6.31%) maturing April 2032 to June 2037 60,310 60,310 Other basis adjustments (2,885 ) (3,046 ) Old National Bank: Finance lease liabilities 7,646 5,262 Subordinated debentures (fixed rate 5.75%) 12,000 12,000 Other 561 (773 ) Total other borrowings $ 251,840 $ 247,883 |
Contractual Maturities of Other Borrowings | Contractual maturities of other borrowings at June 30, 2019 were as follows: (dollars in thousands) Due in 2019 $ 239 Due in 2020 499 Due in 2021 524 Due in 2022 553 Due in 2023 591 Thereafter 252,550 Unamortized debt issuance costs and other basis adjustments (3,116 ) Total $ 251,840 |
Junior Subordinated Debt [Member] | |
Other Borrowings | The following table summarizes the terms of our outstanding junior subordinated debentures at June 30, 2019: (dollars in thousands) Rate at Issuance June 30, Name of Trust Issuance Date Amount Rate 2019 Maturity Date VFSC Capital Trust I April 2002 $ 3,093 6-month LIBOR plus 3.70% 6.31% April 22, 2032 VFSC Capital Trust II October 2002 4,124 3-month LIBOR plus 3.45% 5.98% November 7, 2032 VFSC Capital Trust III April 2004 3,093 3-month LIBOR plus 2.80% 5.25% September 8, 2034 St. Joseph Capital Trust II March 2005 5,000 3-month LIBOR plus 1.75% 4.16% March 17, 2035 Anchor Capital Trust III August 2005 5,000 3-month LIBOR plus 1.55% 3.87% September 30, 2035 Tower Capital Trust 2 December 2005 8,000 3-month LIBOR plus 1.34% 3.66% December 30, 2035 Home Federal Statutory Trust I September 2006 15,000 3-month LIBOR plus 1.65% 4.06% September 15, 2036 Monroe Bancorp Capital Trust I July 2006 3,000 3-month LIBOR plus 1.60% 4.19% October 7, 2036 Tower Capital Trust 3 December 2006 9,000 3-month LIBOR plus 1.69% 4.21% March 1, 2037 Monroe Bancorp Statutory Trust II March 2007 5,000 3-month LIBOR plus 1.60% 4.01% June 15, 2037 Total $ 60,310 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Equity [Abstract] | |
Schedule of AOCI | The following table summarizes the changes within each classification of AOCI, net of tax, for the three and six months ended June 30, 2019 and 2018: (dollars in thousands) Unrealized Gains and Losses on Available- for-Sale Debt Securities Unrealized Gains and Losses on Held-to- Maturity Securities Gains and Losses on Cash Flow Hedges Defined Benefit Pension Plans Total Three Months Ended June 30, 2019 Balance at beginning of period $ 10,442 $ (8,164 ) $ 513 $ (171 ) $ 2,620 Other comprehensive income (loss) before reclassifications 39,151 — 711 — 39,862 Amounts reclassified from AOCI to income (1) (892 ) 435 (4 ) 16 (445 ) Balance at end of period $ 48,701 $ (7,729 ) $ 1,220 $ (155 ) $ 42,037 Three Months Ended June 30, 2018 Balance at beginning of period $ (52,605 ) $ (9,737 ) $ 1,126 $ (310 ) $ (61,526 ) Other comprehensive income (loss) before reclassifications (5,615 ) — 1,143 — (4,472 ) Amounts reclassified from AOCI to income (1) (1,136 ) 402 8 21 (705 ) Balance at end of period $ (59,356 ) $ (9,335 ) $ 2,277 $ (289 ) $ (66,703 ) Six Months Ended June 30, 2019 Balance at beginning of period $ (37,348 ) $ (8,515 ) $ 1,099 $ (186 ) $ (44,950 ) Other comprehensive income (loss) before reclassifications 86,862 — 415 — 87,277 Amounts reclassified from AOCI to income (1) (813 ) 786 (294 ) 31 (290 ) Balance at end of period $ 48,701 $ (7,729 ) $ 1,220 $ (155 ) $ 42,037 Six Months Ended June 30, 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 (14,486 ) 4,514 4,587 — (5,385 ) Amounts reclassified from AOCI to income (1) (1,730 ) 858 588 41 (243 ) Balance at end of period $ (59,356 ) $ (9,335 ) $ 2,277 $ (289 ) $ (66,703 ) (1) See tables 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 for the three months ended June 30, 2019 and 2018: Amount Reclassified Affected Line Item in the Details about AOCI Components from AOCI Statement of Income Three Months Ended June 30, (dollars in thousands) 2019 2018 Unrealized gains and losses on available-for-sale debt securities $ 1,165 $ 1,494 Net debt securities gains (losses) (273 ) (358 ) Income tax (expense) benefit $ 892 $ 1,136 Net income Unrealized gains and losses on held-to-maturity securities $ (564 ) $ (521 ) Interest income (expense) 129 119 Income tax (expense) benefit $ (435 ) $ (402 ) Net income Gains and losses on cash flow hedges Interest rate contracts $ 6 $ (10 ) Interest income (expense) (2 ) 2 Income tax (expense) benefit $ 4 $ (8 ) Net income Amortization of defined benefit pension items Actuarial gains (losses) $ (21 ) $ (27 ) Salaries and employee benefits 5 6 Income tax (expense) benefit $ (16 ) $ (21 ) Net income Total reclassifications for the period $ 445 $ 705 Net income The following table summarizes the significant amounts reclassified out of each component of AOCI for the six months ended June 30, 2019 and 2018: Amount Reclassified Affected Line Item in the Details about AOCI Components from AOCI Statement of Income Six Months Ended June 30, (dollars in thousands) 2019 2018 Unrealized gains and losses on available-for-sale debt securities $ 1,062 $ 2,282 Net debt securities gains (losses) (249 ) (552 ) Income tax (expense) benefit $ 813 $ 1,730 Net income Unrealized gains and losses on held-to-maturity securities $ (1,021 ) $ (1,112 ) Interest income/(expense) 235 254 Income tax (expense) benefit $ (786 ) $ (858 ) Net income Gains and losses on cash flow hedges Interest rate contracts $ 391 $ (779 ) Interest income/(expense) (97 ) 191 Income tax (expense) benefit $ 294 $ (588 ) Net income Amortization of defined benefit pension items Actuarial gains (losses) $ (41 ) $ (54 ) Salaries and employee benefits 10 13 Income tax (expense) benefit $ (31 ) $ (41 ) Net income Total reclassifications for the period $ 290 $ 243 Net income |
Income Taxes (Tables)
Income Taxes (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
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 statements of income: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Provision at statutory rate of 21% $ 16,238 $ 10,153 $ 30,808 $ 21,270 Tax-exempt income: Tax-exempt interest (2,604 ) (2,237 ) (5,135 ) (4,428 ) Section 291/265 interest disallowance 123 73 234 135 Company-owned life insurance income (569 ) (510 ) (1,239 ) (1,057 ) Tax-exempt income (3,050 ) (2,674 ) (6,140 ) (5,350 ) State income taxes 1,558 1,028 3,558 2,216 Interim period effective rate adjustment 353 933 1,041 1,025 Tax credit investments - federal (715 ) (4,973 ) (1,134 ) (10,741 ) Other, net (25 ) (122 ) (670 ) 882 Income tax expense $ 14,359 $ 4,345 $ 27,463 $ 9,302 Effective tax rate 18.6 % 9.0 % 18.7 % 9.2 % |
Schedule of Significant Components of Net Deferred Tax Assets (Liabilities) | Significant components of net deferred tax assets (liabilities) were as follows at June 30, 2019 and December 31, 2018: June 30, December 31, (dollars in thousands) 2019 2018 Deferred Tax Assets Allowance for loan losses, net of recapture $ 14,605 $ 14,514 Benefit plan accruals 15,481 21,754 Alternative minimum tax credit 2,545 2,545 Net operating loss carryforwards 25,653 31,765 Federal tax credits 696 1,779 Deferred gain on securities 1,773 1,976 Acquired loans 22,470 26,956 Operating lease liabilities 29,642 — Lease exit obligation — 1,025 Unrealized losses on available-for-sale investment securities — 11,853 Unrealized losses on held-to-maturity investment securities 2,262 2,497 Tax credit investments and other partnerships 3,428 3,004 Other real estate owned 158 144 Other, net 713 3,167 Total deferred tax assets 119,426 122,979 Deferred Tax Liabilities Accretion on investment securities (978 ) (595 ) Purchase accounting (17,828 ) (18,100 ) Loan servicing rights (6,100 ) (6,141 ) Premises and equipment (12,134 ) (8,507 ) Prepaid expenses (716 ) (681 ) Operating lease right-of-use assets (28,510 ) — Unrealized gains on available-for-sale investment securities (14,550 ) — Unrealized gains on hedges (398 ) (358 ) Other, net (2,210 ) (1,549 ) Total deferred tax liabilities (83,424 ) (35,931 ) Net deferred tax assets $ 36,002 $ 87,048 |
Derivative Financial Instrume_2
Derivative Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Summary of Fair Value of Derivative Financial Instruments | The following table summarizes the fair value of derivative financial instruments utilized by Old National: Balance Balance Sheet Fair Sheet Fair (dollars in thousands) Location Value Location Value June 30, 2019 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 18,391 Other liabilities $ 3,765 Total derivatives designated as hedging instruments $ 18,391 $ 3,765 Derivatives not designated as hedging instruments Interest rate contracts (1) Other assets $ 39,388 Other liabilities $ 10,461 Mortgage contracts Other assets 3,178 Other liabilities 778 Foreign currency contracts Other assets 149 Other liabilities 107 Total derivatives not designated as hedging instruments $ 42,715 $ 11,346 Total $ 61,106 $ 15,111 December 31, 2018 Derivatives designated as hedging instruments Interest rate contracts Other assets $ 12,741 Other liabilities $ 1,603 Total derivatives designated as hedging instruments $ 12,741 $ 1,603 Derivatives not designated as hedging instruments Interest rate contracts (1) Other assets $ 15,278 Other liabilities $ 10,562 Mortgage contracts Other assets 874 Other liabilities 316 Foreign currency contracts Other assets 112 Other liabilities 69 Total derivatives not designated as hedging instruments $ 16,264 $ 10,947 Total $ 29,005 $ 12,550 (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 $29.1 million as of June 30, 2019 and $4.8 million as of December 31, 2018. |
Summary of Interest Rate Swaps Designated as Fair Value Hedges | Summary information about the interest rate swaps designated as cash flow hedges is as follows: June 30, December 31, (dollars in thousands) 2019 2018 Notional amounts $ 75,000 $ 525,000 Weighted average pay rates 3.06 % 2.21 % Weighted average receive rates 2.47 % 2.63 % Weighted average maturity (in years) 4.1 1.4 Unrealized gains (losses) $ (3,765 ) $ 146 June 30, December 31, (dollars in thousands) 2019 2018 Notional amounts $ 300,000 $ 200,000 Weighted average cap rates 3.21 % 3.44 % Weighted average floor rates 2.21 % 2.38 % Weighted average rates 2.42 % 2.35 % Weighted average maturity (in years) 2.4 2.8 Unrealized gains (losses) $ 4,561 $ 1,309 |
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 for the three and six months ended June 30, 2019 and 2018 were as follows: (dollars in thousands) Gain (Loss) Recognized Location of Gain or Gain (Loss) Hedged Items Location of Gain or in Income on Derivatives in (Loss) Recognized in Recognized in Fair Value (Loss) Recognized in Related Fair Value Hedging in Income on in Income on Hedging in Income on Related Hedged Relationships Derivative Derivative Relationships Hedged Item Items Three Months Ended June 30, 2019 Interest rate contracts Interest income/(expense) $ 6,361 Fixed-rate debt Interest income/(expense) $ (6,352 ) Three Months Ended June 30, 2018 Interest rate contracts Interest income/(expense) $ (944 ) Fixed-rate debt Interest income/(expense) $ 934 Six Months Ended June 30, 2019 Interest rate contracts Interest income/(expense) $ 12,914 Fixed-rate debt Interest income/(expense) $ (12,900 ) Six Months Ended June 30, 2018 Interest rate contracts Interest income/(expense) $ (1,663 ) Fixed-rate debt Interest income/(expense) $ 1,655 The effect of derivative instruments in cash flow hedging relationships on the consolidated statements of income for the three and six months ended June 30, 2019 and 2018 were as follows: Three Months Ended Three Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Gain (Loss) Gain (Loss) Derivatives in Location of Gain or Recognized in Other Reclassified from Cash Flow Hedging (Loss) Reclassified Comprehensive AOCI into Relationships from AOCI into Income Income on Derivative Income Interest rate contracts Interest income/(expense) $ 944 $ 1,516 $ 6 $ (10 ) Six Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Gain (Loss) Gain (Loss) Derivatives in Location of Gain or Recognized in Other Reclassified from Cash Flow Hedging (Loss) Reclassified Comprehensive AOCI into Relationships from AOCI into Income Income on Derivative Income Interest rate contracts Interest income/(expense) $ 552 $ 6,079 $ 391 $ (779 ) The effect of derivatives not designated as hedging instruments on the consolidated statements of income for the three and six months ended June 30, 2019 and 2018 were as follows: Three Months Ended June 30, (dollars in thousands) 2019 2018 Location of Gain or (Loss) Gain (Loss) Derivatives Not Designated as Recognized in Income on Recognized in Income on Hedging Instruments Derivative Derivative Interest rate contracts (1) Other income/(expense) $ (94 ) $ 27 Mortgage contracts Mortgage banking revenue 819 (201 ) Foreign currency contracts Other income/(expense) (14 ) 6 Total $ 711 $ (168 ) Six Months Ended June 30, (dollars in thousands) 2019 2018 Location of Gain or (Loss) Gain (Loss) Derivatives Not Designated as Recognized in Income on Recognized in Income on Hedging Instruments Derivative Derivative Interest rate contracts (1) Other income/(expense) $ (131 ) $ 27 Mortgage contracts Mortgage banking revenue 1,841 437 Foreign currency contracts Other income/(expense) (11 ) 23 Total $ 1,699 $ 487 (1) Includes the valuation differences between the customer and offsetting swaps. |
Fixed Interest Swap [Member] | |
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: June 30, December 31, (dollars in thousands) 2019 2018 Notional amounts $ 432,000 $ 757,000 Weighted average pay rates 2.49 % 2.48 % Weighted average receive rates 2.62 % 2.70 % Weighted average maturity (in years) 3.5 3.9 Fair value of swaps $ 13,133 $ 9,683 |
Interest Rate Floor [Member] | |
Schedule of Floor Spread Transactions Designated as Cash Flow Hedges | Summary information about the floor spread transactions designated as cash flow hedges is as follows: June 30, (dollars in thousands) 2019 Notional amounts $ 100,000 Weighted average purchased floor strike rate 2.00 % Weighted average sold floor rate 1.00 % Weighted average rate 2.40 % Weighted average maturity (in years) 2.0 Unrealized gains (losses) $ 697 |
Fair Value (Tables)
Fair Value (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
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 June 30, 2019 Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Equity securities $ 6,234 $ 6,234 $ — $ — Investment securities available-for-sale: U.S. Treasury 5,466 5,466 — — U.S. government-sponsored entities and agencies 645,458 — 645,458 — Mortgage-backed securities - Agency 2,781,515 — 2,781,515 — States and political subdivisions 908,566 — 908,526 40 Pooled trust preferred securities 7,836 — — 7,836 Other securities 318,385 31,081 287,304 — Residential loans held for sale 37,904 — 37,904 — Derivative assets 61,106 — 61,106 — Financial Liabilities Derivative liabilities 15,111 — 15,111 — Fair Value Measurements at December 31, 2018 Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Equity securities $ 5,582 $ 5,582 $ — $ — Investment securities available-for-sale: U.S. Treasury 5,301 5,301 — — U.S. government-sponsored entities and agencies 628,151 — 628,151 — Mortgage-backed securities - Agency 2,209,295 — 2,209,295 — States and political subdivisions 940,429 — 936,321 4,108 Pooled trust preferred securities 8,495 — — 8,495 Other securities 331,745 30,259 301,486 — Residential loans held for sale 14,911 — 14,911 — Derivative assets 29,005 — 29,005 — Financial Liabilities Derivative liabilities 12,550 — 12,550 — |
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): Pooled Trust States and Preferred Political (dollars in thousands) Securities Subdivisions Three Months Ended June 30, 2019 Balance at beginning of period $ 8,123 $ 40 Accretion of discount 3 — Sales/payments received (17 ) — Increase (decrease) in fair value of securities (273 ) — Balance at end of period $ 7,836 $ 40 Three Months Ended June 30, 2018 Balance at beginning of period $ 8,195 $ 4,061 Accretion (amortization) of discount 5 (18 ) Sales/payments received (17 ) — Increase (decrease) in fair value of securities 22 (15 ) Balance at end of period $ 8,205 $ 4,028 Six Months Ended June 30, 2019 Balance at beginning of period $ 8,495 $ 4,108 Accretion of discount 7 — Sales/payments received (32 ) (35 ) Increase (decrease) in fair value of securities (634 ) — Transfers out of Level 3 — (4,033 ) Balance at end of period $ 7,836 $ 40 Six Months Ended June 30, 2018 Balance at beginning of period $ 8,448 $ — Accretion (amortization) of discount 10 (18 ) Sales/payments received (305 ) — Increase (decrease) in fair value of securities 52 (15 ) Transfers into Level 3 — 4,061 Balance at end of period $ 8,205 $ 4,028 |
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: Valuation Unobservable Range (Weighted (dollars in thousands) Fair Value Techniques Input Average) June 30, 2019 Pooled trust preferred securities $ 7,836 Discounted cash flow Constant prepayment rate (a) 0.00% Additional asset defaults (b) 3.5% - 4.2% (4.0%) Expected asset recoveries (c) 0.00% State and political subdivisions 40 Discounted cash flow No observable inputs N/A Local municipality issuance Old National owns 100% Carried at par December 31, 2018 Pooled trust preferred securities $ 8,495 Discounted cash flow Constant prepayment rate (a) 0.00% Additional asset defaults (b) 6.8% - 8.5% (7.3%) Expected asset recoveries (c) 0.00% State and political subdivisions 4,108 Discounted cash flow No observable inputs N/A Local municipality issuance Old National owns 100% Carried at par (a) Assuming no prepayments. (b) 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%. (c) Each currently defaulted pool asset is assigned a recovery probability based on specific issuer evaluation of 0%, 25%, or 100%. The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 of the fair value hierarchy: Valuation Unobservable Range (Weighted (dollars in thousands) Fair Value Techniques Input Average) June 30, 2019 Collateral Dependent Impaired Loans Commercial loans $ 11,642 Fair value of Discount for type of property, 0% - 90% (25%) collateral age of appraisal, and current status Commercial real estate loans 13,928 Fair value of Discount for type of property, 45% collateral age of appraisal and current status Foreclosed Assets Residential 42 Fair value of Discount for type of property, 5% collateral age of appraisal, and current status December 31, 2018 Collateral Dependent Impaired Loans Commercial loans $ 7,242 Fair value of Discount for type of property, 0% - 90% (35%) collateral age of appraisal, and current status Commercial real estate loans 29,125 Fair value of Discount for type of property, 0% - 50% (35%) collateral age of appraisal and current status Foreclosed Assets Residential 68 Fair value of Discount for type of property, 15% - 16% (15%) collateral age of appraisal, and current status |
Assets Measured at Fair Value on a Non-Recurring Basis | Assets measured at fair value on a non-recurring basis at June 30, 2019 are summarized below: Fair Value Measurements at June 30, 2019 Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Collateral Dependent Impaired Loans: Commercial loans $ 11,642 $ — $ — $ 11,642 Commercial real estate loans 13,928 — — 13,928 Foreclosed Assets: Residential 42 — — 42 Loan servicing rights 3,727 — 3,727 — Assets measured at fair value on a non-recurring basis at December 31, 2018 are summarized below: Fair Value Measurements at December 31, 2018 Using Significant Quoted Prices in Other Significant Active Markets for Observable Unobservable Carrying Identical Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Collateral Dependent Impaired Loans: Commercial loans $ 7,242 $ — $ — $ 7,242 Commercial real estate loans 29,125 — — 29,125 Foreclosed Assets: Residential 68 — — 68 Loan servicing rights 104 — 104 — |
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 at June 30, 2019 and December 31, 2018 was as follows: Aggregate Contractual (dollars in thousands) Fair Value Difference Principal June 30, 2019 Residential loans held for sale $ 37,904 $ 1,660 $ 36,244 December 31, 2018 Residential loans held for sale $ 14,911 $ 475 $ 14,436 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: Total Changes in Fair Values Other Included in Gains and Interest Interest Current Period (dollars in thousands) (Losses) Income (Expense) Earnings Three Months Ended June 30, 2019 Residential loans held for sale $ 1,085 $ 5 $ — $ 1,090 Three Months Ended June 30, 2018 Residential loans held for sale $ 387 $ 3 $ — $ 390 Six Months Ended June 30, 2019 Residential loans held for sale $ 1,175 $ 10 $ — $ 1,185 Six Months Ended June 30, 2018 Residential loans held for sale $ 422 $ 3 $ (4 ) $ 421 |
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 at June 30, 2019 and December 31, 2018 were as follows: Fair Value Measurements at June 30, 2019 Using Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Cash, due from banks, money market, and other interest-earning investments $ 300,986 $ 300,986 $ — $ — Investment securities held-to-maturity: U.S. government-sponsored entities and agencies 74,403 — 75,858 — Mortgage-backed securities - Agency 118,720 — 121,328 — State and political subdivisions 277,745 — 289,542 — Loans, net: Commercial 3,052,301 — — 2,992,851 Commercial real estate 4,970,382 — — 4,914,521 Residential real estate 2,219,929 — — 2,215,752 Consumer credit 1,747,674 — — 1,717,960 Accrued interest receivable 90,543 13 28,821 61,709 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 3,771,888 $ 3,771,888 $ — $ — Checking, NOW, savings, and money market interest-bearing deposits 8,647,550 8,647,550 — — Time deposits 1,943,663 — 1,940,094 — Federal funds purchased and interbank borrowings 410,036 410,036 — — Securities sold under agreements to repurchase 334,540 334,540 — — FHLB advances 1,730,065 — — 1,770,369 Other borrowings 251,840 — 259,756 — Accrued interest payable 9,155 — 9,155 — Standby letters of credit 527 — — 527 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 5,850 Fair Value Measurements at December 31, 2018 Using Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable Carrying Assets Inputs Inputs (dollars in thousands) Value (Level 1) (Level 2) (Level 3) Financial Assets Cash, due from banks, money market, and other interest-earning investments $ 317,165 $ 317,165 $ — $ — Investment securities held-to-maturity: U.S. government-sponsored entities and agencies 73,986 — 72,359 Mortgage-backed securities - Agency 127,120 — 124,409 — State and political subdivisions 305,228 — 309,335 — Loans, net: Commercial 3,211,228 — — 3,161,132 Commercial real estate 4,935,381 — — 4,781,294 Residential real estate 2,246,127 — — 2,225,853 Consumer credit 1,795,695 — — 1,773,352 Accrued interest receivable 89,464 13 27,580 61,871 Financial Liabilities Deposits: Noninterest-bearing demand deposits $ 3,965,380 $ 3,965,380 $ — $ — Checking, NOW, savings, and money market interest-bearing deposits 8,360,313 8,360,313 — — Time deposits 2,024,256 — 2,002,187 — Federal funds purchased and interbank borrowings 270,135 270,135 — — Securities sold under agreements to repurchase 362,294 362,294 — — FHLB advances 1,613,481 — — 1,611,103 Other borrowings 247,883 — 248,065 — Accrued interest payable 9,871 — 9,871 — Standby letters of credit 525 — — 525 Off-Balance Sheet Financial Instruments Commitments to extend credit $ — $ — $ — $ 3,115 |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 6 Months Ended |
Jun. 30, 2019 | |
Revenue From Contract With Customer [Abstract] | |
Revenue Information | 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: Three Months Ended Six Months Ended June 30, June 30, (dollars in thousands) 2019 2018 2019 2018 Wealth management fees $ 9,909 $ 9,746 $ 18,444 $ 18,772 Service charges on deposit accounts 11,515 10,765 22,341 21,524 Debit card and ATM fees 5,419 5,080 10,922 9,945 Investment product fees 5,591 5,066 10,862 10,097 Other income: Merchant processing fees 821 778 1,528 1,419 Gain (loss) on other real estate owned 125 586 165 721 Safe deposit box fees 258 224 669 628 Insurance premiums and commissions 175 78 375 182 Total $ 33,813 $ 32,323 $ 65,306 $ 63,288 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Jan. 02, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | Dec. 31, 2017 |
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||||
Lease liability | $ 110,596 | $ 0 | $ 0 | |||
Lease, right-of-use asset | $ 106,222 | 0 | $ 0 | |||
Cumulative-effect adjustment, increase in retained earnings | $ 6,322 | $ (4,179) | ||||
Accounting Standards Update 2016-02 [Member] | ||||||
New Accounting Pronouncements Or Change In Accounting Principle [Line Items] | ||||||
Lease liability | $ 122,900 | |||||
Lease, right-of-use asset | $ 118,700 | |||||
Cumulative-effect adjustment, increase in retained earnings | $ 6,300 |
Acquisition and Divestiture A_3
Acquisition and Divestiture Activity - Additional Information (Detail) - KleinBank [Member] - Minnesota [Member] shares in Millions, $ in Millions | Nov. 01, 2018USD ($)Branchshares |
Business Acquisition [Line Items] | |
Stock merger acquisition ratio | 100.00% |
Number of branches | Branch | 18 |
Portion of share received by merged entity | 7.92 |
Total fair value of consideration paid | $ 406.5 |
Issuance of common stock shares for acquisitions of business | shares | 22.8 |
Value of issuance common stock shares | $ 406.5 |
Transaction and integration costs associated with the acquisition | 18.8 |
Core Deposit [Member] | |
Business Acquisition [Line Items] | |
Estimated fair value of intangible assets acquired | $ 39 |
Estimated useful life of intangible assets | 12 years |
Acquisition and Divestiture A_4
Acquisition and Divestiture Activity - Summary of Fair Values of Acquired Assets, Liabilities Assumed and Resulting Goodwill (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Nov. 01, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 |
Business Acquisition [Line Items] | |||||||
Goodwill | $ 1,036,258 | $ 1,036,258 | $ 1,036,258 | $ 828,804 | $ 828,804 | $ 828,051 | |
KleinBank [Member] | Minnesota [Member] | |||||||
Business Acquisition [Line Items] | |||||||
Cash and cash equivalents | $ 60,759 | ||||||
Investment securities | 697,951 | ||||||
FHLB/Federal Reserve Bank stock | 2,637 | ||||||
Loans held for sale | 3,371 | ||||||
Loans | 1,049,073 | ||||||
Premises and equipment | 33,391 | ||||||
Accrued interest receivable | 7,896 | ||||||
Company-owned life insurance | 36,380 | ||||||
Net deferred tax assets | 6,500 | ||||||
Other real estate owned | 954 | ||||||
Other assets | 10,299 | ||||||
Deposits | (1,713,086) | ||||||
Securities sold under agreements to repurchase | (19,481) | ||||||
Accrued expenses and other liabilities | (17,506) | ||||||
Net tangible assets acquired | 159,138 | ||||||
Definite-lived intangible assets acquired | 39,017 | ||||||
Loan servicing rights | 285 | ||||||
Goodwill | 208,034 | ||||||
Total consideration | $ 406,474 |
Acquisition and Divestiture A_5
Acquisition and Divestiture Activity - Schedule of Acquired Loan Data (Detail) - KleinBank [Member] - Minnesota [Member] $ in Thousands | Nov. 01, 2018USD ($) |
Loans at Acquisition Date [Line Items] | |
Fair Value of Acquired Loans at Acquisition Date | $ 1,049,073 |
Acquired Receivables Subject to ASC 310-30 [Member] | |
Loans at Acquisition Date [Line Items] | |
Fair Value of Acquired Loans at Acquisition Date | 11,663 |
Gross Contractual Cash Flows at Acquisition Date | 18,568 |
Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected | 4,521 |
Acquired Receivables Not Subject to ASC 310-30 [Member] | |
Loans at Acquisition Date [Line Items] | |
Fair Value of Acquired Loans at Acquisition Date | 1,037,410 |
Gross Contractual Cash Flows at Acquisition Date | 1,252,954 |
Best Estimate at Acquisition Date of Contractual Cash Flows Not Expected to be Collected | $ 76,534 |
Net Income Per Share - Summary
Net Income Per Share - Summary of Table Reconciling Basic and Diluted Net Income Per Share (Detail) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Earnings Per Share [Abstract] | ||||||
Net income | $ 62,964 | $ 56,276 | $ 44,001 | $ 47,983 | $ 119,240 | $ 91,984 |
Basic Net Income Per Share, Weighted average common shares outstanding | 172,985 | 151,878 | 173,855 | 151,800 | ||
Basic Net Income Per Share | $ 0.37 | $ 0.29 | $ 0.69 | $ 0.61 | ||
Effect of dilutive securities: Restricted stock | 643 | 623 | 626 | 610 | ||
Effect of dilutive securities: Stock options | 47 | 67 | 50 | 73 | ||
Diluted Net Income Per Share, Weighted average shares outstanding | 173,675 | 152,568 | 174,531 | 152,483 | ||
Diluted Net Income Per Share | $ 0.36 | $ 0.29 | $ 0.68 | $ 0.60 |
Net Income Per Share - Summar_2
Net Income Per Share - Summary of Table Reconciling Basic and Diluted Net Income Per Share (Parenthetical) (Detail) - shares shares in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Stock Options [Member] | ||||
Summary Of Computation Of Basic And Diluted Earnings Per Share [Line Items] | ||||
Antidilutive securities not included in the computation of net income per diluted share | 14 | 14 | 14 | 14 |
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 | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | $ 4,603,975 | $ 4,172,617 | |
Available-for-Sale, Unrealized Gains | 79,419 | 21,372 | |
Available-for-Sale, Unrealized Losses | (16,168) | (70,573) | |
Available-for-Sale securities, Fair Value | 4,667,226 | 4,123,416 | $ 3,181,665 |
Held-to-Maturity, Amortized Cost | 470,868 | 506,334 | 525,718 |
Held-to-Maturity, Unrealized Gains | 15,860 | 6,247 | |
Held-to-Maturity, Unrealized Losses | (6,478) | ||
Investment securities - held-to-maturity, fair value | 486,728 | 506,103 | 524,597 |
U.S. Treasury [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 5,353 | 5,332 | |
Available-for-Sale, Unrealized Gains | 117 | ||
Available-for-Sale, Unrealized Losses | (4) | (31) | |
Available-for-Sale securities, Fair Value | 5,466 | 5,301 | 5,257 |
U.S. Government-Sponsored Entities and Agencies [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 645,351 | 639,458 | |
Available-for-Sale, Unrealized Gains | 1,242 | 35 | |
Available-for-Sale, Unrealized Losses | (1,135) | (11,342) | |
Available-for-Sale securities, Fair Value | 645,458 | 628,151 | 568,231 |
Held-to-Maturity, Amortized Cost | 74,403 | 73,986 | |
Held-to-Maturity, Unrealized Gains | 1,455 | ||
Held-to-Maturity, Unrealized Losses | (1,627) | ||
Investment securities - held-to-maturity, fair value | 75,858 | 72,359 | |
Mortgage-Backed Securities - Agency [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 2,746,337 | 2,243,774 | |
Available-for-Sale, Unrealized Gains | 42,248 | 9,738 | |
Available-for-Sale, Unrealized Losses | (7,070) | (44,217) | |
Available-for-Sale securities, Fair Value | 2,781,515 | 2,209,295 | 1,448,526 |
Held-to-Maturity, Amortized Cost | 118,720 | 127,120 | |
Held-to-Maturity, Unrealized Gains | 2,608 | 39 | |
Held-to-Maturity, Unrealized Losses | (2,750) | ||
Investment securities - held-to-maturity, fair value | 121,328 | 124,409 | |
States and Political Subdivisions [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 879,187 | 932,757 | |
Available-for-Sale, Unrealized Gains | 29,672 | 11,113 | |
Available-for-Sale, Unrealized Losses | (293) | (3,441) | |
Available-for-Sale securities, Fair Value | 908,566 | 940,429 | $ 797,533 |
Held-to-Maturity, Amortized Cost | 277,745 | 305,228 | |
Held-to-Maturity, Unrealized Gains | 11,797 | 6,208 | |
Held-to-Maturity, Unrealized Losses | (2,101) | ||
Investment securities - held-to-maturity, fair value | 289,542 | 309,335 | |
Pooled Trust Preferred Securities [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 13,836 | 13,861 | |
Available-for-Sale, Unrealized Losses | (6,000) | (5,366) | |
Available-for-Sale securities, Fair Value | 7,836 | 8,495 | |
Other Securities [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 313,911 | 337,435 | |
Available-for-Sale, Unrealized Gains | 6,140 | 486 | |
Available-for-Sale, Unrealized Losses | (1,666) | (6,176) | |
Available-for-Sale securities, Fair Value | $ 318,385 | $ 331,745 |
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 | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Debt Securities, Available-for-sale [Line Items] | ||||
Proceeds from sales of available-for-sale debt securities | $ 258,951 | $ 47,064 | $ 267,632 | $ 131,321 |
Proceeds from calls of available-for-sale debt securities | 335,035 | 220,753 | ||
Total | 297,381 | 58,275 | 329,747 | 159,968 |
Realized gains on sales of available-for-sale debt securities | 3,032 | 1,251 | 3,103 | 3,259 |
Realized losses on sales of available-for-sale debt securities | (1,867) | (48) | (2,015) | (1,305) |
Other securities gains (losses) | 12 | 97 | ||
Net debt securities gains (losses) | 1,165 | 1,494 | 1,062 | 2,282 |
Calls [Member] | ||||
Debt Securities, Available-for-sale [Line Items] | ||||
Proceeds from calls of available-for-sale debt securities | $ 38,430 | 11,211 | 62,115 | 28,647 |
Realized gains on calls of available-for-sale debt securities | 283 | 3 | 284 | |
Realized losses on calls of available-for-sale debt securities | $ (4) | $ (29) | $ (53) |
Investment Securities - Expecte
Investment Securities - Expected Maturities of Investment Securities Portfolio (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Investments Debt And Equity Securities [Abstract] | |||
Available-for-Sale, Maturity, Within one year, Amortized Cost | $ 67,614 | ||
Available-for-Sale, Maturity, One to five years, Amortized Cost | 325,596 | ||
Available-for-Sale, Maturity, Five to ten years, Amortized Cost | 637,886 | ||
Available-for-Sale, Maturity, Beyond ten years, Amortized Cost | 3,572,879 | ||
Available-for-Sale, Amortized Cost | 4,603,975 | $ 4,172,617 | |
Held-to-Maturity, Maturity, Within one year, Amortized Cost | 14,051 | ||
Held-to-Maturity, Maturity, One to five years, Amortized Cost | 35,606 | ||
Held-to-Maturity, Maturity, Five to ten years, Amortized Cost | 74,766 | ||
Held-to-Maturity, Maturity, Beyond ten years, Amortized Cost | 346,445 | ||
Held-to-Maturity, Amortized Cost | 470,868 | 506,334 | $ 525,718 |
Available-for-Sale, Maturity, Within one year, Fair Value | 67,697 | ||
Available-for-Sale, Maturity, One to five years, Fair Value | 328,679 | ||
Available-for-Sale, Maturity, Five to ten years, Fair Value | 650,816 | ||
Available-for-Sale, Maturity, Beyond ten years, Fair Value | 3,620,034 | ||
Available-for-Sale securities, Fair Value | 4,667,226 | 4,123,416 | 3,181,665 |
Held-to-Maturity, Maturity, Within one year, Fair Value | 14,155 | ||
Held-to-Maturity, Maturity, One to five years, Fair Value | 36,747 | ||
Held-to-Maturity, Maturity, Five to ten years, Fair Value | 78,137 | ||
Held-to-Maturity, Maturity, Beyond ten years, Fair Value | 357,689 | ||
Held-to-Maturity, Fair Value | $ 486,728 | $ 506,103 | $ 524,597 |
Available-for-Sale, Maturity, Within one year, Weighted Average Yield | 2.78% | ||
Available-for-Sale, Maturity, One to five years, Weighted Average Yield | 2.62% | ||
Available-for-Sale, Maturity, Five to ten years, Weighted Average Yield | 3.24% | ||
Available-for-Sale, Maturity, Beyond ten years, Weighted Average Yield | 2.95% | ||
Available-for-Sale, Weighted Average Yield | 2.97% | ||
Held-to-Maturity, Maturity, Within one year, Weighted Average Yield | 4.48% | ||
Held-to-Maturity, Maturity, One to five years, Weighted Average Yield | 3.98% | ||
Held-to-Maturity, Maturity, Five to ten years, Weighted Average Yield | 4.60% | ||
Held-to-Maturity, Maturity, Beyond ten years, Weighted Average Yield | 3.63% | ||
Held-to-Maturity, Weighted Average Yield | 3.83% |
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 | Jun. 30, 2019 | Dec. 31, 2018 |
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | $ 87,610 | $ 334,588 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (768) | (4,653) |
Available-for-Sale, 12 months or longer, Fair Value | 1,036,670 | 1,997,801 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (15,400) | (65,920) |
Available-for-Sale, Fair Value | 1,124,280 | 2,332,389 |
Available-for-Sale, Unrealized Losses | (16,168) | (70,573) |
Held-to-Maturity, Less than 12 Months, Fair Value | 28,868 | |
Held-to-Maturity, Less than 12 Months, Unrecognized Losses | (1,007) | |
Held-to-Maturity, 12 months or longer, Fair Value | 261,588 | |
Held-to-Maturity, 12 months or longer, Unrecognized Losses | (16,204) | |
Held-to-Maturity, Fair Value | 290,456 | |
Held-to-Maturity, Unrecognized Losses | (17,211) | |
U.S. Treasury [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 3,829 | |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (12) | |
Available-for-Sale, 12 months or longer, Fair Value | 1,491 | 1,472 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (4) | (19) |
Available-for-Sale, Fair Value | 1,491 | 5,301 |
Available-for-Sale, Unrealized Losses | (4) | (31) |
U.S. Government-Sponsored Entities and Agencies [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 45,107 | 54,701 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (207) | (594) |
Available-for-Sale, 12 months or longer, Fair Value | 160,407 | 519,911 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (928) | (10,748) |
Available-for-Sale, Fair Value | 205,514 | 574,612 |
Available-for-Sale, Unrealized Losses | (1,135) | (11,342) |
Held-to-Maturity, 12 months or longer, Fair Value | 72,359 | |
Held-to-Maturity, 12 months or longer, Unrecognized Losses | (4,642) | |
Held-to-Maturity, Fair Value | 72,359 | |
Held-to-Maturity, Unrecognized Losses | (4,642) | |
Mortgage-Backed Securities - Agency [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 15,247 | 82,289 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (279) | (742) |
Available-for-Sale, 12 months or longer, Fair Value | 697,159 | 1,172,984 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (6,791) | (43,475) |
Available-for-Sale, Fair Value | 712,406 | 1,255,273 |
Available-for-Sale, Unrealized Losses | (7,070) | (44,217) |
Held-to-Maturity, Less than 12 Months, Fair Value | 4,335 | |
Held-to-Maturity, Less than 12 Months, Unrecognized Losses | (24) | |
Held-to-Maturity, 12 months or longer, Fair Value | 119,207 | |
Held-to-Maturity, 12 months or longer, Unrecognized Losses | (8,006) | |
Held-to-Maturity, Fair Value | 123,542 | |
Held-to-Maturity, Unrecognized Losses | (8,030) | |
States and Political Subdivisions [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 9,361 | 99,162 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (126) | (1,340) |
Available-for-Sale, 12 months or longer, Fair Value | 54,948 | 151,097 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (167) | (2,101) |
Available-for-Sale, Fair Value | 64,309 | 250,259 |
Available-for-Sale, Unrealized Losses | (293) | (3,441) |
Held-to-Maturity, Less than 12 Months, Fair Value | 24,533 | |
Held-to-Maturity, Less than 12 Months, Unrecognized Losses | (983) | |
Held-to-Maturity, 12 months or longer, Fair Value | 70,022 | |
Held-to-Maturity, 12 months or longer, Unrecognized Losses | (3,556) | |
Held-to-Maturity, Fair Value | 94,555 | |
Held-to-Maturity, Unrecognized Losses | (4,539) | |
Pooled Trust Preferred Securities [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, 12 months or longer, Fair Value | 7,836 | 8,495 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (6,000) | (5,366) |
Available-for-Sale, Fair Value | 7,836 | 8,495 |
Available-for-Sale, Unrealized Losses | (6,000) | (5,366) |
Other Securities [Member] | ||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | ||
Available-for-Sale, Less than 12 Months, Fair Value | 17,895 | 94,607 |
Available-for-Sale, Less than 12 Months, Unrealized Losses | (156) | (1,965) |
Available-for-Sale, 12 months or longer, Fair Value | 114,829 | 143,842 |
Available-for-Sale, 12 months or longer, Unrealized Losses | (1,510) | (4,211) |
Available-for-Sale, Fair Value | 132,724 | 238,449 |
Available-for-Sale, Unrealized Losses | $ (1,666) | $ (6,176) |
Investment Securities - Additio
Investment Securities - Additional Information (Detail) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019USD ($)Security | Jun. 30, 2018USD ($) | Jun. 30, 2019USD ($)Security | Jun. 30, 2018USD ($) | Dec. 31, 2018USD ($) | |
Summary Of Investment Holdings [Line Items] | |||||
Held-to-Maturity, Unrecognized Losses | $ 17,211,000 | ||||
OTTI losses on securities | $ 0 | $ 0 | |||
Number of securities in security portfolio | Security | 1,995 | 1,995 | |||
Number of securities in unrealized loss position | Security | 287 | 287 | |||
Total investment securities - available-for-sale | $ 4,667,226,000 | $ 3,181,665,000 | $ 4,667,226,000 | 3,181,665,000 | 4,123,416,000 |
Unrealized losses | 16,168,000 | 16,168,000 | 70,573,000 | ||
Securities portfolio at fair value | 6,234,000 | 5,596,000 | 6,234,000 | 5,596,000 | 5,582,000 |
Gains (losses) on equity securities | (18,000) | $ 12,000 | 154,000 | 97,000 | |
Impairments on equity securities without readily determinable fair value | 0 | 0 | |||
Downward adjustments on equity securities without readily determinable fair value | 0 | 0 | |||
Other Asstes [Member] | |||||
Summary Of Investment Holdings [Line Items] | |||||
Equity securities without readily determinable fair value | $ 84,900,000 | $ 84,900,000 | 79,200,000 | ||
Pooled Trust Preferred Securities [Member] | |||||
Summary Of Investment Holdings [Line Items] | |||||
Number of pooled trust preferred securities | Security | 2 | 2 | |||
Total investment securities - available-for-sale | $ 7,836,000 | $ 7,836,000 | 8,495,000 | ||
Unrealized losses | $ 6,000,000 | 6,000,000 | 5,366,000 | ||
OTTI losses on securities | $ 0 | $ 0 | |||
Held-to-maturity Securities [Member] | |||||
Summary Of Investment Holdings [Line Items] | |||||
Held-to-Maturity, Unrecognized Losses | $ 10,700,000 |
Investment Securities - Trust P
Investment Securities - Trust Preferred Securities (Detail) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2019USD ($)Item | Dec. 31, 2018USD ($) | Jun. 30, 2018USD ($) | |
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | $ 4,603,975 | $ 4,172,617 | |
Available-for-Sale securities, Fair Value | 4,667,226 | $ 4,123,416 | $ 3,181,665 |
Pooled Trust Preferred Securities One [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 13,836 | ||
Available-for-Sale securities, Fair Value | 7,836 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | $ (6,000) | ||
Pooled Trust Preferred Securities One [Member] | Pretsl XXVII LTD [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Pooled trust preferred securities, Class | B | ||
Lowest Credit Rating | B | ||
Available-for-Sale, Amortized Cost | $ 4,317 | ||
Available-for-Sale securities, Fair Value | 2,131 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | $ (2,186) | ||
# of Issuers Currently Performing | Item | 33 | ||
# of Issuers Currently Remaining | Item | 43 | ||
Actual Deferrals and Defaults as a Percent of Original Collateral | 17.20% | ||
Expected Defaults as a % of Remaining Performing Collateral | 4.50% | ||
Excess Subordination as a % of Current Performing Collateral | 36.00% | ||
Pooled Trust Preferred Securities One [Member] | Trapeza Ser 13A [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Pooled trust preferred securities, Class | A2A | ||
Lowest Credit Rating | BBB | ||
Available-for-Sale, Amortized Cost | $ 9,519 | ||
Available-for-Sale securities, Fair Value | 5,705 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | $ (3,814) | ||
# of Issuers Currently Performing | Item | 43 | ||
# of Issuers Currently Remaining | Item | 48 | ||
Actual Deferrals and Defaults as a Percent of Original Collateral | 4.50% | ||
Expected Defaults as a % of Remaining Performing Collateral | 4.50% | ||
Excess Subordination as a % of Current Performing Collateral | 56.70% | ||
Single Issuer Trust Preferred Securities [Member] | JP Morgan Chase & Co [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Lowest Credit Rating | BBB- | ||
Available-for-Sale, Amortized Cost | $ 4,792 | ||
Available-for-Sale securities, Fair Value | 4,225 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | (567) | ||
Trust Preferred Securities [Member] | |||
Schedule Of Available For Sale And Held To Maturity Securities [Line Items] | |||
Available-for-Sale, Amortized Cost | 18,628 | ||
Available-for-Sale securities, Fair Value | 12,061 | ||
Available-for-Sale, Unrealized Gain/ (Loss) | $ (6,567) |
Loans Held for Sale - Additiona
Loans Held for Sale - Additional Information (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Servicing Assets at Fair Value [Line Items] | |||
Mortgage loans held for sale | $ 37,904 | $ 14,911 | $ 26,198 |
Residential Mortgage Loans [Member] | |||
Servicing Assets at Fair Value [Line Items] | |||
Mortgage loans held for sale | $ 37,900 | $ 14,900 |
Loans and Allowance for Loan _3
Loans and Allowance for Loan Losses - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Loan placed on nonaccrual when past due, number of days | 90 days | ||||
Loan participations | $ 928,100,000 | $ 928,100,000 | |||
Loan participations sold | 446,100,000 | 446,100,000 | |||
Loan participations retained | 482,000,000 | $ 482,000,000 | |||
Troubled debt restructuring term | 6 months | ||||
Minimum number of days for loan charge off to be recorded | 120 days | ||||
Maximum number of days for loan charge off to be recorded | 180 days | ||||
Nonaccrual period for loans | 90 days | ||||
Financing receivable TDR's included with non-accrual loans | 24,700,000 | $ 24,700,000 | $ 26,300,000 | ||
Financing receivable troubled debt restructurings specific reserves | 6,500,000 | 6,500,000 | 3,000,000 | ||
Unfunded commitments on TDRs | 6,200,000 | 6,200,000 | |||
Increase (decrease) in allowance for loan losses | (800,000) | $ 0 | |||
Allowance for loan losses charge-offs | $ 0 | 0 | |||
Number of days for a loan to be considered to be in payment default | 90 days | ||||
Outstanding loans including principal, interest, fees and penalties | 241,800,000 | $ 241,800,000 | 246,900,000 | ||
Accretion of income | 2,200,000 | $ 2,500,000 | 4,100,000 | $ 7,100,000 | |
Financing receivable allowance for loan losses related to purchased loans | $ 347,000 | 347,000 | 478,000 | ||
Maximum [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Value of small commercial loans on nonaccrual status or 90 days or more delinquent | $ 250,000 | ||||
Commercial Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Percentage of risk-based capital | 189.00% | 189.00% | |||
Regulatory guideline limit | 300.00% | 300.00% | |||
Financing receivable allowance for loan losses related to purchased loans | $ 148,000 | $ 148,000 | $ 319,000 | ||
Credit Concentration Risk [Member] | Residential Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Concentration Risk Percentage | 10.00% | ||||
Credit Concentration Risk [Member] | Non Residential Real Estate [Member] | |||||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||||
Concentration Risk Percentage | 10.00% |
Loans and Allowance for Loan _4
Loans and Allowance for Loan Losses - Schedule of Composition of Loan (Detail) (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||
Total loans | $ 12,046,578 | $ 12,243,892 | $ 11,295,629 | |||
Allowance for loan losses | (56,292) | $ (55,559) | (55,461) | (53,660) | $ (50,381) | $ (50,381) |
Net loans | 11,990,286 | 12,188,431 | 11,241,969 | |||
Commercial Loan [Member] | ||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||
Total loans | 3,074,849 | 3,232,970 | 2,962,895 | |||
Allowance for loan losses | (22,548) | $ (20,406) | (21,742) | (21,387) | $ (19,591) | $ (19,246) |
Residential Real Estate [Member] | ||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||
Total loans | 2,222,198 | 2,248,404 | $ 2,153,973 | |||
Commercial Real Estate [Member] | ||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||
Total loans | 4,993,693 | 4,958,851 | ||||
Consumer [Member] | ||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||
Total loans | 1,755,838 | 1,803,667 | ||||
Consumer [Member] | Consumer Credit - Home Equity [Member] | ||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||
Total loans | 553,991 | 589,322 | ||||
Construction [Member] | Commercial Real Estate [Member] | ||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||
Total loans | 652,903 | 504,625 | ||||
Other [Member] | Commercial Real Estate [Member] | ||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||
Total loans | 4,340,790 | 4,454,226 | ||||
Other [Member] | Consumer [Member] | ||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||
Total loans | 165,603 | 154,712 | ||||
Consumer Credit - Auto [Member] | Consumer [Member] | ||||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||||
Total loans | $ 1,036,244 | $ 1,059,633 |
Loans and Allowance for Loan _5
Loans and Allowance for Loan Losses - Schedule of Composition of Loan (Detail) (Parenthetical) (Detail) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Commercial Loan [Member] | Direct Finance Leases [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Total loans | $ 53.5 | $ 60 |
Loans and Allowance for Loan _6
Loans and Allowance for Loan Losses - Schedule of Activity in Allowance for Loan Losses (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Beginning balance | $ 55,559 | $ 50,381 | $ 55,461 | $ 50,381 |
Charge-offs | (2,876) | (3,054) | (5,769) | (5,739) |
Recoveries | 2,606 | 3,887 | 4,554 | 6,192 |
Provision | 1,003 | 2,446 | 2,046 | 2,826 |
Ending balance | 56,292 | 53,660 | 56,292 | 53,660 |
Commercial Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Beginning balance | 20,406 | 19,591 | 21,742 | 19,246 |
Charge-offs | (604) | (472) | (764) | (717) |
Recoveries | 334 | 249 | 709 | 760 |
Provision | 2,412 | 2,019 | 861 | 2,098 |
Ending balance | 22,548 | 21,387 | 22,548 | 21,387 |
Commercial Real Estate [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Beginning balance | 25,169 | 20,796 | 23,470 | 21,436 |
Charge-offs | (389) | (430) | (624) | (433) |
Recoveries | 1,205 | 583 | 1,775 | 1,067 |
Provision | (2,674) | 1,549 | (1,310) | 428 |
Ending balance | 23,311 | 22,498 | 23,311 | 22,498 |
Residential [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Beginning balance | 2,302 | 1,763 | 2,277 | 1,763 |
Charge-offs | (140) | (295) | (318) | (657) |
Recoveries | 9 | 1,697 | 81 | 1,845 |
Provision | 98 | (1,298) | 229 | (1,084) |
Ending balance | 2,269 | 1,867 | 2,269 | 1,867 |
Consumer Loan [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Beginning balance | 7,682 | 8,231 | 7,972 | 7,936 |
Charge-offs | (1,743) | (1,857) | (4,063) | (3,932) |
Recoveries | 1,058 | 1,358 | 1,989 | 2,520 |
Provision | 1,167 | 176 | 2,266 | 1,384 |
Ending balance | $ 8,164 | $ 7,908 | $ 8,164 | $ 7,908 |
Loans and Allowance for Loan _7
Loans and Allowance for Loan Losses - Schedule of Recorded Investment in Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance for loan losses, Individually evaluated for impairment | $ 11,819 | $ 14,341 | |
Allowance for loan losses, Collectively evaluated for impairment | 44,126 | 40,642 | |
Allowance for loan losses, Loans acquired with deteriorated credit quality | 347 | 478 | |
Total allowance for loan losses | 56,292 | 55,461 | |
Loans and leases outstanding, Individually evaluated for impairment | 103,764 | 118,514 | |
Loans and leases outstanding, Collectively evaluated for impairment | 11,902,172 | 12,080,985 | |
Loans and leases outstanding, Loans acquired with deteriorated credit quality | 40,642 | 44,393 | |
Total loans and leases outstanding | 12,046,578 | 12,243,892 | $ 11,295,629 |
Commercial [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance for loan losses, Individually evaluated for impairment | 6,972 | 6,035 | |
Allowance for loan losses, Collectively evaluated for impairment | 15,574 | 15,700 | |
Allowance for loan losses, Loans acquired with deteriorated credit quality | 2 | 7 | |
Total allowance for loan losses | 22,548 | 21,742 | |
Loans and leases outstanding, Individually evaluated for impairment | 39,751 | 35,410 | |
Loans and leases outstanding, Collectively evaluated for impairment | 3,029,505 | 3,191,367 | |
Loans and leases outstanding, Loans acquired with deteriorated credit quality | 5,593 | 6,193 | |
Total loans and leases outstanding | 3,074,849 | 3,232,970 | |
Commercial Real Estate [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance for loan losses, Individually evaluated for impairment | 4,847 | 8,306 | |
Allowance for loan losses, Collectively evaluated for impairment | 18,316 | 14,845 | |
Allowance for loan losses, Loans acquired with deteriorated credit quality | 148 | 319 | |
Total allowance for loan losses | 23,311 | 23,470 | |
Loans and leases outstanding, Individually evaluated for impairment | 64,013 | 83,104 | |
Loans and leases outstanding, Collectively evaluated for impairment | 4,906,060 | 4,850,356 | |
Loans and leases outstanding, Loans acquired with deteriorated credit quality | 23,620 | 25,391 | |
Total loans and leases outstanding | 4,993,693 | 4,958,851 | |
Residential [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance for loan losses, Collectively evaluated for impairment | 2,269 | 2,276 | |
Allowance for loan losses, Loans acquired with deteriorated credit quality | 1 | ||
Total allowance for loan losses | 2,269 | 2,277 | |
Loans and leases outstanding, Collectively evaluated for impairment | 2,213,720 | 2,239,147 | |
Loans and leases outstanding, Loans acquired with deteriorated credit quality | 8,478 | 9,257 | |
Total loans and leases outstanding | 2,222,198 | 2,248,404 | |
Consumer [Member] | |||
Financing Receivable, Allowance for Credit Losses [Line Items] | |||
Allowance for loan losses, Collectively evaluated for impairment | 7,967 | 7,821 | |
Allowance for loan losses, Loans acquired with deteriorated credit quality | 197 | 151 | |
Total allowance for loan losses | 8,164 | 7,972 | |
Loans and leases outstanding, Collectively evaluated for impairment | 1,752,887 | 1,800,115 | |
Loans and leases outstanding, Loans acquired with deteriorated credit quality | 2,951 | 3,552 | |
Total loans and leases outstanding | $ 1,755,838 | $ 1,803,667 |
Loans and Allowance for Loan _8
Loans and Allowance for Loan Losses - Schedule of Risk Category of Commercial and Commercial Real Estate Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Risk Category Of Loans [Line Items] | |||
Total | $ 12,046,578 | $ 12,243,892 | $ 11,295,629 |
Commercial Loan [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 3,074,849 | 3,232,970 | 2,962,895 |
Commercial Real Estate [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 4,993,693 | 4,958,851 | $ 4,451,772 |
Commercial Real Estate [Member] | Construction [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 652,903 | 504,625 | |
Commercial Real Estate [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 4,340,790 | 4,454,226 | |
Pass [Member] | Commercial Loan [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 2,902,716 | 3,029,130 | |
Pass [Member] | Commercial Real Estate [Member] | Construction [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 596,761 | 460,158 | |
Pass [Member] | Commercial Real Estate [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 4,071,288 | 4,167,902 | |
Criticized [Member] | Commercial Loan [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 79,377 | 98,798 | |
Criticized [Member] | Commercial Real Estate [Member] | Construction [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 41,945 | 29,368 | |
Criticized [Member] | Commercial Real Estate [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 99,134 | 110,586 | |
Classified - Substandard [Member] | Commercial Loan [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 55,446 | 66,394 | |
Classified - Substandard [Member] | Commercial Real Estate [Member] | Construction [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 394 | 1,275 | |
Classified - Substandard [Member] | Commercial Real Estate [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 114,695 | 102,961 | |
Classified - Nonaccrual [Member] | Commercial Loan [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 28,613 | 29,003 | |
Classified - Nonaccrual [Member] | Commercial Real Estate [Member] | Construction [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 13,803 | 13,824 | |
Classified - Nonaccrual [Member] | Commercial Real Estate [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 36,606 | 37,441 | |
Classified - Doubtful [Member] | Commercial Loan [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | 8,697 | 9,645 | |
Classified - Doubtful [Member] | Commercial Real Estate [Member] | Other [Member] | |||
Risk Category Of Loans [Line Items] | |||
Total | $ 19,067 | $ 35,336 |
Loans and Allowance for Loan _9
Loans and Allowance for Loan Losses - Schedule of Recorded Investment in Residential and Consumer Loans Based on Payment Activity (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Performing | $ 11,863,149 | $ 12,037,323 | |
Total loans and leases outstanding | 12,046,578 | 12,243,892 | $ 11,295,629 |
Residential Real Estate [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans and leases outstanding | 2,222,198 | 2,248,404 | $ 2,153,973 |
Residential Real Estate [Member] | Performing Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Performing | 2,195,937 | 2,223,450 | |
Residential Real Estate [Member] | Nonperforming Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Nonperforming | 26,261 | 24,954 | |
Consumer Home Equity [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans and leases outstanding | 553,991 | 589,322 | |
Consumer Home Equity [Member] | Performing Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Performing | 549,140 | 586,235 | |
Consumer Home Equity [Member] | Nonperforming Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Nonperforming | 4,851 | 3,087 | |
Consumer Auto [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans and leases outstanding | 1,036,244 | 1,059,633 | |
Consumer Auto [Member] | Performing Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Performing | 1,032,845 | 1,057,038 | |
Consumer Auto [Member] | Nonperforming Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Nonperforming | 3,399 | 2,595 | |
Consumer - Other [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Total loans and leases outstanding | 165,603 | 154,712 | |
Consumer - Other [Member] | Performing Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Performing | 164,479 | 153,113 | |
Consumer - Other [Member] | Nonperforming Financing Receivable [Member] | |||
Financing Receivable, Recorded Investment, Past Due [Line Items] | |||
Finance receivable recorded investment, Nonperforming | $ 1,124 | $ 1,599 |
Loans and Allowance for Loan_10
Loans and Allowance for Loan Losses - Schedule of Impaired Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Financing Receivable Impaired [Line Items] | ||
Recorded Investment, Total | $ 109,507 | $ 124,054 |
Unpaid Principal Balance, Total | 110,739 | 125,349 |
Related Allowance | 11,929 | 14,486 |
Commercial [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Related Allowance | 6,972 | 6,035 |
Recorded Investment with no related allowance | 21,136 | 22,031 |
Unpaid Principal Balance with no related allowance | 21,344 | 22,292 |
Recorded Investment with related allowance | 18,615 | 13,379 |
Unpaid Principal Balance with related allowance | 18,767 | 13,432 |
Commercial Real Estate [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Related Allowance | 1,217 | 1,830 |
Recorded Investment with no related allowance | 11,038 | |
Unpaid Principal Balance with no related allowance | 11,038 | |
Recorded Investment with related allowance | 2,764 | 13,824 |
Unpaid Principal Balance with related allowance | 2,764 | 13,824 |
Commercial Real Estate - Other [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Related Allowance | 3,630 | 6,476 |
Recorded Investment with no related allowance | 29,630 | 41,126 |
Unpaid Principal Balance with no related allowance | 30,311 | 41,914 |
Recorded Investment with related allowance | 20,581 | 28,154 |
Unpaid Principal Balance with related allowance | 20,581 | 28,154 |
Residential [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Related Allowance | 43 | 44 |
Recorded Investment with no related allowance | 2,349 | 2,276 |
Unpaid Principal Balance with no related allowance | 2,369 | 2,296 |
Recorded Investment with related allowance | 858 | 889 |
Unpaid Principal Balance with related allowance | 858 | 889 |
Consumer [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Related Allowance | 67 | 101 |
Recorded Investment with no related allowance | 1,194 | 362 |
Unpaid Principal Balance with no related allowance | 1,365 | 535 |
Recorded Investment with related allowance | 1,342 | 2,013 |
Unpaid Principal Balance with related allowance | $ 1,342 | $ 2,013 |
Loans and Allowance for Loan_11
Loans and Allowance for Loan Losses - Schedule of Average Balance (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Financing Receivable Impaired [Line Items] | ||||
Impaired Financing Receivable, Average Recorded Investment, Total | $ 113,868 | $ 108,923 | $ 116,739 | $ 107,820 |
Commercial [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Average Recorded Investment with no related allowance | 23,242 | 20,228 | 21,585 | 20,073 |
Average Recorded Investment with an allowance recorded | 13,965 | 11,846 | 15,997 | 10,091 |
Commercial Real Estate [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Average Recorded Investment with no related allowance | 10,996 | 5,519 | ||
Average Recorded Investment with an allowance recorded | 3,160 | 4,675 | 8,294 | 4,675 |
Commercial Real Estate - Other [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Average Recorded Investment with no related allowance | 34,387 | 43,893 | 35,378 | 41,771 |
Average Recorded Investment with an allowance recorded | 22,493 | 21,439 | 24,368 | 24,246 |
Residential [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Average Recorded Investment with no related allowance | 2,325 | 2,189 | 2,309 | 2,274 |
Average Recorded Investment with an allowance recorded | 866 | 942 | 874 | 918 |
Consumer [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Average Recorded Investment with no related allowance | 1,076 | 1,741 | 838 | 1,722 |
Average Recorded Investment with an allowance recorded | $ 1,358 | $ 1,970 | $ 1,577 | $ 2,050 |
Loans and Allowance for Credit
Loans and Allowance for Credit Losses - Schedule of Past Due Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | $ 183,429 | $ 206,569 |
Past Due 90 Days or More and Accruing | 423 | 1,353 |
Nonaccrual | 142,421 | 157,484 |
Current | 11,863,149 | 12,037,323 |
Residential [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 52,987 | 54,596 |
Past Due 90 Days or More and Accruing | 141 | 258 |
Nonaccrual | 26,261 | 24,954 |
Current | 2,169,211 | 2,193,808 |
Consumer Home Equity [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 6,563 | 5,937 |
Past Due 90 Days or More and Accruing | 48 | 456 |
Nonaccrual | 4,851 | 3,087 |
Current | 547,428 | 583,385 |
Consumer Auto [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 9,340 | 11,966 |
Past Due 90 Days or More and Accruing | 200 | 377 |
Nonaccrual | 3,399 | 2,595 |
Current | 1,026,904 | 1,047,667 |
Consumer - Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 1,920 | 2,690 |
Past Due 90 Days or More and Accruing | 34 | 170 |
Nonaccrual | 1,124 | 1,599 |
Current | 163,683 | 152,022 |
Commercial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 38,834 | 42,606 |
Past Due 90 Days or More and Accruing | 52 | |
Nonaccrual | 37,310 | 38,648 |
Current | 3,036,015 | 3,190,364 |
Commercial Real Estate [Member] | Construction [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 14,170 | 13,824 |
Nonaccrual | 13,803 | 13,824 |
Current | 638,733 | 490,801 |
Commercial Real Estate [Member] | Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 59,615 | 74,950 |
Past Due 90 Days or More and Accruing | 40 | |
Nonaccrual | 55,673 | 72,777 |
Current | 4,281,175 | 4,379,276 |
30 to 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 34,073 | 40,443 |
30 to 59 Days Past Due [Member] | Residential [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 23,551 | 25,947 |
30 to 59 Days Past Due [Member] | Consumer Home Equity [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 1,591 | 1,434 |
30 to 59 Days Past Due [Member] | Consumer Auto [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 4,873 | 7,091 |
30 to 59 Days Past Due [Member] | Consumer - Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 243 | 711 |
30 to 59 Days Past Due [Member] | Commercial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 1,306 | 3,627 |
30 to 59 Days Past Due [Member] | Commercial Real Estate [Member] | Construction [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 367 | |
30 to 59 Days Past Due [Member] | Commercial Real Estate [Member] | Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 2,142 | 1,633 |
60 to 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 6,512 | 7,289 |
60 to 89 Days Past Due [Member] | Residential [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 3,034 | 3,437 |
60 to 89 Days Past Due [Member] | Consumer Home Equity [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 73 | 960 |
60 to 89 Days Past Due [Member] | Consumer Auto [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 868 | 1,903 |
60 to 89 Days Past Due [Member] | Consumer - Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 519 | 210 |
60 to 89 Days Past Due [Member] | Commercial [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | 218 | 279 |
60 to 89 Days Past Due [Member] | Commercial Real Estate [Member] | Other [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Financing Receivables, Past Due | $ 1,800 | $ 500 |
Loans and Allowance for Credi_2
Loans and Allowance for Credit Losses - Schedule of Past Due Loans (Parenthetical) (Detail) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Receivables [Abstract] | ||
Purchased credit impaired loans | $ 19.2 | $ 20.5 |
Loans and Allowance for Credi_3
Loans and Allowance for Credit Losses - Schedule of Activity in Troubled Debt Restructurings (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Financing Receivable Impaired [Line Items] | ||||
Balance at beginning of period | $ 46,343 | $ 53,484 | $ 43,710 | $ 54,003 |
(Charge-offs)/recoveries | (85) | (354) | (172) | (172) |
(Payments)/disbursements | (16,961) | (3,685) | (19,751) | (5,923) |
Additions | 14,534 | 1,694 | 20,044 | 3,231 |
Balance at end of period | 43,831 | 51,139 | 43,831 | 51,139 |
Commercial Loan [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Balance at beginning of period | 11,646 | 11,918 | 10,275 | 12,088 |
(Charge-offs)/recoveries | (93) | (22) | (100) | (151) |
(Payments)/disbursements | 25 | (3,398) | (1,004) | (3,978) |
Additions | 7,294 | 545 | 9,701 | 1,084 |
Balance at end of period | 18,872 | 9,043 | 18,872 | 9,043 |
Commercial Real Estate [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Balance at beginning of period | 29,137 | 34,488 | 27,671 | 34,705 |
(Charge-offs)/recoveries | 4 | (12) | (71) | (22) |
(Payments)/disbursements | (16,702) | (196) | (18,264) | (969) |
Additions | 6,924 | 647 | 10,027 | 1,213 |
Balance at end of period | 19,363 | 34,927 | 19,363 | 34,927 |
Residential [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Balance at beginning of period | 3,247 | 3,058 | 3,390 | 3,315 |
(Charge-offs)/recoveries | 23 | |||
(Payments)/disbursements | (167) | 211 | (310) | (69) |
Additions | 502 | 502 | ||
Balance at end of period | 3,080 | 3,771 | 3,080 | 3,771 |
Consumer Loan [Member] | ||||
Financing Receivable Impaired [Line Items] | ||||
Balance at beginning of period | 2,313 | 4,020 | 2,374 | 3,895 |
(Charge-offs)/recoveries | 4 | (320) | (1) | (22) |
(Payments)/disbursements | (117) | (302) | (173) | (907) |
Additions | 316 | 316 | 432 | |
Balance at end of period | $ 2,516 | $ 3,398 | $ 2,516 | $ 3,398 |
Loans and Allowance for Loan_12
Loans and Allowance for Loan Losses - Schedule of Loans by Class Modified as Troubled Debt Restructuring (Detail) $ in Thousands | 6 Months Ended | |
Jun. 30, 2019USD ($)SecurityLoan | Jun. 30, 2018USD ($)SecurityLoan | |
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 12 | 6 |
Pre-modification Outstanding Recorded Investment | $ 20,044 | $ 3,231 |
Post-modification Outstanding Recorded Investment | $ 20,044 | $ 3,231 |
Commercial Loan [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 7 | 2 |
Pre-modification Outstanding Recorded Investment | $ 9,701 | $ 1,084 |
Post-modification Outstanding Recorded Investment | $ 9,701 | $ 1,084 |
Other [Member] | Commercial Real Estate [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 4 | 2 |
Pre-modification Outstanding Recorded Investment | $ 10,027 | $ 1,213 |
Post-modification Outstanding Recorded Investment | $ 10,027 | $ 1,213 |
Consumer - Other [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 1 | 1 |
Pre-modification Outstanding Recorded Investment | $ 316 | $ 432 |
Post-modification Outstanding Recorded Investment | $ 316 | $ 432 |
Residential [Member] | ||
Financing Receivable, Modifications [Line Items] | ||
Number of Loans | SecurityLoan | 1 | |
Pre-modification Outstanding Recorded Investment | $ 502 | |
Post-modification Outstanding Recorded Investment | $ 502 |
Loans and Allowance for Loan_13
Loans and Allowance for Loan Losses - Schedule of Activity of Purchased Impaired Loans (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Financing Receivable Impaired [Line Items] | ||
Purchased impaired loans | $ 40,642 | $ 44,393 |
Allowance for loan losses | (347) | (478) |
Carrying amount, net of allowance | 40,295 | 43,915 |
Commercial Loan [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Purchased impaired loans | 5,593 | 6,193 |
Commercial Real Estate [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Purchased impaired loans | 23,620 | 25,391 |
Residential [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Purchased impaired loans | 8,478 | 9,257 |
Consumer Loan [Member] | ||
Financing Receivable Impaired [Line Items] | ||
Purchased impaired loans | $ 2,951 | $ 3,552 |
Loans and Allowance for Loan_14
Loans and Allowance for Loan Losses - Schedule of Accretable Yield of Noncovered PCI Loans, or Income Expected to be Collected (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Accretion of income | $ (2,200) | $ (2,500) | $ (4,100) | $ (7,100) |
Purchased Credit Impaired Loans [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Balance at beginning of period | 24,389 | 24,692 | 25,051 | 27,835 |
Accretion of income | (2,172) | (2,547) | (4,140) | (7,073) |
Reclassifications from (to) nonaccretable difference | 276 | 2,087 | 1,582 | 3,466 |
Disposals/other adjustments | (79) | 17 | (79) | 21 |
Balance at end of period | $ 22,414 | $ 24,249 | $ 22,414 | $ 24,249 |
Loans and Allowance for Loan_15
Loans and Allowance for Loan Losses - Schedule of Receivables for which Contractually Required Payments would not be Collected (Detail) - KleinBank [Member] - Minnesota [Member] $ in Thousands | 12 Months Ended |
Dec. 31, 2018USD ($) | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Contractually required payments | $ 18,568 |
Nonaccretable difference | (4,521) |
Cash flows expected to be collected at acquisition | 14,047 |
Accretable yield | (2,384) |
Fair value of acquired loans at acquisition | $ 11,663 |
Loans and Allowance for Loan_16
Loans and Allowance for Loan Losses - Schedule of Receivables for which Contractually Required Payments would not be Collected (Parenthetical) (Detail) | 12 Months Ended |
Dec. 31, 2018 | |
KleinBank [Member] | Minnesota [Member] | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Effective date of acquisition | Nov. 1, 2018 |
Other Real Estate Owned - Activ
Other Real Estate Owned - Activity in Other Real Estate Owned (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Regulatory Assets [Abstract] | ||||
Balance at beginning of period | $ 3,279 | $ 6,735 | $ 3,232 | $ 8,810 |
Additions | 279 | 625 | 673 | 1,175 |
Sales | (705) | (3,274) | (977) | (5,625) |
Impairments | (34) | (357) | (109) | (631) |
Balance at end of period | $ 2,819 | $ 3,729 | $ 2,819 | $ 3,729 |
Other Real Estate Owned - Act_2
Other Real Estate Owned - Activity in Other Real Estate Owned (Parenthetical) (Detail) - USD ($) $ in Millions | Jun. 30, 2019 | Jun. 30, 2018 |
Regulatory Assets [Abstract] | ||
Repossessed personal property | $ 0.2 | $ 0.3 |
Other Real Estate Owned - Addit
Other Real Estate Owned - Additional Information (Detail) - USD ($) $ in Millions | Jun. 30, 2019 | Dec. 31, 2018 |
Regulatory Assets [Abstract] | ||
Value of foreclosed residential real estate property | $ 1.2 | $ 1.3 |
Value of mortgage loans in process of foreclosure | $ 4.1 | $ 4.9 |
Premises and Equipment - Summar
Premises and Equipment - Summary of Premises and Equipment (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Property, Plant and Equipment [Line Items] | |||
Total | $ 609,431 | $ 594,483 | |
Accumulated depreciation | (115,950) | (108,571) | |
Premises and equipment, net | 493,481 | 485,912 | $ 449,304 |
Land [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total | 79,521 | 79,231 | |
Buildings [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total | 379,808 | 365,102 | |
Furniture, Fixtures, and Equipment [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total | 105,318 | 107,862 | |
Leasehold Improvements [Member] | |||
Property, Plant and Equipment [Line Items] | |||
Total | $ 44,784 | $ 42,288 |
Premises and Equipment - Additi
Premises and Equipment - Additional Information (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Property Plant And Equipment [Abstract] | ||||
Depreciation | $ 6,700 | $ 5,900 | $ 13,171 | $ 11,772 |
Leases - Additional Information
Leases - Additional Information (Detail) - USD ($) $ in Millions | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2018 | Jun. 30, 2018 | Jun. 30, 2019 | |
Lessee Lease Description [Line Items] | |||
Lease expense under operating leases | $ 4.5 | $ 8.9 | |
Minimum [Member] | |||
Lessee Lease Description [Line Items] | |||
Operating lease term | 10 years | ||
Finance lease term | 10 years | ||
Maximum [Member] | |||
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 | 3 Months Ended | 6 Months Ended |
Jun. 30, 2019 | Jun. 30, 2019 | |
Finance lease cost: | ||
Total | $ 4,351 | $ 8,814 |
Occupancy/Equipment Expense [Member] | ||
Lessee Lease Description [Line Items] | ||
Operating lease cost | 4,291 | 8,693 |
Occupancy Expense [Member] | ||
Finance lease cost: | ||
Amortization of right-of-use assets | 160 | 318 |
Short-term lease cost | 1 | 2 |
Sub-lease income | (181) | (360) |
Interest Expense [Member] | ||
Finance lease cost: | ||
Interest on lease liabilities | $ 80 | $ 161 |
Leases - Schedule of Supplement
Leases - Schedule of Supplemental Balance Sheet Information Related to Leases (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Operating Leases | |||
Operating lease right-of-use assets | $ 106,222 | $ 0 | $ 0 |
Operating lease liabilities | 110,596 | $ 0 | $ 0 |
Finance Leases | |||
Premises and equipment, net | 7,503 | ||
Other borrowings | $ 7,646 | ||
Weighted-Average Remaining Lease Term (in Years) | |||
Operating leases | 10 years 10 months 24 days | ||
Finance leases | 11 years 8 months 12 days | ||
Weighted-Average Discount Rate | |||
Operating leases | 3.45% | ||
Finance leases | 4.42% |
Leases - Schedule of Suppleme_2
Leases - Schedule of Supplemental Cash Flow Information Related to Leases (Detail) $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Cash paid for amounts included in the measurement of lease liabilities: | |
Operating cash flows from operating leases | $ 8,843 |
Operating cash flows from finance leases | 161 |
Financing cash flows from finance leases | $ 224 |
Leases - Schedule of Maturity A
Leases - Schedule of Maturity Analysis of Lease Liability by Lease Classification (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Operating Leases | |||
Operating Leases, 2019 | $ 8,668 | ||
Operating Leases, 2020 | 16,764 | ||
Operating Leases, 2021 | 15,690 | ||
Operating Leases, 2022 | 14,131 | ||
Operating Leases, 2023 | 9,674 | ||
Operating Leases, Thereafter | 69,003 | ||
Operating Leases, Total undiscounted lease payments | 133,930 | ||
Amounts representing interest, Operating Leases | (23,334) | ||
Operating Leases, Lease liability | 110,596 | $ 0 | $ 0 |
Finance Leases | |||
Finance Leases, 2019 | 400 | ||
Finance Leases, 2020 | 803 | ||
Finance Leases, 2021 | 809 | ||
Finance Leases, 2022 | 815 | ||
Finance Leases, 2023 | 830 | ||
Finance Leases, Thereafter | 6,231 | ||
Finance Leases, Total undiscounted lease payments | 9,888 | ||
Amounts representing interest, Finance Leases | (2,242) | ||
Finance Leases, Lease liability | $ 7,646 |
Leases - Schedule of Maturity_2
Leases - Schedule of Maturity Analysis of Tenant Leases (Detail) $ in Thousands | Jun. 30, 2019USD ($) |
Lessor Disclosure [Abstract] | |
Tenant leases, 2019 | $ 1,014 |
Tenant leases, 2020 | 1,518 |
Tenant leases, 2021 | 1,224 |
Tenant leases, 2022 | 853 |
Tenant leases, 2023 | 712 |
Tenant leases, Thereafter | 2,549 |
Tenant leases, Total undiscounted lease payments | $ 7,870 |
Goodwill and Other Intangible_3
Goodwill and Other Intangible Assets - Schedule of Changes in Carrying Amount of Goodwill (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Goodwill And Intangible Assets Disclosure [Abstract] | ||||
Balance at beginning of period | $ 1,036,258 | $ 828,804 | $ 1,036,258 | $ 828,051 |
Acquisition adjustments | 0 | 0 | 0 | 753 |
Balance at end of period | $ 1,036,258 | $ 828,804 | $ 1,036,258 | $ 828,804 |
Goodwill and Other Intangible_4
Goodwill and Other Intangible Assets - Schedule of Gross Carrying Amounts and Accumulated Amortization of Other Intangible Assets (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 135,598 | $ 145,647 | |
Accumulated Amortization and Impairment | (67,378) | (68,631) | |
Net Carrying Amount | 68,220 | 77,016 | $ 45,417 |
Core Deposit [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 119,051 | 129,100 | |
Accumulated Amortization and Impairment | (55,561) | (57,524) | |
Net Carrying Amount | 63,490 | 71,576 | |
Customer Trust Relationships [Member] | |||
Finite-Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 16,547 | 16,547 | |
Accumulated Amortization and Impairment | (11,817) | (11,107) | |
Net Carrying Amount | $ 4,730 | $ 5,440 |
Goodwill and Other Intangible_5
Goodwill and Other Intangible Assets - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Goodwill [Line Items] | ||||
Amortization of other intangible assets | $ 4,325,000 | $ 3,416,000 | $ 8,797,000 | $ 7,025,000 |
Impairment charges | $ 0 | $ 0 | ||
Core Deposits and Other Intangible Assets [Member] | Minimum [Member] | ||||
Goodwill [Line Items] | ||||
Estimated useful lives of core deposits and customer relationships | 5 years | |||
Core Deposits and Other Intangible Assets [Member] | Maximum [Member] | ||||
Goodwill [Line Items] | ||||
Estimated useful lives of core deposits and customer relationships | 15 years |
Goodwill and Other Intangible_6
Goodwill and Other Intangible Assets - Schedule of Estimated Amortization Expense for Future Years (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Goodwill And Intangible Assets Disclosure [Abstract] | |||
2019 remaining | $ 8,114 | ||
2020 | 14,091 | ||
2021 | 11,336 | ||
2022 | 9,014 | ||
2023 | 7,053 | ||
Thereafter | 18,612 | ||
Net Carrying Amount | $ 68,220 | $ 77,016 | $ 45,417 |
Loan Servicing Rights - Additio
Loan Servicing Rights - Additional Information (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | |
Transfers And Servicing [Abstract] | |||
Loan servicing rights | $ 24,332 | $ 24,497 | $ 24,303 |
Principal balance of loans serviced for others | 3,326,000 | 3,306,000 | |
Funds held in escrow | $ 38,900 | 10,700 | |
Percentage of mortgage loan | 99.70% | ||
Fair value of servicing rights | $ 25,500 | $ 27,400 | |
Fair value at discount rate | 12.00% | 12.00% | |
Fair value inputs weighted average prepayment speed | 163.00% | 119.00% |
Loan Servicing Rights - Compone
Loan Servicing Rights - Components of Loan Servicing Rights and Valuation Allowance (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Transfers And Servicing [Abstract] | |||||
Balance at beginning of period | $ 24,271 | $ 24,400 | $ 24,512 | $ 24,690 | |
Additions | 1,270 | 1,181 | 1,929 | 1,951 | |
Amortization | (1,177) | (1,263) | (2,077) | (2,323) | |
Balance before valuation allowance at end of period | 24,364 | 24,318 | 24,364 | 24,318 | |
Valuation allowance: | |||||
Balance at beginning of period | (17) | (20) | (15) | (29) | |
(Additions)/recoveries | (15) | 5 | (17) | 14 | |
Balance at end of period | (32) | (15) | (32) | (15) | |
Loan servicing rights, net | $ 24,332 | $ 24,303 | $ 24,332 | $ 24,303 | $ 24,497 |
Qualified Affordable Housing _3
Qualified Affordable Housing Projects and Other Tax Credit Investments - Schedule of Qualified Affordable Housing Projects and Other Tax Credit Investments (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Investment Holdings [Line Items] | |||||
Total | $ 62,148 | $ 62,148 | $ 54,404 | ||
Total | 31,651 | 31,651 | 38,548 | ||
Amortization Expense | 1,359 | $ 12,501 | 2,412 | $ 13,855 | |
Tax Expense (Benefit) Recognized | (1,575) | (5,661) | (2,862) | (11,854) | |
LIHTC [Member] | |||||
Investment Holdings [Line Items] | |||||
Proportional amortization method of investment | 31,421 | 31,421 | 28,396 | ||
Unfunded commitment, Proportional amortization | 5,149 | 5,149 | 2,238 | ||
Amortization Expense | 791 | 643 | 1,584 | 1,281 | |
Tax Expense (Benefit) Recognized | (1,042) | (831) | (2,085) | (1,662) | |
FHTC [Member] | |||||
Investment Holdings [Line Items] | |||||
Equity method investment | 22,375 | 22,375 | 16,815 | ||
Unfunded commitment, Equity | 20,777 | 20,777 | 17,945 | ||
Amortization Expense | 5,444 | 5,444 | |||
Tax Expense (Benefit) Recognized | (1,948) | (3,896) | |||
CReED [Member] | |||||
Investment Holdings [Line Items] | |||||
Equity method investment | 13 | 13 | 17 | ||
Unfunded commitment, Equity | 538 | ||||
Renewable Energy [Member] | |||||
Investment Holdings [Line Items] | |||||
Equity method investment | 8,339 | 8,339 | 9,176 | ||
Unfunded commitment, Equity | 5,725 | 5,725 | $ 17,827 | ||
Amortization Expense | 568 | 6,414 | 828 | 7,130 | |
Tax Expense (Benefit) Recognized | $ (533) | $ (2,882) | $ (777) | $ (6,296) |
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 ($) | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Securities Sold Under Agreements To Repurchase [Abstract] | |||
Outstanding at end of period | $ 334,540,000 | $ 347,511,000 | $ 362,294,000 |
Average amount outstanding | 346,396,000 | 337,612,000 | |
Maximum amount outstanding at any month-end | $ 367,884,000 | $ 347,511,000 | |
Weighted average interest rate during period | 0.78% | 0.47% | |
Weighted average interest rate at end of period | 0.86% | 0.59% |
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 | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Assets Sold Under Agreements To Repurchase [Line Items] | |||
Secured borrowings and class of collateral pledged under repurchase agreements | $ 334,540 | $ 362,294 | $ 347,511 |
U.S. Treasury [Member] | |||
Assets Sold Under Agreements To Repurchase [Line Items] | |||
Secured borrowings and class of collateral pledged under repurchase agreements | 334,540 | ||
Overnight and Continuous [Member] | |||
Assets Sold Under Agreements To Repurchase [Line Items] | |||
Secured borrowings and class of collateral pledged under repurchase agreements | 334,540 | ||
Overnight and Continuous [Member] | U.S. Treasury [Member] | |||
Assets Sold Under Agreements To Repurchase [Line Items] | |||
Secured borrowings and class of collateral pledged under repurchase agreements | $ 334,540 |
Securities Sold Under Agreeme_5
Securities Sold Under Agreements to Repurchase - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2019 | |
Securities Sold Under Agreements To Repurchase [Abstract] | |
Gross outstanding balance of repurchase agreements collateralized by securities percentage | 111.00% |
Federal Home Loan Bank Advanc_3
Federal Home Loan Bank Advances - Summary of FHLB Advances (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | |
Federal Home Loan Bank, Advances [Line Items] | |||
ASC 815 fair value hedge and other basis adjustments | $ 27,421 | $ 9,838 | |
Total other borrowings | 1,730,065 | 1,613,481 | $ 1,757,308 |
Old National Bank [Member] | |||
Federal Home Loan Bank, Advances [Line Items] | |||
FHLB advances (fixed rates 1.50% to 4.96% and variable rates 2.65% to 2.75%) maturing July 2019 to October 2028 | $ 1,702,644 | $ 1,603,643 |
Federal Home Loan Bank Advanc_4
Federal Home Loan Bank Advances - Summary of FHLB Advances (Parenthetical) (Detail) - Old National Bank [Member] - Federal Home Loan Bank Advances [Member] | 6 Months Ended |
Jun. 30, 2019 | |
Federal Home Loan Bank, Advances [Line Items] | |
Maturity, Start date | Jul. 31, 2019 |
Maturity, End date | Oct. 31, 2028 |
Minimum [Member] | |
Federal Home Loan Bank, Advances [Line Items] | |
Fixed rates | 1.50% |
Variable rates | 2.65% |
Maximum [Member] | |
Federal Home Loan Bank, Advances [Line Items] | |
Fixed rates | 4.96% |
Variable rates | 2.75% |
Federal Home Loan Bank Advanc_5
Federal Home Loan Bank Advances - Additional Information (Detail) | Jun. 30, 2019 | Dec. 31, 2018 |
Federal Home Loan Bank, Advances [Line Items] | ||
Weighted-average rates of FHLB advances | 2.40% | 2.56% |
Federal Home Loan Bank Advances [Member] | ||
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_6
Federal Home Loan Bank Advances - Summary of Contractual Maturities of FHLB Advances (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | |
Federal Home Loan Banks [Abstract] | |||
Due in 2019 | $ 25,480 | ||
Due in 2020 | 100,000 | ||
Due in 2021 | 20,000 | ||
Due in 2022 | 157,000 | ||
Due in 2023 | 164 | ||
Thereafter | 1,400,000 | ||
ASC 815 fair value hedge and other basis adjustments | 27,421 | $ 9,838 | |
Total | $ 1,730,065 | $ 1,613,481 | $ 1,757,308 |
Other Borrowings - Other Borrow
Other Borrowings - Other Borrowings (Detail) - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | Aug. 31, 2014 | |
Debt Instrument [Line Items] | ||||
Finance lease liabilities | $ 7,646 | |||
Other borrowings | 251,840 | $ 247,883 | $ 250,241 | |
Old National Bank [Member] | ||||
Debt Instrument [Line Items] | ||||
Other basis adjustments | 561 | (773) | ||
Finance lease liabilities | 7,646 | 5,262 | ||
Old National Bancorp [Member] | ||||
Debt Instrument [Line Items] | ||||
Other basis adjustments | (2,885) | (3,046) | ||
5.75% Fixed Rate Subordinated Debentures [Member] | Old National Bank [Member] | ||||
Debt Instrument [Line Items] | ||||
Subordinated debentures (fixed rate 5.75%) | 12,000 | 12,000 | ||
Senior Unsecured Notes [Member] | Old National Bancorp [Member] | ||||
Debt Instrument [Line Items] | ||||
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 | (792) | (870) | ||
Junior Subordinated Debt [Member] | Old National Bancorp [Member] | ||||
Debt Instrument [Line Items] | ||||
Junior subordinated debentures (variable rates of 3.66% to 6.31%) maturing April 2032 to June 2037 | $ 60,310 | $ 60,310 |
Other Borrowings - Other Borr_2
Other Borrowings - Other Borrowings (Parenthetical) (Detail) | 6 Months Ended | |
Jun. 30, 2019 | Aug. 31, 2014 | |
Old National Bank [Member] | 5.75% Fixed Rate Subordinated Debentures [Member] | ||
Debt Instrument [Line Items] | ||
Fixed rates | 5.75% | |
Old National Bancorp [Member] | Senior Unsecured Notes [Member] | ||
Debt Instrument [Line Items] | ||
Fixed rates | 4.125% | 4.125% |
Maturity Date | Aug. 15, 2024 | |
Old National Bancorp [Member] | Trust Preferred Securities [Member] | Junior Subordinated Debt [Member] | ||
Debt Instrument [Line Items] | ||
Maturity, Start date | Apr. 22, 2032 | |
Maturity, End date | Jun. 15, 2037 | |
Old National Bancorp [Member] | Trust Preferred Securities [Member] | Junior Subordinated Debt [Member] | Minimum [Member] | ||
Debt Instrument [Line Items] | ||
Variable rates | 3.66% | |
Old National Bancorp [Member] | Trust Preferred Securities [Member] | Junior Subordinated Debt [Member] | Maximum [Member] | ||
Debt Instrument [Line Items] | ||
Variable rates | 6.31% |
Other Borrowings - Contractual
Other Borrowings - Contractual Maturities of Other Borrowings (Detail) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | |
Debt Disclosure [Abstract] | |||
Due in 2019 | $ 239 | ||
Due in 2020 | 499 | ||
Due in 2021 | 524 | ||
Due in 2022 | 553 | ||
Due in 2023 | 591 | ||
Thereafter | 252,550 | ||
Unamortized debt issuance costs and other basis adjustments | (3,116) | ||
Total | $ 251,840 | $ 247,883 | $ 250,241 |
Other Borrowings - Additional I
Other Borrowings - Additional Information (Detail) - USD ($) $ in Thousands | Nov. 01, 2017 | Jun. 30, 2019 | Dec. 31, 2018 | Aug. 31, 2014 |
Debt Instrument [Line Items] | ||||
Finance Leases, Lease liability | $ 7,646 | |||
Old National Bank [Member] | ||||
Debt Instrument [Line Items] | ||||
Finance Leases, Lease liability | 7,646 | $ 5,262 | ||
Subordinated Debentures [Member] | Anchor Bank (MN) [Member] | Subordinated Fixed-To-Floating Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Fixed rates | 5.75% | |||
Maturity Date | Oct. 30, 2025 | |||
Value of subordinated fixed-to-floating notes assumed | $ 12,000 | |||
Subordinated debentures, maturity date | Oct. 29, 2020 | |||
Description of LIBOR Rate | three-month LIBOR rate plus 4.356% | |||
LIBOR rate | 4.356% | |||
Debt instrument start date | Oct. 30, 2020 | |||
Old National Bancorp [Member] | Senior Unsecured Notes [Member] | ||||
Debt Instrument [Line Items] | ||||
Senior unsecured notes | $ 175,000 | $ 175,000 | $ 175,000 | |
Fixed rates | 4.125% | 4.125% | ||
Maturity Date | Aug. 15, 2024 |
Other Borrowings - Summary of T
Other Borrowings - Summary of Terms of Outstanding Junior Subordinated Debentures (Detail) - Trust Preferred Securities [Member] - Junior Subordinated Debt [Member] $ in Thousands | 6 Months Ended |
Jun. 30, 2019USD ($) | |
Debt Instrument [Line Items] | |
Issuance Amount | $ 60,310 |
VFSC Capital Trust I [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Apr. 30, 2002 |
Issuance Amount | $ 3,093 |
Description of LIBOR Rate | 6-month LIBOR plus 3.70% |
Rate | 6.31% |
Maturity Date | Apr. 22, 2032 |
VFSC Capital Trust II [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Oct. 31, 2002 |
Issuance Amount | $ 4,124 |
Description of LIBOR Rate | 3-month LIBOR plus 3.45% |
Rate | 5.98% |
Maturity Date | Nov. 7, 2032 |
VFSC Capital Trust III [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Apr. 30, 2004 |
Issuance Amount | $ 3,093 |
Description of LIBOR Rate | 3-month LIBOR plus 2.80% |
Rate | 5.25% |
Maturity Date | Sep. 8, 2034 |
St Joseph Capital Trust II [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Mar. 31, 2005 |
Issuance Amount | $ 5,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.75% |
Rate | 4.16% |
Maturity Date | Mar. 17, 2035 |
Anchor Capital Trust III [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Aug. 31, 2005 |
Issuance Amount | $ 5,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.55% |
Rate | 3.87% |
Maturity Date | Sep. 30, 2035 |
Tower Capital Trust 2 [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Dec. 31, 2005 |
Issuance Amount | $ 8,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.34% |
Rate | 3.66% |
Maturity Date | Dec. 30, 2035 |
Home Federal Statutory Trust I [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Sep. 30, 2006 |
Issuance Amount | $ 15,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.65% |
Rate | 4.06% |
Maturity Date | Sep. 15, 2036 |
Monroe Bancorp Capital Trust I [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Jul. 31, 2006 |
Issuance Amount | $ 3,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.60% |
Rate | 4.19% |
Maturity Date | Oct. 7, 2036 |
Monroe Bancorp Statutory Trust II [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Mar. 31, 2007 |
Issuance Amount | $ 5,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.60% |
Rate | 4.01% |
Maturity Date | Jun. 15, 2037 |
Tower Capital Trust 3 [Member] | |
Debt Instrument [Line Items] | |
Issuance Date | Dec. 31, 2006 |
Issuance Amount | $ 9,000 |
Description of LIBOR Rate | 3-month LIBOR plus 1.69% |
Rate | 4.21% |
Maturity Date | Mar. 1, 2037 |
Other Borrowings - Summary of_2
Other Borrowings - Summary of Terms of Outstanding Junior Subordinated Debentures (Parenthetical) (Detail) - Trust Preferred Securities [Member] - Junior Subordinated Debt [Member] - London Interbank Offered Rate (LIBOR) [Member] | 6 Months Ended |
Jun. 30, 2019 | |
VFSC Capital Trust I [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 3.70% |
VFSC Capital Trust II [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 3.45% |
VFSC Capital Trust III [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 2.80% |
St Joseph Capital Trust II [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.75% |
Anchor Capital Trust III [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.55% |
Tower Capital Trust 2 [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.34% |
Home Federal Statutory Trust I [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.65% |
Monroe Bancorp Capital Trust I [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.60% |
Tower Capital Trust 3 [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.69% |
Monroe Bancorp Statutory Trust II [Member] | |
Debt Instrument [Line Items] | |
LIBOR rate | 1.60% |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Schedule of AOCI (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||||
Jun. 30, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Beginning Balance | $ 2,751,872 | $ 2,179,118 | $ 2,154,397 | $ 2,689,570 | $ 2,154,397 | ||
Amount reclassified from AOCI to retainedearnings for cumulative effect ofchange in accounting principle | $ 6,322 | $ (4,179) | |||||
Ending Balance | 2,803,139 | 2,200,215 | 2,179,118 | 2,803,139 | 2,200,215 | ||
Gains and Losses on Cash Flow Hedges [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Beginning Balance | 513 | 1,126 | (2,337) | 1,099 | (2,337) | ||
Amount reclassified from AOCI to retainedearnings for cumulative effect ofchange in accounting principle | (52) | (52) | |||||
Amounts reclassified from AOCI to retainedearnings related to the Tax Cuts and JobsAct of 2017 | (509) | ||||||
Other comprehensive income (loss) before reclassifications | 711 | 1,143 | 415 | 4,587 | |||
Amounts reclassified from AOCI to income | (4) | 8 | (294) | 588 | |||
Ending Balance | 1,220 | 2,277 | 1,126 | 1,220 | 2,277 | ||
Unrealized Gains and Losses on Available- for-Sale Debt Securities [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Beginning Balance | 10,442 | (52,605) | (35,557) | (37,348) | (35,557) | ||
Amounts reclassified from AOCI to retainedearnings related to the Tax Cuts and JobsAct of 2017 | (7,583) | ||||||
Other comprehensive income (loss) before reclassifications | 39,151 | (5,615) | 86,862 | (14,486) | |||
Amounts reclassified from AOCI to income | (892) | (1,136) | (813) | (1,730) | |||
Ending Balance | 48,701 | (59,356) | (52,605) | 48,701 | (59,356) | ||
Accumulated Unrealized Gains and Losses on Held-to-Maturity Securities [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Beginning Balance | (8,164) | (9,737) | (12,107) | (8,515) | (12,107) | ||
Amounts reclassified from AOCI to retainedearnings related to the Tax Cuts and JobsAct of 2017 | (2,600) | ||||||
Other comprehensive income (loss) before reclassifications | 4,514 | ||||||
Amounts reclassified from AOCI to income | 435 | 402 | 786 | 858 | |||
Ending Balance | (7,729) | (9,335) | (9,737) | (7,729) | (9,335) | ||
Defined Benefit Pension Plans [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Beginning Balance | (171) | (310) | (271) | (186) | (271) | ||
Amounts reclassified from AOCI to retainedearnings related to the Tax Cuts and JobsAct of 2017 | (59) | ||||||
Amounts reclassified from AOCI to income | 16 | 21 | 31 | 41 | |||
Ending Balance | (155) | (289) | (310) | (155) | (289) | ||
Accumulated Other Comprehensive Income (Loss) [Member] | |||||||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||||||
Beginning Balance | 2,620 | (61,526) | (50,272) | (44,950) | (50,272) | ||
Amount reclassified from AOCI to retainedearnings for cumulative effect ofchange in accounting principle | (52) | (52) | $ (52) | ||||
Amounts reclassified from AOCI to retainedearnings related to the Tax Cuts and JobsAct of 2017 | (10,751) | (10,751) | |||||
Other comprehensive income (loss) before reclassifications | 39,862 | (4,472) | 87,277 | (5,385) | |||
Amounts reclassified from AOCI to income | (445) | (705) | (290) | (243) | |||
Ending Balance | $ 42,037 | $ (66,703) | $ (61,526) | $ 42,037 | $ (66,703) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Reclassifications out of Accumulated Other Comprehensive Income (Loss) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||
Jun. 30, 2019 | Mar. 31, 2019 | Jun. 30, 2018 | Mar. 31, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Net securities gains | $ (1,165) | $ (1,494) | $ (1,062) | $ (2,282) | ||
Interest income (expense) | (155,230) | (131,963) | (302,278) | (260,535) | ||
Salaries and employee benefits | (21) | (27) | (41) | (54) | ||
Income tax (expense) benefit | 14,359 | 4,345 | 27,463 | 9,302 | ||
Net income | (62,964) | $ (56,276) | (44,001) | $ (47,983) | (119,240) | (91,984) |
Gains and Losses on Cash Flow Hedges [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Total reclassifications for the period | 4 | (8) | 294 | (588) | ||
Unrealized Gains and Losses on Available- for-Sale Debt Securities [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Total reclassifications for the period | 892 | 1,136 | 813 | 1,730 | ||
Accumulated Unrealized Gains and Losses on Held-to-Maturity Securities [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Total reclassifications for the period | (435) | (402) | (786) | (858) | ||
Defined Benefit Pension Plans [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Total reclassifications for the period | (16) | (21) | (31) | (41) | ||
Accumulated Other Comprehensive Income (Loss) [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Total reclassifications for the period | 445 | 705 | 290 | 243 | ||
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Gains and Losses on Cash Flow Hedges [Member] | Interest Rate Contracts [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Interest income (expense) | 6 | (10) | 391 | (779) | ||
Income tax (expense) benefit | (2) | 2 | (97) | 191 | ||
Net income | 4 | (8) | 294 | (588) | ||
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Unrealized Gains and Losses on Available- for-Sale Debt Securities [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Net securities gains | 1,165 | 1,494 | 1,062 | 2,282 | ||
Income tax (expense) benefit | (273) | (358) | (249) | (552) | ||
Net income | 892 | 1,136 | 813 | 1,730 | ||
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Accumulated Unrealized Gains and Losses on Held-to-Maturity Securities [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Interest income (expense) | (564) | (521) | (1,021) | (1,112) | ||
Income tax (expense) benefit | 129 | 119 | 235 | 254 | ||
Net income | (435) | (402) | (786) | (858) | ||
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Defined Benefit Pension Plans [Member] | ||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | ||||||
Salaries and employee benefits | (21) | (27) | (41) | (54) | ||
Income tax (expense) benefit | 5 | 6 | 10 | 13 | ||
Net income | $ (16) | $ (21) | $ (31) | $ (41) |
Share-Based Compensation - Addi
Share-Based Compensation - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Remaining shares available for issuance | 3,700,000 | 3,700,000 | ||
Restricted Stock [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares granted during period | 206,000 | |||
Share-based compensation awards, vesting period | 36 months | |||
Unrecognized compensation expense | $ 6,100,000 | $ 6,100,000 | ||
Expected weighted-average period for cost recognition (in years) | 2 years 2 months 12 days | |||
Share-based compensation expense | 600,000 | $ 600,000 | $ 1,200,000 | $ 1,100,000 |
Restricted Stock Units [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Shares granted during period | 375,000 | |||
Share-based compensation awards, vesting period | 36 months | |||
Unrecognized compensation expense | 6,700,000 | $ 6,700,000 | ||
Expected weighted-average period for cost recognition (in years) | 2 years | |||
Share-based compensation expense | $ 800,000 | $ 700,000 | $ 1,600,000 | 1,600,000 |
Stock Options [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Share-based compensation expense | 0 | 0 | ||
Stock Appreciation Rights (SARs) [Member] | Old National Bancorp [Member] | ||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||||
Incremental expense associated with conversion of stock appreciation rights | $ 0 | $ 0 | ||
Stock appreciation rights, Outstanding | 61,000 | 61,000 |
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 | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||||
Provision at statutory rate | $ 16,238 | $ 10,153 | $ 30,808 | $ 21,270 |
Tax-exempt interest | (2,604) | (2,237) | (5,135) | (4,428) |
Section 291/265 interest disallowance | 123 | 73 | 234 | 135 |
Company-owned life insurance income | (569) | (510) | (1,239) | (1,057) |
Tax-exempt income | (3,050) | (2,674) | (6,140) | (5,350) |
State income taxes | 1,558 | 1,028 | 3,558 | 2,216 |
Interim period effective rate adjustment | 353 | 933 | 1,041 | 1,025 |
Tax credit investments - federal | (715) | (4,973) | (1,134) | (10,741) |
Other, net | (25) | (122) | (670) | 882 |
Income tax expense | $ 14,359 | $ 4,345 | $ 27,463 | $ 9,302 |
Effective tax rate | 18.60% | 9.00% | 18.70% | 9.20% |
Income Taxes - Summary of Dif_2
Income Taxes - Summary of Differences in Taxes from Continuing Operations Computed at Statutory Rate (Parenthetical) (Detail) | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Income Tax Disclosure [Abstract] | ||||
Statutory rate | 21.00% | 21.00% | 21.00% | 21.00% |
Income Taxes - Additional Infor
Income Taxes - Additional Information (Detail) - USD ($) | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Income Taxes [Line Items] | ||
Decrease in unrecognized tax benefits | $ 0 | |
Bad debt reserves, created for tax purposes | 52,800,000 | |
Unrecognized deferred income tax liability | 13,000,000 | |
Valuation allowance recorded | 0 | $ 0 |
AMT credit carryforwards | 5,600,000 | 10,100,000 |
Tax credit carryforwards reclassified to current tax asset | 3,100,000 | |
AMT credit carryforwards | $ 2,545,000 | 2,545,000 |
Minimum [Member] | ||
Income Taxes [Line Items] | ||
AMT credit carryforwards, expiration year | 2018 | |
Maximum [Member] | ||
Income Taxes [Line Items] | ||
AMT credit carryforwards, expiration year | 2021 | |
Federal [Member] | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards | $ 78,500,000 | 104,500,000 |
Federal tax credit carryforwards | $ 700,000 | 1,800,000 |
Federal [Member] | Minimum [Member] | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards, expiration year | 2029 | |
Tax credits carryforwards, expiration year | 2025 | |
Federal [Member] | Maximum [Member] | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards, expiration year | 2033 | |
Tax credits carryforwards, expiration year | 2039 | |
State [Member] | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards | $ 153,400,000 | $ 165,600,000 |
State [Member] | Minimum [Member] | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards, expiration year | 2024 | |
State [Member] | Maximum [Member] | ||
Income Taxes [Line Items] | ||
Operating loss carryforwards, expiration year | 2033 | |
AnchorBank WI [Member] | ||
Income Taxes [Line Items] | ||
Bad debt reserves, created for tax purposes | $ 50,900,000 | |
Lafayette Savings Bank [Member] | ||
Income Taxes [Line Items] | ||
Bad debt reserves, created for tax purposes | $ 1,900,000 |
Income Taxes - Schedule of Sign
Income Taxes - Schedule of Significant Components of Net Deferred Tax Assets (Liabilities) (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Deferred Tax Assets | ||
Allowance for loan losses, net of recapture | $ 14,605 | $ 14,514 |
Benefit plan accruals | 15,481 | 21,754 |
Alternative minimum tax credit | 2,545 | 2,545 |
Net operating loss carryforwards | 25,653 | 31,765 |
Federal tax credits | 696 | 1,779 |
Deferred gain on securities | 1,773 | 1,976 |
Acquired loans | 22,470 | 26,956 |
Operating lease liabilities | 29,642 | |
Lease exit obligation | 1,025 | |
Unrealized losses on available-for-sale investment securities | 11,853 | |
Unrealized losses on held-to-maturity investment securities | 2,262 | 2,497 |
Tax credit investments and other partnerships | 3,428 | 3,004 |
Other real estate owned | 158 | 144 |
Other, net | 713 | 3,167 |
Total deferred tax assets | 119,426 | 122,979 |
Deferred Tax Liabilities | ||
Accretion on investment securities | (978) | (595) |
Purchase accounting | (17,828) | (18,100) |
Loan servicing rights | (6,100) | (6,141) |
Premises and equipment | (12,134) | (8,507) |
Prepaid expenses | (716) | (681) |
Operating lease right-of-use assets | (28,510) | |
Unrealized gains on available-for-sale investment securities | (14,550) | |
Unrealized gains on hedges | (398) | (358) |
Other, net | (2,210) | (1,549) |
Total deferred tax liabilities | (83,424) | (35,931) |
Net deferred tax assets | $ 36,002 | $ 87,048 |
Derivative Financial Instrume_3
Derivative Financial Instruments - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Dec. 31, 2018 | |
Derivative [Line Items] | |||||
Notional amount | $ 907,000,000 | $ 907,000,000 | $ 1,482,000,000 | ||
Percentage of periodic changes in fair value qualifies for hedge accounting treatment | 100.00% | 100.00% | |||
Reclassified interest income (expense) | $ 155,230,000 | $ 131,963,000 | $ 302,278,000 | $ 260,535,000 | |
Derivative Instruments in Hedges, Assets, at Fair Value | 0 | ||||
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Interest Income [Member] | |||||
Derivative [Line Items] | |||||
Reclassified interest income (expense) | 1,700,000 | ||||
Reclassifications out of Accumulated Other Comprehensive Income (Loss) [Member] | Interest Expense [Member] | |||||
Derivative [Line Items] | |||||
Reclassified interest income (expense) | (1,200,000) | ||||
Fixed Interest Swap [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 432,000,000 | 432,000,000 | 757,000,000 | ||
Variable Interest Rate Swap [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 75,000,000 | 75,000,000 | 525,000,000 | ||
Variable Interest Rate Collars and Floors [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 400,000,000 | 400,000,000 | |||
Variable Interest Rate Collar [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 200,000,000 | ||||
Interest Rate Lock Commitments [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 114,100,000 | 114,100,000 | 27,600,000 | ||
Forward Commitments [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 142,100,000 | 142,100,000 | 34,500,000 | ||
Customer Derivative Instrument [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 1,006,000,000 | 1,006,000,000 | 793,400,000 | ||
Offsetting Counter Party Derivative Instrument [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 1,006,000,000 | 1,006,000,000 | 793,400,000 | ||
Offsetting Counter Party Derivative Instrument [Member] | Foreign Currency Contracts [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | 3,300,000 | 3,300,000 | 3,600,000 | ||
Foreign Currency Forward Contract [Member] | Foreign Currency Contracts [Member] | |||||
Derivative [Line Items] | |||||
Notional amount | $ 3,300,000 | $ 3,300,000 | $ 3,600,000 |
Derivative Financial Instrume_4
Derivative Financial Instruments - Summary of Fair Value of Derivative Financial Instruments (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Derivative [Line Items] | ||
Total derivative assets | $ 61,106 | $ 29,005 |
Total derivative liabilities | 15,111 | 12,550 |
Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 18,391 | 12,741 |
Total derivative liabilities | 3,765 | 1,603 |
Designated as Hedging Instrument [Member] | Interest Rate Contracts [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 18,391 | 12,741 |
Total derivative liabilities | 3,765 | 1,603 |
Not Designated as Hedging Instrument [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 42,715 | 16,264 |
Total derivative liabilities | 11,346 | 10,947 |
Not Designated as Hedging Instrument [Member] | Interest Rate Contracts [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 39,388 | 15,278 |
Total derivative liabilities | 10,461 | 10,562 |
Not Designated as Hedging Instrument [Member] | Mortgage Contracts [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 3,178 | 874 |
Total derivative liabilities | 778 | 316 |
Not Designated as Hedging Instrument [Member] | Foreign Currency Contracts [Member] | ||
Derivative [Line Items] | ||
Total derivative assets | 149 | 112 |
Total derivative liabilities | $ 107 | $ 69 |
Derivative Financial Instrume_5
Derivative Financial Instruments - Summary of Fair Value of Derivative Financial Instruments (Parenthetical) (Detail) - USD ($) | Jun. 30, 2019 | Dec. 31, 2018 |
Derivative Instruments And Hedging Activities Disclosure [Abstract] | ||
Fair values of counterparty interest rate swaps | $ 0 | |
Interest rate contracts net adjustment | $ 29,100,000 | $ 4,800,000 |
Derivative Financial Instrume_6
Derivative Financial Instruments - Summary of Interest Rate Swaps Designated as Fair Value Hedges (Detail) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2019 | Dec. 31, 2018 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amount | $ 907,000,000 | $ 1,482,000,000 |
Fixed Interest Swap [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amount | $ 432,000,000 | $ 757,000,000 |
Weighted average pay rates | 2.49% | 2.48% |
Weighted average receive rates | 2.62% | 2.70% |
Weighted average maturity (in years) | 3 years 6 months | 3 years 10 months 24 days |
Fair value of swaps | $ 13,133,000 | $ 9,683,000 |
Derivative Financial Instrume_7
Derivative Financial Instruments - Schedule of Effect of Derivative Instruments on the Consolidated Statements of Income (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Comprehensive Income on Derivative | $ 944 | $ 1,516 | $ 552 | $ 6,079 |
Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain or (Loss) Recognized in Income on Derivative | 711 | (168) | 1,699 | 487 |
Interest Rate Contracts [Member] | Interest Income / (Expense) [Member] | Fair Value Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain or (Loss) Recognized in Income on Derivative | 6,361 | (944) | 12,914 | (1,663) |
Interest Rate Contracts [Member] | Interest Income / (Expense) [Member] | Cash Flow Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Gain (Loss) Recognized in Other Comprehensive Income on Derivative | 944 | 1,516 | 552 | 6,079 |
Gain (Loss) Reclassified from AOCI into Income | 6 | (10) | 391 | (779) |
Interest Rate Contracts [Member] | Other Income / (Expense) [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain or (Loss) Recognized in Income on Derivative | (94) | 27 | (131) | 27 |
Fixed Rate Debt [Member] | Interest Income / (Expense) [Member] | Fair Value Hedging [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain (Loss) Recognized in Income on Related Hedged Items | (6,352) | 934 | (12,900) | 1,655 |
Mortgage Contracts [Member] | Mortgage banking revenue [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain or (Loss) Recognized in Income on Derivative | 819 | (201) | 1,841 | 437 |
Foreign Currency Contracts [Member] | Other Income / (Expense) [Member] | Not Designated as Hedging Instrument [Member] | ||||
Derivative Instruments, Gain (Loss) [Line Items] | ||||
Amount of Gain or (Loss) Recognized in Income on Derivative | $ (14) | $ 6 | $ (11) | $ 23 |
Derivative Financial Instrume_8
Derivative Financial Instruments - Summary of Interest Rate Swap Designated as Cash Flow Hedges (Detail) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2019 | Dec. 31, 2018 | |
Derivative [Line Items] | ||
Notional amounts | $ 907,000,000 | $ 1,482,000,000 |
Variable Interest Rate Swap [Member] | ||
Derivative [Line Items] | ||
Notional amounts | $ 75,000,000 | $ 525,000,000 |
Weighted average pay rates | 3.06% | 2.21% |
Weighted average receive rates | 2.47% | 2.63% |
Weighted average maturity (in years) | 4 years 1 month 6 days | 1 year 4 months 24 days |
Unrealized gains (losses) | $ (3,765,000) | $ 146,000 |
Derivative Financial Instrume_9
Derivative Financial Instruments - Summary of collars designated as cash flow hedges (Detail) - USD ($) | 6 Months Ended | 12 Months Ended |
Jun. 30, 2019 | Dec. 31, 2018 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amount | $ 907,000,000 | $ 1,482,000,000 |
Variable Interest Rate Collar [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amount | $ 300,000,000 | $ 200,000,000 |
Weighted average cap rates | 3.21% | 3.44% |
Weighted average floor rates | 2.21% | 2.38% |
Weighted average rates | 2.42% | 2.35% |
Weighted average maturity (in years) | 2 years 4 months 24 days | 2 years 9 months 18 days |
Unrealized gains (losses) | $ 4,561,000 | $ 1,309,000 |
Derivative Financial Instrum_10
Derivative Financial Instruments - Schedule of Floor Spread Transactions Designated as Cash Flow Hedges (Detail) - USD ($) | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amount | $ 907,000,000 | $ 1,482,000,000 |
Interest Rate Floor [Member] | ||
Derivative Instruments, Gain (Loss) [Line Items] | ||
Notional amount | $ 100,000,000 | |
Weighted average floor rates | 2.00% | |
Weighted average sold floor rate | 1.00% | |
Weighted average rates | 2.40% | |
Weighted average maturity (in years) | 2 years | |
Unrealized gains (losses) | $ 697,000 |
Commitments and Contingencies -
Commitments and Contingencies - Additional Information (Detail) | 6 Months Ended | |
Jun. 30, 2019USD ($)shares | Dec. 31, 2018USD ($) | |
Loss Contingencies [Line Items] | ||
Loan commitments | $ 2,982,000,000 | $ 3,566,000,000 |
Fixed rate loan commitment | 2,744,000,000 | |
Floating rate loan commitment | 238,400,000 | |
Standby letters of credit | $ 101,300,000 | 319,000,000 |
Loan commitments floating rate, minimum | 1.00% | |
Loan commitments floating rate, maximum | 16.00% | |
Allowance for unfunded loan commitments | $ 2,100,000 | 2,500,000 |
Extended credit | 9,900,000 | 15,500,000 |
Credit extensions with collateral | $ 7,800,000 | $ 7,800,000 |
Class B Restricted Shares [Member] | Visa [Member] | ||
Loss Contingencies [Line Items] | ||
Restricted stock conversion ratio | 1.6298 | |
Investment owned, balance, shares | shares | 56,210 | |
Investment owned, at cost | $ 0 |
Financial Guarantees - Addition
Financial Guarantees - Additional Information (Detail) - USD ($) | 6 Months Ended | |
Jun. 30, 2019 | Dec. 31, 2018 | |
Financial Guarantees [Line Items] | ||
Term of standby letters of credit, years | 1 year | |
Notional amount of standby letters of credit | $ 101,300,000 | $ 319,000,000 |
Carrying value of letters of credit | 500,000 | 500,000 |
Notional amount | 907,000,000 | $ 1,482,000,000 |
Interest Rate Swap [Member] | ||
Financial Guarantees [Line Items] | ||
Notional amount | $ 37,800,000 |
Segment Information - Additiona
Segment Information - Additional Information (Detail) | 6 Months Ended |
Jun. 30, 2019Segment | |
Community Banking Segment [Member] | |
Segment Reporting Information [Line Items] | |
Number of reportable operating segment | 1 |
Fair Value - Schedule of Fair V
Fair Value - Schedule of Fair Value Assets and Liabilities Measured on Recurring Basis (Detail) - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Equity securities | $ 6,234 | $ 5,582 | $ 5,596 |
Investment securities available-for-sale | 4,667,226 | 4,123,416 | 3,181,665 |
Derivative assets | 61,106 | 29,005 | |
Derivative liabilities | 15,111 | 12,550 | |
U.S. Treasury [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 5,466 | 5,301 | 5,257 |
U.S. Government-Sponsored Entities and Agencies [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 645,458 | 628,151 | 568,231 |
Mortgage-Backed Securities - Agency [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 2,781,515 | 2,209,295 | 1,448,526 |
States and Political Subdivisions [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 908,566 | 940,429 | $ 797,533 |
Pooled Trust Preferred Securities [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 7,836 | 8,495 | |
Other Securities [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 318,385 | 331,745 | |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Equity securities | 6,234 | 5,582 | |
Residential loans held for sale | 37,904 | 14,911 | |
Derivative assets | 61,106 | 29,005 | |
Derivative liabilities | 15,111 | 12,550 | |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | U.S. Treasury [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 5,466 | 5,301 | |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | U.S. Government-Sponsored Entities and Agencies [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 645,458 | 628,151 | |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | Mortgage-Backed Securities - Agency [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 2,781,515 | 2,209,295 | |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | States and Political Subdivisions [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 908,566 | 940,429 | |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | Pooled Trust Preferred Securities [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 7,836 | 8,495 | |
Fair Value on Recurring Basis [Member] | Carrying Value [Member] | Other Securities [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 318,385 | 331,745 | |
Fair Value on Recurring Basis [Member] | Estimate of Fair Value Measurement [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Equity securities | 6,234 | 5,582 | |
Fair Value on Recurring Basis [Member] | Estimate of Fair Value Measurement [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Residential loans held for sale | 37,904 | 14,911 | |
Derivative assets | 61,106 | 29,005 | |
Derivative liabilities | 15,111 | 12,550 | |
Fair Value on Recurring Basis [Member] | Estimate of Fair Value Measurement [Member] | U.S. Treasury [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 5,466 | 5,301 | |
Fair Value on Recurring Basis [Member] | Estimate of Fair Value Measurement [Member] | U.S. Government-Sponsored Entities and Agencies [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 645,458 | 628,151 | |
Fair Value on Recurring Basis [Member] | Estimate of Fair Value Measurement [Member] | Mortgage-Backed Securities - Agency [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 2,781,515 | 2,209,295 | |
Fair Value on Recurring Basis [Member] | Estimate of Fair Value Measurement [Member] | States and Political Subdivisions [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 908,526 | 936,321 | |
Fair Value on Recurring Basis [Member] | Estimate of Fair Value Measurement [Member] | States and Political Subdivisions [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 40 | 4,108 | |
Fair Value on Recurring Basis [Member] | Estimate of Fair Value Measurement [Member] | Pooled Trust Preferred Securities [Member] | Significant Unobservable Inputs (Level 3) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 7,836 | 8,495 | |
Fair Value on Recurring Basis [Member] | Estimate of Fair Value Measurement [Member] | Other Securities [Member] | Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | 31,081 | 30,259 | |
Fair Value on Recurring Basis [Member] | Estimate of Fair Value Measurement [Member] | Other Securities [Member] | Significant Other Observable Inputs (Level 2) [Member] | |||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | |||
Investment securities available-for-sale | $ 287,304 | $ 301,486 |
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 | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
States and Political Subdivisions [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Transfers out of Level 3 | $ 4,000 | |||
Transfers into Level 3 | $ 4,100 | |||
Significant Unobservable Inputs (Level 3) [Member] | Pooled Trust Preferred Securities [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Balance at beginning of period | $ 8,123 | $ 8,195 | 8,495 | 8,448 |
Accretion (amortization) of discount | 3 | 5 | 7 | 10 |
Sales/payments received | (17) | (17) | (32) | (305) |
Increase (decrease) in fair value of securities | (273) | 22 | (634) | 52 |
Balance at end of period | 7,836 | 8,205 | 7,836 | 8,205 |
Significant Unobservable Inputs (Level 3) [Member] | States and Political Subdivisions [Member] | ||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||
Balance at beginning of period | 40 | 4,061 | 4,108 | |
Accretion (amortization) of discount | (18) | (18) | ||
Sales/payments received | (35) | |||
Increase (decrease) in fair value of securities | (15) | (15) | ||
Transfers out of Level 3 | (4,033) | |||
Transfers into Level 3 | 4,061 | |||
Balance at end of period | $ 40 | $ 4,028 | $ 40 | $ 4,028 |
Fair Value - Additional Informa
Fair Value - Additional Information (Detail) - USD ($) | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | Mar. 31, 2019 | Dec. 31, 2018 | Mar. 31, 2018 | Dec. 31, 2017 | |
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||||
Net carrying amount other real estate owned and other repossessed property | $ 42,000 | $ 42,000 | $ 68,000 | |||||
Other real estate owned property write-downs | 0 | $ 100,000 | 0 | $ 400,000 | ||||
Valuation allowance for loan servicing rights with impairments | 32,000 | 15,000 | 32,000 | 15,000 | $ 17,000 | 15,000 | $ 20,000 | $ 29,000 |
Recoveries on loan servicing rights | 15,000 | (5,000) | $ 17,000 | (14,000) | ||||
Past due period of mortgage loans held for sale, days | 90 days | |||||||
Interest income for residential loans held for sale | 306,000 | 40,000 | $ 494,000 | 62,000 | ||||
States and Political Subdivisions [Member] | ||||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||||
Transfers out of Level 3 | 4,000,000 | |||||||
Transfers into Level 3 | 4,100,000 | |||||||
Impaired Commercial and Commercial Real Estate Loans [Member] | ||||||||
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation [Line Items] | ||||||||
Principal amount of impaired commercial and commercial real estate loans | 36,200,000 | 36,200,000 | 49,300,000 | |||||
Valuation allowance | 10,600,000 | 10,600,000 | $ 12,900,000 | |||||
Provision for loan losses expensed | $ 1,100,000 | $ 4,900,000 | $ 2,300,000 | $ 6,500,000 |
Fair Value - Quantitative Infor
Fair Value - Quantitative Information about Significant Unobservable Inputs Used in Fair Value Measurements (Detail) $ in Thousands | Jun. 30, 2019USD ($) | Dec. 31, 2018USD ($) | Jun. 30, 2018USD ($) |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total investment securities - available-for-sale | $ 4,667,226 | $ 4,123,416 | $ 3,181,665 |
Significant Unobservable Inputs (Level 3) [Member] | Commercial Real Estate [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair Value | $ 13,928 | $ 29,125 | |
Valuation Techniques | onb:ValuationTechniqueFairValueOfCollateralMember | onb:ValuationTechniqueFairValueOfCollateralMember | |
Unobservable Input | us-gaap:MeasurementInputDiscountRateMember | us-gaap:MeasurementInputDiscountRateMember | |
Loans Held-for-sale, Measurement Input | 0.45 | ||
Significant Unobservable Inputs (Level 3) [Member] | Commercial Loan [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair Value | $ 11,642 | $ 7,242 | |
Valuation Techniques | onb:ValuationTechniqueFairValueOfCollateralMember | onb:ValuationTechniqueFairValueOfCollateralMember | |
Unobservable Input | us-gaap:MeasurementInputDiscountRateMember | us-gaap:MeasurementInputDiscountRateMember | |
Significant Unobservable Inputs (Level 3) [Member] | Minimum [Member] | Commercial Real Estate [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans Held-for-sale, Measurement Input | 0 | ||
Significant Unobservable Inputs (Level 3) [Member] | Minimum [Member] | Commercial Loan [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans Held-for-sale, Measurement Input | 0 | 0 | |
Significant Unobservable Inputs (Level 3) [Member] | Maximum [Member] | Commercial Real Estate [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans Held-for-sale, Measurement Input | 0.50 | ||
Significant Unobservable Inputs (Level 3) [Member] | Maximum [Member] | Commercial Loan [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans Held-for-sale, Measurement Input | 0.90 | 0.90 | |
Significant Unobservable Inputs (Level 3) [Member] | Weighted Average [Member] | Commercial Real Estate [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans Held-for-sale, Measurement Input | 0.35 | ||
Significant Unobservable Inputs (Level 3) [Member] | Weighted Average [Member] | Commercial Loan [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans Held-for-sale, Measurement Input | 0.25 | 0.35 | |
Significant Unobservable Inputs (Level 3) [Member] | Pooled Trust Preferred Securities [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total investment securities - available-for-sale | $ 7,836 | $ 8,495 | |
Valuation Techniques | us-gaap:ValuationTechniqueDiscountedCashFlowMember | us-gaap:ValuationTechniqueDiscountedCashFlowMember | |
Significant Unobservable Inputs (Level 3) [Member] | Pooled Trust Preferred Securities [Member] | Constant Prepayment Rate [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | 0 | 0 | |
Significant Unobservable Inputs (Level 3) [Member] | Pooled Trust Preferred Securities [Member] | Expected Asset Recoveries [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | 0 | 0 | |
Significant Unobservable Inputs (Level 3) [Member] | Pooled Trust Preferred Securities [Member] | Minimum [Member] | Additional Asset Defaults [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | 0.035 | 0.068 | |
Significant Unobservable Inputs (Level 3) [Member] | Pooled Trust Preferred Securities [Member] | Maximum [Member] | Additional Asset Defaults [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | 0.042 | 0.085 | |
Significant Unobservable Inputs (Level 3) [Member] | Pooled Trust Preferred Securities [Member] | Weighted Average [Member] | Additional Asset Defaults [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Debt Securities, Available-for-sale, Measurement Input | 0.040 | 0.073 | |
Significant Unobservable Inputs (Level 3) [Member] | States and Political Subdivisions [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Total investment securities - available-for-sale | $ 40 | $ 4,108 | |
Valuation Techniques | us-gaap:ValuationTechniqueDiscountedCashFlowMember | us-gaap:ValuationTechniqueDiscountedCashFlowMember | |
Significant Unobservable Inputs (Level 3) [Member] | Residential Foreclosed Assets [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Fair Value | $ 42 | $ 68 | |
Valuation Techniques | onb:ValuationTechniqueFairValueOfCollateralMember | onb:ValuationTechniqueFairValueOfCollateralMember | |
Unobservable Input | us-gaap:MeasurementInputDiscountRateMember | us-gaap:MeasurementInputDiscountRateMember | |
Loans Held-for-sale, Measurement Input | 0.05 | ||
Significant Unobservable Inputs (Level 3) [Member] | Residential Foreclosed Assets [Member] | Minimum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans Held-for-sale, Measurement Input | 0.15 | ||
Significant Unobservable Inputs (Level 3) [Member] | Residential Foreclosed Assets [Member] | Maximum [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans Held-for-sale, Measurement Input | 0.16 | ||
Significant Unobservable Inputs (Level 3) [Member] | Residential Foreclosed Assets [Member] | Weighted Average [Member] | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Loans Held-for-sale, Measurement Input | 0.15 |
Fair Value - Quantitative Inf_2
Fair Value - Quantitative Information about Significant Unobservable Inputs Used in Fair Value Measurements (Parenthetical) (Detail) | 6 Months Ended |
Jun. 30, 2019 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |
Percentage of adjusted specific issuer evaluation defaults | 100.00% |
Percentage of adjusted specific issuer evaluation recoveries | 100.00% |
Pooled Trust Preferred Securities [Member] | Minimum [Member] | |
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 [Member] | Maximum [Member] | |
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% |
Fair Value - Assets Measured at
Fair Value - Assets Measured at Fair Value on a Non-Recurring Basis (Detail) - Fair Value on Non-recurring Basis [Member] - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Residential Foreclosed Assets [Member] | Carrying Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 42 | $ 68 |
Residential Foreclosed Assets [Member] | Estimate of Fair Value Measurement [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 42 | 68 |
Loan Servicing Rights [Member] | Carrying Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 3,727 | 104 |
Loan Servicing Rights [Member] | Estimate of Fair Value Measurement [Member] | Significant Other Observable Inputs (Level 2) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 3,727 | 104 |
Commercial Loan [Member] | Carrying Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 11,642 | 7,242 |
Commercial Loan [Member] | Estimate of Fair Value Measurement [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 11,642 | 7,242 |
Commercial Real Estate [Member] | Carrying Value [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 13,928 | 29,125 |
Commercial Real Estate [Member] | Estimate of Fair Value Measurement [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 13,928 | $ 29,125 |
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 [Member] - USD ($) $ in Thousands | Jun. 30, 2019 | Dec. 31, 2018 |
Fair Value, Option, Quantitative Disclosures [Line Items] | ||
Aggregate Fair Value | $ 37,904 | $ 14,911 |
Difference | 1,660 | 475 |
Contractual Principal | $ 36,244 | $ 14,436 |
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 | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||||
Interest Income | $ 155,230 | $ 131,963 | $ 302,278 | $ 260,535 |
Interest (Expense) | (33,833) | (21,773) | (65,703) | (40,907) |
Residential Loans Held for Sale [Member] | ||||
Schedule of Trading Securities and Other Trading Assets [Line Items] | ||||
Other Gains and (Losses) | 1,085 | 387 | 1,175 | 422 |
Interest Income | 5 | 3 | 10 | 3 |
Interest (Expense) | (4) | |||
Total Changes in Fair Values Included in Current Period Earnings | $ 1,090 | $ 390 | $ 1,185 | $ 421 |
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 | Jun. 30, 2019 | Dec. 31, 2018 | Jun. 30, 2018 | Dec. 31, 2017 |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash, due from banks, money market, and other interest-earning investments | $ 300,986 | $ 317,165 | $ 273,874 | $ 290,432 |
Investment securities held to maturity | 470,868 | 506,334 | 525,718 | |
Loans, net | 12,046,578 | 12,243,892 | 11,295,629 | |
Accrued interest receivable | 90,543 | 89,464 | 81,290 | |
Noninterest-bearing demand deposits | 3,771,888 | 3,965,380 | 3,600,793 | |
Time deposits | 1,943,663 | 2,024,256 | 1,824,550 | |
Federal funds purchased and interbank borrowings | 410,036 | 270,135 | 175,044 | |
Securities sold under agreements to repurchase | 334,540 | 362,294 | 347,511 | |
Federal Home Loan Bank advances | 1,730,065 | 1,613,481 | 1,757,308 | |
Mortgage-Backed Securities - Agency [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities held to maturity | 118,720 | 127,120 | ||
States and Political Subdivisions [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities held to maturity | 277,745 | 305,228 | ||
Commercial Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 4,993,693 | 4,958,851 | 4,451,772 | |
Consumer Loan [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 1,755,838 | 1,803,667 | 1,726,989 | |
Commercial Loan [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 3,074,849 | 3,232,970 | 2,962,895 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash, due from banks, money market, and other interest-earning investments | 300,986 | 317,165 | ||
Accrued interest receivable | 13 | 13 | ||
Noninterest-bearing demand deposits | 3,771,888 | 3,965,380 | ||
Checking, NOW, savings, and money market interest-bearing deposits | 8,647,550 | 8,360,313 | ||
Federal funds purchased and interbank borrowings | 410,036 | 270,135 | ||
Securities sold under agreements to repurchase | 334,540 | 362,294 | ||
Significant Other Observable Inputs (Level 2) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Accrued interest receivable | 28,821 | 27,580 | ||
Time deposits | 1,940,094 | 2,002,187 | ||
Other borrowings | 259,756 | 248,065 | ||
Accrued interest payable | 9,155 | 9,871 | ||
Significant Other Observable Inputs (Level 2) [Member] | U.S. Government-Sponsored Entities and Agencies [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities held to maturity | 75,858 | 72,359 | ||
Significant Other Observable Inputs (Level 2) [Member] | Mortgage-Backed Securities - Agency [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities held to maturity | 121,328 | 124,409 | ||
Significant Other Observable Inputs (Level 2) [Member] | States and Political Subdivisions [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities held to maturity | 289,542 | 309,335 | ||
Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Accrued interest receivable | 61,709 | 61,871 | ||
Federal Home Loan Bank advances | 1,770,369 | 1,611,103 | ||
Standby letters of credit | 527 | 525 | ||
Commitments to extend credit | 5,850 | 3,115 | ||
Significant Unobservable Inputs (Level 3) [Member] | Commercial Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 4,914,521 | 4,781,294 | ||
Significant Unobservable Inputs (Level 3) [Member] | Consumer Loan [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 1,717,960 | 1,773,352 | ||
Significant Unobservable Inputs (Level 3) [Member] | Commercial Loan [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 2,992,851 | 3,161,132 | ||
Residential Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 2,222,198 | 2,248,404 | $ 2,153,973 | |
Residential Real Estate [Member] | Significant Unobservable Inputs (Level 3) [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 2,215,752 | 2,225,853 | ||
Carrying Value [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Cash, due from banks, money market, and other interest-earning investments | 300,986 | 317,165 | ||
Accrued interest receivable | 90,543 | 89,464 | ||
Noninterest-bearing demand deposits | 3,771,888 | 3,965,380 | ||
Checking, NOW, savings, and money market interest-bearing deposits | 8,647,550 | 8,360,313 | ||
Time deposits | 1,943,663 | 2,024,256 | ||
Federal funds purchased and interbank borrowings | 410,036 | 270,135 | ||
Securities sold under agreements to repurchase | 334,540 | 362,294 | ||
Federal Home Loan Bank advances | 1,730,065 | 1,613,481 | ||
Other borrowings | 251,840 | 247,883 | ||
Accrued interest payable | 9,155 | 9,871 | ||
Standby letters of credit | 527 | 525 | ||
Carrying Value [Member] | U.S. Government-Sponsored Entities and Agencies [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities held to maturity | 74,403 | 73,986 | ||
Carrying Value [Member] | Mortgage-Backed Securities - Agency [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities held to maturity | 118,720 | 127,120 | ||
Carrying Value [Member] | States and Political Subdivisions [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Investment securities held to maturity | 277,745 | 305,228 | ||
Carrying Value [Member] | Commercial Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 4,970,382 | 4,935,381 | ||
Carrying Value [Member] | Consumer Loan [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 1,747,674 | 1,795,695 | ||
Carrying Value [Member] | Commercial Loan [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | 3,052,301 | 3,211,228 | ||
Carrying Value [Member] | Residential Real Estate [Member] | ||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||
Loans, net | $ 2,219,929 | $ 2,246,127 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers - Summary of Topic 606 Revenue Items (Detail) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2019 | Jun. 30, 2018 | Jun. 30, 2019 | Jun. 30, 2018 | |
Disaggregation Of Revenue [Line Items] | ||||
Noninterest income within scope of Topic 606 | $ 33,813 | $ 32,323 | $ 65,306 | $ 63,288 |
Wealth Management Fees [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Noninterest income within scope of Topic 606 | 9,909 | 9,746 | 18,444 | 18,772 |
Service Charges on Deposit Accounts [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Noninterest income within scope of Topic 606 | 11,515 | 10,765 | 22,341 | 21,524 |
Debit Card and ATM Fees [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Noninterest income within scope of Topic 606 | 5,419 | 5,080 | 10,922 | 9,945 |
Investment Product Fees [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Noninterest income within scope of Topic 606 | 5,591 | 5,066 | 10,862 | 10,097 |
Merchant Processing Fees [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Noninterest income within scope of Topic 606 | 821 | 778 | 1,528 | 1,419 |
Gain (Loss) on Other Real Estate Owned [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Noninterest income within scope of Topic 606 | 125 | 586 | 165 | 721 |
Safe Deposit Box Fees [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Noninterest income within scope of Topic 606 | 258 | 224 | 669 | 628 |
Insurance Premiums and Commissions [Member] | ||||
Disaggregation Of Revenue [Line Items] | ||||
Noninterest income within scope of Topic 606 | $ 175 | $ 78 | $ 375 | $ 182 |