Document and Entity Information
Document and Entity Information - shares | 6 Months Ended | |
Jun. 30, 2017 | Aug. 02, 2017 | |
Document And Entity Information | ||
Entity Registrant Name | ConnectOne Bancorp, Inc. | |
Entity Central Index Key | 712,771 | |
Document Type | 10-Q | |
Document Period End Date | Jun. 30, 2017 | |
Amendment Flag | false | |
Current Fiscal Year End Date | --12-31 | |
Entity Filer Category | Accelerated Filer | |
Entity Common Stock, Shares Outstanding | 32,015,317 | |
Document Fiscal Period Focus | Q2 | |
Document Fiscal Year Focus | 2,017 |
CONSOLIDATED STATEMENTS OF COND
CONSOLIDATED STATEMENTS OF CONDITION - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
ASSETS | ||
Cash and due from banks | $ 54,305 | $ 37,150 |
Interest-bearing deposits with banks | 92,203 | 163,249 |
Cash and cash equivalents | 146,508 | 200,399 |
Securities available-for-sale | 402,130 | 353,290 |
Loans held-for-sale (net of valuation allowance of $12,325 and $-0-, respectively) | 51,124 | 78,005 |
Loans receivable | 3,761,572 | 3,475,832 |
Less: Allowance for loan losses | 28,401 | 25,744 |
Net loans receivable | 3,733,171 | 3,450,088 |
Investment in restricted stock, at cost | 32,152 | 24,310 |
Bank premises and equipment, net | 21,630 | 22,075 |
Accrued interest receivable | 13,194 | 12,965 |
Bank owned life insurance | 99,777 | 98,359 |
Other real estate owned | 580 | 626 |
Goodwill | 145,909 | 145,909 |
Core deposit intangibles | 2,702 | 3,088 |
Other assets | 32,403 | 37,234 |
Total assets | 4,681,280 | 4,426,348 |
Deposits: | ||
Noninterest-bearing | 695,522 | 694,977 |
Interest-bearing | 2,734,851 | 2,649,294 |
Total deposits | 3,430,373 | 3,344,271 |
Borrowings | 626,173 | 476,280 |
Subordinated debentures (net of debt issuance costs of $539 and $621, respectively) | 54,616 | 54,534 |
Other liabilities | 23,945 | 20,231 |
Total liabilities | 4,135,107 | 3,895,316 |
COMMITMENTS AND CONTINGENCIES | ||
STOCKHOLDERS' EQUITY | ||
Common stock, no par value, authorized 50,000,000 shares; issued 34,079,239 shares at June 30, 2017 and 34,018,731 at December 31, 2016; outstanding 32,015,317 shares at June 30, 2017 and 31,948,307 at December 31, 2016 | 412,546 | 412,726 |
Additional paid-in capital | 12,377 | 11,407 |
Retained earnings | 141,178 | 126,462 |
Treasury stock, at cost (2,063,922 common shares at June 30, 2017 and December 31, 2016) | (16,717) | (16,717) |
Accumulated other comprehensive loss | (3,211) | (2,846) |
Total stockholders' equity | 546,173 | 531,032 |
Total liabilities and stockholders' equity | $ 4,681,280 | $ 4,426,348 |
CONSOLIDATED STATEMENTS OF CON3
CONSOLIDATED STATEMENTS OF CONDITION (Parenthetical) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Statement of Financial Position [Abstract] | ||
Valuation allowance | $ 12,325 | $ 0 |
Subordinated debentures, debt issuance costs | $ 539 | $ 621 |
Common stock, shares authorized | 50,000,000 | 50,000,000 |
Common stock, shares issued | 34,079,239 | 34,018,731 |
Common stock, shares outstanding | 32,015,317 | 31,948,307 |
Treasury Stock, Shares | 2,063,922 | 2,063,922 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Interest income | ||||
Interest and fees on loans | $ 40,632 | $ 36,561 | $ 78,638 | $ 71,578 |
Interest and dividends on securities: | ||||
Taxable | 1,799 | 1,965 | 3,347 | 4,105 |
Tax-exempt | 831 | 996 | 1,785 | 1,879 |
Dividends | 290 | 370 | 620 | 722 |
Interest on federal funds sold and other short-term investments | 139 | 146 | 385 | 280 |
Total interest income | 43,691 | 40,038 | 84,775 | 78,564 |
Interest expense | ||||
Deposits | 5,495 | 4,434 | 10,604 | 8,373 |
Borrowings | 3,095 | 3,210 | 5,929 | 6,477 |
Total interest expense | 8,590 | 7,644 | 16,533 | 14,850 |
Net interest income | 35,101 | 32,394 | 68,242 | 63,714 |
Provision for loan losses | 1,450 | 3,750 | 2,550 | 6,750 |
Net interest income after provision for loan losses | 33,651 | 28,644 | 65,692 | 56,964 |
Noninterest income | ||||
Annuities and insurance commissions | 32 | 39 | 72 | |
Income on bank owned life insurance | 714 | 616 | 1,417 | 1,228 |
Net gains on sale of loans held-for-sale | 49 | 56 | 70 | 92 |
Deposit, loan and other income | 659 | 763 | 1,302 | 1,277 |
Net gains on sales of securities available-for-sale | 103 | 1,596 | 103 | |
Total noninterest income | 1,422 | 1,570 | 4,424 | 2,772 |
Noninterest expenses | ||||
Salaries and employee benefits | 8,632 | 7,753 | 16,838 | 15,353 |
Occupancy and equipment | 1,991 | 2,154 | 4,246 | 4,401 |
FDIC insurance | 815 | 615 | 1,710 | 1,210 |
Professional and consulting | 734 | 700 | 1,452 | 1,412 |
Marketing and advertising | 289 | 250 | 545 | 523 |
Data processing | 1,149 | 1,010 | 2,298 | 2,033 |
Amortization of core deposit intangible | 193 | 217 | 386 | 434 |
Increase in valuation allowance, loans held-for-sale | 9,725 | 12,325 | ||
Other expenses | 1,775 | 1,653 | 3,752 | 3,339 |
Total noninterest expenses | 25,303 | 14,352 | 43,552 | 28,705 |
Income before income tax expense | 9,770 | 15,862 | 26,564 | 31,031 |
Income tax expense | 2,087 | 5,003 | 7,001 | 9,781 |
Net income | 7,683 | 10,859 | 19,563 | 21,250 |
Less: Preferred stock dividends | 22 | |||
Net income available to common stockholders | $ 7,683 | $ 10,859 | $ 19,563 | $ 21,228 |
Earnings per common share: | ||||
Basic | $ 0.24 | $ 0.36 | $ 0.61 | $ 0.71 |
Diluted | 0.24 | 0.36 | 0.60 | 0.70 |
Dividends per common share | $ 0.075 | $ 0.075 | $ 0.15 | $ 0.15 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Statement of Comprehensive Income [Abstract] | ||||
Net income | $ 7,683 | $ 10,859 | $ 19,563 | $ 21,250 |
Unrealized gains and losses: | ||||
Unrealized holding gains on available-for-sale securities arising during the period | 224 | 1,179 | 913 | 2,074 |
Tax effect | (88) | (464) | (356) | (821) |
Net of tax | 136 | 715 | 557 | 1,253 |
Reclassification adjustment for realized gains included in net income | (103) | (1,596) | (103) | |
Tax effect | 42 | 579 | 42 | |
Net of tax | (61) | (1,017) | (61) | |
Amortization of unrealized net losses on held-to-maturity securities transferred from available-for-sale securities | 44 | 96 | ||
Tax effect | (18) | (39) | ||
Net of tax | 26 | 57 | ||
Unrealized losses on cash flow hedges | (203) | (289) | (43) | (1,725) |
Tax effect | 82 | 118 | 17 | 704 |
Net of tax | (121) | (171) | (26) | (1,021) |
Unrealized pension plan gains and losses: | ||||
Unrealized pension plan losses before reclassifications | (2) | (1) | ||
Tax effect | 1 | |||
Net of tax | (1) | (1) | ||
Reclassification adjustment for realized losses included in net income | 103 | 206 | 102 | |
Tax effect | (42) | (84) | (41) | |
Net of tax | 61 | 122 | 61 | |
Total other comprehensive income (loss) | 76 | 509 | (365) | 288 |
Total comprehensive income | $ 7,759 | $ 11,368 | $ 19,198 | $ 21,538 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Preferred Stock [Member] | Common Stock [Member] | Additional Paid-In Capital [Member] | Retained Earnings [Member] | Treasury Stock [Member] | Accumulated Other Comprehensive (Loss) Income [Member] | Total |
Balance at Dec. 31, 2015 | $ 11,250 | $ 374,287 | $ 8,527 | $ 104,606 | $ (16,717) | $ (4,609) | $ 477,344 |
Net income | 21,250 | 21,250 | |||||
Other comprehensive income (loss), net of tax | 288 | 288 | |||||
Dividend on series B preferred stock | (22) | (22) | |||||
Cash dividends declared on common stock ($0.150 per share) | (4,533) | (4,533) | |||||
Redemption of preferred stock | (11,250) | (11,250) | |||||
Exercise of stock options (36,135 and 10,846 shares) | 232 | 232 | |||||
Restricted stock grants (75,520 and 56,164 shares) | |||||||
Stock-based compensation expense | 1,105 | 1,105 | |||||
Balance at Jun. 30, 2016 | 374,287 | 9,864 | 121,301 | (16,717) | (4,321) | 484,414 | |
Balance at Dec. 31, 2016 | 412,726 | 11,407 | 126,462 | (16,717) | (2,846) | 531,032 | |
Net income | 19,563 | 19,563 | |||||
Other comprehensive income (loss), net of tax | (365) | (365) | |||||
Cash dividends declared on common stock ($0.150 per share) | (4,847) | (4,847) | |||||
Stock issuance costs | (180) | (180) | |||||
Exercise of stock options (36,135 and 10,846 shares) | 118 | 118 | |||||
Restricted stock grants (75,520 and 56,164 shares) | |||||||
Stock-based compensation expense | 852 | 852 | |||||
Balance at Jun. 30, 2017 | $ 412,546 | $ 12,377 | $ 141,178 | $ (16,717) | $ (3,211) | $ 546,173 |
CONSOLIDATED STATEMENTS OF CHA7
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (Parenthetical) - $ / shares | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Statement of Stockholders' Equity [Abstract] | ||
Cash dividends declared on common stock (in Dollars per share) | $ 0.150 | $ 0.150 |
Exercise of stock options, shares | 10,846 | 36,135 |
Restricted stock and performance units grants, shares | 56,164 | 75,520 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Cash flows from operating activities | ||
Net income | $ 19,563 | $ 21,250 |
Adjustments to reconcile net income to net cash provided by operating activities: | ||
Depreciation and amortization of premises and equipment | 1,548 | 1,298 |
Provision for loan losses | 2,550 | 6,750 |
Increase in valuation allowance | 12,325 | |
Amortization of intangibles | 386 | 434 |
Net accretion of loans | (846) | (2,449) |
Accretion on bank premises | (41) | (63) |
Accretion on deposits | (12) | (132) |
Accretion on borrowings | (107) | (173) |
Stock-based compensation | 852 | 1,105 |
Gains on sales of investment securities, net | (1,596) | (103) |
Gains on sales of loans held-for-sale, net | (70) | (92) |
Gains on sales of fixed assets, net | (8) | |
Loans originated for resale | (3,891) | (2,797) |
Proceeds from sale of loans held-for-sale | 8,979 | 2,529 |
Net loss (gain) on sale of other real estate owned | 82 | (210) |
Increase in cash surrender value of bank-owned life insurance | (1,417) | (1,228) |
Amortization of premiums and accretion of discounts on investments securities, net | 1,078 | 770 |
Increase in accrued interest receivable | (229) | (181) |
Decrease (increase) in other assets | 4,869 | (6,988) |
Increase in other liabilities | 4,026 | 4,734 |
Net cash provided by operating activities | 48,041 | 24,454 |
Investment securities available-for-sale: | ||
Purchases | (117,857) | (68,155) |
Sales | 29,543 | 6,573 |
Maturities, calls and principal repayments | 39,313 | 50,758 |
Investment securities held-to-maturity: | ||
Purchases | (1,000) | |
Maturities and principal repayments | 9,972 | |
Net (purchases) redemptions of restricted investment in bank stocks | (7,842) | 7,402 |
Payments on loans held-for-sale | 2,379 | |
Net increase in loans | (278,208) | (275,305) |
Proceeds from sales of fixed assets | 8 | |
Purchases of premises and equipment | (1,062) | (1,379) |
Proceeds from sale of other real estate owned | 544 | 1,312 |
Net cash used in investing activities | (333,182) | (269,822) |
Cash flows from financing activities | ||
Net increase in deposits | 86,114 | 410,159 |
Advances of Federal Home Loan Bank ("FHLB") borrowings | 425,000 | 375,000 |
Repayments of FHLB borrowings | (260,000) | (550,000) |
Repayment of repurchase agreement | (15,000) | |
Cash dividends paid on common stock | (4,802) | (4,533) |
Cash dividends paid on preferred stock | (22) | |
Common stock issuance costs | (180) | |
Redemption of preferred stock | (11,250) | |
Proceeds from exercise of stock options | 118 | 232 |
Net cash provided by financing activities | 231,250 | 219,586 |
Net change in cash and cash equivalents | (53,891) | (25,782) |
Cash and cash equivalents at beginning of period | 200,399 | 200,895 |
Cash and cash equivalents at end of period | 146,508 | 175,113 |
Cash payments for: | ||
Interest paid on deposits and borrowings | 14,643 | 14,620 |
Income taxes | 3,065 | 14,685 |
Supplemental disclosures of noncash investing activities | ||
Transfer of loans to other real estate owned | 580 | 583 |
Transfer of loans held-for-sale to loans held-for-maturity | $ 7,159 |
Nature of Operations and Princi
Nature of Operations and Principles of Consolidation | 6 Months Ended |
Jun. 30, 2017 | |
Organization, Consolidation and Presentation of Financial Statements [Abstract] | |
Nature of Operations and Principles of Consolidation | Note 1. Nature of Operations and Principles of Consolidation ConnectOne Bancorp, Inc. (the “Parent Corporation”) is incorporated under the laws of State of New Jersey and is a registered bank holding company. The Parent Corporation’s business currently consists of the operation of its wholly-owned subsidiary, ConnectOne Bank (the “Bank” and, collectively with the Parent Corporation and the Parent Corporation’s subsidiaries, the “Company”). The Bank’s subsidiaries include Union Investment Co. (a New Jersey investment company), Twin Bridge Investment Co. (a Delaware investment company), ConnectOne Preferred Funding Corp. (a New Jersey real estate investment trust), Center Financial Group, LLC (a New Jersey financial services company), Center Advertising, Inc. (a New Jersey advertising company), Morris Property Company, LLC, (a New Jersey limited liability company), Volosin Holdings, LLC, (a New Jersey limited liability company), and NJCB Spec-1, LLC (a New Jersey limited liability company). The Bank is a community-based, full-service New Jersey-chartered commercial bank that was founded in 2005. The Bank operates from its headquarters located at 301 Sylvan Avenue in the Borough of Englewood Cliffs, Bergen County, New Jersey and through its twenty other banking offices. Primarily all loans are secured with various types of collateral, including business assets, consumer assets and commercial/residential real estate. Each borrowers’ ability to repay its loans is dependent on the conversion of assets, cash flows generated from the borrowers’ business, real estate rental and consumer wages. The preceding unaudited consolidated financial statements have been prepared in accordance with accounting principles generally accepted in the United States (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X, and, accordingly, do not include all of the information and footnotes required by GAAP for complete financial statements. However, in the opinion of management, all adjustments (consisting only of normal recurring accruals) considered necessary for a fair presentation have been included. Operating results for the three months and six months ended June 30, 2017 are not necessarily indicative of the results that may be expected for the full year ending December 31, 2017, or for any other interim period. The Company’s 2016 Annual Report on Form 10-K should be read in conjunction with these consolidated financial statements. In preparing the consolidated financial statements, management has made estimates and assumptions that affect the reported amounts of assets and liabilities as of the dates of the consolidated statements of condition and that affect the results of operations for the periods presented. Actual results could differ significantly from those estimates. The consolidated financial statements have been prepared in conformity with GAAP. Some items in the prior year consolidated financial statements were reclassified to conform to current presentation. Reclassifications had no effect on prior year net income or stockholders’ equity. |
New Authoritative Accounting Gu
New Authoritative Accounting Guidance | 6 Months Ended |
Jun. 30, 2017 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
New Authoritative Accounting Guidance | Note 2. New Authoritative Accounting Guidance ASU No. 2017-08, “ Receivables—Nonrefundable Fees and Other Costs (Subtopic 310-20), Premium Amortization on Purchased Callable Debt Securities .” ASU No. 2017-08 shortens the amortization period for certain callable debt securities held at a premium. Specifically, the amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. ASU 2017-08 will be effective for us on January 1, 2019 and we are currently evaluating this ASU to determine the impact on our consolidated financial statements. ASU No. 2017-04, “Intangibles – Goodwill and Other (Topic 350).” ASU 2017-04 aims to simplify the subsequent measurement of goodwill. Under these amendments, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge 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. Additionally, an entity should consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. The Board also eliminated the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment. An entity is required to disclose the amount of goodwill allocated to each reporting unit with a zero or negative carrying amount of net assets and still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary. The amendments in this update are effective for public business entities for fiscal years beginning after December 15, 2019. Although management continues to evaluate the potential impact of ASU 2017-04 on our consolidated financial statements, at this time, we believe the adoption of this standard will not have a significant impact to our consolidated financial statements. ASU No. 2016-15, “ Statement of Cash Flows (Topic 230) : Classification of Certain Cash Receipts and Cash Payments ” provides guidance on the following eight specific cash flow issues: (1) Debt prepayment or debt extinguishment costs; (2) Settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; (3) Contingent consideration payments made after a business combination; (4) Proceeds from the settlement of insurance claims; (5) Proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies; (6) Distributions received from equity method investees; (7) Beneficial interests in securitization transactions; and (8) Separately identifiable cash flows and application of the predominance principle. The amendments in this Update are effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. An entity that elects early adoption must adopt all of the amendments in the same period. The amendments in this update should be applied using a retrospective transition method to each period presented. If it is impracticable to apply the amendments retrospectively for some of the issues, the amendments for those issues would be applied prospectively as of the earliest date practicable. Although management continues to evaluate the potential impact of ASU 2016-05 on our consolidated financial statements, at this time, we believe the adoption of this standard will not have a significant impact to our consolidated financial statements. ASU No. 2016-13, “ Financial Instruments – Credit Losses (Topic 326): Assets Measured at Amortized Cost.” ASU 2016- 13 requires a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The amendments in this update replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates and affects loans, debt securities, trade receivables, net investments in leases, off-balance-sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. For public business entities, the amendments in this update are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The Company is currently in the process of forming a CECL committee that will be assessing our data and system needs, as well as considering the engagement of a third-party vendor to assist in implementation. We expect to recognize a one-time cumulative effect adjustment to the allowance for loan losses as of the beginning of the first reporting period in which the ASU is effective, but cannot yet determine the magnitude of any such one-time adjustment or the overall impact of the ASU on our consolidated financial statements. ASU No. 2016-02, “ Leases (Topic 842) ” requires the recognition of a right of use asset and related lease liability by lessees for leases classified as operating leases under current GAAP. Topic 842, which replaces the current guidance under Topic 840, retains a distinction between finance leases and operating leases. The recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee also will not significantly change from current GAAP. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize right of use assets and lease liabilities. Topic 842 will be effective for the Company for reporting periods beginning January 1, 2019, with an early adoption permitted. The Company must apply a modified retrospective transition approach for the applicable leases existing at, or entered into after, the beginning of the earliest comparative period presented in the consolidated financial statements. The modified retrospective approach would not require any transition accounting for leases that expired before the earliest comparative period presented. The Company is currently leasing seventeen properties as branch locations and is leasing certain office equipment. The adoption of ASU 2016-02 will result in increases to the Company's assets and liabilities. We are currently in the process of evaluating all of our leases for compliance with the new ASU. ASU No. 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-1, among other things; (i) requires equity investments, with certain exceptions, to be measured at fair value with changes in fair value recognized in net income, (ii) simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment; (iii) eliminates the requirement for public business entities to disclose the methods and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; (iv) requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; (v) requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments; (vi) requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheet or the accompanying notes to the financial statements; and (vii) clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale. ASU 2016-1 will be effective for us on January 1, 2018 and we are currently evaluating the potential impact of ASU No. 2016-01 on our consolidated financial statements. ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606).” ASU 2014-09 implements a common revenue standard that clarifies the principles for recognizing revenue. The core principle of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To achieve that core principle, an entity should apply the following steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. ASU 2014-09 was originally going to be effective for us on January 1, 2017; however, the FASB recently issued ASU 2015-14, “Revenue from Contracts with Customers (Topic 606) - Deferral of the Effective Date” which deferred the effective date of ASU 2014-09 by one year to January 1, 2018. Although management continues to evaluate the potential impact of ASU 2014-09 on our consolidated financial statements, at this time, we believe the adoption of this standard will not have a significant impact to our consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606) In April 2016, the FASB issued ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606) In May 2016, the FASB issued ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606) In December 2016, the FASB issued ASU No. 2016-20, Revenue from Contracts with Customers (Topic 606): Technical Corrections and Improvements |
Earnings per Common Share
Earnings per Common Share | 6 Months Ended |
Jun. 30, 2017 | |
Earnings per common share: | |
Earnings per Common Share | Note 3. Earnings per Common Share Financial Accounting Standards Board Accounting Standards Codification (“FASB ASC”) No. 260-10-45 addresses whether instruments granted in share-based payment transactions are participating securities prior to vesting and, therefore, need to be included in the earnings allocation in computing earnings per share (“EPS”). The restricted stock awards previously granted by the Company contain non-forfeitable rights to dividends and therefore are considered participating securities. The two-class method for calculating basic EPS excludes dividends paid to participating securities and any undistributed earnings attributable to participating securities. Earnings per common share have been computed based on the following: Three Months Ended Six Months Ended June 30, June 30, (in thousands, except for per share data) 2017 2016 2017 2016 Net income available to common stockholders $ 7,659 $ 10,859 $ 19,499 $ 21,164 Earnings allocated to participating securities 24 - 64 64 Income attributable to common stock $ 7,683 $ 10,859 $ 19,563 $ 21,228 Weighted average common shares outstanding, including participating securities 32,008 30,129 31,991 30,082 Weighted average participating securities (102 ) (112 ) (105 ) (91 ) Weighted average common shares outstanding 31,906 30,017 31,886 29,991 Incremental shares from assumed conversions of options, performance units and restricted shares 350 355 347 340 Weighted average common and equivalent shares outstanding 32,256 30,372 32,233 30,331 Earnings per common share: Basic $ 0.24 $ 0.36 $ 0.61 $ 0.71 Diluted 0.24 0.36 0.60 0.70 There were no antidilutive share equivalents as of June 30, 2017 and June 30, 2016. |
Securities Available-For-Sale
Securities Available-For-Sale | 6 Months Ended |
Jun. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Securities Available-For-Sale | Note 4. Securities Available-For-Sale The Company’s securities are classified as available-for-sale at June 30, 2017 and December 31, 2016. Securities available-for-sale are reported at fair value with unrealized gains or losses included in equity, net of tax. Accordingly, the carrying value of such securities reflects their fair value as of June 30, 2017 and December 31, 2016. Fair value is based upon either quoted market prices, or in certain cases where there is limited activity in the market for a particular instrument, assumptions are made to determine their fair value. See Note 7 of the Notes to Consolidated Financial Statements for a further discussion. Transfers of debt securities from the held-to-maturity category to the available-for-sale category are made at fair value at the date of transfer. For transfers from the available-for-sale category to the held-to maturity category the unrealized holding gain or loss at the date of transfer remains in accumulated other comprehensive income and in the carrying value of the held-to-maturity security. Unrealized holding gains or losses that remain in accumulated other comprehensive income are amortized or accreted out of other comprehensive income with an offsetting entry to interest income as a yield adjustment through earnings over the remaining terms of the securities. For transfers from the held-to-maturity category to the available-for-sale category unrealized holding gain or loss at the date of the transfer shall be recognized in accumulated other comprehensive income, net of applicable taxes. During the quarter ended September 30, 2016, the Company transferred all securities previously categorized as held-to-maturity to available-for-sale classification. The transfer resulted in an increase of approximately $210 million in amortized cost basis of available-for-sale securities and resulted in a net increase to accumulated other comprehensive income of $7.4 million, net of tax. The transfer enhances liquidity and increases flexibility with regard to asset-liability management and balance sheet composition. As a result of the transfer, the Company believes it has tainted its held-to-maturity classification and judgment will be required in the future in determining when circumstances have changed such that management can assert that it has the intent and ability to hold debt securities to maturity. Based on this guidance, the Company does not expect to classify any securities as held-to-maturity within the near future. The following tables present information related to the Company’s securities at June 30, 2017 and December 31, 2016: Gross Gross Amortized Unrealized Unrealized Fair June 30, 2017 Cost Gains Losses Value (dollars in thousands) Securities available-for-sale Federal agency obligations $ 59,509 $ 317 $ (181 ) $ 59,645 Residential mortgage pass-through securities 140,963 635 (1,198 ) 140,400 Commercial mortgage pass-through securities 4,120 53 - 4,173 Obligations of U.S. states and political subdivisions 135,181 2,309 (1,136 ) 136,354 Trust preferred securities 4,576 83 (73 ) 4,586 Corporate bonds and notes 30,352 252 (316 ) 30,288 Asset-backed securities 13,293 48 (60 ) 13,281 Certificates of deposit 622 7 - 629 Equity securities 377 227 - 604 Other securities 12,454 - (284 ) 12,170 Total securities available-for-sale $ 401,447 $ 3,931 $ (3,248 ) $ 402,130 Gross Gross Amortized Unrealized Unrealized Fair December 31, 2016 Cost Gains Losses Value (dollars in thousands) Securities available-for-sale Federal agency obligations $ 52,826 $ 282 $ (271 ) $ 52,837 Residential mortgage pass-through securities 72,922 519 (944 ) 72,497 Commercial mortgage pass-through securities 4,186 23 - 4,209 Obligations of U.S. states and political subdivisions 148,747 2,789 (931 ) 150,605 Trust preferred securities 5,575 242 (151 ) 5,666 Corporate bonds and notes 36,717 586 (375 ) 36,928 Asset-backed securities 14,867 2 (286 ) 14,583 Certificates of deposit 973 10 - 983 Equity securities 376 192 - 568 Other securities 14,739 - (325 ) 14,414 Total securities available-for-sale $ 351,928 $ 4,645 $ (3,283 ) $ 353,290 The following table presents information for securities at June 30, 2017, based on scheduled maturities. Actual maturities can be expected to differ from scheduled maturities due to prepayment or early call options of the issuer. June 30, 2017 Amortized Fair Cost Value (dollars in thousands) Securities available-for-sale: Due in one year or less $ 5,577 $ 5,602 Due after one year through five years 29,846 30,058 Due after five years through ten years 39,632 40,261 Due after ten years 168,478 168,862 Residential mortgage pass-through securities 140,963 140,400 Commercial mortgage pass-through securities 4,120 4,173 Equity securities 377 604 Other securities 12,454 12,170 Total $ 401,447 $ 402,130 Gross gains and losses from the sales, calls and maturities of securities for periods presented were as follows: Three Months Ended Six Months Ended June 30, June 30, 2017 2016 2017 2016 (dollars in thousands) Proceeds $ - $ 6,573 $ 29,543 $ 6,573 Gross gains on sales of securities - 103 1,596 103 Gross losses on sales of securities - - - - Net gains on sales of securities - 103 1,596 103 Less: tax provision on net gains - 42 (579 ) 42 Net gains on sales of securities, after tax $ - $ 61 $ 1,017 $ 61 The Company reviews all securities for potential recognition of other-than-temporary impairment. The Company maintains a watch list for the identification and monitoring of securities experiencing problems that require a heightened level of review. This could include credit rating downgrades. The Company’s assessment of whether an impairment in the portfolio is other-than temporary includes factors such as whether the issuer has defaulted on scheduled payments, announced restructuring and/or filed for bankruptcy, has disclosed severe liquidity problems that cannot be resolved, disclosed deteriorating financial condition or sustained significant losses. Temporarily Impaired Securities The Company does not believe that any of the unrealized losses, which were comprised of 82 and 84 securities as of June 30, 2017 and December 31, 2016, respectively, represent an other-than-temporary impairment (“OTTI”). The gross unrealized losses associated with U.S. Treasury and agency securities, federal agency obligations, mortgage-backed securities, corporate bonds, tax-exempt securities, asset-backed securities, trust preferred securities, mutual funds and equity securities are not considered to be other-than-temporary because these unrealized losses are related to changes in interest rates and do not affect the expected cash flows of the underlying collateral or issuer. Factors which may contribute to unrealized losses include credit risk, market risk, changes in interest rates, economic cycles, and liquidity risk. The magnitude of any unrealized loss may be affected by the relative concentration of the Company’s investment in any one issuer or industry. The Company has established policies to reduce exposure through diversification of the securities portfolio including limits on concentrations to any one issuer. The Company believes the securities portfolio is prudently diversified. The unrealized losses included in the tables below are primarily related to changes in interest rates and credit spreads. All of the Company’s securities are performing and are expected to continue to perform in accordance with their respective contractual terms and conditions. These are largely intermediate duration holdings and, in certain cases, monthly principal payments can further reduce loss exposure resulting from an increase in rates. The Company evaluates all securities with unrealized losses quarterly to determine whether the loss is other-than-temporary. Unrealized losses in the corporate debt securities category consist primarily of senior unsecured corporate debt securities issued by large financial institutions, insurance companies and other corporate issuers. Single issuer corporate trust preferred securities are also included, and in the case of one holding the market valuation loss is largely based upon the floating rate coupon and corresponding market valuation. Neither that trust preferred issuer, nor any other corporate issuers, have defaulted on interest payments. The unrealized loss in equity securities consists of losses on other bank equities. The decline in fair value is due in large part to the lack of an active trading market for these securities, changes in market credit spreads and rating agency downgrades. Management concluded that these securities were not OTTI at June 30, 2017. In determining whether or not securities are OTTI, the Company must exercise considerable judgment. Accordingly, there can be no assurance that the actual results will not differ from the Company’s judgments and that such differences may not require the future recognition of OTTI charges that could have a material effect on the Company’s financial position and results of operations. In addition, the value of, and the realization of any loss on, a security is subject to numerous risks as cited above. The following tables indicate gross unrealized losses not recognized in income and fair value, aggregated by investment category and the length of time individual securities have been in a continuous unrealized loss position at June 30, 2017 and December 31, 2016: June 30, 2017 Total Less than 12 Months 12 Months or Longer Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses (dollars in thousands) Securities available-for-sale : Federal agency obligation $ 22,344 $ (181 ) $ 21,184 $ (177 ) $ 1,160 $ (4 ) Residential mortgage pass-through securities 88,378 (1,198 ) 86,925 (1,161 ) 1,453 (37 ) Obligations of U.S. states and political subdivisions 58,315 (1,136 ) 58,315 (1,136 ) - - Trust preferred securities 1,505 (73 ) - - 1,505 (73 ) Corporate bonds and notes 16,292 (316 ) 7,086 (164 ) 9,206 (152 ) Asset-backed securities 8,249 (60 ) - - 8,249 (60 ) Other securities 11,182 (284 ) 5,905 (61 ) 5,277 (223 ) Total temporarily impaired securities $ 206,265 $ (3,248 ) $ 179,415 $ (2,699 ) $ 26,850 $ (549 ) December 31, 2016 Total Less than 12 Months 12 Months or Longer Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses (dollars in thousands) Securities available-for-sale : Federal agency obligation $ 22,672 $ (271 ) $ 21,416 $ (262 ) $ 1,256 $ (9 ) Residential mortgage pass-through securities 50,136 (944 ) 49,817 (937 ) 319 (7 ) Obligations of U.S. states and political subdivisions 52,307 (931 ) 52,307 (931 ) - - Trust preferred securities 1,427 (151 ) - - 1,427 (151 ) Corporate bonds and notes 15,930 (375 ) 7,671 (265 ) 8,259 (110 ) Asset-backed securities 13,404 (286 ) 3,743 (88 ) 9,661 (198 ) Other securities 11,467 (325 ) - - 11,467 (325 ) Total temporarily impaired securities $ 167,343 $ (3,283 ) $ 134,954 $ (2,483 ) $ 32,389 $ (800 ) Securities having a carrying value of approximately $106.0 million and $121.9 million at June 30, 2017 and December 31, 2016, respectively, were pledged to secure public deposits, Federal Reserve Bank discount window borrowings, Federal Home Loan Bank (“FHLB”) advances and for other purposes required or permitted by law. As of June 30, 2017 and December 31, 2016, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders’ equity. |
Derivatives
Derivatives | 6 Months Ended |
Jun. 30, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives | Note 5. – Derivatives The Company utilizes interest rate swap agreements as part of its asset liability management strategy to help manage its interest rate risk position. The notional amount of the interest rate swap 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 interest rate swap agreements. Interest rate swaps were entered into on April 13, 2017, August 24, 2015, December 30, 2014 and October 15, 2014, and each with a respective notional amount of $25 million and were designated as cash flow hedges of a FHLB advance. The swaps were determined to be fully effective during the period presented and therefore no amount of ineffectiveness has been included in net income while the aggregate fair value of the swaps is recorded in other assets (liabilities) with changes in fair value recorded in other comprehensive income (loss). The amount included in accumulated other comprehensive income (loss) would be reclassified to current earnings should the hedges no longer be considered effective. The Company expects the hedges to remain fully effective during the remaining term of the swaps. Summary information about the interest rate swaps designated as cash flow hedges as of June 30, 2017, December 31, 2016 and June 30, 2016 are presented in the following table. June 30, December 31, June 30, 2017 2016 2016 (dollars in thousands) Notional amount $ 100,000 $ 75,000 $ 75,000 Weighted average pay rates 1.62 % 1.59 % 1.58 % Weighted average receive rates 1.08 % 0.69 % 0.65 % Weighted average maturity 2.97 years 2.8 years 3.3 years Fair value $ 45 $ 88 $ (1,856 ) Interest expense recorded on these swap transactions totaled approximately $124,000 and $232,000 for the three and six months ended June 30, 2017, respectively, and $176,000 and $367,000 for the three and six months ended June 30, 2016, respectively. Cash Flow Hedge The following table presents the net losses recorded in other comprehensive income and the Consolidated Statements of Income relating to the cash flow derivative instruments for the following periods: Six Months Ended June 30, 2017 Amount of gain Amount of gain Amount of gain (loss) (loss) recognized (loss) reclassified recognized in other in OCI (Effective from OCI to Noninterest income Portion) interest income (Ineffective Portion) (dollars in thousands) Interest rate contracts $ (43 ) $ - $ - Six Months Ended June 30, 2016 Amount of gain Amount of gain Amount of gain (loss) (loss) recognized (loss) reclassified recognized in other in OCI (Effective from OCI to Noninterest income Portion) interest income (Ineffective Portion) (dollars in thousands) Interest rate contracts $ (1,725 ) $ - $ - The following table reflects the cash flow hedges included in the consolidated statements of condition as of June 30, 2017 and December 31, 2016: June 30, 2017 December 31, 2016 Notional Notional Amount Fair Value Amount Fair Value (dollars in thousands) Interest rate swaps related to FHLB advances included in assets $ 100,000 $ 45 $ 75,000 $ 88 |
Loans and the Allowance for Loa
Loans and the Allowance for Loan Losses | 6 Months Ended |
Jun. 30, 2017 | |
Receivables [Abstract] | |
Loans and the Allowance for Loan Losses | Note 6. Loans and the Allowance for Loan Losses Loans Loans that management has the intent and ability to hold for the foreseeable future or until maturity or payoff are reported at the principal balance outstanding, net of deferred loan fees and costs, premiums and discounts related to purchase accounting, and an allowance for loan losses. Interest income is accrued on the unpaid principal balance. Loan origination fees, net of certain direct origination costs, are deferred and recognized in interest income using the level-yield method without anticipating prepayments. Loan segments are defined as a group of loans, which share similar initial measurement attributes, risk characteristics, and methods for monitoring and assessing credit risk. Management has determined that the Company has five segments of loans: commercial, commercial real estate, commercial construction, residential real estate (including home equity) and consumer. The recognition of interest income on commercial, commercial real estate, commercial construction and residential loans is discontinued at the time the loan is 90 days delinquent unless the loan is well-secured and in process of collection. Past due status is based on the contractual terms of the loan. In all cases, loans are placed on nonaccrual or charged-off at an earlier date if collection of principal or interest is considered doubtful. Nonaccrual loans and loans past due 90 days still on accrual include both smaller balance homogeneous loans that are collectively evaluated for impairment and individually classified impaired loans. A loan is moved to nonaccrual status in accordance with the Company’s policy, typically after 90 days of non-payment. All interest accrued but not received for loans placed on nonaccrual is reversed against interest income. Interest received on such loans is accounted for on the cash-basis or cost-recovery method, until qualifying for return to accrual. Loans are returned to accrual status when all the principal and interest amounts contractually due are brought current and future payments are reasonably assured. The policy of the Company is to generally grant commercial, residential and consumer loans to residents and businesses within our market area. The borrowers’ abilities to repay their obligations are dependent upon various factors including the borrowers’ income and net worth, cash flows generated by the borrowers’ underlying collateral, value of the underlying collateral, and priority of the lender’s lien on the property. Such factors are dependent upon various economic conditions and individual circumstances beyond the control of the Company. The Company is therefore subject to risk of loss. The Company believes its lending policies and procedures adequately minimize the potential exposure to such risks and that adequate provisions for loan losses are provided for all known and inherent risks. Collateral and/or personal guarantees are required for a large majority of the Company’s loans. Loans Held-for-Sale Residential mortgage loans, originated and intended for sale in the secondary market, are carried at the lower of aggregate cost or estimated fair value as determined by outstanding commitments from investors. For these loans originated and intended for sale, gains and losses on loan sales (sale proceeds minus carrying value) are recorded in other income and direct loan origination costs and fees are deferred at origination of the loan and are recognized in other income upon sale of the loan. Other loans held-for-sale are carried at the lower of aggregate cost or estimated fair value. A portion of these loans, taxi medallion loans, have no material observable trading in any market. Fair value is established with consideration of a range of market participant indications, for all or parts of these loans, and discounted cash flow analyses, which have significant unobservable inputs. See Note 7 for further discussion. Net unrealized losses, if any, are recorded as a valuation allowance and charged to earnings. Allowance for Loan losses The allowance for loan losses is a valuation allowance for probable incurred credit losses. Losses are charged against the allowance when management believes the uncollectibility of a loan balance is confirmed. Subsequent recoveries, if any, are credited to the allowance. Management estimates the allowance balance required using past loan loss experience, the nature and volume of the portfolio, information about specific borrower situations and estimated collateral values, economic conditions, and other factors. Allocations of the allowance may be made for specific loans, but the entire allowance is available for any loan that, in management’s judgment, should be charged off. The allowance consists of specific and general components. The specific component relates to loans that are individually classified as impaired. A loan is impaired when, based on current information and events, it is probable that the Company will be unable to collect all amounts due according to the contractual terms of the loan agreement. Loans, for which the terms have been modified, and for which the borrower is experiencing financial difficulties, are considered troubled debt restructurings (“TDRs”) and classified as impaired. As part of the evaluation of impaired loans, the Company individually reviews for impairment all non-homogeneous loans internally classified as substandard or below. Generally, smaller impaired non-homogeneous loans and impaired homogeneous loans are collectively evaluated for impairment. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays and payment shortfalls generally are not classified as impaired. Management determines the significance of payment delays and payment shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. TDRs are separately identified for impairment disclosures and are measured at the present value of estimated future cash flows using the loan’s effective rate at inception. If a TDR is considered to be a collateral dependent loan, the loan is reported, net, at the fair value of the collateral. For TDRs that subsequently defaults, the Company determines the amount of reserve in accordance with the accounting policy for the allowance for loan losses. The general component covers non-impaired loans and is based on historical loss experience adjusted for current factors. The historical loss experience, the primary factor, is determined by loan class and is based on the actual loss history experienced by the Bank over an actual three-year rolling calculation. This actual loss experience is supplemented with other economic factors based on the risks present for each portfolio segment and with the exogenous factor adjustments based on the risks present for each loan category. These exogenous factors include consideration of the following: concentrations of credit; delinquency & nonaccrual trends; economic & business conditions including evaluation of the national and regional economies and industries with significant loan concentrations; external factors including legal, regulatory or competitive pressures that may impact the loan portfolio; changes in the experience, ability, or size of the lending staff, management, or board of directors that may impact the loan portfolio; changes in underwriting standards, collection procedures, charge-off practices, or other changes in lending policies and procedures that may impact the loan portfolio; loss and recovery trends; changes in portfolio size and mix; and trends in problem loans. Purchased Credit-Impaired Loans The Company acquires groups of loans in conjunction with mergers, some of which have shown evidence of credit deterioration since origination. These purchased credit-impaired loans are recorded at their estimated fair value, such that there is no carryover of the seller’s allowance for loan losses (“ALLL”). After acquisition, probable incurred credit losses are recognized by an increase in the ALLL. Such purchased credit-impaired loans (“PCI”) are identified on an individual basis. The Company estimates the amount and timing of expected cash flows for each loan and the expected cash flows in excess of amount paid is recorded as interest income over the remaining life of the loan (accretable yield). The excess of the loan’s contractual principal and interest over expected cash flows is not recorded (nonaccretable difference). A PCI loan may be resolved either through a sale of the loan, by working with the customer and obtaining partial or full repayment, by short sale of the collateral, or by foreclosure. A gain or loss on resolution would be recognized based on the difference between the proceeds received and the carrying amount of the loan. PCI loans that met the criteria for nonaccrual may be considered performing, regardless of whether the customer is contractually delinquent, if management can reasonably estimate the timing and amount of the expected cash flows on such loans and if management expects to fully collect the new carrying value of the loans. As such, management may no longer consider the loans to be nonaccrual or nonperforming and may accrue interest on these loans, including the impact of any accretable discount. Loans held-for-sale The following table presents loans held-for-sale by loan segment: June 30, December 31, 2017 2016 (dollars in thousands) Commercial $ 50,891 $ 70,105 Commercial real estate - 7,712 Residential real estate 233 188 Total carrying amount $ 51,124 $ 78,005 As of June 30, 2017 and December 31, 2016, the commercial loans held-for-sale segment included the Company’s entire taxi medallion portfolio, with a carrying value of $50.9 million and $65.6 million, net of $12.3 million and $-0- million valuation allowance, respectively. Activity in the valuation allowance was as follows for the following periods: Three Months Three Months Ended Ended June 30, 2017 June 30, 2016 (dollars in thousands) Balance at beginning of period $ 2,600 $ - Increase in valuation allowance 9,725 - Balance at end of period $ 12,325 $ - Six Months Six Months Ended Ended June 30, 2017 June 30, 2016 (dollars in thousands) Balance at beginning of period $ - $ - Increase in valuation allowance 12,325 - Balance at end of period $ 12,325 $ - Loans receivable The following table sets forth the composition of the Company’s loan portfolio, including net deferred loan fees, at June 30, 2017 and December 31, 2016: June 30, December 31, 2017 2016 (dollars in thousands) Commercial $ 610,442 $ 553,576 Commercial real estate 2,470,957 2,204,710 Commercial construction 431,050 486,228 Residential real estate 251,107 232,547 Consumer 2,005 2,380 Gross loans 3,765,561 3,479,441 Net deferred loan fees (3,989 ) (3,609 ) Total loans receivable $ 3,761,572 $ 3,475,832 At June 30, 2017 and December 31, 2016 loan balances of approximately $1.8 billion were pledged to secure borrowings from the FHLB of New York. Purchased Credit-Impaired Loans The Company holds purchased loans for which there was, at their acquisition date, evidence of deterioration of credit quality since their origination and it was probable, at acquisition, that all contractually required payments would not be collected. The recorded investment of those loans is as follows at June 30, 2017 and December 31, 2016. June 30, December 31, 2017 2016 (dollars in thousands) Commercial $ 7,951 $ 7,098 Commercial real estate 260 982 Total carrying amount $ 8,211 $ 8,080 For those purchased loans disclosed above, the Company did not increase the allowance for loan losses during both the three and six months ended June 30, 2017 and June 30, 2016. No allowances for loan losses were reversed during the three and six months ended June 30, 2017 and 2016. The accretable yield, or income expected to be collected, on the purchased credit-impaired loans above is as follows for the following periods: Three Months Three Months Ended Ended June 30, 2017 June 30, 2016 (dollars in thousands) Balance at beginning of period $ 2,674 $ 3,416 Accretion of income (178 ) (183 ) Balance at end of period $ 2,496 $ 3,233 Six Months Six Months Ended Ended June 30, 2017 June 30, 2016 (dollars in thousands) Balance at beginning of period $ 2,860 $ 3,599 Accretion of income (364 ) (366 ) Balance at end of period $ 2,496 $ 3,233 Loans Receivable on Nonaccrual Status The following tables presents nonaccrual loans included in loans receivable by loan segment as of the periods presented: June 30, December 31, 2017 2016 (dollars in thousands) Commercial $ 1,351 $ 1,460 Commercial real estate 8,571 1,081 Residential real estate 4,133 3,193 Total loans receivable on nonaccrual status $ 14,055 $ 5,734 Nonaccrual loans and loans 90 days or greater past due and still accruing include both smaller balance homogeneous loans that are collectively evaluated for impairment and loans individually evaluated for impairment. The Company continuously monitors the credit quality of its loans receivable. In addition to its internal monitoring, the Company utilizes the services of a third-party loan review firm to periodically validate the credit quality of its loans receivable on a sample basis. Credit quality is monitored by reviewing certain credit quality indicators. Assets classified “Pass” are deemed to possess average to superior credit quality, requiring no more than normal attention. Assets classified as “Special Mention” have generally acceptable credit quality yet possess higher risk characteristics/circumstances than satisfactory assets. Such conditions include strained liquidity, slow pay, stale financial statements, or other conditions that require more stringent attention from the lending staff. These conditions, if not corrected, may weaken the loan quality or inadequately protect the Company’s credit position at some future date. Assets are classified “Substandard” if the asset has a well-defined weakness that requires management’s attention to a greater degree than for loans classified special mention. Such weakness, if left uncorrected, could possibly result in the compromised ability of the loan to perform to contractual requirements. An asset is classified as “Doubtful” if it is inadequately protected by the net worth and/or paying capacity of the obligor or of the collateral, if any, that secures the obligation. Assets classified as doubtful include assets for which there is a “distinct possibility” that a degree of loss will occur if the inadequacies are not corrected. All loans past due 90 days or greater and all impaired loans are included in the appropriate category below. Credit Quality Indicators The following table presents information, excluding loans held-for-sale and net deferred loan fees, about the Company’s loan credit quality at June 30, 2017 and December 31, 2016: June 30, 2017 Special Pass Mention Substandard Doubtful Total (dollars in thousands) Commercial $ 597,308 $ 3,062 $ 10,072 $ - $ 610,442 Commercial real estate 2,421,030 29,352 20,575 - 2,470,957 Commercial construction 425,713 2,816 2,521 - 431,050 Residential real estate 246,830 - 4,277 - 251,107 Consumer 1,953 - 52 - 2,005 Gross loans $ 3,692,834 $ 35,230 $ 37,497 $ - $ 3,765,561 December 31, 2016 Special Pass Mention Substandard Doubtful Total (dollars in thousands) Commercial $ 539,961 $ 3,255 $ 10,360 $ - $ 553,576 Commercial real estate 2,154,343 31,173 19,194 - 2,204,710 Commercial construction 480,319 3,388 2,521 - 486,228 Residential real estate 228,990 - 3,557 - 232,547 Consumer 2,318 - 62 - 2,380 Gross loans $ 3,405,931 $ 37,816 $ 35,694 $ - $ 3,479,441 The following table provides an analysis of the impaired loans by segment as of June 30, 2017 and December 31, 2016: June 30, 2017 Unpaid Recorded Principal Related Investment Balance Allowance No related allowance recorded (dollars in thousands) Commercial $ 3,184 $ 3,197 Commercial real estate 15,380 15,405 Commercial construction 4,271 4,271 Residential real estate 1,192 1,401 Consumer 52 52 Total $ 24,079 $ 24,326 With an allowance recorded Commercial real estate $ 1,926 $ 2,338 $ 162 Total Commercial $ 3,184 $ 3,197 $ - Commercial real estate 17,306 17,743 162 Commercial construction 4,271 4,271 - Residential real estate 1,192 1,401 - Consumer 52 52 - Total (including allowance) $ 26,005 $ 26,664 $ 162 December 31, 2016 Unpaid Recorded Principal Related Investment Balance Allowance No related allowance recorded (dollars in thousands) Commercial $ 3,637 $ 4,063 Commercial real estate 18,288 18,288 Commercial construction 5,909 5,909 Residential real estate 1,851 2,055 Consumer 62 62 Total $ 29,747 $ 30,377 With an allowance recorded Commercial real estate $ 1,244 $ 1,244 $ 145 Total Commercial $ 3,637 $ 4,063 $ - Commercial real estate 19,532 19,532 145 Commercial construction 5,909 5,909 - Residential real estate 1,851 2,055 - Consumer 62 62 - Total (including allowance) $ 30,991 $ 31,621 $ 145 The following table provides an analysis related to the average recorded investment and interest income recognized on impaired loans by segment as of and for the three and six months ended June 30, 2017 and 2016: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Average Interest Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized Investment Recognized (dollars in thousands) Impaired loans (no allowance) Commercial $ 3,209 $ 42 $ 2,370 $ 20 $ 3,230 $ 81 $ 2,337 $ 20 Commercial real estate 15,456 97 16,072 27 14,526 203 15,623 53 Commercial construction 4,263 69 1,426 16 4,266 152 1,911 33 Residential real estate 1,200 2 3,947 5 1,210 4 4,021 10 Consumer 54 - 79 1 56 1 82 2 Total $ 24,182 $ 210 $ 23,894 $ 69 $ 23,288 $ 441 $ 23,974 $ 118 Impaired loans (allowance): Commercial $ - $ - $ 93,260 $ 784 $ - $ - $ 88,691 $ 1,522 Commercial real estate 1,933 33 153 - 1,941 38 153 - Total $ 1,933 $ 33 $ 93,413 $ 784 $ 1,941 $ 38 $ 88,844 $ 1,522 Total impaired loans: Commercial $ 3,209 $ 42 $ 95,630 $ 804 $ 3,230 $ 81 $ 91,028 $ 1,542 Commercial real estate 17,389 130 16,225 27 16,467 241 15,776 53 Commercial construction 4,263 69 1,426 16 4,266 152 1,911 33 Residential mortgage 1,200 2 3,947 5 1,210 4 4,021 10 Consumer 54 - 79 1 56 1 82 2 Total $ 26,115 $ 234 $ 117,307 $ 853 $ 25,229 $ 479 $ 112,818 $ 1,640 Included in impaired loans at June 30, 2017 and December 31, 2016 are loans that are deemed troubled debt restructurings. The recorded investment in loans include accrued interest receivable and other capitalized costs such as real estate taxes paid on behalf of the borrower and loan origination fees, net, when applicable. Cash basis interest and interest income recognized on accrual basis approximate each other. The following table provides an analysis of the aging of gross loans (excluding loans held-for-sale) that are past due at June 30, 2017 and December 31, 2016 by segment: Aging Analysis June 30, 2017 90 Days or Greater Past Total Past 30-59 Days 60-89 Days Due and Still Due and Past Due Past Due Accruing Nonaccrual Nonaccrual Current Gross Loans (dollars in thousands) Commercial $ 454 $ 18 $ 5,551 $ 1,351 $ 7,374 $ 603,068 $ 610,442 Commercial real estate - - - 8,571 8,571 2,462,386 2,470,957 Commercial construction - 460 - - 460 430,590 431,050 Residential real estate - 745 - 4,133 4,878 246,229 251,107 Consumer 7 - - - 7 1,998 2,005 Total $ 461 $ 1,223 $ 5,551 $ 14,055 $ 21,290 $ 3,744,271 $ 3,765,561 December 31, 2016 90 Days or Greater Past Total Past 30-59 Days 60-89 Days Due and Still Due and Past Due Past Due Accruing Nonaccrual Nonaccrual Current Gross Loans (dollars in thousands) Commercial $ 475 $ 18 $ 4,630 $ 1,460 $ 6,583 $ 546,993 $ 553,576 Commercial real estate 4,928 1,584 663 1,081 8,256 2,196,454 2,204,710 Commercial construction - - - - - 486,228 486,228 Residential real estate 2,131 388 - 3,193 5,712 226,835 232,547 Consumer - - - - - 2,380 2,380 Total $ 7,534 $ 1,990 $ 5,293 $ 5,734 $ 20,551 $ 3,458,890 $ 3,479,441 Included in the 90 days or greater past due and still accruing/accreting category as of both June 30, 2017 and December 31, 2016 are three purchased credit-impaired loans, net of their fair value marks, which are accreting income per their valuation at date of acquisition. The following tables detail, at the period-end presented, the amount of gross loans (excluding loans held-for-sale) that are evaluated individually, and collectively, for impairment, those acquired with deteriorated quality, and the related portion of the allowance for loan losses (“ALLL”) that are allocated to each loan portfolio segment: June 30, 2017 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) ALLL Individually evaluated for impairment $ - $ 162 $ - $ - $ - $ - $ 162 Collectively evaluated for impairment 7,238 14,227 4,241 985 2 546 27,239 Acquired portfolio - 1,000 - - - - 1,000 Acquired with deteriorated credit quality - - - - - - - Total ALLL $ 7,238 $ 15,389 $ 4,241 $ 985 $ 2 $ 546 $ 28,401 Gross loans Individually evaluated for impairment $ 3,184 $ 17,306 $ 4,271 $ 1,192 $ 52 $ 26,005 Collectively evaluated for impairment 579,510 2,003,595 426,779 185,135 1,489 3,196,508 Acquired portfolio 19,797 449,796 - 64,780 464 534,837 Acquired with deteriorated credit quality 7,951 260 - - - 8,211 Total gross loans $ 610,442 $ 2,470,957 $ 431,050 $ 251,107 $ 2,005 $ 3,765,561 December 31, 2016 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) ALLL Individually evaluated for impairment $ - $ 145 $ - $ - $ - $ - $ 145 Collectively evaluated for impairment 6,632 12,438 4,789 958 3 779 25,599 Acquired portfolio - - - - - - - Acquired with deteriorated credit quality - - - - - - - Total ALLL $ 6,632 $ 12,583 $ 4,789 $ 958 $ 3 $ 779 $ 25,744 Gross loans Individually evaluated for impairment $ 3,637 $ 19,532 $ 5,909 $ 1,851 $ 62 $ 30,991 Collectively evaluated for impairment 517,869 1,621,745 478,865 163,686 1,757 2,783,922 Acquired portfolio 24,972 562,451 1,454 67,010 561 656,448 Acquired with deteriorated credit quality 7,098 982 - - - 8,080 Total gross loans $ 553,576 $ 2,204,710 $ 486,228 $ 232,547 $ 2,380 $ 3,479,441 The Company’s allowance for loan losses is analyzed quarterly. Many factors are considered, including growth in the portfolio, delinquencies, nonaccrual loan levels, and other factors inherent in the extension of credit. There have been no material changes to the allowance for loan losses (“ALLL”) methodology as disclosed in the Company’s Annual Report on Form 10-K for the year ended December 31, 2016. A summary of the activity in the ALLL is as follows: Three Months Ended June 30, 2017 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) Balance at March 31, 2017 $ 6,667 $ 14,118 $ 4,574 $ 1,008 $ 3 $ 531 $ 26,901 Charge-offs - - - - (10 ) - (10 ) Recoveries 15 45 - - - - 60 Provision 556 1,226 (333 ) (23 ) 9 15 1,450 Balance at June 30, 2017 $ 7,238 $ 15,389 $ 4,241 $ 985 $ 2 $ 546 $ 28,401 Three Months Ended June 30, 2016 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) Balance at March 31, 2016 $ 13,097 $ 10,941 $ 3,617 $ 1,074 $ 4 $ 341 $ 29,074 Charge-offs (72 ) - - - (5 ) - (77 ) Recoveries 1 12 - 2 1 - 16 Provision 2,522 418 423 15 4 368 3,750 Balance at June 30, 2016 $ 15,548 $ 11,371 $ 4,040 $ 1,091 $ 4 $ 709 $ 32,763 Six Months Ended June 30, 2017 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) Balance at December 31, 2016 $ 6,632 $ 12,583 $ 4,789 $ 958 $ 3 $ 779 $ 25,744 Charge-offs - (71 ) - - (11 ) - (82 ) Recoveries 141 48 - - - - 189 Provision 465 2,829 (548 ) 27 10 (233 ) 2,550 Balance at June 30, 2017 $ 7,238 $ 15,389 $ 4,241 $ 985 $ 2 $ 546 $ 28,401 Six Months Ended June 30, 2016 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) Balance at December 31, 2015 $ 10,949 $ 10,926 $ 3,253 $ 976 $ 4 $ 464 $ 26,572 Charge-offs (517 ) - - (67 ) (5 ) - (589 ) Recoveries 2 25 - 2 1 - 30 Provision 5,114 420 787 180 4 245 6,750 Balance at June 30, 2016 $ 15,548 $ 11,371 $ 4,040 $ 1,091 $ 4 $ 709 $ 32,763 Troubled Debt Restructurings Loans are considered to have been modified in a troubled debt restructuring (“TDRs”) when due to a borrower’s financial difficulties, the Company makes certain concessions to the borrower that it would not otherwise consider. Modifications may include interest rate reductions, principal or interest forgiveness, forbearance, and other actions intended to minimize economic loss and to avoid foreclosure or repossession of collateral. Generally, a nonaccrual loan that has been modified in a troubled debt restructuring remains on nonaccrual status for a period of six months to demonstrate that the borrower is able to meet the terms of the modified loan. However, performance prior to the modification, or significant events that coincide with the modification, are included in assessing whether the borrower can meet the new terms and may result in the loan being returned to accrual status at the time of loan modification or after a shorter performance period. If the borrower’s ability to meet the revised payment schedule is uncertain, the loan remains on nonaccrual status. At June 30, 2017, there were no commitments to lend additional funds to borrowers whose loans were on nonaccrual status or were contractually past due 90 days or greater and still accruing interest, or whose terms have been modified in troubled debt restructurings. The following table presents a rollforward of TDRs and the related changes to the allowance for loan losses (“ALLL”) that occurred for the periods presented: Six Months Ended Year Ended June 30, 2017 December 31, 2016 (dollars in thousands) Recorded Recorded Investment ALLL Investment ALLL Troubled Debt Restructurings Beginning balance $ 13,818 $ - $ 86,629 $ 4,500 Additions 3,079 - 26,325 8,250 Payoffs/paydowns (1,226 ) - (2,616 ) - Transfers (580 ) - (96,520 ) - Other - - - (12,750 ) Ending balance $ 15,091 $ - $ 13,818 $ - TDRs totaled $15.1 million at June 30, 2017, of which $4.9 million were on nonaccrual status and $10.2 million were performing under restructured terms. At December 31, 2016, TDRs, totaled $13.8 million, of which $0.5 million were on nonaccrual status and $13.3 million were performing under restructured terms. TDRs as of June 30, 2017 did not increase the ALLL during the three and six months ended June 30, 2017. There were no charge-offs in connection with a loan modification at the time of modification during the three or six months ended June 30, 2017. There were no TDRs for which there was a payment default within twelve months following the modification during the three and six months ended June 30, 2017. TDRs totaled $99.2 million at June 30, 2016, of which $1.4 million were on nonaccrual status and $97.8 million were performing troubled debt restructurings. The Company had allocated $7.8 in specific allocations with respect to loans whose loan terms had been modified in troubled debt restructurings as of June 30, 2016. TDRs as of June 30, 2016 increased the ALLL by $1.5 and $3.3 million during the three and six months ended June 30, 2016, respectively. The $7.8 million in specific allocations referenced above were associated with taxi medallion lending and were calculated based on the present value of estimated cash flows, including contractual debt interest service through maturity, and principal repayments based on the estimated fair value of the collateral excluding any consideration for personal guarantees of borrowers, which provide an additional source of repayment but cannot be relied upon. The valuation per corporate medallion used for the calculation at June 30, 2016 was approximately $750,000. An additional $3.3 million specific allocation was required at June 30, 2016 due to a decline in the Company’s estimated valuation of taxi medallions since December 31, 2015, when the specific allocation was $4.5 million. The following table presents loans by class modified as TDRs that occurred during the six months ended June 30, 2016 (dollars in thousands): Pre-Modification Post-Modification Outstanding Outstanding Number of Recorded Recorded Loans Investment Investment Troubled debt restructurings: (dollars in thousands) Commercial 12 $ 12,018 $ 12,018 Commercial real estate 1 575 575 Commercial construction - - - Residential real estate - - - Consumer - - - Total 13 $ 12,593 $ 12,593 Included in the above TDRs were eight loans secured by 15 New York City taxi medallions totaling $10.1 million. These loan modifications included interest rate reductions and maturity extensions. All eight loans were accruing prior to modification, while seven remained in accrual status post-modification. The TDRs described above increased the allowance for loan losses by $108 thousand during the six months ended June 30, 2016. There were no charge-offs in connection with a loan modification at the time of modification during the three and six months ended June 30, 2016. There were no TDRs for which there was a payment default within twelve months following the modification during the three or six months ended June 30, 2016. |
Fair Value Measurements and Fai
Fair Value Measurements and Fair Value of Financial Instruments | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurements and Fair Value of Financial Instruments | Note 7. Fair Value Measurements and Fair Value of Financial Instruments 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. FASB ASC 820-10-05 defines fair value, establishes a framework for measuring fair value, establishes a three-level valuation hierarchy for disclosure of fair value measurements and enhances disclosure requirements for fair value measurements. The valuation hierarchy is based upon the transparency of inputs to the valuation of an asset or liability as of the measurement date. FASB ASC 820-10-65 provides additional guidance for estimating fair value in accordance with FASB ASC 820-10-05 when the volume and level of activity for the asset or liability have significantly decreased. This ASC also includes guidance on identifying circumstances that indicate a transaction is not orderly. FASB ASC 820-10-05 establishes a fair value hierarchy that prioritizes the inputs to valuation methods used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy under FASB ASC 820-10-05 are as follows: Level 1: Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities. Level 2: Quoted prices for similar assets and liabilities in active markets, and inputs that are observable for the asset or liability, either directly or indirectly, for substantially the full term of the financial instrument. Level 3: Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (for example, supported with little or no market activity). An asset’s or liability’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. The following information should not be interpreted as an estimate of the fair value of the entire Company since a fair value calculation is only provided for a limited portion of the Company’s assets and liabilities. Due to a wide range of valuation techniques and the degree of subjectivity used in making the estimates, comparisons between the Company’s disclosures and those of other companies may not be meaningful. Assets and Liabilities Measured at Fair Value on a Recurring Basis The following methods and assumptions were used to estimate the fair values of the Company’s assets measured at fair value on a recurring basis at June 30, 2017 and December 31, 2016: Securities Available-for-Sale Where quoted prices are available in an active market, securities are classified within Level 1 of the valuation hierarchy. Level 1 inputs include securities that have quoted prices in active markets for identical assets. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics, or discounted cash flows. Examples of instruments, which would generally be classified within Level 2 of the valuation hierarchy include municipal bonds and certain agency collateralized mortgage obligations. In certain cases where there is limited activity in the market for a particular instrument, assumptions must be made to determine the fair value of the instruments and these are classified as Level 3. When measuring fair value, the valuation techniques available under the market approach, income approach and/or cost approach are used. The Company’s evaluations are based on market data and the Company employs combinations of these approaches for its valuation methods depending on the asset class. Derivatives The fair value of derivatives are based on valuation models using observable market data as of the measurement date (level 2). Our derivatives are traded in an over-the-counter market where quoted market prices are not always available. Therefore, the fair values of derivatives are determined using quantitative models that utilize multiple market inputs. The inputs will vary based on the type of derivative, but could include interest rates, prices and indices to generate continuous yield or pricing curves, prepayment rate, and volatility factors to value the position. The majority of market inputs are actively quoted and can be validated through external sources, including brokers, market transactions and third-party pricing services. For financial assets and liabilities measured at fair value on a recurring basis, the fair value measurements by level within the fair value hierarchy used at June 30, 2017 and December 31, 2016 are as follows: June 30, 2017 Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) (dollars in thousands) Recurring fair value measurements: Assets Securities: Available-for-sale: Federal agency obligations $ 59,645 $ - $ 59,645 $ - Residential mortgage pass-through securities 140,400 - 140,400 - Commercial mortgage pass-through securities 4,173 - 4,173 - Obligations of U.S. states and political subdivisions 136,354 - 118,371 17,983 Trust preferred securities 4,586 - 4,586 - Corporate bonds and notes 30,288 - 30,288 - Asset-backed securities 13,281 - 13,281 - Certificates of deposit 629 - 629 - Equity securities 604 604 - - Other securities 12,170 12,170 - - Total available-for-sale $ 402,130 $ 12,774 $ 371,373 $ 17,983 Derivatives 45 - 45 - Total Assets $ 402,175 $ 12,774 $ 371,418 $ 17,983 December 31, 2016 Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) (dollars in thousands) Recurring fair value measurements: Assets Securities: Available-for-sale: Federal agency obligations $ 52,837 $ - $ 52,837 $ - Residential mortgage pass-through securities 72,497 - 72,497 - Commercial mortgage pass-through securities 4,209 - 4,209 - Obligations of U.S. states and political subdivisions 150,605 - 132,387 18,218 Trust preferred securities 5,666 - 5,666 - Corporate bonds and notes 36,928 - 36,928 - Asset-backed securities 14,583 - 14,583 - Certificates of deposit 983 - 983 - Equity securities 568 568 - - Other securities 14,414 14,414 - - Total available-for-sale $ 353,290 $ 14,982 $ 320,090 $ 18,218 Derivatives 88 - 88 - Total assets $ 353,378 $ 14,982 $ 320,178 $ 18,218 There were no transfers between Level 1 and Level 2 during the quarter ended June 30, 2017 and during the year ended December 31, 2016. Assets Measured at Fair Value on a Non-Recurring Basis The Company may be required periodically to measure certain assets at fair value on a non-recurring basis in accordance with GAAP. These adjustments to fair value usually result from the application of lower of cost or fair value accounting or impairment write-downs of individual assets. The following methods and assumptions were used to estimate the fair values of the Company’s assets measured at fair value on a non-recurring basis at June 30, 2017 and December 31, 2016: Loans Held-for-Sale Residential mortgage loans, originated and intended for sale in the secondary market, are carried at the lower of aggregate cost or estimated fair value as determined by outstanding commitments from investors. For these loans originated and intended for sale, gains and losses on loan sales (sale proceeds minus carrying value) are recorded in other income and direct loan origination costs and fees are deferred at origination of the loan and are recognized in other income upon sale of the loan. Management obtains quotes or bids on all or part of these loans directly from the purchasing financial institutions (Level 2). Other loans held-for-sale are carried at the lower of aggregate cost or estimated fair value. A portion of these loans, taxi medallion loans, have no material observable trading in any market. The approach to determining fair value involved several steps, including a detailed collateral analysis of the underlying medallions, performance projections for individual loans, discounted cash flow modeling and consideration of indicative bids, which at June 30, 2017 did not necessarily contemplate whole loan sales (Level 3). Impaired Loans The Company may record adjustments to the carrying value of loans based on fair value measurements, generally as partial charge-offs of the uncollectible portions of these loans. These adjustments also include certain impairment amounts for collateral dependent loans calculated in accordance with GAAP. Impairment amounts are generally based on the fair value of the underlying collateral supporting the loan and, as a result, the carrying value of the loan less the calculated impairment amount applicable to that loan does not necessarily represent the fair value of the loan. Real estate collateral is valued using independent appraisals or other indications of value based on recent comparable sales of similar properties or assumptions generally observable by market participants. However, due to the substantial judgment applied and limited volume of activity as compared to other assets, fair value is based on Level 3 inputs. Estimates of fair value used for collateral supporting commercial loans generally are based on assumptions not observable in the market place and are also based on Level 3 inputs. For assets measured at fair value on a non-recurring basis, the fair value measurements at June 30, 2017 and December 31, 2016 are as follows: Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Assets measured at fair value on a nonrecurring basis: June 30, 2017 (Level 1) (Level 2) (Level 3) Impaired loans: (dollars in thousands) Commercial real estate $ 1,432 $ - $ - $ 1,432 Loans held-for-sale: Commercial 50,891 - - 50,891 Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable December 31, Assets Inputs Inputs Assets measured at fair value on a nonrecurring basis: 2016 (Level 1) (Level 2) (Level 3) Impaired loans: (dollars in thousands) Commercial real estate $ 1,099 $ - $ - $ 1,099 Loans held-for-sale: Commercial 70,105 - 4,509 65,596 Commercial real estate 7,712 - 7,712 - Impaired loans – Collateral dependent impaired loans at June 30, 2017 that required a valuation allowance were $0.8 million with a related valuation allowance of $0.1 million compared to $1.2 million with a related valuation allowance of $0.1 million at December 31, 2016. Loans held-for-sale - Loans held-for-sale at June 30, 2017 that required a valuation allowance were $63.2 million with a related valuation allowance of $12.3 million compared to $65.6 million with no valuation allowance at December 31, 2016. Assets Measured With Significant Unobservable Level 3 Inputs Recurring basis The tables below present a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2017 and year ended December 31, 2016: Municipal Securities (dollars in thousands) Beginning balance, January 1, 2017 $ 18,218 Other (1) - Principal paydowns (235 ) Ending balance, June 30, 2017 $ 17,983 Municipal Securities (dollars in thousands) Beginning balance, January 1, 2016 $ - Other (1) 18,335 Principal paydowns (117 ) Ending balance, December 31, 2016 $ 18,218 (1) Includes transfers from held-to-maturity to available-for-sale designation The following methods and assumptions were used to estimate the fair values of the Company’s assets measured at fair value on a recurring basis at June 30, 2017 and December 31, 2016. The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 hierarchy. June 30, 2017 Valuation Unobservable Fair Value Techniques Input Range Securities available-for-sale: (dollars in thousands) Municipal securities $ 17,983 Discounted Cash Discount Rate 2.8% Flows December 31, 2016 Valuation Unobservable Fair Value Techniques Input Range Securities available-for-sale: (dollars in thousands) Municipal securities $ 18,218 Discounted Cash Discount Rate 2.8% Flows Non-recurring basis The following methods and assumptions were used to estimate the fair values of the Company’s assets measured at fair value on a non-recurring basis for the periods presented. The tables below provide quantitative information about significant unobservable inputs used in fair value measurements within Level 3 hierarchy. June 30, 2017 Valuation Techniques Unobservable Type Fair Value (weightings) Input Range (weighted average) ( dollars in thousands) Impaired loans : Commercial real estate $ 1,432 Appraisals of Comparable sales 0% - 15% (6%) Loans held-for-sale: Commercial taxi medallion loans $ 50,891 Market approach Indications under securitized 37 - 100 (45) (70%) transactions expressed as a price to unpaid principal balance Discounted cash flows (30%) Discount Rate 14% December 31, 2016 Valuation Techniques Unobservable Type Fair Value (weightings) Input Range (weighted average) (dollars in thousands) Impaired loans : Commercial real estate $ 1,099 Appraisals of Comparable sales 0% - 15% (6%) collateral value Loans held-for-sale: Commercial taxi medallion loans $ 65,596 Market approach Indications under securitized 40 - 100 (59) (70%) transactions expressed as a price to unpaid principal balance Discounted cash flows (30%) Discount Rate 14% Fair Value of Financial Instruments FASB ASC 825-10 requires all entities to disclose the estimated fair value of their financial instrument assets and liabilities. For the Company, as for most financial institutions, the majority of its assets and liabilities are considered financial instruments as defined in FASB ASC 825-10. Many of the Company’s financial instruments, however, lack an available trading market as characterized by a willing buyer and willing seller engaging in an exchange transaction. It is also the Company’s general practice and intent to hold its financial instruments to maturity and not to engage in trading or sales activities except for loans held-for-sale and securities available-for-sale. Therefore, significant estimations and assumptions, as well as present value calculations, were used by the Company for the purposes of this disclosure. Cash and Cash Equivalents. The carrying amounts of cash and short-term instruments approximate fair values. FHLB stock. It is not practical to determine the fair value of FHLB stock due to restrictions placed on its transferability. Loans. The fair value of the Company’s loans was estimated by discounting the expected future cash flows using the current interest rates at which similar loans would be made to borrowers with similar credit ratings and for the same remaining maturities. Loans were segregated by types such as commercial, residential and consumer loans. Expected future cash flows were projected based on contractual cash flows, adjusted for estimated prepayments. The methods utilized to estimate the fair value of loans do not necessarily represent an exit price and therefore, while permissible for presentation purposes under ASC 825-10, do not conform to ASC 820-10. Deposits. The carrying amounts of deposits with no stated maturities (i.e., noninterest-bearing, savings, NOW, and money market deposits) are assigned fair values equal to the carrying amounts payable on demand. The fair value of time deposits is based on the discounted value of contractual cash flows using estimated rates currently offered for alternative funding sources of similar remaining maturity. Term Borrowings and Subordinated Debentures . The fair value of the Company’s long-term borrowings and subordinated debentures were calculated using a discounted cash flow approach and applying discount rates currently offered based on weighted remaining maturities. Accrued Interest Receivable/Payable. The carrying amounts of accrued interest approximate fair value resulting in a level 2 or level 3 classification based on the level of the asset or liability with which the accrual is associated. The following presents the carrying amount, fair value, and placement in the fair value hierarchy of the Company’s financial instruments as of June 30, 2017 and December 31, 2016: Fair Value Measurements Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Carrying Fair Assets Inputs Inputs Amount Value (Level 1) (Level 2) (Level 3) (dollars in thousands) June 30, 2017 Financial assets: Cash and due from banks $ 146,508 $ 146,508 $ 146,508 $ - $ - Securities available-for-sale 402,130 402,130 12,774 371,373 17,983 Restricted investment in bank stocks 32,152 n/a n/a n/a n/a Loans held-for-sale 51,124 51,124 - 233 50,891 Net loans 3,733,171 3,740,586 - - 3,740,586 Derivatives 45 45 - 45 - Accrued interest receivable 13,194 13,194 - 1,744 11,450 Financial liabilities: Noninterest-bearing deposits 695,522 695,522 695,522 - - Interest-bearing deposits 2,734,851 2,735,530 1,753,548 981,982 - Borrowings 626,173 627,854 - 627,854 - Subordinated debentures 54,616 56,542 - 56,542 - Accrued interest payable 6,044 6,044 - 6,044 - December 31, 2016 Financial assets: Cash and due from banks $ 200,399 $ 200,399 $ 200,399 $ - $ - Securities available-for-sale 353,290 353,290 14,982 320,090 18,218 Restricted investment in bank stocks 24,310 n/a n/a n/a n/a Loans held-for-sale 78,005 78,005 - 12,409 65,596 Net loans 3,450,088 3,462,138 - - 3,462,138 Derivatives 88 88 - 88 - Accrued interest receivable 12,965 12,965 - 2,026 10,939 Financial liabilities: Noninterest-bearing deposits 694,977 694,977 694,977 - - Interest-bearing deposits 2,649,294 2,649,717 1,681,044 968,673 - Borrowings 476,280 478,286 - 478,286 - Subordinated debentures 54,534 55,901 - 55,901 - Accrued interest payable 4,142 4,142 - 4,142 - The fair value of commitments to originate loans is estimated using the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the present creditworthiness of the counterparties. For fixed-rate loan commitments, fair value also considers the difference between current levels of interest rates and the committed rates. The fair values of letters of credit and lines of credit are based on fees currently charged for similar agreements or on the estimated cost to terminate or otherwise settle the obligations with the counterparties at the reporting date. The fair value of commitments to originate loans is immaterial and not included in the tables above. Changes in assumptions or estimation methodologies may have a material effect on these estimated fair values. The Company’s remaining assets and liabilities, which are not considered financial instruments, have not been valued differently than has been customary with historical cost accounting. No disclosure of the relationship value of the Company’s core deposit base is required by FASB ASC 825-10. Fair value estimates are based on existing balance sheet financial instruments, without attempting to estimate the value of anticipated future business and the value of assets and liabilities that are not considered financial instruments. For example, there are certain significant assets and liabilities that are not considered financial assets or liabilities, such as deferred taxes, premises and equipment, and goodwill. In addition, the tax ramifications related to the realization of the unrealized gains and losses can have a significant effect on fair value estimates and have not been considered in the estimates. Management believes that reasonable comparability between financial institutions may not be likely, due to the wide range of permitted valuation techniques and numerous estimates which must be made, given the absence of active secondary markets for many of the financial instruments. This lack of uniform valuation methodologies also introduces a greater degree of subjectivity to these estimated fair values. |
Other Comprehensive Income (Los
Other Comprehensive Income (Loss) | 6 Months Ended |
Jun. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Other Comprehensive Income (Loss) | Note 8. Other Comprehensive Income (Loss) The following represents the reclassifications out of accumulated other comprehensive (loss) income for the periods presented: Affected Line item in the Details about Accumulated Other Amounts Reclassified from Accumulated Amounts Reclassified from Accumulated Statement Where Net Income is Comprehensive Income Components Other Comprehensive Income/(Loss) Other Comprehensive Income/(Loss) Presented (dollars in thousands) Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Net gains on sales of securities Sale of securities available-for-sale $ - $ (103 ) $ 1,596 $ 103 available for sale - 42 (579 ) (42 ) Income tax expense - (61 ) 1,017 61 Amortization of pension plan net actuarial losses (103 ) - (206 ) (102 ) Salaries and employee benefits 42 - 84 41 Income tax benefit (61 ) - (122 ) (61 ) Total reclassification $ (61 ) $ (61 ) $ 895 $ - Accumulated other comprehensive (loss) income (net of tax) at June 30, 2017 and December 31, 2016 consisted of the following: June 30, December 31, 2017 2016 (dollars in thousands) Securities available-for-sale $ 473 $ 933 Cash flow hedge 26 52 Defined benefit pension and post-retirement plans (3,710 ) (3,831 ) Total accumulated other comprehensive loss $ (3,211 ) $ (2,846 ) |
Stock-Based Compensation
Stock-Based Compensation | 6 Months Ended |
Jun. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Stock-Based Compensation | Note 9. Stock-Based Compensation In 2017, the Company’s stockholders approved the 2017 Equity Compensation Plan (“the Plan”) on May 23, 2017. The Plan eliminates all remaining issuable shares under previous plans and is the only outstanding plan as of June 30, 2017. The maximum number of shares of common stock or equivalents, which may be issued under the Plan, is 750,000. Grants under the Plan can be in the form of stock options (qualified or non-qualified), restricted shares, restricted share units or performance units. Shares available for grant and issuance under the Plan as of June 30, 2017 are 750,000. The Company intends to issue all shares under this plan in the form of newly issued shares. Restricted stock and option awards typically have a three-year vesting period starting one year after the date of grant with one-third vesting each year. The options generally expire ten years from the date of grant. Restricted stock awards granted to new employees and board members may be granted with shorter vesting periods. Grants of performance units typically have a cliff vesting after three years. All issuances are subject to forfeiture if the recipient leaves or is terminated prior to the awards vesting. Restricted shares have the same dividend and voting rights as common stock, while options and performance units do not. All awards are issued at fair value of the underlying shares at the grant date. The Company expenses the cost of the awards, which is determined to be the fair market value of the awards at the date of grant, ratably over the vesting period. Forfeiture rates are not estimated but are handled on a case-by-case basis No options or performance units were granted during the three months ended June 30, 2017 or 2016. A total of 1,000 restricted shares were granted during the quarter to one individual who joined the company during the three months ended June 30, 2017. Option activity under the Company’s option plans as of and for the six months ended June 30, 2017 were as follows: Weighted- Average Weighted- Remaining Average Contractual Exercise Term Aggregate Shares Price (In Years) Intrinsic Value Outstanding at December 31, 2016 358,367 $ 6.26 Granted - - Exercised (10,846 ) 13.44 Forfeited/cancelled/expired - - Outstanding at June 30, 2017 347,521 $ 6.11 2.20 $ 5,711,643 Exercisable at June 30, 2017 343,991 $ 6.03 2.16 $ 5,682,309 The aggregate intrinsic value of outstanding and exercisable options above represents the total pre-tax intrinsic value (the difference between the Company’s closing stock price on June 30, 2017 and the exercise price, multiplied by the number of in-the-money options) that would have been received by the option holders had all option holders exercised their options on June 30, 2017. This amount changes based on the fair market value of the Parent Corporation’s stock. The below table represents information regarding restricted shares currently outstanding at June 30, 2017: Weighted- Average Nonvested Grant Date Shares Fair Value Nonvested at December 31, 2016 111,273 $ 16.81 Granted 56,164 23.82 Vested (65,359 ) 16.46 Forfeited/cancelled/expired - - Nonvested at June 30, 2017 102,078 $ 20.41 As of June 30, 2017, there was $1,694,035 of total unrecognized compensation cost related to nonvested restricted shares granted under the plans. The cost is expected to be recognized over a weighted average period of 1.7 years. At June 30, 2017, the specific number of shares related to performance unit awards that were expected to vest was 151,194, determined by actual performance in consideration of the established range of the performance targets, which is consistent with the level of expense currently being recognized over the vesting period. Should this expectation change, additional compensation expense could be recorded in future periods or previously recognized expense could be reversed. At June 30, 2017 the maximum amount of performance units that ultimately could vest if performance targets were exceeded is 226,791. A summary of the status of unearned performance unit awards and the change during the period is presented in the table below: Weighted Average Grant Units Units Date Fair (expected) (maximum) Value Unearned at December 31, 2016 151,572 189,455 $ 18.47 Awarded 24,891 37,336 22.75 Forfeited - - - Adjustments (25,269 ) - 18.47 Unearned at June 30, 2017 151,194 226,791 $ 19.19 At June 30, 2017, compensation cost of $1,051,067 related to non-vested performance unit awards not yet recognized is expected to be recognized over a weighted-average period of 1.3 years. Effective January 1, 2017, the Company implemented ASU 2016-09, “ Compensation - Stock Compensation (Topic 718): Improvements to Employee Share-Based Payment. Under ASU 2016-09 all excess tax benefits and tax deficiencies related to share-based payment awards should be recognized as income tax expense or benefit in the income statement during the period in which they occur. Included in income tax expense for the three and six months ended June 30, 2017 is a benefit of $47 thousand and $180 thousand, respectively, which resulted from the effect of implementing ASU 2016-09. |
Components of Net Periodic Pens
Components of Net Periodic Pension Cost | 6 Months Ended |
Jun. 30, 2017 | |
Retirement Benefits [Abstract] | |
Components of Net Periodic Pension Cost | Note 10. Components of Net Periodic Pension Cost The Company maintained a non-contributory defined benefit pension plan for substantially all of its employees until March 31, 2007, at which time the Company froze the plan. The following table sets forth the net periodic pension cost of the CompanyÂ’s pension plan for the periods indicated. Three Months Ended Six Months Ended June 30, June 30, 2017 2016 2017 2016 (dollars in thousands) Interest cost $ 120 $ 129 $ 239 $ 257 Expected return on plan assets (160 ) (155 ) (320 ) (291 ) Net amortization 103 102 206 204 Recognized settlement loss - - - - Net periodic pension cost $ 63 $ 76 $ 125 $ 170 Amortization of actuarial loss $ (103 ) $ - $ (204 ) $ (101 ) Total recognized in other comprehensive income $ (103 ) $ - $ (204 ) $ (101 ) Total recognized in net expense and OCI (before tax) $ (40 ) $ 76 $ (79 ) $ 69 Contributions The Company did not make any contributions during the six months ended June 30, 2017. The Company does not plan on contributing amounts to the Pension Trust for the remainder of 2017. The trust is established to provide retirement and other benefits for eligible employees and their beneficiaries. No part of the trust assets may be applied to any purpose other than providing benefits under the plan and for defraying expenses of administering the plan and the trust. |
FHLB Borrowings
FHLB Borrowings | 6 Months Ended |
Jun. 30, 2017 | |
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures [Abstract] | |
FHLB Borrowings | Note 11 – FHLB Borrowings The Company’s FHLB borrowings and weighted average interest rates are summarized below: June 30, 2017 December 31, 2016 Amount Rate Amount Rate (dollars in thousands) Total FHLB borrowings $ 626,173 1.56 % $ 461,280 1.55 % By remaining period to maturity: Less than 1 year $ 446,173 1.30 % $ 231,280 1.02 % 1 year through less than 2 years 115,000 1.85 % 130,000 1.84 % 2 years through less than 3 years 25,000 1.85 % 35,000 1.60 % 3 years through less than 4 years 40,000 3.43 % 65,000 2.82 % 4 years through 5 years - - - - Total FHLB borrowings $ 626,173 1.56 % $ 461,280 1.55 % The FHLB borrowings are secured by pledges of certain collateral including, but not limited to, U.S. government and agency mortgage-backed securities and a blanket assignment of qualifying first lien mortgage loans, consisting of both residential mortgages and commercial real estate loans. Three of the FHLB notes ($2.5 million and $7.5 million each due April 2, 2018, and $5.0 million due July 16, 2018) contain a convertible option which allows the FHLB, at quarterly intervals, to convert the fixed convertible advance into replacement funding for the same or lesser principal based on any advance then offered by the FHLB at its current market rate. The Company has the option to repay these advances, if converted, without penalty. The remaining advances are payable at stated maturity, with a prepayment penalty for fixed rate advances. All FHLB advances are fixed rate. The advances at June 30, 2017 were primarily collateralized by approximately $1.3 billion of commercial mortgage loans, net of required over collateralization amounts, under a blanket lien arrangement. At June 30, 2017 the Company had remaining borrowing capacity of approximately $721 million at FHLB. |
Securities Sold under Agreement
Securities Sold under Agreements to Repurchase | 6 Months Ended |
Jun. 30, 2017 | |
Securities Sold under Agreements to Repurchase [Abstract] | |
Securities Sold under Agreements to Repurchase | Note 12 – Securities Sold Under Agreements to Repurchase Repurchase agreements are secured borrowings. The Company pledges securities to secure those borrowings. Information concerning repurchase agreements is summarized as follows for the periods presented: June 30, December 31, June 30, 2017 2016 2016 (dollars in thousands) Average daily balance during the year-to-date $ 13,674 $ 15,000 $ 15,000 Average interest rate during the year-to-date 5.95 % 5.95 % 5.95 % Maximum month end balance during the year-to-date $ 15,000 $ 15,000 $ 15,000 Weighted average interest rate during the year-to-date 5.95 % 5.95 % 5.95 % As of June 30, 2017, there were no repurchase agreements outstanding. The previous outstanding repurchase agreement of $15.0 million was repaid on June 15, 2017. December 31, 2016 Remaining Contractual Maturity of the Agreements Overnight and Up to 30 Greater Than Continuous Days 31-90 Days 90 Days Total (dollars in thousands) Repurchase agreements & repurchase-to-maturity transaction U.S. Treasury and agency securities $ - $ - $ - $ - $ - Residential mortgage pass-through securities - - - 16,826 16,826 Total borrowings $ - $ - $ - $ 16,826 $ 16,826 Amounts related to agreements not included in offsetting disclosure in Note 14: $ 1,826 The fair value of securities pledged to secure repurchase agreements may decline. By contractual agreement, the fair value of securities pledged to secure repurchase agreements must meet or exceed the gross outstanding balance by 8%, or be subject to margin calls. Securities sold under agreements to repurchase are secured by securities with a carrying amount of $-0- and $16.8 million at June 30, 2017 and December 31, 2016, respectively. |
Subordinated Debentures
Subordinated Debentures | 6 Months Ended |
Jun. 30, 2017 | |
Subordinated Borrowings [Abstract] | |
Subordinated Debentures | Note 13 - Subordinated Debentures During 2003, the Company formed a statutory business trust, which exists for the exclusive purpose of (i) issuing Trust Securities representing undivided beneficial interests in the assets of the Trust; (ii) investing the gross proceeds of the Trust securities in junior subordinated deferrable interest debentures (subordinated debentures) of the Company; and (iii) engaging in only those activities necessary or incidental thereto. On December 19, 2003, Center Bancorp Statutory Trust II, a statutory business trust and wholly-owned subsidiary of the Parent Corporation issued $5.0 million of MMCapS capital securities to investors due on January 23, 2034. The capital securities presently qualify as Tier I capital. The trust loaned the proceeds of this offering to the Company and received in exchange $5.2 million of the Parent Corporation’s subordinated debentures. The subordinated debentures are redeemable in whole or in part prior to maturity. The floating interest rate on the subordinate debentures is three-month LIBOR plus 2.85% and reprices quarterly. The rate at June 30, 2017 was 4.02%. These subordinated debentures and the related income effects are not eliminated in the consolidated financial statements as the statutory business trust is not consolidated in accordance with FASB ASC 810-10. Distributions on the subordinated debentures owned by the subsidiary trust have been classified as interest expense in the Consolidated Statements of Income. The following table summarizes the mandatory redeemable trust preferred securities of the Company’s Statutory Trust II at June 30, 2017 and December 31, 2016. Securities Redeemable by Issuance Date Issued Liquidation Value Coupon Rate Maturity Issuer Beginning 12/19/2003 $ 5,000,000 $1,000 per Capital Floating 3-month 01/23/2034 01/23/2009 Security LIBOR + 285 Basis Points During June 2015, the Parent Corporation issued $50 million in aggregate principal amount of fixed-to-floating rate subordinated notes (the “Notes”). The Notes are non-callable for five years, have a stated maturity of July 1, 2025, and bear interest at a fixed rate of 5.75% per year, from and including June 30, 2015 to, but excluding July 1, 2020. From and including July 1, 2020 to the maturity date or early redemption date, the interest rate will reset quarterly to a level equal to the then current three-month LIBOR rate plus 393 basis points. As of June 30, 2017, unamortized costs related to the debt issuance was approximately $539,000. |
Offsetting Assets and Liabiliti
Offsetting Assets and Liabilities | 6 Months Ended |
Jun. 30, 2017 | |
Offsetting [Abstract] | |
Offsetting Assets and Liabilities | Note 14 – Offsetting Assets and Liabilities Certain financial instrument-related assets and liabilities may be eligible for offset on the consolidated statements of condition because they are subject to master netting agreements or similar agreements. However, the Company does not elect to offset such arrangements on the consolidated financial statements. The Company enters into interest rate swap agreements with financial institution counterparties. For additional detail regarding interest rate swap agreements refer to Note 5. In the event of default on, or termination of, any one contract, both parties have the right to net settle multiple contracts. Also, certain interest rate swap agreements may require the Company to receive or pledge cash or financial instrument collateral based on the contract provisions. The Company also entered into an agreement to sell securities subject to an obligation to repurchase the same or similar securities, referred to as a repurchase agreement. Under this agreement, the Company may transfer legal control over the assets but still retain effective control through an agreement that both entitles and obligates the Company to repurchase the assets. The obligation to repurchase the securities is reflected as a liability in the Company’s consolidated statement of condition, while the securities underlying the repurchase agreements remain in the respective securities account, therefore there is no offsetting or netting of the securities assets with the repurchase agreement liability. The following table presents information about financial instruments that are eligible for offset as of June 30, 2017 and December 31, 2016: Gross Amounts Not Offset Gross Amounts Net Amounts of Cash or Offset in the Assets Presented in Financial Financial Gross Amounts Statement of the Statement of Instruments Instrument Net Recognized Financial Position Financial Position Recognized Collateral Amount (dollars in thousands) June 30, 2017 Assets: Interest rate swaps $ 45 $ - $ 45 $ - $ - $ 45 Liabilities: Repurchase agreements $ - $ - $ - $ - $ - $ - December 31, 2016 Assets: Interest rate swaps $ 88 $ - $ 88 $ - $ - $ 88 Liabilities: Repurchase agreements $ 15,000 $ - $ 15,000 $ - $ 15,000 $ - |
New Authoritative Accounting 23
New Authoritative Accounting Guidance (Policies) | 6 Months Ended |
Jun. 30, 2017 | |
New Accounting Pronouncements and Changes in Accounting Principles [Abstract] | |
New Authoritative Accounting Guidance | ASU No. 2017-08, “ Receivables—Nonrefundable Fees and Other Costs (Subtopic 310-20), Premium Amortization on Purchased Callable Debt Securities .” ASU No. 2017-08 shortens the amortization period for certain callable debt securities held at a premium. Specifically, the amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. ASU 2017-08 will be effective for us on January 1, 2019 and we are currently evaluating this ASU to determine the impact on our consolidated financial statements. ASU No. 2017-04, “Intangibles – Goodwill and Other (Topic 350).” ASU 2017-04 aims to simplify the subsequent measurement of goodwill. Under these amendments, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge 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. Additionally, an entity should consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. The Board also eliminated the requirements for any reporting unit with a zero or negative carrying amount to perform a qualitative assessment. An entity is required to disclose the amount of goodwill allocated to each reporting unit with a zero or negative carrying amount of net assets and still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary. The amendments in this update are effective for public business entities for fiscal years beginning after December 15, 2019. Although management continues to evaluate the potential impact of ASU 2017-04 on our consolidated financial statements, at this time, we believe the adoption of this standard will not have a significant impact to our consolidated financial statements. ASU No. 2016-15, “ Statement of Cash Flows (Topic 230) : Classification of Certain Cash Receipts and Cash Payments ” provides guidance on the following eight specific cash flow issues: (1) Debt prepayment or debt extinguishment costs; (2) Settlement of zero-coupon debt instruments or other debt instruments with coupon interest rates that are insignificant in relation to the effective interest rate of the borrowing; (3) Contingent consideration payments made after a business combination; (4) Proceeds from the settlement of insurance claims; (5) Proceeds from the settlement of corporate-owned life insurance policies, including bank-owned life insurance policies; (6) Distributions received from equity method investees; (7) Beneficial interests in securitization transactions; and (8) Separately identifiable cash flows and application of the predominance principle. The amendments in this Update are effective for public business entities for fiscal years beginning after December 15, 2017, and interim periods within those fiscal years. Early adoption is permitted, including adoption in an interim period. If an entity early adopts the amendments in an interim period, any adjustments should be reflected as of the beginning of the fiscal year that includes that interim period. An entity that elects early adoption must adopt all of the amendments in the same period. The amendments in this update should be applied using a retrospective transition method to each period presented. If it is impracticable to apply the amendments retrospectively for some of the issues, the amendments for those issues would be applied prospectively as of the earliest date practicable. Although management continues to evaluate the potential impact of ASU 2016-05 on our consolidated financial statements, at this time, we believe the adoption of this standard will not have a significant impact to our consolidated financial statements. ASU No. 2016-13, “ Financial Instruments – Credit Losses (Topic 326): Assets Measured at Amortized Cost.” ASU 2016- 13 requires a financial asset (or a group of financial assets) measured at amortized cost basis to be presented at the net amount expected to be collected. The amendments in this update replace the incurred loss impairment methodology in current GAAP with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonable and supportable information to inform credit loss estimates and affects loans, debt securities, trade receivables, net investments in leases, off-balance-sheet credit exposures, reinsurance receivables, and any other financial assets not excluded from the scope that have the contractual right to receive cash. For public business entities, the amendments in this update are effective for fiscal years beginning after December 15, 2019, including interim periods within those fiscal years. The Company is currently in the process of forming a CECL committee that will be assessing our data and system needs, as well as considering the engagement of a third-party vendor to assist in implementation. We expect to recognize a one-time cumulative effect adjustment to the allowance for loan losses as of the beginning of the first reporting period in which the ASU is effective, but cannot yet determine the magnitude of any such one-time adjustment or the overall impact of the ASU on our consolidated financial statements. ASU No. 2016-02, “ Leases (Topic 842) ” requires the recognition of a right of use asset and related lease liability by lessees for leases classified as operating leases under current GAAP. Topic 842, which replaces the current guidance under Topic 840, retains a distinction between finance leases and operating leases. The recognition, measurement, and presentation of expenses and cash flows arising from a lease by a lessee also will not significantly change from current GAAP. For leases with a term of 12 months or less, a lessee is permitted to make an accounting policy election by class of underlying asset not to recognize right of use assets and lease liabilities. Topic 842 will be effective for the Company for reporting periods beginning January 1, 2019, with an early adoption permitted. The Company must apply a modified retrospective transition approach for the applicable leases existing at, or entered into after, the beginning of the earliest comparative period presented in the consolidated financial statements. The modified retrospective approach would not require any transition accounting for leases that expired before the earliest comparative period presented. The Company is currently leasing seventeen properties as branch locations and is leasing certain office equipment. The adoption of ASU 2016-02 will result in increases to the Company's assets and liabilities. We are currently in the process of evaluating all of our leases for compliance with the new ASU. ASU No. 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities.” ASU 2016-1, among other things; (i) requires equity investments, with certain exceptions, to be measured at fair value with changes in fair value recognized in net income, (ii) simplifies the impairment assessment of equity investments without readily determinable fair values by requiring a qualitative assessment to identify impairment; (iii) eliminates the requirement for public business entities to disclose the methods and significant assumptions used to estimate the fair value that is required to be disclosed for financial instruments measured at amortized cost on the balance sheet; (iv) requires public business entities to use the exit price notion when measuring the fair value of financial instruments for disclosure purposes; (v) requires an entity to present separately in other comprehensive income the portion of the total change in the fair value of a liability resulting from a change in the instrument-specific credit risk when the entity has elected to measure the liability at fair value in accordance with the fair value option for financial instruments; (vi) requires separate presentation of financial assets and financial liabilities by measurement category and form of financial asset on the balance sheet or the accompanying notes to the financial statements; and (vii) clarifies that an entity should evaluate the need for a valuation allowance on a deferred tax asset related to available-for-sale. ASU 2016-1 will be effective for us on January 1, 2018 and we are currently evaluating the potential impact of ASU No. 2016-01 on our consolidated financial statements. ASU No. 2014-09, “Revenue from Contracts with Customers (Topic 606).” ASU 2014-09 implements a common revenue standard that clarifies the principles for recognizing revenue. The core principle of ASU 2014-09 is that an entity should recognize revenue to depict the transfer of promised goods or services to customers in an amount that reflects the consideration to which the entity expects to be entitled in exchange for those goods or services. To achieve that core principle, an entity should apply the following steps: (i) identify the contract(s) with a customer; (ii) identify the performance obligations in the contract; (iii) determine the transaction price; (iv) allocate the transaction price to the performance obligations in the contract; and (v) recognize revenue when (or as) the entity satisfies a performance obligation. ASU 2014-09 was originally going to be effective for us on January 1, 2017; however, the FASB recently issued ASU 2015-14, “Revenue from Contracts with Customers (Topic 606) - Deferral of the Effective Date” which deferred the effective date of ASU 2014-09 by one year to January 1, 2018. Although management continues to evaluate the potential impact of ASU 2014-09 on our consolidated financial statements, at this time, we believe the adoption of this standard will not have a significant impact to our consolidated financial statements. In March 2016, the FASB issued ASU No. 2016-08, Revenue from Contracts with Customers (Topic 606) In April 2016, the FASB issued ASU No. 2016-10, Revenue from Contracts with Customers (Topic 606) In May 2016, the FASB issued ASU No. 2016-12, Revenue from Contracts with Customers (Topic 606) In December 2016, the FASB issued ASU No. 2016-20, Revenue from Contracts with Customers (Topic 606): Technical Corrections and Improvements |
Earnings per Common Share (Tabl
Earnings per Common Share (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Earnings per common share: | |
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block] | Earnings per common share have been computed based on the following: Three Months Ended Six Months Ended June 30, June 30, (in thousands, except for per share data) 2017 2016 2017 2016 Net income available to common stockholders $ 7,659 $ 10,859 $ 19,499 $ 21,164 Earnings allocated to participating securities 24 - 64 64 Income attributable to common stock $ 7,683 $ 10,859 $ 19,563 $ 21,228 Weighted average common shares outstanding, including participating securities 32,008 30,129 31,991 30,082 Weighted average participating securities (102 ) (112 ) (105 ) (91 ) Weighted average common shares outstanding 31,906 30,017 31,886 29,991 Incremental shares from assumed conversions of options, performance units and restricted shares 350 355 347 340 Weighted average common and equivalent shares outstanding 32,256 30,372 32,233 30,331 Earnings per common share: Basic $ 0.24 $ 0.36 $ 0.61 $ 0.71 Diluted 0.24 0.36 0.60 0.70 |
Securities Available-For-Sale (
Securities Available-For-Sale (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |
Unrealized Gain (Loss) on Investments [Table Text Block] | The following tables present information related to the CompanyÂ’s securities at June 30, 2017 and December 31, 2016: Gross Gross Amortized Unrealized Unrealized Fair June 30, 2017 Cost Gains Losses Value (dollars in thousands) Securities available-for-sale Federal agency obligations $ 59,509 $ 317 $ (181 ) $ 59,645 Residential mortgage pass-through securities 140,963 635 (1,198 ) 140,400 Commercial mortgage pass-through securities 4,120 53 - 4,173 Obligations of U.S. states and political subdivisions 135,181 2,309 (1,136 ) 136,354 Trust preferred securities 4,576 83 (73 ) 4,586 Corporate bonds and notes 30,352 252 (316 ) 30,288 Asset-backed securities 13,293 48 (60 ) 13,281 Certificates of deposit 622 7 - 629 Equity securities 377 227 - 604 Other securities 12,454 - (284 ) 12,170 Total securities available-for-sale $ 401,447 $ 3,931 $ (3,248 ) $ 402,130 Gross Gross Amortized Unrealized Unrealized Fair December 31, 2016 Cost Gains Losses Value (dollars in thousands) Securities available-for-sale Federal agency obligations $ 52,826 $ 282 $ (271 ) $ 52,837 Residential mortgage pass-through securities 72,922 519 (944 ) 72,497 Commercial mortgage pass-through securities 4,186 23 - 4,209 Obligations of U.S. states and political subdivisions 148,747 2,789 (931 ) 150,605 Trust preferred securities 5,575 242 (151 ) 5,666 Corporate bonds and notes 36,717 586 (375 ) 36,928 Asset-backed securities 14,867 2 (286 ) 14,583 Certificates of deposit 973 10 - 983 Equity securities 376 192 - 568 Other securities 14,739 - (325 ) 14,414 Total securities available-for-sale $ 351,928 $ 4,645 $ (3,283 ) $ 353,290 |
Investments Classified by Contractual Maturity Date [Table Text Block] | The following table presents information for securities at June 30, 2017, based on scheduled maturities. Actual maturities can be expected to differ from scheduled maturities due to prepayment or early call options of the issuer. June 30, 2017 Amortized Fair Cost Value (dollars in thousands) Securities available-for-sale: Due in one year or less $ 5,577 $ 5,602 Due after one year through five years 29,846 30,058 Due after five years through ten years 39,632 40,261 Due after ten years 168,478 168,862 Residential mortgage pass-through securities 140,963 140,400 Commercial mortgage pass-through securities 4,120 4,173 Equity securities 377 604 Other securities 12,454 12,170 Total $ 401,447 $ 402,130 |
Schedule of Realized Gain (Loss) [Table Text Block] | Gross gains and losses from the sales, calls and maturities of securities for periods presented were as follows: Three Months Ended Six Months Ended June 30, June 30, 2017 2016 2017 2016 (dollars in thousands) Proceeds $ - $ 6,573 $ 29,543 $ 6,573 Gross gains on sales of securities - 103 1,596 103 Gross losses on sales of securities - - - - Net gains on sales of securities - 103 1,596 103 Less: tax provision on net gains - 42 (579 ) 42 Net gains on sales of securities, after tax $ - $ 61 $ 1,017 $ 61 |
Schedule of Unrealized Loss on Investments [Table Text Block] | The following tables indicate gross unrealized losses not recognized in income and fair value, aggregated by investment category and the length of time individual securities have been in a continuous unrealized loss position at June 30, 2017 and December 31, 2016: June 30, 2017 Total Less than 12 Months 12 Months or Longer Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses (dollars in thousands) Securities available-for-sale : Federal agency obligation $ 22,344 $ (181 ) $ 21,184 $ (177 ) $ 1,160 $ (4 ) Residential mortgage pass-through securities 88,378 (1,198 ) 86,925 (1,161 ) 1,453 (37 ) Obligations of U.S. states and political subdivisions 58,315 (1,136 ) 58,315 (1,136 ) - - Trust preferred securities 1,505 (73 ) - - 1,505 (73 ) Corporate bonds and notes 16,292 (316 ) 7,086 (164 ) 9,206 (152 ) Asset-backed securities 8,249 (60 ) - - 8,249 (60 ) Other securities 11,182 (284 ) 5,905 (61 ) 5,277 (223 ) Total temporarily impaired securities $ 206,265 $ (3,248 ) $ 179,415 $ (2,699 ) $ 26,850 $ (549 ) December 31, 2016 Total Less than 12 Months 12 Months or Longer Fair Unrealized Fair Unrealized Fair Unrealized Value Losses Value Losses Value Losses (dollars in thousands) Securities available-for-sale : Federal agency obligation $ 22,672 $ (271 ) $ 21,416 $ (262 ) $ 1,256 $ (9 ) Residential mortgage pass-through securities 50,136 (944 ) 49,817 (937 ) 319 (7 ) Obligations of U.S. states and political subdivisions 52,307 (931 ) 52,307 (931 ) - - Trust preferred securities 1,427 (151 ) - - 1,427 (151 ) Corporate bonds and notes 15,930 (375 ) 7,671 (265 ) 8,259 (110 ) Asset-backed securities 13,404 (286 ) 3,743 (88 ) 9,661 (198 ) Other securities 11,467 (325 ) - - 11,467 (325 ) Total temporarily impaired securities $ 167,343 $ (3,283 ) $ 134,954 $ (2,483 ) $ 32,389 $ (800 ) |
Derivatives (Tables)
Derivatives (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Interest Rate Derivatives [Table Text Block] | Summary information about the interest rate swaps designated as cash flow hedges as of June 30, 2017, December 31, 2016 and June 30, 2016 are presented in the following table. June 30, December 31, June 30, 2017 2016 2016 (dollars in thousands) Notional amount $ 100,000 $ 75,000 $ 75,000 Weighted average pay rates 1.62 % 1.59 % 1.58 % Weighted average receive rates 1.08 % 0.69 % 0.65 % Weighted average maturity 2.97 years 2.8 years 3.3 years Fair value $ 45 $ 88 $ (1,856 ) |
Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following table presents the net losses recorded in other comprehensive income and the Consolidated Statements of Income relating to the cash flow derivative instruments for the following periods: Six Months Ended June 30, 2017 Amount of gain Amount of gain Amount of gain (loss) (loss) recognized (loss) reclassified recognized in other in OCI (Effective from OCI to Noninterest income Portion) interest income (Ineffective Portion) (dollars in thousands) Interest rate contracts $ (43 ) $ - $ - Six Months Ended June 30, 2016 Amount of gain Amount of gain Amount of gain (loss) (loss) recognized (loss) reclassified recognized in other in OCI (Effective from OCI to Noninterest income Portion) interest income (Ineffective Portion) (dollars in thousands) Interest rate contracts $ (1,725 ) $ - $ - |
Schedule of Cash Flow Hedging Instruments, Statements of Financial Performance and Financial Position, Location [Table Text Block] | The following table reflects the cash flow hedges included in the consolidated statements of condition as of June 30, 2017 and December 31, 2016: June 30, 2017 December 31, 2016 Notional Notional Amount Fair Value Amount Fair Value (dollars in thousands) Interest rate swaps related to FHLB advances included in assets $ 100,000 $ 45 $ 75,000 $ 88 |
Loans and the Allowance for L27
Loans and the Allowance for Loan Losses (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Receivables [Abstract] | |
Loans held for sale [Table Text Block] | The following table presents loans held-for-sale by loan segment: June 30, December 31, 2017 2016 (dollars in thousands) Commercial $ 50,891 $ 70,105 Commercial real estate - 7,712 Residential real estate 233 188 Total carrying amount $ 51,124 $ 78,005 |
Activity in the valuation allowance [Table Text Block] | Activity in the valuation allowance was as follows for the following periods: Three Months Three Months Ended Ended June 30, 2017 June 30, 2016 (dollars in thousands) Balance at beginning of period $ 2,600 $ - Increase in valuation allowance 9,725 - Balance at end of period $ 12,325 $ - Six Months Six Months Ended Ended June 30, 2017 June 30, 2016 (dollars in thousands) Balance at beginning of period $ - $ - Increase in valuation allowance 12,325 - Balance at end of period $ 12,325 $ - |
Schedule of Accounts, Notes, Loans and Financing Receivable [Table Text Block] | The following table sets forth the composition of the CompanyÂ’s loan portfolio, including net deferred loan fees, at June 30, 2017 and December 31, 2016: June 30, December 31, 2017 2016 (dollars in thousands) Commercial $ 610,442 $ 553,576 Commercial real estate 2,470,957 2,204,710 Commercial construction 431,050 486,228 Residential real estate 251,107 232,547 Consumer 2,005 2,380 Gross loans 3,765,561 3,479,441 Net deferred loan fees (3,989 ) (3,609 ) Total loans receivable $ 3,761,572 $ 3,475,832 |
Loans and Leases Receivable Purchase Credit Impaired Loans [Table Text Block] | The Company holds purchased loans for which there was, at their acquisition date, evidence of deterioration of credit quality since their origination and it was probable, at acquisition, that all contractually required payments would not be collected. The recorded investment of those loans is as follows at June 30, 2017 and December 31, 2016. June 30, December 31, 2017 2016 (dollars in thousands) Commercial $ 7,951 $ 7,098 Commercial real estate 260 982 Total carrying amount $ 8,211 $ 8,080 |
Loans and Leases Receivable Purchased Loans [Table Text Block] | The accretable yield, or income expected to be collected, on the purchased credit-impaired loans above is as follows for the following periods: Three Months Three Months Ended Ended June 30, 2017 June 30, 2016 (dollars in thousands) Balance at beginning of period $ 2,674 $ 3,416 Accretion of income (178 ) (183 ) Balance at end of period $ 2,496 $ 3,233 Six Months Six Months Ended Ended June 30, 2017 June 30, 2016 (dollars in thousands) Balance at beginning of period $ 2,860 $ 3,599 Accretion of income (364 ) (366 ) Balance at end of period $ 2,496 $ 3,233 |
Schedule of Financing Receivables, Non Accrual Status [Table Text Block] | The following tables presents nonaccrual loans included in loans receivable by loan segment as of the periods presented: June 30, December 31, 2017 2016 (dollars in thousands) Commercial $ 1,351 $ 1,460 Commercial real estate 8,571 1,081 Residential real estate 4,133 3,193 Total loans receivable on nonaccrual status $ 14,055 $ 5,734 |
Financing Receivable Credit Quality Indicators [Table Text Block] | The following table presents information, excluding loans held-for-sale and net deferred loan fees, about the CompanyÂ’s loan credit quality at June 30, 2017 and December 31, 2016: June 30, 2017 Special Pass Mention Substandard Doubtful Total (dollars in thousands) Commercial $ 597,308 $ 3,062 $ 10,072 $ - $ 610,442 Commercial real estate 2,421,030 29,352 20,575 - 2,470,957 Commercial construction 425,713 2,816 2,521 - 431,050 Residential real estate 246,830 - 4,277 - 251,107 Consumer 1,953 - 52 - 2,005 Gross loans $ 3,692,834 $ 35,230 $ 37,497 $ - $ 3,765,561 December 31, 2016 Special Pass Mention Substandard Doubtful Total (dollars in thousands) Commercial $ 539,961 $ 3,255 $ 10,360 $ - $ 553,576 Commercial real estate 2,154,343 31,173 19,194 - 2,204,710 Commercial construction 480,319 3,388 2,521 - 486,228 Residential real estate 228,990 - 3,557 - 232,547 Consumer 2,318 - 62 - 2,380 Gross loans $ 3,405,931 $ 37,816 $ 35,694 $ - $ 3,479,441 |
Impaired Financing Receivables [Table Text Block] | The following table provides an analysis of the impaired loans by segment as of June 30, 2017 and December 31, 2016: June 30, 2017 Unpaid Recorded Principal Related Investment Balance Allowance No related allowance recorded (dollars in thousands) Commercial $ 3,184 $ 3,197 Commercial real estate 15,380 15,405 Commercial construction 4,271 4,271 Residential real estate 1,192 1,401 Consumer 52 52 Total $ 24,079 $ 24,326 With an allowance recorded Commercial real estate $ 1,926 $ 2,338 $ 162 Total Commercial $ 3,184 $ 3,197 $ - Commercial real estate 17,306 17,743 162 Commercial construction 4,271 4,271 - Residential real estate 1,192 1,401 - Consumer 52 52 - Total (including allowance) $ 26,005 $ 26,664 $ 162 December 31, 2016 Unpaid Recorded Principal Related Investment Balance Allowance No related allowance recorded (dollars in thousands) Commercial $ 3,637 $ 4,063 Commercial real estate 18,288 18,288 Commercial construction 5,909 5,909 Residential real estate 1,851 2,055 Consumer 62 62 Total $ 29,747 $ 30,377 With an allowance recorded Commercial real estate $ 1,244 $ 1,244 $ 145 Total Commercial $ 3,637 $ 4,063 $ - Commercial real estate 19,532 19,532 145 Commercial construction 5,909 5,909 - Residential real estate 1,851 2,055 - Consumer 62 62 - Total (including allowance) $ 30,991 $ 31,621 $ 145 |
Schedule of Average Balance and Interest Income Recognized on Impaired Loans [Table Text Block] | The following table provides an analysis related to the average recorded investment and interest income recognized on impaired loans by segment as of and for the three and six months ended June 30, 2017 and 2016: Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Average Interest Average Interest Average Interest Average Interest Recorded Income Recorded Income Recorded Income Recorded Income Investment Recognized Investment Recognized Investment Recognized Investment Recognized (dollars in thousands) Impaired loans (no allowance) Commercial $ 3,209 $ 42 $ 2,370 $ 20 $ 3,230 $ 81 $ 2,337 $ 20 Commercial real estate 15,456 97 16,072 27 14,526 203 15,623 53 Commercial construction 4,263 69 1,426 16 4,266 152 1,911 33 Residential real estate 1,200 2 3,947 5 1,210 4 4,021 10 Consumer 54 - 79 1 56 1 82 2 Total $ 24,182 $ 210 $ 23,894 $ 69 $ 23,288 $ 441 $ 23,974 $ 118 Impaired loans (allowance): Commercial $ - $ - $ 93,260 $ 784 $ - $ - $ 88,691 $ 1,522 Commercial real estate 1,933 33 153 - 1,941 38 153 - Total $ 1,933 $ 33 $ 93,413 $ 784 $ 1,941 $ 38 $ 88,844 $ 1,522 Total impaired loans: Commercial $ 3,209 $ 42 $ 95,630 $ 804 $ 3,230 $ 81 $ 91,028 $ 1,542 Commercial real estate 17,389 130 16,225 27 16,467 241 15,776 53 Commercial construction 4,263 69 1,426 16 4,266 152 1,911 33 Residential mortgage 1,200 2 3,947 5 1,210 4 4,021 10 Consumer 54 - 79 1 56 1 82 2 Total $ 26,115 $ 234 $ 117,307 $ 853 $ 25,229 $ 479 $ 112,818 $ 1,640 |
Past Due Financing Receivables [Table Text Block] | The following table provides an analysis of the aging of gross loans (excluding loans held-for-sale) that are past due at June 30, 2017 and December 31, 2016 by segment: Aging Analysis June 30, 2017 90 Days or Greater Past Total Past 30-59 Days 60-89 Days Due and Still Due and Past Due Past Due Accruing Nonaccrual Nonaccrual Current Gross Loans (dollars in thousands) Commercial $ 454 $ 18 $ 5,551 $ 1,351 $ 7,374 $ 603,068 $ 610,442 Commercial real estate - - - 8,571 8,571 2,462,386 2,470,957 Commercial construction - 460 - - 460 430,590 431,050 Residential real estate - 745 - 4,133 4,878 246,229 251,107 Consumer 7 - - - 7 1,998 2,005 Total $ 461 $ 1,223 $ 5,551 $ 14,055 $ 21,290 $ 3,744,271 $ 3,765,561 December 31, 2016 90 Days or Greater Past Total Past 30-59 Days 60-89 Days Due and Still Due and Past Due Past Due Accruing Nonaccrual Nonaccrual Current Gross Loans (dollars in thousands) Commercial $ 475 $ 18 $ 4,630 $ 1,460 $ 6,583 $ 546,993 $ 553,576 Commercial real estate 4,928 1,584 663 1,081 8,256 2,196,454 2,204,710 Commercial construction - - - - - 486,228 486,228 Residential real estate 2,131 388 - 3,193 5,712 226,835 232,547 Consumer - - - - - 2,380 2,380 Total $ 7,534 $ 1,990 $ 5,293 $ 5,734 $ 20,551 $ 3,458,890 $ 3,479,441 |
Schedule of Recorded Investment in Financing Receivables [Table Text Block] | The following tables detail, at the period-end presented, the amount of gross loans (excluding loans held-for-sale) that are evaluated individually, and collectively, for impairment, those acquired with deteriorated quality, and the related portion of the allowance for loan losses (“ALLL”) that are allocated to each loan portfolio segment: June 30, 2017 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) ALLL Individually evaluated for impairment $ - $ 162 $ - $ - $ - $ - $ 162 Collectively evaluated for impairment 7,238 14,227 4,241 985 2 546 27,239 Acquired portfolio - 1,000 - - - - 1,000 Acquired with deteriorated credit quality - - - - - - - Total ALLL $ 7,238 $ 15,389 $ 4,241 $ 985 $ 2 $ 546 $ 28,401 Gross loans Individually evaluated for impairment $ 3,184 $ 17,306 $ 4,271 $ 1,192 $ 52 $ 26,005 Collectively evaluated for impairment 579,510 2,003,595 426,779 185,135 1,489 3,196,508 Acquired portfolio 19,797 449,796 - 64,780 464 534,837 Acquired with deteriorated credit quality 7,951 260 - - - 8,211 Total gross loans $ 610,442 $ 2,470,957 $ 431,050 $ 251,107 $ 2,005 $ 3,765,561 December 31, 2016 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) ALLL Individually evaluated for impairment $ - $ 145 $ - $ - $ - $ - $ 145 Collectively evaluated for impairment 6,632 12,438 4,789 958 3 779 25,599 Acquired portfolio - - - - - - - Acquired with deteriorated credit quality - - - - - - - Total ALLL $ 6,632 $ 12,583 $ 4,789 $ 958 $ 3 $ 779 $ 25,744 Gross loans Individually evaluated for impairment $ 3,637 $ 19,532 $ 5,909 $ 1,851 $ 62 $ 30,991 Collectively evaluated for impairment 517,869 1,621,745 478,865 163,686 1,757 2,783,922 Acquired portfolio 24,972 562,451 1,454 67,010 561 656,448 Acquired with deteriorated credit quality 7,098 982 - - - 8,080 Total gross loans $ 553,576 $ 2,204,710 $ 486,228 $ 232,547 $ 2,380 $ 3,479,441 |
Allowance for Credit Losses on Financing Receivables [Table Text Block] | A summary of the activity in the ALLL is as follows: Three Months Ended June 30, 2017 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) Balance at March 31, 2017 $ 6,667 $ 14,118 $ 4,574 $ 1,008 $ 3 $ 531 $ 26,901 Charge-offs - - - - (10 ) - (10 ) Recoveries 15 45 - - - - 60 Provision 556 1,226 (333 ) (23 ) 9 15 1,450 Balance at June 30, 2017 $ 7,238 $ 15,389 $ 4,241 $ 985 $ 2 $ 546 $ 28,401 Three Months Ended June 30, 2016 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) Balance at March 31, 2016 $ 13,097 $ 10,941 $ 3,617 $ 1,074 $ 4 $ 341 $ 29,074 Charge-offs (72 ) - - - (5 ) - (77 ) Recoveries 1 12 - 2 1 - 16 Provision 2,522 418 423 15 4 368 3,750 Balance at June 30, 2016 $ 15,548 $ 11,371 $ 4,040 $ 1,091 $ 4 $ 709 $ 32,763 Six Months Ended June 30, 2017 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) Balance at December 31, 2016 $ 6,632 $ 12,583 $ 4,789 $ 958 $ 3 $ 779 $ 25,744 Charge-offs - (71 ) - - (11 ) - (82 ) Recoveries 141 48 - - - - 189 Provision 465 2,829 (548 ) 27 10 (233 ) 2,550 Balance at June 30, 2017 $ 7,238 $ 15,389 $ 4,241 $ 985 $ 2 $ 546 $ 28,401 Six Months Ended June 30, 2016 Commercial Commercial Residential Commercial real estate construction real estate Consumer Unallocated Total (dollars in thousands) Balance at December 31, 2015 $ 10,949 $ 10,926 $ 3,253 $ 976 $ 4 $ 464 $ 26,572 Charge-offs (517 ) - - (67 ) (5 ) - (589 ) Recoveries 2 25 - 2 1 - 30 Provision 5,114 420 787 180 4 245 6,750 Balance at June 30, 2016 $ 15,548 $ 11,371 $ 4,040 $ 1,091 $ 4 $ 709 $ 32,763 |
Allowance for Loan and Lease Losses [Table Text Block] | The following table presents a rollforward of TDRs and the related changes to the allowance for loan losses (“ALLL”) that occurred for the periods presented: Six Months Ended Year Ended June 30, 2017 December 31, 2016 (dollars in thousands) Recorded Recorded Investment ALLL Investment ALLL Troubled Debt Restructurings Beginning balance $ 13,818 $ - $ 86,629 $ 4,500 Additions 3,079 - 26,325 8,250 Payoffs/paydowns (1,226 ) - (2,616 ) - Transfers (580 ) - (96,520 ) - Other - - - (12,750 ) Ending balance $ 15,091 $ - $ 13,818 $ - |
Schedule of Debtor Troubled Debt Restructuring, Current Period [Table Text Block] | The following table presents loans by class modified as TDRs that occurred during the six months ended June 30, 2016 (dollars in thousands): Pre-Modification Post-Modification Outstanding Outstanding Number of Recorded Recorded Loans Investment Investment Troubled debt restructurings: (dollars in thousands) Commercial 12 $ 12,018 $ 12,018 Commercial real estate 1 575 575 Commercial construction - - - Residential real estate - - - Consumer - - - Total 13 $ 12,593 $ 12,593 |
Fair Value Measurements and F28
Fair Value Measurements and Fair Value of Financial Instruments (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Fair Value Disclosures [Abstract] | |
Schedule of Fair Value, Assets and Liabilities Measured on Recurring Basis [Table Text Block] | For financial assets and liabilities measured at fair value on a recurring basis, the fair value measurements by level within the fair value hierarchy used at June 30, 2017 and December 31, 2016 are as follows: June 30, 2017 Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) (dollars in thousands) Recurring fair value measurements: Assets Securities: Available-for-sale: Federal agency obligations $ 59,645 $ - $ 59,645 $ - Residential mortgage pass-through securities 140,400 - 140,400 - Commercial mortgage pass-through securities 4,173 - 4,173 - Obligations of U.S. states and political subdivisions 136,354 - 118,371 17,983 Trust preferred securities 4,586 - 4,586 - Corporate bonds and notes 30,288 - 30,288 - Asset-backed securities 13,281 - 13,281 - Certificates of deposit 629 - 629 - Equity securities 604 604 - - Other securities 12,170 12,170 - - Total available-for-sale $ 402,130 $ 12,774 $ 371,373 $ 17,983 Derivatives 45 - 45 - Total Assets $ 402,175 $ 12,774 $ 371,418 $ 17,983 December 31, 2016 Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs (Level 1) (Level 2) (Level 3) (dollars in thousands) Recurring fair value measurements: Assets Securities: Available-for-sale: Federal agency obligations $ 52,837 $ - $ 52,837 $ - Residential mortgage pass-through securities 72,497 - 72,497 - Commercial mortgage pass-through securities 4,209 - 4,209 - Obligations of U.S. states and political subdivisions 150,605 - 132,387 18,218 Trust preferred securities 5,666 - 5,666 - Corporate bonds and notes 36,928 - 36,928 - Asset-backed securities 14,583 - 14,583 - Certificates of deposit 983 - 983 - Equity securities 568 568 - - Other securities 14,414 14,414 - - Total available-for-sale $ 353,290 $ 14,982 $ 320,090 $ 18,218 Derivatives 88 - 88 - Total assets $ 353,378 $ 14,982 $ 320,178 $ 18,218 |
Fair Value, Assets and Liabilities Measured on Nonrecurring Basis, Valuation Techniques [Table Text Block] | For assets measured at fair value on a non-recurring basis, the fair value measurements at June 30, 2017 and December 31, 2016 are as follows: Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Assets Inputs Inputs Assets measured at fair value on a nonrecurring basis: June 30, 2017 (Level 1) (Level 2) (Level 3) Impaired loans: (dollars in thousands) Commercial real estate $ 1,432 $ - $ - $ 1,432 Loans held-for-sale: Commercial 50,891 - - 50,891 Fair Value Measurements at Reporting Date Using Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable December 31, Assets Inputs Inputs Assets measured at fair value on a nonrecurring basis: 2016 (Level 1) (Level 2) (Level 3) Impaired loans: (dollars in thousands) Commercial real estate $ 1,099 $ - $ - $ 1,099 Loans held-for-sale: Commercial 70,105 - 4,509 65,596 Commercial real estate 7,712 - 7,712 - |
Fair Value, Recurring basis [Table Text Block] | The tables below present a reconciliation of all assets measured at fair value on a recurring basis using significant unobservable inputs (Level 3) for the six months ended June 30, 2017 and year ended December 31, 2016: Municipal Securities (dollars in thousands) Beginning balance, January 1, 2017 $ 18,218 Other (1) - Principal paydowns (235 ) Ending balance, June 30, 2017 $ 17,983 Municipal Securities (dollars in thousands) Beginning balance, January 1, 2016 $ - Other (1) 18,335 Principal paydowns (117 ) Ending balance, December 31, 2016 $ 18,218 (1) Includes transfers from held-to-maturity to available-for-sale designation |
Significant unobservable inputs used in fair value measurements [Table Text Block] | The following methods and assumptions were used to estimate the fair values of the CompanyÂ’s assets measured at fair value on a recurring basis at June 30, 2017 and December 31, 2016. The table below provides quantitative information about significant unobservable inputs used in fair value measurements within Level 3 hierarchy. June 30, 2017 Valuation Unobservable Fair Value Techniques Input Range Securities available-for-sale: (dollars in thousands) Municipal securities $ 17,983 Discounted Cash Discount Rate 2.8% Flows December 31, 2016 Valuation Unobservable Fair Value Techniques Input Range Securities available-for-sale: (dollars in thousands) Municipal securities $ 18,218 Discounted Cash Discount Rate 2.8% Flows |
Fair Value Measurements, Nonrecurring [Table Text Block] | The following methods and assumptions were used to estimate the fair values of the CompanyÂ’s assets measured at fair value on a non-recurring basis for the periods presented. The tables below provide quantitative information about significant unobservable inputs used in fair value measurements within Level 3 hierarchy. June 30, 2017 Valuation Techniques Unobservable Type Fair Value (weightings) Input Range (weighted average) ( dollars in thousands) Impaired loans : Commercial real estate $ 1,432 Appraisals of Comparable sales 0% - 15% (6%) Loans held-for-sale: Commercial taxi medallion loans $ 50,891 Market approach Indications under securitized 37 - 100 (45) (70%) transactions expressed as a price to unpaid principal balance Discounted cash flows (30%) Discount Rate 14% December 31, 2016 Valuation Techniques Unobservable Type Fair Value (weightings) Input Range (weighted average) (dollars in thousands) Impaired loans : Commercial real estate $ 1,099 Appraisals of Comparable sales 0% - 15% (6%) collateral value Loans held-for-sale: Commercial taxi medallion loans $ 65,596 Market approach Indications under securitized 40 - 100 (59) (70%) transactions expressed as a price to unpaid principal balance Discounted cash flows (30%) Discount Rate 14% |
Fair Value, by Balance Sheet Grouping [Table Text Block] | The following presents the carrying amount, fair value, and placement in the fair value hierarchy of the CompanyÂ’s financial instruments as of June 30, 2017 and December 31, 2016: Fair Value Measurements Quoted Prices in Active Significant Markets for Other Significant Identical Observable Unobservable Carrying Fair Assets Inputs Inputs Amount Value (Level 1) (Level 2) (Level 3) (dollars in thousands) June 30, 2017 Financial assets: Cash and due from banks $ 146,508 $ 146,508 $ 146,508 $ - $ - Securities available-for-sale 402,130 402,130 12,774 371,373 17,983 Restricted investment in bank stocks 32,152 n/a n/a n/a n/a Loans held-for-sale 51,124 51,124 - 233 50,891 Net loans 3,733,171 3,740,586 - - 3,740,586 Derivatives 45 45 - 45 - Accrued interest receivable 13,194 13,194 - 1,744 11,450 Financial liabilities: Noninterest-bearing deposits 695,522 695,522 695,522 - - Interest-bearing deposits 2,734,851 2,735,530 1,753,548 981,982 - Borrowings 626,173 627,854 - 627,854 - Subordinated debentures 54,616 56,542 - 56,542 - Accrued interest payable 6,044 6,044 - 6,044 - December 31, 2016 Financial assets: Cash and due from banks $ 200,399 $ 200,399 $ 200,399 $ - $ - Securities available-for-sale 353,290 353,290 14,982 320,090 18,218 Restricted investment in bank stocks 24,310 n/a n/a n/a n/a Loans held-for-sale 78,005 78,005 - 12,409 65,596 Net loans 3,450,088 3,462,138 - - 3,462,138 Derivatives 88 88 - 88 - Accrued interest receivable 12,965 12,965 - 2,026 10,939 Financial liabilities: Noninterest-bearing deposits 694,977 694,977 694,977 - - Interest-bearing deposits 2,649,294 2,649,717 1,681,044 968,673 - Borrowings 476,280 478,286 - 478,286 - Subordinated debentures 54,534 55,901 - 55,901 - Accrued interest payable 4,142 4,142 - 4,142 - |
Other Comprehensive Income (L29
Other Comprehensive Income (Loss) (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block] | The following represents the reclassifications out of accumulated other comprehensive (loss) income for the periods presented: Affected Line item in the Details about Accumulated Other Amounts Reclassified from Accumulated Amounts Reclassified from Accumulated Statement Where Net Income is Comprehensive Income Components Other Comprehensive Income/(Loss) Other Comprehensive Income/(Loss) Presented (dollars in thousands) Three Months Ended June 30, Six Months Ended June 30, 2017 2016 2017 2016 Net gains on sales of securities Sale of securities available-for-sale $ - $ (103 ) $ 1,596 $ 103 available for sale - 42 (579 ) (42 ) Income tax expense - (61 ) 1,017 61 Amortization of pension plan net actuarial losses (103 ) - (206 ) (102 ) Salaries and employee benefits 42 - 84 41 Income tax benefit (61 ) - (122 ) (61 ) Total reclassification $ (61 ) $ (61 ) $ 895 $ - |
Comprehensive Income (Loss) [Table Text Block] | Accumulated other comprehensive (loss) income (net of tax) at June 30, 2017 and December 31, 2016 consisted of the following: June 30, December 31, 2017 2016 (dollars in thousands) Securities available-for-sale $ 473 $ 933 Cash flow hedge 26 52 Defined benefit pension and post-retirement plans (3,710 ) (3,831 ) Total accumulated other comprehensive loss $ (3,211 ) $ (2,846 ) |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |
Schedule of Share-based Payment Award, Stock Options, Valuation Assumptions [Table Text Block] | Option activity under the CompanyÂ’s option plans as of and for the six months ended June 30, 2017 were as follows: Weighted- Average Weighted- Remaining Average Contractual Exercise Term Aggregate Shares Price (In Years) Intrinsic Value Outstanding at December 31, 2016 358,367 $ 6.26 Granted - - Exercised (10,846 ) 13.44 Forfeited/cancelled/expired - - Outstanding at June 30, 2017 347,521 $ 6.11 2.20 $ 5,711,643 Exercisable at June 30, 2017 343,991 $ 6.03 2.16 $ 5,682,309 |
Schedule of Nonvested Restricted Stock Units Activity [Table Text Block] | The below table represents information regarding restricted shares currently outstanding at June 30, 2017: Weighted- Average Nonvested Grant Date Shares Fair Value Nonvested at December 31, 2016 111,273 $ 16.81 Granted 56,164 23.82 Vested (65,359 ) 16.46 Forfeited/cancelled/expired - - Nonvested at June 30, 2017 102,078 $ 20.41 |
Schedule of Unearned Performance Unit Awards [Table Text Block] | A summary of the status of unearned performance unit awards and the change during the period is presented in the table below: Weighted Average Grant Units Units Date Fair (expected) (maximum) Value Unearned at December 31, 2016 151,572 189,455 $ 18.47 Awarded 24,891 37,336 22.75 Forfeited - - - Adjustments (25,269 ) - 18.47 Unearned at June 30, 2017 151,194 226,791 $ 19.19 |
Components of Net Periodic Pe31
Components of Net Periodic Pension Cost (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Retirement Benefits [Abstract] | |
Schedule of Net Benefit Costs [Table Text Block] | The following table sets forth the net periodic pension cost of the CompanyÂ’s pension plan for the periods indicated. Three Months Ended Six Months Ended June 30, June 30, 2017 2016 2017 2016 (dollars in thousands) Interest cost $ 120 $ 129 $ 239 $ 257 Expected return on plan assets (160 ) (155 ) (320 ) (291 ) Net amortization 103 102 206 204 Recognized settlement loss - - - - Net periodic pension cost $ 63 $ 76 $ 125 $ 170 Amortization of actuarial loss $ (103 ) $ - $ (204 ) $ (101 ) Total recognized in other comprehensive income $ (103 ) $ - $ (204 ) $ (101 ) Total recognized in net expense and OCI (before tax) $ (40 ) $ 76 $ (79 ) $ 69 |
FHLB Borrowings (Tables)
FHLB Borrowings (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Debt Disclosure [Abstract] | |
Schedule of Long-term Debt Instruments [Table Text Block] | The CompanyÂ’s FHLB borrowings and weighted average interest rates are summarized below: June 30, 2017 December 31, 2016 Amount Rate Amount Rate (dollars in thousands) Total FHLB borrowings $ 626,173 1.56 % $ 461,280 1.55 % By remaining period to maturity: Less than 1 year $ 446,173 1.30 % $ 231,280 1.02 % 1 year through less than 2 years 115,000 1.85 % 130,000 1.84 % 2 years through less than 3 years 25,000 1.85 % 35,000 1.60 % 3 years through less than 4 years 40,000 3.43 % 65,000 2.82 % 4 years through 5 years - - - - Total FHLB borrowings $ 626,173 1.56 % $ 461,280 1.55 % |
Securities Sold under Agreeme33
Securities Sold under Agreements to Repurchase (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Securities Sold Under Agreements To Repurchase Tables | |
Schedule of information concerning repurchase agreements [Table Text Block] | Repurchase agreements are secured borrowings. The Company pledges securities to secure those borrowings. Information concerning repurchase agreements is summarized as follows for the periods presented: June 30, December 31, June 30, 2017 2016 2016 (dollars in thousands) Average daily balance during the year-to-date $ 13,674 $ 15,000 $ 15,000 Average interest rate during the year-to-date 5.95 % 5.95 % 5.95 % Maximum month end balance during the year-to-date $ 15,000 $ 15,000 $ 15,000 Weighted average interest rate during the year-to-date 5.95 % 5.95 % 5.95 % |
Schedule of remaining contractual maturity [Table Text Block] | December 31, 2016 Remaining Contractual Maturity of the Agreements Overnight and Up to 30 Greater Than Continuous Days 31-90 Days 90 Days Total (dollars in thousands) Repurchase agreements & repurchase-to-maturity transaction U.S. Treasury and agency securities $ - $ - $ - $ - $ - Residential mortgage pass-through securities - - - 16,826 16,826 Total borrowings $ - $ - $ - $ 16,826 $ 16,826 Amounts related to agreements not included in offsetting disclosure in Note 14: $ 1,826 |
Subordinated Debentures (Tables
Subordinated Debentures (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Subordinated Borrowings [Abstract] | |
Schedule of Subordinated Debentures [Table Text Block] | The following table summarizes the mandatory redeemable trust preferred securities of the CompanyÂ’s Statutory Trust II at June 30, 2017 and December 31, 2016. Securities Redeemable by Issuance Date Issued Liquidation Value Coupon Rate Maturity Issuer Beginning 12/19/2003 $ 5,000,000 $1,000 per Capital Floating 3-month 01/23/2034 01/23/2009 Security LIBOR + 285 Basis Points |
Offsetting Assets and Liabili35
Offsetting Assets and Liabilities (Tables) | 6 Months Ended |
Jun. 30, 2017 | |
Offsetting Assets And Liabilities Tables | |
Schedule of financial instruments that are eligible for offset [Table Text Block] | The following table presents information about financial instruments that are eligible for offset as of June 30, 2017 and December 31, 2016: Gross Amounts Not Offset Gross Amounts Net Amounts of Cash or Offset in the Assets Presented in Financial Financial Gross Amounts Statement of the Statement of Instruments Instrument Net Recognized Financial Position Financial Position Recognized Collateral Amount (dollars in thousands) June 30, 2017 Assets: Interest rate swaps $ 45 $ - $ 45 $ - $ - $ 45 Liabilities: Repurchase agreements $ - $ - $ - $ - $ - $ - December 31, 2016 Assets: Interest rate swaps $ 88 $ - $ 88 $ - $ - $ 88 Liabilities: Repurchase agreements $ 15,000 $ - $ 15,000 $ - $ 15,000 $ - |
Earnings per Common Share (Deta
Earnings per Common Share (Details) - Schedule of earnings per common share - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Earnings per common share: | ||||
Net income available to common stockholders | $ 7,659 | $ 10,859 | $ 19,499 | $ 21,164 |
Earnings allocated to participating securities | 24 | 64 | 64 | |
Income attributable to common stock | $ 7,683 | $ 10,859 | $ 19,563 | $ 21,228 |
Weighted average common shares outstanding, including participating securities | 32,008 | 30,129 | 31,991 | 30,082 |
Weighted average participating securities | (102) | (112) | (105) | (91) |
Weighted average common shares outstanding | 31,906 | 30,017 | 31,886 | 29,991 |
Incremental shares from assumed conversions of options, performance units and restricted shares | 350 | 355 | 347 | 340 |
Weighted average common and equivalent shares outstanding | 32,256 | 30,372 | 32,233 | 30,331 |
Earnings per common share: | ||||
Basic | $ 0.24 | $ 0.36 | $ 0.61 | $ 0.71 |
Diluted | $ 0.24 | $ 0.36 | $ 0.60 | $ 0.70 |
Securities Available-For-Sale37
Securities Available-For-Sale (Details) $ in Millions | 3 Months Ended | 6 Months Ended | 12 Months Ended |
Sep. 30, 2016USD ($) | Jun. 30, 2017USD ($)Integer | Dec. 31, 2016USD ($)Integer | |
Investments, Debt and Equity Securities [Abstract] | |||
Increase in amortized cost basis of available-for-sale securities | $ 210 | ||
Net increase to accumulated other comprehensive income net of tax | $ 7.4 | ||
Number of Investment Securities Sold | Integer | 82 | 84 | |
Available-for-sale Securities Pledged as Collateral | $ 106 | $ 121.9 | |
Description of Holding Securities | there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholdersÂ’ equity. | there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholdersÂ’ equity. |
Securities Available-For-Sale38
Securities Available-For-Sale (Details) - Unrealized gains on investment securities - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | $ 401,447 | $ 351,928 |
Securities available-for-sale, Gross Unrealized Gains | 3,931 | 4,645 |
Securities available-for-sale, Gross Unrealized Losses | (3,248) | (3,283) |
Securities available-for-sale, Fair Value | 402,130 | 353,290 |
Federal Agency Obligations [Member] | ||
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | 59,509 | 52,826 |
Securities available-for-sale, Gross Unrealized Gains | 317 | 282 |
Securities available-for-sale, Gross Unrealized Losses | (181) | (271) |
Securities available-for-sale, Fair Value | 59,645 | 52,837 |
Residential mortgage pass-through securities [Member] | ||
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | 140,963 | 72,922 |
Securities available-for-sale, Gross Unrealized Gains | 635 | 519 |
Securities available-for-sale, Gross Unrealized Losses | (1,198) | (944) |
Securities available-for-sale, Fair Value | 140,400 | 72,497 |
Commercial mortgage pass-through securities [Member] | ||
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | 4,120 | 4,186 |
Securities available-for-sale, Gross Unrealized Gains | 53 | 23 |
Securities available-for-sale, Gross Unrealized Losses | ||
Securities available-for-sale, Fair Value | 4,173 | 4,209 |
Obligations of U.S. states and political subdivisions [Member] | ||
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | 135,181 | 148,747 |
Securities available-for-sale, Gross Unrealized Gains | 2,309 | 2,789 |
Securities available-for-sale, Gross Unrealized Losses | (1,136) | (931) |
Securities available-for-sale, Fair Value | 136,354 | 150,605 |
Trust Preferred Securities [Member] | ||
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | 4,576 | 5,575 |
Securities available-for-sale, Gross Unrealized Gains | 83 | 242 |
Securities available-for-sale, Gross Unrealized Losses | (73) | (151) |
Securities available-for-sale, Fair Value | 4,586 | 5,666 |
Corporate Bonds And Notes [Member] | ||
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | 30,352 | 36,717 |
Securities available-for-sale, Gross Unrealized Gains | 252 | 586 |
Securities available-for-sale, Gross Unrealized Losses | (316) | (375) |
Securities available-for-sale, Fair Value | 30,288 | 36,928 |
Asset-backed Securities [Member] | ||
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | 13,293 | 14,867 |
Securities available-for-sale, Gross Unrealized Gains | 48 | 2 |
Securities available-for-sale, Gross Unrealized Losses | (60) | (286) |
Securities available-for-sale, Fair Value | 13,281 | 14,583 |
Certificates of Deposit [Member] | ||
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | 622 | 973 |
Securities available-for-sale, Gross Unrealized Gains | 7 | 10 |
Securities available-for-sale, Gross Unrealized Losses | ||
Securities available-for-sale, Fair Value | 629 | 983 |
Equity Securities [Member] | ||
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | 377 | 376 |
Securities available-for-sale, Gross Unrealized Gains | 227 | 192 |
Securities available-for-sale, Gross Unrealized Losses | ||
Securities available-for-sale, Fair Value | 604 | 568 |
Other Securities [Member] | ||
Securities available-for-sale | ||
Securities available-for-sale, Amortized Cost | 12,454 | 14,739 |
Securities available-for-sale, Gross Unrealized Gains | ||
Securities available-for-sale, Gross Unrealized Losses | (284) | (325) |
Securities available-for-sale, Fair Value | $ 12,170 | $ 14,414 |
Securities Available-For-Sale39
Securities Available-For-Sale (Details) - Investments classified by maturity date - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Securities available-for-sale: | ||
Due in one year or less, amortized cost | $ 5,577 | |
Due in one year or less, fair value | 5,602 | |
Due after one year through five years, amortized cost | 29,846 | |
Due after one year through five years, fair value | 30,058 | |
Due after five years through ten years, amortized cost | 39,632 | |
Due after five years through ten years, fair value | 40,261 | |
Due after ten years, amortized cost | 168,478 | |
Due after ten years, fair value | 168,862 | |
Total, amortized cost | 401,447 | $ 351,928 |
Total, fair value | 402,130 | |
Residential mortgage pass-through securities [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Fair Value | 140,400 | |
Total, amortized cost | 140,963 | 72,922 |
Commercial mortgage pass-through securities [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Fair Value | 4,173 | |
Total, amortized cost | 4,120 | 4,186 |
Equity Securities [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Fair Value | 604 | |
Total, amortized cost | 377 | 376 |
Other Securities [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Fair Value | 12,170 | |
Total, amortized cost | $ 12,454 | $ 14,739 |
Securities Available-For-Sale40
Securities Available-For-Sale (Details) - Schedule of realized gains and losses - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Schedule of realized gains and losses [Abstract] | ||||
Proceeds | $ 6,573 | $ 29,543 | $ 6,573 | |
Gross gains on sales of securities | 103 | 1,596 | 103 | |
Gross losses on sales of securities | ||||
Net gains on sales of securities | 103 | 1,596 | 103 | |
Less: tax provision on net gains | 42 | 579 | 42 | |
Net gains on sales of securities, after tax | $ 61 | $ 1,017 | $ 61 |
Securities Available-For-Sale41
Securities Available-For-Sale (Details) - Schedule of unrealized losses not recognized in income - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Securities available-for-sale: | ||
Securities available-for-sale: Total, Fair Value | $ 206,265 | $ 167,343 |
Securities available-for-sale: Total, Unrealized Losses | (3,248) | (3,283) |
Securities available-for-sale: Less than 12 Months, Fair Value | 179,415 | 134,954 |
Securities available-for-sale: Less than 12 Months, Unrealized Losses | (2,699) | (2,483) |
Securities available-for-sale: 12 Months or Longer, Fair Value | 26,850 | 32,389 |
Securities available-for-sale: 12 Months or Longer, Unrealized Losses | (549) | (800) |
Federal Agency Obligations [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Total, Fair Value | 22,344 | 22,672 |
Securities available-for-sale: Total, Unrealized Losses | (181) | (271) |
Securities available-for-sale: Less than 12 Months, Fair Value | 21,184 | 21,416 |
Securities available-for-sale: Less than 12 Months, Unrealized Losses | (177) | (262) |
Securities available-for-sale: 12 Months or Longer, Fair Value | 1,160 | 1,256 |
Securities available-for-sale: 12 Months or Longer, Unrealized Losses | (4) | (9) |
Residential mortgage pass-through securities [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Total, Fair Value | 88,378 | 50,136 |
Securities available-for-sale: Total, Unrealized Losses | (1,198) | (944) |
Securities available-for-sale: Less than 12 Months, Fair Value | 86,925 | 49,817 |
Securities available-for-sale: Less than 12 Months, Unrealized Losses | (1,161) | (937) |
Securities available-for-sale: 12 Months or Longer, Fair Value | 1,453 | 319 |
Securities available-for-sale: 12 Months or Longer, Unrealized Losses | (37) | (7) |
Obligation Of Us States And Political Subdivisions [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Total, Fair Value | 58,315 | 52,307 |
Securities available-for-sale: Total, Unrealized Losses | (1,136) | (931) |
Securities available-for-sale: Less than 12 Months, Fair Value | 58,315 | 52,307 |
Securities available-for-sale: Less than 12 Months, Unrealized Losses | (1,136) | (931) |
Securities available-for-sale: 12 Months or Longer, Fair Value | ||
Securities available-for-sale: 12 Months or Longer, Unrealized Losses | ||
Trust Preferred Securities [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Total, Fair Value | 1,505 | 1,427 |
Securities available-for-sale: Total, Unrealized Losses | (73) | (151) |
Securities available-for-sale: Less than 12 Months, Fair Value | ||
Securities available-for-sale: Less than 12 Months, Unrealized Losses | ||
Securities available-for-sale: 12 Months or Longer, Fair Value | 1,505 | 1,427 |
Securities available-for-sale: 12 Months or Longer, Unrealized Losses | (73) | (151) |
Corporate Bonds And Notes [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Total, Fair Value | 16,292 | 15,930 |
Securities available-for-sale: Total, Unrealized Losses | (316) | (375) |
Securities available-for-sale: Less than 12 Months, Fair Value | 7,086 | 7,671 |
Securities available-for-sale: Less than 12 Months, Unrealized Losses | (164) | (265) |
Securities available-for-sale: 12 Months or Longer, Fair Value | 9,206 | 8,259 |
Securities available-for-sale: 12 Months or Longer, Unrealized Losses | (152) | (110) |
Asset-backed Securities [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Total, Fair Value | 8,249 | 13,404 |
Securities available-for-sale: Total, Unrealized Losses | (60) | (286) |
Securities available-for-sale: Less than 12 Months, Fair Value | 3,743 | |
Securities available-for-sale: Less than 12 Months, Unrealized Losses | (88) | |
Securities available-for-sale: 12 Months or Longer, Fair Value | 8,249 | 9,661 |
Securities available-for-sale: 12 Months or Longer, Unrealized Losses | (60) | (198) |
Other Securities [Member] | ||
Securities available-for-sale: | ||
Securities available-for-sale: Total, Fair Value | 11,182 | 11,467 |
Securities available-for-sale: Total, Unrealized Losses | (284) | (325) |
Securities available-for-sale: Less than 12 Months, Fair Value | 5,905 | |
Securities available-for-sale: Less than 12 Months, Unrealized Losses | (61) | |
Securities available-for-sale: 12 Months or Longer, Fair Value | 5,277 | 11,467 |
Securities available-for-sale: 12 Months or Longer, Unrealized Losses | $ (223) | $ (325) |
Derivatives (Details)
Derivatives (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||||||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Apr. 13, 2017 | Aug. 24, 2015 | Dec. 30, 2014 | Oct. 15, 2014 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | ||||||||
Notional Amount of Interest Rate Cash Flow Hedge Derivatives | $ 25,000 | $ 25,000 | $ 25,000 | $ 25,000 | ||||
Interest expense on derivatives | $ 124 | $ 176 | $ 232 | $ 367 |
Derivatives (Details) - Summary
Derivatives (Details) - Summary of interest rate swap designated as a cash flow hedges - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | |
Summary of interest rate swap designated as a cash flow hedges [Abstract] | |||
Notional amount | $ 100,000 | $ 75,000 | $ 75,000 |
Weighted average pay rates | 1.62% | 1.58% | 1.59% |
Weighted average receive rates | 1.08% | 0.65% | 0.69% |
Weighted average maturity | 2 years 11 months 19 days | 3 years 3 months 19 days | 2 years 9 months 18 days |
Fair value | $ 45 | $ (1,856) | $ 88 |
Derivatives (Details) - Summa44
Derivatives (Details) - Summary of net gains (losses) recorded in accumulated other comprehensive income - Interest Rate Contract [Member] - USD ($) $ in Thousands | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Derivatives (Details) - Summary of net gains (losses) recorded in accumulated other comprehensive income and statements of income relating to cash flow derivative instruments [Line Items] | ||
Amount of gain (loss) recognized in OCI (Effective Portion) | $ (43) | $ (1,725) |
Amount of gain (loss) reclassified from OCI to interest income | ||
Amount of gain (loss) recognized in other Noninterest income (Ineffective Portion) |
Derivatives (Details) - Summa45
Derivatives (Details) - Summary of cash flow hedges included in the consolidated balance sheets - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Included in Assets: | ||
Interest rate swaps related to FHLB advances included in assets, Fair Value | $ 45 | $ 88 |
Interest Rate Swap [Member] | ||
Included in Assets: | ||
Interest rate swaps related to FHLB advances included in assets, Notional Amount | 100,000 | 75,000 |
Interest rate swaps related to FHLB advances included in assets, Fair Value | $ 45 | $ 88 |
Loans and the Allowance for L46
Loans and the Allowance for Loan Losses (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | 12 Months Ended | ||
Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | Dec. 31, 2015 | |
LOANS AND THE ALLOWANCE FOR LOAN LOSSES (Details) [Line Items] | |||||
Non Accrual Contractual Due | 90 days | ||||
Loans held-for-sale, Carrying Amount | $ 51,124 | $ 78,005 | |||
Loans Pledged as Collateral | 1,800,000 | 1,800,000 | |||
Loans performing under the restructured terms | 10,200 | $ 97,800 | 13,300 | ||
Loans and Leases Receivable, Impaired, Interest Lost on Nonaccrual Loans | 4,900 | 1,400 | 500 | ||
Troubled debt restructurings | 15,100 | 99,200 | 13,800 | ||
Allowance for Loan and Lease Losses Period Increase Decrease Due to Trouble Debt Restructuring | $ 1,500 | $ 10,100 | 3,300 | ||
Valuation per Medallion Amount | 750 | 750 | |||
Specific allocations associated with taxi medallion, fair value | $ 7,800 | 7,800 | $ 4,500 | ||
Increase in allowance for loan and lease losses | $ 108 | ||||
Number of loans | Eight loans were accruing prior to modification, while seven remained in accrual status post-modification. | ||||
Commercial loans held-for-sale segment [Member] | |||||
LOANS AND THE ALLOWANCE FOR LOAN LOSSES (Details) [Line Items] | |||||
Loans held-for-sale, Carrying Amount | $ 50,900 | 65,600 | |||
Loans held-for-sale net of valuation allowance | $ 12,300 | $ 0 |
Loans and the Allowance for L47
Loans and the Allowance for Loan Losses (Details) - Loans held-for-sale - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Loans and the Allowance for Loan and Lease Losses (Details) - Purchase credit impaired loans [Line Items] | ||
Total carrying amount | $ 51,124 | $ 78,005 |
Commercial Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Purchase credit impaired loans [Line Items] | ||
Total carrying amount | 50,891 | 70,105 |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Purchase credit impaired loans [Line Items] | ||
Total carrying amount | 7,712 | |
Residential Real Estate Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Purchase credit impaired loans [Line Items] | ||
Total carrying amount | $ 233 | $ 188 |
Loans and the Allowance for L48
Loans and the Allowance for Loan Losses (Details) - Schedule of Activity in the valuation allowance - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Schedule of accretable yield, or income expected to be collected [Abstract] | ||||
Balance at beginning of period | $ 2,600 | |||
Increase in valuation allowance | 9,725 | 12,325 | ||
Balance at end of period | $ 12,325 | $ 12,325 |
Loans and the Allowance for L49
Loans and the Allowance for Loan Losses (Details) - Composition of loan portfolio - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | $ 3,765,561 | $ 3,479,441 |
Net deferred loan fees | (3,989) | (3,609) |
Total loans receivable | 3,761,572 | 3,475,832 |
Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | 610,442 | 553,576 |
Commercial Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | 2,470,957 | 2,204,710 |
Commercial Construction Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | 431,050 | 486,228 |
Residential Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | 251,107 | 232,547 |
Consumer Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Gross loans | $ 2,005 | $ 2,380 |
Loans and the Allowance for L50
Loans and the Allowance for Loan Losses (Details) - Purchased Credit-Impaired Loans - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total carrying amount | $ 8,211 | $ 8,080 |
Commercial Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total carrying amount | 7,951 | 7,098 |
Commercial Real Estate Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total carrying amount | $ 260 | $ 982 |
Loans and the Allowance for L51
Loans and the Allowance for Loan Losses (Details) - Schedule of accretable yield, or income expected to be collected - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Schedule of accretable yield, or income expected to be collected [Abstract] | ||||
Balance at beginning of period | $ 2,674 | $ 3,416 | $ 2,860 | $ 3,599 |
Accretion of income | (178) | (183) | (364) | (366) |
Balance at end of period | $ 2,496 | $ 3,233 | $ 2,496 | $ 3,233 |
Loans and the Allowance for L52
Loans and the Allowance for Loan Losses (Details) - Loans receivable on nonaccrual status - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Loans and the Allowance for Loan and Lease Losses (Details) - Loans receivable on nonaccrual status [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | $ 14,055 | $ 5,734 |
Commercial Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Loans receivable on nonaccrual status [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 1,351 | 1,460 |
Commercial Real Estate Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Loans receivable on nonaccrual status [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | 8,571 | 1,081 |
Residential Real Estate Portfolio Segment [Member] | ||
Loans and the Allowance for Loan and Lease Losses (Details) - Loans receivable on nonaccrual status [Line Items] | ||
Financing Receivable, Recorded Investment, Nonaccrual Status | $ 4,133 | $ 3,193 |
Loans and the Allowance for L53
Loans and the Allowance for Loan Losses (Details) - Credit quality indicators - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | $ 3,765,561 | $ 3,479,441 |
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 610,442 | 553,576 |
Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 2,470,957 | 2,204,710 |
Commercial Construction Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 431,050 | 486,228 |
Residential Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 251,107 | 232,547 |
Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 2,005 | 2,380 |
Pass [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 3,692,834 | 3,405,931 |
Pass [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 597,308 | 539,961 |
Pass [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 2,421,030 | 2,154,343 |
Pass [Member] | Commercial Construction Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 425,713 | 480,319 |
Pass [Member] | Residential Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 246,830 | 228,990 |
Pass [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 1,953 | 2,318 |
Special Mention [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 35,230 | 37,816 |
Special Mention [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 3,062 | 3,255 |
Special Mention [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 29,352 | 31,173 |
Special Mention [Member] | Commercial Construction Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 2,816 | 3,388 |
Special Mention [Member] | Residential Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | ||
Special Mention [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | ||
Substandard [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 37,497 | 35,694 |
Substandard [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 10,072 | 10,360 |
Substandard [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 20,575 | 19,194 |
Substandard [Member] | Commercial Construction Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 2,521 | 2,521 |
Substandard [Member] | Residential Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 4,277 | 3,557 |
Substandard [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | 52 | 62 |
Doubtful [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | ||
Doubtful [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | ||
Doubtful [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | ||
Doubtful [Member] | Commercial Construction Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | ||
Doubtful [Member] | Residential Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans | ||
Doubtful [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment [Line Items] | ||
Gross loans |
Loans and the Allowance for L54
Loans and the Allowance for Loan Losses (Details) - Schedule of analysis of impaired loans, by class - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | |
Financing Receivable, Impaired [Line Items] | |||||
No related allowance recorded, Recorded Investment | $ 24,079 | $ 24,079 | $ 29,747 | ||
No related allowance recorded, Unpaid Principal Balance | 24,326 | 24,326 | 30,377 | ||
Impaired loans with No Related Allowance Average Recorded Investment | 24,182 | $ 23,894 | 23,288 | $ 23,974 | |
Impaired loans with No Related Allowance Interest Income Recognized | 210 | 69 | 441 | 118 | |
Impaired loans With An Allowance Recorded Average Recorded Investment | 1,933 | 93,413 | 1,941 | 88,844 | |
Impaired loans With An Allowance Recorded Interest Income Recognized | 33 | 784 | 38 | 1,522 | |
Total, Recorded Investment | 26,005 | 26,005 | 30,991 | ||
Total, Unpaid Principal Balance | 26,664 | 26,664 | 31,621 | ||
Total, Related Allowance | 162 | 162 | 145 | ||
Total Impaired Loans Average Recorded Investment | 26,115 | 117,307 | 25,229 | 112,818 | |
Total Impaired Loans Interest Income Recognized | 234 | 853 | 479 | 1,640 | |
Commercial Portfolio Segment [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
No related allowance recorded, Recorded Investment | 3,184 | 3,184 | 3,637 | ||
No related allowance recorded, Unpaid Principal Balance | 3,197 | 3,197 | 4,063 | ||
Impaired loans with No Related Allowance Average Recorded Investment | 3,209 | 2,370 | 3,230 | 2,337 | |
Impaired loans with No Related Allowance Interest Income Recognized | 42 | 20 | 81 | 20 | |
Impaired loans With An Allowance Recorded Average Recorded Investment | 93,260 | 88,691 | |||
Impaired loans With An Allowance Recorded Interest Income Recognized | 784 | 1,522 | |||
Total, Recorded Investment | 3,184 | 3,184 | 3,637 | ||
Total, Unpaid Principal Balance | 3,197 | 3,197 | 4,063 | ||
Total, Related Allowance | |||||
Total Impaired Loans Average Recorded Investment | 3,209 | 95,630 | 3,230 | 91,028 | |
Total Impaired Loans Interest Income Recognized | 42 | 804 | 81 | 1,542 | |
Commercial Real Estate Portfolio Segment [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
No related allowance recorded, Recorded Investment | 15,380 | 15,380 | 18,288 | ||
No related allowance recorded, Unpaid Principal Balance | 15,405 | 15,405 | 18,288 | ||
Impaired loans with No Related Allowance Average Recorded Investment | 15,456 | 16,072 | 14,526 | 15,623 | |
Impaired loans with No Related Allowance Interest Income Recognized | 97 | 27 | 203 | 53 | |
With an allowance recorded, Recorded Investment | 1,926 | 1,926 | 1,244 | ||
With an allowance recorded, Unpaid Principal Balance | 2,338 | 2,338 | 1,245 | ||
With an allowance recorded, Related Allowance | 162 | 162 | 145 | ||
Impaired loans With An Allowance Recorded Average Recorded Investment | 1,933 | 153 | 1,941 | 153 | |
Impaired loans With An Allowance Recorded Interest Income Recognized | 33 | 38 | |||
Total, Recorded Investment | 17,306 | 17,306 | 19,532 | ||
Total, Unpaid Principal Balance | 17,743 | 17,743 | 19,532 | ||
Total, Related Allowance | 162 | 162 | 145 | ||
Total Impaired Loans Average Recorded Investment | 17,389 | 16,225 | 16,467 | 15,776 | |
Total Impaired Loans Interest Income Recognized | 130 | 27 | 241 | 53 | |
Commercial Construction Portfolio Segment [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
No related allowance recorded, Recorded Investment | 4,271 | 4,271 | 5,909 | ||
No related allowance recorded, Unpaid Principal Balance | 4,271 | 4,271 | 5,909 | ||
Impaired loans with No Related Allowance Average Recorded Investment | 4,263 | 1,426 | 4,266 | 1,911 | |
Impaired loans with No Related Allowance Interest Income Recognized | 69 | 16 | 152 | 33 | |
Total, Recorded Investment | 4,271 | 4,271 | 5,909 | ||
Total, Unpaid Principal Balance | 4,271 | 4,271 | 5,909 | ||
Total, Related Allowance | |||||
Total Impaired Loans Average Recorded Investment | 4,263 | 1,426 | 4,266 | 1,911 | |
Total Impaired Loans Interest Income Recognized | 69 | 16 | 152 | 33 | |
Residential Real Estate Portfolio Segment [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
No related allowance recorded, Recorded Investment | 1,192 | 1,192 | 1,851 | ||
No related allowance recorded, Unpaid Principal Balance | 1,401 | 1,401 | 2,055 | ||
Impaired loans with No Related Allowance Average Recorded Investment | 1,200 | 3,947 | 1,210 | 4,021 | |
Impaired loans with No Related Allowance Interest Income Recognized | 2 | 5 | 4 | 10 | |
Total, Recorded Investment | 1,192 | 1,192 | 1,851 | ||
Total, Unpaid Principal Balance | 1,401 | 1,401 | 2,055 | ||
Total, Related Allowance | |||||
Total Impaired Loans Average Recorded Investment | 1,200 | 3,947 | 1,210 | 4,021 | |
Total Impaired Loans Interest Income Recognized | 2 | 5 | 4 | 10 | |
Consumer Portfolio Segment [Member] | |||||
Financing Receivable, Impaired [Line Items] | |||||
No related allowance recorded, Recorded Investment | 52 | 52 | 62 | ||
No related allowance recorded, Unpaid Principal Balance | 52 | 52 | 62 | ||
Impaired loans with No Related Allowance Average Recorded Investment | 54 | 79 | 56 | 82 | |
Impaired loans with No Related Allowance Interest Income Recognized | 1 | 1 | 2 | ||
Total, Recorded Investment | 52 | 52 | 62 | ||
Total, Unpaid Principal Balance | 52 | 52 | 62 | ||
Total, Related Allowance | |||||
Total Impaired Loans Average Recorded Investment | 54 | 79 | 56 | 82 | |
Total Impaired Loans Interest Income Recognized | $ 1 | $ 1 | $ 2 |
Loans and the Allowance for L55
Loans and the Allowance for Loan Losses (Details) - Aging analysis - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual | $ 14,055 | $ 5,734 |
Total Past Due and Nonaccrual | 21,290 | 20,551 |
Current | 3,744,271 | 3,458,890 |
Gross Loans | 3,765,561 | 3,479,441 |
Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual | 1,351 | 1,460 |
Total Past Due and Nonaccrual | 7,374 | 6,583 |
Current | 603,068 | 546,993 |
Gross Loans | 610,442 | 553,576 |
Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual | 8,571 | 1,081 |
Total Past Due and Nonaccrual | 8,571 | 8,256 |
Current | 2,462,386 | 2,196,454 |
Gross Loans | 2,470,957 | 2,204,710 |
Commercial Construction Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual | ||
Total Past Due and Nonaccrual | 460 | |
Current | 430,590 | 486,228 |
Gross Loans | 431,050 | 486,228 |
Residential Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual | 4,133 | 3,193 |
Total Past Due and Nonaccrual | 4,878 | 5,712 |
Current | 246,229 | 226,835 |
Gross Loans | 251,107 | 232,547 |
Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Nonaccrual | ||
Total Past Due and Nonaccrual | 7 | |
Current | 1,998 | 2,380 |
Gross Loans | 2,005 | 2,380 |
30 - 59 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 461 | 7,534 |
30 - 59 Days Past Due [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 454 | 475 |
30 - 59 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 4,928 | |
30 - 59 Days Past Due [Member] | Commercial Construction Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | ||
30 - 59 Days Past Due [Member] | Residential Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 2,131 | |
30 - 59 Days Past Due [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 7 | |
60 - 89 Days Past Due [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 1,223 | 1,990 |
60 - 89 Days Past Due [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 18 | 18 |
60 - 89 Days Past Due [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 1,584 | |
60 - 89 Days Past Due [Member] | Commercial Construction Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 460 | |
60 - 89 Days Past Due [Member] | Residential Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 745 | 388 |
60 - 89 Days Past Due [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | ||
90 Days or Greater Past Due and Still Accruing [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 5,551 | 5,293 |
90 Days or Greater Past Due and Still Accruing [Member] | Commercial Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 5,551 | 4,630 |
90 Days or Greater Past Due and Still Accruing [Member] | Commercial Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | 663 | |
90 Days or Greater Past Due and Still Accruing [Member] | Commercial Construction Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | ||
90 Days or Greater Past Due and Still Accruing [Member] | Residential Real Estate Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual | ||
90 Days or Greater Past Due and Still Accruing [Member] | Consumer Portfolio Segment [Member] | ||
Financing Receivable, Recorded Investment, Past Due [Line Items] | ||
Total Past Due and Nonaccrual |
Loans and the Allowance for L56
Loans and the Allowance for Loan Losses (Details) - Allowance for loan and lease losses - USD ($) $ in Thousands | Jun. 30, 2017 | Mar. 31, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | Mar. 31, 2016 | Dec. 31, 2015 |
ALLL | ||||||
ALLL, individually evaluated for impairment | $ 162 | $ 145 | ||||
ALLL, collectively evaluated for impairment | 27,239 | 25,599 | ||||
ALLL, acquired portfolio | 1,000 | |||||
ALLL, acquired with deteriorated credit quality | ||||||
Total ALLL | 28,401 | $ 26,901 | 25,744 | $ 32,763 | $ 29,074 | $ 26,572 |
Gross loans | ||||||
Loans Receivable, individually evaluated for impairment | 26,005 | 30,991 | ||||
Loans Receivable, collectively evaluated for impairment | 3,196,508 | 2,783,922 | ||||
Loans Receivable, acquired portfolio | 534,837 | 656,448 | ||||
Loans Receivables, acquired with deteriorated credit quality | 8,211 | 8,080 | ||||
Total gross loans | 3,765,561 | 3,479,441 | ||||
Commercial Portfolio Segment [Member] | ||||||
ALLL | ||||||
ALLL, individually evaluated for impairment | ||||||
ALLL, collectively evaluated for impairment | 7,238 | 6,632 | ||||
ALLL, acquired portfolio | ||||||
ALLL, acquired with deteriorated credit quality | ||||||
Total ALLL | 7,238 | 6,667 | 6,632 | 15,548 | 13,097 | 10,949 |
Gross loans | ||||||
Loans Receivable, individually evaluated for impairment | 3,184 | 3,637 | ||||
Loans Receivable, collectively evaluated for impairment | 579,510 | 517,869 | ||||
Loans Receivable, acquired portfolio | 19,797 | 24,972 | ||||
Loans Receivables, acquired with deteriorated credit quality | 7,951 | 7,098 | ||||
Total gross loans | 610,442 | 553,576 | ||||
Commercial Real Estate Portfolio Segment [Member] | ||||||
ALLL | ||||||
ALLL, individually evaluated for impairment | 162 | 145 | ||||
ALLL, collectively evaluated for impairment | 14,227 | 12,438 | ||||
ALLL, acquired portfolio | 1,000 | |||||
ALLL, acquired with deteriorated credit quality | ||||||
Total ALLL | 15,389 | 14,118 | 12,583 | 11,371 | 10,941 | 10,926 |
Gross loans | ||||||
Loans Receivable, individually evaluated for impairment | 17,306 | 19,532 | ||||
Loans Receivable, collectively evaluated for impairment | 2,003,595 | 1,621,745 | ||||
Loans Receivable, acquired portfolio | 449,796 | 562,451 | ||||
Loans Receivables, acquired with deteriorated credit quality | 260 | 982 | ||||
Total gross loans | 2,470,957 | 2,204,710 | ||||
Commercial Construction Portfolio Segment [Member] | ||||||
ALLL | ||||||
ALLL, individually evaluated for impairment | ||||||
ALLL, collectively evaluated for impairment | 4,241 | 4,789 | ||||
ALLL, acquired portfolio | ||||||
ALLL, acquired with deteriorated credit quality | ||||||
Total ALLL | 4,241 | 4,574 | 4,789 | 4,040 | 3,617 | 3,253 |
Gross loans | ||||||
Loans Receivable, individually evaluated for impairment | 4,271 | 5,909 | ||||
Loans Receivable, collectively evaluated for impairment | 426,779 | 478,865 | ||||
Loans Receivable, acquired portfolio | 1,454 | |||||
Loans Receivables, acquired with deteriorated credit quality | ||||||
Total gross loans | 431,050 | 486,228 | ||||
Residential Real Estate Portfolio Segment [Member] | ||||||
ALLL | ||||||
ALLL, individually evaluated for impairment | ||||||
ALLL, collectively evaluated for impairment | 985 | 958 | ||||
ALLL, acquired portfolio | ||||||
ALLL, acquired with deteriorated credit quality | ||||||
Total ALLL | 985 | 1,008 | 958 | 1,091 | 1,074 | 976 |
Gross loans | ||||||
Loans Receivable, individually evaluated for impairment | 1,192 | 1,851 | ||||
Loans Receivable, collectively evaluated for impairment | 185,135 | 163,686 | ||||
Loans Receivable, acquired portfolio | 64,780 | 67,010 | ||||
Loans Receivables, acquired with deteriorated credit quality | ||||||
Total gross loans | 251,107 | 232,547 | ||||
Consumer Portfolio Segment [Member] | ||||||
ALLL | ||||||
ALLL, individually evaluated for impairment | ||||||
ALLL, collectively evaluated for impairment | 2 | 3 | ||||
ALLL, acquired portfolio | ||||||
ALLL, acquired with deteriorated credit quality | ||||||
Total ALLL | 2 | 3 | 3 | 4 | 4 | 4 |
Gross loans | ||||||
Loans Receivable, individually evaluated for impairment | 52 | 62 | ||||
Loans Receivable, collectively evaluated for impairment | 1,489 | 1,757 | ||||
Loans Receivable, acquired portfolio | 464 | 561 | ||||
Loans Receivables, acquired with deteriorated credit quality | ||||||
Total gross loans | 2,005 | 2,380 | ||||
Unallocated [Member] | ||||||
ALLL | ||||||
ALLL, individually evaluated for impairment | ||||||
ALLL, collectively evaluated for impairment | 546 | 779 | ||||
ALLL, acquired portfolio | ||||||
ALLL, acquired with deteriorated credit quality | ||||||
Total ALLL | $ 546 | $ 531 | $ 779 | $ 709 | $ 341 | $ 464 |
Loans and the Allowance for L57
Loans and the Allowance for Loan Losses (Details) - Schedule of allowance for loan losses - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Balance | $ 26,901 | $ 29,074 | $ 25,744 | $ 26,572 |
Charge-offs | (10) | (77) | (82) | (589) |
Recoveries | 60 | 16 | 189 | 30 |
Provision | 1,450 | 3,750 | 2,550 | 6,750 |
Balance | 28,401 | 32,763 | 28,401 | 32,763 |
Commercial Portfolio Segment [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Balance | 6,667 | 13,097 | 6,632 | 10,949 |
Charge-offs | (72) | (517) | ||
Recoveries | 15 | 1 | 141 | 2 |
Provision | 556 | 2,522 | 465 | 5,114 |
Balance | 7,238 | 15,548 | 7,238 | 15,548 |
Commercial Real Estate Portfolio Segment [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Balance | 14,118 | 10,941 | 12,583 | 10,926 |
Charge-offs | (71) | |||
Recoveries | 45 | 12 | 48 | 25 |
Provision | 1,226 | 418 | 2,829 | 420 |
Balance | 15,389 | 11,371 | 15,389 | 11,371 |
Commercial Construction Portfolio Segment [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Balance | 4,574 | 3,617 | 4,789 | 3,253 |
Charge-offs | ||||
Recoveries | ||||
Provision | (333) | 423 | (548) | 787 |
Balance | 4,241 | 4,040 | 4,241 | 4,040 |
Residential Real Estate Portfolio Segment [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Balance | 1,008 | 1,074 | 958 | 976 |
Charge-offs | (67) | |||
Recoveries | 2 | 2 | ||
Provision | (23) | 15 | 27 | 180 |
Balance | 985 | 1,091 | 985 | 1,091 |
Consumer Portfolio Segment [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Balance | 3 | 4 | 3 | 4 |
Charge-offs | (10) | (5) | (11) | (5) |
Recoveries | 1 | 1 | ||
Provision | 9 | 4 | 10 | 4 |
Balance | 2 | 4 | 2 | 4 |
Unallocated [Member] | ||||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||||
Balance | 531 | 341 | 779 | 464 |
Charge-offs | ||||
Recoveries | ||||
Provision | 15 | 368 | (233) | 245 |
Balance | $ 546 | $ 709 | $ 546 | $ 709 |
Loans and the Allowance for L58
Loans and the Allowance for Loan Losses (Details) - Loans by segment modified as troubled debt restructurings - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Dec. 31, 2016 | |
Recorded Investment [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | $ 13,818 | $ 86,629 |
Additions | 3,079 | 26,325 |
Payoffs/paydowns | (1,226) | (2,616) |
Transfers | (580) | (96,520) |
Other | ||
Ending balance | 15,091 | 13,818 |
ALLL [Member] | ||
Financing Receivable, Allowance for Credit Losses [Line Items] | ||
Beginning balance | 4,500 | |
Additions | 8,250 | |
Payoffs/paydowns | ||
Transfers | ||
Other | (12,750) | |
Ending balance |
Loans and the Allowance for L59
Loans and the Allowance for Loan Losses (Details) - Schedule of troubled debt restructuring by class $ in Thousands | 6 Months Ended |
Jun. 30, 2016USD ($)Integer | |
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | |
Number of Loans | Integer | 13 |
Pre-Modification Outstanding Recorded Investment | $ 12,593 |
Post-Modification Outstanding Recorded Investment | $ 12,593 |
Commercial Portfolio Segment [Member] | |
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | |
Number of Loans | Integer | 12 |
Pre-Modification Outstanding Recorded Investment | $ 12,018 |
Post-Modification Outstanding Recorded Investment | $ 12,018 |
Commercial Real Estate Portfolio Segment [Member] | |
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | |
Number of Loans | Integer | 1 |
Pre-Modification Outstanding Recorded Investment | $ 575 |
Post-Modification Outstanding Recorded Investment | $ 575 |
Commercial Construction Portfolio Segment [Member] | |
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | |
Number of Loans | Integer | |
Pre-Modification Outstanding Recorded Investment | |
Post-Modification Outstanding Recorded Investment | |
Residential Real Estate Portfolio Segment [Member] | |
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | |
Number of Loans | Integer | |
Pre-Modification Outstanding Recorded Investment | |
Post-Modification Outstanding Recorded Investment | |
Consumer Portfolio Segment [Member] | |
Troubled Debt Restructuring, Debtor, Current Period [Line Items] | |
Number of Loans | Integer | |
Pre-Modification Outstanding Recorded Investment | |
Post-Modification Outstanding Recorded Investment |
Fair Value Measurements and F60
Fair Value Measurements and Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Impaired Financing Receivable, Related Allowance | $ 162 | $ 145 |
Loans held-for-sale requiring valuation allowance, gross carrying amount | 63,200 | 65,600 |
Loans held-for-sale requiring valuation allowance, amount of allowance | 12,300 | |
Impaired Loans [Member] | ||
Impaired Financing Receivable, with Related Allowance, Recorded Investment | 800 | 1,200 |
Impaired Financing Receivable, Related Allowance | $ 100 | $ 100 |
Fair Value Measurements and F61
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of Fair Value on a recurring basis - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Assets | ||
Securities: Available-for-sale, Fair Value | $ 402,130 | $ 353,290 |
Derivatives | 45 | 88 |
Assets: Available-for-sale, Fair Value | 402,175 | 353,378 |
Federal Agency Obligations [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 59,645 | 52,837 |
Residential mortgage pass-through securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 140,400 | 72,497 |
Commercial mortgage pass-through securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 4,173 | 4,209 |
Obligations of U.S. states and political subdivisions [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 136,354 | 150,605 |
Trust Preferred Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 4,586 | 5,666 |
Corporate Bonds And Notes [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 30,288 | 36,928 |
Asset-backed Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 13,281 | 14,583 |
Certificates of Deposit [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 629 | 983 |
Equity Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 604 | 568 |
Other Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 12,170 | 14,414 |
Fair Value, Inputs, Level 1 [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 12,774 | 14,982 |
Derivatives | ||
Assets: Available-for-sale, Fair Value | 12,774 | 14,982 |
Fair Value, Inputs, Level 1 [Member] | Federal Agency Obligations [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 1 [Member] | Residential mortgage pass-through securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 1 [Member] | Commercial mortgage pass-through securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 1 [Member] | Obligations of U.S. states and political subdivisions [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 1 [Member] | Trust Preferred Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 1 [Member] | Corporate Bonds And Notes [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 1 [Member] | Asset-backed Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 1 [Member] | Equity Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 604 | 568 |
Fair Value, Inputs, Level 1 [Member] | Other Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 12,170 | 14,414 |
Fair Value, Inputs, Level 1 [Member] | Certificate Of Deposit [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 2 [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 371,373 | 320,090 |
Derivatives | 45 | 88 |
Assets: Available-for-sale, Fair Value | 371,418 | 320,178 |
Fair Value, Inputs, Level 2 [Member] | Federal Agency Obligations [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 59,645 | 52,837 |
Fair Value, Inputs, Level 2 [Member] | Residential mortgage pass-through securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 140,400 | 72,497 |
Fair Value, Inputs, Level 2 [Member] | Commercial mortgage pass-through securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 4,173 | 4,209 |
Fair Value, Inputs, Level 2 [Member] | Obligations of U.S. states and political subdivisions [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 118,371 | 132,387 |
Fair Value, Inputs, Level 2 [Member] | Trust Preferred Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 4,586 | 5,666 |
Fair Value, Inputs, Level 2 [Member] | Corporate Bonds And Notes [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 30,288 | 36,928 |
Fair Value, Inputs, Level 2 [Member] | Asset-backed Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 13,281 | 14,583 |
Fair Value, Inputs, Level 2 [Member] | Equity Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 2 [Member] | Other Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 2 [Member] | Certificate Of Deposit [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 629 | 983 |
Fair Value, Inputs, Level 3 [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 17,983 | 18,218 |
Derivatives | ||
Assets: Available-for-sale, Fair Value | 17,983 | 18,218 |
Fair Value, Inputs, Level 3 [Member] | Federal Agency Obligations [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 3 [Member] | Residential mortgage pass-through securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 3 [Member] | Commercial mortgage pass-through securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 3 [Member] | Obligations of U.S. states and political subdivisions [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | 17,983 | 18,218 |
Fair Value, Inputs, Level 3 [Member] | Trust Preferred Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 3 [Member] | Corporate Bonds And Notes [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 3 [Member] | Asset-backed Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 3 [Member] | Equity Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 3 [Member] | Other Securities [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value | ||
Fair Value, Inputs, Level 3 [Member] | Certificate Of Deposit [Member] | ||
Assets | ||
Securities: Available-for-sale, Fair Value |
Fair Value Measurements and F62
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of Assets at Fair Value on Non-Recurring - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Loans held-for-sale [Member] | Commercial [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | $ 50,891 | $ 70,105 |
Loans held-for-sale [Member] | Commercial Real Estate [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | 7,712 | |
Impaired Loans [Member] | Commercial Real Estate [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | 1,432 | 1,099 |
Fair Value, Inputs, Level 1 [Member] | Loans held-for-sale [Member] | Commercial [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | ||
Fair Value, Inputs, Level 1 [Member] | Loans held-for-sale [Member] | Commercial Real Estate [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | ||
Fair Value, Inputs, Level 1 [Member] | Impaired Loans [Member] | Commercial Real Estate [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | ||
Fair Value, Inputs, Level 2 [Member] | Loans held-for-sale [Member] | Commercial [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | 4,509 | |
Fair Value, Inputs, Level 2 [Member] | Loans held-for-sale [Member] | Commercial Real Estate [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | 7,712 | |
Fair Value, Inputs, Level 2 [Member] | Impaired Loans [Member] | Commercial Real Estate [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | ||
Fair Value, Inputs, Level 3 [Member] | Loans held-for-sale [Member] | Commercial [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | 50,891 | 65,596 |
Fair Value, Inputs, Level 3 [Member] | Loans held-for-sale [Member] | Commercial Real Estate [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | ||
Fair Value, Inputs, Level 3 [Member] | Impaired Loans [Member] | Commercial Real Estate [Member] | ||
Assets measured at fair value on a nonrecurring basis: | ||
Assets measured at fair value on a nonrecurring basis | $ 1,432 | $ 1,099 |
Fair Value Measurements and F63
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of fair value recurring basis - Municipal Securities [Member] - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2017 | Dec. 31, 2016 | ||
Balance of recurring Level 3 assets | $ 18,218 | ||
Other | [1] | 18,335 | |
Principal paydowns | (235) | (117) | |
Balance of recurring Level 3 assets | $ 17,983 | $ 18,218 | |
[1] | Includes transfers from held-to-maturity to available-for-sale designation |
Fair Value Measurements and F64
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of fair value no recurring item basis - Municipal Securities [Member] - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Dec. 31, 2016 | |
Fair value | $ 17,983 | $ 18,218 |
Valuation Techniques | Discounted Cash Flows | Discounted Cash Flows |
Unobservable Input | Discount Rate | Discount Rate |
Range | 2.80% | 2.80% |
Fair Value Measurements and F65
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of Fair Value on a non-recurring basis - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Dec. 31, 2016 | |
Impaired Loans [Member] | Commercial Real Estate [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Fair Value | $ 1,432 | $ 1,099 |
Valuation Technique | Appraisals of collateral value | Appraisals of collateral value |
Unobservable Inputs | Comparable sales | Comparable sales |
Impaired Loans [Member] | Commercial Real Estate [Member] | Appraisals of collateral value [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Capitalization rate | 6.00% | 6.00% |
Impaired Loans [Member] | Commercial Real Estate [Member] | Appraisals of collateral value [Member] | Minimum [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Capitalization rate | 0.00% | 0.00% |
Impaired Loans [Member] | Commercial Real Estate [Member] | Appraisals of collateral value [Member] | Maximum [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Capitalization rate | 15.00% | 15.00% |
Loans held-for-sale [Member] | Market approach [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Valuation Technique | Market approach (70%) | Market approach (70%) |
Unobservable Inputs | Indications under securitized transactions expressed as a price to unpaid principal balance | Indications under securitized transactions expressed as a price to unpaid principal balance |
Loans held-for-sale [Member] | Commercial Real Estate [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Fair Value | $ 7,712 | |
Loans held-for-sale [Member] | Commercial taxi medallion loans [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Fair Value | $ 50,891 | $ 65,596 |
Valuation Technique | Discounted cash flows (30%) | Discounted cash flows (30%) |
Purchase amount per medallion | $ 45 | $ 59 |
Discount Range | 14.00% | 14.00% |
Loans held-for-sale [Member] | Commercial taxi medallion loans [Member] | Minimum [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Purchase amount per medallion | $ 37 | $ 40 |
Loans held-for-sale [Member] | Commercial taxi medallion loans [Member] | Maximum [Member] | ||
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Fair value, assets and liabilities measured on nonrecurring basis, valuation techniques [Line Items] | ||
Purchase amount per medallion | $ 100 | $ 100 |
Fair Value Measurements and F66
Fair Value Measurements and Fair Value of Financial Instruments (Details) - Schedule of fair value hierarchy - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 | Jun. 30, 2016 | Dec. 31, 2015 |
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and due from banks, Carrying Amount | $ 146,508 | $ 200,399 | $ 175,113 | $ 200,895 |
Cash and due from banks, Fair Value | 146,508 | 200,399 | ||
Securities available-for-sale, Carrying Amount | 402,130 | 353,290 | ||
Securities available-for-sale, Fair Value | 402,130 | 353,290 | ||
Restricted investment in bank stocks, Carrying Amount | 32,152 | 24,310 | ||
Loans held-for-sale, Carrying Amount | 51,124 | 78,005 | ||
Loans held-for-sale, Fair Value | 51,124 | 78,005 | ||
Net loans, Carrying Amount | 3,733,171 | 3,450,088 | ||
Net loans, Fair Value | 3,740,586 | 3,462,138 | ||
Derivatives, Carrying Amount | 45 | 88 | ||
Derivatives, Fair Value | 45 | 88 | ||
Accrued interest receivable, Carrying Amount | 13,194 | 12,965 | ||
Accrued interest receivable, Fair Value | 13,194 | 12,965 | ||
Noninterest-bearing deposits, Carrying Amount | 695,522 | 694,977 | ||
Noninterest-bearing deposits, Fair Value | 695,522 | 694,977 | ||
Interest-bearing deposits, Carrying Amount | 2,734,851 | 2,649,294 | ||
Interest-bearing deposits, Fair Value | 2,735,530 | 2,649,717 | ||
Borrowings, Carrying Amount | 626,173 | 476,280 | ||
Borrowings, Fair Value | 627,854 | 478,286 | ||
Subordinated debentures, net | 54,616 | 54,534 | ||
Subordinated debentures, Fair Value | 56,542 | 55,901 | ||
Accrued interest payable, Carrying Amount | 6,044 | 4,142 | ||
Accrued interest payable, Fair Value | 6,044 | 4,142 | ||
Fair Value, Inputs, Level 1 [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and due from banks, Fair Value | 146,508 | 200,399 | ||
Securities available-for-sale, Fair Value | 12,774 | 14,982 | ||
Loans held-for-sale, Fair Value | ||||
Net loans, Fair Value | ||||
Derivatives, Carrying Amount | ||||
Derivatives, Fair Value | ||||
Accrued interest receivable, Fair Value | ||||
Noninterest-bearing deposits, Fair Value | 695,522 | 694,977 | ||
Interest-bearing deposits, Fair Value | 1,753,548 | 1,681,044 | ||
Borrowings, Fair Value | ||||
Subordinated debentures, Fair Value | ||||
Accrued interest payable, Fair Value | ||||
Fair Value, Inputs, Level 2 [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and due from banks, Fair Value | ||||
Securities available-for-sale, Fair Value | 371,373 | 320,090 | ||
Loans held-for-sale, Fair Value | 233 | 12,409 | ||
Net loans, Fair Value | ||||
Derivatives, Carrying Amount | 45 | 88 | ||
Derivatives, Fair Value | 45 | 88 | ||
Accrued interest receivable, Fair Value | 1,744 | 2,026 | ||
Noninterest-bearing deposits, Fair Value | ||||
Interest-bearing deposits, Fair Value | 981,982 | 968,673 | ||
Borrowings, Fair Value | 627,854 | 478,286 | ||
Subordinated debentures, Fair Value | 56,542 | 55,901 | ||
Accrued interest payable, Fair Value | 6,044 | 4,142 | ||
Fair Value, Inputs, Level 3 [Member] | ||||
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items] | ||||
Cash and due from banks, Fair Value | ||||
Securities available-for-sale, Fair Value | 17,983 | 18,218 | ||
Loans held-for-sale, Fair Value | 50,891 | 65,596 | ||
Net loans, Fair Value | 3,740,586 | 3,462,138 | ||
Derivatives, Carrying Amount | ||||
Derivatives, Fair Value | ||||
Accrued interest receivable, Fair Value | 11,450 | 10,939 | ||
Noninterest-bearing deposits, Fair Value | ||||
Interest-bearing deposits, Fair Value | ||||
Borrowings, Fair Value | ||||
Subordinated debentures, Fair Value | ||||
Accrued interest payable, Fair Value |
Other Comprehensive Income (L67
Other Comprehensive Income (Loss) (Details) - Comprehensive Income (Loss) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
COMPREHENSIVE INCOME (Details) - Comprehensive Income (Loss) [Line Items] | ||||
Sale of securities available-for-sale Net gains on sale of securities available for sale | $ 224 | $ 1,179 | $ 913 | $ 2,074 |
Sale of securities available-for-sale Income tax expense | (88) | (464) | (356) | (821) |
Total reclassification | 76 | 509 | (365) | 288 |
Amounts Reclassified from Accumulated Other Comprehensive Income/(Loss) [Member] | ||||
COMPREHENSIVE INCOME (Details) - Comprehensive Income (Loss) [Line Items] | ||||
Sale of securities available-for-sale Net gains on sale of securities available for sale | (103) | 1,596 | 103 | |
Sale of securities available-for-sale Income tax expense | 42 | (579) | (42) | |
Sale of securities available-for-sale | (61) | 1,017 | 61 | |
Amortization of pension plan net actuarial losses Salaries and employee benefits | 103 | (206) | (102) | |
Amortization of pension plan net actuarial losses Income tax benefit | (42) | 84 | 41 | |
Amortization of pension plan net actuarial losses | 61 | (122) | (61) | |
Total reclassification | $ (61) | $ (61) | $ 895 |
Other Comprehensive Income (L68
Other Comprehensive Income (Loss) (Details) - Schedule of Accumulated Other Comprehensive Income (Loss) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Schedule of Accumulated Other Comprehensive Income (Loss) [Abstract] | ||
Securities available-for-sale | $ 473 | $ 933 |
Cash flow hedge | 26 | 52 |
Defined benefit pension and post-retirement plans | (3,710) | (3,831) |
Total accumulated other comprehensive loss | $ (3,211) | $ (2,846) |
Stock-Based Compensation (Detai
Stock-Based Compensation (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2017 | Dec. 31, 2016 | |
Share-based Compensation Arrangement by Share-based Payment Award, Award expiration Period | 10 years | ||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Period | 3 years | ||
Restricted shares granted | 1,000 | ||
Unrecognized compensation cost related to nonvested shares | $ 1,051,067 | $ 1,051,067 | |
Weighted average period related to compesation cost | 1 year 3 months 19 days | ||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 347,521 | 347,521 | 358,367 |
Share-based Compensation Arrangement by Share-based Payment Award, Compensation Cost (in Dollars) | $ 47 | $ 180 | |
Restricted Stock [Member] | |||
Unrecognized compensation cost related to nonvested shares | $ 1,694,035 | $ 1,694,035 | |
Weighted average period related to compesation cost | 1 year 8 months 12 days | ||
Performance Shares [Member] | |||
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding, Number | 151,194 | 151,194 | |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Number | 226,791 | 226,791 | |
2017 Equity Compensation Plan [Member] | |||
Maximum number of shares of common stock or equivalents issued | 750,000 | ||
Share-based Compensation Arrangement by Share-based Payment Award, Number of Shares Available for Grant (in Shares) | 750,000 | 750,000 |
Stock-Based Compensation (Det70
Stock-Based Compensation (Details) - Disclosure of Share-based Compensation Arrangements by Share-based Payment Award - USD ($) | 6 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | |
Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | ||
Outstanding Beginning Balance | 358,367 | |
Granted | ||
Exercised | (10,846) | (36,135) |
Forfeited/cancelled/expired | ||
Outstanding Ending Balance | 347,521 | |
Exercisable Ending Balance | 343,991 | |
Outstanding Beginning Balance, Weighted-Average Exercise Price | $ 6.26 | |
Granted, Weighted-Average Exercise Price | ||
Exercised, Weighted-Average Exercise Price | 13.44 | |
Forfeited/cancelled/expired, Weighted-Average Exercise Price | ||
Outstanding Ending Balance, Weighted-Average Exercise Price | 6.11 | |
Exercisable Ending Balance, Weighted-Average Exercise Price | $ 6.03 | |
Outstanding Ending Balance - Weighted-Average Remaining Contractual Term (In Years) | 2 years 2 months 12 days | |
Exercisable Ending Balance - Weighted-Average Remaining Contractual Term (In Years) | 2 years 1 month 27 days | |
Outstanding Ending Balance - Aggregate Intrinsic Value | $ 5,711,643 | |
Exercisable Ending Balance - Aggregate Intrinsic Value | $ 5,682,309 |
Stock-Based Compensation (Det71
Stock-Based Compensation (Details) - Schedule of Share-based Payment Award, Nonvested Shares | 6 Months Ended |
Jun. 30, 2017$ / sharesshares | |
Granted | |
Nonvested [Member] | |
Outstanding, beginning balance | 111,273 |
Granted | 56,164 |
Vested | (65,359) |
Forfeited/cancelled/expired | |
Outstanding, ending balance | 102,078 |
Outstanding, beginning balance | $ / shares | $ 16.81 |
Granted | $ / shares | 23.82 |
Vested | $ / shares | 16.46 |
Forfeited/cancelled/expired | $ / shares | |
Outstanding, ending balance | $ / shares | $ 20.41 |
Stock-Based Compensation (Det72
Stock-Based Compensation (Details) - Schedule of Share-based Payment Award, Unearned Shares | 6 Months Ended |
Jun. 30, 2017$ / sharesshares | |
Outstanding Beginning Balance | 358,367 |
Awarded | |
Outstanding Ending Balance | 347,521 |
Maximum [Member] | |
Outstanding Beginning Balance | 189,455 |
Awarded | 37,336 |
Forfeited | |
Adjustments | |
Outstanding Ending Balance | 226,791 |
Unearned [Member] | |
Outstanding Beginning Balance | 151,572 |
Awarded | 24,891 |
Forfeited | |
Adjustments | (25,269) |
Outstanding Ending Balance | 151,194 |
Outstanding, beginning balance | $ / shares | $ 18.47 |
Awarded | $ / shares | 22.75 |
Forfeited | $ / shares | |
Adjustments | $ / shares | 18.47 |
Outstanding, ending balance | $ / shares | $ 19.19 |
Components of Net Periodic Pe73
Components of Net Periodic Pension Cost (Details) - USD ($) $ in Thousands | 3 Months Ended | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 30, 2016 | Jun. 30, 2017 | Jun. 30, 2016 | |
Average daily balance during the year | ||||
Interest cost | $ 120 | $ 129 | $ 239 | $ 257 |
Expected return on plan assets | (160) | (155) | (320) | (291) |
Net amortization | 103 | 102 | 206 | 204 |
Recognized settlement loss | ||||
Net periodic pension cost | 63 | 76 | 125 | 170 |
Amortization of actuarial loss | (103) | (204) | (101) | |
Total recognized in other comprehensive income | (103) | (204) | (101) | |
Total recognized in net expense and OCI (before tax) | $ (40) | $ 76 | $ (79) | $ 69 |
FHLB Borrowings (Details)
FHLB Borrowings (Details) $ in Millions | 6 Months Ended |
Jun. 30, 2017USD ($)Integer | |
Number of Federal Home Loan Bank Notes | Integer | 3 |
Long-term Line of Credit | $ 1,300 |
Line of Credit Facility, Remaining Borrowing Capacity | 721 |
Federal Home Loan Bank Note One [Member] | |
Extinguishment of Debt, Amount | $ 2.5 |
Debt Instrument, Maturity Date | Apr. 2, 2018 |
Federal Home Loan Bank Note Two [Member] | |
Extinguishment of Debt, Amount | $ 7.5 |
Debt Instrument, Maturity Date | Apr. 2, 2018 |
Federal Home Loan Bank Note Three [Member] | |
Extinguishment of Debt, Amount | $ 5 |
Debt Instrument, Maturity Date | Jul. 16, 2018 |
FHLB Borrowings (Details) - Sch
FHLB Borrowings (Details) - Schedule of components of FHLB borrowings and weighted average interest rates - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
By type of borrowing: | ||
FHLB borrowings (in Dollars) | $ 626,173 | $ 461,280 |
Weighted average interest rates | 1.56% | 1.55% |
By remaining period to maturity: | ||
Less than 1 year (in Dollars) | $ 446,173 | $ 231,280 |
Less than 1 year | 1.30% | 1.02% |
1 year through less than 2 years (in Dollars) | $ 115,000 | $ 130,000 |
1 year through less than 2 years | 1.85% | 1.84% |
2 years through less than 3 years (in Dollars) | $ 25,000 | $ 35,000 |
2 years through less than 3 years | 1.85% | 1.60% |
3 years through less than 4 years (in Dollars) | $ 40,000 | $ 65,000 |
3 years through less than 4 years | 3.43% | 2.82% |
4 years through 5 years (in Dollars) | ||
4 years through 5 years |
Securities Sold under Agreeme76
Securities Sold under Agreements to Repurchase (Details) - USD ($) $ in Thousands | 6 Months Ended | ||
Jun. 30, 2017 | Jun. 15, 2017 | Dec. 31, 2016 | |
Outstanding repurchase agreement | $ 15,000 | ||
Securities carrying amount | $ 0 | $ 16,800 | |
Minimum [Member] | |||
Percentage by which fair value of pledged securities must meet or exceed gross outstanding balance | 8.00% |
Securities Sold under Agreeme77
Securities Sold under Agreements to Repurchase (Details) - Schedule of repurchase agreements - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended | |
Jun. 30, 2017 | Jun. 30, 2016 | Dec. 31, 2016 | |
Securities Sold under Agreements to Repurchase [Abstract] | |||
Average daily balance during the year-to-date | $ 13,674 | $ 15,000 | $ 15,000 |
Average interest rate during the year-to-date | 5.95% | 5.95% | 5.95% |
Maximum month end balance during the year-to-date | $ 15,000 | $ 15,000 | $ 15,000 |
Weighted average interest rate during the year-to-date | 5.95% | 5.95% | 5.95% |
Securities Sold under Agreeme78
Securities Sold under Agreements to Repurchase (Details) - Schedule of remaining contractual maturity $ in Thousands | Dec. 31, 2016USD ($) |
Total Borrowings | $ 16,826 |
Amounts related to agreements not included in offsetting disclosure in Note 14: | 1,826 |
Residential mortgage pass-through securities [Member] | |
Total Borrowings | 16,826 |
U.S. Treasury and agency securities [Member] | |
Total Borrowings | |
30 - 90 Days [Member] | |
Total Borrowings | |
30 - 90 Days [Member] | Residential mortgage pass-through securities [Member] | |
Total Borrowings | |
30 - 90 Days [Member] | U.S. Treasury and agency securities [Member] | |
Total Borrowings | |
Greater Than 90 Days[Member] | |
Total Borrowings | 16,826 |
Greater Than 90 Days[Member] | Residential mortgage pass-through securities [Member] | |
Total Borrowings | 16,826 |
Greater Than 90 Days[Member] | U.S. Treasury and agency securities [Member] | |
Total Borrowings | |
Upto 30 Days [Member] | |
Total Borrowings | |
Upto 30 Days [Member] | Residential mortgage pass-through securities [Member] | |
Total Borrowings | |
Upto 30 Days [Member] | U.S. Treasury and agency securities [Member] | |
Total Borrowings | |
Overnight and Continuous [Member] | |
Total Borrowings | |
Overnight and Continuous [Member] | Residential mortgage pass-through securities [Member] | |
Total Borrowings | |
Overnight and Continuous [Member] | U.S. Treasury and agency securities [Member] | |
Total Borrowings |
Subordinated Debentures (Detail
Subordinated Debentures (Details) - USD ($) $ in Thousands | 1 Months Ended | 6 Months Ended |
Jun. 30, 2015 | Jun. 30, 2017 | |
Subordinated Debentures (Details) [Line Items] | ||
Debt Instrument, Interest Rate, Stated Percentage | 3.00% | |
Fixed-to-floating Rate Subordinated Notes [Member] | ||
Subordinated Debentures (Details) [Line Items] | ||
Proceeds from Issuance of Debt | $ 50,000 | |
Debt Instrument, Term | 5 years | |
Debt Instrument, Maturity Date | Jul. 1, 2025 | |
Debt Instrument, Interest Rate, Stated Percentage | 5.75% | |
Debt Instrument, Description of Variable Rate Basis | three-month LIBOR rate plus 393 basis points | |
Debt Issuance Cost | $ 539 | |
Subordinated Debt from Trust [Member] | ||
Subordinated Debentures (Details) [Line Items] | ||
Value of subordinated debentures received by Trust | $ 5,000 | |
Percentage Rate Added to Libor | 2.85% | |
Floating interest rate on subordinated debentures | 4.02% | |
Proceeds from Issuance of Debt | $ 5,200 | |
Debt Instrument, Maturity Date | Jan. 23, 2034 |
Subordinated Debentures (Deta80
Subordinated Debentures (Details) - Schedule of Subordinated Borrowing - USD ($) $ in Thousands | 6 Months Ended | 12 Months Ended |
Jun. 30, 2017 | Dec. 31, 2016 | |
Schedule of Subordinated Borrowing [Abstract] | ||
Issuance Date | Dec. 19, 2003 | Dec. 19, 2003 |
Securities Issued | $ 5,000 | $ 5,000 |
Liquidation Value | $1,000 per Capital Security | $1,000 per Capital Security |
Coupon Rate | Floating 3-month LIBOR + 285 Basis Points | Floating 3-month LIBOR + 285 Basis Points |
Maturity | Jan. 23, 2034 | Jan. 23, 2034 |
Redeemable by Issuer Beginning | Jan. 23, 2009 | Jan. 23, 2009 |
Offsetting Assets and Liabili81
Offsetting Assets and Liabilities (Details) - USD ($) $ in Thousands | Jun. 30, 2017 | Dec. 31, 2016 |
Interest Rate Swap [Member] | ||
Gross Amounts Recognized, Assets | $ 45 | $ 88 |
Gross Amounts Offset in the Statement of Financial Position, Assets | ||
Net Amounts of Assets Presented in the Statement of Financial Position, Assets | 45 | 88 |
Financial Instruments Recognized, Assets | ||
Cash or Financial Instrument Collateral, Assets | ||
Net Amount, Assets | 45 | 88 |
Repurchase Agreements [Member] | ||
Gross Amounts Recognized, Liabilities | 15,000 | |
Gross Amounts Offset in the Statement of Financial Position, Liabilities | ||
Net Amounts of Assets Presented in the Statement of Financial Position, Liabilities | 15,000 | |
Financial Instruments Recognized, Liabilities | ||
Cash or Financial Instrument Collateral, Liabilities | 15,000 | |
Net Amount, Liabilities |