Cover Page
Cover Page - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 20, 2020 | Jun. 30, 2019 | |
Cover page. | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Transition Report | false | ||
Entity File Number | 001-35746 | ||
Entity Registrant Name | Bryn Mawr Bank Corporation | ||
Entity Incorporation, State or Country Code | PA | ||
Entity Tax Identification Number | 23-2434506 | ||
Entity Address, Address Line One | 801 Lancaster Avenue, | ||
Entity Address, City or Town | Bryn Mawr, | ||
Entity Address, State or Province | PA | ||
Entity Address, Postal Zip Code | 19010 | ||
City Area Code | (610) | ||
Local Phone Number | 525-1700 | ||
Title of 12(b) Security | Common Stock ($1 par value) | ||
Trading Symbol | BMTC | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | Yes | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Entity Small Business | false | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Public Float | $ 742,260,441 | ||
Entity Common Stock, Shares Outstanding (in shares) | 20,088,025 | ||
Entity Central Index Key | 0000802681 | ||
Current Fiscal Year End Date | --12-31 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Amendment Flag | false | ||
Documents Incorporated by Reference | Portions of the Definitive Proxy Statement of registrant to be filed with the Commission pursuant to Regulation 14A with respect to the registrant’s Annual Meeting of Shareholders to be held on April 16, 2020 (“ 2020 Proxy Statement”), as indicated in Parts II and III, are incorporated into this Form 10-K by reference. |
Consolidated Balance Sheets
Consolidated Balance Sheets - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets | ||
Cash and due from banks | $ 11,603 | $ 14,099 |
Interest bearing deposits with banks | 42,328 | 34,357 |
Cash and cash equivalents | 53,931 | 48,456 |
Investment securities available for sale, at fair value (amortized cost of $1,001,034 and $745,328 as of December 31, 2019 and December 31, 2018, respectively) | 1,005,984 | 737,442 |
Investment securities held to maturity, at amortized cost (fair value of $12,661 and $8,438 as of December 31, 2019 and December 31, 2018, respectively) | 12,577 | 8,684 |
Investment securities, trading | 8,621 | 7,502 |
Loans held for sale | 4,249 | 1,749 |
Portfolio loans and leases, originated | 3,320,816 | 2,885,251 |
Portfolio loans and leases, acquired | 368,497 | 541,903 |
Total portfolio loans and leases | 3,689,313 | 3,427,154 |
Less: Allowance for originated loan and lease losses | (22,526) | (19,329) |
Less: Allowance for acquired loan and lease losses | (76) | (97) |
Total allowance for loans and lease losses | (22,602) | (19,426) |
Net portfolio loans and leases | 3,666,711 | 3,407,728 |
Premises and equipment, net | 64,965 | 65,648 |
Operating lease right-of-use assets | 40,961 | |
Accrued interest receivable | 12,482 | 12,585 |
Mortgage servicing rights | 4,450 | 5,047 |
Bank owned life insurance | 59,079 | 57,844 |
Federal Home Loan Bank stock | 23,744 | 14,530 |
Goodwill | 184,012 | 184,012 |
Intangible assets | 19,131 | 23,455 |
Other investments | 16,683 | 16,526 |
Other assets | 85,679 | 61,277 |
Total assets | 5,263,259 | 4,652,485 |
Deposits: | ||
Noninterest-bearing | 898,173 | 901,619 |
Interest-bearing | 2,944,072 | 2,697,468 |
Total deposits | 3,842,245 | 3,599,087 |
Short-term borrowings | 493,219 | 252,367 |
Long-term FHLB advances | 52,269 | 55,374 |
Subordinated notes | 98,705 | 98,526 |
Junior subordinated debentures | 21,753 | 21,580 |
Operating lease liabilities | 45,258 | |
Accrued interest payable | 6,248 | 6,652 |
Other liabilities | 91,335 | 54,195 |
Total liabilities | 4,651,032 | 4,087,781 |
Shareholders' equity | ||
Common stock, par value $1; authorized 100,000,000 shares; issued 24,650,051 and 24,545,348 shares as of December 31, 2019 and December 31, 2018, respectively, and outstanding of 20,126,296 and 20,163,816 as of December 31, 2019 and December 31, 2018, respectively | 24,650 | 24,545 |
Paid-in capital in excess of par value | 378,606 | 374,010 |
Less: Common stock in treasury at cost - 4,523,755 and 4,381,532 shares as of December 31, 2019 and December 31, 2018, respectively | (81,174) | (75,883) |
Accumulated other comprehensive income (loss), net of tax | 2,187 | (7,513) |
Retained earnings | 288,653 | 250,230 |
Total Bryn Mawr Bank Corporation shareholders' equity | 612,922 | 565,389 |
Noncontrolling interest | (695) | (685) |
Total shareholders' equity | 612,227 | 564,704 |
Total liabilities and shareholders' equity | $ 5,263,259 | $ 4,652,485 |
Consolidated Balance Sheets (Pa
Consolidated Balance Sheets (Parentheticals) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Statement of Financial Position [Abstract] | ||
Securities available for sale, amortized cost | $ 1,001,034 | $ 745,328 |
Investment securities – held to maturity | $ 12,661 | $ 8,438 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 24,650,051 | 24,545,348 |
Common stock, shares outstanding (in shares) | 20,126,296 | 20,163,816 |
Treasury stock, shares (in shares) | 4,523,755 | 4,381,532 |
Consolidated Statements of Inco
Consolidated Statements of Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Interest income: | |||
Interest and fees on loans and leases | $ 178,367 | $ 168,638 | $ 120,762 |
Interest on cash and cash equivalents | 543 | 264 | 174 |
Interest on investment securities: | |||
Taxable | 14,330 | 11,854 | 8,136 |
Non-taxable | 143 | 293 | 388 |
Dividends | 6 | 6 | 99 |
Total interest income | 193,389 | 181,055 | 129,559 |
Interest expense: | |||
Interest on deposits | 35,936 | 20,552 | 8,748 |
Interest on short-term borrowings | 2,792 | 3,392 | 1,390 |
Interest on FHLB advances and other borrowings | 1,069 | 1,777 | 2,620 |
Interest on subordinated notes | 4,578 | 4,575 | 1,628 |
Interest on junior subordinated debentures | 1,373 | 1,288 | 46 |
Total interest expense | 45,748 | 31,584 | 14,432 |
Net interest income | 147,641 | 149,471 | 115,127 |
Provision for loan and lease losses | 8,507 | 7,193 | 2,618 |
Net interest income after provision for loan and lease losses | 139,134 | 142,278 | 112,509 |
Noninterest income: | |||
Fees for wealth management services | 44,400 | 42,326 | 38,735 |
Insurance commissions | 6,877 | 6,808 | 4,589 |
Capital markets revenue | 11,276 | 4,848 | 2,396 |
Service charges on deposits | 3,374 | 2,989 | 2,608 |
Loan servicing and other fees | 2,206 | 2,259 | 2,106 |
Net gain on sale of loans | 2,342 | 3,283 | 2,441 |
Net gain on sale of investment securities available for sale | 0 | 7 | 101 |
Net (loss) gain on sale of other real estate owned (OREO) | (84) | 295 | (104) |
Dividends on FHLB and FRB stock | 1,505 | 1,621 | 939 |
Other operating income | 10,288 | 11,546 | 5,321 |
Total noninterest income | 82,184 | 75,982 | 59,132 |
Noninterest expenses: | |||
Salaries and wages | 74,371 | 66,671 | 53,251 |
Employee benefits | 13,456 | 12,918 | 10,170 |
Occupancy and bank premises | 12,591 | 11,599 | 9,906 |
Furniture, fixtures, and equipment | 9,693 | 8,407 | 7,385 |
Advertising | 2,105 | 1,719 | 1,454 |
Amortization of intangible assets | 3,801 | 3,656 | 2,734 |
Due diligence, merger-related and merger integration expenses | 0 | 7,761 | 6,104 |
Professional fees | 5,434 | 4,203 | 3,268 |
Pennsylvania bank shares tax | 1,478 | 1,792 | 1,294 |
Data processing | 5,517 | 4,942 | 3,581 |
Other operating expenses | 18,069 | 16,635 | 15,248 |
Total noninterest expenses | 146,515 | 140,303 | 114,395 |
Income before income taxes | 74,803 | 77,957 | 57,246 |
Income tax expense | 15,607 | 14,165 | 34,230 |
Net income | 59,196 | 63,792 | 23,016 |
Net loss attributable to noncontrolling interest | (10) | 0 | 0 |
Net income attributable to Bryn Mawr Bank Corporation | $ 59,206 | $ 63,792 | $ 23,016 |
Basic earnings per common share (in dollars per share) | $ 2.94 | $ 3.15 | $ 1.34 |
Diluted earnings per common share (in dollars per share) | 2.93 | 3.13 | 1.32 |
Dividends declared per share (in dollars per share) | $ 1.02 | $ 0.94 | $ 0.86 |
Weighted-average basic shares outstanding (in shares) | 20,142,306 | 20,234,792 | 17,150,125 |
Dilutive shares (in shares) | 91,065 | 155,375 | 248,798 |
Adjusted weighted-average diluted shares (in shares) | 20,233,371 | 20,390,167 | 17,398,923 |
Consolidated Statements of Comp
Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | |||
Net income attributable to Bryn Mawr Bank Corporation | $ 59,206 | $ 63,792 | $ 23,016 |
Net change in unrealized gains (losses) on investment securities available for sale: | |||
Net unrealized gains (losses) arising during the period, net of tax expense (benefit) of $2,696, $(806) and $(570), respectively | 10,139 | (3,033) | (1,057) |
Reclassification adjustment for net (gain) loss on sale realized in net income, net of tax (expense) benefit of $0, $(1) and $(35), respectively | 0 | (6) | (66) |
Reclassification adjustment for net gain realized on transfer of investment securities available for sale to trading, net of tax expense of $0, $(88) and $0, respectively | 0 | (329) | 0 |
Unrealized investment losses, net of tax expense (benefit) of $2,696, $(895) and $(605), respectively | 10,139 | (3,368) | (1,123) |
Net change in unfunded pension liability: | |||
Change in unfunded pension liability related to unrealized loss, prior service cost and transition obligation, net of tax (benefit) expense of $(118), $72 and $(54), respectively | (439) | 269 | (100) |
Total other comprehensive income (loss) | 9,700 | (3,099) | (1,223) |
Total comprehensive income | $ 68,906 | $ 60,693 | $ 21,793 |
Consolidated Statements of Co_2
Consolidated Statements of Comprehensive Income (Parentheticals) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement of Comprehensive Income [Abstract] | |||
Net unrealized gain (loss) arising during the period, tax | $ 2,696 | $ (806) | $ (570) |
Reclassification adjustment for net losses (gains) on sales realized in net income, tax | 0 | (1) | (35) |
Reclassification adjustment from AOCI for investments transferred, tax | 0 | (88) | 0 |
Unrealized investment gain (loss), tax | 2,696 | (895) | (605) |
Change in unfunded pension liability related to unrealized loss, prior service cost and transition obligation, tax expense (benefit) | $ (118) | $ 72 | $ (54) |
Consolidated Statements of Cash
Consolidated Statements of Cash Flows - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Operating activities: | |||
Net income | $ 59,206 | $ 63,792 | $ 23,016 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Provision for loan and lease losses | 8,507 | 7,193 | 2,618 |
Depreciation of premises and equipment | 7,801 | 6,610 | 5,551 |
Amortization of operating lease right-of-use assets | 3,647 | ||
Loss on disposal of premises and equipment | 69 | 1,627 | 0 |
Net amortization of investment premiums and discounts | 2,800 | 3,044 | 2,990 |
Net gain on sale of investment securities available for sale | 0 | (7) | (101) |
Net gain on sale of loans | (2,342) | (3,283) | (2,441) |
Stock-based compensation | 3,725 | 2,750 | 2,068 |
Amortization and net impairment of mortgage servicing rights | 597 | 830 | 744 |
Net accretion of fair value adjustments | (6,088) | (9,883) | (2,376) |
Amortization of intangible assets | 3,801 | 3,656 | 2,734 |
Impairment of other real estate owned (OREO) and other repossessed assets | 0 | 89 | 208 |
Net loss (gain) on sale of OREO | 84 | (295) | 104 |
Net increase in cash surrender value of bank owned life insurance (BOLI) | (1,235) | (1,177) | (838) |
Other, net | (475) | 532 | (788) |
Loans originated for resale | (90,865) | (86,323) | (125,482) |
Proceeds from loans sold | 93,459 | 91,353 | 132,639 |
Provision for deferred income taxes | 1,539 | 9,839 | 20,418 |
Settlement of pension liability acquired in RBPI Merger | 0 | 0 | (15,233) |
Change in income taxes payable/receivable | 5,897 | 415 | (7,917) |
Change in accrued interest receivable | 103 | 1,661 | (3,178) |
Change in accrued interest payable | (404) | 3,125 | (2,023) |
Change in operating lease liabilities | (3,525) | ||
Change in other assets | (33,018) | (19,222) | (3,471) |
Change in other liabilities | 40,098 | 2,909 | 3,690 |
Net cash provided by operating activities | 93,381 | 79,235 | 32,932 |
Investing activities: | |||
Purchases of investment securities available for sale | (719,700) | (338,421) | (445,294) |
Purchases of investment securities held to maturity | (4,868) | (1,328) | (5,189) |
Proceeds from maturity and paydowns of investment securities available for sale | 293,987 | 278,895 | 283,545 |
Proceeds from maturity and paydowns of investment securities held to maturity | 891 | 532 | 108 |
Proceeds from sale of investment securities available for sale | 0 | 7 | 130,858 |
Net change in FHLB stock | (9,214) | (2,778) | |
Net change in FHLB stock | 5,553 | ||
Proceeds from calls of investment securities | 167,290 | 810 | 25,682 |
Net change in other investments | (157) | (4,056) | 2,059 |
Purchase of portfolio loans and leases | 0 | (14,974) | 0 |
Net portfolio loan and lease originations | (264,822) | (127,589) | (180,869) |
Purchases of premises and equipment | (7,187) | (19,426) | (8,304) |
Acquisitions, net of cash acquired | 0 | (380) | 12,301 |
Proceeds from sale of OREO | 418 | 525 | 1,048 |
Net cash used in investing activities | (543,380) | (220,218) | (186,984) |
Financing activities: | |||
Change in deposits | 243,836 | 226,598 | 201,015 |
Change in short-term borrowings | 240,852 | 14,502 | 18,714 |
Dividends paid | (20,685) | (19,289) | (14,799) |
Change in long-term FHLB advances and other borrowings | (3,240) | (83,872) | (110,049) |
Payment of contingent consideration for business combinations | (875) | (660) | (642) |
Net proceeds from issuance of subordinated notes | 0 | 0 | 68,829 |
Cash payments to taxing authorities on employees' behalf from shares withheld from stock-based compensation | (625) | (1,639) | (1,140) |
Net proceeds from sale of (purchase of) treasury stock for deferred compensation plans | (172) | 2 | (115) |
Repurchase of warrants from U.S. Treasury | 0 | (1,755) | 0 |
Net purchase of treasury stock through publicly announced plans | (4,524) | (5,936) | 0 |
Proceeds from exercise of stock options | 907 | 1,464 | 1,498 |
Net cash provided by financing activities | 455,474 | 129,415 | 163,311 |
Change in cash and cash equivalents | 5,475 | (11,568) | 9,259 |
Cash and cash equivalents at beginning of period | 48,456 | 60,024 | 50,765 |
Cash and cash equivalents at end of period | 53,931 | 48,456 | 60,024 |
Supplemental cash flow information: | |||
Income taxes | 12,716 | 3,449 | 21,632 |
Interest | 46,152 | 28,453 | 13,639 |
Non-cash information: | |||
Change in other comprehensive income (loss) | 9,700 | (3,099) | (1,223) |
Change in deferred tax due to change in comprehensive income | 2,578 | (823) | (659) |
Transfer of loans to other real estate owned and repossessed assets | 72 | 372 | 342 |
Issuance of shares, warrants and options for acquisitions | 0 | 0 | 138,509 |
Acquisition of noncash assets and liabilities: | |||
Assets acquired | 0 | 1,096 | 849,610 |
Liabilities assumed | 0 | 687 | 724,085 |
Customer relationships | |||
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Amortization of intangible assets | 1,805 | 1,711 | |
Investing activities: | |||
Purchase of intangible assets | (18) | (366) | 0 |
Domain name | |||
Investing activities: | |||
Purchase of intangible assets | $ 0 | $ 0 | $ (151) |
Consolidated Statements of Chan
Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands | Total | Common Stock | Paid-in Capital | Treasury Stock | Accumulated Other Comprehensive (Loss) Income | Retained Earnings | Noncontrolling Interest | |
Beginning Balance (in shares) at Dec. 31, 2016 | 21,110,968 | |||||||
Beginning Balance at Dec. 31, 2016 | $ 381,127 | $ 21,111 | $ 232,806 | $ (66,950) | $ (2,409) | $ 196,569 | $ 0 | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 23,016 | 23,016 | ||||||
Dividends declared | (14,818) | (14,818) | ||||||
Change in other comprehensive income (loss) | (1,223) | (1,223) | ||||||
Reclassification of Tax Effects From AOCI | (782) | 782 | ||||||
Stock-based compensation | 2,068 | 2,068 | ||||||
Form S-4 stock issuance costs | (233) | (233) | ||||||
Retirement of treasury stock (in shares) | (2,628) | |||||||
Retirement of treasury stock | $ (3) | (23) | 26 | |||||
Net purchase of treasury stock from stock awards for statutory tax withholdings | (1,140) | (1,140) | ||||||
Net purchase of treasury stock from stock award and deferred compensation plans | (115) | (115) | ||||||
Stock warrants assumed in acquisitions | 1,854 | 1,854 | ||||||
Noncontrolling interest assumed in acquisitions | (683) | (683) | ||||||
Shares issued in acquisitions (in shares) | 3,098,754 | |||||||
Shares issued in acquisitions | $ 136,655 | $ 3,099 | 133,556 | |||||
Share-based awards and options exercises (in shares) | 69,527 | 152,955 | ||||||
Share-based awards and options exercises | $ 1,611 | $ 153 | 1,458 | |||||
Ending Balance (in shares) at Dec. 31, 2017 | 24,360,049 | |||||||
Ending Balance at Dec. 31, 2017 | 528,119 | $ 24,360 | 371,486 | (68,179) | (4,414) | 205,549 | (683) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 63,792 | 63,792 | ||||||
Goodwill measurement period adjustment effect on noncontrolling interest | 2 | (2) | ||||||
Dividends declared | (19,209) | (19,209) | ||||||
Change in other comprehensive income (loss) | (3,099) | (3,099) | ||||||
Stock-based compensation | 2,750 | 2,750 | ||||||
Retirement of treasury stock (in shares) | (2,253) | |||||||
Retirement of treasury stock | $ (2) | (20) | 22 | |||||
Net purchase of treasury stock from stock awards for statutory tax withholdings | (1,639) | (1,639) | ||||||
Shares issued in acquisitions (in shares) | [1] | 2,562 | ||||||
Shares issued in acquisitions | [1] | $ 113 | $ 3 | 110 | ||||
Share-based awards and options exercises (in shares) | 64,645 | 184,990 | ||||||
Share-based awards and options exercises | $ 1,566 | $ 184 | 1,382 | |||||
Net treasury stock activity for deferred compensation trusts | 2 | 153 | (151) | |||||
Purchase of treasury stock through publicly announced plans | (5,936) | (5,936) | ||||||
Repurchase of warrants from U.S. Treasury | $ (1,755) | (1,853) | 98 | |||||
Ending Balance (in shares) at Dec. 31, 2018 | 24,545,348 | 24,545,348 | ||||||
Ending Balance at Dec. 31, 2018 | $ 564,704 | $ 24,545 | 374,010 | (75,883) | (7,513) | 250,230 | (685) | |
Increase (Decrease) in Stockholders' Equity [Roll Forward] | ||||||||
Net income | 59,206 | 59,206 | ||||||
Net income attributable to noncontrolling interest | (10) | 0 | (10) | |||||
Dividends declared | (20,783) | (20,783) | ||||||
Change in other comprehensive income (loss) | 9,700 | 9,700 | ||||||
Reclassification of Tax Effects From AOCI | 782 | |||||||
Stock-based compensation | 3,725 | 3,725 | ||||||
Retirement of treasury stock (in shares) | (2,704) | |||||||
Retirement of treasury stock | $ (3) | (27) | 30 | |||||
Net purchase of treasury stock from stock awards for statutory tax withholdings | $ (625) | (625) | ||||||
Share-based awards and options exercises (in shares) | 49,700 | 107,407 | ||||||
Share-based awards and options exercises | $ 1,006 | $ 108 | 898 | |||||
Net treasury stock activity for deferred compensation trusts | (172) | (172) | ||||||
Purchase of treasury stock through publicly announced plans | $ (4,524) | (4,524) | ||||||
Ending Balance (in shares) at Dec. 31, 2019 | 24,650,051 | 24,650,051 | ||||||
Ending Balance at Dec. 31, 2019 | $ 612,227 | $ 24,650 | $ 378,606 | $ (81,174) | $ 2,187 | $ 288,653 | $ (695) | |
[1] | Shares relating to the RBPI Merger (defined in Note 3, “Business Combinations,” below) recorded in April 2018. |
Consolidated Statements of Ch_2
Consolidated Statements of Changes in Shareholders' Equity (Parentheticals) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Retained Earnings | |||
Dividends paid or accrued (in dollars per share) | $ 1.02 | $ 0.94 | $ 0.86 |
Accumulated Other Comprehensive (Loss) Income | |||
Other comprehensive income (loss), tax | $ 2,578 | $ 823 | $ 659 |
Summary of Significant Accounti
Summary of Significant Accounting Policies | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies A. Nature of Business The Bryn Mawr Trust Company (the “Bank”) received its Pennsylvania banking charter in 1889 and is a member of the Federal Reserve System. In 1986, Bryn Mawr Bank Corporation (“BMBC”) was formed and on January 2, 1987, the Bank became a wholly-owned subsidiary of BMBC. The Bank and BMBC are headquartered in Bryn Mawr, Pennsylvania, located in the western suburbs of Philadelphia. BMBC and its direct and indirect subsidiaries (collectively, the “Corporation”) offer a full range of personal and business banking services, consumer and commercial loans, equipment leasing, mortgages, insurance and wealth management services, including investment management, trust and estate administration, retirement planning, custody services, and tax planning and preparation from 43 banking locations, seven wealth management offices and two insurance and risk management locations in the following counties: Montgomery, Chester, Delaware, Philadelphia, and Dauphin Counties in Pennsylvania; New Castle County in Delaware; and Mercer and Camden Counties in New Jersey. The common stock of BMBC trades on the NASDAQ Stock Market (“NASDAQ”) under the symbol BMTC. The Bank’s subsidiary, BMT Insurance Advisors, Inc., completed the acquisition of Domenick, a full-service insurance agency established in 1993 and headquartered in Philadelphia, on May 1, 2018. The consideration paid was $1.5 million , of which $750 thousand was paid at closing, $225 thousand was paid during the third quarter of 2019, and two contingent cash payments, not to exceed $250 thousand each, will be payable in 2020 and 2021, subject to the attainment of certain targets during the related periods. On December 15, 2017, the previously announced merger of Royal Bancshares of Pennsylvania, Inc. (“RBPI”) with and into BMBC (the “Effective Date”), and the merger of Royal Bank America with and into the Bank (collectively, the "RBPI Merger"), pursuant to the Agreement and Plan of Merger, by and between RBPI and BMBC, dated as of January 30, 2017 (the “Agreement”) was completed. Consideration paid totaled $138.7 million , comprised of 3,101,316 shares of BMBC's common stock, the assumption of 140,224 warrants to purchase BMBC's common stock valued at $1.9 million , $112 thousand for the cash-out of certain options and $7 thousand of cash in lieu of fractional shares. The RBPI Merger initially added $570.4 million of loans, $121.6 million of investments, $593.2 million of deposits, and twelve new branches. The acquisition of RBPI expands the Corporation further into Montgomery, Chester, Berks and Philadelphia Counties in Pennsylvania as well as Mercer and Camden Counties in New Jersey. On May 24, 2017, the acquisition of Harry R. Hirshorn & Company, Inc. (“Hirshorn”), an insurance agency headquartered in the Chestnut Hill section of Philadelphia, was completed. Immediately after the acquisition, Hirshorn was merged into the Bank’s existing insurance subsidiary, BMT Insurance Advisors, Inc., formerly known as Powers Craft Parker and Beard, Inc. The consideration paid by the Bank was $7.5 million , of which $5.8 million was paid at closing, two contingent cash payments of $575 thousand were paid in 2018 and 2019, and one contingent cash payment, not to exceed $575 thousand , will be payable in 2020, subject to certain conditions. The acquisition enhanced the Bank’s ability to offer comprehensive insurance solutions to both individual and business clients and continues the strategy of selectively establishing specialty offices in targeted areas. The Corporation operates in a highly competitive market area that includes local, national and regional banks as competitors along with savings banks, credit unions, insurance companies, trust companies, registered investment advisors and mutual fund families. The Corporation and its subsidiaries are regulated by many regulatory agencies including the Securities and Exchange Commission (“SEC”), Federal Deposit Insurance Corporation (“FDIC”), the Federal Reserve and the Pennsylvania Department of Banking. B. Basis of Presentation and Principles of Consolidation The accounting policies of the Corporation conform to U.S. generally accepted accounting principles (“GAAP”). The Consolidated Financial Statements include the accounts of BMBC and its consolidated subsidiaries. BMBC’s primary subsidiary is the Bank. The Corporation’s consolidated financial condition and results of operations consist almost entirely of the Bank’s financial condition and results of operations. In connection with the RBPI Merger, the Corporation acquired two Delaware trusts, Royal Bancshares Capital Trust I and Royal Bancshares Capital Trust II. These two entities are not consolidated per requirements under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 810, “Consolidation” (“ASC Topic 810”). All significant intercompany balances and transactions are eliminated in consolidation and certain reclassifications are made when necessary in order to conform the previous years' consolidated financial statements to the current year's presentation. In preparing the Consolidated Financial Statements, management is required to make estimates and assumptions that affect the reported amounts of assets and liabilities, the disclosure of contingent assets and liabilities at the dates of the balance sheets, and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from these estimates. Although our current estimates contemplate current conditions and how we expect them to change in the future, it is reasonably possible that in 2019, actual conditions could be worse than anticipated in those estimates, which could materially affect our results of operations and financial condition. Amounts subject to significant estimates are items such as the allowance for loan and lease losses and lending related commitments, goodwill and intangible assets, pension and post-retirement obligations, the fair value of financial instruments and other-than-temporary impairments. Among other effects, such changes could result in future impairments of investment securities, goodwill and intangible assets and establishment of allowances for loan losses and lending-related commitments as well as increased pension and post-retirement expense. C. Cash and Cash Equivalents Cash and cash equivalents include cash, interest-bearing and noninterest-bearing amounts due from banks, and federal funds sold. Cash balances required to meet regulatory reserve requirements of the Federal Reserve Board amounted to $24.6 million and $4.3 million at December 31, 2019 and December 31, 2018 , respectively. D. Investment Securities Investment securities which are held for indefinite periods of time, which the Corporation intends to use as part of its asset/liability strategy, or which may be sold in response to changes in credit quality of the issuer, interest rates, changes in prepayment risk, increases in capital requirements, or other similar factors, are classified as available for sale and are carried at fair value. Net unrealized gains and losses for such securities, net of tax, are required to be recognized as a separate component of shareholders’ equity and excluded from determination of net income. Gains or losses on disposition are based on the net proceeds and cost of the securities sold, adjusted for the amortization of premiums and accretion of discounts, using the specific identification method. The Corporation follows ASC 370-10-65-1 “Recognition and Presentation of Other-Than-Temporary Impairments” that provides guidance related to accounting for recognition of other-than-temporary impairment for debt securities and expands disclosure requirements for other-than-temporarily impaired debt and equity securities. Companies are required to record other-than-temporary impairment charges through earnings if they have the intent to sell, or will more likely than not be required to sell, an impaired debt security before a recovery of its amortized cost basis. In addition, companies are required to record other-than-temporary impairment charges through earnings for the amount of credit losses, regardless of the intent or requirement to sell. Credit loss is measured as the difference between the present value of an impaired debt security’s cash flows and its amortized cost basis. Non-credit-related write-downs to fair value must be recorded as decreases to accumulated other comprehensive income as long as the Corporation has no intent, or it is more likely than not that the Corporation would not be required, to sell an impaired security before a recovery of its amortized cost basis. The Corporation did not have any other-than-temporary impairments for 2019 , 2018 or 2017 . Investments for which management has the intent and ability to hold until maturity are classified as held to maturity and are carried at their amortized cost on the balance sheet. No adjustment for market value fluctuations are recorded related to the held to maturity portfolio. Investment securities held in trading accounts consist of deferred compensation trust accounts, which are invested in listed mutual funds whose diversification is at the discretion of the deferred compensation plan participants. Investment securities held in trading accounts are reported at fair value, with adjustments in fair value reported through income. E. Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or fair value in the aggregate. Net unrealized temporary losses, if any, are recognized through a valuation allowance by charges to income. F. Portfolio Loans and Leases The Corporation originates construction, commercial and industrial, commercial mortgage, residential mortgage, home equity and consumer loans to customers primarily in southeastern Pennsylvania, as well as small-ticket equipment leases to customers nationwide. Although the Corporation has a diversified loan and lease portfolio, its debtors’ ability to honor their contracts is substantially dependent upon the real estate and general economic conditions of the region. Loans and leases that management has the intention and ability to hold for the foreseeable future, or until maturity or pay-off, generally are reported at their outstanding principal balance adjusted for charge-offs, the allowance for loan and lease losses and any deferred fees or costs on originated loans and leases. Interest income is accrued on the unpaid principal balance. Loan and lease origination fees and loan and lease origination costs are deferred and recognized as an adjustment to the related yield using the interest method. The accrual of interest on loans and leases is generally discontinued at the time the loan is 90 days delinquent unless the credit is well secured and in the process of collection. Loans and leases are placed on nonaccrual status or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued, but not collected for loans that are placed on nonaccrual status or charged-off is charged against interest income. All interest accrued, but not collected, on leases that are placed on nonaccrual status is not charged against interest income until the lease becomes 120 days delinquent, at which point it is charged off. The interest received on these nonaccrual loans and leases is applied to reduce the carrying value of loans and leases. Loans and leases are returned to accrual status when all the principal and interest amounts contractually due are brought current and remain current for at least six months, and future payments are reasonably assured. Once a loan returns to accrual status, any interest payments collected during the nonaccrual period which had been applied to the principal balance are reversed and recognized as interest income over the remaining term of the loan. Certain loans which have reached maturity and have been approved for extension or renewal, but for which all required documents have not been fully executed as of the reporting date, are classified as Administratively Delinquent and are not considered to be delinquent. These loans are reported as current in all disclosures. Loans acquired in mergers are recorded at their fair values. The difference between the recorded fair value and the principal value is accreted to interest income over the contractual lives of the loans in accordance with ASC 310-20. Certain acquired loans which were deemed to be credit impaired at acquisition are accounted for in accordance with ASC 310-30, as discussed below, in subsection H of this footnote. G. Allowance for Loan and Lease Losses The allowance for loan and lease losses (the “Allowance”) is established through a provision for loan and lease losses (the “Provision”) charged as an expense. The principal balances of loans and leases are charged against the Allowance when management believes that the principal is uncollectible. The Allowance is maintained at a level that the Corporation believes is sufficient to absorb estimated potential credit losses. Management’s determination of the adequacy of the Allowance is based on guidance provided in ASC 450 – Contingencies and ASC 310 - Receivables, and involves the periodic evaluations of the loan and lease portfolio and other relevant factors. However, this evaluation is inherently subjective as it requires significant estimates by management. Consideration is given to a variety of factors in establishing these estimates. Quantitative factors in the form of historical net charge-off rates by portfolio segment are considered. In connection with these quantitative factors, management establishes what it deems to be an adequate look-back period (“LBP”) for the charge-off history. As of December 31, 2019 , management utilized a five -year LBP, which it believes adequately captures the trends in charge-offs. In addition, management develops an estimate of a loss emergence period (“LEP”) for each segment of the loan portfolio. The LEP estimates the time between the occurrence of a loss event for a borrower and an actual charge-off of a loan. As of December 31, 2019 , management utilized a two-year LEP for its commercial loan segments, and a one-year LEP for its consumer loan segments, based on analyses of actual charge-offs tracked back in time to the triggering event for the eventual loss. In addition, various qualitative factors are considered, including the specific terms and conditions of loans, changes in underwriting standards, delinquency statistics, industry concentrations and overall exposure of a single customer. In addition, consideration is given to the adequacy of collateral, the dependence on collateral, and the results of internal loan reviews, including a borrower’s financial strengths, their expected cash flows, and their access to additional funds. As part of the process of calculating the Allowance for the different segments of the loan and lease portfolio, management considers certain credit quality indicators. For the commercial mortgage, construction, and commercial and industrial loan segments, periodic reviews of the individual loans are performed by both in-house staff as well as external third-party loan review specialists. The result of these reviews is reflected in the risk grade assigned to each loan. For the consumer segments of the loan portfolio, the indicator of credit quality is reflected by the performance/non-performance status of a loan. The evaluation process also considers the impact of competition, current and expected economic conditions, national and international events, the regulatory and legislative environment, and inherent risks in the loan and lease portfolio. All of these factors may be susceptible to significant change. To the extent actual outcomes differ from management’s estimates, an additional Provision may be required that might adversely affect the Corporation’s results of operations in future periods. In addition, various regulatory agencies, as an integral part of their examination processes, periodically review the adequacy of the Allowance. Such agencies may require the Corporation to record additions to the Allowance based on their judgment of information available to them at the time of their examination. H. Impaired Loans and Leases A loan or lease is considered impaired when, based on current information, it is probable that management will be unable to collect the contractually scheduled payments of principal or interest. When assessing impairment, management considers various factors, which include payment status, realizable value of collateral and the probability of collecting scheduled principal and interest payments when due. Loans and leases 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. For loans that indicate possible signs of impairment, which in most cases is based on the performance/non-performance status of the loan, an impairment analysis is conducted based on guidance provided by ASC 310-10. Impairment is measured by (i) the fair value of the collateral, if the loan is collateral-dependent, (ii) the present value of expected future cash flows discounted at the loan’s contractual effective interest rate, or (iii), less frequently, the loan’s obtainable market price. In addition to originating loans, the Corporation occasionally acquires loans through mergers or loan purchase transactions. Some of these acquired loans may exhibit deteriorated credit quality that has occurred since origination and, as such, management may not expect to collect all contractual payments. Accounting for these purchased credit-impaired (“PCI”) loans is done in accordance with ASC 310-30. The loans are recorded at fair value, reflecting the present value of the amounts expected to be collected. Income recognition on these loans is based on a reasonable expectation about the timing and amount of cash flows to be collected. Acquired loans deemed impaired and considered collateral-dependent, with the timing of the sale of loan collateral indeterminate, remain on nonaccrual status and have no accretable yield. On a regular basis, at least quarterly, PCI loans are assessed to determine if there has been any improvement or deterioration of the expected cash flows. If there has been improvement, an adjustment is made to increase the recognition of interest on the PCI loan, as the estimate of expected loss on the loan is reduced. Conversely, if there is deterioration in the expected cash flows of a PCI loan, a Provision is recorded in connection with the loan. I. Troubled Debt Restructurings (“TDRs") A TDR occurs when a creditor, for economic or legal reasons related to a borrower’s financial difficulties, modifies the original terms of a loan or lease, or grants a concession to the borrower that it would not otherwise have granted. A concession may include an extension of repayment terms, a reduction in the interest rate, or the forgiveness of principal and/or accrued interest. If the debtor is experiencing financial difficulty and the creditor has granted a concession, the Corporation will make the necessary disclosures related to the TDR. In certain cases, a modification or concession may be made in an effort to retain a customer who is not experiencing financial difficulty. This type of modification is not considered a TDR. J. Other Real Estate Owned (“OREO”) OREO consists of assets that the Corporation has acquired through foreclosure by either accepting a deed in lieu of foreclosure, or by taking possession of assets that were used as loan collateral. The Corporation reports OREO on the balance sheet as part of other assets, at the lower of cost or fair value less cost to sell, adjusted periodically based on current appraisals. Costs relating to the development or improvement of assets, as well as the costs required to obtain legal title to the property, are capitalized, while costs related to holding the property are charged to expense as incurred. K. Other Investments and Equity Stocks Without a Readily Determinable Fair Value Other investments include Community Reinvestment Act (“CRA”) investments and equity stocks without a readily determinable fair value. The Corporation’s investments in equity stocks include those issued by the Federal Home Loan Bank of Pittsburgh (“FHLB”), the Federal Reserve Bank (“FRB”) and Atlantic Central Bankers Bank. The Corporation is required to hold FHLB stock as a condition of its borrowing funds from the FHLB. As of December 31, 2019 , the carrying value of the Corporation’s FHLB stock was $23.7 million . In addition, the Corporation is required to hold FRB stock based on the Corporation’s capital. As of December 31, 2019 , the carrying value of the Corporation’s FRB stock was $12.0 million . Ownership of FHLB and FRB stock is restricted and there is no market for these securities. For further information on the FHLB stock, see Note 11, “Short-Term Borrowings and Long-Term FHLB Advances,” in the accompanying Notes to the Consolidated Financial Statements in this Annual Report on Form 10-K. L. Premises and Equipment Premises and equipment are stated at cost, less accumulated depreciation. Depreciation and predetermined rent are recorded using the straight-line method over the estimated useful lives of the assets. Leasehold improvements are amortized over the expected lease term or the estimated useful lives, whichever is shorter. M. Operating Leases The Corporation’s operating leases consist of various retail branch locations and corporate offices. Management determines if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use assets (“ROU assets”) and operating lease liabilities in our Consolidated Balance Sheets. ROU assets and operating lease liabilities are recognized at the lease commencement date. Operating lease liabilities represent the present value of unpaid lease payments, including extension options that the Corporation is reasonably certain will be exercised. As the majority of our leases do not provide an implicit rate, we use our estimated incremental borrowing rate at the lease commencement date to determine the present value of unpaid lease payments. ROU assets represent our right to use underlying assets and are recorded as operating lease liabilities adjusted for prepayments or accrued lease payments, initial direct costs, lease incentives, and impairment of ROU assets. The Corporation’s leases include fixed rental payments, and certain of our leases also include variable rental payments where lease payments may increase at pre-determined dates based on the change in the consumer price index. The Corporation’s lease agreements include gross leases as well as leases in which we make separate payments to the lessor for items such as the property taxes assessed on the property or a portion of the common area maintenance associated with the property. We have elected the practical expedient not to separate lease and non-lease components for all of our building leases. The Corporation also elected to not recognize ROU assets and lease liabilities for short-term leases, which consist of certain leases of the Corporation’s limited-hour retirement community offices. N. Pension and Postretirement Benefit Plan As of December 31, 2019 , the Corporation had two non-qualified defined-benefit supplemental executive retirement plans and a postretirement benefit plan as discussed in Note 16, “Pension and Postretirement Benefit Plans,” in the accompanying Notes to the Consolidated Financial Statements in this Annual Report on Form 10-K. Net pension expense related to the defined-benefit consists of service cost, interest cost, return on plan assets, amortization of prior service cost, amortization of transition obligations and amortization of net actuarial gains and losses. As it relates to the costs associated with the post-retirement benefit plan, the costs are recognized as they are incurred. O. Bank Owned Life Insurance (“BOLI”) BOLI is recorded at its cash surrender value. Income from BOLI is tax-exempt and included as a component of noninterest income. P. Derivative Financial Instruments The Corporation recognizes all derivative financial instruments on its balance sheet at fair value. Derivatives that are not hedges must be adjusted to fair value through income. The Corporation enters into interest rate swaps that allow commercial loan customers to effectively convert a variable-rate commercial loan agreement to a fixed-rate commercial loan agreement. Under these agreements, the Corporation originates variable-rate loans with customers in addition to interest rate swap agreements, which serve to effectively swap the customers’ variable-rate loans into fixed-rate loans. The Corporation then enters into corresponding swap agreements with swap dealer counterparties to economically hedge its exposure on the variable and fixed components of the customer agreements. The interest rate swaps with both the customers and third parties are not designated as hedges under FASB ASC 815 and are marked to market through earnings. As the interest rate swaps are structured to offset each other, changes to the underlying benchmark interest rates considered in the valuation of these instruments do not result in an impact to earnings; however, there may be fair value adjustments related to credit quality variations between counterparties, which may impact earnings as required by FASB ASC 820. In addition to interest rate swaps with customers, the Corporation may also enter into a risk participation agreement with another institution as a means to assume a portion of the credit risk associated with a loan structure which includes a derivative instrument, in exchange for fee income commensurate with the risk assumed. This type of derivative is referred to as an “RPA sold.” In addition, in an effort to reduce the credit risk associated with an interest rate swap agreement with a borrower for whom the Corporation has provided a loan structured with a derivative, the Corporation may purchase a risk participation agreement from an institution participating in the facility in exchange for a fee commensurate with the risk shared. This type of derivative is referred to as an “RPA purchased.” If a derivative has qualified as a hedge, depending on the nature of the hedge, changes in the fair value of the derivative are either offset against the change in fair value of the hedged assets, liabilities, or firm commitments through earnings, or recognized in other comprehensive income until the hedged item is recognized in earnings. The ineffective portion of a derivative’s change in fair value is recognized in earnings immediately. To determine fair value, management uses valuations obtained from a third party which utilizes a pricing model that incorporates assumptions about market conditions and risks that are current as of the reporting date. Management reviews, annually, the inputs utilized by its independent third-party valuation organization. The Corporation may use interest-rate swap agreements to modify the interest rate characteristics from variable to fixed, or fixed to variable, in order to reduce the impact of interest rate changes on future net interest income. If present, the Corporation accounts for its interest-rate swap contracts in cash flow hedging relationships by establishing and documenting the effectiveness of the instrument in offsetting the change in cash flows of assets or liabilities that are being hedged. To determine effectiveness, the management performs an analysis to identify if changes in fair value or cash flow of the derivative correlate to the equivalent changes in the forecasted interest receipts or payments related to a specified hedged item. Recorded amounts related to interest-rate swaps are included in other assets or liabilities. The change in fair value of the ineffective part of the instrument would need to be charged to the Statement of Income, potentially causing material fluctuations in reported earnings in the period of the change relative to comparable periods. In a fair value hedge, the fair value of the interest rate swap agreements and changes in the fair value of the hedged items are recorded in the Corporation’s consolidated balance sheets with the corresponding gain or loss being recognized in current earnings. The difference between changes in the fair values of interest rate swap agreements and the hedged items represents hedge ineffectiveness, and is recorded in net interest income in the statement of income. Management performs an assessment, both at the inception of the hedge and quarterly thereafter, to determine whether these derivatives are highly effective in offsetting changes in the value of the hedged items. Q. Accounting for Stock-Based Compensation Stock-based compensation cost is measured at the grant date, based on the fair value of the award and is recognized as an expense over the vesting period. All share-based payments, including grants of stock options, restricted stock awards and performance-based stock awards, are recognized as compensation expense in the statement of income at their fair value. The fair value of stock option grants is determined using the Black-Scholes pricing model which considers the expected life of the options, the volatility of our stock price, risk-free interest rate and annual dividend yield. The fair value of the restricted stock awards and performance-based awards whose performance is measured based on an internally produced metric is based on their closing price on the grant date, while the fair value of the performance-based stock awards which use an external measure, such as total stockholder return, is based on their grant-date market value adjusted for the likelihood of attaining certain pre-determined performance goals and is calculated by utilizing a Monte Carlo Simulation model. R. Earnings per Common Share Basic earnings per common share excludes dilution and is computed by dividing income available to common shareholders by the weighted-average common shares outstanding during the period. Diluted earnings per common share takes into account the potential dilution that would occur if in-the-money stock options were exercised and converted into shares of common stock and restricted stock awards and performance-based stock awards were vested. Proceeds assumed to have been received on options exercises are assumed to be used to purchase shares of BMBC’s common stock at the average market price during the period, as required by the treasury stock method of accounting. The effects of stock options are excluded from the computation of diluted earnings per share in periods in which the effect would be antidilutive. S. Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry-forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Net deferred tax assets are included within the other assets line item on the Consolidated Balance Sheets. The Corporation recognizes the benefit of a tax position only after determining that the Corporation would more-likely-than-not sustain the position following an examination. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the Consolidated Financial Statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon settlement with the relevant tax authority. Management applies these criteria to tax positions for whi |
Recent Accounting Pronouncement
Recent Accounting Pronouncements | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Recent Accounting Pronouncements | Recent Accounting Pronouncements The following Financial Accounting Standards Board ("FASB") Accounting Standards Updates ("ASUs") are divided into pronouncements which have been adopted by the Corporation during the year ended December 31, 2019 , and those which are not yet effective as of December 31, 2019 and have been evaluated or are currently being evaluated by management. Adopted Pronouncements in 2019: FASB ASU 2016-02 (Topic 842), “Leases” In February 2016, the FASB established Topic 842, Leases, by issuing ASU 2016-02, which requires lessees to recognize leases on-balance sheet and disclose key information about leasing arrangements. Topic 842 was subsequently amended by ASU 2018-01, Land Easement Practical Expedient for Transition to Topic 842; ASU 2018-10, Codification Improvements to Topic 842, Leases; and ASU 2018-11, Targeted Improvements. The new standard establishes a right-of-use model (ROU) that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. The new standard became effective for us on January 1, 2019. A modified retrospective transition approach is required, applying the new standard to all leases existing at the date of initial application. Management has elected to use the effective date as its date of initial application. Consequently, financial information will not be updated, and the disclosures required under the new standard will not be provided for dates and periods before January 1, 2019. The new standard provided a number of optional practical expedients in transition. We have elected the ‘package of practical expedients’, which permitted us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. This standard will have a material effect on our Consolidated Balance Sheet and related disclosures but is not expected to have a material impact on our Consolidated Statement of Income. Any additional assets recorded as a result of adoption is expected to have a negative impact on the Corporation and Bank capital ratios under current regulatory guidance. On adoption, we have: • recognized operating lease liabilities of approximately $49.1 million , with corresponding ROU assets of the same amount, based on the present value of the remaining minimum rental payments under current leasing standards for existing operating leases, and • derecognized $541 thousand of favorable lease assets, $2.2 million in unfavorable lease liabilities, and $2.5 million in deferred rent, with a corresponding adjustment to the ROU asset for the same amounts. The new standard also provides practical expedients for an entity’s ongoing accounting. We have elected the short-term lease recognition exemption for all leases that qualify. This means, for those leases that qualify, we will not recognize ROU assets or lease liabilities, and this includes not recognizing ROU assets or lease liabilities for existing short-term leases of those assets in transition. We also have elected the practical expedient to not separate lease and non-lease components for all of our leases. FASB ASU 2018-07, “Improvements to Nonemployee Share-Based Payment Accounting” Issued in June 2018, ASU 2018-07: Compensation - Stock Compensation (Topic 718), “ Improvements to Nonemployee Share-Based Payment Accounting ” expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. An entity should apply the requirements of Topic 718 to nonemployee awards except for specific guidance on inputs to an option pricing model and the attribution of cost (that is, the period of time over which share-based payment awards vest and the pattern of cost recognition over that period). The amendments specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. The amendments also clarify that Topic 718 does not apply to share-based payments used to effectively provide (1) financing to the issuer or (2) awards granted in conjunction with selling goods or services to customers as part of a contract accounted for under Topic 606, Revenue from Contracts with Customers. The amendments in this update became effective for us January 1, 2019. The adoption did not have an impact on our Consolidated Financial Statements and related disclosures as the Corporation has not historically granted share based payment awards to nonemployees other than to the Corporation’s Board of Directors, who are treated as employees for share-based payment accounting. FASB ASU 2018-15 (Topic 350), "Intangibles - Goodwill and Other - Internal-Use Software" Issued in August 2018, ASU 2018-15 provides clarity on capitalizing and expensing implementation costs for cloud computing arrangements in a service contract. If an implementation cost is capitalized, the cost should be recognized over the noncancellable term and periodically assessed for impairment. The guidance is effective in annual and interim periods in fiscal years beginning after December 15, 2019. Early adoption is permitted. Adoption should be applied retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Corporation early adopted ASU 2018-15 in the third quarter of 2019 and the adoption did not have a material impact on our Consolidated Financial Statements and related disclosures as the Corporation has historically evaluated implementation costs for capitalization of cloud computing arrangements using the framework applicable to costs incurred to develop or obtain internal-use software as required by ASU 2018-15. Pronouncements Not Effective as of December 31, 2019 : FASB ASU 2016-13 (Topic 326), “Measurement of Credit Losses on Financial Instruments” Issued in June 2016, ASU 2016-13 (Topic 326 - Credit Losses), commonly referenced as the Current Expected Credit Loss (“CECL”), eliminates the Provision for Loan and Lease Losses (the “Provision”) and Allowance for Loan and Lease Losses (the “Allowance”) line items and establishes the Provision for Credit Losses ("PCL") and Allowance for Credit Losses ("ACL") line items. Under the legacy “Incurred Loss” notion, management presents an Allowance intended to represent “probable and estimable” incurred but not yet realized credit losses on assets in scope. When management deems collection of contractual cashflows for an instrument unlikely, a specific reserve is calculated under ASC 310-10. Management further calculates a general reserve for performing assets under ASC 450-20, using historical loss experience and adjustments for several qualitative factors, including current economic conditions. The “Incurred Loss” standard does not allow for projections beyond the likely ‘emergence period’ of losses, or for forward-looking economic conditions; for example, loss contingencies in 2022 are not currently presented, nor is the presentation adjusted for the likelihood of future economic condition change. In contrast, the future accounting standard requires projection of credit loss over the contract lifetime of the asset, adjusted for prepayment tendencies. Further, management’s specific expectations for the future economic environment must be incorporated in the projection, with loss expectations to revert to the long-run historical mean after such time as management can make or obtain a reasonable and supportable forecast. This valuation reserve will be established in the ACL and maintained through expense (provision) in the PCL. CECL became effective for the Corporation on January 1, 2020 and will change the way we estimate credit losses for loans and leases, including off-balance sheet (“OBS”) credit exposures, for reporting periods beginning on or after January 1, 2020. The Corporation has engaged with a leading vendor to assist in computing and establishing the ACL to operationalize the practice for establishing the ACL. Management’s methodology for estimating the ACL under CECL includes the use of relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience, including examination of loss experience at representative peer institutions when the Corporation’s first-party loss history does not result in estimations that are meaningful to users of the Corporation’s Consolidated Financial Statements, provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are considered for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term, as well as for changes in environmental conditions, such as changes in unemployment rates, property values, or other relevant factors. Ongoing evaluations have been performed by discounting instrument-level cashflows adjusted for timing (e.g. prepayments and curtailments) and credit (default and loss) expectations. For portfolio segments that do not provide adequate loss history (with or without peer information), management expects to use a weighted average remaining maturity methodology, which contemplates loss expectations on a pool basis, relying on historic loss rates. Management is validating the Corporation's CECL model and methodologies, however we expect an initial increase to the ACL, including reserves for unfunded commitments, not to exceed 130% of the December 31, 2019 Allowance, or an incremental increase to the December 31, 2019 Allowance of approximately $6.8 million . When finalized, this one-time increase as a result of the adoption of CECL will be recorded, net of tax, as an adjustment to retained earnings effective January 1, 2020. This estimate is subject to change based on continuing refinement and validation of the model and methodologies. Financial statement users should be aware that the ACL is, by design, inherently sensitive to changes in economic outlook, loan and lease portfolio composition, portfolio duration, and other factors. Ongoing impacts of the CECL methodology are dependent on the following factors, among others, which could lead to a material impact to the ACL and PCL - in either direction - in future reporting periods: • Increases / decreases to the time period management deems reasonably and supportably forecastable • Inclusion / exclusion of forecast factors • Adverse changes to reasonable and supportable forecasts • Detectable increases / decreases in the Corporation’s or comparable industry credit loss parameters • Deterioration / improvement in the risk profile of the Corporation’s loan and lease portfolio • Decreased / increased prepayment behavior or other factors impacting loan and lease portfolio duration • Changes in credit risk through the ordinary course of operations, such as launch or expansion of higher risk-bearing products • Interest rate fluctuations impacting effective yield on certain instruments. Management cautions that this list is not exhaustive. Further, the impact of accounting treatment changes for establishing the ACL for purchased assets under future acquisitions may lead to a material impact to the ACL and PCL in future reporting periods. Ongoing financial statement behavior will be impacted by the standard, regardless of any cumulative-effect adjustment at adoption. Under our currently contemplated cashflow projection model, assets will originate with a specific allocation for the contract life of that instrument, adjusted for prepayment behavior and probabilistic credit performance expectations to arrive at an expected cashflow projection. All else being equal, as that continues toward its contract maturity, estimates of lifetime credit loss at the instrument level will decrease. Under steady-state conditions, portfolio-segment-level aggregation of management’s expected loss estimates should be stable or track with portfolio-segment growth (contraction and runoff). When management’s expectations of the likely future economic environment change based on reasonable and supportable forecasts, portfolio allocation may increase (decrease) rapidly between periods. The establishment of the ACL will be more responsive to deteriorating (improving) economic conditions than prior establishment of the ALLL, which is based on historical experience and agnostic to future conditions. In dynamic economic environments, users of financial statements should expect expense (income) in the PCL to be concentrated in fewer quarters than was typical for the PLLL. Users of financial statements should be aware that this accounting treatment does not determine the ultimate, realized loss or recovery for assets in scope; ASU 2016-13 impacts timing. Specific reserve impact to instruments meeting the legacy “impairment” criteria are not anticipated to materially change. FASB ASU 2017-04 (Topic 350), “Intangibles – Goodwill and Others” Issued in January 2017, ASU 2017-04 simplifies how an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Step 2 measures a goodwill impairment loss by comparing the implied fair value of a reporting unit’s goodwill with the carrying amount of that goodwill. ASU 2017-04 became effective for the Corporation on January 1, 2020. Management does not expect the adoption of this ASU to have a material impact on our Consolidated Financial Statements and related disclosures. FASB ASU 2018-12 (Topic 944), “Targeted Improvements to the Accounting for Long-Duration Contracts” Issued in August 2018, ASU 2018-12 makes targeted improvements to the existing recognition, measurement, presentation, and disclosure requirements for long-duration contracts issued by an insurance entity. Specifically, the ASU is intended to 1) improve the timeliness of recognizing changes in the liability for future policy benefits and modify the rate used to discount future cash flows, 2) simplify and improve the accounting for certain market-based options or guarantees associated with deposit (or account balance) contracts, 3) simplify the amortization of deferred acquisition costs, and 4) improve the effectiveness of the required disclosures. ASU 2018-12 is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early application of the amendments is permitted. As an independent insurance agent, the Corporation does not issue insurance contracts. As a result, management does not expect the adoption of this ASU to have an impact on our Consolidated Financial Statements and related disclosures. FASB ASU 2018-13, "Fair Value Measurement Disclosure Framework" Issued in August 2018, ASU 2018-13 modifies, adds and removes certain disclosures aimed to improve the overall usefulness of the disclosure requirements for fair value measurements. ASU 2018-13 became effective for the Corporation on January 1, 2020. Adoption is required on both a prospective and retrospective basis depending on the amendment. Management does not expect the adoption of this ASU to have a material impact on our Consolidated Financial Statements and related disclosures. FASB ASU 2018-14 (Topic 715), "Compensation-Retirement Benefits - Defined Benefit Plans-General" Issued in August 2018, the ASU 2018-14, modifies, adds and removes certain disclosures aimed to improve the overall usefulness of the disclosure requirements to financial statement users. The guidance is effective for annual periods beginning after December 15, 2020. Early adoption is permitted. Use of the retrospective method is required. Management does not expect the adoption of this ASU to have a material impact on our Consolidated Financial Statements and related disclosures. FASB ASU 2019-04, “Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments” Issued in April 2019, ASU 2019-04 clarifies certain aspects of accounting for credit losses, hedging activities, and financial instruments (addressed by ASUs 2016-13, 2017-12, and 2016-01, respectively). The amendments to estimating expected credit losses (ASU 2016-13), in particular, how a company considers recoveries and extension options when estimating expected credit losses, are the most relevant to the Corporation. The ASU clarifies that (1) the estimate of expected credit losses should include expected recoveries of financial assets, including recoveries of amounts expected to be written off and those previously written off, and (2) that contractual extension or renewal options that are not unconditionally cancellable by the lender are considered when determining the contractual term over which expected credit losses are measured. Management has incorporated recoveries and extension options when estimating expected credit losses under the CECL methodology further described above. FASB ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes” Issued in December 2019, ASU 2019-12 adds new guidance to simplify accounting for income taxes, changes the accounting for certain income tax transactions and makes minor improvements to the codification. The guidance is effective for annual periods beginning after December 15, 2020. Early adoption is permitted. Management does not expect the adoption of this ASU to have a material impact on our Consolidated Financial Statements and related disclosures. |
Business Combinations
Business Combinations | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Business Combinations | Business Combinations Domenick & Associates (“Domenick”) The Bank’s subsidiary, BMT Insurance Advisors, Inc., completed the acquisition of Domenick, a full-service insurance agency established in 1993 and headquartered in the Old City section of Philadelphia, on May 1, 2018. The consideration paid was $1.5 million , of which $750 thousand was paid at closing, $225 thousand was paid during the third quarter of 2019, and two contingent cash payments, not to exceed $250 thousand each, will be payable in 2020 and 2021, subject to the attainment of certain targets during the related periods. The following table details the consideration paid, the initial estimated fair value of identifiable assets acquired and liabilities assumed as of the date of acquisition and the resulting goodwill recorded: (dollars in thousands) Consideration paid: Cash paid at closing $ 750 Contingent payment liability (present value) 706 Value of consideration $ 1,456 Assets acquired: Cash and due from banks 370 Intangible assets - customer relationships 779 Premises and equipment 1 Other assets 316 Total assets 1,466 Liabilities assumed: Accounts payable 657 Other liabilities 30 Total liabilities $ 687 Net assets acquired $ 779 Goodwill resulting from acquisition of Domenick $ 677 As of June 30, 2018, the estimates of the fair value of identifiable assets acquired and liabilities assumed in the Domenick acquisition were final. Royal Bancshares of Pennsylvania, Inc. On December 15, 2017, the previously announced merger of Royal Bancshares of Pennsylvania, Inc. (“RBPI”) with and into BMBC (the “Effective Date”), and the merger of Royal Bank America with and into the Bank (collectively, the "RBPI Merger"), pursuant to the Agreement and Plan of Merger, by and between RBPI and BMBC, dated as of January 30, 2017 (the “Agreement”) was completed. In accordance with the Agreement, the aggregate share consideration paid to RBPI shareholders consisted of 3,101,316 shares of BMBC's common stock. Shareholders of RBPI received 0.1025 shares of BMBC's common stock for each share of RBPI Class A common stock and 0.1179 shares of BMBC's common stock for each share of RBPI Class B common stock owned as of the Effective Date of the RBPI Merger, with cash-in-lieu of fractional shares totaling $7 thousand . Holders of in-the-money options to purchase RBPI Class A common stock received cash totaling $112 thousand . In addition, 1,368,040 warrants to purchase Class A common stock of RBPI, valued at $1.9 million were converted to 140,224 warrants to purchase BMBC's common stock. In accordance with the acquisition method of accounting, assets acquired and liabilities assumed were preliminarily adjusted to their fair values as of the Effective Date. The excess of consideration paid above the fair value of net assets acquired was recorded as goodwill. This goodwill is not amortizable no r is it deductible for income tax purposes. In connection with the RBPI Merger, the consideration paid and the estimated fair value of identifiable assets acquired and liabilities assumed as of the Effective Date, which include the effects of any measurement period adjustments in accordance with ASC 805-10, are summarized in the following table: (dollars in thousands) Consideration paid: Common shares issued (3,101,316) $ 136,768 Cash in lieu of fractional shares 7 Cash-out of certain options 112 Fair value of warrants assumed 1,853 Value of consideration $ 138,740 Assets acquired: Cash and due from banks 17,092 Investment securities available for sale 121,587 Loans 566,228 Premises and equipment 8,264 Deferred income taxes 34,823 Bank-owned life insurance 16,550 Core deposit intangible 4,670 Favorable lease asset 566 Other assets 13,611 Total assets $ 783,391 Liabilities assumed: Deposits 593,172 FHLB and other long-term borrowings 59,568 Short-term borrowings 15,000 Junior subordinated debentures 21,416 Unfavorable lease liability 322 Other liabilities 31,381 Total liabilities $ 720,859 Net assets acquired $ 62,532 Goodwill resulting from acquisition of RBPI $ 76,208 As of December 31, 2018, the estimates of the fair value of identifiable assets acquired and liabilities assumed in the RBPI Merger were final. Harry R. Hirshorn & Company, Inc., d/b/a Hirshorn Boothby (“Hirshorn”) The acquisition of Hirshorn, an insurance agency headquartered in the Chestnut Hill section of Philadelphia, was completed on May 24, 2017. Immediately after the acquisition, Hirshorn was merged into the Bank’s existing insurance subsidiary, BMT Insurance Advisors, Inc., formerly known as Powers Craft Parker and Beard, Inc. The consideration paid by the Bank was $7.5 million , of which $5.8 million was paid at closing, two contingent cash payments of $575 thousand were paid in 2018 and 2019, and one contingent cash payment, not to exceed $575 thousand , will be payable in 2020, subject to certain conditions. The acquisition enhanced the Bank’s ability to offer comprehensive insurance solutions to both individual and business clients and continues the strategy of selectively establishing specialty offices in targeted areas. In connection with the Hirshorn acquisition, the following table details the consideration paid, the initial estimated fair value of identifiable assets acquired and liabilities assumed as of the date of acquisition and the resulting goodwill recorded: (dollars in thousands) Consideration paid: Cash paid at closing $ 5,770 Contingent payment liability (present value) 1,690 Value of consideration 7,460 Assets acquired: Cash operating accounts 978 Intangible assets – trade name 195 Intangible assets – customer relationships 2,672 Intangible assets – non-competition agreements 41 Premises and equipment 1,795 Accounts receivable 192 Other assets 27 Total assets 5,900 Liabilities assumed: Accounts payable 800 Other liabilities 2 Total liabilities 802 Net assets acquired 5,098 Goodwill resulting from acquisition of Hirshorn $ 2,362 As of December 31, 2017, the estimates of the fair value of identifiable assets acquired and liabilities assumed in the Hirshorn acquisition are final. Pro Forma Income Statements (unaudited) The following pro forma income statements for the year ended December 31, 2017 present the pro forma results of operations of the combined institution (RBPI and the Corporation) as if the RBPI Merger occurred on January 1, 2017. The pro forma income statement adjustments are limited to the effects of fair value mark amortization and accretion and intangible asset amortization, and include the impacts of measurement period adjustments made in accordance with ASC 805-10. No cost savings or additional merger expenses have been included in the pro forma results of operations. Due to the immaterial contribution to net income of the Domenick and Hirshorn acquisitions, the pro forma effects of these acquisitions are excluded. Year Ended December 31, (dollars in thousands, except share and per share data) 2017 Total interest income $ 171,155 Total interest expense 20,065 Net interest income 151,090 Provision for loan and lease losses 3,454 Net interest income after provision for loan and lease losses 147,636 Total noninterest income 61,423 Total noninterest expenses (1) 140,756 Income before income taxes 68,303 Income tax expense 40,841 Net income $ 27,462 Per share data (2) : Weighted-average basic shares outstanding 20,248,879 Dilutive shares 257,591 Adjusted weighted-average diluted shares 20,506,470 Basic earnings per common share $ 1.36 Diluted earnings per common share $ 1.34 (1) Total noninterest expense includes RBPI Net Income Attributable to Noncontrolling Interest and Preferred Stock Series A Accumulated Dividend and Accretion for pro-forma presentation. (2) Assumes that the shares of RBPI common stock outstanding as of December 31, 2018 were outstanding for the full twelve month period ended December 31, 2017. Due Diligence, Merger-Related and Merger Integration Expenses Due diligence, merger-related and merger integration expenses include consultant costs, investment banker fees, contract breakage fees, retention bonuses for severed employees, salary and wages for redundant staffing involved in the integration of the institutions and bonus accruals for members of the merger integration team. The following table details the costs identified and classified as due diligence, merger-related and merger integration costs for the periods indicated: Year Ended December 31, (dollars in thousands) 2019 2018 2017 Advertising $ — $ 61 $ 180 Employee Benefits — 271 21 Occupancy and bank premises — 2,145 — Furniture, fixtures, and equipment — 365 109 Data processing — 421 837 Professional fees — 1,450 3,160 Salaries and wages — 852 1,285 Other — 2,196 512 Total due diligence, merger-related and merger integration expenses $ — $ 7,761 $ 6,104 |
Investment Securities
Investment Securities | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Investment Securities | Investment Securities The amortized cost and fair value of investments, which were classified as available for sale , are as follows: As of December 31, 2019 (dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury securities $ 500,066 $ 35 $ — $ 500,101 Obligations of the U.S. government and agencies 102,179 193 (352 ) 102,020 Obligations of state and political subdivisions 5,366 13 — 5,379 Mortgage-backed securities 360,977 5,182 (157 ) 366,002 Collateralized mortgage obligations 31,796 195 (159 ) 31,832 Other investment securities 650 — — 650 Total $ 1,001,034 $ 5,618 $ (668 ) $ 1,005,984 As of December 31, 2018 (dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury securities $ 200,026 $ — $ (13 ) $ 200,013 Obligations of the U.S. government and agencies 198,604 107 (2,856 ) 195,855 Obligations of state and political subdivisions 11,372 3 (43 ) 11,332 Mortgage-backed securities 294,076 554 (4,740 ) 289,890 Collateralized mortgage obligations 40,150 141 (1,039 ) 39,252 Other investment securities 1,100 — — 1,100 Total $ 745,328 $ 805 $ (8,691 ) $ 737,442 The following tables present the aggregate amount of gross unrealized losses as of December 31, 2019 and December 31, 2018 on available for sale investment securities classified according to the amount of time those securities have been in a continuous unrealized loss position: As of December 31, 2019 Less than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Obligations of the U.S. government and agencies $ 48,497 $ (315 ) $ 7,966 $ (37 ) $ 56,463 $ (352 ) Mortgage-backed securities 33,783 (119 ) 5,977 (38 ) 39,760 (157 ) Collateralized mortgage obligations 6,978 (67 ) 10,861 (92 ) 17,839 (159 ) Total $ 89,258 $ (501 ) $ 24,804 $ (167 ) $ 114,062 $ (668 ) As of December 31, 2018 Less than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Treasury securities $ 199,912 $ (13 ) $ — $ — $ 199,912 $ (13 ) Obligations of the U.S. government and agencies 12,916 (62 ) 140,506 (2,794 ) 153,422 (2,856 ) Obligations of state and political subdivisions — — 3,989 (43 ) 3,989 (43 ) Mortgage-backed securities 43,276 (352 ) 195,697 (4,388 ) 238,973 (4,740 ) Collateralized mortgage obligations 540 (1 ) 27,077 (1,038 ) 27,617 (1,039 ) Total $ 256,644 $ (428 ) $ 367,269 $ (8,263 ) $ 623,913 $ (8,691 ) Management evaluates the Corporation’s investment securities that are in an unrealized loss position in order to determine if the decline in fair value is other than temporary. The investment portfolio includes debt securities issued by U.S. government agencies, U.S. government-sponsored agencies, state and local municipalities and other issuers. All fixed income investment securities in the Corporation’s investment portfolio are rated as investment-grade or higher. Factors considered in the evaluation include the current economic climate, the length of time and the extent to which the fair value has been below cost, interest rates and the bond rating of each security. The unrealized losses presented in the tables above are temporary in nature and are primarily related to market interest rates rather than the underlying credit quality of the issuers or collateral. Management does not believe that these unrealized losses are other-than-temporary. Management does not have the intent to sell these securities prior to their maturity or the recovery of their cost bases, and believes that it is more likely than not that it will not have to sell these securities prior to their maturity or the recovery of their cost bases. As of December 31, 2019 and 2018 , securities having a fair value of $156.4 million and $123.5 million , respectively, were specifically pledged as collateral for public funds, trust deposits, the FRB discount window program, FHLB borrowings, collateral requirements in derivative contracts, and other purposes. The FHLB has a blanket lien on non-pledged, mortgage-related loans and securities as part of the Corporation’s borrowing agreement with the FHLB. The amortized cost and fair value of available for sale investment and mortgage-related securities available for sale as of December 31, 2019 and December 31, 2018 , by contractual maturity, are shown below. Expected maturities will differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. December 31, 2019 December 31, 2018 (dollars in thousands) Amortized Cost Fair Value Amortized Cost Fair Value Investment securities: Due in one year or less $ 504,851 $ 504,890 $ 209,129 $ 209,099 Due after one year through five years 38,710 38,623 180,657 177,972 Due after five years through ten years 53,598 53,457 7,258 7,268 Due after ten years 11,102 11,180 14,058 13,961 Subtotal 608,261 608,150 411,102 408,300 Mortgage-related securities (1) 392,773 397,834 334,226 329,142 Total $ 1,001,034 $ 1,005,984 $ 745,328 $ 737,442 (1) Expected maturities of mortgage-related securities may differ from contractual maturities as borrowers may have the right to prepay obligations with or without prepayment penalties. The Corporation did no t have any sales of available for sale investment securities for the year ended December 31, 2019 . Proceeds from the sale of available for sale investment securities totaled $7 thousand and $130.9 million for the years ended December 31, 2018 and 2017 , respectively. Net gain on sale of available for sale investment securities totaled $7 thousand and $101 thousand for the years ended December 31, 2018 , and 2017 , respectively. The amortized cost and fair value of investment securities held to maturity as of December 31, 2019 and December 31, 2018 are as follows: As of December 31, 2019 (dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Mortgage-backed securities $ 12,577 $ 104 $ (20 ) $ 12,661 As of December 31, 2018 (dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Mortgage-backed securities $ 8,684 $ — $ (246 ) $ 8,438 The following tables present the aggregate amount of gross unrealized losses as of December 31, 2019 and December 31, 2018 on held to maturity securities classified according to the amount of time those securities have been in a continuous unrealized loss position: As of December 31, 2019 Less than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Mortgage-backed securities $ 3,159 $ (20 ) $ — $ — $ 3,159 $ (20 ) As of December 31, 2018 Less than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Mortgage-backed securities $ 1,315 $ (4 ) $ 7,123 $ (242 ) $ 8,438 $ (246 ) The amortized cost and fair value of held to maturity investment securities as of December 31, 2019 and December 31, 2018 , by contractual maturity, are shown below: December 31, 2019 December 31, 2018 (dollars in thousands) Amortized Cost Fair Value Amortized Cost Fair Value Mortgage-backed securities (1) $ 12,577 $ 12,661 $ 8,684 $ 8,438 (1) Expected maturities of mortgage-related securities may differ from contractual maturities as borrowers may have the right to prepay obligations with or without prepayment penalties. As of December 31, 2019 and December 31, 2018 , the Corporation’s investment securities held in trading accounts totaled $8.6 million and $7.5 million , respectively, and primarily consist of deferred compensation trust accounts which are invested in listed mutual funds whose diversification is at the discretion of the deferred compensation plan participants and a rabbi trust account established to fund certain unqualified pension obligations. Investment securities held in trading accounts are reported at fair value, with adjustments in fair value reported through income. Changes in the fair value of investments held in the deferred compensation trust accounts create corresponding changes in the liability to the deferred compensation plan participants. |
Loans and Leases
Loans and Leases | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Loans and Leases | Loans and Leases The loan and lease portfolio consists of loans and leases originated by the Corporation, as well as loans acquired in mergers and acquisitions. These mergers and acquisitions include the December 2017 RBPI Merger, the January 2015 CBH Merger, the November 2012 transaction with First Bank of Delaware and the July 2010 acquisition of First Keystone Financial, Inc. Certain tables in this Note 5 are presented with a breakdown between originated and acquired loans and leases. A. The table below details portfolio loans and leases as of the dates indicated: December 31, 2019 December 31, 2018 (dollars in thousands) Originated Acquired Total Loans and Leases Originated Acquired Total Loans and Leases Loans held for sale $ 4,249 $ — $ 4,249 $ 1,749 $ — $ 1,749 Real estate loans: Commercial mortgage $ 1,674,768 $ 238,662 $ 1,913,430 $ 1,327,822 $ 329,614 $ 1,657,436 Home equity lines and loans 174,804 19,836 194,640 181,506 25,845 207,351 Residential mortgage 424,254 65,649 489,903 411,022 83,333 494,355 Construction 159,867 — 159,867 174,592 6,486 181,078 Total real estate loans 2,433,693 324,147 2,757,840 2,094,942 445,278 2,540,220 Commercial and industrial 675,345 33,912 709,257 624,643 70,941 695,584 Consumer 54,811 2,327 57,138 44,099 2,715 46,814 Leases 156,967 8,111 165,078 121,567 22,969 144,536 Total portfolio loans and leases 3,320,816 368,497 3,689,313 2,885,251 541,903 3,427,154 Total loans and leases $ 3,325,065 $ 368,497 $ 3,693,562 $ 2,887,000 $ 541,903 $ 3,428,903 Loans with fixed rates $ 1,251,762 $ 216,269 $ 1,468,031 $ 1,204,070 $ 323,604 $ 1,527,674 Loans with adjustable or floating rates 2,073,303 152,228 2,225,531 1,682,930 218,299 1,901,229 Total loans and leases $ 3,325,065 $ 368,497 $ 3,693,562 $ 2,887,000 $ 541,903 $ 3,428,903 Net deferred loan origination (costs) fees included in the above loan table $ (193 ) $ — $ (193 ) $ 2,226 $ — $ 2,226 B. Components of the net investment in leases are detailed as follows: December 31, 2019 December 31, 2018 (dollars in thousands) Originated Acquired Total Leases Originated Acquired Total Leases Minimum lease payments receivable $ 174,385 $ 8,753 $ 183,138 $ 135,313 $ 25,372 $ 160,685 Unearned lease income (23,641 ) (813 ) (24,454 ) (19,388 ) (3,005 ) (22,393 ) Initial direct costs and deferred fees 6,223 171 6,394 5,642 602 6,244 Total Leases $ 156,967 $ 8,111 $ 165,078 $ 121,567 $ 22,969 $ 144,536 C. Non-Performing Loans and Leases December 31, 2019 December 31, 2018 (dollars in thousands) Originated Acquired Total Loans and Leases Originated Acquired Total Loans and Leases Commercial mortgage $ 380 $ 3,890 $ 4,270 $ 435 $ 2,133 $ 2,568 Home equity lines and loans 779 — 779 3,590 26 3,616 Residential mortgage 190 128 318 2,813 639 3,452 Commercial and industrial 3,521 816 4,337 1,786 315 2,101 Consumer 19 42 61 45 63 108 Leases 747 136 883 392 583 975 Total non-performing loans and leases $ 5,636 $ 5,012 $ 10,648 $ 9,061 $ 3,759 $ 12,820 D. Purchased Credit-Impaired Loans The outstanding principal balance and related carrying amount of purchased credit-impaired loans, for which the Corporation applies ASC 310-30, Accounting for Purchased Loans with Deteriorated Credit Quality , to account for the interest earned, as of the dates indicated, are as follows: (dollars in thousands) December 31, 2019 December 31, 2018 Outstanding principal balance $ 9,798 $ 17,904 Carrying amount $ 7,897 $ 12,304 The following table presents changes in the accretable discount on purchased credit-impaired loans, for which the Corporation applies ASC 310-30, for the year ended December 31, 2019 : (dollars in thousands) Accretable Discount Balance, December 31, 2018 $ 2,697 Accretion (1,640 ) Reclassifications from nonaccretable difference 1,471 Additions/adjustments — Disposals (526 ) Balance, December 31, 2019 $ 2,002 E. Age Analysis of Past Due Loans and Leases The following tables present an aging of all portfolio loans and leases as of the dates indicated: Accruing Loans and Leases As of December 31, 2019 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ 2,441 $ — $ — $ 2,441 $ 1,906,719 $ 1,909,160 $ 4,270 $ 1,913,430 Home equity lines and loans 182 365 — 547 193,314 193,861 779 194,640 Residential mortgage 1,646 221 — 1,867 487,718 489,585 318 489,903 Construction — — — — 159,867 159,867 — 159,867 Commercial and industrial 486 167 — 653 704,267 704,920 4,337 709,257 Consumer 98 140 — 238 56,839 57,077 61 57,138 Leases 857 594 — 1,451 162,744 164,195 883 165,078 Total portfolio loans and leases $ 5,710 $ 1,487 $ — $ 7,197 $ 3,671,468 $ 3,678,665 $ 10,648 $ 3,689,313 Accruing Loans and Leases As of December 31, 2018 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current (1) Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ 821 $ 251 $ — $ 1,072 $ 1,653,796 $ 1,654,868 $ 2,568 $ 1,657,436 Home equity lines and loans 92 — — 92 203,643 203,735 3,616 207,351 Residential mortgage 2,330 218 — 2,548 488,355 490,903 3,452 494,355 Construction — — — — 181,078 181,078 — 181,078 Commercial and industrial 280 332 — 612 692,871 693,483 2,101 695,584 Consumer 35 5 — 40 46,666 46,706 108 46,814 Leases 641 460 — 1,101 142,460 143,561 975 144,536 Total portfolio loans and leases $ 4,199 $ 1,266 $ — $ 5,465 $ 3,408,869 $ 3,414,334 $ 12,820 $ 3,427,154 (1) Included as “current” are $3.2 million of loans and leases as of December 31, 2018 , respectively, which are classified as Administratively Delinquent. An Administratively Delinquent loan is one which has been approved for a renewal or extension but has not had all the required documents fully executed as of the reporting date. The Corporation does not consider these loans to be delinquent. The following tables present an aging of originated portfolio loans and leases as of the dates indicated: Accruing Loans and Leases As of December 31, 2019 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ 2,441 $ — $ — $ 2,441 $ 1,671,947 $ 1,674,388 $ 380 $ 1,674,768 Home equity lines and loans 82 365 — 447 173,578 174,025 779 174,804 Residential mortgage 924 102 — 1,026 423,038 424,064 190 424,254 Construction — — — — 159,867 159,867 — 159,867 Commercial and industrial 460 — — 460 671,364 671,824 3,521 675,345 Consumer 18 88 — 106 54,686 54,792 19 54,811 Leases 781 566 — 1,347 154,873 156,220 747 156,967 Total originated portfolio loans and leases $ 4,706 $ 1,121 $ — $ 5,827 $ 3,309,353 $ 3,315,180 $ 5,636 $ 3,320,816 Accruing Loans and Leases As of December 31, 2018 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current (1) Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ 816 $ 251 $ — $ 1,067 $ 1,326,320 $ 1,327,387 $ 435 $ 1,327,822 Home equity lines and loans 25 — — 25 177,891 177,916 3,590 181,506 Residential mortgage 1,545 — — 1,545 406,664 408,209 2,813 411,022 Construction — — — — 174,592 174,592 — 174,592 Commercial and industrial 280 332 — 612 622,245 622,857 1,786 624,643 Consumer 35 5 — 40 44,014 44,054 45 44,099 Leases 350 233 — 583 120,592 121,175 392 121,567 Total originated portfolio loans and leases $ 3,051 $ 821 $ — $ 3,872 $ 2,872,318 $ 2,876,190 $ 9,061 $ 2,885,251 (1) Included as “current” are $2.0 million of loans and leases as of December 31, 2018 , respectively, which are classified as Administratively Delinquent. An Administratively Delinquent loan is one which has been approved for a renewal or extension but has not had all the required documents fully executed as of the reporting date. The Corporation does not consider these loans to be delinquent. The following tables present an aging of acquired portfolio loans and leases as of the dates indicated: Accruing Loans and Leases As of December 31, 2019 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ — $ — $ — $ — $ 234,772 $ 234,772 $ 3,890 $ 238,662 Home equity lines and loans 100 — — 100 19,736 19,836 — 19,836 Residential mortgage 722 119 — 841 64,680 65,521 128 65,649 Construction — — — — — — — — Commercial and industrial 26 167 — 193 32,903 33,096 816 33,912 Consumer 80 52 — 132 2,153 2,285 42 2,327 Leases 76 28 — 104 7,871 7,975 136 8,111 Total acquired portfolio loans and leases $ 1,004 $ 366 $ — $ 1,370 $ 362,115 $ 363,485 $ 5,012 $ 368,497 Accruing Loans and Leases As of December 31, 2018 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current (1) Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ 5 $ — $ — $ 5 $ 327,476 $ 327,481 $ 2,133 $ 329,614 Home equity lines and loans 67 — — 67 25,752 25,819 26 25,845 Residential mortgage 785 218 — 1,003 81,691 82,694 639 83,333 Construction — — — — 6,486 6,486 — 6,486 Commercial and industrial — — — — 70,626 70,626 315 70,941 Consumer — — — — 2,652 2,652 63 2,715 Leases 291 227 — 518 21,868 22,386 583 22,969 Total acquired portfolio loans and leases $ 1,148 $ 445 $ — $ 1,593 $ 536,551 $ 538,144 $ 3,759 $ 541,903 (1) Included as “current” are $1.2 million of loans and leases as of December 31, 2018 , respectively, which are classified as Administratively Delinquent. An Administratively Delinquent loan is one which has been approved for a renewal or extension but has not had all the required documents fully executed as of the reporting date. The Corporation does not consider these loans to be delinquent. F. Allowance for Loan and Lease Losses (the “Allowance”) The following tables detail the roll-forward of the Allowance for the year ended December 31, 2019 and December 31, 2018 : (dollars in thousands) Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total Balance, December 31, 2018 $ 7,567 $ 1,003 $ 1,813 $ 1,485 $ 5,461 $ 229 $ 1,868 $ 19,426 Charge-offs (2,332 ) (348 ) (770 ) — (781 ) (720 ) (2,565 ) (7,516 ) Recoveries 1,087 110 14 4 153 103 714 2,185 Provision for loan and lease losses 4,112 125 481 (492 ) 1,196 741 2,344 8,507 Balance, December 31, 2019 $ 10,434 $ 890 $ 1,538 $ 997 $ 6,029 $ 353 $ 2,361 $ 22,602 (dollars in thousands) Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total Balance, December 31, 2017 $ 7,550 $ 1,086 $ 1,926 $ 937 $ 5,038 $ 246 $ 742 $ 17,525 Charge-offs (331 ) (333 ) (354 ) — (1,374 ) (311 ) (3,132 ) (5,835 ) Recoveries 16 2 56 2 24 10 433 543 Provision for loan and lease losses 332 248 185 546 1,773 284 3,825 7,193 Balance, December 31, 2018 $ 7,567 $ 1,003 $ 1,813 $ 1,485 $ 5,461 $ 229 $ 1,868 $ 19,426 The following tables detail the allocation of the Allowance for all portfolio loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment as of December 31, 2019 and December 31, 2018 : As of December 31, 2019 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Allowance on loans and leases: Individually evaluated for impairment $ — $ 165 $ 231 $ — $ — $ 22 $ 64 $ 482 Collectively evaluated for impairment 10,434 725 1,307 997 6,029 331 2,297 22,120 Purchased credit-impaired (1) — — — — — — — — Total $ 10,434 $ 890 $ 1,538 $ 997 $ 6,029 $ 353 $ 2,361 $ 22,602 As of December 31, 2018 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Allowance on loans and leases: Individually evaluated for impairment $ — $ 162 $ 272 $ — $ — $ 28 $ — $ 462 Collectively evaluated for impairment 7,567 841 1,541 1,485 5,461 201 1,868 18,964 Purchased credit-impaired (1) — — — — — — — — Total $ 7,567 $ 1,003 $ 1,813 $ 1,485 $ 5,461 $ 229 $ 1,868 $ 19,426 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. The following tables detail the carrying value for all portfolio loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment as of December 31, 2019 and December 31, 2018 : As of December 31, 2019 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Carrying value of loans and leases: Individually evaluated for impairment $ 4,454 $ 2,328 $ 3,040 $ — $ 4,722 $ 85 $ 1,090 $ 15,719 Collectively evaluated for impairment 1,901,602 191,790 486,862 159,867 704,535 57,053 163,988 3,665,697 Purchased credit-impaired (1) 7,374 522 1 — — — — 7,897 Total $ 1,913,430 $ 194,640 $ 489,903 $ 159,867 $ 709,257 $ 57,138 $ 165,078 $ 3,689,313 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. As of December 31, 2018 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Carrying value of loans and leases: Individually evaluated for impairment $ 7,008 $ 4,998 $ 6,608 $ — $ 2,629 $ 134 $ — $ 21,377 Collectively evaluated for impairment 1,642,117 201,841 487,747 178,673 691,879 46,680 144,536 3,393,473 Purchased credit-impaired (1) 8,311 512 — 2,405 1,076 — — 12,304 Total $ 1,657,436 $ 207,351 $ 494,355 $ 181,078 $ 695,584 $ 46,814 $ 144,536 $ 3,427,154 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. The following tables detail the allocation of the Allowance for originated portfolio loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment as of December 31, 2019 and December 31, 2018 : As of December 31, 2019 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Allowance on loans and leases: Individually evaluated for impairment $ — $ 165 $ 160 $ — $ — $ 22 $ 59 $ 406 Collectively evaluated for impairment 10,434 725 1,307 997 6,029 331 2,297 22,120 Total $ 10,434 $ 890 $ 1,467 $ 997 $ 6,029 $ 353 $ 2,356 $ 22,526 As of December 31, 2018 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Allowance on loans and leases: Individually evaluated for impairment $ — $ 162 $ 175 $ — $ — $ 28 $ — $ 365 Collectively evaluated for impairment 7,567 841 1,541 1,485 5,461 201 1,868 18,964 Total $ 7,567 $ 1,003 $ 1,716 $ 1,485 $ 5,461 $ 229 $ 1,868 $ 19,329 The following tables detail the carrying value for originated portfolio loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment as of December 31, 2019 and December 31, 2018 : As of December 31, 2019 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Carrying value of loans and leases: Individually evaluated for impairment $ 564 $ 2,328 $ 2,354 $ — $ 3,906 $ 43 $ 884 $ 10,079 Collectively evaluated for impairment 1,674,204 172,476 421,900 159,867 671,439 54,768 156,083 3,310,737 Total $ 1,674,768 $ 174,804 $ 424,254 $ 159,867 $ 675,345 $ 54,811 $ 156,967 $ 3,320,816 As of December 31, 2018 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Carrying value of loans and leases: Individually evaluated for impairment $ 4,874 $ 4,972 $ 5,106 $ — $ 2,314 $ 71 $ — $ 17,337 Collectively evaluated for impairment 1,322,948 176,534 405,916 174,592 622,329 44,028 121,567 2,867,914 Total $ 1,327,822 $ 181,506 $ 411,022 $ 174,592 $ 624,643 $ 44,099 $ 121,567 $ 2,885,251 The following tables detail the allocation of the Allowance for acquired portfolio loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment as of December 31, 2019 and December 31, 2018 : As of December 31, 2019 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Allowance on loans and leases: Individually evaluated for impairment $ — $ — $ 71 $ — $ — $ — $ 5 $ 76 Collectively evaluated for impairment — — — — — — — — Purchased credit-impaired (1) — — — — — — — — Total $ — $ — $ 71 $ — $ — $ — $ 5 $ 76 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. As of December 31, 2018 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Allowance on loans and leases: Individually evaluated for impairment $ — $ — $ 97 $ — $ — $ — $ — $ 97 Collectively evaluated for impairment — — — — — — — — Purchased credit-impaired (1) — — — — — — — — Total $ — $ — $ 97 $ — $ — $ — $ — $ 97 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. The following tables detail the carrying value for acquired portfolio loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment as of December 31, 2019 and December 31, 2018 : As of December 31, 2019 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Carrying value of loans and leases: Individually evaluated for impairment $ 3,890 $ — $ 686 $ — $ 816 $ 42 $ 206 $ 5,640 Collectively evaluated for impairment 227,398 19,314 64,962 — 33,096 2,285 7,905 354,960 Purchased credit-impaired (1) 7,374 522 1 — — — — 7,897 Total $ 238,662 $ 19,836 $ 65,649 $ — $ 33,912 $ 2,327 $ 8,111 $ 368,497 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. As of December 31, 2018 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Carrying value of loans and leases: Individually evaluated for impairment $ 2,134 $ 26 $ 1,502 $ — $ 315 $ 63 $ — $ 4,040 Collectively evaluated for impairment 319,169 25,307 81,831 4,081 69,550 2,652 22,969 525,559 Purchased credit-impaired (1) 8,311 512 — 2,405 1,076 — — 12,304 Total $ 329,614 $ 25,845 $ 83,333 $ 6,486 $ 70,941 $ 2,715 $ 22,969 $ 541,903 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. • Pass – Loans considered satisfactory with no indications of deterioration. • Special mention - Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. • Substandard - Loans classified as substandard are inadequately protected by the current net worth and payment capacity of the obligor or of the collateral pledged, if any. Substandard loans have a well-defined weakness or weaknesses that jeopardize the liquidation of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. • Doubtful - Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or liquidation in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. The following tables detail the carrying value of all portfolio loans and leases by portfolio segment based on the credit quality indicators used to determine the Allowance as of December 31, 2019 and December 31, 2018 : Credit Risk Profile by Internally Assigned Grade As of December 31, 2019 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 1,857,765 $ 15,069 $ 40,596 $ — $ 1,913,430 Home equity loans and lines 193,861 — 779 — 194,640 Residential 489,431 — 472 — 489,903 Construction 154,071 — 5,796 — 159,867 Commercial and industrial 690,663 4,853 13,741 — 709,257 Consumer 52,505 — 4,633 — 57,138 Leases 164,195 — 883 — 165,078 Total $ 3,602,491 $ 19,922 $ 66,900 $ — $ 3,689,313 Credit Risk Profile by Internally Assigned Grade As of December 31, 2018 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 1,635,068 $ 631 $ 20,639 $ 1,098 $ 1,657,436 Home equity loans and lines 203,037 — 4,314 — 207,351 Residential 490,789 — 3,566 — 494,355 Construction 171,353 938 8,787 — 181,078 Commercial and industrial 684,444 2,737 8,402 1 695,584 Consumer 46,588 — 226 — 46,814 Leases 143,561 — 975 — 144,536 Total $ 3,374,840 $ 4,306 $ 46,909 $ 1,099 $ 3,427,154 The following tables detail the carrying value of originated portfolio loans and leases by portfolio segment based on the credit quality indicators used to determine the Allowance as of December 31, 2019 and December 31, 2018 : Credit Risk Profile by Internally Assigned Grade As of December 31, 2019 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 1,636,961 $ 10,142 $ 27,665 $ — $ 1,674,768 Home equity loans and lines 174,025 — 779 — 174,804 Residential 423,910 — 344 — 424,254 Construction 154,071 — 5,796 — 159,867 Commercial and industrial 657,740 4,853 12,752 — 675,345 Consumer 50,220 — 4,591 — 54,811 Leases 156,219 — 748 — 156,967 Total $ 3,253,146 $ 14,995 $ 52,675 $ — $ 3,320,816 Credit Risk Profile by Internally Assigned Grade As of December 31, 2018 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 1,321,973 $ 631 $ 5,218 $ — $ 1,327,822 Home equity loans and lines 177,916 — 3,590 — 181,506 Residential 408,095 — 2,927 — 411,022 Construction 167,272 938 6,382 — 174,592 Commercial and industrial 615,817 2,511 6,314 1 624,643 Consumer 43,936 — 163 — 44,099 Leases 121,175 — 392 — 121,567 Total $ 2,856,184 $ 4,080 $ 24,986 $ 1 $ 2,885,251 The following tables detail the carrying value of acquired portfolio loans and leases by portfolio segment based on the credit quality indicators used to determine the Allowance as of December 31, 2019 and December 31, 2018 : Credit Risk Profile by Internally Assigned Grade As of December 31, 2019 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 220,804 $ 4,927 $ 12,931 $ — $ 238,662 Home equity loans and lines 19,836 — — — 19,836 Residential 65,521 — 128 — 65,649 Construction — — — — — Commercial and industrial 32,923 — 989 — 33,912 Consumer 2,285 — 42 — 2,327 Leases 7,976 — 135 — 8,111 Total $ 349,345 $ 4,927 $ 14,225 $ — $ 368,497 Credit Risk Profile by Internally Assigned Grade As of December 31, 2018 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 313,095 $ — $ 15,421 $ 1,098 $ 329,614 Home equity loans and lines 25,121 — 724 — 25,845 Residential 82,694 — 639 — 83,333 Construction 4,081 — 2,405 — 6,486 Commercial and industrial 68,627 226 2,088 — 70,941 Consumer 2,652 — 63 — 2,715 Leases 22,386 — 583 — 22,969 Total $ 518,656 $ 226 $ 21,923 $ 1,098 $ 541,903 G. Troubled Debt Restructurings (“TDRs”) The restructuring of a loan is considered a “troubled debt restructuring” if both of the following conditions are met: (i) the borrower is experiencing financial difficulties, and (ii) the creditor has granted a concession. The most common concessions granted include one or more modifications to the terms of the debt, such as (a) a reduction in the interest rate for the remaining life of the debt, (b) an extension of the maturity date at an interest rate lower than the current market rate for new debt with similar risk, (c) a temporary period of interest-only payments, (d) a reduction in the contractual payment amount for either a short period or remaining term of the loan, and (e) for leases, a reduced lease payment. A less common concession granted is the forgiveness of a portion of the principal. The determination of whether a borrower is experiencing financial difficulties takes into account not only the current financial condition of the borrower, but also the potential financial condition of the borrower, were a concession not granted. Similarly, the determination of whether a concession has been granted is very subjective in nature. For example, simply extending the term of a loan at its original interest rate or even at a higher interest rate could be interpreted as a concession unless the borrower could readily obtain similar credit terms from a different lender. The following table presents the balance of TDRs as of the indicated dates: (dollars in thousands) December 31, 2019 December 31, 2018 TDRs included in nonperforming loans and leases $ 3,018 $ 1,217 TDRs in compliance with modified terms 5,071 9,745 Total TDRs $ 8,089 $ 10,962 The following table presents information regarding loans and leases categorized as TDRs for modifications made during the year ended December 31, 2019 : For the Year Ended December 31, 2019 (dollars in thousands) Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial mortgage 1 $ 184 $ 184 Home equity lines and loans 3 226 226 Commercial and industrial 4 2,649 2,649 Leases 4 200 200 Total 12 $ 3,259 $ 3,259 The following table presents information regarding the types of loan and lease modifications made for the year ended December 31, 2019 : Number of Contracts Loan Term Extension Interest Rate Change and Term Extension Interest Rate Change and/or Interest-Only Period Contractual Payment Reduction (Leases only) Temporary Payment Deferral Commercial mortgage 1 — — — — Home equity lines and loans — 3 — — — Commercial and industrial 2 — 2 — — Leases — — — 4 — Total 3 3 2 4 — The following table presents information regarding loans and leases categorized as TDRs for modifications made during the year ended December 31, 2018 : For the Year Ended December 31, 2018 (dollars in thousands) Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial mortgage 1 $ 4,439 $ 4,439 Home equity lines and loans 3 961 961 Residential 6 620 640 Commercial and industrial 2 156 156 Consumer 1 20 20 Leases 4 173 173 Total 17 6,369 6,389 The following table presents information regarding the types of loan and lease modifications made for the year ended December 31, 2018 : Number of Contracts Loan Term Extension Interest Rate Change and Term Extension Interest Rate Change and/or Interest-Only Period Contractual Payment Reduction (Leases only) Temporary Payment Deferral Commercial mortgage 1 — — — — Home equity lines and loans — 3 — — — Residential 2 1 — — 3 Commercial and industrial 1 1 — — — Consumer — — — — 1 Leases — — — 4 — Total 4 5 — 4 4 During the year ended December 31, 2019 , two commercial and industrial loans with principal balances totaling $300 thousand , which had been previously modified to troubled debt restructuring, defaulted and were charged off. H. Impaired Loans The following tables detail the recorded investment and principal balance of impaired loans by portfolio segment, their related Allowance and interest income recognized for the year ended December 31, 2019 , 2018 and 2017 (purchased credit-impaired loans are not included in the tables): As of or for the Year Ended December 31, 2019 Recorded Investment (2) Principal Balance Related Allowance Average Principal Balance Interest Income Recognized Cash-Basis Interest Income Recognized (dollars in thousands) Impaired loans with related allowance: Home equity lines and loans $ 1,307 $ 1,307 $ 165 $ 1,311 $ 44 $ — Residential mortgage 1,845 1,845 231 1,863 87 — Consumer 43 43 22 44 2 — Total $ 3,195 $ 3,195 $ 418 $ 3,218 $ 133 $ — Impaired loans without related allowance (1) : Commercial mortgage $ 4,454 $ 5,591 $ — $ 5,826 $ 98 $ — Home equity lines and loans 1,020 1,021 — 1,034 29 — Residential mortgage 1,196 1,196 — 1,218 61 — Commercial and industrial 4,722 4,996 — 4,835 119 — Consumer 42 57 — 45 — — Total $ 11,434 $ 12,861 $ — $ 12,958 $ 307 $ — Grand total $ 14,629 $ 16,056 $ 418 $ 16,176 $ 440 $ — (1) The table above does not include the recorded investment of $1.1 million of impaired leases with a $64 thousand related allowance for loan and lease losses. (2) Recorded investment equals principal balance, net of deferred origination costs/fees and loan marks, less partial charge-offs and interest payments on non-performing loans that have been applied to principal. As of or for the Year Ended December 31, 2018 Recorded Investment (2) Principal Balance Related Allowance Average Principal Balance Interest Income Recognized Cash-Basis Interest Income Recognized (dollars in thousands) Impaired loans with related allowance: Home equity lines and loans $ 1,280 $ 1,280 $ 162 $ 640 $ 27 $ — Residential mortgage 1,966 1,966 272 1,983 94 — Consumer 50 50 28 56 4 — Total $ 3,296 $ 3,296 $ 462 $ 2,679 $ 125 $ — Impaired loans without related allowance (1) : Commercial mortgage $ 7,007 $ 7,264 $ — $ 7,010 $ 320 $ — Home equity lines and loans 3,718 3,724 — 3,537 67 — Residential mortgage 4,641 4,728 — 4,750 133 — Commercial and industrial 2,629 3,803 — 3,349 126 — Consumer 83 86 — 100 3 — Total $ 18,078 $ 19,605 $ — $ 18,746 $ 649 $ — Grand total $ 21,374 $ 22,901 $ 462 $ 21,425 $ 774 $ — (1) The table above does not include the recorded investment of $1.2 million of impaired leases without a related allowance for loan and lease losses. (2) Recorded investment equals principal balance, net of deferred origination costs/fees and loan marks, less partial charge-offs and interest payments on non-performing loans that have been applied to principal. As of or for the Year Ended December 31, 2017 Recorded Investment (2) Principal Balance Related Allowance Average Principal Balance Interest Income Recognized Cash-Basis Interest Income Recognized (dollars in thousands) Impaired loans with related allowance: Home equity lines and loans $ 577 $ 577 $ 19 $ 232 $ 7 $ — Residential mortgage $ 2,436 $ 2,436 $ 230 $ 2,467 $ 127 $ — Commercial and industrial 18 18 5 19 1 — Consumer 27 27 4 28 1 — Total $ 3,058 $ 3,058 $ 258 $ 2,746 $ 136 $ — Impaired loans without related allowance (1) : Commercial mortgage $ 2,128 $ 2,218 $ — $ 2,205 $ 85 $ — Home equity lines and loans 1,585 1,645 — 1,636 38 — Residential mortgage 5,290 5,529 — 4,994 191 — Commercial and industrial 1,879 3,613 2,079 35 — Total $ 10,882 $ 13,005 $ — $ 10,914 $ 349 $ — Grand total $ 13,940 $ 16,063 $ 258 $ 13,660 $ 485 $ — (1) The table above does not include the recorded investment of $272 thousand of impaired leases without a related allowance for loan and lease losses. (2) Recorded investment equals principal balance, net of deferred origination costs/fees and loan marks, less partial charge-offs and interest payments on non-performing loans that have been applied to principal. I. Loan Mark Loans acquired in mergers and acquisitions are recorded at fair value as of the date of the transaction. This adjustment to the acquired principal amount is referred to as the “Loan Mark”. With the exception of purchased credit impaired loans, for which the Loan Mark is accounted under ASC 310-30, the Loan Mark is amortized or accreted as an adjustment to yield over the lives of the loans. The following tables detail, for acquired loans , the outstanding principal, remaining loan mark, and recorded investment, by portfolio segment, as of the dates indicated: As of December 31, 2019 (dollars in thousands) Outstanding Principal Remaining Loan Mark Recorded Investment Commercial mortgage $ 244,364 $ (5,702 ) $ 238,662 Home equity lines and loans 21,739 (1,903 ) 19,836 Residential mortgage 67,831 (2,182 ) 65,649 Commercial and industrial 34,780 (868 ) 33,912 Consumer 2,416 (89 ) 2,327 Leases 8,272 (161 ) 8,111 Total $ 379,402 $ (10,905 ) $ 368,497 As of December 31, 2018 (dollars in thousands) Outstanding P |
Premises and Equipment
Premises and Equipment | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Premises and Equipment | Premises and Equipment A summary of premises and equipment is as follows: December 31, (dollars in thousands) 2019 2018 Land $ 11,219 $ 11,219 Buildings 45,321 40,947 Furniture and equipment 48,311 44,862 Leasehold improvements 26,951 25,186 Construction in progress 1,389 4,400 Less: accumulated depreciation (68,226 ) (60,966 ) Total $ 64,965 $ 65,648 Depreciation and amortization expense related to the assets detailed in the above table for the years ended December 31, 2019 , 2018 , and 2017 amounted to $7.8 million , $6.6 million , and $5.7 million , respectively. |
Mortgage Servicing Rights
Mortgage Servicing Rights | 12 Months Ended |
Dec. 31, 2019 | |
Transfers and Servicing [Abstract] | |
Mortgage Servicing Rights | Mortgage Servicing Rights The following summarizes the Corporation’s activity related to MSRs for the years ended December 31: (dollars in thousands) 2019 2018 2017 Balance, January 1 $ 5,047 $ 5,861 $ 5,582 Additions — 16 1,025 Amortization (576 ) (803 ) (791 ) (Impairment) / Recovery (21 ) (27 ) 45 Balance, December 31 $ 4,450 $ 5,047 $ 5,861 Fair value $ 4,838 $ 6,277 $ 6,397 Residential mortgage loans serviced for others $ 502,832 $ 578,788 $ 650,703 The following summarizes the Corporation’s activity related to changes in the impairment valuation allowance of MSRs for the years ended December 31: (dollars in thousands) 2019 2018 2017 Balance, January 1 $ (1,787 ) $ (1,760 ) $ (1,805 ) Impairment (70 ) (103 ) (52 ) Recovery 49 76 97 Balance, December 31 $ (1,808 ) $ (1,787 ) $ (1,760 ) As of December 31, 2019 and 2018 , key economic assumptions and the sensitivity of the current fair value of MSRs to immediate 10 and 20 percent adverse changes in those assumptions are as follows: December 31, (dollars in thousands) 2019 2018 Fair value amount of MSRs $ 4,838 $ 6,277 Weighted average life (in years) 6.0 6.7 Prepayment speeds (constant prepayment rate) (1) 10.5 % 9.1 % Impact on fair value: 10% adverse change $ (149 ) $ (124 ) 20% adverse change $ (297 ) $ (257 ) Discount rate 9.55 % 9.55 % Impact on fair value: 10% adverse change $ (166 ) $ (234 ) 20% adverse change $ (321 ) $ (451 ) (1) Represents the weighted average prepayment rate for the life of the MSR asset . At December 31, 2019 and 2018 , the fair value of the MSRs was $4.8 million and $6.3 million , respectively. The fair value of the MSRs for these dates was determined using values obtained from a third party which utilizes a valuation model which calculates the present value of estimated future servicing income. The model incorporates assumptions that market participants use in estimating future net servicing income, including estimates of prepayment speeds and discount rates. Mortgage loan prepayment speed is the annual rate at which borrowers are forecasted to repay their mortgage loan principal and is based on historical experience. The discount rate is used to determine the present value of future net servicing income. Another key assumption in the model is the required rate of return the market would expect for an asset with similar risk. These assumptions can, and generally will, change quarterly valuations as market conditions and interest rates change. Management reviews, annually, the process utilized by its independent third-party valuation experts. These assumptions and sensitivities are hypothetical and should be used with caution. As the figures indicate, changes in fair value based on a 10% variation in assumptions generally cannot be extrapolated because the relationship of the change in assumptions to the change in fair value may not be linear. Also, the effect of a variation in a particular assumption on the fair value of the MSRs is calculated without changing any other assumption. In reality, changes in one factor may result in changes in another, which could magnify or counteract the sensitivities. |
Goodwill and Intangible Assets
Goodwill and Intangible Assets | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The following table presents activity in the Corporation's goodwill by its reporting units and finite-lived and indefinite-lived intangible assets, other than MSRs, for the years ended December 31, 2019 and 2018 : (dollars in thousands) Balance Additions Adjustments Amortization Balance Amortization Goodwill – Wealth $ 20,412 $ — $ — $ — $ 20,412 Indefinite Goodwill – Banking 156,991 — — — 156,991 Indefinite Goodwill – Insurance 6,609 — — — 6,609 Indefinite Total Goodwill $ 184,012 $ — $ — $ — $ 184,012 Core deposit intangible 5,906 — — (1,308 ) 4,598 10 years Customer relationships 13,607 18 — (1,805 ) 11,820 10 to 20 years Non-compete agreements 1,101 — — (190 ) 911 5 to 10 years Trade names 2,149 — — (498 ) 1,651 3 to 5 years Domain name 151 — — — 151 Indefinite Favorable lease assets 541 — (541 ) — — Total Intangible Assets $ 23,455 $ 18 $ (541 ) $ (3,801 ) $ 19,131 Grand Total $ 207,467 $ 18 $ (541 ) $ (3,801 ) $ 203,143 (dollars in thousands) Balance Additions Adjustments Amortization Balance Amortization Goodwill – Wealth $ 20,412 $ — $ — $ — $ 20,412 Indefinite Goodwill – Banking 153,545 — 3,446 — 156,991 Indefinite Goodwill – Insurance 5,932 677 — — 6,609 Indefinite Total Goodwill $ 179,889 $ 677 $ 3,446 $ — $ 184,012 Core deposit intangible 7,380 — — (1,474 ) 5,906 10 years Customer relationships 14,173 1,145 — (1,711 ) 13,607 10 to 20 years Non-compete agreements 1,319 — — (218 ) 1,101 5 to 10 years Trade names 2,322 — — (173 ) 2,149 3 to 5 years Domain name 151 — — — 151 Indefinite Favorable lease assets 621 — — (80 ) 541 1 to 16 years Total Intangible Assets $ 25,966 $ 1,145 $ — $ (3,656 ) $ 23,455 Grand total $ 205,855 $ 1,822 $ 3,446 $ (3,656 ) $ 207,467 Management conducted its annual impairment tests for goodwill and indefinite-lived intangible assets as of October 31, 2019 using generally accepted valuation methods. Management determined that no impairment of goodwill or indefinite-lived intangible assets was identified as a result of the annual impairment analyses. Future impairment testing will be conducted each October 31, unless a triggering event occurs in the interim that would suggest possible impairment, in which case it would be tested as of the date of the triggering event. For the two months ended December 31, 2019 , management determined there were no events that would necessitate impairment testing of goodwill or indefinite-lived intangible assets. Amortization expense on finite-lived intangible assets was $3.8 million , $3.7 million , and $2.7 million for the years ended December 31, 2019 , 2018 , and 2017 , respectively. As of October 1, 2018, due to changes in branding strategies, the estimate of the remaining useful lives of certain trade name intangible assets were changed from indefinite to five years. The effect of this change in estimate increased amortization of intangible asset expense by $433 thousand and $108 thousand for the years ended December 31 2019 and 2018. The estimated aggregate amortization expense related to finite-lived intangible assets for each of the five succeeding fiscal years ending December 31 is: (dollars in thousands) Fiscal Year Amount Fiscal year ending 2020 $ 3,578 2021 3,367 2022 3,027 2023 2,646 Thereafter 6,361 |
Other Real Estate Owned
Other Real Estate Owned | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Other Real Estate Owned | Other Real Estate Owned The summary of the change in other real estate owned, which is included as a component of other assets on the Corporation's Consolidated Balance Sheets, is as follows: December 31, (dollars in thousands) 2019 2018 Balance January 1 $ 417 $ 304 Additions 87 372 Impairments — (89 ) Sales (504 ) (170 ) Balance December 31 $ — $ 417 As of December 31, 2019 , the Corporation did not have any OREO. As of December 31, 2018, the balance of OREO was comprised of one residential property and two manufactured homes, which resulted from loan foreclosures. |
Deposits
Deposits | 12 Months Ended |
Dec. 31, 2019 | |
Deposits [Abstract] | |
Deposits | Deposits A. The following table details the components of deposits: As of December 31, (dollars in thousands) 2019 2018 Interest-bearing demand $ 944,915 $ 664,749 Money market 1,106,478 862,644 Savings 220,450 247,081 Retail time deposits 405,123 542,702 Wholesale non-maturity deposits 177,865 55,031 Wholesale time deposits 89,241 325,261 Total interest-bearing deposits $ 2,944,072 $ 2,697,468 Noninterest-bearing deposits 898,173 901,619 Total deposits $ 3,842,245 $ 3,599,087 The aggregate amount of deposit and mortgage escrow overdrafts included as loans were $529 thousand and $408 thousand as of December 31, 2019 and 2018 , respectively. The aggregate amount of time deposits in denominations over $250 thousand were $130.1 million and $324.4 million as of December 31, 2019 and 2018 , respectively. B. The following tables detail the maturities of retail time deposits: As of December 31, 2019 (dollars in thousands) Less than $100 Maturing during: 2020 $ 122,981 $ 143,428 2021 43,210 60,192 2022 10,300 14,758 2023 2,838 1,844 2024 and thereafter 3,645 1,927 Total $ 182,974 $ 222,149 C. The following tables detail the maturities of wholesale time deposits: As of December 31, 2019 (dollars in thousands) Less than $100 Maturing during: 2020 $ 974 $ 82,136 2021 97 388 2022 — 5,646 Total $ 1,071 $ 88,170 |
Short-term Borrowings and Long-
Short-term Borrowings and Long-term FHLB Advances | 12 Months Ended |
Dec. 31, 2019 | |
Long-term Federal Home Loan Bank Advances [Abstract] | |
Short-term Borrowings and Long-term FHLB Advances | Short-Term Borrowings and Long-Term FHLB Advances A. Short-term borrowings The Corporation’s short-term borrowings (original maturity of one year or less), which consist of funds obtained from overnight repurchase agreements with commercial customers, FHLB advances with original maturities of one year or less, and overnight fed funds, are detailed below. A summary of short-term borrowings is as follows: As of December 31, (dollars in thousands) 2019 2018 Repurchase agreements (1) – commercial customers $ 10,819 $ 22,717 Short-term FHLB advances 482,400 229,650 Total short-term borrowings $ 493,219 $ 252,367 (1) Overnight repurchase agreements with no expiration date. The following table sets forth information concerning short-term borrowings: As for the Year Ended December 31, (dollars in thousands) 2019 2018 Balance at period-end $ 493,219 $ 252,367 Maximum amount outstanding at any month end $ 493,219 $ 302,932 Average balance outstanding during the period $ 129,545 $ 186,290 Weighted-average interest rate: As of the period-end 1.82 % 2.23 % Paid during the period 2.07 % 1.90 % Average balances outstanding during the year represent daily average balances and average interest rates represent interest expense divided by the related average balance. B. Long-term FHLB Advances The following table presents the remaining periods until maturity of long-term FHLB advances (original maturities exceeding one year): As of December 31, (dollars in thousands) 2019 2018 Within one year $ 12,363 $ 28,105 Over one year through five years 39,906 27,269 Total $ 52,269 $ 55,374 The following table presents rate and maturity information on long-term FHLB advances: (dollars in thousands) Maturity Range (1) Weighted Average Rate (1) Coupon Rate (1) Balance at December 31, Description From To From To 2019 2018 Bullet maturity – fixed rate 1/2/2020 11/12/2021 1.58 % 1.40 % 2.13 % $ 52,269 $ 55,374 Convertible-fixed (2) N/A N/A N/A N/A N/A — — Total $ 52,269 $ 55,374 (1) Maturity range, weighted average rate and coupon rate range refers to December 31, 2019 balances. (2) FHLB advances whereby the FHLB has the option, at predetermined times, to convert the fixed interest rate to an adjustable interest rate indexed to the London Interbank Offered Rate (“LIBOR”). The Corporation has the option to prepay these advances, without penalty, if the FHLB elects to convert the interest rate to an adjustable rate. As of December 31, 2019 , substantially all FHLB advances with this convertible feature are subject to conversion in fiscal 2018. These advances are included in the maturity ranges in which they mature, rather than the period in which they are subject to conversion. C. Other Borrowings Information In connection with its FHLB borrowings, the Corporation is required to hold the capital stock of the FHLB. The amount of capital stock held was $23.7 million at December 31, 2019 , and $14.5 million at December 31, 2018 . The carrying amount of the FHLB stock approximates its redemption value. The level of required investment in FHLB stock is based on the balance of outstanding loans the Corporation has from the FHLB. Although FHLB stock is a financial instrument that represents an equity interest in the FHLB, it does not have a readily determinable fair value. FHLB stock is generally viewed as a long-term investment. Accordingly, when evaluating FHLB stock for impairment, its value should be determined based on the ultimate recoverability of the par value rather than by recognizing temporary declines in value. The Corporation had a maximum borrowing capacity with the FHLB of $1.65 billion as of December 31, 2019 of which the unused capacity was $1.11 billion . In addition, there were $79.0 million in the overnight federal funds line available and $174.3 million of Federal Reserve Discount Window capacity. |
Subordinated Notes
Subordinated Notes | 12 Months Ended |
Dec. 31, 2019 | |
Subordinated Debt [Abstract] | |
Subordinated Notes | Subordinated Notes On December 13, 2017, BMBC completed the issuance of $70.0 million in aggregate principal amount of fixed-to-floating rate subordinated notes due 2027 (the "2027 Notes") in an underwritten public offering. On August 6, 2015, BMBC completed the issuance of $30.0 million in aggregate principal amount of fixed-to-floating rate subordinated notes due 2025 (the "2025 Notes") in a private placement transaction to institutional accredited investors. The net proceeds of both offerings increased Tier II regulatory capital at the BMBC level. The following tables detail the subordinated notes, including debt issuance costs, as of December 31, 2019 and 2018 : December 31, 2019 December 31, 2018 (dollars in thousands) Balance Rate (1)(2) Balance Rate (1)(2) Subordinated notes – due 2027 $ 69,009 4.25 % $ 68,885 4.25 % Subordinated notes – due 2025 29,696 4.75 % 29,641 4.75 % Total subordinated notes $ 98,705 $ 98,526 (1) The 2027 Notes bear interest at an annual fixed rate of 4.25% from the date of issuance until December 14, 2022, and will thereafter bear interest at a variable rate that will reset quarterly to a level equal to the then-current three-month LIBOR rate plus 2.050% until December 15, 2027, or any early redemption date. (2) The 2025 Notes bear interest at an annual fixed rate of 4.75% from the date of issuance until August 14, 2020, and will thereafter bear interest at a variable rate that will reset quarterly to a level equal to the then-current three-month LIBOR rate plus 3.068% until August 15, 2025, or any early redemption date. |
Junior Subordinated Debentures
Junior Subordinated Debentures | 12 Months Ended |
Dec. 31, 2019 | |
Junior Subordinated Debenture Owed to Unconsolidated Subsidiary Trust [Abstract] | |
Junior Subordinated Debentures | Junior Subordinated Debentures In connection with the RBPI Merger, the Corporation acquired Royal Bancshares Capital Trust I (“Trust I”) and Royal Bancshares Capital Trust II (“Trust II”) (collectively, the “Trusts”), which were utilized for the sole purpose of issuing and selling capital securities representing preferred beneficial interests. Although BMBC owns $774 thousand of the common securities of Trust I and Trust II, the Trusts are not consolidated into the Corporation’s consolidated financial statements as the Corporation is not deemed to be the primary beneficiary of these entities. In connection with the issuance and sale of the capital securities, RBPI issued, and BMBC assumed as a result of the RBPI Merger, junior subordinated debentures to the Trusts of $10.7 million each, totaling $21.4 million representing BMBC’s maximum exposure to loss. The junior subordinated debentures incur interest at a coupon rate of 4.04% as of December 31, 2019 . The rate resets quarterly based on 3-month LIBOR plus 2.15% . Each of Trust I and Trust II issued an aggregate principal amount of $12.5 million of capital securities initially bearing fixed and/or fixed/floating interest rates corresponding to the debt securities held by each trust to an unaffiliated investment vehicle and an aggregate principal amount of $387 thousand of common securities bearing fixed and/or fixed/floating interest rates corresponding to the debt securities held by each trust to BMBC. As a result of the RBPI Merger, BMBC has fully and unconditionally guaranteed all of the obligations of the Trusts, including any distributions and payments on liquidation or redemption of the capital securities. The rights of holders of common securities of the Trusts are subordinate to the rights of the holders of capital securities only in the event of a default; otherwise, the common securities’ economic and voting rights are pari passu with the capital securities. The capital and common securities of the Trusts are subject to mandatory redemption upon the maturity or call of the junior subordinated debentures held by each. Unless earlier dissolved, the Trusts will dissolve on December 15, 2034. The junior subordinated debentures are the sole assets of Trusts, mature on December 15, 2034, and may be called at par by BMBC any time after December 15, 2009. The Corporation records its investments in the Trusts’ common securities of $387 thousand each as investments in unconsolidated entities and records dividend income upon declaration by Trust I and Trust II. |
Operating Leases Operating Leas
Operating Leases Operating Leases | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Operating Leases | Operating Leases The Corporation’s operating leases consist of various retail branch locations and corporate offices. Management determines if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use assets (“ROU assets”) and operating lease liabilities in our Consolidated Balance Sheets. ROU assets and operating lease liabilities are recognized at the lease commencement date. Operating lease liabilities represent the present value of unpaid lease payments, including extension options that the Corporation is reasonably certain will be exercised. As the majority of our leases do not provide an implicit rate, we use our estimated incremental borrowing rate at the lease commencement date to determine the present value of unpaid lease payments. ROU assets represent our right to use underlying assets and are recorded as operating lease liabilities adjusted for prepayments or accrued lease payments, initial direct costs, lease incentives, and impairment of ROU assets. The Corporation’s leases include fixed rental payments, and certain of our leases also include variable rental payments where lease payments may increase at pre-determined dates based on the change in the consumer price index. The Corporation’s lease agreements include gross leases as well as leases in which we make separate payments to the lessor for items such as the property taxes assessed on the property or a portion of the common area maintenance associated with the property. We have elected the practical expedient not to separate lease and non-lease components for all of our building leases. The Corporation also elected to not recognize ROU assets and lease liabilities for short-term leases, which consist of certain leases of the Corporation’s limited-hour retirement community offices. On January 1, 2019, the Corporation adopted ASU 2016-02 (Topic 842), “Leases”, as further explained in Note 2, Recent Accounting Pronouncements. The Corporation’s operating leases consist of various retail branch locations and corporate offices. As of December 31, 2019 , the Corporation’s leases have remaining lease terms ranging from nine months to 23 years , including extension options that the Corporation is reasonably certain will be exercised. The Corporation’s leases include fixed rental payments, and certain of our leases also include variable rental payments where lease payments may increase at pre-determined dates based on the change in the consumer price index. The Corporation’s lease agreements include gross leases as well as leases in which we make separate payments to the lessor for items such as the property taxes assessed on the property or a portion of the common area maintenance associated with the property. We have elected the practical expedient not to separate lease and non-lease components for all of our building leases. The Corporation also elected to not recognize ROU assets and lease liabilities for short-term leases, which consist of certain leases of the Corporation’s limited-hour retirement community offices. As of December 31, 2019 the Corporation’s ROU assets and related lease liabilities were $41.0 and $45.3 , respectively. The components of lease expense were as follows: Year Ended (dollars in thousands) Operating lease expense $ 5,295 Short term lease expense 59 Variable lease expense 1,795 Sublease income (32 ) Total lease expense $ 7,117 Supplemental cash flow information related to leases was as follows: Year Ended (dollars in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 5,174 ROU assets obtained in exchange for lease liabilities 44,609 Maturities of operating lease liabilities under FASB ASC 842 “Leases” as of December 31, 2019 are as follows: December 31, 2019 (dollars in thousands) 2019 $ 4,705 2020 4,479 2021 4,200 2022 4,047 2023 4,076 2024 and thereafter 37,308 Total lease payments 58,815 Less: imputed interest 13,557 Present value of operating lease liabilities $ 45,258 As of December 31, 2019 , the weighted-average remaining lease term, including extension options that the Corporation is reasonably certain will be exercised, for all operating leases is 14.26 years . Because we generally do not have access to the rate implicit in the lease, we utilize our incremental borrowing rate as the discount rate. The weighted average discount rate associated with operating leases as of December 31, 2019 is 3.57% . As of December 31, 2019 , the Corporation had not entered into any material leases that have not yet commenced. |
Derivatives and Hedging Activit
Derivatives and Hedging Activities | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Derivatives and Hedging Activities | Derivatives and Hedging Activities Derivative financial instruments involve, to varying degrees, interest rate, market and credit risk. Management manages these risks as part of its asset and liability management process and through credit policies and procedures. Management seeks to minimize counterparty credit risk by establishing credit limits and collateral agreements and utilizes certain derivative financial instruments to enhance its ability to manage interest rate risk that exists as part of its ongoing business operations. The derivative transactions entered into by the Corporation are an economic hedge of a derivative offerings to Bank customers. The Corporation does not use derivative financial instruments for trading purposes. Customer Derivatives – Interest Rate Swaps . The Corporation enters into interest rate swaps with commercial loan customers and correspondent banks wishing to manage interest rate risk. The Corporation then enters into corresponding swap agreements with swap dealer counterparties to economically hedge the exposure arising from these contracts. The interest rate swaps with both the customers and third parties are not designated as hedges under FASB ASC 815 and are marked to market through earnings. As the interest rate swaps are structured to offset each other, changes to the underlying benchmark interest rates considered in the valuation of these instruments do not result in an impact to earnings; however, there may be fair value adjustments related to credit quality variations between counterparties, which may impact earnings as required by FASB ASC 820. As of December 31, 2019 , there were no fair value adjustments related to credit quality. Foreign Exchange Forward Contracts. The Corporation enters into foreign exchange forward contracts (“FX forwards”) with customers to exchange one currency for another on an agreed date in the future at an agreed exchange rate. The Corporation then enters into corresponding FX forwards with swap dealer counterparties to economically hedge its exposure on the exchange rate component of the customer agreements. The FX forwards with both the customers and third parties are not designated as hedges under FASB ASC 815 and are marked to market through earnings. Exposure to gains and losses on these contracts increase or decrease over their respective lives as currency exchange and interest rates fluctuate. As the FX forwards are structured to offset each other, changes to the underlying term structure of currency exchange rates considered in the valuation of these instruments do not result in an impact to earnings; however, there may be fair value adjustments related to credit quality variations between counterparties, which may impact earnings as required by FASB ASC 820. As of December 31, 2019 , there were no fair value adjustments related to credit quality. Risk Participation Agreements . The Corporation may enter into a risk participation agreement (“RPA”) with another institution as a means to assume a portion of the credit risk associated with a loan structure which includes a derivative instrument, in exchange for fee income commensurate with the risk assumed. This type of derivative is referred to as an “RPA sold.” In addition, in an effort to reduce the credit risk associated with an interest rate swap agreement with a borrower for whom the Corporation has provided a loan structured with a derivative, the Corporation may purchase an RPA from an institution participating in the facility in exchange for a fee commensurate with the risk shared. This type of derivative is referred to as an “RPA purchased.” The following tables detail the derivative instruments as of December 31, 2019 and December 31, 2018 : Asset Derivatives Liability Derivatives (dollars in thousands) Notional Amount Fair Value Notional Amount Fair Value Derivatives not designated as hedging instruments As of December 31, 2019: Customer derivatives – interest rate swaps $ 790,209 $ 47,627 $ 790,209 $ 47,627 RPAs sold — — 4,232 16 RPAs purchased 20,249 90 — — Total derivatives $ 810,458 $ 47,717 $ 794,441 $ 47,643 As of December 31, 2018: Customer derivatives – interest rate swaps $ 369,623 $ 12,550 $ 369,623 $ 12,549 RPAs sold — — 854 2 RPAs purchased 35,305 71 — — Total derivatives $ 404,928 $ 12,621 $ 370,477 $ 12,551 The Corporation has International Swaps and Derivatives Association agreements with third parties that requires a minimum dollar transfer amount upon a margin call. This requirement is dependent on certain specified credit measures. The amount of collateral posted with third parties at December 31, 2019 and December 31, 2018 was $63.8 million and $8.8 million , respectively. The amount of collateral posted with third parties is deemed to be sufficient to collateralize both the fair market value change as well as any additional amounts that may be required as a result of a change in the specified credit measures. The aggregate fair value of all derivative financial instruments in a liability position with credit measure contingencies and entered into with third parties was $46.7 million and $11.5 million as of December 31, 2019 and December 31, 2018 , respectively. |
Pension and Postretirement Bene
Pension and Postretirement Benefit Plans | 12 Months Ended |
Dec. 31, 2019 | |
Retirement Benefits [Abstract] | |
Pension and Postretirement Benefit Plans | Pension and Postretirement Benefit Plans A. General Overview – The Corporation sponsors two non-qualified defined-benefit supplemental executive retirement plans (“SERP I” and “SERP II”) which are restricted to certain senior officers of the Corporation and a postretirement benefit plan (“PRBP”) that covers certain retired employees and a group of current employees. Effective March 31, 2008, the Corporation amended SERP I to freeze further increases in the defined benefit amounts to all participants. Effective March 31, 2013, the Corporation curtailed SERP II, as further increases to the defined benefit amounts to over 20% of the participants were frozen. The PRBP was closed to new participants in 1994. In 2007, the Corporation amended the PRBP to allow for settlement of obligations to certain current and retired employees. Certain retired participant obligations were settled in 2007 and current employee obligations were settled in 2008. The following table provides information with respect to our SERP and PRBP, including benefit obligations and funded status, net periodic pension costs, plan assets, cash flows, amortization information and other accounting items. B. Actuarial Assumptions used to determine benefit obligations as of December 31 of the years indicated: SERP I and SERP II PRBP 2019 2018 2019 2018 Discount rate 2.80 % 3.95 % 2.20 % 3.45 % Rate of increase for future compensation N/A N/A N/A N/A Expected long-term rate of return on plan assets N/A N/A N/A N/A C. Changes in Benefit Obligations and Plan Assets: SERP I & SERP II PRBP (dollars in thousands) 2019 2018 2019 2018 Change in benefit obligations Benefit obligation at January 1 $ 4,687 $ 4,983 $ 241 $ 353 Service cost — — — — Interest cost 179 160 8 9 Plan participants contribution — — 38 44 Actuarial loss (gain) 595 (180 ) 40 (61 ) Settlements — — — — Benefits paid (303 ) (276 ) (92 ) (104 ) Benefit obligation at December 31 $ 5,158 $ 4,687 $ 235 $ 241 Change in plan assets Fair value of plan assets at January 1 $ — $ — $ — $ — Actual return on plan assets — — — — Settlements — — — — Excess assets transferred to defined contribution plan — — — — Employer contribution 303 278 54 60 Plan participants’ contribution — — 38 44 Benefits paid (303 ) (278 ) (92 ) (104 ) Fair value of plan assets at December 31 $ — $ — $ — $ — Funded status at year end (plan assets less benefit obligations) $ (5,158 ) $ (4,687 ) $ (235 ) $ (241 ) For the Year Ended December 31, SERP I & SERP II PRBP Amounts included in the Consolidated Balance Sheet as Other liabilities and accumulated other comprehensive income including the following: 2019 2018 2019 2018 Accrued liability $ (3,112 ) $ (3,174 ) $ (99 ) $ (129 ) Net actuarial loss (2,046 ) (1,513 ) (136 ) (112 ) Prior service cost — — — — Unrecognized net initial obligation — — — — Net included in Other liabilities in the Consolidated Balance Sheets $ (5,158 ) $ (4,687 ) $ (235 ) $ (241 ) D. The following tables provide the components of net periodic pension costs for the periods indicated: SERP I and SERP II Periodic Pension Cost For the Year Ended December 31, (dollars in thousands) 2019 2018 2017 Service cost $ — $ — $ — Interest cost 179 160 176 Amortization of prior service cost — — — Recognition of net actuarial loss 62 70 59 Net periodic pension cost $ 241 $ 230 $ 235 PRBP Net Periodic Pension Cost For the Year Ended December 31, (dollars in thousands) 2019 2018 2017 Service cost $ — $ — $ — Interest cost 8 9 11 Amortization of prior service cost — — — Recognition of net actuarial loss 17 30 36 Net periodic pension cost $ 25 $ 39 $ 47 For the Year Ended December 31, Discount Rate Used in the Calculation of Periodic Pension Costs 2019 2018 2017 SERP I and SERP II 3.95 % 3.30 % 3.75 % PRBP 3.45 % 2.75 % 2.80 % E. Plan Assets: The PRBP, SERP I and SERP II are unfunded plans and, as such, have no related plan assets. F. Cash Flows The following benefit payments, which reflect expected future service, are expected to be paid over the next ten years: (dollars in thousands) SERP I & SERP II PRBP Fiscal year ending 2020 $ 342 $ 49 2021 339 41 2022 335 35 2023 342 29 2024 349 24 2024-2028 1,600 62 G. Other Pension and Post Retirement Benefit Information In 2005, the Corporation placed a cap on the future annual benefit payable through the PRBP. This cap is equal to 120% of the 2005 annual benefit. H. Expected Contribution to be Paid in the Next Fiscal Year The 2020 expected contribution for the SERP I and SERP II is $342 thousand . I. Actuarial Losses As indicated in section C of this footnote, the Corporation’s pension plans had cumulative actuarial losses as of December 31, 2019 that will result in an increase in the Corporation’s future pension expense because such losses at each measurement date exceed 10% of the greater of the projected benefit obligation or the market-related value of the plan assets. In accordance with GAAP, net unrecognized gains or losses that exceed that threshold are required to be amortized over the expected service period of active employees, and are included as a component of net pension cost. Amortization of these net actuarial losses has the effect of increasing the Corporation’s pension costs as shown on the table in section D of this footnote. |
Income Taxes
Income Taxes | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Income Taxes | Income Taxes A. Components of Net Deferred Tax Asset: December 31, (dollars in thousands) 2019 2018 Deferred tax assets: Loan and lease loss reserve $ 5,128 $ 4,476 Other reserves 3,619 2,919 Net operating loss carry-forward 8,107 9,728 Alternative minimum tax credits 833 1,100 Unrealized depreciation of available for sale securities — 1,656 Operating lease liabilities 10,030 — Defined benefit plans 1,505 1,377 RBPI Merger Fair Values 647 2,580 Total deferred tax asset $ 29,869 $ 23,836 Deferred tax liabilities: Intangibles and other amortizing fair value adjustments $ 5,154 $ 5,290 Originated MSRs 969 1,105 Unrealized appreciation of available for sale securities 1,040 — Operating lease right-of-use assets 8,948 — Deferred loan costs 909 1,105 Other reserves 1,166 535 Total deferred tax liability $ 18,186 $ 8,035 Total net deferred tax asset $ 11,683 $ 15,801 Not included in the table above are deferred tax assets for state net operating losses and unrealized capital losses for partnership investments and their respective valuation allowance of $706 thousand and $608 thousand . The state net operating losses of our leasing subsidiary as of December 31, 2019 will expire between 2023 and 2037. As a result of the RBPI Merger, deferred tax assets were initially increased by $33.1 million related to purchase accounting adjustments and net deferred tax assets carried over from RBPI. During 2018, adjustments were made to the original purchase accounting adjustments that resulted in an incremental deferred tax asset of $1.1 million . B. The provision for income taxes consists of the following: December 31, (dollars in thousands) 2019 2018 2017 Current $ 14,068 $ 4,326 $ 13,812 Deferred 1,539 9,839 20,418 Total $ 15,607 $ 14,165 $ 34,230 C. Applicable income taxes differed from the amount derived by applying the statutory federal tax rate to income as follows: (dollars in thousands) 2019 Tax Rate 2018 Tax Rate 2017 Tax Rate Computed tax expense at statutory federal rate $ 15,711 21.0 % $ 16,371 21.0 % $ 20,036 35.0 % Tax-exempt income (562 ) (0.8 )% (470 ) (0.6 )% (600 ) (1.0 )% State tax (net of federal tax benefit) 1,045 1.4 % 874 1.1 % 303 0.5 % Non-deductible merger expense — — % — — % 455 0.8 % Excess tax benefit – stock based compensation (144 ) (0.2 )% (848 ) (1.1 )% (1,049 ) (1.8 )% Adjustment to net deferred tax assets for enacted changes in tax laws, rates and return to provision adjustments — — % (1,895 ) (2.4 )% 15,193 26.5 % Other, net (443 ) (0.5 )% 133 0.2 % (108 ) (0.2 )% Total income tax expense $ 15,607 20.9 % $ 14,165 18.2 % $ 34,230 59.8 % D. Tax Law Changes – Impact to Tax Expense With the enactment of the Tax Cuts and Jobs Act (“Tax Reform” or the “Tax Act”) on December 22, 2017, the federal corporate income tax rate was reduced from 35% to 21% effective January 1, 2018. The Corporation's 2017 financial results included a charge of $15.2 million to income tax expense, primarily resulting from re-measuring the Corporation's net deferred tax assets to reflect the recently enacted lower tax rate effective January 1, 2018. During 2018, we recorded certain tax provision to tax return true-up adjustments associated with items that were finalized as part of our 2017 tax return filing. We recorded a $2.5 million tax benefit in 2018, primarily for deferred tax temporary difference items that were claimed on the 2017 tax return at a 35% federal tax rate that were recorded at December 31, 2017 as anticipating to be deducted at a 21% federal tax rate. Also during 2018, as a result of additional purchase accounting adjustments during the year, $611 thousand of such purchase accounting adjustments were charged to income tax expense as a result of reducing their original 35% tax benefit to the new 21% tax rate in effect for 2018. There are no remaining provisional items as of December 31, 2018. Under ASC 740, Income Taxes, the effect of income tax law changes on deferred taxes should be recognized as a component of income tax expense related to continuing operations in the period in which the law is enacted. This requirement applies not only to items initially recognized in continuing operations, but also to items initially recognized in other comprehensive income. The income tax expense recognized as a result of Tax Reform is as follows: Year Ended (dollars in thousands) 2019 2018 2017 Deferred taxes related to items recognized in continuing operations $ — $ (1,895 ) $ 14,411 Deferred taxes on net actuarial loss on defined benefit post-retirement benefit plans — — 275 Deferred taxes on net unrealized losses on available for sale investment securities — — 507 Total income tax (benefit) / expense related to Tax Reform $ — $ (1,895 ) $ 15,193 Because ASC 740 requires the effect of income tax law changes on deferred taxes to be recognized as a component of income tax expense related to continuing operations rather than backward tracing the adjustment through the accumulated other comprehensive income component of shareholders' equity, the net adjustment to deferred taxes for the year ending December 31, 2017 detailed above included a net expense totaling $782 thousand related to items recognized in other comprehensive income. E. Other Income Tax Information In accordance with the provisions of ASC 740, “Accounting for Uncertainty in Income Taxes”, management recognizes the financial statement benefit of a tax position only after determining that the Corporation would more likely than not sustain the position following an examination. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the financial statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon settlement with the relevant tax authority. Management applied these criteria to tax positions for which the statute of limitations remained open. There were no reserves for uncertain tax positions recorded during the years ended December 31, 2019 , 2018 or 2017 . The Corporation is subject to income taxes in the U.S. federal jurisdiction, and in multiple state jurisdictions. The Corporation is no longer subject to U.S. federal income tax examination by tax authorities for the years before 2016. The Corporation’s policy is to record interest and penalties on uncertain tax positions as income tax expense. No interest or penalties were accrued in 2019. As of December 31, 2019 , the Corporation has net operating loss (“NOL”) carry-forwards for federal income tax purposes of $38.6 million , all of which relate to the RBPI Merger which are subject to an annual usage limitation of approximately $2.7 million . Management estimates it will be able to utilize an additional $5.0 million per year of the NOLs acquired in the RBPI Merger for a five-year period subsequent to December 15, 2017 due to the existence of net unrealized built-in gains (“NUBIG”) under IRC Section 382, these NOLs will begin to expire in 2030. In addition, the Corporation has alternative minimum tax (“AMT”) credits of $833 thousand , approximately $532 thousand of which are related to the RBPI Merger. The credit amounts do not expire. The amount of AMT credits that can be used per year are limited under IRC section 383. The Corporation has determined that it is more likely than not that the results of future operations will generate sufficient taxable income to realize the deferred tax asset related to these amounts. As a result of the July 1, 2010 merger with FKF, the Corporation succeeded to $2.5 million of tax bad debt reserves that existed at FKF as of June 30, 2010. As of December 31, 2019 , the Corporation has not recognized a deferred income tax liability with respect to these reserves. These reserves could be recognized as taxable income and create a current and/or deferred tax liability at the income tax rates then in effect if one of the following conditions occurs: (1) the Bank’s retained earnings represented by this reserve are used for distributions, in liquidation, or for any other purpose other than to absorb losses from bad debts; (2) the Bank fails to qualify as a bank, as provided by the Internal Revenue Code; or (3) there is a change in federal tax law. |
Accumulated Other Comprehensive
Accumulated Other Comprehensive Income (Loss) | 12 Months Ended |
Dec. 31, 2019 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Accumulated Other Comprehensive Income (Loss) | Accumulated Other Comprehensive Income (Loss) The following table details the components of accumulated other comprehensive income (loss) for the years ended December 31, 2019 , 2018 and 2017 : (dollars in thousands) Net Change in Unrealized Gains on Available for Sale Investment Securities Net Change in Unfunded Pension Liability Accumulated Other Comprehensive Income (Loss) Balance, December 31, 2016 $ (1,231 ) $ (1,178 ) $ (2,409 ) Other comprehensive (loss) (1,123 ) (100 ) (1,223 ) Reclassification due to the adoption of ASU No. 2018-02 (507 ) (275 ) (782 ) Balance, December 31, 2017 (2,861 ) (1,553 ) (4,414 ) Other comprehensive (loss) income (3,368 ) 269 (3,099 ) Balance, December 31, 2018 (6,229 ) (1,284 ) (7,513 ) Other comprehensive income (loss) 10,139 (439 ) 9,700 Balance, December 31, 2019 $ 3,910 $ (1,723 ) $ 2,187 The following tables detail the amounts reclassified from each component of accumulated other comprehensive income (loss) for the years ended December 31, 2019 , 2018 and 2017 : Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Description of Accumulated Other Comprehensive Income (Loss) Component For the Year Ended Affected Income Statement Category (dollars in thousands) 2019 2018 2017 Net unrealized gain on investment securities available for sale: Realization of gain on sale of investment securities available for sale $ — $ (7 ) $ (101 ) Net gain on sale of investment securities available for sale Realization of gain on transfer of investment securities available for sale to trading — (417 ) — Other operating income Total $ — $ (424 ) $ (101 ) Income tax effect — 89 35 Income tax expense Net of income tax $ — $ (335 ) $ (66 ) Net income Unfunded pension liability: Amortization of net loss included in net periodic pension costs (1) $ 79 $ 100 $ 95 Other operating expenses Income tax effect (17 ) (21 ) (33 ) Income tax expense Net of income tax $ 62 $ 79 $ 62 Net income (1) Accumulated other comprehensive loss components are included in the computation of net periodic pension cost. See Note 16, “Pension and Postretirement Benefit Plans,” in the accompanying Notes to the Consolidated Financial Statements in this Annual Report on Form 10-K. |
Earnings Per Common Share
Earnings Per Common Share | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Earnings Per Common Share | Earnings per Common Share The calculation of basic earnings per share and diluted earnings per share is presented below: Year Ended December 31, (dollars in thousands, except share and per share data) 2019 2018 2017 Numerator: Net income available to common shareholders $ 59,206 $ 63,792 $ 23,016 Denominator for basic earnings per share – Weighted average shares outstanding (1) 20,142,306 20,234,792 17,150,125 Effect of dilutive potential common shares 91,065 155,375 248,798 Denominator for diluted earnings per share – Adjusted weighted average shares outstanding 20,233,371 20,390,167 17,398,923 Basic earnings per share $ 2.94 $ 3.15 $ 1.34 Diluted earnings per share 2.93 3.13 1.32 Antidilutive shares excluded from computation of average dilutive earnings per share 3,671 19,422 27,159 (1) Excludes restricted stock. All weighted average shares, actual shares and per share information in the financial statements have been adjusted retroactively for the effect of stock dividends and splits. See Section R, “Earnings per Common Share” of Note 1, “Summary of Significant Accounting Policies,” in the accompanying Notes to the Consolidated Financial Statements in this Annual Report on Form 10-K for a discussion on the calculation of earnings per share. |
Revenue from Contracts with Cus
Revenue from Contracts with Customers | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Revenue from Contracts with Customers | Revenue from Contracts with Customers All of the Corporation’s revenue from contracts with customers in the scope of ASC 606 is recognized within noninterest income. The following table presents the Corporation’s noninterest income by revenue stream and reportable segment for the years ended December 31, 2019 and 2018 and 2017 , respectively. Items outside the scope of ASC 606 are noted as such. For the Year Ended December 31, 2019 2018 2017 (dollars in thousands) Banking Wealth Consolidated Banking Wealth Consolidated Banking Wealth Consolidated Fees for wealth management services $ — $ 44,400 $ 44,400 $ — $ 42,326 $ 42,326 $ — $ 38,735 $ 38,735 Insurance commissions — 6,877 6,877 — 6,808 6,808 — 4,589 4,589 Capital markets revenue (1) 11,276 — 11,276 4,848 — 4,848 2,396 — 2,396 Service charges on deposit accounts 3,374 — 3,374 2,989 — 2,989 2,608 — 2,608 Loan servicing and other fees (1) 2,206 — 2,206 2,259 — 2,259 2,106 — 2,106 Net gain on sale of loans (1) 2,342 — 2,342 3,283 — 3,283 2,441 — 2,441 Net gain on sale of investment securities available for sale (1) — — — 7 — 7 101 — 101 Net (loss) gain on sale of OREO (84 ) — (84 ) 295 — 295 (104 ) — (104 ) Dividends on FHLB and FRB stock (1) 1,505 — 1,505 1,621 — 1,621 939 — 939 Other operating income (2) 10,182 106 10,288 11,360 186 11,546 5,124 197 5,321 Total noninterest income $ 30,801 $ 51,383 $ 82,184 $ 26,662 $ 49,320 $ 75,982 $ 15,611 $ 43,521 $ 59,132 (1) Not within the scope of ASC 606. (2) Other operating income includes Visa debit card income, safe deposit box rentals, and rent income totaling $2.2 million , $2.2 million and $2.0 million for the years ended December 31, 2019 and 2018 and 2017 , respectively, which are within the scope of ASC 606. A description of the Corporation’s primary revenue streams accounted for under ASC 606 follows: Service Charges on Deposit Accounts: The Corporation earns fees from its deposit customers for transaction-based, account maintenance, and overdraft services. Transaction-based fees, which include services such as ATM use fees, stop payment charges, statement rendering, and ACH fees, are recognized at the time the transaction is executed as that is the point in time the Corporation fulfills the customer’s request. Account maintenance fees, which relate primarily to monthly maintenance, are earned over the course of a month, representing the period over which the Corporation satisfies the performance obligation. Overdraft fees are recognized at the point in time that the overdraft occurs. Service charges on deposits are withdrawn from the customer’s account balance. Wealth Management Fees: The Corporation earns wealth management fee revenue from a variety of sources including fees from trust administration and other related fiduciary services, custody, investment management and advisory services, employee benefit account and IRA administration, estate settlement, tax service fees, shareholder service fees and brokerage. Fees that are determined based on the market value of the assets held in their accounts are generally billed monthly, in arrears, based on the market value of assets at the end of the previous billing period. Other related services that are based on a fixed fee schedule are recognized when the services are rendered. Fees that are transaction based, including trade execution services, are recognized at the point in time that the transaction is executed, i.e. the trade date. Included in other assets on the balance sheet is a receivable for wealth management fees that have been earned but not yet collected. Insurance Commissions: The Corporation earns commissions from the sale of insurance policies, which are generally calculated as a percentage of the policy premium, and contingent income, which is calculated based on the volume and performance of the policies held by each carrier. Obligations for the sale of insurance policies are generally satisfied at the point in time which the policy is executed and are recognized at the point in time in which the amounts are known and collection is reasonably assured. Performance metrics for contingent income are generally satisfied over time, not exceeding one year, and are recognized at the point in time in which the amounts are known and collection is reasonably assured. Visa Debit Card Income: The Corporation earns income fees from debit cardholder transactions conducted through the Visa payment network. Fees from cardholder transactions represent a percentage of the underlying transaction value and are recognized daily, concurrently with the transaction processing services provided to the cardholder. Gains/Losses on Sales of OREO: The Corporation records a gain or loss from the sale of OREO when control of the property transfers to the buyer, which generally occurs at the time of an executed deed. |
Stock-Based Compensation
Stock-Based Compensation | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Stock-Based Compensation | Stock–Based Compensation A. General Information BMBC permits the issuance of stock options, dividend equivalents, performance stock awards, stock appreciation rights and restricted stock units or awards to employees and directors of the Corporation under several plans. The performance awards and restricted awards may be in the form of stock awards or stock units. Stock awards and stock units differ in that for a stock award, shares of restricted stock are issued in the name of the grantee, whereas a stock unit constitutes a promise to issue shares of stock upon vesting. The accounting for awards and units is identical. The terms and conditions of awards under the plans are determined by the Corporation’s Management Development and Compensation Committee. Prior to April 25, 2007, all shares authorized for grant as stock-based compensation were limited to grants of stock options. On April 25, 2007, the shareholders approved BMBC’s “2007 Long-Term Incentive Plan” (the “2007 LTIP”) under which a total of 428,996 shares of BMBC’s common stock were made available for award grants. On April 28, 2010, the shareholders approved BMBC’s “2010 Long Term Incentive Plan” under which a total of 445,002 shares of BMBC’s common stock were made available for award grants, and on April 30, 2015, the shareholders approved an amendment and restatement of such plan (as amended and restated, the “2010 LTIP”) to, among other things, increase the number of shares available for award grants by 500,000 to 945,002 . In addition to the shareholder-approved plans mentioned in the preceding paragraph, BMBC periodically authorizes grants of stock-based compensation as inducement awards to new employees. This type of award does not require shareholder approval in accordance with Rule 5635(c)(4) of the Nasdaq listing rules. The equity awards are authorized to be in the form of, among others, options to purchase BMBC’s common stock, time-based restricted stock units (“RSUs”) and performance-based restricted stock units (“PSUs”). RSUs have a restriction based on the passage of time. The grant date fair value of the RSUs is based on the closing price on the date of the grant. PSUs have a restriction based on the passage of time and also have a restriction based on a performance criteria. The performance criteria may be a market-based criteria measured by BMBC’s total shareholder return (“TSR”) relative to the performance of the community bank index for the respective period. The fair value of the PSUs based on BMBC’s TSR relative to the performance of a designated peer group or the NASDAQ Community Bank Index is calculated using the Monte Carlo Simulation method. The performance criteria may also be based on a non-market-based criteria such as return on average equity relative to that designated peer group. The grant date fair value of these PSUs is based on the closing price of BMBC’s stock on the date of the grant. PSU grants may have a vesting percent ranging from 0% to 150% . The following table summarizes the remaining shares authorized to be granted under the 2010 LTIP: Shares Authorized for Grant Balance, December 31, 2016 552,959 Grants of RSUs (40,137 ) Grants of PSUs (41,323 ) Expiration of unexercised options 250 Non-vesting PSUs (1) — Forfeitures of PSUs 3,899 Forfeitures of RSUs 4,305 Balance, December 31, 2017 479,953 Grants of RSUs (38,806 ) Grants of PSUs (40,722 ) Expiration of unexercised options — Non-vesting PSUs (1) — Forfeitures of PSUs 5,679 Forfeitures of RSUs 1,515 Balance, December 31, 2018 407,619 Grants of RSUs (71,716 ) Grants of PSUs (72,273 ) Expiration of unexercised options — Non-vesting PSUs (1) 12,689 PSUs added by performance factor (2) (3,688 ) Forfeitures of PSUs 17,150 Forfeitures of RSUs 9,461 Balance, December 31, 2019 299,242 (1) Non-vesting PSUs represent PSUs that did not meet their performance criteria, were cancelled and are available for future grant. (2) PSUs added by performance factor represent additional PSUs that vested as a result of performance factor exceeding the target performance at which they were granted. B. Fair Value of Options Granted No stock options were granted or assumed during the year s ended December 31, 2019 , 2018 and 2017 . C. Other Stock Option Information The following table provides information about options outstanding: For the Year Ended December 31, 2019 2018 2017 Shares Weighted Average Exercise Price Weighted Average Grant Date Fair Value Shares Weighted Average Exercise Price Weighted Average Grant Date Fair Value Shares Weighted Average Exercise Price Weighted Average Grant Date Fair Value Options outstanding, beginning of period 50,601 $ 18.28 $ 4.68 115,246 $ 20.73 $ 4.86 185,023 $ 21.04 $ 4.88 Expired — — — — — — (250 ) 22.00 4.90 Exercised (49,700 ) 18.26 4.46 (64,645 ) 22.65 5.00 (69,527 ) 21.55 4.91 Options outstanding, end of period 901 19.33 16.78 50,601 18.28 4.68 115,246 20.73 4.86 The following table provides information related to options as of December 31, 2019 : Range of Exercise Prices Options Outstanding and Exercisable Remaining Contractual Life (in years) Weighted Average Exercise Price (1) $ 16.02 to $ 17.17 338 0.07 $ 16.02 17.18 to 18.33 563 4.05 18.33 Total Outstanding and Exercisable 901 (1) Price of exercisable options. For the years ended December 31, 2019 , 2018 and 2017 there are no unvested options. Proceeds, related tax benefits realized from options exercised and intrinsic value of options exercised were as follows: Year Ended December 31, (dollars in thousands) 2019 2018 2017 Proceeds from strike price of value of options exercised $ 907 $ 1,464 $ 1,498 Related tax benefit recognized 212 312 506 Proceeds of options exercised $ 1,119 $ 1,776 $ 2,004 Intrinsic value of options exercised $ 1,010 $ 1,512 $ 1,445 The following table provides information about options outstanding and exercisable options: As of December 31, 2019 2018 2017 (dollars in thousands, except share data and exercise price) Options Outstanding Exercisable Options Options Outstanding Exercisable Options Options Outstanding Exercisable Options Number 901 901 50,601 50,601 115,246 115,246 Weighted average exercise price $ 19.33 $ 19.33 $ 18.28 $ 18.28 $ 20.73 $ 20.73 Aggregate intrinsic value $ 20 $ 20 $ 1,478 $ 1,478 $ 2,705 $ 2,705 Weighted average contractual term 2.6 years 2.6 years 0.7 years 0.7 years 1.2 years 1.2 years As of December 31, 2019 , all compensation expense related to stock options has been recognized. D. RSUs and PSUs BMBC has granted RSUs and PSUs under the 2007 LTIP and 2010 LTIP and in accordance with Rule 5635(c)(4) of the Nasdaq listing standards. RSUs Compensation expense for RSUs is measured based on the market price of the stock on the day prior to the grant date and is recognized on a straight-line basis over the vesting period. For the year ended December 31, 2019 , the Corporation recognized $1.8 million of expense related to BMBC’s RSUs. As of December 31, 2019 , there was $2.8 million of unrecognized compensation cost related to RSUs. This cost will be recognized over a weighted average period of 2.1 years . During the first quarter of 2019, the Corporation adopted a voluntary Years of Service Incentive Program (the "Incentive Program") which offered certain benefits to eligible employees who met the Incentive Program requirements and voluntarily exited from service with the Corporation during 2019. As part of the Incentive Program, the Corporation elected to waive the service requirement as an RSU vesting condition for employees who held RSUs and chose to participate in the Incentive Program. As a result, 3,494 RSUs were modified which resulted in $112 thousand of incremental expense recognized during the three months ended March 31, 2019. The following table details the RSUs for the year s ended December 31, 2019 , 2018 and 2017 : Year Ended December 31, 2019 2018 2017 Number of Shares Weighted Number of Shares Weighted Number of Shares Weighted Beginning balance 76,746 $ 39.71 75,707 $ 35.80 58,862 $ 29.57 Granted 71,716 36.28 38,806 42.23 40,137 41.23 Vested (23,535 ) 34.66 (36,252 ) 34.38 (18,987 ) 29.40 Forfeited (9,461 ) 40.23 (1,515 ) 36.52 (4,305 ) 29.54 Ending balance 115,466 38.57 76,746 39.71 75,707 35.80 PSUs Compensation expense for PSUs is measured based on their grant date fair value as calculated using the Monte Carlo Simulation and is recognized on a straight-line basis over the vesting period. The grant date fair value of each grant was determined independently using the Monte Carlo Simulation. Assumptions used in the Monte Carlo Simulation for the grants of 14,834 PSUs in February 2019 and 11,631 PSUs in May 2019, whose performance is based on TSR, included expected volatilities of 20.60% and 21.28% and a risk-free rate of interest of 2.46% and 2.31% , respectively. The Corporation recognized $1.9 million of expense related to the PSUs for the year ended December 31, 2019 . As of December 31, 2019 , there was $2.5 million of unrecognized compensation cost related to PSUs. This cost will be recognized over a weighted average period of 1.8 years . As part of the Incentive Program, the Corporation elected to waive the service requirement as a PSU vesting condition for employees who held PSUs and chose to participate in the Incentive Program. As a result, 8,208 PSUs were modified which resulted in $250 thousand of incremental expense recognized during the three months ended March 31, 2019. The following table details the PSUs for the year s ended December 31, 2019 , 2018 and 2017 : Year Ended December 31, 2019 2018 2017 Number of Shares Weighted Number of Shares Weighted Number of Shares Weighted Beginning balance 121,656 $ 36.82 168,453 $ 24.76 192,844 $ 18.77 Granted 72,273 34.26 40,722 44.56 41,323 37.86 Vested (1) (31,507 ) 29.38 (81,840 ) 16.40 (61,815 ) 15.05 Added by performance factor 3,688 30.45 — — — — Non-vesting (2) (12,689 ) 27.13 — — — — Forfeited (17,150 ) 37.15 (5,679 ) 28.79 (3,899 ) 21.45 Ending balance 136,271 37.87 121,656 36.82 168,453 24.76 (1) Includes an aggregate of 39 shares paid in cash in lieu of fractional shares for the year ended December 31, 2019 . (2) Non-vesting PSUs represent PSUs that did not |
401(K) Plan and Other Defined C
401(K) Plan and Other Defined Contribution Plans | 12 Months Ended |
Dec. 31, 2019 | |
Defined Contribution Plan [Abstract] | |
401(K) Plan and Other Defined Contribution Plans | 401(K) Plan and Other Defined Contribution Plans The Corporation has a qualified defined contribution plan (the “401(K) Plan”) for all eligible employees, under which the Corporation matches employee contributions up to a maximum of 3.0% of the employee’s base salary. The Corporation recognized expense for matching contributions to the 401(K) Plan of $1.4 million , $1.4 million , and $1.2 million for the years ended December 31, 2019 , 2018 and 2017 , respectively. In addition to the matching contribution above, the Corporation provides a discretionary, non-matching employer contribution to the 401(K) Plan. The Corporation recognized expense for the non-matching discretionary contributions of $1.8 million , $1.5 million , and $489 thousand for the years ended December 31, 2019 , 2018 and 2017 , respectively. On June 28, 2013, the Corporation adopted the Bryn Mawr Bank Corporation Executive Deferred Compensation Plan (the “EDCP”), a non-qualified defined-contribution plan which was restricted to certain senior officers of the Corporation. The intended purpose of the EDCP is to provide deferred compensation to a select group of employees. The Corporation recognized expense for contributions to the EDCP of $298 thousand , $441 thousand , and $238 thousand for the years ended December 31, 2019 , 2018 and 2017 , respectively. |
Fair Value Measurement
Fair Value Measurement | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value Measurement | Fair Value Measurement FASB ASC 820, “Fair Value Measurement” establishes a fair value hierarchy based on the nature of data inputs for fair value determinations, under which the Corporation is required to value each asset using assumptions that market participants would utilize to value that asset. When the Corporation uses its own assumptions, it is required to disclose additional information about the assumptions used and the effect of the measurement on earnings or the net change in assets for the period. The value of the Corporation’s available for sale investment securities, which include obligations of the U.S. government and its agencies, mortgage-backed securities issued by U.S. government- and U.S. government sponsored agencies, obligations of state and political subdivisions, corporate bonds, other debt securities, as well as bond mutual funds are determined by the Corporation, including the use of an independent third party. Management performs tests to assess the validity of these third-party values. The third party’s evaluations are based on market data. They utilize pricing models that vary by asset and incorporate available trade, bid and other market information. For securities that do not trade on a daily basis, their pricing models apply available information such as benchmarking and matrix pricing. The market inputs normally sought in the evaluation of securities include benchmark yields, reported trades, broker/dealer quotes (only obtained from market makers or broker/dealers recognized as market participants), issuer spreads, two-sided markets, benchmark securities, bid, offers and reference data. For certain securities, additional inputs may be used or some market inputs may not be applicable. Inputs are prioritized differently on any given day based on market conditions. U.S. Government agencies are evaluated and priced using multi-dimensional relational models and option adjusted spreads. State and municipal securities are evaluated on a series of matrices including reported trades and material event notices. Mortgage-backed securities are evaluated using matrix correlation to treasury or floating index benchmarks, prepayment speeds, monthly payment information and other benchmarks. Other available for sale investments are evaluated using a broker-quote based application, including quotes from issuers. The value of the investment portfolio is determined using three broad levels of inputs: Level 1 – Quoted prices in active markets for identical securities. Level 2 – Quoted prices for similar instruments in active markets; quoted prices for identical or similar instruments in markets that are not active and model derived valuations whose inputs are observable or whose significant value drivers are observable. Level 3 – Instruments whose significant value drivers are unobservable. These levels are not necessarily an indication of the risks or liquidity associated with these investments. The following tables summarize the assets at December 31, 2019 and 2018 that are recognized on the Corporation’s Consolidated Balance Sheets using fair value measurement determined based on the differing levels of input. Fair value of assets measured on a recurring basis as of December 31, 2019 : (dollars in thousands) Total Level 1 Level 2 Level 3 Investment securities available for sale: U.S. Treasury securities $ 500,101 $ 500,101 $ — $ — Obligations of U.S. government & agencies 102,020 — 102,020 — Obligations of state & political subdivisions 5,379 — 5,379 — Mortgage-backed securities 366,002 — 366,002 — Collateralized mortgage obligations 31,832 — 31,832 — Other investment securities 650 — 650 — Total investment securities available for sale $ 1,005,984 $ 500,101 $ 505,883 $ — Investment securities trading: Mutual funds $ 8,621 $ 8,621 $ — $ — Derivatives: Interest rate swaps 47,627 — 47,627 — RPAs purchased 90 — 90 — Total Derivatives $ 47,717 $ — $ 47,717 $ — Total assets measured on a recurring basis at fair value $ 1,062,322 $ 508,722 $ 553,600 $ — Fair value of assets measured on a non-recurring basis as of December 31, 2019 : (dollars in thousands) Total Level 1 Level 2 Level 3 Mortgage servicing rights $ 4,838 $ — $ — $ 4,838 Impaired loans and leases 15,311 — — 15,311 Total assets measured at fair value on a non-recurring basis $ 20,149 $ — $ — $ 20,149 Fair value of assets measured on a recurring basis as of December 31, 2018 : (dollars in thousands) Total Level 1 Level 2 Level 3 Investment securities available for sale: U.S. Treasury securities $ 200,013 $ 200,013 $ — $ — Obligations of U.S. government & agencies 195,855 — 195,855 — Obligations of state & political subdivisions 11,332 — 11,332 — Mortgage-backed securities 289,890 — 289,890 — Collateralized mortgage obligations 39,252 — 39,252 — Other investment securities 1,100 — 1,100 — Total investment securities available for sale $ 737,442 $ 200,013 $ 537,429 $ — Investment securities trading: Mutual funds $ 7,502 $ 7,502 $ — $ — Derivatives: Interest rate swaps 12,550 — 12,550 — RPAs purchased 71 — 71 Total derivatives $ 12,621 $ — $ 12,621 $ — Total recurring fair value measurements $ 757,565 $ 207,515 $ 550,050 $ — Fair value of assets measured on a non-recurring basis as of December 31, 2018 : (dollars in thousands) Total Level 1 Level 2 Level 3 Mortgage servicing rights $ 6,277 $ — $ — $ 6,277 Impaired loans and leases 22,112 — — 22,112 OREO 417 — — 417 Total assets measured at fair value on a non-recurring basis $ 28,806 $ — $ — $ 28,806 For the year ended December 31, 2019 , a net decrease of $44 thousand in the Allowance was recorded, and for the year ended December 31, 2018 , a net increase of $204 thousand in the Allowance was recorded as a result of adjusting the carrying value and estimated fair value of the impaired loans in the above tables. As it relates to the fair values of assets measured on a recurring basis, there have been no transfers between levels during the year ended December 31, 2019 |
Disclosure about Fair Value of
Disclosure about Fair Value of Financial Instruments | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Disclosure about Fair Value of Financial Instruments | Disclosure about Fair Value of Financial Instruments FASB ASC 825, “Disclosures about Fair Value of Financial Instruments” requires disclosure of the fair value information about financial instruments, whether or not recognized in the balance sheet, for which it is practicable to estimate such value. The methodologies for estimating the fair value of financial assets and financial liabilities measured at fair value on a recurring and non-recurring basis are discussed above. The estimated fair value amounts have been determined by management using available market information and appropriate valuation methodologies based on the exit price notion. In cases where quoted market prices are not available, fair values are based on estimates using present value or other market value techniques. Those techniques are significantly affected by the assumptions used, including the discount rate and estimates of future cash flows. In that regard, the derived fair value estimates cannot be substantiated by comparison to independent markets and, in many cases, could not be realized in immediate settlement of the instrument. The aggregate fair value amounts presented below do not represent the underlying value of the Corporation. The carrying amount and fair value of the Corporation’s financial instruments are as follows: As of December 31, 2019 2018 (dollars in thousands) Fair Value (1) Carrying Fair Value Carrying Fair Value Financial assets: Cash and cash equivalents Level 1 $ 53,931 $ 53,931 $ 48,456 $ 48,456 Investment securities - available for sale See Note 23 1,005,984 1,005,984 737,442 737,442 Investment securities - trading See Note 23 8,621 8,621 7,502 7,502 Investment securities – held to maturity Level 2 12,577 12,661 8,684 8,438 Loans held for sale Level 2 4,249 4,249 1,749 1,749 Net portfolio loans and leases Level 3 3,666,711 3,596,268 3,407,728 3,414,921 Mortgage servicing rights Level 3 4,450 4,838 5,047 6,277 Interest rate swaps Level 2 47,627 47,627 12,550 12,550 Risk participation agreements purchased Level 2 90 90 71 71 Other assets Level 3 52,908 52,908 43,641 43,641 Total financial assets $ 4,857,148 $ 4,787,177 $ 4,272,870 $ 4,281,047 Financial liabilities: Deposits Level 2 $ 3,842,245 $ 3,842,014 $ 3,599,087 $ 3,594,123 Short-term borrowings Level 2 493,219 493,219 252,367 252,367 Long-term FHLB advances Level 2 52,269 52,380 55,374 54,803 Subordinated notes Level 2 98,705 97,199 98,526 100,120 Junior subordinated debentures Level 2 21,753 25,652 21,580 31,176 Interest rate swaps Level 2 47,627 47,627 12,549 12,549 Risk participation agreements sold Level 2 16 16 2 2 Other liabilities Level 3 50,251 50,251 60,847 60,847 Total financial liabilities $ 4,606,085 $ 4,608,358 $ 4,100,332 $ 4,105,987 (1) See Note 23, “Fair Value Measurement,” in the accompanying Notes to the Consolidated Financial Statements in this Annual Report on Form 10-K for a description of hierarchy levels. |
Financial Instruments with Off-
Financial Instruments with Off-Balance Sheet Risk, Contingencies and Concentration of Credit Risk | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial Instruments with off Balance Sheet Risk Contingencies and Concentration of Credit Risk | Financial Instruments with Off-Balance Sheet Risk, Contingencies and Concentration of Credit Risk Off-Balance Sheet Risk The Corporation is a party to financial instruments with off-balance sheet risk in the normal course of business to meet the financing needs of its customers. These financial instruments include commitments to extend credit and standby letters of credit. Those instruments involve, to varying degrees, elements of credit risk in excess of the amount recognized in the consolidated statements of financial condition. The contractual amounts of those instruments reflect the extent of involvement the Corporation has in particular classes of financial instruments. The Corporation’s exposure to credit loss in the event of nonperformance by the counterparty to the financial instrument of commitments to extend credit and standby letters of credit is represented by the contractual amount of those instruments. The Corporation uses the same credit policies in making commitments and conditional obligations as it does for on-balance sheet financial instruments. Commitments to extend credit, which include unused lines of credit and unfunded commitments to originate loans, are agreements to lend to a customer as long as there is no violation of any condition established in the agreement. Commitments generally have fixed expiration dates or other termination clauses and may require payment of a fee. Some of the commitments are expected to expire without being drawn upon, and the total commitment amounts do not necessarily represent future cash requirements. Total commitments to extend credit at December 31, 2019 were $828.9 million . Management evaluates each customer’s creditworthiness on a case-by-case basis. The amount of collateral obtained, if deemed necessary by the Corporation upon extension of credit, is based on a credit evaluation of the counterparty. Collateral varies but may include accounts receivable, marketable securities, inventory, property, plant and equipment, residential real estate, and income-producing commercial properties. Standby letters of credit are conditional commitments issued by the Bank to a customer for a third party. Such standby letters of credits are issued to support private borrowing arrangements. The credit risk involved in issuing standby letters of credit is similar to that involved in extending loan facilities to customers. The collateral varies, but may include accounts receivable, marketable securities, inventory, property, plant and equipment, and residential real estate for those commitments for which collateral is deemed necessary. The Corporation’s obligation under standby letters of credit as of December 31, 2019 was $20.7 million . Contingencies Legal Matters In the ordinary course of its operations, BMBC and its subsidiaries are parties to various claims, litigation, investigations, and legal and administrative cases and proceedings. Such pending or threatened claims, litigation, investigations, legal and administrative cases and proceedings typically entail matters that are considered incidental to the normal conduct of business. Claims for significant monetary damages may be asserted in many of these types of legal actions. Based on the information currently available, the Corporation believes it has meritorious defenses to the claims asserted against it in its currently outstanding legal proceedings and with respect to such legal proceedings, intends to continue to defend itself vigorously, litigating or settling cases according to management’s judgment as to what is in the best interests of BMBC and its shareholders. On a regular basis, liabilities and contingencies in connection with outstanding legal proceedings are assessed utilizing the latest information available. For those matters where it is probable that the Corporation will incur a loss and the amount of the loss can be reasonably estimated, a liability may be recorded in the consolidated financial statements. These legal reserves may be increased or decreased to reflect any relevant developments on at least a quarterly basis. For other matters, where a loss is not probable or the amount or range of the loss is not estimable, legal reserves are not accrued. While the outcome of legal proceedings is inherently uncertain, based on information currently available, advice of counsel and available insurance coverage, management believes that the established legal reserves are adequate and the liabilities arising from legal proceedings will not have a material adverse effect on the consolidated financial position, consolidated results of operations or consolidated cash flows. However, in the event of unexpected future developments, it is possible that the ultimate resolution of these matters, if unfavorable, may be material to the consolidated financial position, consolidated results of operations or consolidated cash flows of the Corporation. Crusader Servicing Corporation (“Crusader”), which was an 80% owned subsidiary of Royal Bank America that was acquired by the Bank in the RBPI Merger, along with the Bank as successor-in-interest to Royal Bank America, are defendants in the case captioned Snyder v. Crusader Servicing Corporation et al., Case No. 2007-01027, in the Court of Common Pleas of Montgomery County, Pennsylvania. The case involves claims brought by a former Crusader shareholder in 2007 against Crusader, its former directors and remaining shareholders related, among other things, to a purported failure to pay amounts allegedly due to Snyder for his shares of Crusader stock. Subsequent to the end of the first quarter of 2019, on May 1, 2019, the Court rendered a decision against Crusader. Crusader continues to pursue appeal with the Superior Court of the Commonwealth of Pennsylvania, and is considering other strategic options with respect to this matter during the pendency of the appeal. We do not believe that this ruling and the monetary award, if any, ultimately payable by Crusader will be material to the consolidated financial position, consolidated results of operations or consolidated cash flows of the Corporation. Indemnifications In general, the Corporation does not sell loans with recourse, except to the extent that it arises from standard loan-sale contract provisions. These provisions cover violations of representations and warranties and, under certain circumstances, first payment default by borrowers. These indemnifications may include the repurchase of loans by the Corporation and are considered customary provisions in the secondary market for conforming mortgage loan sales. Repurchases and losses have been rare and no provision is made for losses at the time of sale. There were no such repurchases for the year ended December 31, 2019 . Concentrations of Credit Risk The Corporation has a material portion of its loans in real estate-related loans. A predominant percentage of the Corporation’s real estate exposure, both commercial and residential, is in the Corporation’s primary trade area, which includes portions of Delaware, Chester, Montgomery and Philadelphia counties in Southeastern Pennsylvania. Management is aware of this concentration and attempts to mitigate this risk to the extent possible in many ways, including the underwriting and assessment of borrower’s capacity to repay. See Note 5, “Loans and Leases,” in the accompanying Notes to the Consolidated Financial Statements in this Annual Report on Form 10-K for additional information. |
Related Party Transactions
Related Party Transactions | 12 Months Ended |
Dec. 31, 2019 | |
Related Party Transactions [Abstract] | |
Related Party Transactions | Related Party Transactions In the ordinary course of business, the Bank granted loans to principal officers, directors and their affiliates. The outstanding balances of loans, including undrawn commitments to lend, to such related parties at December 31, 2019 and 2018 were $9.4 million and $9.3 million , respectively. Related party deposits amounted to $4.8 million and $6.7 million at December 31, 2019 and 2018 , respectively. |
Dividend Restrictions
Dividend Restrictions | 12 Months Ended |
Dec. 31, 2019 | |
Dividends [Abstract] | |
Dividend Restrictions | Dividend Restrictions The Bank is subject to the Pennsylvania Banking Code of 1965 (the “Code”), as amended, and is restricted in the amount of dividends that can be paid to its sole shareholder, BMBC. The Code restricts the payment of dividends by the Bank to the amount of its net income during the current calendar year and the retained net income of the prior two calendar years, unless the dividend has been approved by the Federal Reserve Board. Accordingly, the dividend payable by the Bank to BMBC beginning on January 1, 2020 is limited to net income not yet earned in 2020 plus the Bank’s total retained net income for the combined two years ended December 31, 2018 and 2019 of $57.3 million . The Bank issued $32.0 million and $26.0 million of dividends to BMBC during the years ended December 31, 2019 and December 31, 2018 , respectively. The amount of dividends paid by the Bank may not exceed a level that reduces capital levels to below levels that would cause the Bank to be considered less than adequately capitalized as detailed in Note 28 – “Regulatory Capital Requirements.” |
Regulatory Capital Requirements
Regulatory Capital Requirements | 12 Months Ended |
Dec. 31, 2019 | |
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract] | |
Regulatory Capital Requirements | Regulatory Capital Requirements A. General Regulatory Capital Information Both BMBC and the Bank are subject to various regulatory capital requirements, administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if taken, could have a direct material effect on BMBC and the Bank’s consolidated financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, BMBC and the Bank must meet specific capital guidelines that involve quantitative measures of their assets, liabilities and certain off-balance-sheet items as calculated under regulatory accounting practices. The capital amounts and classifications are also subject to qualitative judgments by the regulators about components, risk weightings and other factors. Prompt corrective action provisions are not applicable to bank holding companies. Beginning in 2015, new regulatory capital reforms, known as Basel III, issued as part of the Dodd-Frank Act began to be phased in. For more information, refer to the section titled Capital Adequacy within Item 1 - Business - Supervision and Regulation beginning at page 7 in this Form 10-K. B. S-3 Shelf Registration Statement and Offerings Thereunder In May 2018, BMBC filed a shelf registration statement on Form S-3, SEC File No. 333-224849 (the “Shelf Registration Statement”). The Shelf Registration Statement allows BMBC to raise additional capital from time to time through offers and sales of registered securities consisting of common stock, debt securities, warrants, purchase contracts, rights and units or units consisting of any combination of the foregoing securities. BMBC may sell these securities using the prospectus in the Shelf Registration Statement, together with applicable prospectus supplements, from time to time, in one or more offerings. In addition, BMBC has in place under its Shelf Registration Statement a Dividend Reinvestment and Stock Purchase Plan (the “Plan”), which allows it to issue up to 1,500,000 shares of registered common stock. The Plan allows for the grant of a request for waiver (“RFW”) above the Plan’s maximum investment of $120 thousand per account per year. An RFW is granted based on a variety of factors, including the Corporation’s current and projected capital needs, prevailing market prices of BMBC’s common stock and general economic and market conditions. For the year ended December 31, 2019 , BMBC did no t issue any shares through the Plan, nor were any RFWs approved. The Plan administrator conducted dividend reinvestments for Plan participants through open market purchases. No other sales of equity securities were executed under the Shelf Registration Statement during the year ended December 31, 2019 . C. Shares Issued in Mergers and Acquisitions In connection with the RBPI Merger, BMBC issued 3,101,316 common shares, valued at $136.8 million , to former shareholders of RBPI. These shares were registered on an S-4 registration statement filed by the Corporation in April 2017 (SEC File No. 333-216995). D. Share Repurchases On August 6, 2015, BMBC announced a stock repurchase program (the “2015 Program”) pursuant to which BMBC may repurchase up to 1,200,000 shares of its common stock, at an aggregate purchase price not to exceed $40 million . During the years ended December 31, 2019 and 2018 , 40,016 and 149,284 shares, respectively, were repurchased under the 2015 Program at an average price of $38.12 and $39.76 , respectively. On April 18, 2019, BMBC announced a new stock repurchase program (the “2019 Program”) pursuant to which BMBC may repurchase up to 1,000,000 shares of its common stock. Under the 2019 Program, BMBC may repurchase its common stock at any price, but the aggregate purchase price is not to exceed $45 million . The 2019 Program became effective in the second quarter of 2019 upon the completion of BMBC’s existing 2015 Program. During the year ended December 31, 2019 , 82,767 shares were repurchased under the 2019 Program at an average price of $36.22 . All share repurchases were accomplished in open market transactions. As of December 31, 2019 , the maximum number of shares remaining authorized for repurchase under the 2019 Program was 917,233 , at an aggregate purchase price not to exceed $43.9 million . In addition, it is BMBC’s practice to retire shares to its treasury account upon the vesting of stock awards to certain officers, in order to cover the statutory income tax withholdings related to such vesting. E. Regulatory Capital Ratios As set forth in the following table, quantitative measures have been established to ensure capital adequacy ratios required of both BMBC and the Bank. As of December 31, 2019 and 2018 , BMBC and the Bank had met all capital adequacy requirements to which they were subject. Federal banking regulators have defined specific capital categories, and categories range from a best of “well capitalized” to a worst of “critically under-capitalized.” Both BMBC and the Bank were classified as “well capitalized” as of December 31, 2019 and 2018 . The following table presents BMBC's and the Bank’s regulatory capital ratios and the minimum capital requirements for the Bank to be considered “Well Capitalized” by regulators as of December 31, 2019 and 2018 : Actual Minimum to be Well Capitalized (dollars in thousands) Amount Ratio Amount Ratio December 31, 2019 Total capital to risk weighted assets: BMBC $ 547,440 14.69 % $ 372,690 10.00 % Bank $ 450,212 12.09 % $ 372,435 10.00 % Tier I capital to risk weighted assets: BMBC $ 425,773 11.42 % $ 298,152 8.00 % Bank $ 427,250 11.47 % $ 297,948 8.00 % Common equity Tier I risk weighted assets: BMBC $ 404,715 10.86 % $ 242,249 6.50 % Bank $ 427,250 11.47 % $ 242,083 6.50 % Tier I leverage ratio (Tier I capital to total quarterly average assets): BMBC $ 425,773 9.33 % $ 228,216 5.00 % Bank $ 427,250 9.37 % $ 227,997 5.00 % December 31, 2018 Total capital to risk weighted assets: BMBC $ 500,375 14.30 % $ 349,918 10.00 % Bank $ 419,136 11.99 % $ 349,692 10.00 % Tier I capital to risk weighted assets: BMBC $ 382,151 10.92 % $ 279,934 8.00 % Bank $ 399,438 11.42 % $ 279,754 8.00 % Common equity Tier I to risk weighted assets: BMBC $ 361,256 10.32 % $ 227,446 6.50 % Bank $ 399,438 11.42 % $ 227,300 6.50 % Tier I leverage ratio (Tier I capital to total quarterly average assets): BMBC $ 382,151 9.06 % $ 210,830 5.00 % Bank $ 399,438 9.48 % $ 210,615 5.00 % The capital ratios for the Bank and BMBC as of December 31, 2019 and 2018 , as shown in the above tables, indicate levels above the regulatory minimum to be considered “well capitalized.” |
Selected Quarterly Financial Da
Selected Quarterly Financial Data (Unaudited) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Data [Abstract] | |
Selected Quarterly Financial Data (Unaudited) | Selected Quarterly Financial Data (Unaudited) 2019 (dollars in thousands, except per share data) 1 st Quarter 2 nd Quarter 3 rd Quarter 4 th Quarter Interest income $ 48,468 $ 48,388 $ 49,573 $ 46,960 Interest expense 10,821 11,777 12,175 10,975 Net interest income 37,647 36,611 37,398 35,985 Provision for loan and lease losses 3,736 1,627 919 2,225 Noninterest income 19,253 20,221 19,455 23,255 Noninterest expense 39,724 35,188 35,173 36,430 Income before income taxes 13,440 20,017 20,761 20,585 Income taxes 2,764 4,239 4,402 4,202 Net income 10,676 15,778 16,359 16,383 Net loss attributable to noncontrolling interest (1 ) (7 ) (1 ) (1 ) Net income attributable to Bryn Mawr Bank Corporation $ 10,677 $ 15,785 $ 16,360 $ 16,384 Basic earnings per common share (1) $ 0.53 $ 0.78 $ 0.81 $ 0.81 Diluted earnings per common share (1) $ 0.53 $ 0.78 $ 0.81 $ 0.81 Dividend paid or accrued $ 0.25 $ 0.25 $ 0.26 $ 0.26 2018 (dollars in thousands, except per share data) 1 st Quarter 2 nd Quarter 3 rd Quarter 4 th Quarter Interest income $ 43,534 $ 44,754 $ 45,233 $ 47,534 Interest expense 6,095 7,438 8,504 9,547 Net interest income 37,439 37,316 36,729 37,987 Provision for loan and lease losses 1,030 3,137 664 2,362 Noninterest income 19,536 20,075 18,274 18,097 Noninterest expense 36,030 35,836 33,592 34,845 Income before income taxes 19,915 18,418 20,747 18,877 Income taxes 4,630 3,723 4,066 1,746 Net income 15,285 14,695 16,681 17,131 Net (loss) income attributable to noncontrolling interest (1 ) 7 (1 ) (5 ) Net income attributable to Bryn Mawr Bank Corporation $ 15,286 $ 14,688 $ 16,682 $ 17,136 Basic earnings per common share (1) $ 0.76 $ 0.73 $ 0.82 $ 0.85 Diluted earnings per common share (1) $ 0.75 $ 0.72 $ 0.82 $ 0.84 Dividend paid or accrued $ 0.22 $ 0.22 $ 0.25 $ 0.25 (1) Earnings per share is computed independently for each period shown. As a result, the sum of the quarters may not equal the total earnings per share for the year. |
Parent Company - Only Financial
Parent Company - Only Financial Statements | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Parent Company - Only Financial Statements | Parent Company-Only Financial Statements The condensed financial statements of BMBC (parent company only) are presented below. These statements should be read in conjunction with the Notes to the Consolidated Financial Statements. A. Condensed Balance Sheets December 31, (dollars in thousands) 2019 2018 Assets: Cash and cash equivalents $ 93,250 $ 78,143 Investment securities 543 418 Investments in subsidiaries, as equity in net assets 638,770 606,023 Premises and equipment, net 1,993 2,091 Goodwill 245 245 Other assets 1,184 1,060 Total assets 735,985 687,980 Liabilities and shareholders’ equity: Subordinated notes 98,705 98,526 Junior subordinated debentures 21,753 21,580 Other liabilities 2,605 2,485 Total liabilities 123,063 122,591 Common stock, par value $1; authorized 100,000,000 shares; issued 24,650,051 and 24,545,348 shares as of December 31, 2019 and December 31, 2018, respectively, and outstanding of 20,126,296 and 20,163,816 as of December 31, 2019 and December 31, 2018, respectively 24,650 24,545 Paid-in capital in excess of par value 378,606 374,010 Less: Common stock in treasury at cost - 4,523,755 and 4,381,532 shares as of December 31, 2019 and December 31, 2018, respectively (81,174 ) (75,883 ) Accumulated other comprehensive income (loss), net of deferred income taxes 2,187 (7,513 ) Retained earnings 288,653 250,230 Total shareholders’ equity 612,922 565,389 Total liabilities and shareholders’ equity $ 735,985 $ 687,980 B. Condensed Statements of Income Year Ended December 31, (dollars in thousands) 2019 2018 2017 Dividends from subsidiaries $ 35,731 $ 30,900 $ 950 Net interest and other income 10,962 2,615 2,761 Total operating income 46,693 33,515 3,711 Expenses 10,517 3,527 2,782 Income before equity in undistributed income of subsidiaries 36,176 29,988 929 Equity in undistributed income of subsidiaries 23,048 32,779 21,053 Income before income taxes 59,224 62,767 21,982 Income tax expense (benefit) 18 (1,025 ) (1,034 ) Net income $ 59,206 $ 63,792 $ 23,016 C. Condensed Statements of Cash Flows Year Ended December 31, (dollars in thousands) 2019 2018 2017 Operating activities: Net income $ 59,206 $ 63,792 $ 23,016 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed income of subsidiaries (23,048 ) (32,779 ) (21,053 ) Depreciation and amortization 98 98 154 Stock-based compensation cost 3,725 2,750 2,068 Other, net 225 2,860 1,241 Net cash provided by operating activities 40,206 36,721 5,426 Investing Activities: Investment in subsidiaries — — (15,300 ) Net change in trading securities — 40 (58 ) Acquisitions, net of cash acquired — — 531 Net cash provided by (used in) investing activities — 40 (14,827 ) Financing activities: Dividends paid (20,685 ) (19,289 ) (14,799 ) Proceeds from issuance of subordinated notes — — 68,829 Net (purchase of) proceeds from sale of treasury stock for deferred compensation plans (172 ) 2 (115 ) Net purchase of treasury stock through publicly announced plans (4,524 ) (5,936 ) — Cash payments to taxing authorities on employees' behalf from shares withheld from stock-based compensation (625 ) (1,639 ) (1,140 ) Proceeds from exercise of stock options 907 1,464 1,498 Repurchase of treasury warrants — (1,755 ) — Net cash (used in) provided by financing activities (25,099 ) (27,153 ) 54,273 Change in cash and cash equivalents 15,107 9,608 44,872 Cash and cash equivalents at beginning of period 78,143 68,535 23,663 Cash and cash equivalents at end of period $ 93,250 $ 78,143 $ 68,535 |
Segment Information
Segment Information | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Segment Information | Segment Information FASB Codification 280 – “Segment Reporting” identifies operating segments as components of an enterprise which are evaluated regularly by the Corporation’s chief operating decision maker, our Chief Executive Officer, in deciding how to allocate resources and assess performance. The Corporation has applied the aggregation criterion set forth in this codification to the results of its operations. The Corporation’s Banking segment consists of commercial and retail banking. The Banking segment is evaluated as a single strategic unit which generates revenues from a variety of products and services. The Banking segment generates interest income from its lending (including leases) and investing activities and is dependent on the gathering of lower cost deposits from its branch network or borrowed funds from other sources for funding its loans, resulting in the generation of net interest income. The Banking segment also derives revenues from other sources including gains on the sale in available for sale investment securities, gains on the sale of residential mortgage loans, service charges on deposit accounts, cash sweep fees, overdraft fees, BOLI income and interchange revenue associated with its Visa Check Card offering. Also included in the Banking segment are two subsidiaries of the Bank, KCMI Capital, Inc. and Bryn Mawr Equipment Financing, Inc., both of which provide specialized lending solutions to our customers. The Wealth Management segment has responsibility for a number of activities within the Corporation, including trust administration, other related fiduciary services, custody, investment management and advisory services, employee benefits and IRA administration, estate settlement, tax services and brokerage. Bryn Mawr Trust of Delaware and Lau Associates are included in the Wealth Management segment of the Corporation since they have similar economic characteristics, products and services to those of the Wealth Management Division of the Corporation. BMT Investment Advisers, formed in May 2017, which serves as investment adviser to BMT Investment Funds, a Delaware statutory trust, is also reported under the Wealth Management segment. Effective January 1, 2020, the business of Lau Associates, which is reported in the Wealth Management segment, was transitioned into the Wealth Management Division of the Bank, also reported in the Wealth Management segment. In addition, the Wealth Management Division oversees all insurance services of the Corporation, which are conducted through the Bank’s insurance subsidiary, BMT Insurance Advisors, Inc., and are reported in the Wealth Management segment. The accounting policies of the Corporation are applied by segment in the following tables. The segments are presented on a pre-tax basis. The following table details the Corporation’s segments: As of or for the Year Ended December 31, 2019 2018 2017 (dollars in thousands) Banking Wealth Management Consolidated Banking Wealth Management Consolidated Banking Wealth Consolidated Net interest income $ 147,635 $ 6 $ 147,641 $ 149,464 $ 7 $ 149,471 $ 115,124 $ 3 $ 115,127 Provision for loan and lease losses 8,507 — 8,507 7,193 — 7,193 2,618 — 2,618 Net interest income after loan loss provision 139,128 6 139,134 142,271 7 142,278 112,506 3 112,509 Noninterest income: Fees for wealth management services — 44,400 44,400 — 42,326 42,326 — 38,735 38,735 Insurance commissions — 6,877 6,877 — 6,808 6,808 — 4,589 4,589 Capital markets revenue 11,276 — 11,276 4,848 — 4,848 2,396 — 2,396 Service charges on deposit accounts 3,374 — 3,374 2,989 — 2,989 2,608 — 2,608 Loan servicing and other fees 2,206 — 2,206 2,259 — 2,259 2,106 — 2,106 Net gain on sale of loans 2,342 — 2,342 3,283 — 3,283 2,441 — 2,441 Net gain on sale of investment securities available for sale — — — 7 — 7 101 — 101 Net (loss) gain on sale of OREO (84 ) — (84 ) 295 — 295 (104 ) — (104 ) Other operating income 11,687 106 11,793 12,981 186 13,167 6,063 197 6,260 Total noninterest income 30,801 51,383 82,184 26,662 49,320 75,982 15,611 43,521 59,132 Noninterest expenses: Salaries & wages 54,076 20,295 74,371 46,936 19,735 66,671 36,559 16,692 53,251 Employee benefits 9,572 3,884 13,456 9,046 3,872 12,918 6,350 3,820 10,170 Occupancy and bank premise 10,547 2,044 12,591 9,588 2,011 11,599 8,208 1,698 9,906 Amortization of intangible assets 1,309 2,492 3,801 1,555 2,101 3,656 783 1,951 2,734 Professional fees 4,840 594 5,434 3,747 456 4,203 2,998 270 3,268 Other operating expenses 30,599 6,263 36,862 35,928 5,328 41,256 30,605 4,461 35,066 Total noninterest expenses 110,943 35,572 146,515 106,800 33,503 140,303 85,503 28,892 114,395 Segment profit 58,986 15,817 74,803 62,133 15,824 77,957 42,614 14,632 57,246 Intersegment (revenues) expenses (1) (613 ) 613 — (715 ) 715 — (448 ) 448 — Pre-tax segment profit after eliminations $ 58,373 $ 16,430 $ 74,803 $ 61,418 $ 16,539 $ 77,957 $ 42,166 $ 15,080 $ 57,246 % of segment pre-tax profit after eliminations 78.0 % 22.0 % 100.0 % 78.8 % 21.2 % 100.0 % 73.7 % 26.3 % 100.0 % Segment assets (dollars in millions) $ 5,210.4 $ 52.9 $ 5,263.3 $ 4,601.7 $ 50.8 $ 4,652.5 $ 4,398.5 $ 51.2 $ 4,449.7 (1) Inter-segment revenues consist of rental payments, interest on deposits and management fees. Wealth Management Segment Information (dollars in millions) December 31, December 31, Assets under management, administration, supervision and brokerage $ 16,548.1 $ 13,429.5 |
Summary of Significant Accoun_2
Summary of Significant Accounting Policies (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Accounting Policies [Abstract] | |
Nature of Business | Nature of Business The Bryn Mawr Trust Company (the “Bank”) received its Pennsylvania banking charter in 1889 and is a member of the Federal Reserve System. In 1986, Bryn Mawr Bank Corporation (“BMBC”) was formed and on January 2, 1987, the Bank became a wholly-owned subsidiary of BMBC. The Bank and BMBC are headquartered in Bryn Mawr, Pennsylvania, located in the western suburbs of Philadelphia. BMBC and its direct and indirect subsidiaries (collectively, the “Corporation”) offer a full range of personal and business banking services, consumer and commercial loans, equipment leasing, mortgages, insurance and wealth management services, including investment management, trust and estate administration, retirement planning, custody services, and tax planning and preparation from 43 banking locations, seven wealth management offices and two insurance and risk management locations in the following counties: Montgomery, Chester, Delaware, Philadelphia, and Dauphin Counties in Pennsylvania; New Castle County in Delaware; and Mercer and Camden Counties in New Jersey. The common stock of BMBC trades on the NASDAQ Stock Market (“NASDAQ”) under the symbol BMTC. |
Basis of Presentation and Principles of Consolidation | Basis of Presentation and Principles of Consolidation The accounting policies of the Corporation conform to U.S. generally accepted accounting principles (“GAAP”). The Consolidated Financial Statements include the accounts of BMBC and its consolidated subsidiaries. BMBC’s primary subsidiary is the Bank. The Corporation’s consolidated financial condition and results of operations consist almost entirely of the Bank’s financial condition and results of operations. In connection with the RBPI Merger, the Corporation acquired two Delaware trusts, Royal Bancshares Capital Trust I and Royal Bancshares Capital Trust II. These two entities are not consolidated per requirements under Financial Accounting Standards Board (“FASB”) Accounting Standards Codification (“ASC”) Topic 810, “Consolidation” (“ASC Topic 810”). All significant intercompany balances and transactions are eliminated in consolidation and certain reclassifications are made when necessary in order to conform the previous years' consolidated financial statements to the current year's presentation. |
Cash and Cash Equivalents | Cash and Cash Equivalents |
Investment Securities | Investment Securities Investment securities which are held for indefinite periods of time, which the Corporation intends to use as part of its asset/liability strategy, or which may be sold in response to changes in credit quality of the issuer, interest rates, changes in prepayment risk, increases in capital requirements, or other similar factors, are classified as available for sale and are carried at fair value. Net unrealized gains and losses for such securities, net of tax, are required to be recognized as a separate component of shareholders’ equity and excluded from determination of net income. Gains or losses on disposition are based on the net proceeds and cost of the securities sold, adjusted for the amortization of premiums and accretion of discounts, using the specific identification method. The Corporation follows ASC 370-10-65-1 “Recognition and Presentation of Other-Than-Temporary Impairments” that provides guidance related to accounting for recognition of other-than-temporary impairment for debt securities and expands disclosure requirements for other-than-temporarily impaired debt and equity securities. Companies are required to record other-than-temporary impairment charges through earnings if they have the intent to sell, or will more likely than not be required to sell, an impaired debt security before a recovery of its amortized cost basis. In addition, companies are required to record other-than-temporary impairment charges through earnings for the amount of credit losses, regardless of the intent or requirement to sell. Credit loss is measured as the difference between the present value of an impaired debt security’s cash flows and its amortized cost basis. Non-credit-related write-downs to fair value must be recorded as decreases to accumulated other comprehensive income as long as the Corporation has no intent, or it is more likely than not that the Corporation would not be required, to sell an impaired security before a recovery of its amortized cost basis. The Corporation did not have any other-than-temporary impairments for 2019 , 2018 or 2017 . Investments for which management has the intent and ability to hold until maturity are classified as held to maturity and are carried at their amortized cost on the balance sheet. No adjustment for market value fluctuations are recorded related to the held to maturity portfolio. Investment securities held in trading accounts consist of deferred compensation trust accounts, which are invested in listed mutual funds whose diversification is at the discretion of the deferred compensation plan participants. Investment securities held in trading accounts are reported at fair value, with adjustments in fair value reported through income. |
Loans Held for Sale | Loans Held for Sale Mortgage loans originated and intended for sale in the secondary market are carried at the lower of cost or fair value in the aggregate. Net unrealized temporary losses, if any, are recognized through a valuation allowance by charges to income. |
Portfolio Loans and Leases | Portfolio Loans and Leases The Corporation originates construction, commercial and industrial, commercial mortgage, residential mortgage, home equity and consumer loans to customers primarily in southeastern Pennsylvania, as well as small-ticket equipment leases to customers nationwide. Although the Corporation has a diversified loan and lease portfolio, its debtors’ ability to honor their contracts is substantially dependent upon the real estate and general economic conditions of the region. Loans and leases that management has the intention and ability to hold for the foreseeable future, or until maturity or pay-off, generally are reported at their outstanding principal balance adjusted for charge-offs, the allowance for loan and lease losses and any deferred fees or costs on originated loans and leases. Interest income is accrued on the unpaid principal balance. Loan and lease origination fees and loan and lease origination costs are deferred and recognized as an adjustment to the related yield using the interest method. The accrual of interest on loans and leases is generally discontinued at the time the loan is 90 days delinquent unless the credit is well secured and in the process of collection. Loans and leases are placed on nonaccrual status or charged-off at an earlier date if collection of principal or interest is considered doubtful. All interest accrued, but not collected for loans that are placed on nonaccrual status or charged-off is charged against interest income. All interest accrued, but not collected, on leases that are placed on nonaccrual status is not charged against interest income until the lease becomes 120 days delinquent, at which point it is charged off. The interest received on these nonaccrual loans and leases is applied to reduce the carrying value of loans and leases. Loans and leases are returned to accrual status when all the principal and interest amounts contractually due are brought current and remain current for at least six months, and future payments are reasonably assured. Once a loan returns to accrual status, any interest payments collected during the nonaccrual period which had been applied to the principal balance are reversed and recognized as interest income over the remaining term of the loan. Certain loans which have reached maturity and have been approved for extension or renewal, but for which all required documents have not been fully executed as of the reporting date, are classified as Administratively Delinquent and are not considered to be delinquent. These loans are reported as current in all disclosures. Loans acquired in mergers are recorded at their fair values. The difference between the recorded fair value and the principal value is accreted to interest income over the contractual lives of the loans in accordance with ASC 310-20. Certain acquired loans which were deemed to be credit impaired at acquisition are accounted for in accordance with ASC 310-30, as discussed below, in subsection H of this footnote. |
Allowance for Loan and Lease Losses | Allowance for Loan and Lease Losses The allowance for loan and lease losses (the “Allowance”) is established through a provision for loan and lease losses (the “Provision”) charged as an expense. The principal balances of loans and leases are charged against the Allowance when management believes that the principal is uncollectible. The Allowance is maintained at a level that the Corporation believes is sufficient to absorb estimated potential credit losses. Management’s determination of the adequacy of the Allowance is based on guidance provided in ASC 450 – Contingencies and ASC 310 - Receivables, and involves the periodic evaluations of the loan and lease portfolio and other relevant factors. However, this evaluation is inherently subjective as it requires significant estimates by management. Consideration is given to a variety of factors in establishing these estimates. Quantitative factors in the form of historical net charge-off rates by portfolio segment are considered. In connection with these quantitative factors, management establishes what it deems to be an adequate look-back period (“LBP”) for the charge-off history. As of December 31, 2019 , management utilized a five -year LBP, which it believes adequately captures the trends in charge-offs. In addition, management develops an estimate of a loss emergence period (“LEP”) for each segment of the loan portfolio. The LEP estimates the time between the occurrence of a loss event for a borrower and an actual charge-off of a loan. As of December 31, 2019 , management utilized a two-year LEP for its commercial loan segments, and a one-year LEP for its consumer loan segments, based on analyses of actual charge-offs tracked back in time to the triggering event for the eventual loss. In addition, various qualitative factors are considered, including the specific terms and conditions of loans, changes in underwriting standards, delinquency statistics, industry concentrations and overall exposure of a single customer. In addition, consideration is given to the adequacy of collateral, the dependence on collateral, and the results of internal loan reviews, including a borrower’s financial strengths, their expected cash flows, and their access to additional funds. As part of the process of calculating the Allowance for the different segments of the loan and lease portfolio, management considers certain credit quality indicators. For the commercial mortgage, construction, and commercial and industrial loan segments, periodic reviews of the individual loans are performed by both in-house staff as well as external third-party loan review specialists. The result of these reviews is reflected in the risk grade assigned to each loan. For the consumer segments of the loan portfolio, the indicator of credit quality is reflected by the performance/non-performance status of a loan. The evaluation process also considers the impact of competition, current and expected economic conditions, national and international events, the regulatory and legislative environment, and inherent risks in the loan and lease portfolio. All of these factors may be susceptible to significant change. To the extent actual outcomes differ from management’s estimates, an additional Provision may be required that might adversely affect the Corporation’s results of operations in future periods. In addition, various regulatory agencies, as an integral part of their examination processes, periodically review the adequacy of the Allowance. Such agencies may require the Corporation to record additions to the Allowance based on their judgment of information available to them at the time of their examination. |
Impaired Loans and Leases | Impaired Loans and Leases A loan or lease is considered impaired when, based on current information, it is probable that management will be unable to collect the contractually scheduled payments of principal or interest. When assessing impairment, management considers various factors, which include payment status, realizable value of collateral and the probability of collecting scheduled principal and interest payments when due. Loans and leases 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. For loans that indicate possible signs of impairment, which in most cases is based on the performance/non-performance status of the loan, an impairment analysis is conducted based on guidance provided by ASC 310-10. Impairment is measured by (i) the fair value of the collateral, if the loan is collateral-dependent, (ii) the present value of expected future cash flows discounted at the loan’s contractual effective interest rate, or (iii), less frequently, the loan’s obtainable market price. In addition to originating loans, the Corporation occasionally acquires loans through mergers or loan purchase transactions. Some of these acquired loans may exhibit deteriorated credit quality that has occurred since origination and, as such, management may not expect to collect all contractual payments. Accounting for these purchased credit-impaired (“PCI”) loans is done in accordance with ASC 310-30. The loans are recorded at fair value, reflecting the present value of the amounts expected to be collected. Income recognition on these loans is based on a reasonable expectation about the timing and amount of cash flows to be collected. Acquired loans deemed impaired and considered collateral-dependent, with the timing of the sale of loan collateral indeterminate, remain on nonaccrual status and have no accretable yield. On a regular basis, at least quarterly, PCI loans are assessed to determine if there has been any improvement or deterioration of the expected cash flows. If there has been improvement, an adjustment is made to increase the recognition of interest on the PCI loan, as the estimate of expected loss on the loan is reduced. Conversely, if there is deterioration in the expected cash flows of a PCI loan, a Provision is recorded in connection with the loan. |
Troubled Debt Restructurings (TDR's) | Troubled Debt Restructurings (“TDRs") A TDR occurs when a creditor, for economic or legal reasons related to a borrower’s financial difficulties, modifies the original terms of a loan or lease, or grants a concession to the borrower that it would not otherwise have granted. A concession may include an extension of repayment terms, a reduction in the interest rate, or the forgiveness of principal and/or accrued interest. If the debtor is experiencing financial difficulty and the creditor has granted a concession, the Corporation will make the necessary disclosures related to the TDR. In certain cases, a modification or concession may be made in an effort to retain a customer who is not experiencing financial difficulty. This type of modification is not considered a TDR. |
Other Real Estate Owned (OREO) | Other Real Estate Owned (“OREO”) OREO consists of assets that the Corporation has acquired through foreclosure by either accepting a deed in lieu of foreclosure, or by taking possession of assets that were used as loan collateral. The Corporation reports OREO on the balance sheet as part of other assets, at the lower of cost or fair value less cost to sell, adjusted periodically based on current appraisals. Costs relating to the development or improvement of assets, as well as the costs required to obtain legal title to the property, are capitalized, while costs related to holding the property are charged to expense as incurred. |
Other Investments and Equity Stocks Without a Readily Determinable Fair Value | Other Investments and Equity Stocks Without a Readily Determinable Fair Value |
Premises and Equipment | Premises and Equipment Premises and equipment are stated at cost, less accumulated depreciation. Depreciation and predetermined rent are recorded using the straight-line method over the estimated useful lives of the assets. Leasehold improvements are amortized over the expected lease term or the estimated useful lives, whichever is shorter. |
Operating Leases | Operating Leases The Corporation’s operating leases consist of various retail branch locations and corporate offices. Management determines if an arrangement is a lease at inception. Operating leases are included in operating lease right-of-use assets (“ROU assets”) and operating lease liabilities in our Consolidated Balance Sheets. ROU assets and operating lease liabilities are recognized at the lease commencement date. Operating lease liabilities represent the present value of unpaid lease payments, including extension options that the Corporation is reasonably certain will be exercised. As the majority of our leases do not provide an implicit rate, we use our estimated incremental borrowing rate at the lease commencement date to determine the present value of unpaid lease payments. ROU assets represent our right to use underlying assets and are recorded as operating lease liabilities adjusted for prepayments or accrued lease payments, initial direct costs, lease incentives, and impairment of ROU assets. The Corporation’s leases include fixed rental payments, and certain of our leases also include variable rental payments where lease payments may increase at pre-determined dates based on the change in the consumer price index. The Corporation’s lease agreements include gross leases as well as leases in which we make separate payments to the lessor for items such as the property taxes assessed on the property or a portion of the common area maintenance associated with the property. We have elected the practical expedient not to separate lease and non-lease components for all of our building leases. The Corporation also elected to not recognize ROU assets and lease liabilities for short-term leases, which consist of certain leases of the Corporation’s limited-hour retirement community offices. On January 1, 2019, the Corporation adopted ASU 2016-02 (Topic 842), “Leases”, as further explained in Note 2, Recent Accounting Pronouncements. The Corporation’s operating leases consist of various retail branch locations and corporate offices. As of December 31, 2019 , the Corporation’s leases have remaining lease terms ranging from nine months to 23 years , including extension options that the Corporation is reasonably certain will be exercised. The Corporation’s leases include fixed rental payments, and certain of our leases also include variable rental payments where lease payments may increase at pre-determined dates based on the change in the consumer price index. The Corporation’s lease agreements include gross leases as well as leases in which we make separate payments to the lessor for items such as the property taxes assessed on the property or a portion of the common area maintenance associated with the property. We have elected the practical expedient not to separate lease and non-lease components for all of our building leases. The Corporation also elected to not recognize ROU assets and lease liabilities for short-term leases, which consist of certain leases of the Corporation’s limited-hour retirement community offices. As of December 31, 2019 the Corporation’s ROU assets and related lease liabilities were $41.0 and $45.3 , respectively. The components of lease expense were as follows: Year Ended (dollars in thousands) Operating lease expense $ 5,295 Short term lease expense 59 Variable lease expense 1,795 Sublease income (32 ) Total lease expense $ 7,117 Supplemental cash flow information related to leases was as follows: Year Ended (dollars in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 5,174 ROU assets obtained in exchange for lease liabilities 44,609 Maturities of operating lease liabilities under FASB ASC 842 “Leases” as of December 31, 2019 are as follows: December 31, 2019 (dollars in thousands) 2019 $ 4,705 2020 4,479 2021 4,200 2022 4,047 2023 4,076 2024 and thereafter 37,308 Total lease payments 58,815 Less: imputed interest 13,557 Present value of operating lease liabilities $ 45,258 As of December 31, 2019 , the weighted-average remaining lease term, including extension options that the Corporation is reasonably certain will be exercised, for all operating leases is 14.26 years . Because we generally do not have access to the rate implicit in the lease, we utilize our incremental borrowing rate as the discount rate. The weighted average discount rate associated with operating leases as of December 31, 2019 is 3.57% . As of December 31, 2019 , the Corporation had not entered into any material leases that have not yet commenced. |
Pension and Postretirement Benefit Plan | Pension and Postretirement Benefit Plan As of December 31, 2019 , the Corporation had two non-qualified defined-benefit supplemental executive retirement plans and a postretirement benefit plan as discussed in Note 16, “Pension and Postretirement Benefit Plans,” in the accompanying Notes to the Consolidated Financial Statements in this Annual Report on Form 10-K. Net pension expense related to the defined-benefit consists of service cost, interest cost, return on plan assets, amortization of prior service cost, amortization of transition obligations and amortization of net actuarial gains and losses. As it relates to the costs associated with the post-retirement benefit plan, the costs are recognized as they are incurred. |
Bank Owned Life Insurance (BOLI) | Bank Owned Life Insurance (“BOLI”) BOLI is recorded at its cash surrender value. Income from BOLI is tax-exempt and included as a component of noninterest income. |
Derivative Financial Instruments | Derivative Financial Instruments The Corporation recognizes all derivative financial instruments on its balance sheet at fair value. Derivatives that are not hedges must be adjusted to fair value through income. The Corporation enters into interest rate swaps that allow commercial loan customers to effectively convert a variable-rate commercial loan agreement to a fixed-rate commercial loan agreement. Under these agreements, the Corporation originates variable-rate loans with customers in addition to interest rate swap agreements, which serve to effectively swap the customers’ variable-rate loans into fixed-rate loans. The Corporation then enters into corresponding swap agreements with swap dealer counterparties to economically hedge its exposure on the variable and fixed components of the customer agreements. The interest rate swaps with both the customers and third parties are not designated as hedges under FASB ASC 815 and are marked to market through earnings. As the interest rate swaps are structured to offset each other, changes to the underlying benchmark interest rates considered in the valuation of these instruments do not result in an impact to earnings; however, there may be fair value adjustments related to credit quality variations between counterparties, which may impact earnings as required by FASB ASC 820. In addition to interest rate swaps with customers, the Corporation may also enter into a risk participation agreement with another institution as a means to assume a portion of the credit risk associated with a loan structure which includes a derivative instrument, in exchange for fee income commensurate with the risk assumed. This type of derivative is referred to as an “RPA sold.” In addition, in an effort to reduce the credit risk associated with an interest rate swap agreement with a borrower for whom the Corporation has provided a loan structured with a derivative, the Corporation may purchase a risk participation agreement from an institution participating in the facility in exchange for a fee commensurate with the risk shared. This type of derivative is referred to as an “RPA purchased.” If a derivative has qualified as a hedge, depending on the nature of the hedge, changes in the fair value of the derivative are either offset against the change in fair value of the hedged assets, liabilities, or firm commitments through earnings, or recognized in other comprehensive income until the hedged item is recognized in earnings. The ineffective portion of a derivative’s change in fair value is recognized in earnings immediately. To determine fair value, management uses valuations obtained from a third party which utilizes a pricing model that incorporates assumptions about market conditions and risks that are current as of the reporting date. Management reviews, annually, the inputs utilized by its independent third-party valuation organization. The Corporation may use interest-rate swap agreements to modify the interest rate characteristics from variable to fixed, or fixed to variable, in order to reduce the impact of interest rate changes on future net interest income. If present, the Corporation accounts for its interest-rate swap contracts in cash flow hedging relationships by establishing and documenting the effectiveness of the instrument in offsetting the change in cash flows of assets or liabilities that are being hedged. To determine effectiveness, the management performs an analysis to identify if changes in fair value or cash flow of the derivative correlate to the equivalent changes in the forecasted interest receipts or payments related to a specified hedged item. Recorded amounts related to interest-rate swaps are included in other assets or liabilities. The change in fair value of the ineffective part of the instrument would need to be charged to the Statement of Income, potentially causing material fluctuations in reported earnings in the period of the change relative to comparable periods. In a fair value hedge, the fair value of the interest rate swap agreements and changes in the fair value of the hedged items are recorded in the Corporation’s consolidated balance sheets with the corresponding gain or loss being recognized in current earnings. The difference between changes in the fair values of interest rate swap agreements and the hedged items represents hedge ineffectiveness, and is recorded in net interest income in the statement of income. Management performs an assessment, both at the inception of the hedge and quarterly thereafter, to determine whether these derivatives are highly effective in offsetting changes in the value of the hedged items. |
Accounting for Stock-Based Compensation | Accounting for Stock-Based Compensation Stock-based compensation cost is measured at the grant date, based on the fair value of the award and is recognized as an expense over the vesting period. All share-based payments, including grants of stock options, restricted stock awards and performance-based stock awards, are recognized as compensation expense in the statement of income at their fair value. The fair value of stock option grants is determined using the Black-Scholes pricing model which considers the expected life of the options, the volatility of our stock price, risk-free interest rate and annual dividend yield. The fair value of the restricted stock awards and performance-based awards whose performance is measured based on an internally produced metric is based on their closing price on the grant date, while the fair value of the performance-based stock awards which use an external measure, such as total stockholder return, is based on their grant-date market value adjusted for the likelihood of attaining certain pre-determined performance goals and is calculated by utilizing a Monte Carlo Simulation model. |
Earnings per Common Share | Earnings per Common Share Basic earnings per common share excludes dilution and is computed by dividing income available to common shareholders by the weighted-average common shares outstanding during the period. Diluted earnings per common share takes into account the potential dilution that would occur if in-the-money stock options were exercised and converted into shares of common stock and restricted stock awards and performance-based stock awards were vested. Proceeds assumed to have been received on options exercises are assumed to be used to purchase shares of BMBC’s common stock at the average market price during the period, as required by the treasury stock method of accounting. The effects of stock options are excluded from the computation of diluted earnings per share in periods in which the effect would be antidilutive. |
Income Taxes | Income Taxes Income taxes are accounted for under the asset and liability method. Deferred tax assets and liabilities are recognized for the future tax consequences attributable to differences between the carrying amounts of existing assets and liabilities and their respective tax bases and operating loss and tax credit carry-forwards. Deferred tax assets and liabilities are measured using enacted tax rates expected to apply to taxable income in the years in which those temporary differences are expected to be recovered or settled. The effect on deferred tax assets and liabilities of a change in tax rates is recognized in income in the period that includes the enactment date. Net deferred tax assets are included within the other assets line item on the Consolidated Balance Sheets. The Corporation recognizes the benefit of a tax position only after determining that the Corporation would more-likely-than-not sustain the position following an examination. For tax positions meeting the more-likely-than-not threshold, the amount recognized in the Consolidated Financial Statements is the largest benefit that has a greater than 50 percent likelihood of being realized upon settlement with the relevant tax authority. Management applies these criteria to tax positions for which the statute of limitations remains open. |
Revenue Recognition | Revenue Recognition With the exception of nonaccrual loans and leases, the Corporation recognizes all sources of income on the accrual method. Additional information relating to wealth management fee revenue recognition follows: The Corporation earns wealth management fee revenue from a variety of sources including fees from trust administration and other related fiduciary services, custody, investment management and advisory services, employee benefit account and IRA administration, estate settlement, tax service fees, shareholder service fees and brokerage. These fees are generally based on asset values and fluctuate with the market. Some revenue is not directly tied to asset value but is based on a flat fee for services provided. For many of our revenue sources, amounts are not received in the same accounting period in which they are earned. However, each source of wealth management fees is recorded on the accrual method of accounting. The most significant portion of the Corporation’s wealth management fees is derived from trust administration and other related services, custody, investment management and advisory services, and employee benefit account and IRA administration. These fees are generally billed monthly, in arrears, based on the market value of assets at the end of the previous billing period. A smaller number of customers are billed in a similar manner, but on a quarterly or annual basis, and some revenues are not based on market values. The balance of the Corporation’s wealth management fees includes estate settlement fees and tax service fees, which are recorded when the related service is performed, and asset management and brokerage fees on non-depository investment products, which are received one month in arrears, based on settled transactions, but are accrued in the month the settlement occurs. Included in other assets on the balance sheet is a receivable for wealth management fees that have been earned but not yet collected. Insurance revenue is primarily related to commissions earned on insurance policies and is recognized over the related policy coverage period. |
Mortgage Servicing | Mortgage Servicing A portion of the residential mortgage loans originated by the Corporation is sold to third parties; however, the Corporation may retain the servicing rights related to these loans. A fee, usually based on a percentage of the outstanding principal balance of the loan, is received in return for these services. Gains on the sale of these loans are based on the specific identification method. An intangible asset, referred to as mortgage servicing rights (“MSRs") is recognized when a loan’s servicing rights are retained upon sale of a loan. These MSRs amortize to noninterest expense in proportion to, and over the period of, the estimated future net servicing life of the underlying loans. MSRs are evaluated quarterly for impairment based upon the fair value of the rights as compared to their amortized cost. Impairment is determined by stratifying the MSRs by predominant characteristics, such as interest rate and terms. Fair value is determined based upon discounted cash flows using market-based assumptions. Impairment is recognized on the income statement to the extent the fair value is less than the capitalized amount for the stratum. A valuation allowance is utilized to record temporary impairment in MSRs. Temporary impairment is defined as impairment that is not deemed permanent. Permanent impairment is recorded as a reduction of the MSR and is not reversed. |
Goodwill and Intangible Assets | Goodwill and Intangible Assets The Corporation accounts for goodwill and intangible assets in accordance with ASC 350, “Intangibles – Goodwill and Other.” The amount of goodwill initially recorded is based on the fair value of the acquired entity at the time of acquisition. Management performs goodwill and intangible assets impairment testing annually, as of October 31, or when events occur or circumstances change that would more likely than not reduce the fair value of the acquisition or investment. Goodwill impairment is tested on a reporting unit level. The Corporation currently has three reporting units: Banking, Wealth Management and Insurance. As of December 31, 2019 , the Insurance reporting unit did not meet the quantitative thresholds for separate disclosure as an operating segment, and is therefore reported as a component of the Wealth Management segment, based on its internal reporting structure. While the Insurance reporting unit did not meet the threshold for reporting as a separate operating segment for goodwill testing, the Insurance segment was tested for impairment. An operating segment is a component of an enterprise that engages in business activities from which it may earn revenues and incur expenses, whose operating results are regularly reviewed by the enterprise’s chief operating decision makers to make decisions about resources to be allocated to the segment and assess its performance, and for which discrete financial information is available. Management’s impairment testing methodology is consistent with the methodology prescribed in ASC 350. Management completes a goodwill impairment analysis at least on an annual basis, or more often if events and circumstances indicate that there may be impairment. Management also reviews other intangible assets with finite lives for impairment if events and circumstances indicate that the carrying value may not be recoverable. |
New Accounting Pronouncements | Adopted Pronouncements in 2019: FASB ASU 2016-02 (Topic 842), “Leases” In February 2016, the FASB established Topic 842, Leases, by issuing ASU 2016-02, which requires lessees to recognize leases on-balance sheet and disclose key information about leasing arrangements. Topic 842 was subsequently amended by ASU 2018-01, Land Easement Practical Expedient for Transition to Topic 842; ASU 2018-10, Codification Improvements to Topic 842, Leases; and ASU 2018-11, Targeted Improvements. The new standard establishes a right-of-use model (ROU) that requires a lessee to recognize a ROU asset and lease liability on the balance sheet for all leases with a term longer than 12 months. Leases will be classified as finance or operating, with classification affecting the pattern and classification of expense recognition in the income statement. The new standard became effective for us on January 1, 2019. A modified retrospective transition approach is required, applying the new standard to all leases existing at the date of initial application. Management has elected to use the effective date as its date of initial application. Consequently, financial information will not be updated, and the disclosures required under the new standard will not be provided for dates and periods before January 1, 2019. The new standard provided a number of optional practical expedients in transition. We have elected the ‘package of practical expedients’, which permitted us not to reassess under the new standard our prior conclusions about lease identification, lease classification and initial direct costs. This standard will have a material effect on our Consolidated Balance Sheet and related disclosures but is not expected to have a material impact on our Consolidated Statement of Income. Any additional assets recorded as a result of adoption is expected to have a negative impact on the Corporation and Bank capital ratios under current regulatory guidance. On adoption, we have: • recognized operating lease liabilities of approximately $49.1 million , with corresponding ROU assets of the same amount, based on the present value of the remaining minimum rental payments under current leasing standards for existing operating leases, and • derecognized $541 thousand of favorable lease assets, $2.2 million in unfavorable lease liabilities, and $2.5 million in deferred rent, with a corresponding adjustment to the ROU asset for the same amounts. The new standard also provides practical expedients for an entity’s ongoing accounting. We have elected the short-term lease recognition exemption for all leases that qualify. This means, for those leases that qualify, we will not recognize ROU assets or lease liabilities, and this includes not recognizing ROU assets or lease liabilities for existing short-term leases of those assets in transition. We also have elected the practical expedient to not separate lease and non-lease components for all of our leases. FASB ASU 2018-07, “Improvements to Nonemployee Share-Based Payment Accounting” Issued in June 2018, ASU 2018-07: Compensation - Stock Compensation (Topic 718), “ Improvements to Nonemployee Share-Based Payment Accounting ” expands the scope of Topic 718 to include share-based payment transactions for acquiring goods and services from nonemployees. An entity should apply the requirements of Topic 718 to nonemployee awards except for specific guidance on inputs to an option pricing model and the attribution of cost (that is, the period of time over which share-based payment awards vest and the pattern of cost recognition over that period). The amendments specify that Topic 718 applies to all share-based payment transactions in which a grantor acquires goods or services to be used or consumed in a grantor’s own operations by issuing share-based payment awards. The amendments also clarify that Topic 718 does not apply to share-based payments used to effectively provide (1) financing to the issuer or (2) awards granted in conjunction with selling goods or services to customers as part of a contract accounted for under Topic 606, Revenue from Contracts with Customers. The amendments in this update became effective for us January 1, 2019. The adoption did not have an impact on our Consolidated Financial Statements and related disclosures as the Corporation has not historically granted share based payment awards to nonemployees other than to the Corporation’s Board of Directors, who are treated as employees for share-based payment accounting. FASB ASU 2018-15 (Topic 350), "Intangibles - Goodwill and Other - Internal-Use Software" Issued in August 2018, ASU 2018-15 provides clarity on capitalizing and expensing implementation costs for cloud computing arrangements in a service contract. If an implementation cost is capitalized, the cost should be recognized over the noncancellable term and periodically assessed for impairment. The guidance is effective in annual and interim periods in fiscal years beginning after December 15, 2019. Early adoption is permitted. Adoption should be applied retrospectively or prospectively to all implementation costs incurred after the date of adoption. The Corporation early adopted ASU 2018-15 in the third quarter of 2019 and the adoption did not have a material impact on our Consolidated Financial Statements and related disclosures as the Corporation has historically evaluated implementation costs for capitalization of cloud computing arrangements using the framework applicable to costs incurred to develop or obtain internal-use software as required by ASU 2018-15. Pronouncements Not Effective as of December 31, 2019 : FASB ASU 2016-13 (Topic 326), “Measurement of Credit Losses on Financial Instruments” Issued in June 2016, ASU 2016-13 (Topic 326 - Credit Losses), commonly referenced as the Current Expected Credit Loss (“CECL”), eliminates the Provision for Loan and Lease Losses (the “Provision”) and Allowance for Loan and Lease Losses (the “Allowance”) line items and establishes the Provision for Credit Losses ("PCL") and Allowance for Credit Losses ("ACL") line items. Under the legacy “Incurred Loss” notion, management presents an Allowance intended to represent “probable and estimable” incurred but not yet realized credit losses on assets in scope. When management deems collection of contractual cashflows for an instrument unlikely, a specific reserve is calculated under ASC 310-10. Management further calculates a general reserve for performing assets under ASC 450-20, using historical loss experience and adjustments for several qualitative factors, including current economic conditions. The “Incurred Loss” standard does not allow for projections beyond the likely ‘emergence period’ of losses, or for forward-looking economic conditions; for example, loss contingencies in 2022 are not currently presented, nor is the presentation adjusted for the likelihood of future economic condition change. In contrast, the future accounting standard requires projection of credit loss over the contract lifetime of the asset, adjusted for prepayment tendencies. Further, management’s specific expectations for the future economic environment must be incorporated in the projection, with loss expectations to revert to the long-run historical mean after such time as management can make or obtain a reasonable and supportable forecast. This valuation reserve will be established in the ACL and maintained through expense (provision) in the PCL. CECL became effective for the Corporation on January 1, 2020 and will change the way we estimate credit losses for loans and leases, including off-balance sheet (“OBS”) credit exposures, for reporting periods beginning on or after January 1, 2020. The Corporation has engaged with a leading vendor to assist in computing and establishing the ACL to operationalize the practice for establishing the ACL. Management’s methodology for estimating the ACL under CECL includes the use of relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historical credit loss experience, including examination of loss experience at representative peer institutions when the Corporation’s first-party loss history does not result in estimations that are meaningful to users of the Corporation’s Consolidated Financial Statements, provides the basis for the estimation of expected credit losses. Adjustments to historical loss information are considered for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or term, as well as for changes in environmental conditions, such as changes in unemployment rates, property values, or other relevant factors. Ongoing evaluations have been performed by discounting instrument-level cashflows adjusted for timing (e.g. prepayments and curtailments) and credit (default and loss) expectations. For portfolio segments that do not provide adequate loss history (with or without peer information), management expects to use a weighted average remaining maturity methodology, which contemplates loss expectations on a pool basis, relying on historic loss rates. Management is validating the Corporation's CECL model and methodologies, however we expect an initial increase to the ACL, including reserves for unfunded commitments, not to exceed 130% of the December 31, 2019 Allowance, or an incremental increase to the December 31, 2019 Allowance of approximately $6.8 million . When finalized, this one-time increase as a result of the adoption of CECL will be recorded, net of tax, as an adjustment to retained earnings effective January 1, 2020. This estimate is subject to change based on continuing refinement and validation of the model and methodologies. Financial statement users should be aware that the ACL is, by design, inherently sensitive to changes in economic outlook, loan and lease portfolio composition, portfolio duration, and other factors. Ongoing impacts of the CECL methodology are dependent on the following factors, among others, which could lead to a material impact to the ACL and PCL - in either direction - in future reporting periods: • Increases / decreases to the time period management deems reasonably and supportably forecastable • Inclusion / exclusion of forecast factors • Adverse changes to reasonable and supportable forecasts • Detectable increases / decreases in the Corporation’s or comparable industry credit loss parameters • Deterioration / improvement in the risk profile of the Corporation’s loan and lease portfolio • Decreased / increased prepayment behavior or other factors impacting loan and lease portfolio duration • Changes in credit risk through the ordinary course of operations, such as launch or expansion of higher risk-bearing products • Interest rate fluctuations impacting effective yield on certain instruments. Management cautions that this list is not exhaustive. Further, the impact of accounting treatment changes for establishing the ACL for purchased assets under future acquisitions may lead to a material impact to the ACL and PCL in future reporting periods. Ongoing financial statement behavior will be impacted by the standard, regardless of any cumulative-effect adjustment at adoption. Under our currently contemplated cashflow projection model, assets will originate with a specific allocation for the contract life of that instrument, adjusted for prepayment behavior and probabilistic credit performance expectations to arrive at an expected cashflow projection. All else being equal, as that continues toward its contract maturity, estimates of lifetime credit loss at the instrument level will decrease. Under steady-state conditions, portfolio-segment-level aggregation of management’s expected loss estimates should be stable or track with portfolio-segment growth (contraction and runoff). When management’s expectations of the likely future economic environment change based on reasonable and supportable forecasts, portfolio allocation may increase (decrease) rapidly between periods. The establishment of the ACL will be more responsive to deteriorating (improving) economic conditions than prior establishment of the ALLL, which is based on historical experience and agnostic to future conditions. In dynamic economic environments, users of financial statements should expect expense (income) in the PCL to be concentrated in fewer quarters than was typical for the PLLL. Users of financial statements should be aware that this accounting treatment does not determine the ultimate, realized loss or recovery for assets in scope; ASU 2016-13 impacts timing. Specific reserve impact to instruments meeting the legacy “impairment” criteria are not anticipated to materially change. FASB ASU 2017-04 (Topic 350), “Intangibles – Goodwill and Others” Issued in January 2017, ASU 2017-04 simplifies how an entity is required to test goodwill for impairment by eliminating Step 2 from the goodwill impairment test. Step 2 measures a goodwill impairment loss by comparing the implied fair value of a reporting unit’s goodwill with the carrying amount of that goodwill. ASU 2017-04 became effective for the Corporation on January 1, 2020. Management does not expect the adoption of this ASU to have a material impact on our Consolidated Financial Statements and related disclosures. FASB ASU 2018-12 (Topic 944), “Targeted Improvements to the Accounting for Long-Duration Contracts” Issued in August 2018, ASU 2018-12 makes targeted improvements to the existing recognition, measurement, presentation, and disclosure requirements for long-duration contracts issued by an insurance entity. Specifically, the ASU is intended to 1) improve the timeliness of recognizing changes in the liability for future policy benefits and modify the rate used to discount future cash flows, 2) simplify and improve the accounting for certain market-based options or guarantees associated with deposit (or account balance) contracts, 3) simplify the amortization of deferred acquisition costs, and 4) improve the effectiveness of the required disclosures. ASU 2018-12 is effective for public business entities for fiscal years, and interim periods within those fiscal years, beginning after December 15, 2020. Early application of the amendments is permitted. As an independent insurance agent, the Corporation does not issue insurance contracts. As a result, management does not expect the adoption of this ASU to have an impact on our Consolidated Financial Statements and related disclosures. FASB ASU 2018-13, "Fair Value Measurement Disclosure Framework" Issued in August 2018, ASU 2018-13 modifies, adds and removes certain disclosures aimed to improve the overall usefulness of the disclosure requirements for fair value measurements. ASU 2018-13 became effective for the Corporation on January 1, 2020. Adoption is required on both a prospective and retrospective basis depending on the amendment. Management does not expect the adoption of this ASU to have a material impact on our Consolidated Financial Statements and related disclosures. FASB ASU 2018-14 (Topic 715), "Compensation-Retirement Benefits - Defined Benefit Plans-General" Issued in August 2018, the ASU 2018-14, modifies, adds and removes certain disclosures aimed to improve the overall usefulness of the disclosure requirements to financial statement users. The guidance is effective for annual periods beginning after December 15, 2020. Early adoption is permitted. Use of the retrospective method is required. Management does not expect the adoption of this ASU to have a material impact on our Consolidated Financial Statements and related disclosures. FASB ASU 2019-04, “Codification Improvements to Topic 326, Financial Instruments - Credit Losses, Topic 815, Derivatives and Hedging, and Topic 825, Financial Instruments” Issued in April 2019, ASU 2019-04 clarifies certain aspects of accounting for credit losses, hedging activities, and financial instruments (addressed by ASUs 2016-13, 2017-12, and 2016-01, respectively). The amendments to estimating expected credit losses (ASU 2016-13), in particular, how a company considers recoveries and extension options when estimating expected credit losses, are the most relevant to the Corporation. The ASU clarifies that (1) the estimate of expected credit losses should include expected recoveries of financial assets, including recoveries of amounts expected to be written off and those previously written off, and (2) that contractual extension or renewal options that are not unconditionally cancellable by the lender are considered when determining the contractual term over which expected credit losses are measured. Management has incorporated recoveries and extension options when estimating expected credit losses under the CECL methodology further described above. FASB ASU 2019-12, “Income Taxes (Topic 740): Simplifying the Accounting for Income Taxes” Issued in December 2019, ASU 2019-12 adds new guidance to simplify accounting for income taxes, changes the accounting for certain income tax transactions and makes minor improvements to the codification. The guidance is effective for annual periods beginning after December 15, 2020. Early adoption is permitted. Management does not expect the adoption of this ASU to have a material impact on our Consolidated Financial Statements and related disclosures. |
Business Combinations (Tables)
Business Combinations (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Business Combinations [Abstract] | |
Schedule of Recognized Identified Assets Acquired and Liabilities Assumed | The following table details the consideration paid, the initial estimated fair value of identifiable assets acquired and liabilities assumed as of the date of acquisition and the resulting goodwill recorded: (dollars in thousands) Consideration paid: Cash paid at closing $ 750 Contingent payment liability (present value) 706 Value of consideration $ 1,456 Assets acquired: Cash and due from banks 370 Intangible assets - customer relationships 779 Premises and equipment 1 Other assets 316 Total assets 1,466 Liabilities assumed: Accounts payable 657 Other liabilities 30 Total liabilities $ 687 Net assets acquired $ 779 Goodwill resulting from acquisition of Domenick $ 677 In connection with the Hirshorn acquisition, the following table details the consideration paid, the initial estimated fair value of identifiable assets acquired and liabilities assumed as of the date of acquisition and the resulting goodwill recorded: (dollars in thousands) Consideration paid: Cash paid at closing $ 5,770 Contingent payment liability (present value) 1,690 Value of consideration 7,460 Assets acquired: Cash operating accounts 978 Intangible assets – trade name 195 Intangible assets – customer relationships 2,672 Intangible assets – non-competition agreements 41 Premises and equipment 1,795 Accounts receivable 192 Other assets 27 Total assets 5,900 Liabilities assumed: Accounts payable 800 Other liabilities 2 Total liabilities 802 Net assets acquired 5,098 Goodwill resulting from acquisition of Hirshorn $ 2,362 In connection with the RBPI Merger, the consideration paid and the estimated fair value of identifiable assets acquired and liabilities assumed as of the Effective Date, which include the effects of any measurement period adjustments in accordance with ASC 805-10, are summarized in the following table: (dollars in thousands) Consideration paid: Common shares issued (3,101,316) $ 136,768 Cash in lieu of fractional shares 7 Cash-out of certain options 112 Fair value of warrants assumed 1,853 Value of consideration $ 138,740 Assets acquired: Cash and due from banks 17,092 Investment securities available for sale 121,587 Loans 566,228 Premises and equipment 8,264 Deferred income taxes 34,823 Bank-owned life insurance 16,550 Core deposit intangible 4,670 Favorable lease asset 566 Other assets 13,611 Total assets $ 783,391 Liabilities assumed: Deposits 593,172 FHLB and other long-term borrowings 59,568 Short-term borrowings 15,000 Junior subordinated debentures 21,416 Unfavorable lease liability 322 Other liabilities 31,381 Total liabilities $ 720,859 Net assets acquired $ 62,532 Goodwill resulting from acquisition of RBPI $ 76,208 |
Business Acquisition, Pro Forma Information | The following pro forma income statements for the year ended December 31, 2017 present the pro forma results of operations of the combined institution (RBPI and the Corporation) as if the RBPI Merger occurred on January 1, 2017. The pro forma income statement adjustments are limited to the effects of fair value mark amortization and accretion and intangible asset amortization, and include the impacts of measurement period adjustments made in accordance with ASC 805-10. No cost savings or additional merger expenses have been included in the pro forma results of operations. Due to the immaterial contribution to net income of the Domenick and Hirshorn acquisitions, the pro forma effects of these acquisitions are excluded. Year Ended December 31, (dollars in thousands, except share and per share data) 2017 Total interest income $ 171,155 Total interest expense 20,065 Net interest income 151,090 Provision for loan and lease losses 3,454 Net interest income after provision for loan and lease losses 147,636 Total noninterest income 61,423 Total noninterest expenses (1) 140,756 Income before income taxes 68,303 Income tax expense 40,841 Net income $ 27,462 Per share data (2) : Weighted-average basic shares outstanding 20,248,879 Dilutive shares 257,591 Adjusted weighted-average diluted shares 20,506,470 Basic earnings per common share $ 1.36 Diluted earnings per common share $ 1.34 (1) Total noninterest expense includes RBPI Net Income Attributable to Noncontrolling Interest and Preferred Stock Series A Accumulated Dividend and Accretion for pro-forma presentation. (2) Assumes that the shares of RBPI common stock outstanding as of December 31, 2018 were outstanding for the full twelve month period ended December 31, 2017. |
Business Combination Integration Related Costs | The following table details the costs identified and classified as due diligence, merger-related and merger integration costs for the periods indicated: Year Ended December 31, (dollars in thousands) 2019 2018 2017 Advertising $ — $ 61 $ 180 Employee Benefits — 271 21 Occupancy and bank premises — 2,145 — Furniture, fixtures, and equipment — 365 109 Data processing — 421 837 Professional fees — 1,450 3,160 Salaries and wages — 852 1,285 Other — 2,196 512 Total due diligence, merger-related and merger integration expenses $ — $ 7,761 $ 6,104 |
Investment Securities (Tables)
Investment Securities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Investments, Debt and Equity Securities [Abstract] | |
Available-for-sale Securities | The amortized cost and fair value of investments, which were classified as available for sale , are as follows: As of December 31, 2019 (dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury securities $ 500,066 $ 35 $ — $ 500,101 Obligations of the U.S. government and agencies 102,179 193 (352 ) 102,020 Obligations of state and political subdivisions 5,366 13 — 5,379 Mortgage-backed securities 360,977 5,182 (157 ) 366,002 Collateralized mortgage obligations 31,796 195 (159 ) 31,832 Other investment securities 650 — — 650 Total $ 1,001,034 $ 5,618 $ (668 ) $ 1,005,984 As of December 31, 2018 (dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value U.S. Treasury securities $ 200,026 $ — $ (13 ) $ 200,013 Obligations of the U.S. government and agencies 198,604 107 (2,856 ) 195,855 Obligations of state and political subdivisions 11,372 3 (43 ) 11,332 Mortgage-backed securities 294,076 554 (4,740 ) 289,890 Collateralized mortgage obligations 40,150 141 (1,039 ) 39,252 Other investment securities 1,100 — — 1,100 Total $ 745,328 $ 805 $ (8,691 ) $ 737,442 |
Available-for-sale Securities, Continuous Unrealized Loss Position, Fair Value | The following tables present the aggregate amount of gross unrealized losses as of December 31, 2019 and December 31, 2018 on available for sale investment securities classified according to the amount of time those securities have been in a continuous unrealized loss position: As of December 31, 2019 Less than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Obligations of the U.S. government and agencies $ 48,497 $ (315 ) $ 7,966 $ (37 ) $ 56,463 $ (352 ) Mortgage-backed securities 33,783 (119 ) 5,977 (38 ) 39,760 (157 ) Collateralized mortgage obligations 6,978 (67 ) 10,861 (92 ) 17,839 (159 ) Total $ 89,258 $ (501 ) $ 24,804 $ (167 ) $ 114,062 $ (668 ) As of December 31, 2018 Less than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses U.S. Treasury securities $ 199,912 $ (13 ) $ — $ — $ 199,912 $ (13 ) Obligations of the U.S. government and agencies 12,916 (62 ) 140,506 (2,794 ) 153,422 (2,856 ) Obligations of state and political subdivisions — — 3,989 (43 ) 3,989 (43 ) Mortgage-backed securities 43,276 (352 ) 195,697 (4,388 ) 238,973 (4,740 ) Collateralized mortgage obligations 540 (1 ) 27,077 (1,038 ) 27,617 (1,039 ) Total $ 256,644 $ (428 ) $ 367,269 $ (8,263 ) $ 623,913 $ (8,691 ) |
Investments Classified by Contractual Maturity Date | The amortized cost and fair value of held to maturity investment securities as of December 31, 2019 and December 31, 2018 , by contractual maturity, are shown below: December 31, 2019 December 31, 2018 (dollars in thousands) Amortized Cost Fair Value Amortized Cost Fair Value Mortgage-backed securities (1) $ 12,577 $ 12,661 $ 8,684 $ 8,438 (1) Expected maturities of mortgage-related securities may differ from contractual maturities as borrowers may have the right to prepay obligations with or without prepayment penalties. The amortized cost and fair value of available for sale investment and mortgage-related securities available for sale as of December 31, 2019 and December 31, 2018 , by contractual maturity, are shown below. Expected maturities will differ from contractual maturities as borrowers may have the right to call or prepay obligations with or without call or prepayment penalties. December 31, 2019 December 31, 2018 (dollars in thousands) Amortized Cost Fair Value Amortized Cost Fair Value Investment securities: Due in one year or less $ 504,851 $ 504,890 $ 209,129 $ 209,099 Due after one year through five years 38,710 38,623 180,657 177,972 Due after five years through ten years 53,598 53,457 7,258 7,268 Due after ten years 11,102 11,180 14,058 13,961 Subtotal 608,261 608,150 411,102 408,300 Mortgage-related securities (1) 392,773 397,834 334,226 329,142 Total $ 1,001,034 $ 1,005,984 $ 745,328 $ 737,442 (1) Expected maturities of mortgage-related securities may differ from contractual maturities as borrowers may have the right to prepay obligations with or without prepayment penalties. |
Debt Securities, Held-to-maturity | The amortized cost and fair value of investment securities held to maturity as of December 31, 2019 and December 31, 2018 are as follows: As of December 31, 2019 (dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Mortgage-backed securities $ 12,577 $ 104 $ (20 ) $ 12,661 As of December 31, 2018 (dollars in thousands) Amortized Cost Gross Unrealized Gains Gross Unrealized Losses Fair Value Mortgage-backed securities $ 8,684 $ — $ (246 ) $ 8,438 |
Held-to-maturity Securities, Continuous Unrealized Loss Position, Fair Value | The following tables present the aggregate amount of gross unrealized losses as of December 31, 2019 and December 31, 2018 on held to maturity securities classified according to the amount of time those securities have been in a continuous unrealized loss position: As of December 31, 2019 Less than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Mortgage-backed securities $ 3,159 $ (20 ) $ — $ — $ 3,159 $ (20 ) As of December 31, 2018 Less than 12 Months 12 Months or Longer Total (dollars in thousands) Fair Value Unrealized Losses Fair Value Unrealized Losses Fair Value Unrealized Losses Mortgage-backed securities $ 1,315 $ (4 ) $ 7,123 $ (242 ) $ 8,438 $ (246 ) |
Loans and Leases (Tables)
Loans and Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
Schedule of Accounts, Notes, Loans and Financing Receivable | The table below details portfolio loans and leases as of the dates indicated: December 31, 2019 December 31, 2018 (dollars in thousands) Originated Acquired Total Loans and Leases Originated Acquired Total Loans and Leases Loans held for sale $ 4,249 $ — $ 4,249 $ 1,749 $ — $ 1,749 Real estate loans: Commercial mortgage $ 1,674,768 $ 238,662 $ 1,913,430 $ 1,327,822 $ 329,614 $ 1,657,436 Home equity lines and loans 174,804 19,836 194,640 181,506 25,845 207,351 Residential mortgage 424,254 65,649 489,903 411,022 83,333 494,355 Construction 159,867 — 159,867 174,592 6,486 181,078 Total real estate loans 2,433,693 324,147 2,757,840 2,094,942 445,278 2,540,220 Commercial and industrial 675,345 33,912 709,257 624,643 70,941 695,584 Consumer 54,811 2,327 57,138 44,099 2,715 46,814 Leases 156,967 8,111 165,078 121,567 22,969 144,536 Total portfolio loans and leases 3,320,816 368,497 3,689,313 2,885,251 541,903 3,427,154 Total loans and leases $ 3,325,065 $ 368,497 $ 3,693,562 $ 2,887,000 $ 541,903 $ 3,428,903 Loans with fixed rates $ 1,251,762 $ 216,269 $ 1,468,031 $ 1,204,070 $ 323,604 $ 1,527,674 Loans with adjustable or floating rates 2,073,303 152,228 2,225,531 1,682,930 218,299 1,901,229 Total loans and leases $ 3,325,065 $ 368,497 $ 3,693,562 $ 2,887,000 $ 541,903 $ 3,428,903 Net deferred loan origination (costs) fees included in the above loan table $ (193 ) $ — $ (193 ) $ 2,226 $ — $ 2,226 |
Schedule of Components of Leveraged Lease Investments | Components of the net investment in leases are detailed as follows: December 31, 2019 December 31, 2018 (dollars in thousands) Originated Acquired Total Leases Originated Acquired Total Leases Minimum lease payments receivable $ 174,385 $ 8,753 $ 183,138 $ 135,313 $ 25,372 $ 160,685 Unearned lease income (23,641 ) (813 ) (24,454 ) (19,388 ) (3,005 ) (22,393 ) Initial direct costs and deferred fees 6,223 171 6,394 5,642 602 6,244 Total Leases $ 156,967 $ 8,111 $ 165,078 $ 121,567 $ 22,969 $ 144,536 |
Schedule of Financing Receivables, Non Accrual Status | December 31, 2019 December 31, 2018 (dollars in thousands) Originated Acquired Total Loans and Leases Originated Acquired Total Loans and Leases Commercial mortgage $ 380 $ 3,890 $ 4,270 $ 435 $ 2,133 $ 2,568 Home equity lines and loans 779 — 779 3,590 26 3,616 Residential mortgage 190 128 318 2,813 639 3,452 Commercial and industrial 3,521 816 4,337 1,786 315 2,101 Consumer 19 42 61 45 63 108 Leases 747 136 883 392 583 975 Total non-performing loans and leases $ 5,636 $ 5,012 $ 10,648 $ 9,061 $ 3,759 $ 12,820 |
Schedule of Information Related to Purchased Credit Impaired Loans | The outstanding principal balance and related carrying amount of purchased credit-impaired loans, for which the Corporation applies ASC 310-30, Accounting for Purchased Loans with Deteriorated Credit Quality , to account for the interest earned, as of the dates indicated, are as follows: (dollars in thousands) December 31, 2019 December 31, 2018 Outstanding principal balance $ 9,798 $ 17,904 Carrying amount $ 7,897 $ 12,304 |
Schedule of Changes in Accretable Discount Related to Purchased Credit Impaired Loans | The following table presents changes in the accretable discount on purchased credit-impaired loans, for which the Corporation applies ASC 310-30, for the year ended December 31, 2019 : (dollars in thousands) Accretable Discount Balance, December 31, 2018 $ 2,697 Accretion (1,640 ) Reclassifications from nonaccretable difference 1,471 Additions/adjustments — Disposals (526 ) Balance, December 31, 2019 $ 2,002 |
Past Due Financing Receivables | The following tables present an aging of all portfolio loans and leases as of the dates indicated: Accruing Loans and Leases As of December 31, 2019 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ 2,441 $ — $ — $ 2,441 $ 1,906,719 $ 1,909,160 $ 4,270 $ 1,913,430 Home equity lines and loans 182 365 — 547 193,314 193,861 779 194,640 Residential mortgage 1,646 221 — 1,867 487,718 489,585 318 489,903 Construction — — — — 159,867 159,867 — 159,867 Commercial and industrial 486 167 — 653 704,267 704,920 4,337 709,257 Consumer 98 140 — 238 56,839 57,077 61 57,138 Leases 857 594 — 1,451 162,744 164,195 883 165,078 Total portfolio loans and leases $ 5,710 $ 1,487 $ — $ 7,197 $ 3,671,468 $ 3,678,665 $ 10,648 $ 3,689,313 Accruing Loans and Leases As of December 31, 2018 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current (1) Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ 821 $ 251 $ — $ 1,072 $ 1,653,796 $ 1,654,868 $ 2,568 $ 1,657,436 Home equity lines and loans 92 — — 92 203,643 203,735 3,616 207,351 Residential mortgage 2,330 218 — 2,548 488,355 490,903 3,452 494,355 Construction — — — — 181,078 181,078 — 181,078 Commercial and industrial 280 332 — 612 692,871 693,483 2,101 695,584 Consumer 35 5 — 40 46,666 46,706 108 46,814 Leases 641 460 — 1,101 142,460 143,561 975 144,536 Total portfolio loans and leases $ 4,199 $ 1,266 $ — $ 5,465 $ 3,408,869 $ 3,414,334 $ 12,820 $ 3,427,154 (1) Included as “current” are $3.2 million of loans and leases as of December 31, 2018 , respectively, which are classified as Administratively Delinquent. An Administratively Delinquent loan is one which has been approved for a renewal or extension but has not had all the required documents fully executed as of the reporting date. The Corporation does not consider these loans to be delinquent. The following tables present an aging of originated portfolio loans and leases as of the dates indicated: Accruing Loans and Leases As of December 31, 2019 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ 2,441 $ — $ — $ 2,441 $ 1,671,947 $ 1,674,388 $ 380 $ 1,674,768 Home equity lines and loans 82 365 — 447 173,578 174,025 779 174,804 Residential mortgage 924 102 — 1,026 423,038 424,064 190 424,254 Construction — — — — 159,867 159,867 — 159,867 Commercial and industrial 460 — — 460 671,364 671,824 3,521 675,345 Consumer 18 88 — 106 54,686 54,792 19 54,811 Leases 781 566 — 1,347 154,873 156,220 747 156,967 Total originated portfolio loans and leases $ 4,706 $ 1,121 $ — $ 5,827 $ 3,309,353 $ 3,315,180 $ 5,636 $ 3,320,816 Accruing Loans and Leases As of December 31, 2018 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current (1) Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ 816 $ 251 $ — $ 1,067 $ 1,326,320 $ 1,327,387 $ 435 $ 1,327,822 Home equity lines and loans 25 — — 25 177,891 177,916 3,590 181,506 Residential mortgage 1,545 — — 1,545 406,664 408,209 2,813 411,022 Construction — — — — 174,592 174,592 — 174,592 Commercial and industrial 280 332 — 612 622,245 622,857 1,786 624,643 Consumer 35 5 — 40 44,014 44,054 45 44,099 Leases 350 233 — 583 120,592 121,175 392 121,567 Total originated portfolio loans and leases $ 3,051 $ 821 $ — $ 3,872 $ 2,872,318 $ 2,876,190 $ 9,061 $ 2,885,251 (1) Included as “current” are $2.0 million of loans and leases as of December 31, 2018 , respectively, which are classified as Administratively Delinquent. An Administratively Delinquent loan is one which has been approved for a renewal or extension but has not had all the required documents fully executed as of the reporting date. The Corporation does not consider these loans to be delinquent. The following tables present an aging of acquired portfolio loans and leases as of the dates indicated: Accruing Loans and Leases As of December 31, 2019 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ — $ — $ — $ — $ 234,772 $ 234,772 $ 3,890 $ 238,662 Home equity lines and loans 100 — — 100 19,736 19,836 — 19,836 Residential mortgage 722 119 — 841 64,680 65,521 128 65,649 Construction — — — — — — — — Commercial and industrial 26 167 — 193 32,903 33,096 816 33,912 Consumer 80 52 — 132 2,153 2,285 42 2,327 Leases 76 28 — 104 7,871 7,975 136 8,111 Total acquired portfolio loans and leases $ 1,004 $ 366 $ — $ 1,370 $ 362,115 $ 363,485 $ 5,012 $ 368,497 Accruing Loans and Leases As of December 31, 2018 30 – 59 Days Past Due 60 – 89 Days Past Due Over 89 Days Past Due Total Past Due Current (1) Total Accruing Loans and Leases Nonaccrual Loans and Leases Total Loans and Leases (dollars in thousands) Commercial mortgage $ 5 $ — $ — $ 5 $ 327,476 $ 327,481 $ 2,133 $ 329,614 Home equity lines and loans 67 — — 67 25,752 25,819 26 25,845 Residential mortgage 785 218 — 1,003 81,691 82,694 639 83,333 Construction — — — — 6,486 6,486 — 6,486 Commercial and industrial — — — — 70,626 70,626 315 70,941 Consumer — — — — 2,652 2,652 63 2,715 Leases 291 227 — 518 21,868 22,386 583 22,969 Total acquired portfolio loans and leases $ 1,148 $ 445 $ — $ 1,593 $ 536,551 $ 538,144 $ 3,759 $ 541,903 (1) Included as “current” are $1.2 million of loans and leases as of December 31, 2018 , respectively, which are classified as Administratively Delinquent. An Administratively Delinquent loan is one which has been approved for a renewal or extension but has not had all the required documents fully executed as of the reporting date. The Corporation does not consider these loans to be delinquent. |
Allowance for Credit Losses on Financing Receivables | The following tables detail the roll-forward of the Allowance for the year ended December 31, 2019 and December 31, 2018 : (dollars in thousands) Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total Balance, December 31, 2018 $ 7,567 $ 1,003 $ 1,813 $ 1,485 $ 5,461 $ 229 $ 1,868 $ 19,426 Charge-offs (2,332 ) (348 ) (770 ) — (781 ) (720 ) (2,565 ) (7,516 ) Recoveries 1,087 110 14 4 153 103 714 2,185 Provision for loan and lease losses 4,112 125 481 (492 ) 1,196 741 2,344 8,507 Balance, December 31, 2019 $ 10,434 $ 890 $ 1,538 $ 997 $ 6,029 $ 353 $ 2,361 $ 22,602 (dollars in thousands) Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total Balance, December 31, 2017 $ 7,550 $ 1,086 $ 1,926 $ 937 $ 5,038 $ 246 $ 742 $ 17,525 Charge-offs (331 ) (333 ) (354 ) — (1,374 ) (311 ) (3,132 ) (5,835 ) Recoveries 16 2 56 2 24 10 433 543 Provision for loan and lease losses 332 248 185 546 1,773 284 3,825 7,193 Balance, December 31, 2018 $ 7,567 $ 1,003 $ 1,813 $ 1,485 $ 5,461 $ 229 $ 1,868 $ 19,426 |
Schedule of Allowance for Loan Losses by Portfolio Segment | The following tables detail the allocation of the Allowance for originated portfolio loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment as of December 31, 2019 and December 31, 2018 : As of December 31, 2019 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Allowance on loans and leases: Individually evaluated for impairment $ — $ 165 $ 160 $ — $ — $ 22 $ 59 $ 406 Collectively evaluated for impairment 10,434 725 1,307 997 6,029 331 2,297 22,120 Total $ 10,434 $ 890 $ 1,467 $ 997 $ 6,029 $ 353 $ 2,356 $ 22,526 As of December 31, 2018 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Allowance on loans and leases: Individually evaluated for impairment $ — $ 162 $ 175 $ — $ — $ 28 $ — $ 365 Collectively evaluated for impairment 7,567 841 1,541 1,485 5,461 201 1,868 18,964 Total $ 7,567 $ 1,003 $ 1,716 $ 1,485 $ 5,461 $ 229 $ 1,868 $ 19,329 The following tables detail the carrying value for originated portfolio loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment as of December 31, 2019 and December 31, 2018 : As of December 31, 2019 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Carrying value of loans and leases: Individually evaluated for impairment $ 564 $ 2,328 $ 2,354 $ — $ 3,906 $ 43 $ 884 $ 10,079 Collectively evaluated for impairment 1,674,204 172,476 421,900 159,867 671,439 54,768 156,083 3,310,737 Total $ 1,674,768 $ 174,804 $ 424,254 $ 159,867 $ 675,345 $ 54,811 $ 156,967 $ 3,320,816 As of December 31, 2018 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Carrying value of loans and leases: Individually evaluated for impairment $ 4,874 $ 4,972 $ 5,106 $ — $ 2,314 $ 71 $ — $ 17,337 Collectively evaluated for impairment 1,322,948 176,534 405,916 174,592 622,329 44,028 121,567 2,867,914 Total $ 1,327,822 $ 181,506 $ 411,022 $ 174,592 $ 624,643 $ 44,099 $ 121,567 $ 2,885,251 The following tables detail the allocation of the Allowance for acquired portfolio loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment as of December 31, 2019 and December 31, 2018 : As of December 31, 2019 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Allowance on loans and leases: Individually evaluated for impairment $ — $ — $ 71 $ — $ — $ — $ 5 $ 76 Collectively evaluated for impairment — — — — — — — — Purchased credit-impaired (1) — — — — — — — — Total $ — $ — $ 71 $ — $ — $ — $ 5 $ 76 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. As of December 31, 2018 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Allowance on loans and leases: Individually evaluated for impairment $ — $ — $ 97 $ — $ — $ — $ — $ 97 Collectively evaluated for impairment — — — — — — — — Purchased credit-impaired (1) — — — — — — — — Total $ — $ — $ 97 $ — $ — $ — $ — $ 97 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. The following tables detail the carrying value for acquired portfolio loans and leases by portfolio segment based on the methodology used to evaluate the loans and leases for impairment as of December 31, 2019 and December 31, 2018 : As of December 31, 2019 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Carrying value of loans and leases: Individually evaluated for impairment $ 3,890 $ — $ 686 $ — $ 816 $ 42 $ 206 $ 5,640 Collectively evaluated for impairment 227,398 19,314 64,962 — 33,096 2,285 7,905 354,960 Purchased credit-impaired (1) 7,374 522 1 — — — — 7,897 Total $ 238,662 $ 19,836 $ 65,649 $ — $ 33,912 $ 2,327 $ 8,111 $ 368,497 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. As of December 31, 2018 Commercial Mortgage Home Equity Lines and Loans Residential Mortgage Construction Commercial and Industrial Consumer Leases Total (dollars in thousands) Carrying value of loans and leases: Individually evaluated for impairment $ 2,134 $ 26 $ 1,502 $ — $ 315 $ 63 $ — $ 4,040 Collectively evaluated for impairment 319,169 25,307 81,831 4,081 69,550 2,652 22,969 525,559 Purchased credit-impaired (1) 8,311 512 — 2,405 1,076 — — 12,304 Total $ 329,614 $ 25,845 $ 83,333 $ 6,486 $ 70,941 $ 2,715 $ 22,969 $ 541,903 (1) Purchased credit-impaired loans are evaluated for impairment on an individual basis. |
Financing Receivable Credit Quality Indicators | The following tables detail the carrying value of all portfolio loans and leases by portfolio segment based on the credit quality indicators used to determine the Allowance as of December 31, 2019 and December 31, 2018 : Credit Risk Profile by Internally Assigned Grade As of December 31, 2019 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 1,857,765 $ 15,069 $ 40,596 $ — $ 1,913,430 Home equity loans and lines 193,861 — 779 — 194,640 Residential 489,431 — 472 — 489,903 Construction 154,071 — 5,796 — 159,867 Commercial and industrial 690,663 4,853 13,741 — 709,257 Consumer 52,505 — 4,633 — 57,138 Leases 164,195 — 883 — 165,078 Total $ 3,602,491 $ 19,922 $ 66,900 $ — $ 3,689,313 Credit Risk Profile by Internally Assigned Grade As of December 31, 2018 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 1,635,068 $ 631 $ 20,639 $ 1,098 $ 1,657,436 Home equity loans and lines 203,037 — 4,314 — 207,351 Residential 490,789 — 3,566 — 494,355 Construction 171,353 938 8,787 — 181,078 Commercial and industrial 684,444 2,737 8,402 1 695,584 Consumer 46,588 — 226 — 46,814 Leases 143,561 — 975 — 144,536 Total $ 3,374,840 $ 4,306 $ 46,909 $ 1,099 $ 3,427,154 The following tables detail the carrying value of originated portfolio loans and leases by portfolio segment based on the credit quality indicators used to determine the Allowance as of December 31, 2019 and December 31, 2018 : Credit Risk Profile by Internally Assigned Grade As of December 31, 2019 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 1,636,961 $ 10,142 $ 27,665 $ — $ 1,674,768 Home equity loans and lines 174,025 — 779 — 174,804 Residential 423,910 — 344 — 424,254 Construction 154,071 — 5,796 — 159,867 Commercial and industrial 657,740 4,853 12,752 — 675,345 Consumer 50,220 — 4,591 — 54,811 Leases 156,219 — 748 — 156,967 Total $ 3,253,146 $ 14,995 $ 52,675 $ — $ 3,320,816 Credit Risk Profile by Internally Assigned Grade As of December 31, 2018 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 1,321,973 $ 631 $ 5,218 $ — $ 1,327,822 Home equity loans and lines 177,916 — 3,590 — 181,506 Residential 408,095 — 2,927 — 411,022 Construction 167,272 938 6,382 — 174,592 Commercial and industrial 615,817 2,511 6,314 1 624,643 Consumer 43,936 — 163 — 44,099 Leases 121,175 — 392 — 121,567 Total $ 2,856,184 $ 4,080 $ 24,986 $ 1 $ 2,885,251 The following tables detail the carrying value of acquired portfolio loans and leases by portfolio segment based on the credit quality indicators used to determine the Allowance as of December 31, 2019 and December 31, 2018 : Credit Risk Profile by Internally Assigned Grade As of December 31, 2019 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 220,804 $ 4,927 $ 12,931 $ — $ 238,662 Home equity loans and lines 19,836 — — — 19,836 Residential 65,521 — 128 — 65,649 Construction — — — — — Commercial and industrial 32,923 — 989 — 33,912 Consumer 2,285 — 42 — 2,327 Leases 7,976 — 135 — 8,111 Total $ 349,345 $ 4,927 $ 14,225 $ — $ 368,497 Credit Risk Profile by Internally Assigned Grade As of December 31, 2018 (dollars in thousands) Pass Special Mention Substandard Doubtful Total Commercial mortgage $ 313,095 $ — $ 15,421 $ 1,098 $ 329,614 Home equity loans and lines 25,121 — 724 — 25,845 Residential 82,694 — 639 — 83,333 Construction 4,081 — 2,405 — 6,486 Commercial and industrial 68,627 226 2,088 — 70,941 Consumer 2,652 — 63 — 2,715 Leases 22,386 — 583 — 22,969 Total $ 518,656 $ 226 $ 21,923 $ 1,098 $ 541,903 |
Troubled Debt Restructurings on Financing Receivables | The following table presents the balance of TDRs as of the indicated dates: (dollars in thousands) December 31, 2019 December 31, 2018 TDRs included in nonperforming loans and leases $ 3,018 $ 1,217 TDRs in compliance with modified terms 5,071 9,745 Total TDRs $ 8,089 $ 10,962 The following table presents information regarding loans and leases categorized as TDRs for modifications made during the year ended December 31, 2019 : For the Year Ended December 31, 2019 (dollars in thousands) Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial mortgage 1 $ 184 $ 184 Home equity lines and loans 3 226 226 Commercial and industrial 4 2,649 2,649 Leases 4 200 200 Total 12 $ 3,259 $ 3,259 The following table presents information regarding the types of loan and lease modifications made for the year ended December 31, 2019 : Number of Contracts Loan Term Extension Interest Rate Change and Term Extension Interest Rate Change and/or Interest-Only Period Contractual Payment Reduction (Leases only) Temporary Payment Deferral Commercial mortgage 1 — — — — Home equity lines and loans — 3 — — — Commercial and industrial 2 — 2 — — Leases — — — 4 — Total 3 3 2 4 — The following table presents information regarding loans and leases categorized as TDRs for modifications made during the year ended December 31, 2018 : For the Year Ended December 31, 2018 (dollars in thousands) Number of Contracts Pre-Modification Outstanding Recorded Investment Post-Modification Outstanding Recorded Investment Commercial mortgage 1 $ 4,439 $ 4,439 Home equity lines and loans 3 961 961 Residential 6 620 640 Commercial and industrial 2 156 156 Consumer 1 20 20 Leases 4 173 173 Total 17 6,369 6,389 The following table presents information regarding the types of loan and lease modifications made for the year ended December 31, 2018 : Number of Contracts Loan Term Extension Interest Rate Change and Term Extension Interest Rate Change and/or Interest-Only Period Contractual Payment Reduction (Leases only) Temporary Payment Deferral Commercial mortgage 1 — — — — Home equity lines and loans — 3 — — — Residential 2 1 — — 3 Commercial and industrial 1 1 — — — Consumer — — — — 1 Leases — — — 4 — Total 4 5 — 4 4 |
Impaired Financing Receivables | The following tables detail the recorded investment and principal balance of impaired loans by portfolio segment, their related Allowance and interest income recognized for the year ended December 31, 2019 , 2018 and 2017 (purchased credit-impaired loans are not included in the tables): As of or for the Year Ended December 31, 2019 Recorded Investment (2) Principal Balance Related Allowance Average Principal Balance Interest Income Recognized Cash-Basis Interest Income Recognized (dollars in thousands) Impaired loans with related allowance: Home equity lines and loans $ 1,307 $ 1,307 $ 165 $ 1,311 $ 44 $ — Residential mortgage 1,845 1,845 231 1,863 87 — Consumer 43 43 22 44 2 — Total $ 3,195 $ 3,195 $ 418 $ 3,218 $ 133 $ — Impaired loans without related allowance (1) : Commercial mortgage $ 4,454 $ 5,591 $ — $ 5,826 $ 98 $ — Home equity lines and loans 1,020 1,021 — 1,034 29 — Residential mortgage 1,196 1,196 — 1,218 61 — Commercial and industrial 4,722 4,996 — 4,835 119 — Consumer 42 57 — 45 — — Total $ 11,434 $ 12,861 $ — $ 12,958 $ 307 $ — Grand total $ 14,629 $ 16,056 $ 418 $ 16,176 $ 440 $ — (1) The table above does not include the recorded investment of $1.1 million of impaired leases with a $64 thousand related allowance for loan and lease losses. (2) Recorded investment equals principal balance, net of deferred origination costs/fees and loan marks, less partial charge-offs and interest payments on non-performing loans that have been applied to principal. As of or for the Year Ended December 31, 2018 Recorded Investment (2) Principal Balance Related Allowance Average Principal Balance Interest Income Recognized Cash-Basis Interest Income Recognized (dollars in thousands) Impaired loans with related allowance: Home equity lines and loans $ 1,280 $ 1,280 $ 162 $ 640 $ 27 $ — Residential mortgage 1,966 1,966 272 1,983 94 — Consumer 50 50 28 56 4 — Total $ 3,296 $ 3,296 $ 462 $ 2,679 $ 125 $ — Impaired loans without related allowance (1) : Commercial mortgage $ 7,007 $ 7,264 $ — $ 7,010 $ 320 $ — Home equity lines and loans 3,718 3,724 — 3,537 67 — Residential mortgage 4,641 4,728 — 4,750 133 — Commercial and industrial 2,629 3,803 — 3,349 126 — Consumer 83 86 — 100 3 — Total $ 18,078 $ 19,605 $ — $ 18,746 $ 649 $ — Grand total $ 21,374 $ 22,901 $ 462 $ 21,425 $ 774 $ — (1) The table above does not include the recorded investment of $1.2 million of impaired leases without a related allowance for loan and lease losses. (2) Recorded investment equals principal balance, net of deferred origination costs/fees and loan marks, less partial charge-offs and interest payments on non-performing loans that have been applied to principal. As of or for the Year Ended December 31, 2017 Recorded Investment (2) Principal Balance Related Allowance Average Principal Balance Interest Income Recognized Cash-Basis Interest Income Recognized (dollars in thousands) Impaired loans with related allowance: Home equity lines and loans $ 577 $ 577 $ 19 $ 232 $ 7 $ — Residential mortgage $ 2,436 $ 2,436 $ 230 $ 2,467 $ 127 $ — Commercial and industrial 18 18 5 19 1 — Consumer 27 27 4 28 1 — Total $ 3,058 $ 3,058 $ 258 $ 2,746 $ 136 $ — Impaired loans without related allowance (1) : Commercial mortgage $ 2,128 $ 2,218 $ — $ 2,205 $ 85 $ — Home equity lines and loans 1,585 1,645 — 1,636 38 — Residential mortgage 5,290 5,529 — 4,994 191 — Commercial and industrial 1,879 3,613 2,079 35 — Total $ 10,882 $ 13,005 $ — $ 10,914 $ 349 $ — Grand total $ 13,940 $ 16,063 $ 258 $ 13,660 $ 485 $ — (1) The table above does not include the recorded investment of $272 thousand of impaired leases without a related allowance for loan and lease losses. (2) Recorded investment equals principal balance, net of deferred origination costs/fees and loan marks, less partial charge-offs and interest payments on non-performing loans that have been applied to principal. |
Loans Acquired Record | The following tables detail, for acquired loans , the outstanding principal, remaining loan mark, and recorded investment, by portfolio segment, as of the dates indicated: As of December 31, 2019 (dollars in thousands) Outstanding Principal Remaining Loan Mark Recorded Investment Commercial mortgage $ 244,364 $ (5,702 ) $ 238,662 Home equity lines and loans 21,739 (1,903 ) 19,836 Residential mortgage 67,831 (2,182 ) 65,649 Commercial and industrial 34,780 (868 ) 33,912 Consumer 2,416 (89 ) 2,327 Leases 8,272 (161 ) 8,111 Total $ 379,402 $ (10,905 ) $ 368,497 As of December 31, 2018 (dollars in thousands) Outstanding Principal Remaining Loan Mark Recorded Investment Commercial mortgage $ 339,241 $ (9,627 ) $ 329,614 Home equity lines and loans 28,212 (2,367 ) 25,845 Residential mortgage 86,111 (2,778 ) 83,333 Construction 6,780 (294 ) 6,486 Commercial and industrial 72,948 (2,007 ) 70,941 Consumer 2,828 (113 ) 2,715 Leases 23,695 (726 ) 22,969 Total $ 559,815 $ (17,912 ) $ 541,903 |
Premises and Equipment (Tables)
Premises and Equipment (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Summary of Premises and Equipment | A summary of premises and equipment is as follows: December 31, (dollars in thousands) 2019 2018 Land $ 11,219 $ 11,219 Buildings 45,321 40,947 Furniture and equipment 48,311 44,862 Leasehold improvements 26,951 25,186 Construction in progress 1,389 4,400 Less: accumulated depreciation (68,226 ) (60,966 ) Total $ 64,965 $ 65,648 |
Mortgage Servicing Rights (Tabl
Mortgage Servicing Rights (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Transfers and Servicing [Abstract] | |
Servicing Asset at Amortized Cost | The following summarizes the Corporation’s activity related to MSRs for the years ended December 31: (dollars in thousands) 2019 2018 2017 Balance, January 1 $ 5,047 $ 5,861 $ 5,582 Additions — 16 1,025 Amortization (576 ) (803 ) (791 ) (Impairment) / Recovery (21 ) (27 ) 45 Balance, December 31 $ 4,450 $ 5,047 $ 5,861 Fair value $ 4,838 $ 6,277 $ 6,397 Residential mortgage loans serviced for others $ 502,832 $ 578,788 $ 650,703 |
Schedule of Valuation Allowance for Impairment of Recognized Servicing Assets | The following summarizes the Corporation’s activity related to changes in the impairment valuation allowance of MSRs for the years ended December 31: (dollars in thousands) 2019 2018 2017 Balance, January 1 $ (1,787 ) $ (1,760 ) $ (1,805 ) Impairment (70 ) (103 ) (52 ) Recovery 49 76 97 Balance, December 31 $ (1,808 ) $ (1,787 ) $ (1,760 ) |
Schedule of Sensitivity Analysis of Fair Value, Transferor's Interests in Transferred Financial Assets | As of December 31, 2019 and 2018 , key economic assumptions and the sensitivity of the current fair value of MSRs to immediate 10 and 20 percent adverse changes in those assumptions are as follows: December 31, (dollars in thousands) 2019 2018 Fair value amount of MSRs $ 4,838 $ 6,277 Weighted average life (in years) 6.0 6.7 Prepayment speeds (constant prepayment rate) (1) 10.5 % 9.1 % Impact on fair value: 10% adverse change $ (149 ) $ (124 ) 20% adverse change $ (297 ) $ (257 ) Discount rate 9.55 % 9.55 % Impact on fair value: 10% adverse change $ (166 ) $ (234 ) 20% adverse change $ (321 ) $ (451 ) (1) Represents the weighted average prepayment rate for the life of the MSR asset . |
Goodwill and Intangible Assets
Goodwill and Intangible Assets (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Schedule of Intangible Assets and Goodwill | The following table presents activity in the Corporation's goodwill by its reporting units and finite-lived and indefinite-lived intangible assets, other than MSRs, for the years ended December 31, 2019 and 2018 : (dollars in thousands) Balance Additions Adjustments Amortization Balance Amortization Goodwill – Wealth $ 20,412 $ — $ — $ — $ 20,412 Indefinite Goodwill – Banking 156,991 — — — 156,991 Indefinite Goodwill – Insurance 6,609 — — — 6,609 Indefinite Total Goodwill $ 184,012 $ — $ — $ — $ 184,012 Core deposit intangible 5,906 — — (1,308 ) 4,598 10 years Customer relationships 13,607 18 — (1,805 ) 11,820 10 to 20 years Non-compete agreements 1,101 — — (190 ) 911 5 to 10 years Trade names 2,149 — — (498 ) 1,651 3 to 5 years Domain name 151 — — — 151 Indefinite Favorable lease assets 541 — (541 ) — — Total Intangible Assets $ 23,455 $ 18 $ (541 ) $ (3,801 ) $ 19,131 Grand Total $ 207,467 $ 18 $ (541 ) $ (3,801 ) $ 203,143 (dollars in thousands) Balance Additions Adjustments Amortization Balance Amortization Goodwill – Wealth $ 20,412 $ — $ — $ — $ 20,412 Indefinite Goodwill – Banking 153,545 — 3,446 — 156,991 Indefinite Goodwill – Insurance 5,932 677 — — 6,609 Indefinite Total Goodwill $ 179,889 $ 677 $ 3,446 $ — $ 184,012 Core deposit intangible 7,380 — — (1,474 ) 5,906 10 years Customer relationships 14,173 1,145 — (1,711 ) 13,607 10 to 20 years Non-compete agreements 1,319 — — (218 ) 1,101 5 to 10 years Trade names 2,322 — — (173 ) 2,149 3 to 5 years Domain name 151 — — — 151 Indefinite Favorable lease assets 621 — — (80 ) 541 1 to 16 years Total Intangible Assets $ 25,966 $ 1,145 $ — $ (3,656 ) $ 23,455 Grand total $ 205,855 $ 1,822 $ 3,446 $ (3,656 ) $ 207,467 |
Schedule of Finite-Lived Intangible Assets, Future Amortization Expense | The estimated aggregate amortization expense related to finite-lived intangible assets for each of the five succeeding fiscal years ending December 31 is: (dollars in thousands) Fiscal Year Amount Fiscal year ending 2020 $ 3,578 2021 3,367 2022 3,027 2023 2,646 Thereafter 6,361 |
Other Real Estate Owned (Tables
Other Real Estate Owned (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Other Real Estate, Roll Forward | The summary of the change in other real estate owned, which is included as a component of other assets on the Corporation's Consolidated Balance Sheets, is as follows: December 31, (dollars in thousands) 2019 2018 Balance January 1 $ 417 $ 304 Additions 87 372 Impairments — (89 ) Sales (504 ) (170 ) Balance December 31 $ — $ 417 |
Deposits (Tables)
Deposits (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Deposits [Abstract] | |
Deposit Liabilities, Type | The following table details the components of deposits: As of December 31, (dollars in thousands) 2019 2018 Interest-bearing demand $ 944,915 $ 664,749 Money market 1,106,478 862,644 Savings 220,450 247,081 Retail time deposits 405,123 542,702 Wholesale non-maturity deposits 177,865 55,031 Wholesale time deposits 89,241 325,261 Total interest-bearing deposits $ 2,944,072 $ 2,697,468 Noninterest-bearing deposits 898,173 901,619 Total deposits $ 3,842,245 $ 3,599,087 |
Schedule of Maturities of Time Deposits | The following tables detail the maturities of retail time deposits: As of December 31, 2019 (dollars in thousands) Less than $100 Maturing during: 2020 $ 122,981 $ 143,428 2021 43,210 60,192 2022 10,300 14,758 2023 2,838 1,844 2024 and thereafter 3,645 1,927 Total $ 182,974 $ 222,149 |
Schedule of Time Deposit Contractual Maturities | The following tables detail the maturities of wholesale time deposits: As of December 31, 2019 (dollars in thousands) Less than $100 Maturing during: 2020 $ 974 $ 82,136 2021 97 388 2022 — 5,646 Total $ 1,071 $ 88,170 |
Short-term Borrowings and Lon_2
Short-term Borrowings and Long-term FHLB Advances (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Long-term Federal Home Loan Bank Advances [Abstract] | |
Schedule of Short-term Debt | A summary of short-term borrowings is as follows: As of December 31, (dollars in thousands) 2019 2018 Repurchase agreements (1) – commercial customers $ 10,819 $ 22,717 Short-term FHLB advances 482,400 229,650 Total short-term borrowings $ 493,219 $ 252,367 |
Schedule of Additional Information on Short Term Borrowings | The following table sets forth information concerning short-term borrowings: As for the Year Ended December 31, (dollars in thousands) 2019 2018 Balance at period-end $ 493,219 $ 252,367 Maximum amount outstanding at any month end $ 493,219 $ 302,932 Average balance outstanding during the period $ 129,545 $ 186,290 Weighted-average interest rate: As of the period-end 1.82 % 2.23 % Paid during the period 2.07 % 1.90 % |
Schedule of Maturities of Long-term Debt | The following table presents the remaining periods until maturity of long-term FHLB advances (original maturities exceeding one year): As of December 31, (dollars in thousands) 2019 2018 Within one year $ 12,363 $ 28,105 Over one year through five years 39,906 27,269 Total $ 52,269 $ 55,374 |
Schedule of Federal Home Loan Bank Advances and Other Borrowings Maturities | The following table presents rate and maturity information on long-term FHLB advances: (dollars in thousands) Maturity Range (1) Weighted Average Rate (1) Coupon Rate (1) Balance at December 31, Description From To From To 2019 2018 Bullet maturity – fixed rate 1/2/2020 11/12/2021 1.58 % 1.40 % 2.13 % $ 52,269 $ 55,374 Convertible-fixed (2) N/A N/A N/A N/A N/A — — Total $ 52,269 $ 55,374 (1) Maturity range, weighted average rate and coupon rate range refers to December 31, 2019 balances. (2) FHLB advances whereby the FHLB has the option, at predetermined times, to convert the fixed interest rate to an adjustable interest rate indexed to the London Interbank Offered Rate (“LIBOR”). The Corporation has the option to prepay these advances, without penalty, if the FHLB elects to convert the interest rate to an adjustable rate. As of December 31, 2019 , substantially all FHLB advances with this convertible feature are subject to conversion in fiscal 2018. These advances are included in the maturity ranges in which they mature, rather than the period in which they are subject to conversion. |
Subordinated Notes (Tables)
Subordinated Notes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Subordinated Debt [Abstract] | |
Schedule of Long-term Debt Instruments | The following tables detail the subordinated notes, including debt issuance costs, as of December 31, 2019 and 2018 : December 31, 2019 December 31, 2018 (dollars in thousands) Balance Rate (1)(2) Balance Rate (1)(2) Subordinated notes – due 2027 $ 69,009 4.25 % $ 68,885 4.25 % Subordinated notes – due 2025 29,696 4.75 % 29,641 4.75 % Total subordinated notes $ 98,705 $ 98,526 (1) The 2027 Notes bear interest at an annual fixed rate of 4.25% from the date of issuance until December 14, 2022, and will thereafter bear interest at a variable rate that will reset quarterly to a level equal to the then-current three-month LIBOR rate plus 2.050% until December 15, 2027, or any early redemption date. (2) The 2025 Notes bear interest at an annual fixed rate of 4.75% from the date of issuance until August 14, 2020, and will thereafter bear interest at a variable rate that will reset quarterly to a level equal to the then-current three-month LIBOR rate plus 3.068% until August 15, 2025, or any early redemption date. |
Operating Leases Operating Le_2
Operating Leases Operating Leases (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Schedule of Operating Lease Expense | The components of lease expense were as follows: Year Ended (dollars in thousands) Operating lease expense $ 5,295 Short term lease expense 59 Variable lease expense 1,795 Sublease income (32 ) Total lease expense $ 7,117 Supplemental cash flow information related to leases was as follows: Year Ended (dollars in thousands) Cash paid for amounts included in the measurement of lease liabilities: Operating cash flows from operating leases $ 5,174 ROU assets obtained in exchange for lease liabilities 44,609 |
Lessee, Operating Lease, Liability, Maturity | Maturities of operating lease liabilities under FASB ASC 842 “Leases” as of December 31, 2019 are as follows: December 31, 2019 (dollars in thousands) 2019 $ 4,705 2020 4,479 2021 4,200 2022 4,047 2023 4,076 2024 and thereafter 37,308 Total lease payments 58,815 Less: imputed interest 13,557 Present value of operating lease liabilities $ 45,258 |
Derivatives and Hedging Activ_2
Derivatives and Hedging Activities (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Derivative Instruments and Hedging Activities Disclosure [Abstract] | |
Schedule of Derivative Instruments in Statement of Financial Position, Fair Value | The following tables detail the derivative instruments as of December 31, 2019 and December 31, 2018 : Asset Derivatives Liability Derivatives (dollars in thousands) Notional Amount Fair Value Notional Amount Fair Value Derivatives not designated as hedging instruments As of December 31, 2019: Customer derivatives – interest rate swaps $ 790,209 $ 47,627 $ 790,209 $ 47,627 RPAs sold — — 4,232 16 RPAs purchased 20,249 90 — — Total derivatives $ 810,458 $ 47,717 $ 794,441 $ 47,643 As of December 31, 2018: Customer derivatives – interest rate swaps $ 369,623 $ 12,550 $ 369,623 $ 12,549 RPAs sold — — 854 2 RPAs purchased 35,305 71 — — Total derivatives $ 404,928 $ 12,621 $ 370,477 $ 12,551 |
Pension and Postretirement Be_2
Pension and Postretirement Benefit Plans (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Retirement Benefits [Abstract] | |
Schedule of Assumptions Used | Actuarial Assumptions used to determine benefit obligations as of December 31 of the years indicated: SERP I and SERP II PRBP 2019 2018 2019 2018 Discount rate 2.80 % 3.95 % 2.20 % 3.45 % Rate of increase for future compensation N/A N/A N/A N/A Expected long-term rate of return on plan assets N/A N/A N/A N/A For the Year Ended December 31, Discount Rate Used in the Calculation of Periodic Pension Costs 2019 2018 2017 SERP I and SERP II 3.95 % 3.30 % 3.75 % PRBP 3.45 % 2.75 % 2.80 % |
Schedule of Defined Benefit Plans Disclosures | Changes in Benefit Obligations and Plan Assets: SERP I & SERP II PRBP (dollars in thousands) 2019 2018 2019 2018 Change in benefit obligations Benefit obligation at January 1 $ 4,687 $ 4,983 $ 241 $ 353 Service cost — — — — Interest cost 179 160 8 9 Plan participants contribution — — 38 44 Actuarial loss (gain) 595 (180 ) 40 (61 ) Settlements — — — — Benefits paid (303 ) (276 ) (92 ) (104 ) Benefit obligation at December 31 $ 5,158 $ 4,687 $ 235 $ 241 Change in plan assets Fair value of plan assets at January 1 $ — $ — $ — $ — Actual return on plan assets — — — — Settlements — — — — Excess assets transferred to defined contribution plan — — — — Employer contribution 303 278 54 60 Plan participants’ contribution — — 38 44 Benefits paid (303 ) (278 ) (92 ) (104 ) Fair value of plan assets at December 31 $ — $ — $ — $ — Funded status at year end (plan assets less benefit obligations) $ (5,158 ) $ (4,687 ) $ (235 ) $ (241 ) For the Year Ended December 31, SERP I & SERP II PRBP Amounts included in the Consolidated Balance Sheet as Other liabilities and accumulated other comprehensive income including the following: 2019 2018 2019 2018 Accrued liability $ (3,112 ) $ (3,174 ) $ (99 ) $ (129 ) Net actuarial loss (2,046 ) (1,513 ) (136 ) (112 ) Prior service cost — — — — Unrecognized net initial obligation — — — — Net included in Other liabilities in the Consolidated Balance Sheets $ (5,158 ) $ (4,687 ) $ (235 ) $ (241 ) |
Schedule of Net Benefit Costs | The following tables provide the components of net periodic pension costs for the periods indicated: SERP I and SERP II Periodic Pension Cost For the Year Ended December 31, (dollars in thousands) 2019 2018 2017 Service cost $ — $ — $ — Interest cost 179 160 176 Amortization of prior service cost — — — Recognition of net actuarial loss 62 70 59 Net periodic pension cost $ 241 $ 230 $ 235 PRBP Net Periodic Pension Cost For the Year Ended December 31, (dollars in thousands) 2019 2018 2017 Service cost $ — $ — $ — Interest cost 8 9 11 Amortization of prior service cost — — — Recognition of net actuarial loss 17 30 36 Net periodic pension cost $ 25 $ 39 $ 47 |
Schedule of Expected Benefit Payments | The following benefit payments, which reflect expected future service, are expected to be paid over the next ten years: (dollars in thousands) SERP I & SERP II PRBP Fiscal year ending 2020 $ 342 $ 49 2021 339 41 2022 335 35 2023 342 29 2024 349 24 2024-2028 1,600 62 |
Income Taxes (Tables)
Income Taxes (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Schedule of Deferred Tax Assets and Liabilities | Components of Net Deferred Tax Asset: December 31, (dollars in thousands) 2019 2018 Deferred tax assets: Loan and lease loss reserve $ 5,128 $ 4,476 Other reserves 3,619 2,919 Net operating loss carry-forward 8,107 9,728 Alternative minimum tax credits 833 1,100 Unrealized depreciation of available for sale securities — 1,656 Operating lease liabilities 10,030 — Defined benefit plans 1,505 1,377 RBPI Merger Fair Values 647 2,580 Total deferred tax asset $ 29,869 $ 23,836 Deferred tax liabilities: Intangibles and other amortizing fair value adjustments $ 5,154 $ 5,290 Originated MSRs 969 1,105 Unrealized appreciation of available for sale securities 1,040 — Operating lease right-of-use assets 8,948 — Deferred loan costs 909 1,105 Other reserves 1,166 535 Total deferred tax liability $ 18,186 $ 8,035 Total net deferred tax asset $ 11,683 $ 15,801 |
Schedule of Components of Income Tax Expense (Benefit) | The provision for income taxes consists of the following: December 31, (dollars in thousands) 2019 2018 2017 Current $ 14,068 $ 4,326 $ 13,812 Deferred 1,539 9,839 20,418 Total $ 15,607 $ 14,165 $ 34,230 |
Schedule of Effective Income Tax Rate Reconciliation | Applicable income taxes differed from the amount derived by applying the statutory federal tax rate to income as follows: (dollars in thousands) 2019 Tax Rate 2018 Tax Rate 2017 Tax Rate Computed tax expense at statutory federal rate $ 15,711 21.0 % $ 16,371 21.0 % $ 20,036 35.0 % Tax-exempt income (562 ) (0.8 )% (470 ) (0.6 )% (600 ) (1.0 )% State tax (net of federal tax benefit) 1,045 1.4 % 874 1.1 % 303 0.5 % Non-deductible merger expense — — % — — % 455 0.8 % Excess tax benefit – stock based compensation (144 ) (0.2 )% (848 ) (1.1 )% (1,049 ) (1.8 )% Adjustment to net deferred tax assets for enacted changes in tax laws, rates and return to provision adjustments — — % (1,895 ) (2.4 )% 15,193 26.5 % Other, net (443 ) (0.5 )% 133 0.2 % (108 ) (0.2 )% Total income tax expense $ 15,607 20.9 % $ 14,165 18.2 % $ 34,230 59.8 % |
Components of Provisional Tax Expense Related to Tax Law Changes | The income tax expense recognized as a result of Tax Reform is as follows: Year Ended (dollars in thousands) 2019 2018 2017 Deferred taxes related to items recognized in continuing operations $ — $ (1,895 ) $ 14,411 Deferred taxes on net actuarial loss on defined benefit post-retirement benefit plans — — 275 Deferred taxes on net unrealized losses on available for sale investment securities — — 507 Total income tax (benefit) / expense related to Tax Reform $ — $ (1,895 ) $ 15,193 |
Accumulated Other Comprehensi_2
Accumulated Other Comprehensive Income (Loss) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accumulated Other Comprehensive Income (Loss), Net of Tax [Abstract] | |
Schedule of Accumulated Other Comprehensive Income (Loss) | The following table details the components of accumulated other comprehensive income (loss) for the years ended December 31, 2019 , 2018 and 2017 : (dollars in thousands) Net Change in Unrealized Gains on Available for Sale Investment Securities Net Change in Unfunded Pension Liability Accumulated Other Comprehensive Income (Loss) Balance, December 31, 2016 $ (1,231 ) $ (1,178 ) $ (2,409 ) Other comprehensive (loss) (1,123 ) (100 ) (1,223 ) Reclassification due to the adoption of ASU No. 2018-02 (507 ) (275 ) (782 ) Balance, December 31, 2017 (2,861 ) (1,553 ) (4,414 ) Other comprehensive (loss) income (3,368 ) 269 (3,099 ) Balance, December 31, 2018 (6,229 ) (1,284 ) (7,513 ) Other comprehensive income (loss) 10,139 (439 ) 9,700 Balance, December 31, 2019 $ 3,910 $ (1,723 ) $ 2,187 |
Reclassification out of Accumulated Other Comprehensive Income | The following tables detail the amounts reclassified from each component of accumulated other comprehensive income (loss) for the years ended December 31, 2019 , 2018 and 2017 : Amount Reclassified from Accumulated Other Comprehensive Income (Loss) Description of Accumulated Other Comprehensive Income (Loss) Component For the Year Ended Affected Income Statement Category (dollars in thousands) 2019 2018 2017 Net unrealized gain on investment securities available for sale: Realization of gain on sale of investment securities available for sale $ — $ (7 ) $ (101 ) Net gain on sale of investment securities available for sale Realization of gain on transfer of investment securities available for sale to trading — (417 ) — Other operating income Total $ — $ (424 ) $ (101 ) Income tax effect — 89 35 Income tax expense Net of income tax $ — $ (335 ) $ (66 ) Net income Unfunded pension liability: Amortization of net loss included in net periodic pension costs (1) $ 79 $ 100 $ 95 Other operating expenses Income tax effect (17 ) (21 ) (33 ) Income tax expense Net of income tax $ 62 $ 79 $ 62 Net income (1) Accumulated other comprehensive loss components are included in the computation of net periodic pension cost. See Note 16, “Pension and Postretirement Benefit Plans,” in the accompanying Notes to the Consolidated Financial Statements in this Annual Report on Form 10-K. |
Earnings Per Common Share (Tabl
Earnings Per Common Share (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Schedule of Earnings Per Share, Basic and Diluted | The calculation of basic earnings per share and diluted earnings per share is presented below: Year Ended December 31, (dollars in thousands, except share and per share data) 2019 2018 2017 Numerator: Net income available to common shareholders $ 59,206 $ 63,792 $ 23,016 Denominator for basic earnings per share – Weighted average shares outstanding (1) 20,142,306 20,234,792 17,150,125 Effect of dilutive potential common shares 91,065 155,375 248,798 Denominator for diluted earnings per share – Adjusted weighted average shares outstanding 20,233,371 20,390,167 17,398,923 Basic earnings per share $ 2.94 $ 3.15 $ 1.34 Diluted earnings per share 2.93 3.13 1.32 Antidilutive shares excluded from computation of average dilutive earnings per share 3,671 19,422 27,159 (1) Excludes restricted stock. |
Revenue from Contracts with C_2
Revenue from Contracts with Customers (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Revenue from Contract with Customer [Abstract] | |
Disaggregation of Revenue | The following table presents the Corporation’s noninterest income by revenue stream and reportable segment for the years ended December 31, 2019 and 2018 and 2017 , respectively. Items outside the scope of ASC 606 are noted as such. For the Year Ended December 31, 2019 2018 2017 (dollars in thousands) Banking Wealth Consolidated Banking Wealth Consolidated Banking Wealth Consolidated Fees for wealth management services $ — $ 44,400 $ 44,400 $ — $ 42,326 $ 42,326 $ — $ 38,735 $ 38,735 Insurance commissions — 6,877 6,877 — 6,808 6,808 — 4,589 4,589 Capital markets revenue (1) 11,276 — 11,276 4,848 — 4,848 2,396 — 2,396 Service charges on deposit accounts 3,374 — 3,374 2,989 — 2,989 2,608 — 2,608 Loan servicing and other fees (1) 2,206 — 2,206 2,259 — 2,259 2,106 — 2,106 Net gain on sale of loans (1) 2,342 — 2,342 3,283 — 3,283 2,441 — 2,441 Net gain on sale of investment securities available for sale (1) — — — 7 — 7 101 — 101 Net (loss) gain on sale of OREO (84 ) — (84 ) 295 — 295 (104 ) — (104 ) Dividends on FHLB and FRB stock (1) 1,505 — 1,505 1,621 — 1,621 939 — 939 Other operating income (2) 10,182 106 10,288 11,360 186 11,546 5,124 197 5,321 Total noninterest income $ 30,801 $ 51,383 $ 82,184 $ 26,662 $ 49,320 $ 75,982 $ 15,611 $ 43,521 $ 59,132 (1) Not within the scope of ASC 606. (2) Other operating income includes Visa debit card income, safe deposit box rentals, and rent income totaling $2.2 million , $2.2 million and $2.0 million for the years ended December 31, 2019 and 2018 and 2017 , respectively, which are within the scope of ASC 606. |
Stock-Based Compensation (Table
Stock-Based Compensation (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share-based Payment Arrangement [Abstract] | |
Share-based Compensation, Activity | The following table summarizes the remaining shares authorized to be granted under the 2010 LTIP: Shares Authorized for Grant Balance, December 31, 2016 552,959 Grants of RSUs (40,137 ) Grants of PSUs (41,323 ) Expiration of unexercised options 250 Non-vesting PSUs (1) — Forfeitures of PSUs 3,899 Forfeitures of RSUs 4,305 Balance, December 31, 2017 479,953 Grants of RSUs (38,806 ) Grants of PSUs (40,722 ) Expiration of unexercised options — Non-vesting PSUs (1) — Forfeitures of PSUs 5,679 Forfeitures of RSUs 1,515 Balance, December 31, 2018 407,619 Grants of RSUs (71,716 ) Grants of PSUs (72,273 ) Expiration of unexercised options — Non-vesting PSUs (1) 12,689 PSUs added by performance factor (2) (3,688 ) Forfeitures of PSUs 17,150 Forfeitures of RSUs 9,461 Balance, December 31, 2019 299,242 (1) Non-vesting PSUs represent PSUs that did not meet their performance criteria, were cancelled and are available for future grant. (2) PSUs added by performance factor represent additional PSUs that vested as a result of performance factor exceeding the target performance at which they were granted. |
Share-based Compensation, Stock Options, Activity | The following table provides information about options outstanding: For the Year Ended December 31, 2019 2018 2017 Shares Weighted Average Exercise Price Weighted Average Grant Date Fair Value Shares Weighted Average Exercise Price Weighted Average Grant Date Fair Value Shares Weighted Average Exercise Price Weighted Average Grant Date Fair Value Options outstanding, beginning of period 50,601 $ 18.28 $ 4.68 115,246 $ 20.73 $ 4.86 185,023 $ 21.04 $ 4.88 Expired — — — — — — (250 ) 22.00 4.90 Exercised (49,700 ) 18.26 4.46 (64,645 ) 22.65 5.00 (69,527 ) 21.55 4.91 Options outstanding, end of period 901 19.33 16.78 50,601 18.28 4.68 115,246 20.73 4.86 |
Schedule of Share-based Compensation, Shares Authorized under Stock Option Plans, by Exercise Price Range | The following table provides information related to options as of December 31, 2019 : Range of Exercise Prices Options Outstanding and Exercisable Remaining Contractual Life (in years) Weighted Average Exercise Price (1) $ 16.02 to $ 17.17 338 0.07 $ 16.02 17.18 to 18.33 563 4.05 18.33 Total Outstanding and Exercisable 901 |
Schedule of Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Grant Date Intrinsic Value | Proceeds, related tax benefits realized from options exercised and intrinsic value of options exercised were as follows: Year Ended December 31, (dollars in thousands) 2019 2018 2017 Proceeds from strike price of value of options exercised $ 907 $ 1,464 $ 1,498 Related tax benefit recognized 212 312 506 Proceeds of options exercised $ 1,119 $ 1,776 $ 2,004 Intrinsic value of options exercised $ 1,010 $ 1,512 $ 1,445 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Vested and Expected to Vest, Outstanding and Exercisable | The following table provides information about options outstanding and exercisable options: As of December 31, 2019 2018 2017 (dollars in thousands, except share data and exercise price) Options Outstanding Exercisable Options Options Outstanding Exercisable Options Options Outstanding Exercisable Options Number 901 901 50,601 50,601 115,246 115,246 Weighted average exercise price $ 19.33 $ 19.33 $ 18.28 $ 18.28 $ 20.73 $ 20.73 Aggregate intrinsic value $ 20 $ 20 $ 1,478 $ 1,478 $ 2,705 $ 2,705 Weighted average contractual term 2.6 years 2.6 years 0.7 years 0.7 years 1.2 years 1.2 years |
Schedule of Nonvested Restricted Stock Units Activity | The following table details the RSUs for the year s ended December 31, 2019 , 2018 and 2017 : Year Ended December 31, 2019 2018 2017 Number of Shares Weighted Number of Shares Weighted Number of Shares Weighted Beginning balance 76,746 $ 39.71 75,707 $ 35.80 58,862 $ 29.57 Granted 71,716 36.28 38,806 42.23 40,137 41.23 Vested (23,535 ) 34.66 (36,252 ) 34.38 (18,987 ) 29.40 Forfeited (9,461 ) 40.23 (1,515 ) 36.52 (4,305 ) 29.54 Ending balance 115,466 38.57 76,746 39.71 75,707 35.80 |
Schedule of Nonvested Performance-based Units Activity | The following table details the PSUs for the year s ended December 31, 2019 , 2018 and 2017 : Year Ended December 31, 2019 2018 2017 Number of Shares Weighted Number of Shares Weighted Number of Shares Weighted Beginning balance 121,656 $ 36.82 168,453 $ 24.76 192,844 $ 18.77 Granted 72,273 34.26 40,722 44.56 41,323 37.86 Vested (1) (31,507 ) 29.38 (81,840 ) 16.40 (61,815 ) 15.05 Added by performance factor 3,688 30.45 — — — — Non-vesting (2) (12,689 ) 27.13 — — — — Forfeited (17,150 ) 37.15 (5,679 ) 28.79 (3,899 ) 21.45 Ending balance 136,271 37.87 121,656 36.82 168,453 24.76 (1) Includes an aggregate of 39 shares paid in cash in lieu of fractional shares for the year ended December 31, 2019 . (2) Non-vesting PSUs represent PSUs that did not meet their performance criteria, were cancelled and are available for future grant. |
Fair Value Measurement (Tables)
Fair Value Measurement (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value, Assets Measured on Recurring and Nonrecurring Basis | Fair value of assets measured on a recurring basis as of December 31, 2019 : (dollars in thousands) Total Level 1 Level 2 Level 3 Investment securities available for sale: U.S. Treasury securities $ 500,101 $ 500,101 $ — $ — Obligations of U.S. government & agencies 102,020 — 102,020 — Obligations of state & political subdivisions 5,379 — 5,379 — Mortgage-backed securities 366,002 — 366,002 — Collateralized mortgage obligations 31,832 — 31,832 — Other investment securities 650 — 650 — Total investment securities available for sale $ 1,005,984 $ 500,101 $ 505,883 $ — Investment securities trading: Mutual funds $ 8,621 $ 8,621 $ — $ — Derivatives: Interest rate swaps 47,627 — 47,627 — RPAs purchased 90 — 90 — Total Derivatives $ 47,717 $ — $ 47,717 $ — Total assets measured on a recurring basis at fair value $ 1,062,322 $ 508,722 $ 553,600 $ — Fair value of assets measured on a non-recurring basis as of December 31, 2019 : (dollars in thousands) Total Level 1 Level 2 Level 3 Mortgage servicing rights $ 4,838 $ — $ — $ 4,838 Impaired loans and leases 15,311 — — 15,311 Total assets measured at fair value on a non-recurring basis $ 20,149 $ — $ — $ 20,149 Fair value of assets measured on a recurring basis as of December 31, 2018 : (dollars in thousands) Total Level 1 Level 2 Level 3 Investment securities available for sale: U.S. Treasury securities $ 200,013 $ 200,013 $ — $ — Obligations of U.S. government & agencies 195,855 — 195,855 — Obligations of state & political subdivisions 11,332 — 11,332 — Mortgage-backed securities 289,890 — 289,890 — Collateralized mortgage obligations 39,252 — 39,252 — Other investment securities 1,100 — 1,100 — Total investment securities available for sale $ 737,442 $ 200,013 $ 537,429 $ — Investment securities trading: Mutual funds $ 7,502 $ 7,502 $ — $ — Derivatives: Interest rate swaps 12,550 — 12,550 — RPAs purchased 71 — 71 Total derivatives $ 12,621 $ — $ 12,621 $ — Total recurring fair value measurements $ 757,565 $ 207,515 $ 550,050 $ — Fair value of assets measured on a non-recurring basis as of December 31, 2018 : (dollars in thousands) Total Level 1 Level 2 Level 3 Mortgage servicing rights $ 6,277 $ — $ — $ 6,277 Impaired loans and leases 22,112 — — 22,112 OREO 417 — — 417 Total assets measured at fair value on a non-recurring basis $ 28,806 $ — $ — $ 28,806 |
Disclosure about Fair Value o_2
Disclosure about Fair Value of Financial Instruments (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Fair Value, by Balance Sheet Grouping | The carrying amount and fair value of the Corporation’s financial instruments are as follows: As of December 31, 2019 2018 (dollars in thousands) Fair Value (1) Carrying Fair Value Carrying Fair Value Financial assets: Cash and cash equivalents Level 1 $ 53,931 $ 53,931 $ 48,456 $ 48,456 Investment securities - available for sale See Note 23 1,005,984 1,005,984 737,442 737,442 Investment securities - trading See Note 23 8,621 8,621 7,502 7,502 Investment securities – held to maturity Level 2 12,577 12,661 8,684 8,438 Loans held for sale Level 2 4,249 4,249 1,749 1,749 Net portfolio loans and leases Level 3 3,666,711 3,596,268 3,407,728 3,414,921 Mortgage servicing rights Level 3 4,450 4,838 5,047 6,277 Interest rate swaps Level 2 47,627 47,627 12,550 12,550 Risk participation agreements purchased Level 2 90 90 71 71 Other assets Level 3 52,908 52,908 43,641 43,641 Total financial assets $ 4,857,148 $ 4,787,177 $ 4,272,870 $ 4,281,047 Financial liabilities: Deposits Level 2 $ 3,842,245 $ 3,842,014 $ 3,599,087 $ 3,594,123 Short-term borrowings Level 2 493,219 493,219 252,367 252,367 Long-term FHLB advances Level 2 52,269 52,380 55,374 54,803 Subordinated notes Level 2 98,705 97,199 98,526 100,120 Junior subordinated debentures Level 2 21,753 25,652 21,580 31,176 Interest rate swaps Level 2 47,627 47,627 12,549 12,549 Risk participation agreements sold Level 2 16 16 2 2 Other liabilities Level 3 50,251 50,251 60,847 60,847 Total financial liabilities $ 4,606,085 $ 4,608,358 $ 4,100,332 $ 4,105,987 (1) See Note 23, “Fair Value Measurement,” in the accompanying Notes to the Consolidated Financial Statements in this Annual Report on Form 10-K for a description of hierarchy levels. |
Regulatory Capital Requiremen_2
Regulatory Capital Requirements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Broker-Dealer, Net Capital Requirement, SEC Regulation [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | The following table presents BMBC's and the Bank’s regulatory capital ratios and the minimum capital requirements for the Bank to be considered “Well Capitalized” by regulators as of December 31, 2019 and 2018 : Actual Minimum to be Well Capitalized (dollars in thousands) Amount Ratio Amount Ratio December 31, 2019 Total capital to risk weighted assets: BMBC $ 547,440 14.69 % $ 372,690 10.00 % Bank $ 450,212 12.09 % $ 372,435 10.00 % Tier I capital to risk weighted assets: BMBC $ 425,773 11.42 % $ 298,152 8.00 % Bank $ 427,250 11.47 % $ 297,948 8.00 % Common equity Tier I risk weighted assets: BMBC $ 404,715 10.86 % $ 242,249 6.50 % Bank $ 427,250 11.47 % $ 242,083 6.50 % Tier I leverage ratio (Tier I capital to total quarterly average assets): BMBC $ 425,773 9.33 % $ 228,216 5.00 % Bank $ 427,250 9.37 % $ 227,997 5.00 % December 31, 2018 Total capital to risk weighted assets: BMBC $ 500,375 14.30 % $ 349,918 10.00 % Bank $ 419,136 11.99 % $ 349,692 10.00 % Tier I capital to risk weighted assets: BMBC $ 382,151 10.92 % $ 279,934 8.00 % Bank $ 399,438 11.42 % $ 279,754 8.00 % Common equity Tier I to risk weighted assets: BMBC $ 361,256 10.32 % $ 227,446 6.50 % Bank $ 399,438 11.42 % $ 227,300 6.50 % Tier I leverage ratio (Tier I capital to total quarterly average assets): BMBC $ 382,151 9.06 % $ 210,830 5.00 % Bank $ 399,438 9.48 % $ 210,615 5.00 % |
Selected Quarterly Financial _2
Selected Quarterly Financial Data (Unaudited) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Data [Abstract] | |
Quarterly Financial Information | 2019 (dollars in thousands, except per share data) 1 st Quarter 2 nd Quarter 3 rd Quarter 4 th Quarter Interest income $ 48,468 $ 48,388 $ 49,573 $ 46,960 Interest expense 10,821 11,777 12,175 10,975 Net interest income 37,647 36,611 37,398 35,985 Provision for loan and lease losses 3,736 1,627 919 2,225 Noninterest income 19,253 20,221 19,455 23,255 Noninterest expense 39,724 35,188 35,173 36,430 Income before income taxes 13,440 20,017 20,761 20,585 Income taxes 2,764 4,239 4,402 4,202 Net income 10,676 15,778 16,359 16,383 Net loss attributable to noncontrolling interest (1 ) (7 ) (1 ) (1 ) Net income attributable to Bryn Mawr Bank Corporation $ 10,677 $ 15,785 $ 16,360 $ 16,384 Basic earnings per common share (1) $ 0.53 $ 0.78 $ 0.81 $ 0.81 Diluted earnings per common share (1) $ 0.53 $ 0.78 $ 0.81 $ 0.81 Dividend paid or accrued $ 0.25 $ 0.25 $ 0.26 $ 0.26 2018 (dollars in thousands, except per share data) 1 st Quarter 2 nd Quarter 3 rd Quarter 4 th Quarter Interest income $ 43,534 $ 44,754 $ 45,233 $ 47,534 Interest expense 6,095 7,438 8,504 9,547 Net interest income 37,439 37,316 36,729 37,987 Provision for loan and lease losses 1,030 3,137 664 2,362 Noninterest income 19,536 20,075 18,274 18,097 Noninterest expense 36,030 35,836 33,592 34,845 Income before income taxes 19,915 18,418 20,747 18,877 Income taxes 4,630 3,723 4,066 1,746 Net income 15,285 14,695 16,681 17,131 Net (loss) income attributable to noncontrolling interest (1 ) 7 (1 ) (5 ) Net income attributable to Bryn Mawr Bank Corporation $ 15,286 $ 14,688 $ 16,682 $ 17,136 Basic earnings per common share (1) $ 0.76 $ 0.73 $ 0.82 $ 0.85 Diluted earnings per common share (1) $ 0.75 $ 0.72 $ 0.82 $ 0.84 Dividend paid or accrued $ 0.22 $ 0.22 $ 0.25 $ 0.25 (1) Earnings per share is computed independently for each period shown. As a result, the sum of the quarters may not equal the total earnings per share for the year. |
Parent Company - Only Financi_2
Parent Company - Only Financial Statements (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information Disclosure [Abstract] | |
Condensed Balance Sheet | Condensed Balance Sheets December 31, (dollars in thousands) 2019 2018 Assets: Cash and cash equivalents $ 93,250 $ 78,143 Investment securities 543 418 Investments in subsidiaries, as equity in net assets 638,770 606,023 Premises and equipment, net 1,993 2,091 Goodwill 245 245 Other assets 1,184 1,060 Total assets 735,985 687,980 Liabilities and shareholders’ equity: Subordinated notes 98,705 98,526 Junior subordinated debentures 21,753 21,580 Other liabilities 2,605 2,485 Total liabilities 123,063 122,591 Common stock, par value $1; authorized 100,000,000 shares; issued 24,650,051 and 24,545,348 shares as of December 31, 2019 and December 31, 2018, respectively, and outstanding of 20,126,296 and 20,163,816 as of December 31, 2019 and December 31, 2018, respectively 24,650 24,545 Paid-in capital in excess of par value 378,606 374,010 Less: Common stock in treasury at cost - 4,523,755 and 4,381,532 shares as of December 31, 2019 and December 31, 2018, respectively (81,174 ) (75,883 ) Accumulated other comprehensive income (loss), net of deferred income taxes 2,187 (7,513 ) Retained earnings 288,653 250,230 Total shareholders’ equity 612,922 565,389 Total liabilities and shareholders’ equity $ 735,985 $ 687,980 |
Condensed Income Statement | Condensed Statements of Income Year Ended December 31, (dollars in thousands) 2019 2018 2017 Dividends from subsidiaries $ 35,731 $ 30,900 $ 950 Net interest and other income 10,962 2,615 2,761 Total operating income 46,693 33,515 3,711 Expenses 10,517 3,527 2,782 Income before equity in undistributed income of subsidiaries 36,176 29,988 929 Equity in undistributed income of subsidiaries 23,048 32,779 21,053 Income before income taxes 59,224 62,767 21,982 Income tax expense (benefit) 18 (1,025 ) (1,034 ) Net income $ 59,206 $ 63,792 $ 23,016 |
Condensed Cash Flow Statement | Condensed Statements of Cash Flows Year Ended December 31, (dollars in thousands) 2019 2018 2017 Operating activities: Net income $ 59,206 $ 63,792 $ 23,016 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed income of subsidiaries (23,048 ) (32,779 ) (21,053 ) Depreciation and amortization 98 98 154 Stock-based compensation cost 3,725 2,750 2,068 Other, net 225 2,860 1,241 Net cash provided by operating activities 40,206 36,721 5,426 Investing Activities: Investment in subsidiaries — — (15,300 ) Net change in trading securities — 40 (58 ) Acquisitions, net of cash acquired — — 531 Net cash provided by (used in) investing activities — 40 (14,827 ) Financing activities: Dividends paid (20,685 ) (19,289 ) (14,799 ) Proceeds from issuance of subordinated notes — — 68,829 Net (purchase of) proceeds from sale of treasury stock for deferred compensation plans (172 ) 2 (115 ) Net purchase of treasury stock through publicly announced plans (4,524 ) (5,936 ) — Cash payments to taxing authorities on employees' behalf from shares withheld from stock-based compensation (625 ) (1,639 ) (1,140 ) Proceeds from exercise of stock options 907 1,464 1,498 Repurchase of treasury warrants — (1,755 ) — Net cash (used in) provided by financing activities (25,099 ) (27,153 ) 54,273 Change in cash and cash equivalents 15,107 9,608 44,872 Cash and cash equivalents at beginning of period 78,143 68,535 23,663 Cash and cash equivalents at end of period $ 93,250 $ 78,143 $ 68,535 |
Segment Information (Tables)
Segment Information (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Schedule of Segment Reporting Information, by Segment | (dollars in millions) December 31, December 31, Assets under management, administration, supervision and brokerage $ 16,548.1 $ 13,429.5 As of or for the Year Ended December 31, 2019 2018 2017 (dollars in thousands) Banking Wealth Management Consolidated Banking Wealth Management Consolidated Banking Wealth Consolidated Net interest income $ 147,635 $ 6 $ 147,641 $ 149,464 $ 7 $ 149,471 $ 115,124 $ 3 $ 115,127 Provision for loan and lease losses 8,507 — 8,507 7,193 — 7,193 2,618 — 2,618 Net interest income after loan loss provision 139,128 6 139,134 142,271 7 142,278 112,506 3 112,509 Noninterest income: Fees for wealth management services — 44,400 44,400 — 42,326 42,326 — 38,735 38,735 Insurance commissions — 6,877 6,877 — 6,808 6,808 — 4,589 4,589 Capital markets revenue 11,276 — 11,276 4,848 — 4,848 2,396 — 2,396 Service charges on deposit accounts 3,374 — 3,374 2,989 — 2,989 2,608 — 2,608 Loan servicing and other fees 2,206 — 2,206 2,259 — 2,259 2,106 — 2,106 Net gain on sale of loans 2,342 — 2,342 3,283 — 3,283 2,441 — 2,441 Net gain on sale of investment securities available for sale — — — 7 — 7 101 — 101 Net (loss) gain on sale of OREO (84 ) — (84 ) 295 — 295 (104 ) — (104 ) Other operating income 11,687 106 11,793 12,981 186 13,167 6,063 197 6,260 Total noninterest income 30,801 51,383 82,184 26,662 49,320 75,982 15,611 43,521 59,132 Noninterest expenses: Salaries & wages 54,076 20,295 74,371 46,936 19,735 66,671 36,559 16,692 53,251 Employee benefits 9,572 3,884 13,456 9,046 3,872 12,918 6,350 3,820 10,170 Occupancy and bank premise 10,547 2,044 12,591 9,588 2,011 11,599 8,208 1,698 9,906 Amortization of intangible assets 1,309 2,492 3,801 1,555 2,101 3,656 783 1,951 2,734 Professional fees 4,840 594 5,434 3,747 456 4,203 2,998 270 3,268 Other operating expenses 30,599 6,263 36,862 35,928 5,328 41,256 30,605 4,461 35,066 Total noninterest expenses 110,943 35,572 146,515 106,800 33,503 140,303 85,503 28,892 114,395 Segment profit 58,986 15,817 74,803 62,133 15,824 77,957 42,614 14,632 57,246 Intersegment (revenues) expenses (1) (613 ) 613 — (715 ) 715 — (448 ) 448 — Pre-tax segment profit after eliminations $ 58,373 $ 16,430 $ 74,803 $ 61,418 $ 16,539 $ 77,957 $ 42,166 $ 15,080 $ 57,246 % of segment pre-tax profit after eliminations 78.0 % 22.0 % 100.0 % 78.8 % 21.2 % 100.0 % 73.7 % 26.3 % 100.0 % Segment assets (dollars in millions) $ 5,210.4 $ 52.9 $ 5,263.3 $ 4,601.7 $ 50.8 $ 4,652.5 $ 4,398.5 $ 51.2 $ 4,449.7 (1) Inter-segment revenues consist of rental payments, interest on deposits and management fees. |
Summary of Significant Accoun_3
Summary of Significant Accounting Policies (Details) | May 01, 2018USD ($)payment | Dec. 15, 2017USD ($)branchshares | May 24, 2017USD ($)payment | Sep. 30, 2019USD ($) | Jun. 30, 2018payment | Dec. 31, 2019USD ($)paymentunitbanking_locationtrustofficelocationplan | Dec. 31, 2018USD ($)payment | Dec. 31, 2017USD ($) |
Business Acquisition [Line Items] | ||||||||
Number of banking locations | banking_location | 43 | |||||||
Number of wealth offices | office | 7 | |||||||
Number of insurance and risk management locations | location | 2 | |||||||
Number of trusts acquired | trust | 2 | |||||||
Cash reserve deposit required and made | $ 24,600,000 | $ 4,300,000 | ||||||
Other than temporary impairment losses | $ 0 | 0 | $ 0 | |||||
Delinquency period after which the accrual of Interest Is generally discontinued | 90 days | |||||||
Delinquency period after which a lease Is charged off | 120 days | |||||||
Federal home loan bank stock | $ 23,744,000 | $ 14,530,000 | ||||||
Federal reserve bank stock | $ 12,000,000 | |||||||
Number of non-qualified defined benefit supplemental executive retirement plans | plan | 2 | |||||||
Number of reporting units | unit | 3 | |||||||
Domenick | ||||||||
Business Acquisition [Line Items] | ||||||||
Value of consideration | $ 1,456,000 | |||||||
Cash paid at closing | $ 750,000 | $ 225,000 | ||||||
Number of contingent cash payments | payment | 2 | 2 | ||||||
Maximum contingent cash payment amount per period | $ 250,000 | |||||||
RBPI | ||||||||
Business Acquisition [Line Items] | ||||||||
Value of consideration | $ 138,740,000 | |||||||
Number of shares issued | shares | 3,101,316 | |||||||
Number of securities called by warrants | shares | 140,224 | |||||||
Warrants to purchase BMTC common stock value | $ 1,900,000 | |||||||
Cash-out of certain options | 112,000 | |||||||
Cash in lieu of fractional shares | 7,000 | |||||||
Loans assumed | 570,400,000 | |||||||
Investment securities available for sale | 121,587,000 | |||||||
Deposits | $ 593,172,000 | |||||||
Number of branches acquired | branch | 12 | |||||||
Hirshorn | ||||||||
Business Acquisition [Line Items] | ||||||||
Value of consideration | $ 7,460,000 | |||||||
Cash paid at closing | $ 5,770,000 | |||||||
Number of contingent cash payments | payment | 1 | |||||||
Number of contingent cash payments made | payment | 1 | 2 | ||||||
Contingent cash payments, maximum payment of each installment | $ 575,000 |
Recent Accounting Pronounceme_2
Recent Accounting Pronouncements Recent Accounting Pronouncements (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Jan. 01, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Operating Leased Assets [Line Items] | ||||
Operating lease liabilities | $ 45,258 | |||
Operating lease right-of-use assets | 40,961 | |||
Increase in ACL | $ 22,602 | $ 19,426 | $ 17,525 | |
Accounting Standards Update 2016-02 | ||||
Operating Leased Assets [Line Items] | ||||
Operating lease liabilities | $ 49,100 | |||
Operating lease right-of-use assets | 49,100 | |||
Favorable lease assets derecognized | (541) | |||
Unfavorable lease liabilities derecognized | (2,200) | |||
Deferred rent derecognized | $ (2,500) | |||
Accounting Standards Update 2016-13 | ||||
Operating Leased Assets [Line Items] | ||||
Reserves for unfunded commitments, maximum (as a percent) | 130.00% | |||
Maximum | Accounting Standards Update 2016-13 | ||||
Operating Leased Assets [Line Items] | ||||
Increase in ACL | $ 6,800 |
Business Combinations - Narrati
Business Combinations - Narrative (Details) $ in Thousands | May 01, 2018USD ($)payment | Dec. 15, 2017USD ($)shares | May 24, 2017USD ($)payment | Sep. 30, 2019USD ($) | Dec. 31, 2018payment |
Domenick | |||||
Business Acquisition [Line Items] | |||||
Value of consideration | $ 1,456 | ||||
Cash paid at closing | $ 750 | $ 225 | |||
Number of contingent cash payments | payment | 2 | 2 | |||
Maximum contingent cash payment amount per period | $ 250 | ||||
RBPI | |||||
Business Acquisition [Line Items] | |||||
Value of consideration | $ 138,740 | ||||
Number of shares issued | shares | 3,101,316 | ||||
Cash in lieu of fractional shares | $ 7 | ||||
Cash-out of certain options | $ 112 | ||||
Warrants converted by acquirer | shares | 1,368,040 | ||||
Fair value of warrants assumed | $ 1,853 | ||||
Number of securities called by warrants | shares | 140,224 | ||||
RBPI | Common Class A | |||||
Business Acquisition [Line Items] | |||||
Stock consideration, conversion ratio of shares in acquirer | 0.1025 | ||||
RBPI | Common Class B | |||||
Business Acquisition [Line Items] | |||||
Stock consideration, conversion ratio of shares in acquirer | 0.1179 | ||||
Hirshorn | |||||
Business Acquisition [Line Items] | |||||
Value of consideration | $ 7,460 | ||||
Cash paid at closing | $ 5,770 | ||||
Number of contingent cash payments | payment | 1 | ||||
Contingent cash payments, maximum payment of each installment | $ 575 |
Business Combinations - Schedul
Business Combinations - Schedules of Assets and Liabilities Assumed (Details) - USD ($) $ in Thousands | May 01, 2018 | Dec. 15, 2017 | May 24, 2017 | Sep. 30, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Liabilities assumed: | |||||||
Goodwill | $ 184,012 | $ 184,012 | $ 179,889 | ||||
Domenick | |||||||
Consideration paid: | |||||||
Cash paid at closing | $ 750 | $ 225 | |||||
Contingent payment liability (present value) | 706 | ||||||
Value of consideration | 1,456 | ||||||
Assets acquired: | |||||||
Cash and due from banks | 370 | ||||||
Premises and equipment | 1 | ||||||
Other assets | 316 | ||||||
Total assets | 1,466 | ||||||
Liabilities assumed: | |||||||
Accounts payable | 657 | ||||||
Other liabilities | 30 | ||||||
Total liabilities | 687 | ||||||
Net assets acquired | 779 | ||||||
Goodwill | 677 | ||||||
Domenick | Customer relationships | |||||||
Assets acquired: | |||||||
Intangible assets - customer relationships | $ 779 | ||||||
RBPI | |||||||
Consideration paid: | |||||||
Common shares issued (3,101,316) | $ 136,768 | ||||||
Cash in lieu of fractional shares | 7 | ||||||
Cash-out of certain options | 112 | ||||||
Fair value of warrants assumed | 1,853 | ||||||
Value of consideration | $ 138,740 | ||||||
Number of shares issued | 3,101,316 | ||||||
Assets acquired: | |||||||
Cash and due from banks | $ 17,092 | ||||||
Premises and equipment | 8,264 | ||||||
Other assets | 13,611 | ||||||
Investment securities available for sale | 121,587 | ||||||
Loans | 566,228 | ||||||
Deferred income taxes | 34,823 | ||||||
Bank-owned life insurance | 16,550 | ||||||
Total assets | 783,391 | ||||||
Liabilities assumed: | |||||||
Other liabilities | 31,381 | ||||||
Deposits | 593,172 | ||||||
FHLB and other long-term borrowings | 59,568 | ||||||
Short-term borrowings | 15,000 | ||||||
Junior subordinated debentures | 21,416 | ||||||
Unfavorable lease liability | 322 | ||||||
Total liabilities | 720,859 | ||||||
Net assets acquired | 62,532 | ||||||
Goodwill | 76,208 | ||||||
RBPI | Core deposit intangible | |||||||
Assets acquired: | |||||||
Intangible assets - customer relationships | 4,670 | ||||||
RBPI | Favorable lease assets | |||||||
Assets acquired: | |||||||
Intangible assets - customer relationships | $ 566 | ||||||
Hirshorn | |||||||
Consideration paid: | |||||||
Cash paid at closing | $ 5,770 | ||||||
Contingent payment liability (present value) | 1,690 | ||||||
Value of consideration | 7,460 | ||||||
Assets acquired: | |||||||
Cash and due from banks | 978 | ||||||
Premises and equipment | 1,795 | ||||||
Other assets | 27 | ||||||
Accounts receivable | 192 | ||||||
Total assets | 5,900 | ||||||
Liabilities assumed: | |||||||
Accounts payable | 800 | ||||||
Other liabilities | 2 | ||||||
Total liabilities | 802 | ||||||
Net assets acquired | 5,098 | ||||||
Goodwill | 2,362 | ||||||
Hirshorn | Trade names | |||||||
Assets acquired: | |||||||
Intangible assets - customer relationships | 195 | ||||||
Hirshorn | Customer relationships | |||||||
Assets acquired: | |||||||
Intangible assets - customer relationships | 2,672 | ||||||
Hirshorn | Non-compete agreements | |||||||
Assets acquired: | |||||||
Intangible assets - customer relationships | $ 41 |
Business Combinations - Pro For
Business Combinations - Pro Forma Income Statements (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | |||||||||||
Total interest income | $ 46,960 | $ 49,573 | $ 48,388 | $ 48,468 | $ 47,534 | $ 45,233 | $ 44,754 | $ 43,534 | $ 193,389 | $ 181,055 | $ 129,559 |
Total interest expense | 10,975 | 12,175 | 11,777 | 10,821 | 9,547 | 8,504 | 7,438 | 6,095 | 45,748 | 31,584 | 14,432 |
Net interest income | 35,985 | 37,398 | 36,611 | 37,647 | 37,987 | 36,729 | 37,316 | 37,439 | 147,641 | 149,471 | 115,127 |
Net interest income after provision for loan and lease losses | 139,134 | 142,278 | 112,509 | ||||||||
Total noninterest income | 23,255 | 19,455 | 20,221 | 19,253 | 18,097 | 18,274 | 20,075 | 19,536 | 82,184 | 75,982 | 59,132 |
Total noninterest expenses | 36,430 | 35,173 | 35,188 | 39,724 | 34,845 | 33,592 | 35,836 | 36,030 | 146,515 | 140,303 | 114,395 |
Income before income taxes | 20,585 | 20,761 | 20,017 | 13,440 | 18,877 | 20,747 | 18,418 | 19,915 | 74,803 | 77,957 | 57,246 |
Income tax expense | 4,202 | 4,402 | 4,239 | 2,764 | 1,746 | 4,066 | 3,723 | 4,630 | 15,607 | 14,165 | 34,230 |
Net income attributable to Bryn Mawr Bank Corporation | $ 16,384 | $ 16,360 | $ 15,785 | $ 10,677 | $ 17,136 | $ 16,682 | $ 14,688 | $ 15,286 | $ 59,206 | $ 63,792 | $ 23,016 |
Weighted-average basic shares outstanding (in shares) | 20,142,306 | 20,234,792 | 17,150,125 | ||||||||
Dilutive shares (in shares) | 91,065 | 155,375 | 248,798 | ||||||||
Adjusted weighted-average diluted shares (in shares) | 20,233,371 | 20,390,167 | 17,398,923 | ||||||||
Basic earnings per common share (in dollars per share) | $ 0.81 | $ 0.81 | $ 0.78 | $ 0.53 | $ 0.85 | $ 0.82 | $ 0.73 | $ 0.76 | $ 2.94 | $ 3.15 | $ 1.34 |
Diluted earnings per common share (in dollars per share) | $ 0.81 | $ 0.81 | $ 0.78 | $ 0.53 | $ 0.84 | $ 0.82 | $ 0.72 | $ 0.75 | $ 2.93 | $ 3.13 | $ 1.32 |
Pro Forma | |||||||||||
Business Acquisition, Pro Forma Information, Nonrecurring Adjustment [Line Items] | |||||||||||
Total interest income | $ 171,155 | ||||||||||
Total interest expense | 20,065 | ||||||||||
Net interest income | 151,090 | ||||||||||
Provision for loan and lease losses | 3,454 | ||||||||||
Net interest income after provision for loan and lease losses | 147,636 | ||||||||||
Total noninterest income | 61,423 | ||||||||||
Total noninterest expenses | 140,756 | ||||||||||
Income before income taxes | 68,303 | ||||||||||
Income tax expense | 40,841 | ||||||||||
Net income attributable to Bryn Mawr Bank Corporation | $ 27,462 | ||||||||||
Weighted-average basic shares outstanding (in shares) | 20,248,879 | ||||||||||
Dilutive shares (in shares) | 257,591 | ||||||||||
Adjusted weighted-average diluted shares (in shares) | 20,506,470 | ||||||||||
Basic earnings per common share (in dollars per share) | $ 1.36 | ||||||||||
Diluted earnings per common share (in dollars per share) | $ 1.34 |
Business Combinations - Due Dil
Business Combinations - Due Diligence, Merger-related and Merger Integration Costs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Business Combinations [Abstract] | |||
Advertising | $ 0 | $ 61 | $ 180 |
Employee Benefits | 0 | 271 | 21 |
Occupancy and bank premises | 0 | 2,145 | 0 |
Furniture, fixtures, and equipment | 0 | 365 | 109 |
Data processing | 0 | 421 | 837 |
Professional fees | 0 | 1,450 | 3,160 |
Salaries and wages | 0 | 852 | 1,285 |
Other | 0 | 2,196 | 512 |
Total due diligence, merger-related and merger integration expenses | $ 0 | $ 7,761 | $ 6,104 |
Investment Securities - Amortiz
Investment Securities - Amortized Cost and Fair Value of Securities Available for Sale (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | $ 1,001,034 | $ 745,328 |
Gross Unrealized Gains | 5,618 | 805 |
Gross Unrealized Losses | (668) | (8,691) |
Fair Value | 1,005,984 | 737,442 |
U.S. Treasury securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 500,066 | 200,026 |
Gross Unrealized Gains | 35 | 0 |
Gross Unrealized Losses | 0 | (13) |
Fair Value | 500,101 | 200,013 |
Obligations of the U.S. government and agencies | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 102,179 | 198,604 |
Gross Unrealized Gains | 193 | 107 |
Gross Unrealized Losses | (352) | (2,856) |
Fair Value | 102,020 | 195,855 |
Obligations of state and political subdivisions | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 5,366 | 11,372 |
Gross Unrealized Gains | 13 | 3 |
Gross Unrealized Losses | 0 | (43) |
Fair Value | 5,379 | 11,332 |
Mortgage-backed securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 360,977 | 294,076 |
Gross Unrealized Gains | 5,182 | 554 |
Gross Unrealized Losses | (157) | (4,740) |
Fair Value | 366,002 | 289,890 |
Collateralized mortgage obligations | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 31,796 | 40,150 |
Gross Unrealized Gains | 195 | 141 |
Gross Unrealized Losses | (159) | (1,039) |
Fair Value | 31,832 | 39,252 |
Other investment securities | ||
Debt Securities, Available-for-sale [Line Items] | ||
Amortized Cost | 650 | 1,100 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Fair Value | $ 650 | $ 1,100 |
Investment Securities - Securit
Investment Securities - Securities Available for Sale in an Unrealized Loss Position (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value | ||
Securities available for sale, less than 12 months, fair value | $ 89,258 | $ 256,644 |
Securities available for sale, 12 months or longer, fair value | 24,804 | 367,269 |
Securities available for sale, fair value | 114,062 | 623,913 |
Unrealized Losses | ||
Securities available for sale, less than 12 months, unrealized losses | (501) | (428) |
Securities available for sale, 12 months or longer, unrealized losses | (167) | (8,263) |
Securities available for sale, unrealized losses | (668) | (8,691) |
U.S. Treasury securities | ||
Fair Value | ||
Securities available for sale, less than 12 months, fair value | 199,912 | |
Securities available for sale, 12 months or longer, fair value | 0 | |
Securities available for sale, fair value | 199,912 | |
Unrealized Losses | ||
Securities available for sale, less than 12 months, unrealized losses | (13) | |
Securities available for sale, 12 months or longer, unrealized losses | 0 | |
Securities available for sale, unrealized losses | (13) | |
Obligations of the U.S. government and agencies | ||
Fair Value | ||
Securities available for sale, less than 12 months, fair value | 48,497 | 12,916 |
Securities available for sale, 12 months or longer, fair value | 7,966 | 140,506 |
Securities available for sale, fair value | 56,463 | 153,422 |
Unrealized Losses | ||
Securities available for sale, less than 12 months, unrealized losses | (315) | (62) |
Securities available for sale, 12 months or longer, unrealized losses | (37) | (2,794) |
Securities available for sale, unrealized losses | (352) | (2,856) |
Obligations of state and political subdivisions | ||
Fair Value | ||
Securities available for sale, less than 12 months, fair value | 0 | |
Securities available for sale, 12 months or longer, fair value | 3,989 | |
Securities available for sale, fair value | 3,989 | |
Unrealized Losses | ||
Securities available for sale, less than 12 months, unrealized losses | 0 | |
Securities available for sale, 12 months or longer, unrealized losses | (43) | |
Securities available for sale, unrealized losses | (43) | |
Mortgage-backed securities | ||
Fair Value | ||
Securities available for sale, less than 12 months, fair value | 33,783 | 43,276 |
Securities available for sale, 12 months or longer, fair value | 5,977 | 195,697 |
Securities available for sale, fair value | 39,760 | 238,973 |
Unrealized Losses | ||
Securities available for sale, less than 12 months, unrealized losses | (119) | (352) |
Securities available for sale, 12 months or longer, unrealized losses | (38) | (4,388) |
Securities available for sale, unrealized losses | (157) | (4,740) |
Collateralized mortgage obligations | ||
Fair Value | ||
Securities available for sale, less than 12 months, fair value | 6,978 | 540 |
Securities available for sale, 12 months or longer, fair value | 10,861 | 27,077 |
Securities available for sale, fair value | 17,839 | 27,617 |
Unrealized Losses | ||
Securities available for sale, less than 12 months, unrealized losses | (67) | (1) |
Securities available for sale, 12 months or longer, unrealized losses | (92) | (1,038) |
Securities available for sale, unrealized losses | $ (159) | $ (1,039) |
Investment Securities - Narrati
Investment Securities - Narrative (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Investments, Debt and Equity Securities [Abstract] | |||
Securities pledged as collateral | $ 156,400,000 | $ 123,500,000 | |
Proceeds from sale and maturity of debt securities, available-for-sale | 0 | 7,000 | $ 130,900,000 |
Net gain (loss) on sale of available for sale investment securities | 7,000 | $ 101,000 | |
Investment securities, trading | $ 8,621,000 | $ 7,502,000 |
Investment Securities - Secur_2
Investment Securities - Securities Available for Sale Classified by Contractual Maturity (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Amortized Cost | ||
Due in one year or less, amortized cost | $ 504,851 | $ 209,129 |
Due after one year through five years, amortized cost | 38,710 | 180,657 |
Due after five years through ten years, amortized cost | 53,598 | 7,258 |
Due after ten years, amortized cost | 11,102 | 14,058 |
Subtotal, amortized cost | 608,261 | 411,102 |
Amortized Cost | 1,001,034 | 745,328 |
Fair Value | ||
Due in one year or less, fair value | 504,890 | 209,099 |
Due after one year through five years, fair value | 38,623 | 177,972 |
Due after five years through ten years, fair value | 53,457 | 7,268 |
Due after ten years, fair value | 11,180 | 13,961 |
Subtotal, fair value | 608,150 | 408,300 |
Fair Value | 1,005,984 | 737,442 |
Mortgage-backed securities | ||
Amortized Cost | ||
Securities with no stated maturity, amortized cost | 392,773 | 334,226 |
Amortized Cost | 360,977 | 294,076 |
Fair Value | ||
Securities with no stated maturity, fair value | 397,834 | 329,142 |
Fair Value | $ 366,002 | $ 289,890 |
Investment Securities - Amort_2
Investment Securities - Amortized Cost and Fair Value of Securities Held to Maturity (Details) - Mortgage-backed securities - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 12,577 | $ 8,684 |
Gross Unrealized Gains | 104 | 0 |
Gross Unrealized Losses | (20) | (246) |
Fair Value | $ 12,661 | $ 8,438 |
Investment Securities - Secur_3
Investment Securities - Securities Held to Maturity in an Unrealized Loss Position (Details) - Mortgage-backed securities - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value | ||
Less than 12 Months | $ 3,159 | $ 1,315 |
12 Months or Longer | 0 | 7,123 |
Total | 3,159 | 8,438 |
Unrealized Losses | ||
Less than 12 Months | (20) | (4) |
12 Months or Longer | 0 | (242) |
Total | $ (20) | $ (246) |
Investment Securities - Secur_4
Investment Securities - Securities Held to Maturity Classified by Contractual Maturity (Details) - Mortgage-backed securities - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Held-to-maturity Securities [Line Items] | ||
Amortized Cost | $ 12,577 | $ 8,684 |
Fair Value | $ 12,661 | $ 8,438 |
Loans and Leases - Portfolio Lo
Loans and Leases - Portfolio Loans and Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans held for sale | $ 4,249 | $ 1,749 |
Portfolio loans and leases | 3,689,313 | 3,427,154 |
Financing Receivable, after Allowance for Credit Loss | 3,693,562 | 3,428,903 |
Loans with fixed rates | 1,468,031 | 1,527,674 |
Loans with adjustable or floating rates | 2,225,531 | 1,901,229 |
Total loans and leases | 3,693,562 | 3,428,903 |
Net deferred loan origination fees included in the above loan table | (193) | 2,226 |
Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans held for sale | 4,249 | 1,749 |
Portfolio loans and leases | 3,320,816 | 2,885,251 |
Financing Receivable, after Allowance for Credit Loss | 3,325,065 | 2,887,000 |
Loans with fixed rates | 1,251,762 | 1,204,070 |
Loans with adjustable or floating rates | 2,073,303 | 1,682,930 |
Total loans and leases | 3,325,065 | 2,887,000 |
Net deferred loan origination fees included in the above loan table | (193) | 2,226 |
Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Loans held for sale | 0 | 0 |
Portfolio loans and leases | 368,497 | 541,903 |
Financing Receivable, after Allowance for Credit Loss | 368,497 | 541,903 |
Loans with fixed rates | 216,269 | 323,604 |
Loans with adjustable or floating rates | 152,228 | 218,299 |
Total loans and leases | 368,497 | 541,903 |
Net deferred loan origination fees included in the above loan table | 0 | 0 |
Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 1,913,430 | 1,657,436 |
Commercial mortgage | Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 1,674,768 | 1,327,822 |
Commercial mortgage | Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 238,662 | 329,614 |
Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 194,640 | 207,351 |
Home equity lines and loans | Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 174,804 | 181,506 |
Home equity lines and loans | Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 19,836 | 25,845 |
Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 489,903 | 494,355 |
Residential mortgage | Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 424,254 | 411,022 |
Residential mortgage | Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 65,649 | 83,333 |
Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 159,867 | 181,078 |
Construction | Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 159,867 | 174,592 |
Construction | Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 6,486 |
Total real estate loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 2,757,840 | 2,540,220 |
Total real estate loans | Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 2,433,693 | 2,094,942 |
Total real estate loans | Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 324,147 | 445,278 |
Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 709,257 | 695,584 |
Commercial and industrial | Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 675,345 | 624,643 |
Commercial and industrial | Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 33,912 | 70,941 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 57,138 | 46,814 |
Consumer | Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 54,811 | 44,099 |
Consumer | Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 2,327 | 2,715 |
Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 165,078 | 144,536 |
Leases | Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 156,967 | 121,567 |
Leases | Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | $ 8,111 | $ 22,969 |
Loans and Leases - Net Investme
Loans and Leases - Net Investments in Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Minimum lease payments receivable | $ 183,138 | $ 160,685 |
Unearned lease income | (24,454) | (22,393) |
Initial direct costs and deferred fees | 6,394 | 6,244 |
Total leases | 165,078 | 144,536 |
Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Minimum lease payments receivable | 174,385 | 135,313 |
Unearned lease income | (23,641) | (19,388) |
Initial direct costs and deferred fees | 6,223 | 5,642 |
Total leases | 156,967 | 121,567 |
Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Minimum lease payments receivable | 8,753 | 25,372 |
Unearned lease income | (813) | (3,005) |
Initial direct costs and deferred fees | 171 | 602 |
Total leases | $ 8,111 | $ 22,969 |
Loans and Leases - Non-performi
Loans and Leases - Non-performing Loans and Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | $ 10,648 | $ 12,820 |
Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 4,270 | 2,568 |
Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 779 | 3,616 |
Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 318 | 3,452 |
Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 4,337 | 2,101 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 61 | 108 |
Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 883 | 975 |
Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 5,636 | 9,061 |
Originated | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 380 | 435 |
Originated | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 779 | 3,590 |
Originated | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 190 | 2,813 |
Originated | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 3,521 | 1,786 |
Originated | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 19 | 45 |
Originated | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 747 | 392 |
Acquired | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 5,012 | 3,759 |
Acquired | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 3,890 | 2,133 |
Acquired | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 0 | 26 |
Acquired | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 128 | 639 |
Acquired | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 816 | 315 |
Acquired | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | 42 | 63 |
Acquired | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Non-accrual loans and leases | $ 136 | $ 583 |
Loans and Leases - Purchased Cr
Loans and Leases - Purchased Credit-Impaired Loans (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Receivables [Abstract] | ||
Outstanding principal balance | $ 9,798 | $ 17,904 |
Carrying amount | $ 7,897 | $ 12,304 |
Loans and Leases - Accretable D
Loans and Leases - Accretable Discount on Purchased Credit-impaired Loans (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | |
Balance | $ 2,697 |
Accretion | (1,640) |
Reclassifications from nonaccretable difference | 1,471 |
Additions/adjustments | 0 |
Disposals | (526) |
Balance | $ 2,002 |
Loans and Leases - Age Analysis
Loans and Leases - Age Analysis of Past Due Loans and Leases (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | $ 7,197 | $ 5,465 |
Loans and leases, current | 3,671,468 | 3,408,869 |
Loans and leases, accruing | 3,678,665 | 3,414,334 |
Non-accrual loans and leases | 10,648 | 12,820 |
Portfolio loans and leases | 3,689,313 | 3,427,154 |
Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 5,827 | 3,872 |
Loans and leases, current | 3,309,353 | 2,872,318 |
Loans and leases, accruing | 3,315,180 | 2,876,190 |
Non-accrual loans and leases | 5,636 | 9,061 |
Portfolio loans and leases | 3,320,816 | 2,885,251 |
Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 1,370 | 1,593 |
Loans and leases, current | 362,115 | 536,551 |
Loans and leases, accruing | 363,485 | 538,144 |
Non-accrual loans and leases | 5,012 | 3,759 |
Portfolio loans and leases | 368,497 | 541,903 |
Financing Receivables, 30 to 59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 5,710 | 4,199 |
Financing Receivables, 30 to 59 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 4,706 | 3,051 |
Financing Receivables, 30 to 59 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 1,004 | 1,148 |
Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 1,487 | 1,266 |
Financing Receivables, 60 to 89 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 1,121 | 821 |
Financing Receivables, 60 to 89 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 366 | 445 |
Financing Receivables, Equal to Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Commercial mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 2,441 | 1,072 |
Loans and leases, current | 1,906,719 | 1,653,796 |
Loans and leases, accruing | 1,909,160 | 1,654,868 |
Non-accrual loans and leases | 4,270 | 2,568 |
Portfolio loans and leases | 1,913,430 | 1,657,436 |
Commercial mortgage | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 2,441 | 1,067 |
Loans and leases, current | 1,671,947 | 1,326,320 |
Loans and leases, accruing | 1,674,388 | 1,327,387 |
Non-accrual loans and leases | 380 | 435 |
Portfolio loans and leases | 1,674,768 | 1,327,822 |
Commercial mortgage | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 5 |
Loans and leases, current | 234,772 | 327,476 |
Loans and leases, accruing | 234,772 | 327,481 |
Non-accrual loans and leases | 3,890 | 2,133 |
Portfolio loans and leases | 238,662 | 329,614 |
Commercial mortgage | Financing Receivables, 30 to 59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 2,441 | 821 |
Commercial mortgage | Financing Receivables, 30 to 59 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 2,441 | 816 |
Commercial mortgage | Financing Receivables, 30 to 59 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 5 |
Commercial mortgage | Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 251 |
Commercial mortgage | Financing Receivables, 60 to 89 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 251 |
Commercial mortgage | Financing Receivables, 60 to 89 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Commercial mortgage | Financing Receivables, Equal to Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Commercial mortgage | Financing Receivables, Equal to Greater than 90 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Commercial mortgage | Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Home equity lines and loans | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 547 | 92 |
Loans and leases, current | 193,314 | 203,643 |
Loans and leases, accruing | 193,861 | 203,735 |
Non-accrual loans and leases | 779 | 3,616 |
Portfolio loans and leases | 194,640 | 207,351 |
Home equity lines and loans | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 447 | 25 |
Loans and leases, current | 173,578 | 177,891 |
Loans and leases, accruing | 174,025 | 177,916 |
Non-accrual loans and leases | 779 | 3,590 |
Portfolio loans and leases | 174,804 | 181,506 |
Home equity lines and loans | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 100 | 67 |
Loans and leases, current | 19,736 | 25,752 |
Loans and leases, accruing | 19,836 | 25,819 |
Non-accrual loans and leases | 0 | 26 |
Portfolio loans and leases | 19,836 | 25,845 |
Home equity lines and loans | Financing Receivables, 30 to 59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 182 | 92 |
Home equity lines and loans | Financing Receivables, 30 to 59 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 82 | 25 |
Home equity lines and loans | Financing Receivables, 30 to 59 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 100 | 67 |
Home equity lines and loans | Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 365 | 0 |
Home equity lines and loans | Financing Receivables, 60 to 89 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 365 | 0 |
Home equity lines and loans | Financing Receivables, 60 to 89 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Home equity lines and loans | Financing Receivables, Equal to Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Home equity lines and loans | Financing Receivables, Equal to Greater than 90 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Home equity lines and loans | Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Residential mortgage | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 1,867 | 2,548 |
Loans and leases, current | 487,718 | 488,355 |
Loans and leases, accruing | 489,585 | 490,903 |
Non-accrual loans and leases | 318 | 3,452 |
Portfolio loans and leases | 489,903 | 494,355 |
Residential mortgage | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 1,026 | 1,545 |
Loans and leases, current | 423,038 | 406,664 |
Loans and leases, accruing | 424,064 | 408,209 |
Non-accrual loans and leases | 190 | 2,813 |
Portfolio loans and leases | 424,254 | 411,022 |
Residential mortgage | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 841 | 1,003 |
Loans and leases, current | 64,680 | 81,691 |
Loans and leases, accruing | 65,521 | 82,694 |
Non-accrual loans and leases | 128 | 639 |
Portfolio loans and leases | 65,649 | 83,333 |
Residential mortgage | Financing Receivables, 30 to 59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 1,646 | 2,330 |
Residential mortgage | Financing Receivables, 30 to 59 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 924 | 1,545 |
Residential mortgage | Financing Receivables, 30 to 59 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 722 | 785 |
Residential mortgage | Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 221 | 218 |
Residential mortgage | Financing Receivables, 60 to 89 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 102 | 0 |
Residential mortgage | Financing Receivables, 60 to 89 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 119 | 218 |
Residential mortgage | Financing Receivables, Equal to Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Residential mortgage | Financing Receivables, Equal to Greater than 90 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Residential mortgage | Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Construction | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Loans and leases, current | 159,867 | 181,078 |
Loans and leases, accruing | 159,867 | 181,078 |
Non-accrual loans and leases | 0 | 0 |
Portfolio loans and leases | 159,867 | 181,078 |
Construction | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Loans and leases, current | 159,867 | 174,592 |
Loans and leases, accruing | 159,867 | 174,592 |
Non-accrual loans and leases | 0 | 0 |
Portfolio loans and leases | 159,867 | 174,592 |
Construction | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Loans and leases, current | 0 | 6,486 |
Loans and leases, accruing | 0 | 6,486 |
Non-accrual loans and leases | 0 | 0 |
Portfolio loans and leases | 0 | 6,486 |
Construction | Financing Receivables, 30 to 59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Construction | Financing Receivables, 30 to 59 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Construction | Financing Receivables, 30 to 59 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Construction | Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Construction | Financing Receivables, 60 to 89 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Construction | Financing Receivables, 60 to 89 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Construction | Financing Receivables, Equal to Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Construction | Financing Receivables, Equal to Greater than 90 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Construction | Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Commercial and industrial | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 653 | 612 |
Loans and leases, current | 704,267 | 692,871 |
Loans and leases, accruing | 704,920 | 693,483 |
Non-accrual loans and leases | 4,337 | 2,101 |
Portfolio loans and leases | 709,257 | 695,584 |
Commercial and industrial | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 460 | 612 |
Loans and leases, current | 671,364 | 622,245 |
Loans and leases, accruing | 671,824 | 622,857 |
Non-accrual loans and leases | 3,521 | 1,786 |
Portfolio loans and leases | 675,345 | 624,643 |
Commercial and industrial | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 193 | 0 |
Loans and leases, current | 32,903 | 70,626 |
Loans and leases, accruing | 33,096 | 70,626 |
Non-accrual loans and leases | 816 | 315 |
Portfolio loans and leases | 33,912 | 70,941 |
Commercial and industrial | Financing Receivables, 30 to 59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 486 | 280 |
Commercial and industrial | Financing Receivables, 30 to 59 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 460 | 280 |
Commercial and industrial | Financing Receivables, 30 to 59 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 26 | 0 |
Commercial and industrial | Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 167 | 332 |
Commercial and industrial | Financing Receivables, 60 to 89 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 332 |
Commercial and industrial | Financing Receivables, 60 to 89 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 167 | 0 |
Commercial and industrial | Financing Receivables, Equal to Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Commercial and industrial | Financing Receivables, Equal to Greater than 90 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Commercial and industrial | Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Consumer | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 238 | 40 |
Loans and leases, current | 56,839 | 46,666 |
Loans and leases, accruing | 57,077 | 46,706 |
Non-accrual loans and leases | 61 | 108 |
Portfolio loans and leases | 57,138 | 46,814 |
Consumer | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 106 | 40 |
Loans and leases, current | 54,686 | 44,014 |
Loans and leases, accruing | 54,792 | 44,054 |
Non-accrual loans and leases | 19 | 45 |
Portfolio loans and leases | 54,811 | 44,099 |
Consumer | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 132 | 0 |
Loans and leases, current | 2,153 | 2,652 |
Loans and leases, accruing | 2,285 | 2,652 |
Non-accrual loans and leases | 42 | 63 |
Portfolio loans and leases | 2,327 | 2,715 |
Consumer | Financing Receivables, 30 to 59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 98 | 35 |
Consumer | Financing Receivables, 30 to 59 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 18 | 35 |
Consumer | Financing Receivables, 30 to 59 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 80 | 0 |
Consumer | Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 140 | 5 |
Consumer | Financing Receivables, 60 to 89 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 88 | 5 |
Consumer | Financing Receivables, 60 to 89 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 52 | 0 |
Consumer | Financing Receivables, Equal to Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Consumer | Financing Receivables, Equal to Greater than 90 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Consumer | Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Leases | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 1,451 | 1,101 |
Loans and leases, current | 162,744 | 142,460 |
Loans and leases, accruing | 164,195 | 143,561 |
Non-accrual loans and leases | 883 | 975 |
Portfolio loans and leases | 165,078 | 144,536 |
Leases | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 1,347 | 583 |
Loans and leases, current | 154,873 | 120,592 |
Loans and leases, accruing | 156,220 | 121,175 |
Non-accrual loans and leases | 747 | 392 |
Portfolio loans and leases | 156,967 | 121,567 |
Leases | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 104 | 518 |
Loans and leases, current | 7,871 | 21,868 |
Loans and leases, accruing | 7,975 | 22,386 |
Non-accrual loans and leases | 136 | 583 |
Portfolio loans and leases | 8,111 | 22,969 |
Leases | Financing Receivables, 30 to 59 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 857 | 641 |
Leases | Financing Receivables, 30 to 59 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 781 | 350 |
Leases | Financing Receivables, 30 to 59 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 76 | 291 |
Leases | Financing Receivables, 60 to 89 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 594 | 460 |
Leases | Financing Receivables, 60 to 89 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 566 | 233 |
Leases | Financing Receivables, 60 to 89 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 28 | 227 |
Leases | Financing Receivables, Equal to Greater than 90 Days Past Due | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Leases | Financing Receivables, Equal to Greater than 90 Days Past Due | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | 0 | 0 |
Leases | Financing Receivables, Equal to Greater than 90 Days Past Due | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, past due | $ 0 | 0 |
Administratively Delinquent | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, current | 3,200 | |
Administratively Delinquent | Originated | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, current | 2,000 | |
Administratively Delinquent | Acquired | ||
Financing Receivable, Past Due [Line Items] | ||
Loans and leases, current | $ 1,200 |
Loans and Leases - Allowance fo
Loans and Leases - Allowance for Loan and Leases Losses Activity (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||||||
Balance | $ 19,426 | $ 17,525 | $ 19,426 | $ 17,525 | |||||||
Charge-offs | (7,516) | (5,835) | |||||||||
Recoveries | 2,185 | 543 | |||||||||
Provision for loan and lease losses | $ 2,225 | $ 919 | $ 1,627 | 3,736 | $ 2,362 | $ 664 | $ 3,137 | 1,030 | 8,507 | 7,193 | $ 2,618 |
Balance | 22,602 | 19,426 | 22,602 | 19,426 | 17,525 | ||||||
Commercial mortgage | |||||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||||||
Balance | 7,567 | 7,550 | 7,567 | 7,550 | |||||||
Charge-offs | (2,332) | (331) | |||||||||
Recoveries | 1,087 | 16 | |||||||||
Provision for loan and lease losses | 4,112 | 332 | |||||||||
Balance | 10,434 | 7,567 | 10,434 | 7,567 | 7,550 | ||||||
Home equity lines and loans | |||||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||||||
Balance | 1,003 | 1,086 | 1,003 | 1,086 | |||||||
Charge-offs | (348) | (333) | |||||||||
Recoveries | 110 | 2 | |||||||||
Provision for loan and lease losses | 125 | 248 | |||||||||
Balance | 890 | 1,003 | 890 | 1,003 | 1,086 | ||||||
Residential mortgage | |||||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||||||
Balance | 1,813 | 1,926 | 1,813 | 1,926 | |||||||
Charge-offs | (770) | (354) | |||||||||
Recoveries | 14 | 56 | |||||||||
Provision for loan and lease losses | 481 | 185 | |||||||||
Balance | 1,538 | 1,813 | 1,538 | 1,813 | 1,926 | ||||||
Construction | |||||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||||||
Balance | 1,485 | 937 | 1,485 | 937 | |||||||
Charge-offs | 0 | 0 | |||||||||
Recoveries | 4 | 2 | |||||||||
Provision for loan and lease losses | (492) | 546 | |||||||||
Balance | 997 | 1,485 | 997 | 1,485 | 937 | ||||||
Commercial and industrial | |||||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||||||
Balance | 5,461 | 5,038 | 5,461 | 5,038 | |||||||
Charge-offs | (781) | (1,374) | |||||||||
Recoveries | 153 | 24 | |||||||||
Provision for loan and lease losses | 1,196 | 1,773 | |||||||||
Balance | 6,029 | 5,461 | 6,029 | 5,461 | 5,038 | ||||||
Consumer | |||||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||||||
Balance | 229 | 246 | 229 | 246 | |||||||
Charge-offs | (720) | (311) | |||||||||
Recoveries | 103 | 10 | |||||||||
Provision for loan and lease losses | 741 | 284 | |||||||||
Balance | 353 | 229 | 353 | 229 | 246 | ||||||
Leases | |||||||||||
Financing Receivable, Allowance for Credit Loss [Roll Forward] | |||||||||||
Balance | $ 1,868 | $ 742 | 1,868 | 742 | |||||||
Charge-offs | (2,565) | (3,132) | |||||||||
Recoveries | 714 | 433 | |||||||||
Provision for loan and lease losses | 2,344 | 3,825 | |||||||||
Balance | $ 2,361 | $ 1,868 | $ 2,361 | $ 1,868 | $ 742 |
Loans and Leases - Allowance _2
Loans and Leases - Allowance for Loan and Lease Losses by Method of Impairment (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | $ 482 | $ 462 | |
Collectively evaluated for impairment | 22,120 | 18,964 | |
Allowance on loans and leases | 22,602 | 19,426 | $ 17,525 |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 15,719 | 21,377 | |
Collectively evaluated for impairment | 3,665,697 | 3,393,473 | |
Total portfolio loans and leases | 3,689,313 | 3,427,154 | |
Originated | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 406 | 365 | |
Collectively evaluated for impairment | 22,120 | 18,964 | |
Allowance on loans and leases | 22,526 | 19,329 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 10,079 | 17,337 | |
Collectively evaluated for impairment | 3,310,737 | 2,867,914 | |
Total portfolio loans and leases | 3,320,816 | 2,885,251 | |
Acquired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 76 | 97 | |
Collectively evaluated for impairment | 0 | 0 | |
Allowance on loans and leases | 76 | 97 | |
Acquired | |||
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 5,640 | 4,040 | |
Collectively evaluated for impairment | 354,960 | 525,559 | |
Total portfolio loans and leases | 368,497 | 541,903 | |
Purchased credit impaired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Allowance on loans and leases | 0 | 0 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Total portfolio loans and leases | 7,897 | 12,304 | |
Commercial mortgage | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 10,434 | 7,567 | |
Allowance on loans and leases | 10,434 | 7,567 | 7,550 |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 4,454 | 7,008 | |
Collectively evaluated for impairment | 1,901,602 | 1,642,117 | |
Total portfolio loans and leases | 1,913,430 | 1,657,436 | |
Commercial mortgage | Originated | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 10,434 | 7,567 | |
Allowance on loans and leases | 10,434 | 7,567 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 564 | 4,874 | |
Collectively evaluated for impairment | 1,674,204 | 1,322,948 | |
Total portfolio loans and leases | 1,674,768 | 1,327,822 | |
Commercial mortgage | Acquired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 0 | 0 | |
Allowance on loans and leases | 0 | 0 | |
Commercial mortgage | Acquired | |||
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 3,890 | 2,134 | |
Collectively evaluated for impairment | 227,398 | 319,169 | |
Total portfolio loans and leases | 238,662 | 329,614 | |
Commercial mortgage | Purchased credit impaired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Allowance on loans and leases | 0 | 0 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Total portfolio loans and leases | 7,374 | 8,311 | |
Home equity lines and loans | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 165 | 162 | |
Collectively evaluated for impairment | 725 | 841 | |
Allowance on loans and leases | 890 | 1,003 | 1,086 |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 2,328 | 4,998 | |
Collectively evaluated for impairment | 191,790 | 201,841 | |
Total portfolio loans and leases | 194,640 | 207,351 | |
Home equity lines and loans | Originated | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 165 | 162 | |
Collectively evaluated for impairment | 725 | 841 | |
Allowance on loans and leases | 890 | 1,003 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 2,328 | 4,972 | |
Collectively evaluated for impairment | 172,476 | 176,534 | |
Total portfolio loans and leases | 174,804 | 181,506 | |
Home equity lines and loans | Acquired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 0 | 0 | |
Allowance on loans and leases | 0 | 0 | |
Home equity lines and loans | Acquired | |||
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 0 | 26 | |
Collectively evaluated for impairment | 19,314 | 25,307 | |
Total portfolio loans and leases | 19,836 | 25,845 | |
Home equity lines and loans | Purchased credit impaired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Allowance on loans and leases | 0 | 0 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Total portfolio loans and leases | 522 | 512 | |
Residential mortgage | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 231 | 272 | |
Collectively evaluated for impairment | 1,307 | 1,541 | |
Allowance on loans and leases | 1,538 | 1,813 | 1,926 |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 3,040 | 6,608 | |
Collectively evaluated for impairment | 486,862 | 487,747 | |
Total portfolio loans and leases | 489,903 | 494,355 | |
Residential mortgage | Originated | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 160 | 175 | |
Collectively evaluated for impairment | 1,307 | 1,541 | |
Allowance on loans and leases | 1,467 | 1,716 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 2,354 | 5,106 | |
Collectively evaluated for impairment | 421,900 | 405,916 | |
Total portfolio loans and leases | 424,254 | 411,022 | |
Residential mortgage | Acquired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 71 | 97 | |
Collectively evaluated for impairment | 0 | 0 | |
Allowance on loans and leases | 71 | 97 | |
Residential mortgage | Acquired | |||
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 686 | 1,502 | |
Collectively evaluated for impairment | 64,962 | 81,831 | |
Total portfolio loans and leases | 65,649 | 83,333 | |
Residential mortgage | Purchased credit impaired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Allowance on loans and leases | 0 | 0 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Total portfolio loans and leases | 1 | 0 | |
Construction | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 997 | 1,485 | |
Allowance on loans and leases | 997 | 1,485 | 937 |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 159,867 | 178,673 | |
Total portfolio loans and leases | 159,867 | 181,078 | |
Construction | Originated | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 997 | 1,485 | |
Allowance on loans and leases | 997 | 1,485 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 159,867 | 174,592 | |
Total portfolio loans and leases | 159,867 | 174,592 | |
Construction | Acquired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 0 | 0 | |
Allowance on loans and leases | 0 | 0 | |
Construction | Acquired | |||
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 0 | 4,081 | |
Total portfolio loans and leases | 0 | 6,486 | |
Construction | Purchased credit impaired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Allowance on loans and leases | 0 | 0 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Total portfolio loans and leases | 0 | 2,405 | |
Commercial and industrial | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 6,029 | 5,461 | |
Allowance on loans and leases | 6,029 | 5,461 | 5,038 |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 4,722 | 2,629 | |
Collectively evaluated for impairment | 704,535 | 691,879 | |
Total portfolio loans and leases | 709,257 | 695,584 | |
Commercial and industrial | Originated | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 6,029 | 5,461 | |
Allowance on loans and leases | 6,029 | 5,461 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 3,906 | 2,314 | |
Collectively evaluated for impairment | 671,439 | 622,329 | |
Total portfolio loans and leases | 675,345 | 624,643 | |
Commercial and industrial | Acquired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 0 | 0 | |
Allowance on loans and leases | 0 | 0 | |
Commercial and industrial | Acquired | |||
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 816 | 315 | |
Collectively evaluated for impairment | 33,096 | 69,550 | |
Total portfolio loans and leases | 33,912 | 70,941 | |
Commercial and industrial | Purchased credit impaired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Allowance on loans and leases | 0 | 0 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Total portfolio loans and leases | 0 | 1,076 | |
Consumer | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 22 | 28 | |
Collectively evaluated for impairment | 331 | 201 | |
Allowance on loans and leases | 353 | 229 | 246 |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 85 | 134 | |
Collectively evaluated for impairment | 57,053 | 46,680 | |
Total portfolio loans and leases | 57,138 | 46,814 | |
Consumer | Originated | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 22 | 28 | |
Collectively evaluated for impairment | 331 | 201 | |
Allowance on loans and leases | 353 | 229 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 43 | 71 | |
Collectively evaluated for impairment | 54,768 | 44,028 | |
Total portfolio loans and leases | 54,811 | 44,099 | |
Consumer | Acquired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 0 | 0 | |
Collectively evaluated for impairment | 0 | 0 | |
Allowance on loans and leases | 0 | 0 | |
Consumer | Acquired | |||
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 42 | 63 | |
Collectively evaluated for impairment | 2,285 | 2,652 | |
Total portfolio loans and leases | 2,327 | 2,715 | |
Consumer | Purchased credit impaired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Allowance on loans and leases | 0 | 0 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Total portfolio loans and leases | 0 | 0 | |
Leases | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 64 | 0 | |
Collectively evaluated for impairment | 2,297 | 1,868 | |
Allowance on loans and leases | 2,361 | 1,868 | $ 742 |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 1,090 | 0 | |
Collectively evaluated for impairment | 163,988 | 144,536 | |
Total portfolio loans and leases | 165,078 | 144,536 | |
Leases | Originated | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 59 | 0 | |
Collectively evaluated for impairment | 2,297 | 1,868 | |
Allowance on loans and leases | 2,356 | 1,868 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 884 | 0 | |
Collectively evaluated for impairment | 156,083 | 121,567 | |
Total portfolio loans and leases | 156,967 | 121,567 | |
Leases | Acquired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Individually evaluated for impairment | 5 | 0 | |
Collectively evaluated for impairment | 0 | 0 | |
Allowance on loans and leases | 5 | 0 | |
Leases | Acquired | |||
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Individually evaluated for impairment | 206 | 0 | |
Collectively evaluated for impairment | 7,905 | 22,969 | |
Total portfolio loans and leases | 8,111 | 22,969 | |
Leases | Purchased credit impaired | |||
Financing Receivable, Allowance for Credit Loss, Additional Information [Abstract] | |||
Allowance on loans and leases | 0 | 0 | |
Loans and Leases Receivable, Gross, Carrying Amount [Abstract] | |||
Total portfolio loans and leases | $ 0 | $ 0 |
Loans and Leases - Credit Risk
Loans and Leases - Credit Risk Profile by Internally Assigned Grade (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | $ 3,689,313 | $ 3,427,154 |
Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 1,913,430 | 1,657,436 |
Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 194,640 | 207,351 |
Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 489,903 | 494,355 |
Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 159,867 | 181,078 |
Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 709,257 | 695,584 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 57,138 | 46,814 |
Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 165,078 | 144,536 |
Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 3,602,491 | 3,374,840 |
Pass | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 1,857,765 | 1,635,068 |
Pass | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 193,861 | 203,037 |
Pass | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 489,431 | 490,789 |
Pass | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 154,071 | 171,353 |
Pass | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 690,663 | 684,444 |
Pass | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 52,505 | 46,588 |
Pass | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 164,195 | 143,561 |
Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 19,922 | 4,306 |
Special Mention | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 15,069 | 631 |
Special Mention | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Special Mention | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Special Mention | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 938 |
Special Mention | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 4,853 | 2,737 |
Special Mention | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Special Mention | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 66,900 | 46,909 |
Substandard | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 40,596 | 20,639 |
Substandard | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 779 | 4,314 |
Substandard | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 472 | 3,566 |
Substandard | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 5,796 | 8,787 |
Substandard | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 13,741 | 8,402 |
Substandard | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 4,633 | 226 |
Substandard | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 883 | 975 |
Doubtful | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 1,099 |
Doubtful | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 1,098 |
Doubtful | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Doubtful | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Doubtful | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Doubtful | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 1 |
Doubtful | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Doubtful | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Total | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 3,689,313 | 3,427,154 |
Total | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 1,913,430 | 1,657,436 |
Total | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 194,640 | 207,351 |
Total | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 489,903 | 494,355 |
Total | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 159,867 | 181,078 |
Total | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 709,257 | 695,584 |
Total | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 57,138 | 46,814 |
Total | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 165,078 | 144,536 |
Originated | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 3,320,816 | 2,885,251 |
Originated | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 1,674,768 | 1,327,822 |
Originated | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 174,804 | 181,506 |
Originated | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 424,254 | 411,022 |
Originated | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 159,867 | 174,592 |
Originated | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 675,345 | 624,643 |
Originated | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 54,811 | 44,099 |
Originated | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 156,967 | 121,567 |
Originated | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 3,253,146 | 2,856,184 |
Originated | Pass | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 1,636,961 | 1,321,973 |
Originated | Pass | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 174,025 | 177,916 |
Originated | Pass | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 423,910 | 408,095 |
Originated | Pass | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 154,071 | 167,272 |
Originated | Pass | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 657,740 | 615,817 |
Originated | Pass | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 50,220 | 43,936 |
Originated | Pass | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 156,219 | 121,175 |
Originated | Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 14,995 | 4,080 |
Originated | Special Mention | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 10,142 | 631 |
Originated | Special Mention | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Originated | Special Mention | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Originated | Special Mention | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 938 |
Originated | Special Mention | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 4,853 | 2,511 |
Originated | Special Mention | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Originated | Special Mention | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Originated | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 52,675 | 24,986 |
Originated | Substandard | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 27,665 | 5,218 |
Originated | Substandard | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 779 | 3,590 |
Originated | Substandard | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 344 | 2,927 |
Originated | Substandard | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 5,796 | 6,382 |
Originated | Substandard | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 12,752 | 6,314 |
Originated | Substandard | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 4,591 | 163 |
Originated | Substandard | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 748 | 392 |
Originated | Doubtful | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 1 |
Originated | Doubtful | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Originated | Doubtful | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Originated | Doubtful | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Originated | Doubtful | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Originated | Doubtful | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 1 |
Originated | Doubtful | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Originated | Doubtful | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Originated | Total | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 3,320,816 | 2,885,251 |
Originated | Total | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 1,674,768 | 1,327,822 |
Originated | Total | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 174,804 | 181,506 |
Originated | Total | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 424,254 | 411,022 |
Originated | Total | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 159,867 | 174,592 |
Originated | Total | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 675,345 | 624,643 |
Originated | Total | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 54,811 | 44,099 |
Originated | Total | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 156,967 | 121,567 |
Acquired | Pass | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 349,345 | 518,656 |
Acquired | Pass | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 220,804 | 313,095 |
Acquired | Pass | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 19,836 | 25,121 |
Acquired | Pass | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 65,521 | 82,694 |
Acquired | Pass | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 4,081 |
Acquired | Pass | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 32,923 | 68,627 |
Acquired | Pass | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 2,285 | 2,652 |
Acquired | Pass | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 7,976 | 22,386 |
Acquired | Special Mention | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 4,927 | 226 |
Acquired | Special Mention | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 4,927 | 0 |
Acquired | Special Mention | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Special Mention | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Special Mention | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Special Mention | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 226 |
Acquired | Special Mention | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Special Mention | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Substandard | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 14,225 | 21,923 |
Acquired | Substandard | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 12,931 | 15,421 |
Acquired | Substandard | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 724 |
Acquired | Substandard | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 128 | 639 |
Acquired | Substandard | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 2,405 |
Acquired | Substandard | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 989 | 2,088 |
Acquired | Substandard | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 42 | 63 |
Acquired | Substandard | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 135 | 583 |
Acquired | Doubtful | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 1,098 |
Acquired | Doubtful | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 1,098 |
Acquired | Doubtful | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Doubtful | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Doubtful | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Doubtful | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Doubtful | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Doubtful | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 0 |
Acquired | Total | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 368,497 | 541,903 |
Acquired | Total | Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 238,662 | 329,614 |
Acquired | Total | Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 19,836 | 25,845 |
Acquired | Total | Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 65,649 | 83,333 |
Acquired | Total | Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 0 | 6,486 |
Acquired | Total | Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 33,912 | 70,941 |
Acquired | Total | Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | 2,327 | 2,715 |
Acquired | Total | Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Portfolio loans and leases | $ 8,111 | $ 22,969 |
Loans and Leases - Troubled Deb
Loans and Leases - Troubled Debt Restructurings (Details) $ in Thousands | 9 Months Ended | 12 Months Ended | |
Sep. 30, 2018loan | Dec. 31, 2019USD ($)contract | Dec. 31, 2018USD ($)contract | |
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructurings | $ | $ 8,089 | $ 10,962 | |
Number of contracts | 12 | 17 | |
Pre-modification outstanding recorded investment | $ | $ 3,259 | $ 6,369 | |
Post-modification outstanding recorded investment | $ | $ 3,259 | $ 6,389 | |
Loan Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 3 | 4 | |
Interest Rate Change and Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 3 | 5 | |
Interest Rate Change and/or Interest-Only Period | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 2 | 0 | |
Contractual Payment Reduction (Leases only) | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 4 | 4 | |
Temporary Payment Deferral | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 4 | |
Commercial Mortgage | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 1 | 1 | |
Pre-modification outstanding recorded investment | $ | $ 184 | $ 4,439 | |
Post-modification outstanding recorded investment | $ | $ 184 | $ 4,439 | |
Commercial Mortgage | Loan Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 1 | 1 | |
Commercial Mortgage | Interest Rate Change and Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Commercial Mortgage | Interest Rate Change and/or Interest-Only Period | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Commercial Mortgage | Contractual Payment Reduction (Leases only) | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Commercial Mortgage | Temporary Payment Deferral | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Home equity lines and loans | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 3 | 3 | |
Pre-modification outstanding recorded investment | $ | $ 226 | $ 961 | |
Post-modification outstanding recorded investment | $ | 226 | $ 961 | |
Loans previously modified to TDR charged off | $ | $ 300 | ||
Home equity lines and loans | Loan Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Home equity lines and loans | Interest Rate Change and Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 3 | 3 | |
Home equity lines and loans | Interest Rate Change and/or Interest-Only Period | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Home equity lines and loans | Contractual Payment Reduction (Leases only) | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Home equity lines and loans | Temporary Payment Deferral | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Commercial and industrial | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 4 | 2 | |
Pre-modification outstanding recorded investment | $ | $ 2,649 | $ 156 | |
Post-modification outstanding recorded investment | $ | $ 2,649 | $ 156 | |
Number of loans that were charged off | loan | 2 | ||
Commercial and industrial | Loan Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 2 | 1 | |
Commercial and industrial | Interest Rate Change and Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 1 | |
Commercial and industrial | Interest Rate Change and/or Interest-Only Period | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 2 | 0 | |
Commercial and industrial | Contractual Payment Reduction (Leases only) | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Commercial and industrial | Temporary Payment Deferral | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Residential mortgage | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 6 | ||
Pre-modification outstanding recorded investment | $ | $ 620 | ||
Post-modification outstanding recorded investment | $ | $ 640 | ||
Residential mortgage | Loan Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 2 | ||
Residential mortgage | Interest Rate Change and Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 1 | ||
Residential mortgage | Interest Rate Change and/or Interest-Only Period | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | ||
Residential mortgage | Contractual Payment Reduction (Leases only) | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | ||
Residential mortgage | Temporary Payment Deferral | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 3 | ||
Consumer | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 1 | ||
Pre-modification outstanding recorded investment | $ | $ 20 | ||
Post-modification outstanding recorded investment | $ | $ 20 | ||
Consumer | Loan Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | ||
Consumer | Interest Rate Change and Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | ||
Consumer | Interest Rate Change and/or Interest-Only Period | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | ||
Consumer | Contractual Payment Reduction (Leases only) | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | ||
Consumer | Temporary Payment Deferral | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 1 | ||
Leases | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 4 | 4 | |
Pre-modification outstanding recorded investment | $ | $ 200 | $ 173 | |
Post-modification outstanding recorded investment | $ | $ 200 | $ 173 | |
Leases | Loan Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Leases | Interest Rate Change and Term Extension | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Leases | Interest Rate Change and/or Interest-Only Period | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Leases | Contractual Payment Reduction (Leases only) | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 4 | 4 | |
Leases | Temporary Payment Deferral | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Number of contracts | 0 | 0 | |
Nonperforming Financial Instruments | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructurings | $ | $ 3,018 | $ 1,217 | |
Performing Financial Instruments | |||
Financing Receivable, Troubled Debt Restructuring [Line Items] | |||
Troubled debt restructurings | $ | $ 5,071 | $ 9,745 |
Loans and Leases - Impaired Loa
Loans and Leases - Impaired Loans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable, Impaired [Line Items] | |||
Impaired loans with related allowance, recorded investment | $ 3,195 | $ 3,296 | $ 3,058 |
Impaired loans with related allowance, principal balance | 3,195 | 3,296 | 3,058 |
Impaired loans, related allowance | 418 | 462 | 258 |
Impaired loans with related allowance, average principal balance | 3,218 | 2,679 | 2,746 |
Impaired loans with related allowance, interest income recognized | 133 | 125 | 136 |
Impaired loans without related allowance, recorded investment | 11,434 | 18,078 | 10,882 |
Impaired loans without related allowance, principal balance | 12,861 | 19,605 | 13,005 |
Impaired loans without related allowance, average principal balance | 12,958 | 18,746 | 10,914 |
Impaired loans without related allowance, interest income recognized | 307 | 649 | 349 |
Impaired loans, recorded investment | 14,629 | 21,374 | 13,940 |
Impaired loans, principal balance | 16,056 | 22,901 | 16,063 |
Impaired loans, average principal balance | 16,176 | 21,425 | 13,660 |
Impaired loans, interest income recognized | 440 | 774 | 485 |
Home equity lines and loans | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired loans with related allowance, recorded investment | 1,307 | 1,280 | 577 |
Impaired loans with related allowance, principal balance | 1,307 | 1,280 | 577 |
Impaired loans, related allowance | 165 | 162 | 19 |
Impaired loans with related allowance, average principal balance | 1,311 | 640 | 232 |
Impaired loans with related allowance, interest income recognized | 44 | 27 | 7 |
Impaired loans without related allowance, recorded investment | 1,020 | 3,718 | 1,585 |
Impaired loans without related allowance, principal balance | 1,021 | 3,724 | 1,645 |
Impaired loans without related allowance, average principal balance | 1,034 | 3,537 | 1,636 |
Impaired loans without related allowance, interest income recognized | 29 | 67 | 38 |
Residential mortgage | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired loans with related allowance, recorded investment | 1,845 | 1,966 | 2,436 |
Impaired loans with related allowance, principal balance | 1,845 | 1,966 | 2,436 |
Impaired loans, related allowance | 231 | 272 | 230 |
Impaired loans with related allowance, average principal balance | 1,863 | 1,983 | 2,467 |
Impaired loans with related allowance, interest income recognized | 87 | 94 | 127 |
Impaired loans without related allowance, recorded investment | 1,196 | 4,641 | 5,290 |
Impaired loans without related allowance, principal balance | 1,196 | 4,728 | 5,529 |
Impaired loans without related allowance, average principal balance | 1,218 | 4,750 | 4,994 |
Impaired loans without related allowance, interest income recognized | 61 | 133 | 191 |
Consumer | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired loans with related allowance, recorded investment | 43 | 50 | 27 |
Impaired loans with related allowance, principal balance | 43 | 50 | 27 |
Impaired loans, related allowance | 22 | 28 | 4 |
Impaired loans with related allowance, average principal balance | 44 | 56 | 28 |
Impaired loans with related allowance, interest income recognized | 2 | 4 | 1 |
Impaired loans without related allowance, recorded investment | 42 | 83 | |
Impaired loans without related allowance, principal balance | 57 | 86 | |
Impaired loans without related allowance, average principal balance | 45 | 100 | |
Impaired loans without related allowance, interest income recognized | 0 | 3 | |
Commercial Mortgage | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired loans without related allowance, recorded investment | 4,454 | 7,007 | 2,128 |
Impaired loans without related allowance, principal balance | 5,591 | 7,264 | 2,218 |
Impaired loans without related allowance, average principal balance | 5,826 | 7,010 | 2,205 |
Impaired loans without related allowance, interest income recognized | 98 | 320 | 85 |
Commercial and industrial | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired loans with related allowance, recorded investment | 18 | ||
Impaired loans with related allowance, principal balance | 18 | ||
Impaired loans, related allowance | 5 | ||
Impaired loans with related allowance, average principal balance | 19 | ||
Impaired loans with related allowance, interest income recognized | 1 | ||
Impaired loans without related allowance, recorded investment | 4,722 | 2,629 | 1,879 |
Impaired loans without related allowance, principal balance | 4,996 | 3,803 | 3,613 |
Impaired loans without related allowance, average principal balance | 4,835 | 3,349 | 2,079 |
Impaired loans without related allowance, interest income recognized | 119 | 126 | 35 |
Impaired Loans WIth Related Allowance | Leases | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired loans, related allowance | 64 | ||
Impaired loans, recorded investment | $ 1,100 | ||
Impaired Loans Without Related Allowance | Leases | |||
Financing Receivable, Impaired [Line Items] | |||
Impaired loans, recorded investment | $ 1,200 | $ 272 |
Loans and Leases - Loan Mark (D
Loans and Leases - Loan Mark (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Loans and Leases Receivable Disclosure [Line Items] | ||
Acquired loans, outstanding principal | $ 379,402 | $ 559,815 |
Acquired loans, remaining loan mark | (10,905) | (17,912) |
Acquired loans, recorded investment | 368,497 | 541,903 |
Commercial mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Acquired loans, outstanding principal | 244,364 | 339,241 |
Acquired loans, remaining loan mark | (5,702) | (9,627) |
Acquired loans, recorded investment | 238,662 | 329,614 |
Home equity lines and loans | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Acquired loans, outstanding principal | 21,739 | 28,212 |
Acquired loans, remaining loan mark | (1,903) | (2,367) |
Acquired loans, recorded investment | 19,836 | 25,845 |
Residential mortgage | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Acquired loans, outstanding principal | 67,831 | 86,111 |
Acquired loans, remaining loan mark | (2,182) | (2,778) |
Acquired loans, recorded investment | 65,649 | 83,333 |
Construction | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Acquired loans, outstanding principal | 6,780 | |
Acquired loans, remaining loan mark | (294) | |
Acquired loans, recorded investment | 6,486 | |
Commercial and industrial | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Acquired loans, outstanding principal | 34,780 | 72,948 |
Acquired loans, remaining loan mark | (868) | (2,007) |
Acquired loans, recorded investment | 33,912 | 70,941 |
Consumer | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Acquired loans, outstanding principal | 2,416 | 2,828 |
Acquired loans, remaining loan mark | (89) | (113) |
Acquired loans, recorded investment | 2,327 | 2,715 |
Leases | ||
Loans and Leases Receivable Disclosure [Line Items] | ||
Acquired loans, outstanding principal | 8,272 | 23,695 |
Acquired loans, remaining loan mark | (161) | (726) |
Acquired loans, recorded investment | $ 8,111 | $ 22,969 |
Premises and Equipment - Summar
Premises and Equipment - Summary of Premises and Equipment (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment [Line Items] | ||
Less: accumulated depreciation | $ (68,226) | $ (60,966) |
Premises and equipment, net | 64,965 | 65,648 |
Land | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment | 11,219 | 11,219 |
Buildings | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment | 45,321 | 40,947 |
Furniture and equipment | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment | 48,311 | 44,862 |
Leasehold improvements | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment | 26,951 | 25,186 |
Construction in progress | ||
Property, Plant and Equipment [Line Items] | ||
Premises and equipment | $ 1,389 | $ 4,400 |
Premises and Equipment - Narrat
Premises and Equipment - Narrative (Details) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation and amortization expense | $ 7.8 | $ 6.6 | $ 5.7 |
Mortgage Servicing Rights - Mor
Mortgage Servicing Rights - Mortgage Servicing Rights Activity (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Servicing Asset at Amortized Cost, Balance [Roll Forward] | |||
Balance, January 1 | $ 5,047 | ||
Balance, December 31 | 4,450 | $ 5,047 | |
Fair value | 4,800 | 6,300 | |
Residential Mortgage | |||
Servicing Asset at Amortized Cost, Balance [Roll Forward] | |||
Balance, January 1 | 5,047 | 5,861 | $ 5,582 |
Additions | 0 | 16 | 1,025 |
Amortization | (576) | (803) | (791) |
(Impairment) / Recovery | (21) | (27) | 45 |
Balance, December 31 | 4,450 | 5,047 | 5,861 |
Fair value | 4,838 | 6,277 | 6,397 |
Residential mortgage loans serviced for others | $ 502,832 | $ 578,788 | $ 650,703 |
Mortgage Servicing Rights - Sum
Mortgage Servicing Rights - Summarized Corporation's Activity Related to Changes in Impairment Valuation Allowance of MSRs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Valuation Allowance for Impairment of Recognized Servicing Assets [Roll Forward] | |||
Balance, January 1 | $ (1,787) | $ (1,760) | $ (1,805) |
Impairment | (70) | (103) | (52) |
Recovery | 49 | 76 | 97 |
Balance, December 31 | $ (1,808) | $ (1,787) | $ (1,760) |
Mortgage Servicing Rights - Nar
Mortgage Servicing Rights - Narrative (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Transfers and Servicing [Abstract] | ||
Sensitivity percent, adverse change in assumption, low | 10.00% | |
Sensitivity percent, adverse change in assumption, high | 20.00% | |
Fair value of MSRs | $ 4.8 | $ 6.3 |
Mortgage Servicing Rights - Key
Mortgage Servicing Rights - Key Economic Assumptions and Sensitivity of Current Fair Value of MSRs (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Servicing Assets at Fair Value [Line Items] | |||
Fair value of MSRs | $ 4,800 | $ 6,300 | |
Residential Mortgage | |||
Servicing Assets at Fair Value [Line Items] | |||
Fair value of MSRs | $ 4,838 | $ 6,277 | $ 6,397 |
Weighted average life (in years) | 6 years | 6 years 8 months 12 days | |
Prepayment speeds (constant prepayment rate) | 10.50% | 9.10% | |
10% adverse change | $ (149) | $ (124) | |
20% adverse change | $ (297) | $ (257) | |
Discount rate | 9.55% | 9.55% | |
10% adverse change | $ (166) | $ (234) | |
20% adverse change | $ (321) | $ (451) |
Goodwill and Intangible Asset_2
Goodwill and Intangible Assets - Goodwill and Intangible Assets Related to Acquisitions (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Goodwill [Roll Forward] | |||
December 31, 2017 | $ 184,012 | $ 179,889 | |
Additions | 0 | 677 | |
December 31, 2018 | 184,012 | 184,012 | $ 179,889 |
Finite-lived Intangible Assets [Roll Forward] | |||
Additions | 18 | 1,145 | |
Adjustments | (541) | ||
Amortization | (3,801) | (3,656) | (2,734) |
Indefinite-lived Intangible Assets [Roll Forward] | |||
Total Intangible Assets, beginning balance | 23,455 | 25,966 | |
Additions | 18 | 1,145 | |
Amortization | (3,801) | (3,656) | (2,734) |
Total Intangible Assets, ending balance | 19,131 | 23,455 | 25,966 |
Grand Total, beginning balance | 207,467 | 205,855 | |
Grand Total, Additions | 18 | 1,822 | |
Grand Total Adjustments | (541) | 3,446 | |
Grand Total, Amortization | (3,801) | (3,656) | |
Grand Total, ending balance | 203,143 | 207,467 | 205,855 |
Goodwill, Translation and Purchase Accounting Adjustments | 0 | 3,446 | |
Core deposit intangible | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Balance December 31, 2018 | 5,906 | 7,380 | |
Additions | 0 | 0 | |
Amortization | (1,308) | (1,474) | |
Balance December 31, 2019 | $ 4,598 | $ 5,906 | 7,380 |
Amortization Period | 10 years | 10 years | |
Indefinite-lived Intangible Assets [Roll Forward] | |||
Additions | $ 0 | $ 0 | |
Amortization | (1,308) | (1,474) | |
Customer relationships | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Balance December 31, 2018 | 13,607 | 14,173 | |
Additions | 18 | 1,145 | |
Amortization | (1,805) | (1,711) | |
Balance December 31, 2019 | 11,820 | 13,607 | 14,173 |
Indefinite-lived Intangible Assets [Roll Forward] | |||
Additions | 18 | 1,145 | |
Amortization | $ (1,805) | $ (1,711) | |
Customer relationships | Minimum | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Amortization Period | 10 years | 10 years | |
Customer relationships | Maximum | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Amortization Period | 20 years | 20 years | |
Non-compete agreements | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Balance December 31, 2018 | $ 1,101 | $ 1,319 | |
Additions | 0 | 0 | |
Amortization | (190) | (218) | |
Balance December 31, 2019 | 911 | 1,101 | 1,319 |
Indefinite-lived Intangible Assets [Roll Forward] | |||
Additions | 0 | 0 | |
Amortization | $ (190) | $ (218) | |
Non-compete agreements | Minimum | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Amortization Period | 5 years | 5 years | |
Non-compete agreements | Maximum | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Amortization Period | 10 years | 10 years | |
Trade names | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Balance December 31, 2018 | $ 2,149 | $ 2,322 | |
Additions | 0 | 0 | |
Amortization | (498) | (173) | |
Balance December 31, 2019 | 1,651 | 2,149 | 2,322 |
Indefinite-lived Intangible Assets [Roll Forward] | |||
Additions | 0 | 0 | |
Amortization | $ (498) | $ (173) | |
Trade names | Minimum | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Amortization Period | 3 years | 3 years | |
Trade names | Maximum | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Amortization Period | 5 years | 5 years | |
Favorable lease assets | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Balance December 31, 2018 | $ 541 | $ 621 | |
Additions | 0 | 0 | |
Adjustments | (541) | ||
Amortization | 0 | (80) | |
Balance December 31, 2019 | 0 | 541 | 621 |
Indefinite-lived Intangible Assets [Roll Forward] | |||
Additions | 0 | 0 | |
Amortization | $ 0 | $ (80) | |
Favorable lease assets | Minimum | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Amortization Period | 1 year | 1 year | |
Favorable lease assets | Maximum | |||
Finite-lived Intangible Assets [Roll Forward] | |||
Amortization Period | 16 years | 16 years | |
Domain name | |||
Indefinite-lived Intangible Assets [Roll Forward] | |||
Additions | $ 0 | $ 0 | |
Balance December 31, 2019 | 151 | 151 | 151 |
Goodwill – Wealth | |||
Goodwill [Roll Forward] | |||
December 31, 2017 | 20,412 | 20,412 | |
Additions | 0 | 0 | |
December 31, 2018 | 20,412 | 20,412 | 20,412 |
Indefinite-lived Intangible Assets [Roll Forward] | |||
Goodwill, Translation and Purchase Accounting Adjustments | 0 | 0 | |
Banking | |||
Goodwill [Roll Forward] | |||
December 31, 2017 | 156,991 | 153,545 | |
Additions | 0 | 0 | |
December 31, 2018 | 156,991 | 156,991 | 153,545 |
Indefinite-lived Intangible Assets [Roll Forward] | |||
Goodwill, Translation and Purchase Accounting Adjustments | 0 | 3,446 | |
Goodwill – Insurance | |||
Goodwill [Roll Forward] | |||
December 31, 2017 | 6,609 | 5,932 | |
Additions | 0 | 677 | |
December 31, 2018 | 6,609 | 6,609 | $ 5,932 |
Indefinite-lived Intangible Assets [Roll Forward] | |||
Goodwill, Translation and Purchase Accounting Adjustments | $ 0 | $ 0 |
Goodwill and Intangible Asset_3
Goodwill and Intangible Assets - Narrative (Details) - USD ($) | Oct. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Finite-Lived Intangible Assets [Line Items] | |||||
Goodwill impairment | $ 0 | ||||
Impairment of intangible assets | $ 0 | ||||
Amortization of intangible assets | $ 3,801,000 | $ 3,656,000 | $ 2,734,000 | ||
Change in Estimate of Finite Lived Intangible Assets Useful Lives | |||||
Finite-Lived Intangible Assets [Line Items] | |||||
Amortization of intangible assets | $ 433,000 | $ 108,000 |
Goodwill and Intangible Asset_4
Goodwill and Intangible Assets - Estimated Amortization Expense (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2020 | $ 3,578 |
2021 | 3,367 |
2022 | 3,027 |
2023 | 2,646 |
Thereafter | $ 6,361 |
Other Real Estate Owned (Detail
Other Real Estate Owned (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019USD ($)propertymanufactured_home | Dec. 31, 2018USD ($) | |
Other Real Estate [Roll Forward] | ||
Balance January 1 | $ 417 | $ 304 |
Additions | 87 | 372 |
Impairments | 0 | (89) |
Sales | (504) | (170) |
Balance December 31 | $ 0 | $ 417 |
Number of residential properties | property | 1 | |
Number of manufactured homes | manufactured_home | 2 |
Deposits - Components of Deposi
Deposits - Components of Deposits (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deposits [Abstract] | ||
Interest-bearing demand | $ 944,915 | $ 664,749 |
Money market | 1,106,478 | 862,644 |
Savings | 220,450 | 247,081 |
Retail time deposits | 405,123 | 542,702 |
Wholesale non-maturity deposits | 177,865 | 55,031 |
Wholesale time deposits | 89,241 | 325,261 |
Total interest-bearing deposits | 2,944,072 | 2,697,468 |
Noninterest-bearing | 898,173 | 901,619 |
Total deposits | $ 3,842,245 | $ 3,599,087 |
Deposits - Narrative (Details)
Deposits - Narrative (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deposits [Abstract] | ||
Bank overdrafts | $ 529 | $ 408 |
Time deposits over $250 thousand | $ 130,100 | $ 324,400 |
Deposits - Details of Maturitie
Deposits - Details of Maturities of Retail Time Deposits (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Less than $100 | |
Time Deposits [Line Items] | |
2020 | $ 122,981 |
2021 | 43,210 |
2022 | 10,300 |
2023 | 2,838 |
2024 and thereafter | 3,645 |
Total | 182,974 |
$100 or more | |
Time Deposits [Line Items] | |
2020 | 143,428 |
2021 | 60,192 |
2022 | 14,758 |
2023 | 1,844 |
2024 and thereafter | 1,927 |
Total | $ 222,149 |
Deposits - Details of Maturit_2
Deposits - Details of Maturities of Wholesale Time Deposits (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Less than $100 | |
Time Deposits [Line Items] | |
2020 | $ 974 |
2021 | 97 |
2022 | 0 |
Total | 1,071 |
$100 or more | |
Time Deposits [Line Items] | |
2020 | 82,136 |
2021 | 388 |
2022 | 5,646 |
Total | $ 88,170 |
Short-term Borrowings and Lon_3
Short-term Borrowings and Long-term FHLB Advances - Summary of Short-term Borrowings (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Short-term Debt [Line Items] | ||
Short-term borrowings | $ 493,219 | $ 252,367 |
Repurchase agreements – commercial customers | ||
Short-term Debt [Line Items] | ||
Short-term borrowings | 10,819 | 22,717 |
Short-term FHLB advances | ||
Short-term Debt [Line Items] | ||
Short-term borrowings | $ 482,400 | $ 229,650 |
Short-term Borrowings and Lon_4
Short-term Borrowings and Long-term FHLB Advances - Information Concerning Short-term Borrowings (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Long-term Federal Home Loan Bank Advances [Abstract] | ||
Balance at period-end | $ 493,219 | $ 252,367 |
Maximum amount outstanding at any month end | 493,219 | 302,932 |
Average balance outstanding during the period | $ 129,545 | $ 186,290 |
Weighted-average interest rate, as of the period-end (as a percent) | 1.82% | 2.23% |
Weighted-average interest rate, paid during the period (as a percent) | 2.07% | 1.90% |
Short-term Borrowings and Lon_5
Short-term Borrowings and Long-term FHLB Advances - Maturity of FHLB Advances and Other Borrowings (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Federal Home Loan Bank, Advances [Line Items] | ||
Total | $ 52,269 | $ 55,374 |
Short-term FHLB advances | ||
Federal Home Loan Bank, Advances [Line Items] | ||
Within one year | 12,363 | 28,105 |
Over one year through five years | 39,906 | 27,269 |
Total | $ 52,269 | $ 55,374 |
Short-term Borrowings and Lon_6
Short-term Borrowings and Long-term FHLB Advances - Rate and Maturity Information on Federal Home Loan Bank Advances and Other Borrowings (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Other long-term debt | $ 52,269 | $ 55,374 |
Bullet Maturity | Fixed Rate | ||
Other long-term debt | $ 52,269 | 55,374 |
Bullet Maturity | Fixed Rate | Weighted Average | ||
Interest rate | 1.58% | |
Bullet Maturity | Fixed Rate | Minimum | ||
Interest rate | 1.40% | |
Bullet Maturity | Fixed Rate | Maximum | ||
Interest rate | 2.13% | |
Convertible-fixed | ||
Other long-term debt | $ 0 | $ 0 |
Short-term Borrowings and Lon_7
Short-term Borrowings and Long-term FHLB Advances - Narrative (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Federal Home Loan Bank, Advances [Line Items] | ||
Federal home loan bank stock | $ 23,744 | $ 14,530 |
FHLB maximum borrowing capacity | 1,650,000 | |
FHLB unused borrowing capacity | 1,110,000 | |
Overnight Federal Funds | ||
Federal Home Loan Bank, Advances [Line Items] | ||
FHLB unused borrowing capacity | 79,000 | |
Federal Reserve Discount Window | ||
Federal Home Loan Bank, Advances [Line Items] | ||
FHLB unused borrowing capacity | $ 174,300 |
Subordinated Notes (Details)
Subordinated Notes (Details) - USD ($) | Dec. 13, 2017 | Aug. 06, 2015 | Dec. 31, 2019 | Dec. 31, 2018 |
Debt Instrument [Line Items] | ||||
Subordinated notes | $ 98,705,000 | $ 98,526,000 | ||
Subordinated notes – due 2027 | ||||
Debt Instrument [Line Items] | ||||
Subordinated notes | $ 69,009,000 | $ 68,885,000 | ||
Subordinated notes, interest rate | 4.25% | 4.25% | ||
Subordinated notes – due 2025 | ||||
Debt Instrument [Line Items] | ||||
Subordinated notes | $ 29,696,000 | $ 29,641,000 | ||
Subordinated notes, interest rate | 4.75% | 4.75% | ||
Subordinated Debt | Subordinated notes – due 2027 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 70,000,000 | |||
Subordinated notes, interest rate | 4.25% | |||
Subordinated Debt | Subordinated notes – due 2027 | London Interbank Offered Rate (LIBOR) | ||||
Debt Instrument [Line Items] | ||||
Subordinated notes, basis spread on variable rate | 2.05% | |||
Subordinated Debt | Subordinated notes – due 2025 | ||||
Debt Instrument [Line Items] | ||||
Debt instrument, face amount | $ 30,000,000 | |||
Subordinated notes, interest rate | 4.75% | |||
Subordinated Debt | Subordinated notes – due 2025 | London Interbank Offered Rate (LIBOR) | ||||
Debt Instrument [Line Items] | ||||
Subordinated notes, basis spread on variable rate | 3.068% |
Junior Subordinated Debentures
Junior Subordinated Debentures (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 15, 2017 | |
Other investments | $ 16,683,000 | $ 16,526,000 | |
Royal Bancshares Capital Trust I | |||
Trust, capital securities issued | 12,500,000 | ||
Trust, common securities, issued | 387,000 | ||
Royal Bancshares Capital Trust II | |||
Trust, capital securities issued | 12,500,000 | ||
Trust, common securities, issued | $ 387,000 | ||
Junior Subordinated Debentures, RBPI Merger | Junior Subordinated Debt | |||
Junior subordinated debentures interest rate | 4.04% | ||
Junior Subordinated Debentures, RBPI Merger | Junior Subordinated Debt | London Interbank Offered Rate (LIBOR) | |||
Subordinated notes, basis spread on variable rate | 2.15% | ||
Royal Bancshares of Pennsylvania, Inc. | |||
Junior subordinated debentures | $ 21,400,000 | ||
Royal Bancshares of Pennsylvania, Inc. | Royal Bancshares Capital Trust I | |||
Junior subordinated debentures | 10,700,000 | ||
Royal Bancshares Capital Trust I and II | |||
Other investments | $ 774,000 | ||
Royal Bancshares Capital Trust I | |||
Other investments | $ 387,000 |
Operating Leases - Narrative (D
Operating Leases - Narrative (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Jun. 30, 2019 |
Lessee, Lease, Description [Line Items] | ||
Weighted average remaining lease term | 14 years 3 months 3 days | |
Operating lease right-of-use assets | $ 40,961 | |
Operating lease liabilities | $ 45,258 | |
Operating lease, weighted average discount rate (as a percent) | 3.57% | |
Minimum | ||
Lessee, Lease, Description [Line Items] | ||
Weighted average remaining lease term | 9 months | |
Maximum | ||
Lessee, Lease, Description [Line Items] | ||
Weighted average remaining lease term | 23 years |
Operating Leases - Components o
Operating Leases - Components of Lease Expense (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating lease expense | $ 5,295 |
Short term lease expense | 59 |
Variable lease expense | 1,795 |
Sublease income | (32) |
Total lease expense | $ 7,117 |
Operating Leases - Supplemental
Operating Leases - Supplemental Cash Flow Information Related to Leases (Details) $ in Thousands | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Leases [Abstract] | |
Operating cash flows from operating leases | $ 5,174 |
ROU assets obtained in exchange for lease liabilities | $ 44,609 |
Operating Leases - Maturities o
Operating Leases - Maturities of Lease Liabilities (Details) $ in Thousands | Dec. 31, 2019USD ($) |
Leases [Abstract] | |
2020 | $ 4,705 |
2021 | 4,479 |
2022 | 4,200 |
2023 | 4,047 |
2024 | 4,076 |
2024 and thereafter | 37,308 |
Total lease payments | 58,815 |
Less: imputed interest | 13,557 |
Operating lease liabilities | $ 45,258 |
Derivatives and Hedging Activ_3
Derivatives and Hedging Activities (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Derivative Liability [Abstract] | ||
Derivative liability, collateral | $ 63,800 | $ 8,800 |
Fair value of derivative instruments | 46,700 | 11,500 |
Not Designated as Hedging Instrument | ||
Derivative Asset [Abstract] | ||
Notional Amount | 810,458 | 404,928 |
Fair Value | 47,717 | 12,621 |
Derivative Liability [Abstract] | ||
Notional Amount | 794,441 | 370,477 |
Fair Value | 47,643 | 12,551 |
Not Designated as Hedging Instrument | Customer derivatives – interest rate swaps | ||
Derivative Asset [Abstract] | ||
Notional Amount | 790,209 | 369,623 |
Fair Value | 47,627 | 12,550 |
Derivative Liability [Abstract] | ||
Notional Amount | 790,209 | 369,623 |
Fair Value | 47,627 | 12,549 |
Not Designated as Hedging Instrument | RPAs sold | ||
Derivative Asset [Abstract] | ||
Notional Amount | 0 | 0 |
Fair Value | 0 | 0 |
Derivative Liability [Abstract] | ||
Notional Amount | 4,232 | 854 |
Fair Value | 16 | 2 |
Not Designated as Hedging Instrument | RPAs purchased | ||
Derivative Asset [Abstract] | ||
Notional Amount | 20,249 | 35,305 |
Fair Value | 90 | 71 |
Derivative Liability [Abstract] | ||
Notional Amount | 0 | 0 |
Fair Value | $ 0 | $ 0 |
Pension and Postretirement Be_3
Pension and Postretirement Benefit Plans - Narrative (Details) $ in Thousands | 12 Months Ended | |
Dec. 31, 2005 | Dec. 31, 2019USD ($)plan | |
SERP I and SERP II | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Number of defined benefit pension plans | plan | 2 | |
Defined benefit plan, participants amounts frozen, percentage | 20.00% | |
Defined benefit plan, expected future employer contributions, next fiscal year | $ | $ 342 | |
PRBP | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Defined benefit plan, maximum annual payment, percentage | 120.00% |
Pension and Postretirement Be_4
Pension and Postretirement Benefit Plans - Actuarial Assumptions Used to Determine Benefit Obligations (Details) | Dec. 31, 2019 | Dec. 31, 2018 |
SERP I and SERP II | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 2.80% | 3.95% |
PRBP | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Discount rate | 2.20% | 3.45% |
Pension and Postretirement Be_5
Pension and Postretirement Benefit Plans - Changes in Benefit Obligations and Plan Assets (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
SERP I and SERP II | |||
Change in benefit obligations | |||
Benefit obligation at January 1 | $ 4,687 | $ 4,983 | |
Service cost | 0 | 0 | $ 0 |
Interest cost | 179 | 160 | 176 |
Plan participants contribution | 0 | 0 | |
Actuarial loss (gain) | 595 | (180) | |
Settlements | 0 | 0 | |
Benefits paid | (303) | (276) | |
Benefit obligation at December 31 | 5,158 | 4,687 | 4,983 |
Change in plan assets | |||
Fair value of plan assets at January 1 | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |
Settlements | 0 | 0 | |
Excess assets transferred to defined contribution plan | 0 | 0 | |
Employer contribution | 303 | 278 | |
Plan participants’ contribution | 0 | 0 | |
Benefits paid | (303) | (278) | |
Fair value of plan assets at December 31 | 0 | 0 | 0 |
Funded status at year end (plan assets less benefit obligations) | (5,158) | (4,687) | |
Accrued liability | (3,112) | (3,174) | |
Net actuarial loss | (2,046) | (1,513) | |
Prior service cost | 0 | 0 | |
Unrecognized net initial obligation | 0 | 0 | |
PRBP | |||
Change in benefit obligations | |||
Benefit obligation at January 1 | 241 | 353 | |
Service cost | 0 | 0 | 0 |
Interest cost | 8 | 9 | 11 |
Plan participants contribution | 38 | 44 | |
Actuarial loss (gain) | 40 | (61) | |
Settlements | 0 | 0 | |
Benefits paid | (92) | (104) | |
Benefit obligation at December 31 | 235 | 241 | 353 |
Change in plan assets | |||
Fair value of plan assets at January 1 | 0 | 0 | |
Actual return on plan assets | 0 | 0 | |
Settlements | 0 | 0 | |
Excess assets transferred to defined contribution plan | 0 | 0 | |
Employer contribution | 54 | 60 | |
Plan participants’ contribution | 38 | 44 | |
Benefits paid | (92) | (104) | |
Fair value of plan assets at December 31 | 0 | 0 | $ 0 |
Funded status at year end (plan assets less benefit obligations) | (235) | (241) | |
Accrued liability | (99) | (129) | |
Net actuarial loss | (136) | (112) | |
Prior service cost | 0 | 0 | |
Unrecognized net initial obligation | $ 0 | $ 0 |
Pension and Postretirement Be_6
Pension and Postretirement Benefit Plans - Additional Information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
SERP I and SERP II | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 0 | $ 0 | $ 0 |
Interest cost | 179 | 160 | 176 |
Amortization of prior service cost | 0 | 0 | 0 |
Recognition of net actuarial loss | 62 | 70 | 59 |
Net periodic pension cost | $ 241 | $ 230 | $ 235 |
Discount Rate Used in the Calculation of Periodic Pension Costs | 3.95% | 3.30% | 3.75% |
PRBP | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Service cost | $ 0 | $ 0 | $ 0 |
Interest cost | 8 | 9 | 11 |
Amortization of prior service cost | 0 | 0 | 0 |
Recognition of net actuarial loss | 17 | 30 | 36 |
Net periodic pension cost | $ 25 | $ 39 | $ 47 |
Discount Rate Used in the Calculation of Periodic Pension Costs | 3.45% | 2.75% | 2.80% |
Pension and Postretirement Be_7
Pension and Postretirement Benefit Plans - Benefit Payments Which Reflect Expected Future Services, Expected to Be Paid Over Next Ten Years (Details) $ in Thousands | Dec. 31, 2019USD ($) |
SERP I and SERP II | |
Defined Benefit Plan Disclosure [Line Items] | |
2020 | $ 342 |
2021 | 339 |
2022 | 335 |
2023 | 342 |
2024 | 349 |
2024-2028 | 1,600 |
PRBP | |
Defined Benefit Plan Disclosure [Line Items] | |
2020 | 49 |
2021 | 41 |
2022 | 35 |
2023 | 29 |
2024 | 24 |
2024-2028 | $ 62 |
Income Taxes - Components of Ne
Income Taxes - Components of Net Deferred Tax Asset (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred tax assets: | ||
Loan and lease loss reserve | $ 5,128 | $ 4,476 |
Other reserves | 3,619 | 2,919 |
Net operating loss carry-forward | 8,107 | 9,728 |
Alternative minimum tax credits | 833 | 1,100 |
Unrealized depreciation of available for sale securities | 0 | 1,656 |
Operating lease liabilities | 10,030 | |
Defined benefit plans | 1,505 | 1,377 |
RBPI Merger Fair Values | 647 | 2,580 |
Total deferred tax asset | 29,869 | 23,836 |
Deferred tax liabilities: | ||
Intangibles and other amortizing fair value adjustments | 5,154 | 5,290 |
Originated MSRs | 969 | 1,105 |
Unrealized appreciation of available for sale securities | 1,040 | 0 |
Operating lease right-of-use assets | 8,948 | |
Deferred loan costs | 909 | 1,105 |
Other reserves | 1,166 | 535 |
Total deferred tax liability | 18,186 | 8,035 |
Total net deferred tax asset | $ 11,683 | $ 15,801 |
Income Taxes - Narrative (Detai
Income Taxes - Narrative (Details) - USD ($) | Dec. 22, 2017 | Dec. 15, 2017 | Jun. 30, 2010 | Dec. 31, 2019 | Dec. 31, 2017 | Dec. 31, 2018 |
Income Tax Contingency [Line Items] | ||||||
Increase in deferred tax assets related to purchase accounting adjustments | $ 611,000 | |||||
Income tax expense (benefit) | $ 15,200,000 | (2,500,000) | ||||
Reserves for uncertain tax positions | 0 | $ 0 | $ 0 | |||
Operating loss carryforwards | 38,600,000 | |||||
Unrecognized tax benefits, increase resulting from acquisition | $ 2,500,000 | |||||
Retained Earnings | ||||||
Income Tax Contingency [Line Items] | ||||||
Reclassification of tax effects from AOCI | 782,000 | $ 782,000 | ||||
Royal Bancshares of Pennsylvania, Inc. | ||||||
Income Tax Contingency [Line Items] | ||||||
Increase in deferred tax assets related to purchase accounting adjustments | $ 33,100,000 | 1,100,000 | ||||
Operating loss carryforwards, additional utilization, acquired from business combination | 5,000,000 | |||||
Deferred Tax Assets for State Net Operating Losses | ||||||
Income Tax Contingency [Line Items] | ||||||
Deferred tax assets, valuation allowance | 706,000 | |||||
Unrealized Capital Losses For Partnership Investments | ||||||
Income Tax Contingency [Line Items] | ||||||
Deferred tax assets, valuation allowance | 608,000 | |||||
Internal Revenue Service (IRS) | ||||||
Income Tax Contingency [Line Items] | ||||||
Operating loss carryforwards, annual limitation | $ 2,700,000 | |||||
Alternative minimum tax credit carry forward | 833,000 | |||||
Internal Revenue Service (IRS) | Royal Bancshares of Pennsylvania, Inc. | ||||||
Income Tax Contingency [Line Items] | ||||||
Alternative minimum tax credit carry forward | $ 532,000 |
Income Taxes - Components of Pr
Income Taxes - Components of Provision (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||||||||||
Current | $ 14,068 | $ 4,326 | $ 13,812 | ||||||||
Deferred | 1,539 | 9,839 | 20,418 | ||||||||
Total income tax expense | $ 4,202 | $ 4,402 | $ 4,239 | $ 2,764 | $ 1,746 | $ 4,066 | $ 3,723 | $ 4,630 | $ 15,607 | $ 14,165 | $ 34,230 |
Income Taxes - Difference Betwe
Income Taxes - Difference Between Applicable Income Taxes and the Amount Derived by Applying Statutory (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Effective Income Tax Rate Reconciliation, Amount [Abstract] | |||||||||||
Computed tax expense at statutory federal rate | $ 15,711 | $ 16,371 | $ 20,036 | ||||||||
Tax-exempt income | (562) | (470) | (600) | ||||||||
State tax (net of federal tax benefit) | 1,045 | 874 | 303 | ||||||||
Non-deductible merger expense | 0 | 0 | 455 | ||||||||
Excess tax benefit – stock based compensation | (144) | (848) | (1,049) | ||||||||
Adjustment to net deferred tax assets for enacted changes in tax laws, rates and return to provision adjustments | 0 | (1,895) | 15,193 | ||||||||
Other, net | (443) | 133 | (108) | ||||||||
Total income tax expense | $ 4,202 | $ 4,402 | $ 4,239 | $ 2,764 | $ 1,746 | $ 4,066 | $ 3,723 | $ 4,630 | $ 15,607 | $ 14,165 | $ 34,230 |
Effective Income Tax Rate Reconciliation, Percent [Abstract] | |||||||||||
Statutory federal rate (as a percent) | 21.00% | 21.00% | 35.00% | ||||||||
Tax-exempt income (as a percent) | (0.80%) | (0.60%) | (1.00%) | ||||||||
State tax (net of federal tax benefit) (as a percent) | 1.40% | 1.10% | 0.50% | ||||||||
Non-deductible merger expense (as a percent) | 0.00% | 0.00% | 0.80% | ||||||||
Excess tax benefit – stock based compensation (as a percent) | (0.20%) | (1.10%) | (1.80%) | ||||||||
Adjustment to net deferred tax assets (as a percent) | 0.00% | (2.40%) | 26.50% | ||||||||
Other, net (as a percent) | (0.50%) | 0.20% | (0.20%) | ||||||||
Total income tax expense (as a percent) | 20.90% | 18.20% | 59.80% |
Income Taxes - Components of _2
Income Taxes - Components of Provisional Tax Expense Related to Tax Law Changes (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Income Tax Disclosure [Abstract] | |||
Deferred taxes related to items recognized in continuing operations | $ 0 | $ (1,895) | $ 14,411 |
Deferred taxes on net actuarial loss on defined benefit post-retirement benefit plans | 0 | 0 | 275 |
Deferred taxes on net unrealized losses on available for sale investment securities | 0 | 0 | 507 |
Provisional Tax Expense Related to Tax Law Changes | $ 0 | $ (1,895) | $ 15,193 |
Accumulated Other Comprehensi_3
Accumulated Other Comprehensive Income (Loss) - Components of Accumulated Other Comprehensive (Loss) Income (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning Balance | $ 564,704 | $ 528,119 | $ 381,127 |
Other comprehensive (loss) income | 9,700 | (3,099) | (1,223) |
Reclassification due to the adoption of ASU No. 2018-02 | (782) | ||
Ending Balance | 612,227 | 564,704 | 528,119 |
Net Change in Unrealized Gains on Available for Sale Investment Securities | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning Balance | (6,229) | (2,861) | (1,231) |
Other comprehensive (loss) income | 10,139 | (3,368) | (1,123) |
Reclassification due to the adoption of ASU No. 2018-02 | (507) | ||
Ending Balance | 3,910 | (6,229) | (2,861) |
Net Change in Unfunded Pension Liability | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning Balance | (1,284) | (1,553) | (1,178) |
Other comprehensive (loss) income | (439) | 269 | (100) |
Reclassification due to the adoption of ASU No. 2018-02 | (275) | ||
Ending Balance | (1,723) | (1,284) | (1,553) |
Accumulated Other Comprehensive (Loss) Income | |||
AOCI Attributable to Parent, Net of Tax [Roll Forward] | |||
Beginning Balance | (7,513) | (4,414) | (2,409) |
Other comprehensive (loss) income | 9,700 | (3,099) | (1,223) |
Ending Balance | $ 2,187 | $ (7,513) | $ (4,414) |
Accumulated Other Comprehensi_4
Accumulated Other Comprehensive Income (Loss) - Amounts Reclassified from Each Component of Accumulated Other Comprehensive (Loss) Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Realization of gain on sale of investment securities available for sale | $ 0 | $ (7) | $ (101) | ||||||||
Realization of gain on transfer of investment securities available for sale to trading | (10,288) | (11,546) | (5,321) | ||||||||
Total | $ (20,585) | $ (20,761) | $ (20,017) | $ (13,440) | $ (18,877) | $ (20,747) | $ (18,418) | $ (19,915) | (74,803) | (77,957) | (57,246) |
Income tax effect | (4,202) | (4,402) | (4,239) | (2,764) | (1,746) | (4,066) | (3,723) | (4,630) | (15,607) | (14,165) | (34,230) |
Net income | $ 16,384 | $ 16,360 | $ 15,785 | $ 10,677 | $ 17,136 | $ 16,682 | $ 14,688 | $ 15,286 | 59,206 | 63,792 | 23,016 |
Other operating expenses | 18,069 | 16,635 | 15,248 | ||||||||
Net Change in Unrealized Gains on Available for Sale Investment Securities | Reclassification out of Accumulated Other Comprehensive Income | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Realization of gain on sale of investment securities available for sale | 0 | (7) | (101) | ||||||||
Realization of gain on transfer of investment securities available for sale to trading | 0 | (417) | 0 | ||||||||
Total | 0 | (424) | (101) | ||||||||
Income tax effect | 0 | 89 | 35 | ||||||||
Net income | 0 | 335 | 66 | ||||||||
Net Change in Unfunded Pension Liability | Reclassification out of Accumulated Other Comprehensive Income | |||||||||||
Reclassification Adjustment out of Accumulated Other Comprehensive Income [Line Items] | |||||||||||
Income tax effect | 17 | 21 | 33 | ||||||||
Net income | (62) | (79) | (62) | ||||||||
Other operating expenses | $ 79 | $ 100 | $ 95 |
Earnings Per Common Share (Deta
Earnings Per Common Share (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Earnings Per Share [Abstract] | |||||||||||
Net income | $ 16,384 | $ 16,360 | $ 15,785 | $ 10,677 | $ 17,136 | $ 16,682 | $ 14,688 | $ 15,286 | $ 59,206 | $ 63,792 | $ 23,016 |
Denominator for basic earnings per share – Weighted average shares outstanding (in shares) | 20,142,306 | 20,234,792 | 17,150,125 | ||||||||
Effect of dilutive potential common shares (in shares) | 91,065 | 155,375 | 248,798 | ||||||||
Adjusted weighted-average diluted shares (in shares) | 20,233,371 | 20,390,167 | 17,398,923 | ||||||||
Basic earnings per share (in dollars per share) | $ 0.81 | $ 0.81 | $ 0.78 | $ 0.53 | $ 0.85 | $ 0.82 | $ 0.73 | $ 0.76 | $ 2.94 | $ 3.15 | $ 1.34 |
Diluted earnings per share (in dollars per share) | $ 0.81 | $ 0.81 | $ 0.78 | $ 0.53 | $ 0.84 | $ 0.82 | $ 0.72 | $ 0.75 | $ 2.93 | $ 3.13 | $ 1.32 |
Antidilutive shares excluded from computation of average dilutive earnings per share (in shares) | 3,671 | 19,422 | 27,159 |
Revenue from Contracts with C_3
Revenue from Contracts with Customers (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Disaggregation of Revenue [Line Items] | |||||||||||
Capital markets revenue | $ 11,276 | $ 4,848 | $ 2,396 | ||||||||
Loan servicing and other fees | 2,206 | 2,259 | 2,106 | ||||||||
Net gain on sale of loans | 2,342 | 3,283 | 2,441 | ||||||||
Net gain (loss) on sale of investment securities available for sale | 0 | 7 | 101 | ||||||||
Net gain (loss) on sale of OREO | (84) | 295 | (104) | ||||||||
Dividends on FHLB and FRB stock | 1,505 | 1,621 | 939 | ||||||||
Other operating income | 10,288 | 11,546 | 5,321 | ||||||||
Total noninterest income | $ 23,255 | $ 19,455 | $ 20,221 | $ 19,253 | $ 18,097 | $ 18,274 | $ 20,075 | $ 19,536 | 82,184 | 75,982 | 59,132 |
Asset Management | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 44,400 | 42,326 | 38,735 | ||||||||
Insurance Commissions | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 6,877 | 6,808 | 4,589 | ||||||||
Deposit Account | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 3,374 | 2,989 | 2,608 | ||||||||
Merchant Interchange Fees, Safe Deposit Box Rentals, and Rent Income | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 2,200 | 2,200 | 2,000 | ||||||||
Banking | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Capital markets revenue | 11,276 | 4,848 | 2,396 | ||||||||
Loan servicing and other fees | 2,206 | 2,259 | 2,106 | ||||||||
Net gain on sale of loans | 2,342 | 3,283 | 2,441 | ||||||||
Net gain (loss) on sale of investment securities available for sale | 0 | 7 | 101 | ||||||||
Net gain (loss) on sale of OREO | (84) | 295 | (104) | ||||||||
Dividends on FHLB and FRB stock | 1,505 | 1,621 | 939 | ||||||||
Other operating income | 10,182 | 11,360 | 5,124 | ||||||||
Total noninterest income | 30,801 | 26,662 | 15,611 | ||||||||
Banking | Asset Management | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 0 | 0 | 0 | ||||||||
Banking | Insurance Commissions | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 0 | 0 | 0 | ||||||||
Banking | Deposit Account | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 3,374 | 2,989 | 2,608 | ||||||||
Wealth Management | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Capital markets revenue | 0 | 0 | 0 | ||||||||
Loan servicing and other fees | 0 | 0 | 0 | ||||||||
Net gain on sale of loans | 0 | 0 | 0 | ||||||||
Net gain (loss) on sale of investment securities available for sale | 0 | 0 | 0 | ||||||||
Net gain (loss) on sale of OREO | 0 | 0 | 0 | ||||||||
Dividends on FHLB and FRB stock | 0 | 0 | 0 | ||||||||
Other operating income | 106 | 186 | 197 | ||||||||
Total noninterest income | 51,383 | 49,320 | 43,521 | ||||||||
Wealth Management | Asset Management | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 44,400 | 42,326 | 38,735 | ||||||||
Wealth Management | Insurance Commissions | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | 6,877 | 6,808 | 4,589 | ||||||||
Wealth Management | Deposit Account | |||||||||||
Disaggregation of Revenue [Line Items] | |||||||||||
Revenue from contract with customer | $ 0 | $ 0 | $ 0 |
Stock-Based Compensation - Narr
Stock-Based Compensation - Narrative (Details) - USD ($) $ in Thousands | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||||||
May 31, 2019 | Feb. 28, 2019 | Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Apr. 30, 2015 | Apr. 28, 2010 | Apr. 25, 2007 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Performance shares, minimum target (as a percent) | 0.00% | ||||||||
Performance shares, maximum target (as a percent) | 150.00% | ||||||||
Shares granted in period | 0 | 0 | 0 | ||||||
Number of unvested options (in shares) | 0 | 0 | 0 | ||||||
Restricted Stock Units (RSUs) | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation expense | $ 112 | $ 1,800 | |||||||
Unrecognized compensation costs | $ 2,800 | ||||||||
Unrecognized compensation costs, period of recognition | 2 years 1 month 6 days | ||||||||
Shares modified during period | 3,494 | ||||||||
PSUs granted (in shares) | 71,716 | 38,806 | 40,137 | ||||||
Performance Shares | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Share based compensation expense | $ 250 | $ 1,900 | |||||||
Unrecognized compensation costs | $ 2,500 | ||||||||
Unrecognized compensation costs, period of recognition | 1 year 9 months 18 days | ||||||||
Shares modified during period | 8,208 | ||||||||
PSUs granted (in shares) | 11,631 | 14,834 | |||||||
Share based compensation, expected volatility rate | 21.28% | 20.60% | |||||||
Share based compensation, risk free interest rate | 2.31% | 2.46% | |||||||
The 2007 Long-Term Incentive Plan | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares available for grant | 428,996 | ||||||||
The 2010 Long-Term Incentive Plan | |||||||||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |||||||||
Number of shares available for grant | 945,002 | 445,002 | |||||||
Additional number of shares authorized for grant | 500,000 |
Stock-Based Compensation - Rema
Stock-Based Compensation - Remaining Shares Authorized to Be Granted for Options, Restricted Stock Awards and Performance Stock Awards (Details) - shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Number of Shares | |||
Balance (in shares) | 552,959 | ||
Options, RSAs or PSAs | |||
Number of Shares | |||
Balance (in shares) | 407,619 | 479,953 | |
Expiration of unexercised options (in shares) | 0 | 0 | 250 |
Balance (in shares) | 299,242 | 407,619 | 479,953 |
Restricted Stock Units (RSUs) | |||
Number of Shares | |||
Balance (in shares) | 76,746 | 75,707 | 58,862 |
Grants (in shares) | (71,716) | (38,806) | (40,137) |
Forfeitures (in shares) | 9,461 | 1,515 | 4,305 |
Balance (in shares) | 115,466 | 76,746 | 75,707 |
Performance Stock Awards | |||
Number of Shares | |||
Balance (in shares) | 121,656 | 168,453 | 192,844 |
Grants (in shares) | (72,273) | (40,722) | (41,323) |
Non-vesting (in shares) | 12,689 | 0 | 0 |
PSUs added by performance factor | (3,688) | 0 | 0 |
Forfeitures (in shares) | 17,150 | 5,679 | 3,899 |
Balance (in shares) | 136,271 | 121,656 | 168,453 |
Stock-Based Compensation - Othe
Stock-Based Compensation - Other Stock Option Information (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Shares | |||
Options outstanding (in shares) | 50,601 | 115,246 | 185,023 |
Expired (in shares) | 0 | 0 | (250) |
Exercised (in shares) | (49,700) | (64,645) | (69,527) |
Options outstanding (in shares) | 901 | 50,601 | 115,246 |
Weighted Average Exercise Price | |||
Options outstanding (in dollars per share) | $ 18.28 | $ 20.73 | $ 21.04 |
Expired (in dollars per share) | 0 | 0 | 22 |
Exercised (in dollars per share) | 18.26 | 22.65 | 21.55 |
Options outstanding (in dollars per share) | 19.33 | 18.28 | 20.73 |
Weighted Average Grant Date Fair Value | |||
Options outstanding (in dollars per share) | 4.68 | 4.86 | 4.88 |
Expired (in dollars per share) | 0 | 0 | 4.90 |
Exercised (in dollars per share) | 4.46 | 5 | 4.91 |
Options outstanding (in dollars per share) | $ 16.78 | $ 4.68 | $ 4.86 |
Stock-Based Compensation - Info
Stock-Based Compensation - Information Related to Options (Details) | 12 Months Ended |
Dec. 31, 2019$ / sharesshares | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Options outstanding options outstanding (in shares) | shares | 901 |
Range $15.48 to $15.75 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Range of Exercise Prices, minimum (in dollars per share) | $ 16.02 |
Range of Exercise Prices, maximum (in dollars per share) | $ 17.17 |
Options outstanding options outstanding (in shares) | shares | 338 |
Options outstanding remaining contractual life (Year) | 1 hour |
Options exercisable weighted average exercise price (in dollars per share) | $ 16.02 |
Range $15.76 to $17.15 | |
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | |
Range of Exercise Prices, minimum (in dollars per share) | 17.18 |
Range of Exercise Prices, maximum (in dollars per share) | $ 18.33 |
Options outstanding options outstanding (in shares) | shares | 563 |
Options outstanding remaining contractual life (Year) | 4 years 18 days |
Options exercisable weighted average exercise price (in dollars per share) | $ 18.33 |
Stock-Based Compensation - Proc
Stock-Based Compensation - Proceeds, Related Tax Benefits Realized from Options Exercised and Intrinsic Value of Options Exercised (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share-based Payment Arrangement [Abstract] | |||
Proceeds from exercise of stock options | $ 907 | $ 1,464 | $ 1,498 |
Related tax benefit recognized | 212 | 312 | 506 |
Net proceeds of options exercised | 1,119 | 1,776 | 2,004 |
Intrinsic value of options exercised | $ 1,010 | $ 1,512 | $ 1,445 |
Stock-Based Compensation - Opti
Stock-Based Compensation - Options Outstanding and Exercisable (Details) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 | |
Share-based Payment Arrangement [Abstract] | ||||
Options outstanding (in shares) | 901 | 50,601 | 115,246 | 185,023 |
Weighted average exercise price, options outstanding (in dollars per share) | $ 19.33 | $ 18.28 | $ 20.73 | $ 21.04 |
Aggregate intrinsic value, options outstanding | $ 20 | $ 1,478 | $ 2,705 | |
Weighted average contractual term, options outstanding (Year) | 2 years 7 months 6 days | 8 months 12 days | 1 year 2 months 12 days | |
Exercisable options (in shares) | 901 | 50,601 | 115,246 | |
Weighted average exercise price, exercisable options (in dollars per share) | $ 19.33 | $ 18.28 | $ 20.73 | |
Aggregate intrinsic value, exercisable options | $ 20 | $ 1,478 | $ 2,705 | |
Weighted average contractual term, exercisable options (Year) | 2 years 7 months 6 days | 8 months 12 days | 1 year 2 months 12 days |
Stock-Based Compensation - Unve
Stock-Based Compensation - Unvested Restricted Stock Units Awards (Details) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Number of Shares | |||
Balance (in shares) | 552,959 | ||
Restricted Stock Units (RSUs) | |||
Number of Shares | |||
Balance (in shares) | 76,746 | 75,707 | 58,862 |
Granted (in shares) | 71,716 | 38,806 | 40,137 |
Vested (in shares) | (23,535) | (36,252) | (18,987) |
Forfeited (in shares) | (9,461) | (1,515) | (4,305) |
Balance (in shares) | 115,466 | 76,746 | 75,707 |
Weighted Average Grant Date Fair Value | |||
Balance, weighted average grant date fair value (in dollars per share) | $ 39.71 | $ 35.80 | $ 29.57 |
Granted, weighted average grant date fair value (in dollars per share) | 36.28 | 42.23 | 41.23 |
Vested, weighted average grant date fair value (in dollars per share) | 34.66 | 34.38 | 29.40 |
Forfeited, weighted average grant date fair value (in dollars per share) | 40.23 | 36.52 | 29.54 |
Balance, weighted average grant date fair value (in dollars per share) | $ 38.57 | $ 39.71 | $ 35.80 |
Stock-Based Compensation - Un_2
Stock-Based Compensation - Unvested Performance Stock Awards (Details) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Number of Shares | |||
Balance (in shares) | 552,959 | ||
Performance Stock Awards | |||
Number of Shares | |||
Balance (in shares) | 121,656 | 168,453 | 192,844 |
Granted (in shares) | 72,273 | 40,722 | 41,323 |
Vested (in shares) | (31,507) | (81,840) | (61,815) |
Added by performance factor (in shares) | 3,688 | 0 | 0 |
Non-vesting (in shares) | (12,689) | 0 | 0 |
Forfeited (in shares) | (17,150) | (5,679) | (3,899) |
Balance (in shares) | 136,271 | 121,656 | 168,453 |
Weighted Average Grant Date Fair Value | |||
Balance, weighted average grant date fair value (in dollars per share) | $ 36.82 | $ 24.76 | $ 18.77 |
Granted, weighted average grant date fair value (in dollars per share) | 34.26 | 44.56 | 37.86 |
Vested, weighted average grant date fair value (in dollars per share) | 29.38 | 16.40 | 15.05 |
Added by performance factor (in dollars per share) | 30.45 | 0 | 0 |
Non-vesting, Weighted average grant date fair value (in dollars per share) | 27.13 | 0 | 0 |
Forfeited, weighted average grant date fair value (in dollars per share) | 37.15 | 28.79 | 21.45 |
Balance, weighted average grant date fair value (in dollars per share) | $ 37.87 | $ 36.82 | $ 24.76 |
Cash in lieu of fractional shares | $ 39 |
401(K) Plan and Other Defined_2
401(K) Plan and Other Defined Contribution Plans (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
The 401(K) Plan | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Defined contribution plan, matching contribution, percent of employee's base salary | 3.00% | ||
Defined contribution plan, cost | $ 1,400 | $ 1,400 | $ 1,200 |
Defined contribution plan, employer discretionary contribution amount | 1,800 | 1,500 | 489 |
EDCP | |||
Defined Contribution Plan Disclosure [Line Items] | |||
Compensation expense | $ 298 | $ 441 | $ 238 |
Fair Value Measurement (Details
Fair Value Measurement (Details) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | $ 1,005,984 | $ 737,442 |
SEC Schedule, 12-09, Allowance, Loan and Lease Loss | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Increase (decrease) in valuation allowance and reserves | (44) | (204) |
Fair Value, Measurements, Recurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 1,005,984 | 737,442 |
Derivative assets | 47,717 | 12,621 |
Total financial assets | 1,062,322 | 757,565 |
Fair Value, Measurements, Recurring | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 47,627 | 12,550 |
Fair Value, Measurements, Recurring | RPAs Purchased | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 90 | 71 |
Fair Value, Measurements, Recurring | U.S. Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 500,101 | 200,013 |
Fair Value, Measurements, Recurring | Obligations of the U.S. government and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 102,020 | 195,855 |
Fair Value, Measurements, Recurring | Obligations of state and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 5,379 | 11,332 |
Fair Value, Measurements, Recurring | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 366,002 | 289,890 |
Fair Value, Measurements, Recurring | Collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 31,832 | 39,252 |
Fair Value, Measurements, Recurring | Other investment securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 650 | 1,100 |
Fair Value, Measurements, Recurring | Mutual Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities trading | 8,621 | 7,502 |
Fair Value, Measurements, Recurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 500,101 | 200,013 |
Derivative assets | 0 | 0 |
Total financial assets | 508,722 | 207,515 |
Fair Value, Measurements, Recurring | Level 1 | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | RPAs Purchased | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | U.S. Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 500,101 | 200,013 |
Fair Value, Measurements, Recurring | Level 1 | Obligations of the U.S. government and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | Obligations of state and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | Collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | Other investment securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 1 | Mutual Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities trading | 8,621 | 7,502 |
Fair Value, Measurements, Recurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 505,883 | 537,429 |
Derivative assets | 47,717 | 12,621 |
Total financial assets | 553,600 | 550,050 |
Fair Value, Measurements, Recurring | Level 2 | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 47,627 | 12,550 |
Fair Value, Measurements, Recurring | Level 2 | RPAs Purchased | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 90 | 71 |
Fair Value, Measurements, Recurring | Level 2 | U.S. Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 2 | Obligations of the U.S. government and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 102,020 | 195,855 |
Fair Value, Measurements, Recurring | Level 2 | Obligations of state and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 5,379 | 11,332 |
Fair Value, Measurements, Recurring | Level 2 | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 366,002 | 289,890 |
Fair Value, Measurements, Recurring | Level 2 | Collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 31,832 | 39,252 |
Fair Value, Measurements, Recurring | Level 2 | Other investment securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 650 | 1,100 |
Fair Value, Measurements, Recurring | Level 2 | Mutual Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities trading | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Derivative assets | 0 | 0 |
Total financial assets | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Interest rate swaps | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | RPAs Purchased | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Derivative assets | 0 | |
Fair Value, Measurements, Recurring | Level 3 | U.S. Treasury securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Obligations of the U.S. government and agencies | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Obligations of state and political subdivisions | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Collateralized mortgage obligations | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Other investment securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Fair Value | 0 | 0 |
Fair Value, Measurements, Recurring | Level 3 | Mutual Funds | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Investment securities trading | 0 | 0 |
Fair Value, Measurements, Nonrecurring | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 20,149 | 28,806 |
Fair Value, Measurements, Nonrecurring | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 4,838 | 6,277 |
Fair Value, Measurements, Nonrecurring | Impaired loans and leases | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 15,311 | 22,112 |
Fair Value, Measurements, Nonrecurring | OREO | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 417 | |
Fair Value, Measurements, Nonrecurring | Level 1 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Level 1 | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Level 1 | Impaired loans and leases | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Level 1 | OREO | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 0 | |
Fair Value, Measurements, Nonrecurring | Level 2 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Level 2 | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Level 2 | Impaired loans and leases | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 0 | 0 |
Fair Value, Measurements, Nonrecurring | Level 2 | OREO | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 0 | |
Fair Value, Measurements, Nonrecurring | Level 3 | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 20,149 | 28,806 |
Fair Value, Measurements, Nonrecurring | Level 3 | Mortgage-backed securities | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | 4,838 | 6,277 |
Fair Value, Measurements, Nonrecurring | Level 3 | Impaired loans and leases | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | $ 15,311 | 22,112 |
Fair Value, Measurements, Nonrecurring | Level 3 | OREO | ||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||
Total financial assets | $ 417 |
Disclosure about Fair Value o_3
Disclosure about Fair Value of Financial Instruments (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financial assets: | ||
Investment securities - available for sale | $ 1,005,984 | $ 737,442 |
Investment securities - trading | 8,621 | 7,502 |
Investment securities – held to maturity | 12,661 | 8,438 |
Carrying Amount | ||
Financial assets: | ||
Investment securities - available for sale | 1,005,984 | 737,442 |
Investment securities - trading | 8,621 | 7,502 |
Total financial assets | 4,857,148 | 4,272,870 |
Financial liabilities: | ||
Total financial liabilities | 4,606,085 | 4,100,332 |
Carrying Amount | Level 1 | ||
Financial assets: | ||
Cash and cash equivalents | 53,931 | 48,456 |
Carrying Amount | Level 2 | ||
Financial assets: | ||
Investment securities – held to maturity | 12,577 | 8,684 |
Loans held for sale | 4,249 | 1,749 |
Financial liabilities: | ||
Deposits | 3,842,245 | 3,599,087 |
Short-term borrowings | 493,219 | 252,367 |
Long-term FHLB advances | 52,269 | 55,374 |
Subordinated notes | 98,705 | 98,526 |
Junior subordinated debentures | 21,753 | 21,580 |
Carrying Amount | Level 3 | ||
Financial assets: | ||
Net portfolio loans and leases | 3,666,711 | 3,407,728 |
Mortgage servicing rights | 4,450 | 5,047 |
Other assets | 52,908 | 43,641 |
Financial liabilities: | ||
Other liabilities | 50,251 | 60,847 |
Carrying Amount | Interest rate swaps | Level 2 | ||
Financial assets: | ||
Derivative assets | 47,627 | 12,550 |
Financial liabilities: | ||
Derivative liabilities | 47,627 | 12,549 |
Carrying Amount | RPAs purchased | Level 2 | ||
Financial assets: | ||
Derivative assets | 90 | 71 |
Carrying Amount | RPAs sold | Level 2 | ||
Financial liabilities: | ||
Derivative liabilities | 16 | 2 |
Fair Value | ||
Financial assets: | ||
Investment securities - available for sale | 1,005,984 | 737,442 |
Investment securities - trading | 8,621 | 7,502 |
Total financial assets | 4,787,177 | 4,281,047 |
Financial liabilities: | ||
Total financial liabilities | 4,608,358 | 4,105,987 |
Fair Value | Level 1 | ||
Financial assets: | ||
Cash and cash equivalents | 53,931 | 48,456 |
Fair Value | Level 2 | ||
Financial assets: | ||
Investment securities – held to maturity | 12,661 | 8,438 |
Loans held for sale | 4,249 | 1,749 |
Financial liabilities: | ||
Deposits | 3,842,014 | 3,594,123 |
Short-term borrowings | 493,219 | 252,367 |
Long-term FHLB advances | 52,380 | 54,803 |
Subordinated notes | 97,199 | 100,120 |
Junior subordinated debentures | 25,652 | 31,176 |
Fair Value | Level 3 | ||
Financial assets: | ||
Net portfolio loans and leases | 3,596,268 | 3,414,921 |
Mortgage servicing rights | 4,838 | 6,277 |
Other assets | 52,908 | 43,641 |
Financial liabilities: | ||
Other liabilities | 50,251 | 60,847 |
Fair Value | Interest rate swaps | Level 2 | ||
Financial assets: | ||
Derivative assets | 47,627 | 12,550 |
Financial liabilities: | ||
Derivative liabilities | 47,627 | 12,549 |
Fair Value | RPAs purchased | Level 2 | ||
Financial assets: | ||
Derivative assets | 90 | 71 |
Fair Value | RPAs sold | Level 2 | ||
Financial liabilities: | ||
Derivative liabilities | $ 16 | $ 2 |
Financial Instruments With Of_2
Financial Instruments With Off-Balance Sheet Risk, Contingencies and Concentration of Credit Risk (Details) $ in Millions | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Standby Letters of Credit | |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |
Fair value disclosure, liability, face amount | $ 828.9 |
Commitments to Extend Credit | |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |
Fair value disclosure, liability, face amount | $ 20.7 |
Snyder v Crusador Servicing Corporation Case | Crusador | |
Fair Value, Off-balance Sheet Risks, Disclosure Information [Line Items] | |
Ownership percentage of Crusador (as a percent) | 80.00% |
Related Party Transactions (Det
Related Party Transactions (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Related Party Transactions [Abstract] | ||
Outstanding balances of loans, related parties | $ 9.4 | $ 9.3 |
Related party deposits | $ 4.8 | $ 6.7 |
Dividend Restrictions (Details)
Dividend Restrictions (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Dividends [Abstract] | ||
Total retained net income | $ 57,300,000 | |
Dividends issued | $ 32,000,000 | $ 26,000,000 |
Regulatory Capital Requiremen_3
Regulatory Capital Requirements - Narrative (Details) - USD ($) | Dec. 15, 2017 | Dec. 31, 2019 | Dec. 31, 2018 | Apr. 18, 2019 | Aug. 06, 2015 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Shelf registration shares after amendment | 1,500,000 | ||||
Maximum stock issuable under stock purchase and dividend reinvestment plan | $ 120,000 | ||||
RBPI | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Number of shares issued | 3,101,316 | ||||
Common shares issued | $ 136,768,000 | ||||
The 2015 Program | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Number of shares authorized to be repurchased (in shares) | 1,200,000 | ||||
Stock repurchased during period (in shares) | 40,016 | 149,284 | |||
Average price of stock repurchased (in dollars per share) | $ 38.12 | $ 39.76 | |||
The 2019 Program | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Number of shares authorized to be repurchased (in shares) | 1,000,000 | ||||
Stock repurchased during period (in shares) | 82,767 | ||||
Average price of stock repurchased (in dollars per share) | $ 36.22 | ||||
Remaining number of shares authorized to be repurchased (in shares) | 917,233 | ||||
Maximum | The 2015 Program | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Authorized amount to be repurchased | $ 40,000,000 | ||||
Maximum | The 2019 Program | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Authorized amount to be repurchased | $ 43,900,000 | $ 45,000,000 | |||
Dividend Reinvestment and Share Purchase Plan | |||||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | |||||
Stock issued during period, shares | 0 |
Regulatory Capital Requiremen_4
Regulatory Capital Requirements - Capital Amounts and Ratios (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total (Tier II) capital to risk weighted assets, actual, amount | $ 547,440 | $ 500,375 |
Total (Tier II) capital to risk weighted assets, actual, ratio | 14.69% | 14.30% |
Total (Tier II) capital to risk weighted assets, minimum to be well capitalized, amount | $ 372,690 | $ 349,918 |
Total (Tier II) capital to risk weighted assets, minimum to be well capitalized, ratio | 10.00% | 10.00% |
Tier I capital to risk weighted assets, actual, amount | $ 425,773 | $ 382,151 |
Tier I capital to risk weighted assets, actual, ratio | 11.42% | 10.92% |
Tier I capital to risk weighted assets, minimum to be well capitalized, amount | $ 298,152 | $ 279,934 |
Tier I capital to risk weighted assets, minimum to be well capitalized, ratio | 8.00% | 8.00% |
Common equity tier I capital to risk weighted assets, actual, amount | $ 404,715 | $ 361,256 |
Common equity tier I capital to risk weighted assets, actual, ratio | 10.86% | 10.32% |
Common equity tier I capital to risk weighted assets, minimum to be well capitalized, amount | $ 242,249 | $ 227,446 |
Common equity tier I capital to risk weighted assets, minimum to be well capitalized, ratio | 6.50% | 6.50% |
Tier I capital to average assets, actual, amount | $ 425,773 | $ 382,151 |
Tier I capital to average assets, actual, ratio | 9.33% | 9.06% |
Tier I capital to average assets, minimum to be well capitalized, amount | $ 228,216 | $ 210,830 |
Tier I capital to average assets, minimum to be well capitalized, ratio | 5.00% | 5.00% |
Bryn Mawr Trust Company | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Total (Tier II) capital to risk weighted assets, actual, amount | $ 450,212 | $ 419,136 |
Total (Tier II) capital to risk weighted assets, actual, ratio | 12.09% | 11.99% |
Total (Tier II) capital to risk weighted assets, minimum to be well capitalized, amount | $ 372,435 | $ 349,692 |
Total (Tier II) capital to risk weighted assets, minimum to be well capitalized, ratio | 10.00% | 10.00% |
Tier I capital to risk weighted assets, actual, amount | $ 427,250 | $ 399,438 |
Tier I capital to risk weighted assets, actual, ratio | 11.47% | 11.42% |
Tier I capital to risk weighted assets, minimum to be well capitalized, amount | $ 297,948 | $ 279,754 |
Tier I capital to risk weighted assets, minimum to be well capitalized, ratio | 8.00% | 8.00% |
Common equity tier I capital to risk weighted assets, actual, amount | $ 427,250 | $ 399,438 |
Common equity tier I capital to risk weighted assets, actual, ratio | 11.47% | 11.42% |
Common equity tier I capital to risk weighted assets, minimum to be well capitalized, amount | $ 242,083 | $ 227,300 |
Common equity tier I capital to risk weighted assets, minimum to be well capitalized, ratio | 6.50% | 6.50% |
Tier I capital to average assets, actual, amount | $ 427,250 | $ 399,438 |
Tier I capital to average assets, actual, ratio | 9.37% | 9.48% |
Tier I capital to average assets, minimum to be well capitalized, amount | $ 227,997 | $ 210,615 |
Tier I capital to average assets, minimum to be well capitalized, ratio | 5.00% | 5.00% |
Selected Quarterly Financial _3
Selected Quarterly Financial Data (Unaudited) - Selected Quarterly Financial Data (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Quarterly Financial Data [Abstract] | |||||||||||
Interest income | $ 46,960 | $ 49,573 | $ 48,388 | $ 48,468 | $ 47,534 | $ 45,233 | $ 44,754 | $ 43,534 | $ 193,389 | $ 181,055 | $ 129,559 |
Interest expense | 10,975 | 12,175 | 11,777 | 10,821 | 9,547 | 8,504 | 7,438 | 6,095 | 45,748 | 31,584 | 14,432 |
Net interest income | 35,985 | 37,398 | 36,611 | 37,647 | 37,987 | 36,729 | 37,316 | 37,439 | 147,641 | 149,471 | 115,127 |
Provision for loan and lease losses | 2,225 | 919 | 1,627 | 3,736 | 2,362 | 664 | 3,137 | 1,030 | 8,507 | 7,193 | 2,618 |
Total noninterest income | 23,255 | 19,455 | 20,221 | 19,253 | 18,097 | 18,274 | 20,075 | 19,536 | 82,184 | 75,982 | 59,132 |
Noninterest expense | 36,430 | 35,173 | 35,188 | 39,724 | 34,845 | 33,592 | 35,836 | 36,030 | 146,515 | 140,303 | 114,395 |
Income before income taxes | 20,585 | 20,761 | 20,017 | 13,440 | 18,877 | 20,747 | 18,418 | 19,915 | 74,803 | 77,957 | 57,246 |
Income tax expense | 4,202 | 4,402 | 4,239 | 2,764 | 1,746 | 4,066 | 3,723 | 4,630 | 15,607 | 14,165 | 34,230 |
Net income | 16,383 | 16,359 | 15,778 | 10,676 | 17,131 | 16,681 | 14,695 | 15,285 | 59,196 | 63,792 | 23,016 |
Net loss attributable to noncontrolling interest | (1) | (1) | (7) | (1) | (5) | (1) | 7 | (1) | (10) | 0 | 0 |
Net income attributable to Bryn Mawr Bank Corporation | $ 16,384 | $ 16,360 | $ 15,785 | $ 10,677 | $ 17,136 | $ 16,682 | $ 14,688 | $ 15,286 | $ 59,206 | $ 63,792 | $ 23,016 |
Basic earnings per common share (in dollars per share) | $ 0.81 | $ 0.81 | $ 0.78 | $ 0.53 | $ 0.85 | $ 0.82 | $ 0.73 | $ 0.76 | $ 2.94 | $ 3.15 | $ 1.34 |
Diluted earnings per common share (in dollars per share) | 0.81 | 0.81 | 0.78 | 0.53 | 0.84 | 0.82 | 0.72 | 0.75 | 2.93 | 3.13 | 1.32 |
Dividends declared per share (in dollars per share) | $ 0.26 | $ 0.26 | $ 0.25 | $ 0.25 | $ 0.25 | $ 0.25 | $ 0.22 | $ 0.22 | $ 1.02 | $ 0.94 | $ 0.86 |
Parent Company - Only Financi_3
Parent Company - Only Financial Statements - Condensed Balance Sheets (Details) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||||
Cash | $ 53,931 | $ 48,456 | ||
Premises and equipment, net | 64,965 | 65,648 | ||
Goodwill | 184,012 | 184,012 | $ 179,889 | |
Other assets | 85,679 | 61,277 | ||
Total assets | 5,263,259 | 4,652,485 | 4,449,700 | |
Liabilities and shareholders’ equity: | ||||
Subordinated notes | 98,705 | 98,526 | ||
Junior subordinated debentures | 21,753 | 21,580 | ||
Other liabilities | 91,335 | 54,195 | ||
Total liabilities | 4,651,032 | 4,087,781 | ||
Common stock, par value $1; authorized 100,000,000 shares; issued 24,650,051 and 24,545,348 shares as of December 31, 2019 and December 31, 2018, respectively, and outstanding of 20,126,296 and 20,163,816 as of December 31, 2019 and December 31, 2018, respectively | 24,650 | 24,545 | ||
Paid-in capital in excess of par value | 378,606 | 374,010 | ||
Less: Common stock in treasury at cost - 4,523,755 and 4,381,532 shares as of December 31, 2019 and December 31, 2018, respectively | (81,174) | (75,883) | ||
Accumulated other comprehensive income (loss), net of tax | 2,187 | (7,513) | ||
Retained earnings | 288,653 | 250,230 | ||
Total shareholders’ equity | 612,922 | 565,389 | ||
Total liabilities and shareholders’ equity | 5,263,259 | 4,652,485 | ||
Parent Company | ||||
Assets | ||||
Cash | 93,250 | 78,143 | $ 68,535 | $ 23,663 |
Investment securities | 543 | 418 | ||
Investments in subsidiaries, as equity in net assets | 638,770 | 606,023 | ||
Premises and equipment, net | 1,993 | 2,091 | ||
Goodwill | 245 | 245 | ||
Other assets | 1,184 | 1,060 | ||
Total assets | 735,985 | 687,980 | ||
Liabilities and shareholders’ equity: | ||||
Subordinated notes | 98,705 | 98,526 | ||
Junior subordinated debentures | 21,753 | 21,580 | ||
Other liabilities | 2,605 | 2,485 | ||
Total liabilities | 123,063 | 122,591 | ||
Common stock, par value $1; authorized 100,000,000 shares; issued 24,650,051 and 24,545,348 shares as of December 31, 2019 and December 31, 2018, respectively, and outstanding of 20,126,296 and 20,163,816 as of December 31, 2019 and December 31, 2018, respectively | 24,650 | 24,545 | ||
Paid-in capital in excess of par value | 378,606 | 374,010 | ||
Less: Common stock in treasury at cost - 4,523,755 and 4,381,532 shares as of December 31, 2019 and December 31, 2018, respectively | (81,174) | (75,883) | ||
Accumulated other comprehensive income (loss), net of tax | 2,187 | (7,513) | ||
Retained earnings | 288,653 | 250,230 | ||
Total shareholders’ equity | 612,922 | 565,389 | ||
Total liabilities and shareholders’ equity | $ 735,985 | $ 687,980 |
Parent Company - Only Financi_4
Parent Company - Only Financial Statements - Condensed Balance Sheets (Details) (Parentheticals) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 24,650,051 | 24,545,348 |
Common stock, shares outstanding (in shares) | 20,126,296 | 20,163,816 |
Treasury stock, shares (in shares) | 4,523,755 | 4,381,532 |
Parent Company | ||
Common stock, par value (in dollars per share) | $ 1 | $ 1 |
Common stock, shares authorized (in shares) | 100,000,000 | 100,000,000 |
Common stock, shares issued (in shares) | 24,650,051 | 24,545,348 |
Common stock, shares outstanding (in shares) | 20,126,296 | 20,163,816 |
Treasury stock, shares (in shares) | 4,523,755 | 4,381,532 |
Parent Company - Only Financi_5
Parent Company - Only Financial Statements - Condensed Statements of Income (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Condensed Income Statements, Captions [Line Items] | |||||||||||
Dividends | $ 6 | $ 6 | $ 99 | ||||||||
Income before equity in undistributed income of subsidiaries | 74,803 | 77,957 | 57,246 | ||||||||
Income before income taxes | $ 20,585 | $ 20,761 | $ 20,017 | $ 13,440 | $ 18,877 | $ 20,747 | $ 18,418 | $ 19,915 | 74,803 | 77,957 | 57,246 |
Income tax expense | 4,202 | 4,402 | 4,239 | 2,764 | 1,746 | 4,066 | 3,723 | 4,630 | 15,607 | 14,165 | 34,230 |
Net income attributable to Bryn Mawr Bank Corporation | $ 16,384 | $ 16,360 | $ 15,785 | $ 10,677 | $ 17,136 | $ 16,682 | $ 14,688 | $ 15,286 | 59,206 | 63,792 | 23,016 |
Parent Company | |||||||||||
Condensed Income Statements, Captions [Line Items] | |||||||||||
Dividends | 35,731 | 30,900 | 950 | ||||||||
Net interest and other income | 10,962 | 2,615 | 2,761 | ||||||||
Total operating income | 46,693 | 33,515 | 3,711 | ||||||||
Expenses | 10,517 | 3,527 | 2,782 | ||||||||
Income before equity in undistributed income of subsidiaries | 36,176 | 29,988 | 929 | ||||||||
Equity in undistributed income of subsidiaries | 23,048 | 32,779 | 21,053 | ||||||||
Income before income taxes | 59,224 | 62,767 | 21,982 | ||||||||
Income tax expense | 18 | (1,025) | (1,034) | ||||||||
Net income attributable to Bryn Mawr Bank Corporation | $ 59,206 | $ 63,792 | $ 23,016 |
Parent Company - Only Financi_6
Parent Company - Only Financial Statements - Condensed Statements of Cash Flows (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Operating activities: | |||||||||||
Net income attributable to Bryn Mawr Bank Corporation | $ 16,384 | $ 16,360 | $ 15,785 | $ 10,677 | $ 17,136 | $ 16,682 | $ 14,688 | $ 15,286 | $ 59,206 | $ 63,792 | $ 23,016 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Stock-based compensation | 3,725 | 2,750 | 2,068 | ||||||||
Other, net | (475) | 532 | (788) | ||||||||
Investing activities: | |||||||||||
Acquisitions, net of cash acquired | 0 | (380) | 12,301 | ||||||||
Net cash used in investing activities | (543,380) | (220,218) | (186,984) | ||||||||
Financing activities: | |||||||||||
Dividends paid | (20,685) | (19,289) | (14,799) | ||||||||
Net proceeds from issuance of subordinated notes | 0 | 0 | 68,829 | ||||||||
Cash payments to taxing authorities on employees' behalf from shares withheld from stock-based compensation | (625) | (1,639) | (1,140) | ||||||||
Proceeds from exercise of stock options | 907 | 1,464 | 1,498 | ||||||||
Repurchase of warrants from U.S. Treasury | 0 | (1,755) | 0 | ||||||||
Net cash provided by financing activities | 455,474 | 129,415 | 163,311 | ||||||||
Cash and cash equivalents at beginning of period | 48,456 | 48,456 | |||||||||
Cash and cash equivalents at end of period | 53,931 | 48,456 | 53,931 | 48,456 | |||||||
Parent Company | |||||||||||
Operating activities: | |||||||||||
Net income attributable to Bryn Mawr Bank Corporation | 59,206 | 63,792 | 23,016 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Equity in undistributed income of subsidiaries | (23,048) | (32,779) | (21,053) | ||||||||
Net amortization of investment premiums and discounts | 98 | 98 | 154 | ||||||||
Stock-based compensation | 3,725 | 2,750 | 2,068 | ||||||||
Other, net | 225 | 2,860 | 1,241 | ||||||||
Net cash provided by operating activities | 40,206 | 36,721 | 5,426 | ||||||||
Investing activities: | |||||||||||
Investment in subsidiaries | 0 | 0 | (15,300) | ||||||||
Net change in trading securities | 0 | 40 | (58) | ||||||||
Acquisitions, net of cash acquired | 0 | 0 | 531 | ||||||||
Net cash used in investing activities | 0 | 40 | (14,827) | ||||||||
Financing activities: | |||||||||||
Dividends paid | (20,685) | (19,289) | (14,799) | ||||||||
Net proceeds from issuance of subordinated notes | 0 | 0 | 68,829 | ||||||||
Net (purchase of) proceeds from sale of treasury stock for deferred compensation plans | (172) | (115) | |||||||||
Net (purchase of) proceeds from sale of treasury stock for deferred compensation plans | 2 | ||||||||||
Net purchase of treasury stock through publicly announced plans | (4,524) | (5,936) | 0 | ||||||||
Cash payments to taxing authorities on employees' behalf from shares withheld from stock-based compensation | (625) | (1,639) | (1,140) | ||||||||
Proceeds from exercise of stock options | 907 | 1,464 | 1,498 | ||||||||
Repurchase of warrants from U.S. Treasury | 0 | (1,755) | 0 | ||||||||
Net cash provided by financing activities | (25,099) | (27,153) | 54,273 | ||||||||
Change in cash and cash equivalents | 15,107 | 9,608 | 44,872 | ||||||||
Cash and cash equivalents at beginning of period | $ 78,143 | $ 68,535 | 78,143 | 68,535 | 23,663 | ||||||
Cash and cash equivalents at end of period | $ 93,250 | $ 78,143 | $ 93,250 | $ 78,143 | $ 68,535 |
Segment Information - Detail Se
Segment Information - Detail Segment Information (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||||||
Dec. 31, 2019 | Sep. 30, 2019 | Jun. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2018 | Sep. 30, 2018 | Jun. 30, 2018 | Mar. 31, 2018 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||||||||||
Net interest income | $ 35,985 | $ 37,398 | $ 36,611 | $ 37,647 | $ 37,987 | $ 36,729 | $ 37,316 | $ 37,439 | $ 147,641 | $ 149,471 | $ 115,127 |
Provision for loan and lease losses | 2,225 | 919 | 1,627 | 3,736 | 2,362 | 664 | 3,137 | 1,030 | 8,507 | 7,193 | 2,618 |
Net interest income after provision for loan and lease losses | 139,134 | 142,278 | 112,509 | ||||||||
Fees for wealth management services | 44,400 | 42,326 | 38,735 | ||||||||
Insurance commissions | 6,877 | 6,808 | 4,589 | ||||||||
Capital markets revenue | 11,276 | 4,848 | 2,396 | ||||||||
Service charges on deposit accounts | 3,374 | 2,989 | 2,608 | ||||||||
Loan servicing and other fees | 2,206 | 2,259 | 2,106 | ||||||||
Net gain on sale of loans | 2,342 | 3,283 | 2,441 | ||||||||
Net gain on sale of investment securities available for sale | 0 | 7 | 101 | ||||||||
Net (loss) gain on sale of other real estate owned (OREO) | (84) | 295 | (104) | ||||||||
Other operating income | 11,793 | 13,167 | 6,260 | ||||||||
Total noninterest income | 23,255 | 19,455 | 20,221 | 19,253 | 18,097 | 18,274 | 20,075 | 19,536 | 82,184 | 75,982 | 59,132 |
Salaries and wages | 74,371 | 66,671 | 53,251 | ||||||||
Employee benefits | 13,456 | 12,918 | 10,170 | ||||||||
Occupancy and bank premises | 12,591 | 11,599 | 9,906 | ||||||||
Amortization of intangible assets | 3,801 | 3,656 | 2,734 | ||||||||
Professional fees | 5,434 | 4,203 | 3,268 | ||||||||
Other operating expenses | 36,862 | 41,256 | 35,066 | ||||||||
Total noninterest expenses | 36,430 | $ 35,173 | $ 35,188 | $ 39,724 | 34,845 | $ 33,592 | $ 35,836 | $ 36,030 | 146,515 | 140,303 | 114,395 |
Segment profit | 74,803 | 77,957 | 57,246 | ||||||||
Intersegment (revenues) expenses | 0 | 0 | 0 | ||||||||
Pre-tax segment profit after eliminations | $ 74,803 | $ 77,957 | $ 57,246 | ||||||||
% of segment pre-tax profit after eliminations | 100.00% | 100.00% | 100.00% | ||||||||
Segment assets (dollars in millions) | 5,263,259 | 4,652,485 | $ 5,263,259 | $ 4,652,485 | $ 4,449,700 | ||||||
Wealth Management | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net interest income | 6 | 7 | 3 | ||||||||
Provision for loan and lease losses | 0 | 0 | 0 | ||||||||
Net interest income after provision for loan and lease losses | 6 | 7 | 3 | ||||||||
Fees for wealth management services | 44,400 | 42,326 | 38,735 | ||||||||
Insurance commissions | 6,877 | 6,808 | 4,589 | ||||||||
Capital markets revenue | 0 | 0 | 0 | ||||||||
Service charges on deposit accounts | 0 | 0 | 0 | ||||||||
Loan servicing and other fees | 0 | 0 | 0 | ||||||||
Net gain on sale of loans | 0 | 0 | 0 | ||||||||
Net gain on sale of investment securities available for sale | 0 | 0 | 0 | ||||||||
Net (loss) gain on sale of other real estate owned (OREO) | 0 | 0 | 0 | ||||||||
Other operating income | 106 | 186 | 197 | ||||||||
Total noninterest income | 51,383 | 49,320 | 43,521 | ||||||||
Salaries and wages | 20,295 | 19,735 | 16,692 | ||||||||
Employee benefits | 3,884 | 3,872 | 3,820 | ||||||||
Occupancy and bank premises | 2,044 | 2,011 | 1,698 | ||||||||
Amortization of intangible assets | 2,492 | 2,101 | 1,951 | ||||||||
Professional fees | 594 | 456 | 270 | ||||||||
Other operating expenses | 6,263 | 5,328 | 4,461 | ||||||||
Total noninterest expenses | 35,572 | 33,503 | 28,892 | ||||||||
Segment profit | 15,817 | 15,824 | 14,632 | ||||||||
Intersegment (revenues) expenses | 613 | 715 | 448 | ||||||||
Pre-tax segment profit after eliminations | $ 16,430 | $ 16,539 | $ 15,080 | ||||||||
% of segment pre-tax profit after eliminations | 22.00% | 21.20% | 26.30% | ||||||||
Segment assets (dollars in millions) | 52,900 | 50,800 | $ 52,900 | $ 50,800 | $ 51,200 | ||||||
Banking | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Net interest income | 147,635 | 149,464 | 115,124 | ||||||||
Provision for loan and lease losses | 8,507 | 7,193 | 2,618 | ||||||||
Net interest income after provision for loan and lease losses | 139,128 | 142,271 | 112,506 | ||||||||
Fees for wealth management services | 0 | 0 | 0 | ||||||||
Insurance commissions | 0 | 0 | 0 | ||||||||
Capital markets revenue | 11,276 | 4,848 | 2,396 | ||||||||
Service charges on deposit accounts | 3,374 | 2,989 | 2,608 | ||||||||
Loan servicing and other fees | 2,206 | 2,259 | 2,106 | ||||||||
Net gain on sale of loans | 2,342 | 3,283 | 2,441 | ||||||||
Net gain on sale of investment securities available for sale | 0 | 7 | 101 | ||||||||
Net (loss) gain on sale of other real estate owned (OREO) | (84) | 295 | (104) | ||||||||
Other operating income | 11,687 | 12,981 | 6,063 | ||||||||
Total noninterest income | 30,801 | 26,662 | 15,611 | ||||||||
Salaries and wages | 54,076 | 46,936 | 36,559 | ||||||||
Employee benefits | 9,572 | 9,046 | 6,350 | ||||||||
Occupancy and bank premises | 10,547 | 9,588 | 8,208 | ||||||||
Amortization of intangible assets | 1,309 | 1,555 | 783 | ||||||||
Professional fees | 4,840 | 3,747 | 2,998 | ||||||||
Other operating expenses | 30,599 | 35,928 | 30,605 | ||||||||
Total noninterest expenses | 110,943 | 106,800 | 85,503 | ||||||||
Segment profit | 58,986 | 62,133 | 42,614 | ||||||||
Intersegment (revenues) expenses | (613) | (715) | (448) | ||||||||
Pre-tax segment profit after eliminations | $ 58,373 | $ 61,418 | $ 42,166 | ||||||||
% of segment pre-tax profit after eliminations | 78.00% | 78.80% | 73.70% | ||||||||
Segment assets (dollars in millions) | $ 5,210,400 | $ 4,601,700 | $ 5,210,400 | $ 4,601,700 | $ 4,398,500 |
Segment Information - Wealth Ma
Segment Information - Wealth Management Segment Information (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Segment Reporting [Abstract] | ||
Assets under management, administration, supervision and brokerage | $ 16,548.1 | $ 13,429.5 |