DOCUMENT AND ENTITY INFORMATION
DOCUMENT AND ENTITY INFORMATION - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Feb. 19, 2020 | Jun. 30, 2019 | |
Document And Entity Information [Abstract] | |||
Document Type | 10-K | ||
Document Annual Report | true | ||
Amendment Flag | false | ||
Document Period End Date | Dec. 31, 2019 | ||
Document Fiscal Year Focus | 2019 | ||
Document Fiscal Period Focus | FY | ||
Entity File Number | 0-19065 | ||
Entity Registrant Name | SANDY SPRING BANCORP, INC. | ||
Entity Incorporation State Country Code | MD | ||
Entity Tax Identification Number | 52-1532952 | ||
Entity Address, Address Line One | 17801 Georgia Avenue | ||
Entity Address, City or Town | Olney | ||
Entity Address, State or Province | MD | ||
Entity Address, Postal Zip Code | 20832 | ||
City Area Code | 301 | ||
Local Phone Number | 774-6400 | ||
Title of 12(b) Security | Common Stock, par value $1.00 per share | ||
Trading Symbol | SASR | ||
Security Exchange Name | NASDAQ | ||
Entity Well-known Seasoned Issuer | No | ||
Entity Voluntary Filers | No | ||
Entity Current Reporting Status | Yes | ||
Entity Interactive Data Current | Yes | ||
Entity Filer Category | Large Accelerated Filer | ||
Document Transition Report | false | ||
Entity Central Index Key | 0000824410 | ||
Current Fiscal Year End Date | --12-31 | ||
Entity Emerging Growth Company | false | ||
Entity Shell Company | false | ||
Entity Small Business | false | ||
Entity Public Float | $ 1,210 | ||
Documents Incorporated by Reference [Text Block] | Documents Incorporated By Reference Part III: Portions of the definitive proxy statement for the Annual Meeting of Shareholders to be held on June 4 , 2020 (the "Proxy Statement"). ----------------------------------- The registrant is required to file reports pursuant to Section 13 of the Act . | ||
Entity Common Stock, Shares Outstanding | 34,928,509 |
CONSOLIDATED STATEMENTS OF COND
CONSOLIDATED STATEMENTS OF CONDITION - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Assets | ||
Cash and due from banks | $ 82,469 | $ 67,014 |
Federal funds sold | 208 | 609 |
Interest-bearing deposits with banks | 63,426 | 33,858 |
Cash and cash equivalents | 146,103 | 101,481 |
Residential mortgage loans held for sale (at fair value) | 53,701 | 22,773 |
Investments available-for-sale (at fair value) | 1,073,333 | 937,335 |
Other equity securities | 51,803 | 73,389 |
Total loans | 6,705,232 | 6,571,634 |
Less: allowance for loan losses | (56,132) | (53,486) |
Net loans | 6,649,100 | 6,518,148 |
Premises and equipment, net | 58,615 | 61,942 |
Other real estate owned | 1,482 | 1,584 |
Accrued interest receivable | 23,282 | 24,609 |
Goodwill | 347,149 | 347,149 |
Other intangible assets, net | 7,841 | 9,788 |
Other assets | 216,593 | 145,074 |
Total assets | 8,629,002 | 8,243,272 |
Liabilities | ||
Noninterest-bearing deposits | 1,892,052 | 1,750,319 |
Interest-bearing deposits | 4,548,267 | 4,164,561 |
Total deposits | 6,440,319 | 5,914,880 |
Securities sold under retail repurchase agreements and federal funds purchased | 213,605 | 327,429 |
Advances from FHLB | 513,777 | 848,611 |
Subordinated debentures | 209,406 | 37,425 |
Accrued interest payable and other liabilities | 118,921 | 47,024 |
Total liabilities | 7,496,028 | 7,175,369 |
Stockholders Equity | ||
Common stock -- par value $1; shares authorized 100,000,000; shares issued and outstanding 34,970,370 and 35,530,734 at December 31, 2019 and 2018, respectively | 34,970 | 35,531 |
Additional paid in capital | 586,622 | 606,573 |
Retained earnings | 515,714 | 441,553 |
Accumulated other comprehensive loss | (4,332) | (15,754) |
Total stockholders equity | 1,132,974 | 1,067,903 |
Total liabilities and stockholders equity | $ 8,629,002 | $ 8,243,272 |
CONSOLIDATED STATEMENTS OF CO_2
CONSOLIDATED STATEMENTS OF CONDITION - (Parenthetical) - $ / shares | Dec. 31, 2019 | Dec. 31, 2018 |
Statement Of Financial Position [Abstract] | ||
Common stock, par value | $ 1 | $ 1 |
Common stock, shares authorized | 100,000,000 | 100,000,000 |
Common stock, shares issued | 34,970,370 | 35,530,734 |
Common stock, shares outstanding | 34,970,370 | 35,530,734 |
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 | $ 316,550 | $ 293,131 | $ 172,091 |
Interest on loans held for sale | 1,607 | 1,245 | 279 |
Interest on deposits with banks | 2,129 | 1,304 | 410 |
Interest and dividends on investment securities: | |||
Taxable | 21,739 | 20,516 | 13,881 |
Exempt from federal income taxes | 5,834 | 7,855 | 8,111 |
Interest on federal funds sold | 10 | 31 | 27 |
Total interest income | 347,869 | 324,082 | 194,799 |
Interest Expense: | |||
Interest on deposits | 61,681 | 39,139 | 13,256 |
Interest on retail repurchase agreements and federal funds purchased | 1,161 | 1,169 | 337 |
Interest on advances from FHLB | 16,578 | 21,408 | 12,426 |
Interest on subordinated debt | 3,141 | 1,921 | 12 |
Total interest expense | 82,561 | 63,637 | 26,031 |
Net interest income | 265,308 | 260,445 | 168,768 |
Provision for loan losses | 4,684 | 9,023 | 2,977 |
Net interest income after provision for loan losses | 260,624 | 251,422 | 165,791 |
Non-interest Income: | |||
Investment securities gains | 77 | 190 | 1,273 |
Insurance agency commissions | 6,612 | 6,158 | 6,231 |
Income from bank owned life insurance | 3,165 | 4,327 | 2,403 |
Other income | 8,780 | 7,126 | 6,331 |
Total non-interest income | 71,322 | 61,049 | 51,243 |
Non-interest Expense: | |||
Salaries and employee benefits | 103,950 | 96,998 | 73,132 |
Occupancy expense of premises | 19,470 | 18,352 | 13,053 |
Equipment expenses | 10,720 | 9,335 | 7,015 |
Marketing | 4,456 | 3,924 | 3,119 |
Outside data services | 7,567 | 6,603 | 5,486 |
FDIC insurance | 2,260 | 5,095 | 3,305 |
Amortization of intangible assets | 1,946 | 2,162 | 101 |
Merger and acquisition expenses | 1,312 | 11,766 | 4,252 |
Professional Fees | 6,978 | 6,056 | 4,492 |
Other Expense | 20,426 | 19,492 | 15,144 |
Total non-interest expenses | 179,085 | 179,783 | 129,099 |
Income before income taxes | 152,861 | 132,688 | 87,935 |
Income tax expense | 36,428 | 31,824 | 34,726 |
Net income | $ 116,433 | $ 100,864 | $ 53,209 |
Per share information: | |||
Basic net income per share | $ 3.25 | $ 2.82 | $ 2.20 |
Diluted net income per share | 3.25 | 2.82 | 2.20 |
Dividends declared per common share | $ 1.18 | $ 1.10 | $ 1.04 |
Service charges on deposit accounts [Member] | |||
Fees, comminssions and banking services | $ 9,692 | $ 9,324 | $ 8,298 |
Mortgage banking activities [Member] | |||
Fees, comminssions and banking services | 14,711 | 7,073 | 2,734 |
Wealth managment [Member] | |||
Fees, comminssions and banking services | 22,669 | 21,284 | 19,146 |
Bank card fees [member] | |||
Fees, comminssions and banking services | $ 5,616 | $ 5,567 | $ 4,827 |
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 | $ 116,433 | $ 100,864 | $ 53,209 |
Investments available-for-sale: | |||
Net change in unrealized gains/(losses) on investments available-for-sale | 14,429 | (9,925) | (294) |
Related income tax expense/ (benefit) | (3,742) | 2,600 | 108 |
Net investment gains reclassified into earnings | (77) | (190) | (1,273) |
Related income tax expense | 20 | 50 | 504 |
Net effect on other comprehensive income/(loss) | 10,630 | (7,465) | (955) |
Defined benefit pension plan: | |||
Recognition of unrealized (loss) | 1,175 | 135 | 1,202 |
Related income tax (expense) | (383) | (90) | (490) |
Net effect on other comprehensive income | 792 | 45 | 712 |
Total other comprehensive income/(loss) | 11,422 | (7,420) | (243) |
Comprehensive income | $ 127,855 | $ 93,444 | $ 52,966 |
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 | $ 116,433 | $ 100,864 | $ 53,209 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||
Depreciation and amortization | 13,398 | 12,516 | 7,976 |
Provision for loan losses | 4,684 | 9,023 | 2,977 |
Share based compensation expense | 3,042 | 2,645 | 2,164 |
Deferred income tax expense | 1,719 | 5,655 | 6,089 |
Origination of loans held for sale | (887,216) | (416,337) | (142,877) |
Proceeds from sales of loans held for sale | 869,294 | 441,023 | 149,367 |
Gains on sales of loans held for sale | (13,006) | (11,699) | (3,403) |
(Gains) losses on sales of other real estate owned | 173 | 200 | (68) |
Investment securities gains | (77) | (190) | (1,273) |
Loss on sales of premises and equipment | 269 | 0 | 0 |
Tax benefits associated with share based compensation | 92 | 299 | 1,809 |
Increase (Decrease) in Operating Capital [Abstract] | |||
Net (increase) decrease in accrued interest receivable | 1,327 | (2,622) | (891) |
Net decrease (increase) in other assets | (3,664) | 5,020 | (9,829) |
Net decrease in accrued expenses and other liabilities | (5,804) | (2,721) | (1,007) |
Other - net | (721) | 3,970 | 5,174 |
Net cash provided by operating activities | 99,943 | 147,646 | 69,417 |
Investing activities: | |||
(Purchases) of other equity securities | (8,784) | ||
Proceeds from other equity securities | 21,586 | 576 | |
Purchases of investments available-for-sale | (326,604) | (161,349) | (125,028) |
Proceeds from sales of investment available-for-sale | 2,926 | 117,354 | 2,251 |
Proceeds from maturities, calls and principal payments of investments available-for-sale | 199,652 | 106,114 | 123,762 |
Net increase in loans | (134,012) | (641,521) | (427,773) |
Proceeds from the sales of other real estate owned | 324 | 1,151 | 1,275 |
Proceeds from sale of loans held for investment | 0 | 59,945 | 40,031 |
Acquisition of business activity, net of cash acquired | 0 | 32,487 | 0 |
Expenditures for premises and equipment | (5,148) | (10,401) | (7,441) |
Net cash used in investing activities | (241,276) | (505,004) | (392,347) |
Financing activities: | |||
Net increase in deposits | 525,439 | 340,376 | 386,118 |
Net increase/(decrease) in retail repurchase agreements and federal funds purchased | (113,824) | 201,184 | (5,760) |
Proceeds from advances from borrowings | 2,298,000 | 5,477,000 | 3,965,000 |
Repayment of advances from borrowings | (2,457,834) | (5,633,579) | (3,989,167) |
Retirement of subordinated debt | 0 | 0 | (30,000) |
Proceeds from issuance of common stock | 1,433 | 1,395 | 1,200 |
Stock tendered for payment of withholding taxes | (703) | (760) | (952) |
Repurchase of common stock | (24,284) | 0 | 0 |
Dividends paid | (42,272) | (39,277) | (25,134) |
Net cash provided by financing activities | 185,955 | 346,339 | 301,305 |
Net increase (decrease) in cash and cash equivalents | 44,622 | (11,019) | (21,625) |
Cash and cash equivalents at beginning of period | 101,481 | 112,500 | 134,125 |
Cash and cash equivalents at end of period | 146,103 | 101,481 | 112,500 |
Supplemental Disclosures: | |||
Interest payments | 84,448 | 60,504 | 26,377 |
Income tax payments | 33,795 | 25,664 | 31,738 |
Transfer from loans to residential mortgage loans held for sale | 0 | 60,043 | 39,744 |
Transfers from loans to other real estate owned | $ 414 | $ 289 | $ 1,588 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - USD ($) $ in Thousands | Total | Common Stock | Additional Paid-In Capital | Retained Earnings | Accumulated Other Comprehensive Income (Loss) |
Balance at at Dec. 31, 2016 | $ 533,572 | $ 23,901 | $ 165,871 | $ 350,414 | $ (6,614) |
Net income | 53,209 | 0 | 0 | 53,209 | 0 |
Other comprehensive income, net of tax | (243) | 0 | 0 | 0 | (243) |
Common stock dividends - $1.04, $1.10 and $1.18 per share at December 31, 2017, 2018 and 2019 respectively | (25,134) | 0 | 0 | (25,134) | 0 |
Stock compensation expense | 2,164 | 0 | 2,164 | 0 | 0 |
Common stock issued pursuant to: | |||||
Stock option plan - 30,567, 20,888 and 15,080 shares at December 31, 2017, 2018 and 2019 respectively | 593 | 31 | 562 | 0 | 0 |
Employee stock purchase plan - 17,578, 28,996 and 37,091 shares at December 31, 2017, 2018 and 2019 respectively | 607 | 17 | 590 | 0 | 0 |
Restricted stock - 47,064, 38,360 and 54,789 shares at December 31, 2017, 2018 and 2019 respectively | (952) | 47 | (999) | 0 | 0 |
Balance at at Dec. 31, 2017 | 563,816 | 23,996 | 168,188 | 378,489 | (6,857) |
Net income | 100,864 | 0 | 0 | 100,864 | 0 |
Other comprehensive income, net of tax | (7,420) | 0 | 0 | 0 | (7,420) |
Common stock dividends - $1.04, $1.10 and $1.18 per share at December 31, 2017, 2018 and 2019 respectively | (39,277) | 0 | 0 | 39,277 | 0 |
Stock compensation expense | 2,645 | 0 | 2,645 | 0 | 0 |
Common stock issued pursuant to: | |||||
Acquisition of WashingtonFirst Bankshares Inc. - 11,446,197 shares | 446,640 | 11,446 | 435,194 | 0 | 0 |
Stock option plan - 30,567, 20,888 and 15,080 shares at December 31, 2017, 2018 and 2019 respectively | 441 | 21 | 420 | 0 | 0 |
Employee stock purchase plan - 17,578, 28,996 and 37,091 shares at December 31, 2017, 2018 and 2019 respectively | 954 | 29 | 925 | 0 | 0 |
Restricted stock - 47,064, 38,360 and 54,789 shares at December 31, 2017, 2018 and 2019 respectively | (760) | 39 | (799) | 0 | 0 |
Reclassfication of tax effects from other comprehensive income | 0 | 0 | 0 | 1,477 | (1,477) |
Balance at at Dec. 31, 2018 | 1,067,903 | 35,531 | 606,573 | 441,553 | (15,754) |
Net income | 116,433 | 0 | 0 | 116,433 | 0 |
Other comprehensive income, net of tax | 11,422 | 0 | 0 | 0 | 11,422 |
Common stock dividends - $1.04, $1.10 and $1.18 per share at December 31, 2017, 2018 and 2019 respectively | (42,272) | 0 | 0 | (42,272) | 0 |
Stock compensation expense | 3,042 | 0 | 3,042 | 0 | 0 |
Common stock issued pursuant to: | |||||
Stock option plan - 30,567, 20,888 and 15,080 shares at December 31, 2017, 2018 and 2019 respectively | 334 | 15 | 319 | 0 | 0 |
Directors stock purchase plan - 867 shares at December 31, 2019 | 30 | 1 | 29 | 0 | 0 |
Employee stock purchase plan - 17,578, 28,996 and 37,091 shares at December 31, 2017, 2018 and 2019 respectively | 1,069 | 37 | 1,032 | 0 | 0 |
Restricted stock - 47,064, 38,360 and 54,789 shares at December 31, 2017, 2018 and 2019 respectively | (703) | 54 | (757) | 0 | 0 |
Purchase of treasury shares | (24,284) | (668) | (23,616) | 0 | 0 |
Balance at at Dec. 31, 2019 | $ 1,132,974 | $ 34,970 | $ 586,622 | $ 515,714 | $ (4,332) |
CONSOLIDATED STATEMENTS OF CH_2
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY - (Parenthetical) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Statement Of Stockholders Equity [Abstract] | |||
Common stock dividends, per share | $ 1.18 | $ 1.10 | $ 1.04 |
Stock option plan, shares | 15,080 | 20,888 | 30,567 |
Employee stock purchase plan, shares | 37,091 | 28,996 | 17,578 |
Restricted stock, shares | 54,789 | 38,360 | 47,064 |
Director stock purchase plan, shares | 867 | ||
Number of shares issued by the company, pursuant to WashingtonFirst acquisition | 11,446,197 |
SIGNIFICANT ACCOUNTING POLICIES
SIGNIFICANT ACCOUNTING POLICIES | 12 Months Ended |
Dec. 31, 2019 | |
Significant Accounting Policies [Abstract] | |
Significant Accounting Policies | Sandy Spring Bancorp, Inc. and Subsidiaries Notes to the Consolidated Financial Statements Note 1 – Significant Accounting Policies Nature of Operations Sandy Spring Bancorp (the “Company”), a Maryland corporation, is the bank holding company for Sandy Spring Bank (the “Bank”), which conducts a full-service commercial banking, mortgage banking and trust business. Services to individuals and businesses include accepting deposits, extending real estate, consumer and commercial loans and lines of credit, equipment leasing, general insurance, personal trust, and investment and wealth management services. The Company operates in central Maryland, Northern Virginia, and the greater Washington D.C. market. The Company offers investment and wealth management services through the Bank’s subsidiary, West Financial Services. Insurance products are available to clients through Sandy Spring Insurance, and Neff & Associates, which are agencies of Sandy Spring Insurance Corporation. Basis of Presentation The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America (“GAAP”) and prevailing practices within the financial services industry for financial information. The following summary of significant accounting policies of the Company is presented to assist the reader in understanding the financial and other data presented in this report. The Company has evaluated subsequent events through the date of the issuance of its financial statements. Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiary, Sandy Spring Bank and its subsidiaries, Sandy Spring Insurance Corporation and West Financial Services, Inc. Consolidation has resulted in the elimination of all significant intercompany accounts and transactions. Use of Estimates The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements, and affect the reported amounts of revenues earned and expenses incurred during the reporting period. Actual results could differ from those estimates. Estimates that could change significantly relate to the provision for loan losses and the related allowance, determination of impaired loans and the related measurement of impairment, potential impairment of goodwill or other intangible assets, valuation of investment securities and the determination of whether impaired securities are other-than-temporarily impaired, valuation of other real estate owned, valuation of share-based compensation, the assessment that a liability should be recognized with respect to any matters under litigation, the calculation of current and deferred income taxes and the actuarial projections related to pension expense and the related liability. Assets Under Management Assets held for others under fiduciary and agency relationships are not assets of the Company or its subsidiaries and are not included in the accompanying balance sheets. Trust department income and investment management fees are presented on an accrual basis. Cash Flows For purposes of reporting cash flows, cash and cash equivalents include cash and due from banks, federal funds sold and interest-bearing deposits with banks (items with an original maturity of three months or less). Revenue from Contracts with Customers The Company’s revenue includes net interest income on financial instruments and non-interest income. Specific categories of revenue are presented in the Consolidated Statements of Income. Most of the Company’s revenue is not within the scope of Accounting Standard Update (ASU) No. 2014-09 – Revenue from Contracts with Customers. For revenue within the scope of ASU 2014-09, the Company provides services to customers and has related performance obligations. The revenue from such services is recognized upon satisfaction of all contractual performance obligations. The following discusses key revenue streams within the scope of the new revenue recognition guidance. Wealth Management Income West Financial Services, Inc., a subsidiary of the Bank, provides comprehensive investment management and financial planning services. Wealth management income is comprised of income for providing trust, estate and investment management services. Trust services include acting as a trustee for corporate or personal trusts. Investment management services include investment management, record-keeping and reporting of security portfolios. Fees for these services are recognized based on a contractually-agreed fixed percentage applied to net assets under management at the end of each reporting period. The Company does not charge or recognize any performance-based fees. Insurance Agency Commissions Sandy Spring Insurance, a subsidiary of the Bank, performs the function of an insurance intermediary by introducing the policyholder and insurer and is compensated by a commission fee for placement of an insurance policy. Sandy Spring Insurance does not provide any captive management services or any claim handling services. Commission fees are set as a percentage of the premium for the insurance policy for which Sandy Spring Insurance is a producer. Service Charges on Deposit Accounts Service charges on deposit accounts are earned on depository accounts for consumer and commercial account holders and include fees for account and overdraft services. Account services include fees for event-driven services and periodic account maintenance activities. The obligation for event-driven services is satisfied at the time of the event when service is delivered and revenue recognized as earned. Obligation for maintenance activities is satisfied over the course of each month and revenue recognized at month end. Obligation for overdraft services is satisfied at the time of the overdraft and revenue recognized as earned. Residential Mortgage Loans Held for Sale The Company engages in sales of residential mortgage loans originated by the Bank. Loans held for sale are carried at fair value. Fair value is derived from secondary market quotations for similar instruments. The Company measures residential mortgage loans at fair value when the Company first recognizes the loan (i.e., the fair value option), as permitted by current accounting standards. Changes in fair value of these loans are recorded in earnings as a component of mortgage banking activities in non-interest income in the Consolidated Statements of Income. The Company's current practice is to sell the majority of such loans on a servicing released basis. Any retained servicing assets are amortized in proportion to their net servicing fee income over the life of the respective loans. Servicing assets are evaluated for impairment on a periodic basis. Investments Available-for-Sale Debt securities not classified as held-to-maturity or trading are classified as securities available-for-sale. Securities available-for-sale are acquired as part of the Company's asset/liability management strategy and may be sold in response to changes in interest rates, loan demand, changes in prepayment risk or other factors. Securities available-for-sale are carried at fair value, with unrealized gains or losses based on the difference between amortized cost and fair value, reported net of deferred tax, as accumulated other comprehensive income (loss), a separate component of stockholders' equity. The carrying values of securities available-for-sale are adjusted for premium amortization and discount accretion. Premium is amortized to the earliest call date and discount accreted to the maturity date using the effective interest method. Realized gains and losses on security sales or maturities, using the specific identification method, are included as a separate component of non-interest income. Related interest and dividends are included in interest income. Declines in the fair value of individual available-for-sale securities below their cost that are other-than-temporary (“OTTI”) result in write-downs of the individual securities to their fair value. Factors affecting the determination of whether other-than-temporary impairment has occurred include a downgrading of the security below investment grade by a rating agency or due to potential default, a significant deterioration in the financial condition of the issuer, or a change in management’s intent and ability to hold a security for a period of time sufficient to allow for any anticipated recovery in fair value. Other Equity Securities Other equity securities include Federal Reserve stock, Federal Home Loan Bank of Atlanta stock and other equities that are considered restricted as to marketability and recorded at cost. These securities are carried at cost and evaluated for impairment each reporting period. Loan Financing Receivables The Company’s financing receivables consist primarily of loans that are stated at their principal balance outstanding net of any unearned income and deferred fees and costs. Loans acquired in business combinations with no evidence of credit deterioration as of the acquisition date are recorded at fair value. Interest income on loans is accrued at the contractual rate based on the principal outstanding. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield using the interest method. Loans are considered past due or delinquent when the principal or interest due in accordance with the contractual terms of the loan agreement or any portion thereof remains unpaid after the due date of the scheduled payment. Immaterial shortfalls in payment amounts do not necessarily result in a loan being considered delinquent or past due. If any payments are past due and subsequent payments are resumed without payment of the delinquent amount, the loan shall continue to be considered past due. Whenever any loan is reported delinquent on a principal or interest payment or portion thereof, the amount reported as delinquent is the outstanding principal balance of the loan. Loans, except for consumer loans, are placed into non-accrual status when any portion of the loan principal or interest becomes 90 days past due. Management may determine that certain circumstances warrant earlier discontinuance of interest accruals on specific loans if an evaluation of other relevant factors (such as bankruptcy, interruption of cash flows, etc.) indicates collection of amounts contractually due is unlikely. These loans are considered, collectively, to be non-performing loans. Consumer installment loans that are not secured by real estate are not placed on non-accrual, but are charged down to their net realizable value when they are four months past due. Loans designated as non-accrual have all previously accrued but unpaid interest reversed. Payments received on non-accrual loans when doubt about the ultimate collectability of the principal no longer exists may have their interest payments recorded as interest income on a cash basis or using the cost-recovery method with all payments applied to reduce the outstanding principal until the loan returns to accrual status. Loans may be returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. Large groups of smaller balance homogeneous loans are not individually evaluated for impairment and include lease financing receivables, residential permanent and construction mortgages and consumer installment loans. All other loans are considered non-homogeneous and are evaluated for impairment if they are placed in non-accrual status. Loans are determined to be impaired when, based on available information, it is probable that the Company may not collect all principal and interest payments according to contractual terms. Factors considered in determining whether a loan is impaired include: the financial condition of the borrower; reliability and sources of the cash flows; absorption or vacancy rates; and deterioration of related collateral. The impairment of a loan is measured based on the present value of expected future cash flows discounted at the loan's original effective interest rate, or as permitted, the impairment may be measured based on a loan’s observable market price or the fair value of the collateral less cost to sell. The majority of the Company’s impaired loans are considered to be collateral dependent and impairment is measured by determining the fair value of the collateral using third party appraisals conducted at least annually with underlying assumptions that are reviewed by management. Third party appraisals may be obtained on a more frequent basis if deemed necessary. Internal evaluations of collateral value are conducted quarterly to ensure any further deterioration of the collateral value is recognized on a timely basis. The Company may receive updated appraisals which contradict the preliminary determination of fair value used to establish a specific allowance on a loan. In these instances the specific allowance is adjusted to reflect the Company’s evaluation of the appraised fair value. In the event a loss was previously confirmed and the loan was charged down to the estimated fair value based on a previous appraisal, the balance of partially charged-off loans are not subsequently increased but could be further decreased depending on the direction of the change in fair value. Payments on fully or partially charged-off loans are accounted for under the cost-recovery method. Under this method, all payments are applied on a cash basis to reduce the entire outstanding principal, then to recognize a recovery of all previously charged-off amounts before interest income may be recognized. Based on the impairment evaluation, if the Company determines an estimable loss exists, a specific allowance will be established for that loan. Once a loss has been confirmed, the loan is charged-down to its estimated net realizable value. Interest income on impaired loans is recognized using the same method as non-accrual loans, with the exception of loans that are considered troubled debt restructurings. Loans considered to be troubled debt restructurings (“TDRs”) are loans that have their terms restructured (e.g., interest rates, loan maturity date, payment and amortization period, etc.) in circumstances that provide payment relief to a borrower experiencing financial difficulty. All restructured loans are considered impaired loans and may either be in accruing status or non-accruing status. Non-accruing restructured loans may return to accruing status provided doubt has been removed concerning the collectability of principal and interest as evidenced by a sufficient period of payment performance in accordance with the restructured terms. Loans may be removed from the restructured category if the borrower is no longer experiencing financial difficulty, a re-underwriting event took place and the revised loan terms of the subsequent restructuring agreement are considered to be consistent with terms that can be obtained in the credit market for loans with comparable risk. Management uses relevant information available to make the determination on whether loans are impaired in accordance with GAAP. However, the determination of whether loans are impaired and the measurement of the impairment requires significant judgment, and estimates of losses inherent in the loan portfolio can vary significantly from the amounts actually observed. Allowance for Loan Losses The allowance for loan losses (“allowance” or “ALL”) represents an amount which, in management's judgment, is adequate to absorb the probable estimate of losses that may be sustained on outstanding loans at the balance sheet date based on the evaluation of the size and current risk characteristics of the loan portfolio. The allowance is reduced by charge-offs, net of recoveries of previous losses, and is increased or decreased by a provision or credit for loan losses, which is recorded as a current period operating expense. The allowance is based on the basic principle that a loss be accrued when it is probable that the loss has occurred and the amount of the loss can be reasonably estimated. Determination of the adequacy of the allowance is inherently complex and requires the use of significant and highly subjective estimates. The reasonableness of the allowance is reviewed periodically by the Risk Committee of the board of directors and formally approved quarterly by that same committee of the board. The Company’s methodology for estimating the allowance includes a general component reflecting historical losses, as adjusted, by loan portfolio segment, and a specific component for impaired loans. There were no changes in the Company’s allowance policies or methodology from the prior year. The general component is based upon historical loss experience by each portfolio segment measured, over the prior eight quarters weighted equally. The historical loss experience is supplemented to address various risk characteristics of the Company’s loan portfolio including: trends in delinquencies and other non-performing loans; changes in the risk profile related to large loans in the portfolio; changes in the categories of loans comprising the loan portfolio; concentrations of loans to specific industry segments; changes in economic conditions on both a local and national level; changes in the Company’s credit administration and loan portfolio management processes; and the quality of the Company’s credit risk identification processes. The general component is calculated in two parts based on an internal risk classification of loans within each portfolio segment. Reserves on loans considered to be “classified” under regulatory guidance are calculated separately from loans considered to be “pass” rated under the same guidance. This segregation allows the Company to monitor the allowance component applicable to higher risk loans separate from the remainder of the portfolio in order to better manage risk and reasonably determine the sufficiency of reserves. Integral to the assessment of the allowance process is an evaluation that is performed to determine whether a specific allowance on an impaired credit is warranted. For the particular loan that may have potential impairment, an appraisal will be ordered depending on the time elapsed since the prior appraisal, the loan balance and/or the result of the internal evaluation. The Company typically relies on current (12 months old or less) third party appraisals of the collateral to assist in measuring impairment. In the cases in which the Company does not rely on a third party appraisal, an internal evaluation is prepared by an approved credit officer. A current appraisal on large loans is usually obtained if the appraisal on file is more than 12 months old and there has been a material change in market conditions, zoning, physical use or the adequacy of the collateral based on an internal evaluation. The Company’s policy is to strictly adhere to regulatory appraisal standards. If an appraisal is ordered, no more than a 30 day turnaround is requested from the appraiser, who is selected by Credit Administration from an approved appraiser list. After receipt of the updated appraisal, the assigned credit officer will recommend to the Chief Credit Officer whether a specific allowance or a charge-off should be taken. When losses are confirmed, a charge-off is taken that is at least in the amount of the collateral deficiency as determined by the independent third party appraisal. Any further collateral deterioration results in either further specific reserves being established or additional charge-offs. The Chief Credit Officer has the authority to approve a specific allowance or charge-off between monthly credit committee meetings to ensure that there are no significant time lapses during this process. The portion of the allowance representing specific allowances is established on individually impaired loans. As a practical expedient, for collateral dependent loans, the Company measures impairment based on the net realizable value of the underlying collateral. For loans on which the Company has not elected to use a practical expedient to measure impairment, the Company will measure impairment based on the present value of expected future cash flows discounted at the loan’s effective interest rate. In determining the cash flows to be included in the discount calculation the Company considers the following factors that combine to estimate the probability and severity of potential losses: the borrower’s overall financial condition; resources and payment record; demonstrated or documented support available from financial guarantors; and the adequacy of collateral value and the ultimate realization of that value at liquidation. Management believes it uses relevant information available to make determinations about the allowance and that it has established the existing allowance in accordance with GAAP. However, the determination of the allowance requires significant judgment, and estimates of probable losses in the loan portfolio can vary significantly from the amounts actually observed. While management uses available information to recognize inherent losses, future additions to the allowance may be necessary based on changes in the loans comprising the portfolio and changes in the financial condition of borrowers, such as may result from changes in economic conditions. In addition, various regulatory agencies, as an integral part of their examination process, and independent consultants engaged by the Company, periodically review the loan portfolio and the allowance. Such review may result in additional provisions based on management’s judgments of information available at the time of each examination. Loans Acquired with Deteriorated Credit Quality Acquired loans with evidence of credit deterioration since their origination as of the date of the acquisition are recorded at their initial fair value. Credit deterioration is determined based on the probability of collection of all contractually required principal and interest payments. The historical allowance for loan losses related to the acquired loans is not carried over to the Company’s financial statements. The determination of credit quality deterioration as of the purchase date may include parameters such as past due and non-accrual status, commercial risk ratings, cash flow projections, type of loan and collateral, collateral value and recent loan-to-value ratios or appraised values. For loans acquired with evidence of credit deterioration, the Company determines at the acquisition date the excess of the loan’s contractually required payments over all cash flows expected to be collected as an amount that should not be accreted into interest income (nonaccretable difference). The remaining amount, representing the difference in the expected cash flows of acquired loans and the initial investment in the acquired loans, is accreted into interest income over the remaining life of the loan or pool of loans (accretable yield). Subsequent to the purchase date, increases in expected cash flows over those expected at the purchase date are recognized prospectively as interest income over the remaining life of the loan as an adjustment to the accretable yield. The present value of any decreases in expected cash flows after the purchase date is recognized as an impairment through addition to the valuation allowance. Premises and Equipment Premises and equipment are stated at cost, less accumulated depreciation and amortization, computed using the straight-line method. Premises and equipment are depreciated over the useful lives of the assets, which generally range from 3 to 10 years for furniture, fixtures and equipment, 3 to 5 years for computer software and hardware, and 10 to 40 years for buildings and building improvements. Leasehold improvements are amortized over the lesser of the lease term or the estimated useful lives of the improvements. The costs of major renewals and betterments are capitalized, while the costs of ordinary maintenance and repairs are included in non-interest expense. Goodwill and Other Intangible Assets Goodwill represents the excess purchase price paid over the fair value of the net assets acquired in a business combination. Goodwill is not amortized but is tested for impairment annually or more frequently if events or changes in circumstances indicate that the asset might be impaired. Impairment testing requires that the fair value of each of the Company’s reporting units be compared to the carrying amount of the reporting unit’s net assets, including goodwill. The Company’s reporting units were identified based upon an analysis of each of its individual operating segments. If the fair values of the reporting units exceed their book values, no write-down of recorded goodwill is required. If the fair value of a reporting unit is less than book value, an expense may be required to write-down the related goodwill to the proper carrying value. Any impairment would be realized through a reduction of goodwill or the intangible and an offsetting charge to non-interest expense. The Company tests for impairment of goodwill as of October 1 of each year, and again at any quarter-end if any triggering events occur during a quarter that may affect goodwill. Examples of such events include, but are not limited to, adverse action by a regulator or a loss of key personnel. Determining the fair value of a reporting unit requires the Company to use a degree of subjectivity. Current accounting guidance provides the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. The Company assesses qualitative factors on a quarterly basis. Based on the assessment of these qualitative factors, if it is determined that it is more likely than not that the fair value of a reporting unit is not less than the carrying value, then performing the two-step impairment process, previously required, is unnecessary. However, if it is determined that it is more likely than not that the carrying value exceeds the fair value the first step, described above, of the two-step process must be performed. At December 31, 2019 and 2018 there was no evidence of impairment of goodwill or intangibles in any of the Company’s reporting units. Other intangible assets represent purchased assets that lack physical substance but can be distinguished from goodwill because of contractual or other legal rights or because the asset is capable of being sold or exchanged either on its own or in combination with a related contract, asset, or liability. Other intangible assets have finite lives and are reviewed for impairment annually. These assets are amortized over their estimated useful lives either on a straight-line or sum-of-the-years basis over varying periods that initially did not exceed 15 years. Other Real Estate Owned (“OREO”) OREO is comprised of properties acquired in partial or total satisfaction of problem loans. The properties are recorded at fair value less estimated costs of disposal, on the date acquired or on the date that the Company acquires effective control over the property. Gains or losses arising at the time of acquisition of such properties are charged against the allowance for loan losses. During the holding period OREO continues to be measured at lower of cost or fair value less estimated costs of disposal, and any subsequent declines in value are expensed as incurred. Gains and losses realized from the sale of OREO, as well as valuation adjustments and expenses of operation are included in non-interest expense. Derivative Financial Instruments Derivative Loan Commitments Mortgage loan commitments are derivative loan commitments if the loan that will result from exercise of the commitment will be held for sale upon funding. Derivative loan commitments are recognized at fair value on the consolidated statements of condition in other assets or other liabilities with changes in their fair values recorded as a component of mortgage banking activities in the consolidated statements of income. Mortgage loan commitments are issued to borrowers. Subsequent to commitment date, changes in the fair value of the loan commitment are recognized based on changes in the fair value of the underlying mortgage loan due to interest rate changes, changes in the probability the derivative loan commitment will be exercised, and the passage of time. In estimating fair value, a probability is assigned to a loan commitment based on an expectation that it will be exercised and the loan will be funded. Forward Loan Sale Commitments Loan sales agreements are evaluated to determine whether they meet the definition of a derivative as facts and circumstances may differ significantly. If agreements qualify, to protect against the price risk inherent in derivative loan commitments, the Company utilizes both “mandatory delivery” and “best efforts” forward loan sale commitments to mitigate the risk of potential decreases in the values of loans that would result from the exercise of the derivative loan commitments. Mandatory delivery contracts are accounted for as derivative instruments. Generally, best efforts contracts also meet the definition of derivative instruments after the loan to the borrower has closed. Accordingly, forward loan sale commitments that economically hedge the closed loan inventory are recognized at fair value on the consolidated statements of condition in other assets or other liabilities with changes in their fair values recorded as a component of mortgage banking activities in the consolidated statements of income. The Company estimates the fair value of its forward loan sales commitments using a methodology similar to that used for derivative loan commitments. Interest Rate Swap Agreements The Company enters into interest rate swaps (“swaps”) with loan customers to provide a facility to mitigate the fluctuations in the variable rate on the respective loans. These swaps are matched in exact offsetting terms to swaps that the Company enters into with an outside third party. The swaps are reported at fair value in other assets or other liabilities. The Company's swaps qualify as derivatives, but are not designated as hedging instruments, thus any net gain or loss resulting from changes in the fair value is recognized in other non-interest income. Further discussion of the Company's financial derivatives is set forth in Note 20 to the Consolidated Financial Statements. Off-Balance Sheet Credit Risk The Company issues financial or standby letters of credit that represent conditional commitments to fund transactions by the Company, typically to guarantee performance of a customer to a third party related to borrowing arrangements. The credit risk associated with issuing letters of credit is essentially the same as occurs when extending loan facilities to borrowers. The Company monitors the exposure to the letters of credit as part of its credit review process. Extensions of letters of credit, if any, would become part of the loan balance outstanding and would be evaluated in accordance with the Company’s credit policies. Potential exposure to loss for unfunded letters of credit if deemed necessary would be recorded in other liabilities. In the ordinary course of business the Company originates and sells whole loans to a variety of investors. Mortgage loans sold are subject to representations and warranties made to the third party purchasers regarding certain attributes. Subsequent to the sale, if a material underwriting deficiency or documentation defect is determined, the Company may be obligated to repurchase the mortgage loan or reimburse the investor for losses incurred if the deficiency or defect cannot be rectified within a specific period subsequent to discovery. The Company monitors the activity regarding the requirement to repurchase loans and the associated losses incurred. This information is applied to determine an estimated recourse reserve that is recorded in other liabilities. Valuation of Long-Lived Assets The Company reviews long-lived assets and certain identifiable intangible assets for impairment w |
PENDING ACQUISITION
PENDING ACQUISITION | 12 Months Ended |
Dec. 31, 2019 | |
Acqusition of WashingtonFirst Bankshares Inc. [Abstract] | |
Business Combination Disclosure | NOTE 2 – PENDING ACQUISITION On September 23, 2019, the Company and Revere Bank (“Revere”) entered into a definitive agreement for the Company to acquire the Maryland-based Revere. Under the terms of the agreement, Revere shareholders will receive 1.05 shares of Sandy Spring common stock for each share of Revere common stock. Upon closing, Sandy Spring shareholders will own approximately 74% of the combined company and Revere shareholders will own approximately 26% of the combined company. The Company, the Bank and Revere have received all required regulatory and shareholder approvals necessary to complete the merger. Completion of the transaction is subject to the satisfaction of customary closing conditions. The transaction is expected to close in the beginning of the second quarter of 2020. As of December 31, 2019, Revere had more than $ 2.8 billion in assets and operated 11 full-service community banking offices throughout the Washington D.C. metropolitan region. |
CASH AND DUE FROM BANKS
CASH AND DUE FROM BANKS | 12 Months Ended |
Dec. 31, 2019 | |
Cash and Cash Equivalents [Abstract] | |
Cash and Due from Banks | Note 3 – Cash and Due from Banks The Federal Reserve Act requires that banks maintain cash reserve balances with the Federal Reserve Bank based principally on the type and amount of their deposits. At its option, the Company maintains additional balances to compensate for clearing and safekeeping services. The average balance maintained in 2019 was $ 105.3 million and in 2018 was $ 70.0 million. |
INVESTMENTS
INVESTMENTS | 12 Months Ended |
Dec. 31, 2019 | |
Investments [Abstract] | |
Investment [text block] | Note 4 – Investments Investments available-for-sale The amortized cost and estimated fair values of investments available-for-sale at December 31 are presented in the following table: 2019 2018 Gross Gross Estimated Gross Gross Estimated Amortized Unrealized Unrealized Fair Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Cost Gains Losses Value U.S. treasuries and government agencies $ 260,294 $ 887 $ ( 2,686) $ 258,495 $ 300,338 $ 370 $ ( 4,030) $ 296,678 State and municipal 229,309 4,377 ( 37) 233,649 280,725 2,080 ( 781) 282,024 Mortgage-backed and asset-backed 568,373 3,268 ( 882) 570,759 355,267 653 ( 7,405) 348,515 Corporate debt 9,100 452 - 9,552 9,100 140 - 9,240 Trust preferred 310 - - 310 310 - - 310 Total debt securities 1,067,386 8,984 ( 3,605) 1,072,765 945,740 3,243 ( 12,216) 936,767 Marketable equity securities 568 - - 568 568 - - 568 Total investments available-for-sale $ 1,067,954 $ 8,984 $ ( 3,605) $ 1,073,333 $ 946,308 $ 3,243 $ ( 12,216) $ 937,335 Any unrealized losses in the U.S. treasuries and government agencies, state and municipal or mortgage-backed and asset-backed securities at December 31, 2019 are the result of changes in interest rates. These declines are considered temporary in nature and will decline over time and recover as these securities approach maturity. The mortgage-backed and asset backed portfolio at December 31, 2019 is composed entirely of either the most senior tranches of GNMA, FNMA or FHLMC collateralized mortgage obligations ($ 153.4 million), GNMA, FNMA or FHLMC mortgage-backed securities ($ 347.1 million) and SBA asset-backed securities ($ 70.3 million). The Company does not intend to sell these securities and has sufficient liquidity to hold these securities for an adequate period of time, which may be maturity, to allow for any anticipated recovery in fair value. Gross unrealized losses and fair values by length of time that individual available-for-sale securities have been in an unrealized loss position at December 31 are presented in the following table: 2019 Continuous Unrealized Losses Existing for: Number Total of Less than More than Unrealized (Dollars in thousands) securities Fair Value 12 months 12 months Losses U.S. treasuries and government agencies 12 $ 151,132 $ 2,211 $ 475 $ 2,686 State and municipal 3 7,227 37 - 37 Mortgage-backed and asset-backed 35 184,784 508 374 882 Total 50 $ 343,143 $ 2,756 $ 849 $ 3,605 2018 Continuous Unrealized Losses Existing for: Number Total of Less than More than Unrealized (Dollars in thousands) securities Fair Value 12 months 12 months Losses U.S. treasuries and government agencies 33 $ 194,135 $ 452 $ 3,578 $ 4,030 State and municipal 80 78,232 569 212 781 Mortgage-backed 110 308,254 1,592 5,813 7,405 Total 223 $ 580,621 $ 2,613 $ 9,603 $ 12,216 The estimated fair values of debt securities available-for-sale by contractual maturity at December 31 are provided in the following table. The Company has allocated mortgage-backed and asset-backed securities into the four maturity groupings reflected in the following table using the expected average life of the individual securities based on statistics provided by independent third party industry sources. Expected maturities will differ from contractual maturities as borrowers may have the right to prepay obligations with or without prepayment penalties. 2019 One Year One to Five to After Ten (In thousands) or less Five Years Ten Years Years Total U.S. treasuries and government agencies $ 69,799 $ 96,709 $ - $ 91,987 $ 258,495 State and municipal 33,311 76,723 75,820 47,795 233,649 Mortgage-backed and asset-backed 852 7,125 55,226 507,556 570,759 Corporate debt - - 9,552 - 9,552 Trust preferred - - - 310 310 Total available-for-sale debt securities $ 103,962 $ 180,557 $ 140,598 $ 647,648 $ 1,072,765 2018 One Year One to Five to After Ten (In thousands) or less Five Years Ten Years Years Total U.S. treasuries and government agencies $ 6,952 $ 159,223 $ 50,479 $ 80,024 $ 296,678 State and municipal 56,650 104,597 98,112 22,665 282,024 Mortgage-backed and asset-backed 145 13,010 52,555 282,805 348,515 Corporate debt - - 9,240 - 9,240 Trust preferred - - - 310 310 Total available-for-sale debt securities $ 63,747 $ 276,830 $ 210,386 $ 385,804 $ 936,767 At December 31, 2019 and 2018, investments available-for-sale with a book value of $ 424.8 million and $ 477.3 million, respectively, were pledged as collateral for certain government deposits and for other purposes as required or permitted by law. The outstanding balance of no single issuer, except for U.S. government agency securities, exceeded ten percent of stockholders' equity at December 31, 2019 and 2018. Equity securities Other equity securities at the dates indicated are presented in the following table: (In thousands) 2019 2018 Federal Reserve Bank stock $ 22,559 $ 22,456 Federal Home Loan Bank of Atlanta stock 29,244 50,933 Total equity securities $ 51,803 $ 73,389 Securities gains Gross realized gains and losses on all investments for the years ended December 31 are presented in the following table: (In thousands) 2019 2018 2017 Gross realized gains from sales of investments available-for-sale $ 14 $ 2,519 $ - Gross realized losses from sales of investments available-for-sale ( 2) ( 2,343) - Net gains from calls of investments available-for-sale 65 14 32 Gross realized gains from sales of equity securities - - 1,241 Net securities gains $ 77 $ 190 $ 1,273 |
LOANS
LOANS | 12 Months Ended |
Dec. 31, 2019 | |
Receivables [Abstract] | |
LOANS AND LEASES | Note 5 – Loans The lending business of the Company is based on understanding, measuring and controlling the credit risk inherent in the loan portfolio. The Company’s loan portfolio is subject to varying degrees of credit risk. Credit risk entails both general risks, which are inherent in the process of lending, and risk specific to individual borrowers. The Company’s credit risk is mitigated through portfolio diversification, which limits exposure to any single customer, industry or collateral type. Outstanding loan balances at December 31, 2019 and 2018 are net of unearned income including net deferred loan fees of $ 1.8 million and $ 0.9 million, respectively. The loan portfolio segment balances at December 31 are presented in the following table: (In thousands) 2019 2018 Residential real estate: Residential mortgage $ 1,149,327 $ 1,228,247 Residential construction 146,279 186,785 Commercial real estate: Commercial owner occupied real estate 1,288,677 1,202,903 Commercial investor real estate 2,169,156 1,958,395 Commercial AD&C 684,010 681,201 Commercial Business 801,019 796,264 Consumer 466,764 517,839 Total loans $ 6,705,232 $ 6,571,634 Portfolio Segments The Company currently manages its credit products and the respective exposure to credit losses (credit risk) by the following specific portfolio segments (classes) which are levels at which the Company develops and documents its systematic methodology to determine the allowance for loan losses attributable to each respective portfolio segment. These segments are: Commercial business loans – Commercial loans are made to provide funds for equipment and general corporate needs. Repayment of a loan primarily uses the funds obtained from the operation of the borrower’s business. Commercial loans also include lines of credit that are utilized to finance a borrower’s short-term credit needs and/or to finance a percentage of eligible receivables and inventory. Commercial acquisition, development and construction loans –Commercial acquisition, development and construction loans are intended to finance the construction of commercial properties and include loans for the acquisition and development of land. Construction loans represent a higher degree of risk than permanent real estate loans and may be affected by a variety of factors such as the borrower’s ability to control costs and adhere to time schedules and the risk that constructed units may not be absorbed by the market within the anticipated time frame or at the anticipated price. The loan commitment on these loans often includes an interest reserve that allows the lender to periodically advance loan funds to pay interest charges on the outstanding balance of the loan. Commercial owner occupied real estate loans - Commercial owned-occupied real estate loans consist of commercial mortgage loans secured by owner occupied properties where an established banking relationship exists and involves a variety of property types to conduct the borrower’s operations. The primary source of repayment for this type of loan is the cash flow from the business and is based upon the borrower’s financial health and the ability of the borrower and the business to repay. Commercial investor real estate loans - Commercial investor real estate loans consist of loans secured by non-owner occupied properties where an established banking relationship exists and involves investment properties for warehouse, retail, and office space with a history of occupancy and cash flow. This commercial real estate category contains mortgage loans to the developers and owners of commercial real estate where the borrower intends to operate or sell the property at a profit and use the income stream or proceeds from the sale(s) to repay the loan. Consumer loans - This category of loans includes primarily home equity loans and lines, installment loans, personal lines of credit and marine loans. The home equity category consists mainly of revolving lines of credit to consumers which are secured by residential real estate. These loans are typically secured with second mortgages on the homes. Other consumer loans include installment loans used by customers to purchase automobiles, boats and recreational vehicles. Residential mortgage loans – The residential real estate category contains permanent mortgage loans principally to consumers secured by residential real estate. Residential real estate loans are evaluated for the adequacy of repayment sources at the time of approval, based upon measures including credit scores, debt-to-income ratios, and collateral values. Loans may be either conforming or non-conforming. Residential construction loans - The Company makes residential real estate construction loans generally to provide interim financing on residential property during the construction period. Borrowers are typically individuals who will ultimately occupy the single-family dwelling. Loan funds are disbursed periodically as pre-specified stages of completion are attained based upon site inspections . The fair value of the financial assets acquired in the Company’s acquisition of WashingtonFirst Bancshares, Inc. (“WashingtonFirst”) on January 1, 2018 (the “acquisition date”) included loans receivable with a gross amortized cost basis of $ 1.7 billion. The table below illustrates the fair value adjustments made to the amortized cost basis in order to present a fair value of the loans acquired. Interest and credit fair value adjustments related to loans acquired without evidence of credit quality deterioration are accreted or amortized into interest income over the remaining expected lives of the loans. The specific credit adjustment on acquired credit impaired loans includes accretable and non-accretable components. Of the $ 14.5 million specific credit mark on acquired credit impaired loans, approximately $ 4.0 million was estimated to be an accretable adjustment recognized over the remaining expected lives of the loans and $ 10.5 million was estimated to be non-accretable adjustment. In conjunction with the WashingtonFirst acquisition, the acquired loan portfolio was accounted for at fair value as follows: (Dollars in thousands) January 1, 2018 Gross amortized cost basis at January 1, 2018 $ 1,697,760 Interest rate fair value adjustment 15,370 Credit fair value adjustment on pools of homogeneous loans ( 22,421) Credit fair value adjustment on purchased credit impaired loans ( 14,518) Fair value of acquired loan portfolio at January 1, 2018 $ 1,676,191 The following table presents the acquired credit impaired loans receivable as of the acquisition date: (Dollars in thousands) January 1, 2018 Contractual principal and interest at acquisition $ 49,412 Contractual cash flows not expected to be collected (Nonaccretable yield) ( 17,915) Expected cash flows at acquisition 31,497 Interest component of expected cash flows (Accretable yield) ( 3,988) Fair value of purchased credit impaired loans $ 27,509 The outstanding balance of purchased credit impaired loans receivable totaled $ 41.9 million, $ 26.0 million and $ 12.7 million at January 1, 2018, December 31, 2018 and December 31, 2019, respectively. The fair value of purchased credit impaired loans was $ 9.9 million and $ 15.3 million at December 31, 2019 and December 31, 2018, respectively. The decrease in the outstanding amounts of purchased credit impaired loans receivable from the acquisition date through the current period was driven by efforts to resolve the most material credit deteriorated borrowers. During 2018, liquidation of collateral resulted in full pay-off of the outstanding principal balances of $ 12.4 million and the related release of accretable and non-accretable adjustments into interest income in the total amounts of $ 0.8 million and $ 1.3 million, respectively. During the current year, the Company settled additional purchased credit impaired loans with total outstanding balances of $ 5.8 million resulting in the related release of accretable and non-accretable adjustments into interest income in the total amounts of $ 0.2 million and $ 1.6 million, respectively. Activity for the accretable yield since the acquisition date was as follows: For the Year Ended, (Dollars in thousands) December 31, 2019 December 31, 2018 Accretable yield at the beginning of the period $ 1,279 $ - Addition of accretable yield due to acquisition - 3,988 Accretion into interest income ( 1,073) ( 1,860) Disposals (including maturities, foreclosures, and charge-offs) ( 199) ( 849) Accretable yield at the end of the period. $ 7 $ 1,279 Loans to Related Parties Certain directors and executive officers have loan transactions with the Company. The following schedule summarizes changes in amounts of loans outstanding, both direct and indirect, to these persons during the periods indicated: (In thousands) 2019 2018 2017 Balance at January 1 $ 54,208 $ 36,712 $ 41,988 Additions 4,737 21,871 6,140 Repayments ( 7,578) ( 4,375) ( 11,416) Balance at December 31 $ 51,367 $ 54,208 $ 36,712 |
CREDIT QUALITY ASSESSMENT
CREDIT QUALITY ASSESSMENT | 12 Months Ended |
Dec. 31, 2019 | |
Credit Quality Assessment [Abstract] | |
CREDIT QUALITY ASSESSMENT | Note 6 – CREDIT QUALITY ASSESSMENT Allowance for Loan Losses Credit risk can vary significantly as losses, as a percentage of outstanding loans, can vary widely during economic cycles and are sensitive to changing economic conditions. The amount of loss in any particular type of loan can vary depending on the purpose of the loan and the underlying collateral securing the loan. Collateral securing commercial loans can range from accounts receivable to equipment to improved or unimproved real estate depending on the purpose of the loan. Home mortgage and home equity loans and lines are typically secured by first or second liens on residential real estate. Consumer loans may be secured by personal property, such as auto loans or they may be unsecured loan products. Management has an internal credit process in place to maintain credit standards. This process along with an in-house loan administration, accompanied by oversight and review procedures, combines to control and manage credit risk. The primary purpose of loan underwriting is the evaluation of specific lending risks that involves the analysis of the borrower’s ability to service the debt as well as the assessment of the value of the underlying collateral. Oversight and review procedures include the monitoring of the portfolio credit quality, early identification of potential problem credits and the management of the problem credits. As part of the oversight and review process, the Company maintains an allowance for loan losses (the “allowance”) to absorb estimated and probable losses in the loan portfolio. The allowance is based on consistent, periodic review and evaluation of the loan portfolio, along with ongoing, monthly assessments of the probable losses and problem credits in each portfolio. While portions of the allowance are attributed to specific portfolio segments, the entire allowance is available to absorb credit losses inherent in the total loan portfolio. Summary information on the allowance for loan loss activity for the years ended December 31 is provided in the following table: (In thousands) 2019 2018 2017 Balance at beginning of year $ 53,486 $ 45,257 $ 44,067 Provision for loan losses 4,684 9,023 2,977 Loan charge-offs ( 2,668) ( 1,416) ( 2,566) Loan recoveries 630 622 779 Net charge-offs ( 2,038) ( 794) ( 1,787) Balance at period end $ 56,132 $ 53,486 $ 45,257 The following tables provide information on the activity in the allowance for loan losses by the respective loan portfolio segment for the years ended December 31: 2019 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Commercial Owner Residential Residential (Dollars in thousands) Business AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Balance at beginning of year $ 11,377 $ 5,944 $ 17,603 $ 6,307 $ 2,113 $ 8,881 $ 1,261 $ 53,486 Provision (credit) 1,164 1,418 788 577 565 474 ( 302) 4,684 Charge-offs ( 1,195) - - - ( 783) ( 690) - ( 2,668) Recoveries 49 228 16 - 191 138 8 630 Net (charge-offs)/ recoveries ( 1,146) 228 16 - ( 592) ( 552) 8 ( 2,038) Balance at end of period $ 11,395 $ 7,590 $ 18,407 $ 6,884 $ 2,086 $ 8,803 $ 967 $ 56,132 Total loans $ 801,019 $ 684,010 $ 2,169,156 $ 1,288,677 $ 466,764 $ 1,149,327 $ 146,279 $ 6,705,232 Allowance for loans to total loans ratio 1.42% 1.11% 0.85% 0.53% 0.45% 0.77% 0.66% 0.84% Balance of loans specifically evaluated for impairment $ 8,867 $ 829 $ 9,212 $ 4,148 na. $ 1,717 $ - $ 24,773 Allowance for loans specifically evaluated for impairment $ 3,817 $ 132 $ 1,529 $ 23 na. $ - $ - $ 5,501 Specific allowance to specific loans ratio 43.05% 15.92% 16.60% 0.55% na. - - 22.21% Balance of loans collectively evaluated $ 789,613 $ 683,181 $ 2,150,400 $ 1,284,529 $ 465,771 $ 1,147,602 $ 146,279 $ 6,667,375 Allowance for loans collectively evaluated $ 7,578 $ 7,458 $ 16,878 $ 6,861 $ 2,086 $ 8,803 $ 967 $ 50,631 Collective allowance to collective loans ratio 0.96% 1.09% 0.78% 0.53% 0.45% 0.77% 0.66% 0.76% Balance of loans acquired with deteriorated credit quality $ 2,539 $ - $ 9,544 $ - $ 993 $ 8 $ - $ 13,084 Allowance for loans acquired with deteriorated credit quality $ - $ - $ - $ - $ - $ - $ - $ - Allowance for loans acquired with deteriorated credit quality ratio - - - - - - - - 2018 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Commercial Owner Residential Residential (Dollars in thousands) Business AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Balance at beginning of year $ 8,711 $ 3,501 $ 14,970 $ 7,178 $ 2,383 $ 7,268 $ 1,246 $ 45,257 Provision (credit) 2,857 2,381 2,677 ( 871) 203 1,776 - 9,023 Charge-offs ( 449) - ( 131) - ( 611) ( 225) - ( 1,416) Recoveries 258 62 87 - 138 62 15 622 Net (charge-offs)/ recoveries ( 191) 62 ( 44) - ( 473) ( 163) 15 ( 794) Balance at end of period $ 11,377 $ 5,944 $ 17,603 $ 6,307 $ 2,113 $ 8,881 $ 1,261 $ 53,486 Total loans $ 796,264 $ 681,201 $ 1,958,395 $ 1,202,903 $ 517,839 $ 1,228,247 $ 186,785 $ 6,571,634 Allowance for loans total loans ratio 1.43% 0.87% 0.90% 0.52% 0.41% 0.72% 0.68% 0.81% Balance of loans specifically evaluated for impairment $ 7,586 $ 3,306 $ 5,355 $ 4,234 na. $ 1,729 $ - $ 22,210 Allowance for loans specifically evaluated for impairment $ 3,594 $ - $ 1,207 $ 123 na. $ - $ - $ 4,924 Specific allowance to specific loans ratio 47.38% na. 22.54% 2.91% na. - - 22.17% Balance of loans collectively evaluated $ 780,523 $ 677,895 $ 1,938,712 $ 1,196,487 $ 516,567 $ 1,226,508 $ 186,785 $ 6,523,477 Allowance for loans collectively evaluated $ 7,783 $ 5,944 $ 16,396 $ 6,184 $ 2,113 $ 8,881 $ 1,261 $ 48,562 Collective allowance to collective loans ratio 1.00% 0.88% 0.85% 0.52% 0.41% 0.72% 0.68% 0.74% Balance of loans acquired with deteriorated credit quality $ 8,155 $ - $ 14,328 $ 2,182 $ 1,272 $ 10 $ - $ 25,947 Allowance for loans acquired with deteriorated credit quality $ - $ - $ - $ - $ - $ - $ - $ - Allowance for loans acquired with deteriorated credit quality ratio - - - - - - - - The Company’s methodology for evaluating whether a loan is impaired begins with risk-rating credits on an individual basis and includes consideration of the borrower’s overall financial condition, payment record and available cash resources that may include the collateral value and, in a select few cases, verifiable support from financial guarantors. In measuring impairment, the Company looks primarily to the discounted cash flows of the project itself or to the value of the collateral as the primary sources of repayment of the loan. Collateral values or estimates of discounted cash flows (inclusive of any potential cash flow from guarantees) are evaluated to estimate the probability and severity of potential losses. The actual occurrence and severity of losses involving impaired credits can differ substantially from estimates. The Company may consider the existence of guarantees and the financial strength and wherewithal of the guarantors involved in any loan relationship. Guarantees may be considered as a source of repayment based on the guarantor’s financial condition and respective payment capacity. Accordingly, absent a verifiable payment capacity, a guarantee alone would not be sufficient to avoid classifying the loan as impaired. Management has established a credit process that dictates that procedures be performed to monitor impaired loans between the receipt of an original appraisal and the updated appraisal. These procedures include the following: An internal evaluation is updated quarterly to include borrower financial statements and/or cash flow projections. The borrower may be contacted for a meeting to discuss an updated or revised action plan which may include a request for additional collateral. Re-verification of the documentation supporting the Company’s position with respect to the collateral securing the loan. At the monthly credit committee meeting the loan may be downgraded. Upon receipt of the updated appraisal or based on an updated internal financial evaluation, the loan balance is compared to the appraisal and a specific allowance is determined for the particular loan, typically for the amount of the difference between the appraisal and the loan balance. The Company will specifically reserve for or charge-off the excess of the loan amount over the amount of the appraisal. In certain cases the Company may establish a larger reserve due to knowledge of current market conditions or the existence of an offer for the collateral that will facilitate a more timely resolution of the loan. The Company generally follows a policy of not extending maturities on non-performing loans under existing terms. Certain performing loans that have displayed some inherent weakness in the underlying collateral values, an inability to comply with certain loan covenants which do not affect the performance of the credit or other identified weakness may have their terms extended on an exception basis. Maturity date extensions only occur under revised terms that place the Company in a better position to fully collect the loan under the contractual terms and /or terms at the time of the extension that may eliminate or mitigate the inherent weakness in the loan. These terms may incorporate, but are not limited to additional assignment of collateral, significant balance curtailments/liquidations and assignments of additional project cash flows. Documented or demonstrated guarantees may be a consideration in the extension of loan maturities. As a general matter, the Company does not view extension of a loan to be a satisfactory approach to resolving non-performing credits. Loans that have their terms restructured (e.g., interest rates, loan maturity date, payment and amortization period, etc.) in circumstances that provide payment relief or other concessions to a borrower experiencing financial difficulty are considered troubled debt restructured loans. All restructurings that constitute concessions to a troubled borrower are considered impaired loans that may either be in accruing status or non-accruing status. Non-accruing restructured loans may return to accruing status provided there is a sufficient period of payment performance in accordance with the restructure terms. Loans may be removed from the restructured category if the borrower is no longer experiencing financial difficulty, a re-underwriting event took place and the revised loan terms of the subsequent restructuring agreement are considered to be consistent with terms that can be obtained in the credit market for loans with comparable credit risk. At December 31, 2019, restructured loans totaled $ 7.9 million, of which $ 2.6 million were accruing and $ 5.3 million were non-accruing. Commitments to lend additional funds on loans that have been restructured at December 31, 2019 were insignificant. Restructured loans at December 31, 2018 totaled $ 7.4 million, of which $ 2.0 million were accruing and $ 5.4 million were non-accruing. Commitments to lend additional funds on loans that have been restructured at December 31, 2018 were insignificant. The following table provides summary information regarding impaired loans at December 31 and for the years then ended: (In thousands) 2019 2018 2017 Impaired loans with a specific allowance $ 15,333 $ 12,876 $ 11,693 Impaired loans without a specific allowance 9,440 9,334 9,116 Total impaired loans $ 24,773 $ 22,210 $ 20,809 Allowance for loan losses related to impaired loans $ 5,501 $ 4,924 $ 4,014 Allowance for loan related to loans collectively evaluated 50,631 48,562 41,243 Total allowance for loan losses $ 56,132 $ 53,486 $ 45,257 Average impaired loans for the period $ 23,365 $ 20,211 $ 23,179 Contractual interest income due on impaired loans during the period $ 1,947 $ 2,513 $ 2,314 Interest income on impaired loans recognized on a cash basis $ 465 $ 506 $ 754 Interest income on impaired loans recognized on an accrual basis $ 169 $ 138 $ 169 The following tables present the recorded investment with respect to impaired loans, the associated allowance by the applicable portfolio segment and the principal balance of the impaired loans prior to amounts charged-off at December 31 for the years indicated: 2019 Commercial Real Estate Total Recorded Commercial All Investment in Commercial Commercial Owner Other Impaired (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Loans Impaired loans with a specific allowance Non-accruing $ 5,608 $ 829 $ 5,448 $ 767 $ - $ 12,652 Restructured accruing 266 - - - - 266 Restructured non-accruing 1,856 - 437 122 - 2,415 Balance $ 7,730 $ 829 $ 5,885 $ 889 $ - $ 15,333 Allowance $ 3,817 $ 132 $ 1,529 $ 23 $ - $ 5,501 Impaired loans without a specific allowance Non-accruing $ 114 $ - $ 2,552 $ 1,522 $ - $ 4,188 Restructured accruing 151 - 775 - 1,444 2,370 Restructured non-accruing 872 - - 1,737 273 2,882 Balance $ 1,137 $ - $ 3,327 $ 3,259 $ 1,717 $ 9,440 Total impaired loans Non-accruing $ 5,722 $ 829 $ 8,000 $ 2,289 $ - $ 16,840 Restructured accruing 417 - 775 - 1,444 2,636 Restructured non-accruing 2,728 - 437 1,859 273 5,297 Balance $ 8,867 $ 829 $ 9,212 $ 4,148 $ 1,717 $ 24,773 Unpaid principal balance in total impaired loans $ 11,296 $ 829 $ 13,805 $ 6,072 $ 2,618 $ 34,620 2019 Commercial Real Estate Total Recorded Commercial All Investment in Commercial Commercial Owner Other Impaired (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Loans Average impaired loans for the period $ 7,781 $ 2,052 $ 7,565 $ 4,390 $ 1,577 $ 23,365 Contractual interest income due on impaired loans during the period $ 648 $ 127 $ 786 $ 258 $ 128 Interest income on impaired loans recognized on a cash basis $ 221 $ - $ 49 $ 187 $ 8 Interest income on impaired loans recognized on an accrual basis $ 62 $ - $ 39 $ - $ 68 2018 Commercial Real Estate Total Recorded Commercial All Investment in Commercial Commercial Owner Other Impaired (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Loans Impaired loans with a specific allowance Non-accruing $ 4,126 $ - $ 5,117 $ 767 $ - $ 10,010 Restructured accruing 328 - - - - 328 Restructured non-accruing 1,766 - - 772 - 2,538 Balance $ 6,220 $ - $ 5,117 $ 1,539 $ - $ 12,876 Allowance $ 3,594 $ - $ 1,207 $ 123 $ - $ 4,924 Impaired loans without a specific allowance Non-accruing $ 220 $ 3,170 $ 238 $ 1,216 $ - $ 4,844 Restructured accruing 172 - - - 1,442 1,614 Restructured non-accruing 974 136 - 1,479 287 2,876 Balance $ 1,366 $ 3,306 $ 238 $ 2,695 $ 1,729 $ 9,334 Total impaired loans Non-accruing $ 4,346 $ 3,170 $ 5,355 $ 1,983 $ - $ 14,854 Restructured accruing 500 - - - 1,442 1,942 Restructured non-accruing 2,740 136 - 2,251 287 5,414 Balance $ 7,586 $ 3,306 $ 5,355 $ 4,234 $ 1,729 $ 22,210 Unpaid principal balance in total impaired loans $ 11,056 $ 4,419 $ 9,909 $ 6,656 $ 3,081 $ 35,121 2018 Commercial Real Estate Total Recorded Commercial All Investment in Commercial Commercial Owner Other Impaired (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Loans Average impaired loans for the period $ 7,685 $ 770 $ 5,696 $ 3,823 $ 2,237 $ 20,211 Contractual interest income due on impaired loans during the period $ 858 $ 495 $ 610 $ 407 $ 143 Interest income on impaired loans recognized on a cash basis $ 215 $ - $ 20 $ 175 $ 96 Interest income on impaired loans recognized on an accrual basis $ 63 $ - $ - $ - $ 75 Credit Quality The following tables provide information on the credit quality of the loan portfolio by segment at December 31 for the years indicated: 2019 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Owner Residential Residential (In thousands) Commercial AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Non-performing loans and assets: Non-accrual loans (1) $ 8,450 $ 829 $ 8,437 $ 4,148 $ 4,107 $ 12,661 $ - $ 38,632 Loans 90 days past due - - - - - - - - Restructured loans 417 - 775 - 364 1,080 - 2,636 Total non-performing loans 8,867 829 9,212 4,148 4,471 13,741 - 41,268 Other real estate owned 39 665 409 - 64 305 - 1,482 Total non-performing assets $ 8,906 $ 1,494 $ 9,621 $ 4,148 $ 4,535 $ 14,046 $ - $ 42,750 (1) Includes $ 2.9 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. 2018 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Owner Residential Residential (In thousands) Commercial AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Non-performing loans and assets: Non-accrual loans (1) $ 7,086 $ 3,306 $ 5,355 $ 4,234 $ 4,107 $ 9,336 $ 159 $ 33,583 Loans 90 days past due 49 - - - 219 221 - 489 Restructured loans 500 - - - - 1,442 - 1,942 Total non-performing loans 7,635 3,306 5,355 4,234 4,326 10,999 159 36,014 Other real estate owned 39 315 409 - - 821 - 1,584 Total non-performing assets $ 7,674 $ 3,621 $ 5,764 $ 4,234 $ 4,326 $ 11,820 $ 159 $ 37,598 (1) Includes $ 4.8 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. 2019 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Owner Residential Residential (In thousands) Commercial AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Past due loans 31-60 days $ 908 $ - $ 932 $ 316 $ 2,697 $ 14,853 $ 280 $ 19,986 61-90 days 370 - - - 1,517 4,541 1,334 7,762 > 90 days - - - - - - - - Total past due 1,278 - 932 316 4,214 19,394 1,614 27,748 Non-accrual loan (1) 8,450 829 8,437 4,148 4,107 12,661 - 38,632 Loans acquired with deteriorated credit quality 2,539 - 9,544 - 993 8 - 13,084 Current loans 788,752 683,181 2,150,243 1,284,213 457,450 1,117,264 144,665 6,625,768 Total loans $ 801,019 $ 684,010 $ 2,169,156 $ 1,288,677 $ 466,764 $ 1,149,327 $ 146,279 $ 6,705,232 (1) Includes $ 2.9 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. 2018 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Owner Residential Residential (In thousands) Commercial AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Past due loans 31-60 days $ 2,737 $ 474 $ 3,041 $ 433 $ 3,871 $ 8,181 $ 3,226 $ 21,963 61-90 days - - 789 - 1,477 2,517 - 4,783 > 90 days 49 - - - 219 221 - 489 Total past due 2,786 474 3,830 433 5,567 10,919 3,226 27,235 Non-accrual loans (1) 7,086 3,306 5,355 4,234 4,107 9,336 159 33,583 Loans acquired with deteriorated credit quality 8,155 - 14,328 2,182 1,272 10 - 25,947 Current loans 778,237 677,421 1,934,882 1,196,054 506,893 1,207,982 183,400 6,484,869 Total loans $ 796,264 $ 681,201 $ 1,958,395 $ 1,202,903 $ 517,839 $ 1,228,247 $ 186,785 $ 6,571,634 (1) Includes $ 4.8 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. Loans are monitored for credit quality on a recurring basis. The credit quality indicators used are dependent on the portfolio segment to which the loan relates. Commercial loans and non-commercial loans have different credit quality indicators as a result of the methods used to monitor each of these loan segments. The credit quality indicators for commercial loans are developed through review of individual borrowers on an ongoing basis. Each borrower is evaluated at least annually with more frequent evaluation of more severely criticized loans. The indicators represent the rating for loans as of the date presented based on the most recent credit review performed. These credit quality indicators are defined as follows: Pass - A pass rated credit is not adversely classified because it does not display any of the characteristics for adverse classification. Special mention – A special mention credit has potential weaknesses that deserve management’s close attention. If uncorrected, such weaknesses may result in deterioration of the repayment prospects or collateral position at some future date. Special mention assets are not adversely classified and do not warrant adverse classification. Substandard – A substandard loan is inadequately protected by the current net worth and payment capacity of the obligor or of the collateral pledged, if any. Loans classified as substandard generally have a well-defined weakness, or weaknesses, that jeopardize the liquidation of the debt. These loans are characterized by the distinct possibility of loss if the deficiencies are not corrected. Doubtful – A loan that is classified as doubtful has all the weaknesses inherent in a loan classified as substandard with added characteristics that the weaknesses make collection or liquidation in full highly questionable and improbable, on the basis of currently existing facts, conditions and values. Loss – Loans classified as a loss are considered uncollectible and of such little value that their continuing to be carried as a loan is not warranted. This classification is not necessarily equivalent to no potential for recovery or salvage value, but rather that it is not appropriate to defer a full write-off even though partial recovery may be effected in the future. The following tables provide information by credit risk rating indicators for each segment of the commercial loan portfolio at December 31 for the years indicated: 2019 Commercial Real Estate Commercial Commercial Commercial Owner (In thousands) Commercial AD&C Investor R/E Occupied R/E Total Pass $ 783,909 $ 683,181 $ 2,146,971 $ 1,278,337 $ 4,892,398 Special Mention (1) 2,487 - 3,189 2,284 7,960 Substandard (2) 14,623 829 18,996 8,056 42,504 Doubtful - - - - - Total $ 801,019 $ 684,010 $ 2,169,156 $ 1,288,677 $ 4,942,862 (1) Includes $ 0.8 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. (2) Includes $ 11.7 million of purchased credit impaired loans acquired from WashingtonFirst and $ 6.7 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. 2018 Commercial Real Estate Commercial Commercial Commercial Owner (In thousands) Commercial AD&C Investor R/E Occupied R/E Total Pass $ 773,958 $ 677,574 $ 1,934,886 $ 1,189,903 $ 4,576,321 Special Mention (1) 1,942 321 3,826 2,738 8,827 Substandard (2) 20,364 3,306 19,683 10,262 53,615 Doubtful - - - - - Total $ 796,264 $ 681,201 $ 1,958,395 $ 1,202,903 $ 4,638,763 (1) Includes $ 4.2 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. (2) Includes $24.3 million of purchased credit impaired loans acquired from WashingtonFirst and $7.2 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. Homogeneous loan pools do not have individual loans subjected to internal risk ratings therefore, the credit indicator applied to these pools is based on their delinquency status. The following tables provide information by credit risk rating indicators for those remaining segments of the loan portfolio at December 31 for the years indicated: 2019 Residential Real Estate Residential Residential (In thousands) Consumer Mortgage Construction Total Performing $ 462,293 $ 1,135,586 $ 146,279 $ 1,744,158 Non-performing: 90 days past due - - - - Non-accruing (1) 4,107 12,661 - 16,768 Restructured loans 364 1,080 - 1,444 Total $ 466,764 $ 1,149,327 $ 146,279 $ 1,762,370 (1) Includes $ 1.2 million of consumer loans acquired from WashingtonFirst and considered performing at the acquisition date. 2018 Residential Real Estate Residential Residential (In thousands) Consumer Mortgage Construction Total Performing $ 513,513 $ 1,217,248 $ 186,626 $ 1,917,387 Non-performing: 90 days past due 219 221 - 440 Non-accruing (1) 4,107 9,336 159 13,602 Restructured loans - 1,442 - 1,442 Total $ 517,839 $ 1,228,247 $ 186,785 $ 1,932,871 (1) Includes $ 1.3 million of consumer loans acquired from WashingtonFirst and considered performing at the acquisition date. During the year ended December 31, 2019, the Company restructured $ 2.4 million in loans that were designated as troubled debt restructurings. Modifications consisted principally of interest rate concessions. No modifications resulted in the reduction of the principal in the associated loan balances. Restructured loans are subject to periodic credit reviews to determine the necessity and adequacy of a specific loan loss allowance based on the collectability of the recorded investment in the restructured loan. Loans restructured during 2019 have specific reserves of $ 0.4 million at December 31, 2019. For the year ended December 31, 2018, the Company restructured $ 1.6 million in loans. Modifications consisted principally of interest rate concessions and no modifications resulted in the reduction of the recorded investment in the associated loan balances. Loans restructured during 2018 had specific reserves of $ 0.6 million at December 31, 2018. The following table provides the amounts of the restructured loans at the date of restructuring for specific segments of the loan portfolio during the period indicated: For the Year Ended December 31, 2019 Commercial Real Estate Commercial All Commercial Commercial Owner Other (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Total Troubled debt restructurings Restructured accruing $ 170 $ - $ 775 $ - $ 364 $ 1,309 Restructured non-accruing 261 - 789 - - 1,050 Balance $ 431 $ - $ 1,564 $ - $ 364 $ 2,359 Specific allowance $ 196 $ - $ 205 $ - $ - $ 401 Restructured and subsequently defaulted $ - $ - $ - $ - $ - $ - For the Year Ended December 31, 2018 Commercial Real Estate Commercial All Commercial Commercial Owner Other (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Total Troubled debt restructurings Restructured accruing $ - $ - $ - $ - $ - $ - Restructured non-accruing 1,464 - - 158 - 1,622 Balance $ 1,464 $ - $ - $ 158 $ - $ 1,622 Specific allowance $ 563 $ - $ - $ - $ - $ 563 Restructured and subsequently defaulted $ - $ - $ - $ - $ - $ - Other Real Estate Owned Other real estate owned totaled $ 1.5 million and $ 1.6 million at December 31, 2019 and 2018, respectively. At December 31, 2019, $ 0.4 million of the other real estate owned was comprised of consumer mortgage loans. There were no consumer mortgage loans secured by residential real estate properties for which formal foreclosure proceedings were in process as of December 31, 2019. |
PREMISES AND EQUIPMENT
PREMISES AND EQUIPMENT | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
PREMISES AND EQUIPMENT | Note 7 – Premises and Equipment Presented in the following table are the components of premises and equipment at December 31: (In thousands) 2019 2018 Land $ 10,160 $ 10,160 Buildings and leasehold improvements 70,812 69,620 Equipment 46,471 44,802 Total premises and equipment 127,443 124,582 Less: accumulated depreciation and amortization ( 68,828) ( 62,640) Net premises and equipment $ 58,615 $ 61,942 Depreciation and amortization expense for premises and equipment amounted to $ 7.2 million, $ 7.2 million, and $ 5.3 million for each of the years ended December 31, 2019, 2018 and 2017, respectively. |
LEASES
LEASES | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
LEASES | Note 8 – Leases The Company leases real estate properties for its network of bank branches, financial centers and corporate offices. All of the Company’s leases are currently classified as operating. Most lease agreements include one or more options to renew, with renewal terms that can extend the original lease term from one to twenty years or more. The Company does not sublease any of its leased real estate properties. As of December 31, 2019, right of use (“ROU”) assets and lease liabilities totaled $ 69.3 million and $ 76.9 million, respectively. For the year ended December 31, 2019, the Company recognized total operating lease expense in the amount of $ 11.3 million. Cash paid for amounts included in the measurement of lease liabilities for the year ended December 31, 2019 was $ 8.7 million and is included in net cash provided by operating activities in the Consolidated Statements of Cash Flows. The Company had one branch location that commenced operations during the current year. The associated new ROU asset obtained in exchange for lease obligations totaled $ 0.4 million. As of December 31, 2019, the maturities of the Company’s operating lease liabilities were as follows: (In thousands) Amount Maturity: One year $ 10,741 Two years 10,316 Three years 9,995 Four years 10,100 Five years 8,402 Thereafter 42,730 Total undiscounted lease payments 92,284 Less: Present value discount ( 15,413) Lease Liability $ 76,871 As of December 31, 2019, the weighted average remaining lease term was 10.4 years and the weighted average operating discount rate used to determine the operating lease liability was 3.28%. The Company had noadditional operating or finance leases that have not yet commenced operations at December 31, 2019. The Company does not have any lease arrangements with any of its related parties as of December 31, 2019. |
GOODWILL AND OTHER INTANGIBLE A
GOODWILL AND OTHER INTANGIBLE ASSETS | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
GOODWILL AND OTHER INTANGIBLE ASSETS | Note 9 – Goodwill and Other Intangible Assets The gross carrying amounts and accumulated amortization of intangible assets and goodwill are presented at December 31 in the following table: 2019 Weighted 2018 Weighted Gross Net Average Gross Net Average Carrying Accumulated Carrying Remaining Carrying Accumulated Carrying Remaining (Dollars in thousands) Amount Amortization Amount Life Amount Amortization Amount Life Amortizing intangible assets: Core deposit intangibles $ 10,678 $ ( 3,689) $ 6,989 8.0 years $ 10,678 $ ( 1,941) $ 8,737 9.0 years Other identifiable intangibles $ 1,478 $ ( 626) $ 852 9.7 years $ 1,478 $ ( 427) $ 1,051 10.6 years Total amortizing intangible assets $ 12,156 $ ( 4,315) $ 7,841 $ 12,156 $ ( 2,368) $ 9,788 Goodwill $ 347,149 $ 347,149 $ 347,149 $ 347,149 The following table presents the net carrying amount of goodwill by segment for the periods indicated: Community Investment (In thousands) Banking Insurance Management Total Balance December 31, 2017 $ 69,991 $ 6,788 $ 8,989 $ 85,768 Acquisition of WashingtonFirst Bankshares Inc. 261,182 - 199 261,381 Balance December 31, 2018 331,173 6,788 9,188 347,149 No Activity - - - - Balance December 31, 2019 $ 331,173 $ 6,788 $ 9,188 $ 347,149 The following table presents the estimated future amortization expense for amortizing intangible assets within the years ending December 31: (In thousands) Amount 2020 $ 1,717 2021 1,507 2022 1,295 2023 1,082 Thereafter 2,240 Total amortizing intangible assets $ 7,841 |
DEPOSITS
DEPOSITS | 12 Months Ended |
Dec. 31, 2019 | |
Deposits [Abstract] | |
DEPOSITS | Note 10 – Deposits The following table presents the composition of deposits at December 31 for the years indicated: (In thousands) 2019 2018 Noninterest-bearing deposits $ 1,892,052 $ 1,750,319 Interest-bearing deposits: Demand 836,433 703,145 Money market savings 1,839,593 1,605,024 Regular savings 329,919 330,231 Time deposits of less than $100,000 463,431 427,421 Time deposits of $100,000 or more 1,078,891 1,098,740 Total interest-bearing deposits 4,548,267 4,164,561 Total deposits $ 6,440,319 $ 5,914,880 Demand deposit overdrafts reclassified as loan balances were $ 1.4 million and $ 2.7 million at December 31, 2019 and 2018, respectively. Overdraft charge-offs and recoveries are reflected in the allowance for loan losses. The following table presents the maturity schedule for time deposits maturing within years ending December 31: (In thousands) Amount 2020 $ 1,134,309 2021 268,813 2022 107,671 2023 19,644 Thereafter 11,885 Total time deposits $ 1,542,322 The Company's time deposits of $100,000 or more represented 16.8% of total deposits at December 31, 2019 and are presented by maturity in the following table: Months to Maturity 3 or Over 3 Over 6 Over (In thousands) Less to 6 to 12 12 Total Time deposits--$100 thousand or more $ 211,627 $ 195,579 $ 400,833 $ 270,852 $ 1,078,891 Interest expense on time deposits of $100,000 or more amounted to $ 23.9 million, $ 12.5 million, and $ 4.5 million for the years ended December 31, 2019, 2018 and 2017, respectively. Deposits received in the ordinary course of business from the directors and officers of the Company amounted to $ 29.9 million and $ 31.6 million for the years ended December 31, 2019 and 2018, respectively |
BORROWINGS
BORROWINGS | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
BORROWINGS | Note 11 – Borrowings Information relating to retail repurchase agreements and other short-term borrowings is presented in the following table at and for the years ending December 31: 2019 2018 2017 (Dollars in thousands) Amount Rate Amount Rate Amount Rate Retail repurchase agreements $ 138,605 0.58 % $ 137,429 0.51 % $ 119,359 0.24 % Federal funds purchased 75,000 1.62 - - - - Average for the Year: Retail repurchase agreements $ 134,070 0.54 % $ 142,938 0.34 % $ 133,356 0.25 % Federal funds purchased 17,373 2.43 - - - - Maximum Month-end Balance: Retail repurchase agreements $ 152,685 $ 154,435 $ 147,459 Federal funds purchased 75,000 - - The Company pledges U.S. Agencies and Corporate securities, based upon their market values, as collateral for 102.5% of the principal and accrued interest of its retail repurchase agreements. At December 31, 2018, the Company had additional short term daily rate credit borrowing with FHLB with the total outstanding amount of $ 190.0 million and a yield of 2.65%. The Company fully paid off this short-term borrowing on January 2, 2019. At December 31, 2019, the Company had an available line of credit with the Federal Home Loan Bank of Atlanta (the "FHLB") under which its borrowings are limited to $ 2.4 billion based on pledged collateral at prevailing market interest rates with $ 513.8 million borrowed against it at December 31, 2019 . At December 31, 2018, lines of credit totaled $ 2.2 billion based on pledged collateral with $ 1.0 billion borrowed against the line. Under a blanket lien, the Company has pledged qualifying residential mortgage loans amounting to $ 1.0 billion, commercial real estate loans amounting to $ 1.9 billion, home equity lines of credit (“HELOC”) amounting to $ 266.8 million and multifamily loans amounting to $ 109.7 million at December 31, 2019 as collateral under the borrowing agreement with the FHLB. At December 31, 2018 the Company had pledged collateral of qualifying mortgage loans of $ 1.1 billion, commercial real estate loans of $ 1.8 billion, HELOC loans of $ 312.7 million and multifamily loans of $ 127.6 million under the FHLB borrowing agreement. The Company also had lines of credit available from the Federal Reserve and correspondent banks of $ 463.3 million and $ 274.9 million at December 31, 2019 and 2018, respectively, collateralized by loans. In addition, the Company had unsecured lines of credit with correspondent banks of $ 730.0 million and $ 590.0 million at December 31, 2019 and 2018. At December 31, 2019 the total outstanding borrowings against these unsecured lines of credit was $ 75.0 million. Advances from FHLB and the respective maturity schedule at December 31 for the years indicated consisted of the following: 2019 2018 Weighted Weighted Average Average (Dollars in thousands) Amounts Rate Amounts Rate Maturity: One year $ 134,167 2.13 % $ 625,969 2.46 % Two years 230,445 2.39 42,500 2.12 Three years 76,665 2.37 80,816 3.08 Four years 72,500 3.12 26,826 2.90 Five years - - 72,500 3.12 After five years - - - - Total advances from FHLB $ 513,777 2.42 $ 848,611 2.57 |
SUBORDINATED DEBT
SUBORDINATED DEBT | 12 Months Ended |
Dec. 31, 2019 | |
Subordinated Debt [Abstract] | |
SUBORDINATED DEBT | Note 12 – SUBORDINATED DEBT On November 5, 2019, the Company completed an offering of $ 175.0 million aggregate principal amount Fixed to Floating Rate Subordinated Notes due in 2029 4.25% per year through November 14, 2024. Beginning November 15, 2024, the interest rate will become a floating rate equal to three month LIBOR, or an alternative benchmark rate as determined pursuant to the terms of the indenture for the notes in the event LIBOR has been discontinued by November 15, 2024, plus 262 basis points 2.9 million of debt issuance costs which are being amortized through the contractual life of the debt. The entire amount of subordinated debt is considered Tier 2 capital under current regulatory guidelines. In conjunction with the acquisition of WashingtonFirst, the Company assumed $ 25.0 million in non-callable subordinated debt and $ 10.3 million in callable junior subordinated debt securities. The associated purchase premiums at acquisition were $ 2.2 million and $ 0.1 million, respectively. The premiums are amortized over the contractual life of each obligation. The subordinated debt has a maturity of ten years, is due in full on October 15, 2025, is non-callable and currently bears a fixed interest rate of 6.00% per annum, payable quarterly, subject to a reset after 5 years (on October 5, 2020) at 3 month LIBOR plus 467 basis points In 2003, Alliance Bankshares Corporation, which was acquired by WashingtonFirst in 2012, issued $ 10.3 million of junior subordinated debt securities to Alliance Virginia Capital Trust I, of which Alliance Bankshares Corporation owned all of the common securities. The trust used the proceeds from the issuance of its underlying common securities and preferred securities, which were sold to third parties, to purchase the debt securities. These debt securities are the trust’s only assets and the interest payments from the debentures finance the distributions paid on the preferred securities. The obligations under the debt securities were assumed by the Company at the date of acquisition. The debt securities are due on September 8, 2033 and are callable at any time, without penalty. The interest rate associated with the debt securities is three month LIBOR plus 3.15% 5.06%. Under the indenture governing the debt securities, the Company has the right to defer payments of interest for up to twenty consecutive quarterly periods. During any such extension period, distributions on the trust’s preferred securities will also be deferred, and the Company’s ability to pay dividends on its common stock will be restricted. The trust’s preferred securities are mandatorily redeemable upon maturity of the debt securities, or upon earlier redemption as provided in the indenture. If the debt securities are redeemed prior to maturity, the redemption price will be the principal amount and any accrued but unpaid interest. The Company unconditionally guarantees payment of accrued and unpaid distributions required to be paid on the trust securities subject to certain exceptions, the redemption price with respect to any trust securities called for redemption and amounts due if the trust is liquidated or terminated. As of December 31, 2019, the Company was current on all interest payments. Under current regulatory guidelines the trust preferred securities are considered to be Tier 1 capital. Subsequent to December 31, 2019, the Company called the debt securities for redemption. The following table provides information on subordinated debentures for the period indicated: (In thousands) 2019 2018 Subordinated debt $ 200,000 $ 25,000 Add: Purchase accounting premium 1,894 2,023 Less: Debt issuance costs ( 2,885) - Trust preferred capital notes 10,310 10,310 Add: Purchase accounting premium 87 92 Total subordinated debentures $ 209,406 $ 37,425 |
STOCKHOLDERS' EQUITY
STOCKHOLDERS' EQUITY | 12 Months Ended |
Dec. 31, 2019 | |
Stockholders' Equity Note [Abstract] | |
STOCKHOLDERS EQUITY | Note 13 – Stockholders’ Equity The Company’s Articles of Incorporation authorize 100,000,000 shares of capital stock (par value $ 1.00 per share). Issued shares have been classified as common stock. The Articles of Incorporation provide that remaining unissued shares may later be designated as either common or preferred stock. The Company has a director stock purchase plan (the “Director Plan”) which commenced on May 1, 2004. Under the Director Plan, members of the board of directors may elect to use a portion (minimum 50%) of their annual retainer fee to purchase shares of Company stock. The Company has reserved 45,000 authorized but unissued shares of common stock for purchase under the plan. Purchases are made at the fair market value of the stock on the purchase date. At December 31, 2019, there were 24,424 shares available for issuance under the plan. The Company has an employee stock purchase plan (the “Purchase Plan”) which was authorized on July 1, 2011. The Company has reserved 300,000 authorized but unissued shares of common stock for purchase under the current version of the plan. Shares are purchased at 85% of the fair market value on the exercise date through monthly payroll deductions of not less than 1% or more than 10% of cash compensation paid in the month. 72,490 shares available for issuance under this plan. The Company’s 2015 stock repurchase plan expired on August 31, 2017. The program permitted the repurchase of up to 5% of the Company’s outstanding shares of common stock or approximately 1,200,000 shares. Under the 2015 expired stock repurchase program a total of 736,139 shares of common stock were repurchased for a total cost of $ 19.2 million. The Company’s board of directors approved a new stock repurchase plan in December 2018. The current program permits the repurchase of up to 1,800,000 shares of common stock. During 2019, the Company repurchased 668,191 common shares for the total cost of $ 24.3 million. The Company has a dividend reinvestment plan that is sponsored and administered by Computershare Shareholder Services as independent agent, which enables current shareholders as well as first-time buyers to purchase and sell common stock of Sandy Spring Bancorp, Inc. directly through Computershare at low commissions. Participants may reinvest cash dividends and make periodic supplemental cash payments to purchase additional shares. Bank and holding company regulations, as well as Maryland law, impose certain restrictions on dividend payments by the Bank, as well as restricting extensions of credit and transfers of assets between the Bank and the Company. At December 31, 2019, the Bank could have paid additional dividends of $ 167.3 million to its parent company without regulatory approval. There were no loans outstanding between the Bank and the Company at December 31, 2019 and 2018, respectively. |
SHARE BASED COMPENSATION
SHARE BASED COMPENSATION | 12 Months Ended |
Dec. 31, 2019 | |
Share Based Compensation [Abstract] | |
SHARE BASED COMPENSATION | Note 14 – Share Based Compensation At December 31, 2019, the Company had two share-based compensation plans in existence, the 2005 Omnibus Stock Plan (“Omnibus Stock Plan”) and the 2015 Omnibus Incentive Plan (“Omnibus Incentive Plan”). The Omnibus Stock Plan expired during the second quarter of 2015 but has outstanding options that may still be exercised. The Omnibus Incentive Plan is described in the following paragraph. The Company’s Omnibus Incentive Plan was approved on May 6, 2015 and provides for the granting of non-qualified stock options to the Company’s directors, and incentive and non-qualified stock options, stock appreciation rights, restricted stock grants, restricted stock units and performance awards to selected key employees on a periodic basis at the discretion of the board. The Omnibus Incentive Plan authorizes the issuance of up to , 1,500000 shares of common stock, of which 1,150,417 shares are available for issuance at December 31, 2019, has a term of ten years, and is administered by a committee of at least three directors appointed by the board of directors. Options granted under the plan have an exercise price which may not be less than 100% of the fair market value of the common stock on the date of the grant and must be exercised within seven to ten years from the date of grant. The exercise price of stock options must be paid for in full in cash or shares of common stock, or a combination of both. The board committee has the discretion when making a grant of stock options to impose restrictions on the shares to be purchased upon the exercise of such options. The Company generally issues authorized but previously unissued shares to satisfy option exercises. The fair values of all of the options granted for the periods indicated have been estimated using a binomial option-pricing model with the weighted-average assumptions for the years ended December 31 are presented in the following table: 2019 2018 2017 Dividend yield - % 2.64 % 2.45 % Weighted average expected volatility - % 39.13 % 40.27 % Weighted average risk-free interest rate - % 2.61 % 2.14 % Weighted average expected lives (in years) - 5.61 5.67 Weighted average grant-date fair value - $ 11.73 $ 13.42 The dividend yield is based on estimated future dividend yields. The risk-free rate for periods within the contractual term of the share option is based on the U.S. Treasury yield curve in effect at the time of the grant. Expected volatilities are generally based on historical volatilities. The expected term of share options granted is generally derived from historical experience. The Company recognized forfeitures as they occur. Compensation expense is recognized on a straight-line basis over the vesting period of the respective stock option or restricted stock grant. Compensation expense of $ 2.9 million, $ 2.5 million, and $ 2.1 million was recognized for the years ended December 31, 2019, 2018 and 2017, respectively, related to the awards of stock options and restricted stock grants. The intrinsic value for the stock options exercised was $ 0.2 million, $ 0.4 million, and $ 0.7 million in the years ended December 31, 2019, 2018 and 2017, respectively. The total of unrecognized compensation cost related to stock options was approximately $ 0.1 million as of December 31, 2019. That cost is expected to be recognized over a weighted average period of approximately 1.1 years. The total of unrecognized compensation cost related to restricted stock was approximately $ 5.6 million as of December 31, 2019. That cost is expected to be recognized over a weighted average period of approximately 2.7 years. The fair value of the options vested during the years ended December 31, 2019, 2018 and 2017, was $ 0.2 million, $ 0.1 million, and $ 0.2 million, respectively. The Company granted 96,191 shares of restricted stock in the first quarter of 2019, of which 21,390 shares are subject to a three year performance vesting schedule and 74,801 shares are subject to a three or a five year vesting schedule with one third or one fifth of the shares vesting on April 1 st 10,203 shares of restricted stock during the third quarter of 2019, of which 2,125 shares are subject to a three year performance vesting schedule and 8,078 shares subject to a three year vesting schedule with one third of the shares vesting on the anniversary date of the grant. There were no additional shares of restricted stock granted during the remainder of the year. The Company did not grant any stock options during 2019. A summary of share option activity for the period indicated is reflected in the following table: Weighted Number Weighted Average Aggregate of Average Contractual Intrinsic Common Exercise Remaining Value Shares Share Price Life(Years) (in thousands) Balance at January 1, 2019 81,508 $ 29.74 $ 369 Granted - $ - Exercised ( 15,080) $ 22.20 $ 179 Forfeited ( 1,007) $ 37.11 Expired ( 142) $ 42.48 Balance at December 31, 2019 65,279 $ 31.34 3.2 $ 485 Exercisable at December 31, 2019 51,179 $ 29.15 2.7 $ 485 Weighted average fair value of options granted during the year $ - A summary of the activity for the Company’s restricted stock for the period indicated is presented in the following table: Number Weighted of Average Common Grant-Date (In dollars, except share data): Shares Fair Value Restricted stock at January 1, 2019 203,603 $ 35.14 Granted 106,394 $ 33.45 Vested ( 69,842) $ 31.55 Forfeited ( 13,653) $ 35.43 Restricted stock at December 31, 2019 226,502 $ 35.43 |
PENSION, PROFIT SHARING, AND OT
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS | 12 Months Ended |
Dec. 31, 2019 | |
Pension, Profit Sharing, and Other Employee Benefit Plans [Abstract] | |
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS | Note 15 – Pension, Profit Sharing, and Other Employee Benefit Plans Defined Benefit Pension Plan The Company has a qualified, noncontributory, defined benefit pension plan (the “Plan”) covering substantially all employees. All benefit accruals for employees were frozen as of December 31, 2007 based on past service and thus future salary increases and additional years of service will no longer affect the defined benefit provided by the plan although additional vesting may continue to occur. The Company's funding policy is to contribute amounts to the plan sufficient to meet the minimum funding requirements of the Employee Retirement Income Security Act of 1974 (“ERISA”), as amended. In addition, the Company contributes additional amounts as it deems appropriate based on benefits attributed to service prior to the date of the plan freeze. The Plan invests primarily in a diversified portfolio of managed fixed income and equity funds. The Plan’s funded status at December 31 is as follows: (In thousands) 2019 2018 Reconciliation of Projected Benefit Obligation: Projected obligation at January 1 $ 40,152 $ 43,441 Interest cost 1,609 1,540 Actuarial (gain)/loss 371 ( 593) Benefit payments ( 1,695) ( 1,188) Increase/(decrease) related to change in assumptions 5,060 ( 3,048) Projected obligation at December 31 45,497 40,152 Reconciliation of Fair Value of Plan Assets: Fair value of plan assets at January 1 37,772 41,246 Actual return on plan assets 7,195 ( 2,646) Contribution 185 360 Benefit payments ( 1,695) ( 1,188) Fair value of plan assets at December 31 43,457 37,772 Funded status at December 31 $ ( 2,040) $ ( 2,380) Accumulated benefit obligation at December 31 $ 45,497 $ 40,152 Unrecognized net actuarial loss $ 11,177 $ 12,352 Net periodic pension cost not yet recognized $ 11,177 $ 12,352 Weighted-average assumptions used to determine benefit obligations at December 31 are presented in the following table: 2019 2018 2017 Discount rate 3.25% 4.15% 3.65% Rate of compensation increase N/A N/A N/A The components of net periodic benefit cost for the years ended December 31 are presented in the following table: (In thousands) 2019 2018 2017 Interest cost on projected benefit obligation $ 1,609 $ 1,540 $ 1,640 Expected return on plan assets ( 1,647) ( 1,861) ( 1,985) Recognized net actuarial loss 1,059 1,000 1,181 Net periodic benefit cost $ 1,021 $ 679 $ 836 Weighted-average assumptions used to determine net periodic benefit cost for years ended December 31 are presented in the following table: 2019 2018 2017 Discount rate 4.15% 3.65% 4.15% Expected return on plan assets 5.00% 5.00% 6.00% Rate of compensation increase N/A N/A N/A The expected rate of return on assets of 5.00% reflects the Plan’s predominant investment of assets in fixed income mutual funds and was developed as a weighted average rate based on the target asset allocation of the Plan. Key economic inputs used included future inflation, economic growth, and interest rate environment. The following table reflects the components of the net unrecognized benefits costs that is reflected in accumulated other comprehensive loss for the periods indicated. Additions represent the growth in the unrecognized actuarial loss during the period. Reclassifications represent the portion of the unrecognized benefits that are recognized each period as a component of the net periodic benefit cost. Unrecognized Net (In thousands) Loss Included in accumulated other comprehensive loss at January 1, 2017 $ 13,689 Reductions during the year ( 3,016) Reclassifications due to recognition as net periodic pension cost ( 1,181) Increase related to change in assumptions 2,995 Included in accumulated other comprehensive loss as of December 31, 2017 12,487 Additions during the year 3,914 Reclassifications due to recognition as net periodic pension cost ( 1,000) Decrease related to change in assumptions ( 3,049) Included in accumulated other comprehensive loss as of December 31, 2018 12,352 Reductions during the year ( 5,176) Reclassifications due to recognition as net periodic pension cost ( 1,059) Increase related to change in assumptions 5,060 Included in accumulated other comprehensive loss as of December 31, 2019 11,177 Applicable tax effect ( 2,845) Included in accumulated other comprehensive loss net of tax effect at December 31, 2019 $ 8,332 Amount expected to be recognized as part of net periodic pension cost in the next fiscal year $ 488 There are no plan assets expected to be returned to the employer in the next twelve months. The following items have not yet been recognized as a component of net periodic benefit cost at December 31: (In thousands) 2019 2018 2017 Net actuarial loss $ 11,177 $ 12,352 $ 12,487 Net periodic benefit cost not yet recognized $ 11,177 $ 12,352 $ 12,487 Pension Plan Assets The Company’s pension plan weighted average allocations at December 31 are presented in the following table: 2019 2018 Asset Category: Equity Securities Mutual Funds 10.4 % 13.5 % Fixed Income Mutual Funds 89.6 86.5 Total pension plan assets 100.0 % 100.0 % The Company has a written investment policy approved by the board of directors that governs the investment of the defined benefit pension fund trust portfolio. The investment policy is designed to provide limits on risk that is undertaken by the investment managers both in terms of market volatility of the portfolio and the quality of the individual assets that are held in the portfolio. The investment policy statement focuses on the following areas of concern: preservation of capital, diversification, risk tolerance, investment duration, rate of return, liquidity and investment management costs. The Company has constituted the Retirement Plans Investment Committee (“RPIC”) in part to monitor the investments of the Plan as well as to recommend to executive management changes in the Investment Policy Statement which governs the Plan’s investment operations. These recommendations include asset allocation changes based on a number of factors including the investment horizon for the Plan. The Company uses outside third parties to advise RPIC on the Plan’s investment matters. Investment strategies and asset allocations are based on careful consideration of Plan liabilities, the Plan’s funded status and the Company’s financial condition. Investment performance and asset allocation are measured and monitored on an ongoing basis. Management allocates plan assets towards fixed income securities in order to align expected cash outflows with its funding source. This asset allocation has been set after taking into consideration the Plan’s current frozen status and the possibility of partial plan terminations over the intermediate term. The Plan’s asset allocation remained consistent during the current year. Market volatility risk is controlled by limiting the asset allocation of the most volatile asset class, equities, to no more than 70% of the portfolio and by ensuring that there is sufficient liquidity to meet distribution requirements from the portfolio without disrupting long-term assets. Diversification of the equity portion of the portfolio is controlled by limiting the value of any initial acquisition so that it does not exceed 5% of the market value of the portfolio when purchased. The policy requires the sale of any portion of an equity position when its value exceeds 10% of the portfolio. Fixed income market volatility risk is managed by limiting the term of fixed income investments to five years. Fixed income investments must carry an “A” or better rating by a recognized credit rating agency. Corporate debt of a single issuer may not exceed 10% of the market value of the portfolio. The investment in derivative instruments such as “naked” call options, futures, commodities, and short selling is prohibited. Investment in equity index funds and the writing of “covered” call options (a conservative strategy to increase portfolio income) are permitted. Foreign currency-denominated debt instruments are not permitted. At December 31, 2019, management is of the opinion that there are no significant concentrations of risk in the assets of the plan with respect to any single entity, industry, country, commodity or investment fund that are not otherwise mitigated by FDIC insurance available to the participants of the plan and collateral pledged for any such amount that may not be covered by FDIC insurance. Investment performance is measured against industry accepted benchmarks. The risk tolerance and asset allocation limitations imposed by the policy are consistent with attaining the rate of return assumptions used in the actuarial funding calculations. The RPIC committee meets quarterly to review the activities of the investment managers to ensure adherence with the Investment Policy Statement. Fair Values The fair values of the Company’s pension plan assets by asset category at December 31 are presented in the following tables: 2019 Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs (In thousands) (Level 1) (Level 2) (Level 3) Total Asset Category: Mutual funds: Large cap U.S. equity funds $ 1,855 $ 919 $ - $ 2,774 Small/Mid cap U.S. equity funds - 847 - 847 International equity funds 894 - - 894 Short-term fixed income funds - 3,688 - 3,688 Fixed income funds 8,769 26,485 - 35,254 Total mutual funds 11,518 31,939 - 43,457 Total pension plan assets $ 11,518 $ 31,939 $ - $ 43,457 2018 Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs (In thousands) (Level 1) (Level 2) (Level 3) Total Asset Category: Mutual funds: Large cap U.S. equity funds $ 1,366 $ 1,720 $ - $ 3,086 Small/Mid cap U.S. equity funds - 646 - 646 International equity funds 1,368 - - 1,368 Short-term fixed income funds - 1,186 - 1,186 Fixed income funds 4,403 27,083 - 31,486 Total mutual funds 7,137 30,635 - 37,772 Total pension plan assets $ 7,137 $ 30,635 $ - $ 37,772 Contributions The decision as to whether or not to make a plan contribution and the amount of any such contribution is dependent on a number of factors. Such factors include the investment performance of the plan assets in the current economy and, since the Plan is currently frozen, the remaining investment horizon of the Plan. After consideration of these factors, the Company made a contribution of $ 0.2 million in 2019. Management continues to monitor the funding level of the Plan and may make contributions as necessary during 2020. Estimated Future Benefit Payments Benefit payments, which reflect expected future service, as appropriate, that are expected to be paid for the years ending December 31 are presented in the following table: Pension (In thousands) Benefits 2020 $ 2,550 2021 2,420 2022 2,630 2023 2,350 2024 3,320 Thereafter 13,890 Sandy Spring Bank 401(k) Plan The Sandy Spring Bank 401(k) Plan (“the 401(k)”) is voluntary and covers all eligible employees after ninety days of service. The 401(k) provides that employees contributing to the 401(k) receive a matching contribution of 100% of the first 4% of compensation and 50% of the next 2% of compensation subject to employee contribution limitations. The Company matching contribution vests immediately. The Plan permits employees to purchase shares of the Company’s common stock with their 401(k) contributions, Company match, and other contributions under the Plan. The Company’s matching contribution to the 401(k) Plan that are included in non-interest expenses totaled $ 4.1 million, $ 2.8 million, and $ 2.0 million in 2019, 2018 and 2017, respectively. Executive Incentive Retirement Plan The Executive Incentive Retirement Plan is a non-qualified deferred compensation defined contribution plan that provides for contributions to be made to the participants’ plan accounts based on the attainment of a level of financial performance compared to a selected group of peer banks. This level of performance is determined annually by the board of directors. Benefit costs related to the Plan included in non-interest expense for 2019, 2018 and 2017 were $ 0.5 million, $ 0.4 million, and $ 0.4 million, respectively. |
OTHER NON INTEREST INCOME AND O
OTHER NON INTEREST INCOME AND OTHER NON INTEREST EXPENSE | 12 Months Ended |
Dec. 31, 2019 | |
Other Income and Expenses [Abstract] | |
Other Non-Interest Income And Other Non-Interest Expense | Note 16 – OTHER NON-INTEREST INCOME AND OTHER NON-INTEREST EXPENSE Selected components of other non-interest income and other non-interest expense for the years ended December 31 are presented in the following table: (In thousands) 2019 2018 2017 Letter of credit fees $ 389 $ 611 $ 847 Extension fees 1,287 873 568 Other income 7,104 5,642 4,916 Total other non-interest income $ 8,780 $ 7,126 $ 6,331 (In thousands) 2019 2018 2017 Postage and delivery $ 1,502 $ 1,439 $ 1,179 Communications 2,414 2,610 1,502 Loss on FHLB redemption - - 1,275 Other expenses 16,510 15,443 11,188 Total other non-interest expense $ 20,426 $ 19,492 $ 15,144 |
INCOME TAXES
INCOME TAXES | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
INCOME TAXES | Note 17 – Income Taxes The following table provides the components of income tax expense for the years ended December 31: (In thousands) 2019 2018 2017 Current income taxes: Federal $ 28,404 $ 18,615 $ 22,355 State 6,598 7,183 5,146 Total current 35,002 25,798 27,501 Deferred income taxes: Federal 234 4,808 6,973 State 1,192 1,218 252 Total deferred 1,426 6,026 7,225 Total income tax expense $ 36,428 $ 31,824 $ 34,726 The Company does not have uncertain tax positions that are deemed material, and did not recognize any adjustments for unrecognized tax benefits. Temporary differences between the amounts reported in the financial statements and the tax bases of assets and liabilities result in deferred taxes. Deferred tax assets and liabilities, shown as the sum of the appropriate tax effect for each significant type of temporary difference, are presented in the following table at December 31 for the years indicated: (In thousands) 2019 2018 Deferred Tax Assets: Allowance for loan and lease losses $ 14,287 $ 13,979 Lease liability 19,616 - Fair value acquisition adjustments 1,322 2,253 Employee benefits 4,535 4,339 Pension plan OCI 2,845 3,228 Deferred loan fees and costs 471 306 Non-qualified stock option expense 659 457 Unrealized losses on investments available-for-sale - 2,343 Losses on other real estate owned 201 202 Other than temporary impairment 76 76 Loan and deposit premium/discount 1,422 3,950 Deferred rent - 1,270 Reserve for recourse loans 166 210 Loss carryforward 916 1,323 Tax credits carryforwards - 251 Other 159 280 Gross deferred tax assets 46,675 34,467 Valuation allowance ( 880) ( 644) Net deferred tax asset 45,795 33,823 Deferred Tax Liabilities: Right of use asset ( 17,688) - Unrealized gains on investments available-for-sale ( 1,379) - Pension plan costs ( 2,373) ( 2,607) Depreciation ( 2,744) ( 3,307) Intangible assets ( 3,338) ( 3,701) Bond accretion ( 322) ( 188) Section 481 adjustments ( 1,335) ( 2,053) Other ( 585) ( 404) Gross deferred tax liabilities ( 29,764) ( 12,260) Net deferred tax asset $ 16,031 $ 21,563 The Company has approximately $ 0.7 million of federal net operating loss carryovers subject to the annual limitations under Internal Revenue Code Section 382 at December 31, 2019 from the WashingtonFirst acquisition. The net operating loss begins to expire in 2029. The Company has approximately $ 10.6 million of state net operating loss carryover which begins to expire in 2032 The reconcilements between the statutory federal income tax rate and the effective rate for the years ended December 31 are presented in the following table: (Dollars in thousands) 2019 2018 2017 Percentage of Percentage of Percentage of Pre-Tax Pre-Tax Pre-Tax Amount Income Amount Income Amount Income Income tax expense at federal statutory rate $ 32,101 21.0 % $ 27,865 21.0 % $ 30,776 35.0 % Increase (decrease) resulting from: Tax exempt income, net ( 2,101) ( 1.4) ( 2,427) ( 1.8) ( 3,929) ( 4.5) Bank-owned life insurance ( 665) ( 0.4) ( 909) ( 0.7) ( 841) ( 0.9) State income taxes, net of federal income tax benefits 6,154 4.0 6,637 5.0 3,508 4.0 Federal tax rate change - - - - 5,544 6.3 Other, net 939 0.6 658 0.5 ( 332) ( 0.4) Total income tax expense and rate $ 36,428 23.8 % $ 31,824 24.0 % $ 34,726 39.5 % The Tax Cuts and Jobs Act (the Act) was enacted on December 22, 2017. The Act reduced the U.S. federal corporate tax rate from 35% to 21% for years beginning on or after January 1, 2018. The Company recorded a provisional amount to deferred tax expense of $ 5.5 million in 2017, which was primarily due to a re-measurement deferred tax assets and liabilities at the newly enacted rate. Certain deferred tax assets and liabilities were re-measured based on the rates at which they are expected to reverse in the future, which is generally 21%. The Company completed an analysis on the impact of the Act in 2018 and determined that the provisional amount recorded in 2017 was reasonable, and that no further adjustments to deferred tax amounts are required. During 2018, the Company also adopted recently issued FASB guidance on reclassification of the tax effects stranded in OCI and reclassified $ 1.5 million from OCI to retained earnings. |
NET INCOME PER COMMON SHARE
NET INCOME PER COMMON SHARE | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
NET INCOME PER COMMON SHARE | Note 18 – Net Income per Common Share The calculation of net income per common share for the years ended December 31 is presented in the following table: (Dollars and amounts in thousands, except per share data) 2019 2018 2017 Net income $ 116,433 $ 100,864 $ 53,209 Basic: Basic weighted average EPS shares 35,797 35,707 24,175 Basic net income per share $ 3.25 $ 2.82 $ 2.20 Diluted: Basic weighted average EPS shares 35,797 35,707 24,175 Dilutive common stock equivalents 56 21 32 Dilutive EPS shares 35,853 35,728 24,207 Diluted net income per share $ 3.25 $ 2.82 $ 2.20 Anti-dilutive shares 9 7 3 |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 12 Months Ended |
Dec. 31, 2019 | |
Other Comprehensive Income Loss [Abstract] | |
OTHER COMPREHENSIVE INCOME (LOSS) | NOTE 19 – ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) Comprehensive income (loss) is defined as net income plus transactions and other occurrences that are the result of non-owner changes in equity. For financial statements presented for the Company, non-equity changes are comprised of unrealized gains or losses on available-for-sale debt securities and any minimum pension liability adjustments. These do not have an impact on the Company’s net income. The following table presents the activity in net accumulated other comprehensive income (loss) for the periods indicated: Unrealized Gains (Losses) on Investments Defined Benefit (In thousands) Available-for-Sale Pension Plan Total Balance at January 1, 2017 $ 1,642 $ ( 8,256) $ ( 6,614) Period change, net of tax ( 955) 712 ( 243) Balance at December 31, 2017 687 ( 7,544) ( 6,857) Period change, net of tax ( 7,465) 45 ( 7,420) Reclassification of tax effects from other comprehensive income 148 ( 1,625) ( 1,477) Balance at December 31, 2018 ( 6,630) ( 9,124) ( 15,754) Period change, net of tax 10,630 792 11,422 Balance at December 31, 2019 $ 4,000 $ ( 8,332) $ ( 4,332) The following table provides the information on the reclassification adjustments out of accumulated other comprehensive income (loss) for the periods indicated: Year Ended December 31, (In thousands) 2019 2018 2017 Unrealized gains/(losses) on investments available-for-sale Affected line item in the Statements of Income: Investment securities gains $ 77 $ 190 $ 1,273 Income before taxes 77 190 1,273 Tax expense 20 50 504 Net income $ 57 $ 140 $ 769 Amortization of defined benefit pension plan items Affected line item in the Statements of Income: Recognized actuarial loss (1) $ ( 1,059) $ ( 1,000) $ ( 1,181) Income before taxes ( 1,059) ( 1,000) ( 1,181) Tax benefit ( 277) ( 261) ( 467) Net loss $ ( 782) $ ( 739) $ ( 714) (1) This amount is included in the computation of net periodic benefit cost, see Note 15. |
FINANCIAL INSTRUMENTS WITH OFF-
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK AND DERIVATIVES | 12 Months Ended |
Dec. 31, 2019 | |
Financial Instruments With Off- Balance Sheet Risk and Derivatives [Abstract] | |
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK AND DERIVATIVES | NOTE 20 – Financial Instruments with Off-balance Sheet Risk and Derivatives In the normal course of business, the Company has various outstanding credit commitments that are not reflected in the financial statements. These commitments are made to satisfy the financing needs of the Company's clients. The associated credit risk is controlled by subjecting such activity to the same credit and quality controls as exist for the Company's lending and investing activities. The commitments involve diverse business and consumer customers and are generally well collateralized. Collateral held varies, but may include residential real estate, commercial real estate, property and equipment, inventory and accounts receivable. Commitments do not necessarily represent future cash requirements as a portion of the commitments have some reduced likelihood of being exercised. Additionally, many of the commitments are subject to annual reviews, material change clauses or requirements for inspections prior to draw funding that could result in a curtailment of the funding commitments. A summary of the financial instruments with off-balance sheet credit risk is as follows at December 31 for the years indicated: (In thousands) 2019 2018 Commercial real estate development and construction $ 571,368 $ 562,777 Residential real estate-development and construction 89,224 130,251 Real estate-residential mortgage 74,282 31,227 Lines of credit, principally home equity and business lines 1,400,038 1,296,481 Standby letters of credit 62,065 59,826 Total Commitments to extend credit and available credit lines $ 2,196,977 $ 2,080,562 The Company has entered into interest rate swaps (“swaps”) to facilitate customer transactions and meet their financing needs. These swaps qualify as derivatives, but are not designated as hedging instruments. Interest rate swap contracts involve the risk of dealing with counterparties and their ability to meet contractual terms. When the fair value of a derivative instrument contract is positive, this generally indicates that the counterparty or customer owes the Company, and results in credit risk to the Company. When the fair value of a derivative instrument contract is negative, the Company owes the customer or counterparty and therefore, has no credit risk. The swap positions are offset to minimize the potential impact on the Company’s financial statements. Credit risk exists if the borrower’s collateral or financial condition indicates that the underlying collateral or financial condition of the borrower makes it probable that amounts due will be uncollectible. Any amounts due to the Company will be expected to be collected from the borrower. Management reviews this credit exposure on a monthly basis. At December 31, 2019 and 2018, all loans associated with the swap agreements were determined to be “pass” rated credits as provided by regulatory guidance and therefore no component of credit loss was factored into the valuation of the swaps. A summary of the Company’s interest rate swaps at December 31 for the years indicated is included in the following table: 2019 Notional Estimated Years to Receive Pay (Dollars in thousands) Amount Fair Value Maturity Rate Rate Interest Rate Swap Agreements: Pay Fixed/Receive Variable Swaps $ 102,337 $ ( 2,507) 9.1 3.40 % 4.11 % Pay Variable/Receive Fixed Swaps 102,337 2,507 9.1 4.11 % 3.40 % Total Swaps $ 204,674 $ - 9.1 3.76 % 3.76 % 2018 Notional Estimated Years to Receive Pay (Dollars in thousands) Amount Fair Value Maturity Rate Rate Interest Rate Swap Agreements: Pay Fixed/Receive Variable Swaps $ 8,324 $ ( 446) 4.1 3.45 % 5.47 % Pay Variable/Receive Fixed Swaps 8,324 446 4.1 5.47 % 3.45 % Total Swaps $ 16,648 $ - 4.1 4.46 % 4.46 % The estimated fair value of the swaps at December 31 for the periods indicated in the table above were recorded in other assets and other liabilities. The associated net gains and losses on the swaps are recorded in other non-interest income. |
LITIGATION
LITIGATION | 12 Months Ended |
Dec. 31, 2019 | |
Commitments and Contingencies Disclosure [Abstract] | |
LITIGATION | Note 21 - litigation The Company and its subsidiaries are subject in the ordinary course of business to various pending or threatened legal proceedings in which claims for monetary damages are asserted. After consultation with legal counsel, management does not anticipate that the ultimate liability, if any, arising out of currently pending legal proceedings will have a material adverse effect on the Company’s financial condition, operating results or liquidity. |
FAIR VALUE
FAIR VALUE | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
FAIR VALUE | Note 22 – Fair Value Generally accepted accounting principles provide entities the option to measure eligible financial assets, financial liabilities and commitments at fair value (i.e. the fair value option), on an instrument-by-instrument basis, that are otherwise not permitted to be accounted for at fair value under other accounting standards. The election to use the fair value option is available when an entity first recognizes a financial asset or financial liability or upon entering into a commitment. Subsequent changes in fair value must be recorded in earnings. The Company applies the fair value option on residential mortgage loans held for sale. The fair value option on residential mortgage loans allows the recognition of gains on sale of mortgage loans to more accurately reflect the timing and economics of the transaction. The standard for fair value measurement establishes a fair value hierarchy that prioritizes the inputs to valuation techniques used to measure fair value. The hierarchy gives the highest priority to unadjusted quoted prices in active markets for identical assets or liabilities (Level 1 measurements) and the lowest priority to unobservable inputs (Level 3 measurements). The three levels of the fair value hierarchy are described below. Basis of Fair Value Measurement: Level 1- Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; Level 2- Quoted prices in markets that are not active, or inputs that are observable, either directly or indirectly, for substantially the full term of the asset or liability; Level 3- Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e. supported by little or no market activity). A financial instrument’s level within the fair value hierarchy is based on the lowest level of input that is significant to the fair value measurement. Changes to interest rates may result in changes in the cash flows due to prepayments or extinguishments. Accordingly, this could result in higher or lower measurements of the fair values. Assets and Liabilities Mortgage loans held for sale Mortgage loans held for sale are valued based on quotations from the secondary market for similar instruments and are classified as Level 2 of the fair value hierarchy. Investments available-for-sale U.S. government agencies, mortgage-backed and asset-backed securities Valuations are based on active market data and use of evaluated broker pricing models that vary based by asset class and includes available trade, bid, and other market information. Generally, the methodology includes broker quotes, proprietary models, descriptive terms and conditions databases coupled with extensive quality control programs. Multiple quality control evaluation processes review available market, credit and deal level information to support the evaluation of the security. If there is a lack of objectively verifiable information available to support the valuation, the evaluation of the security is discontinued. Additionally, proprietary models and pricing systems, mathematical tools, actual transacted prices, integration of market developments and experienced evaluators are used to determine the value of a security based on a hierarchy of market information regarding a security or securities with similar characteristics. The Company does not adjust the quoted price for such securities. Such instruments are generally classified within Level 2 of the fair value hierarchy. State and municipal securities Proprietary valuation matrices are used for valuing all tax-exempt municipals that can incorporate changes in the municipal market as they occur. Market evaluation models include the ability to value bank qualified municipals and general market municipals that can be broken down further according to insurer, credit support, state of issuance and rating to incorporate additional spreads and municipal curves. Taxable municipals are valued using a third party model that incorporates a methodology that captures the trading nuances associated with these bonds. Such instruments are generally classified within Level 2 of the fair value hierarchy. Interest rate swap agreements Interest rate swap agreements are measured by alternative pricing sources with reasonable levels of price transparency in markets that are not active. Based on the complex nature of interest rate swap agreements, the markets these instruments trade in are not as efficient and are less liquid than that of the more mature Level 1 markets. These markets do however have comparable, observable inputs in which an alternative pricing source values these assets in order to arrive at a fair market value. These characteristics classify interest rate swap agreements as Level 2. Assets Measured at Fair Value on a Recurring Basis The following tables set forth the Company’s financial assets and liabilities at the December 31 for the years indicated that were accounted for or disclosed at fair value. Assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement: 2019 Quoted Prices in Significant Active Markets for Significant Other Unobservable Identical Assets Observable Inputs Inputs (In thousands) (Level 1) (Level 2) (Level 3) Total Assets Residential mortgage loans held for sale $ - $ 53,701 $ - $ 53,701 Investments available-for-sale: U.S. government agencies - 258,495 - 258,495 State and municipal - 233,649 - 233,649 Mortgage-backed and asset-backed - 570,759 - 570,759 Corporate debt - - 9,552 9,552 Trust preferred - - 310 310 Marketable equity securities - 568 - 568 Interest rate swap agreements - 2,507 - 2,507 Liabilities Interest rate swap agreements $ - $ ( 2,507) $ - $ ( 2,507) 2018 Quoted Prices in Significant Active Markets for Significant Other Unobservable Identical Assets Observable Inputs Inputs (In thousands) (Level 1) (Level 2) (Level 3) Total Assets Residential mortgage loans held for sale $ - $ 22,773 $ - $ 22,773 Investments available-for-sale: U.S. government agencies - 296,678 - 296,678 State and municipal - 282,024 - 282,024 Mortgage-backed - 348,515 - 348,515 Corporate debt - - 9,240 9,240 Trust preferred - - 310 310 Marketable equity securities - 568 - 568 Interest rate swap agreements - 446 - 446 Liabilities Interest rate swap agreements $ - $ ( 446) $ - $ ( 446) The fair value of investments transferred or that are purchased and placed in Level 3 is estimated by discounting the expected future cash flows using the current rates for investments with similar credit ratings and similar remaining maturities. Expected cash flows were projected based on contractual cash flows. The following table provides activity of assets reported as Level 3 for the period indicated: Significant Unobservable Inputs (In thousands) (Level 3) Investments available-for-sale: Balance at January 1, 2019 $ 9,550 Transfer into Level 3 assets - Additions of Level 3 assets - Sales of Level 3 assets - Total unrealized gains included in accumulated other comprehensive loss 312 Balance at December 31, 2019 $ 9,862 Assets Measured at Fair Value on a Nonrecurring Basis The following table sets forth the Company’s financial assets subject to fair value adjustments (impairment) on a nonrecurring basis at December 31 for the year indicated that are valued at the lower of cost or market. Assets are classified in their entirety based on the lowest level of input that is significant to the fair value measurement: 2019 Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable (In thousands) Assets (Level 1) Inputs (Level 2) Inputs (Level 3) Total Total Losses Impaired loans (1) $ - $ - $ 6,886 $ 6,886 $ ( 6,299) Other real estate owned - - 1,482 1,482 ( 281) Total $ - $ - $ 8,368 $ 8,368 $ ( 6,580) (1) Amounts represent the fair value of collateral for impaired loans allocated to the allowance for loan losses. Fair values are determined using actual market prices (Level 2), independent third party valuations and borrower records, discounted as appropriate (Level 3). 2018 Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable (In thousands) Assets (Level 1) Inputs (Level 2) Inputs (Level 3) Total Total Losses Impaired loans (1) $ - $ - $ 6,780 $ 6,780 $ ( 10,932) Other real estate owned - - 1,584 1,584 ( 262) Total $ - $ - $ 8,364 $ 8,364 $ ( 11,194) (1) Amounts represent the fair value of collateral for impaired loans allocated to the allowance for loan losses. Fair values are determined using actual market prices (Level 2), independent third party valuations and borrower records, discounted as appropriate (Level 3). At December 31, 2019, impaired loans totaling $ 24.8 million were written down to fair value of $ 19.3 million as a result of specific loan loss allowances of $ 5.5 million associated with the impaired loans which was included in the allowance for loan losses. Impaired loans totaling $ 22.2 million were written down to fair value of $ 17.3 million at December 31, 2018 as a result of specific loan loss allowances of $ 4.9 million associated with the impaired loans. Loan impairment is measured using the present value of expected cash flows, the loan’s observable market price or the fair value of the collateral (less selling costs) if the loans are collateral dependent. Collateral may be real estate and/or business assets including equipment, inventory and/or accounts receivable. The value of business equipment, inventory and accounts receivable collateral is based on net book value on the business’ financial statements and, if necessary, discounted based on management’s review and analysis. Appraised and reported values may be discounted based on management’s historical knowledge, changes in market conditions from the time of valuation, and/or management’s expertise and knowledge of the client and client’s business. Impaired loans are reviewed and evaluated on at least a quarterly basis for additional impairment and adjusted accordingly, based on the factors identified above. Valuation techniques are consistent with those techniques applied in prior periods. Other real estate owned (“OREO”) is adjusted to fair value upon transfer of the loans to OREO. Subsequently, OREO is carried at the lower of carrying value or fair value. The estimated fair value for other real estate owned included in Level 3 is determined by independent market based appraisals and other available market information, less cost to sell, that may be reduced further based on market expectations or an executed sales agreement. If the fair value of the collateral deteriorates subsequent to initial recognition, the Company records the OREO as a non-recurring Level 3 adjustment. Valuation techniques are consistent with those techniques applied in prior periods. Fair Value of Financial Instruments The Company discloses fair value information of financial instruments that are not measured at fair value in the financial statements based on the exit price notion. Fair value is the amount at which a financial instrument could be exchanged in a current transaction between willing parties, other than in a forced sale or liquidation, and is best evidenced by a quoted market price, if one exists. Quoted market prices, where available, are shown as estimates of fair market values. Because no quoted market prices are available for a significant portion of the Company's financial instruments, the fair value of such instruments has been derived based on the amount and timing of future cash flows and estimated discount rates based on observable inputs (“Level 2”) or unobservable inputs (“Level 3”). Present value techniques used in estimating the fair value of many of the Company's financial instruments are significantly affected by the assumptions used. 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 cash settlement of the instrument. Additionally, the accompanying estimates of fair values are only representative of the fair values of the individual financial assets and liabilities, and should not be considered an indication of the fair value of the Company. Management utilizes internal models used in asset liability management to determine the fair values disclosed below. The carrying amounts and fair values of the Company’s financial instruments at December 31 for the year indicated are presented in the following table: Fair Value Measurements 2019 Quoted Prices in Estimated Active Markets for Significant Other Significant Carrying Fair Identical Assets Observable Inputs Unobservable Inputs (In thousands) Amount Value (Level 1) (Level 2) (Level 3) Financial Assets Other equity securities $ 51,803 $ 51,803 $ - $ 51,803 $ - Loans, net of allowance 6,649,100 6,628,054 - - 6,628,054 Other assets (1) 113,171 113,171 - 113,171 - Financial Liabilities Time deposits $ 1,542,322 $ 1,547,116 $ - $ 1,547,116 $ - Securities sold under retail repurchase agreements and federal funds purchased 213,605 213,605 - 213,605 - Advances from FHLB 513,777 520,729 - 520,729 - Subordinated debentures 209,406 200,864 - - 200,864 (1) Includes bank owned life insurance products. Fair Value Measurements 2018 Quoted Prices in Estimated Active Markets for Significant Other Significant Carrying Fair Identical Assets Observable Inputs Unobservable Inputs (In thousands) Amount Value (Level 1) (Level 2) (Level 3) Financial Assets Investments held-to-maturity and other equity securities $ 73,389 $ 73,389 $ - $ 73,389 $ - Loans, net of allowance 6,518,148 6,376,307 - - 6,376,307 Other assets (1) 110,823 110,823 - 110,823 - Financial Liabilities Time deposits $ 1,526,161 $ 1,536,238 $ - $ 1,536,238 $ - Securities sold under retail repurchase agreements and federal funds purchased 327,429 327,429 - 327,429 - Advances from FHLB 848,611 850,186 - 850,186 - Subordinated debentures 37,425 33,588 - - 33,588 (1) Includes bank owned life insurance products. |
PARENT COMPANY FINANCIAL INFORM
PARENT COMPANY FINANCIAL INFORMATION | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
PARENT COMPANY FINANCIAL INFORMATION | Note 23 – Parent Company Financial Information Financial statements for Sandy Spring Bancorp, Inc. (Parent Only) for the periods indicated are presented in the following tables: Statement of Condition December 31, (In thousands) 2019 2018 Assets Cash and cash equivalents $ 90,361 $ 23,334 Investments available-for-sale (at fair value) 10,430 10,118 Investment in subsidiary 1,242,229 1,066,550 Goodwill 1,292 1,292 Other assets 1,480 4,463 Total assets $ 1,345,792 $ 1,105,757 Liabilities Subordinated debentures $ 209,406 $ 37,425 Accrued expenses and other liabilities 3,412 429 Total liabilities 212,818 37,854 Stockholders’ Equity Common stock 34,970 35,531 Additional paid in capital 586,622 606,573 Retained earnings 515,714 441,553 Accumulated other comprehensive loss ( 4,332) ( 15,754) Total stockholders’ equity 1,132,974 1,067,903 Total liabilities and stockholders’ equity $ 1,345,792 $ 1,105,757 Statements of Income Year Ended December 31, (In thousands) 2019 2018 2017 Income: Cash dividends from subsidiary $ 42,625 $ 39,370 $ 25,420 Other income 1,093 897 1,832 Total income 43,718 40,267 27,252 Expenses: Interest 3,141 1,922 12 Other expenses 1,507 1,135 970 Total expenses 4,648 3,057 982 Income before income taxes and equity in undistributed income of subsidiary 39,070 37,210 26,270 Income tax expense (benefit) ( 734) ( 283) 331 Income before equity in undistributed income of subsidiary 39,804 37,493 25,939 Equity in undistributed income of subsidiary 76,629 63,371 27,270 Net income $ 116,433 $ 100,864 $ 53,209 Statements of Cash Flows Year Ended December 31, (In thousands) 2019 2018 2017 Cash Flows from Operating Activities: Net income $ 116,433 $ 100,864 $ 53,209 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed income-subsidiary ( 76,629) ( 63,371) ( 27,270) Decrease in receivable from subsidiary bank - - 30,000 Share based compensation expense 3,042 2,645 2,164 Tax benefit from stock options exercised 7 8 - Other-net - ( 3,252) ( 4,028) Net cash provided by operating activities 42,853 36,894 54,075 Cash Flows from Investing Activities: Proceeds from investment available-for-sale - - 3,179 Investment in subsidiary ( 85,000) - - Acquisition of business activity, net of cash paid - 11,845 - Net cash provided/ (used) by investing activities ( 85,000) 11,845 3,179 Cash Flows from Financing Activities: Retirement of subordinated debt - - ( 30,000) Proceeds from issuance of subordinated debt 175,000 - - Proceeds from issuance of common stock 1,433 1,395 1,200 Stock tendered for payment of withholding taxes ( 703) ( 760) ( 952) Repurchase of common stock ( 24,284) - - Dividends paid ( 42,272) ( 39,277) ( 25,134) Net cash provided/ (used) by financing activities 109,174 ( 38,642) ( 54,886) Net increase in cash and cash equivalents 67,027 10,097 2,368 Cash and cash equivalents at beginning of year 23,334 13,237 10,869 Cash and cash equivalents at end of year $ 90,361 $ 23,334 $ 13,237 |
REGULATORY MATTERS
REGULATORY MATTERS | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
REGULATORY MATTERS | Note 24 – Regulatory Matters The Company and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Company's and the Bank's financial statements. Under capital adequacy guidelines and the regulatory framework for prompt corrective action, the Bank must meet specific capital guidelines that involve quantitative measures of the Bank's assets, liabilities, and certain off-balance sheet items as calculated under regulatory accounting practices. The Company and the Bank's capital amounts and classifications are also subject to qualitative judgments by the regulators about components, risk weightings, and other factors. Quantitative measures established and defined by regulation to ensure capital adequacy require the Company and the Bank to maintain minimum amounts and ratios of Total, Tier 1 and Common Equity Tier 1 capital to risk-weighted assets, and of Tier 1 capital to average assets. As of December 31, 2019 and 2018, the capital levels of the Company and the Bank substantially exceeded all applicable capital adequacy requirements. As of December 31, 2019, the most recent notification from the Bank’s primary regulator categorized the Bank as well capitalized under the regulatory framework for prompt corrective action. To be categorized as well capitalized the Bank must maintain minimum Total risk-based, Tier 1 risk-based, Common Equity Tier 1 risk-based, and Tier 1 leverage ratios as set forth in the following table. There are no conditions or events since that notification that management believes have changed the Bank's category. The Company's and the Bank's actual capital amounts and ratios at December 31 for the years indicated are presented in the following table: To Be Well Capitalized Under For Capital Prompt Corrective Actual Adequacy Purposes Action Provisions (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio As of December 31, 2019: Total Capital to risk-weighted assets Company $ 1,052,328 14.85 % $ 566,863 8.00 % N/A N/A Sandy Spring Bank $ 950,793 13.44 % $ 565,794 8.00 % $ 707,243 10.00 % Tier 1 Capital to risk-weighted assets Company $ 794,300 11.21 % $ 425,147 6.00 % N/A N/A Sandy Spring Bank $ 894,659 12.65 % $ 424,346 6.00 % $ 565,794 8.00 % Common Equity Tier 1 Capital to risk- weighted assets Company $ 783,903 11.06 % $ 318,860 4.50 % N/A N/A Sandy Spring Bank $ 894,659 12.65 % $ 318,259 4.50 % $ 459,708 6.50 % Tier 1 Leverage Company $ 794,300 9.70 % $ 327,577 4.00 % N/A N/A Sandy Spring Bank $ 894,659 10.94 % $ 327,123 4.00 % $ 408,904 5.00 % As of December 31, 2018: Total Capital to risk-weighted assets Company $ 818,393 12.26 % $ 533,994 8.00 % N/A N/A Sandy Spring Bank $ 780,858 11.72 % $ 532,970 8.00 % $ 666,213 10.00 % Tier 1 Capital to risk-weighted assets Company $ 737,883 11.06 % $ 400,496 6.00 % N/A N/A Sandy Spring Bank $ 727,371 10.92 % $ 399,728 6.00 % $ 532,970 8.00 % Common Equity Tier 1 Capital to risk- weighted assets Company $ 727,481 10.90 % $ 300,372 4.50 % N/A N/A Sandy Spring Bank $ 727,371 10.92 % $ 299,796 4.50 % $ 433,038 6.50 % Tier 1 Leverage Company $ 737,883 9.50 % $ 310,807 4.00 % N/A N/A Sandy Spring Bank $ 727,371 9.38 % $ 310,224 4.00 % $ 387,780 5.00 % |
SEGMENT REPORTING
SEGMENT REPORTING | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
SEGMENT REPORTING | N ote 25 - Segment Reporting Currently, the Company conducts business in three operating segments—Community Banking, Insurance and Investment Management. Each of the operating segments is a strategic business unit that offers different products and services. The Insurance and Investment Management segments were businesses that were acquired in separate transactions where management of acquisition was retained. The accounting policies of the segments are the same as those of the Company. However, the segment data reflects inter-segment transactions and balances. The Community Banking segment is conducted through Sandy Spring Bank and involves delivering a broad range of financial products and services, including various loan and deposit products to both individuals and businesses. Parent company income is included in the Community Banking segment, as the majority of effort of these functions is related to this segment. Major revenue sources include net interest income, gains on sales of mortgage loans, trust income, fees on sales of investment products and service charges on deposit accounts. Expenses include personnel, occupancy, marketing, equipment and other expenses. Non-cash charges associated with amortization of intangibles related to the acquired entities totaled $ 1.7 million and $ 1.9 million for the years ended December 31, 2019 and December 31, 2018, respectively, and were not significant for the year ended December 31, 2017. The Insurance segment is conducted through Sandy Spring Insurance Corporation, a subsidiary of the Bank, and offers annuities as an alternative to traditional deposit accounts. Sandy Spring Insurance Corporation operates Sandy Spring Insurance, a general insurance agency located in Annapolis, Maryland, and Neff and Associates, located in Ocean City, Maryland. Major sources of revenue are insurance commissions from commercial lines, personal lines, and medical liability lines. Expenses include personnel and support charges. Non-cash charges associated with amortization of intangibles related to the acquired entities were not significant for the years ended December 31, 2019, 2018 and 2017, respectively. The Investment Management segment is conducted through West Financial Services, Inc., a subsidiary of the Bank. This asset management and financial planning firm, located in McLean, Virginia, provides comprehensive investment management and financial planning to individuals, families, small businesses and associations including cash flow analysis, investment review, tax planning, retirement planning, insurance analysis and estate planning. West Financial currently has approximately $ 1.7 billion in assets under management. Major revenue sources include non-interest income earned on the above services. Expenses include personnel and support charges. Non-cash charges associated with amortization of intangibles related to the acquired entities was not significant for the years ended December 31, 2019, 2018 and 2017, respectively. Information for the operating segments and reconciliation of the information to the consolidated financial statements for the years ended December 31 is presented in the following tables: 2019 Community Investment Inter-Segment (In thousands) Banking Insurance Mgmt. Elimination Total Interest income $ 347,867 $ 26 $ 13 $ ( 37) $ 347,869 Interest expense 82,598 - - ( 37) 82,561 Provision for loan losses 4,684 - - - 4,684 Non-interest income 55,042 6,621 10,326 ( 667) 71,322 Non-interest expenses 166,802 5,731 7,219 ( 667) 179,085 Income before income taxes 148,825 916 3,120 - 152,861 Income tax expense 35,350 258 820 - 36,428 Net income $ 113,475 $ 658 $ 2,300 $ - $ 116,433 Assets $ 8,624,590 $ 10,340 $ 16,424 $ ( 22,352) $ 8,629,002 2018 Community Investment Inter-Segment (In thousands) Banking Insurance Mgmt. Elimination Total Interest income $ 324,081 $ 3 $ 8 $ ( 10) $ 324,082 Interest expense 63,647 - - ( 10) 63,637 Provision for loan losses 9,023 - - - 9,023 Non-interest income 45,841 6,153 9,670 ( 615) 61,049 Non-interest expenses 168,261 5,601 6,536 ( 615) 179,783 Income before income taxes 128,991 555 3,142 - 132,688 Income tax expense 30,827 169 828 - 31,824 Net income $ 98,164 $ 386 $ 2,314 $ - $ 100,864 Assets $ 8,246,282 $ 9,165 $ 16,332 $ ( 28,507) $ 8,243,272 2017 Community Investment Inter-Segment (In thousands) Banking Insurance Mgmt. Elimination Total Interest income $ 194,798 $ 2 $ 7 $ ( 8) $ 194,799 Interest expense 26,039 - - ( 8) 26,031 Provision for loan losses 2,977 - - - 2,977 Non-interest income 37,447 6,233 8,335 ( 772) 51,243 Non-interest expenses 119,607 5,533 4,731 ( 772) 129,099 Income before income taxes 83,622 702 3,611 - 87,935 Income tax expense 33,684 ( 399) 1,441 - 34,726 Net income $ 49,938 $ 1,101 $ 2,170 $ - $ 53,209 Assets $ 5,446,056 $ 8,873 $ 13,126 $ ( 21,380) $ 5,446,675 |
QUARTERLY FINANCIAL RESULTS (UN
QUARTERLY FINANCIAL RESULTS (UNAUDITED) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
QUARTERLY FINANCIAL RESULTS (UNAUDITED) | Note 26 – Quarterly Financial Results (unaudited) A summary of selected consolidated quarterly financial data for the years ended December 31 is provided in the following tables: 2019 First Second Third Fourth (In thousands, except per share data) Quarter Quarter Quarter Quarter Interest income $ 88,183 $ 87,214 $ 87,082 $ 85,390 Interest expense 21,433 21,029 20,292 19,807 Net interest income 66,750 66,185 66,790 65,583 Provision (credit) for loan losses ( 128) 1,633 1,524 1,655 Non-interest income 16,969 16,556 18,573 19,224 Non-interest expense 44,192 43,887 44,925 46,081 Income before income taxes 39,655 37,221 38,914 37,071 Income tax expense 9,338 8,945 9,531 8,614 Net income $ 30,317 $ 28,276 $ 29,383 $ 28,457 Basic net income per share $ 0.85 $ 0.79 $ 0.82 $ 0.80 Diluted net income per share $ 0.85 $ 0.79 $ 0.82 $ 0.80 2018 First Second Third Fourth (In thousands, except per share data) Quarter Quarter Quarter Quarter Interest income $ 75,504 $ 78,597 $ 84,374 $ 85,607 Interest expense 12,613 14,779 16,783 19,462 Net interest income 62,891 63,818 67,591 66,145 Provision for loan losses 1,997 1,733 1,890 3,403 Non-interest income 17,118 14,868 15,033 14,030 Non-interest expense 49,641 45,082 42,393 42,667 Income before income taxes 28,371 31,871 38,341 34,105 Income tax expense 6,706 7,472 9,107 8,539 Net income $ 21,665 $ 24,399 $ 29,234 $ 25,566 Basic net income per share $ 0.61 $ 0.68 $ 0.82 $ 0.72 Diluted net income per share $ 0.61 $ 0.68 $ 0.82 $ 0.72 |
SIGNIFICANT ACCOUNTING POLICI_2
SIGNIFICANT ACCOUNTING POLICIES (Policies) | 12 Months Ended |
Dec. 31, 2019 | |
Significant Accounting Policies [Abstract] | |
Nature of Operations | Nature of Operations Sandy Spring Bancorp (the “Company”), a Maryland corporation, is the bank holding company for Sandy Spring Bank (the “Bank”), which conducts a full-service commercial banking, mortgage banking and trust business. Services to individuals and businesses include accepting deposits, extending real estate, consumer and commercial loans and lines of credit, equipment leasing, general insurance, personal trust, and investment and wealth management services. The Company operates in central Maryland, Northern Virginia, and the greater Washington D.C. market. The Company offers investment and wealth management services through the Bank’s subsidiary, West Financial Services. Insurance products are available to clients through Sandy Spring Insurance, and Neff & Associates, which are agencies of Sandy Spring Insurance Corporation. |
Basis of Presentation | Basis of Presentation The accounting and reporting policies of the Company conform to accounting principles generally accepted in the United States of America (“GAAP”) and prevailing practices within the financial services industry for financial information. The following summary of significant accounting policies of the Company is presented to assist the reader in understanding the financial and other data presented in this report. The Company has evaluated subsequent events through the date of the issuance of its financial statements. |
Principles of Consolidation | Principles of Consolidation The consolidated financial statements include the accounts of the Company and its wholly owned subsidiary, Sandy Spring Bank and its subsidiaries, Sandy Spring Insurance Corporation and West Financial Services, Inc. Consolidation has resulted in the elimination of all significant intercompany accounts and transactions. |
Use of Estimates | Use of Estimates The preparation of financial statements requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities as of the date of the financial statements, and affect the reported amounts of revenues earned and expenses incurred during the reporting period. Actual results could differ from those estimates. Estimates that could change significantly relate to the provision for loan losses and the related allowance, determination of impaired loans and the related measurement of impairment, potential impairment of goodwill or other intangible assets, valuation of investment securities and the determination of whether impaired securities are other-than-temporarily impaired, valuation of other real estate owned, valuation of share-based compensation, the assessment that a liability should be recognized with respect to any matters under litigation, the calculation of current and deferred income taxes and the actuarial projections related to pension expense and the related liability. |
Assets Under Management [Policy Text Block] | Assets Under Management Assets held for others under fiduciary and agency relationships are not assets of the Company or its subsidiaries and are not included in the accompanying balance sheets. Trust department income and investment management fees are presented on an accrual basis. |
Cash Flows | Cash Flows For purposes of reporting cash flows, cash and cash equivalents include cash and due from banks, federal funds sold and interest-bearing deposits with banks (items with an original maturity of three months or less). |
Revenue from Contract with Customers [Policy Text Block] | Revenue from Contracts with Customers The Company’s revenue includes net interest income on financial instruments and non-interest income. Specific categories of revenue are presented in the Consolidated Statements of Income. Most of the Company’s revenue is not within the scope of Accounting Standard Update (ASU) No. 2014-09 – Revenue from Contracts with Customers. For revenue within the scope of ASU 2014-09, the Company provides services to customers and has related performance obligations. The revenue from such services is recognized upon satisfaction of all contractual performance obligations. The following discusses key revenue streams within the scope of the new revenue recognition guidance. Wealth Management Income West Financial Services, Inc., a subsidiary of the Bank, provides comprehensive investment management and financial planning services. Wealth management income is comprised of income for providing trust, estate and investment management services. Trust services include acting as a trustee for corporate or personal trusts. Investment management services include investment management, record-keeping and reporting of security portfolios. Fees for these services are recognized based on a contractually-agreed fixed percentage applied to net assets under management at the end of each reporting period. The Company does not charge or recognize any performance-based fees. Insurance Agency Commissions Sandy Spring Insurance, a subsidiary of the Bank, performs the function of an insurance intermediary by introducing the policyholder and insurer and is compensated by a commission fee for placement of an insurance policy. Sandy Spring Insurance does not provide any captive management services or any claim handling services. Commission fees are set as a percentage of the premium for the insurance policy for which Sandy Spring Insurance is a producer. Service Charges on Deposit Accounts Service charges on deposit accounts are earned on depository accounts for consumer and commercial account holders and include fees for account and overdraft services. Account services include fees for event-driven services and periodic account maintenance activities. The obligation for event-driven services is satisfied at the time of the event when service is delivered and revenue recognized as earned. Obligation for maintenance activities is satisfied over the course of each month and revenue recognized at month end. Obligation for overdraft services is satisfied at the time of the overdraft and revenue recognized as earned. |
Residential Mortgage Loans Held For Sale [Policy Text Block] | Residential Mortgage Loans Held for Sale The Company engages in sales of residential mortgage loans originated by the Bank. Loans held for sale are carried at fair value. Fair value is derived from secondary market quotations for similar instruments. The Company measures residential mortgage loans at fair value when the Company first recognizes the loan (i.e., the fair value option), as permitted by current accounting standards. Changes in fair value of these loans are recorded in earnings as a component of mortgage banking activities in non-interest income in the Consolidated Statements of Income. The Company's current practice is to sell the majority of such loans on a servicing released basis. Any retained servicing assets are amortized in proportion to their net servicing fee income over the life of the respective loans. Servicing assets are evaluated for impairment on a periodic basis. |
Investments available-for-sale [Policy Text Block] | Investments Available-for-Sale Debt securities not classified as held-to-maturity or trading are classified as securities available-for-sale. Securities available-for-sale are acquired as part of the Company's asset/liability management strategy and may be sold in response to changes in interest rates, loan demand, changes in prepayment risk or other factors. Securities available-for-sale are carried at fair value, with unrealized gains or losses based on the difference between amortized cost and fair value, reported net of deferred tax, as accumulated other comprehensive income (loss), a separate component of stockholders' equity. The carrying values of securities available-for-sale are adjusted for premium amortization and discount accretion. Premium is amortized to the earliest call date and discount accreted to the maturity date using the effective interest method. Realized gains and losses on security sales or maturities, using the specific identification method, are included as a separate component of non-interest income. Related interest and dividends are included in interest income. Declines in the fair value of individual available-for-sale securities below their cost that are other-than-temporary (“OTTI”) result in write-downs of the individual securities to their fair value. Factors affecting the determination of whether other-than-temporary impairment has occurred include a downgrading of the security below investment grade by a rating agency or due to potential default, a significant deterioration in the financial condition of the issuer, or a change in management’s intent and ability to hold a security for a period of time sufficient to allow for any anticipated recovery in fair value. |
Loan Financing Receivables [Policy Text Block] | Loan Financing Receivables The Company’s financing receivables consist primarily of loans that are stated at their principal balance outstanding net of any unearned income and deferred fees and costs. Loans acquired in business combinations with no evidence of credit deterioration as of the acquisition date are recorded at fair value. Interest income on loans is accrued at the contractual rate based on the principal outstanding. Loan origination fees, net of certain direct origination costs, are deferred and recognized as an adjustment of the related loan yield using the interest method. Loans are considered past due or delinquent when the principal or interest due in accordance with the contractual terms of the loan agreement or any portion thereof remains unpaid after the due date of the scheduled payment. Immaterial shortfalls in payment amounts do not necessarily result in a loan being considered delinquent or past due. If any payments are past due and subsequent payments are resumed without payment of the delinquent amount, the loan shall continue to be considered past due. Whenever any loan is reported delinquent on a principal or interest payment or portion thereof, the amount reported as delinquent is the outstanding principal balance of the loan. Loans, except for consumer loans, are placed into non-accrual status when any portion of the loan principal or interest becomes 90 days past due. Management may determine that certain circumstances warrant earlier discontinuance of interest accruals on specific loans if an evaluation of other relevant factors (such as bankruptcy, interruption of cash flows, etc.) indicates collection of amounts contractually due is unlikely. These loans are considered, collectively, to be non-performing loans. Consumer installment loans that are not secured by real estate are not placed on non-accrual, but are charged down to their net realizable value when they are four months past due. Loans designated as non-accrual have all previously accrued but unpaid interest reversed. Payments received on non-accrual loans when doubt about the ultimate collectability of the principal no longer exists may have their interest payments recorded as interest income on a cash basis or using the cost-recovery method with all payments applied to reduce the outstanding principal until the loan returns to accrual status. Loans may be returned to accrual status when all principal and interest amounts contractually due are brought current and future payments are reasonably assured. Large groups of smaller balance homogeneous loans are not individually evaluated for impairment and include lease financing receivables, residential permanent and construction mortgages and consumer installment loans. All other loans are considered non-homogeneous and are evaluated for impairment if they are placed in non-accrual status. Loans are determined to be impaired when, based on available information, it is probable that the Company may not collect all principal and interest payments according to contractual terms. Factors considered in determining whether a loan is impaired include: the financial condition of the borrower; reliability and sources of the cash flows; absorption or vacancy rates; and deterioration of related collateral. The impairment of a loan is measured based on the present value of expected future cash flows discounted at the loan's original effective interest rate, or as permitted, the impairment may be measured based on a loan’s observable market price or the fair value of the collateral less cost to sell. The majority of the Company’s impaired loans are considered to be collateral dependent and impairment is measured by determining the fair value of the collateral using third party appraisals conducted at least annually with underlying assumptions that are reviewed by management. Third party appraisals may be obtained on a more frequent basis if deemed necessary. Internal evaluations of collateral value are conducted quarterly to ensure any further deterioration of the collateral value is recognized on a timely basis. The Company may receive updated appraisals which contradict the preliminary determination of fair value used to establish a specific allowance on a loan. In these instances the specific allowance is adjusted to reflect the Company’s evaluation of the appraised fair value. In the event a loss was previously confirmed and the loan was charged down to the estimated fair value based on a previous appraisal, the balance of partially charged-off loans are not subsequently increased but could be further decreased depending on the direction of the change in fair value. Payments on fully or partially charged-off loans are accounted for under the cost-recovery method. Under this method, all payments are applied on a cash basis to reduce the entire outstanding principal, then to recognize a recovery of all previously charged-off amounts before interest income may be recognized. Based on the impairment evaluation, if the Company determines an estimable loss exists, a specific allowance will be established for that loan. Once a loss has been confirmed, the loan is charged-down to its estimated net realizable value. Interest income on impaired loans is recognized using the same method as non-accrual loans, with the exception of loans that are considered troubled debt restructurings. Loans considered to be troubled debt restructurings (“TDRs”) are loans that have their terms restructured (e.g., interest rates, loan maturity date, payment and amortization period, etc.) in circumstances that provide payment relief to a borrower experiencing financial difficulty. All restructured loans are considered impaired loans and may either be in accruing status or non-accruing status. Non-accruing restructured loans may return to accruing status provided doubt has been removed concerning the collectability of principal and interest as evidenced by a sufficient period of payment performance in accordance with the restructured terms. Loans may be removed from the restructured category if the borrower is no longer experiencing financial difficulty, a re-underwriting event took place and the revised loan terms of the subsequent restructuring agreement are considered to be consistent with terms that can be obtained in the credit market for loans with comparable risk. Management uses relevant information available to make the determination on whether loans are impaired in accordance with GAAP. However, the determination of whether loans are impaired and the measurement of the impairment requires significant judgment, and estimates of losses inherent in the loan portfolio can vary significantly from the amounts actually observed. |
Other Equity Securities [Policy Text Block] | Other Equity Securities Other equity securities include Federal Reserve stock, Federal Home Loan Bank of Atlanta stock and other equities that are considered restricted as to marketability and recorded at cost. These securities are carried at cost and evaluated for impairment each reporting period. |
Loans Acquired with Deteriorated Credit Quality [Policy Text Block] | Loans Acquired with Deteriorated Credit Quality Acquired loans with evidence of credit deterioration since their origination as of the date of the acquisition are recorded at their initial fair value. Credit deterioration is determined based on the probability of collection of all contractually required principal and interest payments. The historical allowance for loan losses related to the acquired loans is not carried over to the Company’s financial statements. The determination of credit quality deterioration as of the purchase date may include parameters such as past due and non-accrual status, commercial risk ratings, cash flow projections, type of loan and collateral, collateral value and recent loan-to-value ratios or appraised values. For loans acquired with evidence of credit deterioration, the Company determines at the acquisition date the excess of the loan’s contractually required payments over all cash flows expected to be collected as an amount that should not be accreted into interest income (nonaccretable difference). The remaining amount, representing the difference in the expected cash flows of acquired loans and the initial investment in the acquired loans, is accreted into interest income over the remaining life of the loan or pool of loans (accretable yield). Subsequent to the purchase date, increases in expected cash flows over those expected at the purchase date are recognized prospectively as interest income over the remaining life of the loan as an adjustment to the accretable yield. The present value of any decreases in expected cash flows after the purchase date is recognized as an impairment through addition to the valuation allowance. |
Allowance For Loan and Lease Losses [Policy Text Block] | Allowance for Loan Losses The allowance for loan losses (“allowance” or “ALL”) represents an amount which, in management's judgment, is adequate to absorb the probable estimate of losses that may be sustained on outstanding loans at the balance sheet date based on the evaluation of the size and current risk characteristics of the loan portfolio. The allowance is reduced by charge-offs, net of recoveries of previous losses, and is increased or decreased by a provision or credit for loan losses, which is recorded as a current period operating expense. The allowance is based on the basic principle that a loss be accrued when it is probable that the loss has occurred and the amount of the loss can be reasonably estimated. Determination of the adequacy of the allowance is inherently complex and requires the use of significant and highly subjective estimates. The reasonableness of the allowance is reviewed periodically by the Risk Committee of the board of directors and formally approved quarterly by that same committee of the board. The Company’s methodology for estimating the allowance includes a general component reflecting historical losses, as adjusted, by loan portfolio segment, and a specific component for impaired loans. There were no changes in the Company’s allowance policies or methodology from the prior year. The general component is based upon historical loss experience by each portfolio segment measured, over the prior eight quarters weighted equally. The historical loss experience is supplemented to address various risk characteristics of the Company’s loan portfolio including: trends in delinquencies and other non-performing loans; changes in the risk profile related to large loans in the portfolio; changes in the categories of loans comprising the loan portfolio; concentrations of loans to specific industry segments; changes in economic conditions on both a local and national level; changes in the Company’s credit administration and loan portfolio management processes; and the quality of the Company’s credit risk identification processes. The general component is calculated in two parts based on an internal risk classification of loans within each portfolio segment. Reserves on loans considered to be “classified” under regulatory guidance are calculated separately from loans considered to be “pass” rated under the same guidance. This segregation allows the Company to monitor the allowance component applicable to higher risk loans separate from the remainder of the portfolio in order to better manage risk and reasonably determine the sufficiency of reserves. Integral to the assessment of the allowance process is an evaluation that is performed to determine whether a specific allowance on an impaired credit is warranted. For the particular loan that may have potential impairment, an appraisal will be ordered depending on the time elapsed since the prior appraisal, the loan balance and/or the result of the internal evaluation. The Company typically relies on current (12 months old or less) third party appraisals of the collateral to assist in measuring impairment. In the cases in which the Company does not rely on a third party appraisal, an internal evaluation is prepared by an approved credit officer. A current appraisal on large loans is usually obtained if the appraisal on file is more than 12 months old and there has been a material change in market conditions, zoning, physical use or the adequacy of the collateral based on an internal evaluation. The Company’s policy is to strictly adhere to regulatory appraisal standards. If an appraisal is ordered, no more than a 30 day turnaround is requested from the appraiser, who is selected by Credit Administration from an approved appraiser list. After receipt of the updated appraisal, the assigned credit officer will recommend to the Chief Credit Officer whether a specific allowance or a charge-off should be taken. When losses are confirmed, a charge-off is taken that is at least in the amount of the collateral deficiency as determined by the independent third party appraisal. Any further collateral deterioration results in either further specific reserves being established or additional charge-offs. The Chief Credit Officer has the authority to approve a specific allowance or charge-off between monthly credit committee meetings to ensure that there are no significant time lapses during this process. The portion of the allowance representing specific allowances is established on individually impaired loans. As a practical expedient, for collateral dependent loans, the Company measures impairment based on the net realizable value of the underlying collateral. For loans on which the Company has not elected to use a practical expedient to measure impairment, the Company will measure impairment based on the present value of expected future cash flows discounted at the loan’s effective interest rate. In determining the cash flows to be included in the discount calculation the Company considers the following factors that combine to estimate the probability and severity of potential losses: the borrower’s overall financial condition; resources and payment record; demonstrated or documented support available from financial guarantors; and the adequacy of collateral value and the ultimate realization of that value at liquidation. Management believes it uses relevant information available to make determinations about the allowance and that it has established the existing allowance in accordance with GAAP. However, the determination of the allowance requires significant judgment, and estimates of probable losses in the loan portfolio can vary significantly from the amounts actually observed. While management uses available information to recognize inherent losses, future additions to the allowance may be necessary based on changes in the loans comprising the portfolio and changes in the financial condition of borrowers, such as may result from changes in economic conditions. In addition, various regulatory agencies, as an integral part of their examination process, and independent consultants engaged by the Company, periodically review the loan portfolio and the allowance. Such review may result in additional provisions based on management’s judgments of information available at the time of each examination. |
Premises and Equipment [Policy Text Block] | Premises and Equipment Premises and equipment are stated at cost, less accumulated depreciation and amortization, computed using the straight-line method. Premises and equipment are depreciated over the useful lives of the assets, which generally range from 3 to 10 years for furniture, fixtures and equipment, 3 to 5 years for computer software and hardware, and 10 to 40 years for buildings and building improvements. Leasehold improvements are amortized over the lesser of the lease term or the estimated useful lives of the improvements. The costs of major renewals and betterments are capitalized, while the costs of ordinary maintenance and repairs are included in non-interest expense. |
Goodwill And Other Intangible Assets [Policy Text Block] | Goodwill and Other Intangible Assets Goodwill represents the excess purchase price paid over the fair value of the net assets acquired in a business combination. Goodwill is not amortized but is tested for impairment annually or more frequently if events or changes in circumstances indicate that the asset might be impaired. Impairment testing requires that the fair value of each of the Company’s reporting units be compared to the carrying amount of the reporting unit’s net assets, including goodwill. The Company’s reporting units were identified based upon an analysis of each of its individual operating segments. If the fair values of the reporting units exceed their book values, no write-down of recorded goodwill is required. If the fair value of a reporting unit is less than book value, an expense may be required to write-down the related goodwill to the proper carrying value. Any impairment would be realized through a reduction of goodwill or the intangible and an offsetting charge to non-interest expense. The Company tests for impairment of goodwill as of October 1 of each year, and again at any quarter-end if any triggering events occur during a quarter that may affect goodwill. Examples of such events include, but are not limited to, adverse action by a regulator or a loss of key personnel. Determining the fair value of a reporting unit requires the Company to use a degree of subjectivity. Current accounting guidance provides the option to first assess qualitative factors to determine whether the existence of events or circumstances leads to a determination that it is more likely than not that the fair value of a reporting unit is less than its carrying amount. The Company assesses qualitative factors on a quarterly basis. Based on the assessment of these qualitative factors, if it is determined that it is more likely than not that the fair value of a reporting unit is not less than the carrying value, then performing the two-step impairment process, previously required, is unnecessary. However, if it is determined that it is more likely than not that the carrying value exceeds the fair value the first step, described above, of the two-step process must be performed. At December 31, 2019 and 2018 there was no evidence of impairment of goodwill or intangibles in any of the Company’s reporting units. Other intangible assets represent purchased assets that lack physical substance but can be distinguished from goodwill because of contractual or other legal rights or because the asset is capable of being sold or exchanged either on its own or in combination with a related contract, asset, or liability. Other intangible assets have finite lives and are reviewed for impairment annually. These assets are amortized over their estimated useful lives either on a straight-line or sum-of-the-years basis over varying periods that initially did not exceed 15 years. |
Other Real Estate Owned [Policy Text Block] | Other Real Estate Owned (“OREO”) OREO is comprised of properties acquired in partial or total satisfaction of problem loans. The properties are recorded at fair value less estimated costs of disposal, on the date acquired or on the date that the Company acquires effective control over the property. Gains or losses arising at the time of acquisition of such properties are charged against the allowance for loan losses. During the holding period OREO continues to be measured at lower of cost or fair value less estimated costs of disposal, and any subsequent declines in value are expensed as incurred. Gains and losses realized from the sale of OREO, as well as valuation adjustments and expenses of operation are included in non-interest expense. |
Derivative Financial Instruments [Policy Text Block] | Derivative Financial Instruments Derivative Loan Commitments Mortgage loan commitments are derivative loan commitments if the loan that will result from exercise of the commitment will be held for sale upon funding. Derivative loan commitments are recognized at fair value on the consolidated statements of condition in other assets or other liabilities with changes in their fair values recorded as a component of mortgage banking activities in the consolidated statements of income. Mortgage loan commitments are issued to borrowers. Subsequent to commitment date, changes in the fair value of the loan commitment are recognized based on changes in the fair value of the underlying mortgage loan due to interest rate changes, changes in the probability the derivative loan commitment will be exercised, and the passage of time. In estimating fair value, a probability is assigned to a loan commitment based on an expectation that it will be exercised and the loan will be funded. Forward Loan Sale Commitments Loan sales agreements are evaluated to determine whether they meet the definition of a derivative as facts and circumstances may differ significantly. If agreements qualify, to protect against the price risk inherent in derivative loan commitments, the Company utilizes both “mandatory delivery” and “best efforts” forward loan sale commitments to mitigate the risk of potential decreases in the values of loans that would result from the exercise of the derivative loan commitments. Mandatory delivery contracts are accounted for as derivative instruments. Generally, best efforts contracts also meet the definition of derivative instruments after the loan to the borrower has closed. Accordingly, forward loan sale commitments that economically hedge the closed loan inventory are recognized at fair value on the consolidated statements of condition in other assets or other liabilities with changes in their fair values recorded as a component of mortgage banking activities in the consolidated statements of income. The Company estimates the fair value of its forward loan sales commitments using a methodology similar to that used for derivative loan commitments. Interest Rate Swap Agreements The Company enters into interest rate swaps (“swaps”) with loan customers to provide a facility to mitigate the fluctuations in the variable rate on the respective loans. These swaps are matched in exact offsetting terms to swaps that the Company enters into with an outside third party. The swaps are reported at fair value in other assets or other liabilities. The Company's swaps qualify as derivatives, but are not designated as hedging instruments, thus any net gain or loss resulting from changes in the fair value is recognized in other non-interest income. Further discussion of the Company's financial derivatives is set forth in Note 20 to the Consolidated Financial Statements. |
Off-Balance Sheet Credit Risk [Policy Text Block] | Off-Balance Sheet Credit Risk The Company issues financial or standby letters of credit that represent conditional commitments to fund transactions by the Company, typically to guarantee performance of a customer to a third party related to borrowing arrangements. The credit risk associated with issuing letters of credit is essentially the same as occurs when extending loan facilities to borrowers. The Company monitors the exposure to the letters of credit as part of its credit review process. Extensions of letters of credit, if any, would become part of the loan balance outstanding and would be evaluated in accordance with the Company’s credit policies. Potential exposure to loss for unfunded letters of credit if deemed necessary would be recorded in other liabilities. In the ordinary course of business the Company originates and sells whole loans to a variety of investors. Mortgage loans sold are subject to representations and warranties made to the third party purchasers regarding certain attributes. Subsequent to the sale, if a material underwriting deficiency or documentation defect is determined, the Company may be obligated to repurchase the mortgage loan or reimburse the investor for losses incurred if the deficiency or defect cannot be rectified within a specific period subsequent to discovery. The Company monitors the activity regarding the requirement to repurchase loans and the associated losses incurred. This information is applied to determine an estimated recourse reserve that is recorded in other liabilities. |
Valuation of Long-Lived Assets [Policy Text Block] | Valuation of Long-Lived Assets The Company reviews long-lived assets and certain identifiable intangible assets for impairment whenever events or changes in circumstances indicate that the carrying amount of an asset may not be recoverable. Recoverability is measured by a comparing the carrying amount of the asset to future undiscounted net cash flows expected to be generated by the asset. If such assets are considered to be impaired, the impairment to be recognized is measured by the amount by which the carrying amount of the assets exceeds the estimated fair value of the assets. Assets to be disposed of are reported at the lower of the cost or the fair value, less costs to sell. |
Transfers of Financial Assets [Policy Text Block] | Transfers of Financial Assets Transfers of financial assets are accounted for as sales when control over the assets has been surrendered. Control over transferred assets is deemed to be surrendered when (1) the assets have been isolated from the Company, (2) the transferee obtains the right (free of conditions that constrain it from taking advantage of that right or from providing more than a trivial benefit to the transferor) to pledge or exchange the transferred assets, and (3) the Company does not maintain effective control over the transferred assets through any agreement to repurchase or redeem them before their maturity or likely cause a holder to return those assets whether through unilateral ability or a price so favorable to the transferee that it is probable that the transferee will require the transferor to repurchase them. A participating interest must be in an entire financial asset and cannot represent an interest in a group of financial assets. Except for compensation paid for services performed, all cash flows from the asset are allocated to the participating interest holders in proportion to their share of ownership. Financial assets obtained or liabilities incurred in a sale are recognized and initially measured at fair value. |
Insurance Commissions And Fees [Policy Text Block] | Insurance Commissions and Fees Commission revenue is recognized over the term of the coverage period. The Company also receives contingent commissions from insurance companies as additional incentive for achieving specified premium volume goals and/or the loss experience of the insurance placed by the Company. Contingent commissions from insurance companies are recognized when determinable, which is generally when such commissions are received. |
Advertising Costs [Policy Text Block] | Advertising Costs Advertising costs are expensed as incurred and included in non-interest expenses. |
Net Income per Common Share [Policy Text Block] | Net Income per Common Share The Company calculates earnings per common share under the dual class method, which provides that unvested share-based payment awards that contain nonforfeitable rights to dividends or dividend equivalents (whether paid or unpaid) are participating securities and shall be included in the computation of earnings per share pursuant to the dual class method. The Company has determined that its outstanding non-vested restricted stock awards are participating securities. Under the dual class method, basic earnings per common share is computed by dividing net earnings allocated to common stock by the weighted-average number of common shares outstanding during the applicable period, excluding outstanding participating securities. Diluted earnings per common share is computed using the weighted-average number of shares determined for the basic earnings per common share computation plus the dilutive effect of outstanding stock options and restricted stock using the treasury stock method. |
Income Tax [Policy Text Block] | Income Taxes Income tax expense is based on the results of operations, adjusted for permanent differences between items of income or expense reported in the financial statements and those reported for tax purposes. Deferred income tax assets and liabilities are determined using the liability method. Under the liability method, deferred income taxes are determined based on the differences between the financial statement carrying amounts and the income tax bases of assets and liabilities and are measured at the enacted tax rates that will be in effect when these differences reverse. The effects of the enactment of the new tax law are accounted for under the existing authoritative guidance. The Company’s policy is to recognize interest and penalties on income taxes in other non-interest expenses. The Company remains subject to examination for income tax returns by the Internal Revenue Service, as well as all of the states where it conducts business, for the years ending after December 31, 2016. There are currently no examinations in process as of December 31, 2019. |
Adopted Accounting Pronouncement | Adopted Accounting Pronouncements The FASB issued Update No. 2016-02, Leases, in February 2016. From the lessee’s perspective, the new standard requires a lessee to record a right of use (“ROU”) asset and a lease liability on the balance sheet for all leases with terms longer than 12 months. The Company adopted the standard on January 1, 2019 (“adoption date”) using modified retrospective approach. The Company elected the transition option to apply the provisions of the new standard only as of the adoption date and did not restate comparative historical periods presented. The Company also elected a package of practical expedients permitted under the transition guidance within the new standard, which among other things, allowed the Company to carry forward the historical lease classification of those leases in existence as of the adoption date. The standard had a material impact on the Company’s Consolidated Statements of Condition, but did not have a material impact on Consolidated Statements of Income. The most significant impact at the adoption date was the recognition of ROU assets and lease liabilities for operating leases which totaled $ 77.7 million and $ 85.1 million, respectively. Refer to Note 8 for other required disclosures. |
INVESTMENTS (Tables)
INVESTMENTS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Amortized cost and Estimated fair values of Investments Available-for-sale | 2019 2018 Gross Gross Estimated Gross Gross Estimated Amortized Unrealized Unrealized Fair Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Cost Gains Losses Value U.S. treasuries and government agencies $ 260,294 $ 887 $ ( 2,686) $ 258,495 $ 300,338 $ 370 $ ( 4,030) $ 296,678 State and municipal 229,309 4,377 ( 37) 233,649 280,725 2,080 ( 781) 282,024 Mortgage-backed and asset-backed 568,373 3,268 ( 882) 570,759 355,267 653 ( 7,405) 348,515 Corporate debt 9,100 452 - 9,552 9,100 140 - 9,240 Trust preferred 310 - - 310 310 - - 310 Total debt securities 1,067,386 8,984 ( 3,605) 1,072,765 945,740 3,243 ( 12,216) 936,767 Marketable equity securities 568 - - 568 568 - - 568 Total investments available-for-sale $ 1,067,954 $ 8,984 $ ( 3,605) $ 1,073,333 $ 946,308 $ 3,243 $ ( 12,216) $ 937,335 |
Gross Unrealized Losses and Fair Value by Length of Time | 2019 Continuous Unrealized Losses Existing for: Number Total of Less than More than Unrealized (Dollars in thousands) securities Fair Value 12 months 12 months Losses U.S. treasuries and government agencies 12 $ 151,132 $ 2,211 $ 475 $ 2,686 State and municipal 3 7,227 37 - 37 Mortgage-backed and asset-backed 35 184,784 508 374 882 Total 50 $ 343,143 $ 2,756 $ 849 $ 3,605 2018 Continuous Unrealized Losses Existing for: Number Total of Less than More than Unrealized (Dollars in thousands) securities Fair Value 12 months 12 months Losses U.S. treasuries and government agencies 33 $ 194,135 $ 452 $ 3,578 $ 4,030 State and municipal 80 78,232 569 212 781 Mortgage-backed 110 308,254 1,592 5,813 7,405 Total 223 $ 580,621 $ 2,613 $ 9,603 $ 12,216 |
Estimated fair values of debt securities available-for-sale by contractual maturity | 2019 One Year One to Five to After Ten (In thousands) or less Five Years Ten Years Years Total U.S. treasuries and government agencies $ 69,799 $ 96,709 $ - $ 91,987 $ 258,495 State and municipal 33,311 76,723 75,820 47,795 233,649 Mortgage-backed and asset-backed 852 7,125 55,226 507,556 570,759 Corporate debt - - 9,552 - 9,552 Trust preferred - - - 310 310 Total available-for-sale debt securities $ 103,962 $ 180,557 $ 140,598 $ 647,648 $ 1,072,765 2018 One Year One to Five to After Ten (In thousands) or less Five Years Ten Years Years Total U.S. treasuries and government agencies $ 6,952 $ 159,223 $ 50,479 $ 80,024 $ 296,678 State and municipal 56,650 104,597 98,112 22,665 282,024 Mortgage-backed and asset-backed 145 13,010 52,555 282,805 348,515 Corporate debt - - 9,240 - 9,240 Trust preferred - - - 310 310 Total available-for-sale debt securities $ 63,747 $ 276,830 $ 210,386 $ 385,804 $ 936,767 |
Other Equity Securities | (In thousands) 2019 2018 Federal Reserve Bank stock $ 22,559 $ 22,456 Federal Home Loan Bank of Atlanta stock 29,244 50,933 Total equity securities $ 51,803 $ 73,389 |
Gross Realized Gains and Losses on All Investments | (In thousands) 2019 2018 2017 Gross realized gains from sales of investments available-for-sale $ 14 $ 2,519 $ - Gross realized losses from sales of investments available-for-sale ( 2) ( 2,343) - Net gains from calls of investments available-for-sale 65 14 32 Gross realized gains from sales of equity securities - - 1,241 Net securities gains $ 77 $ 190 $ 1,273 |
LOANS (Tables)
LOANS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Loans [Abstract] | |
Loan Portfolio Segment Balances | (In thousands) 2019 2018 Residential real estate: Residential mortgage $ 1,149,327 $ 1,228,247 Residential construction 146,279 186,785 Commercial real estate: Commercial owner occupied real estate 1,288,677 1,202,903 Commercial investor real estate 2,169,156 1,958,395 Commercial AD&C 684,010 681,201 Commercial Business 801,019 796,264 Consumer 466,764 517,839 Total loans $ 6,705,232 $ 6,571,634 |
Loans acquired accounted for at fair value | (Dollars in thousands) January 1, 2018 Gross amortized cost basis at January 1, 2018 $ 1,697,760 Interest rate fair value adjustment 15,370 Credit fair value adjustment on pools of homogeneous loans ( 22,421) Credit fair value adjustment on purchased credit impaired loans ( 14,518) Fair value of acquired loan portfolio at January 1, 2018 $ 1,676,191 |
Acquired credit impaired loans receivable | (Dollars in thousands) January 1, 2018 Contractual principal and interest at acquisition $ 49,412 Contractual cash flows not expected to be collected (Nonaccretable yield) ( 17,915) Expected cash flows at acquisition 31,497 Interest component of expected cash flows (Accretable yield) ( 3,988) Fair value of purchased credit impaired loans $ 27,509 |
Accretable yield activity since acquisition date | For the Year Ended, (Dollars in thousands) December 31, 2019 December 31, 2018 Accretable yield at the beginning of the period $ 1,279 $ - Addition of accretable yield due to acquisition - 3,988 Accretion into interest income ( 1,073) ( 1,860) Disposals (including maturities, foreclosures, and charge-offs) ( 199) ( 849) Accretable yield at the end of the period. $ 7 $ 1,279 |
Loans To Related Parties | (In thousands) 2019 2018 2017 Balance at January 1 $ 54,208 $ 36,712 $ 41,988 Additions 4,737 21,871 6,140 Repayments ( 7,578) ( 4,375) ( 11,416) Balance at December 31 $ 51,367 $ 54,208 $ 36,712 |
CREDIT QUALITY ASSESSMENT (Tabl
CREDIT QUALITY ASSESSMENT (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Summary Information on Allowance for Loan and Lease Loss Activity | (In thousands) 2019 2018 2017 Balance at beginning of year $ 53,486 $ 45,257 $ 44,067 Provision for loan losses 4,684 9,023 2,977 Loan charge-offs ( 2,668) ( 1,416) ( 2,566) Loan recoveries 630 622 779 Net charge-offs ( 2,038) ( 794) ( 1,787) Balance at period end $ 56,132 $ 53,486 $ 45,257 |
Activity in Allowance for Loan and Lease Losses by Respective Loan Portfolio Segment | 2019 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Commercial Owner Residential Residential (Dollars in thousands) Business AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Balance at beginning of year $ 11,377 $ 5,944 $ 17,603 $ 6,307 $ 2,113 $ 8,881 $ 1,261 $ 53,486 Provision (credit) 1,164 1,418 788 577 565 474 ( 302) 4,684 Charge-offs ( 1,195) - - - ( 783) ( 690) - ( 2,668) Recoveries 49 228 16 - 191 138 8 630 Net (charge-offs)/ recoveries ( 1,146) 228 16 - ( 592) ( 552) 8 ( 2,038) Balance at end of period $ 11,395 $ 7,590 $ 18,407 $ 6,884 $ 2,086 $ 8,803 $ 967 $ 56,132 Total loans $ 801,019 $ 684,010 $ 2,169,156 $ 1,288,677 $ 466,764 $ 1,149,327 $ 146,279 $ 6,705,232 Allowance for loans to total loans ratio 1.42% 1.11% 0.85% 0.53% 0.45% 0.77% 0.66% 0.84% Balance of loans specifically evaluated for impairment $ 8,867 $ 829 $ 9,212 $ 4,148 na. $ 1,717 $ - $ 24,773 Allowance for loans specifically evaluated for impairment $ 3,817 $ 132 $ 1,529 $ 23 na. $ - $ - $ 5,501 Specific allowance to specific loans ratio 43.05% 15.92% 16.60% 0.55% na. - - 22.21% Balance of loans collectively evaluated $ 789,613 $ 683,181 $ 2,150,400 $ 1,284,529 $ 465,771 $ 1,147,602 $ 146,279 $ 6,667,375 Allowance for loans collectively evaluated $ 7,578 $ 7,458 $ 16,878 $ 6,861 $ 2,086 $ 8,803 $ 967 $ 50,631 Collective allowance to collective loans ratio 0.96% 1.09% 0.78% 0.53% 0.45% 0.77% 0.66% 0.76% Balance of loans acquired with deteriorated credit quality $ 2,539 $ - $ 9,544 $ - $ 993 $ 8 $ - $ 13,084 Allowance for loans acquired with deteriorated credit quality $ - $ - $ - $ - $ - $ - $ - $ - Allowance for loans acquired with deteriorated credit quality ratio - - - - - - - - 2018 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Commercial Owner Residential Residential (Dollars in thousands) Business AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Balance at beginning of year $ 8,711 $ 3,501 $ 14,970 $ 7,178 $ 2,383 $ 7,268 $ 1,246 $ 45,257 Provision (credit) 2,857 2,381 2,677 ( 871) 203 1,776 - 9,023 Charge-offs ( 449) - ( 131) - ( 611) ( 225) - ( 1,416) Recoveries 258 62 87 - 138 62 15 622 Net (charge-offs)/ recoveries ( 191) 62 ( 44) - ( 473) ( 163) 15 ( 794) Balance at end of period $ 11,377 $ 5,944 $ 17,603 $ 6,307 $ 2,113 $ 8,881 $ 1,261 $ 53,486 Total loans $ 796,264 $ 681,201 $ 1,958,395 $ 1,202,903 $ 517,839 $ 1,228,247 $ 186,785 $ 6,571,634 Allowance for loans total loans ratio 1.43% 0.87% 0.90% 0.52% 0.41% 0.72% 0.68% 0.81% Balance of loans specifically evaluated for impairment $ 7,586 $ 3,306 $ 5,355 $ 4,234 na. $ 1,729 $ - $ 22,210 Allowance for loans specifically evaluated for impairment $ 3,594 $ - $ 1,207 $ 123 na. $ - $ - $ 4,924 Specific allowance to specific loans ratio 47.38% na. 22.54% 2.91% na. - - 22.17% Balance of loans collectively evaluated $ 780,523 $ 677,895 $ 1,938,712 $ 1,196,487 $ 516,567 $ 1,226,508 $ 186,785 $ 6,523,477 Allowance for loans collectively evaluated $ 7,783 $ 5,944 $ 16,396 $ 6,184 $ 2,113 $ 8,881 $ 1,261 $ 48,562 Collective allowance to collective loans ratio 1.00% 0.88% 0.85% 0.52% 0.41% 0.72% 0.68% 0.74% Balance of loans acquired with deteriorated credit quality $ 8,155 $ - $ 14,328 $ 2,182 $ 1,272 $ 10 $ - $ 25,947 Allowance for loans acquired with deteriorated credit quality $ - $ - $ - $ - $ - $ - $ - $ - Allowance for loans acquired with deteriorated credit quality ratio - - - - - - - - |
Summary of Impaired Loans | (In thousands) 2019 2018 2017 Impaired loans with a specific allowance $ 15,333 $ 12,876 $ 11,693 Impaired loans without a specific allowance 9,440 9,334 9,116 Total impaired loans $ 24,773 $ 22,210 $ 20,809 Allowance for loan losses related to impaired loans $ 5,501 $ 4,924 $ 4,014 Allowance for loan related to loans collectively evaluated 50,631 48,562 41,243 Total allowance for loan losses $ 56,132 $ 53,486 $ 45,257 Average impaired loans for the period $ 23,365 $ 20,211 $ 23,179 Contractual interest income due on impaired loans during the period $ 1,947 $ 2,513 $ 2,314 Interest income on impaired loans recognized on a cash basis $ 465 $ 506 $ 754 Interest income on impaired loans recognized on an accrual basis $ 169 $ 138 $ 169 2019 Commercial Real Estate Total Recorded Commercial All Investment in Commercial Commercial Owner Other Impaired (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Loans Impaired loans with a specific allowance Non-accruing $ 5,608 $ 829 $ 5,448 $ 767 $ - $ 12,652 Restructured accruing 266 - - - - 266 Restructured non-accruing 1,856 - 437 122 - 2,415 Balance $ 7,730 $ 829 $ 5,885 $ 889 $ - $ 15,333 Allowance $ 3,817 $ 132 $ 1,529 $ 23 $ - $ 5,501 Impaired loans without a specific allowance Non-accruing $ 114 $ - $ 2,552 $ 1,522 $ - $ 4,188 Restructured accruing 151 - 775 - 1,444 2,370 Restructured non-accruing 872 - - 1,737 273 2,882 Balance $ 1,137 $ - $ 3,327 $ 3,259 $ 1,717 $ 9,440 Total impaired loans Non-accruing $ 5,722 $ 829 $ 8,000 $ 2,289 $ - $ 16,840 Restructured accruing 417 - 775 - 1,444 2,636 Restructured non-accruing 2,728 - 437 1,859 273 5,297 Balance $ 8,867 $ 829 $ 9,212 $ 4,148 $ 1,717 $ 24,773 Unpaid principal balance in total impaired loans $ 11,296 $ 829 $ 13,805 $ 6,072 $ 2,618 $ 34,620 2019 Commercial Real Estate Total Recorded Commercial All Investment in Commercial Commercial Owner Other Impaired (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Loans Average impaired loans for the period $ 7,781 $ 2,052 $ 7,565 $ 4,390 $ 1,577 $ 23,365 Contractual interest income due on impaired loans during the period $ 648 $ 127 $ 786 $ 258 $ 128 Interest income on impaired loans recognized on a cash basis $ 221 $ - $ 49 $ 187 $ 8 Interest income on impaired loans recognized on an accrual basis $ 62 $ - $ 39 $ - $ 68 2018 Commercial Real Estate Total Recorded Commercial All Investment in Commercial Commercial Owner Other Impaired (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Loans Impaired loans with a specific allowance Non-accruing $ 4,126 $ - $ 5,117 $ 767 $ - $ 10,010 Restructured accruing 328 - - - - 328 Restructured non-accruing 1,766 - - 772 - 2,538 Balance $ 6,220 $ - $ 5,117 $ 1,539 $ - $ 12,876 Allowance $ 3,594 $ - $ 1,207 $ 123 $ - $ 4,924 Impaired loans without a specific allowance Non-accruing $ 220 $ 3,170 $ 238 $ 1,216 $ - $ 4,844 Restructured accruing 172 - - - 1,442 1,614 Restructured non-accruing 974 136 - 1,479 287 2,876 Balance $ 1,366 $ 3,306 $ 238 $ 2,695 $ 1,729 $ 9,334 Total impaired loans Non-accruing $ 4,346 $ 3,170 $ 5,355 $ 1,983 $ - $ 14,854 Restructured accruing 500 - - - 1,442 1,942 Restructured non-accruing 2,740 136 - 2,251 287 5,414 Balance $ 7,586 $ 3,306 $ 5,355 $ 4,234 $ 1,729 $ 22,210 Unpaid principal balance in total impaired loans $ 11,056 $ 4,419 $ 9,909 $ 6,656 $ 3,081 $ 35,121 2018 Commercial Real Estate Total Recorded Commercial All Investment in Commercial Commercial Owner Other Impaired (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Loans Average impaired loans for the period $ 7,685 $ 770 $ 5,696 $ 3,823 $ 2,237 $ 20,211 Contractual interest income due on impaired loans during the period $ 858 $ 495 $ 610 $ 407 $ 143 Interest income on impaired loans recognized on a cash basis $ 215 $ - $ 20 $ 175 $ 96 Interest income on impaired loans recognized on an accrual basis $ 63 $ - $ - $ - $ 75 |
Schedule of non-performing loans and assets | 2019 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Owner Residential Residential (In thousands) Commercial AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Non-performing loans and assets: Non-accrual loans (1) $ 8,450 $ 829 $ 8,437 $ 4,148 $ 4,107 $ 12,661 $ - $ 38,632 Loans 90 days past due - - - - - - - - Restructured loans 417 - 775 - 364 1,080 - 2,636 Total non-performing loans 8,867 829 9,212 4,148 4,471 13,741 - 41,268 Other real estate owned 39 665 409 - 64 305 - 1,482 Total non-performing assets $ 8,906 $ 1,494 $ 9,621 $ 4,148 $ 4,535 $ 14,046 $ - $ 42,750 (1) Includes $ 2.9 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. 2018 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Owner Residential Residential (In thousands) Commercial AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Non-performing loans and assets: Non-accrual loans (1) $ 7,086 $ 3,306 $ 5,355 $ 4,234 $ 4,107 $ 9,336 $ 159 $ 33,583 Loans 90 days past due 49 - - - 219 221 - 489 Restructured loans 500 - - - - 1,442 - 1,942 Total non-performing loans 7,635 3,306 5,355 4,234 4,326 10,999 159 36,014 Other real estate owned 39 315 409 - - 821 - 1,584 Total non-performing assets $ 7,674 $ 3,621 $ 5,764 $ 4,234 $ 4,326 $ 11,820 $ 159 $ 37,598 (1) Includes $ 4.8 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. 2019 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Owner Residential Residential (In thousands) Commercial AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Past due loans 31-60 days $ 908 $ - $ 932 $ 316 $ 2,697 $ 14,853 $ 280 $ 19,986 61-90 days 370 - - - 1,517 4,541 1,334 7,762 > 90 days - - - - - - - - Total past due 1,278 - 932 316 4,214 19,394 1,614 27,748 Non-accrual loan (1) 8,450 829 8,437 4,148 4,107 12,661 - 38,632 Loans acquired with deteriorated credit quality 2,539 - 9,544 - 993 8 - 13,084 Current loans 788,752 683,181 2,150,243 1,284,213 457,450 1,117,264 144,665 6,625,768 Total loans $ 801,019 $ 684,010 $ 2,169,156 $ 1,288,677 $ 466,764 $ 1,149,327 $ 146,279 $ 6,705,232 (1) Includes $ 2.9 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. 2018 Commercial Real Estate Residential Real Estate Commercial Commercial Commercial Owner Residential Residential (In thousands) Commercial AD&C Investor R/E Occupied R/E Consumer Mortgage Construction Total Past due loans 31-60 days $ 2,737 $ 474 $ 3,041 $ 433 $ 3,871 $ 8,181 $ 3,226 $ 21,963 61-90 days - - 789 - 1,477 2,517 - 4,783 > 90 days 49 - - - 219 221 - 489 Total past due 2,786 474 3,830 433 5,567 10,919 3,226 27,235 Non-accrual loans (1) 7,086 3,306 5,355 4,234 4,107 9,336 159 33,583 Loans acquired with deteriorated credit quality 8,155 - 14,328 2,182 1,272 10 - 25,947 Current loans 778,237 677,421 1,934,882 1,196,054 506,893 1,207,982 183,400 6,484,869 Total loans $ 796,264 $ 681,201 $ 1,958,395 $ 1,202,903 $ 517,839 $ 1,228,247 $ 186,785 $ 6,571,634 (1) Includes $ 4.8 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. |
Restructured Loans for Specific Segments of Loan Portfolio | For the Year Ended December 31, 2019 Commercial Real Estate Commercial All Commercial Commercial Owner Other (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Total Troubled debt restructurings Restructured accruing $ 170 $ - $ 775 $ - $ 364 $ 1,309 Restructured non-accruing 261 - 789 - - 1,050 Balance $ 431 $ - $ 1,564 $ - $ 364 $ 2,359 Specific allowance $ 196 $ - $ 205 $ - $ - $ 401 Restructured and subsequently defaulted $ - $ - $ - $ - $ - $ - For the Year Ended December 31, 2018 Commercial Real Estate Commercial All Commercial Commercial Owner Other (In thousands) Commercial AD&C Investor R/E Occupied R/E Loans Total Troubled debt restructurings Restructured accruing $ - $ - $ - $ - $ - $ - Restructured non-accruing 1,464 - - 158 - 1,622 Balance $ 1,464 $ - $ - $ 158 $ - $ 1,622 Specific allowance $ 563 $ - $ - $ - $ - $ 563 Restructured and subsequently defaulted $ - $ - $ - $ - $ - $ - |
Commercial | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Credit Quality of Loan Portfolio by Segment | 2019 Commercial Real Estate Commercial Commercial Commercial Owner (In thousands) Commercial AD&C Investor R/E Occupied R/E Total Pass $ 783,909 $ 683,181 $ 2,146,971 $ 1,278,337 $ 4,892,398 Special Mention (1) 2,487 - 3,189 2,284 7,960 Substandard (2) 14,623 829 18,996 8,056 42,504 Doubtful - - - - - Total $ 801,019 $ 684,010 $ 2,169,156 $ 1,288,677 $ 4,942,862 (1) Includes $ 0.8 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. (2) Includes $ 11.7 million of purchased credit impaired loans acquired from WashingtonFirst and $ 6.7 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. 2018 Commercial Real Estate Commercial Commercial Commercial Owner (In thousands) Commercial AD&C Investor R/E Occupied R/E Total Pass $ 773,958 $ 677,574 $ 1,934,886 $ 1,189,903 $ 4,576,321 Special Mention (1) 1,942 321 3,826 2,738 8,827 Substandard (2) 20,364 3,306 19,683 10,262 53,615 Doubtful - - - - - Total $ 796,264 $ 681,201 $ 1,958,395 $ 1,202,903 $ 4,638,763 (1) Includes $ 4.2 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. (2) Includes $24.3 million of purchased credit impaired loans acquired from WashingtonFirst and $7.2 million of loans acquired from WashingtonFirst and considered performing at the acquisition date. |
Non Commercial Loan | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |
Credit Quality of Loan Portfolio by Segment | 2019 Residential Real Estate Residential Residential (In thousands) Consumer Mortgage Construction Total Performing $ 462,293 $ 1,135,586 $ 146,279 $ 1,744,158 Non-performing: 90 days past due - - - - Non-accruing (1) 4,107 12,661 - 16,768 Restructured loans 364 1,080 - 1,444 Total $ 466,764 $ 1,149,327 $ 146,279 $ 1,762,370 (1) Includes $ 1.2 million of consumer loans acquired from WashingtonFirst and considered performing at the acquisition date. |
Credit Risk Rating Indicators | 2018 Residential Real Estate Residential Residential (In thousands) Consumer Mortgage Construction Total Performing $ 513,513 $ 1,217,248 $ 186,626 $ 1,917,387 Non-performing: 90 days past due 219 221 - 440 Non-accruing (1) 4,107 9,336 159 13,602 Restructured loans - 1,442 - 1,442 Total $ 517,839 $ 1,228,247 $ 186,785 $ 1,932,871 (1) Includes $ 1.3 million of consumer loans acquired from WashingtonFirst and considered performing at the acquisition date. |
PREMISES AND EQUIPMENT (Tables)
PREMISES AND EQUIPMENT (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Property, Plant and Equipment [Abstract] | |
Components of premises and equipment | (In thousands) 2019 2018 Land $ 10,160 $ 10,160 Buildings and leasehold improvements 70,812 69,620 Equipment 46,471 44,802 Total premises and equipment 127,443 124,582 Less: accumulated depreciation and amortization ( 68,828) ( 62,640) Net premises and equipment $ 58,615 $ 61,942 |
LEASES (Tables)
LEASES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Leases [Abstract] | |
Schedule of maturities of operating lease liabilities | (In thousands) Amount Maturity: One year $ 10,741 Two years 10,316 Three years 9,995 Four years 10,100 Five years 8,402 Thereafter 42,730 Total undiscounted lease payments 92,284 Less: Present value discount ( 15,413) Lease Liability $ 76,871 |
GOODWILL AND OTHER INTANGIBLE_2
GOODWILL AND OTHER INTANGIBLE ASSETS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Goodwill and Intangible Assets Disclosure [Abstract] | |
Gross Carrying Amounts and Accumulated Amortization of Intangible Assets and Goodwill | 2019 Weighted 2018 Weighted Gross Net Average Gross Net Average Carrying Accumulated Carrying Remaining Carrying Accumulated Carrying Remaining (Dollars in thousands) Amount Amortization Amount Life Amount Amortization Amount Life Amortizing intangible assets: Core deposit intangibles $ 10,678 $ ( 3,689) $ 6,989 8.0 years $ 10,678 $ ( 1,941) $ 8,737 9.0 years Other identifiable intangibles $ 1,478 $ ( 626) $ 852 9.7 years $ 1,478 $ ( 427) $ 1,051 10.6 years Total amortizing intangible assets $ 12,156 $ ( 4,315) $ 7,841 $ 12,156 $ ( 2,368) $ 9,788 Goodwill $ 347,149 $ 347,149 $ 347,149 $ 347,149 |
Estimated Future Amortization Expense for Amortizing Intangibles | (In thousands) Amount 2020 $ 1,717 2021 1,507 2022 1,295 2023 1,082 Thereafter 2,240 Total amortizing intangible assets $ 7,841 |
Net carrying amount of goodwill by segment | Community Investment (In thousands) Banking Insurance Management Total Balance December 31, 2017 $ 69,991 $ 6,788 $ 8,989 $ 85,768 Acquisition of WashingtonFirst Bankshares Inc. 261,182 - 199 261,381 Balance December 31, 2018 331,173 6,788 9,188 347,149 No Activity - - - - Balance December 31, 2019 $ 331,173 $ 6,788 $ 9,188 $ 347,149 |
DEPOSITS (Tables)
DEPOSITS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Deposits [Abstract] | |
Composition of Deposits | (In thousands) 2019 2018 Noninterest-bearing deposits $ 1,892,052 $ 1,750,319 Interest-bearing deposits: Demand 836,433 703,145 Money market savings 1,839,593 1,605,024 Regular savings 329,919 330,231 Time deposits of less than $100,000 463,431 427,421 Time deposits of $100,000 or more 1,078,891 1,098,740 Total interest-bearing deposits 4,548,267 4,164,561 Total deposits $ 6,440,319 $ 5,914,880 |
Maturity schedule for time deposits maturing within years | (In thousands) Amount 2020 $ 1,134,309 2021 268,813 2022 107,671 2023 19,644 Thereafter 11,885 Total time deposits $ 1,542,322 |
Months to maturities of time deposits | Months to Maturity 3 or Over 3 Over 6 Over (In thousands) Less to 6 to 12 12 Total Time deposits--$100 thousand or more $ 211,627 $ 195,579 $ 400,833 $ 270,852 $ 1,078,891 |
BORROWINGS (Tables)
BORROWINGS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Debt Disclosure [Abstract] | |
Retail Repurchase Agreements And Other Short-Term Borrowings | 2019 2018 2017 (Dollars in thousands) Amount Rate Amount Rate Amount Rate Retail repurchase agreements $ 138,605 0.58 % $ 137,429 0.51 % $ 119,359 0.24 % Federal funds purchased 75,000 1.62 - - - - Average for the Year: Retail repurchase agreements $ 134,070 0.54 % $ 142,938 0.34 % $ 133,356 0.25 % Federal funds purchased 17,373 2.43 - - - - Maximum Month-end Balance: Retail repurchase agreements $ 152,685 $ 154,435 $ 147,459 Federal funds purchased 75,000 - - |
Borrowings | 2019 2018 Weighted Weighted Average Average (Dollars in thousands) Amounts Rate Amounts Rate Maturity: One year $ 134,167 2.13 % $ 625,969 2.46 % Two years 230,445 2.39 42,500 2.12 Three years 76,665 2.37 80,816 3.08 Four years 72,500 3.12 26,826 2.90 Five years - - 72,500 3.12 After five years - - - - Total advances from FHLB $ 513,777 2.42 $ 848,611 2.57 |
SUBORDINATED DEBT (Tables)
SUBORDINATED DEBT (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Subordinated Debt [Abstract] | |
Schedule of subordinated debentures | (In thousands) 2019 2018 Subordinated debt $ 200,000 $ 25,000 Add: Purchase accounting premium 1,894 2,023 Less: Debt issuance costs ( 2,885) - Trust preferred capital notes 10,310 10,310 Add: Purchase accounting premium 87 92 Total subordinated debentures $ 209,406 $ 37,425 |
SHARE BASED COMPENSATION (Table
SHARE BASED COMPENSATION (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Share Based Compensation [Abstract] | |
Fair Values of all Options Granted Estimated Using Binomial Option-Pricing Model with Weighted-average Assumptions | 2019 2018 2017 Dividend yield - % 2.64 % 2.45 % Weighted average expected volatility - % 39.13 % 40.27 % Weighted average risk-free interest rate - % 2.61 % 2.14 % Weighted average expected lives (in years) - 5.61 5.67 Weighted average grant-date fair value - $ 11.73 $ 13.42 |
Summary of Share Option Activity | Weighted Number Weighted Average Aggregate of Average Contractual Intrinsic Common Exercise Remaining Value Shares Share Price Life(Years) (in thousands) Balance at January 1, 2019 81,508 $ 29.74 $ 369 Granted - $ - Exercised ( 15,080) $ 22.20 $ 179 Forfeited ( 1,007) $ 37.11 Expired ( 142) $ 42.48 Balance at December 31, 2019 65,279 $ 31.34 3.2 $ 485 Exercisable at December 31, 2019 51,179 $ 29.15 2.7 $ 485 Weighted average fair value of options granted during the year $ - |
Summary of Activity for Company's Restricted Stock | Number Weighted of Average Common Grant-Date (In dollars, except share data): Shares Fair Value Restricted stock at January 1, 2019 203,603 $ 35.14 Granted 106,394 $ 33.45 Vested ( 69,842) $ 31.55 Forfeited ( 13,653) $ 35.43 Restricted stock at December 31, 2019 226,502 $ 35.43 |
PENSION, PROFIT SHARING, AND _2
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Pension, Profit Sharing, and Other Employee Benefit Plans [Abstract] | |
The Plan's Funded Status | (In thousands) 2019 2018 Reconciliation of Projected Benefit Obligation: Projected obligation at January 1 $ 40,152 $ 43,441 Interest cost 1,609 1,540 Actuarial (gain)/loss 371 ( 593) Benefit payments ( 1,695) ( 1,188) Increase/(decrease) related to change in assumptions 5,060 ( 3,048) Projected obligation at December 31 45,497 40,152 Reconciliation of Fair Value of Plan Assets: Fair value of plan assets at January 1 37,772 41,246 Actual return on plan assets 7,195 ( 2,646) Contribution 185 360 Benefit payments ( 1,695) ( 1,188) Fair value of plan assets at December 31 43,457 37,772 Funded status at December 31 $ ( 2,040) $ ( 2,380) Accumulated benefit obligation at December 31 $ 45,497 $ 40,152 Unrecognized net actuarial loss $ 11,177 $ 12,352 Net periodic pension cost not yet recognized $ 11,177 $ 12,352 |
Weighted-Average Assumptions Used To Determine Benefit Obligations | 2019 2018 2017 Discount rate 3.25% 4.15% 3.65% Rate of compensation increase N/A N/A N/A |
Net Periodic Benefit Cost | (In thousands) 2019 2018 2017 Interest cost on projected benefit obligation $ 1,609 $ 1,540 $ 1,640 Expected return on plan assets ( 1,647) ( 1,861) ( 1,985) Recognized net actuarial loss 1,059 1,000 1,181 Net periodic benefit cost $ 1,021 $ 679 $ 836 |
Weighted-Average Assumptions Used To Determine Net Periodic Benefit Cost | 2019 2018 2017 Discount rate 4.15% 3.65% 4.15% Expected return on plan assets 5.00% 5.00% 6.00% Rate of compensation increase N/A N/A N/A |
Components Of Net Unrecognized Benefits Costs That Is Reflected In Accumulated Other Comprehensive Income (Loss) | Unrecognized Net (In thousands) Loss Included in accumulated other comprehensive loss at January 1, 2017 $ 13,689 Reductions during the year ( 3,016) Reclassifications due to recognition as net periodic pension cost ( 1,181) Increase related to change in assumptions 2,995 Included in accumulated other comprehensive loss as of December 31, 2017 12,487 Additions during the year 3,914 Reclassifications due to recognition as net periodic pension cost ( 1,000) Decrease related to change in assumptions ( 3,049) Included in accumulated other comprehensive loss as of December 31, 2018 12,352 Reductions during the year ( 5,176) Reclassifications due to recognition as net periodic pension cost ( 1,059) Increase related to change in assumptions 5,060 Included in accumulated other comprehensive loss as of December 31, 2019 11,177 Applicable tax effect ( 2,845) Included in accumulated other comprehensive loss net of tax effect at December 31, 2019 $ 8,332 Amount expected to be recognized as part of net periodic pension cost in the next fiscal year $ 488 |
Component of Net Periodic Benefit | (In thousands) 2019 2018 2017 Net actuarial loss $ 11,177 $ 12,352 $ 12,487 Net periodic benefit cost not yet recognized $ 11,177 $ 12,352 $ 12,487 |
Pension Plan Weighted Average Allocations | 2019 2018 Asset Category: Equity Securities Mutual Funds 10.4 % 13.5 % Fixed Income Mutual Funds 89.6 86.5 Total pension plan assets 100.0 % 100.0 % |
Fair Values Of Pension Plan Assets By Asset Category | 2019 Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs (In thousands) (Level 1) (Level 2) (Level 3) Total Asset Category: Mutual funds: Large cap U.S. equity funds $ 1,855 $ 919 $ - $ 2,774 Small/Mid cap U.S. equity funds - 847 - 847 International equity funds 894 - - 894 Short-term fixed income funds - 3,688 - 3,688 Fixed income funds 8,769 26,485 - 35,254 Total mutual funds 11,518 31,939 - 43,457 Total pension plan assets $ 11,518 $ 31,939 $ - $ 43,457 2018 Quoted Prices in Significant Other Significant Active Markets for Observable Unobservable Identical Assets Inputs Inputs (In thousands) (Level 1) (Level 2) (Level 3) Total Asset Category: Mutual funds: Large cap U.S. equity funds $ 1,366 $ 1,720 $ - $ 3,086 Small/Mid cap U.S. equity funds - 646 - 646 International equity funds 1,368 - - 1,368 Short-term fixed income funds - 1,186 - 1,186 Fixed income funds 4,403 27,083 - 31,486 Total mutual funds 7,137 30,635 - 37,772 Total pension plan assets $ 7,137 $ 30,635 $ - $ 37,772 |
Benefit Payments | Pension (In thousands) Benefits 2020 $ 2,550 2021 2,420 2022 2,630 2023 2,350 2024 3,320 Thereafter 13,890 |
OTHER NON-INTEREST INCOME AND O
OTHER NON-INTEREST INCOME AND OTHER NON-INTEREST EXPENSE (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Income and Expenses [Abstract] | |
Selected components of other non-interest income and other non-interest expense | (In thousands) 2019 2018 2017 Letter of credit fees $ 389 $ 611 $ 847 Extension fees 1,287 873 568 Other income 7,104 5,642 4,916 Total other non-interest income $ 8,780 $ 7,126 $ 6,331 (In thousands) 2019 2018 2017 Postage and delivery $ 1,502 $ 1,439 $ 1,179 Communications 2,414 2,610 1,502 Loss on FHLB redemption - - 1,275 Other expenses 16,510 15,443 11,188 Total other non-interest expense $ 20,426 $ 19,492 $ 15,144 |
INCOME TAXES (Tables)
INCOME TAXES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Income Tax Disclosure [Abstract] | |
Components of income tax expense (benefit) | (In thousands) 2019 2018 2017 Current income taxes: Federal $ 28,404 $ 18,615 $ 22,355 State 6,598 7,183 5,146 Total current 35,002 25,798 27,501 Deferred income taxes: Federal 234 4,808 6,973 State 1,192 1,218 252 Total deferred 1,426 6,026 7,225 Total income tax expense $ 36,428 $ 31,824 $ 34,726 |
Deferred tax assets and liabilities | (In thousands) 2019 2018 Deferred Tax Assets: Allowance for loan and lease losses $ 14,287 $ 13,979 Lease liability 19,616 - Fair value acquisition adjustments 1,322 2,253 Employee benefits 4,535 4,339 Pension plan OCI 2,845 3,228 Deferred loan fees and costs 471 306 Non-qualified stock option expense 659 457 Unrealized losses on investments available-for-sale - 2,343 Losses on other real estate owned 201 202 Other than temporary impairment 76 76 Loan and deposit premium/discount 1,422 3,950 Deferred rent - 1,270 Reserve for recourse loans 166 210 Loss carryforward 916 1,323 Tax credits carryforwards - 251 Other 159 280 Gross deferred tax assets 46,675 34,467 Valuation allowance ( 880) ( 644) Net deferred tax asset 45,795 33,823 Deferred Tax Liabilities: Right of use asset ( 17,688) - Unrealized gains on investments available-for-sale ( 1,379) - Pension plan costs ( 2,373) ( 2,607) Depreciation ( 2,744) ( 3,307) Intangible assets ( 3,338) ( 3,701) Bond accretion ( 322) ( 188) Section 481 adjustments ( 1,335) ( 2,053) Other ( 585) ( 404) Gross deferred tax liabilities ( 29,764) ( 12,260) Net deferred tax asset $ 16,031 $ 21,563 |
Reconcilements between statutory federal income tax rate and effective tax rate | (Dollars in thousands) 2019 2018 2017 Percentage of Percentage of Percentage of Pre-Tax Pre-Tax Pre-Tax Amount Income Amount Income Amount Income Income tax expense at federal statutory rate $ 32,101 21.0 % $ 27,865 21.0 % $ 30,776 35.0 % Increase (decrease) resulting from: Tax exempt income, net ( 2,101) ( 1.4) ( 2,427) ( 1.8) ( 3,929) ( 4.5) Bank-owned life insurance ( 665) ( 0.4) ( 909) ( 0.7) ( 841) ( 0.9) State income taxes, net of federal income tax benefits 6,154 4.0 6,637 5.0 3,508 4.0 Federal tax rate change - - - - 5,544 6.3 Other, net 939 0.6 658 0.5 ( 332) ( 0.4) Total income tax expense and rate $ 36,428 23.8 % $ 31,824 24.0 % $ 34,726 39.5 % |
NET INCOME PER COMMON SHARE (Ta
NET INCOME PER COMMON SHARE (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Earnings Per Share [Abstract] | |
Calculation of Net Income Per Common Share | (Dollars and amounts in thousands, except per share data) 2019 2018 2017 Net income $ 116,433 $ 100,864 $ 53,209 Basic: Basic weighted average EPS shares 35,797 35,707 24,175 Basic net income per share $ 3.25 $ 2.82 $ 2.20 Diluted: Basic weighted average EPS shares 35,797 35,707 24,175 Dilutive common stock equivalents 56 21 32 Dilutive EPS shares 35,853 35,728 24,207 Diluted net income per share $ 3.25 $ 2.82 $ 2.20 Anti-dilutive shares 9 7 3 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Other Comprehensive Income Loss [Abstract] | |
Net Accumulated Other Comprehensive Income (Loss) | Unrealized Gains (Losses) on Investments Defined Benefit (In thousands) Available-for-Sale Pension Plan Total Balance at January 1, 2017 $ 1,642 $ ( 8,256) $ ( 6,614) Period change, net of tax ( 955) 712 ( 243) Balance at December 31, 2017 687 ( 7,544) ( 6,857) Period change, net of tax ( 7,465) 45 ( 7,420) Reclassification of tax effects from other comprehensive income 148 ( 1,625) ( 1,477) Balance at December 31, 2018 ( 6,630) ( 9,124) ( 15,754) Period change, net of tax 10,630 792 11,422 Balance at December 31, 2019 $ 4,000 $ ( 8,332) $ ( 4,332) |
Schedule of Amounts Recognized in Other Comprehensive Income (Loss) | Year Ended December 31, (In thousands) 2019 2018 2017 Unrealized gains/(losses) on investments available-for-sale Affected line item in the Statements of Income: Investment securities gains $ 77 $ 190 $ 1,273 Income before taxes 77 190 1,273 Tax expense 20 50 504 Net income $ 57 $ 140 $ 769 Amortization of defined benefit pension plan items Affected line item in the Statements of Income: Recognized actuarial loss (1) $ ( 1,059) $ ( 1,000) $ ( 1,181) Income before taxes ( 1,059) ( 1,000) ( 1,181) Tax benefit ( 277) ( 261) ( 467) Net loss $ ( 782) $ ( 739) $ ( 714) (1) This amount is included in the computation of net periodic benefit cost, see Note 15. |
FINANCIAL INSTRUMENTS WITH OF_2
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK AND DERIVATIVES (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Financial Instruments With Off- Balance Sheet Risk and Derivatives [Abstract] | |
Financial Instruments With Off Balance Sheet Credit Risk [Table Text Block] | (In thousands) 2019 2018 Commercial real estate development and construction $ 571,368 $ 562,777 Residential real estate-development and construction 89,224 130,251 Real estate-residential mortgage 74,282 31,227 Lines of credit, principally home equity and business lines 1,400,038 1,296,481 Standby letters of credit 62,065 59,826 Total Commitments to extend credit and available credit lines $ 2,196,977 $ 2,080,562 |
Summary of the Company's Interest Rate Swaps | 2019 Notional Estimated Years to Receive Pay (Dollars in thousands) Amount Fair Value Maturity Rate Rate Interest Rate Swap Agreements: Pay Fixed/Receive Variable Swaps $ 102,337 $ ( 2,507) 9.1 3.40 % 4.11 % Pay Variable/Receive Fixed Swaps 102,337 2,507 9.1 4.11 % 3.40 % Total Swaps $ 204,674 $ - 9.1 3.76 % 3.76 % 2018 Notional Estimated Years to Receive Pay (Dollars in thousands) Amount Fair Value Maturity Rate Rate Interest Rate Swap Agreements: Pay Fixed/Receive Variable Swaps $ 8,324 $ ( 446) 4.1 3.45 % 5.47 % Pay Variable/Receive Fixed Swaps 8,324 446 4.1 5.47 % 3.45 % Total Swaps $ 16,648 $ - 4.1 4.46 % 4.46 % |
FAIR VALUE (Tables)
FAIR VALUE (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Fair Value Disclosures [Abstract] | |
Financial assets and Liabilities at Dates Indicated that were Accounted for at Fair Value | 2019 Quoted Prices in Significant Active Markets for Significant Other Unobservable Identical Assets Observable Inputs Inputs (In thousands) (Level 1) (Level 2) (Level 3) Total Assets Residential mortgage loans held for sale $ - $ 53,701 $ - $ 53,701 Investments available-for-sale: U.S. government agencies - 258,495 - 258,495 State and municipal - 233,649 - 233,649 Mortgage-backed and asset-backed - 570,759 - 570,759 Corporate debt - - 9,552 9,552 Trust preferred - - 310 310 Marketable equity securities - 568 - 568 Interest rate swap agreements - 2,507 - 2,507 Liabilities Interest rate swap agreements $ - $ ( 2,507) $ - $ ( 2,507) 2018 Quoted Prices in Significant Active Markets for Significant Other Unobservable Identical Assets Observable Inputs Inputs (In thousands) (Level 1) (Level 2) (Level 3) Total Assets Residential mortgage loans held for sale $ - $ 22,773 $ - $ 22,773 Investments available-for-sale: U.S. government agencies - 296,678 - 296,678 State and municipal - 282,024 - 282,024 Mortgage-backed - 348,515 - 348,515 Corporate debt - - 9,240 9,240 Trust preferred - - 310 310 Marketable equity securities - 568 - 568 Interest rate swap agreements - 446 - 446 Liabilities Interest rate swap agreements $ - $ ( 446) $ - $ ( 446) |
Activity of assets reported as Level 3 | Significant Unobservable Inputs (In thousands) (Level 3) Investments available-for-sale: Balance at January 1, 2019 $ 9,550 Transfer into Level 3 assets - Additions of Level 3 assets - Sales of Level 3 assets - Total unrealized gains included in accumulated other comprehensive loss 312 Balance at December 31, 2019 $ 9,862 |
Assets Measured at Fair Value on Nonrecurring Basis | 2019 Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable (In thousands) Assets (Level 1) Inputs (Level 2) Inputs (Level 3) Total Total Losses Impaired loans (1) $ - $ - $ 6,886 $ 6,886 $ ( 6,299) Other real estate owned - - 1,482 1,482 ( 281) Total $ - $ - $ 8,368 $ 8,368 $ ( 6,580) (1) Amounts represent the fair value of collateral for impaired loans allocated to the allowance for loan losses. Fair values are determined using actual market prices (Level 2), independent third party valuations and borrower records, discounted as appropriate (Level 3). 2018 Quoted Prices in Significant Active Markets Other Significant for Identical Observable Unobservable (In thousands) Assets (Level 1) Inputs (Level 2) Inputs (Level 3) Total Total Losses Impaired loans (1) $ - $ - $ 6,780 $ 6,780 $ ( 10,932) Other real estate owned - - 1,584 1,584 ( 262) Total $ - $ - $ 8,364 $ 8,364 $ ( 11,194) (1) Amounts represent the fair value of collateral for impaired loans allocated to the allowance for loan losses. Fair values are determined using actual market prices (Level 2), independent third party valuations and borrower records, discounted as appropriate (Level 3). |
Carrying Amounts And Fair Values of Company's Financial Instruments | Fair Value Measurements 2019 Quoted Prices in Estimated Active Markets for Significant Other Significant Carrying Fair Identical Assets Observable Inputs Unobservable Inputs (In thousands) Amount Value (Level 1) (Level 2) (Level 3) Financial Assets Other equity securities $ 51,803 $ 51,803 $ - $ 51,803 $ - Loans, net of allowance 6,649,100 6,628,054 - - 6,628,054 Other assets (1) 113,171 113,171 - 113,171 - Financial Liabilities Time deposits $ 1,542,322 $ 1,547,116 $ - $ 1,547,116 $ - Securities sold under retail repurchase agreements and federal funds purchased 213,605 213,605 - 213,605 - Advances from FHLB 513,777 520,729 - 520,729 - Subordinated debentures 209,406 200,864 - - 200,864 (1) Includes bank owned life insurance products. Fair Value Measurements 2018 Quoted Prices in Estimated Active Markets for Significant Other Significant Carrying Fair Identical Assets Observable Inputs Unobservable Inputs (In thousands) Amount Value (Level 1) (Level 2) (Level 3) Financial Assets Investments held-to-maturity and other equity securities $ 73,389 $ 73,389 $ - $ 73,389 $ - Loans, net of allowance 6,518,148 6,376,307 - - 6,376,307 Other assets (1) 110,823 110,823 - 110,823 - Financial Liabilities Time deposits $ 1,526,161 $ 1,536,238 $ - $ 1,536,238 $ - Securities sold under retail repurchase agreements and federal funds purchased 327,429 327,429 - 327,429 - Advances from FHLB 848,611 850,186 - 850,186 - Subordinated debentures 37,425 33,588 - - 33,588 (1) Includes bank owned life insurance products. |
PARENT COMPANY FINANCIAL INFO_2
PARENT COMPANY FINANCIAL INFORMATION (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Condensed Financial Information of Parent Company Only Disclosure [Abstract] | |
Statements of Condition | Statement of Condition December 31, (In thousands) 2019 2018 Assets Cash and cash equivalents $ 90,361 $ 23,334 Investments available-for-sale (at fair value) 10,430 10,118 Investment in subsidiary 1,242,229 1,066,550 Goodwill 1,292 1,292 Other assets 1,480 4,463 Total assets $ 1,345,792 $ 1,105,757 Liabilities Subordinated debentures $ 209,406 $ 37,425 Accrued expenses and other liabilities 3,412 429 Total liabilities 212,818 37,854 Stockholders’ Equity Common stock 34,970 35,531 Additional paid in capital 586,622 606,573 Retained earnings 515,714 441,553 Accumulated other comprehensive loss ( 4,332) ( 15,754) Total stockholders’ equity 1,132,974 1,067,903 Total liabilities and stockholders’ equity $ 1,345,792 $ 1,105,757 |
Statements of Income/(Loss) | Statements of Income Year Ended December 31, (In thousands) 2019 2018 2017 Income: Cash dividends from subsidiary $ 42,625 $ 39,370 $ 25,420 Other income 1,093 897 1,832 Total income 43,718 40,267 27,252 Expenses: Interest 3,141 1,922 12 Other expenses 1,507 1,135 970 Total expenses 4,648 3,057 982 Income before income taxes and equity in undistributed income of subsidiary 39,070 37,210 26,270 Income tax expense (benefit) ( 734) ( 283) 331 Income before equity in undistributed income of subsidiary 39,804 37,493 25,939 Equity in undistributed income of subsidiary 76,629 63,371 27,270 Net income $ 116,433 $ 100,864 $ 53,209 |
Statements of Cash Flows | Statements of Cash Flows Year Ended December 31, (In thousands) 2019 2018 2017 Cash Flows from Operating Activities: Net income $ 116,433 $ 100,864 $ 53,209 Adjustments to reconcile net income to net cash provided by operating activities: Equity in undistributed income-subsidiary ( 76,629) ( 63,371) ( 27,270) Decrease in receivable from subsidiary bank - - 30,000 Share based compensation expense 3,042 2,645 2,164 Tax benefit from stock options exercised 7 8 - Other-net - ( 3,252) ( 4,028) Net cash provided by operating activities 42,853 36,894 54,075 Cash Flows from Investing Activities: Proceeds from investment available-for-sale - - 3,179 Investment in subsidiary ( 85,000) - - Acquisition of business activity, net of cash paid - 11,845 - Net cash provided/ (used) by investing activities ( 85,000) 11,845 3,179 Cash Flows from Financing Activities: Retirement of subordinated debt - - ( 30,000) Proceeds from issuance of subordinated debt 175,000 - - Proceeds from issuance of common stock 1,433 1,395 1,200 Stock tendered for payment of withholding taxes ( 703) ( 760) ( 952) Repurchase of common stock ( 24,284) - - Dividends paid ( 42,272) ( 39,277) ( 25,134) Net cash provided/ (used) by financing activities 109,174 ( 38,642) ( 54,886) Net increase in cash and cash equivalents 67,027 10,097 2,368 Cash and cash equivalents at beginning of year 23,334 13,237 10,869 Cash and cash equivalents at end of year $ 90,361 $ 23,334 $ 13,237 |
REGULATORY MATTERS (Tables)
REGULATORY MATTERS (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Banking and Thrift [Abstract] | |
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations | To Be Well Capitalized Under For Capital Prompt Corrective Actual Adequacy Purposes Action Provisions (Dollars in thousands) Amount Ratio Amount Ratio Amount Ratio As of December 31, 2019: Total Capital to risk-weighted assets Company $ 1,052,328 14.85 % $ 566,863 8.00 % N/A N/A Sandy Spring Bank $ 950,793 13.44 % $ 565,794 8.00 % $ 707,243 10.00 % Tier 1 Capital to risk-weighted assets Company $ 794,300 11.21 % $ 425,147 6.00 % N/A N/A Sandy Spring Bank $ 894,659 12.65 % $ 424,346 6.00 % $ 565,794 8.00 % Common Equity Tier 1 Capital to risk- weighted assets Company $ 783,903 11.06 % $ 318,860 4.50 % N/A N/A Sandy Spring Bank $ 894,659 12.65 % $ 318,259 4.50 % $ 459,708 6.50 % Tier 1 Leverage Company $ 794,300 9.70 % $ 327,577 4.00 % N/A N/A Sandy Spring Bank $ 894,659 10.94 % $ 327,123 4.00 % $ 408,904 5.00 % As of December 31, 2018: Total Capital to risk-weighted assets Company $ 818,393 12.26 % $ 533,994 8.00 % N/A N/A Sandy Spring Bank $ 780,858 11.72 % $ 532,970 8.00 % $ 666,213 10.00 % Tier 1 Capital to risk-weighted assets Company $ 737,883 11.06 % $ 400,496 6.00 % N/A N/A Sandy Spring Bank $ 727,371 10.92 % $ 399,728 6.00 % $ 532,970 8.00 % Common Equity Tier 1 Capital to risk- weighted assets Company $ 727,481 10.90 % $ 300,372 4.50 % N/A N/A Sandy Spring Bank $ 727,371 10.92 % $ 299,796 4.50 % $ 433,038 6.50 % Tier 1 Leverage Company $ 737,883 9.50 % $ 310,807 4.00 % N/A N/A Sandy Spring Bank $ 727,371 9.38 % $ 310,224 4.00 % $ 387,780 5.00 % |
SEGMENT REPORTING (Tables)
SEGMENT REPORTING (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Segment Reporting [Abstract] | |
Operating Segments and Reconciliation of Information to Consolidated Financial Statements | 2019 Community Investment Inter-Segment (In thousands) Banking Insurance Mgmt. Elimination Total Interest income $ 347,867 $ 26 $ 13 $ ( 37) $ 347,869 Interest expense 82,598 - - ( 37) 82,561 Provision for loan losses 4,684 - - - 4,684 Non-interest income 55,042 6,621 10,326 ( 667) 71,322 Non-interest expenses 166,802 5,731 7,219 ( 667) 179,085 Income before income taxes 148,825 916 3,120 - 152,861 Income tax expense 35,350 258 820 - 36,428 Net income $ 113,475 $ 658 $ 2,300 $ - $ 116,433 Assets $ 8,624,590 $ 10,340 $ 16,424 $ ( 22,352) $ 8,629,002 2018 Community Investment Inter-Segment (In thousands) Banking Insurance Mgmt. Elimination Total Interest income $ 324,081 $ 3 $ 8 $ ( 10) $ 324,082 Interest expense 63,647 - - ( 10) 63,637 Provision for loan losses 9,023 - - - 9,023 Non-interest income 45,841 6,153 9,670 ( 615) 61,049 Non-interest expenses 168,261 5,601 6,536 ( 615) 179,783 Income before income taxes 128,991 555 3,142 - 132,688 Income tax expense 30,827 169 828 - 31,824 Net income $ 98,164 $ 386 $ 2,314 $ - $ 100,864 Assets $ 8,246,282 $ 9,165 $ 16,332 $ ( 28,507) $ 8,243,272 2017 Community Investment Inter-Segment (In thousands) Banking Insurance Mgmt. Elimination Total Interest income $ 194,798 $ 2 $ 7 $ ( 8) $ 194,799 Interest expense 26,039 - - ( 8) 26,031 Provision for loan losses 2,977 - - - 2,977 Non-interest income 37,447 6,233 8,335 ( 772) 51,243 Non-interest expenses 119,607 5,533 4,731 ( 772) 129,099 Income before income taxes 83,622 702 3,611 - 87,935 Income tax expense 33,684 ( 399) 1,441 - 34,726 Net income $ 49,938 $ 1,101 $ 2,170 $ - $ 53,209 Assets $ 5,446,056 $ 8,873 $ 13,126 $ ( 21,380) $ 5,446,675 |
QUARTERLY FINANCIAL RESULTS (_2
QUARTERLY FINANCIAL RESULTS (UNAUDITED) (Tables) | 12 Months Ended |
Dec. 31, 2019 | |
Quarterly Financial Information Disclosure [Abstract] | |
Consolidated Quarterly Financial Data | 2019 First Second Third Fourth (In thousands, except per share data) Quarter Quarter Quarter Quarter Interest income $ 88,183 $ 87,214 $ 87,082 $ 85,390 Interest expense 21,433 21,029 20,292 19,807 Net interest income 66,750 66,185 66,790 65,583 Provision (credit) for loan losses ( 128) 1,633 1,524 1,655 Non-interest income 16,969 16,556 18,573 19,224 Non-interest expense 44,192 43,887 44,925 46,081 Income before income taxes 39,655 37,221 38,914 37,071 Income tax expense 9,338 8,945 9,531 8,614 Net income $ 30,317 $ 28,276 $ 29,383 $ 28,457 Basic net income per share $ 0.85 $ 0.79 $ 0.82 $ 0.80 Diluted net income per share $ 0.85 $ 0.79 $ 0.82 $ 0.80 2018 First Second Third Fourth (In thousands, except per share data) Quarter Quarter Quarter Quarter Interest income $ 75,504 $ 78,597 $ 84,374 $ 85,607 Interest expense 12,613 14,779 16,783 19,462 Net interest income 62,891 63,818 67,591 66,145 Provision for loan losses 1,997 1,733 1,890 3,403 Non-interest income 17,118 14,868 15,033 14,030 Non-interest expense 49,641 45,082 42,393 42,667 Income before income taxes 28,371 31,871 38,341 34,105 Income tax expense 6,706 7,472 9,107 8,539 Net income $ 21,665 $ 24,399 $ 29,234 $ 25,566 Basic net income per share $ 0.61 $ 0.68 $ 0.82 $ 0.72 Diluted net income per share $ 0.61 $ 0.68 $ 0.82 $ 0.72 |
SIGNIFICANT ACCOUNTING POLICI_3
SIGNIFICANT ACCOUNTING POLICIES (Narrative) (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Jan. 01, 2018 | |
Property, Plant and Equipment [Line Items] | ||
Operating Lease, Right-of-Use Asset | $ 69,300,000 | $ 77,700,000 |
Lease Liability | $ 76,871,000 | $ 85,100,000 |
Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Finite-Lived Intangible Asset, Useful Life | 15 years | |
Furniture and Fixtures [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Furniture and Fixtures [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Computer Equipment [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 3 years | |
Computer Equipment [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 5 years | |
Building and Building Improvements [Member] | Minimum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 10 years | |
Building and Building Improvements [Member] | Maximum [Member] | ||
Property, Plant and Equipment [Line Items] | ||
Property, Plant and Equipment, Useful Life | 40 years |
PENDING ACQUISITION (Details)
PENDING ACQUISITION (Details) $ in Billions | 12 Months Ended | |
Dec. 31, 2019USD ($)Banks | Sep. 23, 2019 | |
Revere Bank Shareholders [Member] | ||
Business Acquisition [Line Items] | ||
Ratio of shares business combinations consideration transferred | 1.05 | |
Revere Bank [Member] | ||
Business Acquisition [Line Items] | ||
Effective Date of Acquisition | Sep. 23, 2019 | |
Assets acquired | $ | $ 2.8 | |
Number of Banking Offices | Banks | 11 | |
The combined company [Member] | Sandy Spring Shareholders [Member] | ||
Business Acquisition [Line Items] | ||
Percentage of voting interests acquired, combined co. | 74.00% | |
The combined company [Member] | Revere Bank Shareholders [Member] | ||
Business Acquisition [Line Items] | ||
Percentage of voting interests acquired, combined co. | 26.00% |
CASH AND DUE FROM BANKS (Narrat
CASH AND DUE FROM BANKS (Narrative) (Details) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Cash and Cash Equivalents [Abstract] | ||
Compensating Balance Amount | $ 105.3 | $ 70 |
INVESTMENTS (Additional Informa
INVESTMENTS (Additional Information) (Detail) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule of Investments [Line Items] | ||
Investments available-for-sale book value | $ 424.8 | $ 477.3 |
Government National Mortgage Association Certificates And Obligations Federal National Mortgage Association Certificates And Obligations And Federal Home Loan Mortgage Corporation Certificates And Obligations [Member] | Collateralized Mortgage Obligations [Member] | ||
Schedule of Investments [Line Items] | ||
Financial Instruments, Owned, Mortgages, Mortgage-backed and Asset-backed Securities, at Fair Value | 153.4 | |
Government National Mortgage Association Certificates And Obligations Federal National Mortgage Association Certificates And Obligations And Federal Home Loan Mortgage Corporation Certificates And Obligations [Member] | Mortgage Backed Securities [Member] | ||
Schedule of Investments [Line Items] | ||
Financial Instruments, Owned, Mortgages, Mortgage-backed and Asset-backed Securities, at Fair Value | 347.1 | |
Government National Mortgage Association Certificates And Obligations Federal National Mortgage Association Certificates And Obligations And Federal Home Loan Mortgage Corporation Certificates And Obligations [Member] | SBA asset backed securities [Member] | ||
Schedule of Investments [Line Items] | ||
Financial Instruments, Owned, Mortgages, Mortgage-backed and Asset-backed Securities, at Fair Value | $ 70.3 |
INVESTMENTS (Amortized Cost and
INVESTMENTS (Amortized Cost and Estimated Fair Values of Investments Available-for-sale) (Detail) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | $ 1,073,333,000 | $ 937,335,000 |
U.S. Government Agencies | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | 258,495,000 | 296,678,000 |
State and municipal | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | 233,649,000 | 282,024,000 |
Mortgage-Backed | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | 570,759,000 | 348,515,000 |
Corporate Debt | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | 9,552,000 | 9,240,000 |
Trust Preferred | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | 310,000 | 310,000 |
Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Estimated Fair Value | 1,072,765,000 | 936,767,000 |
Available-for-Sale Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 1,067,954,000 | 946,308,000 |
Gross Unrealized Gains | 8,984,000 | 3,243,000 |
Gross Unrealized Losses | (3,605,000) | (12,216,000) |
Estimated Fair Value | 1,073,333,000 | 937,335,000 |
Available-for-Sale Securities | U.S. Government Agencies | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 260,294,000 | 300,338,000 |
Gross Unrealized Gains | 887,000 | 370,000 |
Gross Unrealized Losses | (2,686,000) | (4,030,000) |
Estimated Fair Value | 258,495,000 | 296,678,000 |
Available-for-Sale Securities | State and municipal | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 229,309,000 | 280,725,000 |
Gross Unrealized Gains | 4,377,000 | 2,080,000 |
Gross Unrealized Losses | (37,000) | (781,000) |
Estimated Fair Value | 233,649,000 | 282,024,000 |
Available-for-Sale Securities | Mortgage-Backed | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 568,373,000 | 355,267,000 |
Gross Unrealized Gains | 3,268,000 | 653,000 |
Gross Unrealized Losses | (882,000) | (7,405,000) |
Estimated Fair Value | 570,759,000 | 348,515,000 |
Available-for-Sale Securities | Corporate Debt | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 9,100,000 | 9,100,000 |
Gross Unrealized Gains | 452,000 | 140,000 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 9,552,000 | 9,240,000 |
Available-for-Sale Securities | Trust Preferred | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 310,000 | 310,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | 310,000 | 310,000 |
Available-for-Sale Securities | Debt Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 1,067,386,000 | 945,740,000 |
Gross Unrealized Gains | 8,984,000 | 3,243,000 |
Gross Unrealized Losses | (3,605,000) | (12,216,000) |
Estimated Fair Value | 1,072,765,000 | 936,767,000 |
Available-for-Sale Securities | Marketable Equity Securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Amortized Cost | 568,000 | 568,000 |
Gross Unrealized Gains | 0 | 0 |
Gross Unrealized Losses | 0 | 0 |
Estimated Fair Value | $ 568,000 | $ 568,000 |
INVESTMENTS (Gross Unrealized L
INVESTMENTS (Gross Unrealized Losses and Fair Value by Length of Time of Available-For-Sale Securities) (Detail) $ in Thousands | Dec. 31, 2019USD ($)Securities | Dec. 31, 2018USD ($)Securities |
Schedule Of Available For Sale Securities [Line Items] | ||
Number of Securities | Securities | 50 | 223 |
Fair Value | $ 343,143 | $ 580,621 |
Less than 12 months | 2,756 | 2,613 |
More than 12 months | 849 | 9,603 |
Total Unrealized Losses | $ 3,605 | $ 12,216 |
Us Government Agencies Debt Securities [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Number of Securities | Securities | 12 | 33 |
Fair Value | $ 151,132 | $ 194,135 |
Less than 12 months | 2,211 | 452 |
More than 12 months | 475 | 3,578 |
Total Unrealized Losses | $ 2,686 | $ 4,030 |
U S States and Political Subdivisions [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Number of Securities | Securities | 3 | 80 |
Fair Value | $ 7,227 | $ 78,232 |
Less than 12 months | 37 | 569 |
More than 12 months | 0 | 212 |
Total Unrealized Losses | $ 37 | $ 781 |
Mortgage Backed Securities [Member] | ||
Schedule Of Available For Sale Securities [Line Items] | ||
Number of Securities | Securities | 35 | 110 |
Fair Value | $ 184,784 | $ 308,254 |
Less than 12 months | 508 | 1,592 |
More than 12 months | 374 | 5,813 |
Total Unrealized Losses | $ 882 | $ 7,405 |
INVESTMENTS (Estimated fair val
INVESTMENTS (Estimated fair values of debt securities available-for-sale by contractual maturity ) (Detail) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Schedule Of Available For Sale Securities [Line Items] | ||
Total | $ 1,073,333,000 | $ 937,335,000 |
U.S. Government Agencies | ||
Schedule Of Available For Sale Securities [Line Items] | ||
One Year or less | 69,799,000 | 6,952,000 |
One to Five Years | 96,709,000 | 159,223,000 |
Five to Ten Years | 0 | 50,479,000 |
After Ten Years | 91,987,000 | 80,024,000 |
Total | 258,495,000 | 296,678,000 |
State and municipal | ||
Schedule Of Available For Sale Securities [Line Items] | ||
One Year or less | 33,311,000 | 56,650,000 |
One to Five Years | 76,723,000 | 104,597,000 |
Five to Ten Years | 75,820,000 | 98,112,000 |
After Ten Years | 47,795,000 | 22,665,000 |
Total | 233,649,000 | 282,024,000 |
Mortgage-Backed | ||
Schedule Of Available For Sale Securities [Line Items] | ||
One Year or less | 852,000 | 145,000 |
One to Five Years | 7,125,000 | 13,010,000 |
Five to Ten Years | 55,226,000 | 52,555,000 |
After Ten Years | 507,556,000 | 282,805,000 |
Total | 570,759,000 | 348,515,000 |
Corporate Debt | ||
Schedule Of Available For Sale Securities [Line Items] | ||
One Year or less | 0 | 0 |
One to Five Years | 0 | 0 |
Five to Ten Years | 9,552,000 | 9,240,000 |
After Ten Years | 0 | 0 |
Total | 9,552,000 | 9,240,000 |
Trust Preferred | ||
Schedule Of Available For Sale Securities [Line Items] | ||
One Year or less | 0 | 0 |
One to Five Years | 0 | 0 |
Five to Ten Years | 0 | 0 |
After Ten Years | 310,000 | 310,000 |
Total | 310,000 | 310,000 |
Total available-for-sale debt securities | ||
Schedule Of Available For Sale Securities [Line Items] | ||
One Year or less | 103,962,000 | 63,747,000 |
One to Five Years | 180,557,000 | 276,830,000 |
Five to Ten Years | 140,598,000 | 210,386,000 |
After Ten Years | 647,648,000 | 385,804,000 |
Total | $ 1,072,765,000 | $ 936,767,000 |
INVESTMENTS (Other Equity Secur
INVESTMENTS (Other Equity Securities) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Federal Home Loan Bank Stock and Federal Reserve Bank Stock [Abstract] | ||
Federal Reserve Bank stock | $ 22,559 | $ 22,456 |
Federal Home Loan Bank of Atlanta stock | 29,244 | 50,933 |
Total equity securities | $ 51,803 | $ 73,389 |
INVESTMENTS (Gross Realized Gai
INVESTMENTS (Gross Realized Gains and Losses on All Investments) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Investments [Abstract] | |||
Gross realized gains from sales of investments available-for-sale | $ 14 | $ 2,519 | $ 0 |
Gross realized losses from sales of investments available-for-sale | (2) | (2,343) | 0 |
Net gains or (losses) from calls of investments available-for-sale | 65 | 14 | 32 |
Gross realized gains from sales of equity securities | 0 | 0 | 1,241 |
Net securities gains | $ 77 | $ 190 | $ 1,273 |
LOANS (Additional Information)
LOANS (Additional Information) (Detail) - USD ($) $ in Thousands | Jan. 01, 2018 | Dec. 31, 2019 | Dec. 31, 2018 |
Loans [Abstract] | |||
Unearned income and deferred fees | $ 1,800 | $ 900 | |
Loans receivable with a gross amortized cost basis | $ 1,697,760 | ||
Credit fair value adjustment on purchased credit impaired loans | 14,518 | ||
Credit Impaired Loans Acquired In Transfer Nonaccretable Difference | 10,500 | ||
Addition of accretable yield due to acquisitions | 4,000 | 0 | 3,988 |
Certain Loans Acquired In Transfer Accretable Yield | 3,988 | ||
Outstanding balance of purchased credit impaired loans receivable | 41,900 | 12,700 | 26,000 |
Fair value of purchase credit impaired loans | $ 27,509 | 9,900 | 15,300 |
Proceeds from credit impaired loans | 5,800 | 12,400 | |
Accreditable adjustments | 199 | 849 | |
Non-accredtable adjustments | $ 1,600 | $ 1,300 |
LOANS (Loan Portfolio Segment B
LOANS (Loan Portfolio Segment Balances) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 6,705,232 | $ 6,571,634 |
Commercial | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 801,019 | 796,264 |
Consumer | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 466,764 | 517,839 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Owner Occupied Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,288,677 | 1,202,903 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Investor Real Estate | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 2,169,156 | 1,958,395 |
Commercial Real Estate Portfolio Segment [Member] | Commercial Acquisition, Development and Construction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 684,010 | 681,201 |
Residential Portfolio Segment [Member] | Residential Mortgage | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | 1,149,327 | 1,228,247 |
Residential Portfolio Segment [Member] | Residential Construction | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Total loans | $ 146,279 | $ 186,785 |
LOANS (Acquired loan portfolio)
LOANS (Acquired loan portfolio) (Detail) $ in Thousands | Jan. 01, 2018USD ($) |
Loans [Abstract] | |
Gross amortized cost basis at January 1, 2018 | $ 1,697,760 |
Interest rate fair value adjustment | 15,370 |
Credit fair value adjustment on pools of homogeneous loans | (22,421) |
Credit fair value adjustment on purchased credit impaired loans | (14,518) |
Fair value of acquired loan portfolio | $ 1,676,191 |
LOANS (Acquired credit impaired
LOANS (Acquired credit impaired loans receivable) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2018 |
Certain Loans Acquired in Transfer Accounted for as Debt Securities, Acquired During Period [Abstract] | |||
Contractual principal and interest at acquisition | $ 49,412 | ||
Contractual cash flows not expected to be collected (Nonaccretable yield) | (17,915) | ||
Expected cash flows at acquisition | 31,497 | ||
Interest component of expected cash flows (Accretable yield) | (3,988) | ||
Fair value of purchase credit impaired loans | $ 9,900 | $ 15,300 | $ 27,509 |
LOANS (Accretable yield activit
LOANS (Accretable yield activity) (Detail) - USD ($) $ in Thousands | Jan. 01, 2018 | Dec. 31, 2019 | Dec. 31, 2018 |
Activity for the accretable yield since the Acquisition Date: | |||
Accretable yield at the beginning of the period | $ 1,279 | ||
Addition of accretable yield due to acquisitions | $ 4,000 | 0 | $ 3,988 |
Accretion into interest income | (1,073) | (1,860) | |
Disposals (including maturities, foreclosures, and charge-offs) | (199) | (849) | |
Accretable yield at the end of the period | $ 7 | $ 1,279 |
LOANS (Summary of Changes In Am
LOANS (Summary of Changes In Amounts Of Loans Outstanding) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Loans [Abstract] | |||
Beginning balance | $ 54,208 | $ 36,712 | $ 41,988 |
Additions | 4,737 | 21,871 | 6,140 |
Repayments | (7,578) | (4,375) | (11,416) |
Ending balance | $ 51,367 | $ 54,208 | $ 36,712 |
CREDIT QUALITY ASSESSMENT (Addi
CREDIT QUALITY ASSESSMENT (Additional Information) (Detail) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Other real estate owned | $ 1,482,000 | $ 1,584,000 |
Non-accrual loans | 38,632,000 | 33,583,000 |
Loans and Leases Receivable, Net of Deferred Income, Total | 6,705,232,000 | 6,571,634,000 |
Substandard | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and Leases Receivable, Net of Deferred Income, Total | 42,504,000 | 53,615,000 |
WashingtonFirst Bankshares Inc [Member] | Performing Financing Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | 2,900,000 | 4,800,000 |
WashingtonFirst Bankshares Inc [Member] | Special Mention [Member] | Performing Financing Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and Leases Receivable, Net of Deferred Income, Total | 800,000 | 4,200,000 |
WashingtonFirst Bankshares Inc [Member] | Substandard | Credit impaired loans [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and Leases Receivable, Net of Deferred Income, Total | 11,700,000 | 24,300,000 |
WashingtonFirst Bankshares Inc [Member] | Substandard | Performing Financing Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Loans and Leases Receivable, Net of Deferred Income, Total | 6,700,000 | 7,200,000 |
Consumer Portfolio Segment [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Other real estate owned | 400,000 | |
Mortgage Loans in Process of Foreclosure, Amount | 0 | |
Consumer Portfolio Segment [Member] | WashingtonFirst Bankshares Inc [Member] | Performing Financing Receivable [Member] | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Non-accrual loans | 1,200,000 | 1,300,000 |
Restructured Loans | ||
Accounts, Notes, Loans and Financing Receivable [Line Items] | ||
Financing Receivable Troubled Debt Restructurings Specific Allowance | 400,000 | 600,000 |
Financing Receivable Troubled Debt Restructurings Restructured Accruing | 2,600,000 | 2,000,000 |
Financing Receivable Troubled Debt Restructurings Restructured Non Accruing | 5,300,000 | 5,400,000 |
Financing Receivable Troubled Debt Restructurings Balance | 7,900,000 | 7,400,000 |
Additional Financing Receivable Troubled Debt Restructurings Restructured | $ 2,400,000 | $ 1,600,000 |
CREDIT QUALITY ASSESSMENT (Summ
CREDIT QUALITY ASSESSMENT (Summary Information on Allowance for Loan and Lease Loss Activity) (Detail) - 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 | |
Credit Quality Assessment [Abstract] | |||||||||||
Balance at beginning of year | $ 53,486 | $ 45,257 | $ 53,486 | $ 45,257 | $ 44,067 | ||||||
Provision for loan losses | $ 1,655 | $ 1,524 | $ 1,633 | $ (128) | $ 3,403 | $ 1,890 | $ 1,733 | $ 1,997 | 4,684 | 9,023 | 2,977 |
Loan and lease charge-offs | (2,668) | (1,416) | (2,566) | ||||||||
Loan and lease recoveries | 630 | 622 | 779 | ||||||||
Net charge-offs | (2,038) | (794) | (1,787) | ||||||||
Balance at period end | $ 56,132 | $ 53,486 | $ 56,132 | $ 53,486 | $ 45,257 |
CREDIT QUALITY ASSESSMENT (Acti
CREDIT QUALITY ASSESSMENT (Activity in Allowance for Loan and Lease Losses by Respective Loan Portfolio Segment) (Detail) - USD ($) | 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 Losses [Line Items] | |||||||||||
Balance at beginning of year | $ 53,486,000 | $ 45,257,000 | $ 53,486,000 | $ 45,257,000 | $ 44,067,000 | ||||||
Provision (credit) | $ 1,655,000 | $ 1,524,000 | $ 1,633,000 | (128,000) | $ 3,403,000 | $ 1,890,000 | $ 1,733,000 | 1,997,000 | 4,684,000 | 9,023,000 | 2,977,000 |
Charge-offs | (2,668,000) | (1,416,000) | (2,566,000) | ||||||||
Recoveries | 630,000 | 622,000 | 779,000 | ||||||||
Net charge-offs | (2,038,000) | (794,000) | (1,787,000) | ||||||||
Balance at period end | 56,132,000 | 53,486,000 | 56,132,000 | 53,486,000 | 45,257,000 | ||||||
Total loans and leases | $ 6,705,232,000 | $ 6,571,634,000 | $ 6,705,232,000 | $ 6,571,634,000 | |||||||
Allowance for loans and leases to total loans and leases ratio | 0.84% | 0.81% | 0.84% | 0.81% | |||||||
Balance of loans specifically evaluated for impairment | $ 24,773,000 | $ 22,210,000 | $ 24,773,000 | $ 22,210,000 | |||||||
Allowance for loans specifically evaluated for impairment | $ 5,501,000 | $ 4,924,000 | $ 5,501,000 | $ 4,924,000 | 4,014,000 | ||||||
Specific allowance to specific loans ratio | 22.21% | 22.17% | 22.21% | 22.17% | |||||||
Balance of loans collectively evaluated | $ 6,667,375,000 | $ 6,523,477,000 | $ 6,667,375,000 | $ 6,523,477,000 | |||||||
Allowance for loans collectively evaluated | 50,631,000 | 48,562,000 | $ 50,631,000 | $ 48,562,000 | 41,243,000 | ||||||
Collective allowance to collective loans ratio | 0.76% | 0.74% | |||||||||
Balance of loans acquired | $ 13,084,000 | ||||||||||
Allowance for loans acquired | $ 0 | ||||||||||
Allowance to loans acquired with deteriorated credity quality ratio | 0.00% | ||||||||||
Receivables Acquired with Deteriorated Credit Quality [Member] | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance of loans acquired | $ 25,947,000 | ||||||||||
Allowance for loans acquired | $ 0 | ||||||||||
Allowance to loans acquired with deteriorated credity quality ratio | 0.00% | ||||||||||
Commercial | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance at beginning of year | 11,377,000 | 8,711,000 | $ 11,377,000 | $ 8,711,000 | |||||||
Provision (credit) | 1,164,000 | 2,857,000 | |||||||||
Charge-offs | (1,195,000) | (449,000) | |||||||||
Recoveries | 49,000 | 258,000 | |||||||||
Net charge-offs | (1,146,000) | (191,000) | |||||||||
Balance at period end | 11,395,000 | 11,377,000 | 11,395,000 | 11,377,000 | 8,711,000 | ||||||
Total loans and leases | $ 801,019,000 | $ 796,264,000 | $ 801,019,000 | $ 796,264,000 | |||||||
Allowance for loans and leases to total loans and leases ratio | 1.42% | 1.43% | 1.42% | 1.43% | |||||||
Balance of loans specifically evaluated for impairment | $ 8,867,000 | $ 7,586,000 | $ 8,867,000 | $ 7,586,000 | |||||||
Allowance for loans specifically evaluated for impairment | $ 3,817,000 | $ 3,594,000 | $ 3,817,000 | $ 3,594,000 | |||||||
Specific allowance to specific loans ratio | 43.05% | 47.38% | 43.05% | 47.38% | |||||||
Balance of loans collectively evaluated | $ 789,613,000 | $ 780,523,000 | $ 789,613,000 | $ 780,523,000 | |||||||
Allowance for loans collectively evaluated | 7,578,000 | 7,783,000 | $ 7,578,000 | $ 7,783,000 | |||||||
Collective allowance to collective loans ratio | 0.96% | 1.00% | |||||||||
Commercial | Receivables Acquired with Deteriorated Credit Quality [Member] | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance of loans acquired | $ 2,539,000 | $ 8,155,000 | |||||||||
Allowance for loans acquired | $ 0 | $ 0 | |||||||||
Allowance to loans acquired with deteriorated credity quality ratio | 0.00% | 0.00% | |||||||||
Consumer | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance at beginning of year | 2,113,000 | 2,383,000 | $ 2,113,000 | $ 2,383,000 | |||||||
Provision (credit) | 565,000 | 203,000 | |||||||||
Charge-offs | (783,000) | (611,000) | |||||||||
Recoveries | 191,000 | 138,000 | |||||||||
Net charge-offs | (592,000) | (473,000) | |||||||||
Balance at period end | 2,086,000 | 2,113,000 | 2,086,000 | 2,113,000 | 2,383,000 | ||||||
Total loans and leases | $ 466,764,000 | $ 517,839,000 | $ 466,764,000 | $ 517,839,000 | |||||||
Allowance for loans and leases to total loans and leases ratio | 0.45% | 0.41% | 0.45% | 0.41% | |||||||
Balance of loans collectively evaluated | $ 465,771,000 | $ 516,567,000 | $ 465,771,000 | $ 516,567,000 | |||||||
Allowance for loans collectively evaluated | 2,086,000 | 2,113,000 | $ 2,086,000 | $ 2,113,000 | |||||||
Collective allowance to collective loans ratio | 0.45% | 0.41% | |||||||||
Consumer | Receivables Acquired with Deteriorated Credit Quality [Member] | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance of loans acquired | $ 993,000 | $ 1,272,000 | |||||||||
Allowance for loans acquired | $ 0 | $ 0 | |||||||||
Allowance to loans acquired with deteriorated credity quality ratio | 0.00% | 0.00% | |||||||||
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance at beginning of year | 5,944,000 | 3,501,000 | $ 5,944,000 | $ 3,501,000 | |||||||
Provision (credit) | 1,418,000 | 2,381,000 | |||||||||
Charge-offs | 0 | 0 | |||||||||
Recoveries | 228,000 | 62,000 | |||||||||
Net charge-offs | 228,000 | 62,000 | |||||||||
Balance at period end | 7,590,000 | 5,944,000 | 7,590,000 | 5,944,000 | 3,501,000 | ||||||
Total loans and leases | $ 684,010,000 | $ 681,201,000 | $ 684,010,000 | $ 681,201,000 | |||||||
Allowance for loans and leases to total loans and leases ratio | 1.11% | 0.87% | 1.11% | 0.87% | |||||||
Balance of loans specifically evaluated for impairment | $ 829,000 | $ 3,306,000 | $ 829,000 | $ 3,306,000 | |||||||
Allowance for loans specifically evaluated for impairment | $ 132,000 | 0 | $ 132,000 | 0 | |||||||
Specific allowance to specific loans ratio | 15.92% | 15.92% | |||||||||
Balance of loans collectively evaluated | $ 683,181,000 | 677,895,000 | $ 683,181,000 | 677,895,000 | |||||||
Allowance for loans collectively evaluated | 7,458,000 | 5,944,000 | $ 7,458,000 | $ 5,944,000 | |||||||
Collective allowance to collective loans ratio | 1.09% | 0.88% | |||||||||
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | Receivables Acquired with Deteriorated Credit Quality [Member] | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance of loans acquired | $ 0 | $ 0 | |||||||||
Allowance for loans acquired | $ 0 | $ 0 | |||||||||
Allowance to loans acquired with deteriorated credity quality ratio | 0.00% | 0.00% | |||||||||
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance at beginning of year | 17,603,000 | 14,970,000 | $ 17,603,000 | $ 14,970,000 | |||||||
Provision (credit) | 788,000 | 2,677,000 | |||||||||
Charge-offs | 0 | (131,000) | |||||||||
Recoveries | 16,000 | 87,000 | |||||||||
Net charge-offs | 16,000 | (44,000) | |||||||||
Balance at period end | 18,407,000 | 17,603,000 | 18,407,000 | 17,603,000 | 14,970,000 | ||||||
Total loans and leases | $ 2,169,156,000 | $ 1,958,395,000 | $ 2,169,156,000 | $ 1,958,395,000 | |||||||
Allowance for loans and leases to total loans and leases ratio | 0.85% | 0.90% | 0.85% | 0.90% | |||||||
Balance of loans specifically evaluated for impairment | $ 9,212,000 | $ 5,355,000 | $ 9,212,000 | $ 5,355,000 | |||||||
Allowance for loans specifically evaluated for impairment | $ 1,529,000 | $ 1,207,000 | $ 1,529,000 | $ 1,207,000 | |||||||
Specific allowance to specific loans ratio | 16.60% | 22.54% | 16.60% | 22.54% | |||||||
Balance of loans collectively evaluated | $ 2,150,400,000 | $ 1,938,712,000 | $ 2,150,400,000 | $ 1,938,712,000 | |||||||
Allowance for loans collectively evaluated | 16,878,000 | 16,396,000 | $ 16,878,000 | $ 16,396,000 | |||||||
Collective allowance to collective loans ratio | 0.78% | 0.85% | |||||||||
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | Receivables Acquired with Deteriorated Credit Quality [Member] | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance of loans acquired | $ 9,544,000 | $ 14,328,000 | |||||||||
Allowance for loans acquired | $ 0 | $ 0 | |||||||||
Allowance to loans acquired with deteriorated credity quality ratio | 0.00% | 0.00% | |||||||||
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance at beginning of year | 6,307,000 | 7,178,000 | $ 6,307,000 | $ 7,178,000 | |||||||
Provision (credit) | 577,000 | (871,000) | |||||||||
Charge-offs | 0 | 0 | |||||||||
Recoveries | 0 | 0 | |||||||||
Net charge-offs | 0 | 0 | |||||||||
Balance at period end | 6,884,000 | 6,307,000 | 6,884,000 | 6,307,000 | 7,178,000 | ||||||
Total loans and leases | $ 1,288,677,000 | $ 1,202,903,000 | $ 1,288,677,000 | $ 1,202,903,000 | |||||||
Allowance for loans and leases to total loans and leases ratio | 0.53% | 0.52% | 0.53% | 0.52% | |||||||
Balance of loans specifically evaluated for impairment | $ 4,148,000 | $ 4,234,000 | $ 4,148,000 | $ 4,234,000 | |||||||
Allowance for loans specifically evaluated for impairment | $ 23,000 | $ 123,000 | $ 23,000 | $ 123,000 | |||||||
Specific allowance to specific loans ratio | 0.55% | 2.91% | 0.55% | 2.91% | |||||||
Balance of loans collectively evaluated | $ 1,284,529,000 | $ 1,196,487,000 | $ 1,284,529,000 | $ 1,196,487,000 | |||||||
Allowance for loans collectively evaluated | 6,861,000 | 6,184,000 | $ 6,861,000 | $ 6,184,000 | |||||||
Collective allowance to collective loans ratio | 0.53% | 0.52% | |||||||||
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | Receivables Acquired with Deteriorated Credit Quality [Member] | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance of loans acquired | $ 0 | $ 2,182,000 | |||||||||
Allowance for loans acquired | $ 0 | $ 0 | |||||||||
Allowance to loans acquired with deteriorated credity quality ratio | 0.00% | 0.00% | |||||||||
Residential Real Estate Portfolio Segment | Residential Mortgage | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance at beginning of year | 8,881,000 | 7,268,000 | $ 8,881,000 | $ 7,268,000 | |||||||
Provision (credit) | 474,000 | 1,776,000 | |||||||||
Charge-offs | (690,000) | (225,000) | |||||||||
Recoveries | 138,000 | 62,000 | |||||||||
Net charge-offs | (552,000) | (163,000) | |||||||||
Balance at period end | 8,803,000 | 8,881,000 | 8,803,000 | 8,881,000 | 7,268,000 | ||||||
Total loans and leases | $ 1,149,327,000 | $ 1,228,247,000 | $ 1,149,327,000 | $ 1,228,247,000 | |||||||
Allowance for loans and leases to total loans and leases ratio | 0.77% | 0.72% | 0.77% | 0.72% | |||||||
Balance of loans specifically evaluated for impairment | $ 1,717,000 | $ 1,729,000 | $ 1,717,000 | $ 1,729,000 | |||||||
Allowance for loans specifically evaluated for impairment | 0 | 0 | 0 | 0 | |||||||
Balance of loans collectively evaluated | 1,147,602,000 | 1,226,508,000 | 1,147,602,000 | 1,226,508,000 | |||||||
Allowance for loans collectively evaluated | 8,803,000 | 8,881,000 | $ 8,803,000 | $ 8,881,000 | |||||||
Collective allowance to collective loans ratio | 0.77% | 0.72% | |||||||||
Residential Real Estate Portfolio Segment | Residential Mortgage | Receivables Acquired with Deteriorated Credit Quality [Member] | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance of loans acquired | $ 8,000 | $ 10,000 | |||||||||
Allowance for loans acquired | $ 0 | $ 0 | |||||||||
Allowance to loans acquired with deteriorated credity quality ratio | 0.00% | 0.00% | |||||||||
Residential Real Estate Portfolio Segment | Residential Construction | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance at beginning of year | $ 1,261,000 | $ 1,246,000 | $ 1,261,000 | $ 1,246,000 | |||||||
Provision (credit) | (302,000) | 0 | |||||||||
Charge-offs | 0 | 0 | |||||||||
Recoveries | 8,000 | 15,000 | |||||||||
Net charge-offs | 8,000 | 15,000 | |||||||||
Balance at period end | 967,000 | 1,261,000 | 967,000 | 1,261,000 | $ 1,246,000 | ||||||
Total loans and leases | $ 146,279,000 | $ 186,785,000 | $ 146,279,000 | $ 186,785,000 | |||||||
Allowance for loans and leases to total loans and leases ratio | 0.66% | 0.68% | 0.66% | 0.68% | |||||||
Balance of loans specifically evaluated for impairment | $ 0 | $ 0 | $ 0 | $ 0 | |||||||
Allowance for loans specifically evaluated for impairment | 0 | 0 | 0 | 0 | |||||||
Balance of loans collectively evaluated | 146,279,000 | 186,785,000 | 146,279,000 | 186,785,000 | |||||||
Allowance for loans collectively evaluated | $ 967,000 | $ 1,261,000 | $ 967,000 | $ 1,261,000 | |||||||
Collective allowance to collective loans ratio | 0.66% | 0.68% | |||||||||
Residential Real Estate Portfolio Segment | Residential Construction | Receivables Acquired with Deteriorated Credit Quality [Member] | |||||||||||
Financing Receivable Allowance For Credit Losses [Line Items] | |||||||||||
Balance of loans acquired | $ 0 | $ 0 | |||||||||
Allowance for loans acquired | $ 0 | $ 0 | |||||||||
Allowance to loans acquired with deteriorated credity quality ratio | 0.00% | 0.00% |
CREDIT QUALITY ASSESSMENT (Su_2
CREDIT QUALITY ASSESSMENT (Summary of Impaired Loans) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Credit Quality Assessment [Abstract] | |||
Impaired loans with a specific allowance | $ 15,333 | $ 12,876 | $ 11,693 |
Impaired loans without a specific allowance | 9,440 | 9,334 | 9,116 |
Total impaired loans | 24,773 | 22,210 | 20,809 |
Allowance for loan and lease losses related to impaired loans | 5,501 | 4,924 | 4,014 |
Allowance for loan and lease losses related to loans collectively evaluated | 50,631 | 48,562 | 41,243 |
Total allowance for loan and lease losses | 56,132 | 53,486 | 45,257 |
Average impaired loans for the period | 23,365 | 20,211 | 23,179 |
Contractual interest income due on impaired loans during the period | 1,947 | 2,513 | 2,314 |
Interest income on impaired loans recognized on a cash basis | 465 | 506 | 754 |
Interest income on impaired loans recognized on an accrual basis | $ 169 | $ 138 | $ 169 |
CREDIT QUALITY ASSESSMENT (Reco
CREDIT QUALITY ASSESSMENT (Recorded Investment with Respect to Impaired loans, Associated Allowance by Applicable Portfolio Segment and Principal Balance of Impaired Loans prior to Amounts Charged-off) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | $ 15,333 | $ 12,876 | $ 11,693 |
Impaired loans without a specific allowance | 9,440 | 9,334 | 9,116 |
Impaired loans | 24,773 | 22,210 | $ 20,809 |
Impaired Financing Receivable, Related Allowance | 5,501 | 4,924 | |
Unpaid principal balance in total impaired loans | 34,620 | 35,121 | |
Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 12,652 | 10,010 | |
Impaired loans without a specific allowance | 4,188 | 4,844 | |
Impaired loans | 16,840 | 14,854 | |
Restructuring | Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 266 | 328 | |
Impaired loans without a specific allowance | 2,370 | 1,614 | |
Impaired loans | 2,636 | 1,942 | |
Restructuring | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 2,415 | 2,538 | |
Impaired loans without a specific allowance | 2,882 | 2,876 | |
Impaired loans | 5,297 | 5,414 | |
Commercial | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 7,730 | 6,220 | |
Impaired loans without a specific allowance | 1,137 | 1,366 | |
Impaired loans | 8,867 | 7,586 | |
Impaired Financing Receivable, Related Allowance | 3,817 | 3,594 | |
Unpaid principal balance in total impaired loans | 11,296 | 11,056 | |
Commercial | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 5,608 | 4,126 | |
Impaired loans without a specific allowance | 114 | 220 | |
Impaired loans | 5,722 | 4,346 | |
Commercial | Restructuring | Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 266 | 328 | |
Impaired loans without a specific allowance | 151 | 172 | |
Impaired loans | 417 | 500 | |
Commercial | Restructuring | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 1,856 | 1,766 | |
Impaired loans without a specific allowance | 872 | 974 | |
Impaired loans | 2,728 | 2,740 | |
All Other | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 0 | 0 | |
Impaired loans without a specific allowance | 1,717 | 1,729 | |
Impaired loans | 1,717 | 1,729 | |
Impaired Financing Receivable, Related Allowance | 0 | 0 | |
Unpaid principal balance in total impaired loans | 2,618 | 3,081 | |
All Other | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 0 | 0 | |
Impaired loans without a specific allowance | 0 | 0 | |
Impaired loans | 0 | 0 | |
All Other | Restructuring | Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 0 | 0 | |
Impaired loans without a specific allowance | 1,444 | 1,442 | |
Impaired loans | 1,444 | 1,442 | |
All Other | Restructuring | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 0 | 0 | |
Impaired loans without a specific allowance | 273 | 287 | |
Impaired loans | 273 | 287 | |
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 829 | 0 | |
Impaired loans without a specific allowance | 0 | 3,306 | |
Impaired loans | 829 | 3,306 | |
Impaired Financing Receivable, Related Allowance | 132 | 0 | |
Unpaid principal balance in total impaired loans | 829 | 4,419 | |
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 829 | 0 | |
Impaired loans without a specific allowance | 0 | 3,170 | |
Impaired loans | 829 | 3,170 | |
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | Restructuring | Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 0 | 0 | |
Impaired loans without a specific allowance | 0 | 0 | |
Impaired loans | 0 | 0 | |
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | Restructuring | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 0 | 0 | |
Impaired loans without a specific allowance | 0 | 136 | |
Impaired loans | 0 | 136 | |
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 5,885 | 5,117 | |
Impaired loans without a specific allowance | 3,327 | 238 | |
Impaired loans | 9,212 | 5,355 | |
Impaired Financing Receivable, Related Allowance | 1,529 | 1,207 | |
Unpaid principal balance in total impaired loans | 13,805 | 9,909 | |
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 5,448 | 5,117 | |
Impaired loans without a specific allowance | 2,552 | 238 | |
Impaired loans | 8,000 | 5,355 | |
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | Restructuring | Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 0 | 0 | |
Impaired loans without a specific allowance | 775 | 0 | |
Impaired loans | 775 | 0 | |
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | Restructuring | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 437 | 0 | |
Impaired loans without a specific allowance | 0 | 0 | |
Impaired loans | 437 | 0 | |
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 889 | 1,539 | |
Impaired loans without a specific allowance | 3,259 | 2,695 | |
Impaired loans | 4,148 | 4,234 | |
Impaired Financing Receivable, Related Allowance | 23 | 123 | |
Unpaid principal balance in total impaired loans | 6,072 | 6,656 | |
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 767 | 767 | |
Impaired loans without a specific allowance | 1,522 | 1,216 | |
Impaired loans | 2,289 | 1,983 | |
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | Restructuring | Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 0 | 0 | |
Impaired loans without a specific allowance | 0 | 0 | |
Impaired loans | 0 | 0 | |
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | Restructuring | Non Accrual Loans | |||
Financing Receivable Impaired [Line Items] | |||
Impaired loans with a specific allowance | 122 | 772 | |
Impaired loans without a specific allowance | 1,737 | 1,479 | |
Impaired loans | $ 1,859 | $ 2,251 |
CREDIT QUALITY ASSESSMENT (Impa
CREDIT QUALITY ASSESSMENT (Impaired Loans by Portfolio) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Financing Receivable Impaired [Line Items] | |||
Average impaired loans for the period | $ 23,365 | $ 20,211 | $ 23,179 |
Contractual interest income due on impaired loans during the period | 1,947 | 2,513 | 2,314 |
Interest income on impaired loans recognized on a cash basis | 465 | 506 | 754 |
Interest income on impaired loans recognized on an accrual basis | 169 | 138 | $ 169 |
Commercial | |||
Financing Receivable Impaired [Line Items] | |||
Average impaired loans for the period | 7,781 | 7,685 | |
Contractual interest income due on impaired loans during the period | 648 | 858 | |
Interest income on impaired loans recognized on a cash basis | 221 | 215 | |
Interest income on impaired loans recognized on an accrual basis | 62 | 63 | |
All Other | |||
Financing Receivable Impaired [Line Items] | |||
Average impaired loans for the period | 1,577 | 2,237 | |
Contractual interest income due on impaired loans during the period | 128 | 143 | |
Interest income on impaired loans recognized on a cash basis | 8 | 96 | |
Interest income on impaired loans recognized on an accrual basis | 68 | 75 | |
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | |||
Financing Receivable Impaired [Line Items] | |||
Average impaired loans for the period | 2,052 | 770 | |
Contractual interest income due on impaired loans during the period | 127 | 495 | |
Interest income on impaired loans recognized on a cash basis | 0 | 0 | |
Interest income on impaired loans recognized on an accrual basis | 0 | 0 | |
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | |||
Financing Receivable Impaired [Line Items] | |||
Average impaired loans for the period | 7,565 | 5,696 | |
Contractual interest income due on impaired loans during the period | 786 | 610 | |
Interest income on impaired loans recognized on a cash basis | 49 | 20 | |
Interest income on impaired loans recognized on an accrual basis | 39 | 0 | |
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | |||
Financing Receivable Impaired [Line Items] | |||
Average impaired loans for the period | 4,390 | 3,823 | |
Contractual interest income due on impaired loans during the period | 258 | 407 | |
Interest income on impaired loans recognized on a cash basis | 187 | 175 | |
Interest income on impaired loans recognized on an accrual basis | $ 0 | $ 0 |
CREDIT QUALITY ASSESSMENT (Cred
CREDIT QUALITY ASSESSMENT (Credit Quality of Loan Portfolio) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Jan. 01, 2018 |
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | $ 27,748 | $ 27,235 | |
Non-accrual loans | 38,632 | 33,583 | |
Loans aquired with deteriorated credit quality | 12,700 | 26,000 | $ 41,900 |
Current loans | 6,625,768 | 6,484,869 | |
Total loans | 6,705,232 | 6,571,634 | |
Receivables Acquired with Deteriorated Credit Quality [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans aquired with deteriorated credit quality | 13,084 | 25,947 | |
Commercial | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 1,278 | 2,786 | |
Non-accrual loans | 8,450 | 7,086 | |
Current loans | 788,752 | 778,237 | |
Total loans | 801,019 | 796,264 | |
Commercial | Receivables Acquired with Deteriorated Credit Quality [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans aquired with deteriorated credit quality | 2,539 | 8,155 | |
Consumer | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 4,214 | 5,567 | |
Non-accrual loans | 4,107 | 4,107 | |
Current loans | 457,450 | 506,893 | |
Total loans | 466,764 | 517,839 | |
Consumer | Receivables Acquired with Deteriorated Credit Quality [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans aquired with deteriorated credit quality | 993 | 1,272 | |
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 474 | |
Non-accrual loans | 829 | 3,306 | |
Current loans | 683,181 | 677,421 | |
Total loans | 684,010 | 681,201 | |
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | Receivables Acquired with Deteriorated Credit Quality [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans aquired with deteriorated credit quality | 0 | 0 | |
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 932 | 3,830 | |
Non-accrual loans | 8,437 | 5,355 | |
Current loans | 2,150,243 | 1,934,882 | |
Total loans | 2,169,156 | 1,958,395 | |
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | Receivables Acquired with Deteriorated Credit Quality [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans aquired with deteriorated credit quality | 9,544 | 14,328 | |
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 316 | 433 | |
Non-accrual loans | 4,148 | 4,234 | |
Current loans | 1,284,213 | 1,196,054 | |
Total loans | 1,288,677 | 1,202,903 | |
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | Receivables Acquired with Deteriorated Credit Quality [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans aquired with deteriorated credit quality | 0 | 2,182 | |
Residential Real Estate Portfolio Segment | Residential Mortgage | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 19,394 | 10,919 | |
Non-accrual loans | 12,661 | 9,336 | |
Current loans | 1,117,264 | 1,207,982 | |
Total loans | 1,149,327 | 1,228,247 | |
Residential Real Estate Portfolio Segment | Residential Mortgage | Receivables Acquired with Deteriorated Credit Quality [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans aquired with deteriorated credit quality | 8 | 10 | |
Residential Real Estate Portfolio Segment | Residential Construction | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 1,614 | 3,226 | |
Non-accrual loans | 0 | 159 | |
Current loans | 144,665 | 183,400 | |
Total loans | 146,279 | 186,785 | |
Residential Real Estate Portfolio Segment | Residential Construction | Receivables Acquired with Deteriorated Credit Quality [Member] | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Loans aquired with deteriorated credit quality | 0 | 0 | |
31-60 days | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 19,986 | 21,963 | |
31-60 days | Commercial | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 908 | 2,737 | |
31-60 days | Consumer | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 2,697 | 3,871 | |
31-60 days | Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 474 | |
31-60 days | Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 932 | 3,041 | |
31-60 days | Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 316 | 433 | |
31-60 days | Residential Real Estate Portfolio Segment | Residential Mortgage | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 14,853 | 8,181 | |
31-60 days | Residential Real Estate Portfolio Segment | Residential Construction | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 280 | 3,226 | |
61-90 days | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 7,762 | 4,783 | |
61-90 days | Commercial | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 370 | 0 | |
61-90 days | Consumer | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 1,517 | 1,477 | |
61-90 days | Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 0 | |
61-90 days | Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 789 | |
61-90 days | Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 0 | |
61-90 days | Residential Real Estate Portfolio Segment | Residential Mortgage | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 4,541 | 2,517 | |
61-90 days | Residential Real Estate Portfolio Segment | Residential Construction | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 1,334 | 0 | |
> 90 days | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 489 | |
> 90 days | Commercial | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 49 | |
> 90 days | Consumer | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 219 | |
> 90 days | Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 0 | |
> 90 days | Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 0 | |
> 90 days | Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 0 | |
> 90 days | Residential Real Estate Portfolio Segment | Residential Mortgage | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | 0 | 221 | |
> 90 days | Residential Real Estate Portfolio Segment | Residential Construction | |||
Financing Receivable Recorded Investment Past Due [Line Items] | |||
Total past due | $ 0 | $ 0 |
CREDIT QUALITY ASSESSMENT (Cr_2
CREDIT QUALITY ASSESSMENT (Credit Quality of Loan Portfolio by Segment) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable Recorded Investment [Line Items] | ||
Non-accrual loans | $ 38,632 | $ 33,583 |
Loans 90 days past due | 0 | 489 |
Restructured loans | 2,636 | 1,942 |
Total non-performing loans | 41,268 | 36,014 |
Other real estate owned | 1,482 | 1,584 |
Total non-performing assets | 42,750 | 37,598 |
Commercial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Non-accrual loans | 8,450 | 7,086 |
Loans 90 days past due | 0 | 49 |
Restructured loans | 417 | 500 |
Total non-performing loans | 8,867 | 7,635 |
Other real estate owned | 39 | 39 |
Total non-performing assets | 8,906 | 7,674 |
Consumer | ||
Financing Receivable Recorded Investment [Line Items] | ||
Non-accrual loans | 4,107 | 4,107 |
Loans 90 days past due | 0 | 219 |
Restructured loans | 364 | 0 |
Total non-performing loans | 4,471 | 4,326 |
Other real estate owned | 64 | 0 |
Total non-performing assets | 4,535 | 4,326 |
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Non-accrual loans | 829 | 3,306 |
Loans 90 days past due | 0 | 0 |
Restructured loans | 0 | 0 |
Total non-performing loans | 829 | 3,306 |
Other real estate owned | 665 | 315 |
Total non-performing assets | 1,494 | 3,621 |
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Non-accrual loans | 8,437 | 5,355 |
Loans 90 days past due | 0 | 0 |
Restructured loans | 775 | 0 |
Total non-performing loans | 9,212 | 5,355 |
Other real estate owned | 409 | 409 |
Total non-performing assets | 9,621 | 5,764 |
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Non-accrual loans | 4,148 | 4,234 |
Loans 90 days past due | 0 | 0 |
Restructured loans | 0 | 0 |
Total non-performing loans | 4,148 | 4,234 |
Other real estate owned | 0 | 0 |
Total non-performing assets | 4,148 | 4,234 |
Residential Real Estate Portfolio Segment | Residential Mortgage | ||
Financing Receivable Recorded Investment [Line Items] | ||
Non-accrual loans | 12,661 | 9,336 |
Loans 90 days past due | 0 | 221 |
Restructured loans | 1,080 | 1,442 |
Total non-performing loans | 13,741 | 10,999 |
Other real estate owned | 305 | 821 |
Total non-performing assets | 14,046 | 11,820 |
Residential Real Estate Portfolio Segment | Residential Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Non-accrual loans | 0 | 159 |
Loans 90 days past due | 0 | 0 |
Restructured loans | 0 | 0 |
Total non-performing loans | 0 | 159 |
Other real estate owned | 0 | 0 |
Total non-performing assets | $ 0 | $ 159 |
CREDIT QUALITY ASSESSMENT (Cr_3
CREDIT QUALITY ASSESSMENT (Credit Risk Rating Indicators for Each Segment of Commercial Loan Portfolio) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | $ 6,705,232 | $ 6,571,634 |
Commercial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 801,019 | 796,264 |
Substandard [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 42,504 | 53,615 |
Commercial Portfolio Segment [Member] | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 4,942,862 | 4,638,763 |
Commercial Portfolio Segment [Member] | Commercial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 801,019 | 796,264 |
Commercial Portfolio Segment [Member] | Commercial Acquisition, Development and Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 684,010 | 681,201 |
Commercial Portfolio Segment [Member] | Commercial Investor Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 2,169,156 | 1,958,395 |
Commercial Portfolio Segment [Member] | Commercial Owner Occupied Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 1,288,677 | 1,202,903 |
Commercial Portfolio Segment [Member] | Pass | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 4,892,398 | 4,576,321 |
Commercial Portfolio Segment [Member] | Pass | Commercial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 783,909 | 773,958 |
Commercial Portfolio Segment [Member] | Pass | Commercial Acquisition, Development and Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 683,181 | 677,574 |
Commercial Portfolio Segment [Member] | Pass | Commercial Investor Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 2,146,971 | 1,934,886 |
Commercial Portfolio Segment [Member] | Pass | Commercial Owner Occupied Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 1,278,337 | 1,189,903 |
Commercial Portfolio Segment [Member] | Special Mention | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 7,960 | 8,827 |
Commercial Portfolio Segment [Member] | Special Mention | Commercial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 2,487 | 1,942 |
Commercial Portfolio Segment [Member] | Special Mention | Commercial Acquisition, Development and Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 321 |
Commercial Portfolio Segment [Member] | Special Mention | Commercial Investor Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 3,189 | 3,826 |
Commercial Portfolio Segment [Member] | Special Mention | Commercial Owner Occupied Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 2,284 | 2,738 |
Commercial Portfolio Segment [Member] | Substandard [Member] | Commercial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 14,623 | 20,364 |
Commercial Portfolio Segment [Member] | Doubtful | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Commercial Portfolio Segment [Member] | Doubtful | Commercial | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Commercial Portfolio Segment [Member] | Doubtful | Commercial Acquisition, Development and Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Commercial Portfolio Segment [Member] | Doubtful | Commercial Investor Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Commercial Portfolio Segment [Member] | Doubtful | Commercial Owner Occupied Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 0 | 0 |
Commercial Real Estate Portfolio Segment | Commercial Acquisition, Development and Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 684,010 | 681,201 |
Commercial Real Estate Portfolio Segment | Commercial Investor Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 2,169,156 | 1,958,395 |
Commercial Real Estate Portfolio Segment | Commercial Owner Occupied Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 1,288,677 | 1,202,903 |
Commercial Real Estate Portfolio Segment | Substandard [Member] | Commercial Acquisition, Development and Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 829 | 3,306 |
Commercial Real Estate Portfolio Segment | Substandard [Member] | Commercial Investor Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | 18,996 | 19,683 |
Commercial Real Estate Portfolio Segment | Substandard [Member] | Commercial Owner Occupied Real Estate | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans | $ 8,056 | $ 10,262 |
CREDIT QUALITY ASSESSMENT (Info
CREDIT QUALITY ASSESSMENT (Information by Credit Risk Rating Indicators for Those Remaining Segments of Loan Portfolio) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | $ 6,705,232 | $ 6,571,634 |
Consumer | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 466,764 | 517,839 |
Residential Real Estate Portfolio Segment | Residential Mortgage | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 1,149,327 | 1,228,247 |
Residential Real Estate Portfolio Segment | Residential Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 146,279 | 186,785 |
Homogeneous Loan Pools | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 1,762,370 | 1,932,871 |
Homogeneous Loan Pools | Consumer | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 466,764 | 517,839 |
Homogeneous Loan Pools | Residential Real Estate Portfolio Segment | Residential Mortgage | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 1,149,327 | 1,228,247 |
Homogeneous Loan Pools | Residential Real Estate Portfolio Segment | Residential Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 146,279 | 186,785 |
Homogeneous Loan Pools | Performing Financing Receivable | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 1,744,158 | 1,917,387 |
Homogeneous Loan Pools | Performing Financing Receivable | Consumer | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 462,293 | 513,513 |
Homogeneous Loan Pools | Performing Financing Receivable | Residential Real Estate Portfolio Segment | Residential Mortgage | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 1,135,586 | 1,217,248 |
Homogeneous Loan Pools | Performing Financing Receivable | Residential Real Estate Portfolio Segment | Residential Construction | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 146,279 | 186,626 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Loans 90 Days Or More Past Due | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 440 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Non Accrual Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 16,768 | 13,602 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Restructured Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 1,444 | 1,442 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Consumer | Loans 90 Days Or More Past Due | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 219 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Consumer | Non Accrual Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 4,107 | 4,107 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Consumer | Restructured Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 364 | 0 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Residential Real Estate Portfolio Segment | Residential Mortgage | Loans 90 Days Or More Past Due | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 221 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Residential Real Estate Portfolio Segment | Residential Mortgage | Non Accrual Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 12,661 | 9,336 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Residential Real Estate Portfolio Segment | Residential Mortgage | Restructured Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 1,080 | 1,442 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Residential Real Estate Portfolio Segment | Residential Construction | Loans 90 Days Or More Past Due | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 0 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Residential Real Estate Portfolio Segment | Residential Construction | Non Accrual Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | 0 | 159 |
Homogeneous Loan Pools | Nonperforming Financing Receivable | Residential Real Estate Portfolio Segment | Residential Construction | Restructured Loans | ||
Financing Receivable Recorded Investment [Line Items] | ||
Total loans and leases | $ 0 | $ 0 |
CREDIT QUALITY ASSESSMENT (Trou
CREDIT QUALITY ASSESSMENT (Troubled Debt Restructured Loans for Specific Segments of the Loan Portfolio) (Detail) - Troubled Debt Restructuring - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Financing Receivable Modifications [Line Items] | ||
Restructured accruing | $ 1,309 | $ 0 |
Restructured non-accruing | 1,050 | 1,622 |
Balance | 2,359 | 1,622 |
Specific allowance | 401 | 563 |
Restructured and subsequently defaulted | 0 | 0 |
Commercial | ||
Financing Receivable Modifications [Line Items] | ||
Restructured accruing | 170 | 0 |
Restructured non-accruing | 261 | 1,464 |
Balance | 431 | 1,464 |
Specific allowance | 196 | 563 |
Restructured and subsequently defaulted | 0 | 0 |
All Other | ||
Financing Receivable Modifications [Line Items] | ||
Restructured accruing | 364 | 0 |
Restructured non-accruing | 0 | 0 |
Balance | 364 | 0 |
Specific allowance | 0 | 0 |
Restructured and subsequently defaulted | 0 | 0 |
Commercial Portfolio Segment | Commercial Acquisition, Development and Construction | ||
Financing Receivable Modifications [Line Items] | ||
Restructured accruing | 0 | 0 |
Restructured non-accruing | 0 | 0 |
Balance | 0 | 0 |
Specific allowance | 0 | 0 |
Restructured and subsequently defaulted | 0 | 0 |
Commercial Portfolio Segment | Commercial Investor Real Estate | ||
Financing Receivable Modifications [Line Items] | ||
Restructured accruing | 775 | 0 |
Restructured non-accruing | 789 | 0 |
Balance | 1,564 | 0 |
Specific allowance | 205 | 0 |
Restructured and subsequently defaulted | 0 | 0 |
Commercial Portfolio Segment | Commercial Owner Occupied Real Estate | ||
Financing Receivable Modifications [Line Items] | ||
Restructured accruing | 0 | 0 |
Restructured non-accruing | 0 | 158 |
Balance | 0 | 158 |
Specific allowance | 0 | 0 |
Restructured and subsequently defaulted | $ 0 | $ 0 |
PREMISES AND EQUIPMENT (Additio
PREMISES AND EQUIPMENT (Additional Information) (Detail) - USD ($) $ in Millions | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Property, Plant and Equipment [Abstract] | |||
Depreciation and amortization | $ 7.2 | $ 7.2 | $ 5.3 |
PREMISES AND EQUIPMENT (Compone
PREMISES AND EQUIPMENT (Components of Premises and Equipment) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Property, Plant and Equipment [Abstract] | ||
Land | $ 10,160 | $ 10,160 |
Buildings and leasehold improvements | 70,812 | 69,620 |
Equipment | 46,471 | 44,802 |
Total premises and equipment | 127,443 | 124,582 |
Less: accumulated depreciation and amortization | (68,828) | (62,640) |
Net premises and equipment | $ 58,615 | $ 61,942 |
LEASES - Narrative (Details)
LEASES - Narrative (Details) - USD ($) | 12 Months Ended | |
Dec. 31, 2019 | Jan. 01, 2018 | |
Leases [Abstract] | ||
Lessee, Operating Lease, Description | The Company leases real estate properties for its network of bank branches, financial centers and corporate offices. All of the Company’s leases are currently classified as operating. | |
Lessee, Operating Lease, Option to Extend | Most lease agreements include one or more options to renew, with renewal terms that can extend the original lease term from one to twenty years or more. | |
Operating Lease, Right-of-Use Asset | $ 69,300,000 | $ 77,700,000 |
Operating Lease, Liability | 76,871,000 | $ 85,100,000 |
Operating Lease Expense | 11,300,000 | |
ROU assets obtained in exchange for operating lease obligations | 400,000 | |
Cash paid for amounts included in the measurement of lease liabilities | $ 8,700,000 | |
Weighted average remaining lease term | 10 years 4 months 24 days | |
Weighted average discount rate | 3.28% | |
Lease obligations related to finance and operating leases incurred | $ 0 |
LEASES - Maturities of operatin
LEASES - Maturities of operating lease liabilities (Details) - USD ($) | Dec. 31, 2019 | Jan. 01, 2018 |
Operating Lease Liabilities Payments Due [Abstract] | ||
One year | $ 10,741,000 | |
Two years | 10,316,000 | |
Three years | 9,995,000 | |
Four years | 10,100,000 | |
Five years | 8,402,000 | |
Thereafter | 42,730,000 | |
Total undiscounted lease payments | 92,284,000 | |
Less: Present value discount | (15,413,000) | |
Lease Liability | $ 76,871,000 | $ 85,100,000 |
GOODWILL AND OTHER INTANGIBLE_3
GOODWILL AND OTHER INTANGIBLE ASSETS (Gross Carrying Amouns and Accumulated Amortization of Intangible Assets and Goodwill) (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Finite Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 12,156 | $ 12,156 | |
Accumulated Amortization | (4,315) | (2,368) | |
Net Carrying Amount | 7,841 | 9,788 | |
Goodwill | 347,149 | 347,149 | $ 85,768 |
Core deposits [Member] | |||
Finite Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | 10,678 | 10,678 | |
Accumulated Amortization | (3,689) | 1,941 | |
Net Carrying Amount | $ 6,989 | $ 8,737 | |
Core deposits [Member] | Weighted average [Member] | |||
Finite Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 8 years | 9 years | |
Other Identifiable Intangible Assets | |||
Finite Lived Intangible Assets [Line Items] | |||
Gross Carrying Amount | $ 1,478 | $ 1,478 | |
Accumulated Amortization | (626) | (427) | |
Net Carrying Amount | $ 852 | $ 1,051 | |
Other Identifiable Intangible Assets | Weighted average [Member] | |||
Finite Lived Intangible Assets [Line Items] | |||
Finite-Lived Intangible Asset, Useful Life | 9 years 8 months 12 days | 10 years 7 months 6 days |
GOODWILL AND OTHER INTANGIBLE_4
GOODWILL AND OTHER INTANGIBLE ASSETS (Net Carrying Amount of Goodwill By Segment) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Goodwill [Line Items] | ||
Beginning balance | $ 347,149 | $ 85,768 |
WashingtonFirst Acquisition | 0 | 261,381 |
Ending balance | 347,149 | 347,149 |
Community Banking | ||
Goodwill [Line Items] | ||
Beginning balance | 331,173 | 69,991 |
WashingtonFirst Acquisition | 0 | 261,182 |
Ending balance | 331,173 | 331,173 |
Insurance | ||
Goodwill [Line Items] | ||
Beginning balance | 6,788 | 6,788 |
WashingtonFirst Acquisition | 0 | 0 |
Ending balance | 6,788 | 6,788 |
Investment Management | ||
Goodwill [Line Items] | ||
Beginning balance | 9,188 | 8,989 |
WashingtonFirst Acquisition | 0 | 199 |
Ending balance | $ 9,188 | $ 9,188 |
GOODWILL AND OTHER INTANGIBLE_5
GOODWILL AND OTHER INTANGIBLE ASSETS (Estimated Future Amortization Expense for Amortizing Intangibles) (Detail) $ in Thousands | Dec. 31, 2019USD ($) |
Goodwill and Intangible Assets Disclosure [Abstract] | |
2020 | $ 1,717 |
2021 | 1,507 |
2022 | 1,295 |
2023 | 1,082 |
Thereafter | 2,240 |
Total amortizing intangible assets | $ 7,841 |
DEPOSITS (Additional Informatio
DEPOSITS (Additional Information) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Banking and Thrift [Abstract] | |||
Demand Deposit Overdrafts Reclassified As Loan | $ 1,400 | $ 2,700 | |
Percentage of time deposits of $100,000 or more, of total deposits | 16.80% | ||
Interest expense on time deposits of $100,000 or more | $ 23,900 | 12,500 | $ 4,500 |
Time Deposits [Line Items] | |||
Total deposits | 6,440,319 | 5,914,880 | |
Director and Executive Officer [Member] | |||
Time Deposits [Line Items] | |||
Total deposits | $ 29,900 | $ 31,600 |
DEPOSITS (Composition of Deposi
DEPOSITS (Composition of Deposits) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure Composition Of Deposits [Abstract] | ||
Noninterest-bearing deposits | $ 1,892,052 | $ 1,750,319 |
Interest-bearing deposits: | ||
Demand | 836,433 | 703,145 |
Money market savings | 1,839,593 | 1,605,024 |
Regular savings | 329,919 | 330,231 |
Time deposits of less than $100,000 | 463,431 | 427,421 |
Time deposits of $100,000 or more | 1,078,891 | 1,098,740 |
Total interest-bearing deposits | 4,548,267 | 4,164,561 |
Total deposits | $ 6,440,319 | $ 5,914,880 |
DEPOSITS (Maturity Schedule for
DEPOSITS (Maturity Schedule for Time Deposits) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Banking and Thrift [Abstract] | ||
2020 | $ 1,134,309 | |
2021 | 268,813 | |
2022 | 107,671 | |
2023 | 19,644 | |
Thereafter, Year Four | 11,885 | |
Total time deposits | $ 1,542,322 | $ 1,526,161 |
DEPOSITS (Months to Maturities
DEPOSITS (Months to Maturities Of Time Deposits) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Banking and Thrift [Abstract] | ||
Months to maturity 3 or less | $ 211,627 | |
Months to maturity over 3 to 6 | 195,579 | |
Months to maturity over 6 to 12 | 400,833 | |
Months to maturity over 12 | 270,852 | |
Total time deposits | $ 1,078,891 | $ 1,098,740 |
BORROWINGS (Additional Informat
BORROWINGS (Additional Information) (Detail) - USD ($) $ in Millions | Dec. 31, 2019 | Dec. 31, 2018 |
Borrowings [Line Items] | ||
Percentage of principal and accrued interest of retail repurchase agreements collateralized | 102.50% | |
FHLB | ||
Borrowings [Line Items] | ||
Line of credit amount available for borrowing | $ 2,400 | $ 2,200 |
Line Of Credit, Outstanding Amount | 513.8 | 1,000 |
Short term borrowings | $ 190 | |
Short term borrowing yield rate | 2.65% | |
Residential Portfolio Segment | ||
Borrowings [Line Items] | ||
Pledged under blanket lien | 1,000 | $ 1,100 |
HELOC | ||
Borrowings [Line Items] | ||
Pledged under blanket lien | 266.8 | 312.7 |
Multifamily Loans | ||
Borrowings [Line Items] | ||
Pledged under blanket lien | 109.7 | 127.6 |
Federal Reserve and Correspondent Banks | ||
Borrowings [Line Items] | ||
Line of credit amount available for borrowing | 463.3 | 274.9 |
Unsecured line of credit available for borrowing | 730 | 590 |
Line Of Credit, Outstanding Amount | 75 | |
Commercial Portfolio Segment | ||
Borrowings [Line Items] | ||
Pledged under blanket lien | $ 1,900 | $ 1,800 |
BORROWINGS (Retail Repurchase A
BORROWINGS (Retail Repurchase Agreements And Other Short Term Borrowings) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Retail Purchase Agreements [Member] | |||
Short-term Debt [Line Items] | |||
Other short term borrowings | $ 138,605 | $ 137,429 | $ 119,359 |
Other short term borrowings, average | 134,070 | 142,938 | 133,356 |
Other short term borrowings, maximum month end balance | $ 152,685 | $ 154,435 | $ 147,459 |
Interest rate | 0.58% | 0.51% | 0.24% |
Average Interest Rate | 0.54% | 0.34% | 0.25% |
Federal funds purchased [Member] | |||
Short-term Debt [Line Items] | |||
Other short term borrowings | $ 75,000 | $ 0 | $ 0 |
Other short term borrowings, average | 17,373 | 0 | 0 |
Other short term borrowings, maximum month end balance | $ 75,000 | $ 0 | $ 0 |
Interest rate | 1.62% | ||
Average Interest Rate | 2.43% | 0.00% | 0.00% |
BORROWINGS (Advances from FHLB
BORROWINGS (Advances from FHLB and Respective Maturity Schedule) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Maturity: | ||
One Year | $ 134,167 | $ 625,969 |
Two Years | 230,445 | 42,500 |
Three Years | 76,665 | 80,816 |
Four Years | 72,500 | 26,826 |
Five Years | 0 | 72,500 |
After five years | 0 | 0 |
Total advances from FHLB | $ 513,777 | $ 848,611 |
Maturity: | ||
One Year | 2.13% | 2.46% |
Two Years | 2.39% | 2.12% |
Three years | 2.37% | 3.08% |
Four years | 3.12% | 2.90% |
Five years | 0.00% | 3.12% |
After five years | 0.00% | 0.00% |
Total advances from FHLB | 2.42% | 2.57% |
SUBORDINATED DEBENTURES (Additi
SUBORDINATED DEBENTURES (Additional Information) (Detail) - USD ($) $ in Thousands | Nov. 05, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2003 |
Subordinated Borrowing [Line Items] | |||||
Subordinated Debt | $ 209,406 | $ 37,425 | |||
Repayments of Subordinated Debt | 0 | 0 | $ 30,000 | ||
Subordinated Debt [Member] | |||||
Subordinated Borrowing [Line Items] | |||||
Subordinated Debt | $ 175,000 | 200,000 | 25,000 | ||
Purchase accounting premium | 1,894 | 2,023 | |||
Subordinated debt maturity date | Jan. 1, 2029 | ||||
Subordinated debt fixed interest rate | 4.25% | ||||
Debt issuance costs | $ 2,900 | 2,885 | 0 | ||
Subordinated Debt [Member] | WashingtonFirst Bankshares Inc [Member] | |||||
Subordinated Borrowing [Line Items] | |||||
Subordinated Debt | 25,000 | ||||
Purchase accounting premium | $ 2,200 | ||||
Maturity period | 10 years | ||||
Subordinated debt maturity date | Oct. 15, 2025 | ||||
Subordinated debt fixed interest rate | 6.00% | ||||
Description of Variable Rate Basis | LIBOR plus 467 basis points | ||||
Subordinated debt variable interest rate | 4.67% | ||||
Junior subordinated debt securities | |||||
Subordinated Borrowing [Line Items] | |||||
Subordinated Debt | $ 10,310 | 10,310 | $ 10,300 | ||
Purchase accounting premium | $ 87 | $ 92 | |||
Subordinated debt maturity date | Sep. 8, 2033 | ||||
Description of Variable Rate Basis | LIBOR plus 3.15% | ||||
Subordinated debt variable interest rate | 5.06% | 3.15% | |||
Junior subordinated debt securities | WashingtonFirst Bankshares Inc [Member] | |||||
Subordinated Borrowing [Line Items] | |||||
Subordinated Debt | $ 10,300 | ||||
Purchase accounting premium | $ 100 | ||||
London Interbank Offered Rate (LIBOR) [Member] | Subordinated Debt [Member] | |||||
Subordinated Borrowing [Line Items] | |||||
Description of Variable Rate Basis | LIBOR, or an alternative benchmark rate as determined pursuant to the terms of the indenture for the notes in the event LIBOR has been discontinued by November 15, 2024, plus 262 basis points | ||||
Subordinated debt variable interest rate | 2.62% |
SUBORDINATED DEBENTURES (Detail
SUBORDINATED DEBENTURES (Detailed information) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Nov. 05, 2019 | Dec. 31, 2018 | Dec. 31, 2003 |
Subordinated debentures [Line Items]: | ||||
Subordinated Debt | $ 209,406 | $ 37,425 | ||
Subordinated Debt [Member] | ||||
Subordinated debentures [Line Items]: | ||||
Subordinated Debt | 200,000 | $ 175,000 | 25,000 | |
Purchase accounting premium | 1,894 | 2,023 | ||
Debt issuance costs | (2,885) | $ (2,900) | 0 | |
Trust preferred capital notes [Member] | ||||
Subordinated debentures [Line Items]: | ||||
Subordinated Debt | 10,310 | 10,310 | $ 10,300 | |
Purchase accounting premium | $ 87 | $ 92 |
STOCKHOLDERS EQUITY (Additional
STOCKHOLDERS EQUITY (Additional Information) (Detail) - USD ($) | 12 Months Ended | ||||
Dec. 31, 2019 | Dec. 31, 2015 | Dec. 31, 2018 | Jul. 01, 2011 | May 01, 2004 | |
Stockholders Equity Note [Line Items] | |||||
Common Stock, Shares Authorized | 100,000,000 | 100,000,000 | |||
Common Stock, Par or Stated Value Per Share | $ 1 | $ 1 | |||
Dividend Reinvestment Plan [Member] | |||||
Dividend Reinvestment Plan [Abstract] | |||||
Dividend Reinvestment Plan, Description | The Company has a dividend reinvestment plan that is sponsored and administered by Computershare Shareholder Services as independent agent, which enables current shareholders as well as first-time buyers to purchase and sell common stock of Sandy Spring Bancorp, Inc. directly through Computershare at low commissions. Participants may reinvest cash dividends and make periodic supplemental cash payments to purchase additional shares. | ||||
Dividend Reinvestment Plan, Additional Dividends Potential Payment | $ 167,300,000 | ||||
Loans due to related parties | $ 0 | $ 0 | |||
Common Stock | Director Plan [Member] | |||||
Stockholders Equity Note [Line Items] | |||||
Common Stock, Shares Authorized | 45,000 | ||||
Shares available for issuance | 24,424 | ||||
Common Stock | Director Plan [Member] | Minimum [Member] | |||||
Dividend Reinvestment Plan [Abstract] | |||||
Percentage of fee of annual retainer fee to purchase shares | 50.00% | ||||
Common Stock | Employee Stock Purchase Plan [Member] | |||||
Stockholders Equity Note [Line Items] | |||||
Shares authorized but unissued | 300,000 | ||||
Shares available for issuance | 72,490 | ||||
Share Exercise Price Description | Shares are purchased at 85% of the fair market value on the exercise date through monthly payroll deductions of not less than 1% or more than 10% of cash compensation paid in the month. | ||||
Dividend Reinvestment Plan [Abstract] | |||||
Percentage of fair market value of share price | 85.00% | ||||
Common Stock | Employee Stock Purchase Plan [Member] | Minimum [Member] | |||||
Dividend Reinvestment Plan [Abstract] | |||||
Percentage of cash compensation paid through payroll deductions | 1.00% | ||||
Common Stock | Employee Stock Purchase Plan [Member] | Maximum [Member] | |||||
Dividend Reinvestment Plan [Abstract] | |||||
Percentage of cash compensation paid through payroll deductions | 10.00% | ||||
Common Stock | 2015 stock repurchase plan [Member] | Current Repurchase Program [Member] | |||||
Stockholders Equity Note [Line Items] | |||||
Share Repurchase Program Shares Authorized To Acquire Outstanding Common Stock Percentage | 5.00% | ||||
Repurchase of outstanding shares of common stock under Stock Repurchase Program | 1,200,000 | ||||
Stock Repurchased During Period, Shares | 736,139 | ||||
Stock Repurchased During Period, Value | $ 19,200,000 | ||||
stock Repurchase Program Expiration Date | Aug. 31, 2017 | ||||
Common Stock | 2018 stock repurchase plan [Member] | |||||
Stockholders Equity Note [Line Items] | |||||
Shares available for issuance | 1,800,000 | ||||
Stock Repurchased During Period, Shares | 668,191 | ||||
Stock Repurchased During Period, Value | $ 24,300,000 |
SHARE BASED COMPENSATION (Addit
SHARE BASED COMPENSATION (Additional Information) (Detail) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||||
Dec. 31, 2019 | Sep. 30, 2019 | Mar. 31, 2019 | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | May 06, 2015 | |
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Exercise period | 0 years | 5 years 7 months 9 days | 5 years 8 months 1 day | ||||
Options exercised intrinsic value | $ 179 | ||||||
Stock Options Granted | 0 | ||||||
2015 Omnibus Incentive Plan | Common Stock | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Common stock, shares authorizes | 1,500,000 | ||||||
Common stock, shares available for issuance | 1,150,417 | 1,150,417 | |||||
Term of share based compensation plan | 10 years | ||||||
2015 Omnibus Incentive Plan | Common Stock | Minimum [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Share-based Compensation Arrangement by Share-based Payment Award, Award Vesting Rights, Percentage | 100.00% | ||||||
2015 Omnibus Incentive Plan | Common Stock | Stock Options and Restricted Stock | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Recognized Compensation expense | $ 2,900 | $ 2,500 | $ 2,100 | ||||
Stock Options Vested, Fair Value | 200 | 100 | 200 | ||||
2015 Omnibus Incentive Plan | Common Stock | Stock Option | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Unrecognized Compensation expense | $ 100 | $ 100 | |||||
Expected cost recognition weighted average period | 1 year 1 month 6 days | ||||||
Options exercised intrinsic value | $ 200 | $ 400 | $ 700 | ||||
Stock Options Granted | 0 | ||||||
2015 Omnibus Incentive Plan | Common Stock | Restricted Stock | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Unrecognized Compensation expense | $ 5,600 | $ 5,600 | |||||
Expected cost recognition weighted average period | 2 years 8 months 12 days | ||||||
Stock Options Granted | 0 | 10,203 | 96,191 | ||||
2015 Omnibus Incentive Plan | Common Stock | Restricted Stock | 3 Year Vesting Period | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Stock Options Granted | 8,078 | ||||||
Vesting period | 3 years | ||||||
2015 Omnibus Incentive Plan | Common Stock | Restricted Stock | 3 or 5 years vesting period [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Stock Options Granted | 74,801 | ||||||
2015 Omnibus Incentive Plan | Common Stock | Restricted Stock | 3 or 5 years vesting period [Member] | Minimum [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period | 3 years | ||||||
2015 Omnibus Incentive Plan | Common Stock | Restricted Stock | 3 or 5 years vesting period [Member] | Maximum [Member] | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Vesting period | 5 years | ||||||
2015 Omnibus Incentive Plan | Common Stock | Performance Restricted Stock Units (RSUs) [Member] | 3 Year Vesting Period | |||||||
Share Based Compensation Arrangement By Share Based Payment Award [Line Items] | |||||||
Stock Options Granted | 2,125 | 21,390 | |||||
Vesting period | 3 years | 3 years |
SHARE BASED COMPENSATION (Fair
SHARE BASED COMPENSATION (Fair Values of all Options Granted Estimated Using Binomial Option-Pricing Model with Weighted-average Assumptions) (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Share Based Compensation [Abstract] | |||
Dividend yield | 0.00% | 2.64% | 2.45% |
Weighted average expected volatility | 0.00% | 39.13% | 40.27% |
Weighted average risk-free interest rate | 0.00% | 2.61% | 2.14% |
Weighted average expected lives (in years) | 0 years | 5 years 7 months 9 days | 5 years 8 months 1 day |
Weighted average grant-date fair value | $ 0 | $ 11.73 | $ 13.42 |
SHARE BASED COMPENSATION (Summa
SHARE BASED COMPENSATION (Summary of Share Option Activity) (Detail) - USD ($) $ / shares in Units, $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Number of Common Shares | |||
Beginning balance | 81,508 | ||
Granted | 0 | ||
Exercised | (15,080) | (20,888) | (30,567) |
Forfeited | (1,007) | ||
Expired | (142) | ||
Ending balance | 65,279 | 81,508 | |
Exercisable, Common Shares | 51,179 | ||
Weighted Average Exercise Share Price | |||
Beginning balance | $ 29.74 | ||
Granted | 0 | ||
Exercised | 22.20 | ||
Forfeited | 37.11 | ||
Expired | 42.48 | ||
Ending balance | 31.34 | $ 29.74 | |
Exercisable Weighted Average Exercise Price | 29.15 | ||
Weighted average fair value of options granted during the year | $ 0 | $ 11.73 | $ 13.42 |
Weighted Average Contractual Remaining Life(Years) | |||
Balance at end of period | 3 years 2 months 12 days | ||
Exercisable at end of period | 2 years 8 months 12 days | ||
Beginning balance | $ 369 | ||
Exercised | 179 | ||
Ending balance | 485 | $ 369 | |
Exercisable, Intrinsic Value | $ 485 |
SHARE BASED COMPENSATION (Sum_2
SHARE BASED COMPENSATION (Summary of Activity for Company's Restricted Stock) (Detail) - $ / shares | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Weighted Average Grant-Date Fair Value | |||
Granted | $ 0 | $ 11.73 | $ 13.42 |
Restricted Stock | |||
Number of Shares | |||
Restricted stock beginning balance | 203,603 | ||
Granted | 106,394 | ||
Vested | (69,842) | ||
Forfeited | (13,653) | ||
Restricted stock ending balance | 226,502 | 203,603 | |
Weighted Average Grant-Date Fair Value | |||
Restricted stock beginning balance | $ 35.14 | ||
Granted | 33.45 | ||
Vested | 31.55 | ||
Forfeited | 35.43 | ||
Restricted stock ending balance | $ 35.43 | $ 35.14 |
PENSION, PROFIT SHARING, AND _3
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Additional Information) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Defined Benefit Plan Disclosure [Line Items] | |||
Expected return on plan assets | 5.00% | 5.00% | 6.00% |
Maximum Percentage Of Asset Allocated To Control Market Volatility | 70.00% | ||
Maximum Percentage Of Market Value For Initial Acquisition Of Equity Portion | 5.00% | ||
Minimum Percentage Of Value Of Equity Portion For Sale | 10.00% | ||
Maximum Percentage Of Corporate Debt Issuable To Single Issuer | 10.00% | ||
Defined Benefit Plan, Contributions by Employer | $ 185 | $ 360 | |
Defined Benefit Plan, Investment Strategies, Investment Fund Category | Investment strategies and asset allocations are based on careful consideration of Plan liabilities, the Plan’s funded status and the Company’s financial condition. Investment performance and asset allocation are measured and monitored on an ongoing basis. Management allocates plan assets towards fixed income securities in order to align expected cash outflows with its funding source. This asset allocation has been set after taking into consideration the Plan’s current frozen status and the possibility of partial plan terminations over the intermediate term. The Plan’s asset allocation remained consistent during the current year. Market volatility risk is controlled by limiting the asset allocation of the most volatile asset class, equities, to no more than 70% of the portfolio and by ensuring that there is sufficient liquidity to meet distribution requirements from the portfolio without disrupting long-term assets. Diversification of the equity portion of the portfolio is controlled by limiting the value of any initial acquisition so that it does not exceed 5% of the market value of the portfolio when purchased. The policy requires the sale of any portion of an equity position when its value exceeds 10% of the portfolio. Fixed income market volatility risk is managed by limiting the term of fixed income investments to five years. Fixed income investments must carry an “A” or better rating by a recognized credit rating agency. Corporate debt of a single issuer may not exceed 10% of the market value of the portfolio. The investment in derivative instruments such as “naked” call options, futures, commodities, and short selling is prohibited. Investment in equity index funds and the writing of “covered” call options (a conservative strategy to increase portfolio income) are permitted. Foreign currency-denominated debt instruments are not permitted. At December 31, 2019, management is of the opinion that there are no significant concentrations of risk in the assets of the plan with respect to any single entity, industry, country, commodity or investment fund that are not otherwise mitigated by FDIC insurance available to the participants of the plan and collateral pledged for any such amount that may not be covered by FDIC insurance. Investment performance is measured against industry accepted benchmarks. The risk tolerance and asset allocation limitations imposed by the policy are consistent with attaining the rate of return assumptions used in the actuarial funding calculations. The RPIC committee meets quarterly to review the activities of the investment managers to ensure adherence with the Investment Policy Statement. | ||
Four Zero One K Provision Description | The Sandy Spring Bank 401(k) Plan (“the 401(k)”) is voluntary and covers all eligible employees after ninety days of service. The 401(k) provides that employees contributing to the 401(k) receive a matching contribution of 100% of the first 4% of compensation and 50% of the next 2% of compensation subject to employee contribution limitations. The Company matching contribution vests immediately. The Plan permits employees to purchase shares of the Company’s common stock with their 401(k) contributions, Company match, and other contributions under the Plan. | ||
Profit Sharing And Matching Contribution | $ 4,100 | 2,800 | $ 2,000 |
Executive Incentive Retirement Plan Benefit Cost | $ 500 | $ 400 | $ 400 |
PENSION, PROFIT SHARING, AND _4
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Plan's funded status) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Defined Benefit Plan, Change in Benefit Obligation [Roll Forward] | |||
Projected obligation at January 1 | $ 40,152 | $ 43,441 | |
Interest cost | 1,609 | 1,540 | $ 1,640 |
Actuarial loss (gain) | 371 | (593) | |
Benefit payments | (1,695) | (1,188) | |
Increase (decrease) related to discount rate change | 5,060 | (3,048) | |
Projected obligation at December 31 | 45,497 | 40,152 | 43,441 |
Defined Benefit Plan, Change in Fair Value of Plan Assets [Roll Forward] | |||
Fair value of plan assets at January 1 | 37,772 | 41,246 | |
Actual return on plan assets | 7,195 | (2,646) | |
Contribution | 185 | 360 | |
Benefit payments | (1,695) | (1,188) | |
Fair value of plan assets at December 31 | 43,457 | 37,772 | 41,246 |
Funded status at December 31 | (2,040) | (2,380) | |
Accumulated benefit obligation at December 31 | 45,497 | 40,152 | |
Unrecognized net actuarial loss | 11,177 | 12,352 | (12,487) |
Net periodic pension cost not yet recognized | $ 11,177 | $ 12,352 | $ (12,487) |
PENSION, PROFIT SHARING, AND _5
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Weighted Average Assumptions Used to Determine Benefit Obligations) (Detail) | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Pension, Profit Sharing, and Other Employee Benefit Plans [Abstract] | |||
Discount rate | 3.25% | 4.15% | 3.65% |
PENSION, PROFIT SHARING, AND _6
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Net Periodic Benefit Cost) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension, Profit Sharing, and Other Employee Benefit Plans [Abstract] | |||
Interest cost on projected benefit obligation | $ 1,609 | $ 1,540 | $ 1,640 |
Expected return on plan assets | (1,647) | (1,861) | (1,985) |
Recognized net actuarial loss | 1,059 | 1,000 | 1,181 |
Net periodic benefit cost | $ 1,021 | $ 679 | $ 836 |
PENSION, PROFIT SHARING, AND _7
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Weighted Average Assumptions Used to Determine Net Periodic Benefit Cost) (Detail) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension, Profit Sharing, and Other Employee Benefit Plans [Abstract] | |||
Discount rate | 4.15% | 3.65% | 4.15% |
Expected return on plan assets | 5.00% | 5.00% | 6.00% |
PENSION, PROFIT SHARING, AND _8
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Components of Net Unrecognized Benefits Costs (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension, Profit Sharing, and Other Employee Benefit Plans [Abstract] | |||
Included in accumulated other comprehensive income (loss), Beginning Balance | $ 12,352 | $ 12,487 | $ 13,689 |
Additions/(Reductions) during the year | (5,176) | 3,914 | (3,016) |
Reclassifications due to recognition as net periodic pension cost | (1,059) | (1,000) | (1,181) |
Increase (decrease) related to change in discount rate assumption | 5,060 | (3,049) | 2,995 |
Included in accumulated other comprehensive income (loss), Ending Balance | 11,177 | $ 12,352 | $ 12,487 |
Applicable tax effect | (2,845) | ||
Included in accumulated other comprehensive income (loss), net of tax effect | 8,332 | ||
Amount expected to be recognized as part of net periodic pension cost in the next fiscal year | $ 488 |
PENSION, PROFIT SHARING, AND _9
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Component of Net Periodic Benefit) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Pension, Profit Sharing, and Other Employee Benefit Plans [Abstract] | |||
Net actuarial loss | $ 11,177 | $ 12,352 | $ (12,487) |
Net periodic pension cost not yet recognized | $ 11,177 | $ 12,352 | $ (12,487) |
PENSION, PROFIT SHARING, AND_10
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Company's pension plan weighted average) (Detail) | Dec. 31, 2019 | Dec. 31, 2018 |
Defined Benefit Plan Disclosure [Line Items] | ||
Total pension plan assets | 100.00% | 100.00% |
Equity Securities | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total pension plan assets | 10.40% | 13.50% |
Mutual Fund | ||
Defined Benefit Plan Disclosure [Line Items] | ||
Total pension plan assets | 89.60% | 86.50% |
PENSION, PROFIT SHARING, AND_11
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Fair values of Company's pension plan assets) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | $ 43,457 | $ 37,772 | $ 41,246 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 11,518 | 7,137 | |
Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 31,939 | 30,635 | |
Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 0 | 0 | |
Mutual Fund | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 43,457 | 37,772 | |
Mutual Fund | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 11,518 | 7,137 | |
Mutual Fund | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 31,939 | 30,635 | |
Mutual Fund | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 0 | 0 | |
Large cap U.S. equity funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 2,774 | 3,086 | |
Large cap U.S. equity funds | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 1,855 | 1,366 | |
Large cap U.S. equity funds | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 919 | 1,720 | |
Large cap U.S. equity funds | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 0 | 0 | |
Small/Mid cap U.S. equity funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 847 | 646 | |
Small/Mid cap U.S. equity funds | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 0 | 0 | |
Small/Mid cap U.S. equity funds | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 847 | 646 | |
Small/Mid cap U.S. equity funds | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 0 | 0 | |
International equity funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 894 | 1,368 | |
International equity funds | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 894 | 1,368 | |
International equity funds | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 0 | 0 | |
International equity funds | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 0 | 0 | |
Short-term fixed income funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 3,688 | 1,186 | |
Short-term fixed income funds | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 0 | 0 | |
Short-term fixed income funds | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 3,688 | 1,186 | |
Short-term fixed income funds | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 0 | 0 | |
Fixed Income Funds | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 35,254 | 31,486 | |
Fixed Income Funds | Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 8,769 | 4,403 | |
Fixed Income Funds | Significant Other Observable Inputs (Level 2) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | 26,485 | 27,083 | |
Fixed Income Funds | Significant Unobservable Inputs (Level 3) | |||
Defined Benefit Plan Disclosure [Line Items] | |||
Defined Benefit Plan, Fair Value of Plan Assets, Asset Category | $ 0 | $ 0 |
PENSION, PROFIT SHARING, AND_12
PENSION, PROFIT SHARING, AND OTHER EMPLOYEE BENEFIT PLANS (Benefit payments, which reflect expected future service) (Detail) $ in Thousands | Dec. 31, 2019USD ($) |
Pension, Profit Sharing, and Other Employee Benefit Plans [Abstract] | |
2020 | $ 2,550 |
2021 | 2,420 |
2022 | 2,630 |
2023 | 2,350 |
2024 | 3,320 |
2025-2029 | $ 13,890 |
OTHER NON-INTEREST INCOME AND_2
OTHER NON-INTEREST INCOME AND OTHER NON-INTEREST EXPENSE (Selected Components of Other Non-Interest Income And Other Non-Interest Expense) (Detail) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Other Income and Expenses [Abstract] | |||
Letter of credit fees | $ 389 | $ 611 | $ 847 |
Extension fees | 1,287 | 873 | 568 |
Other income | 7,104 | 5,642 | 4,916 |
Total other non-interest income | 8,780 | 7,126 | 6,331 |
Postage and delivery | 1,502 | 1,439 | 1,179 |
Communications | 2,414 | 2,610 | 1,502 |
Loss on FHLB redemption | 0 | 0 | 1,275 |
Other expenses | 16,510 | 15,443 | 11,188 |
Total other non-interest expense | $ 20,426 | $ 19,492 | $ 15,144 |
INCOME TAXES - Additional infor
INCOME TAXES - Additional information (Details) - USD ($) $ in Thousands | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Operating Loss Carryforwards [Line Items] | |||
Operating Loss Carryforwards | $ 916 | $ 1,323 | |
Tax cut and jobs act | |||
New US federal coproate tax rate, after Tax Cuts and Jobs Act | 0.21 | ||
Income tax expense at federal statutory rate | 21.00% | 21.00% | 35.00% |
Provisional amount to deferred tax expense | $ 5,500 | ||
Reclassification of the tax effects from OCI to retained earnings | $ 1,500 | ||
State and Local Jurisdiction [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating Loss Carryforwards | $ 10,600 | ||
Operating Loss Carryforwards, Expiration Date | Jan. 1, 2032 | ||
WashingtonFirst Bankshares Inc [Member] | |||
Operating Loss Carryforwards [Line Items] | |||
Operating Loss Carryforwards | $ 700 | ||
Operating Loss Carryforwards, Expiration Date | Jan. 1, 2029 |
INCOME TAXES - Components of in
INCOME TAXES - Components of income tax expense (benefit) (Detail) - 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 | |
Current income taxes: | |||||||||||
Federal | $ 28,404 | $ 18,615 | $ 22,355 | ||||||||
State | 6,598 | 7,183 | 5,146 | ||||||||
Total current | 35,002 | 25,798 | 27,501 | ||||||||
Deferred income taxes: | |||||||||||
Federal | 234 | 4,808 | 6,973 | ||||||||
State | 1,192 | 1,218 | 252 | ||||||||
Total deferred | 1,426 | 6,026 | 7,225 | ||||||||
Total income tax expense (benefit) | $ 8,614 | $ 9,531 | $ 8,945 | $ 9,338 | $ 8,539 | $ 9,107 | $ 7,472 | $ 6,706 | $ 36,428 | $ 31,824 | $ 34,726 |
INCOME TAXES - Deferred Tax Ase
INCOME TAXES - Deferred Tax Asets And Liabilities (Detail) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Deferred Tax Assets: | ||
Allowance for loan and lease losses | $ 14,287,000 | $ 13,979,000 |
Lease liability | 19,616,000 | 0 |
Fair value acquisition adjustments | 1,322,000 | 2,253,000 |
Employee benefits | 4,535,000 | 4,339,000 |
Pension plan OCI | 2,845,000 | 3,228,000 |
Deferred loan fees and costs | 471,000 | 306,000 |
Non-qualified stock option expense | 659,000 | 457,000 |
Unrealized losses on investments available for sale | 0 | 2,343,000 |
Losses on other real estate owned | 201,000 | 202,000 |
Other than temporary impairment | 76,000 | 76,000 |
Loan and deposit premium/discount | 1,422,000 | 3,950,000 |
Deferred rent | 0 | 1,270,000 |
Reserve for recourse loans | 166,000 | 210,000 |
Loss carryforward | 916,000 | 1,323,000 |
Tax credits carryforwards | 0 | 251,000 |
Other | 159,000 | 280,000 |
Gross deferred tax assets | 46,675,000 | 34,467,000 |
Valuation allowance | (880,000) | (644,000) |
Net deferred tax assets | 45,795,000 | 33,823,000 |
Deferred Tax Liabilities: | ||
Right of use asset | (17,688,000) | 0 |
Unrealized gains on investments available for sale | (1,379,000) | 0 |
Pension plan costs | (2,373,000) | (2,607,000) |
Depreciation | (2,744,000) | (3,307,000) |
Intangible assets | (3,338,000) | (3,701,000) |
Bond accretion | (322,000) | (188,000) |
Section 481 adjustments | (1,335,000) | (2,053,000) |
Other | (585,000) | (404,000) |
Gross deferred tax liabilities | (29,764,000) | (12,260,000) |
Net deferred tax asset | $ 16,031,000 | $ 21,563,000 |
INCOME TAXES - Reconcilements B
INCOME TAXES - Reconcilements Between Statutory Federal Income Tax Rate And Effective Tax Rate (Detail) - 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] | |||||||||||
Income tax expense at federal statutory rate | $ 32,101 | $ 27,865 | $ 30,776 | ||||||||
Income tax expense at federal statutory rate | 21.00% | 21.00% | 35.00% | ||||||||
Increase (decrease) resulting from: | |||||||||||
Tax exempt income, net | $ (2,101) | $ (2,427) | $ (3,929) | ||||||||
Bank-owned life insurance | (665) | (909) | (841) | ||||||||
State income taxes, net of federal income tax benefits | 6,154 | 6,637 | 3,508 | ||||||||
Federal tax rate change | 0 | 0 | 5,544 | ||||||||
Other, net | 939 | 658 | (332) | ||||||||
Total income tax expense (benefit) | $ 8,614 | $ 9,531 | $ 8,945 | $ 9,338 | $ 8,539 | $ 9,107 | $ 7,472 | $ 6,706 | $ 36,428 | $ 31,824 | $ 34,726 |
Increase (decrease) resulting from: | |||||||||||
Tax exempt income, net | (1.40%) | (1.80%) | (4.50%) | ||||||||
Bank-owned life insurance | (0.40%) | (0.70%) | (0.90%) | ||||||||
State income taxes, net of federal income tax benefits | 4.00% | 5.00% | 4.00% | ||||||||
Federal tax rate change | 0.00% | 0.00% | 6.30% | ||||||||
Other, net | 0.60% | 0.50% | (0.40%) | ||||||||
Total income tax expense (benefit) and rate | 23.80% | 24.00% | 39.50% |
NET INCOME PER SHARE (Calculati
NET INCOME PER SHARE (Calculation of Net Income per Common Share (Detail) - 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 | $ 28,457 | $ 29,383 | $ 28,276 | $ 30,317 | $ 25,566 | $ 29,234 | $ 24,399 | $ 21,665 | $ 116,433 | $ 100,864 | $ 53,209 |
Basic: | |||||||||||
Basic weighted average EPS shares | 35,797,000 | 35,707,000 | 24,175,000 | ||||||||
Basic net income per share | $ 0.80 | $ 0.82 | $ 0.79 | $ 0.85 | $ 0.72 | $ 0.82 | $ 0.68 | $ 0.61 | $ 3.25 | $ 2.82 | $ 2.20 |
Diluted: | |||||||||||
Basic weighted average EPS shares | 35,797,000 | 35,707,000 | 24,175,000 | ||||||||
Dilutive common stock equivalents | 56,000 | 21,000 | 32,000 | ||||||||
Dilutive EPS shares | 35,853,000 | 35,728,000 | 24,207,000 | ||||||||
Diluted net income per share | $ 0.80 | $ 0.82 | $ 0.79 | $ 0.85 | $ 0.72 | $ 0.82 | $ 0.68 | $ 0.61 | $ 3.25 | $ 2.82 | $ 2.20 |
Anti-dilutive shares | 9,000 | 7,000 | 3,000 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Net Accumulated Other Comprehensive Income (Loss)) (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | $ (15,754,000) | $ (6,857,000) | $ (6,614,000) |
Current period change in other comprehensive income, net of tax | 11,422,000 | (7,420,000) | (243,000) |
Reclassfication of tax effects from accumulated other comprehensive income | (1,477,000) | ||
Ending Balance | (4,332,000) | (15,754,000) | (6,857,000) |
Unrealized Gains (Losses) on Investments Available-for-Sale | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | (6,630,000) | 687,000 | 1,642,000 |
Current period change in other comprehensive income, net of tax | 10,630,000 | (7,465,000) | (955,000) |
Reclassfication of tax effects from accumulated other comprehensive income | 148,000 | ||
Ending Balance | 4,000,000 | (6,630,000) | 687,000 |
Defined Benefit Pension Plan | |||
Accumulated Other Comprehensive Income (Loss) [Line Items] | |||
Beginning Balance | (9,124,000) | (7,544,000) | (8,256,000) |
Current period change in other comprehensive income, net of tax | 792,000 | 45,000 | 712,000 |
Reclassfication of tax effects from accumulated other comprehensive income | (1,625,000) | ||
Ending Balance | $ (8,332,000) | $ (9,124,000) | $ (7,544,000) |
ACCUMULATED OTHER COMPREHENSI_4
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Reclassification Adjustments Out of Accumulated Other Comprehensive Income) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | ||
Unrealized gains/(losses) on investments available-for-sale Affected line item in the Statements of Income: | ||||
Investment securities gains | $ 77 | $ 190 | $ 1,273 | |
Income before taxes | 77 | 190 | 1,273 | |
Tax expense | (20) | (50) | (504) | |
Net income | 57 | 140 | 769 | |
Amortization of defined benefit pension plan items Affected line item in the Statements of Income: | ||||
Recognized actuarial loss | [1] | (1,059) | (1,000) | (1,181) |
Income before taxes | (1,059) | (1,000) | (1,181) | |
Tax expense | 277 | 261 | 467 | |
Net income/ (Loss) | $ (782) | $ (739) | $ (714) | |
[1] | This amount is included in the computation of net periodic benefit cost, see Note 15. |
FINANCIAL INSTRUMENTS WITH OF_3
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK AND DERIVATIVES (Summary Of Financial Instruments With Off-Balance Sheet Credit Risk) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Disclosure Summary Of Financial Instruments With Off Balance Sheet Credit Risk [Line Items] | ||
Total Commitments to extend credit and available credit lines | $ 2,196,977 | $ 2,080,562 |
Commercial | ||
Disclosure Summary Of Financial Instruments With Off Balance Sheet Credit Risk [Line Items] | ||
Total Commitments to extend credit and available credit lines | 571,368 | 562,777 |
Real estate-development and construction | ||
Disclosure Summary Of Financial Instruments With Off Balance Sheet Credit Risk [Line Items] | ||
Total Commitments to extend credit and available credit lines | 89,224 | 130,251 |
Real estate-residential mortgage | ||
Disclosure Summary Of Financial Instruments With Off Balance Sheet Credit Risk [Line Items] | ||
Total Commitments to extend credit and available credit lines | 74,282 | 31,227 |
Lines of credit, principally home equity and business lines | ||
Disclosure Summary Of Financial Instruments With Off Balance Sheet Credit Risk [Line Items] | ||
Total Commitments to extend credit and available credit lines | 1,400,038 | 1,296,481 |
Standby letters of credit | ||
Disclosure Summary Of Financial Instruments With Off Balance Sheet Credit Risk [Line Items] | ||
Total Commitments to extend credit and available credit lines | $ 62,065 | $ 59,826 |
FINANCIAL INSTRUMENTS WITH OF_4
FINANCIAL INSTRUMENTS WITH OFF-BALANCE SHEET RISK AND DERIVATIVES (Company's Interest Rate Swaps) (Detail) - USD ($) $ in Thousands | 12 Months Ended | |
Dec. 31, 2019 | Dec. 31, 2018 | |
Swap | ||
Derivative [Line Items] | ||
Notional Amount | $ 204,674 | $ 16,648 |
Estimated Fair Value | $ 0 | $ 0 |
Years to Maturity | 9 years 1 month 6 days | 4 years 1 month 6 days |
Derivative Receive Rate | 3.76% | 4.46% |
Derivative Pay Rate | 3.76% | 4.46% |
Pay Fixed/Receive Variable Swaps | ||
Derivative [Line Items] | ||
Notional Amount | $ 102,337 | $ 8,324 |
Estimated Fair Value | $ (2,507) | $ (446) |
Years to Maturity | 9 years 1 month 6 days | 4 years 1 month 6 days |
Derivative Receive Rate | 3.40% | 3.45% |
Derivative Pay Rate | 4.11% | 5.47% |
Pay Variable/Receive Fixed Swaps | ||
Derivative [Line Items] | ||
Notional Amount | $ 102,337 | $ 8,324 |
Estimated Fair Value | $ 2,507 | $ 446 |
Years to Maturity | 9 years 1 month 6 days | 4 years 1 month 6 days |
Derivative Receive Rate | 4.11% | 5.47% |
Derivative Pay Rate | 3.40% | 3.45% |
FAIR VALUE (Additional Informat
FAIR VALUE (Additional Information) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 |
Fair Value Disclosures [Abstract] | |||
Impaired loans | $ 24,773 | $ 22,210 | $ 20,809 |
Impaired loans fair value | 19,300 | 17,300 | |
Specific loan loss reserves | $ 5,500 | $ 4,900 |
FAIR VALUE (Financial Assets an
FAIR VALUE (Financial Assets and Liabilities at Dates Indicated that Were Accounted for or Disclosed at Fair Value) (Detail) - USD ($) | Dec. 31, 2019 | Dec. 31, 2018 |
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Residential mortgage loans held for sale (at fair value) | $ 53,701,000 | $ 22,773,000 |
Investments available-for-sale (at fair value) | 1,073,333,000 | 937,335,000 |
U.S. Government Agencies | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 258,495,000 | 296,678,000 |
State and municipal | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 233,649,000 | 282,024,000 |
Mortgage-Backed | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 570,759,000 | 348,515,000 |
Corporate Debt | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 9,552,000 | 9,240,000 |
Trust Preferred | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 310,000 | 310,000 |
Fair Value, Measurements, Recurring | Residential Mortgage Loans Held For Sale | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Residential mortgage loans held for sale (at fair value) | 53,701,000 | 22,773,000 |
Fair Value, Measurements, Recurring | U.S. Government Agencies | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 258,495,000 | 296,678,000 |
Fair Value, Measurements, Recurring | State and municipal | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 233,649,000 | 282,024,000 |
Fair Value, Measurements, Recurring | Mortgage-Backed | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 570,759,000 | 348,515,000 |
Fair Value, Measurements, Recurring | Corporate Debt | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 9,552,000 | 9,240,000 |
Fair Value, Measurements, Recurring | Trust Preferred | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 310,000 | 310,000 |
Fair Value, Measurements, Recurring | Marketable Equity Securities | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 568,000 | 568,000 |
Fair Value, Measurements, Recurring | Interest Rate Swap Agreements | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Other assets | 2,507,000 | 446,000 |
Other liabilities | (2,507,000) | (446,000) |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Residential Mortgage Loans Held For Sale | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Residential mortgage loans held for sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Government Agencies | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | State and municipal | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mortgage-Backed | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Corporate Debt | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Trust Preferred | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Marketable Equity Securities | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Quoted Prices in Active Markets for Identical Assets (Level 1) | Interest Rate Swap Agreements | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Other assets | 0 | 0 |
Other liabilities | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Residential Mortgage Loans Held For Sale | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Residential mortgage loans held for sale (at fair value) | 53,701,000 | 22,773,000 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | U.S. Government Agencies | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 258,495,000 | 296,678,000 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | State and municipal | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 233,649,000 | 282,024,000 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Mortgage-Backed | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 570,759,000 | 348,515,000 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Corporate Debt | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Trust Preferred | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Marketable Equity Securities | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 568,000 | 568,000 |
Fair Value, Measurements, Recurring | Significant Other Observable Inputs (Level 2) | Interest Rate Swap Agreements | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Other assets | 2,507,000 | 446,000 |
Other liabilities | (2,507,000) | (446,000) |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Residential Mortgage Loans Held For Sale | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Residential mortgage loans held for sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | U.S. Government Agencies | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | State and municipal | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Mortgage-Backed | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Corporate Debt | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 9,552,000 | 9,240,000 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Trust Preferred | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 310,000 | 310,000 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Marketable Equity Securities | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Investments available-for-sale (at fair value) | 0 | 0 |
Fair Value, Measurements, Recurring | Significant Unobservable Inputs (Level 3) | Interest Rate Swap Agreements | ||
Fair Value Balance Sheet Grouping Financial Statement Captions [Line Items] | ||
Other assets | 0 | 0 |
Other liabilities | $ 0 | $ 0 |
FAIR VALUE (activity of assets
FAIR VALUE (activity of assets reported as Level 3 ) (Detail) - Fair Value, Inputs, Level 3 - Available-for-sale Securities [Member] | 12 Months Ended |
Dec. 31, 2019USD ($) | |
Fair Value Assets Measured On Recurring Basis Unobservable Input Reconciliation [Line Items] | |
Beginning balance | $ 9,550,000 |
Transfer into Level 3 assets | 0 |
Additions of Level 3 assets | 0 |
Sales of level 3 assets | 0 |
Total unrealized gains (losses) included in other comprehensive income (loss) | 312,000 |
Ending balance | $ 9,862,000 |
FAIR VALUE (Assets Measured at
FAIR VALUE (Assets Measured at Fair Value on Nonrecurring Basis) (Detail) - 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] | |||
Assets, fair value disclosure, nonrecurring | $ 8,368 | $ 8,364 | |
Fair value measured on nonrecurring basis losses | (6,580) | (11,194) | |
Impaired loans | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | [1] | 6,886 | 6,780 |
Fair value measured on nonrecurring basis losses | [1] | (6,299) | (10,932) |
Other real estate owned | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | 1,482 | 1,584 | |
Fair value measured on nonrecurring basis losses | (281) | (262) | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | 0 | 0 | |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Impaired loans | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | [1] | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Other real estate owned | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | 0 | 0 | |
Significant Other Observable Inputs (Level 2) | Impaired loans | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | [1] | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Other real estate owned | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | 0 | 0 | |
Significant Unobservable Inputs (Level 3) | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | 8,368 | 8,364 | |
Significant Unobservable Inputs (Level 3) | Impaired loans | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | [1] | 6,886 | 6,780 |
Significant Unobservable Inputs (Level 3) | Other real estate owned | |||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | |||
Assets, fair value disclosure, nonrecurring | $ 1,482 | $ 1,584 | |
[1] | Amounts represent the fair value of collateral for impaired loans allocated to the allowance for loan and lease losses. Fair values are determined using actual market prices (Level 2), independent third party valuations and borrower records, discounted as appropriate (Level 3). |
FAIR VALUE (Carrying Amounts an
FAIR VALUE (Carrying Amounts and Fair Values of Company's Financial Instruments) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Financial Assets | ||
Other equity securities | $ 51,803 | $ 73,389 |
Loans, net of allowance | 6,649,100 | 6,518,148 |
Other assets | 113,171 | 110,823 |
Financial Liabilities | ||
Time Deposits | 1,542,322 | 1,526,161 |
Securities sold under retail repurchase agreements and federal funds purchased | 213,605 | 327,429 |
Advances from FHLB | 513,777 | 848,611 |
Subordinated debentures | 209,406 | 37,425 |
Estimated fair value [member] | ||
Financial Assets | ||
Other equity securities | 51,803 | 73,389 |
Loans, net of allowance | 6,628,054 | 6,376,307 |
Other assets | 113,171 | 110,823 |
Financial Liabilities | ||
Time Deposits | 1,547,116 | 1,536,238 |
Securities sold under retail repurchase agreements and federal funds purchased | 213,605 | 327,429 |
Advances from FHLB | 520,729 | 850,186 |
Subordinated debentures | 200,864 | 33,588 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | ||
Financial Assets | ||
Other equity securities | 0 | 0 |
Loans, net of allowance | 0 | 0 |
Other assets | 0 | 0 |
Financial Liabilities | ||
Time Deposits | 0 | 0 |
Securities sold under retail repurchase agreements and federal funds purchased | 0 | 0 |
Advances from FHLB | 0 | 0 |
Subordinated debentures | 0 | 0 |
Significant Other Observable Inputs (Level 2) | ||
Financial Assets | ||
Other equity securities | 51,803 | 73,389 |
Loans, net of allowance | 0 | 0 |
Other assets | 113,171 | 110,823 |
Financial Liabilities | ||
Time Deposits | 1,547,116 | 1,536,238 |
Securities sold under retail repurchase agreements and federal funds purchased | 213,605 | 327,429 |
Advances from FHLB | 520,729 | 850,186 |
Subordinated debentures | 0 | 0 |
Significant Unobservable Inputs (Level 3) | ||
Financial Assets | ||
Other equity securities | 0 | 0 |
Loans, net of allowance | 6,628,054 | 6,376,307 |
Other assets | 0 | 0 |
Financial Liabilities | ||
Time Deposits | 0 | 0 |
Securities sold under retail repurchase agreements and federal funds purchased | 0 | 0 |
Advances from FHLB | 0 | 0 |
Subordinated debentures | $ 200,864 | $ 33,588 |
PARENT COMPANY FINANCIAL INFO_3
PARENT COMPANY FINANCIAL INFORMATION (Statements of Condition) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | Dec. 31, 2016 |
Assets | ||||
Cash and cash equivalents | $ 146,103 | $ 101,481 | ||
Investments available-for-sale (at fair value) | 1,073,333 | 937,335 | ||
Investments held-to-maturity | 0 | 0 | ||
Goodwill | 347,149 | 347,149 | $ 85,768 | |
Other assets | 216,593 | 145,074 | ||
Total assets | 8,629,002 | 8,243,272 | 5,446,675 | |
Liabilities | ||||
Subordinated debentures | 209,406 | 37,425 | ||
Accrued expenses and other liabilities | 118,921 | 47,024 | ||
Total liabilities | 7,496,028 | 7,175,369 | ||
Stockholders Equity | ||||
Common stock | 34,970 | 35,531 | ||
Additional paid in capital | 586,622 | 606,573 | ||
Retained earnings | 515,714 | 441,553 | ||
Accumulated other comprehensive income (loss) | (4,332) | (15,754) | (6,857) | $ (6,614) |
Total stockholders equity | 1,132,974 | 1,067,903 | $ 563,816 | $ 533,572 |
Total liabilities and stockholders equity | 8,629,002 | 8,243,272 | ||
Parent Company [Member] | ||||
Assets | ||||
Cash and cash equivalents | 90,361 | 23,334 | ||
Investments available-for-sale (at fair value) | 10,430 | 10,118 | ||
Investment in subsidiary | 1,242,229 | 1,066,550 | ||
Goodwill | 1,292 | 1,292 | ||
Other assets | 1,480 | 4,463 | ||
Total assets | 1,345,792 | 1,105,757 | ||
Liabilities | ||||
Subordinated debentures | 209,406 | 37,425 | ||
Accrued expenses and other liabilities | 3,412 | 429 | ||
Total liabilities | 212,818 | 37,854 | ||
Stockholders Equity | ||||
Common stock | 34,970 | 35,531 | ||
Additional paid in capital | 586,622 | 606,573 | ||
Retained earnings | 515,714 | 441,553 | ||
Accumulated other comprehensive income (loss) | (4,332) | (15,754) | ||
Total stockholders equity | 1,132,974 | 1,067,903 | ||
Total liabilities and stockholders equity | $ 1,345,792 | $ 1,105,757 |
PARENT COMPANY FINANCIAL INFO_4
PARENT COMPANY FINANCIAL INFORMATION (Statements of Income) (Detail) - 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: | |||||||||||
Other income | $ 7,104 | $ 5,642 | $ 4,916 | ||||||||
Expenses: | |||||||||||
Total interest expense | $ 19,807 | $ 20,292 | $ 21,029 | $ 21,433 | $ 19,462 | $ 16,783 | $ 14,779 | $ 12,613 | 82,561 | 63,637 | 26,031 |
Income before income taxes and equity in undistributed income of of subsidiary | 37,071 | 38,914 | 37,221 | 39,655 | 34,105 | 38,341 | 31,871 | 28,371 | 152,861 | 132,688 | 87,935 |
Income Tax Expense (Benefit) | (8,614) | (9,531) | (8,945) | (9,338) | (8,539) | (9,107) | (7,472) | (6,706) | (36,428) | (31,824) | (34,726) |
Net income | $ 28,457 | $ 29,383 | $ 28,276 | $ 30,317 | $ 25,566 | $ 29,234 | $ 24,399 | $ 21,665 | 116,433 | 100,864 | 53,209 |
Parent Company [Member] | |||||||||||
Income: | |||||||||||
Cash dividends from subsidiary | 42,625 | 39,370 | 25,420 | ||||||||
Other income | 1,093 | 897 | 1,832 | ||||||||
Total income | 43,718 | 40,267 | 27,252 | ||||||||
Expenses: | |||||||||||
Interest | 3,141 | 1,922 | 12 | ||||||||
Other expenses | 1,507 | 1,135 | 970 | ||||||||
Total interest expense | 4,648 | 3,057 | 982 | ||||||||
Income before income taxes and equity in undistributed income of of subsidiary | 39,070 | 37,210 | 26,270 | ||||||||
Income Tax Expense (Benefit) | (734) | (283) | 331 | ||||||||
Income before equity in undistributed income of subsidiary | 39,804 | 37,493 | 25,939 | ||||||||
Equity in undistributed income of subsidiary | 76,629 | 63,371 | 27,270 | ||||||||
Net income | $ 116,433 | $ 100,864 | $ 53,209 |
PARENT COMPANY FINANCIAL INFO_5
PARENT COMPANY FINANCIAL INFORMATION (Statements of Cash Flows) (Detail) - 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 | |
Cash Flows from Operating Activities: | |||||||||||
Net income | $ 28,457 | $ 29,383 | $ 28,276 | $ 30,317 | $ 25,566 | $ 29,234 | $ 24,399 | $ 21,665 | $ 116,433 | $ 100,864 | $ 53,209 |
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Share based compensation expense | 3,042 | 2,645 | 2,164 | ||||||||
Net change in other liabilities | (5,804) | (2,721) | (1,007) | ||||||||
Other-net | (721) | 3,970 | 5,174 | ||||||||
Net cash provided by operating activities | 99,943 | 147,646 | 69,417 | ||||||||
Cash Flows from Investing Activities: | |||||||||||
Purchase of investment available-for-sale | (326,604) | (161,349) | (125,028) | ||||||||
Acquistion of business activity, net of cash acquired | 0 | 32,487 | 0 | ||||||||
Net cash used in investing activities | (241,276) | (505,004) | (392,347) | ||||||||
Cash Flows from Financing Activities: | |||||||||||
Retirement of subordinated debt | 0 | 0 | (30,000) | ||||||||
Redemption of stock warrant | (24,284) | 0 | 0 | ||||||||
Proceeds from issuance of common stock | 1,433 | 1,395 | 1,200 | ||||||||
Stock tendered for payment of withholding taxes | (703) | (760) | (952) | ||||||||
Repurchase of common stock | (24,284) | 0 | 0 | ||||||||
Dividends paid | (42,272) | (39,277) | (25,134) | ||||||||
Net cash provided by financing activities | 185,955 | 346,339 | 301,305 | ||||||||
Net increase (decrease) in cash and cash equivalents | 44,622 | (11,019) | (21,625) | ||||||||
Cash and cash equivalents at beginning of period | 101,481 | 112,500 | 101,481 | 112,500 | 134,125 | ||||||
Cash and cash equivalents at end of period | 146,103 | 101,481 | 146,103 | 101,481 | 112,500 | ||||||
Parent Company [Member] | |||||||||||
Cash Flows from Operating Activities: | |||||||||||
Net income | 116,433 | 100,864 | 53,209 | ||||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Equity in undistributed income-subsidiary | (76,629) | (63,371) | (27,270) | ||||||||
Decrease in receivable from subsidiary bank | 0 | 0 | 30,000 | ||||||||
Share based compensation expense | 3,042 | 2,645 | 2,164 | ||||||||
Tax benefit from stock options exercised | 7 | 8 | 0 | ||||||||
Other-net | 0 | (3,252) | (4,028) | ||||||||
Net cash provided by operating activities | 42,853 | 36,894 | 54,075 | ||||||||
Cash Flows from Investing Activities: | |||||||||||
Purchase of investment available-for-sale | 0 | 0 | 3,179 | ||||||||
Investment in subsidiary | (85,000) | 0 | 0 | ||||||||
Acquistion of business activity, net of cash acquired | 0 | 11,845 | 0 | ||||||||
Net cash used in investing activities | (85,000) | 11,845 | 3,179 | ||||||||
Cash Flows from Financing Activities: | |||||||||||
Retirement of subordinated debt | 0 | 0 | (30,000) | ||||||||
Proceeds from issuance of subordinated debt | 175,000 | 0 | 0 | ||||||||
Proceeds from issuance of common stock | 1,433 | 1,395 | 1,200 | ||||||||
Stock tendered for payment of withholding taxes | (703) | (760) | (952) | ||||||||
Repurchase of common stock | (24,284) | 0 | 0 | ||||||||
Dividends paid | (42,272) | (39,277) | (25,134) | ||||||||
Net cash provided by financing activities | 109,174 | (38,642) | (54,886) | ||||||||
Net increase (decrease) in cash and cash equivalents | 67,027 | 10,097 | 2,368 | ||||||||
Cash and cash equivalents at beginning of period | $ 23,334 | $ 13,237 | 23,334 | 13,237 | 10,869 | ||||||
Cash and cash equivalents at end of period | $ 90,361 | $ 23,334 | $ 90,361 | $ 23,334 | $ 13,237 |
REGULATORY MATTERS (Company's a
REGULATORY MATTERS (Company's and Bank's actual capital amounts and ratios) (Detail) - USD ($) $ in Thousands | Dec. 31, 2019 | Dec. 31, 2018 |
Sandy Spring Bancorp, Inc | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Actual Amount, Capital | $ 1,052,328 | $ 818,393 |
Actual Amount, Tier One Risk Based Capital | 794,300 | 737,883 |
Actual Amount, Common Equity Tier 1 Capital | 783,903 | 727,481 |
Actual Amount, Tier One Leverage Capital | $ 794,300 | $ 737,883 |
Actual Ratio, Capital | 14.85% | 12.26% |
Actual Ratio, Tier One Risk Based Capital | 11.21% | 11.06% |
Actual Ratio, Common Equity Tier 1 Capital | 11.06% | 10.90% |
Actual Ratio, Tier One Leverage Capital | 9.70% | 9.50% |
For Capital Adequacy Purposes Amount, Capital | $ 566,863 | $ 533,994 |
For Capital Adequacy Purposes Amount, Tier One Risk Based Capital | 425,147 | 400,496 |
For Capital Adequacy Purposes Amount, Common Equity Tier 1 Capital | 318,860 | 300,372 |
For Capital Adequacy Purposes Amount, Tier One Leverage Capital | $ 327,577 | $ 310,807 |
For Capital Adequacy Purposes Ratio, Capital | 8.00% | 8.00% |
For Capital Adequacy Purposes Ratio, Tier One Risk Based Capital | 6.00% | 6.00% |
For Capital Adequacy Purposes Ratio, Common Equity Tier 1 Capital | 4.50% | 4.50% |
For Capital Adequacy Purposes Ratio, Tier One Leverage Capital | 4.00% | 4.00% |
Sandy Spring Bank | ||
Compliance with Regulatory Capital Requirements under Banking Regulations [Line Items] | ||
Actual Amount, Capital | $ 950,793 | $ 780,858 |
Actual Amount, Tier One Risk Based Capital | 894,659 | 727,371 |
Actual Amount, Common Equity Tier 1 Capital | 894,659 | 727,371 |
Actual Amount, Tier One Leverage Capital | $ 894,659 | $ 727,371 |
Actual Ratio, Capital | 13.44% | 11.72% |
Actual Ratio, Tier One Risk Based Capital | 12.65% | 10.92% |
Actual Ratio, Common Equity Tier 1 Capital | 12.65% | 10.92% |
Actual Ratio, Tier One Leverage Capital | 10.94% | 9.38% |
For Capital Adequacy Purposes Amount, Capital | $ 565,794 | $ 532,970 |
For Capital Adequacy Purposes Amount, Tier One Risk Based Capital | 424,346 | 399,728 |
For Capital Adequacy Purposes Amount, Common Equity Tier 1 Capital | 318,259 | 299,796 |
For Capital Adequacy Purposes Amount, Tier One Leverage Capital | $ 327,123 | $ 310,224 |
For Capital Adequacy Purposes Ratio, Capital | 8.00% | 8.00% |
For Capital Adequacy Purposes Ratio, Tier One Risk Based Capital | 6.00% | 6.00% |
For Capital Adequacy Purposes Ratio, Common Equity Tier 1 Capital | 4.50% | 4.50% |
For Capital Adequacy Purposes Ratio, Tier One Leverage Capital | 4.00% | 4.00% |
To Be Well Capitalized Under Prompt Corrective Action Provisions Amount, Capital | $ 707,243 | $ 666,213 |
To Be Well Capitalized Under Prompt Corrective Action Provisions Amount, Tier One Risk Based Capital | 565,794 | 532,970 |
To Be Well Capitalized Under Prompt Corrective Action Provisions Amount, Common Equity Tier 1 Capital | 459,708 | 433,038 |
To Be Well Capitalized Under Prompt Corrective Action Provisions Amount, Tier One Leverage Capital | $ 408,904 | $ 387,780 |
To Be Well Capitalized Under Prompt Action Provisions Ratio, Capital | 10.00% | 10.00% |
To Be Well Capitalized Under Prompt Action Provisions Ratio, Tier One Risk Based Capital | 8.00% | 8.00% |
To Be Well Capitalized Under Prompt Action Provisions Ratio, Common Equity Tier 1 Capital | 6.50% | 6.50% |
To Be Well Capitalized Under Prompt Action Provisions Ratio, Tier One Leverage Capital | 5.00% | 5.00% |
SEGMENT REPORTING (Additional I
SEGMENT REPORTING (Additional Information) (Detail) - USD ($) | 12 Months Ended | ||
Dec. 31, 2019 | Dec. 31, 2018 | Dec. 31, 2017 | |
Segment Reporting Information [Line Items] | |||
Amortization Of Intangible Assets | $ 1,946,000 | $ 2,162,000 | $ 101,000 |
Community Banking | |||
Segment Reporting Information [Line Items] | |||
Amortization Of Intangible Assets | 1,700,000 | $ 1,900,000 | $ 0 |
Investment Management | |||
Segment Reporting Information [Line Items] | |||
Assets under management | $ 1,700,000,000 |
SEGMENT REPORTING (Operating Se
SEGMENT REPORTING (Operating Segments and Reconciliation of Information to Condensed Consolidated Financial Statements) (Detail) - 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] | |||||||||||
Interest income | $ 85,390 | $ 87,082 | $ 87,214 | $ 88,183 | $ 85,607 | $ 84,374 | $ 78,597 | $ 75,504 | $ 347,869 | $ 324,082 | $ 194,799 |
Interest expense | 19,807 | 20,292 | 21,029 | 21,433 | 19,462 | 16,783 | 14,779 | 12,613 | 82,561 | 63,637 | 26,031 |
Provision for loan losses | 1,655 | 1,524 | 1,633 | (128) | 3,403 | 1,890 | 1,733 | 1,997 | 4,684 | 9,023 | 2,977 |
Non-interest income | 19,224 | 18,573 | 16,556 | 16,969 | 14,030 | 15,033 | 14,868 | 17,118 | 71,322 | 61,049 | 51,243 |
Non-interest Expense | 46,081 | 44,925 | 43,887 | 44,192 | 42,667 | 42,393 | 45,082 | 49,641 | 179,085 | 179,783 | 129,099 |
Income before income taxes | 37,071 | 38,914 | 37,221 | 39,655 | 34,105 | 38,341 | 31,871 | 28,371 | 152,861 | 132,688 | 87,935 |
Income tax expense | 8,614 | 9,531 | 8,945 | 9,338 | 8,539 | 9,107 | 7,472 | 6,706 | 36,428 | 31,824 | 34,726 |
Net income | 28,457 | $ 29,383 | $ 28,276 | $ 30,317 | 25,566 | $ 29,234 | $ 24,399 | $ 21,665 | 116,433 | 100,864 | 53,209 |
Assets | 8,629,002 | 8,243,272 | 8,629,002 | 8,243,272 | 5,446,675 | ||||||
Intersegment Elimination | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Interest income | (37) | (10) | (8) | ||||||||
Interest expense | (37) | (10) | (8) | ||||||||
Provision for loan losses | 0 | 0 | 0 | ||||||||
Non-interest income | (667) | (615) | (772) | ||||||||
Non-interest Expense | (667) | (615) | (772) | ||||||||
Income before income taxes | 0 | 0 | 0 | ||||||||
Income tax expense | 0 | 0 | 0 | ||||||||
Net income | 0 | 0 | 0 | ||||||||
Assets | (22,352) | (28,507) | (22,352) | (28,507) | (21,380) | ||||||
Community Banking | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Interest income | 347,867 | 324,081 | 194,798 | ||||||||
Interest expense | 82,598 | 63,647 | 26,039 | ||||||||
Provision for loan losses | 4,684 | 9,023 | 2,977 | ||||||||
Non-interest income | 55,042 | 45,841 | 37,447 | ||||||||
Non-interest Expense | 166,802 | 168,261 | 119,607 | ||||||||
Income before income taxes | 148,825 | 128,991 | 83,622 | ||||||||
Income tax expense | 35,350 | 30,827 | 33,684 | ||||||||
Net income | 113,475 | 98,164 | 49,938 | ||||||||
Assets | 8,624,590 | 8,246,282 | 8,624,590 | 8,246,282 | 5,446,056 | ||||||
Insurance | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Interest income | 26 | 3 | 2 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Provision for loan losses | 0 | 0 | 0 | ||||||||
Non-interest income | 6,621 | 6,153 | 6,233 | ||||||||
Non-interest Expense | 5,731 | 5,601 | 5,533 | ||||||||
Income before income taxes | 916 | 555 | 702 | ||||||||
Income tax expense | 258 | 169 | (399) | ||||||||
Net income | 658 | 386 | 1,101 | ||||||||
Assets | 10,340 | 9,165 | 10,340 | 9,165 | 8,873 | ||||||
Investment Management | |||||||||||
Segment Reporting Information [Line Items] | |||||||||||
Interest income | 13 | 8 | 7 | ||||||||
Interest expense | 0 | 0 | 0 | ||||||||
Provision for loan losses | 0 | 0 | 0 | ||||||||
Non-interest income | 10,326 | 9,670 | 8,335 | ||||||||
Non-interest Expense | 7,219 | 6,536 | 4,731 | ||||||||
Income before income taxes | 3,120 | 3,142 | 3,611 | ||||||||
Income tax expense | 820 | 828 | 1,441 | ||||||||
Net income | 2,300 | 2,314 | 2,170 | ||||||||
Assets | $ 16,424 | $ 16,332 | $ 16,424 | $ 16,332 | $ 13,126 |
QUARTERLY FINANCIAL INFORMATION
QUARTERLY FINANCIAL INFORMATION (Unaudited) (Detail) - 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 Information Disclosure [Abstract] | |||||||||||
Interest income | $ 85,390 | $ 87,082 | $ 87,214 | $ 88,183 | $ 85,607 | $ 84,374 | $ 78,597 | $ 75,504 | $ 347,869 | $ 324,082 | $ 194,799 |
Interest expense | 19,807 | 20,292 | 21,029 | 21,433 | 19,462 | 16,783 | 14,779 | 12,613 | 82,561 | 63,637 | 26,031 |
Net interest income | 65,583 | 66,790 | 66,185 | 66,750 | 66,145 | 67,591 | 63,818 | 62,891 | 265,308 | 260,445 | 168,768 |
Provision (credit) | 1,655 | 1,524 | 1,633 | (128) | 3,403 | 1,890 | 1,733 | 1,997 | 4,684 | 9,023 | 2,977 |
Non-interest income | 19,224 | 18,573 | 16,556 | 16,969 | 14,030 | 15,033 | 14,868 | 17,118 | 71,322 | 61,049 | 51,243 |
Non-interest Expense | 46,081 | 44,925 | 43,887 | 44,192 | 42,667 | 42,393 | 45,082 | 49,641 | 179,085 | 179,783 | 129,099 |
Income before income taxes | 37,071 | 38,914 | 37,221 | 39,655 | 34,105 | 38,341 | 31,871 | 28,371 | 152,861 | 132,688 | 87,935 |
Income tax expense | 8,614 | 9,531 | 8,945 | 9,338 | 8,539 | 9,107 | 7,472 | 6,706 | 36,428 | 31,824 | 34,726 |
Net income | $ 28,457 | $ 29,383 | $ 28,276 | $ 30,317 | $ 25,566 | $ 29,234 | $ 24,399 | $ 21,665 | $ 116,433 | $ 100,864 | $ 53,209 |
Earnings Per Share, Basic, Total | $ 0.80 | $ 0.82 | $ 0.79 | $ 0.85 | $ 0.72 | $ 0.82 | $ 0.68 | $ 0.61 | $ 3.25 | $ 2.82 | $ 2.20 |
Earnings Per Share, Diluted, Total | $ 0.80 | $ 0.82 | $ 0.79 | $ 0.85 | $ 0.72 | $ 0.82 | $ 0.68 | $ 0.61 | $ 3.25 | $ 2.82 | $ 2.20 |