Document and Entity Information
Document and Entity Information - shares | 3 Months Ended | |
Mar. 31, 2021 | May 03, 2021 | |
Entity Listings [Line Items] | ||
Document Type | 10-Q | |
Document Quarterly Report | true | |
Document Transition Report | false | |
Document Period End Date | Mar. 31, 2021 | |
Entity File Number | 001-34096 | |
Entity Registrant Name | DIME COMMUNITY BANCSHARES, INC | |
Entity Incorporation, State or Country Code | NY | |
Entity Tax Identification Number | 11-2934195 | |
Entity Address, Address Line One | 898 Veterans Memorial Highway | |
Entity Address, City or Town | Suite 560, Hauppauge | |
Entity Address, State or Province | NY | |
Entity Address, Postal Zip Code | 11788 | |
City Area Code | 631 | |
Local Phone Number | 537-1000 | |
Entity Current Reporting Status | Yes | |
Entity Interactive Data Current | Yes | |
Entity Filer Category | Accelerated Filer | |
Entity Small Business | false | |
Entity Emerging Growth Company | false | |
Entity Shell Company | false | |
Entity Common Stock, Shares Outstanding | 41,583,837 | |
Entity Central Index Key | 0000846617 | |
Current Fiscal Year End Date | --12-31 | |
Document Fiscal Year Focus | 2021 | |
Document Fiscal Period Focus | Q1 | |
Amendment Flag | false | |
Common Stock | ||
Entity Listings [Line Items] | ||
Title of 12(b) Security | Common Stock, $0.01 Par Value | |
Trading Symbol | DCOM | |
Security Exchange Name | NASDAQ | |
Preferred Stock, Series A [Member] | ||
Entity Listings [Line Items] | ||
Title of 12(b) Security | Preferred Stock, Series A, $0.01 Par Value | |
Trading Symbol | DCOMP | |
Security Exchange Name | NASDAQ |
CONSOLIDATED STATEMENTS OF FINA
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
ASSETS: | ||
Cash and due from banks | $ 676,723 | $ 243,603 |
Mortgage-backed securities available-for-sale, at fair value | 846,529 | 426,979 |
Investment securities available-for-sale, at fair value | 305,964 | 111,882 |
Marketable equity securities, at fair value | 5,970 | |
Loans held for sale | 23,704 | 5,903 |
Loans: | ||
Loans | 10,506,098 | 5,622,044 |
Allowance for credit losses | (98,200) | (41,461) |
Total loans held for investment, net | 10,407,898 | 5,580,583 |
Premises and fixed assets, net | 53,829 | 19,053 |
Restricted stock | 45,063 | 60,707 |
Bank Owned Life Insurance ("BOLI") | 251,521 | 156,096 |
Goodwill | 155,339 | 55,638 |
Other intangible assets | 10,627 | |
Operating lease assets | 69,094 | 33,898 |
Derivative assets | 45,760 | 18,932 |
Accrued interest receivable | 51,100 | 34,815 |
Other assets | 75,477 | 27,551 |
Total assets | 13,018,628 | 6,781,610 |
Due to depositors: | ||
Interest-bearing deposits | 7,271,876 | 3,744,371 |
Non-interest-bearing deposits | 3,538,936 | 780,751 |
Total deposits | 10,810,812 | 4,525,122 |
FHLBNY advances | 533,865 | 1,204,010 |
Other short-term borrowings | 126,763 | 120,000 |
Subordinated debt, net | 197,234 | 114,052 |
Operating lease liabilities | 71,249 | 39,874 |
Derivative liabilities | 41,816 | 37,374 |
Other liabilities | 64,065 | 40,082 |
Total Liabilities | 11,845,804 | 6,080,514 |
Commitments and contingencies | ||
Stockholders' equity: | ||
Preferred stock, Series A ($0.01 par, $25.00 liquidation value, 9,000,000 shares authorized and 5,299,200 shares issued and outstanding at March 31, 2021 and December 31, 2020) | 116,569 | 116,569 |
Common stock ($0.01 par 81,000,000 shares authorized, 41,583,837 shares and 34,813,302 shares issued at March 31, 2021 and December 31, 2020, respectively, and 41,536,054 shares and 21,232,984 shares outstanding at March 31, 2021 and December 31, 2020, respectively) | 416 | 348 |
Additional paid-in capital | 492,431 | 278,295 |
Retained earnings | 574,297 | 600,641 |
Accumulated other comprehensive gain (loss), net of deferred taxes | 531 | (5,924) |
Unearned equity awards | (10,107) | |
Common stock held by the Benefit Maintenance Plan ("BMP") | (1,496) | |
Treasury stock, at cost (47,783 shares and 13,580,318 shares at March 31, 2021 and December 31, 2020, respectively) | (1,313) | (287,337) |
Total stockholders' equity | 1,172,824 | 701,096 |
Total liabilities and stockholders' equity | 13,018,628 | 6,781,610 |
Real estate | ||
Loans: | ||
Loans | 8,149,079 | 4,978,195 |
Commercial and industrial ("C&I") | ||
Loans: | ||
Loans | 2,332,610 | 641,533 |
Other loans | ||
Loans: | ||
Loans | $ 24,409 | $ 2,316 |
CONSOLIDATED STATEMENTS OF FI_2
CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION (UNAUDITED) (Parenthetical) - $ / shares | Mar. 31, 2021 | Dec. 31, 2020 |
Stockholders' equity: | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Preferred stock, liquidation value (in dollars per share) | $ 25 | $ 25 |
Preferred stock, shares authorized (in shares) | 9,000,000 | 9,000,000 |
Preferred stock, shares issued (in shares) | 5,299,200 | 5,299,200 |
Preferred stock, shares outstanding (in shares) | 5,299,200 | 5,299,200 |
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
Common stock, shares authorized (in shares) | 81,000,000 | 81,000,000 |
Common stock, shares issued (in shares) | 41,583,837 | 34,813,302 |
Common stock, shares outstanding (in shares) | 41,536,054 | 21,232,984 |
Treasury stock (in shares) | 47,783 | 13,580,318 |
CONSOLIDATED STATEMENTS OF INCO
CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Interest income: | ||
Loans | $ 81,382 | $ 54,177 |
Securities | 4,380 | 3,726 |
Other short-term investments | 993 | 1,002 |
Total interest income | 86,755 | 58,905 |
Interest expense: | ||
Deposits and escrow | 5,298 | 11,926 |
Borrowed funds | 3,616 | 6,455 |
Total interest expense | 8,914 | 18,381 |
Net interest income | 77,841 | 40,524 |
Provision for credit losses | 15,779 | 8,012 |
Net interest income after provision for credit losses | 62,062 | 32,512 |
Non-interest income: | ||
Service charges and other fees | 2,920 | 1,203 |
Title fees | 433 | |
Loan level derivative income | 1,792 | 1,163 |
BOLI income | 1,339 | 1,887 |
Gain on sale of SBA loans | 164 | 164 |
Gain on sale of residential loans | 723 | 151 |
Net gain (loss) on equity securities | 131 | (472) |
Net gain on sale of securities and other assets | 710 | 8 |
Loss on termination of derivatives | (16,505) | |
Other | 910 | 132 |
Total non-interest (loss) income | (7,383) | 4,236 |
Non-interest expense: | ||
Salaries and employee benefits | 24,819 | 15,587 |
Occupancy and equipment | 6,977 | 4,056 |
Data processing costs | 3,528 | 2,024 |
Marketing | 860 | 577 |
Professional services | 1,865 | 1,514 |
Federal deposit insurance premiums | 939 | 477 |
Loss from extinguishment of debt | 1,594 | |
Curtailment loss | 1,543 | |
Merger expenses and transaction costs | 37,942 | 586 |
Amortization of core deposit intangible | 357 | |
Other | 2,381 | 1,219 |
Total non-interest expense | 82,805 | 26,040 |
(Loss) income before income taxes | (28,126) | 10,708 |
Income tax (benefit) expense | (7,092) | 2,316 |
Net (loss) income | (21,034) | 8,392 |
Preferred stock dividends | (1,821) | 0 |
Net (loss) income available to common stockholders | $ (22,855) | $ 8,392 |
(Loss) earnings per common share: | ||
Basic | $ (0.66) | $ 0.37 |
Diluted | $ (0.66) | $ 0.37 |
CONSOLIDATED STATEMENTS OF COMP
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (UNAUDITED) | ||
Net (loss) income | $ (21,034) | $ 8,392 |
Other comprehensive (loss) income: | ||
Change in unrealized holding (loss) gain on securities available-for-sale | (16,721) | 10,252 |
Change in pension and other postretirement obligations | 2,006 | 271 |
Change in unrealized gain (loss) on derivatives | 22,307 | (20,377) |
Other comprehensive income (loss) before income taxes | 7,592 | (9,854) |
Deferred tax expense (benefit) | 1,137 | (3,162) |
Other comprehensive income (loss), net of tax | 6,455 | (6,692) |
Total comprehensive (loss) income | $ (14,579) | $ 1,700 |
CONSOLIDATED STATEMENTS OF CHAN
CONSOLIDATED STATEMENTS OF CHANGES IN STOCKHOLDERS' EQUITY (UNAUDITED) - USD ($) $ in Thousands | Preferred StockCumulative Effect, Period of Adoption, Adjusted Balance | Preferred Stock | Common StockCumulative Effect, Period of Adoption, Adjusted Balance | Common Stock | Additional Paid-in CapitalCumulative Effect, Period of Adoption, Adjusted Balance | Additional Paid-in Capital | Retained EarningsCumulative Effect, Period of Adoption, Adjustment | Retained EarningsCumulative Effect, Period of Adoption, Adjusted Balance | Retained Earnings | Accumulated Other Comprehensive Income (Loss)Cumulative Effect, Period of Adoption, Adjusted Balance | Accumulated Other Comprehensive Income (Loss) | Unearned Equity Awards | Common Stock Held by BMPCumulative Effect, Period of Adoption, Adjusted Balance | Common Stock Held by BMP | Treasury Stock, at CostCumulative Effect, Period of Adoption, Adjusted Balance | Treasury Stock, at Cost | Cumulative Effect, Period of Adoption, Adjustment | Cumulative Effect, Period of Adoption, Adjusted Balance | Total |
Balance at Dec. 31, 2019 | $ 348 | $ 279,511 | $ 581,817 | $ (5,940) | $ (6,731) | $ (1,496) | $ (250,751) | $ 596,758 | |||||||||||
Balance (in shares) at Dec. 31, 2019 | 22,780,208 | ||||||||||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||||||
Net (loss) income | 8,392 | 8,392 | |||||||||||||||||
Other comprehensive income (loss), net of tax | (6,692) | (6,692) | |||||||||||||||||
Release of shares, net of forfeitures | 5 | (7) | 2 | ||||||||||||||||
Release of shares, net of forfeitures (in shares) | 59 | ||||||||||||||||||
Stock-based compensation | 671 | 671 | |||||||||||||||||
Proceeds from Preferred Stock issuance, net | $ 72,224 | 72,224 | |||||||||||||||||
Shares received related to tax withholding | (79) | (79) | |||||||||||||||||
Shares received related to tax withholding (in shares) | (3,025) | ||||||||||||||||||
Cash dividends declared and paid to common stockholders, net | (4,915) | (4,915) | |||||||||||||||||
Repurchase of shares of Common Stock | (20,711) | (20,711) | |||||||||||||||||
Repurchase of shares of Common Stock (in shares) | (825,992) | ||||||||||||||||||
Balance at Mar. 31, 2020 | 72,224 | $ 348 | 279,516 | 585,294 | (12,632) | (6,067) | (1,496) | (271,539) | 645,648 | ||||||||||
Balance (in shares) at Mar. 31, 2020 | 21,951,250 | ||||||||||||||||||
Balance at Dec. 31, 2020 | $ 116,569 | 116,569 | $ 348 | $ 348 | $ 278,295 | 278,295 | $ 1,686 | $ 602,327 | 600,641 | $ (5,924) | (5,924) | $ (1,496) | (1,496) | $ (287,337) | (287,337) | $ 1,686 | $ 702,782 | $ 701,096 | |
Balance (in shares) at Dec. 31, 2020 | 21,232,984 | 21,232,984 | 21,232,984 | ||||||||||||||||
Increase (Decrease) in Stockholders' Equity | |||||||||||||||||||
Net (loss) income | (21,034) | $ (21,034) | |||||||||||||||||
Other comprehensive income (loss), net of tax | 6,455 | 6,455 | |||||||||||||||||
Reverse merger with Bridge Bancorp, Inc. | $ 65 | 206,641 | (2,603) | 287,107 | 491,210 | ||||||||||||||
Reverse merger with Bridge Bancorp, Inc. (in shares) | 19,992,284 | ||||||||||||||||||
Exercise of stock options | 292 | 80 | 372 | ||||||||||||||||
Exercise of stock options (in shares) | 15,928 | ||||||||||||||||||
Release of shares, net of forfeitures | $ 3 | 8,562 | (8,340) | (33) | 192 | ||||||||||||||
Release of shares, net of forfeitures (in shares) | 335,959 | ||||||||||||||||||
Stock-based compensation | 836 | 836 | |||||||||||||||||
Shares received to satisfy distribution of retirement benefits | (1,359) | $ 1,496 | (1,130) | (993) | |||||||||||||||
Shares received to satisfy distribution of retirement benefits (in shares) | (41,101) | ||||||||||||||||||
Cash dividends declared and paid to preferred stockholders | (1,821) | (1,821) | |||||||||||||||||
Cash dividends declared and paid to common stockholders, net | (5,175) | (5,175) | |||||||||||||||||
Balance at Mar. 31, 2021 | $ 116,569 | $ 416 | $ 492,431 | $ 574,297 | $ 531 | $ (10,107) | $ (1,313) | $ 1,172,824 | |||||||||||
Balance (in shares) at Mar. 31, 2021 | 41,536,054 | 41,536,054 |
CONSOLIDATED STATEMENTS OF CASH
CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
CASH FLOWS FROM OPERATING ACTIVITIES: | ||
Net (loss) income | $ (21,034) | $ 8,392 |
Adjustments to reconcile net income to net cash (used in) provided by operating activities: | ||
Net gain on sales of securities available-for-sale and other assets | (710) | (8) |
Net (gain) loss on equity securities | (131) | 472 |
Net gain on sale of loans held for sale | (887) | (315) |
Net depreciation, amortization and accretion | (977) | 1,294 |
Stock-based compensation | 836 | 671 |
Provision for credit losses | 15,779 | 8,012 |
Originations of loans held for sale | (12,868) | (6,217) |
Proceeds from sale of loans originated for sale | 20,291 | 8,103 |
Increase in cash surrender value of BOLI | (1,340) | (756) |
Gain from death benefits from BOLI | 0 | (1,131) |
Deferred income tax benefit | (12,704) | (2,090) |
Decrease in other assets | 89,179 | 1,530 |
(Decrease) increase in other liabilities | (84,352) | 2,515 |
Net cash (used in) provided by operating activities | (8,918) | 20,472 |
CASH FLOWS FROM INVESTING ACTIVITIES: | ||
Proceeds from sales of securities available-for-sale | 134,558 | 4,199 |
Proceeds from sales of marketable equity securities | 6,101 | 137 |
Purchases of securities available-for-sale | (327,222) | (33,244) |
Acquisition of marketable equity securities | 0 | (113) |
Proceeds from calls and principal repayments of securities available-for-sale | 214,029 | 32,312 |
Purchase of BOLI | 0 | (20,000) |
Loans purchased | 0 | (892) |
Proceeds from the sale of portfolio loans transferred to held for sale | 3,900 | |
Net (increase) decrease in loans | (326,077) | 131,569 |
Purchases of fixed assets, net | 1,651 | (1,034) |
Sales (purchases) of FHLBNY capital stock, net | 39,006 | (1,127) |
Net cash received in business combination | 715,988 | 0 |
Net cash provided by investing activities | 461,934 | 111,807 |
CASH FLOWS FROM FINANCING ACTIVITIES: | ||
Increase (decrease) in deposits | 870,519 | (3,183) |
Repayments of FHLBNY advances, long-term | (140,150) | (3,615,520) |
(Repayments) proceeds of FHLBNY advances, short-term, net | (745,000) | 3,640,570 |
Proceeds (repayments) of other short-term borrowings, net | 6,763 | (110,000) |
Proceeds from preferred stock issuance, net | 0 | 72,224 |
Proceeds from exercise of stock options | 372 | |
Release of stock for benefit plan awards | 192 | |
Payments related to tax withholding for equity awards | 0 | (79) |
BMP ESOP shares received to satisfy distribution of retirement benefits | (993) | |
Treasury shares repurchased | 0 | (20,711) |
Cash dividends paid to preferred stockholders | (1,821) | |
Cash dividends paid to common stockholders | (9,778) | (4,915) |
Net cash used in financing activities | (19,896) | (41,614) |
Increase in cash and cash equivalents | 433,120 | 90,665 |
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 243,603 | 155,488 |
CASH AND CASH EQUIVALENTS, END OF PERIOD | 676,723 | 246,153 |
SUPPLEMENTAL DISCLOSURE OF CASH FLOW INFORMATION: | ||
Cash paid for income taxes | 4,625 | 955 |
Cash paid for interest | 8,624 | 16,881 |
Loans transferred to held for sale | 18,144 | 2,509 |
Transfer of cash surrender value for BOLI to other assets | 0 | $ 3,016 |
Cumulative change due to CECL adoption | 1,686 | |
Net non-cash liabilities assumed in Merger | $ 324,479 |
BASIS OF PRESENTATION
BASIS OF PRESENTATION | 3 Months Ended |
Mar. 31, 2021 | |
BASIS OF PRESENTATION | |
BASIS OF PRESENTATION | 1. On February 1, 2021, Dime Community Bancshares, Inc., a Delaware corporation (“Legacy Dime”) merged with and into Bridge Bancorp, Inc., a New York corporation (“Bridge”) (the “Merger”), with Bridge as the surviving corporation under the name “Dime Community Bancshares, Inc.” (the “Holding Company”). At the effective time of the Merger (the “Effective Time”), each outstanding share of Legacy Dime common stock, par value $0.01 per share, was converted into the right to receive 0.6480 shares of the Holding Company’s common stock, par value $0.01 per share. At the Effective Time, each outstanding share of Legacy Dime’s Series A preferred stock, par value $0.01 (the “Dime Preferred Stock”), was converted into the right to receive one share of a newly created series of the Holding Company’s preferred stock having the same powers, preferences and rights as the Dime Preferred Stock. Immediately following the Merger, Dime Community Bank, a New York-chartered commercial bank and a wholly-owned subsidiary of Legacy Dime, merged with and into BNB Bank, a New York-chartered trust company and a wholly-owned subsidiary of Bridge, with BNB Bank as the surviving bank, under the name “Dime Community Bank” (the “Bank”). The unaudited consolidated financial statements presented in this Quarterly Report on Form 10-Q include the collective results of the Holding Company and its wholly-owned subsidiary, the Bank, which are collectively herein referred to as “we”, “us”, “our” and the “Company.” The Merger was accounted for as a reverse merger using the acquisition method of accounting, which means that for accounting and financial reporting purposes, Legacy Dime was deemed to have acquired Bridge in the Merger, even though Bridge was the legal acquirer. Accordingly, Legacy Dime’s historical financial statements are the historical financial statements of the combined company for all periods before February 1, 2021 (the “Merger Date”). The Company’s results of operations for the first quarter of 2021 include the results of operations of Bridge on and after the Merger Date. Results for periods before the Merger Date reflect only those of Legacy Dime and do not include the results of operations of Bridge. The number of shares issued and outstanding, earnings per share, additional paid-in capital, dividends paid and all references to share quantities of the Company have been retrospectively adjusted to reflect the equivalent number of shares issued to holders of Legacy Dime common stock in the Merger. The assets and liabilities of Bridge as of the Merger Date have been recorded at their estimated fair value and added to those of Legacy Dime. See Note 2. Merger for further information. As of March 31, 2021, we operate 67 branch locations throughout Long Island and the New York City boroughs of Brooklyn, Queens, Manhattan, and the Bronx. The Company is a bank holding company engaged in commercial banking and financial services through its wholly-owned subsidiary, Dime Community Bank, which was known as BNB Bank prior to the Merger. The Bank was established in 1910 and is headquartered in Hauppauge, New York. The Holding Company was incorporated under the laws of the State of New York in 1988 to serve as the holding company for the Bank. The Company functions primarily as the holder of all of the Bank’s common stock. In May 1999, the Bank established a real estate investment trust subsidiary, Bridgehampton Community, Inc. (“BCI”), as an operating subsidiary. Our bank operations also include Bridge Abstract LLC (“Bridge Abstract”), a wholly-owned subsidiary of the Bank, which is a broker of title insurance services. In connection with the Merger, on February 1, 2021, the Holding Company acquired Dime Community Bank and its wholly-owned subsidiaries. The accompanying unaudited consolidated financial statements have been prepared in accordance with U.S. generally accepted accounting principles (“GAAP”) for interim financial information and with the instructions to Form 10-Q and Article 10 of Regulation S-X. The unaudited consolidated financial statements included herein reflect all normal recurring adjustments that are, in the opinion of management, necessary for a fair presentation of the results for the interim periods presented. In preparing the interim financial statements, management has made estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenue and expense during the reported periods. Such estimates are subject to change in the future as additional information becomes available or previously existing circumstances are modified. Actual future results could differ significantly from those estimates. The annualized results of operations for the three months ended March 31, 2021 are not necessarily indicative of the results of operations that may be expected for the entire fiscal year. Certain information and note disclosures normally included in the financial statements prepared in accordance with GAAP have been condensed or omitted pursuant to the rules and regulations of the Securities and Exchange Commission (the “SEC”). Certain reclassifications have been made to prior year amounts, and the related discussion and analysis, to conform to the current year presentation. These reclassifications did not have an impact on net income or total stockholders' equity. The unaudited consolidated financial statements should be read in conjunction with the audited consolidated financial statements and notes thereto included in the Legacy Dime’s Annual Report on Form 10-K for the year ended December 31, 2019, which remain significantly unchanged and have been followed similarly as in prior periods except for the allowance for credit losses policy, resulting from the adoption of Accounting Standard Update (“ASU”) No. 2016-13, “Financial Instruments – Credit Losses (Topic 326)” and certain policies added as a result of the Merger. Risks and Uncertainties In March 2020, the World Health Organization declared the outbreak of COVID-19 as a global pandemic, which has spread to most countries, including the United States. The pandemic has adversely affected economic activity globally, nationally and locally. In March 2020, the United States declared a National Public Health Emergency in response to the COVID-19 pandemic. In an effort to mitigate the spread of COVID-19, local state governments, including New York (in which the Bank has retail banking offices), have taken preventative or protective actions such as travel restrictions, advising or requiring individuals to limit or forego their time outside of their homes, and other forced closures for certain types of non-essential businesses. The impact of these actions is expected to continue to have an adverse impact on the economies and financial markets in the United States. The Coronavirus Aid, Relief and Economic Security (“CARES”) Act was signed into law at the end of March 2020. The CARES Act is intended to provide relief and lessen a severe economic downturn. The stimulus package includes direct financial aid to American families and economic stimulus to significantly impacted industry sectors. The package also includes extensive emergency funding for hospitals and healthcare providers. It is possible that there will be material, adverse impacts to significant estimates, asset valuations, and business operations, including intangible assets, investments, loans, deferred tax assets, and derivative counter party risk. |
MERGER
MERGER | 3 Months Ended |
Mar. 31, 2021 | |
MERGER | |
MERGER | 2 . As described in Note 1. Basis of Presentation, on February 1, 2021, we completed our Merger with Legacy Dime. Pursuant to the merger agreement, Legacy Dime merged with and into Bridge with Bridge as the surviving corporation under the name “Dime Community Bancshares, Inc.” At the effective time of the Merger, each outstanding share of Legacy Dime common stock, par value $0.01 per share, was converted into 0.6480 shares of the Company’s common stock, par value $0.01 per share. At the Effective Time, each outstanding share of Legacy Dime’s Series A preferred stock, par value $0.01 (the “Dime Preferred Stock”), was converted into one share of a newly created series of the Company’s preferred stock having the same powers, preferences and rights as the Dime Preferred Stock. In connection with the Merger, the Company assumed $115.0 million in aggregate principal amount of the 4.50% Fixed-to-Floating Rate Subordinated Debentures due 2027 of Legacy Dime. The Merger constituted a business combination and was accounted for as a reverse merger using the acquisition method of accounting. As a result, Legacy Dime was the accounting acquirer and Bridge was the legal acquirer and the accounting acquiree. Accordingly, the historical financial statements of Legacy Dime became the historical financial statements of the combined company. In addition, the assets and liabilities of Bridge have been recorded at their estimated fair values and added to those of Legacy Dime as of the Merger Date. The determination of fair value required management to make estimates about discount rates, expected future cash flows, market conditions and other future events that are subjective and subject to change. The Company issued 21.2 million shares of its common stock to Legacy Dime stockholders in connection with the Merger, which represented 51.5% of the voting interests in the Company upon completion of the Merger. In accordance with FASB ASC 805-40-30-2, the purchase price in a reverse acquisition is determined based on the number of equity interests the legal acquiree would have had to issue to give the owners of the legal acquirer the same percentage equity interest in the combined entity that results from the reverse acquisition. The table below summarizes the ownership of the combined company following the Merger, for each shareholder group, as well as the market capitalization of the combined company using shares of Bridge and Legacy Dime common stock outstanding at January 31, 2021 and Bridge’s closing price on January 31, 2021. Dime Community Bancshares, Inc. Ownership and Market Value Number of Market Value at Bridge Percentage $24.43 Bridge (Dollars and shares in thousands) Outstanding Shares Ownership Share Price Bridge shareholders 19,993 48.5% $ 488,420 Legacy Dime shareholders 21,233 51.5% 518,720 Total 41,226 100.0% $ 1,007,140 The table below summarizes the hypothetical number of shares as of January 31, 2021 that Legacy Dime would have to issue to give Bridge owners the same percentage ownership in the combined company. Hypothetical Legacy Dime Ownership Number of Legacy Dime Percentage (Shares in thousands) Outstanding Shares Ownership Bridge shareholders 30,853 48.5% Legacy Dime shareholders 32,767 51.5% Total 63,620 100.0% The purchase price is calculated based on the number of hypothetical shares of Legacy Dime common stock issued to Bridge shareholders multiplied by the share price as demonstrated in the table below. (Dollars and shares in thousands) Number of hypothetical Legacy Dime shares issued to Bridge shareholders 30,853 Legacy Dime market price per share as of February 1, 2021 $ 15.90 Purchase price determination of hypothetical Legacy Dime shares issued to Bridge shareholders $ 490,560 Value of Bridge stock options hypothetically converted to options to acquire shares of Legacy Dime common stock 643 Cash in lieu of fractional shares 7 Purchase price consideration $ 491,210 The following table provides the purchase price allocation as of the Merger Date and the Bridge assets acquired and liabilities assumed at their estimated fair value as of the Merger Date as recorded by Dime Community Bancshares. We recorded the estimate of fair value based on initial valuations available at the Merger Date and these estimates are considered preliminary and subject to adjustment for up to one year after the Merger Date. While we believe that the information available on the Merger Date provided a reasonable basis for estimating fair value, we expect that we may obtain additional information and evidence during the measurement period that would result in changes to the estimated fair value amounts. The measurement period ends on the earlier of one year after the Merger Date or the date we are able to determine that we have obtained all necessary information about the facts and circumstances that existed as of Merger Date. Subsequent adjustments to fair value, if necessary, will be reflected in our future filings. (In thousands) Purchase price consideration $ 491,210 Fair value of assets acquired: Cash and due from banks 715,988 Securities available-for-sale 651,997 Loans held for sale 10,000 Loans held for investment 4,531,640 Premises and fixed assets 37,881 Restricted stock 23,362 BOLI 94,085 Other intangible assets 10,984 Operating lease assets 45,603 Other assets 117,474 Total assets acquired 6,239,014 Fair value of liabilities assumed: Deposits 5,405,575 Other short-term borrowings 216,298 Subordinated debt 83,200 Operating lease liabilities 45,285 Other liabilities 97,147 Total liabilities assumed 5,847,505 Fair value of net identifiable assets 391,509 Goodwill resulting from Merger $ 99,701 As a result of the Merger, we recorded $99.7 million of goodwill. The goodwill recorded in not deductible for income tax purposes. As described in detail in Note 3. Summary of Accounting Policies, the Company is required to record purchased financial assets with credit deterioration (PCD assets), defined as a more-than-insignificant deterioration in credit quality since origination or issuance, at the purchase price plus the allowance for credit losses expected at the time of acquisition. Under this method, there is no credit loss expense affecting net income on acquisition of PCD assets. Changes in estimates of expected losses after acquisition are recognized as credit loss expense (or reversal of credit loss expense) in subsequent periods as they arise. Any non-credit discount or premium resulting from acquiring a pool of purchased financial assets with credit deterioration shall be allocated to each individual asset. At the acquisition date, the initial allowance for credit losses determined on a collective basis shall be allocated to individual assets to appropriately allocate any non-credit discount or premium. The non-credit discount or premium, after the adjustment for the allowance for credit losses, shall be accreted to interest income using the interest method based on the effective interest rate determined after the adjustment for credit losses at the adoption date. (In thousands) PCD loans: Unpaid principal balance $ 295,306 Non-credit discount at acquisition (9,049) Unpaid principal balance, net 286,257 Allowance for credit losses at acquisition (52,285) Fair value at acquisition 233,972 Non-PCD loans: Unpaid principal balance 4,289,236 Premium at acquisition 8,432 Fair value at acquisition 4,297,668 Total fair value at acquisition $ 4,531,640 Supplemental disclosures of cash flow information related to investing and financing activities regarding the Merger are as follows for the three months ended March 31, 2021: (In thousands) Business combination: Fair value of tangible assets acquired $ 6,228,030 Goodwill, core deposit intangible and other intangible assets acquired 110,685 Liabilities assumed 5,847,505 Purchase price consideration 491,210 Other intangible assets consisted of core deposit intangibles and a non-compete agreement with estimated fair values at the Merger Date of $10.2 million and $780 thousand, respectively. Core deposit intangibles are being amortized over a life of 10 years on an accelerated basis. The non-compete agreement is being amortized over a life of 13 months. Pro Forma Combined Results of Operations The following pro forma financial information presents the consolidated results of operations of Legacy Dime and Bridge as if the Merger occurred as of January 1, 2020 with pro forma adjustments. The pro forma adjustments give effect to any change in interest income due to the accretion of discounts (premiums) associated with the fair value adjustments of acquired loans, any change in interest expense due to estimated premium amortization/discount accretion associated with the fair value adjustments to acquired time deposits and other debt, and the amortization of the core deposit intangible that would have resulted had the deposits been acquired as of January 1, 2020. Merger related expenses incurred by the Company during the three months ended March 31, 2021 are not reflected in the pro forma amounts. The pro forma information does not necessarily reflect the results of operations that would have occurred had Legacy Dime merged with Bridge at the beginning of 2020. The pro forma amounts for the three months ended March 31, 2021 and 2020 do not reflect the anticipated cost savings that have not yet been realized. Three Months Ended March 31, (Dollars in thousands except per share amounts) 2021 2020 Net interest income $ 90,476 $ 79,511 Non-interest (loss) income (6,032) 9,453 Net (loss) income (149) 18,685 Net (loss) income available to common shareholders (1,560) 18,423 Earnings per share: Basic (0.04) 0.45 Diluted (0.04) 0.45 |
SUMMARY OF ACCOUNTING POLICIES
SUMMARY OF ACCOUNTING POLICIES | 3 Months Ended |
Mar. 31, 2021 | |
SUMMARY OF ACCOUNTING POLICIES | |
SUMMARY OF ACCOUNTING POLICIES | 3 . Summary of Significant Accounting Policies In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary for a fair presentation of the Company’s financial condition as of March 31, 2021 and December 31, 2020, the results of operations and statements of comprehensive income for the three-month periods ended March 31, 2021 and 2020, the changes in stockholders’ equity for the three-month periods ended March 31, 2021 and 2020, and cash flows for the three-month periods ended March 31, 2021 and 2020. Please see "Part I - Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations - Critical Accounting Policies" for a discussion of areas in the accompanying unaudited condensed consolidated financial statements utilizing significant estimates. Recent Accounting Pronouncements Allowance for Credit Losses – The adoption of the CECL standard resulted in an initial decrease of $3.9 million to the allowance for credit losses and an increase of $1.4 million to the reserve for unfunded commitments in other liabilities. The after-tax cumulative-effect adjustment of $1.7 million was recorded in retained earnings as of January 1, 2021. The allowance for credit losses is a valuation allowance that is deducted from the amortized cost basis of loans to present the net amount expected to be collected on the loans. Loan losses are charged against the allowance when management believes it has confirmed the loan balance is uncollectible. Subsequent recoveries, if any, are credited to the allowance. The CECL Standard, which requires that debt securities held to maturity be accounted for under the current expected credit losses model, including historical loss experience and impact of current conditions and reasonable and supportable forecasts, with an associated allowance for credit losses. In addition, while credit losses on debt securities available for sale should be measured in accordance with the other-than-temporary impairment (“OTTI”) framework under current GAAP, the amendments in the CECL Standard require that these credit losses be presented as an allowance for credit losses. For AFS debt securities, a decline in fair value due to credit loss results in recording an allowance for credit losses to the extent the fair value is less than the amortized cost basis. Management estimates the allowance balance required using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historically observed credit loss experience of peer banks within our geography provide the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or terms as well as changes in environmental conditions, such as changes in unemployment rates, gross domestic product, and real estate pricing. Management evaluates the adequacy of the allowance on a quarterly basis. The allowance for credit losses is measured on a collective (pool) basis when similar risk characteristics exist. The Company has identified the following portfolio segments and measures the allowance for credit losses using the following methods: One-to-four family residential, including condominium and cooperative apartment loans - Multifamily residential and residential mixed-use loans - Commercial real estate and commercial mixed-use loans - 1.25x. Included in commercial real estate loans are also certain Small Business Administration ("SBA") loans in which the loan is secured by underlying real estate as collateral. The Bank may sell a portion of the loan, guaranteed by the SBA, to a third-party investor. Repayment of commercial real estate loans is often dependent upon successful operation or management of the collateral properties, as well as the success of the business and retail tenants occupying the properties. Repayment of such loans is generally more vulnerable to weak economic conditions, such as unemployment rates and commercial real estate prices. Acquisition, development, and construction loans Commercial, Industrial and Agricultural Loans - Other Loans Loans that do not share risk characteristics are evaluated on an individual basis based on various factors. Loans evaluated individually are not included in the collective evaluation. Factors that may be considered are borrower delinquency trends and nonaccrual status, probability of foreclosure or note sale, changes in the borrower’s circumstances or cash collections, borrower’s industry, or other facts and circumstances of the loan or collateral. Individually Evaluated Loans with an ACL and Other Real Estate Owned Appraisals for collateral-dependent loans are performed by certified general appraisers (for commercial properties) or certified residential appraisers (for residential properties) whose qualifications and licenses have been reviewed and verified by the Company. Once received, the Appraisal and Credit Departments review the assumptions and approaches utilized in the appraisal as well as the overall resulting fair value in comparison with independent data sources such as recent market data or industry-wide statistics. Management also considers the appraisal values for commercial properties associated with current loan origination activity. Collectively, this information is reviewed to help assess current trends in commercial property values. For each collateral dependent loan, management considers information that relates to the type of property to determine if such properties may have appreciated or depreciated in value since the date of the most recent appraisal. Adjustments to fair value are made only when the analysis indicates a probable decline in collateral values. Adjustments made in the appraisal process are not deemed material to the overall consolidated financial statements given the level of collateral dependent loans measured at fair value on a non-recurring basis. Allowance for Credit Losses on Off-Balance Sheet Credit Exposures – The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The allowance for credit losses on off-balance sheet credit exposures, which is included in other liabilities on the consolidated statements of financial condition, is adjusted as a provision for credit loss expense in other operating expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life, which is the same as the expected loss factor as determined based on the corresponding portfolio segment. Loans acquired in a business combination – A purchased financial asset that does not qualify as a PCD asset is accounted for similar to an originated financial asset. Generally, this means that an entity recognizes the allowance for credit losses for non-PCD assets through net income at the time of acquisition. In addition, both the credit discount and non-credit discount or premium resulting from acquiring a pool of purchased financial assets that do not qualify as PCD assets shall be allocated to each individual asset. This combined discount or premium shall be accreted to interest income using the effective yield method. For further discussion of our loan accounting and acquisitions, see Note 2 – Merger and Note 8 – Loans. |
ACCUMULATED OTHER COMPREHENSIVE
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 3 Months Ended |
Mar. 31, 2021 | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | 4 . Activity in accumulated other comprehensive income (loss), net of tax, was as follows: Total Accumulated Securities Defined Other Available- Benefit Comprehensive (In thousands) for-Sale Plans Derivatives Income (Loss) Balance as of January 1, 2021 $ 12,694 $ (6,086) $ (12,532) $ (5,924) Other comprehensive income (loss) before reclassifications (10,570) 1,659 16,476 7,565 Amounts reclassified from accumulated other comprehensive loss (822) (288) — (1,110) Net other comprehensive (loss) income during the period (11,392) 1,371 16,476 6,455 Balance as of March 31, 2021 $ 1,302 $ (4,715) $ 3,944 $ 531 Balance as of January 1, 2020 $ 4,621 $ (6,024) $ (4,537) $ (5,940) Other comprehensive income (loss) before reclassifications 7,049 120 (14,060) (6,891) Amounts reclassified from accumulated other comprehensive loss (5) 65 139 199 Net other comprehensive income (loss) during the period 7,044 185 (13,921) (6,692) Balance as of March 31, 2020 $ 11,665 $ (5,839) $ (18,458) $ (12,632) The before and after-tax amounts allocated to each component of other comprehensive income (loss) are presented in the table below for the periods indicated. Three Months Ended March 31, (In thousands) 2021 2020 Change in unrealized holding gain or loss on securities available-for-sale: Change in net unrealized gain or loss during the period $ (15,534) $ 10,260 Reclassification adjustment for net (gains) losses included in net gain on securities and other assets (1,187) (8) Net change (16,721) 10,252 Tax (benefit) expense (5,329) 3,208 Net change in unrealized holding gain or loss on securities available-for-sale (11,392) 7,044 Change in pension and other postretirement obligations: Reclassification adjustment for expense included in other expense (422) 95 Reclassification adjustment for curtailment loss 1,543 — Change in the net actuarial gain or loss 885 176 Net change 2,006 271 Tax expense 635 86 Net change in pension and other postretirement obligations 1,371 185 Change in unrealized gain or loss on derivatives: Change in net unrealized gain or loss during the period 21,453 (20,581) Reclassification adjustment for expense included in interest expense 854 204 Net change 22,307 (20,377) Tax expense (benefit) 5,831 (6,456) Net change in unrealized gain or loss on derivatives 16,476 (13,921) Other comprehensive income (loss), net of tax $ 6,455 $ (6,692) |
EARNINGS PER COMMON SHARE ("EPS
EARNINGS PER COMMON SHARE ("EPS") | 3 Months Ended |
Mar. 31, 2021 | |
EARNINGS PER COMMON SHARE ("EPS") | |
EARNINGS PER COMMON SHARE ("EPS") | 5 . Basic EPS is computed by dividing net income available to common stockholders by the weighted-average common shares outstanding during the reporting period. Diluted EPS is computed using the same method as basic EPS, but reflects the potential dilution that would occur if "in the money" stock options were exercised and converted into Common Stock, and if all likely aggregate Long-term Incentive Plan ("LTIP") and Sales Incentive Plan ("SIP") shares are issued, when there are outstanding shares. In determining the weighted average shares outstanding for basic and diluted EPS, treasury shares are excluded. Vested restricted stock award ("RSA") shares are included in the calculation of the weighted average shares outstanding for basic and diluted EPS. Unvested RSA and SIP shares not yet awarded are recognized as a special class of participating securities under ASC 260, and are included in the calculation of the weighted average shares outstanding for basic and diluted EPS. The following is a reconciliation of the numerators and denominators of basic and diluted EPS for the periods presented: Three Months Ended March 31, (In thousands except share and per share amounts) 2021 2020 Net (loss) income available to common stockholders $ (22,855) $ 8,392 Less: Dividends paid and earnings allocated to participating securities 165 (67) (Loss) income attributable to common stock $ (22,690) $ 8,325 Weighted average common shares outstanding, including participating securities 34,543,114 22,551,358 Less: weighted average participating securities (282,176) (174,386) Weighted average common shares outstanding 34,260,938 22,376,972 Basic EPS $ (0.66) $ 0.37 (Loss) income attributable to common stock $ (22,690) $ 8,325 Weighted average common shares outstanding 34,260,938 22,376,972 Weighted average common equivalent shares outstanding 1,067 99,600 Weighted average common and equivalent shares outstanding 34,262,005 22,476,572 Diluted EPS $ (0.66) $ 0.37 Common and equivalent shares resulting from the dilutive effect of "in-the-money" outstanding stock options are calculated based upon the excess of the average market value of the common stock over the exercise price of outstanding in-the-money stock options during the period. There were 180,020 weighted-average stock options outstanding for the three-month period ended March 31, 2021, which were not considered in the calculation of diluted EPS since their exercise prices exceeded the average market price during the period. There were no "out-of-the-money" stock options during the three-month period ended March 31, 2020. For information about the calculation of expected aggregate LTIP and SIP share payouts, see Note 16. |
PREFERRED STOCK
PREFERRED STOCK | 3 Months Ended |
Mar. 31, 2021 | |
PREFERRED STOCK | |
PREFERRED STOCK | 6 . On February 5, 2020, Legacy Dime completed an underwritten public offering of 2,999,200 shares, or $75.0 million in aggregate liquidation preference, of its 5.50% Fixed-Rate Non-Cumulative Perpetual Preferred Stock, Series A, par value $0.01 per share, with a liquidation preference of $25.00 per share. The net proceeds received from the issuance of preferred stock at the time of closing were $72.2 million. On June 10, 2020, Legacy Dime completed an underwritten public offering, a reopening of the February 5, 2020 original issuance, of 2,300,000 shares, or $57.5 million in aggregate liquidation preference, of its 5.50% Fixed-Rate Non-Cumulative Perpetual Preferred Stock, Series A, par value $0.01 per share (the “Preferred Stock”), with a liquidation preference of $25.00 per share. The net proceeds received from the issuance of preferred stock at the time of closing were $44.3 million. At the Effective Time of the Merger, each outstanding share of the Preferred Stock was converted into the right to receive one share of a newly created series of the Company’s preferred stock having the same powers, preferences and rights as the Legacy Dime Preferred Stock. The Company expects to pay dividends when, as, and if declared by its board of directors, at a fixed rate of 5.50% per annum, payable quarterly, in arrears, on February 15, May 15, August 15 and November 15 of each year. The Preferred Stock is perpetual and has no stated maturity. The Company may redeem the Preferred Stock at its option at a redemption price equal to $25.00 per share, plus any declared and unpaid dividends (without regard to any undeclared dividends), subject to regulatory approval, on or after June 15, 2025 or within 90 days following a regulatory capital treatment event, as described in the prospectus supplement and accompanying prospectus relating to the offering. |
INVESTMENT AND MORTGAGE-BACKED
INVESTMENT AND MORTGAGE-BACKED SECURITIES | 3 Months Ended |
Mar. 31, 2021 | |
INVESTMENT AND MORTGAGE-BACKED SECURITIES | |
INVESTMENT AND MORTGAGE-BACKED SECURITIES | 7 . The following tables summarize the major categories of securities owned by the Company as of the dates indicated: March 31, 2021 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Securities available-for-sale: Agency notes $ 72,500 $ — $ (2,930) $ 69,570 Treasury securities 92,547 — (275) 92,272 Corporate securities 95,786 3,367 (420) 98,733 Pass-through MBS issued by GSEs 321,442 7,053 (4,788) 323,707 Agency Collateralized Mortgage Obligations ("CMOs") 522,841 6,305 (6,324) 522,822 State and municipal obligations 45,498 179 (288) 45,389 Total securities available-for-sale $ 1,150,614 $ 16,904 $ (15,025) $ 1,152,493 December 31, 2020 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Securities available-for-sale: Agency notes $ 47,500 $ 12 $ (91) $ 47,421 Corporate securities 62,021 2,440 — 64,461 Pass-through MBS issued by GSEs 135,842 7,672 (31) 143,483 Agency CMOs 274,898 8,674 (76) 283,496 Total securities available-for-sale $ 520,261 $ 18,798 $ (198) $ 538,861 As a result of the Merger, the Company acquired $652.0 million of securities available-for-sale on the Merger Date. The carrying amount of securities pledged as collateral was $637.1 million and $99.4 million at March 31, 2021 and December 31, 2020, respectively. At March 31, 2021 and December 31, 2020, there were no holdings of securities of any one issuer, other than the U.S. Government and its agencies, in an amount greater than 10% of stockholders' equity. The amortized cost and fair value of debt securities are shown by contractual maturity. Expected maturities may differ from contractual maturities if borrowers have the right to call or prepay obligations with or without call or prepayment penalties. Securities not due at a single maturity date are shown separately. March 31, 2021 Amortized Fair (In thousands) Cost Value Available-for-sale Within one year $ 2,123 $ 2,130 One to five years 116,049 115,878 Five to ten years 183,014 182,961 Beyond ten years 5,145 4,995 Pass-through MBS issued by GSEs and agency CMO 844,283 846,529 Total $ 1,150,614 $ 1,152,493 The following table presents the information related to sales of securities available-for-sale as of the periods indicated: Three Months Ended March 31, (In thousands) 2021 2020 Corporate Securities: Proceeds $ 46,754 $ — Gross gains 709 — Tax expense on gain 225 — Gross losses 41 — Tax benefit on loss 13 — Pass through MBS issued by GSEs: Proceeds 26,823 — Gross gains 187 — Tax expense on gain 59 — Gross losses 35 — Tax benefit on loss 11 — Agency CMOs: Proceeds 41,324 4,199 Gross gains 268 8 Tax expense on gain 85 3 Gross losses 44 — Tax benefit on loss 14 — State and municipal obligations: Proceeds 19,657 — Gross gains 143 — Tax expense on gain 45 — Three Months Ended March 31, (In thousands) 2021 2020 Proceeds: Marketable equity securities $ 6,101 $ 137 Net gain of $131 thousand was recognized on marketable equity securities for the three-month period ended March 31, 2021. Net loss of $472 thousand was recognized on marketable equity securities for the three-month period ended March 31, 2020. Marketable equity securities were fully liquidated in connection with the termination of the BMP. The following table summarizes the gross unrealized losses and fair value of investment securities aggregated by investment category and the length of time the securities were in a continuous unrealized loss position as of the dates indicated: March 31, 2021 Less than 12 12 Consecutive Consecutive Months Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) Value Losses Value Losses Value Losses Securities available-for-sale: Agency notes $ 69,570 $ 2,930 $ — $ — $ 69,570 $ 2,930 Treasury securities 92,272 275 — — 92,272 275 Corporate securities 18,278 420 — — 18,278 420 Pass-through MBS issued by GSEs 181,917 4,788 — — 181,917 4,788 Agency CMOs 239,145 6,324 — — 239,145 6,324 State and municipal obligations 19,004 288 — — 19,004 288 December 31, 2020 Less than 12 12 Consecutive Consecutive Months Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) Value Losses Value Losses Value Losses Securities available-for-sale: Agency notes $ 22,409 $ 91 $ — $ — $ 22,409 $ 91 Corporate securities — — — — — — Pass-through MBS issued by GSEs 5,007 31 — — 5,007 31 Agency CMOs 6,563 30 4,954 46 11,517 76 The issuers of securities available-for-sale are primarily U.S. government-sponsored entities or agencies. The decline in fair value is attributable to changes in interest rates and illiquidity, and not credit quality. In accordance with the Company’s investment policy, corporate notes are rated "investment grade" at the time of purchase and the financials of the issuers are reviewed quarterly. It is likely that the Company will not be required to sell the securities before their anticipated recovery, and as such, the Company does not consider these securities to be other-than-temporarily-impaired at March 31, 2021. On January 1, 2021, the Company adopted the CECL Standard, which requires that debt securities held to maturity be accounted for under the current expected credit losses model, including historical loss experience and impact of current conditions and reasonable and supportable forecasts, with an associated allowance for credit losses. In addition, while credit losses on debt securities available for sale should be measured in accordance with the other-than-temporary impairment (“OTTI”) framework under current GAAP, the amendments in the CECL Standard require that these credit losses be presented as an allowance for credit losses. For AFS debt securities, a decline in fair value due to credit loss results in recording an allowance for credit losses to the extent the fair value is less than the amortized cost basis. There are no held maturity securities as of March 31, 2021. |
LOANS HELD FOR INVESTMENT, NET
LOANS HELD FOR INVESTMENT, NET | 3 Months Ended |
Mar. 31, 2021 | |
LOANS HELD FOR INVESTMENT, NET | |
LOANS HELD FOR INVESTMENT, NET | 8. The following table presents the loan categories for the period ended as indicated: (In thousands) March 31, 2021 December 31, 2020 One-to-four family residential and cooperative/condominium apartment $ 696,415 $ 184,989 Multifamily residential and residential mixed-use 3,567,207 2,758,743 Commercial real estate ("CRE") 3,631,287 1,878,167 Acquisition, development, and construction ("ADC") 254,170 156,296 Total real estate loans 8,149,079 4,978,195 Commercial and industrial ("C&I") 2,332,610 641,533 Other loans 24,409 2,316 Total 10,506,098 5,622,044 Allowance for credit losses (98,200) (41,461) Loans held for investment, net $ 10,407,898 $ 5,580,583 As a result of the Merger, the Company recorded $4.53 billion of loans held for investment on the Merger Date. As of March 31, 2021, included in C&I loans was $1.43 billion of Small Business Administration ("SBA") Paycheck Protection Program ("PPP") loans. There was $321.9 million of SBA PPP loans at December 31, 2020. These loans carry a 100% guarantee from the SBA and have no allowance for credit losses allocated to them based on the nature of the guarantee. The following tables present data regarding the allowance for credit losses activity for the periods indicated: At or for the Three Months Ended March 31, 2021 Real Estate Loans One-to-Four Family Residential, Including Multifamily Commercial Condominium Residential Real Estate and and and Cooperative Residential Commercial Total Real Other (In thousands) Apartment Mixed-Use Mixed-Use ADC Estate C&I Loans Total Allowance for credit losses: Beginning balance, prior to the adoption of CECL $ 644 $ 17,016 $ 9,059 $ 1,993 $ 28,712 $ 12,737 $ 12 $ 41,461 Impact of adopting CECL 1,048 (8,254) 4,849 381 (1,976) (1,935) (8) (3,919) Adjusted beginning balance as of January 1, 2021 1,692 8,762 13,908 2,374 26,736 10,802 4 37,542 PCD Day 1 2,220 3,292 23,124 117 28,753 23,374 157 52,284 Provision (credit) for credit losses 1,235 (1,397) 7,813 1,408 9,059 3,219 371 12,649 Charge-offs (14) (236) (8) — (258) (4,017) — (4,275) Ending balance $ 5,133 $ 10,421 $ 44,837 $ 3,899 $ 64,290 $ 33,378 $ 532 $ 98,200 At or for the Three Months Ended March 31, 2020 Real Estate Loans One-to Four Family Residential, Including Multifamily Commercial Condominium Residential Real Estate and and and Cooperative Residential Commercial Total Real Other (In thousands) Apartment Mixed-Use Mixed-Use ADC Estate C&I Loans Total Allowance for credit losses: Beginning balance $ 269 $ 10,142 $ 3,900 $ 1,244 $ 15,555 $ 12,870 $ 16 $ 28,441 Provision (credit) for credit losses 376 4,127 2,442 427 7,372 641 (1) 8,012 Charge-offs — — (6) — (6) — — (6) Recoveries — 14 — — 14 2 — 16 Ending balance $ 645 $ 14,283 $ 6,336 $ 1,671 $ 22,935 $ 13,513 $ 15 $ 36,463 The increase in allowance for credit losses was primarily attributable to the Day 1 allowance recognized on acquired PCD loans of $52.3 million, coupled with the provision for credit losses on loans recognized of $12.6 million for the quarter, partially offset by $4.3 million in net charge-offs and the impact of the adoption of the CECL standard of $3.9 million. The provision of $12.6 million for the quarter primarily resulted from the provision for credit losses recorded on acquired non-PCD loans which totaled $20.3 million for the quarter, partially offset by a negative $7.6 million provision on the remainder of the portfolio as a result of the improvement in forecasted macroeconomic conditions. The following table presents the amortized cost basis of loans on non-accrual status as of the period indicated: March 31, 2021 Non-accrual with Non-accrual with (In thousands) No Allowance Allowance Reserve One-to-four family residential and cooperative/condominium apartment $ - $ 5,384 $ 134 Multifamily residential and residential mixed-use 4,844 - - CRE 3,552 7,043 2,786 ADC - 104 59 C&I - 14,523 7,881 Other - 99 58 Total $ 8,396 $ 27,153 $ 10,918 The Company did not The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method, prior to the adoption of ASC 326, as of the dates indicated: December 31, 2020 Real Estate Loans One-to-Four Family Residential, Including Multifamily Commercial Condominium Residential Real Estate and and and Cooperative Residential Commercial Total Real Other (In thousands) Apartment Mixed-Use Mixed-Use ADC Estate C&I Loans Total Allowance for loan losses: Individually evaluated for impairment $ — $ — $ — $ — $ — $ 6,474 $ — $ 6,474 Collectively evaluated for impairment 644 17,016 9,059 1,993 28,712 6,263 12 34,987 Total ending allowance balance $ 644 $ 17,016 $ 9,059 $ 1,993 $ 28,712 $ 12,737 $ 12 $ 41,461 Loans: Individually evaluated for impairment $ — $ 1,863 $ 2,704 $ — $ 4,567 $ 12,502 $ — $ 17,069 Collectively evaluated for impairment 184,989 2,756,880 1,875,463 156,296 4,973,628 629,031 2,316 5,604,975 Total ending loans balance $ 184,989 $ 2,758,743 $ 1,878,167 $ 156,296 $ 4,978,195 $ 641,533 $ 2,316 $ 5,622,044 Impaired Loans (prior to the adoption of ASC 326) A loan is considered impaired when, based on then current information and events, it is probable that all contractual amounts due will not be collected in accordance with the terms of the loan. Factors considered by management in determining impairment include payment status, collateral value, and the probability of collecting scheduled principal and interest payments when due. Loans that experience insignificant payment delays or shortfalls generally are not classified as impaired. Management determines the significance of payment delays and shortfalls on a case-by-case basis, taking into consideration all of the circumstances surrounding the loan and the borrower, including the length of the delay, the reasons for the delay, the borrower’s prior payment record, and the amount of the shortfall in relation to the principal and interest owed. The Bank considers TDRs and all non-accrual loans, except non-accrual one-to-four family loans in less than the FNMA Limits, to be impaired. Non-accrual one-to-four family loans equal to or less than the FNMA Limits, as well as all consumer loans, are considered homogeneous loan pools and are not required to be evaluated individually for impairment unless considered a TDR. Impairment is typically measured using the difference between the outstanding loan principal balance and either: 1) the likely realizable value of a note sale; 2) the fair value of the underlying collateral, net of likely disposal costs, if repayment is expected to come from liquidation of the collateral; or 3) the present value of estimated future cash flows (using the loan’s pre-modification rate for certain performing TDRs). If a TDR is substantially performing in accordance with its restructured terms, management will look to either the potential net liquidation proceeds of the underlying collateral or the present value of the expected cash flows from the debt service in measuring impairment (whichever is deemed most appropriate under the circumstances). If a TDR has re-defaulted, generally the likely realizable net proceeds from either a note sale or the liquidation of the collateral is considered when measuring impairment. Measured impairment is either charged off immediately or, in limited instances, recognized as an allocated reserve within the allowance for loan losses. The following tables summarize impaired loans with no related allowance recorded and with related allowance recorded as of the periods indicated (by collateral type within the real estate loan segment): The following table summarizes impaired loans recorded as of the date indicated: December 31, 2020 Unpaid Principal Recorded Related (In thousands) Balance Investment (1) Allowance With no related allowance recorded: Multifamily residential and residential mixed-use $ 1,863 $ 1,863 $ — CRE 2,704 2,704 — Total with no related allowance recorded 4,567 4,567 — With an allowance recorded: C&I 12,502 12,502 6,474 Total with an allowance recorded 12,502 12,502 6,474 Total $ 17,069 $ 17,069 $ 6,474 (1) The recorded investment excludes net deferred costs due to immateriality. The following table presents information for impaired loans for the period indicated: Three Months Ended March 31, 2020 Average Interest Recorded Income (In thousands) Investment (1) Recognized (2) With no related allowance recorded: One-to-four family residential and cooperative/condominium apartment $ 2,948 $ — Multifamily residential and residential mixed-use 743 6 CRE 58 1 Total with no related allowance recorded 3,749 7 With an allowance recorded: C&I 10,082 — Total $ 13,831 $ 7 (1) The recorded investment excludes net deferred costs due to immateriality. (2) Cash basis interest and interest income recognized on accrual basis approximate each other. The following tables summarize the past due status of the Company’s investment in loans (excluding net deferred costs and accrued interest) as of the dates indicated: March 31, 2021 Loans 90 Days or 30 to 59 60 to 89 More Past Due Days Days and Still Non- Total Total (In thousands) Past Due Past Due Accruing Interest accrual (1) Past Due Current Loans Real estate: One-to-four family residential, including condominium and cooperative apartment $ 7,027 $ 686 $ 45 $ 5,384 $ 13,142 $ 683,273 $ 696,415 Multifamily residential and residential mixed-use 3,984 8,340 2,871 4,844 20,039 3,547,168 3,567,207 CRE 4,702 3,334 2,259 10,595 20,890 3,610,397 3,631,287 ADC — — — 104 104 254,066 254,170 Total real estate 15,713 12,360 5,175 20,927 54,175 8,094,904 8,149,079 C&I 13,254 410 3,652 14,523 31,839 2,300,771 2,332,610 Other 9 89 — 99 197 24,212 24,409 Total $ 28,976 $ 12,859 $ 8,827 $ 35,549 $ 86,211 $ 10,419,887 $ 10,506,098 (1) Includes all loans on non-accrual status regardless of the number of days such loans were delinquent as of March 31, 2021. December 31, 2020 Loans 90 Days or 30 to 59 60 to 89 More Past Due Days Days and Still Non- Total Total (In thousands) Past Due Past Due Accruing Interest accrual (1) Past Due Current Loans Real estate: One-to-four family residential, including condominium and cooperative apartment $ — $ — $ 44 $ 858 $ 902 $ 184,087 $ 184,989 Multifamily residential and residential mixed-use — — 437 1,863 2,300 2,756,443 2,758,743 CRE 15,351 — — 2,704 18,055 1,860,112 1,878,167 ADC — — — — — 156,296 156,296 Total real estate 15,351 — 481 5,425 21,257 4,956,938 4,978,195 C&I — 917 2,848 12,502 16,267 625,266 641,533 Other 8 1 — 1 10 2,306 2,316 Total $ 15,359 $ 918 $ 3,329 $ 17,928 $ 37,534 $ 5,584,510 $ 5,622,044 (1) Includes all loans on non-accrual status regardless of the number of days such loans were delinquent as of December 31, 2020. Accruing Loans 90 Days or More Past Due: The Company continued accruing interest on eight loans with an outstanding balance of $8.8 million at March 31, 2021, and three loans with an outstanding balance of $3.3 million at December 31, 2020, all of which were 90 days or more past due on their respective contractual maturity dates. These loans continued to make monthly payments consistent with their initial contractual amortization schedule exclusive of the balloon payments due at maturity. These loans were well secured and/or were expected to be refinanced, and, therefore, remained on accrual status and were deemed performing assets at the dates indicated above. Collateral Dependent Loans: At March 31, 2021, the Company had collateral dependent loans which were individually evaluated to determine expected credit losses. Collateral dependent CRE loans totaled $66.0 million and had a related allowance for credit losses totaling $17.4 million at March 31, 2021. The loans were secured by real estate. Collateral dependent multi-family residential and residential mixed-use loans totaled $12.5 million and had a related allowance for credit losses totaling $2.6 million. The loans were secured by real estate. Collateral dependent C&I loans totaled $8.0 million and had a related allowance for credit losses totaling $4.1 million. The loans were secured by business assets. Loan payment deferrals due to COVID-19 Consistent with regulatory guidance to work with borrowers during the unprecedented situation caused by the COVID-19 pandemic and as outlined in the CARES Act, the Company established a formal payment deferral program in April 2020 for borrowers that have been adversely affected by the pandemic. As of March 31, 2021, the Company had 34 loans, representing outstanding loan balances of $66.7 million, that were deferring both principal and interest (“P&I” deferrals). The table below presents the P&I deferrals as of March 31, 2021: March 31, 2021 Number of Loans Balance (1) % of Portfolio (Dollars in thousands) One-to-four family residential and cooperative/condominium apartment 15 $ 15,489 2.2 % Multifamily residential and residential mixed-use — — — CRE 8 24,174 0.7 ADC 1 13,500 5.3 C&I 10 13,491 0.6 Total 34 $ 66,654 0.6 (1) Amount excludes net deferred costs due to immateriality. Pursuant to regulatory guidance, and guidance under Section 4013 of the CARES Act, a qualified loan modification, such as a payment deferral, is exempt by law from classification as a TDR as defined by GAAP, was expected to expire on December 31, 2020. The 2021 Consolidated Appropriations Act, which was signed into law December of 2020, extended the exemption for TDR classification until the earlier of January 1, 2022 or the date that is 60 days after the date on which the national emergency concerning the COVID-19 outbreak is lifted. Risk-ratings on COVID-19 loan deferrals are evaluated on an ongoing basis. Credit Quality Indicators The Company categorizes loans into risk categories based on relevant information about the ability of borrowers to service their debt such as: current financial information, historical payment experience, credit structure, loan documentation, public information, and current economic trends, among other factors. The Company analyzes loans individually by classifying them as to credit risk. This analysis includes all loans, such as multifamily residential, mixed-use residential ( i.e., i.e. Special Mention. Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the Bank’s credit position at some future date. Substandard. Doubtful. The following is a summary of the credit risk profile of loans by internally assigned grade as of the periods indicated, the years represent the year of origination for non-revolving loans: March 31, 2021 (In thousands) 2021 2020 2019 2018 2017 2016 and Prior Revolving Revolving-Term Total One-to-four family residential, and condominium/cooperative apartment: Pass $ 30,658 $ 102,503 $ 95,992 $ 105,587 $ 101,101 $ 177,780 $ 54,179 $ 13,426 $ 681,226 Special mention — — 381 152 371 5,106 846 1,106 7,962 Substandard — — 745 46 — 5,157 — 1,279 7,227 Doubtful — — — — — — — — — Total one-to-four family residential, and condominium/cooperative apartment 30,658 102,503 97,118 105,785 101,472 188,043 55,025 15,811 696,415 Multifamily residential and residential mixed-use: Pass 95,876 365,073 518,902 215,459 464,424 1,672,655 9,698 11 3,342,098 Special mention — — 1,005 — 17,169 17,057 — — 35,231 Substandard — — 34,421 27,280 32,564 95,117 496 — 189,878 Doubtful — — — — — — — — — Total multifamily residential and residential mixed-use 95,876 365,073 554,328 242,739 514,157 1,784,829 10,194 11 3,567,207 CRE: Pass 184,029 867,480 604,893 396,946 404,571 978,940 50,050 26,440 3,513,349 Special mention — 4,256 2,673 9,031 13,536 11,578 — — 41,074 Substandard — 589 3,400 13,235 22,060 37,567 — 10 76,861 Doubtful — — — — — — — 3 3 Total CRE 184,029 872,325 610,966 419,212 440,167 1,028,085 50,050 26,453 3,631,287 ADC: Pass 8,105 39,106 23,599 10,520 5,615 1,355 121,537 29,651 239,488 Special mention — — — 1,077 — — — 13,500 14,577 Substandard — — — — — 105 — — 105 Doubtful — — — — — — — — — Total ADC 8,105 39,106 23,599 11,597 5,615 1,460 121,537 43,151 254,170 C&I: Pass 560,948 991,821 71,898 44,089 47,108 38,787 461,029 42,082 2,257,762 Special mention — 2,345 1,270 5,553 765 559 22,566 3,078 36,136 Substandard — 49 839 1,417 3,228 1,314 4,118 15,190 26,155 Doubtful — — 210 — 11,929 190 — 228 12,557 Total C&I 560,948 994,215 74,217 51,059 63,030 40,850 487,713 60,578 2,332,610 Total Loans $ 879,616 $ 2,373,222 $ 1,360,228 $ 830,392 $ 1,124,441 $ 3,043,267 $ 724,519 $ 146,004 $ 10,481,689 December 31, 2020 Special (In thousands) Pass Mention Substandard Doubtful Total Real Estate: One-to-four family residential and condominium/cooperative apartment $ 183,293 $ — $ 1,696 $ — $ 184,989 Multifamily residential and residential mixed-use 2,523,258 56,400 179,085 — 2,758,743 CRE 1,831,712 13,861 32,594 — 1,878,167 ADC 142,796 13,500 — — 156,296 Total real estate 4,681,059 83,761 213,375 — 4,978,195 C&I 613,691 2,131 13,315 12,396 641,533 Total Real Estate and C&I $ 5,294,750 $ 85,892 $ 226,690 $ 12,396 $ 5,619,728 For other loans, the Company evaluates credit quality based on payment activity. Other loans that are 90 days or more past due are placed on non-accrual status, while all remaining other loans are classified and evaluated as performing. The following is a summary of the credit risk profile of other loans by internally assigned grade: (In thousands) March 31, 2021 December 31, 2020 Performing $ 24,310 $ 2,315 Non-accrual 99 1 Total $ 24,409 $ 2,316 |
LEASES
LEASES | 3 Months Ended |
Mar. 31, 2021 | |
LEASES | |
LEASES | 9 . As a result of the Merger, the Company acquired $45.6 million of operating lease assets and $45.3 million of operating lease liabilities on the Merger Date. The operating lease asset and lease liability are determined at the commencement date of the lease based on the present value of the lease payments. As most of our leases do not provide an implicit rate, the Company used its incremental borrowing rate, the rate of interest to borrow on a collateralized basis for a similar term, at the lease commencement date. The Company made a policy election to exclude the recognition requirements of ASU 2016-02 to short-term leases, those leases with original terms of 12 months or less. Short-term lease payments are recognized in the income statement on a straight-line basis over the lease term. Certain leases may include one or more options to renew. The exercise of lease renewal options is typically at the Company’s discretion and are included in the operating lease liability if it is reasonably certain that the renewal option will be exercised. Certain real estate leases may contain lease and non-lease components, such as common area maintenance charges, real estate taxes, and insurance, which are generally accounted for separately and are not included in the measurement of the lease liability since they are generally able to be segregated. The Company does not sublease any of its leased properties. The Company does not lease properties from any related parties. Maturities of the Company’s operating lease liabilities at March 31, 2021 are as follows: Rent to be (In thousands) Capitalized 2021 $ 10,570 2022 11,367 2023 9,665 2024 9,530 2025 9,141 Thereafter 26,289 Total undiscounted lease payments 76,562 Less amounts representing interest 5,313 Lease liability $ 71,249 Other information related to operating leases was as follows: Three Months Ended March 31, (In thousands) 2021 2020 Operating lease cost $ 3,158 $ 1,603 Cash paid for amounts included in the measurement of operating lease liabilities 3,050 1,811 The weighted average remaining lease term at March 31, 2021 and March 31, 2020 was 7.2 years and 7.9 years. The weighted average discount rate at March 31, 2021 and March 31, 2020 was 1.87% and 3.25% respectively. |
DERIVATIVES AND HEDGING ACTIVIT
DERIVATIVES AND HEDGING ACTIVITIES | 3 Months Ended |
Mar. 31, 2021 | |
DERIVATIVES AND HEDGING ACTIVITIES | |
DERIVATIVES AND HEDGING ACTIVITIES | 10. The Company is exposed to certain risk arising from both its business operations and economic conditions. The Company principally manages its exposures to a wide variety of business and operational risks through management of its core business activities. The Company manages economic risks, including interest rate, liquidity, and credit risk primarily by managing the amount, sources, and duration of its assets and liabilities and the use of derivative financial instruments. Specifically, the Company enters into derivative financial instruments to manage exposures that arise from business activities that result in the receipt or payment of future known and uncertain cash amounts, the value of which are determined by interest rates. The Company’s derivative financial instruments are used to manage differences in the amount, timing, and duration of the Company’s known or expected cash receipts and its known or expected cash payments principally related to the Company’s loan portfolio. The Company’s objectives in using interest rate derivatives are to add stability to interest expense and to manage its exposure to interest rate movements. To accomplish this objective, the Company primarily uses interest rate swaps as part of its interest rate risk management strategy. The Company engages in both cash flow hedges and freestanding derivatives. Cash Flow Hedges Cash flow hedges involve the receipt of variable amounts from a counterparty in exchange for the Company making fixed-rate payments over the life of the agreements without exchange of the underlying notional amount. The Company uses these types of derivatives to hedge the variable cash flows associated with existing or forecasted issuances of short-term borrowings. For derivatives designated and that qualify as cash flow hedges of interest rate risk, the gain or loss on the derivative is recorded in Accumulated Other Comprehensive Income (Loss) and subsequently reclassified into interest expense in the same periods during which the hedged transaction affects earnings. Amounts reported in accumulated other comprehensive income related to derivatives will be reclassified to interest expense as interest payments are made on the Company’s debt. During the next twelve months, the Company estimates that an additional $117 thousand will be reclassified as an increase to interest expense. The Company is hedging its exposure to the variability in future cash flows for forecasted transactions over a maximum period of twenty-four months (excluding forecasted transactions related to the payment of variable interest on existing financial instruments). During the three-month period ended March 31, 2021, the Company terminated 34 derivatives with notional values totaling $785.0 million, resulting in a termination value of $16.5 million which was recognized in loss on termination of derivatives in non-interest income. The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Consolidated Statements of Financial Condition as of the periods indicated. March 31, 2021 December 31, 2020 Notional Fair Value Fair Value Notional Fair Value Fair Value (Dollars in thousands) Count Amount Assets Liabilities Count Amount Assets Liabilities Included in derivative assets/(liabilities): Interest rate swaps related to FHLBNY advances 4 $ 150,000 $ 3,944 $ — — $ — $ — $ — Interest rate swaps related to FHLBNY advances — $ — $ — $ — 32 $ 655,000 $ — $ (18,442) The table below presents the effect of the cash flow hedge accounting on Accumulated Other Comprehensive Income (Loss) as of March 31, 2021 and 2020. Three Months Ended March 31, (In thousands) 2021 2020 Gain recognized in other comprehensive income $ 21,453 $ (20,581) Gain reclassified from other comprehensive income into interest expense 854 204 All cash flow hedges are recorded gross on the balance sheet. The cash flow hedges involve derivative agreements with third-party counterparties that contain provisions requiring the Bank to post cash collateral if the derivative exposure exceeds a threshold amount. As of March 31, 2021, the bank did not post collateral to the third-party counterparties. Freestanding Derivatives The Company maintains an interest-rate risk protection program for its loan portfolio in order to offer loan level derivatives with certain borrowers and to generate loan level derivative income. The Company enters into interest rate swap or interest rate floor agreements with borrowers. These interest rate derivatives are designed such that the borrower synthetically attains a fixed-rate loan, while the Company receives floating rate loan payments. The Company offsets the loan level interest rate swap exposure by entering into an offsetting interest rate swap or interest rate floor with an unaffiliated and reputable bank counterparties. These interest rate derivatives do not qualify as designated hedges, under ASU 815; therefore, each interest rate derivative is accounted for as a freestanding derivative. The notional amounts of the interest rate derivatives do not represent amounts exchanged by the parties. The amount exchanged is determined by reference to the notional amount and the other terms of the individual interest rate derivative agreements. The following table reflects freestanding derivatives included in the Consolidated Statements of Financial Condition as of the period indicated: March 31, 2021 Notional Fair Value Fair Value (In thousands) Count Amount Assets Liabilities Included in derivative assets/(liabilities): Loan level interest rate swaps with borrower 109 $ 689,408 $ 28,104 $ — Loan level interest rate swaps with borrower 72 543,095 — (16,468) Loan level interest rate floors with borrower 46 406,923 — (5,294) Loan level interest rate swaps with third-party counterparties 109 689,408 — (28,104) Loan level interest rate swaps with third-party counterparties 72 543,095 16,468 — Loan level interest rate floors with third-party counterparties 46 406,923 5,294 — December 31, 2020 Notional Fair Value Fair Value (In thousands) Count Amount Assets Liabilities Included in derivative assets/(liabilities): Loan level interest rate swaps with borrower 65 $ 570,277 $ 24,764 $ — Loan level interest rate floors with borrower 41 364,643 — (5,832) Loan level interest rate swaps with third-party counterparties 65 570,277 — (24,764) Loan level interest rate floors with third-party counterparties 41 364,643 5,832 — Loan level derivative income is recognized on the mark-to-market of the interest rate swap as a fair value adjustment at the time the transaction is closed. Total loan level derivative income is included in non-interest income as follows: Three Months Ended March 31, (In thousands) 2021 2020 Loan level derivative income $ 1,792 $ 1,163 The interest rate swap product with the borrower is cross collateralized with the underlying loan and therefore there is no posted collateral. Certain interest rate swap agreements with third-party counterparties contain provisions that require the Company to post collateral if the derivative exposure exceeds a threshold amount. As of March 31, 2021, posted collateral was $10.8 million. Credit Risk Related Contingent Features The Company’s agreements with each of its derivative counterparties state that if the Company defaults on any of its indebtedness, it could also be declared in default on its derivative obligations and could be required to terminate its derivative positions with the counterparty. The Company’s agreements with certain of its derivative counterparties state that if the Bank fails to maintain its status as a well-capitalized institution, the Bank could be required to terminate its derivative positions with the counterparty. As of March 31, 2021, the termination value of derivatives in a net liability position, which includes accrued interest but excludes any adjustment for nonperformance risk, related to these agreements was $7.1 million for those related to loan level derivatives. If the Company had breached any of the above provisions at March 31, 2021, it could have been required to settle its obligations under the agreements at the termination value with the respective counterparty. There were no provisions breached for the three-month period ended March 31, 2021. |
FAIR VALUE OF FINANCIAL INSTRUM
FAIR VALUE OF FINANCIAL INSTRUMENTS | 3 Months Ended |
Mar. 31, 2021 | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | 11. Fair value is the exchange price that would be received for an asset or paid to transfer a liability (exit price) in the principal or most advantageous market for the asset or liability in an orderly transaction between market participants on the measurement date. There are three levels of inputs that may be used to measure fair values: Level 1 Inputs Level 2 Inputs e.g. Level 3 Inputs – Assets and Liabilities Measured at Fair Value on a Recurring Basis Securities The Company’s marketable equity securities and available-for-sale securities are reported at fair value, which were determined utilizing prices obtained from independent parties. The valuations obtained are based upon market data, and often utilize evaluated pricing models that vary by asset and incorporate available trade, bid and other market information. For securities that do not trade on a daily basis, pricing applications apply available information such as benchmarking and matrix pricing. The market inputs normally sought in the evaluation of securities include benchmark yields, reported trades, broker/dealer quotes (obtained only from market makers or broker/dealers recognized as market participants), issuer spreads, two-sided markets, benchmark securities, bids, offers and reference data. For certain securities, additional inputs may be used or some market inputs may not be applicable. Prioritization of inputs may vary on any given day based on market conditions. All MBS, CMO, treasury securities and agency notes available-for-sale are guaranteed either implicitly or explicitly by GSEs as of March 31, 2021 and December 31, 2020. In accordance with the Company’s investment policy, corporate securities are rated "investment grade" at the time of purchase and the financials of the issuers are reviewed quarterly. Obtaining market values as of March 31, 2021 and December 31, 2020 for these securities utilizing significant observable inputs was not difficult due to their liquid nature. Derivatives Derivatives represent interest rate swaps and estimated fair values are based on valuation models using observable market data as of the measurement date. The following tables present financial assets liabilities measured at fair value on a recurring basis as of the dates indicated, segmented by level within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Fair Value Measurements at March 31, 2021 Using Level 1 Level 2 Level 3 (In thousands) Total Inputs Inputs Inputs Financial Assets Securities available-for-sale: Agency Notes $ 69,570 $ — $ 69,570 $ — Treasury Securities 92,272 — 92,272 — Corporate Securities 98,733 — 98,733 — Pass-through MBS issued by GSEs 323,707 — 323,707 — Agency CMOs 522,822 — 522,822 — State and municipal obligations 45,389 — 45,389 — Derivative – cash flow hedges 3,944 — 3,944 — Derivative – freestanding derivatives, net 41,816 — 41,816 — Financial Liabilities Derivative – cash flow hedges — — — — Derivative – freestanding derivatives, net 41,816 — 41,816 — Fair Value Measurements at December 31, 2020 Using Level 1 Level 2 Level 3 (In thousands) Total Inputs Inputs Inputs Financial Assets Marketable equity securities (Registered Mutual Funds) Domestic equity mutual funds $ 1,769 $ 1,769 $ — $ — International equity mutual funds 468 468 — — Fixed income mutual funds 3,733 3,733 — — Securities available-for-sale: Agency Notes 47,421 — 47,421 — Corporate Securities 64,461 — 64,461 — Pass-through MBS issued by GSEs 143,483 — 143,483 — Agency CMOs 283,496 — 283,496 — Derivative – cash flow hedges — — — — Derivative – freestanding derivatives 30,596 — 30,596 — Financial Liabilities Derivative – cash flow hedges 18,442 — 18,442 — Derivative – freestanding derivatives 30,596 — 30,596 — Assets and Liabilities Measured at Fair Value on a Nonrecurring Basis Certain financial assets and financial liabilities are measured at fair value on a nonrecurring basis. That is, they are subject to fair value adjustments in certain circumstances. Financial assets measured at fair value on a nonrecurring basis include certain individually evaluated loans (or impaired loans prior to the adoption of ASC 326) reported at the fair value of the underlying collateral if repayment is expected solely from the collateral. There were no impaired loans carried at fair value at March 31, 2021 and December 31, 2020. Financial Instruments Not Measured at Fair Value The methods of determining the fair value of assets and liabilities presented in this note are consistent with our methodologies disclosed in Note 24 to the Company’s Consolidated Financial Statements included in the Annual Report on Form 10-K. The following tables present the carrying amounts and estimated fair values of financial instruments other than those measured at fair value on either a recurring or nonrecurring is as follows for the dates indicated, segmented by level within the fair value hierarchy. Financial assets and liabilities are classified in their entirety based on the lowest level of input that is significant to the fair value measurement. Fair Value Measurements at March 31, 2021 Using Carrying Level 1 Level 2 Level 3 (In thousands) Amount Inputs Inputs Inputs Total Financial Assets Cash and due from banks $ 676,723 $ 676,723 $ — $ — $ 676,723 Loans, net 10,407,898 — — 10,489,350 10,489,350 Accrued interest receivable 51,100 — 3,602 47,498 51,100 Financial Liabilities Savings, money market and checking accounts 9,270,496 9,270,496 — — 9,270,496 Certificates of Deposits ("CDs") 1,540,316 — 1,545,436 — 1,545,436 FHLBNY Advances 533,865 — 534,049 — 534,049 Subordinated debt, net 197,234 — 198,297 — 198,297 Other borrowings 126,763 126,763 — — 126,763 Accrued interest payable 2,024 — 2,024 — 2,024 Fair Value Measurements at December 31, 2020 Using Carrying Level 1 Level 2 Level 3 (In thousands) Amount Inputs Inputs Inputs Total Financial Assets Cash and due from banks $ 243,603 $ 243,603 $ — $ — $ 243,603 Loans, net 5,580,583 — — 5,598,787 5,598,787 Accrued interest receivable 34,815 2 1,584 33,229 34,815 Financial Liabilities Savings, money market and checking accounts 3,212,495 3,212,495 — — 3,212,495 CDs 1,322,638 — 1,328,554 — 1,328,554 FHLBNY Advances 1,204,010 — 1,207,890 — 1,207,890 Subordinated debt, net 114,052 — 114,340 — 114,340 Other borrowings 120,000 120,000 — — 120,000 Accrued interest payable 1,734 — 1,734 — 1,734 |
OTHER INTANGIBLE ASSETS
OTHER INTANGIBLE ASSETS | 3 Months Ended |
Mar. 31, 2021 | |
OTHER INTANGIBLE ASSETS | |
OTHER INTANGIBLE ASSETS | 12. As a result of the Merger, the Company recorded $10.2 million of core deposit intangible assets and a $780 thousand non-compete agreement intangible asset on the Merger Date. The following table presents the carrying amount and accumulated amortization of intangible assets that are amortizable and arose from the Merger. Core Deposit Non-complete (In thousands) Intangibles Agreement Total Gross carrying value $ 10,204 $ 780 $ 10,984 Accumulated amortization (357) - (357) Net carrying amount $ 9,847 $ 780 $ 10,627 Amortization expense recognized on intangible assets was $357 thousand for the three months ended March 31, 2021. There was no amortization expense recognized on intangible assets for the three months ended March 31, 2020. Estimated amortization expense for the remainder of 2021 through 2025 and thereafter is as follows: (In thousands) Total 2021 $ 2,265 2022 1,878 2023 1,425 2024 1,163 2025 958 Thereafter 2,938 Total $ 10,627 |
FEDERAL HOME LOAN BANK ADVANCES
FEDERAL HOME LOAN BANK ADVANCES | 3 Months Ended |
Mar. 31, 2021 | |
FEDERAL HOME LOAN BANK ADVANCES | |
FEDERAL HOME LOAN BANK ADVANCES | 13. The following tables present the contractual maturities and weighted average interest rates of FHLB advances for each of the next five years. There are no FHLB advances with contractual maturities after 2022. March 31, 2021 (Dollars in thousands) Weighted Contractual Maturity Amount Average Rate Overnight $ 175,000 0.32 % 2021 308,865 0.35 2022 50,000 0.37 Total FHLB advances $ 533,865 0.34 % December 31, 2020 (Dollars in thousands) Weighted Contractual Maturity Amount Average Overnight $ — — % 2021 1,144,010 0.52 2022 60,000 0.60 Total FHLB advances $ 1,204,010 0.53 % Each FHLB advance is payable at its maturity date, with a prepayment penalty for fixed rate advances. The advances were collateralized by $3.8 billion and $2.2 billion of residential and commercial mortgage loans under a blanket lien arrangement at March 31, 2021 and December 31, 2020, respectively. Based on this collateral and the Company's holdings of FHLB stock, the Company is eligible to borrow up to a total of $3.9 billion at March 31, 2021. As part of the Merger, $216.3 million of FHLB advances were acquired on the Merger Date. During the three-month period ended March 31, 2021, the Company extinguished $130.2 million of FHLBNY advances that had a weighted average rate of 1.91%. The prepayment penalty expense was recognized as a $1.6 million loss on extinguishment of debt in the first quarter of 2021. There were no prepayments of FHLBNY advances during the three months ended March 31, 2020. |
SUBORDINATED DEBENTURES
SUBORDINATED DEBENTURES | 3 Months Ended |
Mar. 31, 2021 | |
SUBORDINATED DEBENTURES | |
SUBORDINATED DEBENTURES | 14. In connection with the Merger, the Company assumed $115.0 million in aggregate principal amount of the 4.50% Fixed-to-Floating Rate Subordinated Debentures due 2027 of Legacy Dime on the Merger Date. During the year ended December 31, 2017, the Legacy Dime issued $115.0 million of fixed-to-floating rate subordinated notes due June 2027, which become callable commencing on June 15, 2022. The notes will mature on June 15, 2027 (the “Maturity Date”). From and including June 13, 2017 until but excluding June 15, 2022, interest will be paid semi-annually in arrears on each June 15 and December 15 at a fixed annual interest rate equal to 4.50%. From and including June 15, 2022 to, but excluding, the Maturity Date or earlier redemption date, the interest rate shall reset quarterly to an annual interest rate equal to the then-current three-month LIBOR plus 266 basis points, payable quarterly in arrears. Debt issuance cost directly associated with subordinated debt offering was capitalized and netted with subordinated notes payable on the Consolidated Statements of Financial Condition. In September 2015, the Company issued $80.0 million in aggregate principal amount of fixed-to-floating rate subordinated debentures. $40.0 million of the subordinated debentures are callable at par after five years, have a stated maturity of September 30, 2025 and bear interest at a fixed annual rate of 5.25% per year, from and including September 21, 2015 until but excluding September 30, 2020. From and including September 30, 2020 to the maturity date or early redemption date, the interest rate will reset quarterly to an annual interest rate equal to the then-current three-month LIBOR plus 360 basis points. The remaining $40.0 million of the subordinated debentures are callable at par after ten years, have a stated maturity of September 30, 2030 and bear interest at a fixed annual rate of 5.75% per year, from and including September 21, 2015 until but excluding September 30, 2025. From and including September 30, 2025 to the maturity date or early redemption date, the interest rate will reset quarterly to an annual interest rate equal to the then-current three-month LIBOR plus 345 basis points. The subordinated debentures totaled $197.2 million at March 31, 2021 and $114.1 million at December 31, 2020. Interest expense related to the subordinated debt was $1.9 million and $1.3 million during the quarters ended March 31, 2021 and 2020, respectively. The subordinated debentures are included in tier 2 capital (with certain limitations applicable) under current regulatory guidelines and interpretations. |
RETIREMENT AND POSTRETIREMENT P
RETIREMENT AND POSTRETIREMENT PLANS | 3 Months Ended |
Mar. 31, 2021 | |
RETIREMENT AND POSTRETIREMENT PLANS | |
RETIREMENT AND POSTRETIREMENT PLANS | 15. As of March 31, 2021, the Company maintains one Legacy Dime employee benefit plan, the Retirement Plan of Dime Community Bank (the "Employee Retirement Plan"). The Company also maintains the two Bridge employee benefit plans that existed before the Merger: (i) the BNB Bank 401(k) Plan (the “401(k) Plan”) and (ii) the BNB Bank Pension Plan. The Dime Community Bank KSOP Plan (“Dime KSOP Plan”) was terminated by resolution of the Board of Directors. The effective date of the plan termination was January 31, 2021, the day immediately prior to the closing of the Merger. As such, all plan assets will be liquidated and transferred into the 401(k) Plan prior to July 31, 2021. The 401(k) Plan is available to all former Dime employees that continue to be employed following the Merger Date, that meet eligibility requirements, and provides tax deferred salary deductions and alternative investment options. Under the provisions of the 401(k) plan, employee contributions are partially matched by the Bank as follows: 100% of each employee’s contributions up to 1% of each employee’s compensation plus 50% of each employee’s contributions over 1% but not in excess of 6% of each employee’s compensation for a maximum contribution of 3.5% of a participating employee’s compensation. Participants can invest their account balances into several investment alternatives. While the Company does not allow for the investment of plan contributions in the Company’s common stock, former Dime employees that continue to be employed following the Merger Date may rollover and hold shares in-kind held in the Dime KSOP Plan to the 401(k) plan and hold the shares in the 401(k) plan. The 401(k) plan also includes a discretionary profit-sharing component. The following table represents the components of net periodic benefit credits included in other non-interest expense, except for service cost which is reported in salaries and employee benefits expense, in the Consolidated Statements of Income for the Employee Retirement Plan and the BNB Bank Pension Plan. Net expenses associated with these plans were comprised of the following components: BNB Bank Employee Retirement Pension Plan Plan Three Months Ended March 31, (In thousands) 2021 2020 Service cost $ 148 $ — Interest cost 249 183 Expected return on assets (984) (428) Amortization of unrealized loss 206 229 Net periodic benefit credit $ (381) $ (16) There was no contribution to the BNB Bank Pension Plan for the three months ended March 31, 2021. In connection with the Merger, the Outside Director Retirement Plan and the BMP were terminated resulting in lump sum payments to the participants in the amounts of $2.8 million for the Outside Director Retirement Plan and $6.2 million for the BMP. The total expense recognized as a curtailment loss in the three months ended March 31, 2021 was $1.5 million. During the three months ended March 31, 2021, the Company made gross lump-sum distributions totaling $11.6 million. These distributions were satisfied by 88,081 shares of Common Stock with a market value of $2.4 million, held by the previous ESOP component of the BMP, of which 41,101 shares were returned to Treasury Stock to cover income tax liabilities, and cash of $9.2 million. As a result of the distribution, a non-cash tax benefit of $301 thousand was recognized as a discrete item in income tax expense in accordance to ASU 2016-09 for the difference between the market value and the cost basis of the Common Stock held by the BMP. |
STOCK-BASED COMPENSATION
STOCK-BASED COMPENSATION | 3 Months Ended |
Mar. 31, 2021 | |
STOCK-BASED COMPENSATION | |
STOCK-BASED COMPENSATION | 16. Before the Merger, Bridge and Legacy Dime granted share-based awards under their respective share-based compensation plans, including the Bridge Bancorp, Inc. 2019 Equity Incentive plan (the “2019 Equity Incentive Plan”) and the Dime Community Bancshares, Inc. 2020 Equity and Incentive Plan (the “Legacy Dime 2020 Equity Plan") (collectively, the "Stock Plans"), which are both subject to the accounting requirements of ASC 718. At March 31, 2021, there were 681,098 shares reserved for issuance under the Legacy Dime 2020 Equity Plan and there were 197,889 shares reserved for issuance under the 2019 Equity Incentive Plan. In anticipation of the Merger, Legacy Dime accelerated and vested all unvested and outstanding share-based awards such that there were no outsta nding In connection with the Merger, all outstanding stock options, performance-based restricted stock units and time-vesting restricted stock units of Bridge, which we refer to as the Bridge equity awards, which were outstanding immediately before the Merger Date continue to be awards in respect of Dime common stock following the Merger, subject to the same terms and conditions that were applicable to such awards before the Merger Date. Stock Option Awards The following table presents a summary of activity related to stock options granted under the Stock Plans, and changes during the period then ended: Weighted- Average Weighted- Remaining Aggregate Number of Average Exercise Contractual Intrinsic Options Price Years Value Options outstanding at January 1, 2021 28,842 $ 15.05 Options outstanding at January 1, 2021 as adjusted for conversion 18,685 23.23 Options acquired (1) 180,020 35.39 Options exercised 15,928 23.37 Options outstanding at March 31, 2021 182,777 $ 35.19 8.0 $ — Options vested and exercisable at March 31, 2021 182,777 $ 35.19 8.0 $ — (1) Options acquired in the Merger expire one year from the date of the Effective Date of the Merger. Information related to stock options during each period is as follows: Three Months Ended March 31, (In thousands) 2021 2020 Cash received for option exercise cost $ 372 $ — Income tax benefit recognized on stock option exercises — — Intrinsic value of options exercised 66 — Restricted Stock Awards The Company has made restricted stock award grants to outside Directors and certain officers under the Stock Plans. Typically, awards to outside Directors fully vest on the first anniversary of the grant date, while awards to officers may vest in equal annual installments over a three The following table presents a summary of activity related to the RSAs granted, and changes during the period then ended: Weighted- Average Number of Grant-Date Shares Fair Value Unvested allocated shares outstanding at January 1, 2021 — $ — Shares acquired 89,043 31.00 Shares granted 431,114 25.54 Shares vested (89,043) 31.00 Shares forfeited (1,050) 25.98 Unvested allocated shares at March 31, 2021 430,064 $ 25.54 Information related to RSAs during each period is as follows: Three Months Ended March 31, (Dollars in thousands) 2021 2020 Compensation expense recognized $ 836 $ 461 Income tax benefit recognized on vesting of RSA — 4 Weighted average remaining years for which compensation expense is to be recognized 3.0 2.4 As of March 31, 2021, there was $10.0 million of total unrecognized compensation cost related to unvested restricted stock awards. Performance Based Equity Awards Legacy Dime maintained the LTIP, a long term incentive award program for certain officers, which meets the criteria for equity-based accounting. For each award, threshold (50% of target), target (100% of target) and stretch (150% of target) opportunities are eligible to be earned over a three-year performance period based on the Company’s relative performance on certain goals that were established at the onset of the performance period and cannot be altered subsequently. Shares of Common Stock are issued on the grant date and held as unvested stock awards until the end of the performance period. Shares are issued at the stretch opportunity in order to ensure that an adequate number of shares are allocated for shares expected to vest at the end of the performance period. At December 31, 2020, the Company modified certain performance based share awards to accelerate the vesting of all outstanding awards in connection with the Merger. There were no outstanding LTIP share awards at December 31, 2020. Total compensation expense of $155 thousand was recognized during the three-month period ended March 31, 2020. Sales Incentive Awards Legacy Dime maintained the SIP, a sales incentive award program for certain officers, which meets the criteria for equity-based accounting. For each quarter an individual can earn their shares based on their sales performance in that quarter. The shares then vest one year from the quarter in which they are earned. Shares of Common Stock are issued on the grant date and held as unvested stock awards until the end of the performance period. They are issued at the maximum opportunity in order to ensure that an adequate number of shares are allocated for shares expected to vest at the end of the performance period. At December 31, 2020, the Company modified certain performance based share awards to accelerate the vesting of all outstanding awards in connection with the Merger. There were no outstanding SIP share awards at December 31, 2020. Total compensation expense of $55 thousand was recognized during the three-month period ended March 31, 2020. |
INCOME TAXES
INCOME TAXES | 3 Months Ended |
Mar. 31, 2021 | |
INCOME TAXES | |
INCOME TAXES | 17. During the three months ended March 31, 2021 and 2020, the Company’s consolidated effective tax rates were 25.2% and 21.6%, respectively. There were no significant unusual income tax items during the three-month periods ended March 31, 2021 or 2020. The higher tax rate for the three months ended March 31, 2021 was primarily the result of non-deductible merger expenses and salary expenses during the period. |
MERGER RELATED EXPENSES
MERGER RELATED EXPENSES | 3 Months Ended |
Mar. 31, 2021 | |
MERGER RELATED EXPENSES | |
MERGER RELATED EXPENSES | 18. Merger-related expenses were recorded in the Consolidated Statements of Income as a component of non-interest expense and include costs relating to the Company’s merger with Bridge, as described above. These charges represent one-time costs associated with merger activities and do not represent ongoing costs of the fully integrated combined organization. Accounting guidance requires that merger-related transactional and restructuring costs incurred by the Company be charged to expense as incurred. Costs associated with employee severance and other merger-related compensation expense incurred in connection with the merger with Bridge totaled $12.1 million for the quarter ended March 31, 2021, and were recorded in merger expenses and transaction costs expense on the consolidated statements of income. Merger expenses and transaction costs (inclusive of costs to terminate leases) in connection with the Merger with Bridge, totaled $922 thousand and $24.9 million, respectively, for the quarter ended March 31, 2021, and were recorded in merger expenses and transaction costs in the Consolidated Statements of Income. |
BASIS OF PRESENTATION (Policies
BASIS OF PRESENTATION (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
BASIS OF PRESENTATION | |
Risks and Uncertainties | Risks and Uncertainties In March 2020, the World Health Organization declared the outbreak of COVID-19 as a global pandemic, which has spread to most countries, including the United States. The pandemic has adversely affected economic activity globally, nationally and locally. In March 2020, the United States declared a National Public Health Emergency in response to the COVID-19 pandemic. In an effort to mitigate the spread of COVID-19, local state governments, including New York (in which the Bank has retail banking offices), have taken preventative or protective actions such as travel restrictions, advising or requiring individuals to limit or forego their time outside of their homes, and other forced closures for certain types of non-essential businesses. The impact of these actions is expected to continue to have an adverse impact on the economies and financial markets in the United States. The Coronavirus Aid, Relief and Economic Security (“CARES”) Act was signed into law at the end of March 2020. The CARES Act is intended to provide relief and lessen a severe economic downturn. The stimulus package includes direct financial aid to American families and economic stimulus to significantly impacted industry sectors. The package also includes extensive emergency funding for hospitals and healthcare providers. It is possible that there will be material, adverse impacts to significant estimates, asset valuations, and business operations, including intangible assets, investments, loans, deferred tax assets, and derivative counter party risk. |
SUMMARY OF ACCOUNTING POLICIES
SUMMARY OF ACCOUNTING POLICIES (Policies) | 3 Months Ended |
Mar. 31, 2021 | |
SUMMARY OF ACCOUNTING POLICIES | |
Summary of Significant Accounting Policies | Summary of Significant Accounting Policies In the opinion of management, the accompanying unaudited condensed consolidated financial statements contain all adjustments necessary for a fair presentation of the Company’s financial condition as of March 31, 2021 and December 31, 2020, the results of operations and statements of comprehensive income for the three-month periods ended March 31, 2021 and 2020, the changes in stockholders’ equity for the three-month periods ended March 31, 2021 and 2020, and cash flows for the three-month periods ended March 31, 2021 and 2020. Please see "Part I - Item 2. Management’s Discussion and Analysis of Financial Condition and Results of Operations - Critical Accounting Policies" for a discussion of areas in the accompanying unaudited condensed consolidated financial statements utilizing significant estimates. |
Recent Accounting Pronouncements | Recent Accounting Pronouncements Allowance for Credit Losses – The adoption of the CECL standard resulted in an initial decrease of $3.9 million to the allowance for credit losses and an increase of $1.4 million to the reserve for unfunded commitments in other liabilities. The after-tax cumulative-effect adjustment of $1.7 million was recorded in retained earnings as of January 1, 2021. The allowance for credit losses is a valuation allowance that is deducted from the amortized cost basis of loans to present the net amount expected to be collected on the loans. Loan losses are charged against the allowance when management believes it has confirmed the loan balance is uncollectible. Subsequent recoveries, if any, are credited to the allowance. The CECL Standard, which requires that debt securities held to maturity be accounted for under the current expected credit losses model, including historical loss experience and impact of current conditions and reasonable and supportable forecasts, with an associated allowance for credit losses. In addition, while credit losses on debt securities available for sale should be measured in accordance with the other-than-temporary impairment (“OTTI”) framework under current GAAP, the amendments in the CECL Standard require that these credit losses be presented as an allowance for credit losses. For AFS debt securities, a decline in fair value due to credit loss results in recording an allowance for credit losses to the extent the fair value is less than the amortized cost basis. Management estimates the allowance balance required using relevant available information, from internal and external sources, relating to past events, current conditions, and reasonable and supportable forecasts. Historically observed credit loss experience of peer banks within our geography provide the basis for the estimation of expected credit losses. Adjustments to historical loss information are made for differences in current loan-specific risk characteristics such as differences in underwriting standards, portfolio mix, delinquency level, or terms as well as changes in environmental conditions, such as changes in unemployment rates, gross domestic product, and real estate pricing. Management evaluates the adequacy of the allowance on a quarterly basis. The allowance for credit losses is measured on a collective (pool) basis when similar risk characteristics exist. The Company has identified the following portfolio segments and measures the allowance for credit losses using the following methods: One-to-four family residential, including condominium and cooperative apartment loans - Multifamily residential and residential mixed-use loans - Commercial real estate and commercial mixed-use loans - 1.25x. Included in commercial real estate loans are also certain Small Business Administration ("SBA") loans in which the loan is secured by underlying real estate as collateral. The Bank may sell a portion of the loan, guaranteed by the SBA, to a third-party investor. Repayment of commercial real estate loans is often dependent upon successful operation or management of the collateral properties, as well as the success of the business and retail tenants occupying the properties. Repayment of such loans is generally more vulnerable to weak economic conditions, such as unemployment rates and commercial real estate prices. Acquisition, development, and construction loans Commercial, Industrial and Agricultural Loans - Other Loans Loans that do not share risk characteristics are evaluated on an individual basis based on various factors. Loans evaluated individually are not included in the collective evaluation. Factors that may be considered are borrower delinquency trends and nonaccrual status, probability of foreclosure or note sale, changes in the borrower’s circumstances or cash collections, borrower’s industry, or other facts and circumstances of the loan or collateral. Individually Evaluated Loans with an ACL and Other Real Estate Owned Appraisals for collateral-dependent loans are performed by certified general appraisers (for commercial properties) or certified residential appraisers (for residential properties) whose qualifications and licenses have been reviewed and verified by the Company. Once received, the Appraisal and Credit Departments review the assumptions and approaches utilized in the appraisal as well as the overall resulting fair value in comparison with independent data sources such as recent market data or industry-wide statistics. Management also considers the appraisal values for commercial properties associated with current loan origination activity. Collectively, this information is reviewed to help assess current trends in commercial property values. For each collateral dependent loan, management considers information that relates to the type of property to determine if such properties may have appreciated or depreciated in value since the date of the most recent appraisal. Adjustments to fair value are made only when the analysis indicates a probable decline in collateral values. Adjustments made in the appraisal process are not deemed material to the overall consolidated financial statements given the level of collateral dependent loans measured at fair value on a non-recurring basis. Allowance for Credit Losses on Off-Balance Sheet Credit Exposures – The Company estimates expected credit losses over the contractual period in which the Company is exposed to credit risk via a contractual obligation to extend credit, unless that obligation is unconditionally cancellable by the Company. The allowance for credit losses on off-balance sheet credit exposures, which is included in other liabilities on the consolidated statements of financial condition, is adjusted as a provision for credit loss expense in other operating expense. The estimate includes consideration of the likelihood that funding will occur and an estimate of expected credit losses on commitments expected to be funded over its estimated life, which is the same as the expected loss factor as determined based on the corresponding portfolio segment. Loans acquired in a business combination – A purchased financial asset that does not qualify as a PCD asset is accounted for similar to an originated financial asset. Generally, this means that an entity recognizes the allowance for credit losses for non-PCD assets through net income at the time of acquisition. In addition, both the credit discount and non-credit discount or premium resulting from acquiring a pool of purchased financial assets that do not qualify as PCD assets shall be allocated to each individual asset. This combined discount or premium shall be accreted to interest income using the effective yield method. For further discussion of our loan accounting and acquisitions, see Note 2 – Merger and Note 8 – Loans. |
MERGER (Tables)
MERGER (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
MERGER | |
Schedule of Bridge and legacy Dime common stock | Dime Community Bancshares, Inc. Ownership and Market Value Number of Market Value at Bridge Percentage $24.43 Bridge (Dollars and shares in thousands) Outstanding Shares Ownership Share Price Bridge shareholders 19,993 48.5% $ 488,420 Legacy Dime shareholders 21,233 51.5% 518,720 Total 41,226 100.0% $ 1,007,140 |
Schedule of hypothetical number of shares | Hypothetical Legacy Dime Ownership Number of Legacy Dime Percentage (Shares in thousands) Outstanding Shares Ownership Bridge shareholders 30,853 48.5% Legacy Dime shareholders 32,767 51.5% Total 63,620 100.0% |
Schedule of purchase price | (Dollars and shares in thousands) Number of hypothetical Legacy Dime shares issued to Bridge shareholders 30,853 Legacy Dime market price per share as of February 1, 2021 $ 15.90 Purchase price determination of hypothetical Legacy Dime shares issued to Bridge shareholders $ 490,560 Value of Bridge stock options hypothetically converted to options to acquire shares of Legacy Dime common stock 643 Cash in lieu of fractional shares 7 Purchase price consideration $ 491,210 |
Schedule of purchase price allocation | (In thousands) Purchase price consideration $ 491,210 Fair value of assets acquired: Cash and due from banks 715,988 Securities available-for-sale 651,997 Loans held for sale 10,000 Loans held for investment 4,531,640 Premises and fixed assets 37,881 Restricted stock 23,362 BOLI 94,085 Other intangible assets 10,984 Operating lease assets 45,603 Other assets 117,474 Total assets acquired 6,239,014 Fair value of liabilities assumed: Deposits 5,405,575 Other short-term borrowings 216,298 Subordinated debt 83,200 Operating lease liabilities 45,285 Other liabilities 97,147 Total liabilities assumed 5,847,505 Fair value of net identifiable assets 391,509 Goodwill resulting from Merger $ 99,701 |
Schedule of loans acquired | (In thousands) PCD loans: Unpaid principal balance $ 295,306 Non-credit discount at acquisition (9,049) Unpaid principal balance, net 286,257 Allowance for credit losses at acquisition (52,285) Fair value at acquisition 233,972 Non-PCD loans: Unpaid principal balance 4,289,236 Premium at acquisition 8,432 Fair value at acquisition 4,297,668 Total fair value at acquisition $ 4,531,640 |
Schedule of supplemental disclosures of cash flow information | (In thousands) Business combination: Fair value of tangible assets acquired $ 6,228,030 Goodwill, core deposit intangible and other intangible assets acquired 110,685 Liabilities assumed 5,847,505 Purchase price consideration 491,210 |
Schedule of pro forma amount | Three Months Ended March 31, (Dollars in thousands except per share amounts) 2021 2020 Net interest income $ 90,476 $ 79,511 Non-interest (loss) income (6,032) 9,453 Net (loss) income (149) 18,685 Net (loss) income available to common shareholders (1,560) 18,423 Earnings per share: Basic (0.04) 0.45 Diluted (0.04) 0.45 |
ACCUMULATED OTHER COMPREHENSI_2
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) | |
Activity in Accumulated Other Comprehensive Income (Loss), Net of Tax | Activity in accumulated other comprehensive income (loss), net of tax, was as follows: Total Accumulated Securities Defined Other Available- Benefit Comprehensive (In thousands) for-Sale Plans Derivatives Income (Loss) Balance as of January 1, 2021 $ 12,694 $ (6,086) $ (12,532) $ (5,924) Other comprehensive income (loss) before reclassifications (10,570) 1,659 16,476 7,565 Amounts reclassified from accumulated other comprehensive loss (822) (288) — (1,110) Net other comprehensive (loss) income during the period (11,392) 1,371 16,476 6,455 Balance as of March 31, 2021 $ 1,302 $ (4,715) $ 3,944 $ 531 Balance as of January 1, 2020 $ 4,621 $ (6,024) $ (4,537) $ (5,940) Other comprehensive income (loss) before reclassifications 7,049 120 (14,060) (6,891) Amounts reclassified from accumulated other comprehensive loss (5) 65 139 199 Net other comprehensive income (loss) during the period 7,044 185 (13,921) (6,692) Balance as of March 31, 2020 $ 11,665 $ (5,839) $ (18,458) $ (12,632) |
Other Comprehensive Income (Loss) | The before and after-tax amounts allocated to each component of other comprehensive income (loss) are presented in the table below for the periods indicated. Three Months Ended March 31, (In thousands) 2021 2020 Change in unrealized holding gain or loss on securities available-for-sale: Change in net unrealized gain or loss during the period $ (15,534) $ 10,260 Reclassification adjustment for net (gains) losses included in net gain on securities and other assets (1,187) (8) Net change (16,721) 10,252 Tax (benefit) expense (5,329) 3,208 Net change in unrealized holding gain or loss on securities available-for-sale (11,392) 7,044 Change in pension and other postretirement obligations: Reclassification adjustment for expense included in other expense (422) 95 Reclassification adjustment for curtailment loss 1,543 — Change in the net actuarial gain or loss 885 176 Net change 2,006 271 Tax expense 635 86 Net change in pension and other postretirement obligations 1,371 185 Change in unrealized gain or loss on derivatives: Change in net unrealized gain or loss during the period 21,453 (20,581) Reclassification adjustment for expense included in interest expense 854 204 Net change 22,307 (20,377) Tax expense (benefit) 5,831 (6,456) Net change in unrealized gain or loss on derivatives 16,476 (13,921) Other comprehensive income (loss), net of tax $ 6,455 $ (6,692) |
EARNINGS PER COMMON SHARE ("E_2
EARNINGS PER COMMON SHARE ("EPS") (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
EARNINGS PER COMMON SHARE ("EPS") | |
Reconciliation of Numerators and Denominators of Basic and Diluted EPS | The following is a reconciliation of the numerators and denominators of basic and diluted EPS for the periods presented: Three Months Ended March 31, (In thousands except share and per share amounts) 2021 2020 Net (loss) income available to common stockholders $ (22,855) $ 8,392 Less: Dividends paid and earnings allocated to participating securities 165 (67) (Loss) income attributable to common stock $ (22,690) $ 8,325 Weighted average common shares outstanding, including participating securities 34,543,114 22,551,358 Less: weighted average participating securities (282,176) (174,386) Weighted average common shares outstanding 34,260,938 22,376,972 Basic EPS $ (0.66) $ 0.37 (Loss) income attributable to common stock $ (22,690) $ 8,325 Weighted average common shares outstanding 34,260,938 22,376,972 Weighted average common equivalent shares outstanding 1,067 99,600 Weighted average common and equivalent shares outstanding 34,262,005 22,476,572 Diluted EPS $ (0.66) $ 0.37 |
INVESTMENT AND MORTGAGE-BACKE_2
INVESTMENT AND MORTGAGE-BACKED SECURITIES (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
INVESTMENT AND MORTGAGE-BACKED SECURITIES | |
Major Categories of Securities Owned by Entity | March 31, 2021 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Securities available-for-sale: Agency notes $ 72,500 $ — $ (2,930) $ 69,570 Treasury securities 92,547 — (275) 92,272 Corporate securities 95,786 3,367 (420) 98,733 Pass-through MBS issued by GSEs 321,442 7,053 (4,788) 323,707 Agency Collateralized Mortgage Obligations ("CMOs") 522,841 6,305 (6,324) 522,822 State and municipal obligations 45,498 179 (288) 45,389 Total securities available-for-sale $ 1,150,614 $ 16,904 $ (15,025) $ 1,152,493 December 31, 2020 Gross Gross Amortized Unrealized Unrealized Fair (In thousands) Cost Gains Losses Value Securities available-for-sale: Agency notes $ 47,500 $ 12 $ (91) $ 47,421 Corporate securities 62,021 2,440 — 64,461 Pass-through MBS issued by GSEs 135,842 7,672 (31) 143,483 Agency CMOs 274,898 8,674 (76) 283,496 Total securities available-for-sale $ 520,261 $ 18,798 $ (198) $ 538,861 |
Schedule of amortized cost and fair value of debt securities | March 31, 2021 Amortized Fair (In thousands) Cost Value Available-for-sale Within one year $ 2,123 $ 2,130 One to five years 116,049 115,878 Five to ten years 183,014 182,961 Beyond ten years 5,145 4,995 Pass-through MBS issued by GSEs and agency CMO 844,283 846,529 Total $ 1,150,614 $ 1,152,493 |
Summary of Sale of Available-for-sale Securities | Three Months Ended March 31, (In thousands) 2021 2020 Corporate Securities: Proceeds $ 46,754 $ — Gross gains 709 — Tax expense on gain 225 — Gross losses 41 — Tax benefit on loss 13 — Pass through MBS issued by GSEs: Proceeds 26,823 — Gross gains 187 — Tax expense on gain 59 — Gross losses 35 — Tax benefit on loss 11 — Agency CMOs: Proceeds 41,324 4,199 Gross gains 268 8 Tax expense on gain 85 3 Gross losses 44 — Tax benefit on loss 14 — State and municipal obligations: Proceeds 19,657 — Gross gains 143 — Tax expense on gain 45 — |
Sales of Marketable Equity Securities | Three Months Ended March 31, (In thousands) 2021 2020 Proceeds: Marketable equity securities $ 6,101 $ 137 |
Gross Unrealized Losses and Fair Value of Investment Securities by Investment Category and Length of Time in a Continuous Unrealized Loss Position | March 31, 2021 Less than 12 12 Consecutive Consecutive Months Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) Value Losses Value Losses Value Losses Securities available-for-sale: Agency notes $ 69,570 $ 2,930 $ — $ — $ 69,570 $ 2,930 Treasury securities 92,272 275 — — 92,272 275 Corporate securities 18,278 420 — — 18,278 420 Pass-through MBS issued by GSEs 181,917 4,788 — — 181,917 4,788 Agency CMOs 239,145 6,324 — — 239,145 6,324 State and municipal obligations 19,004 288 — — 19,004 288 December 31, 2020 Less than 12 12 Consecutive Consecutive Months Months or Longer Total Fair Unrealized Fair Unrealized Fair Unrealized (In thousands) Value Losses Value Losses Value Losses Securities available-for-sale: Agency notes $ 22,409 $ 91 $ — $ — $ 22,409 $ 91 Corporate securities — — — — — — Pass-through MBS issued by GSEs 5,007 31 — — 5,007 31 Agency CMOs 6,563 30 4,954 46 11,517 76 |
LOANS HELD FOR INVESTMENT, NET
LOANS HELD FOR INVESTMENT, NET (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
LOANS HELD FOR INVESTMENT, NET | |
Loan Categories | The following table presents the loan categories for the period ended as indicated: (In thousands) March 31, 2021 December 31, 2020 One-to-four family residential and cooperative/condominium apartment $ 696,415 $ 184,989 Multifamily residential and residential mixed-use 3,567,207 2,758,743 Commercial real estate ("CRE") 3,631,287 1,878,167 Acquisition, development, and construction ("ADC") 254,170 156,296 Total real estate loans 8,149,079 4,978,195 Commercial and industrial ("C&I") 2,332,610 641,533 Other loans 24,409 2,316 Total 10,506,098 5,622,044 Allowance for credit losses (98,200) (41,461) Loans held for investment, net $ 10,407,898 $ 5,580,583 |
Activity in Allowance for Loan Losses | The following tables present data regarding the allowance for credit losses activity for the periods indicated: At or for the Three Months Ended March 31, 2021 Real Estate Loans One-to-Four Family Residential, Including Multifamily Commercial Condominium Residential Real Estate and and and Cooperative Residential Commercial Total Real Other (In thousands) Apartment Mixed-Use Mixed-Use ADC Estate C&I Loans Total Allowance for credit losses: Beginning balance, prior to the adoption of CECL $ 644 $ 17,016 $ 9,059 $ 1,993 $ 28,712 $ 12,737 $ 12 $ 41,461 Impact of adopting CECL 1,048 (8,254) 4,849 381 (1,976) (1,935) (8) (3,919) Adjusted beginning balance as of January 1, 2021 1,692 8,762 13,908 2,374 26,736 10,802 4 37,542 PCD Day 1 2,220 3,292 23,124 117 28,753 23,374 157 52,284 Provision (credit) for credit losses 1,235 (1,397) 7,813 1,408 9,059 3,219 371 12,649 Charge-offs (14) (236) (8) — (258) (4,017) — (4,275) Ending balance $ 5,133 $ 10,421 $ 44,837 $ 3,899 $ 64,290 $ 33,378 $ 532 $ 98,200 At or for the Three Months Ended March 31, 2020 Real Estate Loans One-to Four Family Residential, Including Multifamily Commercial Condominium Residential Real Estate and and and Cooperative Residential Commercial Total Real Other (In thousands) Apartment Mixed-Use Mixed-Use ADC Estate C&I Loans Total Allowance for credit losses: Beginning balance $ 269 $ 10,142 $ 3,900 $ 1,244 $ 15,555 $ 12,870 $ 16 $ 28,441 Provision (credit) for credit losses 376 4,127 2,442 427 7,372 641 (1) 8,012 Charge-offs — — (6) — (6) — — (6) Recoveries — 14 — — 14 2 — 16 Ending balance $ 645 $ 14,283 $ 6,336 $ 1,671 $ 22,935 $ 13,513 $ 15 $ 36,463 The following table presents the amortized cost basis of loans on non-accrual status as of the period indicated: March 31, 2021 Non-accrual with Non-accrual with (In thousands) No Allowance Allowance Reserve One-to-four family residential and cooperative/condominium apartment $ - $ 5,384 $ 134 Multifamily residential and residential mixed-use 4,844 - - CRE 3,552 7,043 2,786 ADC - 104 59 C&I - 14,523 7,881 Other - 99 58 Total $ 8,396 $ 27,153 $ 10,918 The following table presents the balance in the allowance for loan losses and the recorded investment in loans by portfolio segment and based on impairment method, prior to the adoption of ASC 326, as of the dates indicated: December 31, 2020 Real Estate Loans One-to-Four Family Residential, Including Multifamily Commercial Condominium Residential Real Estate and and and Cooperative Residential Commercial Total Real Other (In thousands) Apartment Mixed-Use Mixed-Use ADC Estate C&I Loans Total Allowance for loan losses: Individually evaluated for impairment $ — $ — $ — $ — $ — $ 6,474 $ — $ 6,474 Collectively evaluated for impairment 644 17,016 9,059 1,993 28,712 6,263 12 34,987 Total ending allowance balance $ 644 $ 17,016 $ 9,059 $ 1,993 $ 28,712 $ 12,737 $ 12 $ 41,461 Loans: Individually evaluated for impairment $ — $ 1,863 $ 2,704 $ — $ 4,567 $ 12,502 $ — $ 17,069 Collectively evaluated for impairment 184,989 2,756,880 1,875,463 156,296 4,973,628 629,031 2,316 5,604,975 Total ending loans balance $ 184,989 $ 2,758,743 $ 1,878,167 $ 156,296 $ 4,978,195 $ 641,533 $ 2,316 $ 5,622,044 |
Impaired Real Estate Loans | The following tables summarize impaired loans with no related allowance recorded and with related allowance recorded as of the periods indicated (by collateral type within the real estate loan segment): The following table summarizes impaired loans recorded as of the date indicated: December 31, 2020 Unpaid Principal Recorded Related (In thousands) Balance Investment (1) Allowance With no related allowance recorded: Multifamily residential and residential mixed-use $ 1,863 $ 1,863 $ — CRE 2,704 2,704 — Total with no related allowance recorded 4,567 4,567 — With an allowance recorded: C&I 12,502 12,502 6,474 Total with an allowance recorded 12,502 12,502 6,474 Total $ 17,069 $ 17,069 $ 6,474 (1) The recorded investment excludes net deferred costs due to immateriality. The following table presents information for impaired loans for the period indicated: Three Months Ended March 31, 2020 Average Interest Recorded Income (In thousands) Investment (1) Recognized (2) With no related allowance recorded: One-to-four family residential and cooperative/condominium apartment $ 2,948 $ — Multifamily residential and residential mixed-use 743 6 CRE 58 1 Total with no related allowance recorded 3,749 7 With an allowance recorded: C&I 10,082 — Total $ 13,831 $ 7 (1) The recorded investment excludes net deferred costs due to immateriality. (2) Cash basis interest and interest income recognized on accrual basis approximate each other. |
Past Due Financing Receivables | The following tables summarize the past due status of the Company’s investment in loans (excluding net deferred costs and accrued interest) as of the dates indicated: March 31, 2021 Loans 90 Days or 30 to 59 60 to 89 More Past Due Days Days and Still Non- Total Total (In thousands) Past Due Past Due Accruing Interest accrual (1) Past Due Current Loans Real estate: One-to-four family residential, including condominium and cooperative apartment $ 7,027 $ 686 $ 45 $ 5,384 $ 13,142 $ 683,273 $ 696,415 Multifamily residential and residential mixed-use 3,984 8,340 2,871 4,844 20,039 3,547,168 3,567,207 CRE 4,702 3,334 2,259 10,595 20,890 3,610,397 3,631,287 ADC — — — 104 104 254,066 254,170 Total real estate 15,713 12,360 5,175 20,927 54,175 8,094,904 8,149,079 C&I 13,254 410 3,652 14,523 31,839 2,300,771 2,332,610 Other 9 89 — 99 197 24,212 24,409 Total $ 28,976 $ 12,859 $ 8,827 $ 35,549 $ 86,211 $ 10,419,887 $ 10,506,098 (1) Includes all loans on non-accrual status regardless of the number of days such loans were delinquent as of March 31, 2021. December 31, 2020 Loans 90 Days or 30 to 59 60 to 89 More Past Due Days Days and Still Non- Total Total (In thousands) Past Due Past Due Accruing Interest accrual (1) Past Due Current Loans Real estate: One-to-four family residential, including condominium and cooperative apartment $ — $ — $ 44 $ 858 $ 902 $ 184,087 $ 184,989 Multifamily residential and residential mixed-use — — 437 1,863 2,300 2,756,443 2,758,743 CRE 15,351 — — 2,704 18,055 1,860,112 1,878,167 ADC — — — — — 156,296 156,296 Total real estate 15,351 — 481 5,425 21,257 4,956,938 4,978,195 C&I — 917 2,848 12,502 16,267 625,266 641,533 Other 8 1 — 1 10 2,306 2,316 Total $ 15,359 $ 918 $ 3,329 $ 17,928 $ 37,534 $ 5,584,510 $ 5,622,044 (1) Includes all loans on non-accrual status regardless of the number of days such loans were delinquent as of December 31, 2020. |
Loans Approved for Deferral | March 31, 2021 Number of Loans Balance (1) % of Portfolio (Dollars in thousands) One-to-four family residential and cooperative/condominium apartment 15 $ 15,489 2.2 % Multifamily residential and residential mixed-use — — — CRE 8 24,174 0.7 ADC 1 13,500 5.3 C&I 10 13,491 0.6 Total 34 $ 66,654 0.6 (1) Amount excludes net deferred costs due to immateriality. |
Credit Risk Profile of the Real Estate Loans | March 31, 2021 (In thousands) 2021 2020 2019 2018 2017 2016 and Prior Revolving Revolving-Term Total One-to-four family residential, and condominium/cooperative apartment: Pass $ 30,658 $ 102,503 $ 95,992 $ 105,587 $ 101,101 $ 177,780 $ 54,179 $ 13,426 $ 681,226 Special mention — — 381 152 371 5,106 846 1,106 7,962 Substandard — — 745 46 — 5,157 — 1,279 7,227 Doubtful — — — — — — — — — Total one-to-four family residential, and condominium/cooperative apartment 30,658 102,503 97,118 105,785 101,472 188,043 55,025 15,811 696,415 Multifamily residential and residential mixed-use: Pass 95,876 365,073 518,902 215,459 464,424 1,672,655 9,698 11 3,342,098 Special mention — — 1,005 — 17,169 17,057 — — 35,231 Substandard — — 34,421 27,280 32,564 95,117 496 — 189,878 Doubtful — — — — — — — — — Total multifamily residential and residential mixed-use 95,876 365,073 554,328 242,739 514,157 1,784,829 10,194 11 3,567,207 CRE: Pass 184,029 867,480 604,893 396,946 404,571 978,940 50,050 26,440 3,513,349 Special mention — 4,256 2,673 9,031 13,536 11,578 — — 41,074 Substandard — 589 3,400 13,235 22,060 37,567 — 10 76,861 Doubtful — — — — — — — 3 3 Total CRE 184,029 872,325 610,966 419,212 440,167 1,028,085 50,050 26,453 3,631,287 ADC: Pass 8,105 39,106 23,599 10,520 5,615 1,355 121,537 29,651 239,488 Special mention — — — 1,077 — — — 13,500 14,577 Substandard — — — — — 105 — — 105 Doubtful — — — — — — — — — Total ADC 8,105 39,106 23,599 11,597 5,615 1,460 121,537 43,151 254,170 C&I: Pass 560,948 991,821 71,898 44,089 47,108 38,787 461,029 42,082 2,257,762 Special mention — 2,345 1,270 5,553 765 559 22,566 3,078 36,136 Substandard — 49 839 1,417 3,228 1,314 4,118 15,190 26,155 Doubtful — — 210 — 11,929 190 — 228 12,557 Total C&I 560,948 994,215 74,217 51,059 63,030 40,850 487,713 60,578 2,332,610 Total Loans $ 879,616 $ 2,373,222 $ 1,360,228 $ 830,392 $ 1,124,441 $ 3,043,267 $ 724,519 $ 146,004 $ 10,481,689 December 31, 2020 Special (In thousands) Pass Mention Substandard Doubtful Total Real Estate: One-to-four family residential and condominium/cooperative apartment $ 183,293 $ — $ 1,696 $ — $ 184,989 Multifamily residential and residential mixed-use 2,523,258 56,400 179,085 — 2,758,743 CRE 1,831,712 13,861 32,594 — 1,878,167 ADC 142,796 13,500 — — 156,296 Total real estate 4,681,059 83,761 213,375 — 4,978,195 C&I 613,691 2,131 13,315 12,396 641,533 Total Real Estate and C&I $ 5,294,750 $ 85,892 $ 226,690 $ 12,396 $ 5,619,728 (In thousands) March 31, 2021 December 31, 2020 Performing $ 24,310 $ 2,315 Non-accrual 99 1 Total $ 24,409 $ 2,316 |
LEASES (Tables)
LEASES (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
LEASES | |
Maturities of Operating Lease Liabilities | Maturities of the Company’s operating lease liabilities at March 31, 2021 are as follows: Rent to be (In thousands) Capitalized 2021 $ 10,570 2022 11,367 2023 9,665 2024 9,530 2025 9,141 Thereafter 26,289 Total undiscounted lease payments 76,562 Less amounts representing interest 5,313 Lease liability $ 71,249 |
Other Information Related to Operating Leases | Three Months Ended March 31, (In thousands) 2021 2020 Operating lease cost $ 3,158 $ 1,603 Cash paid for amounts included in the measurement of operating lease liabilities 3,050 1,811 |
DERIVATIVES AND HEDGING ACTIV_2
DERIVATIVES AND HEDGING ACTIVITIES (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
Derivatives, Fair Value [Line Items] | |
Effect of Cash Flow Hedge Accounting on Accumulated Other Comprehensive Income (Loss) | The table below presents the effect of the cash flow hedge accounting on Accumulated Other Comprehensive Income (Loss) as of March 31, 2021 and 2020. Three Months Ended March 31, (In thousands) 2021 2020 Gain recognized in other comprehensive income $ 21,453 $ (20,581) Gain reclassified from other comprehensive income into interest expense 854 204 |
Designated as Hedging Instrument | |
Derivatives, Fair Value [Line Items] | |
Fair Value of Derivative Financial Instruments and Classification on Consolidated Statements of Financial Condition | The table below presents the fair value of the Company’s derivative financial instruments as well as their classification on the Consolidated Statements of Financial Condition as of the periods indicated. March 31, 2021 December 31, 2020 Notional Fair Value Fair Value Notional Fair Value Fair Value (Dollars in thousands) Count Amount Assets Liabilities Count Amount Assets Liabilities Included in derivative assets/(liabilities): Interest rate swaps related to FHLBNY advances 4 $ 150,000 $ 3,944 $ — — $ — $ — $ — Interest rate swaps related to FHLBNY advances — $ — $ — $ — 32 $ 655,000 $ — $ (18,442) |
Not Designated as Hedging Instrument | |
Derivatives, Fair Value [Line Items] | |
Fair Value of Derivative Financial Instruments and Classification on Consolidated Statements of Financial Condition | March 31, 2021 Notional Fair Value Fair Value (In thousands) Count Amount Assets Liabilities Included in derivative assets/(liabilities): Loan level interest rate swaps with borrower 109 $ 689,408 $ 28,104 $ — Loan level interest rate swaps with borrower 72 543,095 — (16,468) Loan level interest rate floors with borrower 46 406,923 — (5,294) Loan level interest rate swaps with third-party counterparties 109 689,408 — (28,104) Loan level interest rate swaps with third-party counterparties 72 543,095 16,468 — Loan level interest rate floors with third-party counterparties 46 406,923 5,294 — December 31, 2020 Notional Fair Value Fair Value (In thousands) Count Amount Assets Liabilities Included in derivative assets/(liabilities): Loan level interest rate swaps with borrower 65 $ 570,277 $ 24,764 $ — Loan level interest rate floors with borrower 41 364,643 — (5,832) Loan level interest rate swaps with third-party counterparties 65 570,277 — (24,764) Loan level interest rate floors with third-party counterparties 41 364,643 5,832 — |
Loan Level Derivative Income | Loan level derivative income is recognized on the mark-to-market of the interest rate swap as a fair value adjustment at the time the transaction is closed. Total loan level derivative income is included in non-interest income as follows: Three Months Ended March 31, (In thousands) 2021 2020 Loan level derivative income $ 1,792 $ 1,163 |
FAIR VALUE OF FINANCIAL INSTR_2
FAIR VALUE OF FINANCIAL INSTRUMENTS (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
FAIR VALUE OF FINANCIAL INSTRUMENTS | |
Fair Value, Assets and Liabilities Measured on Recurring Basis | Fair Value Measurements at March 31, 2021 Using Level 1 Level 2 Level 3 (In thousands) Total Inputs Inputs Inputs Financial Assets Securities available-for-sale: Agency Notes $ 69,570 $ — $ 69,570 $ — Treasury Securities 92,272 — 92,272 — Corporate Securities 98,733 — 98,733 — Pass-through MBS issued by GSEs 323,707 — 323,707 — Agency CMOs 522,822 — 522,822 — State and municipal obligations 45,389 — 45,389 — Derivative – cash flow hedges 3,944 — 3,944 — Derivative – freestanding derivatives, net 41,816 — 41,816 — Financial Liabilities Derivative – cash flow hedges — — — — Derivative – freestanding derivatives, net 41,816 — 41,816 — Fair Value Measurements at December 31, 2020 Using Level 1 Level 2 Level 3 (In thousands) Total Inputs Inputs Inputs Financial Assets Marketable equity securities (Registered Mutual Funds) Domestic equity mutual funds $ 1,769 $ 1,769 $ — $ — International equity mutual funds 468 468 — — Fixed income mutual funds 3,733 3,733 — — Securities available-for-sale: Agency Notes 47,421 — 47,421 — Corporate Securities 64,461 — 64,461 — Pass-through MBS issued by GSEs 143,483 — 143,483 — Agency CMOs 283,496 — 283,496 — Derivative – cash flow hedges — — — — Derivative – freestanding derivatives 30,596 — 30,596 — Financial Liabilities Derivative – cash flow hedges 18,442 — 18,442 — Derivative – freestanding derivatives 30,596 — 30,596 — |
Fair Value Measurements, Nonrecurring | Fair Value Measurements at March 31, 2021 Using Carrying Level 1 Level 2 Level 3 (In thousands) Amount Inputs Inputs Inputs Total Financial Assets Cash and due from banks $ 676,723 $ 676,723 $ — $ — $ 676,723 Loans, net 10,407,898 — — 10,489,350 10,489,350 Accrued interest receivable 51,100 — 3,602 47,498 51,100 Financial Liabilities Savings, money market and checking accounts 9,270,496 9,270,496 — — 9,270,496 Certificates of Deposits ("CDs") 1,540,316 — 1,545,436 — 1,545,436 FHLBNY Advances 533,865 — 534,049 — 534,049 Subordinated debt, net 197,234 — 198,297 — 198,297 Other borrowings 126,763 126,763 — — 126,763 Accrued interest payable 2,024 — 2,024 — 2,024 Fair Value Measurements at December 31, 2020 Using Carrying Level 1 Level 2 Level 3 (In thousands) Amount Inputs Inputs Inputs Total Financial Assets Cash and due from banks $ 243,603 $ 243,603 $ — $ — $ 243,603 Loans, net 5,580,583 — — 5,598,787 5,598,787 Accrued interest receivable 34,815 2 1,584 33,229 34,815 Financial Liabilities Savings, money market and checking accounts 3,212,495 3,212,495 — — 3,212,495 CDs 1,322,638 — 1,328,554 — 1,328,554 FHLBNY Advances 1,204,010 — 1,207,890 — 1,207,890 Subordinated debt, net 114,052 — 114,340 — 114,340 Other borrowings 120,000 120,000 — — 120,000 Accrued interest payable 1,734 — 1,734 — 1,734 |
OTHER INTANGIBLE ASSETS (Tables
OTHER INTANGIBLE ASSETS (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
OTHER INTANGIBLE ASSETS | |
Schedule of acquired intangible assets | Core Deposit Non-complete (In thousands) Intangibles Agreement Total Gross carrying value $ 10,204 $ 780 $ 10,984 Accumulated amortization (357) - (357) Net carrying amount $ 9,847 $ 780 $ 10,627 |
Schedule of estimated amortization expense | (In thousands) Total 2021 $ 2,265 2022 1,878 2023 1,425 2024 1,163 2025 958 Thereafter 2,938 Total $ 10,627 |
FEDERAL HOME LOAN BANK ADVANC_2
FEDERAL HOME LOAN BANK ADVANCES (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
FEDERAL HOME LOAN BANK ADVANCES | |
Schedule of contractual maturities and weighted average interest rates of FHLB advances | March 31, 2021 (Dollars in thousands) Weighted Contractual Maturity Amount Average Rate Overnight $ 175,000 0.32 % 2021 308,865 0.35 2022 50,000 0.37 Total FHLB advances $ 533,865 0.34 % December 31, 2020 (Dollars in thousands) Weighted Contractual Maturity Amount Average Overnight $ — — % 2021 1,144,010 0.52 2022 60,000 0.60 Total FHLB advances $ 1,204,010 0.53 % |
RETIREMENT AND POSTRETIREMENT_2
RETIREMENT AND POSTRETIREMENT PLANS (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
RETIREMENT AND POSTRETIREMENT PLANS | |
Net Periodic Costs | BNB Bank Employee Retirement Pension Plan Plan Three Months Ended March 31, (In thousands) 2021 2020 Service cost $ 148 $ — Interest cost 249 183 Expected return on assets (984) (428) Amortization of unrealized loss 206 229 Net periodic benefit credit $ (381) $ (16) |
STOCK-BASED COMPENSATION (Table
STOCK-BASED COMPENSATION (Tables) | 3 Months Ended |
Mar. 31, 2021 | |
STOCK-BASED COMPENSATION | |
Activity Related to Stock Options | Weighted- Average Weighted- Remaining Aggregate Number of Average Exercise Contractual Intrinsic Options Price Years Value Options outstanding at January 1, 2021 28,842 $ 15.05 Options outstanding at January 1, 2021 as adjusted for conversion 18,685 23.23 Options acquired (1) 180,020 35.39 Options exercised 15,928 23.37 Options outstanding at March 31, 2021 182,777 $ 35.19 8.0 $ — Options vested and exercisable at March 31, 2021 182,777 $ 35.19 8.0 $ — (1) Options acquired in the Merger expire one year from the date of the Effective Date of the Merger. |
Information Related to Stock Option Plan | Three Months Ended March 31, (In thousands) 2021 2020 Cash received for option exercise cost $ 372 $ — Income tax benefit recognized on stock option exercises — — Intrinsic value of options exercised 66 — |
Activity Related to Restricted Stock Awards | Weighted- Average Number of Grant-Date Shares Fair Value Unvested allocated shares outstanding at January 1, 2021 — $ — Shares acquired 89,043 31.00 Shares granted 431,114 25.54 Shares vested (89,043) 31.00 Shares forfeited (1,050) 25.98 Unvested allocated shares at March 31, 2021 430,064 $ 25.54 |
Information Related to Restricted Stock Award Plan | Three Months Ended March 31, (Dollars in thousands) 2021 2020 Compensation expense recognized $ 836 $ 461 Income tax benefit recognized on vesting of RSA — 4 Weighted average remaining years for which compensation expense is to be recognized 3.0 2.4 |
BASIS OF PRESENTATION (Details)
BASIS OF PRESENTATION (Details) $ / shares in Units, $ in Millions | Feb. 01, 2021$ / sharesshares | Mar. 31, 2021USD ($)item$ / shares | Dec. 31, 2020USD ($)$ / shares |
BASIS OF PRESENTATION | |||
Subordinated notes payable, net | $ | $ 197.2 | $ 114.1 | |
Number of retail banking offices | item | 67 | ||
Merger agreement: | |||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 |
Common stock converted into right to receive shares (in shares) | shares | 0.6480 | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 |
MERGER (Details)
MERGER (Details) $ / shares in Units, $ in Millions | Feb. 01, 2021USD ($)$ / sharesshares | Jan. 31, 2021shares | Mar. 31, 2021$ / shares | Dec. 31, 2020$ / shares | Sep. 30, 2015USD ($) |
MERGER | |||||
Common stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | $ 0.01 | ||
Share conversion ratio | 0.6480 | ||||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | |||
Aggregate principal amount | $ | $ 80 | ||||
Number of Bridge Outstanding Shares | shares | 41,226,000 | ||||
Percentage Ownership | 100.00% | ||||
Preferred Stock | |||||
MERGER | |||||
Share conversion ratio | 1 | ||||
Bridge shareholders | |||||
MERGER | |||||
Number of Bridge Outstanding Shares | shares | 21.2 | 19,993,000 | |||
Percentage Ownership | 51.50% | 48.50% | |||
Legacy Dime shareholders | |||||
MERGER | |||||
Number of Bridge Outstanding Shares | shares | 30,853,000 | 21,233,000 | |||
Percentage Ownership | 51.50% | ||||
Legacy Dime | |||||
MERGER | |||||
Common stock, par value (in dollars per share) | $ 0.01 | ||||
Aggregate principal amount | $ | $ 115 | ||||
Fixed interest rate of debentures | 4.50% | ||||
Legacy Dime | Preferred Stock | |||||
MERGER | |||||
Preferred stock, par value (in dollars per share) | $ 0.01 |
MERGER - Dime Community Bancsha
MERGER - Dime Community Bancshares, Inc. Ownership and Market Value (Details) - USD ($) $ / shares in Units, $ in Thousands | Feb. 01, 2021 | Jan. 31, 2021 |
MERGER | ||
Number of Bridge Outstanding Shares | 41,226,000 | |
Percentage Ownership | 100.00% | |
Market Value at $24.43 Bridge Share Price | $ 1,007,140 | |
Bridge shareholders | ||
MERGER | ||
Number of Bridge Outstanding Shares | 21.2 | 19,993,000 |
Percentage Ownership | 51.50% | 48.50% |
Market Value at $24.43 Bridge Share Price | $ 488,420 | |
Bridge Share Price | $ 24.43 | |
Legacy Dime shareholders | ||
MERGER | ||
Number of Bridge Outstanding Shares | 30,853,000 | 21,233,000 |
Percentage Ownership | 51.50% | |
Market Value at $24.43 Bridge Share Price | $ 7 | $ 518,720 |
MERGER - Hypothetical Legacy Di
MERGER - Hypothetical Legacy Dime Ownership (Details) shares in Thousands | Jan. 31, 2021shares |
MERGER | |
Number of Bridge Outstanding Shares | 63,620 |
Percentage Ownership | 100.00% |
Bridge shareholders | |
MERGER | |
Number of Bridge Outstanding Shares | 30,853 |
Percentage Ownership | 48.50% |
Legacy Dime shareholders | |
MERGER | |
Number of Bridge Outstanding Shares | 32,767 |
Percentage Ownership | 51.50% |
MERGER - Purchase Price (Detail
MERGER - Purchase Price (Details) - USD ($) $ / shares in Units, $ in Thousands | Feb. 01, 2021 | Jan. 31, 2021 | Mar. 31, 2021 |
MERGER | |||
Number of hypothetical Legacy Dime shares issued to Bridge shareholders | 41,226,000 | ||
Number of Bridge Outstanding Shares | 41,226,000 | ||
Cash in lieu of fractional shares | $ 1,007,140 | ||
Purchase price consideration | $ 491,210 | ||
Bridge shareholders | |||
MERGER | |||
Number of hypothetical Legacy Dime shares issued to Bridge shareholders | 21.2 | 19,993,000 | |
Number of Bridge Outstanding Shares | 21.2 | 19,993,000 | |
Cash in lieu of fractional shares | $ 488,420 | ||
Legacy Dime shareholders | |||
MERGER | |||
Number of hypothetical Legacy Dime shares issued to Bridge shareholders | 30,853,000 | 21,233,000 | |
Legacy Dime market price per share as of February 1, 2021 | $ 15.90 | ||
Purchase price determination of hypothetical Legacy Dime shares issued to Bridge shareholders | $ 490,560 | ||
Number of Bridge Outstanding Shares | 30,853,000 | 21,233,000 | |
Cash in lieu of fractional shares | $ 7 | $ 518,720 | |
Purchase price consideration | $ 491,210 | ||
Legacy Dime shareholders | Common Stock | |||
MERGER | |||
Number of hypothetical Legacy Dime shares issued to Bridge shareholders | 643,000 | ||
Number of Bridge Outstanding Shares | 643,000 |
MERGER - Purchase Price Allocat
MERGER - Purchase Price Allocation (Details) - USD ($) $ in Thousands | Feb. 01, 2021 | Mar. 31, 2021 | Dec. 31, 2020 |
Fair value of assets acquired: | |||
Operating lease assets | $ 45,600 | ||
Fair value of liabilities assumed: | |||
Operating lease liabilities | 45,300 | ||
Total liabilities assumed | $ 5,847,505 | ||
Goodwill resulting from Merger | $ 155,339 | $ 55,638 | |
Bridge assets acquired | |||
Purchase price consideration: | |||
Purchase price consideration | 491,210 | ||
Fair value of assets acquired: | |||
Cash and due from banks | 715,988 | ||
Securities available-for-sale | 651,997 | ||
Loans held for sale | 10,000 | ||
Loans held for investment | 4,531,640 | ||
Premises and fixed assets | 37,881 | ||
Restricted stock | 23,362 | ||
BOLI | 94,085 | ||
Other intangible assets | 10,984 | ||
Operating lease assets | 45,603 | ||
Other assets | 117,474 | ||
Total assets acquired | 6,239,014 | ||
Fair value of liabilities assumed: | |||
Deposits | 5,405,575 | ||
Other short-term borrowings | 216,298 | ||
Subordinated debt | 83,200 | ||
Operating lease liabilities | 45,285 | ||
Other liabilities | 97,147 | ||
Total liabilities assumed | 5,847,505 | ||
Fair value of net identifiable assets | 391,509 | ||
Goodwill resulting from Merger | $ 99,701 |
MERGER - Loans Acquired (Detail
MERGER - Loans Acquired (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Feb. 01, 2021 |
MERGER | ||
Total fair value at acquisition | $ 4,530,000 | $ 4,531,640 |
PCD loans | ||
MERGER | ||
Unpaid principal balance | 295,306 | |
Non-credit discount at acquisition | (9,049) | |
Unpaid principal balance, net | 286,257 | |
Allowance for credit losses at acquisition | (52,285) | |
Total fair value at acquisition | 233,972 | |
Non-PCD loans | ||
MERGER | ||
Unpaid principal balance | 4,289,236 | |
Premium at acquisition | 8,432 | |
Unpaid principal balance, net | $ 4,297,668 |
MERGER - Supplemental of cash f
MERGER - Supplemental of cash flow information (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($) | |
MERGER | |
Fair value of tangible assets acquired | $ 6,228,030 |
Goodwill, core deposit intangible and other intangible assets acquired | 110,685 |
Liabilities assumed | 5,847,505 |
Purchase price consideration | $ 491,210 |
MERGER - Other intangible asset
MERGER - Other intangible assets (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Core deposits | |
MERGER | |
Other intangible assets | $ 10,200 |
Weighted average life | 10 years |
Noncompete Agreements | |
MERGER | |
Other intangible assets | $ 780 |
Weighted average life | 13 months |
MERGER - Pro Forma (Details)
MERGER - Pro Forma (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
MERGER | ||
Net interest income | $ 90,476 | $ 79,511 |
Non-interest (loss) income | (6,032) | 9,453 |
Net (loss) income | (149) | 18,685 |
Net (loss) income available to common shareholders | $ (1,560) | $ 18,423 |
Earnings per share: | ||
Basic | $ (0.04) | $ 0.45 |
Diluted | $ (0.04) | $ 0.45 |
SUMMARY OF ACCOUNTING POLICIE_2
SUMMARY OF ACCOUNTING POLICIES (Details) - USD ($) $ in Thousands | 3 Months Ended | ||||
Mar. 31, 2021 | Jan. 01, 2021 | Dec. 31, 2020 | Mar. 31, 2020 | Dec. 31, 2019 | |
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Allowance for credit losses | $ 98,200 | $ 41,461 | $ 36,463 | $ 28,441 | |
Retained earnings | $ 574,297 | 600,641 | |||
Acquisition, Development, And Construction Loans [Member] | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Value ratio | 50.00% | ||||
Small Business Administration ("SBA") Paycheck Protection Program ("PPP") | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Value ratio | 100.00% | ||||
Cumulative Effect, Period of Adoption, Adjustment | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Allowance for credit losses | $ (3,919) | ||||
Maximum [Member] | One-to-four family residential and cooperative/condominium apartment | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Value ratio | 75.00% | ||||
Maximum [Member] | Multifamily residential and residential mixed-use | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Value ratio | 75.00% | ||||
Maximum [Member] | Commercial real estate ("CRE") | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Value ratio | 75.00% | ||||
Minimum [Member] | One-to-four family residential and cooperative/condominium apartment | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Debt service ratio | 1.25% | ||||
Minimum [Member] | Multifamily residential and residential mixed-use | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Debt service ratio | 1.20% | ||||
Minimum [Member] | Commercial real estate ("CRE") | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Debt service ratio | 1.25% | ||||
Accounting Standards Update 2016-13 [Member] | Cumulative Effect, Period of Adoption, Adjustment | |||||
Accounts, Notes, Loans and Financing Receivable [Line Items] | |||||
Allowance for credit losses | $ (3,900) | ||||
Reserve for unfunded commitments | $ 1,400 | ||||
Retained earnings | $ 1,700 |
ACCUMULATED OTHER COMPREHENSI_3
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance | $ 701,096 | $ 596,758 |
Other comprehensive income (loss) before reclassifications | 7,565 | (6,891) |
Amounts reclassified from accumulated other comprehensive loss | (1,110) | 199 |
Other comprehensive income (loss), net of tax | 6,455 | (6,692) |
Balance | 1,172,824 | 645,648 |
Accumulated Other Comprehensive Income (Loss) | ||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance | (5,924) | (5,940) |
Other comprehensive income (loss), net of tax | 6,455 | (6,692) |
Balance | 531 | (12,632) |
Securities Available-for-Sale | ||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance | 12,694 | 4,621 |
Other comprehensive income (loss) before reclassifications | (10,570) | 7,049 |
Amounts reclassified from accumulated other comprehensive loss | (822) | (5) |
Other comprehensive income (loss), net of tax | (11,392) | 7,044 |
Balance | 1,302 | 11,665 |
Defined Benefit Plans | ||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance | (6,086) | (6,024) |
Other comprehensive income (loss) before reclassifications | 1,659 | 120 |
Amounts reclassified from accumulated other comprehensive loss | (288) | 65 |
Other comprehensive income (loss), net of tax | 1,371 | 185 |
Balance | (4,715) | (5,839) |
Derivatives | ||
Accumulated Other Comprehensive Income (Loss) [Roll Forward] | ||
Balance | (12,532) | (4,537) |
Other comprehensive income (loss) before reclassifications | 16,476 | (14,060) |
Amounts reclassified from accumulated other comprehensive loss | 139 | |
Other comprehensive income (loss), net of tax | 16,476 | (13,921) |
Balance | $ 3,944 | $ (18,458) |
ACCUMULATED OTHER COMPREHENSI_4
ACCUMULATED OTHER COMPREHENSIVE INCOME (LOSS) - Before and After Tax Amounts by Component (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Change in unrealized holding gain or loss on securities available-for-sale: | ||
Change in net unrealized gain or loss during the period | $ (15,534) | $ 10,260 |
Reclassification adjustment for net (gains) losses included in net gain on securities and other assets | (1,187) | (8) |
Net change | (16,721) | 10,252 |
Tax expense | (5,329) | 3,208 |
Net change in unrealized holding gain or loss on securities available-for-sale | (11,392) | 7,044 |
Change in pension and other postretirement obligations: | ||
Reclassification adjustment for expense included in other expense | (422) | 95 |
Reclassification adjustment for curtailment loss | 1,543 | |
Change in the net actuarial gain or loss | 885 | 176 |
Net change | 2,006 | 271 |
Tax expense | 635 | 86 |
Net change in pension and other postretirement obligations | 1,371 | 185 |
Change in unrealized gain or loss on derivatives: | ||
Change in net unrealized gain or loss during the period | 21,453 | (20,581) |
Reclassification adjustment for expense included in interest expense | 854 | 204 |
Net change | 22,307 | (20,377) |
Tax benefit | 5,831 | (6,456) |
Net change in unrealized gain or loss on derivatives | 16,476 | (13,921) |
Other comprehensive income (loss), net of tax | $ 6,455 | $ (6,692) |
EARNINGS PER COMMON SHARE ("E_3
EARNINGS PER COMMON SHARE ("EPS") (Details) - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Antidilutive Securities Excluded from Computation of Earnings Per Share [Abstract] | ||
Net (loss) income available to common stockholders | $ (22,855) | $ 8,392 |
Less: Dividends paid and earnings allocated to participating securities | 165 | (67) |
(Loss) income attributable to common stock | $ (22,690) | $ 8,325 |
Weighted average common shares outstanding, including participating securities (in shares) | 34,543,114 | 22,551,358 |
Less: weighted average participating securities (in shares) | (282,176) | (174,386) |
Weighted average common shares outstanding (in shares) | 34,260,938 | 22,376,972 |
Basic EPS (in dollars per share) | $ (0.66) | $ 0.37 |
Weighted average common shares outstanding (in shares) | 34,260,938 | 22,376,972 |
Weighted average common equivalent shares outstanding (in shares) | 1,067 | 99,600 |
Weighted average common and equivalent shares outstanding (in shares) | 34,262,005 | 22,476,572 |
Diluted EPS (in dollars per share) | $ (0.66) | $ 0.37 |
Stock Option Awards | ||
Antidilutive Securities Excluded from Computation of Earnings Per Share [Abstract] | ||
Weighted average shares excluded from earnings per share calculation (in shares) | 180,020 | 0 |
PREFERRED STOCK (Details)
PREFERRED STOCK (Details) - USD ($) $ / shares in Units, $ in Millions | Jun. 10, 2020 | Feb. 05, 2020 | Mar. 31, 2021 | Dec. 31, 2020 |
Public Offering [Abstract] | ||||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | ||
Preferred stock, liquidation preference (in dollars per share) | 25 | $ 25 | ||
Preferred Stock, Series A [Member] | ||||
Public Offering [Abstract] | ||||
Number of share issued in public offering (in shares) | 2,300,000 | 2,999,200 | ||
Preferred stock, liquidation preference | $ 57.5 | $ 75 | ||
Preferred stock, interest rate | 5.50% | 5.50% | ||
Preferred stock, par value (in dollars per share) | $ 0.01 | $ 0.01 | ||
Preferred stock, liquidation preference (in dollars per share) | $ 25 | $ 25 | ||
Proceeds from issuance of preferred stock | $ 44.3 | $ 72.2 | ||
Preferred stock, redemption price (in dollars per share) | $ 25 |
INVESTMENT AND MORTGAGE-BACKE_3
INVESTMENT AND MORTGAGE-BACKED SECURITIES - Major Categories of Securities Owned (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | Feb. 01, 2021 | |
Securities, available-for-sale [Abstract] | ||||
Amortized Cost | $ 1,150,614 | $ 520,261 | ||
Gross Unrealized Gains | 16,904 | 18,798 | ||
Gross Unrealized Losses | (15,025) | (198) | ||
Fair Value | 1,152,493 | 538,861 | ||
Available for sale securities | 846,529 | 426,979 | ||
Acquired securities available-for-sale on the Merger Date | $ 652,000 | |||
Securities pledged as collateral | $ 637,100 | $ 99,400 | ||
Threshold for disclosure percentage | 10.00% | 10.00% | ||
Sales of Available-for-sale Securities: | ||||
Proceeds | $ 134,558 | $ 4,199 | ||
Proceeds: | ||||
Marketable equity securities | 6,101 | 137 | ||
Net gain (loss) on equity securities | 131 | (472) | ||
Marketable Equity Securities [Member] | ||||
Proceeds: | ||||
Marketable equity securities | 6,101 | 137 | ||
Net gain (loss) on equity securities | 131 | 472 | ||
Agency Notes | ||||
Securities, available-for-sale [Abstract] | ||||
Amortized Cost | 72,500 | $ 47,500 | ||
Gross Unrealized Gains | 12 | |||
Gross Unrealized Losses | (2,930) | (91) | ||
Fair Value | 69,570 | 47,421 | ||
Treasury Securities | ||||
Securities, available-for-sale [Abstract] | ||||
Amortized Cost | 92,547 | |||
Gross Unrealized Losses | (275) | |||
Fair Value | 92,272 | |||
Corporate Securities | ||||
Securities, available-for-sale [Abstract] | ||||
Amortized Cost | 95,786 | 62,021 | ||
Gross Unrealized Gains | 3,367 | 2,440 | ||
Gross Unrealized Losses | (420) | |||
Fair Value | 98,733 | 64,461 | ||
Sales of Available-for-sale Securities: | ||||
Proceeds | 46,754 | 0 | ||
Gross gains | 709 | 0 | ||
Tax expense on gain | 225 | 0 | ||
Gross losses | 41 | 0 | ||
Tax benefit on loss | 13 | 0 | ||
Pass-through MBS issued by GSEs | ||||
Securities, available-for-sale [Abstract] | ||||
Amortized Cost | 321,442 | 135,842 | ||
Gross Unrealized Gains | 7,053 | 7,672 | ||
Gross Unrealized Losses | (4,788) | (31) | ||
Fair Value | 323,707 | 143,483 | ||
Sales of Available-for-sale Securities: | ||||
Proceeds | 26,823 | |||
Gross gains | 187 | |||
Tax expense on gain | 59 | |||
Gross losses | 35 | 0 | ||
Tax benefit on loss | 11 | 0 | ||
Agency Collateralized Mortgage Obligations ("CMOs") | ||||
Securities, available-for-sale [Abstract] | ||||
Amortized Cost | 522,841 | 274,898 | ||
Gross Unrealized Gains | 6,305 | 8,674 | ||
Gross Unrealized Losses | (6,324) | (76) | ||
Fair Value | 522,822 | $ 283,496 | ||
Sales of Available-for-sale Securities: | ||||
Proceeds | 41,324 | 4,199 | ||
Gross gains | 268 | 8 | ||
Tax expense on gain | 85 | 3 | ||
Gross losses | 44 | 0 | ||
Tax benefit on loss | 14 | 0 | ||
State and municipal obligations | ||||
Securities, available-for-sale [Abstract] | ||||
Amortized Cost | 45,498 | |||
Gross Unrealized Gains | 179 | |||
Gross Unrealized Losses | (288) | |||
Fair Value | 45,389 | |||
Sales of Available-for-sale Securities: | ||||
Proceeds | 19,657 | 0 | ||
Gross gains | 143 | 0 | ||
Tax expense on gain | $ 45 | $ 0 |
INVESTMENT AND MORTGAGE-BACKE_4
INVESTMENT AND MORTGAGE-BACKED SECURITIES, Amortized Cost and Fair Value (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Available for sale, Amortized Cost | ||
Within one year | $ 2,123 | |
One to five years | 116,049 | |
Five to ten years | 183,014 | |
Beyond ten years | 5,145 | |
Pass-through MBS issued by GSEs and Agency CMO | 844,283 | |
Amortized Cost | 1,150,614 | $ 520,261 |
Available for sale, Fair Value | ||
Within one year | 2,130 | |
One to five years | 115,878 | |
Five to ten years | 182,961 | |
Beyond ten years | 4,995 | |
Pass-through MBS issued by GSEs and Agency CMO | 846,529 | |
Total | $ 1,152,493 | $ 538,861 |
INVESTMENT AND MORTGAGE-BACKE_5
INVESTMENT AND MORTGAGE-BACKED SECURITIES, Continuous Unrealized Loss Position (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Pass-through MBS issued by GSEs | ||
Securities available-for-sale, Fair Value [Abstract] | ||
Less than 12 Consecutive Months | $ 181,917 | $ 5,007 |
12 Consecutive Months or Longer | 0 | 0 |
Total | 181,917 | 5,007 |
Securities available-for-sale, Unrealized Losses [Abstract] | ||
Less than 12 Consecutive Months | 4,788 | 31 |
12 Consecutive Months or Longer | 0 | 0 |
Total | 4,788 | 31 |
Treasury Securities | ||
Securities available-for-sale, Fair Value [Abstract] | ||
Less than 12 Consecutive Months | 92,272 | |
12 Consecutive Months or Longer | 0 | |
Total | 92,272 | |
Securities available-for-sale, Unrealized Losses [Abstract] | ||
Less than 12 Consecutive Months | 275 | |
12 Consecutive Months or Longer | 0 | |
Total | 275 | |
State and municipal obligations | ||
Securities available-for-sale, Fair Value [Abstract] | ||
Less than 12 Consecutive Months | 19,004 | |
12 Consecutive Months or Longer | 0 | |
Total | 19,004 | |
Securities available-for-sale, Unrealized Losses [Abstract] | ||
Less than 12 Consecutive Months | 288 | |
12 Consecutive Months or Longer | 0 | |
Total | 288 | |
Agency Notes | ||
Securities available-for-sale, Fair Value [Abstract] | ||
Less than 12 Consecutive Months | 69,570 | 22,409 |
12 Consecutive Months or Longer | 0 | 0 |
Total | 69,570 | 22,409 |
Securities available-for-sale, Unrealized Losses [Abstract] | ||
Less than 12 Consecutive Months | 2,930 | 91 |
12 Consecutive Months or Longer | 0 | 0 |
Total | 2,930 | 91 |
Corporate Notes [Member] | ||
Securities available-for-sale, Fair Value [Abstract] | ||
Less than 12 Consecutive Months | 18,278 | |
12 Consecutive Months or Longer | 0 | 0 |
Total | 18,278 | |
Securities available-for-sale, Unrealized Losses [Abstract] | ||
Less than 12 Consecutive Months | 420 | |
12 Consecutive Months or Longer | 0 | 0 |
Total | 420 | |
Agency Collateralized Mortgage Obligations ("CMOs") | ||
Securities available-for-sale, Fair Value [Abstract] | ||
Less than 12 Consecutive Months | 239,145 | 6,563 |
12 Consecutive Months or Longer | 0 | 4,954 |
Total | 239,145 | 11,517 |
Securities available-for-sale, Unrealized Losses [Abstract] | ||
Less than 12 Consecutive Months | 6,324 | 30 |
12 Consecutive Months or Longer | 0 | 46 |
Total | $ 6,324 | $ 76 |
LOANS HELD FOR INVESTMENT, NE_2
LOANS HELD FOR INVESTMENT, NET - Loan Categories (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Feb. 01, 2021 | Dec. 31, 2020 |
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | $ 10,506,098 | $ 5,622,044 | |
Allowance for loan losses | (98,200) | (41,461) | |
Total loans held for investment, net | 10,407,898 | 5,580,583 | |
Loans acquired on merger | 4,530,000 | $ 4,531,640 | |
Small Business Administration ("SBA") Paycheck Protection Program ("PPP") | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | 1,430,000 | ||
Allowance for loan losses | $ 0 | ||
Loan and leases carry guarantee rate | 100.00% | ||
Paycheck Protection Program | Small Business Administration ("SBA") Paycheck Protection Program ("PPP") | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | 321,900 | ||
Real estate | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | $ 8,149,079 | 4,978,195 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | 696,415 | 184,989 | |
Real estate | Multifamily residential and residential mixed-use | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | 3,567,207 | 2,758,743 | |
Real estate | Commercial real estate ("CRE") | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | 3,631,287 | 1,878,167 | |
Real estate | Acquisition, development, and construction ("ADC") | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | 254,170 | 156,296 | |
Commercial and industrial ("C&I") | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | 2,332,610 | 641,533 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | 2,332,610 | 641,533 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | Small Business Administration ("SBA") Paycheck Protection Program ("PPP") | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | 2,332,610 | ||
Other loans | |||
LOANS HELD FOR INVESTMENT, NET | |||
Total Loans | $ 24,409 | $ 2,316 |
LOANS HELD FOR INVESTMENT, NE_3
LOANS HELD FOR INVESTMENT, NET - Allowance by Class of Loan (Details) - USD ($) $ in Thousands | 3 Months Ended | 12 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | Mar. 31, 2021 | Dec. 31, 2020 | |
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | $ 41,461 | $ 28,441 | $ 28,441 | ||
PCD Day 1 | 52,284 | ||||
Provision (credit) for credit losses | 12,649 | 8,012 | |||
Charge-offs | (4,275) | (6) | |||
Recoveries | 16 | ||||
Ending balance | 98,200 | 36,463 | 41,461 | ||
Non-accrual with No Allowance for Credit Loss | $ 8,396 | ||||
Non-accrual with Allowance | 27,153 | ||||
Reserve | 10,918 | ||||
Interest income on non-accrual loans | 0 | ||||
CECL | 3,900 | ||||
Non-PCD | 20,300 | ||||
Impact of improvement in forecasted macroeconomic conditions | (7,600) | ||||
Allowance for loan losses: | |||||
Individually evaluated for impairment | $ 6,474 | ||||
Collectively evaluated for impairment | 34,987 | ||||
Total ending allowance balance | 98,200 | 36,463 | 28,441 | 98,200 | 41,461 |
Loans: | |||||
Individually evaluated for impairment | 17,069 | ||||
Collectively evaluated for impairment | 5,604,975 | ||||
Total ending loans balance | 5,622,044 | ||||
Cumulative Effect, Period of Adoption, Adjustment | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | (3,919) | ||||
Ending balance | (3,919) | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | (3,919) | (3,919) | (3,919) | ||
Cumulative Effect, Period of Adoption, Adjusted Balance | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 37,542 | ||||
Ending balance | 37,542 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 37,542 | 37,542 | 37,542 | ||
One-to-four family residential and cooperative/condominium apartment | |||||
Allowance for loan losses [Roll Forward] | |||||
Non-accrual with Allowance | 5,384 | ||||
Reserve | 134 | ||||
Multifamily residential and residential mixed-use | |||||
Allowance for loan losses [Roll Forward] | |||||
Non-accrual with No Allowance for Credit Loss | 4,844 | ||||
Commercial real estate ("CRE") | |||||
Allowance for loan losses [Roll Forward] | |||||
Non-accrual with No Allowance for Credit Loss | 3,552 | ||||
Non-accrual with Allowance | 7,043 | ||||
Reserve | 2,786 | ||||
Acquisition, development, and construction ("ADC") | |||||
Allowance for loan losses [Roll Forward] | |||||
Non-accrual with Allowance | 104 | ||||
Reserve | 59 | ||||
Real estate | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 28,712 | 15,555 | 15,555 | ||
PCD Day 1 | 28,753 | ||||
Provision (credit) for credit losses | 9,059 | 7,372 | |||
Charge-offs | (258) | (6) | |||
Recoveries | 14 | ||||
Ending balance | 64,290 | 22,935 | 28,712 | ||
Allowance for loan losses: | |||||
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 28,712 | ||||
Total ending allowance balance | 64,290 | 22,935 | 15,555 | 64,290 | 28,712 |
Loans: | |||||
Individually evaluated for impairment | 4,567 | ||||
Collectively evaluated for impairment | 4,973,628 | ||||
Total ending loans balance | 4,978,195 | ||||
Real estate | Cumulative Effect, Period of Adoption, Adjustment | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | (1,976) | ||||
Ending balance | (1,976) | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | (1,976) | (1,976) | (1,976) | ||
Real estate | Cumulative Effect, Period of Adoption, Adjusted Balance | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 26,736 | ||||
Ending balance | 26,736 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 26,736 | 26,736 | 26,736 | ||
Real estate | One-to-four family residential and cooperative/condominium apartment | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 644 | 269 | 269 | ||
PCD Day 1 | 2,220 | ||||
Provision (credit) for credit losses | 1,235 | 376 | |||
Charge-offs | (14) | 0 | |||
Recoveries | 0 | ||||
Ending balance | 5,133 | 645 | 644 | ||
Allowance for loan losses: | |||||
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 644 | ||||
Total ending allowance balance | 5,133 | 645 | 269 | 5,133 | 644 |
Loans: | |||||
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 184,989 | ||||
Total ending loans balance | 184,989 | ||||
Real estate | One-to-four family residential and cooperative/condominium apartment | Cumulative Effect, Period of Adoption, Adjustment | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 1,048 | ||||
Ending balance | 1,048 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 1,048 | 1,048 | 1,048 | ||
Real estate | One-to-four family residential and cooperative/condominium apartment | Cumulative Effect, Period of Adoption, Adjusted Balance | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 1,692 | ||||
Ending balance | 1,692 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 1,692 | 1,692 | 1,692 | ||
Real estate | Multifamily residential and residential mixed-use | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 17,016 | 10,142 | 10,142 | ||
PCD Day 1 | 3,292 | ||||
Provision (credit) for credit losses | (1,397) | 4,127 | |||
Charge-offs | (236) | 0 | |||
Recoveries | 14 | ||||
Ending balance | 10,421 | 14,283 | 17,016 | ||
Allowance for loan losses: | |||||
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 17,016 | ||||
Total ending allowance balance | 10,421 | 14,283 | 10,142 | 10,421 | 17,016 |
Loans: | |||||
Individually evaluated for impairment | 1,863 | ||||
Collectively evaluated for impairment | 2,756,880 | ||||
Total ending loans balance | 2,758,743 | ||||
Real estate | Multifamily residential and residential mixed-use | Cumulative Effect, Period of Adoption, Adjustment | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | (8,254) | ||||
Ending balance | (8,254) | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | (8,254) | (8,254) | (8,254) | ||
Real estate | Multifamily residential and residential mixed-use | Cumulative Effect, Period of Adoption, Adjusted Balance | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 8,762 | ||||
Ending balance | 8,762 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 8,762 | 8,762 | 8,762 | ||
Real estate | Commercial real estate ("CRE") | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 9,059 | 3,900 | 3,900 | ||
PCD Day 1 | 23,124 | ||||
Provision (credit) for credit losses | 7,813 | 2,442 | |||
Charge-offs | (8) | (6) | |||
Recoveries | 0 | ||||
Ending balance | 44,837 | 6,336 | 9,059 | ||
Allowance for loan losses: | |||||
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 9,059 | ||||
Total ending allowance balance | 44,837 | 6,336 | 3,900 | 44,837 | 9,059 |
Loans: | |||||
Individually evaluated for impairment | 2,704 | ||||
Collectively evaluated for impairment | 1,875,463 | ||||
Total ending loans balance | 1,878,167 | ||||
Real estate | Commercial real estate ("CRE") | Cumulative Effect, Period of Adoption, Adjustment | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 4,849 | ||||
Ending balance | 4,849 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 4,849 | 4,849 | 4,849 | ||
Real estate | Commercial real estate ("CRE") | Cumulative Effect, Period of Adoption, Adjusted Balance | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 13,908 | ||||
Ending balance | 13,908 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 13,908 | 13,908 | 13,908 | ||
Real estate | Acquisition, development, and construction ("ADC") | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 1,993 | 1,244 | 1,244 | ||
PCD Day 1 | 117 | ||||
Provision (credit) for credit losses | 1,408 | 427 | |||
Charge-offs | 0 | ||||
Recoveries | 0 | ||||
Ending balance | 3,899 | 1,671 | 1,993 | ||
Allowance for loan losses: | |||||
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 1,993 | ||||
Total ending allowance balance | 3,899 | 1,671 | 1,244 | 3,899 | 1,993 |
Loans: | |||||
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 156,296 | ||||
Total ending loans balance | 156,296 | ||||
Real estate | Acquisition, development, and construction ("ADC") | Cumulative Effect, Period of Adoption, Adjustment | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 381 | ||||
Ending balance | 381 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 381 | 381 | 381 | ||
Real estate | Acquisition, development, and construction ("ADC") | Cumulative Effect, Period of Adoption, Adjusted Balance | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 2,374 | ||||
Ending balance | 2,374 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 2,374 | 2,374 | 2,374 | ||
Commercial and industrial ("C&I") | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 12,737 | 12,870 | 12,870 | ||
Provision (credit) for credit losses | 641 | ||||
Charge-offs | 0 | ||||
Recoveries | 2 | ||||
Ending balance | 13,513 | 12,737 | |||
Allowance for loan losses: | |||||
Individually evaluated for impairment | 6,474 | ||||
Collectively evaluated for impairment | 6,263 | ||||
Total ending allowance balance | 12,737 | 13,513 | 12,737 | 12,737 | |
Loans: | |||||
Individually evaluated for impairment | 12,502 | ||||
Collectively evaluated for impairment | 629,031 | ||||
Total ending loans balance | 641,533 | ||||
Commercial and industrial ("C&I"), including SBA and PPP loans | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 12,737 | ||||
PCD Day 1 | 23,374 | ||||
Provision (credit) for credit losses | 3,219 | ||||
Charge-offs | (4,017) | ||||
Ending balance | 33,378 | 12,737 | |||
Non-accrual with Allowance | 14,523 | ||||
Reserve | 7,881 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 33,378 | 12,737 | 33,378 | 12,737 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | Cumulative Effect, Period of Adoption, Adjustment | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | (1,935) | ||||
Ending balance | (1,935) | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | (1,935) | (1,935) | (1,935) | ||
Commercial and industrial ("C&I"), including SBA and PPP loans | Cumulative Effect, Period of Adoption, Adjusted Balance | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 10,802 | ||||
Ending balance | 10,802 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | 10,802 | 10,802 | 10,802 | ||
Other loans | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 12 | 16 | 16 | ||
PCD Day 1 | 157 | ||||
Provision (credit) for credit losses | 371 | (1) | |||
Charge-offs | 0 | ||||
Recoveries | 0 | ||||
Ending balance | 532 | 15 | 12 | ||
Non-accrual with Allowance | 99 | ||||
Reserve | 58 | ||||
Allowance for loan losses: | |||||
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 12 | ||||
Total ending allowance balance | 532 | $ 15 | 16 | $ 532 | 12 |
Loans: | |||||
Individually evaluated for impairment | 0 | ||||
Collectively evaluated for impairment | 2,316 | ||||
Total ending loans balance | 2,316 | ||||
Other loans | Cumulative Effect, Period of Adoption, Adjustment | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | (8) | ||||
Ending balance | (8) | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | (8) | (8) | (8) | ||
Other loans | Cumulative Effect, Period of Adoption, Adjusted Balance | |||||
Allowance for loan losses [Roll Forward] | |||||
Beginning balance | 4 | ||||
Ending balance | 4 | ||||
Allowance for loan losses: | |||||
Total ending allowance balance | $ 4 | $ 4 | $ 4 |
LOANS HELD FOR INVESTMENT, NE_4
LOANS HELD FOR INVESTMENT, NET - Impaired Real Estate Loans (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2020 | Dec. 31, 2020 | |
Unpaid Principal Balance [Abstract] | ||
With no related allowance recorded | $ 4,567 | |
With related allowance recorded | 12,502 | |
Total | 17,069 | |
Recorded Investment [Abstract] | ||
With no related allowance recorded | 4,567 | |
With related allowance recorded | 12,502 | |
Total | 17,069 | |
Related Allowance [Abstract] | ||
Related allowance | 6,474 | |
Average Recorded Investment [Abstract] | ||
With no related allowance recorded | $ 3,749 | |
Total | 13,831 | |
Interest Income Recognized [Abstract] | ||
With no related allowance recorded | 7 | |
Total | 7 | |
Real estate | ||
Related Allowance [Abstract] | ||
Related allowance | 0 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | ||
Average Recorded Investment [Abstract] | ||
With no related allowance recorded | 2,948 | |
Real estate | Multifamily residential and residential mixed-use | ||
Unpaid Principal Balance [Abstract] | ||
With no related allowance recorded | 1,863 | |
Recorded Investment [Abstract] | ||
With no related allowance recorded | 1,863 | |
Related Allowance [Abstract] | ||
Related allowance | 0 | |
Average Recorded Investment [Abstract] | ||
With no related allowance recorded | 743 | |
Interest Income Recognized [Abstract] | ||
With no related allowance recorded | 6 | |
Real estate | Commercial real estate ("CRE") | ||
Unpaid Principal Balance [Abstract] | ||
With no related allowance recorded | 2,704 | |
Recorded Investment [Abstract] | ||
With no related allowance recorded | 2,704 | |
Related Allowance [Abstract] | ||
Related allowance | 0 | |
Average Recorded Investment [Abstract] | ||
With no related allowance recorded | 58 | |
Interest Income Recognized [Abstract] | ||
With no related allowance recorded | 1 | |
Commercial and industrial ("C&I") | ||
Unpaid Principal Balance [Abstract] | ||
With related allowance recorded | 12,502 | |
Recorded Investment [Abstract] | ||
With related allowance recorded | 12,502 | |
Related Allowance [Abstract] | ||
Related allowance | $ 6,474 | |
Average Recorded Investment [Abstract] | ||
With related allowance recorded | $ 10,082 |
LOANS HELD FOR INVESTMENT, NE_5
LOANS HELD FOR INVESTMENT, NET - Past Due (Details) $ in Thousands | Mar. 31, 2021USD ($)loan | Dec. 31, 2020USD ($)loan | |
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Non-accrual | $ 35,549 | [1] | $ 17,928 |
Total past due | 86,211 | 37,534 | |
Current | 10,419,887 | 5,584,510 | |
Loans | $ 10,506,098 | $ 5,622,044 | |
Number of loans receivables outstanding | loan | 8 | 3 | |
Aggregate outstanding balance | $ 8,800 | $ 3,300 | |
30 to 59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 28,976 | 15,359 | |
60 to 89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 12,859 | 918 | |
Loans 90 Days or More Past Due and Still Accruing Interest [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 8,827 | 3,329 | |
Real estate | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Non-accrual | 20,927 | [1] | 5,425 |
Total past due | 54,175 | 21,257 | |
Current | 8,094,904 | 4,956,938 | |
Loans | 8,149,079 | 4,978,195 | |
Real estate | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 15,713 | 15,351 | |
Real estate | 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 12,360 | 0 | |
Real estate | Loans 90 Days or More Past Due and Still Accruing Interest [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 5,175 | 481 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Non-accrual | 5,384 | [1] | 858 |
Total past due | 13,142 | 902 | |
Current | 683,273 | 184,087 | |
Loans | 696,415 | 184,989 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 7,027 | 0 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 686 | 0 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | Loans 90 Days or More Past Due and Still Accruing Interest [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 45 | 44 | |
Real estate | Multifamily residential and residential mixed-use | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Non-accrual | 4,844 | [1] | 1,863 |
Total past due | 20,039 | 2,300 | |
Current | 3,547,168 | 2,756,443 | |
Loans | 3,567,207 | 2,758,743 | |
Real estate | Multifamily residential and residential mixed-use | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 3,984 | 0 | |
Real estate | Multifamily residential and residential mixed-use | 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 8,340 | 0 | |
Real estate | Multifamily residential and residential mixed-use | Loans 90 Days or More Past Due and Still Accruing Interest [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 2,871 | 437 | |
Real estate | Commercial real estate ("CRE") | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Non-accrual | 10,595 | [1] | 2,704 |
Total past due | 20,890 | 18,055 | |
Current | 3,610,397 | 1,860,112 | |
Loans | 3,631,287 | 1,878,167 | |
Real estate | Commercial real estate ("CRE") | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 4,702 | 15,351 | |
Real estate | Commercial real estate ("CRE") | 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 3,334 | 0 | |
Real estate | Commercial real estate ("CRE") | Loans 90 Days or More Past Due and Still Accruing Interest [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 2,259 | 0 | |
Real estate | Acquisition, development, and construction ("ADC") | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Non-accrual | 104 | [1] | 0 |
Total past due | 104 | 0 | |
Current | 254,066 | 156,296 | |
Loans | 254,170 | 156,296 | |
Real estate | Acquisition, development, and construction ("ADC") | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 0 | 0 | |
Real estate | Acquisition, development, and construction ("ADC") | 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 0 | 0 | |
Real estate | Acquisition, development, and construction ("ADC") | Loans 90 Days or More Past Due and Still Accruing Interest [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 0 | 0 | |
Commercial and industrial ("C&I") | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Loans | 2,332,610 | 641,533 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Non-accrual | 14,523 | [1] | 12,502 |
Total past due | 31,839 | 16,267 | |
Current | 2,300,771 | 625,266 | |
Loans | 2,332,610 | 641,533 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 13,254 | 0 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 410 | 917 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | Loans 90 Days or More Past Due and Still Accruing Interest [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 3,652 | 2,848 | |
Other loans | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Non-accrual | 99 | [1] | 1 |
Total past due | 197 | 10 | |
Current | 24,212 | 2,306 | |
Loans | 24,409 | 2,316 | |
Other loans | 30 to 59 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 9 | 8 | |
Other loans | 60 to 89 Days Past Due [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | 89 | 1 | |
Other loans | Loans 90 Days or More Past Due and Still Accruing Interest [Member] | |||
Financing Receivable, Recorded Investment, Aging [Abstract] | |||
Total past due | $ 0 | $ 0 | |
[1] | Includes all loans on non-accrual status regardless of the number of days such loans were delinquent as of March 31, 2021. |
LOANS HELD FOR INVESTMENT, NE_6
LOANS HELD FOR INVESTMENT, NET - Collateral Dependent Loans (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Individually evaluated for impairment | $ 17,069 | |
Individually evaluated for impairment | 6,474 | |
Commercial and industrial ("C&I") | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Individually evaluated for impairment | 12,502 | |
Individually evaluated for impairment | $ 6,474 | |
Collateral Dependent Loans | Commercial and industrial ("C&I") | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Individually evaluated for impairment | $ 8,000 | |
Individually evaluated for impairment | 4,100 | |
Collateral Dependent Loans | Commercial real estate ("CRE") | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Individually evaluated for impairment | 66,000 | |
Individually evaluated for impairment | 17,400 | |
Collateral Dependent Loans | Multifamily residential and residential mixed-use | ||
Financing Receivable, Allowance for Credit Loss [Line Items] | ||
Individually evaluated for impairment | 12,500 | |
Individually evaluated for impairment | $ 2,600 |
LOANS HELD FOR INVESTMENT, NE_7
LOANS HELD FOR INVESTMENT, NET - Deferral Loans (Details) $ in Thousands | Mar. 31, 2021USD ($)loan | Dec. 31, 2020USD ($) | |
CARES Act Loan [Abstract] | |||
Balance | $ 10,506,098 | $ 5,622,044 | |
COVID-19 [Member] | |||
CARES Act Loan [Abstract] | |||
Number of loans | loan | 34 | ||
Balance | [1] | $ 66,654 | |
% of portfolio | 0.60% | ||
One-to-four family residential and cooperative/condominium apartment | COVID-19 [Member] | |||
CARES Act Loan [Abstract] | |||
Number of loans | loan | 15 | ||
Balance | [1] | $ 15,489 | |
% of portfolio | 2.20% | ||
Commercial real estate ("CRE") | COVID-19 [Member] | |||
CARES Act Loan [Abstract] | |||
Number of loans | loan | 8 | ||
Balance | [1] | $ 24,174 | |
% of portfolio | 0.70% | ||
Acquisition, development, and construction ("ADC") | COVID-19 [Member] | |||
CARES Act Loan [Abstract] | |||
Number of loans | loan | 1 | ||
Balance | [1] | $ 13,500 | |
% of portfolio | 5.30% | ||
Real estate | |||
CARES Act Loan [Abstract] | |||
Balance | $ 8,149,079 | 4,978,195 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | |||
CARES Act Loan [Abstract] | |||
Balance | 696,415 | 184,989 | |
Real estate | Multifamily residential and residential mixed-use | |||
CARES Act Loan [Abstract] | |||
Balance | 3,567,207 | 2,758,743 | |
Real estate | Commercial real estate ("CRE") | |||
CARES Act Loan [Abstract] | |||
Balance | 3,631,287 | 1,878,167 | |
Real estate | Acquisition, development, and construction ("ADC") | |||
CARES Act Loan [Abstract] | |||
Balance | 254,170 | 156,296 | |
Commercial and industrial ("C&I") | |||
CARES Act Loan [Abstract] | |||
Balance | 2,332,610 | 641,533 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | |||
CARES Act Loan [Abstract] | |||
Balance | $ 2,332,610 | $ 641,533 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | COVID-19 [Member] | |||
CARES Act Loan [Abstract] | |||
Number of loans | loan | 10 | ||
Balance | [1] | $ 13,491 | |
% of portfolio | 0.60% | ||
[1] | Amount excludes net deferred costs due to immateriality. |
LOANS HELD FOR INVESTMENT, NE_8
LOANS HELD FOR INVESTMENT, NET - Credit Quality Indicators (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Dec. 31, 2020 | |
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Percentage of aggregate rental income | 50.00% | |
Loans | $ 10,506,098 | $ 5,622,044 |
2021 | 879,616 | |
2020 | 2,373,222 | |
2019 | 1,360,228 | |
2018 | 830,392 | |
2017 | 1,124,441 | |
2016 and Prior | 3,043,267 | |
Revolving | 724,519 | |
Revolving-Term | 146,004 | |
Total | 10,481,689 | |
One-to-four family residential and cooperative/condominium apartment | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2021 | 30,658 | |
2020 | 102,503 | |
2019 | 97,118 | |
2018 | 105,785 | |
2017 | 101,472 | |
2016 and Prior | 188,043 | |
Revolving | 55,025 | |
Revolving-Term | 15,811 | |
Total | 696,415 | |
One-to-four family residential and cooperative/condominium apartment | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2021 | 30,658 | |
2020 | 102,503 | |
2019 | 95,992 | |
2018 | 105,587 | |
2017 | 101,101 | |
2016 and Prior | 177,780 | |
Revolving | 54,179 | |
Revolving-Term | 13,426 | |
Total | 681,226 | |
One-to-four family residential and cooperative/condominium apartment | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2019 | 381 | |
2018 | 152 | |
2017 | 371 | |
2016 and Prior | 5,106 | |
Revolving | 846 | |
Revolving-Term | 1,106 | |
Total | 7,962 | |
One-to-four family residential and cooperative/condominium apartment | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2019 | 745 | |
2018 | 46 | |
2016 and Prior | 5,157 | |
Revolving-Term | 1,279 | |
Total | 7,227 | |
Multifamily residential and residential mixed-use | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2021 | 95,876 | |
2020 | 365,073 | |
2019 | 554,328 | |
2018 | 242,739 | |
2017 | 514,157 | |
2016 and Prior | 1,784,829 | |
Revolving | 10,194 | |
Revolving-Term | 11 | |
Total | 3,567,207 | |
Multifamily residential and residential mixed-use | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2021 | 95,876 | |
2020 | 365,073 | |
2019 | 518,902 | |
2018 | 215,459 | |
2017 | 464,424 | |
2016 and Prior | 1,672,655 | |
Revolving | 9,698 | |
Revolving-Term | 11 | |
Total | 3,342,098 | |
Multifamily residential and residential mixed-use | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2019 | 1,005 | |
2017 | 17,169 | |
2016 and Prior | 17,057 | |
Total | 35,231 | |
Multifamily residential and residential mixed-use | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2019 | 34,421 | |
2018 | 27,280 | |
2017 | 32,564 | |
2016 and Prior | 95,117 | |
Revolving | 496 | |
Total | 189,878 | |
Commercial real estate ("CRE") | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2021 | 184,029 | |
2020 | 872,325 | |
2019 | 610,966 | |
2018 | 419,212 | |
2017 | 440,167 | |
2016 and Prior | 1,028,085 | |
Revolving | 50,050 | |
Revolving-Term | 26,453 | |
Total | 3,631,287 | |
Commercial real estate ("CRE") | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2021 | 184,029 | |
2020 | 867,480 | |
2019 | 604,893 | |
2018 | 396,946 | |
2017 | 404,571 | |
2016 and Prior | 978,940 | |
Revolving | 50,050 | |
Revolving-Term | 26,440 | |
Total | 3,513,349 | |
Commercial real estate ("CRE") | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2020 | 4,256 | |
2019 | 2,673 | |
2018 | 9,031 | |
2017 | 13,536 | |
2016 and Prior | 11,578 | |
Total | 41,074 | |
Commercial real estate ("CRE") | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2020 | 589 | |
2019 | 3,400 | |
2018 | 13,235 | |
2017 | 22,060 | |
2016 and Prior | 37,567 | |
Revolving-Term | 10 | |
Total | 76,861 | |
Commercial real estate ("CRE") | Doubtful [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Revolving-Term | 3 | |
Total | 3 | |
Acquisition, development, and construction ("ADC") | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2021 | 8,105 | |
2020 | 39,106 | |
2019 | 23,599 | |
2018 | 11,597 | |
2017 | 5,615 | |
2016 and Prior | 1,460 | |
Revolving | 121,537 | |
Revolving-Term | 43,151 | |
Total | 254,170 | |
Acquisition, development, and construction ("ADC") | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2021 | 8,105 | |
2020 | 39,106 | |
2019 | 23,599 | |
2018 | 10,520 | |
2017 | 5,615 | |
2016 and Prior | 1,355 | |
Revolving | 121,537 | |
Revolving-Term | 29,651 | |
Total | 239,488 | |
Acquisition, development, and construction ("ADC") | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2018 | 1,077 | |
Revolving-Term | 13,500 | |
Total | 14,577 | |
Acquisition, development, and construction ("ADC") | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2016 and Prior | 105 | |
Total | 105 | |
C&I [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2021 | 560,948 | |
2020 | 994,215 | |
2019 | 74,217 | |
2018 | 51,059 | |
2017 | 63,030 | |
2016 and Prior | 40,850 | |
Revolving | 487,713 | |
Revolving-Term | 60,578 | |
Total | 2,332,610 | |
C&I [Member] | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2021 | 560,948 | |
2020 | 991,821 | |
2019 | 71,898 | |
2018 | 44,089 | |
2017 | 47,108 | |
2016 and Prior | 38,787 | |
Revolving | 461,029 | |
Revolving-Term | 42,082 | |
Total | 2,257,762 | |
C&I [Member] | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2020 | 2,345 | |
2019 | 1,270 | |
2018 | 5,553 | |
2017 | 765 | |
2016 and Prior | 559 | |
Revolving | 22,566 | |
Revolving-Term | 3,078 | |
Total | 36,136 | |
C&I [Member] | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2020 | 49 | |
2019 | 839 | |
2018 | 1,417 | |
2017 | 3,228 | |
2016 and Prior | 1,314 | |
Revolving | 4,118 | |
Revolving-Term | 15,190 | |
Total | 26,155 | |
C&I [Member] | Doubtful [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
2019 | 210 | |
2017 | 11,929 | |
2016 and Prior | 190 | |
Revolving-Term | 228 | |
Total | 12,557 | |
Real estate | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 8,149,079 | 4,978,195 |
Real estate | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 4,681,059 | |
Real estate | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 83,761 | |
Real estate | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 213,375 | |
Real estate | Doubtful [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 0 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 696,415 | 184,989 |
Real estate | One-to-four family residential and cooperative/condominium apartment | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 183,293 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 0 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 1,696 | |
Real estate | One-to-four family residential and cooperative/condominium apartment | Doubtful [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 0 | |
Real estate | Multifamily residential and residential mixed-use | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 3,567,207 | 2,758,743 |
Real estate | Multifamily residential and residential mixed-use | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 2,523,258 | |
Real estate | Multifamily residential and residential mixed-use | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 56,400 | |
Real estate | Multifamily residential and residential mixed-use | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 179,085 | |
Real estate | Multifamily residential and residential mixed-use | Doubtful [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 0 | |
Real estate | Commercial real estate ("CRE") | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 3,631,287 | 1,878,167 |
Real estate | Commercial real estate ("CRE") | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 1,831,712 | |
Real estate | Commercial real estate ("CRE") | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 13,861 | |
Real estate | Commercial real estate ("CRE") | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 32,594 | |
Real estate | Commercial real estate ("CRE") | Doubtful [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 0 | |
Real estate | Acquisition, development, and construction ("ADC") | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 254,170 | 156,296 |
Real estate | Acquisition, development, and construction ("ADC") | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 142,796 | |
Real estate | Acquisition, development, and construction ("ADC") | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 13,500 | |
Real estate | Acquisition, development, and construction ("ADC") | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 0 | |
Real estate | Acquisition, development, and construction ("ADC") | Doubtful [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 0 | |
Commercial and industrial ("C&I") | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 2,332,610 | 641,533 |
Commercial and industrial ("C&I"), including SBA and PPP loans | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 2,332,610 | 641,533 |
Commercial and industrial ("C&I"), including SBA and PPP loans | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 613,691 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 2,131 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 13,315 | |
Commercial and industrial ("C&I"), including SBA and PPP loans | Doubtful [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 12,396 | |
Real Estate Loans and C & I Loans [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 5,619,728 | |
Real Estate Loans and C & I Loans [Member] | Pass [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 5,294,750 | |
Real Estate Loans and C & I Loans [Member] | Special Mention [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 85,892 | |
Real Estate Loans and C & I Loans [Member] | Substandard [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 226,690 | |
Real Estate Loans and C & I Loans [Member] | Doubtful [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 12,396 | |
Other loans | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 24,409 | 2,316 |
Other loans | Credit Risk Profile [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 24,409 | |
Other loans | Performing [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 2,315 | |
Other loans | Performing [Member] | Credit Risk Profile [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | 24,310 | |
Other loans | Non-Accrual [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | $ 1 | |
Other loans | Non-Accrual [Member] | Credit Risk Profile [Member] | ||
Credit Risk Profile of Real Estate Loans [Abstract] | ||
Loans | $ 99 |
LEASES (Details)
LEASES (Details) - USD ($) $ in Thousands | 3 Months Ended | |||
Mar. 31, 2021 | Mar. 31, 2020 | Feb. 01, 2021 | Dec. 31, 2020 | |
LEASES | ||||
Operating lease assets | $ 45,600 | |||
Operating lease liabilities | $ 45,300 | |||
Maturities of the Company's operating lease liabilities | ||||
2021 | $ 10,570 | |||
2022 | 11,367 | |||
2023 | 9,665 | |||
2024 | 9,530 | |||
2025 | 9,141 | |||
Thereafter | 26,289 | |||
Total undiscounted lease payments | 76,562 | |||
Less amounts representing interest | 5,313 | |||
Lease liability | 71,249 | $ 39,874 | ||
Other information related to operating leases: | ||||
Operating lease cost | 3,158 | $ 1,603 | ||
Cash paid for amounts included in the measurement of operating lease liabilities | $ 3,050 | $ 1,811 | ||
Weighted average remaining lease term | 7 years 2 months 12 days | 7 years 10 months 24 days | ||
Weighted average discount rate | 1.87% | 3.25% |
DERIVATIVES AND HEDGING ACTIV_3
DERIVATIVES AND HEDGING ACTIVITIES, Classification on Consolidated Statements of Financial Condition (Details) $ in Thousands | 3 Months Ended | ||
Mar. 31, 2021USD ($)DerivativeInstrument | Mar. 31, 2020USD ($) | Dec. 31, 2020USD ($)DerivativeInstrument | |
Cash Flow Hedges | |||
Maximum period for future cash flows of forecasted transactions | 24 months | ||
Fair value assets | $ 7,100 | ||
Designated as Hedging Instrument | |||
Cash Flow Hedges | |||
Number of derivatives terminated | DerivativeInstrument | 34 | ||
Derivative notional amount | $ 785,000 | ||
Termination value of derivative | 16,500 | ||
Not Designated as Hedging Instrument | |||
Cash Flow Hedges | |||
Loan level derivative income | 1,792 | $ 1,163 | |
Posted collateral | 10,800 | ||
Interest Rate Products | Designated as Hedging Instrument | |||
Cash Flow Hedges | |||
Estimated reclassification decrease to interest expense during next twelve months | $ 117 | ||
Interest Rate Swaps Related to FHLBNY Advances | Designated as Hedging Instrument | |||
Cash Flow Hedges | |||
Count, assets | DerivativeInstrument | 4 | ||
Count, liabilities | DerivativeInstrument | 32 | ||
Notional amount, assets | $ 150,000 | ||
Notional amount, liabilities | $ 655,000 | ||
Fair value assets | $ 3,944 | ||
Fair value liabilities | $ (18,442) | ||
Loan Level Interest Rate Swaps with Borrower | Not Designated as Hedging Instrument | |||
Cash Flow Hedges | |||
Count, assets | DerivativeInstrument | 109 | 65 | |
Count, liabilities | DerivativeInstrument | 72 | ||
Notional amount, assets | $ 689,408 | $ 570,277 | |
Notional amount, liabilities | 543,095 | ||
Fair value assets | 28,104 | $ 24,764 | |
Fair value liabilities | $ (16,468) | ||
Loan Level Interest Rate Floors with Borrower | Not Designated as Hedging Instrument | |||
Cash Flow Hedges | |||
Count, assets | DerivativeInstrument | 46 | ||
Count, liabilities | DerivativeInstrument | 41 | ||
Notional amount, assets | $ 406,923 | ||
Notional amount, liabilities | $ 364,643 | ||
Fair value assets | 0 | ||
Fair value liabilities | $ (5,294) | $ (5,832) | |
Loan Level Interest Rate Swaps with Third-part Counterparties | Not Designated as Hedging Instrument | |||
Cash Flow Hedges | |||
Count, assets | DerivativeInstrument | 109 | ||
Count, liabilities | DerivativeInstrument | 72 | 65 | |
Notional amount, assets | $ 689,408 | ||
Notional amount, liabilities | 543,095 | $ 570,277 | |
Fair value assets | 16,468 | ||
Fair value liabilities | $ (28,104) | $ (24,764) | |
Loan Level Interest Rate Floors with Third-part Counterparties | Not Designated as Hedging Instrument | |||
Cash Flow Hedges | |||
Count, assets | DerivativeInstrument | 46 | 41 | |
Notional amount, assets | $ 406,923 | $ 364,643 | |
Fair value assets | 5,294 | $ 5,832 | |
Fair value liabilities | $ 0 |
DERIVATIVES AND HEDGING ACTIV_4
DERIVATIVES AND HEDGING ACTIVITIES, Effect on Accumulated Other Comprehensive Income (Loss) (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Effect of cash flow hedge accounting on Accumulated Other Comprehensive Income (Loss): | ||
Amount of gain (loss) recognized in other comprehensive income | $ 21,453 | $ (20,581) |
Interest Rate Products | Other Comprehensive Income | ||
Effect of cash flow hedge accounting on Accumulated Other Comprehensive Income (Loss): | ||
Amount of gain (loss) recognized in other comprehensive income | 21,453 | (20,581) |
Interest Rate Products | Other Comprehensive Income | Interest Expense | ||
Effect of cash flow hedge accounting on Accumulated Other Comprehensive Income (Loss): | ||
Amount of gain (loss) reclassified from other comprehensive income into interest expense | $ 854 | $ 204 |
DERIVATIVES AND HEDGING ACTIV_5
DERIVATIVES AND HEDGING ACTIVITIES, Offsetting of Derivative Liabilities (Details) $ in Millions | 3 Months Ended |
Mar. 31, 2021USD ($)item | |
Credit Risk Related Contingent Features [Abstract] | |
Number of provisions breached | item | 0 |
FHLBNY advances | $ | $ 7.1 |
FAIR VALUE OF FINANCIAL INSTR_3
FAIR VALUE OF FINANCIAL INSTRUMENTS, Assets and Liabilities Measured at Fair Value on a Recurring Basis (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Financial Assets | ||
Derivative assets | $ 45,760 | $ 18,932 |
Financial Liabilities | ||
Derivative liabilities | 41,816 | 37,374 |
Recurring [Member] | Cash flow hedges | ||
Financial Assets | ||
Derivative assets | 3,944 | |
Financial Liabilities | ||
Derivative liabilities | 18,442 | |
Recurring [Member] | Freestanding derivatives | ||
Financial Assets | ||
Derivative assets | 41,816 | 30,596 |
Financial Liabilities | ||
Derivative liabilities | 41,816 | 30,596 |
Recurring [Member] | Level 2 Inputs [Member] | Cash flow hedges | ||
Financial Assets | ||
Derivative assets | 3,944 | |
Financial Liabilities | ||
Derivative liabilities | 18,442 | |
Recurring [Member] | Level 2 Inputs [Member] | Freestanding derivatives | ||
Financial Assets | ||
Derivative assets | 41,816 | 30,596 |
Financial Liabilities | ||
Derivative liabilities | 41,816 | 30,596 |
Nonrecurring [Member] | ||
Impaired Loans [Abstract] | ||
Fair value | 0 | 0 |
Agency Notes | Recurring [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 69,570 | 47,421 |
Agency Notes | Recurring [Member] | Level 2 Inputs [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 69,570 | 47,421 |
Treasury Securities | Recurring [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 92,272 | |
Treasury Securities | Recurring [Member] | Level 2 Inputs [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 92,272 | |
Corporate Securities | Recurring [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 98,733 | 64,461 |
Corporate Securities | Recurring [Member] | Level 2 Inputs [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 98,733 | 64,461 |
Pass-through MBS issued by GSEs | Recurring [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 143,483 | |
Mortgage-backed securities | 323,707 | |
Pass-through MBS issued by GSEs | Recurring [Member] | Level 2 Inputs [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 143,483 | |
Mortgage-backed securities | 323,707 | |
Agency Collateralized Mortgage Obligations ("CMOs") | Recurring [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 522,822 | 283,496 |
Agency Collateralized Mortgage Obligations ("CMOs") | Recurring [Member] | Level 2 Inputs [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 522,822 | 283,496 |
State and municipal obligations | Recurring [Member] | ||
Financial Assets | ||
Securities available-for-sale: | 45,389 | |
State and municipal obligations | Recurring [Member] | Level 2 Inputs [Member] | ||
Financial Assets | ||
Securities available-for-sale: | $ 45,389 | |
Domestic Equity Mutual Funds [Member] | Recurring [Member] | ||
Financial Assets | ||
Marketable equity securities (Registered Mutual Funds) | 1,769 | |
Domestic Equity Mutual Funds [Member] | Recurring [Member] | Level 1 Inputs [Member] | ||
Financial Assets | ||
Marketable equity securities (Registered Mutual Funds) | 1,769 | |
International Equity Mutual funds [Member] | Recurring [Member] | ||
Financial Assets | ||
Marketable equity securities (Registered Mutual Funds) | 468 | |
International Equity Mutual funds [Member] | Recurring [Member] | Level 1 Inputs [Member] | ||
Financial Assets | ||
Marketable equity securities (Registered Mutual Funds) | 468 | |
Fixed Income Mutual funds [Member] | Recurring [Member] | ||
Financial Assets | ||
Marketable equity securities (Registered Mutual Funds) | 3,733 | |
Fixed Income Mutual funds [Member] | Recurring [Member] | Level 1 Inputs [Member] | ||
Financial Assets | ||
Marketable equity securities (Registered Mutual Funds) | $ 3,733 |
FAIR VALUE OF FINANCIAL INSTR_4
FAIR VALUE OF FINANCIAL INSTRUMENTS, Balance Sheet Groupings (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Carrying Amount [Member] | ||
Financial Assets [Abstract] | ||
Cash and due from banks | $ 676,723 | $ 243,603 |
Loans, net | 10,407,898 | 5,580,583 |
Accrued interest receivable | 51,100 | 34,815 |
Financial Liabilities [Abstract] | ||
Savings, money market and checking accounts | 9,270,496 | 3,212,495 |
Certificates of Deposits ("CDs") | 1,540,316 | 1,322,638 |
FHLBNY Advances | 533,865 | 1,204,010 |
Subordinated debt, net | 197,234 | 114,052 |
Other borrowings | 126,763 | 120,000 |
Accrued interest payable | 2,024 | 1,734 |
Fair Value [Member] | ||
Financial Assets [Abstract] | ||
Cash and due from banks | 676,723 | 243,603 |
Loans, net | 10,489,350 | 5,598,787 |
Accrued interest receivable | 51,100 | 34,815 |
Financial Liabilities [Abstract] | ||
Savings, money market and checking accounts | 9,270,496 | 3,212,495 |
Certificates of Deposits ("CDs") | 1,545,436 | 1,328,554 |
FHLBNY Advances | 534,049 | 1,207,890 |
Subordinated debt, net | 198,297 | 114,340 |
Other borrowings | 126,763 | 120,000 |
Accrued interest payable | 2,024 | 1,734 |
Fair Value [Member] | Level 1 Inputs [Member] | ||
Financial Assets [Abstract] | ||
Cash and due from banks | 676,723 | 243,603 |
Accrued interest receivable | 2 | |
Financial Liabilities [Abstract] | ||
Savings, money market and checking accounts | 9,270,496 | 3,212,495 |
Other borrowings | 126,763 | 120,000 |
Fair Value [Member] | Level 2 Inputs [Member] | ||
Financial Assets [Abstract] | ||
Accrued interest receivable | 3,602 | 1,584 |
Financial Liabilities [Abstract] | ||
Certificates of Deposits ("CDs") | 1,545,436 | 1,328,554 |
FHLBNY Advances | 534,049 | 1,207,890 |
Subordinated debt, net | 198,297 | 114,340 |
Accrued interest payable | 2,024 | 1,734 |
Fair Value [Member] | Level 3 Inputs [Member] | ||
Financial Assets [Abstract] | ||
Loans, net | 10,489,350 | 5,598,787 |
Accrued interest receivable | $ 47,498 | $ 33,229 |
OTHER INTANGIBLE ASSETS (Detail
OTHER INTANGIBLE ASSETS (Details) - USD ($) $ in Thousands | Feb. 01, 2021 | Mar. 31, 2021 | Mar. 31, 2020 |
Acquired intangible assets: | |||
Gross carrying value | $ 10,984 | ||
Accumulated amortization | (357) | $ 0 | |
Net carrying amount | 10,627 | ||
Core deposits | |||
Acquired intangible assets: | |||
Gross Carrying Amount | $ 10,200 | ||
Gross carrying value | 10,204 | ||
Accumulated amortization | (357) | ||
Net carrying amount | 9,847 | ||
Noncompete Agreements | |||
Acquired intangible assets: | |||
Gross Carrying Amount | $ 780 | ||
Gross carrying value | 780 | ||
Net carrying amount | $ 780 |
OTHER INTANGIBLE ASSETS - Estim
OTHER INTANGIBLE ASSETS - Estimated Amortization Expense for Next Five Years (Details) $ in Thousands | Mar. 31, 2021USD ($) |
OTHER INTANGIBLE ASSETS | |
2021 | $ 2,265 |
2022 | 1,878 |
2023 | 1,425 |
2024 | 1,163 |
2025 | 958 |
Thereafter | 2,938 |
Net carrying amount | $ 10,627 |
FEDERAL HOME LOAN BANK ADVANC_3
FEDERAL HOME LOAN BANK ADVANCES (Details) - USD ($) $ in Thousands | Mar. 31, 2021 | Dec. 31, 2020 |
Contractual Maturity, Amount | ||
Overnight | $ 175,000 | |
2021 | 308,865 | |
2021/2022 | 50,000 | $ 1,144,010 |
2022 | 60,000 | |
Total FHLB advances | $ 533,865 | $ 1,204,010 |
Weighted Average Rate | ||
Overnight (as a percent) | 0.32% | |
2021 | 0.35% | 0.52% |
2022 | 0.37% | 0.60% |
Weighted Average Rate for total FHLB advances (as a percent) | 0.34% | 0.53% |
FEDERAL HOME LOAN BANK ADVANC_4
FEDERAL HOME LOAN BANK ADVANCES - Narrative (Details) - USD ($) $ in Millions | 3 Months Ended | ||
Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2020 | |
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
Advances collateralized amount | $ 3,800 | $ 2,200 | |
Maximum borrowing amount from FHLB term advances | 3,900 | ||
FHLB advances with contractual maturities after 2022 | 0 | ||
Legacy Dime | |||
Federal Home Loan Bank, Advances, Branch of FHLB Bank [Line Items] | |||
FHLB advances | 216.3 | ||
Prepayments penalty expenses | 1.6 | $ 0 | |
Extinguishment of FHLB | $ 130.2 | ||
Weighted average rate | 1.91% |
SUBORDINATED DEBENTURES (Detail
SUBORDINATED DEBENTURES (Details) - USD ($) $ in Millions | 1 Months Ended | 3 Months Ended | 12 Months Ended | ||
Sep. 30, 2015 | Mar. 31, 2021 | Mar. 31, 2020 | Dec. 31, 2017 | Dec. 31, 2020 | |
Debt Instrument [Line Items] | |||||
Fixed-to-floating rate subordinated debentures | $ 80 | ||||
Subordinated notes payable, net | $ 197.2 | $ 114.1 | |||
Interest expense related to the subordinated debt | $ 1.9 | $ 1.3 | |||
Subordinated Debentures | |||||
Debt Instrument [Line Items] | |||||
Fixed-to-floating rate subordinated debentures | $ 115 | ||||
Fixed annual interest rate | 4.50% | ||||
Basis points | 266.00% | ||||
Callable Notes After Five Years | Subordinated Debentures | |||||
Debt Instrument [Line Items] | |||||
Fixed-to-floating rate subordinated debentures | $ 40 | ||||
Debt Instrument, Term | 5 years | ||||
Fixed annual interest rate | 5.25% | ||||
Debt instrument variable rate description | three-month LIBOR | ||||
Basis points | 360.00% | ||||
Callable Notes After Ten Years | Subordinated Debentures | |||||
Debt Instrument [Line Items] | |||||
Fixed-to-floating rate subordinated debentures | $ 40 | ||||
Debt Instrument, Term | 10 years | ||||
Fixed annual interest rate | 5.75% | ||||
Debt instrument variable rate description | three-month LIBOR | ||||
Basis points | 345.00% |
RETIREMENT AND POSTRETIREMENT_3
RETIREMENT AND POSTRETIREMENT PLANS (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Retirement and Postretirement Plans [Abstract] | ||
Curtailment loss | $ 1,543 | |
Distributions to Retired Participants [Abstract] | ||
Defined contribution plan description | 100% of each employee’s contributions up to 1% of each employee’s compensation plus 50% of each employee’s contributions over 1% but not in excess of 6% of each employee’s compensation for a maximum contribution of 3.5% of a participating employee’s compensation. | |
Minimum employee contribution percentage | 1.00% | |
Percentage of employer matching contribution | 50.00% | |
Threshold limit percentage of employee compensation | 6.00% | |
Maximum percentage of annual contribution per employee | 3.50% | |
Cash | $ 9,200 | |
Market value of Common Stock from Employee Stock Ownership Plan of BMP (000 shares) | $ 2,400 | |
Returned to treasury Stock | 41,101 | |
Gross lump-sum distribution | $ 11,600 | |
Non-cash tax benefit | $ 301 | |
Distribution of common stock (in shares) | 88,081 | |
BMP Retirement Plan [Member] | ||
Retirement and Postretirement Plans [Abstract] | ||
Planned contributions/benefit payments | $ 0 | |
Retirement Plans [Member] | BMP, Employee and Outside Director Retirement Plans [Member] | ||
Net Periodic Benefit Cost [Abstract] | ||
Service cost | 148 | |
Interest cost | 249 | $ 183 |
Expected return on assets | (984) | (428) |
Amortization of unrealized loss | 206 | 229 |
Net periodic benefit credit | (381) | $ (16) |
Retirement and Postretirement Plans [Abstract] | ||
Planned contributions/benefit payments | 2,800 | |
Actual contributions/benefit payments | 6,200 | |
Curtailment loss | $ 1,500 |
STOCK-BASED COMPENSATION, (Deta
STOCK-BASED COMPENSATION, (Details) - shares | Mar. 31, 2021 | Dec. 31, 2020 |
Dime 2020 Equity Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares reserved for issuance | 681,098 | |
2019 Equity Incentive Plan | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Shares reserved for issuance | 197,889 | |
Performance Shares [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Unvested and outstanding share-based awards | 0 | |
Sales Incentive Award Program [Member] | ||
Share-based Compensation Arrangement by Share-based Payment Award [Line Items] | ||
Unvested and outstanding share-based awards | 0 |
STOCK-BASED COMPENSATION, Stock
STOCK-BASED COMPENSATION, Stock Option Awards (Details) $ / shares in Units, $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($)$ / sharesshares | |
Information Related to Stock Option Plans [Abstract] | |
Cash received for option exercise cost | $ | $ 372 |
Stock Option Awards | |
Number of Options [Roll Forward] | |
Options outstanding, beginning of period (in shares) | shares | 28,842 |
Options outstanding at January 1, 2021 as adjusted for conversion (in shares) | shares | 18,685 |
Options acquired (in shares) | shares | 180,020 |
Options exercised (in shares) | shares | 15,928 |
Options outstanding, end of period (in shares) | shares | 182,777 |
Options vested and exercisable, end of period (in shares) | shares | 182,777 |
Weighted-Average Exercise Price [Abstract] | |
Options outstanding, beginning of period (in dollars per share) | $ / shares | $ 15.05 |
Options outstanding at January 1, 2021 as adjusted for conversion (in dollars per share) | $ / shares | 23.23 |
Options acquired (in dollars per share) | $ / shares | 35.39 |
Options exercised (in dollars per share) | $ / shares | 23.37 |
Options outstanding, end of period (in dollars per share) | $ / shares | 35.19 |
Options vested and exercisable. end of period (in dollars per share) | $ / shares | $ 35.19 |
Weighted-Average Remaining Contractual Years | |
Options outstanding | 8 years |
Options vested and exercisable | 8 years |
Aggregate Intrinsic Value [Abstract] | |
Options outstanding | $ | $ 0 |
Options vested and exercisable | $ | 0 |
Information Related to Stock Option Plans [Abstract] | |
Cash received for option exercise cost | $ | 372 |
Intrinsic value of options exercised | $ | $ 66 |
STOCK-BASED COMPENSATION, Restr
STOCK-BASED COMPENSATION, Restricted Stock Awards (Details) - Restricted Stock Awards [Member] - USD ($) $ / shares in Units, $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Restricted Stock Awards [Abstract] | ||
Unrecognized compensation cost | $ 10,000 | |
Weighted average remaining years for which compensation expense is to be recognized | 3 years | 2 years 4 months 24 days |
Number of Shares [Roll Forward] | ||
Unvested allocated shares outstanding, beginning of period (in shares) | 0 | |
Shares acquired (in shares) | 89,043 | |
Shares granted (in shares) | 431,114 | |
Shares vested (in shares) | (89,043) | |
Shares forfeited (in shares) | (1,050) | |
Unvested allocated shares outstanding, end of period (in shares) | 430,064 | |
Weighted-Average Grant-Date Fair Value [Abstract] | ||
Shares acquired (in dollars per share) | $ 31 | |
Shares granted (in dollars per share) | 25.54 | |
Shares vested (in dollars per share) | 31 | |
Shares forfeited (in dollars per share) | 25.98 | |
Unvested allocated shares outstanding, end of period (in dollars per share) | $ 25.54 | |
Information Related to Restricted Stock Awards [Abstract] | ||
Compensation expense recognized | $ 836 | $ 461 |
Income tax benefit (expense) recognized on vesting of RSA | $ 4 | |
Weighted average remaining years for which compensation expense is to be recognized | 3 years | 2 years 4 months 24 days |
Certain Officers [Member] | Minimum [Member] | ||
Restricted Stock Awards [Abstract] | ||
Award vesting period | 3 years | |
Certain Officers [Member] | Maximum [Member] | ||
Restricted Stock Awards [Abstract] | ||
Award vesting period | 4 years |
STOCK-BASED COMPENSATION, Perfo
STOCK-BASED COMPENSATION, Performance Based Equity Awards (Details) - USD ($) $ in Thousands | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
Performance Shares [Member] | ||
Performance Based Equity Awards [Abstract] | ||
Percentage of threshold target for each award eligible to be earned based on relative performance | 50.00% | |
Percentage of target for each award eligible to be earned based on relative performance | 100.00% | |
Percentage of maximum target for each award eligible to be earned based on relative performance | 150.00% | |
Unrecognized compensation cost | $ 155 | |
Award vesting period | 3 years | |
Sales Incentive Award Program [Member] | ||
Performance Based Equity Awards [Abstract] | ||
Unrecognized compensation cost | $ 55 | |
Award vesting period | 1 year |
INCOME TAXES (Details)
INCOME TAXES (Details) - item | 3 Months Ended | |
Mar. 31, 2021 | Mar. 31, 2020 | |
INCOME TAXES | ||
Effective tax rate | 25.20% | 21.60% |
Number of significant and unusual income tax items in the period | 0 | 0 |
MERGER RELATED EXPENSES (Detail
MERGER RELATED EXPENSES (Details) $ in Thousands | 3 Months Ended |
Mar. 31, 2021USD ($) | |
Business Acquisition [Line Items] | |
Transaction costs | $ 24,900 |
Bridge shareholders | |
Business Acquisition [Line Items] | |
Costs associated with employee severance and other merger-related compensation expense | 12,100 |
Merger expenses | $ 922 |