BUSINESS SEGMENT REPORTING

12 Months Ended

Dec. 31, 2016

Segment Reporting [Abstract]

BUSINESS SEGMENT REPORTING

12. BUSINESS SEGMENT REPORTING

The Company has strategically aligned its operations into the following three reportable segments (collectively, “Business Segments”): Bank, Institutional Investment Management, and Asset Servicing. Business segment financial results produced by the Company’s internal management reporting system are evaluated regularly by senior executive officers in deciding how to allocate resources and assess performance for individual Business Segments. Previously, the Company had the following four Business Segments: Bank, Institutional Investment Management, Asset Servicing, and Payment Solutions. In the first quarter of 2016, the Company merged the Payments Solutions segment into the Bank segment to better reflect how the core businesses, products and services are being evaluated by management currently. The Company’s Payment Solutions leadership structure and financial performance assessments are now included in the Bank segment, and accordingly, the reportable segments were realigned to reflect these changes. For comparability purposes, amounts in all periods are based on methodologies in effect at December 31, 2016. Previously reported results have been reclassified to conform to the current organizational structure.

The following summaries provide information about the activities of each segment:

The Bank provides a full range of banking services to commercial, retail, government and correspondent bank customers through the Company’s branches, call center, internet banking, and ATM network. Services include traditional commercial and consumer banking, treasury management, leasing, foreign exchange, merchant bankcard, wealth management, brokerage, insurance, capital markets, investment banking, corporate trust, and correspondent banking.

Institutional Investment Management provides equity and fixed income investment strategies in the intermediary and institutional markets via mutual funds, traditional separate accounts and sub-advisory relationships.

Asset Servicing provides services to the asset management industry, supporting a range of investment products, including mutual funds, alternative investments and managed accounts. Services include fund administration, fund accounting, investor services, transfer agency, distribution, marketing, custody, alternative investment services, managed account services, and collective and multiple-series trust services.

BUSINESS SEGMENT INFORMATION    

Line of business/segment financial results were as follows (in thousands):    

	Year Ended December 31, 2016
	Bank		Institutional Investment Management		Asset Servicing		Total
Net interest income	$	484,716	$	—	$	10,607	$	495,323
Provision for loan losses		32,500		—		—		32,500
Noninterest income		311,309		75,822		88,944		476,075
Noninterest expense		577,683		73,442		80,769		731,894
Income before taxes		185,842		2,380		18,782		207,004
Income tax expense		43,039		798		4,366		48,203
Net income	$	142,803	$	1,582	$	14,416	$	158,801
Average assets	$	18,314,000	$	61,000	$	1,218,000	$	19,593,000
	Year Ended December 31, 2015
	Bank		Institutional Investment Management		Asset Servicing		Total
Net interest income	$	406,884	$	—	$	5,183	$	412,067
Provision for loan losses		15,500		—		—		15,500
Noninterest income		279,897		95,064		91,493		466,454
Noninterest expense		552,514		71,498		79,724		703,736
Income before taxes		118,767		23,566		16,952		159,285
Income tax expense		32,208		6,469		4,535		43,212
Net income	$	86,559	$	17,097	$	12,417	$	116,073
Average assets	$	16,732,000	$	69,000	$	985,000	$	17,786,000
	Year Ended December 31, 2014
	Bank		Institutional Investment Management		Asset Servicing		Total
Net interest income	$	344,604	$	—	$	5,451	$	350,055
Provision for loan losses		17,000		—		—		17,000
Noninterest income		278,624		131,258		88,806		498,688
Noninterest expense		498,047		92,077		75,556		665,680
Income before taxes		108,181		39,181		18,701		166,063
Income tax expense		31,884		10,094		3,430		45,408
Net income	$	76,297	$	29,087	$	15,271	$	120,655
Average assets	$	14,524,000	$	73,000	$	1,402,000	$	15,999,000