Segment Reporting

3 Months Ended

Mar. 31, 2016

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

At March 31, 2016, the Corporation has three reportable business segments: Banking, Wealth Management and Insurance. The Corporation determines the segments based primarily upon product and service offerings, through the types of income generated and the regulatory environment. This is strategically how the Corporation operates and has positioned itself in the marketplace. Accordingly, significant operating decisions are based upon analysis of each of these segments. At March 31, 2016, these segments meet the quantitative thresholds for separate disclosure as a business segment. Non-reportable segments include the parent holding company and intercompany eliminations, and are included in the "Other" segment.

The Corporation's Banking segment consists of commercial and consumer banking. The Wealth Management segment consists of investment advisory services, retirement plan services, trust, municipal pension services and broker/dealer services. The Insurance segment consists of commercial lines, personal lines, benefits and human resources consulting.

Each segment generates revenue from a variety of products and services it provides. Examples of products and services provided for each reportable segment are indicated below.

Ÿ	The Banking segment provides financial services to consumers, businesses and governmental units. These services include a full range of banking services such as deposit taking, loan origination and servicing, mortgage banking, other general banking services and equipment lease financing.
Ÿ	The Wealth Management segment offers trust and investment advisory services, guardian and custodian of employee benefits and other trust and brokerage services, as well as a registered investment advisory managing private investment accounts for both individuals and institutions.
Ÿ	The Insurance segment includes a full-service insurance brokerage agency offering commercial property and casualty insurance, group life and health coverage, employee benefit solutions, personal insurance lines and human resources consulting.

The accounting policies, used in the disclosure of the operating segments, are the same as those described in Note 1, “Summary of Significant Accounting Policies".

The following table provides total assets by reportable operating segment as of the dates indicated.

(Dollars in thousands)	At March 31, 2016		At December 31, 2015		At March 31, 2015
Banking	$	2,746,433	$	2,797,746	$	2,680,245
Wealth Management	30,134		33,950		29,993
Insurance	24,715		24,436		24,447
Other	23,495		23,319		22,810
Consolidated assets	$	2,824,777	$	2,879,451	$	2,757,495

The following tables provide reportable segment-specific information and reconciliations to consolidated financial information for the three months ended March 31, 2016 and 2015.

	Three Months Ended
	March 31, 2016
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	25,600		$	2	$	—	$	7		$	25,609
Interest expense	2,211			—		—		—			2,211
Net interest income	23,389			2		—		7			23,398
Provision for loan and lease losses	326			—		—		—			326
Noninterest income	4,673			4,572		4,720		(9		)	13,956
Intangible expenses	67			303		400		—			770
Other noninterest expense	18,742			3,058		3,119		1,250			26,169
Intersegment (revenue) expense*	(511		)	219		292		—			—
Income (expense) before income taxes	9,438			994		909		(1,252		)	10,089
Income tax expense (benefit)	2,357			383		377		(317		)	2,800
Net income (loss)	$	7,081		$	611	$	532	$	(935	)	$	7,289
Capital expenditures	$	1,839		$	15	$	10	$	314		$	2,178

	Three Months Ended
	March 31, 2015
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	24,730		$	—	$	—	$	8		$	24,738
Interest expense	1,434			—		—		—			1,434
Net interest income	23,296			—		—		8			23,304
Provision for loan and lease losses	1,074			—		—		—			1,074
Noninterest income	4,450			4,624		4,255		102			13,431
Intangible expenses	74			394		318		—			786
Other noninterest expense	21,222			2,955		2,669		(221		)	26,625
Intersegment (revenue) expense*	(534		)	222		312		—			—
Income before income taxes	5,910			1,053		956		331			8,250
Income tax expense	1,161			414		399		160			2,134
Net income	$	4,749		$	639	$	557	$	171		$	6,116
Capital expenditures	$	1,197		$	8	$	39	$	73		$	1,317

*Includes an allocation of general and administrative expenses from both the parent holding company and the Bank. Generally speaking, these expenses are allocated based upon number of employees and square footage utilized.