Segment Reporting

At September 30, 2017, 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. The parent holding company and intercompany eliminations are included in the "Other" segment.

The Corporation's Banking segment consists of commercial, consumer and mortgage banking as well as lease financing. 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 following table provides total assets by reportable business segment as of the dates indicated.



(Dollars in thousands)	At September 30, 2017		At December 31, 2016		At September 30, 2016
Banking	$	4,327,920	$	4,137,873	$	4,045,419
Wealth Management	34,903		35,061		32,721
Insurance	25,139		24,472		23,830
Other	29,401		33,122		38,474
Consolidated assets	$	4,417,363	$	4,230,528	$	4,140,444

The following tables provide reportable segment-specific information and reconciliations to consolidated financial information for the three and nine months ended September 30, 2017 and 2016.



	Three Months Ended
	September 30, 2017
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	42,161		$	4	$	—	$	7		$	42,172
Interest expense	5,285			—		—		—			5,285
Net interest income	36,876			4		—		7			36,887
Provision for loan and lease losses	2,689			—		—		—			2,689
Noninterest income	4,993			5,428		3,620		68			14,109
Intangible expenses	357			168		165		—			690
Other noninterest expense	24,479			3,472		2,803		1,251			32,005
Intersegment (revenue) expense*	(611		)	261		350		—			—
Income (expense) before income taxes	14,955			1,531		302		(1,176		)	15,612
Income tax expense (benefit)	4,166			611		128		(489		)	4,416
Net income (loss)	$	10,789		$	920	$	174	$	(687	)	$	11,196
Capital expenditures	$	582		$	5	$	3	$	178		$	768



	Three Months Ended
	September 30, 2016
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	36,697		$	1	$	—	$	7		$	36,705
Interest expense	3,836			—		—		—			3,836
Net interest income	32,861			1		—		7			32,869
Provision for loan and lease losses	1,415			—		—		—			1,415
Noninterest income	5,802			4,902		3,396		37			14,137
Intangible expenses	403			231		220		—			854
Acquisition-related and integration costs and restructuring charges	14,156			—		—		(92		)	14,064
Other noninterest expense	23,580			3,437		2,906		2,225			32,148
Intersegment (revenue) expense*	(292		)	133		159		—			—
(Expense) income before income taxes	(599		)	1,102		111		(2,089		)	(1,475		)
Income tax (benefit) expense	(1,375		)	413		61		(632		)	(1,533		)
Net income (loss)	$	776		$	689	$	50	$	(1,457	)	$	58
Capital expenditures	$	2,814		$	5	$	9	$	672		$	3,500



	Nine Months Ended
	September 30, 2017
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	120,575		$	6	$	—	$	17		$	120,598
Interest expense	14,128			—		—		—			14,128
Net interest income	106,447			6		—		17			106,470
Provision for loan and lease losses	7,900			—		—		—			7,900
Noninterest income	16,945			15,965		11,913		265			45,088
Intangible expenses	1,151			506		238		—			1,895
Other noninterest expense	71,173			10,404		8,718		5,083			95,378
Intersegment (revenue) expense*	(1,669		)	693		976		—			—
Income (expense) before income taxes	44,837			4,368		1,981		(4,801		)	46,385
Income tax expense (benefit)	12,086			1,738		837		(2,106		)	12,555
Net income (loss)	$	32,751		$	2,630	$	1,144	$	(2,695	)	$	33,830
Capital expenditures	$	6,921		$	27	$	202	$	262		$	7,412



	Nine Months Ended
	September 30, 2016
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	88,526		$	4	$	—	$	21		$	88,551
Interest expense	8,210			—		—		288			8,498
Net interest income	80,316			4		—		(267		)	80,053
Provision for loan and lease losses	2,571			—		—		—			2,571
Noninterest income	15,842			14,286		11,736		105			41,969
Intangible expenses	527			838		1,246		—			2,611
Acquisition-related and integration costs and restructuring charges	14,204			—		—		1,265			15,469
Other noninterest expense	62,016			9,742		8,962		4,751			85,471
Intersegment (revenue) expense*	(1,282		)	563		719		—			—
Income (expense) before income taxes	18,122			3,147		809		(6,178		)	15,900
Income tax expense (benefit)	3,273			1,191		357		(1,508		)	3,313
Net income (loss)	$	14,849		$	1,956	$	452	$	(4,670	)	$	12,587
Capital expenditures	$	6,134		$	29	$	30	$	1,501		$	7,694

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