10-Q

UNITED STATES

SECURITIES AND EXCHANGE COMMISSION

Washington, D.C. 20549

Form 10-Q

x Quarterly Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the quarterly period ended June 30, 2018.

or

¨ Transition Report Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 for the transition period from  to .

Commission File Number: 0-7617

UNIVEST CORPORATION OF PENNSYLVANIA

(Exact name of registrant as specified in its charter)

Pennsylvania	23-1886144
(State or other jurisdiction of incorporation or organization)	(IRS Employer Identification No.)

14 North Main Street, Souderton, Pennsylvania 18964

(Address of principal executive offices)(Zip Code)

Registrant’s telephone number, including area code: (215) 721-2400

Not applicable

(Former name, former address and former fiscal year, if changed since last report)

Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.    Yes  x    No  ¨

Indicate by check mark whether the registrant has submitted electronically and posted on its corporate Website, if any, every Interactive Data File required to be submitted and posted pursuant to Rule 405 of Regulation S-T during the preceding 12 months (or for such shorter period that the registrant was required to submit and post such files).    Yes  x    No  ¨

Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and "emerging growth company" in Rule 12b-2 of the Exchange Act.

Large accelerated filer	x	Accelerated filer	¨
Non-accelerated filer	¨ (Do not check if a smaller reporting company)	Smaller reporting company	¨
		Emerging growth company	¨
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act.			¨

Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).    Yes  ¨    No  x

Indicate the number of shares outstanding of each of the issuer’s classes of common stock, as of the latest practicable date.

Common Stock, $5 par value	29,403,651
(Title of Class)	(Number of shares outstanding at July 31, 2018)

UNIVEST CORPORATION OF PENNSYLVANIA AND SUBSIDIARIES

INDEX

			Page Number
Part I.	Financial Information:
	Item 1.	Financial Statements (Unaudited)
		Condensed Consolidated Balance Sheets at June 30, 2018 and December 31, 2017	2
		Condensed Consolidated Statements of Income for the Three and Six Months Ended June 30, 2018 and 2017	3
		Condensed Consolidated Statements of Comprehensive Income for the Three and Six Months Ended June 30, 2018 and 2017	4
		Condensed Consolidated Statements of Changes in Shareholders’ Equity for the Three and Six Months Ended June 30, 2018 and 2017	6
		Condensed Consolidated Statements of Cash Flows for the Six Months Ended June 30, 2018 and 2017	7
		Notes to Condensed Consolidated Financial Statements	8
	Item 2.	Management’s Discussion and Analysis of Financial Condition and Results of Operations	48
	Item 3.	Quantitative and Qualitative Disclosures About Market Risk	63
	Item 4.	Controls and Procedures	63
Part II.	Other Information
	Item 1.	Legal Proceedings	65
	Item 1A.	Risk Factors	65
	Item 2.	Unregistered Sales of Equity Securities and Use of Proceeds	65
	Item 3.	Defaults Upon Senior Securities	65
	Item 4.	Mine Safety Disclosures	65
	Item 5.	Other Information	65
	Item 6.	Exhibits	66
Signatures			67

1

PART I. FINANCIAL INFORMATION

Item 1. Financial Statements

UNIVEST CORPORATION OF PENNSYLVANIA

CONDENSED CONSOLIDATED BALANCE SHEETS

	(UNAUDITED)
(Dollars in thousands, except share data)	At June 30, 2018			At December 31, 2017
ASSETS
Cash and due from banks	$	54,409		$	46,721
Interest-earning deposits with other banks	18,534			28,688
Investment securities held-to-maturity (fair value $94,642 and $55,320 at June 30, 2018 and December 31, 2017, respectively)	96,457			55,564
Investment securities available-for-sale	347,804			391,457
Investments in equity securities	2,672			7,061
Federal Home Loan Bank, Federal Reserve Bank and other stock, at cost	32,768			27,204
Loans held for sale	1,778			1,642
Loans and leases held for investment	3,818,398			3,620,067
Less: Reserve for loan and lease losses	(25,652		)	(21,555		)
Net loans and leases held for investment	3,792,746			3,598,512
Premises and equipment, net	60,529			61,797
Goodwill	172,559			172,559
Other intangibles, net of accumulated amortization and fair value adjustments of $23,613 and $21,825 at June 30, 2018 and December 31, 2017, respectively	12,809			13,909
Bank owned life insurance	109,527			108,246
Accrued interest receivable and other assets	46,589			41,502
Total assets	$	4,749,181		$	4,554,862
LIABILITIES
Noninterest-bearing deposits	$	1,055,479		$	1,040,026
Interest-bearing deposits:
Demand deposits	1,163,451			1,109,438
Savings deposits	807,461			830,706
Time deposits	594,395			574,749
Total deposits	3,620,786			3,554,919
Short-term borrowings	231,853			105,431
Long-term debt	155,556			155,828
Subordinated notes	94,453			94,331
Accrued interest payable and other liabilities	41,239			40,979
Total liabilities	4,143,887			3,951,488
SHAREHOLDERS’ EQUITY
Common stock, $5 par value: 48,000,000 shares authorized at June 30, 2018 and December 31, 2017; 31,556,799 shares issued at June30, 2018 and December 31, 2017; 29,406,450 and 29,334,859 shares outstanding at June 30, 2018 and December 31, 2017, respectively	157,784			157,784
Additional paid-in capital	291,238			290,133
Retained earnings	226,574			216,761
Accumulated other comprehensive loss, net of tax benefit	(28,007		)	(17,771		)
Treasury stock, at cost;2,150,349and 2,221,940 shares at June 30, 2018 and December 31, 2017, respectively	(42,295		)	(43,533		)
Total shareholders’ equity	605,294			603,374
Total liabilities and shareholders’ equity	$	4,749,181		$	4,554,862

Note: See accompanying notes to the unaudited condensed consolidated financial statements.

2

UNIVEST CORPORATION OF PENNSYLVANIA

CONDENSED CONSOLIDATED STATEMENTS OF INCOME

(Unaudited)

	Three Months Ended   June 30,					Six Months Ended   June 30,
(Dollars in thousands, except per share data)	2018			2017		2018			2017
Interest income
Interest and fees on loans and leases:
Taxable	$	40,637		$	35,102	$	78,587		$	68,802
Exempt from federal income taxes	2,421			2,084		4,768			4,119
Total interest and fees on loans and leases	43,058			37,186		83,355			72,921
Interest and dividends on investment securities:
Taxable	2,268			1,833		4,457			3,521
Exempt from federal income taxes	477			576		945			1,175
Interest on deposits with other banks	148			38		224			55
Interest and dividends on other earning assets	509			397		1,013			754
Total interest income	46,460			40,030		89,994			78,426
Interest expense
Interest on deposits	4,542			2,461		8,233			4,652
Interest on short-term borrowings	958			325		1,603			587
Interest on long-term debt and subordinated notes	1,970			1,944		3,896			3,604
Total interest expense	7,470			4,730		13,732			8,843
Net interest income	38,990			35,300		76,262			69,583
Provision for loan and lease losses	15,409			2,766		17,462			5,211
Net interest income after provision for loan and lease losses	23,581			32,534		58,800			64,372
Noninterest income
Trust fee income	2,044			2,016		4,040			3,923
Service charges on deposit accounts	1,335			1,313		2,662			2,556
Investment advisory commission and fee income	3,778			3,333		7,461			6,514
Insurance commission and fee income	3,712			3,628		8,600			8,038
Other service fee income	2,431			2,245		4,600			4,232
Bank owned life insurance income	1,210			1,622		1,879			2,405
Net gain on sales of investment securities	—			21		10			36
Net gain on mortgage banking activities	942			1,537		1,658			2,650
Other (loss) income	(138		)	294		(14		)	625
Total noninterest income	15,314			16,009		30,896			30,979
Noninterest expense
Salaries, benefits and commissions	20,065			18,730		40,712			37,467
Net occupancy	2,533			2,684		5,290			5,349
Equipment	1,067			1,031		2,090			2,024
Data processing	2,091			2,081		4,323			4,139
Professional fees	1,331			1,248		2,686			2,487
Marketing and advertising	526			475		907			854
Deposit insurance premiums	452			451		843			853
Intangible expenses	594			446		1,206			1,205
Restructuring charges	—			—		571			—
Other expense	5,688			5,402		10,844			10,200
Total noninterest expense	34,347			32,548		69,472			64,578
Income before income taxes	4,548			15,995		20,224			30,773
Income tax expense	191			4,217		3,017			8,139
Net income	$	4,357		$	11,778	$	17,207		$	22,634
Net income per share:
Basic	$	0.15		$	0.44	$	0.59		$	0.85
Diluted	0.15			0.44		0.58			0.85
Dividends declared	0.20			0.20		0.40			0.40

Note: See accompanying notes to the unaudited condensed consolidated financial statements.

3

UNIVEST CORPORATION OF PENNSYLVANIA

CONDENSED CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME

(Unaudited)

	Three Months Ended June 30,
(Dollars in thousands)	2018									2017
	Before Tax Amount			Tax Expense (Benefit)			Net of Tax Amount			Before Tax Amount			Tax Expense (Benefit)			Net of Tax Amount
Income	$	4,548		$	191		$	4,357		$	15,995		$	4,217		$	11,778
Other comprehensive (loss) income:
Net unrealized (losses) gains on available-for-sale investment securities:
Net unrealized holding (losses) gains arising during the period	(1,911		)	(401		)	(1,510		)	2,632			921			1,711
Less: reclassification adjustment for net gains on sales realized in net income (1)	—			—			—			(21		)	(8		)	(13		)
Total net unrealized (losses) gains on available-for-sale investment securities	(1,911		)	(401		)	(1,510		)	2,611			913			1,698
Net unrealized gains (losses) on interest rate swaps used in cash flow hedges:
Net unrealized holding gains (losses) arising during the period	154			32			122			(92		)	(31		)	(61		)
Less: reclassification adjustment for net losses realized in net income (2)	6			1			5			36			12			24
Total net unrealized gains (losses) on interest rate swaps used in cash flow hedges	160			33			127			(56		)	(19		)	(37		)
Defined benefit pension plans:
Amortization of net actuarial loss included in net periodic pension costs (3)	282			58			224			299			104			195
Accretion of prior service cost included in net periodic pension costs (3)	(71		)	(14		)	(57		)	(71		)	(25		)	(46		)
Total defined benefit pension plans	211			44			167			228			79			149
Other comprehensive (loss) income	(1,540		)	(324		)	(1,216		)	2,783			973			1,810
Total comprehensive income (loss)	$	3,008		$	(133	)	$	3,141		$	18,778		$	5,190		$	13,588

(1) Included in net gain on sales of investment securities on the consolidated statements of income (before tax amount).

(2) Included in interest expense on deposits on the consolidated statements of income (before tax amount).

(3) These accumulated other comprehensive loss components are included in the computation of net periodic pension cost (before tax amount). See Note 8, "Retirement Plans and Other Postretirement Benefits" for additional details.

Note: See accompanying notes to the unaudited condensed consolidated financial statements.

4

	Six Months Ended June 30,
(Dollars in thousands)	2018									2017
	Before Tax Amount			Tax Expense (Benefit)			Net of Tax Amount			Before Tax Amount			Tax Expense (Benefit)			Net of Tax Amount
Income	$	20,224		$	3,017		$	17,207		$	30,773		$	8,139		$	22,634
Other comprehensive (loss) income:
Net unrealized (losses) gains on available-for-sale investment securities:
Net unrealized holding (losses) gains arising during the period	(8,249		)	(1,732		)	(6,517		)	3,052			1,068			1,984
Less: reclassification adjustment for net gains on sales realized in net income (1)	(10		)	(2		)	(8		)	(36		)	(13		)	(23		)
Total net unrealized (losses) gains on available-for-sale investment securities	(8,259		)	(1,734		)	(6,525		)	3,016			1,055			1,961
Net unrealized gains on interest rate swaps used in cash flow hedges:
Net unrealized holding gains (losses) arising during the period	366			77			289			(85		)	(29		)	(56		)
Less: reclassification adjustment for net losses realized in net income (2)	26			5			21			107			37			70
Total net unrealized gains on interest rate swaps used in cash flow hedges	392			82			310			22			8			14
Defined benefit pension plans:
Amortization of net actuarial loss included in net periodic pension costs (3)	563			117			446			598			209			389
Accretion of prior service cost included in net periodic pension costs (3)	(142		)	(29		)	(113		)	(141		)	(49		)	(92		)
Total defined benefit pension plans	421			88			333			457			160			297
Other comprehensive (loss) income	(7,446		)	(1,564		)	(5,882		)	3,495			1,223			2,272
Total comprehensive income	$	12,778		$	1,453		$	11,325		$	34,268		$	9,362		$	24,906

(1) Included in net gain on sales of investment securities on the consolidated statements of income (before tax amount).

(2) Included in interest expense on deposits on the consolidated statements of income (before tax amount).

(3) These accumulated other comprehensive loss components are included in the computation of net periodic pension cost (before tax amount). See Note 8, "Retirement Plans and Other Postretirement Benefits" for additional details.

Note: See accompanying notes to the unaudited condensed consolidated financial statements.

5

UNIVEST CORPORATION OF PENNSYLVANIA

CONDENSED CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS’ EQUITY

(Unaudited)

(Dollars in thousands, except share and per share data)	Common Shares Outstanding		Common Stock		Additional Paid-in Capital			Retained Earnings			Accumulated Other Comprehensive Loss			Treasury Stock			Total
Six Months Ended June 30, 2018
Balance at December 31, 2017	29,334,859		$	157,784	$	290,133		$	216,761		$	(17,771	)	$	(43,533	)	$	603,374
Adjustment to initially apply ASU No. 2016-01 for equity securities measured at fair value (1)	—		—		—			433			(433		)	—			—
Adjustment to initially apply ASU No. 2018-02 for reclassification of stranded net tax charges (1)	—		—		—			3,921			(3,921		)	—			—
Net income	—		—		—			17,207			—			—			17,207
Other comprehensive loss, net of income tax benefit	—		—		—			—			(5,882		)	—			(5,882		)
Cash dividends declared ($0.40 per share)	—		—		—			(11,749		)	—			—			(11,749		)
Stock issued under dividend reinvestment and employee stock purchase plans	41,939		—		98			1			—			1,074			1,173
Exercise of stock options	36,990		—		(14		)	—			—			725			711
Stock-based compensation	—		—		1,719			—			—			—			1,719
Purchases of treasury stock	(44,353	)	—		—			—			—			(1,259		)	(1,259		)
Restricted stock awards granted, net of cancellations	37,015		—		(698		)	—			—			698			—
Balance at June 30, 2018	29,406,450		$	157,784	$	291,238		$	226,574		$	(28,007	)	$	(42,295	)	$	605,294

(Dollars in thousands, except share and per share data)	Common Shares Outstanding		Common Stock		Additional Paid-in Capital			Retained Earnings			Accumulated Other Comprehensive (Loss) Income			Treasury Stock			Total
Six Months Ended June 30, 2017
Balance at December 31, 2016	26,589,353		$	144,559	$	230,494		$	194,516		$	(19,454	)	$	(44,906	)	$	505,209
Net income	—		—		—			22,634			—			—			22,634
Other comprehensive income, net of income tax	—		—		—			—			2,272			—			2,272
Cash dividends declared ($0.40 per share)	—		—		—			(10,652		)	—			—			(10,652		)
Stock issued under dividend reinvestment and employee stock purchase plans	43,415		—		72			—			—			1,157			1,229
Exercise of stock options	73,870		—		(105		)	—			—			1,433			1,328
Stock-based compensation	—		—		1,708			—			—			—			1,708
Purchases of treasury stock	(83,970	)	—		—			—			—			(2,422		)	(2,422		)
Restricted stock awards granted, net of cancellations	45,323		—		(880		)	—			—			880			—
Balance at June 30, 2017	26,667,991		$	144,559	$	231,289		$	206,498		$	(17,182	)	$	(43,858	)	$	521,306

(1) See Note 1, "Summary of Significant Accounting Policies - Accounting Pronouncements Adopted in 2018" for additional information.

Note: See accompanying notes to the unaudited condensed consolidated financial statements.

6

UNIVEST CORPORATION OF PENNSYLVANIA

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

	Six Months Ended June 30,
(Dollars in thousands)	2018			2017
Cash flows from operating activities:
Net income	$	17,207		$	22,634
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for loan and lease losses	17,462			5,211
Depreciation of premises and equipment	2,795			2,730
Net amortization of investment securities premiums and discounts	779			959
Net gain on sales of investment securities	(10		)	(36		)
Net gain on mortgage banking activities	(1,658		)	(2,650		)
Bank owned life insurance income	(1,879		)	(2,405		)
Net accretion of acquisition accounting fair value adjustments	(495		)	(1,508		)
Stock-based compensation	1,719			1,708
Intangible expenses	1,206			1,205
Other adjustments to reconcile net income to cash (used in) provided by operating activities	190			(293		)
Originations of loans held for sale	(61,508		)	(64,035		)
Proceeds from the sale of loans held for sale	63,076			69,847
Contributions to pension and other postretirement benefit plans	(133		)	(138		)
(Increase) decrease in accrued interest receivable and other assets	(3,089		)	1,340
Increase (decrease) in accrued interest payable and other liabilities	814			(1,965		)
Net cash provided by operating activities	36,476			32,604
Cash flows from investing activities:
Net capital expenditures	(1,347		)	(4,622		)
Proceeds from maturities, calls and principal repayments of securities held-to-maturity	4,253			10,595
Proceeds from maturities, calls and principal repayments of securities available-for-sale	34,824			29,603
Proceeds from sales of securities available-for-sale	1,010			3,032
Purchases of investment securities held-to-maturity	(45,349		)	(29,498		)
Purchases of investment securities available-for-sale	(1,485		)	(8,476		)
Proceeds from sales of money market mutual funds	10,706			12,020
Purchases of money market mutual funds	(6,284		)	(16,768		)
Net increase in other investments	(5,564		)	(6,637		)
Net increase in loans and leases	(211,534		)	(225,682		)
Net decrease (increase) in interest-earning deposits	10,154			(3,168		)
Proceeds from sales of other real estate owned	21			3,612
Purchases of bank owned life insurance	(776		)	—
Proceeds from bank owned life insurance	1,374			2,916
Net cash used in investing activities	(209,997		)	(233,073		)
Cash flows from financing activities:
Net increase in deposits	65,963			90,796
Net increase in short-term borrowings	126,422			35,555
Proceeds from issuance of long-term debt	—			95,000
Repayment of long-term debt	—			(5,000		)
Payment of contingent consideration on acquisitions	(67		)	(5,317		)
Purchases of treasury stock	(1,259		)	(2,422		)
Stock issued under dividend reinvestment and employee stock purchase plans	1,173			1,229
Proceeds from exercise of stock options	711			1,328
Cash dividends paid	(11,734		)	(10,636		)
Net cash provided by financing activities	181,209			200,533
Net increase in cash and due from banks	7,688			64
Cash and due from banks at beginning of year	46,721			48,757
Cash and due from banks at end of period	$	54,409		$	48,821
Supplemental disclosures of cash flow information:
Cash paid for interest	$	13,190		$	9,685
Cash paid for income taxes, net of refunds	1,060			5,942
Non cash transactions:
Transfer of loans to other real estate owned	$	402		$	653

Note: See accompanying notes to the unaudited condensed consolidated financial statements.

7

UNIVEST CORPORATION OF PENNSYLVANIA AND SUBSIDIARIES

Notes to the Condensed Unaudited Consolidated Financial Statements

Note 1. Summary of Significant Accounting Policies

Principles of Consolidation and Basis of Presentation

The accompanying unaudited consolidated financial statements include the accounts of Univest Corporation of Pennsylvania (the Corporation or Univest) and its wholly owned subsidiaries. The Corporation’s direct subsidiary is Univest Bank and Trust Co. (the Bank). All significant intercompany balances and transactions have been eliminated in consolidation. The unaudited interim consolidated financial statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the SEC). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) have been condensed or omitted pursuant to such rules and regulations for interim financial information. The accompanying unaudited consolidated financial statements reflect all adjustments which are of a normal recurring nature and are, in the opinion of management, necessary for a fair presentation of the financial statements for the interim periods presented. Certain prior period amounts have been reclassified to conform to the current-year presentation. Operating results for the six-month period ended June 30, 2018 are not necessarily indicative of the results that may be expected for the year ended December 31, 2018 or for any other period. It is suggested that these unaudited consolidated financial statements be read in conjunction with the audited financial statements and the notes thereto included in the registrant’s Annual Report on Form 10-K for the year ended December 31, 2017, which was filed with the SEC on March 1, 2018.

Use of Estimates

The preparation of the unaudited consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant changes include fair value measurement of investment securities available-for-sale, reserve for loan and lease losses and purchase accounting.

Accounting Pronouncements Adopted in 2018

In February 2018, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2018-02, "Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income." This ASUclarifies the accounting treatment of the reclassification of certain income tax effects within accumulated other comprehensive income as a result of the Tax Cuts and Jobs Act. The Corporation elected to early adopt this guidance effective January 1, 2018 for all stranded tax effects resulting from tax reform and reclassified stranded tax effects, totaling $3.9 million, from accumulated other comprehensive income to retained earnings. The Corporation's policy for releasing income tax effects from accumulated other comprehensive income is to release such effects on an individual basis as each item is liquidated, sold or extinguished. See Note 10, "Accumulated Other Comprehensive (Loss) Income" for additional detail.

In March 2017, the FASB issued ASU No. 2017-07, "Compensation – Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost." The amendments in this ASU require that an employer that sponsors defined benefit pension plans and other postretirement plans present the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. Other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations, if one is presented. If a separate line item or items are not used, the line item or items used in the income statement to present the other components of net benefit cost must be disclosed. The Corporation adopted this guidance effective January 1, 2018 with retrospective application for prior period presentation. Effective January 1, 2018, components of net benefit income other than the service cost component are presented in the Corporation's statement of income in other noninterest expense rather than in salaries, benefits and commission expense. Prior period components of net benefit income other than the service cost component were reclassed to other noninterest expense in the Corporation's statement of income.

In January 2016, the FASB issued ASU No. 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities." This ASU addresses certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The ASU requires equity investments to be measured at fair value with changes in fair value recognized in net income. At December 31, 2017, the Corporation had financial services equity securities with a carrying value of $1.1 million which included an unrealized net gain of $666 thousand. At December 31, 2017, $433 thousand

8

was recorded in accumulated other comprehensive income which represented the unrealized net gain, net of income taxes, based on the Corporation’s statutory tax rate as of December 31, 2017. In addition, at December 31, 2017, the Corporation had money market mutual funds with a fair value and amortized cost of $6.0 million which were reclassified to equity securities under this guidance. The Corporation adopted this guidance effective January 1, 2018 with a cumulative-effect adjustment to the balance sheet as of January 1, 2018. The balance in accumulated other comprehensive income of $433 thousand was reclassified to retained earnings effective January 1, 2018. The carrying value of the equity securities, at January 1, 2018, did not change; however, any future increases or decreases in fair value is recorded as an increase or decrease to the carrying value and recognized in other noninterest income. During the six months ended June 30, 2018, the Corporation recognized a $33 thousand net gain on equity securities in other noninterest income.

In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers (Topic 606)” and subsequent related updates. The Corporation adopted the guidance effective January 1, 2018 using the modified retrospective method though no adjustments were made to retained earnings as a result of the adoption. The Corporation provided expanded disclosures related to recognition of revenue from contracts with customers. See Note 14, "Revenue from Contracts with Customers."

Recent Accounting Pronouncements Yet to Be Adopted

In August 2017, the FASB issued ASU No. 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities." The amendments in this update expand and refine hedge accounting for both non-financial and financial risk components and aligns the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. Additional hedging strategies permitted for hedge accounting include: hedges of contractually-specified price components of commodity purchases or sales, hedges of the benchmark rate component of the contractual coupon cash flows of fixed-rate assets or liabilities, hedges of the portion of a closed portfolio of prepayable assets not expected to prepay, and partial-term hedges of fixed-rate assets or liabilities. The ASU amends the presentation and disclosure requirements and changes how entities assess effectiveness. The ASU eliminates the requirement to separately measure and report hedge ineffectiveness and requires all items that affect earnings be presented in the same income statement line as the hedged items. After initial qualification, the new guidance permits a qualitative effectiveness assessment for certain hedges instead of a quantitative test, such as a regression analysis, if the entity can reasonably support an expectation of high effectiveness throughout the term of the hedge. An initial quantitative test to establish that the hedge relationship is highly effective is still required. The ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years for public business entities, or January 1, 2019 for the Corporation. Early adoption is permitted, including an interim period. The amended presentation and disclosure guidance is required only prospectively. The Corporation does not expect the adoption of this ASU will have a material impact on the Corporation's financial statements.

In March 2017, the FASB issued ASU No. 2017-08, “Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities.” This ASU shortens the amortization period for certain callable debt securities held at a premium. Specifically, the amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. The guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, or January 1, 2019 for the Corporation. Early adoption is permitted, including an interim period. This ASU is to be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The Corporation does not expect the adoption of this ASU will have a material impact on the Corporation's financial statements.

In January 2017, the FASB issued ASU No. 2017-04, "Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment." This ASU eliminates Step 2 of the goodwill impairment test. Step 2 measures a goodwill impairment loss by comparing the implied fair value of a reporting unit’s goodwill with the carrying amount of that goodwill. Under the new guidance, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. Additionally, an entity should consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. An entity still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary. Public business entities that are SEC filers should adopt the amendments in this ASU for annual or interim goodwill impairment tests in fiscal years beginning after December 15, 2019, or for the Corporation's goodwill impairment test in 2020. Early adoption is permitted for goodwill impairment tests with measurement dates after January 1, 2017. The Corporation does not expect the adoption of this ASU will have a material impact on the Corporation's financial statements.

9

In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This ASU requires businesses and other organizations to measure the current expected credit losses (CECL) on financial assets, such as loans, net investments in leases, certain debt securities, bond insurance and other receivables. The amendments affect entities holding financial assets and net investments in leases that are not accounted for at fair value through net income. Current GAAP requires an incurred loss methodology for recognizing credit losses that delays recognition until it is probable a loss has been incurred. The amendments in this ASU replace the incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonableness and supportable information to inform credit loss estimates. An entity should apply the amendments through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (modified-retrospective approach). Acquired credit impaired loans for which the guidance in Accounting Standards Codification (ASC) Topic 310-30 has been previously applied should prospectively apply the guidance in this ASU. A prospective transition approach is required for debt securities for which an other-than-temporary impairment has been recognized before the effective date. The ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those years for public business entities that are SEC filers, or January 1, 2020 for the Corporation. The Corporation is in the process of evaluating the impact of the adoption of this guidance on the Corporation's financial statements; however, it is anticipated that the reserve for loan and lease losses will increase upon adoption of CECL and that the increased reserve level will decrease shareholders' equity and regulatory capital and ratios.

In February 2016, the FASB issued ASU No. 2016-02, "Leases (Topic 842)" to revise the accounting related to lessee accounting. Under the new guidance, lessees will be required to recognize a lease liability and a right-of-use asset for all leases. Disclosures will be required by lessees and lessors to meet the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. Lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The modified retrospective approach includes a number of optional practical expedients that entities may elect to apply. These practical expedients relate to the identification and classification of leases that commenced before the effective date, initial direct costs for leases that commenced before the effective date, and the ability to use hindsight in evaluating lessee options to extend or terminate a lease or to purchase the underlying asset. An entity that elects to apply the practical expedients will, in effect, continue to account for leases that commence before the effective date in accordance with previous GAAP unless the lease is modified, except that lessees are required to recognize a right-of-use asset and a lease liability for all operating leases at each reporting date based on the present value of the remaining minimum rental payments that were tracked and disclosed under previous GAAP. The ASU is effective for the first interim period within annual periods beginning after December 15, 2018, or January 1, 2019, with early adoption permitted. The Corporation is in the process of evaluating the impact of the adoption of this guidance on the Corporation's financial statements; however, the adoption of this ASU will impact the balance sheet by the recording of lease liabilities and right-of-use assets associated with operating leases; any initial or continued impact of the recording of assets will have a negative impact on all Corporation and Bank capital ratios under current regulatory guidance and possibly equity ratios.

10

Note 2. Earnings per Share

The Corporation uses the two-class method to calculate earnings per share as the unvested restricted stock issued under the Corporation's equity incentive plans are participating shares with nonforfeitable rights to dividends. Under the two-class method, earnings per common share are computed by dividing the sum of distributed earnings to common shareholders and undistributed earnings allocated to common shareholders by the weighted average number of common shares outstanding for the period. In applying the two-class method, undistributed earnings are allocated to both common shares and participating securities based on the number of weighted average shares outstanding during the period. The table also notes anti-dilutive options which are those options with weighted average exercise prices in excess of the weighted average market value for the periods presented.

The following table sets forth the computation of basic and diluted earnings per share:

	Three Months Ended   June 30,						Six Months Ended   June 30,
(Dollars and shares in thousands, except per share data)	2018			2017			2018			2017
Numerator:
Net income	$	4,357		$	11,778		$	17,207		$	22,634
Net income allocated to unvested restricted stock	(33		)	(122		)	(132		)	(234		)
Net income allocated to common shares	$	4,324		$	11,656		$	17,075		$	22,400
Denominator:
Weighted average shares outstanding	29,404			26,661			29,380			26,647
Average unvested restricted stock	(228		)	(281		)	(221		)	(284		)
Denominator for basic earnings per share—weighted-average shares outstanding	29,176			26,380			29,159			26,363
Effect of dilutive securities—employee stock options	95			97			95			100
Denominator for diluted earnings per share—adjusted weighted-average shares outstanding	29,271			26,477			29,254			26,463
Basic earnings per share	$	0.15		$	0.44		$	0.59		$	0.85
Diluted earnings per share	$	0.15		$	0.44		$	0.58		$	0.85
Average anti-dilutive options excluded from computation of diluted earnings per share	369			188			294			157

11

Note 3. Investment Securities

The following table shows the amortized cost and the estimated fair value of the held-to-maturity securities and available-for-sale securities at June 30, 2018 and December 31, 2017, by contractual maturity within each type:

	At June 30, 2018									At December 31, 2017
(Dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value		Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Securities Held-to-Maturity
U.S. government corporations and agencies:
After 1 year to 5 years	$	6,996	$	—	$	(183	)	$	6,813	$	6,995	$	—	$	(77	)	$	6,918
	6,996		—		(183		)	6,813		6,995		—		(77		)	6,918
Residential mortgage-backed securities:
After 5 years to 10 years	12,838		—		(206		)	12,632		8,944		—		(51		)	8,893
Over 10 years	76,623		—		(1,426		)	75,197		39,625		44		(160		)	39,509
	89,461		—		(1,632		)	87,829		48,569		44		(211		)	48,402
Total	$	96,457	$	—	$	(1,815	)	$	94,642	$	55,564	$	44	$	(288	)	$	55,320
Securities Available-for-Sale
U.S. government corporations and agencies:
Within 1 year	$	5,020	$	—	$	(31	)	$	4,989	$	1,499	$	—	$	(3	)	$	1,496
After 1 year to 5 years	10,482		—		(132		)	10,350		15,590		—		(125		)	15,465
	15,502		—		(163		)	15,339		17,089		—		(128		)	16,961
State and political subdivisions:
Within 1 year	5,562		—		(5		)	5,557		2,721		1		(6		)	2,716
After 1 year to 5 years	14,538		29		(43		)	14,524		16,787		33		(44		)	16,776
After 5 years to 10 years	46,800		436		(438		)	46,798		54,846		897		(73		)	55,670
Over 10 years	3,120		—		(89		)	3,031		3,120		15		—			3,135
	70,020		465		(575		)	69,910		77,474		946		(123		)	78,297
Residential mortgage-backed securities:
After 1 year to 5 years	5,496		—		(93		)	5,403		3,913		12		(26		)	3,899
After 5 years to 10 years	56,238		8		(2,082		)	54,164		51,428		5		(852		)	50,581
Over 10 years	110,422		29		(4,409		)	106,042		133,237		87		(2,383		)	130,941
	172,156		37		(6,584		)	165,609		188,578		104		(3,261		)	185,421
Collateralized mortgage obligations:
After 5 years to 10 years	1,883		—		(105		)	1,778		2,103		—		(82		)	2,021
Over 10 years	1,414		—		(21		)	1,393		1,567		14		—			1,581
	3,297		—		(126		)	3,171		3,670		14		(82		)	3,602
Corporate bonds:
Within 1 year	2,510		—		(18		)	2,492		10,006		—		(5		)	10,001
After 1 year to 5 years	23,835		17		(471		)	23,381		24,885		20		(147		)	24,758
After 5 years to 10 years	15,657		5		(532		)	15,130		16,669		71		(296		)	16,444
Over 10 years	60,000		—		(7,228		)	52,772		60,000		—		(4,027		)	55,973
	102,002		22		(8,249		)	93,775		111,560		91		(4,475		)	107,176
Equity securities:*
No stated maturity	N/A		N/A		N/A			N/A		6,395		667		(1		)	7,061
	N/A		N/A		N/A			N/A		6,395		667		(1		)	7,061
Total	$	362,977	$	524	$	(15,697	)	$	347,804	$	404,766	$	1,822	$	(8,070	)	$	398,518

* Equity securities at December 31, 2017 include $6.0 million of money market mutual funds and $1.1 million of financial services equity securities. In accordance with ASU 2016-01, beginning January 1, 2018, such amounts were reclassified from investment securities available-for-sale to investments in equity securities on the Corporation's Condensed Consolidated Balance Sheets.

Expected maturities may differ from contractual maturities because debt issuers may have the right to call or prepay obligations without call or prepayment penalties and mortgage-backed securities typically prepay at a rate faster than contractually due.

12

Securities with a carrying value of $355.0 million and $345.1 million at June 30, 2018 and December 31, 2017, respectively, were pledged to secure public deposits and other contractual obligations. In addition, securities of $295 thousand and $1.8 million were pledged to secure credit derivatives and interest rate swaps at June 30, 2018 and December 31, 2017, respectively. See Note 11, "Derivative Instruments and Hedging Activities" for additional information.

The following table presents information related to sales of securities available-for-sale during the six months ended June 30, 2018 and 2017:

	Six Months Ended June 30,
(Dollars in thousands)	2018		2017
Securities available-for-sale:
Proceeds from sales	$	1,010	$	3,032
Gross realized gains on sales	10		36
Tax expense related to net realized gains on sales	2		13

At June 30, 2018 and December 31, 2017, there were no investments in any single non-federal issuer representing more than 10% of shareholders’ equity.

The following table shows the fair value of securities that were in an unrealized loss position at June 30, 2018 and December 31, 2017 by the length of time those securities were in a continuous loss position. For the investment securities in an unrealized loss position, the Corporation has concluded, based on its analysis, that the unrealized losses are primarily caused by the movement of interest rates and current market conditions. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the par value of the investment. It is more likely than not that the Corporation will not be required to sell the investments before a recovery of carrying value.

	Less than Twelve Months					Twelve Months or Longer					Total
(Dollars in thousands)	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
At June 30, 2018
Securities Held-to-Maturity
U.S. government corporations and agencies	$	6,813	$	(183	)	$	—	$	—		$	6,813	$	(183	)
Residential mortgage-backed securities	87,829		(1,632		)	—		—			87,829		(1,632		)
Total	$	94,642	$	(1,815	)	$	—	$	—		$	94,642	$	(1,815	)
Securities Available-for-Sale
U.S. government corporations and agencies	$	5,121	$	(58	)	$	10,218	$	(105	)	$	15,339	$	(163	)
State and political subdivisions	29,012		(521		)	7,449		(54		)	36,461		(575		)
Residential mortgage-backed securities	35,367		(931		)	128,118		(5,653		)	163,485		(6,584		)
Collateralized mortgage obligations	1,393		(21		)	1,778		(105		)	3,171		(126		)
Corporate bonds	22,589		(534		)	67,665		(7,715		)	90,254		(8,249		)
Total	$	93,482	$	(2,065	)	$	215,228	$	(13,632	)	$	308,710	$	(15,697	)
At December 31, 2017
Securities Held-to-Maturity
U.S. government corporations and agencies	$	6,919	$	(77	)	$	—	$	—		$	6,919	$	(77	)
Residential mortgage-backed securities	40,881		(211		)	—		—			40,881		(211		)
Total	$	47,800	$	(288	)	$	—	$	—		$	47,800	$	(288	)
Securities Available-for-Sale
U.S. government corporations and agencies	$	5,213	$	(38	)	$	11,749	$	(90	)	$	16,962	$	(128	)
State and political subdivisions	18,457		(91		)	6,332		(32		)	24,789		(123		)
Residential mortgage-backed securities	32,217		(210		)	141,371		(3,051		)	173,588		(3,261		)
Collateralized mortgage obligations	—		—			2,021		(82		)	2,021		(82		)
Corporate bonds	18,464		(1,016		)	71,957		(3,459		)	90,421		(4,475		)
Equity securities	—		(1		)	4		—			4		(1		)
Total	$	74,351	$	(1,356	)	$	233,434	$	(6,714	)	$	307,785	$	(8,070	)

13

At June 30, 2018, gross unrealized losses for securities in an unrealized loss position for twelve months or longer, totaled $13.6 million. Three federal agency bonds, twelve investment grade corporate bonds, 105 federal agency residential mortgage securities, nine investment grade municipal bonds and one collateralized mortgage obligation bond had respective unrealized loss positions of $105 thousand, $7.7 million, $5.7 million, $54 thousand and $105 thousand, respectively. The fair value of these 130 securities fluctuate with changes in market conditions which for these underlying securities is primarily due to changes in the interest rate environment. The Corporation does not intend to sell the securities in an unrealized loss position and is unlikely to be required to sell these securities before a recovery of fair value, which may be maturity. Upon review of the attributes of the individual securities, the Corporation concluded these securities were not other-than-temporarily impaired. The Corporation did not recognize any other-than-temporary impairment charges on debt securities for the six months ended June 30, 2018 and 2017.

In conjunction with the adoption of ASU 2016-01, the Corporation recognized a $33 thousand net gain on equity securities during the six months ended June 30, 2018 in other noninterest income and the net unrealized gain on equity securities held at June 30, 2018 was $33 thousand. See Note 1, "Summary of Significant Accounting Policies - Accounting Pronouncements Adopted in 2018" for additional information.

Note 4. Loans and Leases

Summary of Major Loan and Lease Categories

	At June 30, 2018
(Dollars in thousands)	Originated			Acquired		Total
Commercial, financial and agricultural	$	880,961		$	45,199	$	926,160
Real estate-commercial	1,373,093			270,551		1,643,644
Real estate-construction	204,602			4,284		208,886
Real estate-residential secured for business purpose	267,014			71,698		338,712
Real estate-residential secured for personal purpose	296,734			54,689		351,423
Real estate-home equity secured for personal purpose	175,351			9,909		185,260
Loans to individuals	31,048			143		31,191
Lease financings	133,122			—		133,122
Total loans and leases held for investment, net of deferred income	$	3,361,925		$	456,473	$	3,818,398
Unearned lease income, included in the above table	$	(14,700	)	$	—	$	(14,700	)
Net deferred costs, included in the above table	4,060			—		4,060
Overdraft deposits included in the above table	98			—		98

	At December 31, 2017
(Dollars in thousands)	Originated			Acquired		Total
Commercial, financial and agricultural	$	833,100		$	63,111	$	896,211
Real estate-commercial	1,235,681			306,460		1,542,141
Real estate-construction	171,244			4,592		175,836
Real estate-residential secured for business purpose	250,800			91,167		341,967
Real estate-residential secured for personal purpose	260,654			60,920		321,574
Real estate-home equity secured for personal purpose	171,884			12,386		184,270
Loans to individuals	28,156			144		28,300
Lease financings	129,768			—		129,768
Total loans and leases held for investment, net of deferred income	$	3,081,287		$	538,780	$	3,620,067
Unearned lease income, included in the above table	$	(14,243	)	$	—	$	(14,243	)
Net deferred costs, included in the above table	4,669			—		4,669
Overdraft deposits included in the above table	222			—		222

Overdraft deposits are re-classified as loans and are included in the total loans and leases on the balance sheet.

14

The carrying amount of acquired loans at June 30, 2018 totaled $456.5 million, including $368.6 million of loans from the Fox Chase acquisition and $87.9 million from the Valley Green Bank acquisition. At June 30, 2018, loans acquired with deteriorated credit quality, or acquired credit impaired loans, totaled $998 thousand representing $332 thousand from the Fox Chase acquisition and $666 thousand from the Valley Green Bank acquisition. Acquired credit impaired loans are accounted for in accordance with Accounting Standards Codification (ASC) Topic 310-30.

The outstanding principal balance and carrying amount for acquired credit impaired loans at June 30, 2018 and December 31, 2017 were as follows:

(Dollars in thousands)	At June 30, 2018		At December 31, 2017
Outstanding principal balance	$	1,378	$	2,325
Carrying amount	998		1,583
Allowance for loan losses	—		—

The following table presents the changes in accretable yield on acquired credit impaired loans:

	Six Months Ended June 30,
(Dollars in thousands)	2018			2017
Beginning of period	$	11		$	50
Reclassification from nonaccretable discount	375			279
Accretable discount amortized to interest income	(386		)	(297		)
Disposals	—			(4		)
End of period	$	—		$	28

15

Age Analysis of Past Due Loans and Leases

The following presents, by class of loans and leases, an aging of past due loans and leases, loans and leases which are current and the recorded investment in loans and leases 90 days or more past due which are accruing interest at June 30, 2018 and December 31, 2017:

(Dollars in thousands)	30-59 Days Past Due		60-89 Days Past Due		90 Days or more Past Due		Total Past Due		Current		Acquired Credit Impaired		Total Loans and Leases Held for Investment		Recorded Investment 90 Days or more Past Due and Accruing Interest
At June 30, 2018
Commercial, financial and agricultural	$	1,777	$	141	$	2,240	$	4,158	$	921,735	$	267	$	926,160	$	—
Real estate—commercial real estate and construction:
Commercial real estate	1,543		1,145		1,619		4,307		1,639,131		206		1,643,644		—
Construction	364		—		—		364		208,522		—		208,886		—
Real estate—residential and home equity:
Residential secured for business purpose	1,750		782		1,173		3,705		334,547		460		338,712		—
Residential secured for personal purpose	2,896		88		1,561		4,545		346,813		65		351,423		—
Home equity secured for personal purpose	672		698		1,205		2,575		182,685		—		185,260		—
Loans to individuals	137		49		101		287		30,904		—		31,191		101
Lease financings	1,383		646		1,575		3,604		129,518		—		133,122		49
Total	$	10,522	$	3,549	$	9,474	$	23,545	$	3,793,855	$	998	$	3,818,398	$	150
At December 31, 2017
Commercial, financial and agricultural	$	2,182	$	1,440	$	1,509	$	5,131	$	890,658	$	422	$	896,211	$	—
Real estate—commercial real estate and construction:
Commercial real estate	733		548		1,410		2,691		1,539,094		356		1,542,141		—
Construction	1,970		—		365		2,335		173,501		—		175,836		—
Real estate—residential and home equity:
Residential secured for business purpose	1,651		315		1,355		3,321		338,061		585		341,967		162
Residential secured for personal purpose	4,368		1,118		23		5,509		315,845		220		321,574		—
Home equity secured for personal purpose	1,414		333		464		2,211		182,059		—		184,270		148
Loans to individuals	221		139		195		555		27,745		—		28,300		195
Lease financings	1,143		392		1,855		3,390		126,378		—		129,768		256
Total	$	13,682	$	4,285	$	7,176	$	25,143	$	3,593,341	$	1,583	$	3,620,067	$	761

16

Nonperforming Loans and Leases

The following presents, by class of loans and leases, nonperforming loans and leases at June 30, 2018 and December 31, 2017. Nonperforming loans exclude acquired credit impaired loans from Fox Chase and Valley Green.

	At June 30, 2018								At December 31, 2017
(Dollars in thousands)	Nonaccrual Loans and Leases*		Accruing Troubled Debt Restructured Loans and Lease Modifications		Loans and Leases 90 Days or more Past Due and Accruing Interest		Total Nonperforming Loans and Leases		Nonaccrual Loans and Leases*		Accruing Troubled Debt Restructured Loans and Lease Modifications		Loans and Leases 90 Days or more Past Due and Accruing Interest		Total Nonperforming Loans and Leases
Commercial, financial and agricultural	$	4,084	$	607	$	—	$	4,691	$	4,448	$	921	$	—	$	5,369
Real estate—commercial real estate and construction:
Commercial real estate	19,584		—		—		19,584		4,285		10,266		—		14,551
Construction	110		—		—		110		365		—		—		365
Real estate—residential and home equity:
Residential secured for business purpose	1,538		183		—		1,721		2,843		206		162		3,211
Residential secured for personal purpose	1,741		—		—		1,741		466		42		—		508
Home equity secured for personal purpose	1,565		—		—		1,565		511		—		148		659
Loans to individuals	—		—		101		101		—		—		195		195
Lease financings	1,526		—		49		1,575		1,599		—		256		1,855
Total	$	30,148	$	790	$	150	$	31,088	$	14,517	$	11,435	$	761	$	26,713

* Includes nonaccrual troubled debt restructured loans and lease modifications of $1.8 million and $2.5 million at June 30, 2018 and December 31, 2017, respectively.

Accruing troubled debt restructuring loans of $11.4 million at December 31, 2017 includes balances of $10.3 million related to one borrower which were classified as troubled debt restructurings as the related loans were granted amortization period extensions. These troubled debt restructured loans were returned to performing status during the first quarter of 2018 as the borrower was in compliance with the modified terms of the restructurings for the required time period. At June 30, 2018, commercial real estate nonaccrual loans and leases includes a $12.0 million loan that was placed on nonaccrual status during the first quarter of 2018. A specific reserve of $650 thousand was recorded for this loan as of June 30, 2018.

Credit Quality Indicators

The following tables present by class, the recorded investment in loans and leases held for investment by credit quality indicator at June 30, 2018 and December 31, 2017.

The Corporation employs a ten (10) grade risk rating system related to the credit quality of commercial loans and residential real estate loans secured for a business purpose of which the first six categories are pass categories (credits not adversely rated).The following is a description of the internal risk ratings and the likelihood of loss related to each risk rating. Loans with a relationship balance of less than $1 million are reviewed on a performance basis, with the primary monitored metrics being delinquency (60 days or more past due) and revolving stagnancy. Loans with relationships greater than $1 million are reviewed at least annually.  Loan relationships exceeding $15 million or classified as special mention or substandard are reviewed at least quarterly, or more frequently based on management’s discretion. 

1. Cash Secured—No credit risk

2. Fully Secured—Negligible credit risk

3. Strong—Minimal credit risk

4. Satisfactory—Nominal credit risk

5. Acceptable—Moderate credit risk

6. Pre-Watch—Marginal, but stable credit risk

7. Special Mention—Potential weakness

8. Substandard—Well-defined weakness

9. Doubtful—Collection in-full improbable

10. Loss—Considered uncollectible

17

Commercial Credit Exposure Credit Risk by Internally Assigned Grades

The following table presents classifications for originated loans:

(Dollars in thousands)	Commercial, Financial and Agricultural		Real Estate— Commercial		Real Estate— Construction		Real Estate— Residential Secured for Business Purpose		Total
At June 30, 2018
Grade:
1. Cash secured/ 2. Fully secured	$	2,846	$	—	$	24,304	$	—	$	27,150
3. Strong	13,926		612		—		—		14,538
4. Satisfactory	21,425		25,860		—		268		47,553
5. Acceptable	606,047		1,045,630		74,818		225,971		1,952,466
6. Pre-watch	204,593		249,505		103,970		36,000		594,068
7. Special Mention	23,203		41,286		1,400		984		66,873
8. Substandard	8,921		10,200		110		3,791		23,022
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	880,961	$	1,373,093	$	204,602	$	267,014	$	2,725,670
At December 31, 2017
Grade:
1. Cash secured/ 2. Fully secured	$	2,521	$	—	$	20,420	$	—	$	22,941
3. Strong	9,206		1,821		—		—		11,027
4. Satisfactory	30,283		26,950		—		274		57,507
5. Acceptable	593,205		960,258		76,899		215,750		1,846,112
6. Pre-watch	179,990		209,844		72,168		29,738		491,740
7. Special Mention	4,027		12,974		1,392		296		18,689
8. Substandard	13,868		23,834		365		4,742		42,809
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	833,100	$	1,235,681	$	171,244	$	250,800	$	2,490,825

18

The following table presents classifications for acquired loans:

(Dollars in thousands)	Commercial, Financial and Agricultural		Real Estate— Commercial		Real Estate— Construction		Real Estate— Residential Secured for Business Purpose		Total
At June 30, 2018
Grade:
1. Cash secured/ 2. Fully secured	$	—	$	—	$	—	$	—	$	—
3. Strong	—		—		—		—		—
4. Satisfactory	—		—		—		—		—
5. Acceptable	42,051		164,915		—		61,566		268,532
6. Pre-watch	1,229		86,041		4,284		8,784		100,338
7. Special Mention	865		4,462		—		—		5,327
8. Substandard	1,054		15,133		—		1,348		17,535
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	45,199	$	270,551	$	4,284	$	71,698	$	391,732
December 31, 2017
Grade:
1. Cash secured/ 2. Fully secured	$	1,120	$	—	$	—	$	—	$	1,120
3. Strong	—		—		—		—		—
4. Satisfactory	125		482		—		—		607
5. Acceptable	49,949		183,490		—		73,402		306,841
6. Pre-watch	6,183		98,977		4,592		15,861		125,613
7. Special Mention	1,007		17,028		—		—		18,035
8. Substandard	4,727		6,483		—		1,904		13,114
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	63,111	$	306,460	$	4,592	$	91,167	$	465,330

Credit Exposure—Real Estate—Residential Secured for Personal Purpose, Real Estate—Home Equity Secured for Personal Purpose, Loans to individuals, Lease Financing Credit Risk Profile by Payment Activity

The Corporation monitors the credit risk profile by payment activity for the following classifications of loans and leases: residential real estate loans secured for a personal purpose, home equity loans secured for a personal purpose, loans to individuals and lease financings. Nonperforming loans and leases are loans and leases past due 90 days or more, loans and leases on nonaccrual of interest and troubled debt restructured loans and lease modifications. Performing loans and leases are reviewed only if the loan becomes 60 days or more past due. Nonperforming loans and leases are reviewed monthly. Performing loans and leases have a nominal to moderate risk of loss.

The following table presents classifications for originated loans:

(Dollars in thousands)	Real Estate— Residential Secured for Personal Purpose		Real Estate— Home Equity Secured for Personal Purpose		Loans to Individuals		Lease Financings		Total
At June 30, 2018
Performing	$	296,127	$	174,866	$	30,947	$	131,547	$	633,487
Nonperforming	607		485		101		1,575		2,768
Total	$	296,734	$	175,351	$	31,048	$	133,122	$	636,255
At December 31, 2017
Performing	$	260,589	$	171,527	$	27,961	$	127,913	$	587,990
Nonperforming	65		357		195		1,855		2,472
Total	$	260,654	$	171,884	$	28,156	$	129,768	$	590,462

19

The following table presents classifications for acquired loans:

(Dollars in thousands)	Real Estate— Residential Secured for Personal Purpose		Real Estate— Home Equity Secured for Personal Purpose		Loans to Individuals		Lease Financings		Total
At June 30, 2018
Performing	$	53,555	$	8,829	$	143	$	—	$	62,527
Nonperforming	1,134		1,080		—		—		2,214
Total	$	54,689	$	9,909	$	143	$	—	$	64,741
At December 31, 2017
Performing	$	60,477	$	12,084	$	144	$	—	$	72,705
Nonperforming	443		302		—		—		745
Total	$	60,920	$	12,386	$	144	$	—	$	73,450

20

Reserve for Loan and Lease Losses and Recorded Investment in Loans and Leases

The following presents, by portfolio segment, a summary of the activity in the reserve for loan and lease losses for the three and six months ended June 30, 2018 and 2017:

(Dollars in thousands)	Commercial, Financial and Agricultural			Real Estate— Commercial and Construction			Real Estate— Residential Secured for Business Purpose			Real Estate— Residential and Home Equity Secured for Personal Purpose			Loans to Individuals			Lease Financings			Unallocated			Total
Three Months Ended June 30, 2018
Reserve for loan and lease losses:
Beginning balance	$	6,942		$	11,178		$	1,871		$	1,908		$	372		$	1,079		$	60		$	23,410
Charge-offs	(13,048		)	—			—			—			(79		)	(169		)	N/A			(13,296		)
Recoveries	23			—			7			8			16			75			N/A			129
Provision (recovery of provision)	13,341			1,149			126			578			138			86			(9		)	15,409
Ending balance	$	7,258		$	12,327		$	2,004		$	2,494		$	447		$	1,071		$	51		$	25,652
Three Months Ended June 30, 2017
Reserve for loan and lease losses:
Beginning balance	$	7,890		$	7,624		$	1,345		$	1,001		$	335		$	1,329		$	4		$	19,528
Charge-offs	(108		)	(30		)	(1,139		)	—			(114		)	(327		)	N/A			(1,718		)
Recoveries	210			—			8			4			46			66			N/A			334
Provision (recovery of provision)	321			874			915			(30		)	62			592			33			2,767
Recovery of provision for acquired credit impaired loans	—			—			—			(1		)	—			—			—			(1		)
Ending balance	$	8,313		$	8,468		$	1,129		$	974		$	329		$	1,660		$	37		$	20,910
Six Months Ended June 30, 2018
Reserve for loan and lease losses:
Beginning balance	$	6,742		$	9,839		$	1,661		$	1,754		$	373		$	1,132		$	54		$	21,555
Charge-offs	(13,649		)	(40		)	—			—			(171		)	(305		)	N/A			(14,165		)
Recoveries	249			73			258			65			46			109			N/A			800
Provision (recovery of provision)	13,916			2,455			85			674			199			135			(3		)	17,461
Provision for acquired credit impaired loans	—			—			—			1			—			—			—			1
Ending balance	$	7,258		$	12,327		$	2,004		$	2,494		$	447		$	1,071		$	51		$	25,652
Six Months Ended June 30, 2017
Reserve for loan and lease losses:
Beginning balance	$	7,037		$	7,505		$	774		$	993		$	364		$	788		$	38		$	17,499
Charge-offs	(286		)	(30		)	(1,181		)	(94		)	(240		)	(584		)	N/A			(2,415		)
Recoveries	397			3			18			21			81			95			N/A			615
Provision (recovery of provision)	1,165			990			1,518			52			124			1,361			(1		)	5,209
Provision for acquired credit impaired loans	—			—			—			2			—			—			—			2
Ending balance	$	8,313		$	8,468		$	1,129		$	974		$	329		$	1,660		$	37		$	20,910

N/A – Not applicable

Charge-offs for the three and six months ended June 30, 2018 include a charge-off of $12.7 million for a commercial loan relationship related to alleged fraudulent activities believed to be perpetrated by one or more employees of the borrower. The Bank owns a participating interest which originally totaled $13.0 million in an approximately $80.0 million commercial lending facility. The charge-off represents the entire principal amount owed to the Bank.

21

The following presents, by portfolio segment, a summary of the balance in the reserve for loan and lease losses disaggregated on the basis of impairment method and the recorded investment in loans and leases disaggregated on the basis of impairment method at June 30, 2018 and 2017:

(Dollars in thousands)	Commercial, Financial and Agricultural		Real Estate— Commercial and Construction		Real Estate— Residential Secured for Business Purpose		Real Estate— Residential and Home Equity Secured for Personal Purpose		Loans to Individuals		Lease Financings		Unallocated		Total
At June 30, 2018
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	$	646	$	866	$	12	$	—	$	—	$	—	N/A		$	1,524
Ending balance: collectively evaluated for impairment	6,612		11,420		1,951		2,494		447		1,071		51		24,046
Ending balance: acquired credit impaired loans evaluated for impairment	—		41		41		—		—		—		—		82
Total ending balance	$	7,258	$	12,327	$	2,004	$	2,494	$	447	$	1,071	$	51	$	25,652
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	$	6,238	$	21,004	$	2,132	$	3,306	$	—	$	1,250			$	33,930
Ending balance: collectively evaluated for impairment	874,723		1,554,844		264,882		468,779		31,048		131,872				3,326,148
Loans measured at fair value	—		1,847		—		—		—		—				1,847
Acquired non-credit impaired loans	44,932		274,629		71,238		64,533		143		—				455,475
Acquired credit impaired loans	267		206		460		65		—		—				998
Total ending balance	$	926,160	$	1,852,530	$	338,712	$	536,683	$	31,191	$	133,122			$	3,818,398
At June 30, 2017
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	$	10	$	59	$	37	$	25	$	—	$	886	N/A		$	1,017
Ending balance: collectively evaluated for impairment	8,303		8,409		1,092		949		329		774		37		19,893
Total ending balance	$	8,313	$	8,468	$	1,129	$	974	$	329	$	1,660	$	37	$	20,910
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	$	9,794	$	20,735	$	5,196	$	967	$	—	$	5,021			$	41,713
Ending balance: collectively evaluated for impairment	809,693		1,268,132		189,173		394,683		27,442		125,133				2,814,256
Loans measured at fair value	—		2,058		—		—		—		—				2,058
Acquired non-credit impaired loans	85,178		378,413		99,151		82,770		146		—				645,658
Acquired credit impaired loans	502		5,185		583		215		—		—				6,485
Total ending balance	$	905,167	$	1,674,523	$	294,103	$	478,635	$	27,588	$	130,154			$	3,510,170

N/A – Not applicable

22

The Corporation records a provision for loan loss for the acquired non-impaired loans only when additional deterioration of the portfolio is identified over the projections utilized in the initial fair value analysis. After the acquisition measurement period, the present value of any decreases in expected cash flows of acquired credit impaired loans will generally result in an impairment charge recorded as a provision for loan loss, resulting in an increase to the allowance.

Impaired Loans (excludes Lease Financings)

The following presents, by class of loans, the recorded investment and unpaid principal balance of impaired loans, the amounts of the impaired loans for which there is not a reserve for credit losses and the amounts for which there is a reserve for credit losses at June 30, 2018 and December 31, 2017. The impaired loans exclude acquired credit impaired loans.

	At June 30, 2018						At December 31, 2017
(Dollars in thousands)	Recorded Investment		Unpaid Principal Balance		Related Reserve		Recorded Investment		Unpaid Principal Balance		Related Reserve
Impaired loans with no related reserve recorded:
Commercial, financial and agricultural	$	4,122	$	4,848			$	7,019	$	8,301
Real estate—commercial real estate	7,489		8,336				15,621		16,507
Real estate—construction	110		113				365		365
Real estate—residential secured for business purpose	1,926		2,062				3,430		4,620
Real estate—residential secured for personal purpose	1,741		1,784				508		566
Real estate—home equity secured for personal purpose	1,565		1,595				511		523
Total impaired loans with no related reserve recorded	$	16,953	$	18,738			$	27,454	$	30,882
Impaired loans with a reserve recorded:
Commercial, financial and agricultural	$	2,116	$	2,180	$	646	$	60	$	60	$	31
Real estate—commercial real estate	13,405		13,645		866		933		933		99
Real estate—residential secured for business purpose	206		272		12		35		37		1
Total impaired loans with a reserve recorded	$	15,727	$	16,097	$	1,524	$	1,028	$	1,030	$	131

Total impaired loans:
Commercial, financial and agricultural	$	6,238	$	7,028	$	646	$	7,079	$	8,361	$	31
Real estate—commercial real estate	20,894		21,981		866		16,554		17,440		99
Real estate—construction	110		113		—		365		365		—
Real estate—residential secured for business purpose	2,132		2,334		12		3,465		4,657		1
Real estate—residential secured for personal purpose	1,741		1,784		—		508		566		—
Real estate—home equity secured for personal purpose	1,565		1,595		—		511		523		—
Total impaired loans	$	32,680	$	34,835	$	1,524	$	28,482	$	31,912	$	131

Impaired loans include nonaccrual loans, accruing troubled debt restructured loans and other accruing impaired loans for which it is probable that not all principal and interest payments due will be collectible in accordance with the original contractual terms. These loans are individually measured to determine the amount of potential impairment. The loans are reviewed for impairment based on the fair value of the collateral for collateral dependent loans and for certain loans based on discounted cash flows using the loans’ initial effective interest rates. Impaired loans include other accruing impaired loans of $3.3 million and $4.1 million at June 30, 2018 and December 31, 2017, respectively. Specific reserves on other accruing impaired loans were $25 thousand and $99 thousand at June 30, 2018 and December 31, 2017, respectively.

23

The following presents by class of loans, the average recorded investment in impaired loans and an analysis of interest on impaired loans. A loan may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. Therefore, interest income on accruing impaired loans is recognized using the accrual method. 

	Three Months Ended June 30, 2018						Three Months Ended June 30, 2017
(Dollars in thousands)	Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms		Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms
Commercial, financial and agricultural	$	6,394	$	32	$	134	$	11,470	$	64	$	86
Real estate—commercial real estate	22,914		18		265		20,777		184		81
Real estate—construction	56		—		3		274		—		10
Real estate—residential secured for business purpose	1,966		5		23		4,184		21		61
Real estate—residential secured for personal purpose	889		2		33		699		1		15
Real estate—home equity secured for personal purpose	1,033		—		31		354		—		5
Total	$	33,252	$	57	$	489	$	37,758	$	270	$	258

* Includes interest income recognized on a cash basis for nonaccrual loans of $2 thousandand$3 thousand for the three months ended June 30, 2018 and 2017, respectively, and interest income recognized on the accrual method for accruing impaired loans of $55 thousand and $267 thousand for the three months ended June 30, 2018 and 2017, respectively.

	Six Months Ended June 30, 2018						Six Months Ended June 30, 2017
(Dollars in thousands)	Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms		Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms
Commercial, financial and agricultural	$	7,090	$	72	$	211	$	11,506	$	110	$	171
Real estate—commercial real estate	20,105		190		552		22,464		417		154
Real estate—construction	137		—		5		156		—		10
Real estate—residential secured for business purpose	2,107		10		47		4,302		37		105
Real estate—residential secured for personal purpose	720		3		44		636		1		23
Real estate—home equity secured for personal purpose	819		—		39		431		—		10
Total	$	30,978	$	275	$	898	$	39,495	$	565	$	473

* Includes interest income recognized on a cash basis for nonaccrual loans of $8 thousandand $4 thousand for the six months ended June 30, 2018 and 2017, respectively, and interest income recognized on the accrual method for accruing impaired loans of $267 thousand and $561 thousand for the six months ended June 30, 2018 and 2017, respectively.

Impaired Leases

The Corporation had impaired leases of $1.3 million at June 30, 2018 and December 31, 2017 with no related reserves. See discussion in Reserve for Loan and Lease Losses and Recorded Investment in Loans and Leases.

24

Troubled Debt Restructured Loans

The following presents, by class of loans, information regarding accruing and nonaccrual loans that were restructured:

	Three Months Ended June 30, 2018							Three Months Ended June 30, 2017
(Dollars in thousands)	Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Reserve		Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Reserve
Accruing Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Total	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Nonaccrual Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	1	$	328	$	328	$	—
Real estate—residential secured for personal purpose	1	66		66		—		—	—		—		—
Total	1	$	66	$	66	$	—	1	$	328	$	328	$	—

	Six Months Ended June 30, 2018							Six Months Ended June 30, 2017
(Dollars in thousands)	Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Allowance		Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Allowance
Accruing Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Total	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Nonaccrual Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	1	$	328	$	328	$	—
Real estate—residential secured for personal purpose	1	66		66		—		—	—		—		—
Total	1	$	66	$	66	$	—	1	$	328	$	328	$	—

The Corporation grants concessions to existing borrowers primarily related to extensions of interest-only payment periods and an occasional payment modification. These modifications typically are for up to one year. The goal when restructuring a credit is to establish a reasonable period of time to provide cash flow relief to customers experiencing cash flow difficulties. Accruing troubled debt restructured loans are primarily comprised of loans on which interest is being accrued under the restructured terms, and the loans are current or less than ninety days past due.

25

The following presents, by class of loans, information regarding the types of concessions granted on accruing and nonaccrual loans that were restructured during the three and six months ended June 30, 2018 and 2017.

	Maturity Date Extension			Amortization Period Extension			Total Concessions Granted
(Dollars in thousands)	No. of Loans	Amount		No. of Loans	Amount		No. of Loans	Amount
Three Months Ended June 30, 2018
Accruing Troubled Debt Restructured Loans:
Total	—	$	—	—	$	—	—	$	—
Nonaccrual Troubled Debt Restructured Loans:
Real estate—residential secured for personal purpose	—	$	—	1	$	66	1	$	66
Total	—	$	—	1	$	66	1	$	66
Three Months Ended June 30, 2017
Accruing Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	3	$	9,206	3	$	9,206
Total	—	$	—	3	$	9,206	3	$	9,206
Nonaccrual Troubled Debt Restructured Loans:
Real estate—commercial real estate	1	$	328	—	$	—	1	$	328
Total	1	$	328	—	$	—	1	$	328
Six Months Ended June 30, 2018
Accruing Troubled Debt Restructured Loans:
Total	—	$	—	—	$	—	—	$	—
Nonaccrual Troubled Debt Restructured Loans:
Real estate—residential secured for personal purpose	—	$	—	1	$	66	1	$	66
Total	—	$	—	1	$	66	1	$	66
Six Months Ended June 30, 2017
Accruing Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	3	$	9,206	3	$	9,206
Total	—	$	—	3	$	9,206	3	$	9,206
Nonaccrual Troubled Debt Restructured Loans:
Real estate—commercial real estate	1	$	328	—	$	—	1	$	328
Total	1	$	328	—	$	—	1	$	328

The following presents, by class of loans, information regarding accruing and nonaccrual troubled debt restructured loans, for which there were payment defaults within twelve months of the restructuring date:

	Three Months Ended June 30,						Six Months Ended June 30,
	2018			2017			2018			2017
(Dollars in thousands)	Number of Loans	Recorded Investment		Number of Loans	Recorded Investment		Number of Loans	Recorded Investment		Number of Loans	Recorded Investment
Accruing Troubled Debt Restructured Loans:
Commercial, financial and agricultural	—	$	—	—	$	—	1	$	953	—	$	—
Total	—	$	—	—	$	—	1	$	953	—	$	—
Nonaccrual Troubled Debt Restructured Loans:
Total	—	$	—	—	$	—	—	$	—	—	$	—

26

The following presents, by class of loans, information regarding consumer mortgages collateralized by residential real estate property that are in the process of foreclosure at June 30, 2018 and December 31, 2017:

(Dollars in thousands)	At June 30, 2018		At December 31, 2017
Real estate-residential secured for personal purpose	$	—	$	31
Real estate-home equity secured for personal purpose	812		—
Total	$	812	$	31

The following presents foreclosed residential real estate property included in other real estate owned at June 30, 2018 and December 31, 2017.

(Dollars in thousands)	At June 30, 2018		At December 31, 2017
Foreclosed residential real estate	$	440	$	80

Note 5. Goodwill and Other Intangible Assets

The Corporation has core deposit and customer-related intangibles and servicing rights, which are not deemed to have an indefinite life and therefore will continue to be amortized over their useful life using the present value of projected cash flows. The Corporation also has goodwill which is deemed to be an indefinite intangible asset and is not amortized.

Changes in the carrying amount of the Corporation's goodwill by business segment for the six months ended June 30, 2018 were as follows:

(Dollars in thousands)	Banking		Wealth Management		Insurance		Consolidated
Balance at December 31, 2017	$	138,476	$	15,434	$	18,649	$	172,559
Addition to goodwill from acquisitions	—		—		—		—
Balance at June 30, 2018	$	138,476	$	15,434	$	18,649	$	172,559

The following table reflects the components of intangible assets at the dates indicated:

	At June 30, 2018						At December 31, 2017
(Dollars in thousands)	Gross Carrying Amount		Accumulated Amortization and Fair Value Adjustments		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization and Fair Value Adjustments		Net Carrying Amount
Amortized intangible assets:
Covenants not to compete	$	710	$	710	$	—	$	710	$	580	$	130
Core deposit intangibles	6,788		2,663		4,125		6,788		2,135		4,653
Customer related intangibles	12,381		10,347		2,034		12,381		9,828		2,553
Servicing rights	16,543		9,893		6,650		15,855		9,282		6,573
Total amortized intangible assets	$	36,422	$	23,613	$	12,809	$	35,734	$	21,825	$	13,909

The estimated aggregate amortization expense for core deposit and customer related intangibles for the remainder of 2018 and the succeeding fiscal years is as follows:

Year	(Dollars in thousands)	Amount
Remainder of 2018		$	937
2019		1,565
2020		1,200
2021		923
2022		666
Thereafter		868

27

The Corporation has originated mortgage servicing rights, which are included in other intangible assets on the consolidated balance sheets. Mortgage servicing rights are amortized in proportion to, and over the period of, estimated net servicing income on a basis similar to the interest method and an accelerated amortization method for loan payoffs. Mortgage servicing rights are subject to impairment testing on a quarterly basis. The aggregate fair value of these rights was $11.6 million at June 30, 2018 and $10.0 million at December 31, 2017. The fair value of mortgage servicing rights was determined using a discount rate of 10.0% at June 30, 2018 and December 31, 2017. The Corporation also records servicing rights on small business administration (SBA) loans. The value of these servicing rights was $22 thousand and $21 thousand at June 30, 2018 and December 31, 2017, respectively.

Changes in the servicing rights balance are summarized as follows:

	Three Months Ended June 30,						Six Months Ended June 30,
(Dollars in thousands)	2018			2017			2018			2017
Beginning of period	$	6,605		$	6,502		$	6,573		$	6,485
Servicing rights capitalized	350			387			687			730
Amortization of servicing rights	(305		)	(341		)	(610		)	(667		)
End of period	$	6,650		$	6,548		$	6,650		$	6,548
Residential mortgage and SBA loans serviced for others	$	1,019,233		$	984,846		$	1,019,233		$	984,846

The estimated amortization expense of servicing rights for the remainder of 2018 and the succeeding fiscal years is as follows:

Year	(Dollars in thousands)	Amount
Remainder of 2018		$	863
2019		769
2020		680
2021		601
2022		530
Thereafter		3,207

Note 6. Deposits

Deposits and their respective weighted average interest rate at June 30, 2018 and December 31, 2017 consist of the following:

	At June 30, 2018				At December 31, 2017
	Weighted Average Interest Rate		Amount		Weighted Average Interest Rate		Amount
	(Dollars in thousands)
Noninterest-bearing deposits	—	%	$	1,055,479	—	%	$	1,040,026
Demand deposits	0.57		1,163,451		0.43		1,109,438
Savings deposits	0.34		807,461		0.26		830,706
Time deposits	1.46		594,395		1.12		574,749
Total	0.50	%	$	3,620,786	0.38	%	$	3,554,919

The aggregate amount of time deposits in denominations of $100 thousand or more was $208.9 million at June 30, 2018 and $250.0 million at December 31, 2017. Deposits are insured up to applicable limits by the Deposit Insurance Fund of the FDIC. Deposit insurance per account owner is currently up to $250 thousand. The aggregate amount of time deposits in denominations over $250 thousand was $65.8 million at June 30, 2018 and $118.4 million at December 31, 2017.

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At June 30, 2018, the scheduled maturities of time deposits are as follows:

Year	(Dollars in thousands)	Amount
Remainder of 2018		$	154,611
2019		233,501
2020		99,450
2021		26,170
2022		32,233
Thereafter		48,430
Total		$	594,395

Note 7. Borrowings

The following is a summary of borrowings by type. Short-term borrowings consist of overnight borrowings and term borrowings with an original maturity of one year or less. The long-term debt balances and weighted average interest rates include purchase accounting fair value adjustments, net of related amortization, from the Fox Chase acquisition.

	At June 30, 2018				At December 31, 2017
(Dollars in thousands)	Balance at End of Period		Weighted Average Interest Rate at End of Period		Balance at End of Period		Weighted Average Interest Rate at End of Period
Short-term borrowings:
FHLB borrowings	$	138,530	2.10	%	$	30,225	1.54	%
Federal funds purchased	65,000		2.03		55,000		1.56
Customer repurchase agreements	28,323		0.05		20,206		0.05
Long-term debt:
FHLB advances	$	125,005	1.73	%	$	125,036	1.73	%
Security repurchase agreements	30,551		2.04		30,792		1.52
Subordinated notes	$	94,453	5.34	%	$	94,331	5.35	%

The Corporation, through the Bank, has a credit facility with the Federal Home Loan Bank (FHLB) with a maximum borrowing capacity of approximately $1.5 billion. Advances from the FHLB are collateralized by a blanket floating lien on all first mortgage loans of the Bank, FHLB capital stock owned by the Bank and any funds on deposit with the FHLB. At June 30, 2018 and December 31, 2017, the Bank had outstanding short-term letters of credit with the FHLB totaling $178.9 million and $234.2 million, respectively, which were utilized to collateralize public funds deposits. The maximum borrowing capacity with the FHLB changes as a function of the Bank’s qualifying collateral assets as well as the FHLB’s internal credit rating of the Bank.    

The Corporation, through the Bank, maintains uncommitted federal fund credit lines with several correspondent banks totaling $367.0 million at June 30, 2018 and December 31, 2017. Future availability under these lines is subject to the prerogatives of the granting banks and may be withdrawn at will.

The Corporation, through the Bank, holds collateral at the Federal Reserve Bank of Philadelphia in order to access their Discount Window Lending program. The collateral consisting of investment securities was valued at $69.4 million and $52.0 million at June 30, 2018 and December 31, 2017, respectively. At June 30, 2018 and December 31, 2017, the Corporation had no outstanding borrowings under this program.

The Corporation has a $10.0 million line of credit with a correspondent bank. At June 30, 2018 and December 31, 2017, the Corporation had no outstanding borrowings under this line.

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Long-term advances with the FHLB of Pittsburgh mature as follows:

(Dollars in thousands)	As of June 30, 2018		Weighted Average Rate
Remainder of 2018	$	10,005	0.70	%
2019	10,000		1.35
2020	40,000		1.70
2021	55,000		1.94
2022	10,000		2.09
Thereafter	—		—
Total	$	125,005	1.73	%

Long-term debt under security repurchase agreements with large commercial banks mature as follows:

(Dollars in thousands)	As of June 30, 2018		Weighted Average Rate
Remainder of 2018	$	10,085	1.46	%
2019	10,190		2.33
2020	10,276		2.33
2021	—		—
2022	—		—
Thereafter	—		—
Total	$	30,551	2.04	%

Long-term debt under security repurchase agreements totaling $25.5 million are variable based on the one-month LIBOR rate plus a spread. One borrowing for $5.0 million has a fixed interest rate and may be called by the lender based on the underlying agreement.

Note 8. Retirement Plans and Other Postretirement Benefits

Substantially all employees who were hired before December 8, 2009 are covered by a noncontributory retirement plan. Employees hired on or after December 8, 2009 are not eligible to participate in the noncontributory retirement plan. The Corporation also provides supplemental executive retirement benefits to certain former executives, a portion of which is in excess of limits imposed on qualified plans by federal tax law; these plans are non-qualified benefit plans. These non-qualified benefit plans are not offered to new participants; all current participants are now retired. Information on these plans are aggregated and reported under “Retirement Plans” within this footnote.

The Corporation also provides certain postretirement healthcare and life insurance benefits for retired employees. Information on these benefits is reported under “Other Postretirement Benefits” within this footnote.

The Corporation sponsors a Supplemental Non-Qualified Pension Plan, which was established in 1981 prior to the existence of a 401(k) deferred salary savings plan, employee stock purchase plan and long-term incentive plans and therefore is not offered to new participants; all current participants are now retired.

Components of net periodic benefit cost (income) were as follows:

	Three Months Ended June 30,
	2018			2017			2018		2017
(Dollars in thousands)	Retirement Plans						Other Post Retirement Benefits
Service cost	$	140		$	124		$	22	$	12
Interest cost	439			487			23		30
Expected return on plan assets	(795		)	(748		)	—		—
Amortization of net actuarial loss	281			289			1		10
Accretion of prior service cost	(71		)	(71		)	—		—
Net periodic benefit (income) cost	$	(6	)	$	81		$	46	$	52

30

	Six Months Ended June 30,
	2018			2017			2018		2017
(Dollars in thousands)	Retirement Plans						Other Post Retirement Benefits
Service cost	$	280		$	275		$	44	$	24
Interest cost	880			952			46		59
Expected return on plan assets	(1,591		)	(1,501		)	—		—
Amortization of net actuarial loss	561			577			2		21
Accretion of prior service cost	(142		)	(141		)	—		—
Net periodic benefit (income) cost	$	(12	)	$	162		$	92	$	104

The components of net periodic benefit cost other than the service cost component are included in other noninterest expense in the consolidated statements of income.

The Corporation made a contribution of $3.0 million to its qualified retirement plan on July 5, 2018. The Corporation previously disclosed in its financial statements for the year ended December 31, 2017 that it expected to make contributions of $158 thousand to its non-qualified retirement plans and $80 thousand to its other postretirement benefit plans in 2018. During the six months ended June 30, 2018, the Corporation contributed $80 thousand to its non-qualified retirement plans and $53 thousand to its other postretirement plans. During the six months ended June 30, 2018, $1.3 million was paid to participants from the retirement plans and $53 thousand was paid to participants from the other postretirement plans.

Note 9. Stock-Based Incentive Plan

The Corporation has a shareholder approved 2013 Long-Term Incentive Plan, which replaced the expired 2003 Long-Term Incentive Plan. Under the 2013 Long-Term Incentive Plan, the Corporation may grant up to 3,698,974 options and restricted stock to employees and non-employee directors, which includes 330,625 shares as a result of the Corporation's common stock issuance in 2017, 857,191 shares as a result of the completion of the acquisition of Fox Chase in 2016 and 473,483 shares as a result of the completion of the acquisition of Valley Green Bank in 2015.

The following is a summary of the Corporation's stock option activity and related information for the six months ended June 30, 2018:

(Dollars in thousands, except per share data)	Shares Under Option		Weighted Average Exercise Price Per Share		Weighted Average Remaining Contractual Life (Years)	Aggregate Intrinsic Value at June 30, 2018
Outstanding at December 31, 2017	512,735		$	21.90
Granted	193,778		28.50
Expired	—		—
Forfeited	(12,537	)	25.48
Exercised	(36,990	)	19.21
Outstanding at June 30, 2018	656,986		23.93		7.7	$	2,648
Exercisable at June 30, 2018	279,627		20.26		6.0	2,063

The following is a summary of nonvested stock options at June 30, 2018 including changes during the six months then ended:

(Dollars in thousands, except per share data)	Nonvested Stock Options		Weighted Average Grant Date Fair Value
Nonvested stock options at December 31, 2017	352,142		$	6.47
Granted	193,778		6.46
Vested	(156,024	)	6.45
Forfeited	(12,537	)	6.48
Nonvested stock options at June 30, 2018	377,359		6.48

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The following aggregated assumptions were used to estimate the fair value of options granted during the six months ended June 30, 2018 and 2017:

	Six months ended June 30,
	2018		2017
	Actual
Expected option life in years	6.6		6.9
Risk free interest rate	2.80	%	2.30	%
Expected dividend yield	2.81	%	2.84	%
Expected volatility	27.15	%	29.75	%
Fair value of options	$6.46		$6.72

The following is a summary of nonvested restricted stock awards at June 30, 2018 including changes during the six months then ended:

(Dollars in thousands, except per share data)	Nonvested Share Awards		Weighted Average Grant Date Fair Value
Nonvested share awards at December 31, 2017	229,026		$	21.93
Granted	59,953		28.39
Vested	(43,200	)	18.59
Forfeited	(22,938	)	20.80
Nonvested share awards at June 30, 2018	222,841		24.44

The fair value of restricted stock is equivalent to the fair value on the date of grant and is amortized over the vesting period. Certain information regarding restricted stock is summarized below for the periods indicated:

	Six months ended June 30,
(Dollars in thousands, except per share data)	2018		2017
Shares granted	59,953		61,823
Weighted average grant date fair value	$	28.39	$	28.08
Intrinsic value of awards vested	$	1,193	$	1,367

The total unrecognized compensation expense and the weighted average period over which unrecognized compensation expense is expected to be recognized related to nonvested stock options and nonvested restricted stock awards at June 30, 2018 is presented below:

(Dollars in thousands)	Unrecognized Compensation Cost		Weighted-Average Period Remaining (Years)
Stock options	$	1,935	2.1
Restricted stock awards	2,566		2.0
	$	4,501	2.0

The following table presents information related to the Corporation’s compensation expense related to stock incentive plans recognized for the periods indicated:

	Six months ended June 30,
(Dollars in thousands)	2018		2017
Stock-based compensation expense:
Stock options	$	515	$	454
Restricted stock awards	1,204		1,254
Employee stock purchase plan	34		32
Total	$	1,753	$	1,740
Tax benefit on nonqualified stock option expense, restricted stock awards and disqualifying dispositions of incentive stock options	$	413	$	828

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Note 10. Accumulated Other Comprehensive (Loss) Income

The following table shows the components of accumulated other comprehensive (loss) income, net of taxes, for the periods presented:

(Dollars in thousands)	Net Unrealized (Losses) Gains on Available-for-Sale Investment Securities			Net Change Related to Derivatives Used for Cash Flow Hedges			Net Change Related to Defined Benefit Pension Plans			Accumulated Other Comprehensive (Loss) Income
Balance, December 31, 2017	$	(4,061	)	$	9		$	(13,719	)	$	(17,771	)
Adjustment to initially apply ASU No. 2016-01 for equity securities measured at fair value (1)	(433		)	—			—			(433		)
Adjustment to initially apply ASU No. 2018-02 for reclassification of stranded net tax charges (1)	(968		)	2			(2,955		)	(3,921		)
Other comprehensive (loss) income	(6,525		)	310			333			(5,882		)
Balance, June 30, 2018	$	(11,987	)	$	321		$	(16,341	)	$	(28,007	)
Balance, December 31, 2016	$	(4,988	)	$	(141	)	$	(14,325	)	$	(19,454	)
Net Change	1,961			14			297			2,272
Balance, June 30, 2017	$	(3,027	)	$	(127	)	$	(14,028	)	$	(17,182	)

(1) See Note 1, "Summary of Significant Accounting Policies - Accounting Pronouncements Adopted in 2018" for additional information.

Note 11. Derivative Instruments and Hedging Activities

Interest Rate Swaps

The Corporation may use interest rate swap agreements to modify interest rate characteristics from variable to fixed or fixed to variable in order to reduce the impact of interest rate changes on future net interest income. Recorded amounts related to interest-rate swaps are included in other assets or liabilities. The Corporation’s credit exposure on interest rate swaps includes fair value and any collateral that is held by a third party. Changes in the fair value of derivative instruments designated as hedges of future cash flows are recognized in accumulated other comprehensive income until the underlying forecasted transactions occur, at which time the deferred gains and losses are recognized in earnings. For a qualifying fair value hedge, the gain or loss on the hedging instrument is recognized in earnings, and the change in fair value of the hedge item, to the extent attributable to the hedged risk, adjusts the carrying amount of the hedge item and is recognized in earnings.

In 2014, the Corporation entered into an amortizing interest rate swap classified as a cash flow hedge with a notional amount of $20.0 million to hedge a portion of the debt financing of a pool of 10-year maturity fixed rate loans with balances totaling $29.1 million, at time of the hedge, that were originated in 2013. A brokered money market demand account with a balance exceeding the amortizing interest rate swap balance is being used for the cash flow hedge. Under the terms of the swap agreement, the Corporation pays a fixed rate of 2.10% and receives a floating rate of one-monthLIBOR. The swap matures in November 2022. The Corporation performed an assessment of the hedge for effectiveness at the inception of the hedge and on a recurring basis to determine that the derivative has been and is expected to continue to be highly effective in offsetting changes in cash flows of the hedged item. The Corporation expects that there will be no ineffectiveness over the life of the interest rate swap. At June 30, 2018, there is no gain or loss recorded in accumulated other comprehensive loss that is expected to be reclassified into earnings during the next twelve months. This amount could differ from amounts actually recognized due to changes in interest rates, hedge de-designations, and the addition of other hedges subsequent to June 30, 2018. At June 30, 2018, the notional amount of the interest rate swap was $17.5 million, with a positive fair value of $407 thousand.

The Corporation has an interest rate swap classified as a fair value hedge with a current notional amount of $1.4 million to hedge a 10-year fixed rate loan that is earning interest at 5.83%. The Corporation pays a fixed rate of 5.83% and receives a floating rate based on the one-month LIBOR plus 350 basis points. The swap matures in October 2021. The difference between changes in the fair values of the interest rate swap agreement and the hedged loan represents hedge ineffectiveness and is recorded in other noninterest income in the consolidated statements of operations.

The Corporation has an interest rate swap with a current notional amount of $471 thousand, for a 15-year fixed rate loan that is earning interest at 7.43%. The Corporation pays a fixed rate of 7.43% and receives a floating rate based on the one-month LIBOR plus 224 basis points. The swap matures in April 2022. The interest rate swap is carried at fair value in accordance with

33

FASB ASC 815 "Derivatives and Hedging." The loan is carried at fair value under the fair value option as permitted by FASB ASC 825 "Financial Instruments."

Credit Derivatives

The Corporation has agreements with third-party financial institutions whereby the third-party financial institution enters into interest rate derivative contracts with loan customers referred to them by the Corporation. By the terms of the agreements, the third-party financial institution has recourse to the Corporation for any exposure created under each swap contract in the event the customer defaults on the swap agreement and the agreement is in a paying position to the third-party financial institution. These transactions represent credit derivatives and are a customary arrangement that allows the Corporation to provide access to interest rate transactions for customers without creating the swap. The Corporation records the fair value of credit derivatives in other liabilities on the consolidated balance sheets. The Corporation recognizes changes in the fair value of credit derivatives, net of any fees received, in other noninterest income in the consolidated statements of income.

At June 30, 2018, the Corporation has fifteen variable-rate to fixed-rate interest rate swap transactions between the third-party financial institution and customers with a current notional amount of $75.7 million, and remaining maturities ranging from one to 10 years. At June 30, 2018, the fair value of the swaps to the customers was a liability of $37 thousand and all swaps were in paying positions to the third-party financial institution.

The maximum potential payments by the Corporation to the third-party financial institution under these credit derivatives are not estimable as they are contingent on future interest ratesand the agreement does not provide for a limitation of the maximum potential payment amount.

Mortgage Banking Derivatives

Derivative loan commitments represent agreements for delayed delivery of financial instruments in which the buyer agrees to purchase and the seller agrees to deliver, at a specified future date, a specified instrument at a specified price or yield. The Corporation’s derivative loan commitments are commitments to sell loans secured by 1-to 4-family residential properties whose predominant risk characteristic is interest rate risk. The fair values of these derivative loan commitments are based upon the estimated amount the Corporation would receive or pay to terminate the contracts or agreements, taking into account current interest rates and, when appropriate, the current creditworthiness of the counterparties.

Derivatives Tables

The following table presents the notional amounts and fair values of derivatives designated as hedging instruments recorded on the consolidated balance sheets at June 30, 2018 and December 31, 2017. The Corporation pledges cash or securities to cover the negative fair value of derivative instruments. Cash collateral associated with derivative instruments are not added to or netted against the fair value amounts.

			Derivative Assets			Derivative Liabilities
(Dollars in thousands)	Notional Amount		Balance Sheet Classification	Fair Value		Balance Sheet Classification	Fair Value
At June 30, 2018
Interest rate swap - cash flow hedge	$	17,460	Other assets	$	407		$	—
Interest rate swap - fair value hedge	1,367		Other assets	15			—
Total	$	18,827		$	422		$	—
At December 31, 2017
Interest rate swap - cash flow hedge	$	17,836	Other assets	$	13		$	—
Interest rate swap - fair value hedge	1,388			—		Other liabilities	12
Total	$	19,224		$	13		$	12

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The following table presents the notional amounts and fair values of derivatives not designated as hedging instruments recorded on the consolidated balance sheets at June 30, 2018 and December 31, 2017:

			Derivative Assets			Derivative Liabilities
(Dollars in thousands)	Notional Amount		Balance Sheet Classification	Fair Value		Balance Sheet Classification	Fair Value
At June 30, 2018
Interest rate swap	$	471		$	—	Other liabilities	$	25
Credit derivatives	75,734			—		Other liabilities	37
Interest rate locks with customers	29,737		Other assets	632			—
Forward loan sale commitments	31,469			—		Other liabilities	91
Total	$	137,411		$	632		$	153
At December 31, 2017
Interest rate swap	$	523		$	—	Other liabilities	$	38
Credit derivatives	75,622			—		Other liabilities	36
Interest rate locks with customers	27,411		Other assets	527			—
Forward loan sale commitments	29,037		Other assets	61			—
Total	$	132,593		$	588		$	74

The following table presents amounts included in the consolidated statements of income for derivatives designated as hedging instruments for the periods indicated:

	Statement of Income Classification	Three Months Ended   June 30,						Six Months Ended   June 30,
(Dollars in thousands)		2018			2017			2018			2017
Interest rate swap—cash flow hedge—net interest payments	Interest expense	$	6		$	36		$	26		$	107
Interest rate swap—fair value hedge—ineffectiveness	Other noninterest income	2			2			2			5
Net loss		$	(4	)	$	(34	)	$	(24	)	$	(102	)

The following table presents amounts included in the consolidated statements of income for derivatives not designated as hedging instruments for the periods indicated:

	Statement of Income Classification	Three Months Ended   June 30,					Six Months Ended   June 30,
(Dollars in thousands)		2018			2017		2018			2017
Credit derivatives	Other noninterest income	$	34		$	53	$	38		$	124
Interest rate locks with customers	Net gain on mortgage banking activities	237			155		105			562
Forward loan sale commitments	Net loss on mortgage banking activities	(104		)	162		(153		)	(92		)
Total		$	167		$	370	$	(10	)	$	594

The following table presents amounts included in accumulated other comprehensive (loss) income for derivatives designated as hedging instruments at June 30, 2018 and December 31, 2017:

(Dollars in thousands)	Accumulated Other Comprehensive (Loss) Income	At June 30, 2018		At December 31, 2017
Interest rate swap—cash flow hedge	Fair value, net of taxes	$	321	$	9
Total		$	321	$	9

35

Note 12. Fair Value Disclosures

Fair value is the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. The Corporation determines the fair value of financial instruments based on the fair value hierarchy. The Corporation maximizes the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the Corporation. Unobservable inputs are inputs that reflect the Corporation’s assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances, including assumptions about risk. Three levels of inputs are used to measure fair value. A financial instrument’s level within the fair value hierarchy is based on the lowest level of input significant to the fair value measurement. Transfers between levels are recognized at the end of the reporting period.

Level 1: Valuations are based on quoted prices in active markets for identical assets or liabilities that the Corporation can access at the measurement date. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these products does not entail a significant degree of judgment.

Level 2: Valuations are based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly.

Level 3: Valuations are based on inputs that are unobservable and significant to the overall fair value measurement. Assets and liabilities utilizing Level 3 inputs include: financial instruments whose value is determined using pricing models, discounted cash-flow methodologies, or similar techniques, as well as instruments for which the fair value calculation requires significant management judgment or estimation.

Following is a description of the valuation methodologies used for instruments measured at fair value on a recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy.

Investment Securities

Where quoted prices are available in an active market for identical instruments, investment securities are classified within Level 1 of the valuation hierarchy. Level 1 investment securities include U.S. Treasury securities, most equity securities and money market mutual funds. Mutual funds are registered investment companies which are valued at net asset value of shares on a market exchange at the end of each trading day. Level 2 of the valuation hierarchy includes securities issued by U.S. Government sponsored enterprises, mortgage-backed securities, collateralized mortgage obligations, corporate and municipal bonds and certain equity securities. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. In cases where there is limited activity or less transparency around inputs to the valuation, investment securities are classified within Level 3 of the valuation hierarchy.

Fair values for securities are determined using independent pricing services and market-participating brokers. The Corporation’s independent pricing service utilizes evaluated pricing models that vary by asset class and incorporate available trade, bid and other market information for structured securities, cash flow and, when available, loan performance data. Because many fixed income securities do not trade on a daily basis, the pricing service’s evaluated pricing applications apply information as applicable through processes, such as benchmarking of like securities, sector groupings, and matrix pricing, to prepare evaluations. If at any time, the pricing service determines that it does not have sufficient verifiable information to value a particular security, the Corporation will utilize valuations from another pricing service. Management has a sufficient understanding of the third party service’s valuation models, assumptions and inputs used in determining the fair value of securities to enable management to maintain an appropriate system of internal control.

Certain corporate bonds owned by the Corporation are classified as Level 3 as they are not traded in active markets. The fair value of each bond is estimated by benchmarking similar transactions of structure, yield and credit which are owned by the Corporation and are actively traded in the market.

On a quarterly basis, the Corporation reviews changes, as submitted by the pricing service, in the market value of its security portfolio. Individual changes in valuations are reviewed for consistency with general interest rate movements and any known credit concerns for specific securities. If, upon the Corporation’s review or in comparing with another service, a material difference between pricing evaluations were to exist, the Corporation may submit an inquiry to the current pricing service regarding the data used to determine the valuation of a particular security. If the Corporation determines there is market information that would support a different valuation than from the current pricing service’s evaluation, the Corporation may utilize and change the security's valuation. There were no material differences in valuations noted at June 30, 2018.

36

Derivative Financial Instruments

The fair values of derivative financial instruments are based upon the estimated amount the Corporation would receive or pay to terminate the contracts or agreements, taking into account current interest rates and, when appropriate, the current creditworthiness of the counterparties. Interest rate swaps and mortgage banking derivative financial instruments are classified within Level 2 of the valuation hierarchy. Credit derivatives are valued based on credit worthiness of the underlying borrower which is a significant unobservable input and therefore classified in Level 3 of the valuation hierarchy.

Two commercial loans associated with interest rate swaps are classified in Level 3 of the valuation hierarchy since lending credit risk is not an observable input for these loans. The unrealized gain on the two loans was $15 thousand at June 30, 2018.

Contingent Consideration Liability

The Corporation estimates the fair value of the contingent consideration liability by using a discounted cash flow model of future contingent payments based on projected revenue related to the acquired business. The estimated fair value of the contingent consideration liability is reviewed on a quarterly basis and any valuation adjustments resulting from a change of estimated future contingent payments based on projected revenue of the acquired business affecting the contingent consideration liability will be recorded through noninterest expense. Due to the significant unobservable input related to the projected revenue, the contingent consideration liability is classified within Level 3 of the valuation hierarchy. An increase in the projected revenue may result in a higher fair value of the contingent consideration liability. Alternatively, a decrease in the projected revenue may result in a lower estimated fair value of the contingent consideration liability.

The following table presents the assets and liabilities measured at fair value on a recurring basis at June 30, 2018 and December 31, 2017, classified using the fair value hierarchy:

	At June 30, 2018
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets/ Liabilities at Fair Value
Assets:
Available-for-sale securities:
U.S. government corporations and agencies	$	—	$	15,339	$	—	$	15,339
State and political subdivisions	—		69,910		—		69,910
Residential mortgage-backed securities	—		165,609		—		165,609
Collateralized mortgage obligations	—		3,171		—		3,171
Corporate bonds	—		67,389		26,386		93,775
Total available-for-sale securities	—		321,418		26,386		347,804
Equity securities:
Equity securities - financial services industry	1,109		—		—		1,109
Money market mutual funds	1,563		—		—		1,563
Total equity securities	2,672		—		—		2,672
Loans*	—		—		1,847		1,847
Interest rate swaps*	—		422		—		422
Interest rate locks with customers*	—		632		—		632
Total assets	$	2,672	$	322,472	$	28,233	$	353,377
Liabilities:
Contingent consideration liability	$	—	$	—	$	300	$	300
Interest rate swaps*	—		25		—		25
Credit derivatives*	—		—		37		37
Forward loan sale commitments*	—		91		—		91
Total liabilities	$	—	$	116	$	337	$	453

37

	At December 31, 2017
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets/ Liabilities at Fair Value
Assets:
Available-for-sale securities:
U.S. government corporations and agencies	$	—	$	16,961	$	—	$	16,961
State and political subdivisions	—		78,297		—		78,297
Residential mortgage-backed securities	—		185,421		—		185,421
Collateralized mortgage obligations	—		3,602		—		3,602
Corporate bonds	—		79,190		27,986		107,176
Total available-for-sale securities	—		363,471		27,986		391,457
Equity securities:
Equity securities - financial services industry	1,076		—		—		1,076
Money market mutual funds	5,985		—		—		5,985
Total equity securities	7,061		—		—		7,061
Loans*	—		—		1,958		1,958
Interest rate swap*	—		13		—		13
Interest rate locks with customers*	—		527		—		527
Forward loan sale commitments*	—		61		—		61
Total assets	$	7,061	$	364,072	$	29,944	$	401,077
Liabilities:
Contingent consideration liability	$	—	$	—	$	339	$	339
Interest rate swaps*	—		50		—		50
Credit derivatives*	—		—		36		36
Total liabilities	$	—	$	50	$	375	$	425

* Such financial instruments are recorded at fair value as further described in Note 11, "Derivative Instruments and Hedging Activities."

The following table includes a rollforward of corporate bonds, loans and credit derivatives for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the six months ended June 30, 2018 and 2017:

	Six Months Ended June 30, 2018
(Dollars in thousands)	Balance at December 31, 2017			Purchases/additions			Sales		Payments received			Premium amortization, net		(Decrease) increase in value			Balance at June 30, 2018
Corporate bonds	$	27,986		$	—		$	—				$	—	$	(1,600	)	$	26,386
Loans	1,958			—			—		(73		)	—		(38		)	1,847
Credit derivatives	(36		)	(40		)	—		—			—		39			(37		)
Net total	$	29,908		$	(40	)	$	—	$	(73	)	$	—	$	(1,599	)	$	28,196

	Six Months Ended June 30, 2017
(Dollars in thousands)	Balance at December 31, 2016			Purchases/additions			Sales		Payments received			Premium amortization, net		(Decrease) increase in value			Balance at June 30, 2017
Corporate bonds	$	28,778		$	—		$	—	$	—		$	—	$	(391	)	$	28,387
Loans	$	2,138		$	—		$	—	$	(67	)	$	—	$	(13	)	$	2,058
Credit derivatives	(9		)	(272		)	—		—			—		124			(157		)
Net total	$	30,907		$	(272	)	$	—	$	(67	)	$	—	$	(280	)	$	30,288

38

The following table presents the change in the balance of the contingent consideration liability related to acquisitions for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the six months ended June 30, 2018 and 2017:

	Six Months Ended June 30, 2018
(Dollars in thousands)	Balance at December 31, 2017		Contingent Consideration from New Acquisition		Payment of Contingent Consideration		Adjustment of Contingent Consideration		Balance at June 30, 2018
Girard Partners	$	339	$	—	$	67	$	28	$	300
Total contingent consideration liability	$	339	$	—	$	67	$	28	$	300

	Six Months Ended June 30, 2017
(Dollars in thousands)	Balance at December 31, 2016		Contingent Consideration from New Acquisition		Payment of Contingent Consideration		Adjustment of Contingent Consideration			Balance at June 30, 2017
Sterner Insurance Associates	$	331	$	—	$	—	$	(303	)	$	28
Girard Partners	5,668		$	—	5,317		28			379
Total contingent consideration liability	$	5,999	$	—	$	5,317	$	(275	)	$	407

The Corporation may be required to periodically measure certain assets and liabilities at fair value on a non-recurring basis in accordance with GAAP. These adjustments to fair value usually result from the application of lower of cost or market accounting or impairment charges of individual assets. The following table represents assets measured at fair value on a non-recurring basis at June 30, 2018 and December 31, 2017:

	At June 30, 2018
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets at Fair Value
Impaired loans held for investment	$	—	$	—	$	31,156	$	31,156
Impaired leases held for investment	—		—		1,250		1,250
Other real estate owned	—		—		1,742		1,742
Total	$	—	$	—	$	34,148	$	34,148

	At December 31, 2017
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets at Fair Value
Impaired loans held for investment	$	—	$	—	$	28,351	$	28,351
Impaired leases held for investment	—		—		1,250		1,250
Other real estate owned	—		—		1,843		1,843
Total	$	—	$	—	$	31,444	$	31,444

39

The following table presents assets and liabilities and off-balance sheet items not measured at fair value on a recurring or non-recurring basis in the Corporation’s consolidated balance sheets but for which the fair value is required to be disclosed at June 30, 2018 and December 31, 2017. The disclosed fair values are classified using the fair value hierarchy.

	At June 30, 2018
(Dollars in thousands)	Level 1		Level 2			Level 3		Fair Value			Carrying Amount
Assets:
Cash and short-term interest-earning assets	$	72,943	$	—		$	—	$	72,943		$	72,943
Held-to-maturity securities	—		94,642			—		94,642			96,457
Federal Home Loan Bank, Federal Reserve Bank and other stock	NA		NA			NA		NA			32,768
Loans held for sale	—		1,815			—		1,815			1,778
Net loans and leases held for investment	—		—			3,742,808		3,742,808			3,758,493
Servicing rights	—		—			11,619		11,619			6,650
Total assets	$	72,943	$	96,457		$	3,754,427	$	3,923,827		$	3,969,089
Liabilities:
Deposits:
Demand and savings deposits, non-maturity	$	3,026,391	$	—		$	—	$	3,026,391		$	3,026,391
Time deposits	—		597,146			—		597,146			594,395
Total deposits	3,026,391		597,146			—		3,623,537			3,620,786
Short-term borrowings	—		231,853			—		231,853			231,853
Long-term debt	—		156,868			—		156,868			155,556
Subordinated notes	—		96,538			—		96,538			94,453
Total liabilities	$	3,026,391	$	1,082,405		$	—	$	4,108,796		$	4,102,648
Off-Balance-Sheet:
Commitments to extend credit	$	—	$	(2,469	)	$	—	$	(2,469	)	$	—

	At December 31, 2017
(Dollars in thousands)	Level 1		Level 2			Level 3		Fair Value			Carrying Amount
Assets:
Cash and short-term interest-earning assets	$	75,409	$	—		$	—	$	75,409		$	75,409
Held-to-maturity securities	—		55,320			—		55,320			55,564
Federal Home Loan Bank, Federal Reserve Bank and other stock	NA		NA			NA		NA			27,204
Loans held for sale	—		1,676			—		1,676			1,642
Net loans and leases held for investment	—		—			3,547,451		3,547,451			3,566,953
Servicing rights	—		—			10,046		10,046			6,573
Total assets	$	75,409	$	56,996		$	3,557,497	$	3,689,902		$	3,733,345
Liabilities:
Deposits:
Demand and savings deposits, non-maturity	$	2,980,170	$	—		$	—	$	2,980,170		$	2,980,170
Time deposits	—		574,737			—		574,737			574,749
Total deposits	2,980,170		574,737			—		3,554,907			3,554,919
Short-term borrowings	—		105,431			—		105,431			105,431
Long-term debt	—		156,834			—		156,834			155,828
Subordinated notes	—		98,075			—		98,075			94,331
Total liabilities	$	2,980,170	$	935,077		$	—	$	3,915,247		$	3,910,509
Off-Balance-Sheet:
Commitments to extend credit	$	—	$	(2,414	)	$	—	$	(2,414	)	$	—

40

The following valuation methods and assumptions were used by the Corporation in estimating the fair value for financial instruments measured at fair value on a non-recurring basis and financial instruments not measured at fair value on a recurring or non-recurring basis in the Corporation’s consolidated balance sheets but for which the fair value is required to be disclosed:

Cash and short-term interest-earning assets: The carrying amounts reported in the balance sheet for cash and due from banks, interest-earning deposits with other banks, federal funds sold and other short-term investments is their stated value. Cash and short-term interest-earning assets are classified within Level 1 in the fair value hierarchy.

Held-to-maturity securities: Fair values for the held-to-maturity investment securities are estimated by using pricing models or quoted prices of securities with similar characteristics and are classified in Level 2 in the fair value hierarchy.

Federal Home Loan Bank, Federal Reserve Bank and other stock: It is not practical to determine the fair values of Federal Home Loan Bank, Federal Reserve Bank and other stock, due to restrictions placed on their transferability.

Loans held for sale: The fair value of the Corporation’s mortgage loans held for sale are generally determined using a pricing model based on current market information obtained from external sources, including interest rates, bids or indications provided by market participants on specific loans that are actively marketed for sale. These loans are primarily residential mortgage loans and are generally classified in Level 2 due to the observable pricing data. Loans held for sale are carried at the lower of cost or estimated fair value. There were no valuation adjustments for loans held for sale at June 30, 2018 and December 31, 2017.

Loans and leases held for investment: As of June 30, 2018, the fair values for loans and leases held for investment are estimated using discounted cash flow analyses, using a discount rate based on current interest rates at which similar loans with similar terms would be made to borrowers, adjusted as appropriate to consider credit, liquidity and marketability factors to arrive at a fair value that represents the Corporation's exit price at which these instruments would be sold or transferred. As of December 31, 2017, the fair values for loans and leases held for investment were estimated using discounted cash flow analyses, using a discount rate based on current interest rates at which similar loans with similar terms would be made to borrowers and include components for credit risk, operating expense and embedded prepayment options. An overall valuation adjustment was made for specific credit risks in addition to general portfolio risk and is significant to the valuation.Loans and leases are classified within Level 3 in the fair value hierarchy.

Impaired loans and leases held for investment: For impaired loans and leases, the Corporation uses a variety of techniques to measure fair value, such as using the current appraised value of the collateral, agreements of sale, discounting the contractual cash flows, and analyzing market data that the Corporation may adjust due to specific characteristics of the loan/lease or collateral. At June 30, 2018, impaired loans held for investment had a carrying amount of $32.7 million with a valuation allowance of $1.5 million. At December 31, 2017, impaired loans held for investment had a carrying amount of $28.5 million with a valuation allowance of $131 thousand. The Corporation had impaired leases of $1.3 million with no reserve at June 30, 2018 and December 31, 2017.

Servicing rights: The Corporation estimates the fair value of mortgage servicing rights using discounted cash flow models that calculate the present value of estimated future net servicing income. The model uses readily available prepayment speed assumptions for the interest rates of the portfolios serviced. Mortgage servicing rights are classified within Level 3 in the fair value hierarchy based upon management's assessment of the inputs. The Corporation reviews the mortgage servicing rights portfolio on a quarterly basis for impairment and the mortgage servicing rights are carried at the lower of amortized cost or estimated fair value. The Corporation also records servicing rights on SBA loans. At June 30, 2018 and December 31, 2017, servicing rights had a carrying amount of $6.7 million and $6.6 million, respectively, with no valuation allowance.

Goodwill and other identifiable assets: Certain non-financial assets subject to measurement at fair value on a non-recurring basis include goodwill and other identifiable intangible assets. During the six months ended June 30, 2018, there were no triggering events that required valuation of goodwill and other identifiable intangible assets.

Other real estate owned: The fair value of other real estate owned (OREO) is originally estimated based upon the appraised value less estimated costs to sell. The fair value less cost to sell becomes the "original cost" of the OREO asset. Subsequently, OREO is reported as the lower of the original cost and the current the fair value less cost to sell. Capital improvement expenses associated with the construction or repair of the property are capitalized as part of the cost of the OREO asset; however, the capitalized expenses may not increase the OREO asset's recorded value to an amount greater than the asset's fair value after improvements and less cost to sell. New appraisals are generally obtained on an annual basis if an agreement of sale does not exist. During the six months ended June 30, 2018, two properties had write-downs totaling $503 thousand and two properties were transferred into OREO with a fair value of $402 thousand. At June 30, 2018 and December 31, 2017, OREO had a carrying amount

41

of $1.7 million and $1.8 million, respectively. Other real estate owned is classified within Level 3 of the valuation hierarchy due to the unique characteristics of the collateral for each loan.

Deposit liabilities: The fair values for demand and savings accounts, with no stated maturities, is the amount payable on demand at the reporting date (carrying value) and are classified within Level 1 in the fair value hierarchy. The fair values for time deposits with fixed maturities are estimated by discounting the final maturity using interest rates currently offered for deposits with similar remaining maturities. Time deposits are classified within Level 2 in the fair value hierarchy.

Short-term borrowings: The fair value of short-term borrowings are estimated using current market rates for similar borrowings and are classified within Level 2 in the fair value hierarchy.

Long-term debt: The fair value of long-term debt is estimated by using discounted cash flow analysis, based on current market rates for debt with similar terms and remaining maturities. Long-term debt is classified within Level 2 in the fair value hierarchy.

Subordinated notes: The fair value of the subordinated notes are estimated by discounting the principal balance using the treasury yield curve for the term to the call date as the Corporation has the option to call the subordinated notes. The subordinated notes are classified within Level 2 in the fair value hierarchy.

Off-balance-sheet instruments: Fair values for the Corporation’s off-balance-sheet instruments are based on the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties’ credit standing and are classified within Level 2 in the fair value hierarchy.

Note 13. Segment Reporting

At June 30, 2018, 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 consumer and commercial customers 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 June 30, 2018		At December 31, 2017		At June 30, 2017
Banking	$	4,656,201	$	4,466,301	$	4,366,362
Wealth Management	37,227		34,600		32,806
Insurance	29,295		27,846		25,241
Other	26,458		26,115		29,118
Consolidated assets	$	4,749,181	$	4,554,862	$	4,453,527

42

The following tables provide reportable segment-specific information and reconciliations to consolidated financial information for the three and six months ended June 30, 2018 and 2017.

	Three Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	46,444		$	8	$	—	$	8		$	46,460
Interest expense	6,209			—		—		1,261			7,470
Net interest income	40,235			8		—		(1,253		)	38,990
Provision for loan and lease losses	15,409			—		—		—			15,409
Noninterest income	5,461			5,862		3,904		87			15,314
Intangible expenses	329			137		128		—			594
Other noninterest expense	26,723			3,628		3,093		309			33,753
Intersegment (revenue) expense*	(295		)	156		139		—			—
Income (expense) before income taxes	3,530			1,949		544		(1,475		)	4,548
Income tax (benefit) expense	(162		)	597		163		(407		)	191
Net income (loss)	$	3,692		$	1,352	$	381	$	(1,068	)	$	4,357
Capital expenditures	$	820		$	40	$	2	$	10		$	872

	Three Months Ended
	June 30, 2017
(Dollars in thousands)	Banking			Wealth Management		Insurance			Other			Consolidated
Interest income	$	40,022		$	1	$	—		$	7		$	40,030
Interest expense	3,469			—		—			1,261			4,730
Net interest income	36,553			1		—			(1,254		)	35,300
Provision for loan and lease losses	2,766			—		—			—			2,766
Noninterest income	6,790			5,399		3,746			74			16,009
Intangible expenses	398			168		(120		)	—			446
Other noninterest expense	24,160			3,512		2,846			1,584			32,102
Intersegment (revenue) expense*	(264		)	146		118			—			—
Income (expense) before income taxes	16,283			1,574		902			(2,764		)	15,995
Income tax expense (benefit)	4,193			639		379			(994		)	4,217
Net income (loss)	$	12,090		$	935	$	523		$	(1,770	)	$	11,778
Capital expenditures	$	2,019		$	11	$	192		$	34		$	2,256

	Six Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	89,966		$	13	$	—	$	15		$	89,994
Interest expense	11,210			—		—		2,522			13,732
Net interest income	78,756			13		—		(2,507		)	76,262
Provision for loan and lease losses	17,462			—		—		—			17,462
Noninterest income	10,250			11,602		8,990		54			30,896
Intangible expenses	658			279		269		—			1,206
Restructuring charges	571			—		—		—			571
Other noninterest expense	54,384			7,286		6,338		(313		)	67,695
Intersegment (revenue) expense*	(586		)	309		277		—			—
Income (expense) before income taxes	16,517			3,741		2,106		(2,140		)	20,224
Income tax expense (benefit)	1,836			1,142		619		(580		)	3,017
Net income (loss)	$	14,681		$	2,599	$	1,487	$	(1,560	)	$	17,207
Capital expenditures	$	1,790		$	89	$	9	$	65		$	1,953

43

	Six Months Ended
	June 30, 2017
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	78,414		$	2	$	—	$	10		$	78,426
Interest expense	6,321			—		—		2,522			8,843
Net interest income	72,093			2		—		(2,512		)	69,583
Provision for loan and lease losses	5,211			—		—		—			5,211
Noninterest income	11,952			10,537		8,293		197			30,979
Intangible expenses	794			338		73		—			1,205
Other noninterest expense	49,216			6,932		5,915		1,310			63,373
Intersegment (revenue) expense*	(528		)	292		236		—			—
Income (expense) before income taxes	29,352			2,977		2,069		(3,625		)	30,773
Income tax expense (benefit)	7,721			1,164		871		(1,617		)	8,139
Net income (loss)	$	21,631		$	1,813	$	1,198	$	(2,008	)	$	22,634
Capital expenditures	$	6,339		$	22	$	199	$	84		$	6,644

*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.

Note 14. Revenue from Contracts with Customers

In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers (Topic 606)” and subsequent related updates. The Corporation adopted the guidance effective January 1, 2018 using the modified retrospective method though no adjustments were made to retained earnings as a result of the adoption. The Corporation’s revenue is the sum of net interest income and noninterest income. Revenues are recognized when obligations under the terms of contracts with customers are satisfied, including the transfer of control of the promised goods or services to customers, in an amount that reflects the consideration the Corporation expects to be entitled to in exchange for those goods or services. The Corporation provides services to customers which have related performance obligations that are completed to recognize revenue. The Corporation's revenues are generally recognized either immediately upon the completion of the services or over time as the services are performed. Any services performed over time generally require services to be rendered each period and therefore progress in completing these services is measured based upon the passage of time.

The following tables disaggregate the Corporation's revenue by major source for the three and six months ended June 30, 2018 and 2017.

	Three Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management			Insurance		Other			Consolidated
Net interest income (1)	$	40,235		$	8		$	—	$	(1,253	)	$	38,990
Noninterest income:
Trust fee income	—			2,044			—		—			2,044
Service charges on deposit accounts	1,335			—			—		—			1,335
Investment advisory commission and fee income	—			3,778			—		—			3,778
Insurance commission and fee income	—			—			3,712		—			3,712
Other service fee income (2)	2,198			41			192		—			2,431
Bank owned life insurance income (1)	1,161			—			—		49			1,210
Net gain on mortgage banking activities (1)	942			—			—		—			942
Other (loss) income (2)	(175		)	(1		)	—		38			(138		)
Total noninterest income	$	5,461		$	5,862		$	3,904	$	87		$	15,314

44

	Three Months Ended
	June 30, 2017
(Dollars in thousands)	Banking		Wealth Management		Insurance		Other			Consolidated
Net interest income (1)	$	36,553	$	1	$	—	$	(1,254	)	$	35,300
Noninterest income:
Trust fee income	—		2,016		—		—			2,016
Service charges on deposit accounts	1,313		—		—		—			1,313
Investment advisory commission and fee income	—		3,333		—		—			3,333
Insurance commission and fee income	—		—		3,628		—			3,628
Other service fee income (2)	2,077		50		118		—			2,245
Bank owned life insurance income (1)	1,549		—		—		73			1,622
Net gain on sales of investment securities (1)	20		—		—		1			21
Net gain on mortgage banking activities (1)	1,537		—		—		—			1,537
Other income (2)	294		—		—		—			294
Total noninterest income	$	6,790	$	5,399	$	3,746	$	74		$	16,009

	Six Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management		Insurance			Other			Consolidated
Net interest income (1)	$	78,756		$	13	$	—		$	(2,507	)	$	76,262
Noninterest income:
Trust fee income	—			4,040		—			—			4,040
Service charges on deposit accounts	2,662			—		—			—			2,662
Investment advisory commission and fee income	—			7,461		—			—			7,461
Insurance commission and fee income	—			—		8,600			—			8,600
Other service fee income (2)	4,107			101		392			—			4,600
Bank owned life insurance income (1)	1,859			—		—			20			1,879
Net gain on sales of investment securities (1)	10			—		—			—			10
Net gain on mortgage banking activities (1)	1,658			—		—			—			1,658
Other (loss) income (2)	(46		)	—		(2		)	34			(14		)
Total noninterest income	$	10,250		$	11,602	$	8,990		$	54		$	30,896

	Six Months Ended
	June 30, 2017
(Dollars in thousands)	Banking		Wealth Management		Insurance		Other			Consolidated
Net interest income (1)	$	72,093	$	2	$	—	$	(2,512	)	$	69,583
Noninterest income:
Trust fee income	—		3,923		—		—			3,923
Service charges on deposit accounts	2,556		—		—		—			2,556
Investment advisory commission and fee income	—		6,514		—		—			6,514
Insurance commission and fee income	—		—		8,038		—			8,038
Other service fee income (2)	3,878		100		254		—			4,232
Bank owned life insurance income (1)	2,211		—		—		194			2,405
Net gain on sales of investment securities (1)	33		—		—		3			36
Net gain on mortgage banking activities (1)	2,650		—		—		—			2,650
Other income (2)	624		—		1		—			625
Total noninterest income	$	11,952	$	10,537	$	8,293	$	197		$	30,979

(1) Net interest income as well as many other revenues for financial assets and liabilities including loans, leases, securities, and derivatives are excluded from the scope of the standard. Noninterest income streams that are out-of-scope of the standard include bank owned life insurance income, sales of investment securities and mortgage banking activities.

(2) Other service fee income and other income include certain items that are in scope and certain items that are out of scope of the standard and are described further in the following paragraphs.

45

Banking Segment

The Banking segment provides financial services to consumer and commercial customers 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.

Service charges on deposit accounts are generally earned on depository accounts for commercial and consumer customers and primarily includes fees for account services, overdraft services, and cash management services for commercial customers. Account services include fees for event-driven services such as ATM transactions and fees for periodic account maintenance activities. Cash management services for commercial customers include fees for event-driven services such as lockbox processing and line sweep services and fees for periodic account maintenance activities. The Corporation's obligation for event-driven services is satisfied at the time of the event when the service is delivered, while the obligation for periodic services is satisfied over the course of each month. Obligations for overdraft services is satisfied at the time of the overdraft.

Other service fee income is earned from commercial and consumer customers and primarily includes credit and debit card interchange and merchant revenues, mortgage servicing income, which is out of scope of the standard, and other deposit related service fee income such as wire transfers, check services and safe deposit boxes. Interchange and merchant revenues are recognized concurrently with the delivery of services on a monthly basis. Other deposit related service fee income include fees for event-driven services, such as wire transfers and check services, and fees for periodic services such as safe deposit box services. The obligation for event-driven services is satisfied at the time of the event when the service is delivered, while the obligation for periodic services is satisfied over the course of each month.

Other income primarilyincludes net gains or losses from the sales of loans and leases, net gains or losses from the sales or disposition of fixed assets and net gains or losses on interest rate swaps, all of which are out of scope of the standard, and net gains or losses on sales and write-downs of other real estate owned. Net gains or losses on sales of other real estate owned are recognized at the point in time in which control of the other real estate owned is transferred.

Wealth Management Segment

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.

Trust fee income is earned for providing trust, investment management and other related services. Obligations for trust and other related services are generally satisfied over time but may be satisfied at points in time for certain activities that are transactional in nature and obligations for investment management services are generally performed over time. Fees for trust fee income are typically based on a tiered scale relative to the market value of assets under management and are recognized in conjunction with the delivery of services.

Investment advisory commission and fee income include fees for financial planning, guardian and custodian of employee benefits, investment advisory, and brokerage services. Obligations for financial planning, guardian and custodian of employee benefits, and investment advisory services are generally satisfied over time and fees, typically based on a tiered scale relative to the market value of assets under management are recognized in conjunction with the delivery of services. Brokerage services are typically event driven and are based on the size and number of transactions executed at the client’s direction and recognized on the trade date.

Insurance Segment

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.

Insurance commission and fee income is derived primarily from commissions from the sale of insurance policies, which are generally calculated as a percentage of the policy premium, and contingent income, which is calculated based on the performance of the policies held by each carrier. Obligations for the sale of insurance policies are generally satisfied at the point in time which the policy is executed and are recognized at the point in time in which the amounts are knownand collection is reasonably assured. Obligations for contingent income are generally satisfied over time and are recognized at the point in time in which the amounts are known and collection is reasonably assured.

46

Other service fee income is earned from human resources consulting services. These obligations are generally satisfied over time and are recognized on a periodic basis.

Note 15. Restructuring Charges

During January 2018, the Corporation announced the closure of two owned financial centers and one leased financial center and reduced staff associated with these financial centers, resulting in accruing a loss of $571 thousand related to the Banking business segment. These financial centers were closed in April 2018. The remaining accrued restructuring expense at January 1, 2018 of $23 thousand relates to 2016 restructuring charges.

A roll-forward of the remaining accrued restructuring expense for the six months ended June 30, 2018 is as follows:

(Dollars in thousands)	Severance expenses			Write-downs and retirements of fixed assets			Lease cancellations			Total
Accrued at January 1, 2018	$	—		$	—		$	23		$	23
Restructuring charges	366			48			157			571
Payments	(197		)	—			(22		)	(219		)
Non-cash settlement	—			(48		)	—			(48		)
Accrued at June 30, 2018	$	169		$	—		$	158		$	327

Note 16. Contingencies

The Corporation is periodically subject to various pending and threatened legal actions, which involve claims for monetary relief. Based upon information presently available to the Corporation, it is the Corporation's opinion that any legal and financial responsibility arising from such claims will not have a material adverse effect on the Corporation's results of operations, financial position or cash flows.

47

Item 2.     Management’s Discussion and Analysis of Financial Condition and Results of Operations

(All dollar amounts presented in tables are in thousands, except per share data. “BP” equates to “basis points”; “N/ M” equates to “not meaningful”; “—” equates to “zero” or “doesn’t round to a reportable number”; and “N/A” equates to “not applicable.” Certain prior period amounts have been reclassified to conform to the current-year presentation.)

Forward-Looking Statements

The information contained in this report may contain forward-looking statements. When used or incorporated by reference in disclosure documents, the words “believe,” “anticipate,” “estimate,” “expect,” “project,” “target,” “goal” and similar expressions are intended to identify forward-looking statements within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Exchange Act of 1934. Such forward-looking statements are subject to certain risks, uncertainties and assumptions, including but not limited to those set forth below:

• Operating, legal and regulatory risks;

• Economic, political and competitive forces impacting various lines of business;

• Legislative, regulatory and accounting changes;

• Demand for our financial products and services in our market area;

• Volatility in interest rates;

• The quality and composition of our loan and investment portfolios;

• Timing of revenues and expenditures;

• Returns on investment decisions;

• Other risks and uncertainties, including those occurring in the U.S. and world financial systems; and

• The risk that our analysis of these risks and forces could be incorrect and/or that the strategies developed to address them could be unsuccessful.

Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, estimated, expected or projected. These and other risk factors are more fully described in this report and in the Univest Corporation of Pennsylvania (the Corporation) Annual Report on Form 10-K for the year ended December 31, 2017 under the section entitled "Item 1A -- Risk Factors," and from time to time in other filings made by the Corporation with the SEC.

These forward-looking statements speak only at the date of the report. The Corporation expressly disclaims any obligation to publicly release any updates or revisions to reflect any change in the Corporation’s expectations with regard to any change in events, conditions or circumstances on which any such statement is based.

Critical Accounting Policies

Management, in order to prepare the Corporation’s financial statements in conformity with U.S. generally accepted accounting principles, is required to make estimates and assumptions that affect the amounts reported in the Corporation’s financial statements. There are uncertainties inherent in making these estimates and assumptions. Certain critical accounting policies, discussed below, could materially affect the results of operations and financial position of the Corporation should changes in circumstances require a change in related estimates or assumptions. The Corporation has identified the fair value measurement of investment securities available-for-sale, reserve for loan and lease losses and purchase accounting as areas with critical accounting policies. For more information on these critical accounting policies, please refer to the Corporation’s 2017 Annual Report on Form 10-K.

48

General

The Corporation is a bank holding company and owns all of the capital stock of Univest Bank and Trust Co. (the Bank).

The Bank is engaged in the commercial and consumer banking business and provides a full range of banking and trust services to customers. The Bank is the parent company of Delview, Inc., which is the parent company of Univest Insurance, Inc., an independent insurance agency, Univest Investments, Inc., a full-service broker-dealer and investment advisory firm, and Girard Partners Ltd. (Girard Partners), a registered investment advisory firm. The Bank is also the parent company of Univest Capital, Inc., an equipment financing business, and TCG Investment Advisory, a registered investment advisor, which provides discretionary investment consulting and management services. Through its wholly-owned subsidiaries, the Bank provides a variety of financial services to individuals, municipalities and businesses throughout the Bank's markets of operation.

The Corporation earns revenue primarily from the margins and fees generated from lending and depository services to customers as well as fee-based income from trust, insurance, mortgage banking and investment services to customers. The Corporation seeks to achieve adequate and reliable earnings through business growth while maintaining adequate levels of capital and liquidity and limiting exposure to credit and interest rate risk to Board of Directors approved levels.

The Corporation seeks to establish itself as the financial provider of choice in the markets it serves. The Corporation plans to achieve this goal by offering a broad range of high quality financial products and services and by increasing market awareness of its brand and the benefits that can be derived from its products. The Corporation operates in an attractive market for financial services but also faces intense competition from domestic and international banking organizations and other insurance and wealth management providers. The Corporation has taken initiatives to achieve its business objectives by acquiring banks and other financial service providers in strategic markets, through marketing, public relations and advertising, by establishing standards of service excellence for customers, and by using technology to ensure that the needs of customers are understood and satisfied.

Executive Overview

The Corporation’s consolidated net income, earnings per share and return on average assets and average equity were as follows:

	Three Months Ended   June 30,						Change					Six Months Ended   June 30,						Change
(Dollars in thousands, except per share data)	2018			2017			Amount			Percent		2018			2017			Amount			Percent
Net income	$	4,357		$	11,778		$	(7,421	)	(63.0	)%	$	17,207		$	22,634		$	(5,427	)	(24.0	)%
Net income per share:
Basic	$	0.15		$	0.44		$	(0.29	)	(65.9	)	$	0.59		$	0.85		$	(0.26	)	(30.6	)
Diluted	0.15			0.44			(0.29		)	(65.9	)	0.58			0.85			(0.27		)	(31.8	)
Return on average assets	0.37		%	1.09		%	(72 BP)			(66.1	)	0.75		%	1.07		%	(32 BP)			(29.9	)
Return on average equity	2.86			9.13			(627 BP)			(68.7	)	5.70			8.89			(319 BP)			(35.9	)

The Corporation reported net income of $4.4 million, or $0.15 diluted earnings per share, for the three months ended June 30, 2018, compared to net income of $11.8 million, or $0.44 diluted earnings per share, for the three months ended June 30, 2017. Net income for the six months ended June 30, 2018 was $17.2 million, or $0.58 diluted earnings per share, compared to net income of $22.6 million, or $0.85 diluted earnings per share, for the six months ended June 30, 2017.

The financial results for the three and six months ended June 30, 2018 included a charge to the provision for loan and lease losses of $12.7 million, which represented $0.34 of diluted earnings per share in each period, related to alleged fraudulent activities believed to be perpetrated by one or more employees of a borrower. The Bank owns a participating interest which originally totaled $13.0 million in an approximately $80.0 million commercial lending facility. The $12.7 million represents the entire principal amount owed to the Bank and this amount was fully charged-off as of June 30, 2018.

In addition, the financial results for the three and six months ended June 30, 2018 included tax-free bank owned life insurance ("BOLI") death benefit claims of $446 thousand, which represented $0.02 diluted earnings per share in each period. The financial results for the three and six months ended June 30, 2017 included a tax-free BOLI death benefit claim of $889 thousand, which represented $0.03 diluted earnings per share in each period. The six months ended June 30, 2018 included restructuring costs related to financial center closures of $451 thousand, net of tax, or $0.02 of diluted earnings per share, recognized in the first quarter of 2018. There were no restructuring costs during the six months ended June 30, 2017.

49

The financial results for the three and six months ended June 30, 2018 also included a reduction in the Corporation's statutory federal income tax rate from 35% to 21% effective January 1, 2018 in accordance with the Tax Cuts and Jobs Act of 2017 (“TCJA”).

Results of Operations

Net Interest Income

Net interest income is the difference between interest earned on loans and leases, investments and other interest-earning assets and interest paid on deposits and other interest-bearing liabilities. Net interest income is the principal source of the Corporation’s revenue. Table 1 presents a summary of the Corporation’s average balances, tax-equivalent interest income and interest expense and the tax-equivalent yields earned on average assets, and the cost of average liabilities, and shareholders’ equity on a tax-equivalent basis for the three and six months ended June 30, 2018 and 2017. The tax-equivalent net interest margin is tax-equivalent net interest income as a percentage of average interest-earning assets. The tax-equivalent net interest spread represents the weighted average tax-equivalent yield on interest-earning assets less the weighted average cost of interest-bearing liabilities. The effect of net interest free funding sources represents the effect on the net interest margin of net funding provided by noninterest-earning assets, noninterest-bearing liabilities and shareholders’ equity. Table 2 analyzes the changes in the tax-equivalent net interest income for the periods broken down by their rate and volume components.

Table 1, Table 2, and the interest income and net interest income analysis contain tax-equivalent financial information and measures determined by methods other than in accordance with U.S. GAAP. The management of the Corporation uses this non-GAAP financial information and measures in its analysis of the Corporation's performance. This financial information and measures should not be considered a substitute for GAAP basis financial information or measures nor should they be viewed as a substitute for operating results determined in accordance with GAAP. Management believes the presentation of the non-GAAP financial information and measures provide useful information that is essential to a proper understanding of the financial results of the Corporation.

The statutory federal tax rate utilized in the respective tables and analyses was 21% for the three and six months ended June 30, 2018 and was 35% for the three and six months ended June 30, 2017.

Three and six months ended June 30, 2018 versus 2017

Reported net interest income for the three months ended June 30, 2018 was $39.0 million, an increase of $3.7 million, or 10.5%, compared to the three months ended June 30, 2017. Net interest income on a tax-equivalent basis for the three months ended June 30, 2018 was $39.7 million, an increase of $2.9 million, or 8.0%, compared to the three months ended June 30, 2017. Reported net interest income for the six months ended June 30, 2018 was $76.3 million, an increase of $6.7 million, or 9.6%, compared to the same period in 2017. Net interest income on a tax-equivalent basis for the six months ended June 30, 2018 was $77.6 million, an increase of $5.2 million, or 7.2%, compared to the same period in 2017.

The increase in reported and tax-equivalent net interest income for the first six months of 2018 compared to the first six months of 2017 was primarily due to the growth in average loans of 10.0% and interest free funding through a combination of growth in average noninterest-bearing deposits of 9.7% and average equity of 18.6%.

The net interest margin on a tax-equivalent basis for the second quarter of 2018 was 3.73%, compared to 3.76% for the second quarter of 2017. The net interest margin on a tax-equivalent basis for the first six months of 2018 was 3.72%, compared to 3.78% for the first six months of 2017. The favorable impact of purchase accounting accretion was three basis points ($349 thousand) for the three months ended June 30, 2018, compared to eight basis points ($742 thousand) for the three months ended June 30, 2017. The favorable impact of purchase accounting accretion was two basis points ($494 thousand) for the six months ended June 30, 2018, compared to eight basis points ($1.5 million) for the six months ended June 30, 2017.

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Table 1—Average Balances and Interest Rates—Tax-Equivalent Basis

	Three Months Ended June 30,
	2018							2017
(Dollars in thousands)	Average Balance			Income/ Expense		Average Rate		Average Balance			Income/ Expense		Average Rate
Assets:
Interest-earning deposits with other banks	$	37,254		$	148	1.59	%	$	17,951		$	39	0.87	%
U.S. government obligations	23,183			91		1.57		33,453			113		1.35
Obligations of states and political subdivisions	71,092			603		3.40		83,356			886		4.26
Other debt and equity securities	356,100			2,177		2.45		351,792			1,720		1.96
Federal funds sold and other earning assets	32,788			509		6.23		29,860			396		5.32
Total interest-earning deposits, investments, federal funds sold and other earning assets	520,417			3,528		2.72		516,412			3,154		2.45
Commercial, financial and agricultural loans	810,610			9,750		4.82		761,544			8,172		4.30
Real estate—commercial and construction loans	1,661,198			19,044		4.60		1,501,258			16,629		4.44
Real estate—residential loans	853,769			10,046		4.72		750,149			8,479		4.53
Loans to individuals	28,985			444		6.14		27,850			406		5.85
Municipal loans and leases	313,181			2,961		3.79		283,129			3,185		4.51
Lease financings	75,452			1,353		7.19		77,395			1,416		7.34
Gross loans and leases	3,743,195			43,598		4.67		3,401,325			38,287		4.51
Total interest-earning assets	4,263,612			47,126		4.43		3,917,737			41,441		4.24
Cash and due from banks	45,158							43,804
Reserve for loan and lease losses	(23,914		)					(20,474		)
Premises and equipment, net	61,234							65,690
Other assets	336,737							326,932
Total assets	$	4,682,827						$	4,333,689
Liabilities:
Interest-bearing checking deposits	$	463,156		383		0.33		$	445,830		118		0.11
Money market savings	694,734			1,758		1.01		560,350			694		0.50
Regular savings	803,586			582		0.29		835,495			446		0.21
Time deposits	553,579			1,819		1.32		547,115			1,203		0.88
Total time and interest-bearing deposits	2,515,055			4,542		0.72		2,388,790			2,461		0.41
Short-term borrowings	217,327			958		1.77		139,146			325		0.94
Long-term debt	155,628			709		1.83		200,207			683		1.37
Subordinated notes	94,420			1,261		5.36		94,176			1,261		5.37
Total borrowings	467,375			2,928		2.51		433,529			2,269		2.10
Total interest-bearing liabilities	2,982,430			7,470		1.00		2,822,319			4,730		0.67
Noninterest-bearing deposits	1,048,901							957,619
Accrued expenses and other liabilities	39,829							36,054
Total liabilities	4,071,160							3,815,992
Shareholders’ Equity:
Common stock	157,784							144,559
Additional paid-in capital	290,517							230,683
Retained earnings and other equity	163,366							142,455
Total shareholders’ equity	611,667							517,697
Total liabilities and shareholders’ equity	$	4,682,827						$	4,333,689
Net interest income				$	39,656						$	36,711
Net interest spread						3.43							3.57
Effect of net interest-free funding sources						0.30							0.19
Net interest margin						3.73	%						3.76	%
Ratio of average interest-earning assets to average interest-bearing liabilities	142.96		%					138.81		%

Notes:     For rate calculation purposes, average loan and lease categories include deferred fees and costs, purchase accounting adjustments,

and unearned discount.

Nonaccrual loans and leases have been included in the average loan and lease balances.

Loans held for sale have been included in the average loan balances.

Tax-equivalent amounts for the three months ended June 30, 2018 and 2017 have been calculated using the

Corporation’s federal applicable rate of 21% and 35%, respectively.

51

	Six Months Ended June 30,
	2018							2017
(Dollars in thousands)	Average Balance			Income/ Expense		Average Rate		Average Balance			Income/ Expense		Average Rate
Assets:
Interest-earning deposits with other banks	$	28,269		$	224	1.60	%	$	13,297		$	55	0.83	%
U.S. government obligations	23,550			185		1.58		33,744			219		1.31
Obligations of states and political subdivisions	72,814			1,196		3.31		84,598			1,808		4.31
Other debt and equity securities	357,766			4,272		2.41		351,104			3,302		1.90
Federal funds sold and other earning assets	30,933			1,013		6.60		27,896			754		5.45
Total interest-earning deposits, investments, federal funds sold and other earning assets	513,332			6,890		2.71		510,639			6,138		2.42
Commercial, financial and agricultural loans	796,483			18,650		4.72		741,409			16,013		4.36
Real estate—commercial and construction loans	1,630,964			36,662		4.53		1,480,757			32,369		4.41
Real estate—residential loans	845,677			19,721		4.70		744,213			16,715		4.53
Loans to individuals	28,475			857		6.07		28,707			806		5.66
Municipal loans and leases	312,470			5,853		3.78		281,264			6,305		4.52
Lease financings	75,083			2,697		7.24		78,011			2,899		7.49
Gross loans and leases	3,689,152			84,440		4.62		3,354,361			75,107		4.52
Total interest-earning assets	4,202,484			91,330		4.38		3,865,000			81,245		4.24
Cash and due from banks	43,839							42,878
Reserve for loan and lease losses	(22,973		)					(19,344		)
Premises and equipment, net	61,485							65,102
Other assets	334,879							328,707
Total assets	$	4,619,714						$	4,282,343
Liabilities:
Interest-bearing checking deposits	$	444,197		675		0.31		$	436,155		223		0.10
Money market savings	676,651			3,101		0.92		546,083			1,257		0.46
Regular savings	818,895			1,139		0.28		821,725			795		0.20
Time deposits	547,562			3,318		1.22		569,341			2,377		0.84
Total time and interest-bearing deposits	2,487,305			8,233		0.67		2,373,304			4,652		0.40
Short-term borrowings	196,690			1,603		1.64		144,620			587		0.82
Long-term debt	155,697			1,374		1.78		174,263			1,082		1.25
Subordinated notes	94,390			2,522		5.39		94,146			2,522		5.40
Total borrowings	446,777			5,499		2.48		413,029			4,191		2.05
Total interest-bearing liabilities	2,934,082			13,732		0.94		2,786,333			8,843		0.64
Noninterest-bearing deposits	1,036,916							945,198
Accrued expenses and other liabilities	39,881							37,413
Total liabilities	4,010,879							3,768,944
Shareholders’ Equity:
Common stock	157,784							144,559
Additional paid-in capital	290,363							230,395
Retained earnings and other equity	160,688							138,445
Total shareholders’ equity	608,835							513,399
Total liabilities and shareholders’ equity	$	4,619,714						$	4,282,343
Net interest income				$	77,598						$	72,402
Net interest spread						3.44							3.60
Effect of net interest-free funding sources						0.28							0.18
Net interest margin						3.72	%						3.78	%
Ratio of average interest-earning assets to average interest-bearing liabilities	143.23		%					138.71		%

Notes:     For rate calculation purposes, average loan and lease categories include deferred fees and costs, purchase accounting adjustments,

and unearned discount.

Nonaccrual loans and leases have been included in the average loan and lease balances.

Loans held for sale have been included in the average loan balances.

Tax-equivalent amounts for the six months ended June 30, 2018 and 2017 have been calculated using the

Corporation’s federal applicable rate of 21% and 35%, respectively.

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Table 2—Analysis of Changes in Net Interest Income

The rate-volume variance analysis set forth in the table below compares changes in tax-equivalent net interest income for the periods indicated by their rate and volume components. The change in interest income/expense due to both volume and rate has been allocated proportionately.

	Three Months Ended									Six Months Ended
	June 30, 2018 Versus 2017									June 30, 2018 Versus 2017
(Dollars in thousands)	Volume Change			Rate Change			Total			Volume Change			Rate Change			Total
Interest income:
Interest-earning deposits with other banks	$	62		$	47		$	109		$	93		$	76		$	169
U.S. government obligations	(38		)	16			(22		)	(74		)	40			(34		)
Obligations of states and political subdivisions	(119		)	(164		)	(283		)	(230		)	(382		)	(612		)
Other debt and equity securities	21			436			457			64			906			970
Federal funds sold and other earning assets	41			72			113			88			171			259
Interest on deposits, investments, federal funds sold and other earning assets	(33		)	407			374			(59		)	811			752
Commercial, financial and agricultural loans	549			1,029			1,578			1,249			1,388			2,637
Real estate—commercial and construction loans	1,804			611			2,415			3,385			908			4,293
Real estate—residential loans	1,202			365			1,567			2,357			649			3,006
Loans to individuals	17			21			38			(7		)	58			51
Municipal loans and leases	316			(540		)	(224		)	651			(1,103		)	(452		)
Lease financings	(35		)	(28		)	(63		)	(107		)	(95		)	(202		)
Interest and fees on loans and leases	3,853			1,458			5,311			7,528			1,805			9,333
Total interest income	3,820			1,865			5,685			7,469			2,616			10,085
Interest expense:
Interest-bearing checking deposits	5			260			265			4			448			452
Money market savings	203			861			1,064			356			1,488			1,844
Regular savings	(18		)	154			136			(3		)	347			344
Time deposits	14			602			616			(94		)	1,035			941
Interest on time and interest-bearing deposits	204			1,877			2,081			263			3,318			3,581
Short-term borrowings	246			387			633			269			747			1,016
Long-term debt	(173		)	199			26			(125		)	417			292
Interest on borrowings	73			586			659			144			1,164			1,308
Total interest expense	277			2,463			2,740			407			4,482			4,889
Net interest income	$	3,543		$	(598	)	$	2,945		$	7,062		$	(1,866	)	$	5,196

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Interest Income

Three and six months ended June 30, 2018 versus 2017

Interest income on a tax-equivalent basis for the three months ended June 30, 2018 was $47.1 million, an increase of $5.7 million, or 13.7%, from the same period in 2017. Interest income on a tax-equivalent basis for the six months ended June 30, 2018 was $91.3 million, an increase of $10.1 million, or 12.4% from the same period in 2017. The increase in interest income (tax-equivalent) for the three and six months ended June 30, 2018 was primarily due to organic loan growth in commercial real estate, commercial business and residential real estate loans. In addition, loan yields increased as the Federal Reserve increased interest rates 75 basis points in 2017 and 50 basis points in 2018. The favorable impact of purchase accounting accretion on interest-earning assets was one basis point ($167 thousand) for the three months ended June 30, 2018, compared to a favorable impact of one basis point ($162 thousand) for the same period in the prior year. The favorable impact of purchase accounting accretion on interest-earning assets was 0 basis point ($126 thousand) for the six months ended June 30, 2018, compared to a favorable impact of two basis points ($314 thousand) for the same period in the prior year.

Interest Expense

Three and six months ended June 30, 2018 versus 2017

Interest expense for the three months ended June 30, 2018 was $7.5 million, an increase of $2.7 million, or 57.9%, from the same period in 2017. Interest expense for the six months ended June 30, 2018 was $13.7 million, an increase of $4.9 million, or 55.3%, from the same period in 2017. The increase in interest expense for the three months ended June 30, 2018 was primarily due to higher deposit and borrowing costs which were impacted by the Federal Reserve interest rate increases in 2017 and the first and second quarters of 2018. The favorable impact of purchase accounting accretion on interest-bearing liabilities was three basis points ($182 thousand) for the three months ended June 30, 2018, compared to a favorable impact of nine basis points ($580 thousand) for the same period in the prior year. The favorable impact of purchase accounting accretion on interest-bearing liabilities was three basis points ($368 thousand) for the six months ended June 30, 2018, compared to a favorable impact of nine basis points ($1.2 million) for the same period in the prior year.

Provision for Loan and Lease Losses

The provision for loan and lease losses for the three and six months ended June 30, 2018 was $15.4 million and $17.5 million, respectively, compared to $2.8 million and $5.2 million, respectively, for the same periods in 2017. Net loan and lease charge-offs for the three and six months ended June 30, 2018 were $13.2 million and $13.4 million, respectively, compared to $1.4 million and $1.8 million, respectively, for the same periods in the prior year. The increase in both the provision for loan and leases losses and loan and lease charge-offs for 2018 is primarily due to the $12.7 million commercial loan charge-off during the second quarter of 2018 previously discussed in the Executive Overview.

Noninterest Income

The following table presents noninterest income for the three and six months ended June 30, 2018 and 2017:

	Three Months Ended   June 30,					Change					Six Months Ended   June 30,					Change
(Dollars in thousands)	2018			2017		Amount			Percent		2018			2017		Amount			Percent
Trust fee income	$	2,044		$	2,016	$	28		1.4	%	$	4,040		$	3,923	$	117		3.0	%
Service charges on deposit accounts	1,335			1,313		22			1.7		2,662			2,556		106			4.1
Investment advisory commission and fee income	3,778			3,333		445			13.4		7,461			6,514		947			14.5
Insurance commission and fee income	3,712			3,628		84			2.3		8,600			8,038		562			7.0
Other service fee income	2,431			2,245		186			8.3		4,600			4,232		368			8.7
Bank owned life insurance income	1,210			1,622		(412		)	(25.4	)	1,879			2,405		(526		)	(21.9	)
Net gain on sales of investment securities	—			21		(21		)	N/M		10			36		(26		)	(72.2	)
Net gain on mortgage banking activities	942			1,537		(595		)	(38.7	)	1,658			2,650		(992		)	(37.4	)
Other (loss) income	(138		)	294		(432		)	N/M		(14		)	625		(639		)	N/M
Total noninterest income	$	15,314		$	16,009	$	(695	)	(4.3	)%	$	30,896		$	30,979	$	(83	)	(0.3	)%

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Three and six months ended June 30, 2018 versus 2017

Noninterest income for the three months ended June 30, 2018 was $15.3 million, a decrease of $695 thousand, or 4.3%, from the three months ended June 30, 2017. Noninterest income for the six months ended June 30, 2018 was $30.9 million, consistent with the same period in the prior year.

Investment advisory commission and fee income increased $445 thousand, or 13.4%, for the three months and $947 thousand, or 14.5%, for the six months ended June 30, 2018, primarily due to new customer relationships and continued favorable market performance. Insurance commission and fee income increased $562 thousand, or 7.0%, for the six months ended June 30, 2018, primarily due to an increase in contingent commission income of $377 thousand, which is largely recognized in the first quarter of the year and due to an increase in group life and health premiums.

BOLI income decreased $412 thousand for the three months and $526 thousand for the six months ended June 30, 2018, primarily due to proceeds from the previously mentioned BOLI death benefits of $446 thousand in the second quarter of 2018 as compared to $889 thousand in the second quarter of 2017. The net gain on mortgage banking decreased $595 thousand, or 38.7%, for the three months and $992 thousand, or 37.4%, for the six months ended June 30, 2018, primarily due to a decrease in refinance mortgage volume, a shortage of housing supply and the Bank retaining, on balance-sheet, a higher percentage of its mortgage originations. Such on balance-sheet loans are predominantly hybrid adjustable rate mortgages. Other income decreased $432 thousand for the three months and $639 thousand for the six months ended June 30, 2018. The decrease in the six months ended June 30, 2018 is primarily due to a net loss of $300 thousand related to valuations and sales of other real estate owned and sales of closed branches as compared to a net gain of $289 thousand of such assets in the six months ended June 30, 2017.

Noninterest Expense

The following table presents noninterest expense for the three and six months ended June 30, 2018 and 2017:

	Three Months Ended   June 30,				Change					Six Months Ended   June 30,				Change
(Dollars in thousands)	2018		2017		Amount			Percent		2018		2017		Amount			Percent
Salaries, benefits and commissions	$	20,065	$	18,730	$	1,335		7.1	%	$	40,712	$	37,467	$	3,245		8.7	%
Net occupancy	2,533		2,684		(151		)	(5.6	)	5,290		5,349		(59		)	(1.1	)
Equipment	1,067		1,031		36			3.5		2,090		2,024		66			3.3
Data processing	2,091		2,081		10			0.5		4,323		4,139		184			4.4
Professional fees	1,331		1,248		83			6.7		2,686		2,487		199			8.0
Marketing and advertising	526		475		51			10.7		907		854		53			6.2
Deposit insurance premiums	452		451		1			0.2		843		853		(10		)	(1.2	)
Intangible expenses	594		446		148			33.2		1,206		1,205		1			0.1
Restructuring charges	—		—		—			—		571		—		571			N/M
Other expense	5,688		5,402		286			5.3		10,844		10,200		644			6.3
Total noninterest expense	$	34,347	$	32,548	$	1,799		5.5	%	$	69,472	$	64,578	$	4,894		7.6	%

Three and six months ended June 30, 2018 versus 2017

Noninterest expense for the three months ended June 30, 2018 was $34.3 million, an increase of $1.8 million, or 5.5%, from the three months ended June 30, 2017. Noninterest expense for the six months ended June 30, 2018 was $69.5 million, an increase of $4.9 million, or 7.6%, from the same period in the prior year.

Salaries, benefits and commissions increased $1.3 million, or 7.1%, for the three months and $3.2 million, or 8.7%, for the six months ended June 30, 2018, primarily attributable to additional staff hired to support revenue generation across all business lines, expansion of our financial center footprint in Lancaster County and the Lehigh Valley and annual merit increases. Data processing expense increased $184 thousand for the six months ended June 30, 2018, primarily due to increased investments in customer relationship management software, internal infrastructure improvements and outsourced data processing solutions. Professional fees increased $199 thousand for the six months ended June 30, 2018, primarily due to increased consultant fees. Other expense increased $286 thousand for the three months and $644 thousand for the six months ended June 30, 2018, primarily due to increases in Bank shares tax and employment related expense. Restructuring costs related to financial center closures and

55

staffing rationalization were $571 thousand during the first quarter of 2018. There were no restructuring costs during the six months ended June 30, 2017.

Tax Provision

The provision for income taxes for the three months ended June 30, 2018 and 2017 was $191 thousand and $4.2 million, at effective rates of 4.2% and 26.4%, respectively. The provision for income taxes for the six months ended June 30, 2018 and 2017 was $3.0 million and $8.1 million, at effective rates of 14.9% and 26.4%, respectively. As previously discussed, the Corporation's statutory federal tax rate was reduced to 21% effective January 1, 2018 in accordance with the TCJA. The Corporation's effective income tax rate for the six months ended June 30, 2018 was favorably impacted by discrete tax benefits and proceeds from BOLI death benefits. Excluding these discrete items, the effective tax rate was 18.2% for the six months ended June 30, 2018, which reflects the impact of the Corporation's level of tax-exempt income for the period relative to the overall level of taxable income.

Financial Condition

Assets

The following table presents assets at the dates indicated:

	At June 30,   2018			At December 31,   2017			Change
(Dollars in thousands)							Amount			Percent
Cash and interest-earning deposits	$	72,943		$	75,409		$	(2,466	)	(3.3	)
Investment securities	446,933			454,082			(7,149		)	(1.6	)
Federal Home Loan Bank, Federal Reserve Bank and other stock, at cost	32,768			27,204			5,564			20.5
Loans held for sale	1,778			1,642			136			8.3
Loans and leases held for investment	3,818,398			3,620,067			198,331			5.5
Reserve for loan and lease losses	(25,652		)	(21,555		)	(4,097		)	(19.0	)
Premises and equipment, net	60,529			61,797			(1,268		)	(2.1	)
Goodwill and other intangibles, net	185,368			186,468			(1,100		)	(0.6	)
Bank owned life insurance	109,527			108,246			1,281			1.2
Accrued interest receivable and other assets	46,589			41,502			5,087			12.3
Total assets	$	4,749,181		$	4,554,862		$	194,319		4.3	%

Investment Securities

Total investments securities at June 30, 2018decreased$7.1 million from December 31, 2017. Maturities and pay-downs of $43.0 million, calls of $6.8 million, sales of $1.0 million and decreases in the fair value of available-for-sale investment securities of $8.3 million were partially off-set by purchases of $53.1 million. The decrease in the fair value of available-for-sale investment securities was due to increased interest rates during the year.

Federal Home Loan Bank, Federal Reserve Bank and other stock, at cost

The Bank is a member of the FHLB, and as such, is required to hold FHLB stock as a condition of membership as determined by the FHLB. The Bank is required to hold additional stock in the FHLB in relation to the level of outstanding borrowings. The Bank held FHLB stock of $18.0 million and $12.5 million at June 30, 2018 and December 31, 2017, respectively. FHLB stock increased$5.6 million mainly due to purchase requirements related to the increase in FHLB borrowings during the year.

The Bank held $14.6 million in Federal Reserve Bank stock as required by the Federal Reserve Bank at June 30, 2018 and December 31, 2017.

Loans and Leases

Gross loans and leases held for investment grew $198.3 million, or 5.5%, from December 31, 2017. The growth in loans was primarily in commercial real estate, commercial business and residential real estate loans.

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Asset Quality

The Bank's strategy for credit risk management focuses on having well-defined credit policies and uniform underwriting criteria and providing prompt attention to potential problem loans and leases. Performance of the loan and lease portfolio is monitored on a regular basis by Bank management and lending officers.

Loans and leases are deemed impaired when, based on current information and events, it is probable that the Bank will be unable to collect all proceeds due according to the original contractual terms of the agreement or when a loan or lease is classified as a troubled debt restructuring. Factors considered by management in determining impairment include payment status, borrower cash flows, collateral value and the probability of collecting scheduled principal and interest payments when due.

When a loan or lease, including a loan or lease that is impaired, is classified as nonaccrual, the accrual of interest on such a loan or lease is discontinued. A loan or lease is typically classified as nonaccrual when the contractual payment of principal or interest has become 90 days past due or management has serious doubts about the further collectability of principal or interest, even though the loan or lease is currently performing. A loan or lease may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. When a loan or lease is placed on nonaccrual status, unpaid interest credited to income is reversed and the amortization of net deferred costs is suspended. Interest payments received on nonaccrual loans and leases are either applied against principal or reported as interest income, according to management’s judgment as to the ultimate collectability of principal.

Loans or leases are usually restored to accrual status when the obligation is brought current, has performed in accordance with the contractual terms for a reasonable period of time, and the ultimate collectability of the total contractual principal and interest is no longer in doubt.

At June 30, 2018, the recorded investment in loans and leases held for investment that were considered to be impaired was $33.9 million. The related reserve for loan and lease losses was $1.5 million. At December 31, 2017, the recorded investment in loans and leases that were considered to be impaired was $29.7 million. The related reserve for loan and lease losses was $131 thousand. During the first quarter of 2018, one commercial real-estate loan totaling $12.3 million was placed on non-accrual status. This was partially offset by troubled debt restructured commercial real estate loans for another borrower totaling $10.3 million being returned to performing status during the first quarter of 2018 as the borrower was in compliance with the modified terms of the restructuring for the required time period. The impaired loan and lease balances consisted mainly of commercial real estate loans and business loans. Impaired loans and leases include nonaccrual loans and leases, accruing troubled debt restructured loans and lease modifications and other accruing impaired loans for which it is probable that not all principal and interest payments due will be collectible in accordance with the original contractual terms. The amount of the specific reserve needed for these credits could change in future periods subject to changes in facts and judgments related to these credits. Specific reserves have been established based on current facts and management’s judgments about the ultimate outcome of these credits.

Other real estate owned was $1.7 million at June 30, 2018, compared to $1.8 million at December 31, 2017. During the three months ended June 30, 2018, two residential properties with a carrying value of $402 thousand were transferred to other real estate owned and one residential property with no carrying value was sold for a gain of $21 thousand. Additionally, the market value of a parcel of land was written down by $460 thousand based on a potential agreement to sell the property and the market value of a residential property was written down by $43 thousand to reflect current market conditions.

Reserve for Loan and Lease Losses

The reserve for loan and lease losses is maintained at a level representing management's best estimate of known risks and inherent losses in the portfolio, based upon management's evaluation of the portfolio's collectability. Management evaluates the need to establish reserves against losses on loans and leases on a quarterly basis. When changes in the reserve are necessary, an adjustment is made.

The reserve for loan and lease losses consists of a reserve for impaired loans and leases and a general valuation allowance on the remainder of the originated portfolio. Although management determines the amount of each element of the reserve separately, the entire reserve for loan and lease losses is available for losses on the portfolio. The Corporation records a provision for loan loss for the acquired non-impaired loans only when additional deterioration of the portfolio is identified over the projections utilized in the initial fair value analysis. After the acquisition measurement period, the present value of any decreases in expected cash flows of acquired credit impaired loans will generally result in an impairment charge recorded as a provision for loan loss, resulting in an increase to the allowance.

57

The Corporation maintains a reserve in other liabilities for off-balance sheet credit exposures that currently are unfunded in categories with historical loss experience. The reserve for these off-balance sheet credits was $412 thousand and $390 thousand at June 30, 2018 and December 31, 2017, respectively.

Table 3—Nonaccrual and Past Due Loans and Leases; Troubled Debt Restructured Loans and Lease Modifications; Other Real Estate Owned; and Related Ratios

The following table details information pertaining to the Corporation’s nonperforming assets at the dates indicated. Nonperforming loans and assets exclude acquired credit impaired loans from Fox Chase and Valley Green.

(Dollars in thousands)	At June 30, 2018			At December 31, 2017
Nonaccrual loans and leases, including nonaccrual troubled debt restructured loans and lease modifications*:
Commercial, financial and agricultural	$	4,084		$	4,448
Real estate—commercial	19,584			4,285
Real estate—construction	110			365
Real estate—residential	4,844			3,820
Lease financings	1,526			1,599
Total nonaccrual loans and leases, including nonaccrual troubled debt restructured loans and lease modifications*	30,148			14,517
Accruing troubled debt restructured loans and lease modifications not included in the above	790			11,435
Accruing loans and leases 90 days or more past due:
Real estate—residential	—			310
Loans to individuals	101			195
Lease financings	49			256
Total accruing loans and leases, 90 days or more past due	150			761
Total nonperforming loans and leases	31,088			26,713
Other real estate owned	1,742			1,843
Total nonperforming assets	$	32,830		$	28,556
Nonaccrual loans and leases (including nonaccrual troubled debt restructured loans and lease modifications) / loans and leases held for investment	0.79		%	0.40		%
Nonperforming loans and leases / loans and leases held for investment	0.81			0.74
Nonperforming assets / total assets	0.69			0.63
Allowance for loan and lease losses	$	25,652		$	21,555
Allowance for loan and lease losses / loans and leases held for investment	0.67		%	0.60		%
Allowance for loan and lease losses / loans and leases held for investment (excluding acquired loans at period-end)	0.76			0.70
Allowance for loan and lease losses / nonaccrual loans and leases held for investment	85.09			148.48
Allowance for loan and lease losses / nonperforming loans and leases held for investment	82.51			80.69
Acquired credit impaired loans	$	998		$	1,583
Nonperforming loans and leases and acquired credit impaired loans / loans and leases held for investment	0.84		%	0.78		%
Nonperforming assets and acquired credit impaired loans / total assets	0.71			0.66
* Nonaccrual troubled debt restructured loans and lease modifications included in nonaccrual loans and leases in the above table	$	1,770		$	2,513

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The following table provides additional information on the Corporation’s nonaccrual loans held for investment:

(Dollars in thousands)	At June 30, 2018			At December 31, 2017
Total nonaccrual loans and leases, including nonaccrual troubled debt restructured loans and lease modifications	$	30,148		$	14,517
Nonaccrual loans and leases with partial charge-offs	3,789			5,397
Life-to-date partial charge-offs on nonaccrual loans and leases	2,810			4,107
Charge-off rate of nonaccrual loans and leases with partial charge-offs	42.6		%	43.2		%
Specific reserves on impaired loans	$	1,524		$	131

Goodwill and Other Intangible Assets

Goodwill and other intangible assets have been recorded on the books of the Corporation in connection with acquisitions. The Corporation has core deposit and customer-related intangibles and servicing rights, which are not deemed to have an indefinite life and therefore will continue to be amortized over their useful life using the present value of projected cash flows. The amortization of intangible assets was $885 thousand and $1.1 million for the three months ended June 30, 2018 and 2017, respectively. The amortization of intangible assets was $1.8 million and $2.1 million for the six months ended June 30, 2018 and 2017, respectively. See Note 5 to the Consolidated Financial Statements, "Goodwill and Other Intangible Assets," for a summary of intangible assets at June 30, 2018 and December 31, 2017. The Corporation also has goodwill with a net carrying value of $172.6 million at June 30, 2018 and December 31, 2017, which is deemed to be an indefinite intangible asset and is not amortized.

The Corporation completes a goodwill impairment analysis at least on an annual basis, or more often, if events and circumstances indicate that there may be impairment. The Corporation also completes an impairment test for other identifiable intangible assets on an annual basis or more often if events and circumstances indicate there may be impairment. There was no impairment of goodwill or identifiable intangibles during the six months ended June 30, 2018 and 2017. Since the last annual impairment analysis during 2017, there have been no circumstances to indicate impairment. There can be no assurance that future impairment assessments or tests will not result in a charge to earnings.

Liabilities

The following table presents liabilities at the dates indicated:

(Dollars in thousands)	At June 30, 2018		At December 31, 2017		Change
					Amount			Percent
Deposits	$	3,620,786	$	3,554,919	$	65,867		1.9	%
Short-term borrowings	231,853		105,431		126,422			N/M
Long-term debt	155,556		155,828		(272		)	(0.2	)
Subordinated notes	94,453		94,331		122			0.1
Accrued interest payable and other liabilities	41,239		40,979		260			0.6
Total liabilities	$	4,143,887	$	3,951,488	$	192,399		4.9	%

Deposits

Total deposits increased $65.9 million, or 1.9%, from December 31, 2017, primarily due to increases in consumer time deposits and commercial deposits partially offset by a seasonal decline in public funds deposits.

Borrowings

Total borrowings increased$126.3 million from December 31, 2017, primarily due to an increase in short-term borrowings of $126.4 million. The Corporation increased its short-term borrowings to fund loan growth during the first six months of 2018.

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Shareholders’ Equity

The following table presents total shareholders’ equity at the dates indicated:

(Dollars in thousands)	At June 30, 2018			At December 31, 2017			Change
							Amount			Percent
Common stock	$	157,784		$	157,784		$	—		N/M
Additional paid-in capital	291,238			290,133			1,105			0.4
Retained earnings	226,574			216,761			9,813			4.5
Accumulated other comprehensive loss	(28,007		)	(17,771		)	(10,236		)	(57.6	)
Treasury stock	(42,295		)	(43,533		)	1,238			2.8
Total shareholders’ equity	$	605,294		$	603,374		$	1,920		0.3	%

The increase in shareholder's equity at June 30, 2018 of $1.9 million from December 31, 2017 was primarily related to an increase in retained earnings of $9.8 million. Retained earnings at June 30, 2018 were impacted by the six months of net income of $17.2 million and the reclassification of $3.9 million and $433 thousand from accumulated other comprehensive income related to the January 1, 2018 adoption of ASU 2016-01 and ASU 2018-02, respectively, partially offset by cash dividends declared of $11.7 million. Accumulated other comprehensive loss increased by $10.2 million mainly attributable to decreases in the fair value of available-for-sale investment securities of $6.5 million, net of tax, and the reclassification to retained earnings from the previously discussed adoption of ASU 2016-01 and ASU 2018-02 ($3.0 million related to the defined benefit pension plans and $1.4 million related to investment securities). Treasury stock decreased by $1.2 million primarily due to the issuance of restricted stock.

Capital Adequacy

The Corporation and the Bank are subject to various regulatory capital requirements administered by the federal banking agencies. Failure to meet minimum capital requirements can initiate certain mandatory and possibly additional discretionary actions by regulators that, if undertaken, could have a direct material effect on the Corporation’s and the Bank’s financial statements. Capital adequacy guidelines, and additionally for the Bank the prompt corrective action regulations, involve quantitative measures of assets, liabilities, and certain off-balance-sheet items calculated under regulatory accounting practices. Capital amounts and classifications are also subject to qualitative judgments by regulators about components, risk weighting and other factors.

Quantitative measures established by regulation to ensure capital adequacy require the Corporation and the Bank to maintain minimum amounts and ratios (set forth in the following table) of Total capital, Tier 1 capital and Tier 1 common capital (as defined in the regulations) to risk-weighted assets (as defined), and of Tier 1 capital (as defined) to average assets (as defined), or leverage ratio.

In July 2013, the federal bank regulatory agencies adopted final rules revising the agencies’ capital adequacy guidelines and prompt corrective action rules, designed to enhance such requirements and implement the revised standards of the Basel Committee on Banking Supervision, commonly referred to as Basel III. The new minimum capital requirements were effective on January 1, 2015. Under the new rules, in order to avoid limitations on capital distributions (including dividend payments and certain discretionary bonus payments to executive officers), a banking organization must hold a capital conservation buffer comprised of common equity Tier 1 capital above its minimum risk-based capital requirements in an amount greater than 2.5% of total risk-weighted assets. The capital conservation buffer requirements began to be phased in over a four-year period beginning January 1, 2016 with final phase in occurring 2019.

The Corporation adopted the new Basel III regulatory capital rules during the first quarter of 2015 under the transition rules, primarily relating to regulatory deductions and adjustments impacting common equity tier 1 capital and tier 1 capital, to be phased in over a four-year period beginning January 1, 2015. Under Basel III rules, the decision was made to opt-out of including accumulated other comprehensive income in regulatory capital. During 2018, the Corporation and the Bank must hold a capital conservation buffer greater than 1.875% above its minimum risk-based capital requirements in order to avoid limitations on capital distributions. It is the Corporation's and Bank's intent to maintain capital levels in excess of the capital conservation buffer which would require Tier 1 Capital to Risk Weighted Assets to exceed 8.50% and Total Capital to Risk Weighted Assets to exceed 10.50% beginning in the first quarter of 2019.

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Table 4—Regulatory Capital

The Corporation's and Bank's actual and required capital ratios as of June 30, 2018 and December 31, 2017 under regulatory capital rules were as follows.

	Actual				For Capital Adequacy Purposes				To Be Well-Capitalized Under Prompt Corrective Action Provisions
(Dollars in thousands)	Amount		Ratio		Amount		Ratio		Amount		Ratio
At June 30, 2018
Total Capital (to Risk-Weighted Assets):
Corporation	$	580,048	13.76	%	$	337,246	8.00	%	$	421,557	10.00	%
Bank	475,914		11.36		335,137		8.00		418,922		10.00
Tier 1 Capital (to Risk-Weighted Assets):
Corporation	459,235		10.89		252,934		6.00		337,246		8.00
Bank	449,554		10.73		251,353		6.00		335,137		8.00
Tier 1 Common Capital (to Risk-Weighted Assets):
Corporation	459,235		10.89		189,701		4.50		274,012		6.50
Bank	449,554		10.73		188,515		4.50		272,299		6.50
Tier 1 Capital (to Average Assets):
Corporation	459,235		10.19		180,350		4.00		225,438		5.00
Bank	449,554		10.03		179,203		4.00		224,004		5.00
At December 31, 2017
Total Capital (to Risk-Weighted Assets):
Corporation	$	563,797	14.00	%	$	322,148	8.00	%	$	402,685	10.00	%
Bank	464,851		11.62		320,003		8.00		400,004		10.00
Tier 1 Capital (to Risk-Weighted Assets):
Corporation	447,228		11.11		241,611		6.00		322,148		8.00
Bank	442,613		11.07		240,002		6.00		320,003		8.00
Tier 1 Common Capital (to Risk-Weighted Assets):
Corporation	447,228		11.11		181,208		4.50		261,745		6.50
Bank	442,613		11.07		180,002		4.50		260,002		6.50
Tier 1 Capital (to Average Assets):
Corporation	447,228		10.48		170,753		4.00		213,441		5.00
Bank	442,613		10.45		169,453		4.00		211,816		5.00

At June 30, 2018 and December 31, 2017, management believes that the Corporation and the Bank continued to meet all capital adequacy requirements to which they are subject. The Corporation, like other bank holding companies, currently is required to maintain Tier 1 capital and Total capital equal to at least 6.0% and 8.0%, respectively, of total risk-weighted assets (including various off-balance-sheet items). The Bank, like other depository institutions, is required to maintain similar capital levels under capital adequacy guidelines. During 2018, the Corporation and the Bank must hold a capital conservation buffer comprised of common equity Tier 1 capital above its minimum risk-based capital requirements in an amount greater than 1.875% of total risk-weighted assets in order to avoid limitations on capital distributions. For a depository institution to be considered “well capitalized” under the regulatory framework for prompt corrective action, Tier 1 and Total capital ratios must be at least 8.0% and 10.0% on a risk-adjusted basis, respectively. At June 30, 2018, the Bank is categorized as “well capitalized” under the regulatory framework for prompt corrective action. There are no conditions or events since that notification that management believes have changed the Bank’s category. The Corporation will continue to analyze the impact of the phase in of the capital conservation buffer as well as the impact of new accounting rules, such as Lease Accounting (ASU No. 2016-02) and CECL (ASU No. 2016-13) on its regulatory capital ratios. See Note 1 to the financial statements included in Part I, Item I of this Form 10-Q for additional information.

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Asset/Liability Management

The primary functions of Asset/Liability Management are to assure adequate earnings, capital and liquidity while maintaining an appropriate balance between interest-earning assets and interest-bearing liabilities. Liquidity management involves the ability to meet cash flow requirements of customers and corporate needs. Management's objective to address interest rate risk is to understand the Corporation's sensitivity to changes in interest rates and develop and implement strategies to minimize volatility while maximizing net interest income.

The Corporation uses both interest-sensitivity gap analysis and simulation modeling to quantify exposure to interest rate risk. The Corporation uses the gap analysis to identify and monitor long-term rate exposure and uses a simulation model to measure the short-term rate exposures. The Corporation runs various earnings simulation scenarios to quantify the impact of declining or rising interest rates on net interest income over a one-year and two-year horizon. The simulation uses expected cash flows and repricing characteristics for all financial instruments at a point in time and incorporates company developed, market-based assumptions regarding growth, pricing, and optionality such as prepayment speeds. As interest rates increase, fixed-rate assets that banks hold will tend to decrease in value; conversely, as interest rates decline, fixed-rate assets that banks hold will tend to increase in value.

Liquidity

The Corporation, in its role as a financial intermediary, is exposed to certain liquidity risks. Liquidity refers to the Corporation’s ability to ensure that sufficient cash flow and liquid assets are available to satisfy demand for loans, deposit withdrawals, repayment of borrowings and certificates of deposit at maturity, operating expenditures, and capital expansion. The Corporation manages liquidity risk by measuring and monitoring liquidity sources and estimated funding needs on a daily basis. The Corporation has a contingency funding plan in place to address liquidity needs in the event of an institution-specific or a systemic financial crisis.

Sources of Funds

Core deposits continue to be the largest significant funding source for the Corporation. These deposits are primarily generated from a base of consumer, business, municipalities and non-profit customers located in our primary service areas. The Corporation faces increased competition for these deposits from a large array of financial market participants, including banks, credit unions, savings institutions, mutual funds, security dealers and others.

The Corporation also utilizes a mix of short-term and long-term wholesale funding providers. Wholesale funding includes correspondent bank borrowings, secured borrowing lines from the Federal Home Loan Bank, the Federal Reserve Bank of Philadelphia and, at times, brokered deposits and other similar sources.

The Corporation, through the Bank, has a credit facility with the FHLB with a maximum borrowing capacity of approximately $1.5 billion. At June 30, 2018 and December 31, 2017, the carrying amount of overnight borrowings with the FHLB was $138.5 million and $30.2 million, respectively. At June 30, 2018 and December 31, 2017, the carrying amount of long-term borrowings with the FHLB was $125.0 million. At June 30, 2018 and December 31, 2017, the Bank had outstanding short-term letters of credit with the FHLB totaling $178.9 million and $234.2 million, respectively, which were utilized to collateralize public funds deposits. The maximum borrowing capacity with the FHLB changes as a function of qualifying collateral assets as well as the FHLB’s internal credit rating of the Bank.

The Corporation, through the Bank, maintains uncommitted federal fund lines with several correspondent banks totaling $367.0 million at June 30, 2018 and December 31, 2017. At June 30, 2018 and December 31, 2017, the Corporation had $65.0 million and $55.0 million, respectively, outstanding federal funds purchased with these correspondent banks. Future availability under these lines is subject to the prerogatives of the granting banks and may be withdrawn at will.

The Corporation, through the Bank, holds collateral at the Federal Reserve Bank of Philadelphia in order to access their Discount Window Lending program. The collateral consisting of investment securities was valued at $69.4 million and $52.0 million at June 30, 2018 and December 31, 2017, respectively. At June 30, 2018 and December 31, 2017, the Corporation had no outstanding borrowings under this program.

The Corporation has a $10.0 million line of credit with a correspondent bank. At June 30, 2018 and December 31, 2017, the Corporation had no outstanding borrowings under this line.

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Cash Requirements

The Corporation has cash requirements for various financial obligations, including contractual obligations and commitments that require cash payments. The most significant contractual obligation, in both the under and over one year time period, is for the Bank to repay certificates of deposit and short-term and long-term borrowings. The Bank anticipates meeting these obligations by continuing to provide convenient depository and cash management services through its financial center network, thereby replacing these contractual obligations with similar fund sources at rates that are competitive in our market. The Bank will also use borrowings and brokered deposits to meet its obligations.

Commitments to extend credit are the Bank’s most significant commitment in both the under and over one year time periods. These commitments do not necessarily represent future cash requirements in that these commitments often expire without being drawn upon.

Recent Accounting Pronouncements

For information regarding recent accounting pronouncements, refer to Note 1 to the Consolidated Financial Statements, “Summary of Significant Accounting Policies.”

Recent Legislative Developments

Economic Growth, Regulatory Relief, and Consumer Protection Act

On May 24, 2018, President Trump signed into law the Economic Growth, Regulatory Relief, and Consumer Protection Act (the “Act”), which was designed to ease certain restrictions imposed by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010. Most of the changes made by the new Act can be grouped into five general areas: mortgage lending; certain regulatory relief for “community” banks; enhanced consumer protections in specific areas, including subjecting credit reporting agencies to additional requirements; certain regulatory relief for large financial institutions, including increasing the threshold at which institutions are classified a systemically important financial institutions (from $50 billion to $250 billion) and therefore subject to stricter oversight, and revising the rules for larger institution stress testing; and certain changes to federal securities regulations designed to promote capital formation. Some of the key provisions of the Act as it relates to community banks and bank holding companies include, but are not limited to: (i) designating mortgages held in portfolio as “qualified mortgages” for banks with less than $10 billion in assets, subject to certain documentation and product limitations; (ii) exempting banks with less than $10 billion in assets from Volcker Rule requirements relating to proprietary trading; (iii) simplifying capital calculations for banks with less than $10 billion in assets by requiring federal banking agencies to establish a community bank leverage ratio of tangible equity to average consolidated assets of not less than 8% or more than 10%, and provide that banks that maintain tangible equity in excess of such ratio will be deemed to be in compliance with risk-based capital and leverage requirements; (iv) assisting smaller banks with obtaining stable funding by providing an exception for reciprocal deposits from FDIC restrictions on acceptance of brokered deposits; (v) raising the eligibility for use of short-form Call Reports from $1 billion to $5 billion in assets; and (vi) clarifying definitions pertaining to high volatility commercial real estate loans (HVCRE), which require higher capital allocations, so that only loans with increased risk are subject to higher risk weightings. The Corporation continues to analyze the changes implemented by the Act, but does not believe that such changes will materially impact the Corporation’s business, operations, or financial results.

Item 3. Quantitative and Qualitative Disclosures About Market Risk

No material changes in the Corporation’s market risk or market strategy occurred during the current period. A detailed discussion of market risk is provided in the Corporation's Annual Report on Form 10-K for the year ended December 31, 2017.

Item 4. Controls and Procedures

Evaluation of Disclosure Controls and Procedures

Management is responsible for the disclosure controls and procedures of the Corporation. Disclosure controls and procedures are controls and other procedures of an issuer that are designed to ensure that information required to be disclosed by the issuer in the reports that it files or submits under the Securities Exchange Act of 1934 is recorded, processed, summarized and reported within the time periods required by the SEC’s rules and forms. Disclosure controls and procedures include, without limitation, controls and procedures designed to ensure that information required to be so disclosed by an issuer is accumulated and communicated to the issuer’s management, including its principal executive and principal financial officers, or persons performing similar functions, as appropriate to allow timely decisions regarding required disclosure. As of the end of the period covered by this report, an evaluation was performed under the supervision and with the participation of the Corporation’s management,

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including the Chief Executive Officer (Principal Executive Officer) and Chief Financial Officer (Principal Financial and Accounting Officer), of the effectiveness of the design and operation of the Corporation’s disclosure controls and procedures. Based on that evaluation, the Corporation’s Chief Executive Officer and Chief Financial Officer concluded that the disclosure controls and procedures were effective as of June 30, 2018.

Changes in Internal Control over Financial Reporting

There were no changes in the Corporation’s internal control over financial reporting (as defined in Rule 13a-15(f)) during the quarter ended June 30, 2018 that materially affected, or are reasonably likely to materially affect, the Corporation’s internal control over financial reporting.

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PART II. OTHER INFORMATION

Item 1. Legal Proceedings

The Corporation is periodically subject to various pending and threatened legal actions, which involve claims for monetary relief. Based upon information presently available to the Corporation, it is the Corporation's opinion that any legal and financial responsibility arising from such claims will not have a material adverse effect on the Corporation's results of operations, financial position or cash flows.

Item 1A. Risk Factors

There have been no material changes in risk factors from those disclosed under Item 1A, “Risk Factors” in the Corporation’s Annual Report on Form 10-K for the year ended December 31, 2017.

Item 2. Unregistered Sales of Equity Securities and Use of Proceeds

The following table provides information on repurchases by the Corporation of its common stock under the Corporation's Board approved program.

ISSUER PURCHASES OF EQUITY SECURITIES
Period	Total Number of Shares Purchased	Average Price Paid per Share		Total Number of Shares Purchased as Part of Publicly Announced Plans or Programs	Maximum Number of Shares that May Yet Be Purchased Under the Plans or Programs
April 1 – 30, 2018	—	$	—	—	1,014,246
May 1 – 31, 2018	—	—		—	1,014,246
June 1 – 30, 2018	—	—		—	1,014,246
Total	—	$	—	—

1. Transactions are reported as of trade dates.

2. On October 23, 2013, the Corporation’s Board of Directors approved a new stock repurchase plan for the repurchase of up to 800,000 shares, or approximately 5% of the shares outstanding. On May 27, 2015, the Corporation's Board of Directors approved an increase of 1,000,000 shares available for repurchase under the Corporation's share repurchase program, or approximately 5% of the Corporation's common stock outstanding as of May 27, 2015. The repurchased shares limit does not include normal treasury activity such as purchases to fund the dividend reinvestment, employee stock purchase and equity compensation plans. The program has no scheduled expiration date and the Board of Directors has the right to suspend or discontinue the program at any time.

Item 3. Defaults Upon Senior Securities

None.

Item 4. Mine Safety Disclosures

Not Applicable.

Item 5. Other Information

None.

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Item 6. Exhibits

a.	Exhibits
	Exhibit 3.1	Amended and Restated Articles of Incorporation are incorporated by reference to Exhibit 3.1 of Form 8-K, filed with the SEC on April 22, 2015.
	Exhibit 3.2	Amended By-Laws effective November 23, 2016 are incorporated by reference to Exhibit 3.2 of Form 8-K, filed with the SEC on November 23, 2016.
	Exhibit 31.1	Certification of Jeffrey M. Schweitzer, President and Chief Executive Officer of the Corporation, pursuant to Rule 13a-14(a) of the Exchange Act, as enacted by Section 302 of the Sarbanes-Oxley Act of 2002.
	Exhibit 31.2	Certification of Roger S. Deacon, Senior Executive Vice President and Chief Financial Officer of the Corporation, pursuant to Rule 13a-14(a) of the Exchange Act, as enacted by Section 302 of the Sarbanes-Oxley Act of 2002.
	Exhibit 32.1	Certification of Jeffrey M. Schweitzer, President and Chief Executive Officer of the Corporation, pursuant to 18 United States Code Section 1350, as enacted by Section 906 of the Sarbanes-Oxley Act of 2002.
	Exhibit 32.2	Certification of Roger S. Deacon, Senior Executive Vice President and Chief Financial Officer of the Corporation, pursuant to 18 United States Code Section 1350, as enacted by Section 906 of the Sarbanes-Oxley Act of 2002.
	Exhibit 101.INS	XBRL Instance Document
	Exhibit 101.SCH	XBRL Taxonomy Extension Schema Document
	Exhibit 101.CAL	XBRL Taxonomy Extension Calculation Linkbase Document
	Exhibit 101.LAB	XBRL Taxonomy Extension Label Linkbase Document
	Exhibit 101.PRE	XBRL Taxonomy Extension Presentation Linkbase Document
	Exhibit 101.DEF	XBRL Taxonomy Extension Definition Linkbase Document

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SIGNATURES

Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized.

	Univest Corporation of Pennsylvania
	(Registrant)
Date: August 3, 2018	/s/ Jeffrey M. Schweitzer
	Jeffrey M. Schweitzer President and Chief Executive Officer (Principal Executive Officer)
Date: August 3, 2018	/s/ Roger S. Deacon
	Roger S. Deacon Senior Executive Vice President and Chief Financial Officer (Principal Financial and Accounting Officer)

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EX-31.1

Exhibit 31.1

CERTIFICATION

I, Jeffrey M. Schweitzer, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Univest Corporation of Pennsylvania;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation;

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal controls over financial reporting.

Date: August 3, 2018

/s/ Jeffrey M. Schweitzer

Jeffrey M. Schweitzer

President and Chief Executive Officer

(Principal Executive Officer)

EX-31.2

Exhibit 31.2

CERTIFICATION

I, Roger S. Deacon, certify that:

1. I have reviewed this Quarterly Report on Form 10-Q of Univest Corporation of Pennsylvania;

2. Based on my knowledge, this report does not contain any untrue statement of a material fact or omit to state a material fact necessary to make the statements made, in light of the circumstances under which such statements were made, not misleading with respect to the period covered by this report;

3. Based on my knowledge, the financial statements, and other financial information included in this report, fairly present in all material respects the financial condition, results of operations and cash flows of the registrant as of, and for, the periods presented in this report;

4. The registrant’s other certifying officer(s) and I are responsible for establishing and maintaining disclosure controls and procedures (as defined in Exchange Act Rules 13a-15(e) and 15d-15(e)) and internal control over financial reporting (as defined in Exchange Act Rules 13a-15(f) and 15d-15(f)) for the registrant and have:

a) designed such disclosure controls and procedures, or caused such disclosure controls and procedures to be designed under our supervision, to ensure that material information relating to the registrant, including its consolidated subsidiaries, is made known to us by others within those entities, particularly during the period in which this report is being prepared;

b) designed such internal control over financial reporting, or caused such internal control over financial reporting to be designed under our supervision, to provide reasonable assurance regarding the reliability of financial reporting and the preparation of financial statements for external purposes in accordance with generally accepted accounting principles;

c) evaluated the effectiveness of the registrant’s disclosure controls and procedures and presented in this report our conclusions about the effectiveness of the disclosure controls and procedures, as of the end of the period covered by this report based on such evaluation;

d) disclosed in this report any change in the registrant’s internal control over financial reporting that occurred during the registrant’s most recent fiscal quarter (the registrant’s fourth fiscal quarter in the case of an annual report) that has materially affected, or is reasonably likely to materially affect, the registrant’s internal control over financial reporting; and

5. The registrant’s other certifying officer(s) and I have disclosed, based on our most recent evaluation of internal control over financial reporting, to the registrant’s auditors and the audit committee of registrant’s board of directors (or persons performing the equivalent functions):

a) all significant deficiencies and material weaknesses in the design or operation of internal control over financial reporting which are reasonably likely to adversely affect the registrant’s ability to record, process, summarize and report financial information; and

b) any fraud, whether or not material, that involves management or other employees who have a significant role in the registrant’s internal controls over financial reporting.

Date: August 3, 2018

/s/ Roger S. Deacon

Roger S. Deacon

Senior Executive Vice President and Chief Financial Officer

(Principal Financial and Accounting Officer)

EX-32.1

Exhibit 32.1

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Univest Corporation of Pennsylvania on Form 10-Q for the period ended June 30, 2018, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned, in the capacity and on the date indicated below, hereby certifies pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to his knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operation of the Corporation.

A signed original of this written statement required by Section 906 has been provided to Univest Corporation of Pennsylvania and will be retained by Univest Corporation of Pennsylvania and furnished to the Securities and Exchange Commission or its staff upon request.

/s/ Jeffrey M. Schweitzer

Jeffrey M. Schweitzer

President and Chief Executive Officer

(Principal Executive Officer)

August 3, 2018

EX-32.2

Exhibit 32.2

CERTIFICATION PURSUANT TO

18 U.S.C. SECTION 1350

AS ADOPTED PURSUANT TO

SECTION 906 OF THE SARBANES-OXLEY ACT OF 2002

In connection with the Quarterly Report of Univest Corporation of Pennsylvania on Form 10-Q for the period ended June 30, 2018, as filed with the Securities and Exchange Commission on the date hereof (the “Report”), the undersigned, in the capacity and on the date indicated below, hereby certifies pursuant to 18 U.S.C. Section 1350, as adopted pursuant to Section 906 of the Sarbanes-Oxley Act of 2002, that to his knowledge:

1. The Report fully complies with the requirements of Section 13(a) or 15(d) of the Securities Exchange Act of 1934; and

2. The information contained in the Report fairly presents, in all material respects, the financial condition and results of operation of the Corporation.

A signed original of this written statement required by Section 906 has been provided to Univest Corporation of Pennsylvania and will be retained by Univest Corporation of Pennsylvania and furnished to the Securities and Exchange Commission or its staff upon request.

/s/ Roger S. Deacon

Roger S. Deacon

Senior Executive Vice President and Chief Financial Officer

(Principal Financial and Accounting Officer)

August 3, 2018

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Document and Entity Information - shares	6 Months Ended
	Jun. 30, 2018	Jul. 31, 2018
Document And Entity Information [Abstract]
Entity Registrant Name	UNIVEST CORP OF PENNSYLVANIA
Entity Central Index Key	0000102212
Current Fiscal Year End Date	--12-31
Entity Filer Category	Large Accelerated Filer
Document Type	10-Q
Document Period End Date	Jun. 30, 2018
Document Fiscal Year Focus	2018
Document Fiscal Period Focus	Q2
Trading Symbol	UVSP
Amendment Flag	false
Entity Common Stock, Shares Outstanding		29,403,651

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Condensed Consolidated Balance Sheets - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
ASSETS
Cash and due from banks	$ 54,409	$ 46,721
Interest-earning deposits with other banks	18,534	28,688
Investment securities held-to-maturity (fair value $94,642 and $55,320 at June 30, 2018 and December 31, 2017, respectively)	96,457	55,564
Investment securities available-for-sale	347,804	391,457
Investments in equity securities	2,672
Investments in equity securities		7,061
Federal Home Loan Bank, Federal Reserve Bank and other stock, at cost	32,768	27,204
Loans held for sale	1,778	1,642
Loans and leases held for investment	3,818,398	3,620,067
Less: Reserve for loan and lease losses	(25,652)	(21,555)
Net loans and leases held for investment	3,792,746	3,598,512
Premises and equipment, net	60,529	61,797
Goodwill	172,559	172,559
Other intangibles, net of accumulated amortization and fair value adjustments of $23,613 and $21,825 at June 30, 2018 and December 31, 2017, respectively	12,809	13,909
Bank owned life insurance	109,527	108,246
Accrued interest receivable and other assets	46,589	41,502
Total assets	4,749,181	4,554,862
LIABILITIES
Noninterest-bearing deposits	1,055,479	1,040,026
Interest-bearing deposits:
Demand deposits	1,163,451	1,109,438
Savings deposits	807,461	830,706
Time deposits	594,395	574,749
Total deposits	3,620,786	3,554,919
Short-term borrowings	231,853	105,431
Long-term debt	155,556	155,828
Subordinated notes	94,453	94,331
Accrued interest payable and other liabilities	41,239	40,979
Total liabilities	4,143,887	3,951,488
SHAREHOLDERS’ EQUITY
Common stock, $5 par value: 48,000,000 shares authorized at June 30, 2018 and December 31, 2017; 31,556,799 shares issued at June 30, 2018 and December 31, 2017; 29,406,450 and 29,334,859 shares outstanding at June 30, 2018 and December 31, 2017, respectively	157,784	157,784
Additional paid-in capital	291,238	290,133
Retained earnings	226,574	216,761
Accumulated other comprehensive loss, net of tax benefit	(28,007)	(17,771)
Treasury stock, at cost; 2,150,349 and 2,221,940 shares at June 30, 2018 and December 31, 2017, respectively	(42,295)	(43,533)
Total shareholders’ equity	605,294	603,374
Total liabilities and shareholders’ equity	$ 4,749,181	$ 4,554,862

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Condensed Consolidated Balance Sheets (Parenthetical) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Statement of Financial Position [Abstract]
Securities Held-to-Maturity, Fair Value	$ 94,642	$ 55,320
Accumulated amortization and fair value adjustments on other intangibles	$ 23,613	$ 21,825
Common stock, par value	$ 5	$ 5
Common stock, shares authorized	48,000,000	48,000,000
Common stock, shares issued	31,556,799	31,556,799
Common stock, shares outstanding	29,406,450	29,334,859
Treasury stock, shares	2,150,349	2,221,940

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Condensed Consolidated Statements of Income - USD ($) $ in Thousands		3 Months Ended			6 Months Ended
		Jun. 30, 2018	Jun. 30, 2017		Jun. 30, 2018		Jun. 30, 2017
Interest and fees on loans and leases:
Taxable		$ 40,637	$ 35,102		$ 78,587		$ 68,802
Exempt from federal income taxes		2,421	2,084		4,768		4,119
Total interest and fees on loans and leases		43,058	37,186		83,355		72,921
Interest and dividends on investment securities:
Taxable		2,268	1,833		4,457		3,521
Exempt from federal income taxes		477	576		945		1,175
Interest on deposits with other banks		148	38		224		55
Interest and dividends on other earning assets		509	397		1,013		754
Total interest income		46,460	40,030		89,994		78,426
Interest expense
Interest on deposits		4,542	2,461		8,233		4,652
Interest on short-term borrowings		958	325		1,603		587
Interest on long-term debt and subordinated notes		1,970	1,944		3,896		3,604
Total interest expense		7,470	4,730		13,732		8,843
Net interest income	[1]	38,990	35,300		76,262		69,583
Provision for loan and lease losses		15,409	2,766		17,462		5,211
Net interest income after provision for loan and lease losses		23,581	32,534		58,800		64,372
Disaggregation of Revenue [Line Items]
Insurance commission and fee income		3,712	3,628		8,600		8,038
Bank owned life insurance income	[1]	1,210	1,622		1,879		2,405
Net gain on sales of investment securities		0	21	[1]	10	[1]	36	[1]
Net gain on mortgage banking activities	[1]	942	1,537		1,658		2,650
Other (loss) income	[2]	(138)	294		(14)		625
Total noninterest income		15,314	16,009		30,896		30,979
Noninterest expense
Salaries, benefits and commissions		20,065	18,730		40,712		37,467
Net occupancy		2,533	2,684		5,290		5,349
Equipment		1,067	1,031		2,090		2,024
Data processing		2,091	2,081		4,323		4,139
Professional fees		1,331	1,248		2,686		2,487
Marketing and advertising		526	475		907		854
Deposit insurance premiums		452	451		843		853
Intangible expenses		594	446		1,206		1,205
Restructuring charges		0	0		571		0
Other expense		5,688	5,402		10,844		10,200
Total noninterest expense		34,347	32,548		69,472		64,578
Income before income taxes		4,548	15,995		20,224		30,773
Income tax expense		191	4,217		3,017		8,139
Net income		$ 4,357	$ 11,778		$ 17,207		$ 22,634
Net income per share:
Basic (in dollars per share)		$ 0.15	$ 0.44		$ 0.59		$ 0.85
Diluted (in dollars per share)		0.15	0.44		0.58		0.85
Dividends declared (in dollars per share)		$ 0.20	$ 0.20		$ 0.40		$ 0.40
Trust fee income
Disaggregation of Revenue [Line Items]
Noninterest income		$ 2,044	$ 2,016		$ 4,040		$ 3,923
Service charges on deposit accounts
Disaggregation of Revenue [Line Items]
Noninterest income		1,335	1,313		2,662		2,556
Investment advisory commission and fee income
Disaggregation of Revenue [Line Items]
Noninterest income		3,778	3,333		7,461		6,514
Other service fee income
Disaggregation of Revenue [Line Items]
Noninterest income	[2]	$ 2,431	$ 2,245		$ 4,600		$ 4,232

[1] (1)Net interest income as well as many other revenues for financial assets and liabilities including loans, leases, securities, and derivatives are excluded from the scope of the standard. Noninterest income streams that are out-of-scope of the standard include bank owned life insurance income, sales of investment securities and mortgage banking activities.

[2] (2)Other service fee income and other income include certain items that are in scope and certain items that are out of scope of the standard and are described further in the following paragraphs.

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Condensed Consolidated Statements of Comprehensive Income - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Before Tax Amount
(Loss) income, Before Tax Amount		$ 4,548	$ 15,995	$ 20,224	$ 30,773
Net unrealized gains (losses) on available-for-sale investment securities, Before Tax Amount
Net unrealized holding (losses) gains arising during the period		(1,911)	2,632	(8,249)	3,052
Less: reclassification adjustment for net gains on sales realized in net income	[1]	0	(21)	(10)	(36)
Total net unrealized (losses) gains on available-for-sale investment securities		(1,911)	2,611	(8,259)	3,016
Cash flow hedge derivative, Before Tax Amount
Net unrealized holding gains (losses) arising during the period		154	(92)	366	(85)
Less: reclassification adjustment for net losses realized in net income	[2]	6	36	26	107
Total net unrealized gains (losses) on interest rate swaps used in cash flow hedges		160	(56)	392	22
Defined benefit pension plans, Before Tax Amount
Amortization of net actuarial loss included in net periodic pension costs	[3]	282	299	563	598
Accretion of prior service cost included in net periodic pension costs	[3]	(71)	(71)	(142)	(141)
Total defined benefit pension plans		211	228	421	457
Other comprehensive income, Before Tax Amount		(1,540)	2,783	(7,446)	3,495
Total comprehensive income (loss), Before Tax Amount		3,008	18,778	12,778	34,268
Tax Expense (Benefit)
Income tax expense		191	4,217	3,017	8,139
Net unrealized gains (losses) on available-for-sale investment securities, Tax Expense (Benefit)
Net unrealized holding (losses) gains arising during the period		(401)	921	(1,732)	1,068
Less: reclassification adjustment for net gains on sales realized in net income	[1]	0	(8)	(2)	(13)
Total net unrealized (losses) gains on available-for-sale investment securities		(401)	913	(1,734)	1,055
Net unrealized losses on interest rate swaps used in cash flow hedges, Tax Expense (Benefit)
Net unrealized holding gains (losses) arising during the period		32	(31)	77	(29)
Less: reclassification adjustment for net losses realized in net income	[2]	1	12	5	37
Total net unrealized gains on interest rate swaps used in cash flow hedges		33	(19)	82	8
Defined benefit pension plans, Tax Expense (Benefit)
Amortization of net actuarial loss included in net periodic pension costs	[3]	58	104	117	209
Accretion of prior service cost included in net periodic pension costs	[3]	(14)	(25)	(29)	(49)
Total defined benefit pension plans		44	79	88	160
Other comprehensive income, Tax Expense (Benefit)		(324)	973	(1,564)	1,223
Total comprehensive income (loss), Tax Expense (Benefit)		(133)	5,190	1,453	9,362
Net of Tax Amount
Net income		4,357	11,778	17,207	22,634
Net unrealized gains (losses) on available-for-sale investment securities, Net of Tax Amount
Net unrealized holding (losses) gains arising during the period		(1,510)	1,711	(6,517)	1,984
Less: reclassification adjustment for net gains on sales realized in net income	[1]	0	(13)	(8)	(23)
Total net unrealized (losses) gains on available-for-sale investment securities		(1,510)	1,698	(6,525)	1,961
Total net unrealized gains (losses) on interest rate swaps used in cash flow hedges, Net of Tax Amount
Net unrealized holding gains (losses) arising during the period		122	(61)	289	(56)
Less: reclassification adjustment for net losses realized in net income	[2]	5	24	21	70
Total net unrealized gains (losses) on interest rate swaps used in cash flow hedges		127	(37)	310	14
Defined benefit pension plans, Net of Tax Amount
Amortization of net actuarial loss included in net periodic pension costs	[3]	224	195	446	389
Accretion of prior service cost included in net periodic pension costs	[3]	(57)	(46)	(113)	(92)
Total defined benefit pension plans		167	149	333	297
Other comprehensive income, Net of Tax Amount		(1,216)	1,810	(5,882)	2,272
Total comprehensive income (loss), Net of Tax Amount		$ 3,141	$ 13,588	$ 11,325	$ 24,906

[1] (1) Included in net gain on sales of investment securities on the consolidated statements of income (before tax amount).

[2] (2) Included in interest expense on deposits on the consolidated statements of income (before tax amount).

[3] (3) These accumulated other comprehensive loss components are included in the computation of net periodic pension cost (before tax amount). See Note 8, "Retirement Plans and Other Postretirement Benefits" for additional details.

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Condensed Consolidated Statements of Changes in Shareholders' Equity - USD ($) $ in Thousands	Total	Common Stock [Member]	Additional Paid-in Capital [Member]	Retained Earnings [Member]		Accumulated Other Comprehensive (Loss) Income [Member]		Treasury Stock [Member]
Beginning balance at Dec. 31, 2016	$ 505,209	$ 144,559	$ 230,494	$ 194,516		$ (19,454)		$ (44,906)
Beginning balance, shares at Dec. 31, 2016		26,589,353
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	22,634	$ 0	0	22,634		0		0
Other comprehensive loss, net of income tax benefit	2,272	0	0	0		2,272		0
Cash dividends declared ($0.40 per share)	(10,652)	0	0	(10,652)		0		0
Stock issued under dividend reinvestment and employee stock purchase plans	1,229	$ 0	72	0		0		1,157
Stock issued under dividend reinvestment and employee stock purchase plans, shares		43,415
Exercise of stock options	1,328	$ 0	(105)	0		0		1,433
Exercise of stock options, shares		73,870
Stock-based compensation	1,708	$ 0	1,708	0		0		0
Purchases of treasury stock	(2,422)	$ 0	0	0		0		(2,422)
Purchases of treasury stock, shares		(83,970)
Restricted stock awards granted, net of cancellations	0	$ 0	(880)	0		0		880
Restricted stock awards granted, net of cancellations, shares		45,323
Ending balance at Jun. 30, 2017	521,306	$ 144,559	231,289	206,498		(17,182)		(43,858)
Ending balance, shares at Jun. 30, 2017		26,667,991
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption | Accounting Standards Update 2016-01 [Member]	0	$ 0	0	433	[1]	(433)	[1],[2]	0
Cumulative Effect of New Accounting Pronouncement in Period of Adoption | Accounting Standards Update 2018-02 [Member]	0	0	0	3,921	[1]	(3,921)	[1],[2]	0
Beginning balance at Dec. 31, 2017	603,374	$ 157,784	290,133	216,761		(17,771)		(43,533)
Beginning balance, shares at Dec. 31, 2017		29,334,859
Increase (Decrease) in Stockholders' Equity [Roll Forward]
Net income	17,207	$ 0	0	17,207		0		0
Other comprehensive loss, net of income tax benefit	(5,882)	0	0	0		(5,882)		0
Cash dividends declared ($0.40 per share)	(11,749)	0	0	(11,749)		0		0
Stock issued under dividend reinvestment and employee stock purchase plans	1,173	$ 0	98	1		0		1,074
Stock issued under dividend reinvestment and employee stock purchase plans, shares		41,939
Exercise of stock options	$ 711	$ 0	(14)	0		0		725
Exercise of stock options, shares	36,990	36,990
Stock-based compensation	$ 1,719	$ 0	1,719	0		0		0
Purchases of treasury stock	(1,259)	$ 0	0	0		0		(1,259)
Purchases of treasury stock, shares		(44,353)
Restricted stock awards granted, net of cancellations	0	$ 0	(698)	0		0		698
Restricted stock awards granted, net of cancellations, shares		37,015
Ending balance at Jun. 30, 2018	$ 605,294	$ 157,784	$ 291,238	$ 226,574		$ (28,007)		$ (42,295)
Ending balance, shares at Jun. 30, 2018		29,406,450

[1] (1) See Note 1, "Summary of Significant Accounting Policies - Accounting Pronouncements Adopted in 2018" for additional information.

[2] (1) See Note 1, "Summary of Significant Accounting Policies - Accounting Pronouncements Adopted in 2018" for additional information.

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Condensed Consolidated Statements of Changes in Shareholders' Equity (Parenthetical) - $ / shares	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Statement of Stockholders' Equity [Abstract]
Cash dividends declared, per share	$ 0.20	$ 0.20	$ 0.40	$ 0.40

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Condensed Consolidated Statements of Cash Flows - USD ($) $ in Thousands		6 Months Ended
		Jun. 30, 2018	Jun. 30, 2017
Cash flows from operating activities:
Net income		$ 17,207	$ 22,634
Adjustments to reconcile net income to net cash provided by operating activities:
Provision for loan and lease losses		17,462	5,211
Depreciation of premises and equipment		2,795	2,730
Net amortization of investment securities premiums and discounts		779	959
Net gain on sales of investment securities	[1]	(10)	(36)
Net gain on mortgage banking activities	[1]	(1,658)	(2,650)
Bank owned life insurance income	[1]	(1,879)	(2,405)
Net accretion of acquisition accounting fair value adjustments		(495)	(1,508)
Stock-based compensation		1,719	1,708
Intangible expenses		1,206	1,205
Other adjustments to reconcile net income to cash (used in) provided by operating activities		190	(293)
Originations of loans held for sale		(61,508)	(64,035)
Proceeds from the sale of loans held for sale		63,076	69,847
Contributions to pension and other postretirement benefit plans		(133)	(138)
(Increase) decrease in accrued interest receivable and other assets		(3,089)	1,340
Increase (decrease) in accrued interest payable and other liabilities		814	(1,965)
Net cash provided by operating activities		36,476	32,604
Cash flows from investing activities:
Net capital expenditures		(1,347)	(4,622)
Proceeds from maturities, calls and principal repayments of securities held-to-maturity		4,253	10,595
Proceeds from maturities, calls and principal repayments of securities available-for-sale		34,824	29,603
Proceeds from sales of securities available-for-sale		1,010	3,032
Purchases of investment securities held-to-maturity		(45,349)	(29,498)
Purchases of investment securities available-for-sale		(1,485)	(8,476)
Proceeds from sales of money market mutual funds		10,706	12,020
Purchases of money market mutual funds		(6,284)	(16,768)
Net increase in other investments		(5,564)	(6,637)
Net increase in loans and leases		(211,534)	(225,682)
Net decrease (increase) in interest-earning deposits		10,154	(3,168)
Proceeds from sales of other real estate owned		21	3,612
Purchases of bank owned life insurance		(776)	0
Proceeds from bank owned life insurance		1,374	2,916
Net cash used in investing activities		(209,997)	(233,073)
Cash flows from financing activities:
Net increase in deposits		65,963	90,796
Net increase in short-term borrowings		126,422	35,555
Proceeds from issuance of long-term debt		0	95,000
Repayment of long-term debt		0	5,000
Payment of contingent consideration on acquisitions		(67)	(5,317)
Purchases of treasury stock		(1,259)	(2,422)
Stock issued under dividend reinvestment and employee stock purchase plans		1,173	1,229
Proceeds from exercise of stock options		711	1,328
Cash dividends paid		(11,734)	(10,636)
Net cash provided by financing activities		181,209	200,533
Net increase in cash and due from banks		7,688	64
Cash and due from banks at beginning of year		46,721	48,757
Cash and due from banks at end of period		54,409	48,821
Supplemental disclosures of cash flow information:
Cash paid for interest		13,190	9,685
Cash paid for income taxes, net of refunds		1,060	5,942
Non cash transactions:
Transfer of loans to other real estate owned		$ 402	$ 653

[1] (1)Net interest income as well as many other revenues for financial assets and liabilities including loans, leases, securities, and derivatives are excluded from the scope of the standard. Noninterest income streams that are out-of-scope of the standard include bank owned life insurance income, sales of investment securities and mortgage banking activities.

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Summary of Significant Accounting Policies

6 Months Ended

Jun. 30, 2018

Accounting Policies [Abstract]

Summary of Significant Accounting Policies

Summary of Significant Accounting Policies

Principles of Consolidation and Basis of Presentation

The accompanying unaudited consolidated financial statements include the accounts of Univest Corporation of Pennsylvania (the Corporation or Univest) and its wholly owned subsidiaries. The Corporation’s direct subsidiary is Univest Bank and Trust Co. (the Bank). All significant intercompany balances and transactions have been eliminated in consolidation. The unaudited interim consolidated financial statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the SEC). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) have been condensed or omitted pursuant to such rules and regulations for interim financial information. The accompanying unaudited consolidated financial statements reflect all adjustments which are of a normal recurring nature and are, in the opinion of management, necessary for a fair presentation of the financial statements for the interim periods presented. Certain prior period amounts have been reclassified to conform to the current-year presentation. Operating results for the six-month period ended June 30, 2018 are not necessarily indicative of the results that may be expected for the year ended December 31, 2018 or for any other period. It is suggested that these unaudited consolidated financial statements be read in conjunction with the audited financial statements and the notes thereto included in the registrant’s Annual Report on Form 10-K for the year ended December 31, 2017, which was filed with the SEC on March 1, 2018.

Use of Estimates

The preparation of the unaudited consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant changes include fair value measurement of investment securities available-for-sale, reserve for loan and lease losses and purchase accounting.

Accounting Pronouncements Adopted in 2018

In February 2018, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2018-02, "Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income." This ASUclarifies the accounting treatment of the reclassification of certain income tax effects within accumulated other comprehensive income as a result of the Tax Cuts and Jobs Act. The Corporation elected to early adopt this guidance effective January 1, 2018 for all stranded tax effects resulting from tax reform and reclassified stranded tax effects, totaling $3.9 million, from accumulated other comprehensive income to retained earnings. The Corporation's policy for releasing income tax effects from accumulated other comprehensive income is to release such effects on an individual basis as each item is liquidated, sold or extinguished. See Note 10, "Accumulated Other Comprehensive (Loss) Income" for additional detail.

In March 2017, the FASB issued ASU No. 2017-07, "Compensation – Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost." The amendments in this ASU require that an employer that sponsors defined benefit pension plans and other postretirement plans present the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. Other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations, if one is presented. If a separate line item or items are not used, the line item or items used in the income statement to present the other components of net benefit cost must be disclosed. The Corporation adopted this guidance effective January 1, 2018 with retrospective application for prior period presentation. Effective January 1, 2018, components of net benefit income other than the service cost component are presented in the Corporation's statement of income in other noninterest expense rather than in salaries, benefits and commission expense. Prior period components of net benefit income other than the service cost component were reclassed to other noninterest expense in the Corporation's statement of income.

In January 2016, the FASB issued ASU No. 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities." This ASU addresses certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The ASU requires equity investments to be measured at fair value with changes in fair value recognized in net income. At December 31, 2017, the Corporation had financial services equity securities with a carrying value of $1.1 million which included an unrealized net gain of $666 thousand. At December 31, 2017, $433 thousand was recorded in accumulated other comprehensive income which represented the unrealized net gain, net of income taxes, based on the Corporation’s statutory tax rate as of December 31, 2017. In addition, at December 31, 2017, the Corporation had money market mutual funds with a fair value and amortized cost of $6.0 million which were reclassified to equity securities under this guidance. The Corporation adopted this guidance effective January 1, 2018 with a cumulative-effect adjustment to the balance sheet as of January 1, 2018. The balance in accumulated other comprehensive income of $433 thousand was reclassified to retained earnings effective January 1, 2018. The carrying value of the equity securities, at January 1, 2018, did not change; however, any future increases or decreases in fair value is recorded as an increase or decrease to the carrying value and recognized in other noninterest income. During the six months ended June 30, 2018, the Corporation recognized a $33 thousand net gain on equity securities in other noninterest income.

In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers (Topic 606)” and subsequent related updates. The Corporation adopted the guidance effective January 1, 2018 using the modified retrospective method though no adjustments were made to retained earnings as a result of the adoption. The Corporation provided expanded disclosures related to recognition of revenue from contracts with customers. See Note 14, "Revenue from Contracts with Customers."

Recent Accounting Pronouncements Yet to Be Adopted

In August 2017, the FASB issued ASU No. 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities." The amendments in this update expand and refine hedge accounting for both non-financial and financial risk components and aligns the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. Additional hedging strategies permitted for hedge accounting include: hedges of contractually-specified price components of commodity purchases or sales, hedges of the benchmark rate component of the contractual coupon cash flows of fixed-rate assets or liabilities, hedges of the portion of a closed portfolio of prepayable assets not expected to prepay, and partial-term hedges of fixed-rate assets or liabilities. The ASU amends the presentation and disclosure requirements and changes how entities assess effectiveness. The ASU eliminates the requirement to separately measure and report hedge ineffectiveness and requires all items that affect earnings be presented in the same income statement line as the hedged items. After initial qualification, the new guidance permits a qualitative effectiveness assessment for certain hedges instead of a quantitative test, such as a regression analysis, if the entity can reasonably support an expectation of high effectiveness throughout the term of the hedge. An initial quantitative test to establish that the hedge relationship is highly effective is still required. The ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years for public business entities, or January 1, 2019 for the Corporation. Early adoption is permitted, including an interim period. The amended presentation and disclosure guidance is required only prospectively. The Corporation does not expect the adoption of this ASU will have a material impact on the Corporation's financial statements.

In March 2017, the FASB issued ASU No. 2017-08, “Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities.” This ASU shortens the amortization period for certain callable debt securities held at a premium. Specifically, the amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. The guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, or January 1, 2019 for the Corporation. Early adoption is permitted, including an interim period. This ASU is to be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The Corporation does not expect the adoption of this ASU will have a material impact on the Corporation's financial statements.

In January 2017, the FASB issued ASU No. 2017-04, "Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment." This ASU eliminates Step 2 of the goodwill impairment test. Step 2 measures a goodwill impairment loss by comparing the implied fair value of a reporting unit’s goodwill with the carrying amount of that goodwill. Under the new guidance, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. Additionally, an entity should consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. An entity still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary. Public business entities that are SEC filers should adopt the amendments in this ASU for annual or interim goodwill impairment tests in fiscal years beginning after December 15, 2019, or for the Corporation's goodwill impairment test in 2020. Early adoption is permitted for goodwill impairment tests with measurement dates after January 1, 2017. The Corporation does not expect the adoption of this ASU will have a material impact on the Corporation's financial statements.

In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This ASU requires businesses and other organizations to measure the current expected credit losses (CECL) on financial assets, such as loans, net investments in leases, certain debt securities, bond insurance and other receivables. The amendments affect entities holding financial assets and net investments in leases that are not accounted for at fair value through net income. Current GAAP requires an incurred loss methodology for recognizing credit losses that delays recognition until it is probable a loss has been incurred. The amendments in this ASU replace the incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonableness and supportable information to inform credit loss estimates. An entity should apply the amendments through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (modified-retrospective approach). Acquired credit impaired loans for which the guidance in Accounting Standards Codification (ASC) Topic 310-30 has been previously applied should prospectively apply the guidance in this ASU. A prospective transition approach is required for debt securities for which an other-than-temporary impairment has been recognized before the effective date. The ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those years for public business entities that are SEC filers, or January 1, 2020 for the Corporation. The Corporation is in the process of evaluating the impact of the adoption of this guidance on the Corporation's financial statements; however, it is anticipated that the reserve for loan and lease losses will increase upon adoption of CECL and that the increased reserve level will decrease shareholders' equity and regulatory capital and ratios.

In February 2016, the FASB issued ASU No. 2016-02, "Leases (Topic 842)" to revise the accounting related to lessee accounting. Under the new guidance, lessees will be required to recognize a lease liability and a right-of-use asset for all leases. Disclosures will be required by lessees and lessors to meet the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. Lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The modified retrospective approach includes a number of optional practical expedients that entities may elect to apply. These practical expedients relate to the identification and classification of leases that commenced before the effective date, initial direct costs for leases that commenced before the effective date, and the ability to use hindsight in evaluating lessee options to extend or terminate a lease or to purchase the underlying asset. An entity that elects to apply the practical expedients will, in effect, continue to account for leases that commence before the effective date in accordance with previous GAAP unless the lease is modified, except that lessees are required to recognize a right-of-use asset and a lease liability for all operating leases at each reporting date based on the present value of the remaining minimum rental payments that were tracked and disclosed under previous GAAP. The ASU is effective for the first interim period within annual periods beginning after December 15, 2018, or January 1, 2019, with early adoption permitted. The Corporation is in the process of evaluating the impact of the adoption of this guidance on the Corporation's financial statements; however, the adoption of this ASU will impact the balance sheet by the recording of lease liabilities and right-of-use assets associated with operating leases; any initial or continued impact of the recording of assets will have a negative impact on all Corporation and Bank capital ratios under current regulatory guidance and possibly equity ratios.

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Earnings per Share

6 Months Ended

Jun. 30, 2018

Earnings Per Share, Basic and Diluted [Abstract]

Earnings per Share

Earnings per Share

The Corporation uses the two-class method to calculate earnings per share as the unvested restricted stock issued under the Corporation's equity incentive plans are participating shares with nonforfeitable rights to dividends. Under the two-class method, earnings per common share are computed by dividing the sum of distributed earnings to common shareholders and undistributed earnings allocated to common shareholders by the weighted average number of common shares outstanding for the period. In applying the two-class method, undistributed earnings are allocated to both common shares and participating securities based on the number of weighted average shares outstanding during the period. The table also notes anti-dilutive options which are those options with weighted average exercise prices in excess of the weighted average market value for the periods presented.

The following table sets forth the computation of basic and diluted earnings per share:

	Three Months Ended   June 30,						Six Months Ended   June 30,
(Dollars and shares in thousands, except per share data)	2018			2017			2018			2017
Numerator:
Net income	$	4,357		$	11,778		$	17,207		$	22,634
Net income allocated to unvested restricted stock	(33		)	(122		)	(132		)	(234		)
Net income allocated to common shares	$	4,324		$	11,656		$	17,075		$	22,400
Denominator:
Weighted average shares outstanding	29,404			26,661			29,380			26,647
Average unvested restricted stock	(228		)	(281		)	(221		)	(284		)
Denominator for basic earnings per share—weighted-average shares outstanding	29,176			26,380			29,159			26,363
Effect of dilutive securities—employee stock options	95			97			95			100
Denominator for diluted earnings per share—adjusted weighted-average shares outstanding	29,271			26,477			29,254			26,463
Basic earnings per share	$	0.15		$	0.44		$	0.59		$	0.85
Diluted earnings per share	$	0.15		$	0.44		$	0.58		$	0.85
Average anti-dilutive options excluded from computation of diluted earnings per share	369			188			294			157

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Investment Securities

6 Months Ended

Jun. 30, 2018

Investments, Debt and Equity Securities [Abstract]

Investment Securities

Investment Securities

The following table shows the amortized cost and the estimated fair value of the held-to-maturity securities and available-for-sale securities at June 30, 2018 and December 31, 2017, by contractual maturity within each type:

	At June 30, 2018									At December 31, 2017
(Dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value		Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Securities Held-to-Maturity
U.S. government corporations and agencies:
After 1 year to 5 years	$	6,996	$	—	$	(183	)	$	6,813	$	6,995	$	—	$	(77	)	$	6,918
	6,996		—		(183		)	6,813		6,995		—		(77		)	6,918
Residential mortgage-backed securities:
After 5 years to 10 years	12,838		—		(206		)	12,632		8,944		—		(51		)	8,893
Over 10 years	76,623		—		(1,426		)	75,197		39,625		44		(160		)	39,509
	89,461		—		(1,632		)	87,829		48,569		44		(211		)	48,402
Total	$	96,457	$	—	$	(1,815	)	$	94,642	$	55,564	$	44	$	(288	)	$	55,320
Securities Available-for-Sale
U.S. government corporations and agencies:
Within 1 year	$	5,020	$	—	$	(31	)	$	4,989	$	1,499	$	—	$	(3	)	$	1,496
After 1 year to 5 years	10,482		—		(132		)	10,350		15,590		—		(125		)	15,465
	15,502		—		(163		)	15,339		17,089		—		(128		)	16,961
State and political subdivisions:
Within 1 year	5,562		—		(5		)	5,557		2,721		1		(6		)	2,716
After 1 year to 5 years	14,538		29		(43		)	14,524		16,787		33		(44		)	16,776
After 5 years to 10 years	46,800		436		(438		)	46,798		54,846		897		(73		)	55,670
Over 10 years	3,120		—		(89		)	3,031		3,120		15		—			3,135
	70,020		465		(575		)	69,910		77,474		946		(123		)	78,297
Residential mortgage-backed securities:
After 1 year to 5 years	5,496		—		(93		)	5,403		3,913		12		(26		)	3,899
After 5 years to 10 years	56,238		8		(2,082		)	54,164		51,428		5		(852		)	50,581
Over 10 years	110,422		29		(4,409		)	106,042		133,237		87		(2,383		)	130,941
	172,156		37		(6,584		)	165,609		188,578		104		(3,261		)	185,421
Collateralized mortgage obligations:
After 5 years to 10 years	1,883		—		(105		)	1,778		2,103		—		(82		)	2,021
Over 10 years	1,414		—		(21		)	1,393		1,567		14		—			1,581
	3,297		—		(126		)	3,171		3,670		14		(82		)	3,602
Corporate bonds:
Within 1 year	2,510		—		(18		)	2,492		10,006		—		(5		)	10,001
After 1 year to 5 years	23,835		17		(471		)	23,381		24,885		20		(147		)	24,758
After 5 years to 10 years	15,657		5		(532		)	15,130		16,669		71		(296		)	16,444
Over 10 years	60,000		—		(7,228		)	52,772		60,000		—		(4,027		)	55,973
	102,002		22		(8,249		)	93,775		111,560		91		(4,475		)	107,176
Equity securities:*
No stated maturity	N/A		N/A		N/A			N/A		6,395		667		(1		)	7,061
	N/A		N/A		N/A			N/A		6,395		667		(1		)	7,061
Total	$	362,977	$	524	$	(15,697	)	$	347,804	$	404,766	$	1,822	$	(8,070	)	$	398,518

* Equity securities at December 31, 2017 include $6.0 million of money market mutual funds and $1.1 million of financial services equity securities. In accordance with ASU 2016-01, beginning January 1, 2018, such amounts were reclassified from investment securities available-for-sale to investments in equity securities on the Corporation's Condensed Consolidated Balance Sheets.

Expected maturities may differ from contractual maturities because debt issuers may have the right to call or prepay obligations without call or prepayment penalties and mortgage-backed securities typically prepay at a rate faster than contractually due.

Securities with a carrying value of $355.0 million and $345.1 million at June 30, 2018 and December 31, 2017, respectively, were pledged to secure public deposits and other contractual obligations. In addition, securities of $295 thousand and $1.8 million were pledged to secure credit derivatives and interest rate swaps at June 30, 2018 and December 31, 2017, respectively. See Note 11, "Derivative Instruments and Hedging Activities" for additional information.

The following table presents information related to sales of securities available-for-sale during the six months ended June 30, 2018 and 2017:

	Six Months Ended June 30,
(Dollars in thousands)	2018		2017
Securities available-for-sale:
Proceeds from sales	$	1,010	$	3,032
Gross realized gains on sales	10		36
Tax expense related to net realized gains on sales	2		13

At June 30, 2018 and December 31, 2017, there were no investments in any single non-federal issuer representing more than 10% of shareholders’ equity.

The following table shows the fair value of securities that were in an unrealized loss position at June 30, 2018 and December 31, 2017 by the length of time those securities were in a continuous loss position. For the investment securities in an unrealized loss position, the Corporation has concluded, based on its analysis, that the unrealized losses are primarily caused by the movement of interest rates and current market conditions. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the par value of the investment. It is more likely than not that the Corporation will not be required to sell the investments before a recovery of carrying value.

	Less than Twelve Months					Twelve Months or Longer					Total
(Dollars in thousands)	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
At June 30, 2018
Securities Held-to-Maturity
U.S. government corporations and agencies	$	6,813	$	(183	)	$	—	$	—		$	6,813	$	(183	)
Residential mortgage-backed securities	87,829		(1,632		)	—		—			87,829		(1,632		)
Total	$	94,642	$	(1,815	)	$	—	$	—		$	94,642	$	(1,815	)
Securities Available-for-Sale
U.S. government corporations and agencies	$	5,121	$	(58	)	$	10,218	$	(105	)	$	15,339	$	(163	)
State and political subdivisions	29,012		(521		)	7,449		(54		)	36,461		(575		)
Residential mortgage-backed securities	35,367		(931		)	128,118		(5,653		)	163,485		(6,584		)
Collateralized mortgage obligations	1,393		(21		)	1,778		(105		)	3,171		(126		)
Corporate bonds	22,589		(534		)	67,665		(7,715		)	90,254		(8,249		)
Total	$	93,482	$	(2,065	)	$	215,228	$	(13,632	)	$	308,710	$	(15,697	)
At December 31, 2017
Securities Held-to-Maturity
U.S. government corporations and agencies	$	6,919	$	(77	)	$	—	$	—		$	6,919	$	(77	)
Residential mortgage-backed securities	40,881		(211		)	—		—			40,881		(211		)
Total	$	47,800	$	(288	)	$	—	$	—		$	47,800	$	(288	)
Securities Available-for-Sale
U.S. government corporations and agencies	$	5,213	$	(38	)	$	11,749	$	(90	)	$	16,962	$	(128	)
State and political subdivisions	18,457		(91		)	6,332		(32		)	24,789		(123		)
Residential mortgage-backed securities	32,217		(210		)	141,371		(3,051		)	173,588		(3,261		)
Collateralized mortgage obligations	—		—			2,021		(82		)	2,021		(82		)
Corporate bonds	18,464		(1,016		)	71,957		(3,459		)	90,421		(4,475		)
Equity securities	—		(1		)	4		—			4		(1		)
Total	$	74,351	$	(1,356	)	$	233,434	$	(6,714	)	$	307,785	$	(8,070	)

At June 30, 2018, gross unrealized losses for securities in an unrealized loss position for twelve months or longer, totaled $13.6 million. Three federal agency bonds, twelve investment grade corporate bonds, 105 federal agency residential mortgage securities, nine investment grade municipal bonds and one collateralized mortgage obligation bond had respective unrealized loss positions of $105 thousand, $7.7 million, $5.7 million, $54 thousand and $105 thousand, respectively. The fair value of these 130 securities fluctuate with changes in market conditions which for these underlying securities is primarily due to changes in the interest rate environment. The Corporation does not intend to sell the securities in an unrealized loss position and is unlikely to be required to sell these securities before a recovery of fair value, which may be maturity. Upon review of the attributes of the individual securities, the Corporation concluded these securities were not other-than-temporarily impaired. The Corporation did not recognize any other-than-temporary impairment charges on debt securities for the six months ended June 30, 2018 and 2017.

In conjunction with the adoption of ASU 2016-01, the Corporation recognized a $33 thousand net gain on equity securities during the six months ended June 30, 2018 in other noninterest income and the net unrealized gain on equity securities held at June 30, 2018 was $33 thousand. See Note 1, "Summary of Significant Accounting Policies - Accounting Pronouncements Adopted in 2018" for additional information.

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Loans and Leases

6 Months Ended

Jun. 30, 2018

Receivables [Abstract]

Loans and Leases

Loans and Leases

Summary of Major Loan and Lease Categories

	At June 30, 2018
(Dollars in thousands)	Originated			Acquired		Total
Commercial, financial and agricultural	$	880,961		$	45,199	$	926,160
Real estate-commercial	1,373,093			270,551		1,643,644
Real estate-construction	204,602			4,284		208,886
Real estate-residential secured for business purpose	267,014			71,698		338,712
Real estate-residential secured for personal purpose	296,734			54,689		351,423
Real estate-home equity secured for personal purpose	175,351			9,909		185,260
Loans to individuals	31,048			143		31,191
Lease financings	133,122			—		133,122
Total loans and leases held for investment, net of deferred income	$	3,361,925		$	456,473	$	3,818,398
Unearned lease income, included in the above table	$	(14,700	)	$	—	$	(14,700	)
Net deferred costs, included in the above table	4,060			—		4,060
Overdraft deposits included in the above table	98			—		98

	At December 31, 2017
(Dollars in thousands)	Originated			Acquired		Total
Commercial, financial and agricultural	$	833,100		$	63,111	$	896,211
Real estate-commercial	1,235,681			306,460		1,542,141
Real estate-construction	171,244			4,592		175,836
Real estate-residential secured for business purpose	250,800			91,167		341,967
Real estate-residential secured for personal purpose	260,654			60,920		321,574
Real estate-home equity secured for personal purpose	171,884			12,386		184,270
Loans to individuals	28,156			144		28,300
Lease financings	129,768			—		129,768
Total loans and leases held for investment, net of deferred income	$	3,081,287		$	538,780	$	3,620,067
Unearned lease income, included in the above table	$	(14,243	)	$	—	$	(14,243	)
Net deferred costs, included in the above table	4,669			—		4,669
Overdraft deposits included in the above table	222			—		222

Overdraft deposits are re-classified as loans and are included in the total loans and leases on the balance sheet.

The carrying amount of acquired loans at June 30, 2018 totaled $456.5 million, including $368.6 million of loans from the Fox Chase acquisition and $87.9 million from the Valley Green Bank acquisition. At June 30, 2018, loans acquired with deteriorated credit quality, or acquired credit impaired loans, totaled $998 thousand representing $332 thousand from the Fox Chase acquisition and $666 thousand from the Valley Green Bank acquisition. Acquired credit impaired loans are accounted for in accordance with Accounting Standards Codification (ASC) Topic 310-30.

The outstanding principal balance and carrying amount for acquired credit impaired loans at June 30, 2018 and December 31, 2017 were as follows:

(Dollars in thousands)	At June 30, 2018		At December 31, 2017
Outstanding principal balance	$	1,378	$	2,325
Carrying amount	998		1,583
Allowance for loan losses	—		—

The following table presents the changes in accretable yield on acquired credit impaired loans:

	Six Months Ended June 30,
(Dollars in thousands)	2018			2017
Beginning of period	$	11		$	50
Reclassification from nonaccretable discount	375			279
Accretable discount amortized to interest income	(386		)	(297		)
Disposals	—			(4		)
End of period	$	—		$	28

Age Analysis of Past Due Loans and Leases

The following presents, by class of loans and leases, an aging of past due loans and leases, loans and leases which are current and the recorded investment in loans and leases 90 days or more past due which are accruing interest at June 30, 2018 and December 31, 2017:

(Dollars in thousands)	30-59 Days Past Due		60-89 Days Past Due		90 Days or more Past Due		Total Past Due		Current		Acquired Credit Impaired		Total Loans and Leases Held for Investment		Recorded Investment 90 Days or more Past Due and Accruing Interest
At June 30, 2018
Commercial, financial and agricultural	$	1,777	$	141	$	2,240	$	4,158	$	921,735	$	267	$	926,160	$	—
Real estate—commercial real estate and construction:
Commercial real estate	1,543		1,145		1,619		4,307		1,639,131		206		1,643,644		—
Construction	364		—		—		364		208,522		—		208,886		—
Real estate—residential and home equity:
Residential secured for business purpose	1,750		782		1,173		3,705		334,547		460		338,712		—
Residential secured for personal purpose	2,896		88		1,561		4,545		346,813		65		351,423		—
Home equity secured for personal purpose	672		698		1,205		2,575		182,685		—		185,260		—
Loans to individuals	137		49		101		287		30,904		—		31,191		101
Lease financings	1,383		646		1,575		3,604		129,518		—		133,122		49
Total	$	10,522	$	3,549	$	9,474	$	23,545	$	3,793,855	$	998	$	3,818,398	$	150
At December 31, 2017
Commercial, financial and agricultural	$	2,182	$	1,440	$	1,509	$	5,131	$	890,658	$	422	$	896,211	$	—
Real estate—commercial real estate and construction:
Commercial real estate	733		548		1,410		2,691		1,539,094		356		1,542,141		—
Construction	1,970		—		365		2,335		173,501		—		175,836		—
Real estate—residential and home equity:
Residential secured for business purpose	1,651		315		1,355		3,321		338,061		585		341,967		162
Residential secured for personal purpose	4,368		1,118		23		5,509		315,845		220		321,574		—
Home equity secured for personal purpose	1,414		333		464		2,211		182,059		—		184,270		148
Loans to individuals	221		139		195		555		27,745		—		28,300		195
Lease financings	1,143		392		1,855		3,390		126,378		—		129,768		256
Total	$	13,682	$	4,285	$	7,176	$	25,143	$	3,593,341	$	1,583	$	3,620,067	$	761

Nonperforming Loans and Leases

The following presents, by class of loans and leases, nonperforming loans and leases at June 30, 2018 and December 31, 2017. Nonperforming loans exclude acquired credit impaired loans from Fox Chase and Valley Green.

	At June 30, 2018								At December 31, 2017
(Dollars in thousands)	Nonaccrual Loans and Leases*		Accruing Troubled Debt Restructured Loans and Lease Modifications		Loans and Leases 90 Days or more Past Due and Accruing Interest		Total Nonperforming Loans and Leases		Nonaccrual Loans and Leases*		Accruing Troubled Debt Restructured Loans and Lease Modifications		Loans and Leases 90 Days or more Past Due and Accruing Interest		Total Nonperforming Loans and Leases
Commercial, financial and agricultural	$	4,084	$	607	$	—	$	4,691	$	4,448	$	921	$	—	$	5,369
Real estate—commercial real estate and construction:
Commercial real estate	19,584		—		—		19,584		4,285		10,266		—		14,551
Construction	110		—		—		110		365		—		—		365
Real estate—residential and home equity:
Residential secured for business purpose	1,538		183		—		1,721		2,843		206		162		3,211
Residential secured for personal purpose	1,741		—		—		1,741		466		42		—		508
Home equity secured for personal purpose	1,565		—		—		1,565		511		—		148		659
Loans to individuals	—		—		101		101		—		—		195		195
Lease financings	1,526		—		49		1,575		1,599		—		256		1,855
Total	$	30,148	$	790	$	150	$	31,088	$	14,517	$	11,435	$	761	$	26,713

* Includes nonaccrual troubled debt restructured loans and lease modifications of $1.8 million and $2.5 million at June 30, 2018 and December 31, 2017, respectively.

Accruing troubled debt restructuring loans of $11.4 million at December 31, 2017 includes balances of $10.3 million related to one borrower which were classified as troubled debt restructurings as the related loans were granted amortization period extensions. These troubled debt restructured loans were returned to performing status during the first quarter of 2018 as the borrower was in compliance with the modified terms of the restructurings for the required time period. At June 30, 2018, commercial real estate nonaccrual loans and leases includes a $12.0 million loan that was placed on nonaccrual status during the first quarter of 2018. A specific reserve of $650 thousand was recorded for this loan as of June 30, 2018.

Credit Quality Indicators

The following tables present by class, the recorded investment in loans and leases held for investment by credit quality indicator at June 30, 2018 and December 31, 2017.

The Corporation employs a ten (10) grade risk rating system related to the credit quality of commercial loans and residential real estate loans secured for a business purpose of which the first six categories are pass categories (credits not adversely rated).The following is a description of the internal risk ratings and the likelihood of loss related to each risk rating. Loans with a relationship balance of less than $1 million are reviewed on a performance basis, with the primary monitored metrics being delinquency (60 days or more past due) and revolving stagnancy. Loans with relationships greater than $1 million are reviewed at least annually.  Loan relationships exceeding $15 million or classified as special mention or substandard are reviewed at least quarterly, or more frequently based on management’s discretion. 

1. Cash Secured—No credit risk

2. Fully Secured—Negligible credit risk

3. Strong—Minimal credit risk

4. Satisfactory—Nominal credit risk

5. Acceptable—Moderate credit risk

6. Pre-Watch—Marginal, but stable credit risk

7. Special Mention—Potential weakness

8. Substandard—Well-defined weakness

9. Doubtful—Collection in-full improbable

10. Loss—Considered uncollectible

Commercial Credit Exposure Credit Risk by Internally Assigned Grades

The following table presents classifications for originated loans:

(Dollars in thousands)	Commercial, Financial and Agricultural		Real Estate— Commercial		Real Estate— Construction		Real Estate— Residential Secured for Business Purpose		Total
At June 30, 2018
Grade:
1. Cash secured/ 2. Fully secured	$	2,846	$	—	$	24,304	$	—	$	27,150
3. Strong	13,926		612		—		—		14,538
4. Satisfactory	21,425		25,860		—		268		47,553
5. Acceptable	606,047		1,045,630		74,818		225,971		1,952,466
6. Pre-watch	204,593		249,505		103,970		36,000		594,068
7. Special Mention	23,203		41,286		1,400		984		66,873
8. Substandard	8,921		10,200		110		3,791		23,022
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	880,961	$	1,373,093	$	204,602	$	267,014	$	2,725,670
At December 31, 2017
Grade:
1. Cash secured/ 2. Fully secured	$	2,521	$	—	$	20,420	$	—	$	22,941
3. Strong	9,206		1,821		—		—		11,027
4. Satisfactory	30,283		26,950		—		274		57,507
5. Acceptable	593,205		960,258		76,899		215,750		1,846,112
6. Pre-watch	179,990		209,844		72,168		29,738		491,740
7. Special Mention	4,027		12,974		1,392		296		18,689
8. Substandard	13,868		23,834		365		4,742		42,809
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	833,100	$	1,235,681	$	171,244	$	250,800	$	2,490,825

The following table presents classifications for acquired loans:

(Dollars in thousands)	Commercial, Financial and Agricultural		Real Estate— Commercial		Real Estate— Construction		Real Estate— Residential Secured for Business Purpose		Total
At June 30, 2018
Grade:
1. Cash secured/ 2. Fully secured	$	—	$	—	$	—	$	—	$	—
3. Strong	—		—		—		—		—
4. Satisfactory	—		—		—		—		—
5. Acceptable	42,051		164,915		—		61,566		268,532
6. Pre-watch	1,229		86,041		4,284		8,784		100,338
7. Special Mention	865		4,462		—		—		5,327
8. Substandard	1,054		15,133		—		1,348		17,535
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	45,199	$	270,551	$	4,284	$	71,698	$	391,732
December 31, 2017
Grade:
1. Cash secured/ 2. Fully secured	$	1,120	$	—	$	—	$	—	$	1,120
3. Strong	—		—		—		—		—
4. Satisfactory	125		482		—		—		607
5. Acceptable	49,949		183,490		—		73,402		306,841
6. Pre-watch	6,183		98,977		4,592		15,861		125,613
7. Special Mention	1,007		17,028		—		—		18,035
8. Substandard	4,727		6,483		—		1,904		13,114
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	63,111	$	306,460	$	4,592	$	91,167	$	465,330

Credit Exposure—Real Estate—Residential Secured for Personal Purpose, Real Estate—Home Equity Secured for Personal Purpose, Loans to individuals, Lease Financing Credit Risk Profile by Payment Activity

The Corporation monitors the credit risk profile by payment activity for the following classifications of loans and leases: residential real estate loans secured for a personal purpose, home equity loans secured for a personal purpose, loans to individuals and lease financings. Nonperforming loans and leases are loans and leases past due 90 days or more, loans and leases on nonaccrual of interest and troubled debt restructured loans and lease modifications. Performing loans and leases are reviewed only if the loan becomes 60 days or more past due. Nonperforming loans and leases are reviewed monthly. Performing loans and leases have a nominal to moderate risk of loss.

The following table presents classifications for originated loans:

(Dollars in thousands)	Real Estate— Residential Secured for Personal Purpose		Real Estate— Home Equity Secured for Personal Purpose		Loans to Individuals		Lease Financings		Total
At June 30, 2018
Performing	$	296,127	$	174,866	$	30,947	$	131,547	$	633,487
Nonperforming	607		485		101		1,575		2,768
Total	$	296,734	$	175,351	$	31,048	$	133,122	$	636,255
At December 31, 2017
Performing	$	260,589	$	171,527	$	27,961	$	127,913	$	587,990
Nonperforming	65		357		195		1,855		2,472
Total	$	260,654	$	171,884	$	28,156	$	129,768	$	590,462

The following table presents classifications for acquired loans:

(Dollars in thousands)	Real Estate— Residential Secured for Personal Purpose		Real Estate— Home Equity Secured for Personal Purpose		Loans to Individuals		Lease Financings		Total
At June 30, 2018
Performing	$	53,555	$	8,829	$	143	$	—	$	62,527
Nonperforming	1,134		1,080		—		—		2,214
Total	$	54,689	$	9,909	$	143	$	—	$	64,741
At December 31, 2017
Performing	$	60,477	$	12,084	$	144	$	—	$	72,705
Nonperforming	443		302		—		—		745
Total	$	60,920	$	12,386	$	144	$	—	$	73,450

Reserve for Loan and Lease Losses and Recorded Investment in Loans and Leases

The following presents, by portfolio segment, a summary of the activity in the reserve for loan and lease losses for the three and six months ended June 30, 2018 and 2017:

(Dollars in thousands)	Commercial, Financial and Agricultural			Real Estate— Commercial and Construction			Real Estate— Residential Secured for Business Purpose			Real Estate— Residential and Home Equity Secured for Personal Purpose			Loans to Individuals			Lease Financings			Unallocated			Total
Three Months Ended June 30, 2018
Reserve for loan and lease losses:
Beginning balance	$	6,942		$	11,178		$	1,871		$	1,908		$	372		$	1,079		$	60		$	23,410
Charge-offs	(13,048		)	—			—			—			(79		)	(169		)	N/A			(13,296		)
Recoveries	23			—			7			8			16			75			N/A			129
Provision (recovery of provision)	13,341			1,149			126			578			138			86			(9		)	15,409
Ending balance	$	7,258		$	12,327		$	2,004		$	2,494		$	447		$	1,071		$	51		$	25,652
Three Months Ended June 30, 2017
Reserve for loan and lease losses:
Beginning balance	$	7,890		$	7,624		$	1,345		$	1,001		$	335		$	1,329		$	4		$	19,528
Charge-offs	(108		)	(30		)	(1,139		)	—			(114		)	(327		)	N/A			(1,718		)
Recoveries	210			—			8			4			46			66			N/A			334
Provision (recovery of provision)	321			874			915			(30		)	62			592			33			2,767
Recovery of provision for acquired credit impaired loans	—			—			—			(1		)	—			—			—			(1		)
Ending balance	$	8,313		$	8,468		$	1,129		$	974		$	329		$	1,660		$	37		$	20,910
Six Months Ended June 30, 2018
Reserve for loan and lease losses:
Beginning balance	$	6,742		$	9,839		$	1,661		$	1,754		$	373		$	1,132		$	54		$	21,555
Charge-offs	(13,649		)	(40		)	—			—			(171		)	(305		)	N/A			(14,165		)
Recoveries	249			73			258			65			46			109			N/A			800
Provision (recovery of provision)	13,916			2,455			85			674			199			135			(3		)	17,461
Provision for acquired credit impaired loans	—			—			—			1			—			—			—			1
Ending balance	$	7,258		$	12,327		$	2,004		$	2,494		$	447		$	1,071		$	51		$	25,652
Six Months Ended June 30, 2017
Reserve for loan and lease losses:
Beginning balance	$	7,037		$	7,505		$	774		$	993		$	364		$	788		$	38		$	17,499
Charge-offs	(286		)	(30		)	(1,181		)	(94		)	(240		)	(584		)	N/A			(2,415		)
Recoveries	397			3			18			21			81			95			N/A			615
Provision (recovery of provision)	1,165			990			1,518			52			124			1,361			(1		)	5,209
Provision for acquired credit impaired loans	—			—			—			2			—			—			—			2
Ending balance	$	8,313		$	8,468		$	1,129		$	974		$	329		$	1,660		$	37		$	20,910

N/A – Not applicable

Charge-offs for the three and six months ended June 30, 2018 include a charge-off of $12.7 million for a commercial loan relationship related to alleged fraudulent activities believed to be perpetrated by one or more employees of the borrower. The Bank owns a participating interest which originally totaled $13.0 million in an approximately $80.0 million commercial lending facility. The charge-off represents the entire principal amount owed to the Bank.

The following presents, by portfolio segment, a summary of the balance in the reserve for loan and lease losses disaggregated on the basis of impairment method and the recorded investment in loans and leases disaggregated on the basis of impairment method at June 30, 2018 and 2017:

(Dollars in thousands)	Commercial, Financial and Agricultural		Real Estate— Commercial and Construction		Real Estate— Residential Secured for Business Purpose		Real Estate— Residential and Home Equity Secured for Personal Purpose		Loans to Individuals		Lease Financings		Unallocated		Total
At June 30, 2018
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	$	646	$	866	$	12	$	—	$	—	$	—	N/A		$	1,524
Ending balance: collectively evaluated for impairment	6,612		11,420		1,951		2,494		447		1,071		51		24,046
Ending balance: acquired credit impaired loans evaluated for impairment	—		41		41		—		—		—		—		82
Total ending balance	$	7,258	$	12,327	$	2,004	$	2,494	$	447	$	1,071	$	51	$	25,652
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	$	6,238	$	21,004	$	2,132	$	3,306	$	—	$	1,250			$	33,930
Ending balance: collectively evaluated for impairment	874,723		1,554,844		264,882		468,779		31,048		131,872				3,326,148
Loans measured at fair value	—		1,847		—		—		—		—				1,847
Acquired non-credit impaired loans	44,932		274,629		71,238		64,533		143		—				455,475
Acquired credit impaired loans	267		206		460		65		—		—				998
Total ending balance	$	926,160	$	1,852,530	$	338,712	$	536,683	$	31,191	$	133,122			$	3,818,398
At June 30, 2017
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	$	10	$	59	$	37	$	25	$	—	$	886	N/A		$	1,017
Ending balance: collectively evaluated for impairment	8,303		8,409		1,092		949		329		774		37		19,893
Total ending balance	$	8,313	$	8,468	$	1,129	$	974	$	329	$	1,660	$	37	$	20,910
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	$	9,794	$	20,735	$	5,196	$	967	$	—	$	5,021			$	41,713
Ending balance: collectively evaluated for impairment	809,693		1,268,132		189,173		394,683		27,442		125,133				2,814,256
Loans measured at fair value	—		2,058		—		—		—		—				2,058
Acquired non-credit impaired loans	85,178		378,413		99,151		82,770		146		—				645,658
Acquired credit impaired loans	502		5,185		583		215		—		—				6,485
Total ending balance	$	905,167	$	1,674,523	$	294,103	$	478,635	$	27,588	$	130,154			$	3,510,170

N/A – Not applicable

The Corporation records a provision for loan loss for the acquired non-impaired loans only when additional deterioration of the portfolio is identified over the projections utilized in the initial fair value analysis. After the acquisition measurement period, the present value of any decreases in expected cash flows of acquired credit impaired loans will generally result in an impairment charge recorded as a provision for loan loss, resulting in an increase to the allowance.

Impaired Loans (excludes Lease Financings)

The following presents, by class of loans, the recorded investment and unpaid principal balance of impaired loans, the amounts of the impaired loans for which there is not a reserve for credit losses and the amounts for which there is a reserve for credit losses at June 30, 2018 and December 31, 2017. The impaired loans exclude acquired credit impaired loans.

	At June 30, 2018						At December 31, 2017
(Dollars in thousands)	Recorded Investment		Unpaid Principal Balance		Related Reserve		Recorded Investment		Unpaid Principal Balance		Related Reserve
Impaired loans with no related reserve recorded:
Commercial, financial and agricultural	$	4,122	$	4,848			$	7,019	$	8,301
Real estate—commercial real estate	7,489		8,336				15,621		16,507
Real estate—construction	110		113				365		365
Real estate—residential secured for business purpose	1,926		2,062				3,430		4,620
Real estate—residential secured for personal purpose	1,741		1,784				508		566
Real estate—home equity secured for personal purpose	1,565		1,595				511		523
Total impaired loans with no related reserve recorded	$	16,953	$	18,738			$	27,454	$	30,882
Impaired loans with a reserve recorded:
Commercial, financial and agricultural	$	2,116	$	2,180	$	646	$	60	$	60	$	31
Real estate—commercial real estate	13,405		13,645		866		933		933		99
Real estate—residential secured for business purpose	206		272		12		35		37		1
Total impaired loans with a reserve recorded	$	15,727	$	16,097	$	1,524	$	1,028	$	1,030	$	131

Total impaired loans:
Commercial, financial and agricultural	$	6,238	$	7,028	$	646	$	7,079	$	8,361	$	31
Real estate—commercial real estate	20,894		21,981		866		16,554		17,440		99
Real estate—construction	110		113		—		365		365		—
Real estate—residential secured for business purpose	2,132		2,334		12		3,465		4,657		1
Real estate—residential secured for personal purpose	1,741		1,784		—		508		566		—
Real estate—home equity secured for personal purpose	1,565		1,595		—		511		523		—
Total impaired loans	$	32,680	$	34,835	$	1,524	$	28,482	$	31,912	$	131

Impaired loans include nonaccrual loans, accruing troubled debt restructured loans and other accruing impaired loans for which it is probable that not all principal and interest payments due will be collectible in accordance with the original contractual terms. These loans are individually measured to determine the amount of potential impairment. The loans are reviewed for impairment based on the fair value of the collateral for collateral dependent loans and for certain loans based on discounted cash flows using the loans’ initial effective interest rates. Impaired loans include other accruing impaired loans of $3.3 million and $4.1 million at June 30, 2018 and December 31, 2017, respectively. Specific reserves on other accruing impaired loans were $25 thousand and $99 thousand at June 30, 2018 and December 31, 2017, respectively.

The following presents by class of loans, the average recorded investment in impaired loans and an analysis of interest on impaired loans. A loan may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. Therefore, interest income on accruing impaired loans is recognized using the accrual method. 

	Three Months Ended June 30, 2018						Three Months Ended June 30, 2017
(Dollars in thousands)	Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms		Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms
Commercial, financial and agricultural	$	6,394	$	32	$	134	$	11,470	$	64	$	86
Real estate—commercial real estate	22,914		18		265		20,777		184		81
Real estate—construction	56		—		3		274		—		10
Real estate—residential secured for business purpose	1,966		5		23		4,184		21		61
Real estate—residential secured for personal purpose	889		2		33		699		1		15
Real estate—home equity secured for personal purpose	1,033		—		31		354		—		5
Total	$	33,252	$	57	$	489	$	37,758	$	270	$	258

* Includes interest income recognized on a cash basis for nonaccrual loans of $2 thousandand$3 thousand for the three months ended June 30, 2018 and 2017, respectively, and interest income recognized on the accrual method for accruing impaired loans of $55 thousand and $267 thousand for the three months ended June 30, 2018 and 2017, respectively.

	Six Months Ended June 30, 2018						Six Months Ended June 30, 2017
(Dollars in thousands)	Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms		Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms
Commercial, financial and agricultural	$	7,090	$	72	$	211	$	11,506	$	110	$	171
Real estate—commercial real estate	20,105		190		552		22,464		417		154
Real estate—construction	137		—		5		156		—		10
Real estate—residential secured for business purpose	2,107		10		47		4,302		37		105
Real estate—residential secured for personal purpose	720		3		44		636		1		23
Real estate—home equity secured for personal purpose	819		—		39		431		—		10
Total	$	30,978	$	275	$	898	$	39,495	$	565	$	473

* Includes interest income recognized on a cash basis for nonaccrual loans of $8 thousandand $4 thousand for the six months ended June 30, 2018 and 2017, respectively, and interest income recognized on the accrual method for accruing impaired loans of $267 thousand and $561 thousand for the six months ended June 30, 2018 and 2017, respectively.

Impaired Leases

The Corporation had impaired leases of $1.3 million at June 30, 2018 and December 31, 2017 with no related reserves. See discussion in Reserve for Loan and Lease Losses and Recorded Investment in Loans and Leases.

Troubled Debt Restructured Loans

The following presents, by class of loans, information regarding accruing and nonaccrual loans that were restructured:

	Three Months Ended June 30, 2018							Three Months Ended June 30, 2017
(Dollars in thousands)	Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Reserve		Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Reserve
Accruing Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Total	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Nonaccrual Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	1	$	328	$	328	$	—
Real estate—residential secured for personal purpose	1	66		66		—		—	—		—		—
Total	1	$	66	$	66	$	—	1	$	328	$	328	$	—

	Six Months Ended June 30, 2018							Six Months Ended June 30, 2017
(Dollars in thousands)	Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Allowance		Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Allowance
Accruing Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Total	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Nonaccrual Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	1	$	328	$	328	$	—
Real estate—residential secured for personal purpose	1	66		66		—		—	—		—		—
Total	1	$	66	$	66	$	—	1	$	328	$	328	$	—

The Corporation grants concessions to existing borrowers primarily related to extensions of interest-only payment periods and an occasional payment modification. These modifications typically are for up to one year. The goal when restructuring a credit is to establish a reasonable period of time to provide cash flow relief to customers experiencing cash flow difficulties. Accruing troubled debt restructured loans are primarily comprised of loans on which interest is being accrued under the restructured terms, and the loans are current or less than ninety days past due.

The following presents, by class of loans, information regarding the types of concessions granted on accruing and nonaccrual loans that were restructured during the three and six months ended June 30, 2018 and 2017.

	Maturity Date Extension			Amortization Period Extension			Total Concessions Granted
(Dollars in thousands)	No. of Loans	Amount		No. of Loans	Amount		No. of Loans	Amount
Three Months Ended June 30, 2018
Accruing Troubled Debt Restructured Loans:
Total	—	$	—	—	$	—	—	$	—
Nonaccrual Troubled Debt Restructured Loans:
Real estate—residential secured for personal purpose	—	$	—	1	$	66	1	$	66
Total	—	$	—	1	$	66	1	$	66
Three Months Ended June 30, 2017
Accruing Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	3	$	9,206	3	$	9,206
Total	—	$	—	3	$	9,206	3	$	9,206
Nonaccrual Troubled Debt Restructured Loans:
Real estate—commercial real estate	1	$	328	—	$	—	1	$	328
Total	1	$	328	—	$	—	1	$	328
Six Months Ended June 30, 2018
Accruing Troubled Debt Restructured Loans:
Total	—	$	—	—	$	—	—	$	—
Nonaccrual Troubled Debt Restructured Loans:
Real estate—residential secured for personal purpose	—	$	—	1	$	66	1	$	66
Total	—	$	—	1	$	66	1	$	66
Six Months Ended June 30, 2017
Accruing Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	3	$	9,206	3	$	9,206
Total	—	$	—	3	$	9,206	3	$	9,206
Nonaccrual Troubled Debt Restructured Loans:
Real estate—commercial real estate	1	$	328	—	$	—	1	$	328
Total	1	$	328	—	$	—	1	$	328

The following presents, by class of loans, information regarding accruing and nonaccrual troubled debt restructured loans, for which there were payment defaults within twelve months of the restructuring date:

	Three Months Ended June 30,						Six Months Ended June 30,
	2018			2017			2018			2017
(Dollars in thousands)	Number of Loans	Recorded Investment		Number of Loans	Recorded Investment		Number of Loans	Recorded Investment		Number of Loans	Recorded Investment
Accruing Troubled Debt Restructured Loans:
Commercial, financial and agricultural	—	$	—	—	$	—	1	$	953	—	$	—
Total	—	$	—	—	$	—	1	$	953	—	$	—
Nonaccrual Troubled Debt Restructured Loans:
Total	—	$	—	—	$	—	—	$	—	—	$	—

The following presents, by class of loans, information regarding consumer mortgages collateralized by residential real estate property that are in the process of foreclosure at June 30, 2018 and December 31, 2017:

(Dollars in thousands)	At June 30, 2018		At December 31, 2017
Real estate-residential secured for personal purpose	$	—	$	31
Real estate-home equity secured for personal purpose	812		—
Total	$	812	$	31

The following presents foreclosed residential real estate property included in other real estate owned at June 30, 2018 and December 31, 2017.

(Dollars in thousands)	At June 30, 2018		At December 31, 2017
Foreclosed residential real estate	$	440	$	80

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Goodwill and Other Intangible Assets

6 Months Ended

Jun. 30, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Goodwill and Other Intangible Assets

Goodwill and Other Intangible Assets

The Corporation has core deposit and customer-related intangibles and servicing rights, which are not deemed to have an indefinite life and therefore will continue to be amortized over their useful life using the present value of projected cash flows. The Corporation also has goodwill which is deemed to be an indefinite intangible asset and is not amortized.

Changes in the carrying amount of the Corporation's goodwill by business segment for the six months ended June 30, 2018 were as follows:

(Dollars in thousands)	Banking		Wealth Management		Insurance		Consolidated
Balance at December 31, 2017	$	138,476	$	15,434	$	18,649	$	172,559
Addition to goodwill from acquisitions	—		—		—		—
Balance at June 30, 2018	$	138,476	$	15,434	$	18,649	$	172,559

The following table reflects the components of intangible assets at the dates indicated:

	At June 30, 2018						At December 31, 2017
(Dollars in thousands)	Gross Carrying Amount		Accumulated Amortization and Fair Value Adjustments		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization and Fair Value Adjustments		Net Carrying Amount
Amortized intangible assets:
Covenants not to compete	$	710	$	710	$	—	$	710	$	580	$	130
Core deposit intangibles	6,788		2,663		4,125		6,788		2,135		4,653
Customer related intangibles	12,381		10,347		2,034		12,381		9,828		2,553
Servicing rights	16,543		9,893		6,650		15,855		9,282		6,573
Total amortized intangible assets	$	36,422	$	23,613	$	12,809	$	35,734	$	21,825	$	13,909

The estimated aggregate amortization expense for core deposit and customer related intangibles for the remainder of 2018 and the succeeding fiscal years is as follows:

Year	(Dollars in thousands)	Amount
Remainder of 2018		$	937
2019		1,565
2020		1,200
2021		923
2022		666
Thereafter		868

The Corporation has originated mortgage servicing rights, which are included in other intangible assets on the consolidated balance sheets. Mortgage servicing rights are amortized in proportion to, and over the period of, estimated net servicing income on a basis similar to the interest method and an accelerated amortization method for loan payoffs. Mortgage servicing rights are subject to impairment testing on a quarterly basis. The aggregate fair value of these rights was $11.6 million at June 30, 2018 and $10.0 million at December 31, 2017. The fair value of mortgage servicing rights was determined using a discount rate of 10.0% at June 30, 2018 and December 31, 2017. The Corporation also records servicing rights on small business administration (SBA) loans. The value of these servicing rights was $22 thousand and $21 thousand at June 30, 2018 and December 31, 2017, respectively.

Changes in the servicing rights balance are summarized as follows:

	Three Months Ended June 30,						Six Months Ended June 30,
(Dollars in thousands)	2018			2017			2018			2017
Beginning of period	$	6,605		$	6,502		$	6,573		$	6,485
Servicing rights capitalized	350			387			687			730
Amortization of servicing rights	(305		)	(341		)	(610		)	(667		)
End of period	$	6,650		$	6,548		$	6,650		$	6,548
Residential mortgage and SBA loans serviced for others	$	1,019,233		$	984,846		$	1,019,233		$	984,846

The estimated amortization expense of servicing rights for the remainder of 2018 and the succeeding fiscal years is as follows:

Year	(Dollars in thousands)	Amount
Remainder of 2018		$	863
2019		769
2020		680
2021		601
2022		530
Thereafter		3,207

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Deposits

6 Months Ended

Jun. 30, 2018

Banking and Thrift [Abstract]

Deposits

Deposits

Deposits and their respective weighted average interest rate at June 30, 2018 and December 31, 2017 consist of the following:

	At June 30, 2018				At December 31, 2017
	Weighted Average Interest Rate		Amount		Weighted Average Interest Rate		Amount
	(Dollars in thousands)
Noninterest-bearing deposits	—	%	$	1,055,479	—	%	$	1,040,026
Demand deposits	0.57		1,163,451		0.43		1,109,438
Savings deposits	0.34		807,461		0.26		830,706
Time deposits	1.46		594,395		1.12		574,749
Total	0.50	%	$	3,620,786	0.38	%	$	3,554,919

The aggregate amount of time deposits in denominations of $100 thousand or more was $208.9 million at June 30, 2018 and $250.0 million at December 31, 2017. Deposits are insured up to applicable limits by the Deposit Insurance Fund of the FDIC. Deposit insurance per account owner is currently up to $250 thousand. The aggregate amount of time deposits in denominations over $250 thousand was $65.8 million at June 30, 2018 and $118.4 million at December 31, 2017.

At June 30, 2018, the scheduled maturities of time deposits are as follows:

Year	(Dollars in thousands)	Amount
Remainder of 2018		$	154,611
2019		233,501
2020		99,450
2021		26,170
2022		32,233
Thereafter		48,430
Total		$	594,395

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Borrowings

6 Months Ended

Jun. 30, 2018

Debt Disclosure [Abstract]

Borrowings

Borrowings

The following is a summary of borrowings by type. Short-term borrowings consist of overnight borrowings and term borrowings with an original maturity of one year or less. The long-term debt balances and weighted average interest rates include purchase accounting fair value adjustments, net of related amortization, from the Fox Chase acquisition.

	At June 30, 2018				At December 31, 2017
(Dollars in thousands)	Balance at End of Period		Weighted Average Interest Rate at End of Period		Balance at End of Period		Weighted Average Interest Rate at End of Period
Short-term borrowings:
FHLB borrowings	$	138,530	2.10	%	$	30,225	1.54	%
Federal funds purchased	65,000		2.03		55,000		1.56
Customer repurchase agreements	28,323		0.05		20,206		0.05
Long-term debt:
FHLB advances	$	125,005	1.73	%	$	125,036	1.73	%
Security repurchase agreements	30,551		2.04		30,792		1.52
Subordinated notes	$	94,453	5.34	%	$	94,331	5.35	%

The Corporation, through the Bank, has a credit facility with the Federal Home Loan Bank (FHLB) with a maximum borrowing capacity of approximately $1.5 billion. Advances from the FHLB are collateralized by a blanket floating lien on all first mortgage loans of the Bank, FHLB capital stock owned by the Bank and any funds on deposit with the FHLB. At June 30, 2018 and December 31, 2017, the Bank had outstanding short-term letters of credit with the FHLB totaling $178.9 million and $234.2 million, respectively, which were utilized to collateralize public funds deposits. The maximum borrowing capacity with the FHLB changes as a function of the Bank’s qualifying collateral assets as well as the FHLB’s internal credit rating of the Bank.    

The Corporation, through the Bank, maintains uncommitted federal fund credit lines with several correspondent banks totaling $367.0 million at June 30, 2018 and December 31, 2017. Future availability under these lines is subject to the prerogatives of the granting banks and may be withdrawn at will.

The Corporation, through the Bank, holds collateral at the Federal Reserve Bank of Philadelphia in order to access their Discount Window Lending program. The collateral consisting of investment securities was valued at $69.4 million and $52.0 million at June 30, 2018 and December 31, 2017, respectively. At June 30, 2018 and December 31, 2017, the Corporation had no outstanding borrowings under this program.

The Corporation has a $10.0 million line of credit with a correspondent bank. At June 30, 2018 and December 31, 2017, the Corporation had no outstanding borrowings under this line.

Long-term advances with the FHLB of Pittsburgh mature as follows:

(Dollars in thousands)	As of June 30, 2018		Weighted Average Rate
Remainder of 2018	$	10,005	0.70	%
2019	10,000		1.35
2020	40,000		1.70
2021	55,000		1.94
2022	10,000		2.09
Thereafter	—		—
Total	$	125,005	1.73	%

Long-term debt under security repurchase agreements with large commercial banks mature as follows:

(Dollars in thousands)	As of June 30, 2018		Weighted Average Rate
Remainder of 2018	$	10,085	1.46	%
2019	10,190		2.33
2020	10,276		2.33
2021	—		—
2022	—		—
Thereafter	—		—
Total	$	30,551	2.04	%

Long-term debt under security repurchase agreements totaling $25.5 million are variable based on the one-month LIBOR rate plus a spread. One borrowing for $5.0 million has a fixed interest rate and may be called by the lender based on the underlying agreement.

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Retirement Plans and Other Postretirement Benefits

6 Months Ended

Jun. 30, 2018

Retirement Benefits [Abstract]

Retirement Plans and Other Postretirement Benefits

Retirement Plans and Other Postretirement Benefits

Substantially all employees who were hired before December 8, 2009 are covered by a noncontributory retirement plan. Employees hired on or after December 8, 2009 are not eligible to participate in the noncontributory retirement plan. The Corporation also provides supplemental executive retirement benefits to certain former executives, a portion of which is in excess of limits imposed on qualified plans by federal tax law; these plans are non-qualified benefit plans. These non-qualified benefit plans are not offered to new participants; all current participants are now retired. Information on these plans are aggregated and reported under “Retirement Plans” within this footnote.

The Corporation also provides certain postretirement healthcare and life insurance benefits for retired employees. Information on these benefits is reported under “Other Postretirement Benefits” within this footnote.

The Corporation sponsors a Supplemental Non-Qualified Pension Plan, which was established in 1981 prior to the existence of a 401(k) deferred salary savings plan, employee stock purchase plan and long-term incentive plans and therefore is not offered to new participants; all current participants are now retired.

Components of net periodic benefit cost (income) were as follows:

	Three Months Ended June 30,
	2018			2017			2018		2017
(Dollars in thousands)	Retirement Plans						Other Post Retirement Benefits
Service cost	$	140		$	124		$	22	$	12
Interest cost	439			487			23		30
Expected return on plan assets	(795		)	(748		)	—		—
Amortization of net actuarial loss	281			289			1		10
Accretion of prior service cost	(71		)	(71		)	—		—
Net periodic benefit (income) cost	$	(6	)	$	81		$	46	$	52

	Six Months Ended June 30,
	2018			2017			2018		2017
(Dollars in thousands)	Retirement Plans						Other Post Retirement Benefits
Service cost	$	280		$	275		$	44	$	24
Interest cost	880			952			46		59
Expected return on plan assets	(1,591		)	(1,501		)	—		—
Amortization of net actuarial loss	561			577			2		21
Accretion of prior service cost	(142		)	(141		)	—		—
Net periodic benefit (income) cost	$	(12	)	$	162		$	92	$	104

The components of net periodic benefit cost other than the service cost component are included in other noninterest expense in the consolidated statements of income.

The Corporation made a contribution of $3.0 million to its qualified retirement plan on July 5, 2018. The Corporation previously disclosed in its financial statements for the year ended December 31, 2017 that it expected to make contributions of $158 thousand to its non-qualified retirement plans and $80 thousand to its other postretirement benefit plans in 2018. During the six months ended June 30, 2018, the Corporation contributed $80 thousand to its non-qualified retirement plans and $53 thousand to its other postretirement plans. During the six months ended June 30, 2018, $1.3 million was paid to participants from the retirement plans and $53 thousand was paid to participants from the other postretirement plans.

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Stock-Based Incentive Plan

6 Months Ended

Jun. 30, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Stock-Based Incentive Plan

Stock-Based Incentive Plan

The Corporation has a shareholder approved 2013 Long-Term Incentive Plan, which replaced the expired 2003 Long-Term Incentive Plan. Under the 2013 Long-Term Incentive Plan, the Corporation may grant up to 3,698,974 options and restricted stock to employees and non-employee directors, which includes 330,625 shares as a result of the Corporation's common stock issuance in 2017, 857,191 shares as a result of the completion of the acquisition of Fox Chase in 2016 and 473,483 shares as a result of the completion of the acquisition of Valley Green Bank in 2015.

The following is a summary of the Corporation's stock option activity and related information for the six months ended June 30, 2018:

(Dollars in thousands, except per share data)	Shares Under Option		Weighted Average Exercise Price Per Share		Weighted Average Remaining Contractual Life (Years)	Aggregate Intrinsic Value at June 30, 2018
Outstanding at December 31, 2017	512,735		$	21.90
Granted	193,778		28.50
Expired	—		—
Forfeited	(12,537	)	25.48
Exercised	(36,990	)	19.21
Outstanding at June 30, 2018	656,986		23.93		7.7	$	2,648
Exercisable at June 30, 2018	279,627		20.26		6.0	2,063

The following is a summary of nonvested stock options at June 30, 2018 including changes during the six months then ended:

(Dollars in thousands, except per share data)	Nonvested Stock Options		Weighted Average Grant Date Fair Value
Nonvested stock options at December 31, 2017	352,142		$	6.47
Granted	193,778		6.46
Vested	(156,024	)	6.45
Forfeited	(12,537	)	6.48
Nonvested stock options at June 30, 2018	377,359		6.48

The following aggregated assumptions were used to estimate the fair value of options granted during the six months ended June 30, 2018 and 2017:

	Six months ended June 30,
	2018		2017
	Actual
Expected option life in years	6.6		6.9
Risk free interest rate	2.80	%	2.30	%
Expected dividend yield	2.81	%	2.84	%
Expected volatility	27.15	%	29.75	%
Fair value of options	$6.46		$6.72

The following is a summary of nonvested restricted stock awards at June 30, 2018 including changes during the six months then ended:

(Dollars in thousands, except per share data)	Nonvested Share Awards		Weighted Average Grant Date Fair Value
Nonvested share awards at December 31, 2017	229,026		$	21.93
Granted	59,953		28.39
Vested	(43,200	)	18.59
Forfeited	(22,938	)	20.80
Nonvested share awards at June 30, 2018	222,841		24.44

The fair value of restricted stock is equivalent to the fair value on the date of grant and is amortized over the vesting period. Certain information regarding restricted stock is summarized below for the periods indicated:

	Six months ended June 30,
(Dollars in thousands, except per share data)	2018		2017
Shares granted	59,953		61,823
Weighted average grant date fair value	$	28.39	$	28.08
Intrinsic value of awards vested	$	1,193	$	1,367

The total unrecognized compensation expense and the weighted average period over which unrecognized compensation expense is expected to be recognized related to nonvested stock options and nonvested restricted stock awards at June 30, 2018 is presented below:

(Dollars in thousands)	Unrecognized Compensation Cost		Weighted-Average Period Remaining (Years)
Stock options	$	1,935	2.1
Restricted stock awards	2,566		2.0
	$	4,501	2.0

The following table presents information related to the Corporation’s compensation expense related to stock incentive plans recognized for the periods indicated:

	Six months ended June 30,
(Dollars in thousands)	2018		2017
Stock-based compensation expense:
Stock options	$	515	$	454
Restricted stock awards	1,204		1,254
Employee stock purchase plan	34		32
Total	$	1,753	$	1,740
Tax benefit on nonqualified stock option expense, restricted stock awards and disqualifying dispositions of incentive stock options	$	413	$	828

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Accumulated Other Comprehensive (Loss) Income

6 Months Ended

Jun. 30, 2018

Equity [Abstract]

Accumulated Other Comprehensive (Loss) Income

Accumulated Other Comprehensive (Loss) Income

The following table shows the components of accumulated other comprehensive (loss) income, net of taxes, for the periods presented:

(Dollars in thousands)	Net Unrealized (Losses) Gains on Available-for-Sale Investment Securities			Net Change Related to Derivatives Used for Cash Flow Hedges			Net Change Related to Defined Benefit Pension Plans			Accumulated Other Comprehensive (Loss) Income
Balance, December 31, 2017	$	(4,061	)	$	9		$	(13,719	)	$	(17,771	)
Adjustment to initially apply ASU No. 2016-01 for equity securities measured at fair value (1)	(433		)	—			—			(433		)
Adjustment to initially apply ASU No. 2018-02 for reclassification of stranded net tax charges (1)	(968		)	2			(2,955		)	(3,921		)
Other comprehensive (loss) income	(6,525		)	310			333			(5,882		)
Balance, June 30, 2018	$	(11,987	)	$	321		$	(16,341	)	$	(28,007	)
Balance, December 31, 2016	$	(4,988	)	$	(141	)	$	(14,325	)	$	(19,454	)
Net Change	1,961			14			297			2,272
Balance, June 30, 2017	$	(3,027	)	$	(127	)	$	(14,028	)	$	(17,182	)

(1) See Note 1, "Summary of Significant Accounting Policies - Accounting Pronouncements Adopted in 2018" for additional information.

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Derivative Instruments and Hedging Activities

6 Months Ended

Jun. 30, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Derivative Instruments and Hedging Activities

Derivative Instruments and Hedging Activities

Interest Rate Swaps

The Corporation may use interest rate swap agreements to modify interest rate characteristics from variable to fixed or fixed to variable in order to reduce the impact of interest rate changes on future net interest income. Recorded amounts related to interest-rate swaps are included in other assets or liabilities. The Corporation’s credit exposure on interest rate swaps includes fair value and any collateral that is held by a third party. Changes in the fair value of derivative instruments designated as hedges of future cash flows are recognized in accumulated other comprehensive income until the underlying forecasted transactions occur, at which time the deferred gains and losses are recognized in earnings. For a qualifying fair value hedge, the gain or loss on the hedging instrument is recognized in earnings, and the change in fair value of the hedge item, to the extent attributable to the hedged risk, adjusts the carrying amount of the hedge item and is recognized in earnings.

In 2014, the Corporation entered into an amortizing interest rate swap classified as a cash flow hedge with a notional amount of $20.0 million to hedge a portion of the debt financing of a pool of 10-year maturity fixed rate loans with balances totaling $29.1 million, at time of the hedge, that were originated in 2013. A brokered money market demand account with a balance exceeding the amortizing interest rate swap balance is being used for the cash flow hedge. Under the terms of the swap agreement, the Corporation pays a fixed rate of 2.10% and receives a floating rate of one-monthLIBOR. The swap matures in November 2022. The Corporation performed an assessment of the hedge for effectiveness at the inception of the hedge and on a recurring basis to determine that the derivative has been and is expected to continue to be highly effective in offsetting changes in cash flows of the hedged item. The Corporation expects that there will be no ineffectiveness over the life of the interest rate swap. At June 30, 2018, there is no gain or loss recorded in accumulated other comprehensive loss that is expected to be reclassified into earnings during the next twelve months. This amount could differ from amounts actually recognized due to changes in interest rates, hedge de-designations, and the addition of other hedges subsequent to June 30, 2018. At June 30, 2018, the notional amount of the interest rate swap was $17.5 million, with a positive fair value of $407 thousand.

The Corporation has an interest rate swap classified as a fair value hedge with a current notional amount of $1.4 million to hedge a 10-year fixed rate loan that is earning interest at 5.83%. The Corporation pays a fixed rate of 5.83% and receives a floating rate based on the one-month LIBOR plus 350 basis points. The swap matures in October 2021. The difference between changes in the fair values of the interest rate swap agreement and the hedged loan represents hedge ineffectiveness and is recorded in other noninterest income in the consolidated statements of operations.

The Corporation has an interest rate swap with a current notional amount of $471 thousand, for a 15-year fixed rate loan that is earning interest at 7.43%. The Corporation pays a fixed rate of 7.43% and receives a floating rate based on the one-month LIBOR plus 224 basis points. The swap matures in April 2022. The interest rate swap is carried at fair value in accordance with FASB ASC 815 "Derivatives and Hedging." The loan is carried at fair value under the fair value option as permitted by FASB ASC 825 "Financial Instruments."

Credit Derivatives

The Corporation has agreements with third-party financial institutions whereby the third-party financial institution enters into interest rate derivative contracts with loan customers referred to them by the Corporation. By the terms of the agreements, the third-party financial institution has recourse to the Corporation for any exposure created under each swap contract in the event the customer defaults on the swap agreement and the agreement is in a paying position to the third-party financial institution. These transactions represent credit derivatives and are a customary arrangement that allows the Corporation to provide access to interest rate transactions for customers without creating the swap. The Corporation records the fair value of credit derivatives in other liabilities on the consolidated balance sheets. The Corporation recognizes changes in the fair value of credit derivatives, net of any fees received, in other noninterest income in the consolidated statements of income.

At June 30, 2018, the Corporation has fifteen variable-rate to fixed-rate interest rate swap transactions between the third-party financial institution and customers with a current notional amount of $75.7 million, and remaining maturities ranging from one to 10 years. At June 30, 2018, the fair value of the swaps to the customers was a liability of $37 thousand and all swaps were in paying positions to the third-party financial institution.

The maximum potential payments by the Corporation to the third-party financial institution under these credit derivatives are not estimable as they are contingent on future interest ratesand the agreement does not provide for a limitation of the maximum potential payment amount.

Mortgage Banking Derivatives

Derivative loan commitments represent agreements for delayed delivery of financial instruments in which the buyer agrees to purchase and the seller agrees to deliver, at a specified future date, a specified instrument at a specified price or yield. The Corporation’s derivative loan commitments are commitments to sell loans secured by 1-to 4-family residential properties whose predominant risk characteristic is interest rate risk. The fair values of these derivative loan commitments are based upon the estimated amount the Corporation would receive or pay to terminate the contracts or agreements, taking into account current interest rates and, when appropriate, the current creditworthiness of the counterparties.

Derivatives Tables

The following table presents the notional amounts and fair values of derivatives designated as hedging instruments recorded on the consolidated balance sheets at June 30, 2018 and December 31, 2017. The Corporation pledges cash or securities to cover the negative fair value of derivative instruments. Cash collateral associated with derivative instruments are not added to or netted against the fair value amounts.

			Derivative Assets			Derivative Liabilities
(Dollars in thousands)	Notional Amount		Balance Sheet Classification	Fair Value		Balance Sheet Classification	Fair Value
At June 30, 2018
Interest rate swap - cash flow hedge	$	17,460	Other assets	$	407		$	—
Interest rate swap - fair value hedge	1,367		Other assets	15			—
Total	$	18,827		$	422		$	—
At December 31, 2017
Interest rate swap - cash flow hedge	$	17,836	Other assets	$	13		$	—
Interest rate swap - fair value hedge	1,388			—		Other liabilities	12
Total	$	19,224		$	13		$	12

The following table presents the notional amounts and fair values of derivatives not designated as hedging instruments recorded on the consolidated balance sheets at June 30, 2018 and December 31, 2017:

			Derivative Assets			Derivative Liabilities
(Dollars in thousands)	Notional Amount		Balance Sheet Classification	Fair Value		Balance Sheet Classification	Fair Value
At June 30, 2018
Interest rate swap	$	471		$	—	Other liabilities	$	25
Credit derivatives	75,734			—		Other liabilities	37
Interest rate locks with customers	29,737		Other assets	632			—
Forward loan sale commitments	31,469			—		Other liabilities	91
Total	$	137,411		$	632		$	153
At December 31, 2017
Interest rate swap	$	523		$	—	Other liabilities	$	38
Credit derivatives	75,622			—		Other liabilities	36
Interest rate locks with customers	27,411		Other assets	527			—
Forward loan sale commitments	29,037		Other assets	61			—
Total	$	132,593		$	588		$	74

The following table presents amounts included in the consolidated statements of income for derivatives designated as hedging instruments for the periods indicated:

	Statement of Income Classification	Three Months Ended   June 30,						Six Months Ended   June 30,
(Dollars in thousands)		2018			2017			2018			2017
Interest rate swap—cash flow hedge—net interest payments	Interest expense	$	6		$	36		$	26		$	107
Interest rate swap—fair value hedge—ineffectiveness	Other noninterest income	2			2			2			5
Net loss		$	(4	)	$	(34	)	$	(24	)	$	(102	)

The following table presents amounts included in the consolidated statements of income for derivatives not designated as hedging instruments for the periods indicated:

	Statement of Income Classification	Three Months Ended   June 30,					Six Months Ended   June 30,
(Dollars in thousands)		2018			2017		2018			2017
Credit derivatives	Other noninterest income	$	34		$	53	$	38		$	124
Interest rate locks with customers	Net gain on mortgage banking activities	237			155		105			562
Forward loan sale commitments	Net loss on mortgage banking activities	(104		)	162		(153		)	(92		)
Total		$	167		$	370	$	(10	)	$	594

The following table presents amounts included in accumulated other comprehensive (loss) income for derivatives designated as hedging instruments at June 30, 2018 and December 31, 2017:

(Dollars in thousands)	Accumulated Other Comprehensive (Loss) Income	At June 30, 2018		At December 31, 2017
Interest rate swap—cash flow hedge	Fair value, net of taxes	$	321	$	9
Total		$	321	$	9

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Fair Value Disclosures

6 Months Ended

Jun. 30, 2018

Fair Value Disclosures [Abstract]

Fair Value Disclosures

Fair Value Disclosures

Fair value is the price that would be received to sell an asset or paid to transfer a liability (an exit price) in an orderly transaction between market participants at the measurement date. The Corporation determines the fair value of financial instruments based on the fair value hierarchy. The Corporation maximizes the use of observable inputs and minimizes the use of unobservable inputs when measuring fair value. Observable inputs are inputs that market participants would use in pricing the asset or liability developed based on market data obtained from sources independent of the Corporation. Unobservable inputs are inputs that reflect the Corporation’s assumptions that market participants would use in pricing the asset or liability based on the best information available in the circumstances, including assumptions about risk. Three levels of inputs are used to measure fair value. A financial instrument’s level within the fair value hierarchy is based on the lowest level of input significant to the fair value measurement. Transfers between levels are recognized at the end of the reporting period.

Level 1: Valuations are based on quoted prices in active markets for identical assets or liabilities that the Corporation can access at the measurement date. Since valuations are based on quoted prices that are readily and regularly available in an active market, valuation of these products does not entail a significant degree of judgment.

Level 2: Valuations are based on quoted prices in markets that are not active or for which all significant inputs are observable, either directly or indirectly.

Level 3: Valuations are based on inputs that are unobservable and significant to the overall fair value measurement. Assets and liabilities utilizing Level 3 inputs include: financial instruments whose value is determined using pricing models, discounted cash-flow methodologies, or similar techniques, as well as instruments for which the fair value calculation requires significant management judgment or estimation.

Following is a description of the valuation methodologies used for instruments measured at fair value on a recurring basis, as well as the general classification of such instruments pursuant to the valuation hierarchy.

Investment Securities

Where quoted prices are available in an active market for identical instruments, investment securities are classified within Level 1 of the valuation hierarchy. Level 1 investment securities include U.S. Treasury securities, most equity securities and money market mutual funds. Mutual funds are registered investment companies which are valued at net asset value of shares on a market exchange at the end of each trading day. Level 2 of the valuation hierarchy includes securities issued by U.S. Government sponsored enterprises, mortgage-backed securities, collateralized mortgage obligations, corporate and municipal bonds and certain equity securities. If quoted market prices are not available, then fair values are estimated by using pricing models, quoted prices of securities with similar characteristics or discounted cash flows. In cases where there is limited activity or less transparency around inputs to the valuation, investment securities are classified within Level 3 of the valuation hierarchy.

Fair values for securities are determined using independent pricing services and market-participating brokers. The Corporation’s independent pricing service utilizes evaluated pricing models that vary by asset class and incorporate available trade, bid and other market information for structured securities, cash flow and, when available, loan performance data. Because many fixed income securities do not trade on a daily basis, the pricing service’s evaluated pricing applications apply information as applicable through processes, such as benchmarking of like securities, sector groupings, and matrix pricing, to prepare evaluations. If at any time, the pricing service determines that it does not have sufficient verifiable information to value a particular security, the Corporation will utilize valuations from another pricing service. Management has a sufficient understanding of the third party service’s valuation models, assumptions and inputs used in determining the fair value of securities to enable management to maintain an appropriate system of internal control.

Certain corporate bonds owned by the Corporation are classified as Level 3 as they are not traded in active markets. The fair value of each bond is estimated by benchmarking similar transactions of structure, yield and credit which are owned by the Corporation and are actively traded in the market.

On a quarterly basis, the Corporation reviews changes, as submitted by the pricing service, in the market value of its security portfolio. Individual changes in valuations are reviewed for consistency with general interest rate movements and any known credit concerns for specific securities. If, upon the Corporation’s review or in comparing with another service, a material difference between pricing evaluations were to exist, the Corporation may submit an inquiry to the current pricing service regarding the data used to determine the valuation of a particular security. If the Corporation determines there is market information that would support a different valuation than from the current pricing service’s evaluation, the Corporation may utilize and change the security's valuation. There were no material differences in valuations noted at June 30, 2018.

Derivative Financial Instruments

The fair values of derivative financial instruments are based upon the estimated amount the Corporation would receive or pay to terminate the contracts or agreements, taking into account current interest rates and, when appropriate, the current creditworthiness of the counterparties. Interest rate swaps and mortgage banking derivative financial instruments are classified within Level 2 of the valuation hierarchy. Credit derivatives are valued based on credit worthiness of the underlying borrower which is a significant unobservable input and therefore classified in Level 3 of the valuation hierarchy.

Two commercial loans associated with interest rate swaps are classified in Level 3 of the valuation hierarchy since lending credit risk is not an observable input for these loans. The unrealized gain on the two loans was $15 thousand at June 30, 2018.

Contingent Consideration Liability

The Corporation estimates the fair value of the contingent consideration liability by using a discounted cash flow model of future contingent payments based on projected revenue related to the acquired business. The estimated fair value of the contingent consideration liability is reviewed on a quarterly basis and any valuation adjustments resulting from a change of estimated future contingent payments based on projected revenue of the acquired business affecting the contingent consideration liability will be recorded through noninterest expense. Due to the significant unobservable input related to the projected revenue, the contingent consideration liability is classified within Level 3 of the valuation hierarchy. An increase in the projected revenue may result in a higher fair value of the contingent consideration liability. Alternatively, a decrease in the projected revenue may result in a lower estimated fair value of the contingent consideration liability.

The following table presents the assets and liabilities measured at fair value on a recurring basis at June 30, 2018 and December 31, 2017, classified using the fair value hierarchy:

	At June 30, 2018
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets/ Liabilities at Fair Value
Assets:
Available-for-sale securities:
U.S. government corporations and agencies	$	—	$	15,339	$	—	$	15,339
State and political subdivisions	—		69,910		—		69,910
Residential mortgage-backed securities	—		165,609		—		165,609
Collateralized mortgage obligations	—		3,171		—		3,171
Corporate bonds	—		67,389		26,386		93,775
Total available-for-sale securities	—		321,418		26,386		347,804
Equity securities:
Equity securities - financial services industry	1,109		—		—		1,109
Money market mutual funds	1,563		—		—		1,563
Total equity securities	2,672		—		—		2,672
Loans*	—		—		1,847		1,847
Interest rate swaps*	—		422		—		422
Interest rate locks with customers*	—		632		—		632
Total assets	$	2,672	$	322,472	$	28,233	$	353,377
Liabilities:
Contingent consideration liability	$	—	$	—	$	300	$	300
Interest rate swaps*	—		25		—		25
Credit derivatives*	—		—		37		37
Forward loan sale commitments*	—		91		—		91
Total liabilities	$	—	$	116	$	337	$	453

	At December 31, 2017
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets/ Liabilities at Fair Value
Assets:
Available-for-sale securities:
U.S. government corporations and agencies	$	—	$	16,961	$	—	$	16,961
State and political subdivisions	—		78,297		—		78,297
Residential mortgage-backed securities	—		185,421		—		185,421
Collateralized mortgage obligations	—		3,602		—		3,602
Corporate bonds	—		79,190		27,986		107,176
Total available-for-sale securities	—		363,471		27,986		391,457
Equity securities:
Equity securities - financial services industry	1,076		—		—		1,076
Money market mutual funds	5,985		—		—		5,985
Total equity securities	7,061		—		—		7,061
Loans*	—		—		1,958		1,958
Interest rate swap*	—		13		—		13
Interest rate locks with customers*	—		527		—		527
Forward loan sale commitments*	—		61		—		61
Total assets	$	7,061	$	364,072	$	29,944	$	401,077
Liabilities:
Contingent consideration liability	$	—	$	—	$	339	$	339
Interest rate swaps*	—		50		—		50
Credit derivatives*	—		—		36		36
Total liabilities	$	—	$	50	$	375	$	425

* Such financial instruments are recorded at fair value as further described in Note 11, "Derivative Instruments and Hedging Activities."

The following table includes a rollforward of corporate bonds, loans and credit derivatives for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the six months ended June 30, 2018 and 2017:

	Six Months Ended June 30, 2018
(Dollars in thousands)	Balance at December 31, 2017			Purchases/additions			Sales		Payments received			Premium amortization, net		(Decrease) increase in value			Balance at June 30, 2018
Corporate bonds	$	27,986		$	—		$	—				$	—	$	(1,600	)	$	26,386
Loans	1,958			—			—		(73		)	—		(38		)	1,847
Credit derivatives	(36		)	(40		)	—		—			—		39			(37		)
Net total	$	29,908		$	(40	)	$	—	$	(73	)	$	—	$	(1,599	)	$	28,196

	Six Months Ended June 30, 2017
(Dollars in thousands)	Balance at December 31, 2016			Purchases/additions			Sales		Payments received			Premium amortization, net		(Decrease) increase in value			Balance at June 30, 2017
Corporate bonds	$	28,778		$	—		$	—	$	—		$	—	$	(391	)	$	28,387
Loans	$	2,138		$	—		$	—	$	(67	)	$	—	$	(13	)	$	2,058
Credit derivatives	(9		)	(272		)	—		—			—		124			(157		)
Net total	$	30,907		$	(272	)	$	—	$	(67	)	$	—	$	(280	)	$	30,288

The following table presents the change in the balance of the contingent consideration liability related to acquisitions for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the six months ended June 30, 2018 and 2017:

	Six Months Ended June 30, 2018
(Dollars in thousands)	Balance at December 31, 2017		Contingent Consideration from New Acquisition		Payment of Contingent Consideration		Adjustment of Contingent Consideration		Balance at June 30, 2018
Girard Partners	$	339	$	—	$	67	$	28	$	300
Total contingent consideration liability	$	339	$	—	$	67	$	28	$	300

	Six Months Ended June 30, 2017
(Dollars in thousands)	Balance at December 31, 2016		Contingent Consideration from New Acquisition		Payment of Contingent Consideration		Adjustment of Contingent Consideration			Balance at June 30, 2017
Sterner Insurance Associates	$	331	$	—	$	—	$	(303	)	$	28
Girard Partners	5,668		$	—	5,317		28			379
Total contingent consideration liability	$	5,999	$	—	$	5,317	$	(275	)	$	407

The Corporation may be required to periodically measure certain assets and liabilities at fair value on a non-recurring basis in accordance with GAAP. These adjustments to fair value usually result from the application of lower of cost or market accounting or impairment charges of individual assets. The following table represents assets measured at fair value on a non-recurring basis at June 30, 2018 and December 31, 2017:

	At June 30, 2018
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets at Fair Value
Impaired loans held for investment	$	—	$	—	$	31,156	$	31,156
Impaired leases held for investment	—		—		1,250		1,250
Other real estate owned	—		—		1,742		1,742
Total	$	—	$	—	$	34,148	$	34,148

	At December 31, 2017
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets at Fair Value
Impaired loans held for investment	$	—	$	—	$	28,351	$	28,351
Impaired leases held for investment	—		—		1,250		1,250
Other real estate owned	—		—		1,843		1,843
Total	$	—	$	—	$	31,444	$	31,444

The following table presents assets and liabilities and off-balance sheet items not measured at fair value on a recurring or non-recurring basis in the Corporation’s consolidated balance sheets but for which the fair value is required to be disclosed at June 30, 2018 and December 31, 2017. The disclosed fair values are classified using the fair value hierarchy.

	At June 30, 2018
(Dollars in thousands)	Level 1		Level 2			Level 3		Fair Value			Carrying Amount
Assets:
Cash and short-term interest-earning assets	$	72,943	$	—		$	—	$	72,943		$	72,943
Held-to-maturity securities	—		94,642			—		94,642			96,457
Federal Home Loan Bank, Federal Reserve Bank and other stock	NA		NA			NA		NA			32,768
Loans held for sale	—		1,815			—		1,815			1,778
Net loans and leases held for investment	—		—			3,742,808		3,742,808			3,758,493
Servicing rights	—		—			11,619		11,619			6,650
Total assets	$	72,943	$	96,457		$	3,754,427	$	3,923,827		$	3,969,089
Liabilities:
Deposits:
Demand and savings deposits, non-maturity	$	3,026,391	$	—		$	—	$	3,026,391		$	3,026,391
Time deposits	—		597,146			—		597,146			594,395
Total deposits	3,026,391		597,146			—		3,623,537			3,620,786
Short-term borrowings	—		231,853			—		231,853			231,853
Long-term debt	—		156,868			—		156,868			155,556
Subordinated notes	—		96,538			—		96,538			94,453
Total liabilities	$	3,026,391	$	1,082,405		$	—	$	4,108,796		$	4,102,648
Off-Balance-Sheet:
Commitments to extend credit	$	—	$	(2,469	)	$	—	$	(2,469	)	$	—

	At December 31, 2017
(Dollars in thousands)	Level 1		Level 2			Level 3		Fair Value			Carrying Amount
Assets:
Cash and short-term interest-earning assets	$	75,409	$	—		$	—	$	75,409		$	75,409
Held-to-maturity securities	—		55,320			—		55,320			55,564
Federal Home Loan Bank, Federal Reserve Bank and other stock	NA		NA			NA		NA			27,204
Loans held for sale	—		1,676			—		1,676			1,642
Net loans and leases held for investment	—		—			3,547,451		3,547,451			3,566,953
Servicing rights	—		—			10,046		10,046			6,573
Total assets	$	75,409	$	56,996		$	3,557,497	$	3,689,902		$	3,733,345
Liabilities:
Deposits:
Demand and savings deposits, non-maturity	$	2,980,170	$	—		$	—	$	2,980,170		$	2,980,170
Time deposits	—		574,737			—		574,737			574,749
Total deposits	2,980,170		574,737			—		3,554,907			3,554,919
Short-term borrowings	—		105,431			—		105,431			105,431
Long-term debt	—		156,834			—		156,834			155,828
Subordinated notes	—		98,075			—		98,075			94,331
Total liabilities	$	2,980,170	$	935,077		$	—	$	3,915,247		$	3,910,509
Off-Balance-Sheet:
Commitments to extend credit	$	—	$	(2,414	)	$	—	$	(2,414	)	$	—

The following valuation methods and assumptions were used by the Corporation in estimating the fair value for financial instruments measured at fair value on a non-recurring basis and financial instruments not measured at fair value on a recurring or non-recurring basis in the Corporation’s consolidated balance sheets but for which the fair value is required to be disclosed:

Cash and short-term interest-earning assets: The carrying amounts reported in the balance sheet for cash and due from banks, interest-earning deposits with other banks, federal funds sold and other short-term investments is their stated value. Cash and short-term interest-earning assets are classified within Level 1 in the fair value hierarchy.

Held-to-maturity securities: Fair values for the held-to-maturity investment securities are estimated by using pricing models or quoted prices of securities with similar characteristics and are classified in Level 2 in the fair value hierarchy.

Federal Home Loan Bank, Federal Reserve Bank and other stock: It is not practical to determine the fair values of Federal Home Loan Bank, Federal Reserve Bank and other stock, due to restrictions placed on their transferability.

Loans held for sale: The fair value of the Corporation’s mortgage loans held for sale are generally determined using a pricing model based on current market information obtained from external sources, including interest rates, bids or indications provided by market participants on specific loans that are actively marketed for sale. These loans are primarily residential mortgage loans and are generally classified in Level 2 due to the observable pricing data. Loans held for sale are carried at the lower of cost or estimated fair value. There were no valuation adjustments for loans held for sale at June 30, 2018 and December 31, 2017.

Loans and leases held for investment: As of June 30, 2018, the fair values for loans and leases held for investment are estimated using discounted cash flow analyses, using a discount rate based on current interest rates at which similar loans with similar terms would be made to borrowers, adjusted as appropriate to consider credit, liquidity and marketability factors to arrive at a fair value that represents the Corporation's exit price at which these instruments would be sold or transferred. As of December 31, 2017, the fair values for loans and leases held for investment were estimated using discounted cash flow analyses, using a discount rate based on current interest rates at which similar loans with similar terms would be made to borrowers and include components for credit risk, operating expense and embedded prepayment options. An overall valuation adjustment was made for specific credit risks in addition to general portfolio risk and is significant to the valuation.Loans and leases are classified within Level 3 in the fair value hierarchy.

Impaired loans and leases held for investment: For impaired loans and leases, the Corporation uses a variety of techniques to measure fair value, such as using the current appraised value of the collateral, agreements of sale, discounting the contractual cash flows, and analyzing market data that the Corporation may adjust due to specific characteristics of the loan/lease or collateral. At June 30, 2018, impaired loans held for investment had a carrying amount of $32.7 million with a valuation allowance of $1.5 million. At December 31, 2017, impaired loans held for investment had a carrying amount of $28.5 million with a valuation allowance of $131 thousand. The Corporation had impaired leases of $1.3 million with no reserve at June 30, 2018 and December 31, 2017.

Servicing rights: The Corporation estimates the fair value of mortgage servicing rights using discounted cash flow models that calculate the present value of estimated future net servicing income. The model uses readily available prepayment speed assumptions for the interest rates of the portfolios serviced. Mortgage servicing rights are classified within Level 3 in the fair value hierarchy based upon management's assessment of the inputs. The Corporation reviews the mortgage servicing rights portfolio on a quarterly basis for impairment and the mortgage servicing rights are carried at the lower of amortized cost or estimated fair value. The Corporation also records servicing rights on SBA loans. At June 30, 2018 and December 31, 2017, servicing rights had a carrying amount of $6.7 million and $6.6 million, respectively, with no valuation allowance.

Goodwill and other identifiable assets: Certain non-financial assets subject to measurement at fair value on a non-recurring basis include goodwill and other identifiable intangible assets. During the six months ended June 30, 2018, there were no triggering events that required valuation of goodwill and other identifiable intangible assets.

Other real estate owned: The fair value of other real estate owned (OREO) is originally estimated based upon the appraised value less estimated costs to sell. The fair value less cost to sell becomes the "original cost" of the OREO asset. Subsequently, OREO is reported as the lower of the original cost and the current the fair value less cost to sell. Capital improvement expenses associated with the construction or repair of the property are capitalized as part of the cost of the OREO asset; however, the capitalized expenses may not increase the OREO asset's recorded value to an amount greater than the asset's fair value after improvements and less cost to sell. New appraisals are generally obtained on an annual basis if an agreement of sale does not exist. During the six months ended June 30, 2018, two properties had write-downs totaling $503 thousand and two properties were transferred into OREO with a fair value of $402 thousand. At June 30, 2018 and December 31, 2017, OREO had a carrying amount of $1.7 million and $1.8 million, respectively. Other real estate owned is classified within Level 3 of the valuation hierarchy due to the unique characteristics of the collateral for each loan.

Deposit liabilities: The fair values for demand and savings accounts, with no stated maturities, is the amount payable on demand at the reporting date (carrying value) and are classified within Level 1 in the fair value hierarchy. The fair values for time deposits with fixed maturities are estimated by discounting the final maturity using interest rates currently offered for deposits with similar remaining maturities. Time deposits are classified within Level 2 in the fair value hierarchy.

Short-term borrowings: The fair value of short-term borrowings are estimated using current market rates for similar borrowings and are classified within Level 2 in the fair value hierarchy.

Long-term debt: The fair value of long-term debt is estimated by using discounted cash flow analysis, based on current market rates for debt with similar terms and remaining maturities. Long-term debt is classified within Level 2 in the fair value hierarchy.

Subordinated notes: The fair value of the subordinated notes are estimated by discounting the principal balance using the treasury yield curve for the term to the call date as the Corporation has the option to call the subordinated notes. The subordinated notes are classified within Level 2 in the fair value hierarchy.

Off-balance-sheet instruments: Fair values for the Corporation’s off-balance-sheet instruments are based on the fees currently charged to enter into similar agreements, taking into account the remaining terms of the agreements and the counterparties’ credit standing and are classified within Level 2 in the fair value hierarchy.

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Segment Reporting

6 Months Ended

Jun. 30, 2018

Segment Reporting [Abstract]

Segment Reporting

Segment Reporting

At June 30, 2018, 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 consumer and commercial customers 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 June 30, 2018		At December 31, 2017		At June 30, 2017
Banking	$	4,656,201	$	4,466,301	$	4,366,362
Wealth Management	37,227		34,600		32,806
Insurance	29,295		27,846		25,241
Other	26,458		26,115		29,118
Consolidated assets	$	4,749,181	$	4,554,862	$	4,453,527

The following tables provide reportable segment-specific information and reconciliations to consolidated financial information for the three and six months ended June 30, 2018 and 2017.

	Three Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	46,444		$	8	$	—	$	8		$	46,460
Interest expense	6,209			—		—		1,261			7,470
Net interest income	40,235			8		—		(1,253		)	38,990
Provision for loan and lease losses	15,409			—		—		—			15,409
Noninterest income	5,461			5,862		3,904		87			15,314
Intangible expenses	329			137		128		—			594
Other noninterest expense	26,723			3,628		3,093		309			33,753
Intersegment (revenue) expense*	(295		)	156		139		—			—
Income (expense) before income taxes	3,530			1,949		544		(1,475		)	4,548
Income tax (benefit) expense	(162		)	597		163		(407		)	191
Net income (loss)	$	3,692		$	1,352	$	381	$	(1,068	)	$	4,357
Capital expenditures	$	820		$	40	$	2	$	10		$	872

	Three Months Ended
	June 30, 2017
(Dollars in thousands)	Banking			Wealth Management		Insurance			Other			Consolidated
Interest income	$	40,022		$	1	$	—		$	7		$	40,030
Interest expense	3,469			—		—			1,261			4,730
Net interest income	36,553			1		—			(1,254		)	35,300
Provision for loan and lease losses	2,766			—		—			—			2,766
Noninterest income	6,790			5,399		3,746			74			16,009
Intangible expenses	398			168		(120		)	—			446
Other noninterest expense	24,160			3,512		2,846			1,584			32,102
Intersegment (revenue) expense*	(264		)	146		118			—			—
Income (expense) before income taxes	16,283			1,574		902			(2,764		)	15,995
Income tax expense (benefit)	4,193			639		379			(994		)	4,217
Net income (loss)	$	12,090		$	935	$	523		$	(1,770	)	$	11,778
Capital expenditures	$	2,019		$	11	$	192		$	34		$	2,256

	Six Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	89,966		$	13	$	—	$	15		$	89,994
Interest expense	11,210			—		—		2,522			13,732
Net interest income	78,756			13		—		(2,507		)	76,262
Provision for loan and lease losses	17,462			—		—		—			17,462
Noninterest income	10,250			11,602		8,990		54			30,896
Intangible expenses	658			279		269		—			1,206
Restructuring charges	571			—		—		—			571
Other noninterest expense	54,384			7,286		6,338		(313		)	67,695
Intersegment (revenue) expense*	(586		)	309		277		—			—
Income (expense) before income taxes	16,517			3,741		2,106		(2,140		)	20,224
Income tax expense (benefit)	1,836			1,142		619		(580		)	3,017
Net income (loss)	$	14,681		$	2,599	$	1,487	$	(1,560	)	$	17,207
Capital expenditures	$	1,790		$	89	$	9	$	65		$	1,953

	Six Months Ended
	June 30, 2017
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	78,414		$	2	$	—	$	10		$	78,426
Interest expense	6,321			—		—		2,522			8,843
Net interest income	72,093			2		—		(2,512		)	69,583
Provision for loan and lease losses	5,211			—		—		—			5,211
Noninterest income	11,952			10,537		8,293		197			30,979
Intangible expenses	794			338		73		—			1,205
Other noninterest expense	49,216			6,932		5,915		1,310			63,373
Intersegment (revenue) expense*	(528		)	292		236		—			—
Income (expense) before income taxes	29,352			2,977		2,069		(3,625		)	30,773
Income tax expense (benefit)	7,721			1,164		871		(1,617		)	8,139
Net income (loss)	$	21,631		$	1,813	$	1,198	$	(2,008	)	$	22,634
Capital expenditures	$	6,339		$	22	$	199	$	84		$	6,644

*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.

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Revenue From Contracts with Customers Revenue From Contracts with Customers

6 Months Ended

Jun. 30, 2018

Revenue from Contract with Customer [Abstract]

Revenue from Contract with Customer

Revenue from Contracts with Customers

In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers (Topic 606)” and subsequent related updates. The Corporation adopted the guidance effective January 1, 2018 using the modified retrospective method though no adjustments were made to retained earnings as a result of the adoption. The Corporation’s revenue is the sum of net interest income and noninterest income. Revenues are recognized when obligations under the terms of contracts with customers are satisfied, including the transfer of control of the promised goods or services to customers, in an amount that reflects the consideration the Corporation expects to be entitled to in exchange for those goods or services. The Corporation provides services to customers which have related performance obligations that are completed to recognize revenue. The Corporation's revenues are generally recognized either immediately upon the completion of the services or over time as the services are performed. Any services performed over time generally require services to be rendered each period and therefore progress in completing these services is measured based upon the passage of time.

The following tables disaggregate the Corporation's revenue by major source for the three and six months ended June 30, 2018 and 2017.

	Three Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management			Insurance		Other			Consolidated
Net interest income (1)	$	40,235		$	8		$	—	$	(1,253	)	$	38,990
Noninterest income:
Trust fee income	—			2,044			—		—			2,044
Service charges on deposit accounts	1,335			—			—		—			1,335
Investment advisory commission and fee income	—			3,778			—		—			3,778
Insurance commission and fee income	—			—			3,712		—			3,712
Other service fee income (2)	2,198			41			192		—			2,431
Bank owned life insurance income (1)	1,161			—			—		49			1,210
Net gain on mortgage banking activities (1)	942			—			—		—			942
Other (loss) income (2)	(175		)	(1		)	—		38			(138		)
Total noninterest income	$	5,461		$	5,862		$	3,904	$	87		$	15,314

	Three Months Ended
	June 30, 2017
(Dollars in thousands)	Banking		Wealth Management		Insurance		Other			Consolidated
Net interest income (1)	$	36,553	$	1	$	—	$	(1,254	)	$	35,300
Noninterest income:
Trust fee income	—		2,016		—		—			2,016
Service charges on deposit accounts	1,313		—		—		—			1,313
Investment advisory commission and fee income	—		3,333		—		—			3,333
Insurance commission and fee income	—		—		3,628		—			3,628
Other service fee income (2)	2,077		50		118		—			2,245
Bank owned life insurance income (1)	1,549		—		—		73			1,622
Net gain on sales of investment securities (1)	20		—		—		1			21
Net gain on mortgage banking activities (1)	1,537		—		—		—			1,537
Other income (2)	294		—		—		—			294
Total noninterest income	$	6,790	$	5,399	$	3,746	$	74		$	16,009

	Six Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management		Insurance			Other			Consolidated
Net interest income (1)	$	78,756		$	13	$	—		$	(2,507	)	$	76,262
Noninterest income:
Trust fee income	—			4,040		—			—			4,040
Service charges on deposit accounts	2,662			—		—			—			2,662
Investment advisory commission and fee income	—			7,461		—			—			7,461
Insurance commission and fee income	—			—		8,600			—			8,600
Other service fee income (2)	4,107			101		392			—			4,600
Bank owned life insurance income (1)	1,859			—		—			20			1,879
Net gain on sales of investment securities (1)	10			—		—			—			10
Net gain on mortgage banking activities (1)	1,658			—		—			—			1,658
Other (loss) income (2)	(46		)	—		(2		)	34			(14		)
Total noninterest income	$	10,250		$	11,602	$	8,990		$	54		$	30,896

	Six Months Ended
	June 30, 2017
(Dollars in thousands)	Banking		Wealth Management		Insurance		Other			Consolidated
Net interest income (1)	$	72,093	$	2	$	—	$	(2,512	)	$	69,583
Noninterest income:
Trust fee income	—		3,923		—		—			3,923
Service charges on deposit accounts	2,556		—		—		—			2,556
Investment advisory commission and fee income	—		6,514		—		—			6,514
Insurance commission and fee income	—		—		8,038		—			8,038
Other service fee income (2)	3,878		100		254		—			4,232
Bank owned life insurance income (1)	2,211		—		—		194			2,405
Net gain on sales of investment securities (1)	33		—		—		3			36
Net gain on mortgage banking activities (1)	2,650		—		—		—			2,650
Other income (2)	624		—		1		—			625
Total noninterest income	$	11,952	$	10,537	$	8,293	$	197		$	30,979

(1) Net interest income as well as many other revenues for financial assets and liabilities including loans, leases, securities, and derivatives are excluded from the scope of the standard. Noninterest income streams that are out-of-scope of the standard include bank owned life insurance income, sales of investment securities and mortgage banking activities.

(2) Other service fee income and other income include certain items that are in scope and certain items that are out of scope of the standard and are described further in the following paragraphs.

Banking Segment

The Banking segment provides financial services to consumer and commercial customers 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.

Service charges on deposit accounts are generally earned on depository accounts for commercial and consumer customers and primarily includes fees for account services, overdraft services, and cash management services for commercial customers. Account services include fees for event-driven services such as ATM transactions and fees for periodic account maintenance activities. Cash management services for commercial customers include fees for event-driven services such as lockbox processing and line sweep services and fees for periodic account maintenance activities. The Corporation's obligation for event-driven services is satisfied at the time of the event when the service is delivered, while the obligation for periodic services is satisfied over the course of each month. Obligations for overdraft services is satisfied at the time of the overdraft.

Other service fee income is earned from commercial and consumer customers and primarily includes credit and debit card interchange and merchant revenues, mortgage servicing income, which is out of scope of the standard, and other deposit related service fee income such as wire transfers, check services and safe deposit boxes. Interchange and merchant revenues are recognized concurrently with the delivery of services on a monthly basis. Other deposit related service fee income include fees for event-driven services, such as wire transfers and check services, and fees for periodic services such as safe deposit box services. The obligation for event-driven services is satisfied at the time of the event when the service is delivered, while the obligation for periodic services is satisfied over the course of each month.

Other income primarilyincludes net gains or losses from the sales of loans and leases, net gains or losses from the sales or disposition of fixed assets and net gains or losses on interest rate swaps, all of which are out of scope of the standard, and net gains or losses on sales and write-downs of other real estate owned. Net gains or losses on sales of other real estate owned are recognized at the point in time in which control of the other real estate owned is transferred.

Wealth Management Segment

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.

Trust fee income is earned for providing trust, investment management and other related services. Obligations for trust and other related services are generally satisfied over time but may be satisfied at points in time for certain activities that are transactional in nature and obligations for investment management services are generally performed over time. Fees for trust fee income are typically based on a tiered scale relative to the market value of assets under management and are recognized in conjunction with the delivery of services.

Investment advisory commission and fee income include fees for financial planning, guardian and custodian of employee benefits, investment advisory, and brokerage services. Obligations for financial planning, guardian and custodian of employee benefits, and investment advisory services are generally satisfied over time and fees, typically based on a tiered scale relative to the market value of assets under management are recognized in conjunction with the delivery of services. Brokerage services are typically event driven and are based on the size and number of transactions executed at the client’s direction and recognized on the trade date.

Insurance Segment

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.

Insurance commission and fee income is derived primarily from commissions from the sale of insurance policies, which are generally calculated as a percentage of the policy premium, and contingent income, which is calculated based on the performance of the policies held by each carrier. Obligations for the sale of insurance policies are generally satisfied at the point in time which the policy is executed and are recognized at the point in time in which the amounts are knownand collection is reasonably assured. Obligations for contingent income are generally satisfied over time and are recognized at the point in time in which the amounts are known and collection is reasonably assured.

Other service fee income is earned from human resources consulting services. These obligations are generally satisfied over time and are recognized on a periodic basis.

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Restructuring Charges

6 Months Ended

Jun. 30, 2018

Restructuring and Related Activities [Abstract]

Restructuring Charges

Restructuring Charges

During January 2018, the Corporation announced the closure of two owned financial centers and one leased financial center and reduced staff associated with these financial centers, resulting in accruing a loss of $571 thousand related to the Banking business segment. These financial centers were closed in April 2018. The remaining accrued restructuring expense at January 1, 2018 of $23 thousand relates to 2016 restructuring charges.

A roll-forward of the remaining accrued restructuring expense for the six months ended June 30, 2018 is as follows:

(Dollars in thousands)	Severance expenses			Write-downs and retirements of fixed assets			Lease cancellations			Total
Accrued at January 1, 2018	$	—		$	—		$	23		$	23
Restructuring charges	366			48			157			571
Payments	(197		)	—			(22		)	(219		)
Non-cash settlement	—			(48		)	—			(48		)
Accrued at June 30, 2018	$	169		$	—		$	158		$	327

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Contingencies

6 Months Ended

Jun. 30, 2018

Commitments and Contingencies Disclosure [Abstract]

Contingencies Disclosure

Contingencies

The Corporation is periodically subject to various pending and threatened legal actions, which involve claims for monetary relief. Based upon information presently available to the Corporation, it is the Corporation's opinion that any legal and financial responsibility arising from such claims will not have a material adverse effect on the Corporation's results of operations, financial position or cash flows.

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Summary of Significant Accounting Policies (Policies)

6 Months Ended

Jun. 30, 2018

Accounting Policies [Abstract]

Principles of Consolidation and Basis of Presentation

Principles of Consolidation and Basis of Presentation

The accompanying unaudited consolidated financial statements include the accounts of Univest Corporation of Pennsylvania (the Corporation or Univest) and its wholly owned subsidiaries. The Corporation’s direct subsidiary is Univest Bank and Trust Co. (the Bank). All significant intercompany balances and transactions have been eliminated in consolidation. The unaudited interim consolidated financial statements included herein have been prepared pursuant to the rules and regulations of the Securities and Exchange Commission (the SEC). Certain information and footnote disclosures normally included in financial statements prepared in accordance with U.S. generally accepted accounting principles (U.S. GAAP) have been condensed or omitted pursuant to such rules and regulations for interim financial information. The accompanying unaudited consolidated financial statements reflect all adjustments which are of a normal recurring nature and are, in the opinion of management, necessary for a fair presentation of the financial statements for the interim periods presented. Certain prior period amounts have been reclassified to conform to the current-year presentation. Operating results for the six-month period ended June 30, 2018 are not necessarily indicative of the results that may be expected for the year ended December 31, 2018 or for any other period. It is suggested that these unaudited consolidated financial statements be read in conjunction with the audited financial statements and the notes thereto included in the registrant’s Annual Report on Form 10-K for the year ended December 31, 2017, which was filed with the SEC on March 1, 2018.

Use of Estimates

Use of Estimates

The preparation of the unaudited consolidated financial statements in conformity with U.S. GAAP requires management to make estimates and assumptions that affect the amounts reported in the financial statements and accompanying notes. Actual results could differ from those estimates. Material estimates that are particularly susceptible to significant changes include fair value measurement of investment securities available-for-sale, reserve for loan and lease losses and purchase accounting.

Recent Accounting Pronouncements

In February 2018, the Financial Accounting Standards Board (FASB) issued Accounting Standards Update (ASU) No. 2018-02, "Income Statement – Reporting Comprehensive Income (Topic 220): Reclassification of Certain Tax Effects from Accumulated Other Comprehensive Income." This ASUclarifies the accounting treatment of the reclassification of certain income tax effects within accumulated other comprehensive income as a result of the Tax Cuts and Jobs Act. The Corporation elected to early adopt this guidance effective January 1, 2018 for all stranded tax effects resulting from tax reform and reclassified stranded tax effects, totaling $3.9 million, from accumulated other comprehensive income to retained earnings. The Corporation's policy for releasing income tax effects from accumulated other comprehensive income is to release such effects on an individual basis as each item is liquidated, sold or extinguished. See Note 10, "Accumulated Other Comprehensive (Loss) Income" for additional detail.

In March 2017, the FASB issued ASU No. 2017-07, "Compensation – Retirement Benefits (Topic 715): Improving the Presentation of Net Periodic Pension Cost and Net Periodic Postretirement Benefit Cost." The amendments in this ASU require that an employer that sponsors defined benefit pension plans and other postretirement plans present the service cost component in the same line item or items as other compensation costs arising from services rendered by the pertinent employees during the period. Other components of net benefit cost are required to be presented in the income statement separately from the service cost component and outside a subtotal of income from operations, if one is presented. If a separate line item or items are not used, the line item or items used in the income statement to present the other components of net benefit cost must be disclosed. The Corporation adopted this guidance effective January 1, 2018 with retrospective application for prior period presentation. Effective January 1, 2018, components of net benefit income other than the service cost component are presented in the Corporation's statement of income in other noninterest expense rather than in salaries, benefits and commission expense. Prior period components of net benefit income other than the service cost component were reclassed to other noninterest expense in the Corporation's statement of income.

In January 2016, the FASB issued ASU No. 2016-01, “Financial Instruments – Overall (Subtopic 825-10): Recognition and Measurement of Financial Assets and Financial Liabilities." This ASU addresses certain aspects of recognition, measurement, presentation and disclosure of financial instruments. The ASU requires equity investments to be measured at fair value with changes in fair value recognized in net income. At December 31, 2017, the Corporation had financial services equity securities with a carrying value of $1.1 million which included an unrealized net gain of $666 thousand. At December 31, 2017, $433 thousand was recorded in accumulated other comprehensive income which represented the unrealized net gain, net of income taxes, based on the Corporation’s statutory tax rate as of December 31, 2017. In addition, at December 31, 2017, the Corporation had money market mutual funds with a fair value and amortized cost of $6.0 million which were reclassified to equity securities under this guidance. The Corporation adopted this guidance effective January 1, 2018 with a cumulative-effect adjustment to the balance sheet as of January 1, 2018. The balance in accumulated other comprehensive income of $433 thousand was reclassified to retained earnings effective January 1, 2018. The carrying value of the equity securities, at January 1, 2018, did not change; however, any future increases or decreases in fair value is recorded as an increase or decrease to the carrying value and recognized in other noninterest income. During the six months ended June 30, 2018, the Corporation recognized a $33 thousand net gain on equity securities in other noninterest income.

In May 2014, the FASB issued ASU No. 2014-09, "Revenue from Contracts with Customers (Topic 606)” and subsequent related updates. The Corporation adopted the guidance effective January 1, 2018 using the modified retrospective method though no adjustments were made to retained earnings as a result of the adoption. The Corporation provided expanded disclosures related to recognition of revenue from contracts with customers. See Note 14, "Revenue from Contracts with Customers."

Recent Accounting Pronouncements Yet to Be Adopted

In August 2017, the FASB issued ASU No. 2017-12, “Derivatives and Hedging (Topic 815): Targeted Improvements to Accounting for Hedging Activities." The amendments in this update expand and refine hedge accounting for both non-financial and financial risk components and aligns the recognition and presentation of the effects of the hedging instrument and the hedged item in the financial statements. Additional hedging strategies permitted for hedge accounting include: hedges of contractually-specified price components of commodity purchases or sales, hedges of the benchmark rate component of the contractual coupon cash flows of fixed-rate assets or liabilities, hedges of the portion of a closed portfolio of prepayable assets not expected to prepay, and partial-term hedges of fixed-rate assets or liabilities. The ASU amends the presentation and disclosure requirements and changes how entities assess effectiveness. The ASU eliminates the requirement to separately measure and report hedge ineffectiveness and requires all items that affect earnings be presented in the same income statement line as the hedged items. After initial qualification, the new guidance permits a qualitative effectiveness assessment for certain hedges instead of a quantitative test, such as a regression analysis, if the entity can reasonably support an expectation of high effectiveness throughout the term of the hedge. An initial quantitative test to establish that the hedge relationship is highly effective is still required. The ASU is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years for public business entities, or January 1, 2019 for the Corporation. Early adoption is permitted, including an interim period. The amended presentation and disclosure guidance is required only prospectively. The Corporation does not expect the adoption of this ASU will have a material impact on the Corporation's financial statements.

In March 2017, the FASB issued ASU No. 2017-08, “Receivables – Nonrefundable Fees and Other Costs (Subtopic 310-20): Premium Amortization on Purchased Callable Debt Securities.” This ASU shortens the amortization period for certain callable debt securities held at a premium. Specifically, the amendments require the premium to be amortized to the earliest call date. The amendments do not require an accounting change for securities held at a discount; the discount continues to be amortized to maturity. The guidance is effective for fiscal years beginning after December 15, 2018, including interim periods within those fiscal years, or January 1, 2019 for the Corporation. Early adoption is permitted, including an interim period. This ASU is to be applied on a modified retrospective basis through a cumulative-effect adjustment directly to retained earnings as of the beginning of the period of adoption. The Corporation does not expect the adoption of this ASU will have a material impact on the Corporation's financial statements.

In January 2017, the FASB issued ASU No. 2017-04, "Intangibles – Goodwill and Other (Topic 350): Simplifying the Test for Goodwill Impairment." This ASU eliminates Step 2 of the goodwill impairment test. Step 2 measures a goodwill impairment loss by comparing the implied fair value of a reporting unit’s goodwill with the carrying amount of that goodwill. Under the new guidance, an entity should perform its annual, or interim, goodwill impairment test by comparing the fair value of a reporting unit with its carrying amount. An entity should recognize an impairment charge for the amount by which the carrying amount exceeds the reporting unit’s fair value; however, the loss recognized should not exceed the total amount of goodwill allocated to that reporting unit. Additionally, an entity should consider income tax effects from any tax deductible goodwill on the carrying amount of the reporting unit when measuring the goodwill impairment loss, if applicable. An entity still has the option to perform the qualitative assessment for a reporting unit to determine if the quantitative impairment test is necessary. Public business entities that are SEC filers should adopt the amendments in this ASU for annual or interim goodwill impairment tests in fiscal years beginning after December 15, 2019, or for the Corporation's goodwill impairment test in 2020. Early adoption is permitted for goodwill impairment tests with measurement dates after January 1, 2017. The Corporation does not expect the adoption of this ASU will have a material impact on the Corporation's financial statements.

In June 2016, the FASB issued ASU No. 2016-13, “Financial Instruments – Credit Losses (Topic 326): Measurement of Credit Losses on Financial Instruments.” This ASU requires businesses and other organizations to measure the current expected credit losses (CECL) on financial assets, such as loans, net investments in leases, certain debt securities, bond insurance and other receivables. The amendments affect entities holding financial assets and net investments in leases that are not accounted for at fair value through net income. Current GAAP requires an incurred loss methodology for recognizing credit losses that delays recognition until it is probable a loss has been incurred. The amendments in this ASU replace the incurred loss impairment methodology with a methodology that reflects expected credit losses and requires consideration of a broader range of reasonableness and supportable information to inform credit loss estimates. An entity should apply the amendments through a cumulative-effect adjustment to retained earnings as of the beginning of the first reporting period in which the guidance is effective (modified-retrospective approach). Acquired credit impaired loans for which the guidance in Accounting Standards Codification (ASC) Topic 310-30 has been previously applied should prospectively apply the guidance in this ASU. A prospective transition approach is required for debt securities for which an other-than-temporary impairment has been recognized before the effective date. The ASU is effective for fiscal years beginning after December 15, 2019, and interim periods within those years for public business entities that are SEC filers, or January 1, 2020 for the Corporation. The Corporation is in the process of evaluating the impact of the adoption of this guidance on the Corporation's financial statements; however, it is anticipated that the reserve for loan and lease losses will increase upon adoption of CECL and that the increased reserve level will decrease shareholders' equity and regulatory capital and ratios.

In February 2016, the FASB issued ASU No. 2016-02, "Leases (Topic 842)" to revise the accounting related to lessee accounting. Under the new guidance, lessees will be required to recognize a lease liability and a right-of-use asset for all leases. Disclosures will be required by lessees and lessors to meet the objective of enabling users of financial statements to assess the amount, timing, and uncertainty of cash flows arising from leases. Lessees and lessors are required to recognize and measure leases at the beginning of the earliest period presented using a modified retrospective approach. The modified retrospective approach includes a number of optional practical expedients that entities may elect to apply. These practical expedients relate to the identification and classification of leases that commenced before the effective date, initial direct costs for leases that commenced before the effective date, and the ability to use hindsight in evaluating lessee options to extend or terminate a lease or to purchase the underlying asset. An entity that elects to apply the practical expedients will, in effect, continue to account for leases that commence before the effective date in accordance with previous GAAP unless the lease is modified, except that lessees are required to recognize a right-of-use asset and a lease liability for all operating leases at each reporting date based on the present value of the remaining minimum rental payments that were tracked and disclosed under previous GAAP. The ASU is effective for the first interim period within annual periods beginning after December 15, 2018, or January 1, 2019, with early adoption permitted. The Corporation is in the process of evaluating the impact of the adoption of this guidance on the Corporation's financial statements; however, the adoption of this ASU will impact the balance sheet by the recording of lease liabilities and right-of-use assets associated with operating leases; any initial or continued impact of the recording of assets will have a negative impact on all Corporation and Bank capital ratios under current regulatory guidance and possibly equity ratios.

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Earnings per Share (Tables)

6 Months Ended

Jun. 30, 2018

Earnings Per Share, Basic and Diluted [Abstract]

Summary of Computation for Basic and Diluted Earnings per Share

The Corporation uses the two-class method to calculate earnings per share as the unvested restricted stock issued under the Corporation's equity incentive plans are participating shares with nonforfeitable rights to dividends. Under the two-class method, earnings per common share are computed by dividing the sum of distributed earnings to common shareholders and undistributed earnings allocated to common shareholders by the weighted average number of common shares outstanding for the period. In applying the two-class method, undistributed earnings are allocated to both common shares and participating securities based on the number of weighted average shares outstanding during the period. The table also notes anti-dilutive options which are those options with weighted average exercise prices in excess of the weighted average market value for the periods presented.

The following table sets forth the computation of basic and diluted earnings per share:

	Three Months Ended   June 30,						Six Months Ended   June 30,
(Dollars and shares in thousands, except per share data)	2018			2017			2018			2017
Numerator:
Net income	$	4,357		$	11,778		$	17,207		$	22,634
Net income allocated to unvested restricted stock	(33		)	(122		)	(132		)	(234		)
Net income allocated to common shares	$	4,324		$	11,656		$	17,075		$	22,400
Denominator:
Weighted average shares outstanding	29,404			26,661			29,380			26,647
Average unvested restricted stock	(228		)	(281		)	(221		)	(284		)
Denominator for basic earnings per share—weighted-average shares outstanding	29,176			26,380			29,159			26,363
Effect of dilutive securities—employee stock options	95			97			95			100
Denominator for diluted earnings per share—adjusted weighted-average shares outstanding	29,271			26,477			29,254			26,463
Basic earnings per share	$	0.15		$	0.44		$	0.59		$	0.85
Diluted earnings per share	$	0.15		$	0.44		$	0.58		$	0.85
Average anti-dilutive options excluded from computation of diluted earnings per share	369			188			294			157

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Investment Securities (Tables)

6 Months Ended

Jun. 30, 2018

Investments, Debt and Equity Securities [Abstract]

Amortized cost and estimated fair value of held to maturity securities and available for sale securities by contractual maturity

The following table shows the amortized cost and the estimated fair value of the held-to-maturity securities and available-for-sale securities at June 30, 2018 and December 31, 2017, by contractual maturity within each type:

	At June 30, 2018									At December 31, 2017
(Dollars in thousands)	Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value		Amortized Cost		Gross Unrealized Gains		Gross Unrealized Losses			Fair Value
Securities Held-to-Maturity
U.S. government corporations and agencies:
After 1 year to 5 years	$	6,996	$	—	$	(183	)	$	6,813	$	6,995	$	—	$	(77	)	$	6,918
	6,996		—		(183		)	6,813		6,995		—		(77		)	6,918
Residential mortgage-backed securities:
After 5 years to 10 years	12,838		—		(206		)	12,632		8,944		—		(51		)	8,893
Over 10 years	76,623		—		(1,426		)	75,197		39,625		44		(160		)	39,509
	89,461		—		(1,632		)	87,829		48,569		44		(211		)	48,402
Total	$	96,457	$	—	$	(1,815	)	$	94,642	$	55,564	$	44	$	(288	)	$	55,320
Securities Available-for-Sale
U.S. government corporations and agencies:
Within 1 year	$	5,020	$	—	$	(31	)	$	4,989	$	1,499	$	—	$	(3	)	$	1,496
After 1 year to 5 years	10,482		—		(132		)	10,350		15,590		—		(125		)	15,465
	15,502		—		(163		)	15,339		17,089		—		(128		)	16,961
State and political subdivisions:
Within 1 year	5,562		—		(5		)	5,557		2,721		1		(6		)	2,716
After 1 year to 5 years	14,538		29		(43		)	14,524		16,787		33		(44		)	16,776
After 5 years to 10 years	46,800		436		(438		)	46,798		54,846		897		(73		)	55,670
Over 10 years	3,120		—		(89		)	3,031		3,120		15		—			3,135
	70,020		465		(575		)	69,910		77,474		946		(123		)	78,297
Residential mortgage-backed securities:
After 1 year to 5 years	5,496		—		(93		)	5,403		3,913		12		(26		)	3,899
After 5 years to 10 years	56,238		8		(2,082		)	54,164		51,428		5		(852		)	50,581
Over 10 years	110,422		29		(4,409		)	106,042		133,237		87		(2,383		)	130,941
	172,156		37		(6,584		)	165,609		188,578		104		(3,261		)	185,421
Collateralized mortgage obligations:
After 5 years to 10 years	1,883		—		(105		)	1,778		2,103		—		(82		)	2,021
Over 10 years	1,414		—		(21		)	1,393		1,567		14		—			1,581
	3,297		—		(126		)	3,171		3,670		14		(82		)	3,602
Corporate bonds:
Within 1 year	2,510		—		(18		)	2,492		10,006		—		(5		)	10,001
After 1 year to 5 years	23,835		17		(471		)	23,381		24,885		20		(147		)	24,758
After 5 years to 10 years	15,657		5		(532		)	15,130		16,669		71		(296		)	16,444
Over 10 years	60,000		—		(7,228		)	52,772		60,000		—		(4,027		)	55,973
	102,002		22		(8,249		)	93,775		111,560		91		(4,475		)	107,176
Equity securities:*
No stated maturity	N/A		N/A		N/A			N/A		6,395		667		(1		)	7,061
	N/A		N/A		N/A			N/A		6,395		667		(1		)	7,061
Total	$	362,977	$	524	$	(15,697	)	$	347,804	$	404,766	$	1,822	$	(8,070	)	$	398,518

Information Related to Sales of Securities Available-for-Sale

The following table presents information related to sales of securities available-for-sale during the six months ended June 30, 2018 and 2017:

	Six Months Ended June 30,
(Dollars in thousands)	2018		2017
Securities available-for-sale:
Proceeds from sales	$	1,010	$	3,032
Gross realized gains on sales	10		36
Tax expense related to net realized gains on sales	2		13

Amount of Securities in Unrealized Loss Position

The following table shows the fair value of securities that were in an unrealized loss position at June 30, 2018 and December 31, 2017 by the length of time those securities were in a continuous loss position. For the investment securities in an unrealized loss position, the Corporation has concluded, based on its analysis, that the unrealized losses are primarily caused by the movement of interest rates and current market conditions. The contractual terms of these investments do not permit the issuer to settle the securities at a price less than the par value of the investment. It is more likely than not that the Corporation will not be required to sell the investments before a recovery of carrying value.

	Less than Twelve Months					Twelve Months or Longer					Total
(Dollars in thousands)	Fair Value		Unrealized Losses			Fair Value		Unrealized Losses			Fair Value		Unrealized Losses
At June 30, 2018
Securities Held-to-Maturity
U.S. government corporations and agencies	$	6,813	$	(183	)	$	—	$	—		$	6,813	$	(183	)
Residential mortgage-backed securities	87,829		(1,632		)	—		—			87,829		(1,632		)
Total	$	94,642	$	(1,815	)	$	—	$	—		$	94,642	$	(1,815	)
Securities Available-for-Sale
U.S. government corporations and agencies	$	5,121	$	(58	)	$	10,218	$	(105	)	$	15,339	$	(163	)
State and political subdivisions	29,012		(521		)	7,449		(54		)	36,461		(575		)
Residential mortgage-backed securities	35,367		(931		)	128,118		(5,653		)	163,485		(6,584		)
Collateralized mortgage obligations	1,393		(21		)	1,778		(105		)	3,171		(126		)
Corporate bonds	22,589		(534		)	67,665		(7,715		)	90,254		(8,249		)
Total	$	93,482	$	(2,065	)	$	215,228	$	(13,632	)	$	308,710	$	(15,697	)
At December 31, 2017
Securities Held-to-Maturity
U.S. government corporations and agencies	$	6,919	$	(77	)	$	—	$	—		$	6,919	$	(77	)
Residential mortgage-backed securities	40,881		(211		)	—		—			40,881		(211		)
Total	$	47,800	$	(288	)	$	—	$	—		$	47,800	$	(288	)
Securities Available-for-Sale
U.S. government corporations and agencies	$	5,213	$	(38	)	$	11,749	$	(90	)	$	16,962	$	(128	)
State and political subdivisions	18,457		(91		)	6,332		(32		)	24,789		(123		)
Residential mortgage-backed securities	32,217		(210		)	141,371		(3,051		)	173,588		(3,261		)
Collateralized mortgage obligations	—		—			2,021		(82		)	2,021		(82		)
Corporate bonds	18,464		(1,016		)	71,957		(3,459		)	90,421		(4,475		)
Equity securities	—		(1		)	4		—			4		(1		)
Total	$	74,351	$	(1,356	)	$	233,434	$	(6,714	)	$	307,785	$	(8,070	)

At June 30, 2018, gross unrealized losses for securities in an unrealized loss position for twelve months or longer, totaled $13.6 million. Three federal agency bonds, twelve investment grade corporate bonds, 105 federal agency residential mortgage securities, nine investment grade municipal bonds and one collateralized mortgage obligation bond had respective unrealized loss positions of $105 thousand, $7.7 million, $5.7 million, $54 thousand and $105 thousand, respectively. The fair value of these 130 securities fluctuate with changes in market conditions which for these underlying securities is primarily due to changes in the interest rate environment. The Corporation does not intend to sell the securities in an unrealized loss position and is unlikely to be required to sell these securities before a recovery of fair value, which may be maturity. Upon review of the attributes of the individual securities, the Corporation concluded these securities were not other-than-temporarily impaired. The Corporation did not recognize any other-than-temporary impairment charges on debt securities for the six months ended June 30, 2018 and 2017.

In conjunction with the adoption of ASU 2016-01, the Corporation recognized a $33 thousand net gain on equity securities during the six months ended June 30, 2018 in other noninterest income and the net unrealized gain on equity securities held at June 30, 2018 was $33 thousand. See Note 1, "Summary of Significant Accounting Policies - Accounting Pronouncements Adopted in 2018" for additional information.

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Loans and Leases (Tables)

6 Months Ended

Jun. 30, 2018

Receivables [Abstract]

Summary of Major Loan and Lease Categories

	At June 30, 2018
(Dollars in thousands)	Originated			Acquired		Total
Commercial, financial and agricultural	$	880,961		$	45,199	$	926,160
Real estate-commercial	1,373,093			270,551		1,643,644
Real estate-construction	204,602			4,284		208,886
Real estate-residential secured for business purpose	267,014			71,698		338,712
Real estate-residential secured for personal purpose	296,734			54,689		351,423
Real estate-home equity secured for personal purpose	175,351			9,909		185,260
Loans to individuals	31,048			143		31,191
Lease financings	133,122			—		133,122
Total loans and leases held for investment, net of deferred income	$	3,361,925		$	456,473	$	3,818,398
Unearned lease income, included in the above table	$	(14,700	)	$	—	$	(14,700	)
Net deferred costs, included in the above table	4,060			—		4,060
Overdraft deposits included in the above table	98			—		98

	At December 31, 2017
(Dollars in thousands)	Originated			Acquired		Total
Commercial, financial and agricultural	$	833,100		$	63,111	$	896,211
Real estate-commercial	1,235,681			306,460		1,542,141
Real estate-construction	171,244			4,592		175,836
Real estate-residential secured for business purpose	250,800			91,167		341,967
Real estate-residential secured for personal purpose	260,654			60,920		321,574
Real estate-home equity secured for personal purpose	171,884			12,386		184,270
Loans to individuals	28,156			144		28,300
Lease financings	129,768			—		129,768
Total loans and leases held for investment, net of deferred income	$	3,081,287		$	538,780	$	3,620,067
Unearned lease income, included in the above table	$	(14,243	)	$	—	$	(14,243	)
Net deferred costs, included in the above table	4,669			—		4,669
Overdraft deposits included in the above table	222			—		222

Schedule of Impaired Loans

The following presents, by class of loans, the recorded investment and unpaid principal balance of impaired loans, the amounts of the impaired loans for which there is not a reserve for credit losses and the amounts for which there is a reserve for credit losses at June 30, 2018 and December 31, 2017. The impaired loans exclude acquired credit impaired loans.

	At June 30, 2018						At December 31, 2017
(Dollars in thousands)	Recorded Investment		Unpaid Principal Balance		Related Reserve		Recorded Investment		Unpaid Principal Balance		Related Reserve
Impaired loans with no related reserve recorded:
Commercial, financial and agricultural	$	4,122	$	4,848			$	7,019	$	8,301
Real estate—commercial real estate	7,489		8,336				15,621		16,507
Real estate—construction	110		113				365		365
Real estate—residential secured for business purpose	1,926		2,062				3,430		4,620
Real estate—residential secured for personal purpose	1,741		1,784				508		566
Real estate—home equity secured for personal purpose	1,565		1,595				511		523
Total impaired loans with no related reserve recorded	$	16,953	$	18,738			$	27,454	$	30,882
Impaired loans with a reserve recorded:
Commercial, financial and agricultural	$	2,116	$	2,180	$	646	$	60	$	60	$	31
Real estate—commercial real estate	13,405		13,645		866		933		933		99
Real estate—residential secured for business purpose	206		272		12		35		37		1
Total impaired loans with a reserve recorded	$	15,727	$	16,097	$	1,524	$	1,028	$	1,030	$	131

Total impaired loans:
Commercial, financial and agricultural	$	6,238	$	7,028	$	646	$	7,079	$	8,361	$	31
Real estate—commercial real estate	20,894		21,981		866		16,554		17,440		99
Real estate—construction	110		113		—		365		365		—
Real estate—residential secured for business purpose	2,132		2,334		12		3,465		4,657		1
Real estate—residential secured for personal purpose	1,741		1,784		—		508		566		—
Real estate—home equity secured for personal purpose	1,565		1,595		—		511		523		—
Total impaired loans	$	32,680	$	34,835	$	1,524	$	28,482	$	31,912	$	131

The outstanding principal balance and carrying amount for acquired credit impaired loans at June 30, 2018 and December 31, 2017 were as follows:

(Dollars in thousands)	At June 30, 2018		At December 31, 2017
Outstanding principal balance	$	1,378	$	2,325
Carrying amount	998		1,583
Allowance for loan losses	—		—

The following table presents the changes in accretable yield on acquired credit impaired loans:

	Six Months Ended June 30,
(Dollars in thousands)	2018			2017
Beginning of period	$	11		$	50
Reclassification from nonaccretable discount	375			279
Accretable discount amortized to interest income	(386		)	(297		)
Disposals	—			(4		)
End of period	$	—		$	28

Schedule of Age Analysis of Past Due Loans and Leases

The following presents, by class of loans and leases, an aging of past due loans and leases, loans and leases which are current and the recorded investment in loans and leases 90 days or more past due which are accruing interest at June 30, 2018 and December 31, 2017:

(Dollars in thousands)	30-59 Days Past Due		60-89 Days Past Due		90 Days or more Past Due		Total Past Due		Current		Acquired Credit Impaired		Total Loans and Leases Held for Investment		Recorded Investment 90 Days or more Past Due and Accruing Interest
At June 30, 2018
Commercial, financial and agricultural	$	1,777	$	141	$	2,240	$	4,158	$	921,735	$	267	$	926,160	$	—
Real estate—commercial real estate and construction:
Commercial real estate	1,543		1,145		1,619		4,307		1,639,131		206		1,643,644		—
Construction	364		—		—		364		208,522		—		208,886		—
Real estate—residential and home equity:
Residential secured for business purpose	1,750		782		1,173		3,705		334,547		460		338,712		—
Residential secured for personal purpose	2,896		88		1,561		4,545		346,813		65		351,423		—
Home equity secured for personal purpose	672		698		1,205		2,575		182,685		—		185,260		—
Loans to individuals	137		49		101		287		30,904		—		31,191		101
Lease financings	1,383		646		1,575		3,604		129,518		—		133,122		49
Total	$	10,522	$	3,549	$	9,474	$	23,545	$	3,793,855	$	998	$	3,818,398	$	150
At December 31, 2017
Commercial, financial and agricultural	$	2,182	$	1,440	$	1,509	$	5,131	$	890,658	$	422	$	896,211	$	—
Real estate—commercial real estate and construction:
Commercial real estate	733		548		1,410		2,691		1,539,094		356		1,542,141		—
Construction	1,970		—		365		2,335		173,501		—		175,836		—
Real estate—residential and home equity:
Residential secured for business purpose	1,651		315		1,355		3,321		338,061		585		341,967		162
Residential secured for personal purpose	4,368		1,118		23		5,509		315,845		220		321,574		—
Home equity secured for personal purpose	1,414		333		464		2,211		182,059		—		184,270		148
Loans to individuals	221		139		195		555		27,745		—		28,300		195
Lease financings	1,143		392		1,855		3,390		126,378		—		129,768		256
Total	$	13,682	$	4,285	$	7,176	$	25,143	$	3,593,341	$	1,583	$	3,620,067	$	761

Schedule of Nonperforming Loans and Leases

The following presents, by class of loans and leases, nonperforming loans and leases at June 30, 2018 and December 31, 2017. Nonperforming loans exclude acquired credit impaired loans from Fox Chase and Valley Green.

	At June 30, 2018								At December 31, 2017
(Dollars in thousands)	Nonaccrual Loans and Leases*		Accruing Troubled Debt Restructured Loans and Lease Modifications		Loans and Leases 90 Days or more Past Due and Accruing Interest		Total Nonperforming Loans and Leases		Nonaccrual Loans and Leases*		Accruing Troubled Debt Restructured Loans and Lease Modifications		Loans and Leases 90 Days or more Past Due and Accruing Interest		Total Nonperforming Loans and Leases
Commercial, financial and agricultural	$	4,084	$	607	$	—	$	4,691	$	4,448	$	921	$	—	$	5,369
Real estate—commercial real estate and construction:
Commercial real estate	19,584		—		—		19,584		4,285		10,266		—		14,551
Construction	110		—		—		110		365		—		—		365
Real estate—residential and home equity:
Residential secured for business purpose	1,538		183		—		1,721		2,843		206		162		3,211
Residential secured for personal purpose	1,741		—		—		1,741		466		42		—		508
Home equity secured for personal purpose	1,565		—		—		1,565		511		—		148		659
Loans to individuals	—		—		101		101		—		—		195		195
Lease financings	1,526		—		49		1,575		1,599		—		256		1,855
Total	$	30,148	$	790	$	150	$	31,088	$	14,517	$	11,435	$	761	$	26,713

* Includes nonaccrual troubled debt restructured loans and lease modifications of $1.8 million and $2.5 million at June 30, 2018 and December 31, 2017, respectively.

Summary of Credit Quality Indicators

The following table presents classifications for originated loans:

(Dollars in thousands)	Real Estate— Residential Secured for Personal Purpose		Real Estate— Home Equity Secured for Personal Purpose		Loans to Individuals		Lease Financings		Total
At June 30, 2018
Performing	$	296,127	$	174,866	$	30,947	$	131,547	$	633,487
Nonperforming	607		485		101		1,575		2,768
Total	$	296,734	$	175,351	$	31,048	$	133,122	$	636,255
At December 31, 2017
Performing	$	260,589	$	171,527	$	27,961	$	127,913	$	587,990
Nonperforming	65		357		195		1,855		2,472
Total	$	260,654	$	171,884	$	28,156	$	129,768	$	590,462

The following table presents classifications for acquired loans:

(Dollars in thousands)	Real Estate— Residential Secured for Personal Purpose		Real Estate— Home Equity Secured for Personal Purpose		Loans to Individuals		Lease Financings		Total
At June 30, 2018
Performing	$	53,555	$	8,829	$	143	$	—	$	62,527
Nonperforming	1,134		1,080		—		—		2,214
Total	$	54,689	$	9,909	$	143	$	—	$	64,741
At December 31, 2017
Performing	$	60,477	$	12,084	$	144	$	—	$	72,705
Nonperforming	443		302		—		—		745
Total	$	60,920	$	12,386	$	144	$	—	$	73,450

The following tables present by class, the recorded investment in loans and leases held for investment by credit quality indicator at June 30, 2018 and December 31, 2017.

The Corporation employs a ten (10) grade risk rating system related to the credit quality of commercial loans and residential real estate loans secured for a business purpose of which the first six categories are pass categories (credits not adversely rated).The following is a description of the internal risk ratings and the likelihood of loss related to each risk rating. Loans with a relationship balance of less than $1 million are reviewed on a performance basis, with the primary monitored metrics being delinquency (60 days or more past due) and revolving stagnancy. Loans with relationships greater than $1 million are reviewed at least annually.  Loan relationships exceeding $15 million or classified as special mention or substandard are reviewed at least quarterly, or more frequently based on management’s discretion. 

1. Cash Secured—No credit risk

2. Fully Secured—Negligible credit risk

3. Strong—Minimal credit risk

4. Satisfactory—Nominal credit risk

5. Acceptable—Moderate credit risk

6. Pre-Watch—Marginal, but stable credit risk

7. Special Mention—Potential weakness

8. Substandard—Well-defined weakness

9. Doubtful—Collection in-full improbable

10. Loss—Considered uncollectible

Commercial Credit Exposure Credit Risk by Internally Assigned Grades

The following table presents classifications for originated loans:

(Dollars in thousands)	Commercial, Financial and Agricultural		Real Estate— Commercial		Real Estate— Construction		Real Estate— Residential Secured for Business Purpose		Total
At June 30, 2018
Grade:
1. Cash secured/ 2. Fully secured	$	2,846	$	—	$	24,304	$	—	$	27,150
3. Strong	13,926		612		—		—		14,538
4. Satisfactory	21,425		25,860		—		268		47,553
5. Acceptable	606,047		1,045,630		74,818		225,971		1,952,466
6. Pre-watch	204,593		249,505		103,970		36,000		594,068
7. Special Mention	23,203		41,286		1,400		984		66,873
8. Substandard	8,921		10,200		110		3,791		23,022
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	880,961	$	1,373,093	$	204,602	$	267,014	$	2,725,670
At December 31, 2017
Grade:
1. Cash secured/ 2. Fully secured	$	2,521	$	—	$	20,420	$	—	$	22,941
3. Strong	9,206		1,821		—		—		11,027
4. Satisfactory	30,283		26,950		—		274		57,507
5. Acceptable	593,205		960,258		76,899		215,750		1,846,112
6. Pre-watch	179,990		209,844		72,168		29,738		491,740
7. Special Mention	4,027		12,974		1,392		296		18,689
8. Substandard	13,868		23,834		365		4,742		42,809
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	833,100	$	1,235,681	$	171,244	$	250,800	$	2,490,825

The following table presents classifications for acquired loans:

(Dollars in thousands)	Commercial, Financial and Agricultural		Real Estate— Commercial		Real Estate— Construction		Real Estate— Residential Secured for Business Purpose		Total
At June 30, 2018
Grade:
1. Cash secured/ 2. Fully secured	$	—	$	—	$	—	$	—	$	—
3. Strong	—		—		—		—		—
4. Satisfactory	—		—		—		—		—
5. Acceptable	42,051		164,915		—		61,566		268,532
6. Pre-watch	1,229		86,041		4,284		8,784		100,338
7. Special Mention	865		4,462		—		—		5,327
8. Substandard	1,054		15,133		—		1,348		17,535
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	45,199	$	270,551	$	4,284	$	71,698	$	391,732
December 31, 2017
Grade:
1. Cash secured/ 2. Fully secured	$	1,120	$	—	$	—	$	—	$	1,120
3. Strong	—		—		—		—		—
4. Satisfactory	125		482		—		—		607
5. Acceptable	49,949		183,490		—		73,402		306,841
6. Pre-watch	6,183		98,977		4,592		15,861		125,613
7. Special Mention	1,007		17,028		—		—		18,035
8. Substandard	4,727		6,483		—		1,904		13,114
9. Doubtful	—		—		—		—		—
10.Loss	—		—		—		—		—
Total	$	63,111	$	306,460	$	4,592	$	91,167	$	465,330

Summary of Activity in the Reserve for Loan and Lease Losses

eserve for Loan and Lease Losses and Recorded Investment in Loans and Leases

The following presents, by portfolio segment, a summary of the activity in the reserve for loan and lease losses for the three and six months ended June 30, 2018 and 2017:

(Dollars in thousands)	Commercial, Financial and Agricultural			Real Estate— Commercial and Construction			Real Estate— Residential Secured for Business Purpose			Real Estate— Residential and Home Equity Secured for Personal Purpose			Loans to Individuals			Lease Financings			Unallocated			Total
Three Months Ended June 30, 2018
Reserve for loan and lease losses:
Beginning balance	$	6,942		$	11,178		$	1,871		$	1,908		$	372		$	1,079		$	60		$	23,410
Charge-offs	(13,048		)	—			—			—			(79		)	(169		)	N/A			(13,296		)
Recoveries	23			—			7			8			16			75			N/A			129
Provision (recovery of provision)	13,341			1,149			126			578			138			86			(9		)	15,409
Ending balance	$	7,258		$	12,327		$	2,004		$	2,494		$	447		$	1,071		$	51		$	25,652
Three Months Ended June 30, 2017
Reserve for loan and lease losses:
Beginning balance	$	7,890		$	7,624		$	1,345		$	1,001		$	335		$	1,329		$	4		$	19,528
Charge-offs	(108		)	(30		)	(1,139		)	—			(114		)	(327		)	N/A			(1,718		)
Recoveries	210			—			8			4			46			66			N/A			334
Provision (recovery of provision)	321			874			915			(30		)	62			592			33			2,767
Recovery of provision for acquired credit impaired loans	—			—			—			(1		)	—			—			—			(1		)
Ending balance	$	8,313		$	8,468		$	1,129		$	974		$	329		$	1,660		$	37		$	20,910
Six Months Ended June 30, 2018
Reserve for loan and lease losses:
Beginning balance	$	6,742		$	9,839		$	1,661		$	1,754		$	373		$	1,132		$	54		$	21,555
Charge-offs	(13,649		)	(40		)	—			—			(171		)	(305		)	N/A			(14,165		)
Recoveries	249			73			258			65			46			109			N/A			800
Provision (recovery of provision)	13,916			2,455			85			674			199			135			(3		)	17,461
Provision for acquired credit impaired loans	—			—			—			1			—			—			—			1
Ending balance	$	7,258		$	12,327		$	2,004		$	2,494		$	447		$	1,071		$	51		$	25,652
Six Months Ended June 30, 2017
Reserve for loan and lease losses:
Beginning balance	$	7,037		$	7,505		$	774		$	993		$	364		$	788		$	38		$	17,499
Charge-offs	(286		)	(30		)	(1,181		)	(94		)	(240		)	(584		)	N/A			(2,415		)
Recoveries	397			3			18			21			81			95			N/A			615
Provision (recovery of provision)	1,165			990			1,518			52			124			1,361			(1		)	5,209
Provision for acquired credit impaired loans	—			—			—			2			—			—			—			2
Ending balance	$	8,313		$	8,468		$	1,129		$	974		$	329		$	1,660		$	37		$	20,910

N/A – Not applicable

Summary of Average Recorded Investment in Impaired Loans and Leases and Analysis of Interest on Impaired Loans

The following presents by class of loans, the average recorded investment in impaired loans and an analysis of interest on impaired loans. A loan may remain on accrual status if it is in the process of collection and is either guaranteed or well secured. Therefore, interest income on accruing impaired loans is recognized using the accrual method. 

	Three Months Ended June 30, 2018						Three Months Ended June 30, 2017
(Dollars in thousands)	Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms		Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms
Commercial, financial and agricultural	$	6,394	$	32	$	134	$	11,470	$	64	$	86
Real estate—commercial real estate	22,914		18		265		20,777		184		81
Real estate—construction	56		—		3		274		—		10
Real estate—residential secured for business purpose	1,966		5		23		4,184		21		61
Real estate—residential secured for personal purpose	889		2		33		699		1		15
Real estate—home equity secured for personal purpose	1,033		—		31		354		—		5
Total	$	33,252	$	57	$	489	$	37,758	$	270	$	258

* Includes interest income recognized on a cash basis for nonaccrual loans of $2 thousandand$3 thousand for the three months ended June 30, 2018 and 2017, respectively, and interest income recognized on the accrual method for accruing impaired loans of $55 thousand and $267 thousand for the three months ended June 30, 2018 and 2017, respectively.

	Six Months Ended June 30, 2018						Six Months Ended June 30, 2017
(Dollars in thousands)	Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms		Average Recorded Investment		Interest Income Recognized*		Additional Interest Income That Would Have Been Recognized Under Original Terms
Commercial, financial and agricultural	$	7,090	$	72	$	211	$	11,506	$	110	$	171
Real estate—commercial real estate	20,105		190		552		22,464		417		154
Real estate—construction	137		—		5		156		—		10
Real estate—residential secured for business purpose	2,107		10		47		4,302		37		105
Real estate—residential secured for personal purpose	720		3		44		636		1		23
Real estate—home equity secured for personal purpose	819		—		39		431		—		10
Total	$	30,978	$	275	$	898	$	39,495	$	565	$	473

Schedule of Troubled Debt Restructured Loans

The following presents, by class of loans, information regarding consumer mortgages collateralized by residential real estate property that are in the process of foreclosure at June 30, 2018 and December 31, 2017:

(Dollars in thousands)	At June 30, 2018		At December 31, 2017
Real estate-residential secured for personal purpose	$	—	$	31
Real estate-home equity secured for personal purpose	812		—
Total	$	812	$	31

	Three Months Ended June 30, 2018							Three Months Ended June 30, 2017
(Dollars in thousands)	Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Reserve		Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Reserve
Accruing Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Total	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Nonaccrual Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	1	$	328	$	328	$	—
Real estate—residential secured for personal purpose	1	66		66		—		—	—		—		—
Total	1	$	66	$	66	$	—	1	$	328	$	328	$	—

	Six Months Ended June 30, 2018							Six Months Ended June 30, 2017
(Dollars in thousands)	Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Allowance		Number of Loans	Pre- Restructuring Outstanding Recorded Investment		Post- Restructuring Outstanding Recorded Investment		Related Allowance
Accruing Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Total	—	$	—	$	—	$	—	3	$	9,206	$	9,206	$	—
Nonaccrual Troubled Debt Restructured Loans:
Real estate—commercial real estate	—	$	—	$	—	$	—	1	$	328	$	328	$	—
Real estate—residential secured for personal purpose	1	66		66		—		—	—		—		—
Total	1	$	66	$	66	$	—	1	$	328	$	328	$	—

The following presents foreclosed residential real estate property included in other real estate owned at June 30, 2018 and December 31, 2017.

(Dollars in thousands)	At June 30, 2018		At December 31, 2017
Foreclosed residential real estate	$	440	$	80

Schedule of Accruing and Nonaccruing Troubled Debt Restructured Loans

The following presents, by class of loans, information regarding accruing and nonaccrual troubled debt restructured loans, for which there were payment defaults within twelve months of the restructuring date:

	Three Months Ended June 30,						Six Months Ended June 30,
	2018			2017			2018			2017
(Dollars in thousands)	Number of Loans	Recorded Investment		Number of Loans	Recorded Investment		Number of Loans	Recorded Investment		Number of Loans	Recorded Investment
Accruing Troubled Debt Restructured Loans:
Commercial, financial and agricultural	—	$	—	—	$	—	1	$	953	—	$	—
Total	—	$	—	—	$	—	1	$	953	—	$	—
Nonaccrual Troubled Debt Restructured Loans:
Total	—	$	—	—	$	—	—	$	—	—	$	—

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Goodwill and Other Intangible Assets (Tables)

6 Months Ended

Jun. 30, 2018

Goodwill and Intangible Assets Disclosure [Abstract]

Summary of Changes in Carrying Amount of Goodwill

Changes in the carrying amount of the Corporation's goodwill by business segment for the six months ended June 30, 2018 were as follows:

(Dollars in thousands)	Banking		Wealth Management		Insurance		Consolidated
Balance at December 31, 2017	$	138,476	$	15,434	$	18,649	$	172,559
Addition to goodwill from acquisitions	—		—		—		—
Balance at June 30, 2018	$	138,476	$	15,434	$	18,649	$	172,559

Components of Intangible Assets

The following table reflects the components of intangible assets at the dates indicated:

	At June 30, 2018						At December 31, 2017
(Dollars in thousands)	Gross Carrying Amount		Accumulated Amortization and Fair Value Adjustments		Net Carrying Amount		Gross Carrying Amount		Accumulated Amortization and Fair Value Adjustments		Net Carrying Amount
Amortized intangible assets:
Covenants not to compete	$	710	$	710	$	—	$	710	$	580	$	130
Core deposit intangibles	6,788		2,663		4,125		6,788		2,135		4,653
Customer related intangibles	12,381		10,347		2,034		12,381		9,828		2,553
Servicing rights	16,543		9,893		6,650		15,855		9,282		6,573
Total amortized intangible assets	$	36,422	$	23,613	$	12,809	$	35,734	$	21,825	$	13,909

Estimated Aggregate Amortization Expense

The estimated aggregate amortization expense for core deposit and customer related intangibles for the remainder of 2018 and the succeeding fiscal years is as follows:

Year	(Dollars in thousands)	Amount
Remainder of 2018		$	937
2019		1,565
2020		1,200
2021		923
2022		666
Thereafter		868

The estimated amortization expense of servicing rights for the remainder of 2018 and the succeeding fiscal years is as follows:

Year	(Dollars in thousands)	Amount
Remainder of 2018		$	863
2019		769
2020		680
2021		601
2022		530
Thereafter		3,207

Changes in Mortgage Servicing Rights

Changes in the servicing rights balance are summarized as follows:

	Three Months Ended June 30,						Six Months Ended June 30,
(Dollars in thousands)	2018			2017			2018			2017
Beginning of period	$	6,605		$	6,502		$	6,573		$	6,485
Servicing rights capitalized	350			387			687			730
Amortization of servicing rights	(305		)	(341		)	(610		)	(667		)
End of period	$	6,650		$	6,548		$	6,650		$	6,548
Residential mortgage and SBA loans serviced for others	$	1,019,233		$	984,846		$	1,019,233		$	984,846

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Deposits (Tables)

6 Months Ended

Jun. 30, 2018

Banking and Thrift [Abstract]

Schedule Of Maturities Of Time Deposits [Table Text Block]

Deposits and their respective weighted average interest rate at June 30, 2018 and December 31, 2017 consist of the following:

	At June 30, 2018				At December 31, 2017
	Weighted Average Interest Rate		Amount		Weighted Average Interest Rate		Amount
	(Dollars in thousands)
Noninterest-bearing deposits	—	%	$	1,055,479	—	%	$	1,040,026
Demand deposits	0.57		1,163,451		0.43		1,109,438
Savings deposits	0.34		807,461		0.26		830,706
Time deposits	1.46		594,395		1.12		574,749
Total	0.50	%	$	3,620,786	0.38	%	$	3,554,919

Schedule of Components of Weighted Average Interest Rate and Balance of Deposits [Table Text Block]

At June 30, 2018, the scheduled maturities of time deposits are as follows:

Year	(Dollars in thousands)	Amount
Remainder of 2018		$	154,611
2019		233,501
2020		99,450
2021		26,170
2022		32,233
Thereafter		48,430
Total		$	594,395

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Borrowings (Tables)

6 Months Ended

Jun. 30, 2018

Debt Disclosure [Abstract]

Summary of Borrowings by Type

The following is a summary of borrowings by type. Short-term borrowings consist of overnight borrowings and term borrowings with an original maturity of one year or less. The long-term debt balances and weighted average interest rates include purchase accounting fair value adjustments, net of related amortization, from the Fox Chase acquisition.

	At June 30, 2018				At December 31, 2017
(Dollars in thousands)	Balance at End of Period		Weighted Average Interest Rate at End of Period		Balance at End of Period		Weighted Average Interest Rate at End of Period
Short-term borrowings:
FHLB borrowings	$	138,530	2.10	%	$	30,225	1.54	%
Federal funds purchased	65,000		2.03		55,000		1.56
Customer repurchase agreements	28,323		0.05		20,206		0.05
Long-term debt:
FHLB advances	$	125,005	1.73	%	$	125,036	1.73	%
Security repurchase agreements	30,551		2.04		30,792		1.52
Subordinated notes	$	94,453	5.34	%	$	94,331	5.35	%

Schedule of Maturities of Long-term FHLB Advances

Long-term advances with the FHLB of Pittsburgh mature as follows:

(Dollars in thousands)	As of June 30, 2018		Weighted Average Rate
Remainder of 2018	$	10,005	0.70	%
2019	10,000		1.35
2020	40,000		1.70
2021	55,000		1.94
2022	10,000		2.09
Thereafter	—		—
Total	$	125,005	1.73	%

Schedule of Maturities of Other Long-term Borrowings

Long-term debt under security repurchase agreements with large commercial banks mature as follows:

(Dollars in thousands)	As of June 30, 2018		Weighted Average Rate
Remainder of 2018	$	10,085	1.46	%
2019	10,190		2.33
2020	10,276		2.33
2021	—		—
2022	—		—
Thereafter	—		—
Total	$	30,551	2.04	%

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Retirement Plans and Other Postretirement Benefits (Tables)

6 Months Ended

Jun. 30, 2018

Retirement Benefits [Abstract]

Components of Net Periodic Benefit Cost (Income)

Components of net periodic benefit cost (income) were as follows:

	Three Months Ended June 30,
	2018			2017			2018		2017
(Dollars in thousands)	Retirement Plans						Other Post Retirement Benefits
Service cost	$	140		$	124		$	22	$	12
Interest cost	439			487			23		30
Expected return on plan assets	(795		)	(748		)	—		—
Amortization of net actuarial loss	281			289			1		10
Accretion of prior service cost	(71		)	(71		)	—		—
Net periodic benefit (income) cost	$	(6	)	$	81		$	46	$	52

	Six Months Ended June 30,
	2018			2017			2018		2017
(Dollars in thousands)	Retirement Plans						Other Post Retirement Benefits
Service cost	$	280		$	275		$	44	$	24
Interest cost	880			952			46		59
Expected return on plan assets	(1,591		)	(1,501		)	—		—
Amortization of net actuarial loss	561			577			2		21
Accretion of prior service cost	(142		)	(141		)	—		—
Net periodic benefit (income) cost	$	(12	)	$	162		$	92	$	104

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Stock-Based Incentive Plan (Tables)

6 Months Ended

Jun. 30, 2018

Disclosure of Compensation Related Costs, Share-based Payments [Abstract]

Status of Options Granted Under Long-Term Incentive Plan

The following is a summary of the Corporation's stock option activity and related information for the six months ended June 30, 2018:

(Dollars in thousands, except per share data)	Shares Under Option		Weighted Average Exercise Price Per Share		Weighted Average Remaining Contractual Life (Years)	Aggregate Intrinsic Value at June 30, 2018
Outstanding at December 31, 2017	512,735		$	21.90
Granted	193,778		28.50
Expired	—		—
Forfeited	(12,537	)	25.48
Exercised	(36,990	)	19.21
Outstanding at June 30, 2018	656,986		23.93		7.7	$	2,648
Exercisable at June 30, 2018	279,627		20.26		6.0	2,063

Summary of Nonvested Stock Options

The following is a summary of nonvested stock options at June 30, 2018 including changes during the six months then ended:

(Dollars in thousands, except per share data)	Nonvested Stock Options		Weighted Average Grant Date Fair Value
Nonvested stock options at December 31, 2017	352,142		$	6.47
Granted	193,778		6.46
Vested	(156,024	)	6.45
Forfeited	(12,537	)	6.48
Nonvested stock options at June 30, 2018	377,359		6.48

Aggregated Assumptions Used to Estimate Fair Value of Options Granted

The following aggregated assumptions were used to estimate the fair value of options granted during the six months ended June 30, 2018 and 2017:

	Six months ended June 30,
	2018		2017
	Actual
Expected option life in years	6.6		6.9
Risk free interest rate	2.80	%	2.30	%
Expected dividend yield	2.81	%	2.84	%
Expected volatility	27.15	%	29.75	%
Fair value of options	$6.46		$6.72

Summary of Nonvested Restricted Stock Awards

The following is a summary of nonvested restricted stock awards at June 30, 2018 including changes during the six months then ended:

(Dollars in thousands, except per share data)	Nonvested Share Awards		Weighted Average Grant Date Fair Value
Nonvested share awards at December 31, 2017	229,026		$	21.93
Granted	59,953		28.39
Vested	(43,200	)	18.59
Forfeited	(22,938	)	20.80
Nonvested share awards at June 30, 2018	222,841		24.44

Certain Information Regarding Restricted Stock

The fair value of restricted stock is equivalent to the fair value on the date of grant and is amortized over the vesting period. Certain information regarding restricted stock is summarized below for the periods indicated:

	Six months ended June 30,
(Dollars in thousands, except per share data)	2018		2017
Shares granted	59,953		61,823
Weighted average grant date fair value	$	28.39	$	28.08
Intrinsic value of awards vested	$	1,193	$	1,367

Schedule of Unrecognized Compensation Cost, Nonvested Awards

The total unrecognized compensation expense and the weighted average period over which unrecognized compensation expense is expected to be recognized related to nonvested stock options and nonvested restricted stock awards at June 30, 2018 is presented below:

(Dollars in thousands)	Unrecognized Compensation Cost		Weighted-Average Period Remaining (Years)
Stock options	$	1,935	2.1
Restricted stock awards	2,566		2.0
	$	4,501	2.0

Compensation Expense Related to Stock Incentive Plans Recognized

The following table presents information related to the Corporation’s compensation expense related to stock incentive plans recognized for the periods indicated:

	Six months ended June 30,
(Dollars in thousands)	2018		2017
Stock-based compensation expense:
Stock options	$	515	$	454
Restricted stock awards	1,204		1,254
Employee stock purchase plan	34		32
Total	$	1,753	$	1,740
Tax benefit on nonqualified stock option expense, restricted stock awards and disqualifying dispositions of incentive stock options	$	413	$	828

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Accumulated Other Comprehensive (Loss) Income (Tables)

6 Months Ended

Jun. 30, 2018

Equity [Abstract]

Components of Accumulated Other Comprehensive (Loss) Income, Net of Taxes

The following table shows the components of accumulated other comprehensive (loss) income, net of taxes, for the periods presented:

(Dollars in thousands)	Net Unrealized (Losses) Gains on Available-for-Sale Investment Securities			Net Change Related to Derivatives Used for Cash Flow Hedges			Net Change Related to Defined Benefit Pension Plans			Accumulated Other Comprehensive (Loss) Income
Balance, December 31, 2017	$	(4,061	)	$	9		$	(13,719	)	$	(17,771	)
Adjustment to initially apply ASU No. 2016-01 for equity securities measured at fair value (1)	(433		)	—			—			(433		)
Adjustment to initially apply ASU No. 2018-02 for reclassification of stranded net tax charges (1)	(968		)	2			(2,955		)	(3,921		)
Other comprehensive (loss) income	(6,525		)	310			333			(5,882		)
Balance, June 30, 2018	$	(11,987	)	$	321		$	(16,341	)	$	(28,007	)
Balance, December 31, 2016	$	(4,988	)	$	(141	)	$	(14,325	)	$	(19,454	)
Net Change	1,961			14			297			2,272
Balance, June 30, 2017	$	(3,027	)	$	(127	)	$	(14,028	)	$	(17,182	)

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Derivative Instruments and Hedging Activities (Tables)

6 Months Ended

Jun. 30, 2018

Derivative Instruments and Hedging Activities Disclosure [Abstract]

Notional Amounts and Fair Value of Derivatives Designated as Hedging Instruments

The following table presents the notional amounts and fair values of derivatives designated as hedging instruments recorded on the consolidated balance sheets at June 30, 2018 and December 31, 2017. The Corporation pledges cash or securities to cover the negative fair value of derivative instruments. Cash collateral associated with derivative instruments are not added to or netted against the fair value amounts.

			Derivative Assets			Derivative Liabilities
(Dollars in thousands)	Notional Amount		Balance Sheet Classification	Fair Value		Balance Sheet Classification	Fair Value
At June 30, 2018
Interest rate swap - cash flow hedge	$	17,460	Other assets	$	407		$	—
Interest rate swap - fair value hedge	1,367		Other assets	15			—
Total	$	18,827		$	422		$	—
At December 31, 2017
Interest rate swap - cash flow hedge	$	17,836	Other assets	$	13		$	—
Interest rate swap - fair value hedge	1,388			—		Other liabilities	12
Total	$	19,224		$	13		$	12

Notional Amounts and Fair Values of Derivatives Not Designated as Hedging Instruments

The following table presents the notional amounts and fair values of derivatives not designated as hedging instruments recorded on the consolidated balance sheets at June 30, 2018 and December 31, 2017:

			Derivative Assets			Derivative Liabilities
(Dollars in thousands)	Notional Amount		Balance Sheet Classification	Fair Value		Balance Sheet Classification	Fair Value
At June 30, 2018
Interest rate swap	$	471		$	—	Other liabilities	$	25
Credit derivatives	75,734			—		Other liabilities	37
Interest rate locks with customers	29,737		Other assets	632			—
Forward loan sale commitments	31,469			—		Other liabilities	91
Total	$	137,411		$	632		$	153
At December 31, 2017
Interest rate swap	$	523		$	—	Other liabilities	$	38
Credit derivatives	75,622			—		Other liabilities	36
Interest rate locks with customers	27,411		Other assets	527			—
Forward loan sale commitments	29,037		Other assets	61			—
Total	$	132,593		$	588		$	74

Income for Derivatives Designated as Hedging Instruments

The following table presents amounts included in the consolidated statements of income for derivatives designated as hedging instruments for the periods indicated:

	Statement of Income Classification	Three Months Ended   June 30,						Six Months Ended   June 30,
(Dollars in thousands)		2018			2017			2018			2017
Interest rate swap—cash flow hedge—net interest payments	Interest expense	$	6		$	36		$	26		$	107
Interest rate swap—fair value hedge—ineffectiveness	Other noninterest income	2			2			2			5
Net loss		$	(4	)	$	(34	)	$	(24	)	$	(102	)

Income for Derivatives Not Designated as Hedging Instruments

	Statement of Income Classification	Three Months Ended   June 30,					Six Months Ended   June 30,
(Dollars in thousands)		2018			2017		2018			2017
Credit derivatives	Other noninterest income	$	34		$	53	$	38		$	124
Interest rate locks with customers	Net gain on mortgage banking activities	237			155		105			562
Forward loan sale commitments	Net loss on mortgage banking activities	(104		)	162		(153		)	(92		)
Total		$	167		$	370	$	(10	)	$	594

Schedule of Cash Flow Hedges Included in Accumulated Other Comprehensive Income (Loss)

The following table presents amounts included in accumulated other comprehensive (loss) income for derivatives designated as hedging instruments at June 30, 2018 and December 31, 2017:

(Dollars in thousands)	Accumulated Other Comprehensive (Loss) Income	At June 30, 2018		At December 31, 2017
Interest rate swap—cash flow hedge	Fair value, net of taxes	$	321	$	9
Total		$	321	$	9

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Fair Value Disclosures (Tables)

6 Months Ended

Jun. 30, 2018

Fair Value Disclosures [Abstract]

Assets and Liabilities Measured at Fair Value on Recurring Basis

The following table presents the assets and liabilities measured at fair value on a recurring basis at June 30, 2018 and December 31, 2017, classified using the fair value hierarchy:

	At June 30, 2018
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets/ Liabilities at Fair Value
Assets:
Available-for-sale securities:
U.S. government corporations and agencies	$	—	$	15,339	$	—	$	15,339
State and political subdivisions	—		69,910		—		69,910
Residential mortgage-backed securities	—		165,609		—		165,609
Collateralized mortgage obligations	—		3,171		—		3,171
Corporate bonds	—		67,389		26,386		93,775
Total available-for-sale securities	—		321,418		26,386		347,804
Equity securities:
Equity securities - financial services industry	1,109		—		—		1,109
Money market mutual funds	1,563		—		—		1,563
Total equity securities	2,672		—		—		2,672
Loans*	—		—		1,847		1,847
Interest rate swaps*	—		422		—		422
Interest rate locks with customers*	—		632		—		632
Total assets	$	2,672	$	322,472	$	28,233	$	353,377
Liabilities:
Contingent consideration liability	$	—	$	—	$	300	$	300
Interest rate swaps*	—		25		—		25
Credit derivatives*	—		—		37		37
Forward loan sale commitments*	—		91		—		91
Total liabilities	$	—	$	116	$	337	$	453

	At December 31, 2017
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets/ Liabilities at Fair Value
Assets:
Available-for-sale securities:
U.S. government corporations and agencies	$	—	$	16,961	$	—	$	16,961
State and political subdivisions	—		78,297		—		78,297
Residential mortgage-backed securities	—		185,421		—		185,421
Collateralized mortgage obligations	—		3,602		—		3,602
Corporate bonds	—		79,190		27,986		107,176
Total available-for-sale securities	—		363,471		27,986		391,457
Equity securities:
Equity securities - financial services industry	1,076		—		—		1,076
Money market mutual funds	5,985		—		—		5,985
Total equity securities	7,061		—		—		7,061
Loans*	—		—		1,958		1,958
Interest rate swap*	—		13		—		13
Interest rate locks with customers*	—		527		—		527
Forward loan sale commitments*	—		61		—		61
Total assets	$	7,061	$	364,072	$	29,944	$	401,077
Liabilities:
Contingent consideration liability	$	—	$	—	$	339	$	339
Interest rate swaps*	—		50		—		50
Credit derivatives*	—		—		36		36
Total liabilities	$	—	$	50	$	375	$	425

* Such financial instruments are recorded at fair value as further described in Note 11, "Derivative Instruments and Hedging Activities.

Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation

The following table includes a rollforward of corporate bonds, loans and credit derivatives for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the six months ended June 30, 2018 and 2017:

	Six Months Ended June 30, 2018
(Dollars in thousands)	Balance at December 31, 2017			Purchases/additions			Sales		Payments received			Premium amortization, net		(Decrease) increase in value			Balance at June 30, 2018
Corporate bonds	$	27,986		$	—		$	—				$	—	$	(1,600	)	$	26,386
Loans	1,958			—			—		(73		)	—		(38		)	1,847
Credit derivatives	(36		)	(40		)	—		—			—		39			(37		)
Net total	$	29,908		$	(40	)	$	—	$	(73	)	$	—	$	(1,599	)	$	28,196

Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation

The following table includes a rollforward of corporate bonds, loans and credit derivatives for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the six months ended June 30, 2018 and 2017:

	Six Months Ended June 30, 2018
(Dollars in thousands)	Balance at December 31, 2017			Purchases/additions			Sales		Payments received			Premium amortization, net		(Decrease) increase in value			Balance at June 30, 2018
Corporate bonds	$	27,986		$	—		$	—				$	—	$	(1,600	)	$	26,386
Loans	1,958			—			—		(73		)	—		(38		)	1,847
Credit derivatives	(36		)	(40		)	—		—			—		39			(37		)
Net total	$	29,908		$	(40	)	$	—	$	(73	)	$	—	$	(1,599	)	$	28,196

Contingent Consideration Liability Change in Amount

he following table presents the change in the balance of the contingent consideration liability related to acquisitions for which the Corporation utilized Level 3 inputs to determine fair value on a recurring basis for the six months ended June 30, 2018 and 2017:

	Six Months Ended June 30, 2018
(Dollars in thousands)	Balance at December 31, 2017		Contingent Consideration from New Acquisition		Payment of Contingent Consideration		Adjustment of Contingent Consideration		Balance at June 30, 2018
Girard Partners	$	339	$	—	$	67	$	28	$	300
Total contingent consideration liability	$	339	$	—	$	67	$	28	$	300

	Six Months Ended June 30, 2017
(Dollars in thousands)	Balance at December 31, 2016		Contingent Consideration from New Acquisition		Payment of Contingent Consideration		Adjustment of Contingent Consideration			Balance at June 30, 2017
Sterner Insurance Associates	$	331	$	—	$	—	$	(303	)	$	28
Girard Partners	5,668		$	—	5,317		28			379
Total contingent consideration liability	$	5,999	$	—	$	5,317	$	(275	)	$	407

Assets Measured at Fair Value on Non-Recurring Basis

The following table represents assets measured at fair value on a non-recurring basis at June 30, 2018 and December 31, 2017:

	At June 30, 2018
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets at Fair Value
Impaired loans held for investment	$	—	$	—	$	31,156	$	31,156
Impaired leases held for investment	—		—		1,250		1,250
Other real estate owned	—		—		1,742		1,742
Total	$	—	$	—	$	34,148	$	34,148

	At December 31, 2017
(Dollars in thousands)	Level 1		Level 2		Level 3		Assets at Fair Value
Impaired loans held for investment	$	—	$	—	$	28,351	$	28,351
Impaired leases held for investment	—		—		1,250		1,250
Other real estate owned	—		—		1,843		1,843
Total	$	—	$	—	$	31,444	$	31,444

Assets, Liabilities and Off-Balance Sheet Items Not Measured at Fair Value

The following table presents assets and liabilities and off-balance sheet items not measured at fair value on a recurring or non-recurring basis in the Corporation’s consolidated balance sheets but for which the fair value is required to be disclosed at June 30, 2018 and December 31, 2017. The disclosed fair values are classified using the fair value hierarchy.

	At June 30, 2018
(Dollars in thousands)	Level 1		Level 2			Level 3		Fair Value			Carrying Amount
Assets:
Cash and short-term interest-earning assets	$	72,943	$	—		$	—	$	72,943		$	72,943
Held-to-maturity securities	—		94,642			—		94,642			96,457
Federal Home Loan Bank, Federal Reserve Bank and other stock	NA		NA			NA		NA			32,768
Loans held for sale	—		1,815			—		1,815			1,778
Net loans and leases held for investment	—		—			3,742,808		3,742,808			3,758,493
Servicing rights	—		—			11,619		11,619			6,650
Total assets	$	72,943	$	96,457		$	3,754,427	$	3,923,827		$	3,969,089
Liabilities:
Deposits:
Demand and savings deposits, non-maturity	$	3,026,391	$	—		$	—	$	3,026,391		$	3,026,391
Time deposits	—		597,146			—		597,146			594,395
Total deposits	3,026,391		597,146			—		3,623,537			3,620,786
Short-term borrowings	—		231,853			—		231,853			231,853
Long-term debt	—		156,868			—		156,868			155,556
Subordinated notes	—		96,538			—		96,538			94,453
Total liabilities	$	3,026,391	$	1,082,405		$	—	$	4,108,796		$	4,102,648
Off-Balance-Sheet:
Commitments to extend credit	$	—	$	(2,469	)	$	—	$	(2,469	)	$	—

	At December 31, 2017
(Dollars in thousands)	Level 1		Level 2			Level 3		Fair Value			Carrying Amount
Assets:
Cash and short-term interest-earning assets	$	75,409	$	—		$	—	$	75,409		$	75,409
Held-to-maturity securities	—		55,320			—		55,320			55,564
Federal Home Loan Bank, Federal Reserve Bank and other stock	NA		NA			NA		NA			27,204
Loans held for sale	—		1,676			—		1,676			1,642
Net loans and leases held for investment	—		—			3,547,451		3,547,451			3,566,953
Servicing rights	—		—			10,046		10,046			6,573
Total assets	$	75,409	$	56,996		$	3,557,497	$	3,689,902		$	3,733,345
Liabilities:
Deposits:
Demand and savings deposits, non-maturity	$	2,980,170	$	—		$	—	$	2,980,170		$	2,980,170
Time deposits	—		574,737			—		574,737			574,749
Total deposits	2,980,170		574,737			—		3,554,907			3,554,919
Short-term borrowings	—		105,431			—		105,431			105,431
Long-term debt	—		156,834			—		156,834			155,828
Subordinated notes	—		98,075			—		98,075			94,331
Total liabilities	$	2,980,170	$	935,077		$	—	$	3,915,247		$	3,910,509
Off-Balance-Sheet:
Commitments to extend credit	$	—	$	(2,414	)	$	—	$	(2,414	)	$	—

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Segment Reporting (Tables)

6 Months Ended

Jun. 30, 2018

Segment Reporting [Abstract]

Schedule of Segment Reporting

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

(Dollars in thousands)	At June 30, 2018		At December 31, 2017		At June 30, 2017
Banking	$	4,656,201	$	4,466,301	$	4,366,362
Wealth Management	37,227		34,600		32,806
Insurance	29,295		27,846		25,241
Other	26,458		26,115		29,118
Consolidated assets	$	4,749,181	$	4,554,862	$	4,453,527

The following tables provide reportable segment-specific information and reconciliations to consolidated financial information for the three and six months ended June 30, 2018 and 2017.

	Three Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	46,444		$	8	$	—	$	8		$	46,460
Interest expense	6,209			—		—		1,261			7,470
Net interest income	40,235			8		—		(1,253		)	38,990
Provision for loan and lease losses	15,409			—		—		—			15,409
Noninterest income	5,461			5,862		3,904		87			15,314
Intangible expenses	329			137		128		—			594
Other noninterest expense	26,723			3,628		3,093		309			33,753
Intersegment (revenue) expense*	(295		)	156		139		—			—
Income (expense) before income taxes	3,530			1,949		544		(1,475		)	4,548
Income tax (benefit) expense	(162		)	597		163		(407		)	191
Net income (loss)	$	3,692		$	1,352	$	381	$	(1,068	)	$	4,357
Capital expenditures	$	820		$	40	$	2	$	10		$	872

	Three Months Ended
	June 30, 2017
(Dollars in thousands)	Banking			Wealth Management		Insurance			Other			Consolidated
Interest income	$	40,022		$	1	$	—		$	7		$	40,030
Interest expense	3,469			—		—			1,261			4,730
Net interest income	36,553			1		—			(1,254		)	35,300
Provision for loan and lease losses	2,766			—		—			—			2,766
Noninterest income	6,790			5,399		3,746			74			16,009
Intangible expenses	398			168		(120		)	—			446
Other noninterest expense	24,160			3,512		2,846			1,584			32,102
Intersegment (revenue) expense*	(264		)	146		118			—			—
Income (expense) before income taxes	16,283			1,574		902			(2,764		)	15,995
Income tax expense (benefit)	4,193			639		379			(994		)	4,217
Net income (loss)	$	12,090		$	935	$	523		$	(1,770	)	$	11,778
Capital expenditures	$	2,019		$	11	$	192		$	34		$	2,256

	Six Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	89,966		$	13	$	—	$	15		$	89,994
Interest expense	11,210			—		—		2,522			13,732
Net interest income	78,756			13		—		(2,507		)	76,262
Provision for loan and lease losses	17,462			—		—		—			17,462
Noninterest income	10,250			11,602		8,990		54			30,896
Intangible expenses	658			279		269		—			1,206
Restructuring charges	571			—		—		—			571
Other noninterest expense	54,384			7,286		6,338		(313		)	67,695
Intersegment (revenue) expense*	(586		)	309		277		—			—
Income (expense) before income taxes	16,517			3,741		2,106		(2,140		)	20,224
Income tax expense (benefit)	1,836			1,142		619		(580		)	3,017
Net income (loss)	$	14,681		$	2,599	$	1,487	$	(1,560	)	$	17,207
Capital expenditures	$	1,790		$	89	$	9	$	65		$	1,953

	Six Months Ended
	June 30, 2017
(Dollars in thousands)	Banking			Wealth Management		Insurance		Other			Consolidated
Interest income	$	78,414		$	2	$	—	$	10		$	78,426
Interest expense	6,321			—		—		2,522			8,843
Net interest income	72,093			2		—		(2,512		)	69,583
Provision for loan and lease losses	5,211			—		—		—			5,211
Noninterest income	11,952			10,537		8,293		197			30,979
Intangible expenses	794			338		73		—			1,205
Other noninterest expense	49,216			6,932		5,915		1,310			63,373
Intersegment (revenue) expense*	(528		)	292		236		—			—
Income (expense) before income taxes	29,352			2,977		2,069		(3,625		)	30,773
Income tax expense (benefit)	7,721			1,164		871		(1,617		)	8,139
Net income (loss)	$	21,631		$	1,813	$	1,198	$	(2,008	)	$	22,634
Capital expenditures	$	6,339		$	22	$	199	$	84		$	6,644

*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.

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Revenue From Contracts with Customers Revenue From Contracts with Customers (Tables)

6 Months Ended

Jun. 30, 2018

Revenue from Contract with Customer [Abstract]

Reconciliation of Revenue from Segments to Consolidated

The following tables disaggregate the Corporation's revenue by major source for the three and six months ended June 30, 2018 and 2017.

	Three Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management			Insurance		Other			Consolidated
Net interest income (1)	$	40,235		$	8		$	—	$	(1,253	)	$	38,990
Noninterest income:
Trust fee income	—			2,044			—		—			2,044
Service charges on deposit accounts	1,335			—			—		—			1,335
Investment advisory commission and fee income	—			3,778			—		—			3,778
Insurance commission and fee income	—			—			3,712		—			3,712
Other service fee income (2)	2,198			41			192		—			2,431
Bank owned life insurance income (1)	1,161			—			—		49			1,210
Net gain on mortgage banking activities (1)	942			—			—		—			942
Other (loss) income (2)	(175		)	(1		)	—		38			(138		)
Total noninterest income	$	5,461		$	5,862		$	3,904	$	87		$	15,314

	Three Months Ended
	June 30, 2017
(Dollars in thousands)	Banking		Wealth Management		Insurance		Other			Consolidated
Net interest income (1)	$	36,553	$	1	$	—	$	(1,254	)	$	35,300
Noninterest income:
Trust fee income	—		2,016		—		—			2,016
Service charges on deposit accounts	1,313		—		—		—			1,313
Investment advisory commission and fee income	—		3,333		—		—			3,333
Insurance commission and fee income	—		—		3,628		—			3,628
Other service fee income (2)	2,077		50		118		—			2,245
Bank owned life insurance income (1)	1,549		—		—		73			1,622
Net gain on sales of investment securities (1)	20		—		—		1			21
Net gain on mortgage banking activities (1)	1,537		—		—		—			1,537
Other income (2)	294		—		—		—			294
Total noninterest income	$	6,790	$	5,399	$	3,746	$	74		$	16,009

	Six Months Ended
	June 30, 2018
(Dollars in thousands)	Banking			Wealth Management		Insurance			Other			Consolidated
Net interest income (1)	$	78,756		$	13	$	—		$	(2,507	)	$	76,262
Noninterest income:
Trust fee income	—			4,040		—			—			4,040
Service charges on deposit accounts	2,662			—		—			—			2,662
Investment advisory commission and fee income	—			7,461		—			—			7,461
Insurance commission and fee income	—			—		8,600			—			8,600
Other service fee income (2)	4,107			101		392			—			4,600
Bank owned life insurance income (1)	1,859			—		—			20			1,879
Net gain on sales of investment securities (1)	10			—		—			—			10
Net gain on mortgage banking activities (1)	1,658			—		—			—			1,658
Other (loss) income (2)	(46		)	—		(2		)	34			(14		)
Total noninterest income	$	10,250		$	11,602	$	8,990		$	54		$	30,896

	Six Months Ended
	June 30, 2017
(Dollars in thousands)	Banking		Wealth Management		Insurance		Other			Consolidated
Net interest income (1)	$	72,093	$	2	$	—	$	(2,512	)	$	69,583
Noninterest income:
Trust fee income	—		3,923		—		—			3,923
Service charges on deposit accounts	2,556		—		—		—			2,556
Investment advisory commission and fee income	—		6,514		—		—			6,514
Insurance commission and fee income	—		—		8,038		—			8,038
Other service fee income (2)	3,878		100		254		—			4,232
Bank owned life insurance income (1)	2,211		—		—		194			2,405
Net gain on sales of investment securities (1)	33		—		—		3			36
Net gain on mortgage banking activities (1)	2,650		—		—		—			2,650
Other income (2)	624		—		1		—			625
Total noninterest income	$	11,952	$	10,537	$	8,293	$	197		$	30,979

(1) Net interest income as well as many other revenues for financial assets and liabilities including loans, leases, securities, and derivatives are excluded from the scope of the standard. Noninterest income streams that are out-of-scope of the standard include bank owned life insurance income, sales of investment securities and mortgage banking activities.

(2) Other service fee income and other income include certain items that are in scope and certain items that are out of scope of the standard and are described further in the following paragraphs.

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Restructuring Charges Restructuring Charges (Tables)

6 Months Ended

Jun. 30, 2018

Restructuring and Related Activities [Abstract]

Roll-Forward of Accrued Restructuring Expense

A roll-forward of the remaining accrued restructuring expense for the six months ended June 30, 2018 is as follows:

(Dollars in thousands)	Severance expenses			Write-downs and retirements of fixed assets			Lease cancellations			Total
Accrued at January 1, 2018	$	—		$	—		$	23		$	23
Restructuring charges	366			48			157			571
Payments	(197		)	—			(22		)	(219		)
Non-cash settlement	—			(48		)	—			(48		)
Accrued at June 30, 2018	$	169		$	—		$	158		$	327

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Summary of Significant Accounting Policies - Additional Information (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Summary Of Significant Accounting Policies [Line Items]
Tax Cuts and Jobs Act of 2017, Reclassification from AOCI to Retained Earnings, Tax Effect	$ 3,900
Investments in equity securities		$ 7,061
Equity Securities [Member]
Summary Of Significant Accounting Policies [Line Items]
Investments in equity securities		1,076
Equity Securities Available-for-Sale, Unrealized net gain		666
Available-for-sale Securities, Accumulated Net Gain Net of Income Taxes		433
Money Market Mutual Funds [Member]
Summary Of Significant Accounting Policies [Line Items]
Investments in equity securities		$ 5,985
Other Noninterest Income [Member] | Equity Securities [Member]
Summary Of Significant Accounting Policies [Line Items]
Net realized gain on investment securities	$ 33

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Earnings per Share - Basic and Diluted Earnings Per Share (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Earnings Per Share, Basic and Diluted [Abstract]
Net income	$ 4,357	$ 11,778	$ 17,207	$ 22,634
Net income allocated to unvested restricted stock	(33)	(122)	(132)	(234)
Net income allocated to common shares	$ 4,324	$ 11,656	$ 17,075	$ 22,400
Weighted average shares outstanding	29,404	26,661	29,380	26,647
Average unvested restricted stock	(228)	(281)	(221)	(284)
Denominator for basic earnings per share—weighted-average shares outstanding	29,176	26,380	29,159	26,363
Effect of dilutive securities—employee stock options	95	97	95	100
Denominator for diluted earnings per share—adjusted weighted-average shares outstanding	29,271	26,477	29,254	26,463
Basic earnings per share	$ 0.15	$ 0.44	$ 0.59	$ 0.85
Diluted earnings per share	$ 0.15	$ 0.44	$ 0.58	$ 0.85
Average anti-dilutive options excluded from computation of diluted earnings per share	369	188	294	157

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Investment Securities - Narrative (Detail) $ in Thousands	6 Months Ended
	Jun. 30, 2018 USD ($) Investment	Dec. 31, 2017 USD ($) Investment
Debt Securities, Available-for-sale [Line Items]
Investments in equity securities		$ 7,061
Carrying value of securities pledged to secure public deposits and other contractual obligations	$ 355,000	345,100
Pledging requirements for credit derivatives and SWAP agreements - securities	$ 300	$ 1,800
Number of investments in non-federal issuer representing more than 10% of shareholders' equity | Investment	0	0
Maximum investment in any single non-federal issuer representing shareholders' equity	10.00%	10.00%
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 13,632	$ 6,714
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year	130
Money Market Mutual Funds [Member]
Debt Securities, Available-for-sale [Line Items]
Investments in equity securities		5,985
U.S. Government Corporations and Agencies [Member]
Debt Securities, Available-for-sale [Line Items]
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 105	90
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year	3
Corporate Bonds [Member]
Debt Securities, Available-for-sale [Line Items]
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 7,715	3,459
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year	12
Mortgage-Backed Securities [Domain]
Debt Securities, Available-for-sale [Line Items]
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 5,700
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year	105
State and Political Subdivisions [Member]
Debt Securities, Available-for-sale [Line Items]
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 54	32
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year	9
Collateralized Mortgage Obligations [Member]
Debt Securities, Available-for-sale [Line Items]
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	$ 105	82
Available-for-sale, Securities in Unrealized Loss Positions, Qualitative Disclosure, Number of Positions, Greater than or Equal to One Year	1
Equity Securities [Member]
Debt Securities, Available-for-sale [Line Items]
Investments in equity securities		1,076
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss		$ 0
Unrealized Gain on Securities	$ 33
Other Noninterest Income [Member] | Equity Securities [Member]
Debt Securities, Available-for-sale [Line Items]
Net realized gain on investment securities	$ 33

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Investment Securities - Held-to-Maturity and Available-for-Sale, Scheduled Maturities (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract]
Securities Held-to-Maturity, Amortized Cost	$ 96,457	$ 55,564
Securities Held-to-Maturity, Gross Unrealized Gains	0	44
Securities Held-to-Maturity, Gross Unrealized Losses	(1,815)	(288)
Securities Held-to-Maturity, Fair Value	94,642	55,320
Debt Securities, Available-for-sale [Abstract]
Equity Securities Available-for-Sale, Amortized Cost		6,395
Equity Securities Available-for-Sale, Gross Unrealized Gains		667
Equity Securities Available-for-Sale, Gross Unrealized Loss		(1)
Equity Securities Available-for-Sale, Fair Value		7,061
Securities Available-for-Sale, Amortized Cost	362,977	404,766
Securities Available-for-Sale, Debt Securities, Fair Value	347,804	391,457
Securities Available-for-Sale, Gross Unrealized Gain	524	1,822
Securities Available-for-Sale, Gross Unrealized Loss	(15,697)	(8,070)
Securities Available-for-Sale, Fair Value	347,804	398,518
U.S. Government Corporations and Agencies [Member]
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract]
Securities Held-to-Maturity, Amortized Cost, After 1 year to 5 years	6,996	6,995
Securities Held-to-Maturity, Gross Unrealized Gains, After 1 year to 5 years	0	0
Securities Held-to-Maturity, Gross Unrealized Losses, After 1 year to 5 years	(183)	(77)
Securities Held-to-Maturity, Fair Value, After 1 year to 5 years	6,813	6,918
Securities Held-to-Maturity, Amortized Cost	6,996	6,995
Securities Held-to-Maturity, Gross Unrealized Gains	0	0
Securities Held-to-Maturity, Gross Unrealized Losses	(183)	(77)
Securities Held-to-Maturity, Fair Value	6,813	6,918
Debt Securities, Available-for-sale [Abstract]
Securities Available-for-Sale, Amortized Cost, Within 1 year	5,020	1,499
Securities Available-for-Sale, Gross Unrealized Gains, Within 1 year	0	0
Securities Available-for-Sale, Gross Unrealized Losses, Within 1 year	(31)	(3)
Securities Available-for-Sale, Fair Value, Within 1 year	4,989	1,496
Securities Available-for-Sale, Amortized Cost, After 1 year to 5 years	10,482	15,590
Securities Available-for-Sale, Gross Unrealized Gains, After 1 year to 5 years	0	0
Securities Available-for-Sale, Gross Unrealized Losses, After 1 year to 5 years	(132)	(125)
Securities Available-for-Sale, Fair Value, After 1 year to 5 years	10,350	15,465
Securities Available-for-Sale, Amortized Cost	15,502	17,089
Securities Available-for-Sale, Debt Securities, Gross Unrealized Gain	0	0
Securities Available-for-Sale, Debt Securities, Gross Unrealized Losses	(163)	(128)
Securities Available-for-Sale, Debt Securities, Fair Value	15,339	16,961
State and Political Subdivisions [Member]
Debt Securities, Available-for-sale [Abstract]
Securities Available-for-Sale, Amortized Cost, Within 1 year	5,562	2,721
Securities Available-for-Sale, Gross Unrealized Gains, Within 1 year	0	1
Securities Available-for-Sale, Gross Unrealized Losses, Within 1 year	(5)	(6)
Securities Available-for-Sale, Fair Value, Within 1 year	5,557	2,716
Securities Available-for-Sale, Amortized Cost, After 1 year to 5 years	14,538	16,787
Securities Available-for-Sale, Gross Unrealized Gains, After 1 year to 5 years	29	33
Securities Available-for-Sale, Gross Unrealized Losses, After 1 year to 5 years	(43)	(44)
Securities Available-for-Sale, Fair Value, After 1 year to 5 years	14,524	16,776
Securities Available-for-Sale, Amortized Cost, After 5 years to 10 years	46,800	54,846
Securities Available-for-Sale, Gross Unrealized Gains, After 5 years to 10 years	436	897
Securities Available-for-Sale, Gross Unrealized Losses, After 5 years to 10 years	(438)	(73)
Securities Available-for-Sale, Fair Value, After 5 years to 10 years	46,798	55,670
Securities Available-for-Sale, Amortized Cost, Over 10 years	3,120	3,120
Securities Available-for-Sale, Gross Unrealized Gains, Over 10 years	0	15
Securities Available-for-Sale, Gross Unrealized Losses, Over 10 years	(89)	0
Securities Available-for-Sale, Fair Value, Over 10 years	3,031	3,135
Securities Available-for-Sale, Amortized Cost	70,020	77,474
Securities Available-for-Sale, Debt Securities, Gross Unrealized Gain	465	946
Securities Available-for-Sale, Debt Securities, Gross Unrealized Losses	(575)	(123)
Securities Available-for-Sale, Debt Securities, Fair Value	69,910	78,297
Residential Mortgage Backed Securities [Member]
Debt Securities, Held-to-maturity, Fair Value to Amortized Cost [Abstract]
Securities Held-to-Maturity, Amortized Cost, After 5 years to 10 years	12,838	8,944
Securities Held-to-Maturity, Gross Unrealized Gains, After 5 years to 10 years	0	0
Securities Held-to-Maturity, Gross Unrecognized Losses, After 5 years to 10 years	(206)	(51)
Securities Held-to-Maturity, Fair Value, After 5 years to 10 years	12,632	8,893
Securities Held-to-Maturity, Amortized Cost, Over 10 years	76,623	39,625
Securities Held-to-Maturity, Gross Unrealized Gain, Over 10 years	0	44
Securities Held-to-Maturity, Gross Unrealized Losses, Over 10 years	(1,426)	(160)
Securities Held-to-Maturity, Fair Value, After 10 Years	75,197	39,509
Securities Held-to-Maturity, Amortized Cost	89,461	48,569
Securities Held-to-Maturity, Gross Unrealized Gains	0	44
Securities Held-to-Maturity, Gross Unrealized Losses	(1,632)	(211)
Securities Held-to-Maturity, Fair Value	87,829	48,402
Debt Securities, Available-for-sale [Abstract]
Securities Available-for-Sale, Amortized Cost, After 1 year to 5 years	5,496	3,913
Securities Available-for-Sale, Gross Unrealized Gains, After 1 year to 5 years	0	12
Securities Available-for-Sale, Gross Unrealized Losses, After 1 year to 5 years	(93)	(26)
Securities Available-for-Sale, Fair Value, After 1 year to 5 years	5,403	3,899
Securities Available-for-Sale, Amortized Cost, After 5 years to 10 years	56,238	51,428
Securities Available-for-Sale, Gross Unrealized Gains, After 5 years to 10 years	8	5
Securities Available-for-Sale, Gross Unrealized Losses, After 5 years to 10 years	(2,082)	(852)
Securities Available-for-Sale, Fair Value, After 5 years to 10 years	54,164	50,581
Securities Available-for-Sale, Amortized Cost, Over 10 years	110,422	133,237
Securities Available-for-Sale, Gross Unrealized Gains, Over 10 years	29	87
Securities Available-for-Sale, Gross Unrealized Losses, Over 10 years	(4,409)	(2,383)
Securities Available-for-Sale, Fair Value, Over 10 years	106,042	130,941
Securities Available-for-Sale, Amortized Cost	172,156	188,578
Securities Available-for-Sale, Debt Securities, Gross Unrealized Gain	37	104
Securities Available-for-Sale, Debt Securities, Gross Unrealized Losses	(6,584)	(3,261)
Securities Available-for-Sale, Debt Securities, Fair Value	165,609	185,421
Collateralized Mortgage Obligations [Member]
Debt Securities, Available-for-sale [Abstract]
Securities Available-for-Sale, Amortized Cost, After 5 years to 10 years	1,883	2,103
Securities Available-for-Sale, Gross Unrealized Gains, After 5 years to 10 years	0	0
Securities Available-for-Sale, Gross Unrealized Losses, After 5 years to 10 years	(105)	(82)
Securities Available-for-Sale, Fair Value, After 5 years to 10 years	1,778	2,021
Securities Available-for-Sale, Amortized Cost, Over 10 years	1,414	1,567
Securities Available-for-Sale, Gross Unrealized Gains, Over 10 years	0	14
Securities Available-for-Sale, Gross Unrealized Losses, Over 10 years	(21)	0
Securities Available-for-Sale, Fair Value, Over 10 years	1,393	1,581
Securities Available-for-Sale, Amortized Cost	3,297	3,670
Securities Available-for-Sale, Debt Securities, Gross Unrealized Gain	0	14
Securities Available-for-Sale, Debt Securities, Gross Unrealized Losses	(126)	(82)
Securities Available-for-Sale, Debt Securities, Fair Value	3,171	3,602
Corporate Bonds [Member]
Debt Securities, Available-for-sale [Abstract]
Securities Available-for-Sale, Amortized Cost, Within 1 year	2,510	10,006
Securities Available-for-Sale, Gross Unrealized Gains, Within 1 year	0	0
Securities Available-for-Sale, Gross Unrealized Losses, Within 1 year	(18)	(5)
Securities Available-for-Sale, Fair Value, Within 1 year	2,492	10,001
Securities Available-for-Sale, Amortized Cost, After 1 year to 5 years	23,835	24,885
Securities Available-for-Sale, Gross Unrealized Gains, After 1 year to 5 years	17	20
Securities Available-for-Sale, Gross Unrealized Losses, After 1 year to 5 years	(471)	(147)
Securities Available-for-Sale, Fair Value, After 1 year to 5 years	23,381	24,758
Securities Available-for-Sale, Amortized Cost, After 5 years to 10 years	15,657	16,669
Securities Available-for-Sale, Gross Unrealized Gains, After 5 years to 10 years	5	71
Securities Available-for-Sale, Gross Unrealized Losses, After 5 years to 10 years	(532)	(296)
Securities Available-for-Sale, Fair Value, After 5 years to 10 years	15,130	16,444
Securities Available-for-Sale, Amortized Cost, Over 10 years	60,000	60,000
Securities Available-for-Sale, Gross Unrealized Gains, Over 10 years	0	0
Securities Available-for-Sale, Gross Unrealized Losses, Over 10 years	(7,228)	(4,027)
Securities Available-for-Sale, Fair Value, Over 10 years	52,772	55,973
Securities Available-for-Sale, Amortized Cost	102,002	111,560
Securities Available-for-Sale, Debt Securities, Gross Unrealized Gain	22	91
Securities Available-for-Sale, Debt Securities, Gross Unrealized Losses	(8,249)	(4,475)
Securities Available-for-Sale, Debt Securities, Fair Value	$ 93,775	107,176
Equity Securities [Member]
Debt Securities, Available-for-sale [Abstract]
Equity Securities Available-for-Sale, Fair Value		$ 1,076

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Investment Securities - Information Related to Sales of Securities Available-for-Sale (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Securities available-for-sale:
Proceeds from sales	$ 1,010	$ 3,032
Gross realized gains on sales	10	36
Tax expense related to net realized gains on sales	$ 2	$ 13

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Investment Securities - Amount of Securities in Unrealized Loss Position (Detail) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Fair Value [Abstract]
Less than Twelve Months, Fair Value	$ 94,642	$ 47,800
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	(1,815)	(288)
Twelve Months or Longer, Fair Value	0	0
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	0	0
Total, Fair Value	94,642	47,800
Debt Securities, Held-to-maturity, Unrealized Loss Position, Accumulated Loss	(1,815)	(288)
Debt Securities, Available-for-sale, Unrealized Loss Position [Abstract]
Less than Twelve Months, Fair Value	93,482	74,351
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	(2,065)	(1,356)
Twelve Months or Longer, Fair Value	215,228	233,434
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	(13,632)	(6,714)
Total, Fair Value	308,710	307,785
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss	(15,697)	(8,070)
U.S. Government Corporations and Agencies [Member]
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Fair Value [Abstract]
Less than Twelve Months, Fair Value	6,813	6,919
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	(183)	(77)
Twelve Months or Longer, Fair Value	0	0
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	0	0
Total, Fair Value	6,813	6,919
Debt Securities, Held-to-maturity, Unrealized Loss Position, Accumulated Loss	(183)	(77)
Debt Securities, Available-for-sale, Unrealized Loss Position [Abstract]
Less than Twelve Months, Fair Value	5,121	5,213
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	(58)	(38)
Twelve Months or Longer, Fair Value	10,218	11,749
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	(105)	(90)
Total, Fair Value	15,339	16,962
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss	(163)	(128)
State and Political Subdivisions [Member]
Debt Securities, Available-for-sale, Unrealized Loss Position [Abstract]
Less than Twelve Months, Fair Value	29,012	18,457
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	(521)	(91)
Twelve Months or Longer, Fair Value	7,449	6,332
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	(54)	(32)
Total, Fair Value	36,461	24,789
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss	(575)	(123)
Residential Mortgage-Backed Securities [Member]
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Fair Value [Abstract]
Less than Twelve Months, Fair Value	87,829	40,881
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	(1,632)	(211)
Twelve Months or Longer, Fair Value	0	0
Debt Securities, Held-to-maturity, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	0	0
Total, Fair Value	87,829	40,881
Debt Securities, Held-to-maturity, Unrealized Loss Position, Accumulated Loss	(1,632)	(211)
Debt Securities, Available-for-sale, Unrealized Loss Position [Abstract]
Less than Twelve Months, Fair Value	35,367	32,217
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	(931)	(210)
Twelve Months or Longer, Fair Value	128,118	141,371
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	(5,653)	(3,051)
Total, Fair Value	163,485	173,588
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss	(6,584)	(3,261)
Collateralized Mortgage Obligations [Member]
Debt Securities, Available-for-sale, Unrealized Loss Position [Abstract]
Less than Twelve Months, Fair Value	1,393	0
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	(21)	0
Twelve Months or Longer, Fair Value	1,778	2,021
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	(105)	(82)
Total, Fair Value	3,171	2,021
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss	(126)	(82)
Corporate Bonds [Member]
Debt Securities, Available-for-sale, Unrealized Loss Position [Abstract]
Less than Twelve Months, Fair Value	22,589	18,464
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss	(534)	(1,016)
Twelve Months or Longer, Fair Value	67,665	71,957
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss	(7,715)	(3,459)
Total, Fair Value	90,254	90,421
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss	$ (8,249)	(4,475)
Equity Securities [Member]
Debt Securities, Available-for-sale, Unrealized Loss Position [Abstract]
Less than Twelve Months, Fair Value		0
Available-for-sale Securities, Continuous Unrealized Loss Position, Less than 12 Months, Accumulated Loss		(1)
Twelve Months or Longer, Fair Value		4
Available-for-sale Securities, Continuous Unrealized Loss Position, 12 Months or Longer, Accumulated Loss		0
Total, Fair Value		4
Available-for-sale Securities, Continuous Unrealized Loss Position, Accumulated Loss		$ (1)

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Loans and Leases - Narrative (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Financing Receivable, Recorded Investment [Line Items]
Loans and Leases Receivable Net of Deferred Income, Acquired	$ 456,473	$ 538,780
Carrying amount	998	1,583
Nonaccrual Loans and Leases	30,148	14,517
Other accruing impaired loans	3,300	4,100
Specific reserves for other accruing impaired loans	25	99
Impaired loans with no related reserve, Recorded Investment	16,953	27,454
Impaired Financing Receivable, Related Reserve	$ 1,524	131
Maximum modification period on short-term basis	1 year
Restructured loan past due period	90 days
Lease Financings [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and Leases Receivable Net of Deferred Income, Acquired	$ 0	0
Nonaccrual Loans and Leases	1,526	1,599
Impaired loans with no related reserve, Recorded Investment	1,300	1,300
Impaired Financing Receivable, Related Reserve	0	$ 0
Fox Chase Bank [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and Leases Receivable Net of Deferred Income, Acquired	368,600
Carrying amount	332
Valley Green Bank [Member]
Financing Receivable, Recorded Investment [Line Items]
Loans and Leases Receivable Net of Deferred Income, Acquired	87,900
Carrying amount	666
Minimum [Member]
Financing Receivable, Recorded Investment [Line Items]
Amount of Loan Relationship Balance, Loans Reviewed Annually	1,000
Amount of Loan Relationship Balance, Reviewed Quarterly	15,000
Maximum [Member]
Financing Receivable, Recorded Investment [Line Items]
Amount of Loan Relationship Balance, Loans Reviewed on a Performance Basis	$ 1,000

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Loans and Leases - Summary of Major Loan and Lease Categories (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans and Leases Held for Investment, Originated	$ 3,361,925	$ 3,081,287
Total Loans and Leases Held for Investment, Acquired	456,473	538,780
Total Loans and Leases Held for Investment	3,818,398	3,620,067	$ 3,510,170
Unearned Lease Income, Originated	(14,700)	(14,243)
Unearned Lease Income, Acquired	0	0
Unearned lease income, included in the above table	(14,700)	(14,243)
Net deferred costs, Originated	4,060	4,669
Net deferred costs, Acquired	0	0
Net deferred costs, included in the above table	4,060	4,669
Overdraft Deposits, Originated	98	222
Overdraft Deposits, Acquired	0	0
Overdraft deposits included in the above table	98	222
Commercial, Financial and Agricultural [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans and Leases Held for Investment, Originated	880,961	833,100
Total Loans and Leases Held for Investment, Acquired	45,199	63,111
Total Loans and Leases Held for Investment	926,160	896,211	905,167
Real Estate-Commercial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans and Leases Held for Investment, Originated	1,373,093	1,235,681
Total Loans and Leases Held for Investment, Acquired	270,551	306,460
Total Loans and Leases Held for Investment	1,643,644	1,542,141
Real Estate-Construction [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans and Leases Held for Investment, Originated	204,602	171,244
Total Loans and Leases Held for Investment, Acquired	4,284	4,592
Total Loans and Leases Held for Investment	208,886	175,836
Real Estate-Residential Secured for Business Purpose [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans and Leases Held for Investment, Originated	267,014	250,800
Total Loans and Leases Held for Investment, Acquired	71,698	91,167
Total Loans and Leases Held for Investment	338,712	341,967	294,103
Real Estate Residential Secured For Personal Purpose [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans and Leases Held for Investment, Originated	296,734	260,654
Total Loans and Leases Held for Investment, Acquired	54,689	60,920
Total Loans and Leases Held for Investment	351,423	321,574
Real Estate-Home Equity Secured for Personal Purpose [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans and Leases Held for Investment, Originated	175,351	171,884
Total Loans and Leases Held for Investment, Acquired	9,909	12,386
Total Loans and Leases Held for Investment	185,260	184,270
Loans to Individuals [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans and Leases Held for Investment, Originated	31,048	28,156
Total Loans and Leases Held for Investment, Acquired	143	144
Total Loans and Leases Held for Investment	31,191	28,300	27,588
Lease Financings [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Total Loans and Leases Held for Investment, Originated	133,122	129,768
Total Loans and Leases Held for Investment, Acquired	0	0
Total Loans and Leases Held for Investment	$ 133,122	$ 129,768	$ 130,154

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Loans and Leases - Acquired Credit Impaired Loans (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Receivables [Abstract]
Outstanding principal balance	$ 1,378		$ 2,325
Carrying amount	998		1,583
Allowance for loan losses	0		$ 0
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward]
Beginning of period	11	$ 50
Reclassification from nonaccretable discount	375	279
Accretable discount amortized to interest income	(386)	(297)
Disposals	0	(4)
End of period	$ 0	$ 28

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Loans and Leases - Age Analysis of Past Due Loans and Leases (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	$ 23,545	$ 25,143
Current	3,793,855	3,593,341
Acquired Credit Impaired	998	1,583
Loans and leases held for investment	3,818,398	3,620,067	$ 3,510,170
Recorded Investment 90 Days or more Past Due and Accruing Interest	150	761
Valley Green Bank and Fox Chase Bank [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Acquired Credit Impaired	998	1,583
Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	10,522	13,682
Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	3,549	4,285
Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	9,474	7,176
Commercial, Financial and Agricultural [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	4,158	5,131
Current	921,735	890,658
Loans and leases held for investment	926,160	896,211	905,167
Recorded Investment 90 Days or more Past Due and Accruing Interest	0	0
Commercial, Financial and Agricultural [Member] | Valley Green Bank and Fox Chase Bank [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Acquired Credit Impaired	267	422
Commercial, Financial and Agricultural [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	1,777	2,182
Commercial, Financial and Agricultural [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	141	1,440
Commercial, Financial and Agricultural [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	2,240	1,509
Real Estate-Commercial [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	4,307	2,691
Current	1,639,131	1,539,094
Loans and leases held for investment	1,643,644	1,542,141
Recorded Investment 90 Days or more Past Due and Accruing Interest	0	0
Real Estate-Commercial [Member] | Valley Green Bank and Fox Chase Bank [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Acquired Credit Impaired	206	356
Real Estate-Commercial [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	1,543	733
Real Estate-Commercial [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	1,145	548
Real Estate-Commercial [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	1,619	1,410
Real Estate-Construction [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	364	2,335
Current	208,522	173,501
Loans and leases held for investment	208,886	175,836
Recorded Investment 90 Days or more Past Due and Accruing Interest	0	0
Real Estate-Construction [Member] | Valley Green Bank and Fox Chase Bank [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Acquired Credit Impaired	0	0
Real Estate-Construction [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	364	1,970
Real Estate-Construction [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	0	0
Real Estate-Construction [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	0	365
Real Estate-Residential Secured for Business Purpose [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	3,705	3,321
Current	334,547	338,061
Loans and leases held for investment	338,712	341,967	294,103
Recorded Investment 90 Days or more Past Due and Accruing Interest	0	162
Real Estate-Residential Secured for Business Purpose [Member] | Valley Green Bank and Fox Chase Bank [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Acquired Credit Impaired	460	585
Real Estate-Residential Secured for Business Purpose [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	1,750	1,651
Real Estate-Residential Secured for Business Purpose [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	782	315
Real Estate-Residential Secured for Business Purpose [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	1,173	1,355
Real Estate Residential Secured For Personal Purpose [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	4,545	5,509
Current	346,813	315,845
Loans and leases held for investment	351,423	321,574
Recorded Investment 90 Days or more Past Due and Accruing Interest	0	0
Real Estate Residential Secured For Personal Purpose [Member] | Valley Green Bank and Fox Chase Bank [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Acquired Credit Impaired	65	220
Real Estate Residential Secured For Personal Purpose [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	2,896	4,368
Real Estate Residential Secured For Personal Purpose [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	88	1,118
Real Estate Residential Secured For Personal Purpose [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	1,561	23
Real Estate-Home Equity Secured for Personal Purpose [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	2,575	2,211
Current	182,685	182,059
Loans and leases held for investment	185,260	184,270
Recorded Investment 90 Days or more Past Due and Accruing Interest	0	148
Real Estate-Home Equity Secured for Personal Purpose [Member] | Valley Green Bank and Fox Chase Bank [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Acquired Credit Impaired	0	0
Real Estate-Home Equity Secured for Personal Purpose [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	672	1,414
Real Estate-Home Equity Secured for Personal Purpose [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	698	333
Real Estate-Home Equity Secured for Personal Purpose [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	1,205	464
Loans to Individuals [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	287	555
Current	30,904	27,745
Loans and leases held for investment	31,191	28,300	27,588
Recorded Investment 90 Days or more Past Due and Accruing Interest	101	195
Loans to Individuals [Member] | Valley Green Bank and Fox Chase Bank [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Acquired Credit Impaired	0	0
Loans to Individuals [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	137	221
Loans to Individuals [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	49	139
Loans to Individuals [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	101	195
Lease Financings [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	3,604	3,390
Current	129,518	126,378
Loans and leases held for investment	133,122	129,768	$ 130,154
Recorded Investment 90 Days or more Past Due and Accruing Interest	49	256
Lease Financings [Member] | Valley Green Bank and Fox Chase Bank [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Acquired Credit Impaired	0	0
Lease Financings [Member] | Financing Receivables, 30 to 59 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	1,383	1,143
Lease Financings [Member] | Financing Receivables, 60 to 89 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	646	392
Lease Financings [Member] | Financing Receivables, Equal to Greater than 90 Days Past Due [Member]
Accounts, Notes, Loans and Financing Receivable [Line Items]
Past Due	$ 1,575	$ 1,855

XML

Loans and Leases - Nonperforming Loans and Leases (Details) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2018 USD ($)	Jun. 30, 2017 USD ($)	Jun. 30, 2018 USD ($)	Jun. 30, 2017 USD ($)	Dec. 31, 2017 USD ($) borrowers
Nonperforming Loans and Leases [Line Items]
Impaired loans with no related reserve, Recorded Investment	$ 16,953		$ 16,953		$ 27,454
Nonaccrual Loans and Leases	30,148		30,148		14,517
Accruing Troubled Debt Restructured Loans And Lease Modifications	790		790		11,435
Loans and Leases 90 Days or more Past Due and Accruing Interest	150		150		761
Total Nonperforming Loans and Leases	31,088		31,088		26,713
Nonaccrual Troubled Debt Restructured Loans And Lease Modifications	1,800		1,800		$ 2,500
Number of Borrowers | borrowers					1
Impaired Financing Receivable, Related Reserve	1,524		1,524		$ 131
Commercial, Financial and Agricultural [Member]
Nonperforming Loans and Leases [Line Items]
Impaired loans with no related reserve, Recorded Investment	4,122		4,122		7,019
Nonaccrual Loans and Leases	4,084		4,084		4,448
Accruing Troubled Debt Restructured Loans And Lease Modifications	607		607		921
Loans and Leases 90 Days or more Past Due and Accruing Interest	0		0		0
Total Nonperforming Loans and Leases	4,691		4,691		5,369
Impaired Financing Receivable, Related Reserve	646		646		31
Real Estate-Commercial [Member]
Nonperforming Loans and Leases [Line Items]
Impaired loans with no related reserve, Recorded Investment	7,489		7,489		15,621
Nonaccrual Loans and Leases	19,584		19,584		4,285
Accruing Troubled Debt Restructured Loans And Lease Modifications	0		0		10,266
Loans and Leases 90 Days or more Past Due and Accruing Interest	0		0		0
Total Nonperforming Loans and Leases	19,584		19,584		14,551
Impaired Financing Receivable, Related Reserve	866		866		99
Real Estate-Construction [Member]
Nonperforming Loans and Leases [Line Items]
Impaired loans with no related reserve, Recorded Investment	110		110		365
Nonaccrual Loans and Leases	110		110		365
Accruing Troubled Debt Restructured Loans And Lease Modifications	0		0		0
Loans and Leases 90 Days or more Past Due and Accruing Interest	0		0		0
Total Nonperforming Loans and Leases	110		110		365
Impaired Financing Receivable, Related Reserve	0		0		0
Real Estate-Residential Secured for Business Purpose [Member]
Nonperforming Loans and Leases [Line Items]
Impaired loans with no related reserve, Recorded Investment	1,926		1,926		3,430
Nonaccrual Loans and Leases	1,538		1,538		2,843
Accruing Troubled Debt Restructured Loans And Lease Modifications	183		183		206
Loans and Leases 90 Days or more Past Due and Accruing Interest	0		0		162
Total Nonperforming Loans and Leases	1,721		1,721		3,211
Impaired Financing Receivable, Related Reserve	12		12		1
Real Estate-Residential Secured for Personal Purpose [Member]
Nonperforming Loans and Leases [Line Items]
Impaired loans with no related reserve, Recorded Investment	1,741		1,741		508
Nonaccrual Loans and Leases	1,741		1,741		466
Accruing Troubled Debt Restructured Loans And Lease Modifications	0		0		42
Loans and Leases 90 Days or more Past Due and Accruing Interest	0		0		0
Total Nonperforming Loans and Leases	1,741		1,741		508
Impaired Financing Receivable, Related Reserve	0		0		0
Real Estate-Home Equity Secured for Personal Purpose [Member]
Nonperforming Loans and Leases [Line Items]
Impaired loans with no related reserve, Recorded Investment	1,565		1,565		511
Nonaccrual Loans and Leases	1,565		1,565		511
Accruing Troubled Debt Restructured Loans And Lease Modifications	0		0		0
Loans and Leases 90 Days or more Past Due and Accruing Interest	0		0		148
Total Nonperforming Loans and Leases	1,565		1,565		659
Impaired Financing Receivable, Related Reserve	0		0		0
Loans to Individuals [Member]
Nonperforming Loans and Leases [Line Items]
Nonaccrual Loans and Leases	0		0		0
Accruing Troubled Debt Restructured Loans And Lease Modifications	0		0		0
Loans and Leases 90 Days or more Past Due and Accruing Interest	101		101		195
Total Nonperforming Loans and Leases	101		101		195
Lease Financings [Member]
Nonperforming Loans and Leases [Line Items]
Impaired loans with no related reserve, Recorded Investment	1,300		1,300		1,300
Nonaccrual Loans and Leases	1,526		1,526		1,599
Accruing Troubled Debt Restructured Loans And Lease Modifications	0		0		0
Loans and Leases 90 Days or more Past Due and Accruing Interest	49		49		256
Total Nonperforming Loans and Leases	1,575		1,575		1,855
Impaired Financing Receivable, Related Reserve	0		0		0
Accrual Troubled Debt Restructuring Loans [Member]
Nonperforming Loans and Leases [Line Items]
Pre- Restructuring Outstanding Recorded Investment	0	$ 9,206	0	$ 9,206
Accrual Troubled Debt Restructuring Loans [Member] | Real Estate-Commercial [Member]
Nonperforming Loans and Leases [Line Items]
Pre- Restructuring Outstanding Recorded Investment	0	$ 9,206	0	$ 9,206
Non-Accrual [Member] | Real Estate-Commercial [Member]
Nonperforming Loans and Leases [Line Items]
Nonaccrual Loans and Leases	12,000		12,000
Impaired Financing Receivable, Related Reserve	$ 650		$ 650
Amortization Period Extension [Member] | Accrual Troubled Debt Restructuring Loans [Member]
Nonperforming Loans and Leases [Line Items]
Pre- Restructuring Outstanding Recorded Investment					$ 10,300

XML

Loans and Leases - Credit Quality Indicators (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	$ 3,361,925	$ 3,081,287
Total Loans and Leases Held for Investment, Acquired	456,473	538,780
Grade: 1. Cash secured/ 2. Fully secured [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	27,150	22,941
Total Loans and Leases Held for Investment, Acquired	0	1,120
Grade: 3. Strong [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	14,538	11,027
Total Loans and Leases Held for Investment, Acquired	0	0
Grade: 4. Satisfactory [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	47,553	57,507
Total Loans and Leases Held for Investment, Acquired	0	607
Grade: 5. Acceptable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	1,952,466	1,846,112
Total Loans and Leases Held for Investment, Acquired	268,532	306,841
Grade: 6. Pre-watch [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	594,068	491,740
Total Loans and Leases Held for Investment, Acquired	100,338	125,613
Grade: 7. Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	66,873	18,689
Total Loans and Leases Held for Investment, Acquired	5,327	18,035
Grade: 8. Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	23,022	42,809
Total Loans and Leases Held for Investment, Acquired	17,535	13,114
Grade: 9. Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Grade: 10. Loss [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Internally Assigned Grades [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	2,725,670	2,490,825
Total Loans and Leases Held for Investment, Acquired	391,732	465,330
Performing Financing Receivable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	633,487	587,990
Total Loans and Leases Held for Investment, Acquired	62,527	72,705
Nonperforming Financing Receivable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	2,768	2,472
Total Loans and Leases Held for Investment, Acquired	2,214	745
Performing and Nonperforming [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	636,255	590,462
Total Loans and Leases Held for Investment, Acquired	64,741	73,450
Commercial, Financial and Agricultural [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	880,961	833,100
Total Loans and Leases Held for Investment, Acquired	45,199	63,111
Commercial, Financial and Agricultural [Member] | Grade: 1. Cash secured/ 2. Fully secured [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	2,846	2,521
Total Loans and Leases Held for Investment, Acquired	0	1,120
Commercial, Financial and Agricultural [Member] | Grade: 3. Strong [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	13,926	9,206
Total Loans and Leases Held for Investment, Acquired	0	0
Commercial, Financial and Agricultural [Member] | Grade: 4. Satisfactory [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	21,425	30,283
Total Loans and Leases Held for Investment, Acquired	0	125
Commercial, Financial and Agricultural [Member] | Grade: 5. Acceptable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	606,047	593,205
Total Loans and Leases Held for Investment, Acquired	42,051	49,949
Commercial, Financial and Agricultural [Member] | Grade: 6. Pre-watch [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	204,593	179,990
Total Loans and Leases Held for Investment, Acquired	1,229	6,183
Commercial, Financial and Agricultural [Member] | Grade: 7. Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	23,203	4,027
Total Loans and Leases Held for Investment, Acquired	865	1,007
Commercial, Financial and Agricultural [Member] | Grade: 8. Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	8,921	13,868
Total Loans and Leases Held for Investment, Acquired	1,054	4,727
Commercial, Financial and Agricultural [Member] | Grade: 9. Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Commercial, Financial and Agricultural [Member] | Grade: 10. Loss [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Commercial, Financial and Agricultural [Member] | Internally Assigned Grades [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	880,961	833,100
Total Loans and Leases Held for Investment, Acquired	45,199	63,111
Real Estate-Commercial [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	1,373,093	1,235,681
Total Loans and Leases Held for Investment, Acquired	270,551	306,460
Real Estate-Commercial [Member] | Grade: 1. Cash secured/ 2. Fully secured [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Commercial [Member] | Grade: 3. Strong [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	612	1,821
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Commercial [Member] | Grade: 4. Satisfactory [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	25,860	26,950
Total Loans and Leases Held for Investment, Acquired	0	482
Real Estate-Commercial [Member] | Grade: 5. Acceptable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	1,045,630	960,258
Total Loans and Leases Held for Investment, Acquired	164,915	183,490
Real Estate-Commercial [Member] | Grade: 6. Pre-watch [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	249,505	209,844
Total Loans and Leases Held for Investment, Acquired	86,041	98,977
Real Estate-Commercial [Member] | Grade: 7. Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	41,286	12,974
Total Loans and Leases Held for Investment, Acquired	4,462	17,028
Real Estate-Commercial [Member] | Grade: 8. Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	10,200	23,834
Total Loans and Leases Held for Investment, Acquired	15,133	6,483
Real Estate-Commercial [Member] | Grade: 9. Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Commercial [Member] | Grade: 10. Loss [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Commercial [Member] | Internally Assigned Grades [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	1,373,093	1,235,681
Total Loans and Leases Held for Investment, Acquired	270,551	306,460
Real Estate-Construction [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	204,602	171,244
Total Loans and Leases Held for Investment, Acquired	4,284	4,592
Real Estate-Construction [Member] | Grade: 1. Cash secured/ 2. Fully secured [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	24,304	20,420
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Construction [Member] | Grade: 3. Strong [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Construction [Member] | Grade: 4. Satisfactory [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Construction [Member] | Grade: 5. Acceptable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	74,818	76,899
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Construction [Member] | Grade: 6. Pre-watch [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	103,970	72,168
Total Loans and Leases Held for Investment, Acquired	4,284	4,592
Real Estate-Construction [Member] | Grade: 7. Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	1,400	1,392
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Construction [Member] | Grade: 8. Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	110	365
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Construction [Member] | Grade: 9. Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Construction [Member] | Grade: 10. Loss [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Construction [Member] | Internally Assigned Grades [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	204,602	171,244
Total Loans and Leases Held for Investment, Acquired	4,284	4,592
Real Estate-Residential Secured for Business Purpose [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	267,014	250,800
Total Loans and Leases Held for Investment, Acquired	71,698	91,167
Real Estate-Residential Secured for Business Purpose [Member] | Grade: 1. Cash secured/ 2. Fully secured [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Residential Secured for Business Purpose [Member] | Grade: 3. Strong [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Residential Secured for Business Purpose [Member] | Grade: 4. Satisfactory [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	268	274
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Residential Secured for Business Purpose [Member] | Grade: 5. Acceptable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	225,971	215,750
Total Loans and Leases Held for Investment, Acquired	61,566	73,402
Real Estate-Residential Secured for Business Purpose [Member] | Grade: 6. Pre-watch [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	36,000	29,738
Total Loans and Leases Held for Investment, Acquired	8,784	15,861
Real Estate-Residential Secured for Business Purpose [Member] | Grade: 7. Special Mention [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	984	296
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Residential Secured for Business Purpose [Member] | Grade: 8. Substandard [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	3,791	4,742
Total Loans and Leases Held for Investment, Acquired	1,348	1,904
Real Estate-Residential Secured for Business Purpose [Member] | Grade: 9. Doubtful [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Residential Secured for Business Purpose [Member] | Grade: 10. Loss [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	0	0
Total Loans and Leases Held for Investment, Acquired	0	0
Real Estate-Residential Secured for Business Purpose [Member] | Internally Assigned Grades [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	267,014	250,800
Total Loans and Leases Held for Investment, Acquired	71,698	91,167
Real Estate Residential Secured For Personal Purpose [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	296,734	260,654
Total Loans and Leases Held for Investment, Acquired	54,689	60,920
Real Estate Residential Secured For Personal Purpose [Member] | Performing Financing Receivable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	296,127	260,589
Total Loans and Leases Held for Investment, Acquired	53,555	60,477
Real Estate Residential Secured For Personal Purpose [Member] | Nonperforming Financing Receivable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	607	65
Total Loans and Leases Held for Investment, Acquired	1,134	443
Real Estate Residential Secured For Personal Purpose [Member] | Performing and Nonperforming [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	296,734	260,654
Total Loans and Leases Held for Investment, Acquired	54,689	60,920
Real Estate-Home Equity Secured for Personal Purpose [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	175,351	171,884
Total Loans and Leases Held for Investment, Acquired	9,909	12,386
Real Estate-Home Equity Secured for Personal Purpose [Member] | Performing Financing Receivable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	174,866	171,527
Total Loans and Leases Held for Investment, Acquired	8,829	12,084
Real Estate-Home Equity Secured for Personal Purpose [Member] | Nonperforming Financing Receivable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	485	357
Total Loans and Leases Held for Investment, Acquired	1,080	302
Real Estate-Home Equity Secured for Personal Purpose [Member] | Performing and Nonperforming [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	175,351	171,884
Total Loans and Leases Held for Investment, Acquired	9,909	12,386
Loans to Individuals [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	31,048	28,156
Total Loans and Leases Held for Investment, Acquired	143	144
Loans to Individuals [Member] | Performing Financing Receivable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	30,947	27,961
Total Loans and Leases Held for Investment, Acquired	143	144
Loans to Individuals [Member] | Nonperforming Financing Receivable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	101	195
Total Loans and Leases Held for Investment, Acquired	0	0
Loans to Individuals [Member] | Performing and Nonperforming [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	31,048	28,156
Total Loans and Leases Held for Investment, Acquired	143	144
Lease Financings [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	133,122	129,768
Total Loans and Leases Held for Investment, Acquired	0	0
Lease Financings [Member] | Performing Financing Receivable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	131,547	127,913
Total Loans and Leases Held for Investment, Acquired	0	0
Lease Financings [Member] | Nonperforming Financing Receivable [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	1,575	1,855
Total Loans and Leases Held for Investment, Acquired	0	0
Lease Financings [Member] | Performing and Nonperforming [Member]
Financing Receivable, Recorded Investment [Line Items]
Total Loans and Leases Held for Investment, Originated	133,122	129,768
Total Loans and Leases Held for Investment, Acquired	$ 0	$ 0

XML

Loans and Leases - Reserve for Loan and Lease Losses Roll Forward (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	$ 23,410	$ 19,528	$ 21,555	$ 17,499
Charge-offs	(13,296)	(1,718)	(14,165)	(2,415)
Recoveries	129	334	800	615
Provision (recovery of provision)	15,409	2,767	17,461	5,209
Provision for acquired credit impaired loans		(1)	1	2
Ending balance	25,652	20,910	25,652	20,910
Commercial, Financial and Agricultural [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	6,942	7,890	6,742	7,037
Charge-offs	(13,048)	(108)	(13,649)	(286)
Recoveries	23	210	249	397
Provision (recovery of provision)	13,341	321	13,916	1,165
Provision for acquired credit impaired loans		0	0	0
Ending balance	7,258	8,313	7,258	8,313
Real Estate-Commercial and Construction [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	11,178	7,624	9,839	7,505
Charge-offs	0	(30)	(40)	(30)
Recoveries	0	0	73	3
Provision (recovery of provision)	1,149	874	2,455	990
Provision for acquired credit impaired loans		0	0	0
Ending balance	12,327	8,468	12,327	8,468
Real Estate-Residential Secured for Business Purpose [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	1,871	1,345	1,661	774
Charge-offs	0	(1,139)	0	(1,181)
Recoveries	7	8	258	18
Provision (recovery of provision)	126	915	85	1,518
Provision for acquired credit impaired loans		0	0	0
Ending balance	2,004	1,129	2,004	1,129
Real Estate-Residential and Home Equity Secured for Personal Purpose [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	1,908	1,001	1,754	993
Charge-offs	0	0	0	(94)
Recoveries	8	4	65	21
Provision (recovery of provision)	578	(30)	674	52
Provision for acquired credit impaired loans		(1)	1	2
Ending balance	2,494	974	2,494	974
Loans to Individuals [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	372	335	373	364
Charge-offs	(79)	(114)	(171)	(240)
Recoveries	16	46	46	81
Provision (recovery of provision)	138	62	199	124
Provision for acquired credit impaired loans		0	0	0
Ending balance	447	329	447	329
Lease Financings [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	1,079	1,329	1,132	788
Charge-offs	(169)	(327)	(305)	(584)
Recoveries	75	66	109	95
Provision (recovery of provision)	86	592	135	1,361
Provision for acquired credit impaired loans		0	0	0
Ending balance	1,071	1,660	1,071	1,660
Unallocated Financing Receivables [Member]
Allowance for Loan and Lease Losses [Roll Forward]
Beginning balance	60	4	54	38
Provision (recovery of provision)	(9)	33	(3)	(1)
Provision for acquired credit impaired loans		0	0	0
Ending balance	$ 51	$ 37	$ 51	$ 37

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Loans and Leases - Reserve for Loan and Lease Losses and Recorded Investment in Loans and Leases (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Mar. 31, 2018	Dec. 31, 2017	Jun. 30, 2017	Mar. 31, 2017	Dec. 31, 2016
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	$ 1,524			$ 1,017
Ending balance: collectively evaluated for impairment	24,046			19,893
Ending balance: acquired credit impaired loans evaluated for impairment	82
Total ending balance	25,652	$ 23,410	$ 21,555	20,910	$ 19,528	$ 17,499
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	33,930			41,713
Ending balance: collectively evaluated for impairment	3,326,148			2,814,256
Loans measured at fair value	1,847			2,058
Acquired non-credit impaired loans	455,475			645,658
Acquired credit impaired loans	998			6,485
Total Loans and Leases Held for Investment	3,818,398		3,620,067	3,510,170
Commercial, Financial and Agricultural [Member]
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	646			10
Ending balance: collectively evaluated for impairment	6,612			8,303
Ending balance: acquired credit impaired loans evaluated for impairment	0
Total ending balance	7,258	6,942	6,742	8,313	7,890	7,037
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	6,238			9,794
Ending balance: collectively evaluated for impairment	874,723			809,693
Loans measured at fair value	0			0
Acquired non-credit impaired loans	44,932			85,178
Acquired credit impaired loans	267			502
Total Loans and Leases Held for Investment	926,160		896,211	905,167
Real Estate-Commercial and Construction [Member]
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	866			59
Ending balance: collectively evaluated for impairment	11,420			8,409
Ending balance: acquired credit impaired loans evaluated for impairment	41
Total ending balance	12,327	11,178	9,839	8,468	7,624	7,505
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	21,004			20,735
Ending balance: collectively evaluated for impairment	1,554,844			1,268,132
Loans measured at fair value	1,847			2,058
Acquired non-credit impaired loans	274,629			378,413
Acquired credit impaired loans	206			5,185
Total Loans and Leases Held for Investment	1,852,530			1,674,523
Real Estate-Residential Secured for Business Purpose [Member]
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	12			37
Ending balance: collectively evaluated for impairment	1,951			1,092
Ending balance: acquired credit impaired loans evaluated for impairment	41
Total ending balance	2,004	1,871	1,661	1,129	1,345	774
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	2,132			5,196
Ending balance: collectively evaluated for impairment	264,882			189,173
Loans measured at fair value	0			0
Acquired non-credit impaired loans	71,238			99,151
Acquired credit impaired loans	460			583
Total Loans and Leases Held for Investment	338,712		341,967	294,103
Real Estate-Residential and Home Equity Secured for Personal Purpose [Member]
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	0			25
Ending balance: collectively evaluated for impairment	2,494			949
Ending balance: acquired credit impaired loans evaluated for impairment	0
Total ending balance	2,494	1,908	1,754	974	1,001	993
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	3,306			967
Ending balance: collectively evaluated for impairment	468,779			394,683
Loans measured at fair value	0			0
Acquired non-credit impaired loans	64,533			82,770
Acquired credit impaired loans	65			215
Total Loans and Leases Held for Investment	536,683			478,635
Loans to Individuals [Member]
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	0			0
Ending balance: collectively evaluated for impairment	447			329
Ending balance: acquired credit impaired loans evaluated for impairment	0
Total ending balance	447	372	373	329	335	364
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	0			0
Ending balance: collectively evaluated for impairment	31,048			27,442
Loans measured at fair value	0			0
Acquired non-credit impaired loans	143			146
Acquired credit impaired loans	0			0
Total Loans and Leases Held for Investment	31,191		28,300	27,588
Lease Financings [Member]
Reserve for loan and lease losses:
Ending balance: individually evaluated for impairment	0			886
Ending balance: collectively evaluated for impairment	1,071			774
Ending balance: acquired credit impaired loans evaluated for impairment	0
Total ending balance	1,071	1,079	1,132	1,660	1,329	788
Loans and leases held for investment:
Ending balance: individually evaluated for impairment	1,250			5,021
Ending balance: collectively evaluated for impairment	131,872			125,133
Loans measured at fair value	0			0
Acquired non-credit impaired loans	0			0
Acquired credit impaired loans	0			0
Total Loans and Leases Held for Investment	133,122		129,768	130,154
Unallocated Financing Receivables [Member]
Reserve for loan and lease losses:
Ending balance: collectively evaluated for impairment	51			37
Ending balance: acquired credit impaired loans evaluated for impairment	0
Total ending balance	$ 51	$ 60	$ 54	$ 37	$ 4	$ 38

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Loans and Leases - Impaired Loans (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Financing Receivable, Impaired [Line Items]
Impaired loans with no related reserve, Recorded Investment	$ 16,953	$ 27,454
Impaired loans with a reserve recorded, Recorded Investment	15,727	1,028
Impaired loans with no related reserve, Unpaid Principal Balance	18,738	30,882
Impaired loans with a reserve recorded, Unpaid Principal Balance	16,097	1,030
Total impaired loans, Recorded Investment	32,680	28,482
Total impaired loans, Unpaid Principal Balance	34,835	31,912
Impaired Financing Receivable, Related Reserve	1,524	131
Lease Financings [Member]
Financing Receivable, Impaired [Line Items]
Impaired loans with no related reserve, Recorded Investment	1,300	1,300
Impaired Financing Receivable, Related Reserve	0	0
Commercial, Financial and Agricultural [Member]
Financing Receivable, Impaired [Line Items]
Impaired loans with no related reserve, Recorded Investment	4,122	7,019
Impaired loans with a reserve recorded, Recorded Investment	2,116	60
Impaired loans with no related reserve, Unpaid Principal Balance	4,848	8,301
Impaired loans with a reserve recorded, Unpaid Principal Balance	2,180	60
Total impaired loans, Recorded Investment	6,238	7,079
Total impaired loans, Unpaid Principal Balance	7,028	8,361
Impaired Financing Receivable, Related Reserve	646	31
Real Estate-Commercial [Member]
Financing Receivable, Impaired [Line Items]
Impaired loans with no related reserve, Recorded Investment	7,489	15,621
Impaired loans with a reserve recorded, Recorded Investment	13,405	933
Impaired loans with no related reserve, Unpaid Principal Balance	8,336	16,507
Impaired loans with a reserve recorded, Unpaid Principal Balance	13,645	933
Total impaired loans, Recorded Investment	20,894	16,554
Total impaired loans, Unpaid Principal Balance	21,981	17,440
Impaired Financing Receivable, Related Reserve	866	99
Real Estate-Construction [Member]
Financing Receivable, Impaired [Line Items]
Impaired loans with no related reserve, Recorded Investment	110	365
Impaired loans with no related reserve, Unpaid Principal Balance	113	365
Total impaired loans, Recorded Investment	110	365
Total impaired loans, Unpaid Principal Balance	113	365
Impaired Financing Receivable, Related Reserve	0	0
Real Estate-Residential Secured for Business Purpose [Member]
Financing Receivable, Impaired [Line Items]
Impaired loans with no related reserve, Recorded Investment	1,926	3,430
Impaired loans with a reserve recorded, Recorded Investment	206	35
Impaired loans with no related reserve, Unpaid Principal Balance	2,062	4,620
Impaired loans with a reserve recorded, Unpaid Principal Balance	272	37
Total impaired loans, Recorded Investment	2,132	3,465
Total impaired loans, Unpaid Principal Balance	2,334	4,657
Impaired Financing Receivable, Related Reserve	12	1
Real Estate Residential Secured For Personal Purpose [Member]
Financing Receivable, Impaired [Line Items]
Impaired loans with no related reserve, Recorded Investment	1,741	508
Impaired loans with no related reserve, Unpaid Principal Balance	1,784	566
Total impaired loans, Recorded Investment	1,741	508
Total impaired loans, Unpaid Principal Balance	1,784	566
Impaired Financing Receivable, Related Reserve	0	0
Real Estate-Home Equity Secured for Personal Purpose [Member]
Financing Receivable, Impaired [Line Items]
Impaired loans with no related reserve, Recorded Investment	1,565	511
Impaired loans with no related reserve, Unpaid Principal Balance	1,595	523
Total impaired loans, Recorded Investment	1,565	511
Total impaired loans, Unpaid Principal Balance	1,595	523
Impaired Financing Receivable, Related Reserve	$ 0	$ 0

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Loans and Leases - Average Recorded Investment in Impaired Loans and Leases and Analysis of Interest on Impaired Loans (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	$ 33,252	$ 37,758	$ 30,978	$ 39,495
Interest Income Recognized	57	270	275	565
Additional Interest Income That Would Have Been Recognized Under Original Terms	489	258	898	473
Interest income, cash basis for nonaccrual loans	2	3	8	4
Interest income, accrual method	55	267	267	561
Commercial, Financial and Agricultural [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	6,394	11,470	7,090	11,506
Interest Income Recognized	32	64	72	110
Additional Interest Income That Would Have Been Recognized Under Original Terms	134	86	211	171
Real Estate-Commercial [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	22,914	20,777	20,105	22,464
Interest Income Recognized	18	184	190	417
Additional Interest Income That Would Have Been Recognized Under Original Terms	265	81	552	154
Real Estate-Construction [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	56	274	137	156
Interest Income Recognized	0	0	0	0
Additional Interest Income That Would Have Been Recognized Under Original Terms	3	10	5	10
Real Estate-Residential Secured for Business Purpose [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	1,966	4,184	2,107	4,302
Interest Income Recognized	5	21	10	37
Additional Interest Income That Would Have Been Recognized Under Original Terms	23	61	47	105
Real Estate Residential Secured For Personal Purpose [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	889	699	720	636
Interest Income Recognized	2	1	3	1
Additional Interest Income That Would Have Been Recognized Under Original Terms	33	15	44	23
Real Estate-Home Equity Secured for Personal Purpose [Member]
Financing Receivable, Impaired [Line Items]
Average Recorded Investment	1,033	354	819	431
Interest Income Recognized	0	0	0	0
Additional Interest Income That Would Have Been Recognized Under Original Terms	$ 31	$ 5	$ 39	$ 10

XML

Loans and Leases - Troubled Debt Restructured Loans (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018 USD ($) loan	Jun. 30, 2017 USD ($) loan	Jun. 30, 2018 USD ($) loan	Jun. 30, 2017 USD ($) loan
Accrual Troubled Debt Restructuring Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans | loan	0	3	0	3
Pre- Restructuring Outstanding Recorded Investment	$ 0	$ 9,206	$ 0	$ 9,206
Post- Restructuring Outstanding Recorded Investment	0	9,206	0	9,206
Related Allowance	$ 0	$ 0	$ 0	$ 0
Nonaccrual Troubled Debt Restructuring Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans | loan	1	1	1	1
Pre- Restructuring Outstanding Recorded Investment	$ 66	$ 328	$ 66	$ 328
Post- Restructuring Outstanding Recorded Investment	66	328	66	328
Related Allowance	$ 0	$ 0	$ 0	$ 0
Real Estate-Commercial [Member] | Accrual Troubled Debt Restructuring Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans | loan	0	3	0	3
Pre- Restructuring Outstanding Recorded Investment	$ 0	$ 9,206	$ 0	$ 9,206
Post- Restructuring Outstanding Recorded Investment	0	9,206	0	9,206
Related Allowance	$ 0	$ 0	$ 0	$ 0
Real Estate-Commercial [Member] | Nonaccrual Troubled Debt Restructuring Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans | loan	0	1	0	1
Pre- Restructuring Outstanding Recorded Investment	$ 0	$ 328	$ 0	$ 328
Post- Restructuring Outstanding Recorded Investment	0	328	0	328
Related Allowance	$ 0	$ 0	$ 0	$ 0
Real Estate Residential Secured For Personal Purpose [Member] | Nonaccrual Troubled Debt Restructuring Loans [Member]
Financing Receivable, Modifications [Line Items]
Number of Loans | loan	1	0	1	0
Pre- Restructuring Outstanding Recorded Investment	$ 66	$ 0	$ 66	$ 0
Post- Restructuring Outstanding Recorded Investment	66	0	66	0
Related Allowance	$ 0	$ 0	$ 0	$ 0

XML

Loans and Leases - Concessions Granted on Accruing and Nonaccrual Loans Restructured (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018 USD ($) loan	Jun. 30, 2017 USD ($) loan	Jun. 30, 2018 USD ($) loan	Jun. 30, 2017 USD ($) loan
Accrual Troubled Debt Restructuring Loans [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	0	3	0	3
Financing Receivable Modifications Recorded Investments | $	$ 0	$ 9,206	$ 0	$ 9,206
Accrual Troubled Debt Restructuring Loans [Member] | Extended Maturity [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	0	0	0	0
Financing Receivable Modifications Recorded Investments | $	$ 0	$ 0	$ 0	$ 0
Accrual Troubled Debt Restructuring Loans [Member] | Amortization Period Extension [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	0	3	0	3
Financing Receivable Modifications Recorded Investments | $	$ 0	$ 9,206	$ 0	$ 9,206
Nonaccrual Troubled Debt Restructuring Loans [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	1	1	1	1
Financing Receivable Modifications Recorded Investments | $	$ 66	$ 328	$ 66	$ 328
Nonaccrual Troubled Debt Restructuring Loans [Member] | Extended Maturity [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	0	1	0	1
Financing Receivable Modifications Recorded Investments | $	$ 0	$ 328	$ 0	$ 328
Nonaccrual Troubled Debt Restructuring Loans [Member] | Amortization Period Extension [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	1	0	1	0
Financing Receivable Modifications Recorded Investments | $	$ 66	$ 0	$ 66	$ 0
Real Estate-Commercial [Member] | Accrual Troubled Debt Restructuring Loans [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	0	3	0	3
Financing Receivable Modifications Recorded Investments | $		$ 9,206		$ 9,206
Real Estate-Commercial [Member] | Accrual Troubled Debt Restructuring Loans [Member] | Extended Maturity [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan		0		0
Financing Receivable Modifications Recorded Investments | $		$ 0		$ 0
Real Estate-Commercial [Member] | Accrual Troubled Debt Restructuring Loans [Member] | Amortization Period Extension [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan		3		3
Financing Receivable Modifications Recorded Investments | $		$ 9,206		$ 9,206
Real Estate-Commercial [Member] | Nonaccrual Troubled Debt Restructuring Loans [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	0	1	0	1
Financing Receivable Modifications Recorded Investments | $		$ 328		$ 328
Real Estate-Commercial [Member] | Nonaccrual Troubled Debt Restructuring Loans [Member] | Extended Maturity [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan		1		1
Financing Receivable Modifications Recorded Investments | $		$ 328		$ 328
Real Estate-Commercial [Member] | Nonaccrual Troubled Debt Restructuring Loans [Member] | Amortization Period Extension [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan		0		0
Financing Receivable Modifications Recorded Investments | $		$ 0		$ 0
Real Estate Residential Secured For Personal Purpose [Member] | Nonaccrual Troubled Debt Restructuring Loans [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	1	0	1	0
Financing Receivable Modifications Recorded Investments | $	$ 66		$ 66
Real Estate Residential Secured For Personal Purpose [Member] | Nonaccrual Troubled Debt Restructuring Loans [Member] | Extended Maturity [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	0		0
Financing Receivable Modifications Recorded Investments | $	$ 0		$ 0
Real Estate Residential Secured For Personal Purpose [Member] | Nonaccrual Troubled Debt Restructuring Loans [Member] | Amortization Period Extension [Member]
Concessions granted on accruing and non-accrual loans restructured
No. of Loans | loan	1		1
Financing Receivable Modifications Recorded Investments | $	$ 66		$ 66

XML

Loans and Leases - Accruing and Nonaccruing Troubled Debt Restructured Loans with Payment Defaults (Details) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018 USD ($) loan	Jun. 30, 2017 USD ($) loan	Jun. 30, 2018 USD ($) loan	Jun. 30, 2017 USD ($) loan
Accrual Troubled Debt Restructuring Loans [Member]
Accruing and nonaccrual troubled debt restructured loans with payment default
Number of Loans | loan	0	0	1	0
Recorded Investment | $	$ 0	$ 0	$ 953	$ 0
Accrual Troubled Debt Restructuring Loans [Member] | Commercial, Financial and Agricultural [Member]
Accruing and nonaccrual troubled debt restructured loans with payment default
Number of Loans | loan	0	0	1	0
Recorded Investment | $	$ 0	$ 0	$ 953	$ 0
Nonaccrual Troubled Debt Restructuring Loans [Member]
Accruing and nonaccrual troubled debt restructured loans with payment default
Number of Loans | loan	0	0	0	0
Recorded Investment | $	$ 0	$ 0	$ 0	$ 0

XML

Loans and Leases - Mortgages in Process of Foreclosure (Details) - Residential Real Estate [Member] - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Financing Receivable, Modifications [Line Items]
Mortgage Loans in Process of Foreclosure, Amount	$ 812	$ 31
Real Estate Residential Secured For Personal Purpose [Member]
Financing Receivable, Modifications [Line Items]
Mortgage Loans in Process of Foreclosure, Amount	0	31
Real Estate-Home Equity Secured for Personal Purpose [Member]
Financing Receivable, Modifications [Line Items]
Mortgage Loans in Process of Foreclosure, Amount	$ 812	$ 0

XML

Loans and Leases - Foreclosed Residential Real Estate (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Receivables [Abstract]
Foreclosed residential real estate	$ 440	$ 80

XML

Goodwill and Other Intangible Assets - Narrative (Details) - USD ($) $ in Thousands	6 Months Ended	12 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Mortgage Servicing Rights [Member]
Finite-Lived Intangible Assets [Line Items]
Aggregate fair value of servicing rights	$ 11,600	$ 10,000
Range of discount rates used for valuation of mortgage servicing rights	10.00%	10.00%
SBA Servicing Rights [Member]
Finite-Lived Intangible Assets [Line Items]
Aggregate fair value of servicing rights	$ 22	$ 21

XML

Goodwill and Other Intangible Assets - Summary of Changes in Carrying Amount of Goodwill (Details) $ in Thousands	6 Months Ended
	Jun. 30, 2018 USD ($)
Goodwill [Line Items]
Goodwill, Beginning Balance	$ 172,559
Goodwill, Acquired During Period	0
Goodwill, Ending Balance	172,559
Banking [Member]
Goodwill [Line Items]
Goodwill, Beginning Balance	138,476
Goodwill, Acquired During Period	0
Goodwill, Ending Balance	138,476
Wealth Management [Member]
Goodwill [Line Items]
Goodwill, Beginning Balance	15,434
Goodwill, Acquired During Period	0
Goodwill, Ending Balance	15,434
Insurance [Member]
Goodwill [Line Items]
Goodwill, Beginning Balance	18,649
Goodwill, Acquired During Period	0
Goodwill, Ending Balance	$ 18,649

XML

Goodwill and Other Intangible Assets - Components of Intangible Assets (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	$ 36,422	$ 35,734
Accumulated Amortization and Fair Value Adjustments	23,613	21,825
Net Carrying Amount	12,809	13,909
Covenants Not To Compete [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	710	710
Accumulated Amortization and Fair Value Adjustments	710	580
Net Carrying Amount	0	130
Core Deposits [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	6,788	6,788
Accumulated Amortization and Fair Value Adjustments	2,663	2,135
Net Carrying Amount	4,125	4,653
Customer Related Intangibles [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	12,381	12,381
Accumulated Amortization and Fair Value Adjustments	10,347	9,828
Net Carrying Amount	2,034	2,553
Servicing Rights [Member]
Finite-Lived Intangible Assets [Line Items]
Gross Carrying Amount	16,543	15,855
Accumulated Amortization and Fair Value Adjustments	9,893	9,282
Net Carrying Amount	$ 6,650	$ 6,573

XML

Goodwill and Other Intangible Assets - Estimated Amortization Expense for Core Deposit and Customer Related Intangibles (Details) $ in Thousands	Jun. 30, 2018 USD ($)
Goodwill and Intangible Assets Disclosure [Abstract]
Remainder of 2018	$ 937
2019	1,565
2020	1,200
2021	923
2022	666
Thereafter	$ 868

XML

Goodwill and Other Intangible Assets - Changes in Servicing Rights (Details) - Servicing Rights [Member] - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Servicing Asset at Amortized Cost, Balance [Roll Forward]
Beginning of period	$ 6,605	$ 6,502	$ 6,573	$ 6,485
Servicing rights capitalized	350	387	687	730
Amortization of servicing rights	(305)	(341)	(610)	(667)
End of period	6,650	6,548	6,650	6,548
Residential mortgage and SBA loans serviced for others	$ 1,019,233	$ 984,846	$ 1,019,233	$ 984,846

XML

Goodwill and Other Intangible Assets - Estimated Amortization Expense of Servicing Rights (Details) $ in Thousands	Jun. 30, 2018 USD ($)
Finite-Lived Intangible Assets [Line Items]
Remainder of 2018	$ 937
2019	1,565
2020	1,200
2021	923
2022	666
Thereafter	868
Servicing Rights [Member]
Finite-Lived Intangible Assets [Line Items]
Remainder of 2018	863
2019	769
2020	680
2021	601
2022	530
Thereafter	$ 3,207

XML

Deposits - Additional Information (Detail) - USD ($) $ in Millions	Jun. 30, 2018	Dec. 31, 2017
Banking and Thrift [Abstract]
Aggregate amount of time deposits in denominations of $100 thousand or more	$ 208.9	$ 250.0
Aggregate amount of time deposits in denominations over $250 thousand	$ 65.8	$ 118.4

XML

Deposits - Schedule of Components of Weighted Average Interest Rate and Balance of Deposits (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Weighted Average Rate Domestic Deposit Liabilities [Abstract]
Noninterest-bearing deposits	0.00%	0.00%
Demand deposits	0.57%	0.43%
Savings deposits	0.34%	0.26%
Time Deposits	1.46%	1.12%
Deposits	0.50%	0.38%
Deposits
Noninterest-bearing deposits	$ 1,055,479	$ 1,040,026
Demand deposits	1,163,451	1,109,438
Savings deposits	807,461	830,706
Time deposits	594,395	574,749
Total deposits	$ 3,620,786	$ 3,554,919

XML

Deposits - Schedule of Maturities of Time Deposits (Detail) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Banking and Thrift [Abstract]
Remainder of 2018	$ 154,611
2019	233,501
2020	99,450
2021	26,170
2022	32,233
Thereafter	48,430
Time deposits	$ 594,395	$ 574,749

XML

Borrowings - Additional Information (Detail) - USD ($)	Jun. 30, 2018	Dec. 31, 2017
Debt Instrument [Line Items]
Maximum borrowing capacity	$ 1,500,000,000
Outstanding short term letters of credit	178,900,000	$ 234,200,000
Amount of maintained federal fund lines of credit with correspondent banks	367,000,000	367,000,000
Investment securities collateral for Federal Reserve Bank Discount Window Lending program	69,400,000	52,000,000
Outstanding amount of federal fund line of credit with Federal Reserve Bank of Philadelphia	0	0
Amount of maintained line of credit with correspondent bank - parent company	10,000,000
Outstanding amount of line of credit with correspondent bank - parent company	0	$ 0
Securities Sold under Agreements to Repurchase [Member]
Debt Instrument [Line Items]
Long-term debt with fixed interest rate	5,000,000
Securities Sold under Agreements to Repurchase [Member] | London Interbank Offered Rate (LIBOR) [Member]
Debt Instrument [Line Items]
Long-term debt with variable interest rate	$ 25,500,000

XML

Borrowings - Summary of Borrowings By Type (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Schedule of Borrowings [Line Items]
Balance at End of Period	$ 231,853	$ 105,431
Balance at End of Period	155,556	155,828
Federal Home Loan Bank Advances [Member]
Schedule of Borrowings [Line Items]
Balance at End of Period	$ 125,005	$ 125,036
Weighted Average Interest Rate	1.73%	1.73%
Securities Sold under Agreements to Repurchase [Member]
Schedule of Borrowings [Line Items]
Balance at End of Period	$ 30,551	$ 30,792
Weighted Average Interest Rate	2.04%	1.52%
Subordinated Debt [Member]
Schedule of Borrowings [Line Items]
Balance at End of Period	$ 94,453	$ 94,331
Weighted Average Interest Rate	5.34%	5.35%
Federal Home Loan Bank Advances [Member]
Schedule of Borrowings [Line Items]
Balance at End of Period	$ 138,530	$ 30,225
Weighted Average Interest Rate	2.10%	1.54%
Federal Funds Purchased [Member]
Schedule of Borrowings [Line Items]
Balance at End of Period	$ 65,000	$ 55,000
Weighted Average Interest Rate	2.03%	1.56%
Securities Sold under Agreements to Repurchase [Member]
Schedule of Borrowings [Line Items]
Balance at End of Period	$ 28,323	$ 20,206
Weighted Average Interest Rate	0.05%	0.05%

XML

Borrowings - Schedule of Maturities of Long-term FHLB Advances (Details) $ in Thousands	Jun. 30, 2018 USD ($)
Federal Home Loan Bank, Advances, Fiscal Year Maturity [Abstract]
Remainder of 2018	$ 10,005
2019	10,000
2020	40,000
2021	55,000
2022	10,000
Thereafter	0
Total Advances	$ 125,005
Federal Home Loan Bank, Advances, Maturities Summary, Average Interest Rate of Amounts Due [Abstract]
Remainder of 2018 Weighted average interest rate	0.70%
2019 Weighted average interest rate	1.35%
2020 Weighted average interest rate	1.70%
2021 Weighted average interest rate	1.94%
2022 Weighted average interest rate	2.09%
Thereafter Weighted average interest rate	0.00%
Weighted average interest rate	1.73%

XML

Borrowings - Schedule of Maturities of Other Long-term Debt (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017
Long-term Debt, Fiscal Year Maturity [Abstract]
Balance at End of Period	$ 155,556	$ 155,828
Securities Sold under Agreements to Repurchase [Member]
Long-term Debt, Fiscal Year Maturity [Abstract]
Remainder of 2018	10,085
2019	10,190
2020	10,276
2021	0
2022	0
Thereafter	0
Balance at End of Period	$ 30,551	$ 30,792
Long-term Debt, Other Disclosures [Abstract]
Remainder of 2018 Weighted average interest rate	1.46%
2019 Weighted average interest rate	2.33%
2020 Weighted average interest rate	2.33%
2021 Weighted average interest rate	0.00%
2022 Weighted average interest rate	0.00%
Thereafter Weighted average interest rate	0.00%
Weighted average interest rate	2.04%	1.52%

XML

Retirement Plans and Other Postretirement Benefits - Narrative (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Dec. 31, 2017
Defined Benefit Plan Disclosure [Line Items]
Employee hire date no longer eligible for noncontributory retirement plan	Dec. 08, 2009
Other Post Retirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Expected employer contributions for next fiscal year		$ 80
Defined benefit plan, contributions by employer	$ 53
Defined benefit plan, benefits paid	53
Nonqualified Plan [Member] | Retirement Plans [Member]
Defined Benefit Plan Disclosure [Line Items]
Expected employer contributions for next fiscal year		$ 158
Defined benefit plan, contributions by employer	80
Defined benefit plan, benefits paid	$ 1,300

XML

Retirement Plans and Other Postretirement Benefits - Components of Net Periodic Benefit Cost (Income) (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Retirement Plans [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	$ 140	$ 124	$ 280	$ 275
Interest cost	439	487	880	952
Expected return on plan assets	(795)	(748)	(1,591)	(1,501)
Amortization of net actuarial loss	281	289	561	577
Accretion of prior service cost	(71)	(71)	(142)	(141)
Net periodic benefit (income) cost	(6)	81	(12)	162
Other Post Retirement Benefits [Member]
Defined Benefit Plan Disclosure [Line Items]
Service cost	22	12	44	24
Interest cost	23	30	46	59
Expected return on plan assets	0	0	0	0
Amortization of net actuarial loss	1	10	2	21
Accretion of prior service cost	0	0	0	0
Net periodic benefit (income) cost	$ 46	$ 52	$ 92	$ 104

XML

Stock-Based Incentive Plan - Additional Information (Detail) - shares	12 Months Ended
	Dec. 31, 2017	Dec. 31, 2016	Dec. 31, 2015	Jun. 30, 2018
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share awards authorized for issuance				3,698,974
Fox Chase Bank [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized		857,191
Valley Green Bank [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized			473,483
Common Stock Issuance [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Share-based Compensation Arrangement by Share-based Payment Award, Number of Additional Shares Authorized	330,625

XML

Stock-Based Incentive Plan - Status of Options Granted Under Long-Term Incentive Plan (Detail) $ / shares in Units, $ in Thousands	6 Months Ended
	Jun. 30, 2018 USD ($) $ / shares shares
Shares Under Option
Shares Under Option, Outstanding, Beginning balance | shares	512,735
Shares Under Option, Granted | shares	193,778
Shares Under Option, Expired | shares	0
Shares Under Option, Forfeited | shares	(12,537)
Shares Under Option, Exercised | shares	(36,990)
Share Under Option, Outstanding, Ending balance | shares	656,986
Shares Under Options, Exercisable at June 30, 2018 | shares	279,627
Weighted Average Exercise Price Per Share [Abstract]
Weighted Average Exercise Price Per Share, Outstanding, Beginning balance | $ / shares	$ 21.90
Weighted Average Exercise Price Per Share, Granted | $ / shares	28.50
Weighted Average Exercise Price Per Share, Expired | $ / shares	0.00
Weighted Average Exercise Price Per Share, Forfeited | $ / shares	25.48
Weighted Average Exercise Price Per Share, Exercised | $ / shares	19.21
Weighted Average Exercise Price Per Share, Outstanding, Ending balance | $ / shares	23.93
Weighted Average Exercise Price Per Share, Exercisable at June 30, 2018 | $ / shares	$ 20.26
Weighted Average Remaining Contractual Life, Outstanding at June 30, 2018	7 years 8 months 12 days
Weighted Average Remaining Contractual Life, Exercisable at June 30, 2018	6 years
Aggregate Intrinsic Value, Outstanding at June 30, 2018 | $	$ 2,648
Aggregate Intrinsic Value, Exercisable at June 30, 2018 | $	$ 2,063

XML

Stock-Based Incentive Plan - Summary of Nonvested Stock Options (Details) - $ / shares	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Number of Shares [Roll Forward]
Nonvested Stock Options, Beginning balance	352,142
Nonvested Stock Options, Granted	193,778
Nonvested Stock Options, Vested	(156,024)
Nonvested Stock Options, Forfeited	(12,537)
Nonvested Stock Options, Ending balance	377,359
Share-based Compensation Arrangement by Share-based Payment Award, Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Weighted Average Grant Date Fair Value, Beginning balance	$ 6.47
Weighted Average Grant Date Fair Value, Granted	6.46	$ 6.72
Weighted Average Grant Date Fair Value, Vested	6.45
Weighted Average Grant Date Fair Value, Forfeited	6.48
Weighted Average Grant Date Fair Value, Ending balance	$ 6.48

XML

Stock-Based Incentive Plan - Aggregated Assumptions Used to Estimate Fair Value of Options Granted (Detail) - $ / shares	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Disclosure of Compensation Related Costs, Share-based Payments [Abstract]
Expected option life in years	6 years 7 months 6 days	6 years 10 months 24 days
Risk free interest rate	2.80%	2.30%
Expected dividend yield	2.81%	2.84%
Expected volatility	27.15%	29.75%
Fair value of options	$ 6.46	$ 6.72

XML

Stock-Based Incentive Plan - Summary of Nonvested Restricted Stock Awards (Detail)	6 Months Ended
	Jun. 30, 2018 $ / shares shares
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Number of Shares [Roll Forward]
Nonvested Share Awards, Beginning balance | shares	229,026
Nonvested Share Awards, Granted | shares	59,953
Nonvested Share Awards, Vested | shares	(43,200)
Nonvested Share Awards, Forfeited | shares	(22,938)
Nonvested Share awards, Ending balance | shares	222,841
Share-based Compensation Arrangement by Share-based Payment Award, Equity Instruments Other than Options, Nonvested, Weighted Average Grant Date Fair Value [Abstract]
Weighted Average Grant Date Fair Value, Beginning balance | $ / shares	$ 21.93
Weighted Average Grant Date Fair Value, Granted | $ / shares	28.39
Weighted Average Grant Date Fair Value, Vested | $ / shares	18.59
Weighted Average Grant Date Fair Value, Forfeited | $ / shares	20.80
Weighted Average Grant Date Fair Value, Ending balance | $ / shares	$ 24.44

XML

Stock-Based Incentive Plan - Certain Information Regarding Restricted Stock (Detail) - USD ($) $ / shares in Units, $ in Thousands	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	59,953
Weighted average grant date fair value	$ 28.39
Restricted Stock [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Shares granted	59,953	61,823
Weighted average grant date fair value	$ 28.39	$ 28.08
Intrinsic value of awards vested	$ 1,193	$ 1,367

XML

Stock-Based Incentive Plan - Schedule of Unrecognized Compensation Cost, Nonvested Awards (Detail) $ in Thousands	6 Months Ended
	Jun. 30, 2018 USD ($)
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized Compensation Cost	$ 4,501
Weighted-Average Period Remaining (Years)	2 years
Stock Options [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized Compensation Cost	$ 1,935
Weighted-Average Period Remaining (Years)	2 years 1 month 6 days
Restricted Stock Awards [Member]
Share-based Compensation Arrangement by Share-based Payment Award [Line Items]
Unrecognized Compensation Cost	$ 2,566
Weighted-Average Period Remaining (Years)	2 years

XML

Stock-Based Incentive Plan - Compensation Expense Related to Stock Incentive Plans Recognized (Detail) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Stock-based compensation expense:
Total Expense	$ 1,753	$ 1,740
Tax benefit on nonqualified stock option expense, restricted stock awards and disqualifying dispositions of incentive stock options	413	828
Stock Options [Member]
Stock-based compensation expense:
Total Expense	515	454
Restricted Stock Awards [Member]
Stock-based compensation expense:
Total Expense	1,204	1,254
Employee Stock Purchase Plan [Member]
Stock-based compensation expense:
Total Expense	$ 34	$ 32

XML

Accumulated Other Comprehensive (Loss) Income - Components of Accumulated Other Comprehensive (Loss) Income, Net of Taxes (Details) - USD ($) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Beginning balance				$ (17,771)	$ (19,454)
Net Change		$ (1,216)	$ 1,810	(5,882)	2,272
Ending balance		(28,007)	(17,182)	(28,007)	(17,182)
Accounting Standards Update 2016-01 [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption						$ 0
Accounting Standards Update 2018-02 [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption						0
Net Unrealized Holding (Losses) Gains on Available-for-Sale Investment Securities [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Beginning balance				(4,061)	(4,988)
Net Change				(6,525)	1,961
Ending balance		(11,987)	(3,027)	(11,987)	(3,027)
Net Unrealized Holding (Losses) Gains on Available-for-Sale Investment Securities [Member] | Accounting Standards Update 2016-01 [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption	[1]					(433)
Net Unrealized Holding (Losses) Gains on Available-for-Sale Investment Securities [Member] | Accounting Standards Update 2018-02 [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption	[1]					(968)
Net Change Related to Derivative Used for Cash Flow Hedge [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Beginning balance				9	(141)
Net Change				310	14
Ending balance		321	(127)	321	(127)
Net Change Related to Derivative Used for Cash Flow Hedge [Member] | Accounting Standards Update 2016-01 [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption	[1]					0
Net Change Related to Derivative Used for Cash Flow Hedge [Member] | Accounting Standards Update 2018-02 [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption	[1]					2
Net Change Related to Defined Benefit Pension Plan [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Beginning balance				(13,719)	(14,325)
Net Change				333	297
Ending balance		$ (16,341)	$ (14,028)	(16,341)	(14,028)
Net Change Related to Defined Benefit Pension Plan [Member] | Accounting Standards Update 2016-01 [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption	[1]					0
Net Change Related to Defined Benefit Pension Plan [Member] | Accounting Standards Update 2018-02 [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption	[1]					(2,955)
Accumulated Other Comprehensive (Loss) Income [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Net Change				$ (5,882)	$ 2,272
Accumulated Other Comprehensive (Loss) Income [Member] | Accounting Standards Update 2016-01 [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption	[1],[2]					(433)
Accumulated Other Comprehensive (Loss) Income [Member] | Accounting Standards Update 2018-02 [Member]
Reclassification from Accumulated Other Comprehensive Income, Current Period, Net of Tax [Abstract]
Cumulative Effect of New Accounting Pronouncement in Period of Adoption	[1],[2]					$ (3,921)

[1] (1) See Note 1, "Summary of Significant Accounting Policies - Accounting Pronouncements Adopted in 2018" for additional information.

[2] (1) See Note 1, "Summary of Significant Accounting Policies - Accounting Pronouncements Adopted in 2018" for additional information.

XML

Derivative Instruments and Hedging Activities - Narrative (Details)	6 Months Ended	12 Months Ended
	Jun. 30, 2018 USD ($) instrument	Dec. 31, 2014 USD ($)	Dec. 31, 2017 USD ($)
Derivative [Line Items]
Loans receivable with fixed rates of interest maturity period		10 years
Loans receivable with fixed rates		$ 29,100,000
Designated as Hedging Instrument [Member]
Derivative [Line Items]
Notional Amount	$ 18,827,000		$ 19,224,000
Derivative Liabilities	0		12,000
Not Designated as Hedging Instrument [Member]
Derivative [Line Items]
Notional Amount	137,411,000		132,593,000
Derivative Liabilities	$ 153,000		74,000
Interest Rate Swap [Member] | Not Designated as Hedging Instrument [Member]
Derivative [Line Items]
Loans receivable with fixed rates of interest maturity period	15 years
Derivative fixed interest rate	7.43%
Notional Amount	$ 471,000		523,000
Loans receivable fixed interest rate (percentage)	7.43%
Credit Risk Contract [Member] | Not Designated as Hedging Instrument [Member]
Derivative [Line Items]
Notional Amount	$ 75,734,000		75,622,000
Derivative number of instruments held | instrument	15
Underlying derivative at fair value	$ 37,000
Cash Flow Hedging [Member] | Interest Rate Swap [Member]
Derivative [Line Items]
Derivative asset notional amount		$ 20,000,000
Derivative fixed interest rate		2.10%
Interest rate cash flow hedge gain (loss) to be reclassified during next 12 months	0
Cash Flow Hedging [Member] | Interest Rate Swap [Member] | Designated as Hedging Instrument [Member]
Derivative [Line Items]
Notional Amount	17,460,000		17,836,000
Cash Flow Hedging [Member] | Interest Rate Swap [Member] | Designated as Hedging Instrument [Member] | Other Assets [Member]
Derivative [Line Items]
Derivative Liabilities	$ 407,000
Fair Value Hedging [Member] | Interest Rate Swap [Member] | Designated as Hedging Instrument [Member]
Derivative [Line Items]
Loans receivable with fixed rates of interest maturity period	10 years
Derivative fixed interest rate	5.83%
Notional Amount	$ 1,367,000		$ 1,388,000
Loans receivable fixed interest rate (percentage)	5.83%
Minimum [Member] | Credit Risk Contract [Member] | Not Designated as Hedging Instrument [Member]
Derivative [Line Items]
Derivative remaining maturity	1 year
Maximum [Member] | Credit Risk Contract [Member] | Not Designated as Hedging Instrument [Member]
Derivative [Line Items]
Derivative remaining maturity	10 years
One-Month LIBOR [Member] | Interest Rate Swap [Member] | Not Designated as Hedging Instrument [Member]
Derivative [Line Items]
Derivative basis spread on variable rate	2.24%
One-Month LIBOR [Member] | Fair Value Hedging [Member] | Interest Rate Swap [Member] | Designated as Hedging Instrument [Member]
Derivative [Line Items]
Derivative basis spread on variable rate	3.50%

XML

Derivative Instruments and Hedging Activities - Derivatives Designated as Hedging Instruments (Detail) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended		12 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Derivative Instruments, Gain (Loss) [Line Items]
Net unrealized holding gains (losses) arising during the period	$ 154	$ (92)	$ 366	$ (85)
Designated as Hedging Instrument [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	18,827		18,827		$ 19,224
Derivative Assets	422		422		13
Derivative Liabilities	0		0		12
Net loss	(4)	(34)	(24)	(102)
Net unrealized holding gains (losses) arising during the period			321		9
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Cash Flow Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	17,460		17,460		17,836
Net unrealized holding gains (losses) arising during the period			321		9
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Cash Flow Hedging [Member] | Interest Expense [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Net loss	6	36	26	107
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Cash Flow Hedging [Member] | Other Assets [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Assets	407		407		13
Derivative Liabilities	407		407
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Cash Flow Hedging [Member] | Other Liabilities [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	0		0		0
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Fair Value Hedging [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Notional Amount	1,367		1,367		1,388
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Fair Value Hedging [Member] | Other Noninterest Income [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Net loss	2	$ 2	2	$ 5
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Fair Value Hedging [Member] | Other Assets [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Assets	15		15		0
Designated as Hedging Instrument [Member] | Interest Rate Swap [Member] | Fair Value Hedging [Member] | Other Liabilities [Member]
Derivative Instruments, Gain (Loss) [Line Items]
Derivative Liabilities	$ 0		$ 0		$ 12

XML

Derivative Instruments and Hedging Activities - Derivatives Not Designated as Hedging Instruments (Detail) - Not Designated as Hedging Instrument [Member] - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017	Dec. 31, 2017
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Notional Amount	$ 137,411		$ 137,411		$ 132,593
Derivative Assets	632		632		588
Derivative Liabilities	153		153		74
Derivative instruments not designated as hedging instruments gain (loss), net	167	$ 370	(10)	$ 594
Interest Rate Swap [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Notional Amount	471		471		523
Interest Rate Swap [Member] | Other Assets [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative Assets	0		0		0
Interest Rate Swap [Member] | Other Liabilities [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative Liabilities	25		25		38
Credit Risk Contract [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Notional Amount	75,734		75,734		75,622
Credit Risk Contract [Member] | Other Noninterest Income [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative instruments not designated as hedging instruments gain (loss), net	34	53	38	124
Credit Risk Contract [Member] | Other Assets [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative Assets	0		0		0
Credit Risk Contract [Member] | Other Liabilities [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative Liabilities	37		37		36
Interest Rate Locks with Customers [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Notional Amount	29,737		29,737		27,411
Interest Rate Locks with Customers [Member] | Mortgage Banking Activities [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative instruments not designated as hedging instruments gain (loss), net	237	155	105	562
Interest Rate Locks with Customers [Member] | Other Assets [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative Assets	632		632		527
Interest Rate Locks with Customers [Member] | Other Liabilities [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative Liabilities	0		0		0
Forward Loan Sale Commitments [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Notional Amount	31,469		31,469		29,037
Forward Loan Sale Commitments [Member] | Mortgage Banking Activities [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative instruments not designated as hedging instruments gain (loss), net	(104)	$ 162	(153)	$ (92)
Forward Loan Sale Commitments [Member] | Other Assets [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative Assets	0		0		61
Forward Loan Sale Commitments [Member] | Other Liabilities [Member]
Derivative Notional Amount And Fair Value By Balance Sheet Not Designated As Hedging Instrument [Line Items]
Derivative Liabilities	$ 91		$ 91		$ 0

XML

Fair Value Disclosures - Narrative (Details)	6 Months Ended
	Jun. 30, 2018 USD ($) loan property	Jun. 30, 2017 USD ($)	Dec. 31, 2017 USD ($)
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Adjustment of Contingent Consideration	$ 28,000	$ (275,000)
Valuation adjustments for loans held for sale	0	0
Carrying value of impaired loans and leases held for investment	32,680,000		$ 28,482,000
Valuation allowance of impaired loans held for investment	1,524,000		131,000
Servicing rights carrying amount before valuation allowance	6,700,000		6,573,000
Servicing rights valuation allowance	0		0
Impaired loans with no related reserve, Recorded Investment	$ 16,953,000		27,454,000
Number of properties written-down | property	2
OREO write-downs	$ 503,000
number of properties transferred | property	2
Transfer of loans to other real estate owned	$ 402,000	653,000
Other real estate owned	1,742,000		1,843,000
Sterner Insurance Associates Inc [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Adjustment of Contingent Consideration		(303,000)
Girard Partners [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Adjustment of Contingent Consideration	28,000	$ 28,000
Held for Investment [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Carrying value of impaired loans and leases held for investment	32,700,000
Valuation allowance of impaired loans held for investment	1,524,000		131,000
Lease Financings [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Valuation allowance of impaired loans held for investment	0		0
Impaired loans with no related reserve, Recorded Investment	$ 1,300,000		$ 1,300,000
Interest Rate Swap [Member] | Derivative Financial Instruments, Liabilities [Member] | Level 3 [Member]
Fair Value, Balance Sheet Grouping, Financial Statement Captions [Line Items]
Number of loans with unrealized gain | loan	2
Unrealized gain on loans	$ 15,000

XML

Fair Value Disclosures - Assets and Liabilities Measured at Fair Value on Recurring Basis (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Assets:
Total available-for-sale securities	$ 347,804	$ 398,518
Investments in equity securities	2,672
Investments in equity securities		7,061
Total assets	1,847		$ 2,058
Fair Value Measured on Recurring Basis [Member]
Assets:
Total available-for-sale securities	347,804	391,457
Investments in equity securities	2,672
Investments in equity securities		7,061
Loans	1,847	1,958
Total assets	353,377	401,077
Liabilities:
Total liabilities	453	425
Fair Value Measured on Recurring Basis [Member] | Contingent Consideration Liability [Member]
Liabilities:
Derivative liabilities	300	339
Fair Value Measured on Recurring Basis [Member] | Interest Rate Swap [Member]
Liabilities:
Derivative liabilities	25	50
Fair Value Measured on Recurring Basis [Member] | Credit Risk Contract [Member]
Liabilities:
Derivative liabilities	37	36
Fair Value Measured on Recurring Basis [Member] | Forward Loan Sale Commitments [Member]
Liabilities:
Derivative liabilities	91
Fair Value Measured on Recurring Basis [Member] | U.S. Government Corporations and Agencies [Member]
Assets:
Total available-for-sale securities	15,339	16,961
Fair Value Measured on Recurring Basis [Member] | State and Political Subdivisions [Member]
Assets:
Total available-for-sale securities	69,910	78,297
Fair Value Measured on Recurring Basis [Member] | Residential Mortgage-Backed Securities [Member]
Assets:
Total available-for-sale securities	165,609	185,421
Fair Value Measured on Recurring Basis [Member] | Collateralized Mortgage Obligations [Member]
Assets:
Total available-for-sale securities	3,171	3,602
Fair Value Measured on Recurring Basis [Member] | Corporate Bonds [Member]
Assets:
Total available-for-sale securities	93,775	107,176
Fair Value Measured on Recurring Basis [Member] | Money Market Mutual Funds [Member]
Assets:
Investments in equity securities	1,563
Investments in equity securities		5,985
Fair Value Measured on Recurring Basis [Member] | Equity Securities [Member]
Assets:
Investments in equity securities	1,109
Investments in equity securities		1,076
Fair Value Measured on Recurring Basis [Member] | Interest Rate Swap [Member]
Assets:
Derivative assets	422
Liabilities:
Derivative liabilities		13
Fair Value Measured on Recurring Basis [Member] | Interest Rate Locks with Customers [Member]
Assets:
Derivative assets	632	527
Fair Value Measured on Recurring Basis [Member] | Forward Loan Sale Commitments [Member]
Assets:
Derivative assets		61
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member]
Assets:
Total available-for-sale securities	0	0
Investments in equity securities	2,672
Investments in equity securities		7,061
Loans	0	0
Total assets	2,672	7,061
Liabilities:
Total liabilities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Contingent Consideration Liability [Member]
Liabilities:
Derivative liabilities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Interest Rate Swap [Member]
Liabilities:
Derivative liabilities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Credit Risk Contract [Member]
Liabilities:
Derivative liabilities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Forward Loan Sale Commitments [Member]
Liabilities:
Derivative liabilities	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | U.S. Government Corporations and Agencies [Member]
Assets:
Total available-for-sale securities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | State and Political Subdivisions [Member]
Assets:
Total available-for-sale securities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Residential Mortgage-Backed Securities [Member]
Assets:
Total available-for-sale securities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Collateralized Mortgage Obligations [Member]
Assets:
Total available-for-sale securities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Corporate Bonds [Member]
Assets:
Total available-for-sale securities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Money Market Mutual Funds [Member]
Assets:
Investments in equity securities	1,563
Investments in equity securities		5,985
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Equity Securities [Member]
Assets:
Investments in equity securities	1,109
Investments in equity securities		1,076
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Interest Rate Swap [Member]
Assets:
Derivative assets	0
Liabilities:
Derivative liabilities		0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Interest Rate Locks with Customers [Member]
Assets:
Derivative assets	0	0
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member] | Forward Loan Sale Commitments [Member]
Assets:
Derivative assets		0
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member]
Assets:
Total available-for-sale securities	321,418	363,471
Investments in equity securities	0
Investments in equity securities		0
Loans	0	0
Total assets	322,472	364,072
Liabilities:
Total liabilities	116	50
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Contingent Consideration Liability [Member]
Liabilities:
Derivative liabilities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Interest Rate Swap [Member]
Liabilities:
Derivative liabilities	25	50
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Credit Risk Contract [Member]
Liabilities:
Derivative liabilities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Forward Loan Sale Commitments [Member]
Liabilities:
Derivative liabilities	91
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | U.S. Government Corporations and Agencies [Member]
Assets:
Total available-for-sale securities	15,339	16,961
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | State and Political Subdivisions [Member]
Assets:
Total available-for-sale securities	69,910	78,297
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Residential Mortgage-Backed Securities [Member]
Assets:
Total available-for-sale securities	165,609	185,421
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Collateralized Mortgage Obligations [Member]
Assets:
Total available-for-sale securities	3,171	3,602
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Corporate Bonds [Member]
Assets:
Total available-for-sale securities	67,389	79,190
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Money Market Mutual Funds [Member]
Assets:
Investments in equity securities	0
Investments in equity securities		0
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Equity Securities [Member]
Assets:
Investments in equity securities	0
Investments in equity securities		0
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Interest Rate Swap [Member]
Assets:
Derivative assets	422
Liabilities:
Derivative liabilities		13
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Interest Rate Locks with Customers [Member]
Assets:
Derivative assets	632	527
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member] | Forward Loan Sale Commitments [Member]
Assets:
Derivative assets		61
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member]
Assets:
Total available-for-sale securities	26,386	27,986
Investments in equity securities	0
Investments in equity securities		0
Loans	1,847	1,958
Total assets	28,233	29,944
Liabilities:
Total liabilities	337	375
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Contingent Consideration Liability [Member]
Liabilities:
Derivative liabilities	300	339
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Interest Rate Swap [Member]
Liabilities:
Derivative liabilities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Credit Risk Contract [Member]
Liabilities:
Derivative liabilities	37	36
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Forward Loan Sale Commitments [Member]
Liabilities:
Derivative liabilities	0
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | U.S. Government Corporations and Agencies [Member]
Assets:
Total available-for-sale securities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | State and Political Subdivisions [Member]
Assets:
Total available-for-sale securities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Residential Mortgage-Backed Securities [Member]
Assets:
Total available-for-sale securities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Collateralized Mortgage Obligations [Member]
Assets:
Total available-for-sale securities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Corporate Bonds [Member]
Assets:
Total available-for-sale securities	26,386	27,986
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Money Market Mutual Funds [Member]
Assets:
Investments in equity securities	0
Investments in equity securities		0
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Equity Securities [Member]
Assets:
Investments in equity securities	0
Investments in equity securities		0
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Interest Rate Swap [Member]
Assets:
Derivative assets	0
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Interest Rate Locks with Customers [Member]
Assets:
Derivative assets	$ 0	0
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member] | Forward Loan Sale Commitments [Member]
Assets:
Derivative assets		$ 0

XML

Fair Value Disclosures - Level 3 Roll Forward (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Fair Value, Measurement with Unobservable Inputs Reconciliation, Recurring Basis, Net Asset (Liability) Value [Roll Forward]
Beginning balance	$ 29,908	$ 30,907
Purchases/additions	(40)	(272)
Sales	0	0
Payments received	(73)	(67)
Premium amortization, net	0	0
(Decrease) increase in value	(1,599)	(280)
Ending balance	28,196	30,288
Derivative Financial Instruments, Liabilities [Member] | Credit Risk Contract [Member]
Fair Value, Liabilities Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	(36)	(9)
Purchases/additions	(40)	(272)
Sales	0	0
Payments received	0	0
Premium amortization, net	0	0
(Decrease) increase in value	39	124
Ending balance	(37)	(157)
Corporate Debt Securities [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	27,986	28,778
Purchases/additions	0	0
Sales	0	0
Payments received		0
Premium amortization, net	0	0
(Decrease) increase in value	(1,600)	(391)
Ending balance	26,386	28,387
Loans [Member]
Fair Value, Assets Measured on Recurring Basis, Unobservable Input Reconciliation, Calculation [Roll Forward]
Beginning balance	1,958	2,138
Purchases/additions	0	0
Sales	0	0
Payments received	(73)	(67)
Premium amortization, net	0	0
(Decrease) increase in value	(38)	(13)
Ending balance	$ 1,847	$ 2,058

XML

Fair Value Disclosures - Change in Contingent Consideration Liability (Details) - USD ($) $ in Thousands	6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017
Change in Contingent Consideration Liability [Roll Forward]
Beginning Balance	$ 339	$ 5,999
Contingent Consideration from New Acquisition	0	0
Payment of Contingent Consideration	67	5,317
Adjustment of Contingent Consideration	28	(275)
Ending Balance	300	407
Sterner Insurance Associates Inc [Member]
Change in Contingent Consideration Liability [Roll Forward]
Beginning Balance		331
Contingent Consideration from New Acquisition		0
Payment of Contingent Consideration		0
Adjustment of Contingent Consideration		(303)
Ending Balance		28
Girard Partners [Member]
Change in Contingent Consideration Liability [Roll Forward]
Beginning Balance	339	5,668
Contingent Consideration from New Acquisition	0	0
Payment of Contingent Consideration	67	5,317
Adjustment of Contingent Consideration	28	28
Ending Balance	$ 300	$ 379

XML

Fair Value Disclosures - Assets Measured at Fair Value on Non-recurring Basis (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Fair Value, Assets Measured on Recurring and Nonrecurring Basis [Line Items]
Other real estate owned	$ 1,742	$ 1,843
Total assets	1,847		$ 2,058
Fair Value, Measurements, Nonrecurring [Member]
Fair Value, Assets Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans held for investment	31,156	28,351
Impaired leases held for investment	1,250	1,250
Other real estate owned	1,742	1,843
Total assets	34,148	31,444
Fair Value, Measurements, Nonrecurring [Member] | Level 1 [Member]
Fair Value, Assets Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans held for investment	0	0
Impaired leases held for investment	0	0
Other real estate owned	0	0
Total assets	0	0
Fair Value, Measurements, Nonrecurring [Member] | Level 2 [Member]
Fair Value, Assets Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans held for investment	0	0
Impaired leases held for investment	0	0
Other real estate owned	0	0
Total assets	0	0
Fair Value, Measurements, Nonrecurring [Member] | Level 3 [Member]
Fair Value, Assets Measured on Recurring and Nonrecurring Basis [Line Items]
Impaired loans held for investment	31,156	28,351
Impaired leases held for investment	1,250	1,250
Other real estate owned	1,742	1,843
Total assets	$ 34,148	$ 31,444

XML

Fair Value Disclosures - Assets, Liabilities and Off-balance Sheet Items Not Measured at Fair Value (Details) - USD ($) $ in Thousands	Jun. 30, 2018	Dec. 31, 2017	Jun. 30, 2017
Assets:
Held-to-maturity securities	$ 94,642	$ 55,320
Other real estate owned	1,742	1,843
Total assets	1,847		$ 2,058
Deposits:
Time deposits	594,395	574,749
Subordinated notes	94,453	94,331
Fair Value [Member]
Assets:
Cash and short-term interest-earning assets	72,943	75,409
Held-to-maturity securities	94,642	55,320
Loans held for sale	1,815	1,676
Net loans and leases held for investment	3,742,808	3,547,451
Servicing rights	11,619	10,046
Total assets	3,923,827	3,689,902
Deposits:
Demand and savings deposits, non-maturity	3,026,391	2,980,170
Time deposits	597,146	574,737
Total deposits	3,623,537	3,554,907
Short-term borrowings	231,853	105,431
Long-term debt	156,868	156,834
Subordinated notes	96,538	98,075
Total liabilities	4,108,796	3,915,247
Off-Balance-Sheet:
Commitments to extend credit	(2,469)	(2,414)
Fair Value [Member] | Level 1 [Member]
Assets:
Cash and short-term interest-earning assets	72,943	75,409
Held-to-maturity securities	0	0
Loans held for sale	0	0
Net loans and leases held for investment	0	0
Servicing rights	0	0
Total assets	72,943	75,409
Deposits:
Demand and savings deposits, non-maturity	3,026,391	2,980,170
Time deposits	0	0
Total deposits	3,026,391	2,980,170
Short-term borrowings	0	0
Long-term debt	0	0
Subordinated notes	0	0
Total liabilities	3,026,391	2,980,170
Off-Balance-Sheet:
Commitments to extend credit	0	0
Fair Value [Member] | Level 2 [Member]
Assets:
Cash and short-term interest-earning assets	0	0
Held-to-maturity securities	94,642	55,320
Loans held for sale	1,815	1,676
Net loans and leases held for investment	0	0
Servicing rights	0	0
Total assets	96,457	56,996
Deposits:
Demand and savings deposits, non-maturity	0	0
Time deposits	597,146	574,737
Total deposits	597,146	574,737
Short-term borrowings	231,853	105,431
Long-term debt	156,868	156,834
Subordinated notes	96,538	98,075
Total liabilities	1,082,405	935,077
Off-Balance-Sheet:
Commitments to extend credit	(2,469)	(2,414)
Fair Value [Member] | Level 3 [Member]
Assets:
Cash and short-term interest-earning assets	0	0
Held-to-maturity securities	0	0
Loans held for sale	0	0
Net loans and leases held for investment	3,742,808	3,547,451
Servicing rights	11,619	10,046
Total assets	3,754,427	3,557,497
Deposits:
Demand and savings deposits, non-maturity	0	0
Time deposits	0	0
Total deposits	0	0
Short-term borrowings	0	0
Long-term debt	0	0
Subordinated notes	0	0
Total liabilities	0	0
Off-Balance-Sheet:
Commitments to extend credit	0	0
Carrying Amount [Member]
Assets:
Cash and short-term interest-earning assets	72,943	75,409
Held-to-maturity securities	96,457	55,564
Federal Home Loan Bank, Federal Reserve Bank and other stock	32,768	27,204
Loans held for sale	1,778	1,642
Net loans and leases held for investment	3,758,493	3,566,953
Servicing rights	6,650	6,573
Total assets	3,969,089	3,733,345
Deposits:
Demand and savings deposits, non-maturity	3,026,391	2,980,170
Time deposits	594,395	574,749
Total deposits	3,620,786	3,554,919
Short-term borrowings	231,853	105,431
Long-term debt	155,556	155,828
Subordinated notes	94,453	94,331
Total liabilities	4,102,648	3,910,509
Off-Balance-Sheet:
Commitments to extend credit	0	0
Fair Value Measured on Recurring Basis [Member]
Assets:
Net loans and leases held for investment	1,847	1,958
Total assets	353,377	401,077
Deposits:
Total liabilities	453	425
Fair Value Measured on Recurring Basis [Member] | Level 1 [Member]
Assets:
Net loans and leases held for investment	0	0
Total assets	2,672	7,061
Deposits:
Total liabilities	0	0
Fair Value Measured on Recurring Basis [Member] | Level 2 [Member]
Assets:
Net loans and leases held for investment	0	0
Total assets	322,472	364,072
Deposits:
Total liabilities	116	50
Fair Value Measured on Recurring Basis [Member] | Level 3 [Member]
Assets:
Net loans and leases held for investment	1,847	1,958
Total assets	28,233	29,944
Deposits:
Total liabilities	$ 337	$ 375

XML

Segment Reporting (Details) $ in Thousands		3 Months Ended		6 Months Ended
		Jun. 30, 2018 USD ($)	Jun. 30, 2017 USD ($)	Jun. 30, 2018 USD ($) segment	Jun. 30, 2017 USD ($)	Dec. 31, 2017 USD ($)
Segment Reporting [Abstract]
Reportable business segments | segment				3
Segment Reporting Information [Line Items]
Total assets		$ 4,749,181	$ 4,453,527	$ 4,749,181	$ 4,453,527	$ 4,554,862
Interest income		46,460	40,030	89,994	78,426
Interest expense		7,470	4,730	13,732	8,843
Net interest income	[1]	38,990	35,300	76,262	69,583
Provision for loan and lease losses		15,409	2,766	17,462	5,211
Noninterest income		15,314	16,009	30,896	30,979
Intangible expenses		594	446	1,206	1,205
Restructuring charges				571
Other noninterest expense		33,753	32,102	67,695	63,373
Intersegment (revenue) expense		0	0	0	0
Income before income taxes		4,548	15,995	20,224	30,773
Income tax expense		191	4,217	3,017	8,139
Net income		4,357	11,778	17,207	22,634
Capital expenditures		872	2,256	1,953	6,644
Banking [Member]
Segment Reporting Information [Line Items]
Total assets		4,656,201	4,366,362	4,656,201	4,366,362	4,466,301
Interest income		46,444	40,022	89,966	78,414
Interest expense		6,209	3,469	11,210	6,321
Net interest income	[1]	40,235	36,553	78,756	72,093
Provision for loan and lease losses		15,409	2,766	17,462	5,211
Noninterest income		5,461	6,790	10,250	11,952
Intangible expenses		329	398	658	794
Restructuring charges				571
Other noninterest expense		26,723	24,160	54,384	49,216
Intersegment (revenue) expense		(295)	(264)	(586)	(528)
Income before income taxes		3,530	16,283	16,517	29,352
Income tax expense		(162)	4,193	1,836	7,721
Net income		3,692	12,090	14,681	21,631
Capital expenditures		820	2,019	1,790	6,339
Wealth Management [Member]
Segment Reporting Information [Line Items]
Total assets		37,227	32,806	37,227	32,806	34,600
Interest income		8	1	13	2
Interest expense		0	0	0	0
Net interest income	[1]	8	1	13	2
Provision for loan and lease losses		0	0	0	0
Noninterest income		5,862	5,399	11,602	10,537
Intangible expenses		137	168	279	338
Restructuring charges				0
Other noninterest expense		3,628	3,512	7,286	6,932
Intersegment (revenue) expense		156	146	309	292
Income before income taxes		1,949	1,574	3,741	2,977
Income tax expense		597	639	1,142	1,164
Net income		1,352	935	2,599	1,813
Capital expenditures		40	11	89	22
Insurance [Member]
Segment Reporting Information [Line Items]
Total assets		29,295	25,241	29,295	25,241	27,846
Interest income		0	0	0	0
Interest expense		0	0	0	0
Net interest income	[1]	0	0	0	0
Provision for loan and lease losses		0	0	0	0
Noninterest income		3,904	3,746	8,990	8,293
Intangible expenses		128	(120)	269	73
Restructuring charges				0
Other noninterest expense		3,093	2,846	6,338	5,915
Intersegment (revenue) expense		139	118	277	236
Income before income taxes		544	902	2,106	2,069
Income tax expense		163	379	619	871
Net income		381	523	1,487	1,198
Capital expenditures		2	192	9	199
Other Segments [Member]
Segment Reporting Information [Line Items]
Total assets		26,458	29,118	26,458	29,118	$ 26,115
Interest income		8	7	15	10
Interest expense		1,261	1,261	2,522	2,522
Net interest income	[1]	(1,253)	(1,254)	(2,507)	(2,512)
Provision for loan and lease losses		0	0	0	0
Noninterest income		87	74	54	197
Intangible expenses		0	0	0	0
Restructuring charges				0
Other noninterest expense		309	1,584	(313)	1,310
Intersegment (revenue) expense		0	0	0	0
Income before income taxes		(1,475)	(2,764)	(2,140)	(3,625)
Income tax expense		(407)	(994)	(580)	(1,617)
Net income		(1,068)	(1,770)	(1,560)	(2,008)
Capital expenditures		$ 10	$ 34	$ 65	$ 84

[1] (1)Net interest income as well as many other revenues for financial assets and liabilities including loans, leases, securities, and derivatives are excluded from the scope of the standard. Noninterest income streams that are out-of-scope of the standard include bank owned life insurance income, sales of investment securities and mortgage banking activities.

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Revenue From Contracts with Customers Revenue From Contracts with Customers (Details) - USD ($) $ in Thousands		3 Months Ended			6 Months Ended
		Jun. 30, 2018	Jun. 30, 2017		Jun. 30, 2018		Jun. 30, 2017
Segment Reporting, Revenue Reconciling Item [Line Items]
Interest Income (Expense), Net	[1]	$ 38,990	$ 35,300		$ 76,262		$ 69,583
Insurance commission and fee income		3,712	3,628		8,600		8,038
Bank owned life insurance income	[1]	1,210	1,622		1,879		2,405
Net gain on sales of investment securities		0	21	[1]	10	[1]	36	[1]
Net gain on mortgage banking activities	[1]	942	1,537		1,658		2,650
Other (loss) income	[2]	(138)	294		(14)		625
Total noninterest income		15,314	16,009		30,896		30,979
Trust fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		2,044	2,016		4,040		3,923
Service charges on deposit accounts
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		1,335	1,313		2,662		2,556
Investment advisory commission and fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		3,778	3,333		7,461		6,514
Other service fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income	[2]	2,431	2,245		4,600		4,232
Banking [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Interest Income (Expense), Net	[1]	40,235	36,553		78,756		72,093
Insurance commission and fee income		0	0		0		0
Bank owned life insurance income	[1]	1,161	1,549		1,859		2,211
Net gain on sales of investment securities	[1]		20		10		33
Net gain on mortgage banking activities	[1]	942	1,537		1,658		2,650
Other (loss) income	[2]	(175)	294		(46)		624
Total noninterest income		5,461	6,790		10,250		11,952
Banking [Member] | Trust fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		0	0		0		0
Banking [Member] | Service charges on deposit accounts
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		1,335	1,313		2,662		2,556
Banking [Member] | Investment advisory commission and fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		0	0		0		0
Banking [Member] | Other service fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income	[2]	2,198	2,077		4,107		3,878
Wealth Management [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Interest Income (Expense), Net	[1]	8	1		13		2
Insurance commission and fee income		0	0		0		0
Bank owned life insurance income	[1]	0	0		0		0
Net gain on sales of investment securities	[1]		0		0		0
Net gain on mortgage banking activities	[1]	0	0		0		0
Other (loss) income	[2]	(1)	0		0		0
Total noninterest income		5,862	5,399		11,602		10,537
Wealth Management [Member] | Trust fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		2,044	2,016		4,040		3,923
Wealth Management [Member] | Service charges on deposit accounts
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		0	0		0		0
Wealth Management [Member] | Investment advisory commission and fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		3,778	3,333		7,461		6,514
Wealth Management [Member] | Other service fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income	[2]	41	50		101		100
Insurance [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Interest Income (Expense), Net	[1]	0	0		0		0
Insurance commission and fee income		3,712	3,628		8,600		8,038
Bank owned life insurance income	[1]	0	0		0		0
Net gain on sales of investment securities	[1]		0		0		0
Net gain on mortgage banking activities	[1]	0	0		0		0
Other (loss) income	[2]	0	0		(2)		1
Total noninterest income		3,904	3,746		8,990		8,293
Insurance [Member] | Trust fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		0	0		0		0
Insurance [Member] | Service charges on deposit accounts
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		0	0		0		0
Insurance [Member] | Investment advisory commission and fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		0	0		0		0
Insurance [Member] | Other service fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income	[2]	192	118		392		254
Other Segments [Member]
Segment Reporting, Revenue Reconciling Item [Line Items]
Interest Income (Expense), Net	[1]	(1,253)	(1,254)		(2,507)		(2,512)
Insurance commission and fee income		0	0		0		0
Bank owned life insurance income	[1]	49	73		20		194
Net gain on sales of investment securities	[1]		1		0		3
Net gain on mortgage banking activities	[1]	0	0		0		0
Other (loss) income	[2]	38	0		34		0
Total noninterest income		87	74		54		197
Other Segments [Member] | Trust fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		0	0		0		0
Other Segments [Member] | Service charges on deposit accounts
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		0	0		0		0
Other Segments [Member] | Investment advisory commission and fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income		0	0		0		0
Other Segments [Member] | Other service fee income
Segment Reporting, Revenue Reconciling Item [Line Items]
Noninterest income	[2]	$ 0	$ 0		$ 0		$ 0

[1] (1)Net interest income as well as many other revenues for financial assets and liabilities including loans, leases, securities, and derivatives are excluded from the scope of the standard. Noninterest income streams that are out-of-scope of the standard include bank owned life insurance income, sales of investment securities and mortgage banking activities.

[2] (2)Other service fee income and other income include certain items that are in scope and certain items that are out of scope of the standard and are described further in the following paragraphs.

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Restructuring Charges - Narrative (Details) $ in Thousands	3 Months Ended			6 Months Ended
	Jun. 30, 2018 USD ($)	Mar. 31, 2018 USD ($) center	Jun. 30, 2017 USD ($)	Jun. 30, 2018 USD ($)	Jun. 30, 2017 USD ($)	Dec. 31, 2017 USD ($)
Restructuring Cost and Reserve [Line Items]
Restructuring charges	$ 0		$ 0	$ 571	$ 0
Restructuring Reserve	$ 327			$ 327		$ 23
Facility closing [Member] | Owned Financial Center [Member]
Restructuring Cost and Reserve [Line Items]
Number of financial centers closed | center		2
Facility closing [Member] | Leased Financial Center [Member]
Restructuring Cost and Reserve [Line Items]
Number of financial centers closed | center		1
Banking [Member]
Restructuring Cost and Reserve [Line Items]
Restructuring charges		$ 571

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Restructuring Charges - Roll-Forward of Accrued Restructuring Expense (Details) - USD ($) $ in Thousands	3 Months Ended		6 Months Ended
	Jun. 30, 2018	Jun. 30, 2017	Jun. 30, 2018	Jun. 30, 2017
Restructuring Reserve [Roll Forward]
Accrued at January 1, 2018			$ 23
Restructuring charges	$ 0	$ 0	571	$ 0
Payments			(219)
Accrued at June 30, 2018	327		327
Non-cash settlement			(48)
Severance expenses [Member]
Restructuring Reserve [Roll Forward]
Accrued at January 1, 2018			0
Restructuring charges			366
Payments			(197)
Accrued at June 30, 2018	169		169
Non-cash settlement			0
Write-downs and retirements of fixed assets [Member]
Restructuring Reserve [Roll Forward]
Accrued at January 1, 2018			0
Restructuring charges			48
Payments			0
Accrued at June 30, 2018	0		0
Non-cash settlement			(48)
Lease cancellations [Member]
Restructuring Reserve [Roll Forward]
Accrued at January 1, 2018			23
Restructuring charges			157
Payments			(22)
Accrued at June 30, 2018	$ 158		158
Non-cash settlement			$ 0