Loans and Leases (Tables)

12 Months Ended

Dec. 31, 2019

Accounts, Notes, Loans and Financing Receivable [Line Items]

Schedule Of Composition of Loans Portfolio

The following table summarizes the composition of our loans and leases held for investment as of the dates indicated:

	December 31,
	2019			2018
	(In thousands)
Real estate mortgage	$	7,982,383		$	7,933,859
Real estate construction and land	2,773,209			2,262,710
Commercial	7,714,358			7,428,500
Consumer	440,790			401,296
Total gross loans and leases held for investment	18,910,740			18,026,365
Deferred fees, net	(63,868		)	(68,652		)
Total loans and leases held for investment, net of deferred fees	18,846,872			17,957,713
Allowance for loan and lease losses	(138,785		)	(132,472		)
Total loans and leases held for investment, net	$	18,708,087		$	17,825,241

Delinquent loans in loan portfolio

The following tables present an aging analysis of our loans and leases held for investment, net of deferred fees, by loan portfolio segment and class as of the dates indicated:

	December 31, 2019
	30 - 89		90 or More
	Days		Days		Total
	Past Due		Past Due		Past Due		Current		Total
	(In thousands)
Real estate mortgage:
Commercial	$	2,448	$	5,919	$	8,367	$	4,194,320	$	4,202,687
Income producing and other residential	2,105		802		2,907		3,767,153		3,770,060
Total real estate mortgage	4,553		6,721		11,274		7,961,473		7,972,747
Real estate construction and land:
Commercial	—		—		—		1,082,368		1,082,368
Residential	1,429		—		1,429		1,654,005		1,655,434
Total real estate construction and land	1,429		—		1,429		2,736,373		2,737,802
Commercial:
Asset-based	19		—		19		3,748,388		3,748,407
Venture capital	—		—		—		2,179,422		2,179,422
Other commercial	2,781		4,164		6,945		1,760,722		1,767,667
Total commercial	2,800		4,164		6,964		7,688,532		7,695,496
Consumer	1,006		200		1,206		439,621		440,827
Total	$	9,788	$	11,085	$	20,873	$	18,825,999	$	18,846,872

	December 31, 2018
	30 - 89		90 or More
	Days		Days		Total
	Past Due		Past Due		Past Due		Current		Total
	(In thousands)
Real estate mortgage:
Commercial	$	3,487	$	7,541	$	11,028	$	4,813,270	$	4,824,298
Income producing and other residential	1,557		476		2,033		3,091,810		3,093,843
Total real estate mortgage	5,044		8,017		13,061		7,905,080		7,918,141
Real estate construction and land:
Commercial	—		442		442		912,141		912,583
Residential	1,527		—		1,527		1,319,546		1,321,073
Total real estate construction and land	1,527		442		1,969		2,231,687		2,233,656
Commercial:
Asset-based	47		646		693		3,304,728		3,305,421
Venture capital	4,705		—		4,705		2,034,043		2,038,748
Other commercial	5,181		1,285		6,466		2,053,960		2,060,426
Total commercial	9,933		1,931		11,864		7,392,731		7,404,595
Consumer	581		333		914		400,407		401,321
Total	$	17,085	$	10,723	$	27,808	$	17,929,905	$	17,957,713

Financing Receivable Non Accrual And Performing

The following table presents our nonaccrual and performing loans and leases held for investment, net of deferred fees, by loan portfolio segment and class as of the dates indicated:  

	December 31,
	2019						2018
	Nonaccrual		Performing		Total		Nonaccrual		Performing		Total
	(In thousands)
Real estate mortgage:
Commercial	$	18,346	$	4,184,341	$	4,202,687	$	15,321	$	4,808,977	$	4,824,298
Income producing and other residential	2,478		3,767,582		3,770,060		2,524		3,091,319		3,093,843
Total real estate mortgage	20,824		7,951,923		7,972,747		17,845		7,900,296		7,918,141
Real estate construction and land:
Commercial	364		1,082,004		1,082,368		442		912,141		912,583
Residential	—		1,655,434		1,655,434		—		1,321,073		1,321,073
Total real estate construction and land	364		2,737,438		2,737,802		442		2,233,214		2,233,656
Commercial:
Asset-based	30,162		3,718,245		3,748,407		32,324		3,273,097		3,305,421
Venture capital	12,916		2,166,506		2,179,422		20,299		2,018,449		2,038,748
Other commercial	27,594		1,740,073		1,767,667		7,380		2,053,046		2,060,426
Total commercial	70,672		7,624,824		7,695,496		60,003		7,344,592		7,404,595
Consumer	493		440,334		440,827		1,043		400,278		401,321
Total	$	92,353	$	18,754,519	$	18,846,872	$	79,333	$	17,878,380	$	17,957,713

CV of Loans Held for Investment by Class by Classified and Nonclassiified

The following tables present the credit risk rating categories for loans and leases held for investment by loan portfolio segment and class as of the dates indicated. Classified loans and leases are those with a credit risk rating of either substandard or doubtful.

	December 31, 2019
	Classified		Special Mention		Pass		Total
	(In thousands)
Real estate mortgage:
Commercial	$	33,535	$	30,070	$	4,139,082	$	4,202,687
Income producing and other residential	8,600		1,711		3,759,749		3,770,060
Total real estate mortgage	42,135		31,781		7,898,831		7,972,747
Real estate construction and land:
Commercial	364		—		1,082,004		1,082,368
Residential	—		1,429		1,654,005		1,655,434
Total real estate construction and land	364		1,429		2,736,009		2,737,802
Commercial:
Asset-based	32,223		38,936		3,677,248		3,748,407
Venture capital	35,316		74,813		2,069,293		2,179,422
Other commercial	65,261		174,785		1,527,621		1,767,667
Total commercial	132,800		288,534		7,274,162		7,695,496
Consumer	613		1,212		439,002		440,827
Total	$	175,912	$	322,956	$	18,348,004	$	18,846,872

	December 31, 2018
	Classified		Special Mention		Pass		Total
	(In thousands)
Real estate mortgage:
Commercial	$	57,734	$	74,785	$	4,691,779	$	4,824,298
Income producing and other residential	10,521		968		3,082,354		3,093,843
Total real estate mortgage	68,255		75,753		7,774,133		7,918,141
Real estate construction and land:
Commercial	442		7,041		905,100		912,583
Residential	—		1,527		1,319,546		1,321,073
Total real estate construction and land	442		8,568		2,224,646		2,233,656
Commercial:
Asset-based	45,957		48,338		3,211,126		3,305,421
Venture capital	28,731		77,588		1,932,429		2,038,748
Other commercial	92,526		50,136		1,917,764		2,060,426
Total commercial	167,214		176,062		7,061,319		7,404,595
Consumer	1,199		1,015		399,107		401,321
Total	$	237,110	$	261,398	$	17,459,205	$	17,957,713

Schedule Of Non Accrual and Performing Restructured Impaired Financing Receivables

Nonaccrual loans and leases and performing TDRs are considered impaired for reporting purposes. TDRs are a result of rate reductions, term extensions, fee concessions and debt forgiveness or a combination thereof. At December 31, 2019 and 2018, we had unfunded commitments related to TDRs of $1.2 million and $1.3 million.

The following table presents the composition of our impaired loans and leases held for investment, net of deferred fees, by loan portfolio segment as of the dates indicated:

	December 31, 2019						December 31, 2018
					Total						Total
	Nonaccrual				Impaired		Nonaccrual				Impaired
	Loans				Loans		Loans				Loans
	and		Performing		and		and		Performing		and
	Leases		TDRs		Leases		Leases		TDRs		Leases
	(In thousands)
Real estate mortgage	$	20,824	$	10,165	$	30,989	$	17,845	$	11,484	$	29,329
Real estate construction and land	364		1,470		1,834		442		5,420		5,862
Commercial	70,672		550		71,222		60,003		692		60,695
Consumer	493		72		565		1,043		105		1,148
Total	$	92,353	$	12,257	$	104,610	$	79,333	$	17,701	$	97,034

Impaired Financing Receivables, Average Balances And Interest Income Recognized

The following tables present information regarding our impaired loans and leases held for investment, net of deferred fees, by loan portfolio segment and class as of and for the years indicated:

	December 31,
	2019						2018
			Unpaid						Unpaid
	Recorded		Principal		Related		Recorded		Principal		Related
Impaired Loans and Leases	Investment		Balance		Allowance		Investment		Balance		Allowance
	(In thousands)
With An Allowance Recorded:
Real estate mortgage:
Commercial	$	479	$	479	$	71	$	1,736	$	1,648	$	170
Income producing and other residential	2,002		2,005		160		2,569		2,563		247
Commercial:
Venture capital	7,811		9,106		2,581		11,621		13,255		3,141
Other commercial	14,805		15,191		3,385		473		482		473
With No Related Allowance Recorded:
Real estate mortgage:
Commercial	$	21,264	$	36,247	$	—	$	17,783	$	32,035	$	—
Income producing and other residential	7,244		9,442		—		7,241		9,425		—
Real estate construction and land:
Commercial	1,834		1,887		—		5,862		5,870		—
Commercial:
Asset-based	30,162		52,139		—		32,324		38,100		—
Venture capital	5,270		44,468		—		8,678		41,335		—
Other commercial	13,174		32,242		—		7,599		25,740		—
Consumer	565		728		—		1,148		1,470		—
Total Loans and Leases With and
Without an Allowance Recorded:
Real estate mortgage	$	30,989	$	48,173	$	231	$	29,329	$	45,671	$	417
Real estate construction and land	1,834		1,887		—		5,862		5,870		—
Commercial	71,222		153,146		5,966		60,695		118,912		3,614
Consumer	565		728		—		1,148		1,470		—
Total	$	104,610	$	203,934	$	6,197	$	97,034	$	171,923	$	4,031

	Year Ended December 31,
	2019				2018				2017 (2)
	Weighted		Interest		Weighted		Interest		Weighted		Interest
	Average		Income		Average		Income		Average		Income
Impaired Loans and Leases	Balance (1)		Recognized		Balance (1)		Recognized		Balance (1)		Recognized
	(In thousands)
With An Allowance Recorded:
Real estate mortgage:
Commercial	$	479	$	31	$	1,736	$	72	$	15,538	$	881
Income producing and other residential	2,001		58		2,199		75		2,787		55
Commercial:
Venture capital	7,008		—		9,449		—		10,228		—
Other commercial	3,710		—		35		—		20,329		60
Consumer	—		—		—		—		100		8
With No Related Allowance Recorded:
Real estate mortgage:
Commercial	$	16,252	$	230	$	15,714	$	236	$	89,554	$	2,648
Income producing and other residential	6,898		217		7,191		181		3,842		59
Real estate construction and land:
Commercial	1,834		118		5,460		383		5,690		306
Commercial:
Asset-based	28,829		—		32,324		—		31,388		—
Venture capital	4,735		—		689		—		2,860		—
Other commercial	7,303		75		6,286		98		3,404		84
Consumer	413		5		844		7		20		—
Total Loans and Leases With and
Without an Allowance Recorded:
Real estate mortgage	$	25,630	$	536	$	26,840	$	564	$	111,721	$	3,643
Real estate construction and land	1,834		118		5,460		383		5,690		306
Commercial	51,585		75		48,783		98		68,209		144
Consumer	413		5		844		7		120		8
Total	$	79,462	$	734	$	81,927	$	1,052	$	185,740	$	4,101

_________________________

(1) For loans and leases reported as impaired at December 31, 2019, 2018, and 2017, amounts were calculated based on the period of time such loans and leases were impaired during the reported period.

(2)

Excludes PCI loans. See Note 1(h). Nature of Operations and Summary of Significant Accounting Policies.

Troubled Debt Restructurings on Financing Receivables

The following table presents our troubled debt restructurings of loans held for investment and defaulted troubled debt restructurings of loans held for investment by loan portfolio segment and class for the years indicated:

						Troubled Debt Restructurings
	Troubled Debt Restructurings					That Subsequently Defaulted(1)
		Pre-Modification		Post-Modification
	Number	Outstanding		Outstanding		Number
	of	Recorded		Recorded		of	Recorded
	Loans	Investment		Investment		Loans	Investment(1)
	(Dollars In thousands)
Year Ended December 31, 2019
Real estate mortgage:
Commercial	3	$	121	$	—	—	$	—
Income producing and other residential	9	1,591		1,591		1	254
Commercial:
Asset-based	5	3,082		3,082		—	—
Venture capital	14	19,017		19,155		—	—
Other commercial	20	3,835		3,835		4	154
Total	51	$	27,646	$	27,663	5	$	408
Year Ended December 31, 2018
Real estate mortgage:
Commercial	10	$	17,181	$	2,604	—	$	—
Income producing and other residential	10	3,262		2,203		—	—
Commercial:
Asset-based (2)	4	28,947		33,947		—	—
Venture capital	14	37,416		36,919		—	—
Other commercial	19	14,399		14,027		—	—
Consumer	3	673		673		—	—
Total	60	$	101,878	$	90,373	—	$	—
Year Ended December 31, 2017
Real estate mortgage:
Commercial	5	$	2,527	$	2,463	—	$	—
Income producing and other residential	8	1,328		489		—	—
Real estate construction and land:
Residential	1	362		—		—	—
Commercial:
Asset-based	5	4,219		4,219		—	—
Venture capital	11	29,733		29,733		—	—
Other commercial	19	31,471		22,236		1	1
Consumer	1	97		97		—	—
Total	50	$	69,737	$	59,237	1	$	1

_________________________

(1) The population of defaulted TDRs for the period indicated includes only those loans restructured during the preceding 12-month period. For example, for the year ended December 31, 2019, the population of defaulted TDRs includes only those loans restructured after December 31, 2018. The table excludes defaulted TDRs in those classes for which the recorded investment was zero at the end of the period.

(2) One commercial asset-based loan with a pre-modification balance of $27.3 million and a post-modification balance of $32.3 million was previously restructured in December 2017.

Direct Financing Lease, Lease Income

The following table provides the components of leases receivable income for the period indicated:

	Year Ended
	December 31, 2019
	(In thousands)
Component of leases receivable income:
Interest income on net investments in leases	$	11,061

Direct Finance Lease, Receivable Components

The following table presents the components of leases receivable as of the date indicated:

	December 31, 2019
	(In thousands)
Net investment in sales type and direct financing leases:
Lease payments receivable	$	147,729
Unguaranteed residual assets	20,806
Deferred fees and other	655
Aggregate net investment in leases	$	169,190

Sales-type and Direct Financing Leases, Lease Receivable, Maturity

The following table presents maturities of leases receivable as of the date indicated:

	December 31, 2019
	(In thousands)
Year Ending December 31,
2020	$	66,113
2021	51,735
2022	20,562
2023	12,491
2024	8,856
2025 and thereafter	1,015
Total undiscounted cash flows	160,772
Less: Unearned income	(13,043		)
Present value of lease payments	$	147,729

Allowance for Loan Losses

The following tables present a summary of the activity in the allowance for loan and lease losses on loans and leases held for investment by loan portfolio segment for the years indicated:

	Year Ended December 31, 2019
				Real Estate
	Real Estate			Construction
	Mortgage			and Land		Commercial			Consumer			Total
	(In thousands)
Allowance for Loan and lease losses:
Balance, beginning of year	$	46,021		$	28,209	$	56,360		$	1,882		$	132,472
Charge-offs	(997		)	—		(30,426		)	(839		)	(32,262		)
Recoveries	983			—		14,397			195			15,575
Net charge-offs	(14		)	—		(16,029		)	(644		)	(16,687		)
(Negative provision) provision	(1,432		)	2,335		21,197			900			23,000
Balance, end of year	$	44,575		$	30,544	$	61,528		$	2,138		$	138,785
Ending Allowance by
Impairment Methodology:
Individually evaluated for impairment	$	231		$	—	$	5,966		$	—		$	6,197
Collectively evaluated for impairment	$	44,344		$	30,544	$	55,562		$	2,138		$	132,588
Ending Loans and Leases by
Impairment Methodology:
Individually evaluated for impairment	$	28,038		$	1,834	$	69,674		$	—		$	99,546
Collectively evaluated for impairment	7,944,709			2,735,968		7,625,822			440,827			18,747,326
Ending balance	$	7,972,747		$	2,737,802	$	7,695,496		$	440,827		$	18,846,872

	Year Ended December 31, 2018
				Real Estate
	Real Estate			Construction
	Mortgage			and Land		Commercial			Consumer			Total
	(In thousands)
Allowance for Loan and lease losses:
Balance, beginning of year (1)	$	40,051		$	13,055	$	84,022		$	2,328		$	139,456
Charge-offs	(8,190		)	—		(50,481		)	(371		)	(59,042		)
Recoveries	2,350			195		12,566			173			15,284
Net (charge-offs) recoveries	(5,840		)	195		(37,915		)	(198		)	(43,758		)
Provision (negative provision)	11,810			14,959		10,253			(248		)	36,774
Balance, end of year	$	46,021		$	28,209	$	56,360		$	1,882		$	132,472
Ending Allowance by
Impairment Methodology:
Individually evaluated for impairment	$	417		$	—	$	3,614		$	—		$	4,031
Collectively evaluated for impairment	$	45,604		$	28,209	$	52,746		$	1,882		$	128,441
Ending Loans and Leases by
Impairment Methodology:
Individually evaluated for impairment	$	26,473		$	5,862	$	59,288		$	444		$	92,067
Collectively evaluated for impairment	7,891,668			2,227,794		7,345,307			400,877			17,865,646
Ending balance	$	7,918,141		$	2,233,656	$	7,404,595		$	401,321		$	17,957,713

______________________________________ 

(1)

The allowance for loan losses related to PCI loans of $6.4 million as of December 31, 2017 is reflected in the beginning balance of the allowance for loan and lease losses for the year ended December 31, 2018.

Loans and Leases

NOTE 5.  LOANS AND LEASES

Loans and Leases Held for Investment

The following table summarizes the composition of our loans and leases held for investment as of the dates indicated:

	December 31,
	2019			2018
	(In thousands)
Real estate mortgage	$	7,982,383		$	7,933,859
Real estate construction and land	2,773,209			2,262,710
Commercial	7,714,358			7,428,500
Consumer	440,790			401,296
Total gross loans and leases held for investment	18,910,740			18,026,365
Deferred fees, net	(63,868		)	(68,652		)
Total loans and leases held for investment, net of deferred fees	18,846,872			17,957,713
Allowance for loan and lease losses	(138,785		)	(132,472		)
Total loans and leases held for investment, net	$	18,708,087		$	17,825,241

The following tables present an aging analysis of our loans and leases held for investment, net of deferred fees, by loan portfolio segment and class as of the dates indicated:

	December 31, 2019
	30 - 89		90 or More
	Days		Days		Total
	Past Due		Past Due		Past Due		Current		Total
	(In thousands)
Real estate mortgage:
Commercial	$	2,448	$	5,919	$	8,367	$	4,194,320	$	4,202,687
Income producing and other residential	2,105		802		2,907		3,767,153		3,770,060
Total real estate mortgage	4,553		6,721		11,274		7,961,473		7,972,747
Real estate construction and land:
Commercial	—		—		—		1,082,368		1,082,368
Residential	1,429		—		1,429		1,654,005		1,655,434
Total real estate construction and land	1,429		—		1,429		2,736,373		2,737,802
Commercial:
Asset-based	19		—		19		3,748,388		3,748,407
Venture capital	—		—		—		2,179,422		2,179,422
Other commercial	2,781		4,164		6,945		1,760,722		1,767,667
Total commercial	2,800		4,164		6,964		7,688,532		7,695,496
Consumer	1,006		200		1,206		439,621		440,827
Total	$	9,788	$	11,085	$	20,873	$	18,825,999	$	18,846,872

	December 31, 2018
	30 - 89		90 or More
	Days		Days		Total
	Past Due		Past Due		Past Due		Current		Total
	(In thousands)
Real estate mortgage:
Commercial	$	3,487	$	7,541	$	11,028	$	4,813,270	$	4,824,298
Income producing and other residential	1,557		476		2,033		3,091,810		3,093,843
Total real estate mortgage	5,044		8,017		13,061		7,905,080		7,918,141
Real estate construction and land:
Commercial	—		442		442		912,141		912,583
Residential	1,527		—		1,527		1,319,546		1,321,073
Total real estate construction and land	1,527		442		1,969		2,231,687		2,233,656
Commercial:
Asset-based	47		646		693		3,304,728		3,305,421
Venture capital	4,705		—		4,705		2,034,043		2,038,748
Other commercial	5,181		1,285		6,466		2,053,960		2,060,426
Total commercial	9,933		1,931		11,864		7,392,731		7,404,595
Consumer	581		333		914		400,407		401,321
Total	$	17,085	$	10,723	$	27,808	$	17,929,905	$	17,957,713

The following table presents our nonaccrual and performing loans and leases held for investment, net of deferred fees, by loan portfolio segment and class as of the dates indicated:  

	December 31,
	2019						2018
	Nonaccrual		Performing		Total		Nonaccrual		Performing		Total
	(In thousands)
Real estate mortgage:
Commercial	$	18,346	$	4,184,341	$	4,202,687	$	15,321	$	4,808,977	$	4,824,298
Income producing and other residential	2,478		3,767,582		3,770,060		2,524		3,091,319		3,093,843
Total real estate mortgage	20,824		7,951,923		7,972,747		17,845		7,900,296		7,918,141
Real estate construction and land:
Commercial	364		1,082,004		1,082,368		442		912,141		912,583
Residential	—		1,655,434		1,655,434		—		1,321,073		1,321,073
Total real estate construction and land	364		2,737,438		2,737,802		442		2,233,214		2,233,656
Commercial:
Asset-based	30,162		3,718,245		3,748,407		32,324		3,273,097		3,305,421
Venture capital	12,916		2,166,506		2,179,422		20,299		2,018,449		2,038,748
Other commercial	27,594		1,740,073		1,767,667		7,380		2,053,046		2,060,426
Total commercial	70,672		7,624,824		7,695,496		60,003		7,344,592		7,404,595
Consumer	493		440,334		440,827		1,043		400,278		401,321
Total	$	92,353	$	18,754,519	$	18,846,872	$	79,333	$	17,878,380	$	17,957,713

It is our policy to discontinue accruing interest when principal or interest payments are past due 90 days or more unless the loan is both well secured and in the process of collection or when, in the opinion of management, there is a reasonable doubt as to the collectability of a loan or lease in the normal course of business. Interest income on nonaccrual loans is recognized only to the extent cash is received and the principal balance of the loan is deemed collectable. The amount of interest income that would have been recorded on nonaccrual loans and leases at December 31, 2019 and 2018 had such loans and leases been current in accordance with their original terms was $8.1 million and $9.3 million for 2019 and 2018.

At December 31, 2019, nonaccrual loans and leases included $11.1 million of loans and leases 90 or more days past due, $1.2 million of loans 30 to 89 days past due and $80.0 million of current loans that were placed on nonaccrual status based on management’s judgment regarding their collectability. At December 31, 2018, nonaccrual loans and leases included $10.7 million of loans and leases 90 or more days past due, $6.6 million of loans 30 to 89 days past due and $62.0 million of current loans that were placed on nonaccrual status based on management’s judgment regarding their collectability.

As of December 31, 2019, our three largest loan relationships on nonaccrual status had an aggregate carrying value of $50.3 million and represented 54% of total nonaccrual loans and leases.

The following tables present the credit risk rating categories for loans and leases held for investment by loan portfolio segment and class as of the dates indicated. Classified loans and leases are those with a credit risk rating of either substandard or doubtful.

	December 31, 2019
	Classified		Special Mention		Pass		Total
	(In thousands)
Real estate mortgage:
Commercial	$	33,535	$	30,070	$	4,139,082	$	4,202,687
Income producing and other residential	8,600		1,711		3,759,749		3,770,060
Total real estate mortgage	42,135		31,781		7,898,831		7,972,747
Real estate construction and land:
Commercial	364		—		1,082,004		1,082,368
Residential	—		1,429		1,654,005		1,655,434
Total real estate construction and land	364		1,429		2,736,009		2,737,802
Commercial:
Asset-based	32,223		38,936		3,677,248		3,748,407
Venture capital	35,316		74,813		2,069,293		2,179,422
Other commercial	65,261		174,785		1,527,621		1,767,667
Total commercial	132,800		288,534		7,274,162		7,695,496
Consumer	613		1,212		439,002		440,827
Total	$	175,912	$	322,956	$	18,348,004	$	18,846,872

	December 31, 2018
	Classified		Special Mention		Pass		Total
	(In thousands)
Real estate mortgage:
Commercial	$	57,734	$	74,785	$	4,691,779	$	4,824,298
Income producing and other residential	10,521		968		3,082,354		3,093,843
Total real estate mortgage	68,255		75,753		7,774,133		7,918,141
Real estate construction and land:
Commercial	442		7,041		905,100		912,583
Residential	—		1,527		1,319,546		1,321,073
Total real estate construction and land	442		8,568		2,224,646		2,233,656
Commercial:
Asset-based	45,957		48,338		3,211,126		3,305,421
Venture capital	28,731		77,588		1,932,429		2,038,748
Other commercial	92,526		50,136		1,917,764		2,060,426
Total commercial	167,214		176,062		7,061,319		7,404,595
Consumer	1,199		1,015		399,107		401,321
Total	$	237,110	$	261,398	$	17,459,205	$	17,957,713

Nonaccrual loans and leases and performing TDRs are considered impaired for reporting purposes. TDRs are a result of rate reductions, term extensions, fee concessions and debt forgiveness or a combination thereof. At December 31, 2019 and 2018, we had unfunded commitments related to TDRs of $1.2 million and $1.3 million.

The following table presents the composition of our impaired loans and leases held for investment, net of deferred fees, by loan portfolio segment as of the dates indicated:

	December 31, 2019						December 31, 2018
					Total						Total
	Nonaccrual				Impaired		Nonaccrual				Impaired
	Loans				Loans		Loans				Loans
	and		Performing		and		and		Performing		and
	Leases		TDRs		Leases		Leases		TDRs		Leases
	(In thousands)
Real estate mortgage	$	20,824	$	10,165	$	30,989	$	17,845	$	11,484	$	29,329
Real estate construction and land	364		1,470		1,834		442		5,420		5,862
Commercial	70,672		550		71,222		60,003		692		60,695
Consumer	493		72		565		1,043		105		1,148
Total	$	92,353	$	12,257	$	104,610	$	79,333	$	17,701	$	97,034

The following tables present information regarding our impaired loans and leases held for investment, net of deferred fees, by loan portfolio segment and class as of and for the years indicated:

	December 31,
	2019						2018
			Unpaid						Unpaid
	Recorded		Principal		Related		Recorded		Principal		Related
Impaired Loans and Leases	Investment		Balance		Allowance		Investment		Balance		Allowance
	(In thousands)
With An Allowance Recorded:
Real estate mortgage:
Commercial	$	479	$	479	$	71	$	1,736	$	1,648	$	170
Income producing and other residential	2,002		2,005		160		2,569		2,563		247
Commercial:
Venture capital	7,811		9,106		2,581		11,621		13,255		3,141
Other commercial	14,805		15,191		3,385		473		482		473
With No Related Allowance Recorded:
Real estate mortgage:
Commercial	$	21,264	$	36,247	$	—	$	17,783	$	32,035	$	—
Income producing and other residential	7,244		9,442		—		7,241		9,425		—
Real estate construction and land:
Commercial	1,834		1,887		—		5,862		5,870		—
Commercial:
Asset-based	30,162		52,139		—		32,324		38,100		—
Venture capital	5,270		44,468		—		8,678		41,335		—
Other commercial	13,174		32,242		—		7,599		25,740		—
Consumer	565		728		—		1,148		1,470		—
Total Loans and Leases With and
Without an Allowance Recorded:
Real estate mortgage	$	30,989	$	48,173	$	231	$	29,329	$	45,671	$	417
Real estate construction and land	1,834		1,887		—		5,862		5,870		—
Commercial	71,222		153,146		5,966		60,695		118,912		3,614
Consumer	565		728		—		1,148		1,470		—
Total	$	104,610	$	203,934	$	6,197	$	97,034	$	171,923	$	4,031

	Year Ended December 31,
	2019				2018				2017 (2)
	Weighted		Interest		Weighted		Interest		Weighted		Interest
	Average		Income		Average		Income		Average		Income
Impaired Loans and Leases	Balance (1)		Recognized		Balance (1)		Recognized		Balance (1)		Recognized
	(In thousands)
With An Allowance Recorded:
Real estate mortgage:
Commercial	$	479	$	31	$	1,736	$	72	$	15,538	$	881
Income producing and other residential	2,001		58		2,199		75		2,787		55
Commercial:
Venture capital	7,008		—		9,449		—		10,228		—
Other commercial	3,710		—		35		—		20,329		60
Consumer	—		—		—		—		100		8
With No Related Allowance Recorded:
Real estate mortgage:
Commercial	$	16,252	$	230	$	15,714	$	236	$	89,554	$	2,648
Income producing and other residential	6,898		217		7,191		181		3,842		59
Real estate construction and land:
Commercial	1,834		118		5,460		383		5,690		306
Commercial:
Asset-based	28,829		—		32,324		—		31,388		—
Venture capital	4,735		—		689		—		2,860		—
Other commercial	7,303		75		6,286		98		3,404		84
Consumer	413		5		844		7		20		—
Total Loans and Leases With and
Without an Allowance Recorded:
Real estate mortgage	$	25,630	$	536	$	26,840	$	564	$	111,721	$	3,643
Real estate construction and land	1,834		118		5,460		383		5,690		306
Commercial	51,585		75		48,783		98		68,209		144
Consumer	413		5		844		7		120		8
Total	$	79,462	$	734	$	81,927	$	1,052	$	185,740	$	4,101

_________________________

(1) For loans and leases reported as impaired at December 31, 2019, 2018, and 2017, amounts were calculated based on the period of time such loans and leases were impaired during the reported period.

(2) Excludes PCI loans. See Note 1(h). Nature of Operations and Summary of Significant Accounting Policies.

The following table presents our troubled debt restructurings of loans held for investment and defaulted troubled debt restructurings of loans held for investment by loan portfolio segment and class for the years indicated:

						Troubled Debt Restructurings
	Troubled Debt Restructurings					That Subsequently Defaulted(1)
		Pre-Modification		Post-Modification
	Number	Outstanding		Outstanding		Number
	of	Recorded		Recorded		of	Recorded
	Loans	Investment		Investment		Loans	Investment(1)
	(Dollars In thousands)
Year Ended December 31, 2019
Real estate mortgage:
Commercial	3	$	121	$	—	—	$	—
Income producing and other residential	9	1,591		1,591		1	254
Commercial:
Asset-based	5	3,082		3,082		—	—
Venture capital	14	19,017		19,155		—	—
Other commercial	20	3,835		3,835		4	154
Total	51	$	27,646	$	27,663	5	$	408
Year Ended December 31, 2018
Real estate mortgage:
Commercial	10	$	17,181	$	2,604	—	$	—
Income producing and other residential	10	3,262		2,203		—	—
Commercial:
Asset-based (2)	4	28,947		33,947		—	—
Venture capital	14	37,416		36,919		—	—
Other commercial	19	14,399		14,027		—	—
Consumer	3	673		673		—	—
Total	60	$	101,878	$	90,373	—	$	—
Year Ended December 31, 2017
Real estate mortgage:
Commercial	5	$	2,527	$	2,463	—	$	—
Income producing and other residential	8	1,328		489		—	—
Real estate construction and land:
Residential	1	362		—		—	—
Commercial:
Asset-based	5	4,219		4,219		—	—
Venture capital	11	29,733		29,733		—	—
Other commercial	19	31,471		22,236		1	1
Consumer	1	97		97		—	—
Total	50	$	69,737	$	59,237	1	$	1

_________________________

(1) The population of defaulted TDRs for the period indicated includes only those loans restructured during the preceding 12-month period. For example, for the year ended December 31, 2019, the population of defaulted TDRs includes only those loans restructured after December 31, 2018. The table excludes defaulted TDRs in those classes for which the recorded investment was zero at the end of the period.

(2) One commercial asset-based loan with a pre-modification balance of $27.3 million and a post-modification balance of $32.3 million was previously restructured in December 2017.

Leases Receivable

We provide equipment financing to our customers primarily with operating and direct financing leases. For direct financing leases, lease receivables are recorded on the balance sheet but the leased equipment is not, although we generally retain legal title to the leased equipment until the end of each lease. Direct financing leases are stated at the net amount of minimum lease payments receivable, plus any unguaranteed residual value, less the amount of unearned income and net acquisition discount at the reporting date. Direct lease origination costs are amortized using the effective interest method over the life of the leases. Direct financing leases are subject to our accounting for allowance for loan and lease losses. See Note 10. Leases for information regarding operating leases where we are the lessor.

The following table provides the components of leases receivable income for the period indicated:

	Year Ended
	December 31, 2019
	(In thousands)
Component of leases receivable income:
Interest income on net investments in leases	$	11,061

The following table presents the components of leases receivable as of the date indicated:

	December 31, 2019
	(In thousands)
Net investment in sales type and direct financing leases:
Lease payments receivable	$	147,729
Unguaranteed residual assets	20,806
Deferred fees and other	655
Aggregate net investment in leases	$	169,190

The following table presents maturities of leases receivable as of the date indicated:

	December 31, 2019
	(In thousands)
Year Ending December 31,
2020	$	66,113
2021	51,735
2022	20,562
2023	12,491
2024	8,856
2025 and thereafter	1,015
Total undiscounted cash flows	160,772
Less: Unearned income	(13,043		)
Present value of lease payments	$	147,729

Allowance for Loan and Lease Losses

The following tables present a summary of the activity in the allowance for loan and lease losses on loans and leases held for investment by loan portfolio segment for the years indicated:

	Year Ended December 31, 2019
				Real Estate
	Real Estate			Construction
	Mortgage			and Land		Commercial			Consumer			Total
	(In thousands)
Allowance for Loan and lease losses:
Balance, beginning of year	$	46,021		$	28,209	$	56,360		$	1,882		$	132,472
Charge-offs	(997		)	—		(30,426		)	(839		)	(32,262		)
Recoveries	983			—		14,397			195			15,575
Net charge-offs	(14		)	—		(16,029		)	(644		)	(16,687		)
(Negative provision) provision	(1,432		)	2,335		21,197			900			23,000
Balance, end of year	$	44,575		$	30,544	$	61,528		$	2,138		$	138,785
Ending Allowance by
Impairment Methodology:
Individually evaluated for impairment	$	231		$	—	$	5,966		$	—		$	6,197
Collectively evaluated for impairment	$	44,344		$	30,544	$	55,562		$	2,138		$	132,588
Ending Loans and Leases by
Impairment Methodology:
Individually evaluated for impairment	$	28,038		$	1,834	$	69,674		$	—		$	99,546
Collectively evaluated for impairment	7,944,709			2,735,968		7,625,822			440,827			18,747,326
Ending balance	$	7,972,747		$	2,737,802	$	7,695,496		$	440,827		$	18,846,872

	Year Ended December 31, 2018
				Real Estate
	Real Estate			Construction
	Mortgage			and Land		Commercial			Consumer			Total
	(In thousands)
Allowance for Loan and lease losses:
Balance, beginning of year (1)	$	40,051		$	13,055	$	84,022		$	2,328		$	139,456
Charge-offs	(8,190		)	—		(50,481		)	(371		)	(59,042		)
Recoveries	2,350			195		12,566			173			15,284
Net (charge-offs) recoveries	(5,840		)	195		(37,915		)	(198		)	(43,758		)
Provision (negative provision)	11,810			14,959		10,253			(248		)	36,774
Balance, end of year	$	46,021		$	28,209	$	56,360		$	1,882		$	132,472
Ending Allowance by
Impairment Methodology:
Individually evaluated for impairment	$	417		$	—	$	3,614		$	—		$	4,031
Collectively evaluated for impairment	$	45,604		$	28,209	$	52,746		$	1,882		$	128,441
Ending Loans and Leases by
Impairment Methodology:
Individually evaluated for impairment	$	26,473		$	5,862	$	59,288		$	444		$	92,067
Collectively evaluated for impairment	7,891,668			2,227,794		7,345,307			400,877			17,865,646
Ending balance	$	7,918,141		$	2,233,656	$	7,404,595		$	401,321		$	17,957,713

______________________________________ 

(1) The allowance for loan losses related to PCI loans of $6.4 million as of December 31, 2017 is reflected in the beginning balance of the allowance for loan and lease losses for the year ended December 31, 2018.

Allowance for Credit Losses

The allowance for credit losses is the combination of the allowance for loan and lease losses and the reserve for unfunded loan commitments. The reserve for unfunded loan commitments is included within "Accrued interest payable and other liabilities" on the consolidated balance sheets.

The following tables present a summary of the activity in the allowance for loan and lease losses and reserve for unfunded loan commitments for the years indicated:

	Year Ended December 31, 2019
	Allowance for			Reserve for			Total
	Loan and			Unfunded Loan			Allowance for
	Lease Losses			Commitments			Credit Losses
	(In thousands)
Balance, beginning of year	$	132,472		$	36,861		$	169,333
Charge-offs	(32,262		)	—			(32,262		)
Recoveries	15,575			—			15,575
Net charge-offs	(16,687		)	—			(16,687		)
Provision (negative provision)	23,000			(1,000		)	22,000
Balance, end of year	$	138,785		$	35,861		$	174,646

	Year Ended December 31, 2018
	Allowance for			Reserve for		Total
	Loan and			Unfunded Loan		Allowance for
	Lease Losses			Commitments		Credit Losses
	(In thousands)
Balance, beginning of year (1)	$	139,456		$	28,635	$	168,091
Charge-offs	(59,042		)	—		(59,042		)
Recoveries	15,284			—		15,284
Net charge-offs	(43,758		)	—		(43,758		)
Provision	36,774			8,226		45,000
Balance, end of year	$	132,472		$	36,861	$	169,333

_______________________________________ 

(1)

The allowance for loan losses related to PCI loans of $6.4 million as of December 31, 2017 is reflected in the beginning balance of the allowance for loan and lease losses for the year ended December 31, 2018.