XML 21 R10.htm IDEA: XBRL DOCUMENT v3.20.2
Investment Securities
 6 Months Ended
Jun. 30, 2020
Investments, Debt and Equity Securities [Abstract]  
Investment Securities INVESTMENT SECURITIES  
Securities Available-for-Sale
The following table presents amortized cost, gross unrealized gains and losses, and fair values of securities available-for-sale as of the dates indicated:
 June 30, 2020December 31, 2019
GrossGrossGrossGross
AmortizedUnrealizedUnrealizedFairAmortizedUnrealizedUnrealizedFair
Security TypeCostGainsLossesValueCostGainsLossesValue
 (In thousands)
Agency commercial MBS$1,060,551  $72,587  $(52) $1,133,086  $1,083,182  $25,579  $(537) $1,108,224  
Agency residential CMOs993,696  56,055  (9) 1,049,742  1,112,573  24,403  (579) 1,136,397  
Municipal securities 825,446  62,976  (84) 888,338  691,647  43,851  (339) 735,159  
Agency residential MBS236,134  12,847  (47) 248,934  294,606  10,593  (1) 305,198  
Asset-backed securities232,081  556  (5,431) 227,206  216,133  320  (1,670) 214,783  
Collateralized loan obligations142,080  —  (5,417) 136,663  124,134  25  (403) 123,756  
Private label residential CMOs95,629  2,245  (1,099) 96,775  96,066  3,430  (13) 99,483  
SBA securities42,375  2,236  (35) 44,576  47,765  506  (13) 48,258  
Corporate debt securities17,000  3,458  —  20,458  17,000  3,748  —  20,748  
U.S. Treasury securities4,987  376  —  5,363  4,985  196  —  5,181  
Total$3,649,979  $213,336  $(12,174) $3,851,141  $3,688,091  $112,651  $(3,555) $3,797,187  
As of June 30, 2020, securities available-for-sale with a fair value of $642.0 million were pledged as collateral for public deposits and other purposes as required by various statutes and agreements.
Realized Gains and Losses on Securities Available-for-Sale
The following table presents the amortized cost of securities sold with related gross realized gains, gross realized losses, and net realized gains for the years indicated:
Three Months EndedSix Months Ended
June 30,June 30,
Sales of Securities Available-for-Sale2020201920202019
(In thousands)
Amortized cost of securities sold $122,334  $980,395  $137,100  $1,386,157  
Gross realized gains$7,747  $24,154  $7,929  $28,213  
Gross realized losses(32) (1,962) (32) (3,860) 
Net realized gains $7,715  $22,192  $7,897  $24,353  
Unrealized Losses on Securities Available-for-Sale
The following tables present the gross unrealized losses and fair values of securities available-for-sale that were in unrealized loss positions as of the dates indicated:
June 30, 2020
 Less Than 12 Months12 Months or MoreTotal
GrossGrossGross
FairUnrealizedFairUnrealizedFairUnrealized
Security TypeValueLossesValueLossesValueLosses
 (In thousands)
Agency commercial MBS$9,281  $(52) $—  $—  $9,281  $(52) 
Agency residential CMOs—  —  1,308  (9) 1,308  (9) 
Municipal securities 20,448  (84) —  —  20,448  (84) 
Agency residential MBS2,403  (47) —  —  2,403  (47) 
Asset-backed securities116,863  (3,400) 36,800  (2,031) 153,663  (5,431) 
Collateralized loan obligations104,062  (3,352) 32,601  (2,065) 136,663  (5,417) 
Private label residential CMOs52,839  (1,096) 78  (3) 52,917  (1,099) 
SBA securities1,971  (35) —  —  1,971  (35) 
Total$307,867  $(8,066) $70,787  $(4,108) $378,654  $(12,174) 
December 31, 2019
 Less Than 12 Months12 Months or MoreTotal
GrossGrossGross
FairUnrealizedFairUnrealizedFairUnrealized
Security TypeValueLossesValueLossesValueLosses
 (In thousands)
Agency commercial MBS$214,862  $(537) $—  $—  $214,862  $(537) 
Agency residential CMOs180,071  (572) 1,456  (7) 181,527  (579) 
Municipal securities 38,667  (339) —  —  38,667  (339) 
Agency residential MBS—  —  186  (1) 186  (1) 
Asset-backed securities165,575  (1,670) —  —  165,575  (1,670) 
Collateralized loan obligations102,469  (403) —  —  102,469  (403) 
Private label residential CMOs9,872  (11) 114  (2) 9,986  (13) 
SBA securities4,565  (13) —  —  4,565  (13) 
Total$716,081  $(3,545) $1,756  $(10) $717,837  $(3,555) 
The securities that were in an unrealized loss position at June 30, 2020, were considered impaired and required further review to determine if the unrealized losses were credit-related. We concluded their unrealized losses were a result of the level of market interest rates relative to the types of securities and pricing changes caused by shifting supply and demand dynamics and not a result of downgraded credit ratings or other indicators of deterioration of the underlying issuers' ability to repay. We also considered the seniority of the tranches and U.S. government agency guarantees, if any, to assess whether an unrealized loss was credit-related. Accordingly, we determined the unrealized losses were not credit-related and recognized such impairment in "other comprehensive income" in stockholders' equity. Although we periodically sell securities for portfolio management purposes, we do not foresee having to sell any impaired securities strictly for liquidity needs and believe that it is more likely than not we would not be required to sell any impaired securities before recovery of their amortized cost.
Contractual Maturities of Securities Available-for-Sale
The following table presents the contractual maturities of our securities available-for-sale portfolio based on amortized cost and carrying value as of the date indicated:
June 30, 2020
AmortizedFair
MaturitiesCostValue
 (In thousands)
Due in one year or less$8,979  $9,110  
Due after one year through five years328,227  344,634  
Due after five years through ten years967,544  1,032,710  
Due after ten years2,345,229  2,464,687  
Total securities available-for-sale$3,649,979  $3,851,141  
CMBS, CMOs, and MBS have contractual maturity dates, but require periodic payments based upon scheduled amortization terms. Actual principal collections on these securities usually occur more rapidly than the scheduled amortization terms because of prepayments made by obligors of the underlying loan collateral.
Interest Income on Investment Securities
The following table presents the composition of our interest income on investment securities for the periods indicated:
Three Months EndedSix Months Ended
June 30,June 30,
2020201920202019
(In thousands)
Taxable interest$19,836  $20,944  $41,622  $40,686  
Non-taxable interest5,612  7,547  10,841  17,140  
Dividend income590  457  1,021  802  
Total interest income on investment securities$26,038  $28,948  $53,484  $58,628