x | Quarterly report pursuant to section 13 or 15 (d) of the Securities Exchange Act of 1934 |
o | Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 |
Delaware | 95-4849715 | |
(State or other jurisdiction of incorporation or organization) | (IRS Employer Identification Number) | |
3731 Wilshire Boulevard, Suite 1000, Los Angeles, California | 90010 | |
(Address of Principal executive offices) | (ZIP Code) |
Large accelerated filer | o | Accelerated filer | x | |
Non-accelerated filer | o | Smaller Reporting Company | o |
Page | ||
Item 1. | ||
Item 2 | ||
Item 3. | ||
Item 4. | ||
Item 1. | ||
Item 1A. | ||
Item 2. | ||
Item 3. | ||
Item 4. | ||
Item 5. | ||
Item 6. | ||
Certifications |
Item 1. | Financial Statements |
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION | |||||||
(Unaudited) | |||||||
June 30, 2012 | December 31, 2011 | ||||||
ASSETS | (In thousands, except share data) | ||||||
Cash and cash equivalents: | |||||||
Cash and due from banks | $ | 74,675 | $ | 81,785 | |||
Interest-earning deposit at Federal Reserve Bank | 104,946 | 217,800 | |||||
Federal funds sold | 0 | 525 | |||||
Total cash and cash equivalents | 179,621 | 300,110 | |||||
Term federal funds sold, original maturities more than 90 days | 0 | 40,000 | |||||
Securities available for sale, at fair value | 666,852 | 740,920 | |||||
Loans held for sale, at the lower of cost or fair value | 32,590 | 42,407 | |||||
Loans receivable, net of allowance for loan losses (June 30, 2012 - $65,505; December 31, 2011 - $61,952) | 3,809,033 | 3,676,874 | |||||
Other real estate owned, net | 6,712 | 7,624 | |||||
Federal Home Loan Bank ("FHLB") stock, at cost | 24,778 | 27,373 | |||||
Premises and equipment, net of accumulated depreciation and amortization (June 30, 2012 - $20,275; December 31, 2011 - $19,018) | 21,805 | 20,913 | |||||
Accrued interest receivable | 12,062 | 13,439 | |||||
Deferred tax assets, net | 64,780 | 72,604 | |||||
Customers’ liabilities on acceptances | 11,206 | 10,515 | |||||
Bank owned life insurance | 43,119 | 42,514 | |||||
Investments in affordable housing partnerships | 14,161 | 15,367 | |||||
Goodwill | 89,882 | 90,473 | |||||
Other intangible assets, net | 3,636 | 4,276 | |||||
Prepaid FDIC insurance | 8,782 | 9,720 | |||||
FDIC loss share receivable | 9,287 | 10,819 | |||||
Other assets | 51,099 | 40,656 | |||||
Total assets | $ | 5,049,405 | $ | 5,166,604 | |||
(Continued) |
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL CONDITION | |||||||
(Unaudited) | |||||||
June 30, 2012 | December 31, 2011 | ||||||
LIABILITIES AND STOCKHOLDERS’ EQUITY | (In thousands, except share data) | ||||||
LIABILITIES: | |||||||
Deposits: | |||||||
Non-interest bearing | $ | 1,064,013 | $ | 984,350 | |||
Interest bearing: | |||||||
Money market and NOW accounts | 1,143,329 | 1,237,378 | |||||
Savings deposits | 183,087 | 198,063 | |||||
Time deposits of $100,000 or more | 834,719 | 759,923 | |||||
Other time deposits | 657,532 | 761,178 | |||||
Total deposits | 3,882,680 | 3,940,892 | |||||
Federal Home Loan Bank borrowings | 371,143 | 344,402 | |||||
Subordinated debentures | 41,772 | 52,102 | |||||
Accrued interest payable | 5,924 | 6,519 | |||||
Acceptances outstanding | 11,206 | 10,515 | |||||
Other liabilities | 21,219 | 16,235 | |||||
Total liabilities | 4,333,944 | 4,370,665 | |||||
STOCKHOLDERS’ EQUITY: | |||||||
Preferred stock, $0.001 par value - authorized 10,000,000 undesignated shares; issued and outstanding 122,000 shares as of December 31, 2011 | |||||||
Series A, Fixed Rate Cumulative Perpetual Preferred Stock, issued and outstanding 67,000 shares at December 31, 2011, net, with a liquidation preference of $67,428,000 at December 31, 2011 | 0 | 65,158 | |||||
Series B, Fixed Rate Cumulative Perpetual Preferred Stock, issued and outstanding 55,000 shares at December 31, 2011, net, with a liquidation preference of $55,229,000 at December 31, 2011 | 0 | 54,192 | |||||
Common stock, $0.001 par value; authorized, 150,000,000 shares at June 30, 2012 and December 31, 2011; issued and outstanding, 78,014,107 and 77,984,252 shares at June 30, 2012 and December 31, 2011, respectively | 78 | 78 | |||||
Additional Paid-in Capital | 525,985 | 524,644 | |||||
Retained earnings | 180,567 | 142,909 | |||||
Accumulated other comprehensive income, net | 8,831 | 8,958 | |||||
Total stockholders’ equity | 715,461 | 795,939 | |||||
Total liabilities and stockholders’ equity | $ | 5,049,405 | $ | 5,166,604 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
(In thousands, except share data) | (In thousands, except share data) | ||||||||||||||
INTEREST INCOME: | |||||||||||||||
Interest and fees on loans | $ | 62,504 | $ | 33,150 | $ | 125,923 | $ | 66,235 | |||||||
Interest on securities | 4,249 | 3,965 | 9,158 | 7,895 | |||||||||||
Interest on federal funds sold and other investments | 190 | 179 | 417 | 358 | |||||||||||
Total interest income | 66,943 | 37,294 | 135,498 | 74,488 | |||||||||||
INTEREST EXPENSE: | |||||||||||||||
Interest on deposits | 5,245 | 5,090 | 10,648 | 10,221 | |||||||||||
Interest on FHLB advances | 1,603 | 2,412 | 3,229 | 4,984 | |||||||||||
Interest on other borrowings | 593 | 461 | 1,260 | 1,069 | |||||||||||
Total interest expense | 7,441 | 7,963 | 15,137 | 16,274 | |||||||||||
NET INTEREST INCOME BEFORE PROVISION FOR LOAN LOSSES | 59,502 | 29,331 | 120,361 | 58,214 | |||||||||||
PROVISION FOR LOAN LOSSES | 7,182 | 10,047 | 9,782 | 15,309 | |||||||||||
NET INTEREST INCOME AFTER PROVISION FOR LOAN LOSSES | 52,320 | 19,284 | 110,579 | 42,905 | |||||||||||
NON-INTEREST INCOME: | |||||||||||||||
Service fees on deposit accounts | 3,269 | 1,413 | 6,429 | 2,910 | |||||||||||
International service fees | 1,403 | 669 | 2,627 | 1,239 | |||||||||||
Loan servicing fees, net | 810 | 418 | 2,147 | 881 | |||||||||||
Wire transfer fees | 775 | 348 | 1,516 | 670 | |||||||||||
Other income and fees | 1,354 | 557 | 2,694 | 1,064 | |||||||||||
Net gains on sales of SBA loans | 2,463 | 4,354 | 5,426 | 5,514 | |||||||||||
Net gains on sales of other loans | 146 | 0 | 146 | 0 | |||||||||||
Net gains on sales and calls of securities available for sale | 0 | 6 | 816 | 6 | |||||||||||
Net valuation gains (losses) on interest rate swaps and caps | 10 | (106) | 13 | (117 | ) | ||||||||||
Net gains (losses) on sales of OREO | (8) | 25 | 53 | 27 | |||||||||||
Total non-interest income | 10,222 | 7,684 | 21,867 | 12,194 | |||||||||||
NON-INTEREST EXPENSE: | |||||||||||||||
Salaries and employee benefits | 14,658 | 7,625 | 28,737 | 14,779 | |||||||||||
Occupancy | 4,232 | 2,445 | 7,878 | 4,882 | |||||||||||
Furniture and equipment | 1,468 | 934 | 2,686 | 1,869 | |||||||||||
Advertising and marketing | 1,525 | 594 | 2,983 | 1,173 | |||||||||||
Data processing and communications | 1,573 | 923 | 3,184 | 1,906 | |||||||||||
Professional fees | 1,069 | 769 | 1,682 | 1,478 | |||||||||||
FDIC assessments | 51 | 877 | 1,088 | 2,166 | |||||||||||
Credit related expenses | 2,290 | 1,004 | 4,470 | 1,748 | |||||||||||
Merger and integration expense | 1,348 | 381 | 3,121 | 892 | |||||||||||
Other | 2,863 | 1,334 | 5,683 | 2,688 | |||||||||||
Total non-interest expense | 31,077 | 16,886 | 61,512 | 33,581 | |||||||||||
INCOME BEFORE INCOME TAX PROVISION | 31,465 | 10,082 | 70,934 | 21,518 | |||||||||||
INCOME TAX PROVISION | 12,101 | 3,764 | 27,636 | 8,454 | |||||||||||
NET INCOME | $ | 19,364 | $ | 6,318 | $ | 43,298 | $ | 13,064 | |||||||
DIVIDENDS AND DISCOUNT ACCRETION ON PREFERRED STOCK | $ | (3,771 | ) | $ | (1,075 | ) | $ | (5,640 | ) | $ | (2,150 | ) | |||
NET INCOME AVAILABLE TO COMMON STOCKHOLDERS | $ | 15,593 | $ | 5,243 | $ | 37,658 | $ | 10,914 | |||||||
EARNINGS PER COMMON SHARE | |||||||||||||||
Basic | $ | 0.20 | $ | 0.14 | $ | 0.48 | $ | 0.29 | |||||||
Diluted | $ | 0.20 | $ | 0.14 | $ | 0.48 | $ | 0.29 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
(In thousands) | (In thousands) | ||||||||||||||
Net income | $ | 19,364 | $ | 6,318 | $ | 43,298 | $ | 13,064 | |||||||
Other comprehensive income (loss): | |||||||||||||||
Unrealized gain on securities available for sale and interest only strips | 809 | 3,384 | 493 | 3,127 | |||||||||||
Reclassification adjustments for gains realized in income | 0 | (6 | ) | (816 | ) | (6 | ) | ||||||||
Tax expense (benefit) | 269 | 1,318 | (209 | ) | 1,224 | ||||||||||
Change in unrealized gain on securities available for sale and interest only strips | 540 | 2,060 | (114 | ) | 1,897 | ||||||||||
Reclassification adjustment for the deferred gain on early settlement of interest-rate caps | (11 | ) | (11 | ) | (22 | ) | (22 | ) | |||||||
Tax benefit | (5 | ) | (4 | ) | (9 | ) | (9 | ) | |||||||
Change in unrealized gain on interest-rate caps | (6 | ) | (7 | ) | (13 | ) | (13 | ) | |||||||
Total other comprehensive gain (loss) | 534 | 2,053 | (127 | ) | 1,884 | ||||||||||
Total comprehensive income | $ | 19,898 | $ | 8,371 | $ | 43,171 | $ | 14,948 |
Common Stock | ||||||||||||||||||||||
Preferred Stock | Shares | Amount | Capital Surplus | Retained Earnings | Accumulated Other Comprehensive Income (loss), net | |||||||||||||||||
(In thousands, except share data) | ||||||||||||||||||||||
BALANCE, JANUARY 1, 2011 | $ | 64,203 | 37,983,027 | $ | 38 | $ | 171,364 | $ | 120,361 | $ | 2,597 | |||||||||||
Issuance of additional shares pursuant to various stock plans | 114,300 | 524 | ||||||||||||||||||||
Tax effects of stock plans | 139 | |||||||||||||||||||||
Stock-based compensation | 39 | |||||||||||||||||||||
Preferred stock cash dividends accrued (5%) | (1,674 | ) | ||||||||||||||||||||
Accretion of preferred stock discount | 476 | (476 | ) | |||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||
Net income | 13,064 | |||||||||||||||||||||
Other comprehensive income (loss): | ||||||||||||||||||||||
Change in unrealized gain on securities available for sale, net of tax | 1,892 | |||||||||||||||||||||
Change in unrealized gain on interest-only strips, net of tax | 5 | |||||||||||||||||||||
Change in unrealized gain (loss) on interest rate swaps, net of tax | (13 | ) | ||||||||||||||||||||
BALANCE, JUNE 30, 2011 | $ | 64,679 | 38,097,327 | $ | 38 | $ | 172,066 | $ | 131,275 | $ | 4,481 | |||||||||||
BALANCE, JANUARY 1, 2012 | $ | 119,350 | 77,984,252 | $ | 78 | $ | 524,644 | $ | 142,909 | $ | 8,958 | |||||||||||
Redemption of 122,000 shares of TARP preferred stock | (122,000 | ) | ||||||||||||||||||||
Issuance of additional shares pursuant to various stock plans | 29,855 | 200 | ||||||||||||||||||||
Tax effects of stock plans | ||||||||||||||||||||||
Stock-based compensation | 1,141 | |||||||||||||||||||||
Preferred stock cash dividends accrued (5%) | (2,990 | ) | ||||||||||||||||||||
Accretion of preferred stock discount | 2,650 | (2,650 | ) | |||||||||||||||||||
Comprehensive income: | ||||||||||||||||||||||
Net income | 43,298 | |||||||||||||||||||||
Other comprehensive income (loss): | ||||||||||||||||||||||
Change in unrealized gain on securities available for sale, net of tax | (141 | ) | ||||||||||||||||||||
Change in unrealized gain on interest-only strips, net of tax | 27 | |||||||||||||||||||||
Change in unrealized gain (loss) on interest rate swaps, net of tax | (13 | ) | ||||||||||||||||||||
BALANCE, JUNE 30, 2012 | $ | 0 | 78,014,107 | $ | 78 | $ | 525,985 | $ | 180,567 | $ | 8,831 | |||||||||||
Six Months Ended June 30, | |||||||
2012 | 2011 | ||||||
(In thousands) | |||||||
CASH FLOWS FROM OPERATING ACTIVITIES | |||||||
Net income | $ | 43,298 | $ | 13,064 | |||
Adjustments to reconcile net income to net cash from operating activities: | |||||||
Depreciation, amortization, net of discount accretion | (14,353 | ) | 4,329 | ||||
Stock-based compensation expense | 1,141 | 39 | |||||
Provision for loan losses | 9,782 | 15,309 | |||||
Valuation adjustment of loans held for sale | 668 | 35 | |||||
Valuation adjustment of OREO | 1,067 | 105 | |||||
Proceeds from sales of loans | 88,822 | 65,602 | |||||
Originations of loans held for sale | (73,003 | ) | (43,007 | ) | |||
Net gains on sales of SBA and other loans | (6,014 | ) | (5,514 | ) | |||
Net change in bank owned life insurance | (605 | ) | (372 | ) | |||
Net gains on sales and calls of securities available for sale | (816 | ) | (6 | ) | |||
Net gains on sales of OREO | (53 | ) | (27 | ) | |||
Net valuation (gains) losses on interest rate swaps and caps | (13 | ) | 117 | ||||
Change in accrued interest receivable | 1,377 | 579 | |||||
Change in deferred income taxes | 7,604 | 5,131 | |||||
Change in prepaid FDIC insurance | 938 | 2,056 | |||||
Change in investments in affordable housing partnership | 1,206 | 0 | |||||
Change in FDIC loss share receivable | 1,781 | 0 | |||||
Change in other assets | (10,384 | ) | (12,008 | ) | |||
Change in accrued interest payable | (595 | ) | (1,448 | ) | |||
Change in other liabilities | 6,421 | (2,676 | ) | ||||
Net cash provided by operating activities | 58,269 | 41,308 | |||||
CASH FLOWS FROM INVESTING ACTIVITIES | |||||||
Net change in loans receivable | (128,519 | ) | (95,082 | ) | |||
Proceeds from sales of securities available for sale | 1,883 | 0 | |||||
Proceeds from sales of OREO | 3,160 | 2,238 | |||||
Proceeds from matured term federal funds | 100,000 | 0 | |||||
Proceeds from sales of equipment | 3 | 0 | |||||
Purchase of premises and equipment | (3,494 | ) | (586 | ) | |||
Purchase of securities available for sale | (15,457 | ) | (19,808 | ) | |||
Purchase of Federal Reserve Bank stock | 0 | (5 | ) | ||||
Redemption of Federal Home Loan Bank Stock | 2,595 | 1,432 | |||||
Purchase of term federal funds | (60,000 | ) | 0 | ||||
Proceeds from matured, called, or paid-down securities available for sale | 84,735 | 76,143 | |||||
Net cash used in investing activities | (15,094 | ) | (35,668 | ) | |||
CASH FLOWS FROM FINANCING ACTIVITIES | |||||||
Net change in deposits | (56,693 | ) | 56,066 | ||||
Net change in secured borrowings | 0 | (11,758 | ) | ||||
Redemption of subordinated debenture | (10,400 | ) | 0 | ||||
Redemption of preferred stock | (122,000 | ) | 0 | ||||
Payment of cash dividends on Preferred Stock | (3,647 | ) | (1,674 | ) | |||
Proceeds from FHLB borrowings | 125,000 | 0 | |||||
Repayment of FHLB borrowings | (96,124 | ) | (50,000 | ) | |||
Issuance of additional stock pursuant to various stock plans | 200 | 524 | |||||
Net cash used in financing activities | (163,664 | ) | (6,842 | ) | |||
NET CHANGE IN CASH AND CASH EQUIVALENTS | (120,489 | ) | (1,202 | ) | |||
CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD | 300,110 | 172,331 | |||||
CASH AND CASH EQUIVALENTS, END OF PERIOD | $ | 179,621 | $ | 171,129 | |||
SUPPLEMENTAL DISCLOSURES OF CASH FLOW INFORMATION | |||||||
Interest paid | $ | 15,732 | $ | 17,722 | |||
Income taxes paid | $ | 19,022 | $ | 15,169 | |||
SUPPLEMENTAL DISCLOSURES OF NON-CASH ACTIVITIES | |||||||
Transfer from loans receivable to other real estate owned | $ | 3,262 | $ | 5,139 | |||
Transfer from loan receivables to loans held for sale | $ | 656 | $ | 17,309 | |||
Non-cash goodwill adjustment, net | $ | 591 | 0 |
1. | BBCN Bancorp, Inc. |
2. | Basis of Presentation |
3. | Center Merger |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
(In Thousands) | |||||||||||||||
Beginning of period | $ | 89,882 | $ | 2,509 | $ | 90,473 | $ | 2,509 | |||||||
Adjustment | 0 | 0 | (591 | ) | 0 | ||||||||||
Impairment | 0 | 0 | 0 | 0 | |||||||||||
End of period | $ | 89,882 | $ | 2,509 | $ | 89,882 | $ | 2,509 |
4. | Stock-Based Compensation |
Number of Shares | Weighted- Average Exercise Price Per Share | Weighted- Average Remaining Contractual Life (Years) | Aggregate Intrinsic Value | |||||||||
Outstanding - January 1, 2012 | 830,011 | $ | 16.35 | |||||||||
Granted | 0 | 0 | ||||||||||
Exercised | (28,639 | ) | 7.11 | |||||||||
Forfeited | 0 | 0 | ||||||||||
Outstanding - June 30, 2012 | 801,372 | $ | 16.68 | 5.94 | $ | 584,000 | ||||||
Options exercisable - June 30, 2012 | 791,146 | $ | 16.66 | 5.89 | $ | 584,000 | ||||||
Unvested options expected to vest after June 30, 2012 | 10,226 | $ | 18.63 | 9.42 | $ | 0 |
Number of Shares | Weighted- Average Grant Date Fair Value | Weighted- Average Remaining Contractual Life (Years) | ||||||
Outstanding - January 1, 2012 | 52,480 | $ | 7.42 | |||||
Granted | 497,710 | 10.42 | ||||||
Vested | (2,000 | ) | 8.52 | |||||
Forfeited | 0 | 0 | ||||||
Outstanding - June 30, 2012 | 548,190 | $ | 10.21 | 9.52 |
Stock Based Compensation Expense | |||
(In thousands) | |||
Remainder of 2012 | $ | 1,480 | |
For the year ended December 31: | |||
2013 | 1,413 | ||
2014 | 666 | ||
2015 | 645 | ||
2016 | 102 | ||
2017 | 7 | ||
Total | $ | 4,313 |
5. | Earnings Per Share (“EPS”) |
For the three months ended June 30, | |||||||||||||||||||||
2012 | 2011 | ||||||||||||||||||||
Net income available to common stockholders (Numerator) | Shares (Denominator) | Per Share (Amount) | Net income available to common stockholders (Numerator) | Shares (Denominator) | Per Share (Amount) | ||||||||||||||||
(Dollars in thousands, except share and per share data) | |||||||||||||||||||||
Net income as reported | $ | 19,364 | $ | 6,318 | |||||||||||||||||
Less: preferred stock dividends and accretion of preferred stock discount | (3,771 | ) | (1,075 | ) | |||||||||||||||||
Basic EPS - common stock | $ | 15,593 | 78,007,270 | $ | 0.20 | $ | 5,243 | 38,047,371 | $ | 0.14 | |||||||||||
Effect of Dilutive Securities: | |||||||||||||||||||||
Stock Options and Performance Units | 79,063 | 34,652 | |||||||||||||||||||
Common stock warrants | 55,194 | 0 | |||||||||||||||||||
Diluted EPS - common stock | $ | 15,593 | 78,141,527 | $ | 0.20 | $ | 5,243 | 38,082,023 | $ | 0.14 |
For the six months ended June 30, | |||||||||||||||||||||
June 30, 2012 | June 30, 2011 | ||||||||||||||||||||
Net income available to common stockholders (Numerator) | Shares (Denominator) | Per Share (Amount) | Net income available to common stockholders (Numerator) | Shares (Denominator) | Per Share (Amount) | ||||||||||||||||
(Dollars in thousands, except share and per share data) | |||||||||||||||||||||
Net income as reported | $ | 43,298 | $ | 13,064 | |||||||||||||||||
Less: preferred stock dividends and accretion of preferred stock discount | (5,640 | ) | (2,150 | ) | |||||||||||||||||
Basic EPS - common stock | $ | 37,658 | 77,997,305 | $ | 0.48 | $ | 10,914 | 38,017,473 | $ | 0.29 | |||||||||||
Effect of Dilutive Securities: | |||||||||||||||||||||
Stock Options and Performance Units | 75,621 | 62,177 | |||||||||||||||||||
Common stock warrants | 48,333 | 0 | |||||||||||||||||||
Diluted EPS - common stock | $ | 37,658 | 78,121,259 | $ | 0.48 | $ | 10,914 | 38,079,650 | $ | 0.29 |
At June 30, 2012 | |||||||||||||||
Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||
(In thousands) | |||||||||||||||
Debt securities: | |||||||||||||||
U.S. Treasury | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||
GSE collateralized mortgage obligations* | 189,221 | 4,335 | (25 | ) | 193,531 | ||||||||||
GSE mortgage-backed securities* | 439,123 | 10,967 | (245 | ) | 449,845 | ||||||||||
Trust preferred security | 4,494 | 0 | (1,112 | ) | 3,382 | ||||||||||
Municipal bonds | 4,507 | 551 | 0 | 5,058 | |||||||||||
Total debt securities | 637,345 | 15,853 | (1,382 | ) | 651,816 | ||||||||||
Mutual funds - GSE mortgage related securities | 14,710 | 326 | 0 | 15,036 | |||||||||||
$ | 652,055 | $ | 16,179 | $ | (1,382 | ) | $ | 666,852 | |||||||
At December 31, 2011 | |||||||||||||||
Amortized Cost | Gross Unrealized Gains | Gross Unrealized Losses | Estimated Fair Value | ||||||||||||
(In thousands) | |||||||||||||||
Debt securities: | |||||||||||||||
U.S. Treasury | $ | 300 | $ | 0 | $ | 0 | $ | 300 | |||||||
GSE collateralized mortgage obligations* | 222,400 | 5,480 | (44 | ) | 227,836 | ||||||||||
GSE mortgage-backed securities* | 477,555 | 10,322 | (123 | ) | 487,754 | ||||||||||
Trust preferred securities | 5,532 | 0 | (1,184 | ) | 4,348 | ||||||||||
Municipal bonds | 5,257 | 507 | 0 | 5,764 | |||||||||||
Total debt securities | 711,044 | 16,309 | (1,351 | ) | 726,002 | ||||||||||
Mutual funds - GSE mortgage related securities | 14,710 | 227 | (19 | ) | 14,918 | ||||||||||
$ | 725,754 | $ | 16,536 | $ | (1,370 | ) | $ | 740,920 |
For the three months ended June 30, | For the six months ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
(In thousands) | |||||||||||||||
Proceeds | $ | 0 | $ | 0 | $ | 1,883 | $ | 0 | |||||||
Gross gains | 0 | 0 | 816 | 0 | |||||||||||
Gross losses | 0 | 0 | 0 | 0 |
Amortized Cost | Estimated Fair Value | ||||||
(In thousands) | |||||||
Available for sale: | |||||||
Due within one year | $ | 0 | $ | 0 | |||
Due after one year through five years | 340 | 359 | |||||
Due after five years through ten years | 2,480 | 2,791 | |||||
Due after ten years | 6,181 | 5,290 | |||||
GSE collaterized mortgage obligations | 189,221 | 193,531 | |||||
GSE mortgage-backed securities | 439,123 | 449,845 | |||||
Mutual funds - GSE mortgage related securities | 14,710 | 15,036 | |||||
$ | 652,055 | $ | 666,852 |
At June 30, 2012 | ||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or longer | Total | ||||||||||||||||||||||||||||||
Description of Securities | Number of Securities | Fair Value | Gross Unrealized Losses | Number of Securities | Fair Value | Gross Unrealized Losses | Number of Securities | Fair Value | Gross Unrealized Losses | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||
GSE collaterized mortgage obligations | 3 | $ | 6,879 | $ | (25 | ) | 0 | $ | 0 | $ | 0 | 3 | $ | 6,879 | $ | (25 | ) | |||||||||||||||
GSE mortgage-backed securities | 5 | 35,691 | (217 | ) | 1 | 3,956 | (28 | ) | 6 | 39,647 | (245 | ) | ||||||||||||||||||||
Trust preferred security | 0 | 0 | 0 | 1 | 3,382 | (1,112 | ) | 1 | 3,382 | (1,112 | ) | |||||||||||||||||||||
Mutual funds - GSE mortgage related security | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||||||||||||||
8 | $ | 42,570 | $ | (242 | ) | 2 | $ | 7,338 | $ | (1,140 | ) | 10 | $ | 49,908 | $ | (1,382 | ) |
At December 31, 2011 | ||||||||||||||||||||||||||||||||
Less than 12 months | 12 months or longer | Total | ||||||||||||||||||||||||||||||
Description of Securities | Number of Securities | Fair Value | Gross Unrealized Losses | Number of Securities | Fair Value | Gross Unrealized Losses | Number of Securities | Fair Value | Gross Unrealized Losses | |||||||||||||||||||||||
(In thousands) | ||||||||||||||||||||||||||||||||
GSE collaterized mortgage obligations | 2 | $ | 3,305 | $ | (28 | ) | 1 | $ | 14,007 | $ | (16 | ) | 3 | $ | 17,312 | $ | (44 | ) | ||||||||||||||
GSE mortgage-backed securities | 5 | 38,082 | (123 | ) | 0 | 0 | 0 | 5 | 38,082 | (123 | ) | |||||||||||||||||||||
Trust Preferred security | 0 | 0 | 0 | 1 | 3,303 | (1,184 | ) | 1 | 3,303 | (1,184 | ) | |||||||||||||||||||||
Mutual funds - GSE mortgage related security | 1 | 5,229 | (19 | ) | 0 | 0 | 0 | 1 | 5,229 | (19 | ) | |||||||||||||||||||||
8 | $ | 46,616 | $ | (170 | ) | 2 | $ | 17,310 | $ | (1,200 | ) | 10 | $ | 63,926 | $ | (1,370 | ) |
7. | Loans Receivable and Allowance for Loan Losses |
June 30, 2012 | December 31, 2011 | ||||||
(In thousands) | |||||||
Loan portfolio composition | |||||||
Real estate loans: | |||||||
Residential | $ | 1,931 | $ | 2,043 | |||
Commercial & industrial | 2,717,924 | 2,631,880 | |||||
Construction | 43,365 | 44,756 | |||||
Total real estate loans | 2,763,220 | 2,678,679 | |||||
Commercial business | 877,405 | 849,576 | |||||
Trade finance | 175,638 | 146,684 | |||||
Consumer and other | 60,732 | 66,631 | |||||
Total loans outstanding | 3,876,995 | 3,741,570 | |||||
Less: deferred loan fees | (2,457 | ) | (2,744 | ) | |||
Gross loans receivable | 3,874,538 | 3,738,826 | |||||
Less: allowance for loan losses | (65,505 | ) | (61,952 | ) | |||
Loans receivable, net | $ | 3,809,033 | $ | 3,676,874 |
June 30, 2012 | December 31, 2011 | ||||||
(In thousands) | |||||||
Outstanding principal balance | $ | 1,200,216 | $ | 1,458,133 | |||
Carrying amount | 1,110,669 | 1,347,524 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
(In thousands) | (In thousands) | ||||||||||||||
Balance at beginning of period | $ | 29,788 | $ | 0 | $ | 31,999 | $ | 0 | |||||||
Accretion | (3,890 | ) | 0 | (7,451 | ) | 0 | |||||||||
Changes in expected cash flows | (2,932 | ) | 0 | (1,582 | ) | 0 | |||||||||
Balance at end of period | $ | 22,966 | $ | 0 | $ | 22,966 | $ | 0 |
Legacy | Acquired | Total | |||||||||||||||||||||||||||||||||
Real Estate | Commercial Business | Trade Finance | Consumer and Other | Real Estate | Commercial Business | Trade Finance | Consumer and Other | ||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||||
Three Months Ended June 30, 2012 | |||||||||||||||||||||||||||||||||||
Balance, beginning of period | $ | 35,809 | $ | 21,591 | $ | 1,823 | $ | 1,010 | $ | 1,543 | $ | 517 | $ | 16 | $ | 0 | $ | 62,309 | |||||||||||||||||
Provision (credit) for loan losses | 2,650 | 588 | 1,341 | 569 | 895 | 440 | 624 | 75 | 7,182 | ||||||||||||||||||||||||||
Loans charged off | (2,330 | ) | (1,534 | ) | 0 | (482 | ) | (155 | ) | (590 | ) | (300 | ) | (218 | ) | (5,609 | ) | ||||||||||||||||||
Recoveries of charged offs | 1,108 | 235 | 0 | 18 | 0 | 30 | 0 | 232 | 1,623 | ||||||||||||||||||||||||||
Balance, end of period | $ | 37,237 | $ | 20,880 | $ | 3,164 | $ | 1,115 | $ | 2,283 | $ | 397 | $ | 340 | $ | 89 | $ | 65,505 | |||||||||||||||||
Six Months Ended June 30, 2012 | |||||||||||||||||||||||||||||||||||
Balance, beginning of period | $ | 39,040 | $ | 20,681 | $ | 1,786 | $ | 445 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 61,952 | |||||||||||||||||
Provision (credit) for loan losses | 1,333 | 2,215 | 1,318 | 1,118 | 2,149 | 917 | 640 | 92 | 9,782 | ||||||||||||||||||||||||||
Loans charged off | (4,264 | ) | (2,896 | ) | 0 | (483 | ) | (169 | ) | (637 | ) | (300 | ) | (243 | ) | (8,992 | ) | ||||||||||||||||||
Recoveries of charged offs | 1,128 | 880 | 60 | 35 | 303 | 117 | 0 | 240 | 2,763 | ||||||||||||||||||||||||||
Balance, end of period | $ | 37,237 | $ | 20,880 | $ | 3,164 | $ | 1,115 | $ | 2,283 | $ | 397 | $ | 340 | $ | 89 | $ | 65,505 |
Legacy | Total | ||||||||||||||||||
Real Estate | Commercial Business | Trade Finance | Consumer and Other | ||||||||||||||||
(In thousands) | |||||||||||||||||||
Three Months Ended June 30, 2011 | |||||||||||||||||||
Balance, beginning of period | $ | 40,910 | $ | 21,771 | $ | 170 | $ | 489 | $ | 63,340 | |||||||||
Provision (credit) for loan losses | 10,394 | (239 | ) | 18 | (126 | ) | 10,047 | ||||||||||||
Loans charged off | (12,752 | ) | (2,431 | ) | 0 | (8 | ) | (15,191 | ) | ||||||||||
Recoveries of charged offs | 511 | 957 | 0 | 32 | 1,500 | ||||||||||||||
Balance, end of period | $ | 39,063 | $ | 20,058 | $ | 188 | $ | 387 | $ | 59,696 | |||||||||
Six Months Ended June 30, 2011 | |||||||||||||||||||
Balance, beginning of period | $ | 36,563 | $ | 24,930 | $ | 192 | $ | 635 | $ | 62,320 | |||||||||
Provision (credit) for loan losses | 17,589 | (1,944 | ) | (4 | ) | (332 | ) | 15,309 | |||||||||||
Loans charged off | (15,834 | ) | (4,544 | ) | 0 | (123 | ) | (20,501 | ) | ||||||||||
Recoveries of charged offs | 745 | 1,616 | 0 | 207 | 2,568 | ||||||||||||||
Balance, end of period | $ | 39,063 | $ | 20,058 | $ | 188 | $ | 387 | $ | 59,696 |
June 30, 2012 | |||||||||||||||||||||||||||||||||||
Legacy | Acquired | Total | |||||||||||||||||||||||||||||||||
Real Estate | Commercial Business | Trade Finance | Consumer and Other | Real Estate | Commercial Business | Trade Finance | Consumer and Other | ||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||||
Allowance for loan losses: | |||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 5,735 | $ | 6,919 | $ | 57 | $ | 0 | $ | 368 | $ | 121 | $ | 0 | $ | 0 | $ | 13,200 | |||||||||||||||||
Collectively evaluated for impairment | 31,502 | 13,961 | 3,107 | 1,115 | (4 | ) | 276 | 340 | 89 | 50,386 | |||||||||||||||||||||||||
Loans acquired with credit deterioration | 0 | 0 | 0 | 0 | 1,919 | 0 | 0 | 0 | 1,919 | ||||||||||||||||||||||||||
Total | $ | 37,237 | $ | 20,880 | $ | 3,164 | $ | 1,115 | $ | 2,283 | $ | 397 | $ | 340 | $ | 89 | $ | 65,505 | |||||||||||||||||
Loans outstanding: | |||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 48,694 | $ | 23,581 | $ | 4,970 | $ | 136 | $ | 12,039 | $ | 1,949 | $ | 0 | $ | 0 | $ | 91,369 | |||||||||||||||||
Collectively evaluated for impairment | 1,896,017 | 606,281 | 159,289 | 27,358 | 700,593 | 191,281 | 9,783 | 30,065 | 3,620,667 | ||||||||||||||||||||||||||
Loans acquired with credit deterioration | 0 | 0 | 0 | 0 | 105,877 | 54,313 | 1,596 | 3,173 | 164,959 | ||||||||||||||||||||||||||
Total | $ | 1,944,711 | $ | 629,862 | $ | 164,259 | $ | 27,494 | $ | 818,509 | $ | 247,543 | $ | 11,379 | $ | 33,238 | $ | 3,876,995 |
December 31, 2011 | |||||||||||||||||||||||||||||||||||
Legacy | Acquired | Total | |||||||||||||||||||||||||||||||||
Real Estate | Commercial Business | Trade Finance | Consumer and Other | Real Estate | Commercial Business | Trade Finance | Consumer and Other | ||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||||
Allowance for loan losses: | |||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 10,525 | $ | 7,168 | $ | 342 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 18,035 | |||||||||||||||||
Collectively evaluated for impairment | 28,515 | 13,513 | 1,444 | 445 | 0 | 0 | 0 | 0 | 43,917 | ||||||||||||||||||||||||||
Loans acquired with credit deterioration | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||||
Total | $ | 39,040 | $ | 20,681 | $ | 1,786 | $ | 445 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 61,952 | |||||||||||||||||
Loans outstanding: | |||||||||||||||||||||||||||||||||||
Individually evaluated for impairment | $ | 51,752 | $ | 25,150 | $ | 4,997 | $ | 150 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 82,049 | |||||||||||||||||
Collectively evaluated for impairment | 1,694,483 | 507,841 | 97,013 | 12,660 | 824,786 | 250,050 | 43,327 | 50,003 | 3,480,163 | ||||||||||||||||||||||||||
Loans acquired with credit deterioration | 0 | 0 | 0 | 0 | 107,658 | 66,535 | 1,347 | 3,818 | 179,358 | ||||||||||||||||||||||||||
Total | $ | 1,746,235 | $ | 532,991 | $ | 102,010 | $ | 12,810 | $ | 932,444 | $ | 316,585 | $ | 44,674 | $ | 53,821 | $ | 3,741,570 |
June 30, 2012 | December 31, 2011 | ||||||
(In Thousands) | |||||||
With Allocated Allowance | |||||||
Without charge-off | $ | 70,704 | $ | 67,202 | |||
With charge-off | 2,057 | 341 | |||||
With No Allocated Allowance | |||||||
Without charge-off | 15,073 | 8,123 | |||||
With charge-off | 3,919 | 6,383 | |||||
Allowance on Impaired Loans | (13,200 | ) | (18,035 | ) | |||
Impaired Loans, net of allowance | $ | 78,553 | $ | 64,014 |
As of June 30, 2012 | For the six months ended June 30, 2012 | For the three months ended June 30, 2012 | ||||||||||||||||||||||||||||||
Total Impaired Loans | Recorded Investment | Gross Carrying Value* | Unpaid Contractual Principal Balance | Related Allowance | Average Recorded Investment | Interest Income Recognized during Impairment | Average Recorded Investment | Interest Income Recognized during Impairment | ||||||||||||||||||||||||
As of and for the three and six months ended June 30, 2012 | ||||||||||||||||||||||||||||||||
With Related Allowance: | ||||||||||||||||||||||||||||||||
Real Estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||||||||||||||||
Real Estate—Commercial | ||||||||||||||||||||||||||||||||
Retail | 3,340 | 3,291 | 3,381 | (604 | ) | 2,571 | 53 | 2,952 | 21 | |||||||||||||||||||||||
Hotel & Motel | 23,210 | 23,117 | 24,404 | (3,210 | ) | 21,137 | 433 | 22,986 | 211 | |||||||||||||||||||||||
Gas Station & Car Wash | 3,312 | 3,304 | 5,065 | (908 | ) | 3,676 | 46 | 4,381 | 23 | |||||||||||||||||||||||
Mixed Use | 5,253 | 5,242 | 5,283 | (163 | ) | 4,401 | 103 | 5,187 | 46 | |||||||||||||||||||||||
Industrial & Warehouse | 1,446 | 1,442 | 1,456 | (394 | ) | 3,658 | 27 | 3,355 | 13 | |||||||||||||||||||||||
Other | 11,964 | 11,942 | 12,120 | (824 | ) | 13,132 | 179 | 12,264 | 87 | |||||||||||||||||||||||
Real Estate—Construction | 0 | 0 | 0 | 0 | 42 | 0 | 0 | 0 | ||||||||||||||||||||||||
Commercial Business | 23,696 | 23,606 | 26,236 | (7,040 | ) | 23,126 | 426 | 24,982 | 209 | |||||||||||||||||||||||
Trade Finance | 540 | 518 | 968 | (57 | ) | 1,837 | 14 | 491 | 7 | |||||||||||||||||||||||
Consumer and Other | 0 | 0 | 0 | 0 | 160 | 0 | 240 | 0 | ||||||||||||||||||||||||
$ | 72,761 | $ | 72,462 | $ | 78,913 | $ | (13,200 | ) | $ | 73,740 | $ | 1,281 | $ | 76,838 | $ | 617 | ||||||||||||||||
With No Related Allowance | ||||||||||||||||||||||||||||||||
Real Estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||||||||||||||||
Real Estate—Commercial | ||||||||||||||||||||||||||||||||
Retail | 953 | 930 | 3,627 | 0 | 1,321 | 0 | 1,288 | 0 | ||||||||||||||||||||||||
Hotel & Motel | 282 | 282 | 491 | 0 | 94 | 0 | 141 | 0 | ||||||||||||||||||||||||
Gas Station & Car Wash | 1,675 | 1,667 | 4,127 | 0 | 964 | 0 | 1,302 | 0 | ||||||||||||||||||||||||
Mixed Use | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
Industrial & Warehouse | 5,893 | 5,874 | 11,450 | 0 | 4,743 | 18 | 5,789 | 9 | ||||||||||||||||||||||||
Other | 1,937 | 1,931 | 3,346 | 0 | 2,339 | 17 | 2,457 | 8 | ||||||||||||||||||||||||
Real Estate—Construction | 1,714 | 1,710 | 1,710 | 0 | 1,719 | 56 | 1,719 | 28 | ||||||||||||||||||||||||
Commercial Business | 1,920 | 1,924 | 3,188 | 0 | 3,240 | 10 | 1,992 | 5 | ||||||||||||||||||||||||
Trade Finance | 4,482 | 4,452 | 4,452 | 0 | 3,079 | 57 | 4,384 | 42 | ||||||||||||||||||||||||
Consumer and Other | 136 | 136 | 171 | 0 | 144 | 0 | 141 | 0 | ||||||||||||||||||||||||
$ | 18,992 | $ | 18,906 | $ | 32,562 | $ | 0 | $ | 17,643 | $ | 158 | $ | 19,213 | $ | 92 | |||||||||||||||||
Total | $ | 91,753 | $ | 91,368 | $ | 111,475 | $ | (13,200 | ) | $ | 91,383 | $ | 1,439 | $ | 96,051 | $ | 709 |
As of June 30, 2012 | For the six months ended June 30, 2012 | For the three months ended June 30, 2012 | ||||||||||||||||||||||||||||||
Acquired Impaired Loans | Recorded Investment | Gross Carrying Value* | Unpaid Contractual Principal Balance | Related Allowance | Average Recorded Investment | Interest Income Recognized during Impairment | Average Recorded Investment | Interest Income Recognized during Impairment | ||||||||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||||||||||
As of and for the three and six months ended June 30, 2012 | ||||||||||||||||||||||||||||||||
With Related Allowance: | ||||||||||||||||||||||||||||||||
Real Estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||||||||||||||||
Real Estate—Commercial | ||||||||||||||||||||||||||||||||
Retail | 953 | 948 | 948 | (23 | ) | 392 | 27 | 588 | 8 | |||||||||||||||||||||||
Hotel & Motel | 6,112 | 6,112 | 7,375 | (345 | ) | 4,151 | 120 | 6,227 | (12 | ) | ||||||||||||||||||||||
Gas Station & Car Wash | 0 | 0 | 0 | 0 | 95 | 0 | 142 | 0 | ||||||||||||||||||||||||
Mixed Use | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
Industrial & Warehouse | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
Other | 0 | 0 | 0 | 0 | 12 | 0 | 18 | 0 | ||||||||||||||||||||||||
Real Estate—Construction | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
Commercial Business | 547 | 544 | 1,454 | (121 | ) | 357 | 39 | 535 | 16 | |||||||||||||||||||||||
Trade Finance | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
Consumer and Other | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
$ | 7,612 | $ | 7,604 | $ | 9,777 | $ | (489 | ) | $ | 5,007 | $ | 186 | $ | 7,510 | $ | 12 | ||||||||||||||||
With No Related Allowance | ||||||||||||||||||||||||||||||||
Real Estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||||||||||||||||
Real Estate—Commercial | ||||||||||||||||||||||||||||||||
Retail | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
Hotel & Motel | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
Gas Station & Car Wash | 276 | 276 | 1,878 | 0 | 125 | 11 | 167 | 1 | ||||||||||||||||||||||||
Mixed Use | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
Industrial & Warehouse | 3,810 | 3,807 | 3,935 | 0 | 2,279 | (1 | ) | 3,039 | 9 | |||||||||||||||||||||||
Other | 899 | 896 | 1,760 | 0 | 596 | 26 | 795 | 12 | ||||||||||||||||||||||||
Real Estate—Construction | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
Commercial Business | 1,404 | 1,405 | 1,459 | 0 | 569 | 21 | 758 | 13 | ||||||||||||||||||||||||
Trade Finance | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
Consumer and Other | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||||||
$ | 6,389 | $ | 6,384 | $ | 9,032 | $ | 0 | $ | 3,569 | $ | 57 | $ | 4,759 | $ | 35 | |||||||||||||||||
Total | $ | 14,001 | $ | 13,988 | $ | 18,809 | $ | (489 | ) | $ | 8,576 | $ | 243 | $ | 12,269 | $ | 47 |
For the six months ended June 30, 2011 | For the three months ended June 30, 2011 | ||||||||||||||
Average Recorded Investment | Interest Income Recognized during Impairment | Average Recorded Investment | Interest Income Recognized during Impairment | ||||||||||||
As of and for the three and six months ended June 30, 2012 | |||||||||||||||
With Related Allowance: | |||||||||||||||
Real Estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||
Real Estate—Commercial | |||||||||||||||
Retail | 4,509 | 41 | 3,091 | 22 | |||||||||||
Hotel & Motel | 12,631 | 487 | 16,272 | 229 | |||||||||||
Gas Station & Car Wash | 3,256 | 47 | 3,313 | 24 | |||||||||||
Mixed Use | 1,438 | 0 | 2,568 | 0 | |||||||||||
Industrial & Warehouse | 5,194 | 166 | 4,021 | 83 | |||||||||||
Other | 1,744 | 28 | 1,267 | 14 | |||||||||||
Real Estate—Construction | 4,131 | 240 | 3,303 | 120 | |||||||||||
Commercial Business | 25,448 | 0 | 20,192 | 0 | |||||||||||
Trade Finance | 0 | 0 | 0 | 0 | |||||||||||
Consumer and Other | 0 | 0 | 0 | 0 | |||||||||||
$ | 58,351 | $ | 1,009 | $ | 54,027 | $ | 492 | ||||||||
With No Related Allowance | |||||||||||||||
Real Estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||
Real Estate—Commercial | |||||||||||||||
Retail | 6,190 | 0 | 5,212 | 0 | |||||||||||
Hotel & Motel | 6,090 | 8 | 5,247 | 4 | |||||||||||
Gas Station & Car Wash | 4,101 | 0 | 3,736 | 0 | |||||||||||
Mixed Use | 3,113 | 35 | 2,931 | 17 | |||||||||||
Industrial & Warehouse | 2,186 | 0 | 2,792 | 0 | |||||||||||
Other | 13,479 | 160 | 12,129 | 80 | |||||||||||
Real Estate—Construction | 3,799 | 56 | 3,576 | 28 | |||||||||||
Commercial Business | 5,411 | 41 | 5,538 | 29 | |||||||||||
Trade Finance | 461 | 0 | 458 | 0 | |||||||||||
Consumer and Other | 140 | 0 | 157 | 0 | |||||||||||
$ | 44,970 | $ | 300 | $ | 41,776 | $ | 158 | ||||||||
Total | $ | 103,321 | $ | 1,309 | $ | 95,803 | $ | 650 |
As of December 31, 2011 | For the year ended December 31, 2011 | |||||||||||||||||||||||
Recorded Investment | Gross Carrying Value* | Unpaid Contractual Principal Balance | Related Allowance | Average Recorded Investment | Interest Income Recognized during Impairment | |||||||||||||||||||
(In Thousands) | ||||||||||||||||||||||||
As of and for the year ended December 31, 2011 | ||||||||||||||||||||||||
With Related Allowance: | ||||||||||||||||||||||||
Real Estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||||||||||||
Real Estate—Commercial | ||||||||||||||||||||||||
Retail | 1,810 | 1,810 | 2,686 | (668 | ) | 3,475 | 34 | |||||||||||||||||
Hotel & Motel | 17,439 | 17,441 | 17,459 | (4,093 | ) | 14,581 | 1,013 | |||||||||||||||||
Gas Station & Car Wash | 2,266 | 2,265 | 2,669 | (550 | ) | 2,825 | 95 | |||||||||||||||||
Mixed Use | 2,828 | 2,822 | 2,840 | (128 | ) | 1,953 | 158 | |||||||||||||||||
Industrial & Warehouse | 4,262 | 4,242 | 4,246 | (407 | ) | 4,826 | 310 | |||||||||||||||||
Other | 14,870 | 14,982 | 14,994 | (4,630 | ) | 6,192 | 298 | |||||||||||||||||
Real Estate—Construction | 127 | 128 | 128 | (49 | ) | 2,504 | 0 | |||||||||||||||||
Commercial Business | 19,413 | 19,416 | 20,248 | (7,168 | ) | 22,929 | 538 | |||||||||||||||||
Trade Finance | 4,528 | 4,497 | 4,497 | (342 | ) | 906 | 71 | |||||||||||||||||
Consumer and Other | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||
$ | 67,543 | $ | 67,603 | $ | 69,767 | $ | (18,035 | ) | $ | 60,191 | $ | 2,517 | ||||||||||||
With No Related Allowance | ||||||||||||||||||||||||
Real Estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | ||||||||||||
Real Estate—Commercial | ||||||||||||||||||||||||
Retail | 1,388 | 1,391 | 4,113 | 0 | 4,485 | 0 | ||||||||||||||||||
Hotel & Motel | 0 | 0 | 0 | 0 | 3,770 | 0 | ||||||||||||||||||
Gas Station & Car Wash | 288 | 287 | 2,851 | 0 | 2,621 | 0 | ||||||||||||||||||
Mixed Use | 0 | 0 | 0 | 0 | 1,868 | 0 | ||||||||||||||||||
Industrial & Warehouse | 2,651 | 2,662 | 8,346 | 0 | 2,380 | 0 | ||||||||||||||||||
Other | 2,102 | 2,092 | 3,739 | 0 | 8,934 | 0 | ||||||||||||||||||
Real Estate—Construction | 1,721 | 1,710 | 1,710 | 0 | 3,283 | 113 | ||||||||||||||||||
Commercial Business | 5,737 | 5,740 | 6,964 | 0 | 5,191 | 203 | ||||||||||||||||||
Trade Finance | 469 | 467 | 467 | 0 | 759 | 30 | ||||||||||||||||||
Consumer and Other | 150 | 150 | 180 | 0 | 145 | 0 | ||||||||||||||||||
$ | 14,506 | $ | 14,499 | $ | 28,370 | $ | 0 | $ | 33,436 | $ | 346 | |||||||||||||
Total | $ | 82,049 | $ | 82,102 | $ | 98,137 | $ | (18,035 | ) | $ | 93,627 | $ | 2,863 |
As of June 30, 2012 | |||||||||||||||||||||||||||
30-59 Days Past Due | 60-89 Days Past Due | Greater than 90 Days Past Due | Total Past Due | Non-accrual loans | Total Delinquent loans | Greater than 90 days and accruing | |||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||
Legacy Loans | |||||||||||||||||||||||||||
Real estate—Residential | $ | 31 | $ | 0 | $ | 0 | $ | 31 | $ | 0 | $ | 31 | $ | 0 | |||||||||||||
Real estate—Commercial | |||||||||||||||||||||||||||
Retail | 459 | 0 | 0 | 459 | 2,360 | 2,819 | 0 | ||||||||||||||||||||
Hotel & Motel | 2,160 | 0 | 0 | 2,160 | 991 | 3,151 | 0 | ||||||||||||||||||||
Gas Station & Car Wash | 2,182 | 0 | 0 | 2,182 | 3,539 | 5,721 | 0 | ||||||||||||||||||||
Mixed Use | 0 | 0 | 0 | 0 | 1,886 | 1,886 | 0 | ||||||||||||||||||||
Industrial & Warehouse | 356 | 0 | 0 | 356 | 2,473 | 2,829 | 0 | ||||||||||||||||||||
Other | 0 | 118 | 0 | 118 | 6,615 | 6,733 | 0 | ||||||||||||||||||||
Real estate—Construction | 0 | 0 | 0 | 0 | 0 | 0 | 0 | ||||||||||||||||||||
Commercial business | 313 | 725 | 0 | 1,038 | 10,166 | 11,204 | 0 | ||||||||||||||||||||
Trade finance | 0 | 0 | 0 | 0 | 50 | 50 | 0 | ||||||||||||||||||||
Consumer and other | 16 | 0 | 0 | 16 | 136 | 152 | 0 | ||||||||||||||||||||
Subtotal | $ | 5,517 | $ | 843 | $ | 0 | $ | 6,360 | $ | 28,216 | $ | 34,576 | $ | 0 | |||||||||||||
Acquired Loans (1) | |||||||||||||||||||||||||||
Real estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||
Real estate—Commercial | |||||||||||||||||||||||||||
Retail | 333 | 19 | 2,149 | 2,501 | 0 | 2,501 | 2,149 | ||||||||||||||||||||
Hotel & Motel | 0 | 1,530 | 948 | 2,478 | 6,112 | 8,590 | 948 | ||||||||||||||||||||
Gas Station & Car Wash | 254 | 1,249 | 3,062 | 4,565 | 276 | 4,841 | 3,062 | ||||||||||||||||||||
Mixed Use | 0 | 0 | 2,815 | 2,815 | 0 | 2,815 | 2,815 | ||||||||||||||||||||
Industrial & Warehouse | 48 | 813 | 0 | 861 | 2,996 | 3,857 | 0 | ||||||||||||||||||||
Other | 1,325 | 1,077 | 4,500 | 6,902 | 681 | 7,583 | 4,500 | ||||||||||||||||||||
Real estate—Construction | 0 | 0 | 6,245 | 6,245 | 0 | 6,245 | 6,245 | ||||||||||||||||||||
Commercial business | 1,326 | 1,020 | 459 | 2,805 | 1,303 | 4,108 | 459 | ||||||||||||||||||||
Trade finance | 77 | 3 | 74 | 154 | 0 | 154 | 74 | ||||||||||||||||||||
Consumer and other | 253 | 376 | 449 | 1,078 | 146 | 1,224 | 449 | ||||||||||||||||||||
Subtotal | 3,616 | 6,087 | 20,701 | 30,404 | 11,514 | 41,918 | 20,701 | ||||||||||||||||||||
TOTAL | 9,133 | 6,930 | 20,701 | 36,764 | 39,730 | 76,494 | 20,701 |
As of December 31, 2011 | |||||||||||||||||||||||||||
30-59 Days Past Due | 60-89 Days Past Due | Greater than 90 Days Past Due | Total Past Due | Non-accrual loans | Total Delinquent loans | Greater than 90 days and accruing | |||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||
Legacy Loans | |||||||||||||||||||||||||||
Real estate—Residential | $ | 36 | $ | 0 | $ | 0 | $ | 36 | $ | 0 | $ | 36 | $ | 0 | |||||||||||||
Real estate—Commercial | |||||||||||||||||||||||||||
Retail | 431 | 0 | 0 | 431 | 2,612 | 3,043 | 0 | ||||||||||||||||||||
Hotel & Motel | 0 | 0 | 0 | 0 | 482 | 482 | 0 | ||||||||||||||||||||
Gas Station & Car Wash | 634 | 0 | 0 | 634 | 1,368 | 2,002 | 0 | ||||||||||||||||||||
Mixed Use | 0 | 0 | 0 | 0 | 822 | 822 | 0 | ||||||||||||||||||||
Industrial & Warehouse | 360 | 0 | 0 | 360 | 3,055 | 3,415 | 0 | ||||||||||||||||||||
Other | 0 | 119 | 0 | 119 | 10,865 | 10,984 | 0 | ||||||||||||||||||||
Real estate—Construction | 0 | 0 | 0 | 0 | 127 | 127 | 0 | ||||||||||||||||||||
Commercial business | 1,396 | 392 | 0 | 1,788 | 11,462 | 13,250 | 0 | ||||||||||||||||||||
Trade finance | 0 | 0 | 0 | 0 | 117 | 117 | 0 | ||||||||||||||||||||
Consumer and other | 5 | 0 | 0 | 5 | 150 | 155 | 0 | ||||||||||||||||||||
Subtotal | 2,862 | 511 | 0 | 3,373 | 31,060 | 34,433 | 0 | ||||||||||||||||||||
Acquired Loans (1) | |||||||||||||||||||||||||||
Real estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||||||||
Real estate—Commercial | |||||||||||||||||||||||||||
Retail | 147 | 64 | 1,675 | 1,886 | 0 | 1,886 | 1,675 | ||||||||||||||||||||
Hotel & Motel | 0 | 45 | 0 | 45 | 0 | 45 | 0 | ||||||||||||||||||||
Gas Station & Car Wash | 2,547 | 177 | 817 | 3,541 | 0 | 3,541 | 817 | ||||||||||||||||||||
Mixed Use | 1,178 | 1,702 | 389 | 3,269 | 0 | 3,269 | 389 | ||||||||||||||||||||
Industrial & Warehouse | 3,393 | 0 | 110 | 3,503 | 0 | 3,503 | 110 | ||||||||||||||||||||
Other | 1,472 | 228 | 4,237 | 5,937 | 0 | 5,937 | 4,237 | ||||||||||||||||||||
Real estate—Construction | 0 | 4,499 | 0 | 4,499 | 0 | 4,499 | 0 | ||||||||||||||||||||
Commercial business | 1,747 | 1,402 | 9,125 | 12,274 | 0 | 12,274 | 9,125 | ||||||||||||||||||||
Trade finance | 0 | 0 | 202 | 202 | 0 | 202 | 202 | ||||||||||||||||||||
Consumer and other | 705 | 370 | 700 | 1,775 | 0 | 1,775 | 700 | ||||||||||||||||||||
Subtotal | $ | 11,189 | $ | 8,487 | $ | 17,255 | $ | 36,931 | $ | 0 | $ | 36,931 | $ | 17,255 | |||||||||||||
TOTAL | $ | 14,051 | $ | 8,998 | $ | 17,255 | $ | 40,304 | $ | 31,060 | $ | 71,364 | $ | 17,255 |
• | Special Mention: Loans classified as special mention have a potential weakness that deserves management’s close attention. If left uncorrected, these potential weaknesses may result in deterioration of the repayment prospects for the loan or of the institution’s credit position at some future date. |
• | Substandard: Loans classified as substandard are inadequately protected by the current net worth and paying capacity of the obligor or of the collateral pledged, if any. Loans so classified have a well-defined weakness or weaknesses that jeopardize the repayment of the debt. They are characterized by the distinct possibility that the institution will sustain some loss if the deficiencies are not corrected. |
• | Doubtful/Loss: Loans classified as doubtful have all the weaknesses inherent in those classified as substandard, with the added characteristic that the weaknesses make collection or repayment in full, on the basis of currently existing facts, conditions, and values, highly questionable and improbable. |
As of June 30, 2012 | |||||||||||||||
Special Mention | Substandard | Doubtful/Loss | Total | ||||||||||||
(In thousands) | |||||||||||||||
Legacy Loans: | |||||||||||||||
Real estate—Residential | $ | 0 | $ | 31 | $ | 0 | $ | 31 | |||||||
Real estate—Commercial | |||||||||||||||
Retail | 3,411 | 13,231 | 0 | 16,642 | |||||||||||
Hotel & Motel | 3,724 | 16,353 | 0 | 20,077 | |||||||||||
Gas Station & Car Wash | 3,824 | 4,712 | 0 | 8,536 | |||||||||||
Mixed Use | 1,786 | 5,867 | 0 | 7,653 | |||||||||||
Industrial & Warehouse | 3,953 | 4,099 | 390 | 8,442 | |||||||||||
Other | 8,010 | 10,866 | 0 | 18,876 | |||||||||||
Real estate—Construction | 0 | 1,714 | 0 | 1,714 | |||||||||||
Commercial business | 16,301 | 26,095 | 5,140 | 47,536 | |||||||||||
Trade finance | 7,802 | 5,006 | 0 | 12,808 | |||||||||||
Consumer and other | 0 | 995 | 0 | 995 | |||||||||||
Subtotal | $ | 48,811 | $ | 88,969 | $ | 5,530 | $ | 143,310 | |||||||
Acquired Loans: | |||||||||||||||
Real estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||
Real estate—Commercial | |||||||||||||||
Retail | 13,219 | 12,774 | 0 | 25,993 | |||||||||||
Hotel & Motel | 16,017 | 22,593 | 0 | 38,610 | |||||||||||
Gas Station & Car Wash | 6,383 | 5,803 | 0 | 12,186 | |||||||||||
Mixed Use | 2,354 | 4,026 | 0 | 6,380 | |||||||||||
Industrial & Warehouse | 1,379 | 9,184 | 0 | 10,563 | |||||||||||
Other | 4,823 | 12,728 | 0 | 17,551 | |||||||||||
Real estate—Construction | 0 | 7,338 | 0 | 7,338 | |||||||||||
Commercial business | 16,099 | 31,184 | 174 | 47,457 | |||||||||||
Trade finance | 248 | 491 | 0 | 739 | |||||||||||
Consumer and other | 338 | 4,432 | 99 | 4,869 | |||||||||||
Subtotal | $ | 60,860 | $ | 110,553 | $ | 273 | $ | 171,686 | |||||||
Total | $ | 109,671 | $ | 199,522 | $ | 5,803 | $ | 314,996 |
As of December 31, 2011 | |||||||||||||||
Special Mention | Substandard | Doubtful/Loss | Total | ||||||||||||
(In thousands) | |||||||||||||||
Legacy Loans: | |||||||||||||||
Real estate—Residential | $ | 0 | $ | 36 | $ | 0 | $ | 36 | |||||||
Real estate—Commercial | |||||||||||||||
Retail | 3,430 | 13,477 | 0 | 16,907 | |||||||||||
Hotel & Motel | 5,008 | 17,875 | 0 | 22,883 | |||||||||||
Gas Station & Car Wash | 3,489 | 2,554 | 0 | 6,043 | |||||||||||
Mixed Use | 2,279 | 3,026 | 0 | 5,305 | |||||||||||
Industrial & Warehouse | 3,998 | 7,238 | 404 | 11,640 | |||||||||||
Other | 5,914 | 15,393 | 0 | 21,307 | |||||||||||
Real estate—Construction | 0 | 1,848 | 0 | 1,848 | |||||||||||
Commercial business | 11,357 | 30,114 | 5,994 | 47,465 | |||||||||||
Trade finance | 274 | 4,997 | 0 | 5,271 | |||||||||||
Consumer and other | 0 | 1,081 | 0 | 1,081 | |||||||||||
Subtotal | $ | 35,749 | $ | 97,639 | $ | 6,398 | $ | 139,786 | |||||||
Acquired Loans: | |||||||||||||||
Real estate—Residential | $ | 0 | $ | 0 | $ | 0 | $ | 0 | |||||||
Real estate—Commercial | |||||||||||||||
Retail | 11,591 | 11,334 | 0 | 22,925 | |||||||||||
Hotel & Motel | 13,138 | 16,746 | 0 | 29,884 | |||||||||||
Gas Station & Car Wash | 5,665 | 5,760 | 0 | 11,425 | |||||||||||
Mixed Use | 3,532 | 2,829 | 0 | 6,361 | |||||||||||
Industrial & Warehouse | 2,673 | 3,770 | 0 | 6,443 | |||||||||||
Other | 6,702 | 12,598 | 0 | 19,300 | |||||||||||
Real estate—Construction | 0 | 5,489 | 0 | 5,489 | |||||||||||
Commercial business | 16,096 | 39,630 | 353 | 56,079 | |||||||||||
Trade finance | 128 | 829 | 0 | 957 | |||||||||||
Consumer and other | 1,662 | 2,526 | 0 | 4,188 | |||||||||||
Subtotal | $ | 61,187 | $ | 101,511 | $ | 353 | $ | 163,051 | |||||||
Total | $ | 96,936 | $ | 199,150 | $ | 6,751 | $ | 302,837 |
Three Months Ended June 30, | Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
Sales or reclassification to held for sale | (In thousands) | ||||||||||||||
Real estate - Commercial | $ | 656 | $ | 10,739 | $ | 1,882 | $ | 15,985 | |||||||
Real estate - Construction | 0 | 4,600 | 0 | 4,600 | |||||||||||
Commercial Business | 20,892 | 49 | 20,892 | 49 | |||||||||||
Total | $ | 21,548 | $ | 15,388 | $ | 22,774 | $ | 20,634 |
• | Changes in lending policies and procedures, including underwriting standards and collection, charge-off, and recovery practices. |
• | Changes in national and local economic and business conditions and developments, including the condition of various market segments. |
• | Changes in the nature and volume of the loan portfolio. |
• | Changes in the experience, ability, and depth of lending management and staff. |
• | Changes in the trends of the volume and severity of past due and classified loans; and changes in trends in the volume of non-accrual loans and troubled debt restructurings, and other loan modifications. |
• | Changes in the quality of our loan review system and the degree of oversight by the Directors. |
• | Changes in the value of underlying collateral for collateral-dependent loans. |
• | The existence and effect of any concentrations of credit, and changes in the level of such concentrations. |
• | The effect of external factors such as competition and legal and regulatory requirements on the level of estimated losses in our loan portfolio. |
As of June 30, 2012 | |||||||||||||||||||||||||||
Real estate - Residential | Real estate - Commercial | Real estate - Construction | Commercial business | Trade finance | Consumer and other | Total | |||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||
Impaired loans (Gross carrying value) | $ | 0 | $ | 59,023 | $ | 1,710 | $ | 25,529 | $ | 4,970 | $ | 136 | $ | 91,368 | |||||||||||||
Specific allowance | $ | 0 | $ | 6,103 | $ | 0 | $ | 7,040 | $ | 57 | $ | 0 | $ | 13,200 | |||||||||||||
Loss coverage ratio | 0.0 | % | 10.3 | % | 0.0 | % | 27.6 | % | 1.1 | % | 0.0 | % | 14.4 | % | |||||||||||||
Non-impaired loans | $ | 1,931 | $ | 2,658,901 | $ | 41,655 | $ | 851,876 | $ | 170,668 | $ | 60,596 | $ | 3,785,627 | |||||||||||||
General allowance | $ | 9 | $ | 32,891 | $ | 521 | $ | 14,233 | $ | 3,447 | $ | 1,204 | $ | 52,305 | |||||||||||||
Loss coverage ratio | 0.5 | % | 1.2 | % | 1.3 | % | 1.7 | % | 2.0 | % | 2.0 | % | 1.4 | % | |||||||||||||
Total loans | $ | 1,931 | $ | 2,717,924 | $ | 43,365 | $ | 877,405 | $ | 175,638 | $ | 60,732 | $ | 3,876,995 | |||||||||||||
Total allowance for loan losses | $ | 9 | $ | 38,994 | $ | 521 | $ | 21,273 | $ | 3,504 | $ | 1,204 | $ | 65,505 | |||||||||||||
Loss coverage ratio | 0.5 | % | 1.4 | % | 1.2 | % | 2.4 | % | 2.0 | % | 2.0 | % | 1.7 | % |
As of December 31, 2011 | |||||||||||||||||||||||||||
Real estate - Residential | Real estate - Commercial | Real estate - Construction | Commercial business | Trade finance | Consumer and other | Total | |||||||||||||||||||||
(In Thousands) | |||||||||||||||||||||||||||
Impaired loans (Gross carrying value) | $ | 0 | $ | 49,994 | $ | 1,838 | $ | 25,156 | $ | 4,964 | $ | 150 | $ | 82,102 | |||||||||||||
Specific allowance | $ | 0 | $ | 10,476 | $ | 49 | $ | 7,168 | $ | 342 | $ | 0 | $ | 18,035 | |||||||||||||
Loss coverage ratio | 0.0 | % | 21.0 | % | 2.7 | % | 28.5 | % | 6.9 | % | 0.0 | % | 22.0 | % | |||||||||||||
Non-impaired loans | $ | 2,043 | $ | 2,581,886 | $ | 42,918 | $ | 824,420 | $ | 141,720 | $ | 66,481 | $ | 3,659,468 | |||||||||||||
General allowance | $ | 9 | $ | 27,831 | $ | 675 | $ | 13,513 | $ | 1,444 | $ | 445 | $ | 43,917 | |||||||||||||
Loss coverage ratio | 0.4 | % | 1.1 | % | 1.6 | % | 1.6 | % | 1.0 | % | 0.7 | % | 1.2 | % | |||||||||||||
Total loans | $ | 2,043 | $ | 2,631,880 | $ | 44,756 | $ | 849,576 | $ | 146,684 | $ | 66,631 | $ | 3,741,570 | |||||||||||||
Total allowance for loan losses | $ | 9 | $ | 38,307 | $ | 724 | $ | 20,681 | $ | 1,786 | $ | 445 | $ | 61,952 | |||||||||||||
Loss coverage ratio | 0.4 | % | 1.5 | % | 1.6 | % | 2.4 | % | 1.2 | % | 0.7 | % | 1.7 | % |
As of June 30, 2012 | |||||||||||||||||||||||||||||||||||
TDR on accrual | TDR on non-accrual | TOTAL | |||||||||||||||||||||||||||||||||
Real estate - Commercial | Commercial Business | Trade Finance | Total | Real estate - Commercial | Commercial Business | Consumer & Other | Total | ||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||||
Payment concession | $ | 2,514 | $ | 1,639 | $ | 0 | $ | 4,153 | $ | 8,665 | $ | 3,614 | $ | 0 | $ | 12,279 | $ | 16,432 | |||||||||||||||||
Maturity / Amortization concession | 0 | 2,789 | 490 | 3,279 | 678 | 1,841 | 186 | 2,705 | 5,984 | ||||||||||||||||||||||||||
Rate concession | 14,344 | 1,306 | 0 | 15,650 | 9,842 | 48 | 0 | 9,890 | 25,540 | ||||||||||||||||||||||||||
Principal forgiveness | 0 | 0 | 0 | 0 | 0 | 109 | 0 | 109 | 109 | ||||||||||||||||||||||||||
$ | 16,858 | $ | 5,734 | $ | 490 | $ | 23,082 | $ | 19,185 | $ | 5,612 | $ | 186 | $ | 24,983 | $ | 48,065 |
As of December 31, 2011 | |||||||||||||||||||||||||||||||||||
TDR on accrual | TDR on non-accrual | TOTAL | |||||||||||||||||||||||||||||||||
Real estate - Commercial | Commercial Business | Trade Finance | Total | Real estate - Commercial | Commercial Business | Trade Finance and Other | Total | ||||||||||||||||||||||||||||
(In thousands) | |||||||||||||||||||||||||||||||||||
Payment concession | $ | 949 | $ | 1,365 | $ | 0 | $ | 2,314 | $ | 3,769 | $ | 3,441 | $ | 0 | $ | 7,210 | $ | 9,524 | |||||||||||||||||
Maturity / Amortization concession | 0 | 888 | 469 | 1,357 | 1,178 | 1,578 | 150 | 2,906 | 4,263 | ||||||||||||||||||||||||||
Rate concession | 12,384 | 2,740 | 0 | 15,124 | 3,335 | 396 | 0 | 3,731 | 18,855 | ||||||||||||||||||||||||||
Principal forgiveness | 0 | 0 | 0 | 0 | 0 | 78 | 0 | 78 | 78 | ||||||||||||||||||||||||||
$ | 13,333 | $ | 4,993 | $ | 469 | $ | 18,795 | $ | 8,282 | $ | 5,493 | $ | 150 | $ | 13,925 | $ | 32,720 |
Three Months Ended June 30, 2012 | Six Months Ended June 30, 2012 | ||||||||||||||||
Number of Loans | Pre- Modification | Post- Modification | Number of Loans | Pre- Modification | Post- Modification | ||||||||||||
($ in thousand) | |||||||||||||||||
Legacy Loans: | |||||||||||||||||
Real estate - Commercial | |||||||||||||||||
Retail | 1 | $ | 288 | $ | 283 | 4 | $ | 969 | $ | 943 | |||||||
Hotel & Motel | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
Gas Station & Car Wash | 0 | 0 | 0 | 1 | 218 | 101 | |||||||||||
Mixed Use | 0 | 0 | 0 | 1 | 2,319 | 2,316 | |||||||||||
Industrial & Warehouse | 0 | 0 | 0 | 1 | 1,064 | 1,056 | |||||||||||
Other | 0 | 0 | 0 | 2 | 7,335 | 5,646 | |||||||||||
Real estate - Construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
Commercial business | 2 | 89 | 88 | 8 | 2,397 | 2,339 | |||||||||||
Trade Finance | 1 | 157 | 50 | 1 | 157 | 50 | |||||||||||
Subtotal | 4 | $ | 534 | $ | 421 | 18 | $ | 14,459 | $ | 12,451 | |||||||
Acquired Loans: | |||||||||||||||||
Real estate - Commercial | |||||||||||||||||
Retail | 1 | $ | 957 | $ | 953 | 1 | $ | 957 | $ | 953 | |||||||
Hotel & Motel | 1 | 6,341 | 6,112 | 1 | 6,341 | 6,112 | |||||||||||
Gas Station & Car Wash | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
Mixed Use | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
Industrial & Warehouse | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
Other | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
Real estate - Construction | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
Commercial business | 2 | 244 | 1,062 | 4 | 474 | 1,278 | |||||||||||
Trade Finance | 0 | 0 | 0 | 0 | 0 | 0 | |||||||||||
Subtotal | 4 | $ | 7,542 | $ | 8,127 | 6 | $ | 7,772 | $ | 8,343 | |||||||
Total | 8 | $ | 8,076 | $ | 8,548 | 24 | $ | 22,231 | $ | 20,794 | |||||||
Three Months Ended June 30, 2012 | Six Months Ended June 30, 2012 | ||||||||||
Number of Loans | Balance | Number of Loans | Balance | ||||||||
($ In thousands) | |||||||||||
Legacy Loans: | |||||||||||
Real estate - Commercial | |||||||||||
Retail | 1 | $ | 283 | 2 | $ | 536 | |||||
Gas Station & Car Wash | 1 | 219 | 1 | 219 | |||||||
Industrial & Warehouse | 2 | 1,093 | 2 | 1,093 | |||||||
Other | 2 | 1,021 | 2 | 1,021 | |||||||
Commercial Business | 4 | 992 | 7 | 1,188 | |||||||
Subtotal | 10 | $ | 3,608 | 14 | $ | 4,057 | |||||
Acquired Loans: | |||||||||||
Real estate - Commercial | |||||||||||
Retail | 0 | $ | 0 | 0 | $ | 0 | |||||
Hotel & Motel | 1 | 6,112 | 1 | 6,112 | |||||||
Industrial & Warehouse | 0 | 0 | 0 | 0 | |||||||
Other | 0 | 0 | 0 | 0 | |||||||
Commercial Business | 1 | 153 | 2 | 244 | |||||||
Subtotal | 2 | $ | 6,265 | 3 | $ | 6,356 | |||||
12 | $ | 9,873 | 17 | $ | 10,413 |
June 30, 2012 | December 31, 2011 | ||||||
(In thousand) | |||||||
Covered loans on non-accrual status | $ | 242 | $ | 0 | |||
Covered other real estate owned | 3,961 | 3,575 | |||||
Total covered nonperforming assets | $ | 4,203 | $ | 3,575 | |||
Acquired covered loans | $ | 76,339 | $ | 89,959 |
8. | Borrowings |
Contractual Maturities | Maturity/ Put Date | ||||||
(In thousands) | |||||||
Due within one year | $ | 174,021 | $ | 264,021 | |||
Due after one year through five years | 175,000 | 105,000 | |||||
Due after five years through ten years | 20,000 | 0 | |||||
$ | 369,021 | $ | 369,021 |
9. | Subordinated Debentures |
(Dollars in Thousands) | ||||||||||||||||||||
Issuance Trust | Issuance Date | Trust Preferred Security Amount | Subordinated Debentures Amount | Rate Type | Initial Rate | Rate at June 30, 2012 | Maturity Date | |||||||||||||
Nara Capital Trust III | 6/5/2003 | $ | 5,000 | $ | 5,155 | Variable | 4.44 | % | 3.62 | % | 6/15/2033 | |||||||||
Nara Statutory Trust IV | 12/22/2003 | 5,000 | 5,155 | Variable | 4.02 | % | 3.32 | % | 1/7/2034 | |||||||||||
Nara Statutory Trust V | 12/17/2003 | 10,000 | 10,310 | Variable | 4.12 | % | 3.42 | % | 12/17/2033 | |||||||||||
Nara Statutory Trust VI | 3/22/2007 | 8,000 | 8,248 | Variable | 7.00 | % | 2.12 | % | 6/15/2037 | |||||||||||
Center Capital Trust I | 12/29/2003 | 18,000 | 12,904 | Variable | 4.01 | % | 3.32 | % | 1/7/2034 | |||||||||||
TOTAL ISSUANCE | $ | 46,000 | $ | 41,772 |
10. | Derivative Financial Instruments and Hedging Activities |
June 30, 2012 | December 31, 2011 | |||||
Notional amounts | $ | 50 | million | $ | 50 | million |
Weighted average pay rates | N/A | N/A | ||||
Weighted average receive rates | N/A | N/A | ||||
Weighted average maturity | 0.65 years | 1.16 years | ||||
Fair value of combined interest rate caps | $ | 0 | $ | 9 | thousand |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||||||
Location of Gain or (Loss) Recognized in Income on Derivatives | (In thousands) Amount of Gain or (Loss) Recognized in Income on Derivatives | (In thousands) Amount of Gain or (Loss) Recognized in Income on Derivatives | ||||||||||||||
Derivatives not designated as hedging instruments under FASB ASC 815: | ||||||||||||||||
Interest rate contracts (1) | Other income | $ | (1 | ) | $ | (118 | ) | $ | (9 | ) | $ | (140 | ) |
(1) | Includes amounts representing the net interest payments as stated in the contractual agreements and the valuation gains or (losses) on interest rate contracts not designated as hedging instruments. |
11. | Income Taxes |
12. | Fair Value Measurements |
Valuation Method | Unobservable Inputs | |
Impaired loans at fair value | Market | Adjustments to external or internal appraised values for selling cost of 8.5%. |
Probability weighting of broker price opinions | ||
Management assumptions regarding market trends or other relevant factors | ||
Loans held for sale, net | Market | Adjustments to external or internal appraised values for selling cost in a range of 0% to 5%. |
Probability weighting of broker price opinions | ||
Management assumptions regarding market trends or other relevant factors | ||
Other real estate owned | Market | Adjustments to external or internal appraised values for selling cost of 8.5%. |
Probability weighting of broker price opinions | ||
Management assumptions regarding market trends or other relevant factors |
Fair Value Measurements at the End of the Reporting Period Using | |||||||||||||||
June 30, 2012 | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||
(In thousands) | |||||||||||||||
Assets: | |||||||||||||||
Securities available for sale: | |||||||||||||||
GSE collateralized mortgage obligations | $ | 193,531 | $ | 0 | $ | 193,531 | $ | 0 | |||||||
GSE mortgage-backed securities | 449,845 | 0 | 449,845 | 0 | |||||||||||
Trust preferred security | 3,382 | 0 | 3,382 | 0 | |||||||||||
Municipal bonds | 5,058 | 0 | 5,058 | 0 | |||||||||||
Mutual funds | 15,036 | 15,036 | 0 | 0 | |||||||||||
Fair Value Measurements at the End of the Reporting Period Using | |||||||||||||||
December 31, 2011 | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | ||||||||||||
(In thousands) | |||||||||||||||
Assets: | |||||||||||||||
Securities available for sale: | |||||||||||||||
U.S. Treasury | $ | 300 | $ | 0 | $ | 300 | $ | 0 | |||||||
GSE collateralized mortgage obligations | 227,836 | 0 | 227,836 | 0 | |||||||||||
GSE mortgage-backed securities | 487,754 | 0 | 487,754 | 0 | |||||||||||
Trust preferred security | 4,348 | 0 | 4,348 | 0 | |||||||||||
Municipal bonds | 5,764 | 0 | 5,764 | 0 | |||||||||||
Mutual funds | 14,918 | 14,918 | 0 | 0 | |||||||||||
Derivatives - Interest rate caps | 9 | 0 | 9 | 0 |
Fair Value Measurements at the End of the Reporting Period Using | |||||||||||||||||||
June 30, 2012 | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Gains (Losses) for the Six Months Ended June 30, 2012 | |||||||||||||||
(In thousands) | |||||||||||||||||||
Assets: | |||||||||||||||||||
Impaired loans at fair value: | |||||||||||||||||||
Real estate loans | $ | 12,221 | $ | 0 | $ | 0 | $ | 12,221 | $ | (1,863 | ) | ||||||||
Commercial business | 6,265 | 0 | 0 | 6,265 | 492 | ||||||||||||||
Loans held for sale, net | 656 | 0 | 656 | 0 | (156 | ) | |||||||||||||
Other real estate owned | 5,379 | 0 | 0 | 5,379 | (922 | ) |
Fair Value Measurements at the End of the Reporting Period Using | |||||||||||||||||||
June 30, 2012 | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Gains (Losses) for the Three Months Ended June 30, 2012 | |||||||||||||||
(In thousands) | |||||||||||||||||||
Assets: | |||||||||||||||||||
Impaired loans at fair value: | |||||||||||||||||||
Real estate loans | $ | 12,378 | $ | 0 | $ | 0 | $ | 12,378 | $ | (1,050 | ) | ||||||||
Commercial business | 1,887 | 0 | 0 | 1,887 | (28 | ) | |||||||||||||
Loans held for sale, net | 656 | 0 | 656 | 0 | (156 | ) | |||||||||||||
Other real estate owned | 2,634 | 0 | 0 | 2,634 | (560 | ) |
Fair Value Measurements at the End of the Reporting Period Using | |||||||||||||||||||
December 31, 2011 | Quoted Prices in Active Markets for Identical Assets (Level 1) | Significant Other Observable Inputs (Level 2) | Significant Unobservable Inputs (Level 3) | Total Gains (Losses) for the Twelve Months Ended December 31, 2011 | |||||||||||||||
(In thousands) | |||||||||||||||||||
Assets: | |||||||||||||||||||
Impaired loans at fair value: | |||||||||||||||||||
Real estate loans | $ | 15,485 | $ | 0 | $ | 0 | $ | 15,485 | $ | (6,018 | ) | ||||||||
Commercial business | 6,360 | 0 | 0 | 6,360 | (2,553 | ) | |||||||||||||
Loans held for sale, net | 6,901 | 0 | 6,901 | 0 | (3,393 | ) | |||||||||||||
Other real estate owned | 3,471 | 0 | 0 | 3,471 | (1,031 | ) |
June 30, 2012 | |||||||||
Carrying Amount | Estimated Fair Value | Fair Value Measurement Using | |||||||
(In thousands) | |||||||||
Financial Assets: | |||||||||
Cash and cash equivalents | $ | 179,621 | $ | 179,621 | Level 1 | ||||
Term federal funds sold | 0 | 0 | Level 1 | ||||||
Loans held for sale | 32,590 | 35,674 | Level 2 | ||||||
Loans receivable—net | 3,809,033 | 4,147,077 | Level 3 | ||||||
Federal Home Loan Bank stock | 24,778 | N/A | N/A | ||||||
Accrued interest receivable | 12,062 | 12,062 | Level 2 | ||||||
FDIC loss share receivable | 9,287 | 9,287 | Level 3 | ||||||
Customers’ liabilities on acceptances | 11,206 | 11,206 | Level 2 | ||||||
Financial Liabilities: | |||||||||
Noninterest-bearing deposits | $ | 1,064,013 | $ | 1,064,013 | Level 2 | ||||
Saving and other interest bearing demand deposits | 1,326,416 | 1,326,416 | Level 2 | ||||||
Time deposits | 1,492,251 | 1,496,548 | Level 2 | ||||||
Borrowings from Federal Home Loan Bank | 371,143 | 376,222 | Level 2 | ||||||
Subordinated debentures | 41,772 | 40,174 | Level 2 | ||||||
Accrued interest payable | 5,924 | 5,924 | Level 2 | ||||||
Bank’s liabilities on acceptances outstanding | 11,206 | 11,206 | Level 2 | ||||||
December 31, 2011 | |||||||||
Carrying Amount | Estimated Fair Value | ||||||||
(In thousands) | |||||||||
Financial Assets: | |||||||||
Cash and cash equivalents | $ | 300,110 | $ | 300,110 | |||||
Term federal funds sold | 40,000 | 40,000 | |||||||
Loans held for sale | 42,407 | 43,782 | |||||||
Loans receivable—net | 3,676,874 | 3,933,710 | |||||||
Federal Home Loan Bank stock | 27,373 | N/A | |||||||
Accrued interest receivable | 13,439 | 13,439 | |||||||
FDIC loss share receivable | 10,819 | 10,819 | |||||||
Customers’ liabilities on acceptances | 10,515 | 10,515 | |||||||
Financial Liabilities: | |||||||||
Noninterest-bearing deposits | 984,350 | 984,350 | |||||||
Saving and other interest bearing demand deposits | 1,435,441 | 1,435,441 | |||||||
Time deposits | 1,521,101 | 1,532,152 | |||||||
Borrowings from Federal Home Loan Bank | 344,402 | 349,311 | |||||||
Subordinated debentures | 52,102 | 53,757 | |||||||
Accrued interest payable | 6,519 | 6,519 | |||||||
Bank’s liabilities on acceptances outstanding | 10,515 | 10,515 |
13. | Stockholders’ Equity and Regulatory Matters |
Actual | Required For Capital Adequacy Purposes | Required To Be Well Capitalized under Prompt Corrective Action Provisions | ||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
As of June 30, 2012 | ||||||||||||||||||||
Total capital (to risk-weighted assets): | ||||||||||||||||||||
Company | $ | 701,835 | 16.8 | % | $ | 334,218 | 8.0 | % | N/A | N/A | ||||||||||
Bank | $ | 677,914 | 16.2 | % | $ | 333,972 | 8.0 | % | $ | 417,465 | 10.0 | % | ||||||||
Tier I capital (to risk-weighted assets): | ||||||||||||||||||||
Company | $ | 649,293 | 15.5 | % | $ | 167,109 | 4.0 | % | N/A | N/A | ||||||||||
Bank | $ | 625,409 | 15.0 | % | $ | 166,986 | 4.0 | % | $ | 250,479 | 6.0 | % | ||||||||
Tier I capital (to average assets): | ||||||||||||||||||||
Company | $ | 649,293 | 13.0 | % | $ | 200,203 | 4.0 | % | N/A | N/A | ||||||||||
Bank | $ | 625,409 | 12.5 | % | $ | 200,284 | 4.0 | % | $ | 250,355 | 5.0 | % | ||||||||
Actual | Required For Capital Adequacy Purposes | Required To Be Well Capitalized under Prompt Corrective Action Provisions | ||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||
(Dollars in thousands) | ||||||||||||||||||||
As of December 31, 2011 | ||||||||||||||||||||
Total capital (to risk-weighted assets): | ||||||||||||||||||||
Company | $ | 784,054 | 19.4 | % | $ | 323,144 | 8.0 | % | N/A | N/A | ||||||||||
Bank | $ | 721,551 | 17.9 | % | $ | 322,891 | 8.0 | % | $ | 403,613 | 10.0 | % | ||||||||
Tier I capital (to risk-weighted assets): | ||||||||||||||||||||
Company | $ | 733,319 | 18.2 | % | $ | 161,572 | 4.0 | % | N/A | N/A | ||||||||||
Bank | $ | 670,855 | 16.6 | % | $ | 161,445 | 4.0 | % | $ | 242,168 | 6.0 | % | ||||||||
Tier I capital (to average assets): | ||||||||||||||||||||
Company | $ | 733,319 | 19.8 | % | $ | 148,044 | 4.0 | % | N/A | N/A | ||||||||||
Bank | $ | 670,855 | 18.1 | % | $ | 148,038 | 4.0 | % | $ | 185,048 | 5.0 | % |
14. | Subsequent Event |
Item 2. | Management’s Discussion and Analysis of Financial Condition and Results of Operations |
At or for the Three Months Ended June 30, | At or for the Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
(Dollars in thousands, except share and per share data) | |||||||||||||||
Income Statement Data: | |||||||||||||||
Interest income | $ | 66,943 | $ | 37,294 | $ | 135,498 | $ | 74,488 | |||||||
Interest expense | 7,441 | 7,963 | 15,137 | 16,274 | |||||||||||
Net interest income | 59,502 | 29,331 | 120,361 | 58,214 | |||||||||||
Provision for loan losses | 7,182 | 10,047 | 9,782 | 15,309 | |||||||||||
Net interest income after provision for loan losses | 52,320 | 19,284 | 110,579 | 42,905 | |||||||||||
Non-interest income | 10,222 | 7,684 | 21,867 | 12,194 | |||||||||||
Non-interest expense | 31,077 | 16,886 | 61,512 | 33,581 | |||||||||||
Income before income tax expense | 31,465 | 10,082 | 70,934 | 21,518 | |||||||||||
Income tax expense | 12,101 | 3,764 | 27,636 | 8,454 | |||||||||||
Net income | $ | 19,364 | $ | 6,318 | $ | 43,298 | $ | 13,064 | |||||||
Dividends and discount accretion on preferred stock | $ | (3,771 | ) | $ | (1,075 | ) | $ | (5,640 | ) | $ | (2,150 | ) | |||
Net income available to common stockholders | $ | 15,593 | $ | 5,243 | $ | 37,658 | $ | 10,914 | |||||||
Per Share Data: | |||||||||||||||
Earnings per common share - basic | $ | 0.20 | $ | 0.14 | $ | 0.48 | $ | 0.29 | |||||||
Earnings per common share - diluted | $ | 0.20 | $ | 0.14 | $ | 0.48 | $ | 0.29 | |||||||
Book value per common share (period end, excluding preferred stock and warrants) | $ | 9.14 | $ | 8.02 | $ | 9.14 | $ | 8.02 | |||||||
Tangible book value per common share (period end, excluding preferred stock and warrants) (1) (12) | $ | 7.94 | $ | 7.94 | $ | 7.94 | $ | 7.94 | |||||||
Number of common shares outstanding (period end) | 78,014,107 | 38,097,327 | 78,014,107 | 38,097,327 | |||||||||||
Weighted average shares - basic | 78,007,270 | 38,047,371 | 77,997,305 | 38,017,473 | |||||||||||
Weighted average shares - diluted | 78,141,527 | 38,082,023 | 78,121,259 | 38,079,650 | |||||||||||
Tangible common equity ratio (9) | 12.49 | % | 10.21 | % | 12.49 | % | 10.21 | % | |||||||
Statement of Financial Condition Data - at Period End: | |||||||||||||||
Assets | $ | 5,049,405 | $ | 2,967,288 | $ | 5,049,405 | $ | 2,967,288 | |||||||
Securities available for sale | 666,852 | 472,420 | 666,852 | 472,420 | |||||||||||
Gross loans, net of deferred loan fees and costs (excludes loans held for sale) | 3,874,538 | 2,202,446 | 3,874,538 | 2,202,446 | |||||||||||
Deposits | 3,882,680 | 2,232,180 | 3,882,680 | 2,232,180 | |||||||||||
Federal Home Loan Bank borrowings | 371,143 | 300,000 | 371,143 | 300,000 | |||||||||||
Subordinated debentures | 41,772 | 39,268 | 41,772 | 39,268 | |||||||||||
Stockholders’ equity | 715,461 | 372,539 | 715,461 | 372,539 |
At or for the Three Months Ended June 30, | At or for the Six Months Ended June 30, | ||||||||||||||
2012 | 2011 | 2012 | 2011 | ||||||||||||
(Dollars in thousands) | |||||||||||||||
Average Balance Sheet Data: | |||||||||||||||
Assets | $ | 5,102,769 | $ | 2,933,003 | $ | 5,121,082 | $ | 2,934,546 | |||||||
Securities available for sale | 692,399 | 501,298 | 709,063 | 513,751 | |||||||||||
Gross loans, including loans held for sale | 3,847,921 | 2,190,436 | 3,812,708 | 2,179,150 | |||||||||||
Deposits | 3,854,756 | 2,193,202 | 3,879,207 | 2,175,751 | |||||||||||
Stockholders’ equity | 823,839 | 369,485 | 815,111 | 366,343 | |||||||||||
Selected Performance Ratios: | |||||||||||||||
Return on average assets (1) (8) | 1.52 | % | 0.86 | % | 1.69 | % | 0.89 | % | |||||||
Return on average stockholders’ equity (1) (8) | 9.40 | % | 6.84 | % | 10.62 | % | 7.13 | % | |||||||
Return on average tangible equity (8) (11) | 10.61 | % | 6.89 | % | 12.01 | % | 7.19 | % | |||||||
Pre Tax- Pre Provision income to average assets (1) | 3.03 | % | 2.75 | % | 3.15 | % | 2.51 | % | |||||||
Efficiency ratio (2) | 44.57 | % | 45.62 | % | 43.25 | % | 47.69 | % | |||||||
Net interest margin (3) | 5.02 | % | 4.16 | % | 5.07 | % | 4.15 | % | |||||||
Regulatory Capital Ratios (4) | |||||||||||||||
Leverage capital ratio (5) | 12.97 | % | 13.32 | % | 12.97 | % | 13.32 | % | |||||||
Tier 1 risk-based capital ratio | 15.54 | % | 16.42 | % | 15.54 | % | 16.42 | % | |||||||
Total risk-based capital ratio | 16.80 | % | 17.69 | % | 16.80 | % | 17.69 | % | |||||||
Tier 1 common -risk based capital ratio (13) | 14.58 | % | 12.08 | % | 14.58 | % | 12.08 | % | |||||||
Asset Quality Ratios: | |||||||||||||||
Allowance for loan losses to gross loans, excluding loans held for sale | 1.69 | % | 2.71 | % | 1.69 | % | 2.71 | % | |||||||
Allowance for loan losses to legacy loans (10) | 2.26 | % | 2.71 | % | 2.26 | % | 2.71 | % | |||||||
Allowance for loan losses to non-accrual loans | 164.88 | % | 168.70 | % | 164.88 | % | 168.70 | % | |||||||
Allowance for loan losses to non-performing loans (6) | 78.44 | % | 116.66 | % | 78.44 | % | 116.66 | % | |||||||
Allowance for loan losses to non-performing assets (7) | 72.60 | % | 107.41 | % | 72.60 | % | 107.41 | % | |||||||
Nonaccrual loans to gross loans, excluding loans held for sale | 1.03 | % | 1.61 | % | 1.03 | % | 1.61 | % | |||||||
Nonperforming loans to gross loans, excluding loans held for sale (6) | 2.16 | % | 2.32 | % | 2.16 | % | 2.32 | % | |||||||
Nonperforming assets to gross loans and OREO (7) | 2.32 | % | 2.52 | % | 2.32 | % | 2.52 | % | |||||||
Total non-performing assets to total assets (7) | 1.79 | % | 1.87 | % | 1.79 | % | 1.87 | % |
(1) | Annualized. |
(2) | Efficiency ratio is defined as non-interest expense divided by the sum of net interest income and non-interest income. |
(3) | Net interest margin is calculated by dividing annualized net interest income by average total interest-earning assets. |
(4) | The ratios required to meet the definition of a “well-capitalized” institution under certain banking regulations are 5% leverage capital, 6% tier I risk-based capital and 10% total risk-based capital. |
(5) | Calculations are based on average quarterly asset balances. |
(6) | Non-performing loans include non-accrual loans, loans past due 90 days or more and still accruing interest, and accruing restructured loans. Loans 90 days or more past due and still accruing consist of acquired loans that were originally recorded at fair value upon acquisitions. These loans are considered to be accruing as we can reasonably estimate future cash flows on acquired loans and we expect to fully collect the carrying value of these loans. |
(7) | Non-performing assets include non-accrual loans, loans past due 90 days or more and still accruing interest, other real estate owned, and accruing restructured loans. |
(8) | Based on net income before effect of dividends and discount accretion on preferred stock. |
(9) | Excludes TARP preferred stock, net of discount, of $0 and $64.7 million and stock warrants of $2.8 million and $2.4 million at June 30, 2012 and 2011, respectively. |
(10) | Legacy loans are those loans accounted for under the amortized cost method, and do not include loans acquired from Center Financial Corporation on November 30, 2011. This is a non-GAAP measure that we believe provides investors with information that is useful in understanding our financial performance and position. Allowance for loan losses to legacy loans is calculated by |
(11) | Average tangible equity is calculated by subtracting average goodwill and average other intangibles from average stockholders' equity. This is a non-GAAP measure that we believe provides investors with information that is useful in understanding our financial performance and position. |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||||||
(In Thousands) | ||||||||||||||||
Net income | $ | 19,364 | $ | 6,318 | $ | 43,298 | $ | 13,064 | ||||||||
Average stockholders' equity | $ | 823,839 | $ | 369,485 | $ | 815,111 | $ | 366,343 | ||||||||
Less: Average goodwill and other intangible assets, net | (93,713 | ) | (2,939 | ) | (93,955 | ) | (2,977 | ) | ||||||||
Average tangible equity | $ | 730,126 | $ | 366,546 | $ | 721,156 | $ | 363,366 | ||||||||
Net income (annualized) to average tangible equity | 10.61 | % | 6.89 | % | 12.01 | % | 7.19 | % |
(12) | Tangible book value per share is calculated by subtracting goodwill and other intangible assets from total stockholders' equity and diving the difference by the number of shares of common stock outstanding. This is a non-GAAP measure that we believe provides investors with information that is useful in understanding our financial performance and position. |
June 30, 2012 | June 30, 2011 | |||||||
(In Thousands) | ||||||||
Total stockholders' equity | $ | 715,461 | $ | 372,539 | ||||
Less: Preferred stock, net of discount | 0 | (64,679 | ) | |||||
Common stock warrant | (2,760 | ) | (2,383 | ) | ||||
Goodwill and other intangible assets, net | (93,518 | ) | (2,888 | ) | ||||
Tangible common equity | $ | 619,183 | $ | 302,589 | ||||
Common shares outstanding | 78,014,107 | 38,097,327 | ||||||
Tangible common equity per share | $ | 7.94 | $ | 7.94 |
(13) | Tier 1 common is calculated as Tier 1 capital less non-common elements, including perpetual preferred stock and related surplus, minority interest in subsidiaries, trust preferred securities and mandatory convertible preferred securities. |
June 30, 2012 | June 30, 2011 | |||||||
(In Thousands) | ||||||||
Tier 1 capital | $ | 649,293 | $ | 388,176 | ||||
Less: Preferred stock, net of discount | 0 | (64,679 | ) | |||||
Trust Preferred | (40,347 | ) | (38,000 | ) | ||||
Tier 1 common-risk based capital | $ | 608,946 | $ | 285,497 | ||||
Total risk weighted assets less disallowed allowance for loan losses | 4,177,728 | 2,363,799 | ||||||
Tier 1 common-risk based capital ratio | 14.58 | % | 12.08 | % |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||||||
(In thousands) | 2012 | 2011 | 2012 | 2011 | ||||||||||||
Accretion of discount on acquired Center loans (1) | $ | 7,696 | $ | 0 | $ | 17,340 | $ | 0 | ||||||||
Amortization of premiums on Center FHLB borrowings (2) | 904 | 0 | 2,135 | 0 | ||||||||||||
Accretion of discount on Center subordinated debt (3) | (36 | ) | 0 | (71 | ) | 0 | ||||||||||
Amortization of premium on Center time deposits (4) | 787 | 0 | 2,062 | 0 | ||||||||||||
Amortization of core deposit intangibles from Center (5) | (253 | ) | 0 | (543 | ) | 0 | ||||||||||
Accretion of discounts on other Center assets (6) | 57 | 0 | 114 | 0 | ||||||||||||
Amortization of unfavorable lease liability (7) | 57 | 0 | 115 | 0 | ||||||||||||
Merger and integration expense (8) | (1,348 | ) | (381 | ) | (3,121 | ) | (892 | ) | ||||||||
Increase (decrease) to pre-tax income | $ | 7,864 | $ | (381 | ) | $ | 18,031 | $ | (892 | ) |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||
Net interest margin, excluding the effect of acquisition accounting adjustments | 4.15 | % | 4.16 | % | 4.10 | % | 4.15 | % | ||||
Acquisition accounting adjustments (1) | 0.87 | 0.00 | 0.97 | 0.00 | ||||||||
Reported net interest margin | 5.02 | % | 4.16 | % | 5.07 | % | 4.15 | % | ||||
(1) Acquisition accounting adjustments is calculated by subtracting net interest margin, excluding effect of acquisition accounting adjustments, from reported net interest margin. |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||
The weighted average yield on loans, excluding the effect of acquisition accounting adjustments | 5.59 | % | 6.07 | % | 5.60 | % | 6.13 | % | ||||
Acquisition accounting adjustments (1) | 0.94 | 0.00 | 1.04 | 0.00 | ||||||||
Reported weighted average yield on loans | 6.53 | % | 6.07 | % | 6.64 | % | 6.13 | % | ||||
(1) Acquisition accounting adjustments is calculated by subtracting the weighted average yield on loans, excluding effect of acquisition accounting adjustments, from reported weighted average yield on loans. |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||
The weighted average cost of deposits, excluding effect of acquisition accounting adjustments | 0.63 | % | 0.93 | % | 0.66 | % | 0.95 | % | ||||
Acquisition accounting adjustments (1) | (0.08 | ) | 0.00 | (0.11 | ) | 0.00 | ||||||
Reported weighted average cost of deposits | 0.55 | % | 0.93 | % | 0.55 | % | 0.95 | % | ||||
(1) Acquisition accounting adjustments is calculated by subtracting the weighted average cost of deposits, excluding effect of acquisition accounting adjustments, from reported weighted average cost of deposits. |
Three Months Ended June 30, | Six Months Ended June 30, | |||||||||||
2012 | 2011 | 2012 | 2011 | |||||||||
The weighted average cost on FHLB advances, excluding effect of acquisition accounting adjustments | 3.08 | % | 3.23 | % | 3.25 | % | 3.22 | % | ||||
Acquisition accounting adjustments | (1.13 | ) | 0.00 | (1.31 | ) | 0.00 | ||||||
Reported weighted average cost on FHLB advances | 1.95 | % | 3.23 | % | 1.94 | % | 3.22 | % | ||||
(1) Acquisition accounting adjustments is calculated by subtracting the weighted average cost on FHLB advances, excluding effect of acquisition accounting adjustments, from reported weighted average cost on FHLB advances. |
Three months ended June 30, 2012 | Three months ended June 30, 2011 | ||||||||||||||||||||
Average Balance | Interest Income/ Expense | Average Yield/ Rate * | Average Balance | Interest Income/ Expense | Average Yield/ Rate * | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
INTEREST EARNINGS ASSETS: | |||||||||||||||||||||
Loans(1) (2) | $ | 3,847,921 | $ | 62,504 | 6.53 | % | $ | 2,190,436 | $ | 33,150 | 6.07 | % | |||||||||
Securities available for sale(3) | 692,399 | 4,249 | 2.45 | % | 501,298 | 3,965 | 3.16 | % | |||||||||||||
FRB and FHLB stock and other investments | 203,935 | 160 | 0.31 | % | 132,957 | 179 | 0.54 | % | |||||||||||||
Federal funds sold | 19,794 | 30 | 0.59 | % | 0 | 0 | N/A | ||||||||||||||
Total interest earning assets | $ | 4,764,049 | $ | 66,943 | 5.65 | % | $ | 2,824,691 | $ | 37,294 | 5.29 | % | |||||||||
INTEREST BEARING LIABILITIES: | |||||||||||||||||||||
Deposits: | |||||||||||||||||||||
Demand, interest-bearing | $ | 1,184,339 | $ | 1,849 | 0.63 | % | $ | 710,948 | $ | 1,545 | 0.87 | % | |||||||||
Savings | 187,872 | 830 | 1.78 | % | 126,238 | 729 | 2.32 | % | |||||||||||||
Time deposits: | |||||||||||||||||||||
$100,000 or more | 807,803 | 1,498 | 0.75 | % | 315,278 | 381 | 0.49 | % | |||||||||||||
Other | 652,937 | 1,068 | 0.66 | % | 623,361 | 2,435 | 1.57 | % | |||||||||||||
Total time deposits | 1,460,740 | 2,566 | 0.71 | % | 938,639 | 2,816 | 1.20 | % | |||||||||||||
Total interest bearing deposits | 2,832,951 | 5,245 | 0.74 | % | 1,775,825 | 5,090 | 1.15 | % | |||||||||||||
FHLB advances | 329,066 | 1,603 | 1.95 | % | 300,000 | 2,412 | 3.23 | % | |||||||||||||
Other borrowings | 47,488 | 593 | 4.95 | % | 42,624 | 461 | 4.27 | % | |||||||||||||
Total interest bearing liabilities | 3,209,505 | $ | 7,441 | 0.93 | % | 2,118,449 | $ | 7,963 | 1.51 | % | |||||||||||
Non-interest bearing demand deposits | 1,021,805 | 417,377 | |||||||||||||||||||
Total funding liabilities / cost of funds | $ | 4,231,310 | 0.71 | % | $ | 2,535,826 | 1.26 | % | |||||||||||||
Net interest income/net interest spread | $ | 59,502 | 4.72 | % | $ | 29,331 | 3.78 | % | |||||||||||||
Net interest margin | 5.02 | % | 4.16 | % | |||||||||||||||||
Net interest margin, excluding the effect of non-accrual loan income (expense)(4) | 5.06 | % | 4.20 | % | |||||||||||||||||
Net interest margin, excluding the effect of non-accrual loan income (expense) and prepayment fee income(4) (5) | 5.04 | % | 4.19 | % | |||||||||||||||||
Cost of deposits: | |||||||||||||||||||||
Non-interest bearing demand deposits | $ | 1,021,805 | $ | 0 | $ | 417,377 | $ | 0 | |||||||||||||
Interest bearing deposits | 2,832,951 | 5,245 | 0.74 | % | 1,775,825 | 5,090 | 1.15 | % | |||||||||||||
Total deposits | $ | 3,854,756 | $ | 5,245 | 0.55 | % | $ | 2,193,202 | $ | 5,090 | 0.93 | % |
(1) | Interest income on loans includes loan fees. |
(2) | Average balances of loans are net of deferred loan fees and costs and include nonaccrual loans and loans held for sale. |
(3) | Interest income and yields are not presented on a tax-equivalent basis. |
(4) | Non-accrual interest income reversed was $400 thousand and $237 thousand for the three months ended June 30, 2012 and 2011, respectively. |
(5) | Loan prepayment fee income excluded was $198 thousand and $34 thousand for the three months ended June 30, 2012 and 2011, respectively. |
Six months ended June 30, 2012 | Six months ended June 30, 2011 | ||||||||||||||||||||
Average Balance | Interest Income/ Expense | Average Yield/ Rate * | Average Balance | Interest Income/ Expense | Average Yield/ Rate * | ||||||||||||||||
(Dollars in thousands) | |||||||||||||||||||||
INTEREST EARNINGS ASSETS: | |||||||||||||||||||||
Loans(1) (2) | $ | 3,812,708 | $ | 125,923 | 6.64 | % | $ | 2,179,150 | $ | 66,235 | 6.13 | % | |||||||||
Securities available for sale(3) | 709,063 | 9,158 | 2.58 | % | 513,751 | 7,895 | 3.07 | % | |||||||||||||
FRB and FHLB stock and other investments | 230,789 | 339 | 0.29 | % | 135,016 | 358 | 0.53 | % | |||||||||||||
Federal funds sold | 22,787 | 78 | 0.68 | % | 0 | 0 | N/A | ||||||||||||||
Total interest earning assets | $ | 4,775,347 | $ | 135,498 | 5.70 | % | $ | 2,827,917 | $ | 74,488 | 5.31 | % | |||||||||
INTEREST BEARING LIABILITIES: | |||||||||||||||||||||
Deposits: | |||||||||||||||||||||
Demand, interest-bearing | $ | 1,208,551 | $ | 3,973 | 0.66 | % | $ | 695,686 | $ | 3,009 | 0.87 | % | |||||||||
Savings | 191,902 | 1,752 | 1.84 | % | 126,449 | 1,439 | 2.29 | % | |||||||||||||
Time deposits: | |||||||||||||||||||||
$100,000 or more | 787,468 | 2,895 | 0.74 | % | 318,475 | 837 | 0.53 | % | |||||||||||||
Other | 687,979 | 2,029 | 0.59 | % | 631,907 | 4,936 | 1.58 | % | |||||||||||||
Total time deposits | 1,475,447 | 4,924 | 0.67 | % | 950,382 | 5,773 | 1.23 | % | |||||||||||||
Total interest bearing deposits | 2,875,900 | 10,649 | 0.74 | % | 1,772,517 | 10,221 | 1.16 | % | |||||||||||||
FHLB advances | 334,515 | 3,229 | 1.94 | % | 312,238 | 4,984 | 3.22 | % | |||||||||||||
Other borrowings | 48,798 | 1,260 | 5.11 | % | 48,822 | 1,069 | 4.35 | % | |||||||||||||
Total interest bearing liabilities | 3,259,213 | $ | 15,138 | 0.93 | % | 2,133,577 | $ | 16,274 | 1.54 | % | |||||||||||
Non-interest bearing demand deposits | 1,003,307 | 403,234 | |||||||||||||||||||
Total funding liabilities / cost of funds | $ | 4,262,520 | 0.71 | % | $ | 2,536,811 | 1.29 | % | |||||||||||||
Net interest income/net interest spread | $ | 120,360 | 4.77 | % | $ | 58,214 | 3.77 | % | |||||||||||||
Net interest margin | 5.07 | % | 4.15 | % | |||||||||||||||||
Net interest margin, excluding the effect of non-accrual loan income (expense)(4) | 5.10 | % | 4.17 | % | |||||||||||||||||
Net interest margin, excluding the effect of non-accrual loan income (expense) and prepayment fee income(4) (5) | 5.09 | % | 4.16 | % | |||||||||||||||||
Cost of deposits: | |||||||||||||||||||||
Non-interest bearing demand deposits | $ | 1,003,307 | $ | 0 | $ | 403,234 | $ | 0 | |||||||||||||
Interest bearing deposits | 2,875,900 | 10,649 | 0.74 | % | 1,772,517 | 10,221 | 1.16 | % | |||||||||||||
Total deposits | $ | 3,879,207 | $ | 10,649 | 0.55 | % | $ | 2,175,751 | $ | 10,221 | 0.95 | % |
(1) | Interest income on loans includes loan fees. |
(2) | Average balances of loans are net of deferred loan fees and costs and include nonaccrual loans and loans held for sale. |
(3) | Interest income and yields are not presented on a tax-equivalent basis. |
(4) | Non-accrual interest income reversed was $749 thousand and $337 thousand for the six months ended June 30, 2012 and 2011, respectively. |
(5) | Loan prepayment fee income excluded was $314 thousand and $263 thousand for the six months ended June 30, 2012 and 2011, respectively. |
Three months ended June 30, 2012 over June 30, 2011 | |||||||||||
Net Increase (Decrease) | |||||||||||
Change due to | |||||||||||
Rate | Volume | ||||||||||
(Dollars in thousands) | |||||||||||
INTEREST INCOME: | |||||||||||
Interest and fees on loans | $ | 29,354 | $ | 2,685 | $ | 26,669 | |||||
Interest on securities | 284 | (1,013 | ) | 1,297 | |||||||
Interest on FRB and FHLB stock and other investments | (19 | ) | (94 | ) | 75 | ||||||
Interest on federal funds sold | 30 | 0 | 30 | ||||||||
Total interest income | $ | 29,649 | $ | 1,578 | $ | 28,071 | |||||
INTEREST EXPENSE: | |||||||||||
Interest on demand, interest bearing | $ | 304 | $ | (508 | ) | $ | 812 | ||||
Interest on savings | 101 | (197 | ) | 298 | |||||||
Interest on time deposits | (250 | ) | (1,417 | ) | 1,167 | ||||||
Interest on FHLB advances | (809 | ) | (1,032 | ) | 223 | ||||||
Interest on other borrowings | 132 | 77 | 55 | ||||||||
Total interest expense | $ | (522 | ) | $ | (3,077 | ) | $ | 2,555 | |||
Net Interest Income | $ | 30,171 | $ | 4,655 | $ | 25,516 |
Six months ended June 30, 2012 over June 30, 2011 | |||||||||||
Net Increase (Decrease) | |||||||||||
Change due to | |||||||||||
Rate | Volume | ||||||||||
(Dollars in thousands) | |||||||||||
INTEREST INCOME: | |||||||||||
Interest and fees on loans | $ | 59,688 | $ | 6,182 | $ | 53,506 | |||||
Interest on securities | 1,263 | (1,401 | ) | 2,664 | |||||||
Interest on FRB and FHLB stock and other investments | (19 | ) | (203 | ) | 184 | ||||||
Interest on federal funds sold | 78 | 0 | 78 | ||||||||
Total interest income | $ | 61,010 | $ | 4,578 | $ | 56,432 | |||||
INTEREST EXPENSE: | |||||||||||
Interest on demand, interest bearing | $ | 964 | $ | (853 | ) | $ | 1,817 | ||||
Interest on savings | 313 | (325 | ) | 638 | |||||||
Interest on time deposits | (849 | ) | (3,247 | ) | 2,398 | ||||||
Interest on FHLB advances | (1,755 | ) | (2,089 | ) | 334 | ||||||
Interest on other borrowings | 191 | 192 | (1 | ) | |||||||
Total interest expense | $ | (1,136 | ) | $ | (6,322 | ) | $ | 5,186 | |||
Net Interest Income | $ | 62,146 | $ | 10,900 | $ | 51,246 |
Three Months Ended June 30, | Increase (Decrease) | |||||||||||||
2012 | 2011 | Amount | Percent (%) | |||||||||||
(Dollars in thousands) | ||||||||||||||
Service fees on deposit accounts | $ | 3,269 | $ | 1,413 | $ | 1,856 | 131.4 | % | ||||||
International service fees | 1,403 | 669 | 734 | 109.7 | % | |||||||||
Loan servicing fees, net | 810 | 418 | 392 | 93.8 | % | |||||||||
Wire transfer fees | 775 | 348 | 427 | 122.7 | % | |||||||||
Other income and fees | 1,354 | 557 | 797 | 143.1 | % | |||||||||
Net gains on sales of SBA loans | 2,463 | 4,354 | (1,891 | ) | (43.4 | )% | ||||||||
Net gains on sales of other loans | 146 | 0 | 146 | 100.0 | % | |||||||||
Net gains on sales and calls of securities available for sale | 0 | 6 | (6 | ) | -100.0 | % | ||||||||
Net valuation gains (losses) on interest rate contracts | 10 | (106 | ) | 116 | -109.4 | % | ||||||||
Net gains (losses) on sales of OREO | (8 | ) | 25 | (33 | ) | -132.0 | % | |||||||
Total non-interest income | $ | 10,222 | $ | 7,684 | $ | 2,538 | 33.0 | % |
Six Months Ended June 30, | Increase (Decrease) | |||||||||||||
2012 | 2011 | Amount | Percent (%) | |||||||||||
(Dollars in thousands) | ||||||||||||||
Service fees on deposit accounts | $ | 6,429 | $ | 2,910 | $ | 3,519 | 120.9 | % | ||||||
International service fees | 2,627 | 1,239 | 1,388 | 112.0 | % | |||||||||
Loan servicing fees, net | 2,147 | 881 | 1,266 | 143.7 | % | |||||||||
Wire transfer fees | 1,516 | 670 | 846 | 126.3 | % | |||||||||
Other income and fees | 2,694 | 1,064 | 1,630 | 153.2 | % | |||||||||
Net gains on sales of SBA loans | 5,426 | 5,514 | (88 | ) | (1.6 | %) | ||||||||
Net gains on sales of other loans | 146 | 0 | 146 | 100.0 | % | |||||||||
Net gains on sales and calls of securities available for sale | 816 | 6 | 810 | (100.0 | %) | |||||||||
Net valuation gains (losses) on interest rate contracts | 13 | (117 | ) | 130 | (111.1 | %) | ||||||||
Net gains (losses) on sales of OREO | 53 | 27 | 26 | 96.3 | % | |||||||||
Total non-interest income | $ | 21,867 | $ | 12,194 | $ | 9,673 | 79.3 | % |
Three Months Ended June 30, | Increase (Decrease) | |||||||||||||
2012 | 2011 | Amount | Percent (%) | |||||||||||
(Dollars in thousands) | ||||||||||||||
Salaries and employee benefits | $ | 14,658 | $ | 7,625 | $ | 7,033 | 92.2 | % | ||||||
Occupancy | 4,232 | 2,445 | 1,787 | 73.1 | % | |||||||||
Furniture and equipment | 1,468 | 934 | 534 | 57.2 | % | |||||||||
Advertising and marketing | 1,525 | 594 | 931 | 156.7 | % | |||||||||
Data processing and communications | 1,573 | 923 | 650 | 70.4 | % | |||||||||
Professional fees | 1,069 | 769 | 300 | 39.0 | % | |||||||||
FDIC assessment | 51 | 877 | (826 | ) | -94.2 | % | ||||||||
Credit related expenses | 2,290 | 1,004 | 1,286 | 128.1 | % | |||||||||
Merge and integration expenses | 1,348 | 381 | 967 | 253.8 | % | |||||||||
Other | 2,863 | 1,334 | 1,529 | 114.6 | % | |||||||||
Total non-interest expense | $ | 31,077 | $ | 16,886 | $ | 14,191 | 84.0 | % |
Six Months Ended June 30, | Increase (Decrease) | |||||||||||||
2012 | 2011 | Amount | Percent (%) | |||||||||||
(Dollars in thousands) | ||||||||||||||
Salaries and employee benefits | $ | 28,737 | $ | 14,779 | $ | 13,958 | 94.4 | % | ||||||
Occupancy | 7,878 | 4,882 | 2,996 | 61.4 | % | |||||||||
Furniture and equipment | 2,686 | 1,869 | 817 | 43.7 | % | |||||||||
Advertising and marketing | 2,983 | 1,173 | 1,810 | 154.3 | % | |||||||||
Data processing and communications | 3,184 | 1,906 | 1,278 | 67.1 | % | |||||||||
Professional fees | 1,682 | 1,478 | 204 | 13.8 | % | |||||||||
FDIC assessment | 1,088 | 2,166 | (1,078 | ) | -49.8 | % | ||||||||
Credit related expenses | 4,470 | 1,748 | 2,722 | 155.7 | % | |||||||||
Merge and integration expenses | 3,121 | 892 | 2,229 | 249.9 | % | |||||||||
Other | 5,683 | 2,688 | 2,995 | 111.4 | % | |||||||||
Total non-interest expense | $ | 61,512 | $ | 33,581 | $ | 27,931 | 83.2 | % |
June 30, 2012 | December 31, 2011 | ||||||||||||
Amount | Percent | Amount | Percent | ||||||||||
(In thousands) | |||||||||||||
Loan portfolio composition | |||||||||||||
Real estate loans: | |||||||||||||
Residential | $ | 1,931 | 0 | % | $ | 2,043 | 0 | % | |||||
Commercial & industrial | 2,717,924 | 70 | % | 2,631,880 | 70 | % | |||||||
Construction | 43,365 | 1 | % | 44,756 | 1 | % | |||||||
Total real estate loans | 2,763,220 | 71 | % | 2,678,679 | 73 | % | |||||||
Commercial business | 877,405 | 23 | % | 849,576 | 23 | % | |||||||
Trade finance | 175,638 | 5 | % | 146,684 | 4 | % | |||||||
Consumer and other | 60,732 | 2 | % | 66,631 | 2 | % | |||||||
Total loans outstanding | 3,876,995 | 100 | % | 3,741,570 | 100 | % | |||||||
Less: deferred loan fees | (2,457 | ) | (2,744 | ) | |||||||||
Gross loans receivable | 3,874,538 | 3,738,826 | |||||||||||
Less: allowance for loan losses | (65,505 | ) | (61,952 | ) | |||||||||
Loans receivable, net | $ | 3,809,033 | $ | 3,676,874 |
June 30, 2012 | December 31, 2011 | ||||||
(Dollars in thousands) | |||||||
Loan commitments | $ | 554,256 | $ | 458,096 | |||
Standby letters of credit | 37,097 | 29,028 | |||||
Other commercial letters of credit | 60,484 | 49,457 | |||||
$ | 651,837 | $ | 536,581 |
June 30, 2012 | December 31, 2011 | ||||||
(Dollars in thousands) | |||||||
Nonaccrual loans | $ | 39,730 | $ | 31,212 | |||
Delinquent loans 90 days or more on accrual status | 20,701 | 16,169 | |||||
Accruing restructured loans | 23,082 | 18,775 | |||||
Total Nonperforming Loans | 83,513 | 66,156 | |||||
Other real estate owned | 6,712 | 7,625 | |||||
Total Nonperforming Assets | $ | 90,225 | $ | 73,781 | |||
Nonperforming loans to total gross loans, excluding loans held for sale | 2.16 | % | 1.77 | % | |||
Nonperforming assets to gross loans plus OREO | 2.32 | % | 1.97 | % | |||
Nonperforming assets to total assets | 1.79 | % | 1.43 | % | |||
Allowance for loan losses to non-performing loans (excludes delinquent loans 90 days or more on accrual status) | 104.29 | % | 123.94 | % | |||
Allowance for loan losses to non-performing assets | 72.60 | % | 83.97 | % |
Allocation of Allowance for Loan Losses | |||||||||||||
June 30, 2012 | December 31, 2011 | ||||||||||||
Amount of allowance for loan losses | Percent of loans to total loans | Amount of allowance for loan losses | Percent of loans to total loans | ||||||||||
(Dollars in thousands) | |||||||||||||
Loan Type | |||||||||||||
Real estate - Residential | $ | 9 | 0 | % | $ | 9 | 0 | % | |||||
Real estate - Commercial | 38,994 | 70 | % | 38,307 | 70 | % | |||||||
Real estate - Construction | 521 | 1 | % | 724 | 1 | % | |||||||
Commercial business | 21,273 | 23 | % | 20,681 | 23 | % | |||||||
Trade finance | 3,504 | 4 | % | 1,786 | 4 | % | |||||||
Consumer and other | 1,204 | 2 | % | 445 | 2 | % | |||||||
Total | $ | 65,505 | 100 | % | $ | 61,952 | 100 | % |
Acquired Loans (2) | ||||||||||||||||
For three months | Legacy Loans (1) | Credit Impaired Loans | Performing Loans | Total | ||||||||||||
(Dollars in thousands) | ||||||||||||||||
Balance, beginning of period | $ | 60,233 | $ | 814 | $ | 1,262 | $ | 62,309 | ||||||||
Provision for loan losses | 5,148 | 1,100 | 934 | 7,182 | ||||||||||||
Loans charged off | (4,346 | ) | 0 | (1,263 | ) | (5,609 | ) | |||||||||
Recoveries of charged offs | 1,361 | 0 | 262 | 1,623 | ||||||||||||
Balance, end of period | $ | 62,396 | $ | 1,914 | $ | 1,195 | $ | 65,505 | ||||||||
Gross loans, net of deferred loan fees and costs | $ | 2,763,869 | 164,959 | 945,710 | $ | 3,874,538 | ||||||||||
Loss coverage ratio | 2.26 | % | 1.16 | % | 0.13 | % | 1.69 | % |
Acquired Loans (2) | ||||||||||||||||
For six months | Legacy Loans (1) | Credit Impaired Loans | Performing Loans | Total | ||||||||||||
(Dollars in thousands) | ||||||||||||||||
Balance, beginning of period | $ | 61,952 | $ | 0 | $ | 0 | $ | 61,952 | ||||||||
Provision for loan losses | 5,984 | 1,914 | 1,884 | 9,782 | ||||||||||||
Loans charged off | (7,643 | ) | 0 | (1,349 | ) | (8,992 | ) | |||||||||
Recoveries of charged offs | 2,103 | 0 | 660 | 2,763 | ||||||||||||
Balance, end of period | $ | 62,396 | $ | 1,914 | $ | 1,195 | $ | 65,505 | ||||||||
(1) Legacy Loans includes acquired loans that have been renewed or refinanced after the merger. | ||||||||||||||||
(2) Acquired loans were marked to fair value at the acquisition date, and provisions for loan losses reflect credit deterioration since the acquisition date. |
Six Months Ended June 30, | |||||||
2012 | 2011 | ||||||
(Dollars in thousands) | |||||||
LOANS | |||||||
Average gross loans receivable, including loans held for sale (net of deferred fees) | $ | 3,812,708 | $ | 2,167,739 | |||
Total gross loans receivables, excluding loans held for sale at end of year (net of deferred fees) | $ | 3,874,538 | $ | 2,202,446 | |||
ALLOWANCE: | |||||||
Balance-beginning of period | $ | 61,952 | $ | 62,320 | |||
Less: Loan charge-offs: | |||||||
Residential real estate | 0 | 0 | |||||
Commercial & industrial real estate | (4,285 | ) | (12,580 | ) | |||
Construction | 0 | (3,254 | ) | ||||
Commercial business loans | (3,533 | ) | (4,544 | ) | |||
Trade finance | (300 | ) | 0 | ||||
Consumer and other loans | (874 | ) | (123 | ) | |||
Total loans charged off | (8,992 | ) | (20,501 | ) | |||
Plus: Loan recoveries | |||||||
Commercial & industrial real estate | 1,283 | 745 | |||||
Commercial business loans | 997 | 1,616 | |||||
Trade Finance | 60 | 0 | |||||
Consumer and other loans | 423 | 207 | |||||
Total loans recoveries | 2,763 | 2,568 | |||||
Net loan charge-offs | (6,229 | ) | (17,933 | ) | |||
Provision for loan losses | 9,782 | 15,309 | |||||
Balance-end of period | $ | 65,505 | $ | 59,696 | |||
Net loan charge-offs to average gross loans, including loans held for sale (net of deferred fees) * | 0.33 | % | 1.65 | % | |||
Allowance for loan losses to gross loans at end of period | 1.69 | % | 2.71 | % | |||
Net loan charge-offs to beginning allowance * | 20.11 | % | 57.55 | % | |||
Net loan charge-offs to provision for loan losses | 63.68 | % | 117.14 | % | |||
* Annualized |
Weighted Average | ||||||
Quarter Ending | Balance | Interest Rate | ||||
September 30, 2012 | $ | 579,259 | 0.53 | % | ||
December 31, 2012 | 306,344 | 1.12 | % | |||
March 31, 2013 | 250,683 | 1.22 | % | |||
June 30, 2013 | 228,969 | 0.97 | % | |||
Total one year or less | 1,365,255 | 0.86 | % | |||
Over one year | 126,996 | 1.27 | % | |||
Total time deposits | $ | 1,492,251 | 0.90 | % |
As of June 30, 2012 (Dollars in thousands) | ||||||||||||||||||||
Actual | To Be Well-Capitalized | Excess | ||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||
BBCN Bancorp, Inc | ||||||||||||||||||||
Tier 1 capital to total assets | $ | 649,292 | 13.0 | % | N/A | N/A | ||||||||||||||
Tier 1 risk-based capital ratio | $ | 649,292 | 15.5 | % | N/A | N/A | ||||||||||||||
Total risk-based capital ratio | $ | 701,835 | 16.8 | % | N/A | N/A | ||||||||||||||
BBCN Bank | ||||||||||||||||||||
Tier I capital to total assets | $ | 625,409 | 12.5 | % | $ | 250,355 | 5.0 | % | $ | 375,054 | 7.5 | % | ||||||||
Tier 1 risk-based capital ratio | $ | 625,409 | 15.0 | % | $ | 250,479 | 6.0 | % | $ | 374,930 | 9.0 | % | ||||||||
Total risk-based capital ratio | $ | 677,914 | 16.2 | % | $ | 417,465 | 10.0 | % | $ | 260,449 | 6.2 | % | ||||||||
As of December 31, 2011 (Dollars in thousands) | ||||||||||||||||||||
Actual | To Be Well-Capitalized | Excess | ||||||||||||||||||
Amount | Ratio | Amount | Ratio | Amount | Ratio | |||||||||||||||
BBCN Bancorp, Inc | ||||||||||||||||||||
Tier 1 capital to total assets | $ | 733,319 | 19.8 | % | N/A | N/A | ||||||||||||||
Tier 1 risk-based capital ratio | $ | 733,319 | 18.2 | % | N/A | N/A | ||||||||||||||
Total risk-based capital ratio | $ | 784,054 | 19.4 | % | N/A | N/A | ||||||||||||||
BBCN Bank | ||||||||||||||||||||
Tier I capital to total assets | $ | 670,855 | 18.1 | % | $ | 185,048 | 5.0 | % | $ | 485,807 | 13.1 | % | ||||||||
Tier 1 risk-based capital ratio | $ | 670,855 | 16.6 | % | $ | 242,168 | 6.0 | % | $ | 428,687 | 10.6 | % | ||||||||
Total risk-based capital ratio | $ | 721,551 | 17.9 | % | $ | 403,613 | 10.0 | % | $ | 317,938 | 7.9 | % |
Item 3. | Quantitative and Qualitative Disclosures About Market Risk |
June 30, 2012 | December 31, 2011 | ||||||||||
Simulated | Estimated Net Interest Income Sensitivity | Market Value Of Equity Volatility | Estimated Net Interest Income Sensitivity | Market Value Of Equity Volatility | |||||||
Rate Changes | |||||||||||
+ 200 basis points | 3.69 | % | (1.24 | )% | 5.46 | % | (4.61 | )% | |||
+ 100 basis points | (0.26 | )% | 0.21 | % | 2.91 | % | (1.84 | )% | |||
- 100 basis points | (1.87 | )% | (0.90 | )% | 0.77 | % | 4.57 | % | |||
- 200 basis points | (7.15 | )% | 3.75 | % | 0.83 | % | 8.58 | % |
Item 4. | Controls and Procedures |
Item 1. | Legal Proceedings |
Item 1A. | Risk Factors |
Item 2. | Unregistered Sales of Equity Securities and Use of Proceeds |
Item 3. | Defaults Upon Senior Securities |
Item 4. | Mine Safety Disclosures |
Item 5. | Other Information |
Item 6. | Exhibits |
BBCN BANCORP, INC. | |||
Date: | August 9, 2012 | /s/ Alvin D. Kang | |
Alvin D. Kang | |||
President and Chief Executive Officer | |||
Date: | August 9, 2012 | ||
/s/ Philip E. Guldeman | |||
Philip E. Guldeman | |||
Executive Vice President and Chief Financial Officer |
Exhibit Number | Description | |
3.1 | Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on June 5, 2000 (incorporated herein by reference to the Registration Statement on Form S-4 filed with the Securities and Exchange Commission (“SEC”) on November 16, 2000) | |
3.2 | Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on May 31, 2002 (incorporated herein by reference to the Registration Statement on Form S-8 Exhibit 3.3 filed with the SEC on February 5, 2003) | |
3.3 | Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on June 1, 2004 (incorporated herein by reference to the Registration Statement on Form 10-Q Exhibit 3.1.1 filed with the SEC on November 8, 2004) | |
3.4 | Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on November 2, 2005 (incorporated herein by reference to the Registration Statement on DEF14 A, Appendix B filed with the SEC on September 6, 2005) | |
3.5 | Certificate of Amendment of Certificate of Incorporation of the Company, filed with the Delaware Secretary of State on July 20, 2007 (incorporated herein by reference to the Registration Statement on DEF14 A, Appendix C filed with the SEC on April 19, 2007) | |
3.6 | Certificate of Merger, filed with the Delaware Secretary of State on November 30, 2011 (incorporated herein by reference to the Registration Statement on Form 10-Q Exhibit 3.6 filed with SEC on May 10, 2012) | |
3.7 | Amended and Restated Bylaws of BBCN Bancorp, Inc. (incorporated herein by reference to Current Report on Form 8-K Exhibit 5.1 filed with the SEC on February 1, 2012, SEC file number 000-50245) | |
10.1 | Amendment No. 2 to Agreement and Plan of Merger, dated as of July 6, 2011, between Nara Bancorp, Inc. and Center Financial Corporation (incorporated herein by reference to the Current Report on Form 8-K, Exhibit 2.1, filed with the SEC on July 7, 2011) | |
31.1 | Certification of Chief Executive Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002* | |
31.2 | Certification of Chief Financial Officer pursuant to Section 302 of the Sarbanes-Oxley Act of 2002* | |
32.1 | Certification of Chief Executive Officer pursuant to Section 906 of the Public Company Accounting Reform and Investor Protection Act of 2002* | |
32.2 | Certification of Chief Financial Officer pursuant to section 906 of the Public Company Accounting Reform and Investor Protection Act of 2002* | |
101.INS** | XBRL Instance Document | |
101.SCH** | XBRL Taxonomy Extension Schema Document | |
101.CAL** | XBRL Taxonomy Extension Calculation Linkbase Document | |
101.DEF** | XBRL Taxonomy Extension Definition Linkbase Document | |
101.LAB** | XBRL Taxonomy Extension Label Linkbase Document | |
101.PRE** | XBRL Taxonomy Extension Presentation Linkbase Document |
* | Filed herewith |
** | Furnished herewith |
1. | I have reviewed this periodic report on Form 10-Q of BBCN Bancorp, Inc. |
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 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 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 end of the period covered by this report based on such evaluation; and |
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 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 the registrants' 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 control over financial reporting. |
1. | I have reviewed this periodic report on Form 10-Q of BBCN Bancorp, Inc. |
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 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 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 end of the period covered by this report based on such evaluation; and |
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 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 the registrants' 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 control over financial reporting. |
Stock-Based Compensation - Estimated Annual Expense (Details) (USD $)
In Thousands, unless otherwise specified |
Jun. 30, 2012
|
---|---|
Estimated Annual Stock-Based Compensation Expense | |
Remainder of 2012 | $ 1,480 |
2013 | 1,413 |
2014 | 666 |
2015 | 645 |
2016 | 102 |
2017 | 7 |
Total | $ 4,313 |
Loans Receivable and Allowance for Loan Losses - Covered Loans (Details) (USD $)
In Thousands, unless otherwise specified |
Jun. 30, 2012
|
Dec. 31, 2011
|
---|---|---|
Covered Nonperforming Assets | ||
Covered loans on non-accrual status | $ 242 | $ 0 |
Covered other real estate owned | 3,961 | 3,575 |
Total covered nonperforming assets | 4,203 | 3,575 |
Acquired covered loans | $ 76,339 | $ 89,959 |
Borrowings - Narrative (Details) (USD $)
|
Jun. 30, 2012
|
Dec. 31, 2011
|
---|---|---|
Debt Instrument [Line Items] | ||
Federal Home Loan Bank, Advances, Maximum Borrowing Capacity, Percent of Assets | 25.00% | |
Federal Home Loan Bank, Advances, General Debt Obligations, Maximum Amount Available | $ 1,200,000,000 | $ 1,300,000,000 |
Federal Home Loan Bank Advances, Pledged Collateral, Percent Outstanding Advances | 100.00% | |
Long-term Federal Home Loan Bank Advances | 371,143,000 | 344,402,000 |
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Weighted Average Interest Rate | 1.77% | 1.93% |
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Interest Rate, Range From | 0.28% | |
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Interest Rate, Range to | 4.52% | |
Federal Home Loan Bank, Advances, General Debt Obligations, Amount of Available, Unused Funds | 837,700,000 | |
Federal Reserve Bank Maximum Borrowing Capacity, As Percent Of Qualifying Assets | 95.00% | |
Mortgage Loans on Real Estate
|
||
Debt Instrument [Line Items] | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 1,900,000,000 | 2,000,000,000 |
Securities Investment
|
||
Debt Instrument [Line Items] | ||
Federal Home Loan Bank, Advances, General Debt Obligations, Disclosures, Collateral Pledged | 1,500,000 | 3,000,000 |
Asset Balance Used To Determine Maximum Borrowing Capacity From Federal Reserve Bank | 43,000,000 | |
Qualifying Loans
|
||
Debt Instrument [Line Items] | ||
Asset Balance Used To Determine Maximum Borrowing Capacity From Federal Reserve Bank | 472,200,000 | |
Putable
|
||
Debt Instrument [Line Items] | ||
Long-term Federal Home Loan Bank Advances | $ 155,000,000 | $ 205,000,000 |
Loans Receivable and Allowance for Loan Losses - Accretable Yield Movement Schedule on Acquired Credit Impaired Loans in Center Merger (Details) (Center Financial Corporation, USD $)
In Thousands, unless otherwise specified |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2012
|
Jun. 30, 2011
|
Jun. 30, 2012
|
Jun. 30, 2011
|
|
Center Financial Corporation
|
||||
Certain Loans Acquired in Transfer Not Accounted for as Debt Securities, Accretable Yield Movement Schedule [Roll Forward] | ||||
Balance at beginning of period | $ 29,788 | $ 0 | $ 31,999 | $ 0 |
Accretion | (3,890) | 0 | (7,451) | 0 |
Changes in expected cash flows | (2,932) | 0 | (1,582) | 0 |
Balance at end of period | $ 22,966 | $ 0 | $ 22,966 | $ 0 |
Stockholders’ Equity and Regulatory Matters (Tables)
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Jun. 30, 2012
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Stockholders’ Equity and Regulatory Matters [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Schedule of Compliance with Regulatory Capital Requirements under Banking Regulations [Table Text Block] | The Company’s and the Bank’s actual capital amounts and ratios are presented in the table below:
|
Subordinated Debentures - Summary of Trust Preferred Securities and Debentures (Details) (USD $)
In Thousands, unless otherwise specified |
Jun. 30, 2012
|
Dec. 31, 2011
|
---|---|---|
Subordinated Borrowing [Line Items] | ||
Subordinated Debentures Amount | $ 41,772 | $ 52,102 |
Nara Capital Trust III
|
||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 4.44% | |
Rate at June 30, 2012 | 3.62% | |
Nara Statutory Trust IV
|
||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 4.02% | |
Rate at June 30, 2012 | 3.32% | |
Nara Statutory Trust V
|
||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 4.12% | |
Rate at June 30, 2012 | 3.42% | |
Nara Statutory Trust VI
|
||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 7.00% | |
Rate at June 30, 2012 | 2.12% | |
Center Capital Trust I
|
||
Subordinated Borrowing [Line Items] | ||
Initial Rate | 4.01% | |
Rate at June 30, 2012 | 3.32% | |
Junior Subordinated Debt [Member]
|
||
Subordinated Borrowing [Line Items] | ||
Subordinated Debentures Amount | 41,772 | |
Junior Subordinated Debt [Member] | Nara Capital Trust III
|
||
Subordinated Borrowing [Line Items] | ||
Subordinated Debentures Amount | 5,155 | |
Junior Subordinated Debt [Member] | Nara Statutory Trust IV
|
||
Subordinated Borrowing [Line Items] | ||
Subordinated Debentures Amount | 5,155 | |
Junior Subordinated Debt [Member] | Nara Statutory Trust V
|
||
Subordinated Borrowing [Line Items] | ||
Subordinated Debentures Amount | 10,310 | |
Junior Subordinated Debt [Member] | Nara Statutory Trust VI
|
||
Subordinated Borrowing [Line Items] | ||
Subordinated Debentures Amount | 8,248 | |
Junior Subordinated Debt [Member] | Center Capital Trust I
|
||
Subordinated Borrowing [Line Items] | ||
Subordinated Debentures Amount | 12,904 | |
Trust Preferred Securities Subject to Mandatory Redemption
|
||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 46,000 | |
Trust Preferred Securities Subject to Mandatory Redemption | Nara Capital Trust III
|
||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 5,000 | |
Trust Preferred Securities Subject to Mandatory Redemption | Nara Statutory Trust IV
|
||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 5,000 | |
Trust Preferred Securities Subject to Mandatory Redemption | Nara Statutory Trust V
|
||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 10,000 | |
Trust Preferred Securities Subject to Mandatory Redemption | Nara Statutory Trust VI
|
||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 8,000 | |
Trust Preferred Securities Subject to Mandatory Redemption | Center Capital Trust I
|
||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | 18,000 | |
Center Financial Corporation Grantor Trust | Trust Preferred Securities Subject to Mandatory Redemption
|
||
Subordinated Borrowing [Line Items] | ||
Trust Preferred Security Amount | $ 18,000 |
Stock-Based Compensation (Tables)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
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Jun. 30, 2012
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Disclosure of Compensation Related Costs, Share-based Payments [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Summary of Stock Option Activity Under the Plan | The following is a summary of stock option activity under the 2007 and 2006 Plans for the six months ended June 30, 2012:
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Summary of Restricted and Performance Unit Activity Under the Plan | The following is a summary of restricted and performance unit activity under the 2007 and 2006 Plans for the six months ended June 30, 2012:
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Estimated Annual Stock-Based Compensation Expense | The estimated annual stock-based compensation expense as of June 30, 2012 for each of the succeeding years is indicated in the table below:
|
Loans Receivable and Allowance for Loan Losses - Financing Receivable Credit Quality Indicators (Details) (USD $)
In Thousands, unless otherwise specified |
Jun. 30, 2012
|
Dec. 31, 2011
|
---|---|---|
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | $ 3,876,995 | $ 3,741,570 |
Special Mention
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 109,671 | 96,936 |
Substandard
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 199,522 | 199,150 |
Doubtful/ Loss
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 5,803 | 6,751 |
Non Pass
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 314,996 | 302,837 |
Legacy | Special Mention
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 48,811 | 35,749 |
Legacy | Substandard
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 88,969 | 97,639 |
Legacy | Doubtful/ Loss
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 5,530 | 6,398 |
Legacy | Non Pass
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 143,310 | 139,786 |
Acquired | Special Mention
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 60,860 | 61,187 |
Acquired | Substandard
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 110,553 | 101,511 |
Acquired | Doubtful/ Loss
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 273 | 353 |
Acquired | Non Pass
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 171,686 | 163,051 |
Real Estate
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2,763,220 | 2,678,679 |
Real Estate | Real estate - Residential
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 1,931 | 2,043 |
Real Estate | Real estate - Commercial
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2,717,924 | 2,631,880 |
Real Estate | Real estate - Construction
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 43,365 | 44,756 |
Real Estate | Legacy
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 1,944,711 | 1,746,235 |
Real Estate | Legacy | Special Mention | Real estate - Residential
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Legacy | Special Mention | Real estate - Commercial | Retail
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 3,411 | 3,430 |
Real Estate | Legacy | Special Mention | Real estate - Commercial | Hotel & Motel
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 3,724 | 5,008 |
Real Estate | Legacy | Special Mention | Real estate - Commercial | Gas Station & Car Wash
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 3,824 | 3,489 |
Real Estate | Legacy | Special Mention | Real estate - Commercial | Mixed Use
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 1,786 | 2,279 |
Real Estate | Legacy | Special Mention | Real estate - Commercial | Industrial & Warehouse
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 3,953 | 3,998 |
Real Estate | Legacy | Special Mention | Real estate - Commercial | Other
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 8,010 | 5,914 |
Real Estate | Legacy | Special Mention | Real estate - Construction
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Legacy | Substandard | Real estate - Residential
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 31 | 36 |
Real Estate | Legacy | Substandard | Real estate - Commercial | Retail
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 13,231 | 13,477 |
Real Estate | Legacy | Substandard | Real estate - Commercial | Hotel & Motel
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 16,353 | 17,875 |
Real Estate | Legacy | Substandard | Real estate - Commercial | Gas Station & Car Wash
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,712 | 2,554 |
Real Estate | Legacy | Substandard | Real estate - Commercial | Mixed Use
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 5,867 | 3,026 |
Real Estate | Legacy | Substandard | Real estate - Commercial | Industrial & Warehouse
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,099 | 7,238 |
Real Estate | Legacy | Substandard | Real estate - Commercial | Other
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 10,866 | 15,393 |
Real Estate | Legacy | Substandard | Real estate - Construction
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 1,714 | 1,848 |
Real Estate | Legacy | Doubtful/ Loss | Real estate - Residential
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Legacy | Doubtful/ Loss | Real estate - Commercial | Retail
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Legacy | Doubtful/ Loss | Real estate - Commercial | Hotel & Motel
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Legacy | Doubtful/ Loss | Real estate - Commercial | Gas Station & Car Wash
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Legacy | Doubtful/ Loss | Real estate - Commercial | Mixed Use
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Legacy | Doubtful/ Loss | Real estate - Commercial | Industrial & Warehouse
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 390 | 404 |
Real Estate | Legacy | Doubtful/ Loss | Real estate - Commercial | Other
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Legacy | Doubtful/ Loss | Real estate - Construction
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Legacy | Non Pass | Real estate - Residential
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 31 | 36 |
Real Estate | Legacy | Non Pass | Real estate - Commercial | Retail
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 16,642 | 16,907 |
Real Estate | Legacy | Non Pass | Real estate - Commercial | Hotel & Motel
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 20,077 | 22,883 |
Real Estate | Legacy | Non Pass | Real estate - Commercial | Gas Station & Car Wash
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 8,536 | 6,043 |
Real Estate | Legacy | Non Pass | Real estate - Commercial | Mixed Use
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 7,653 | 5,305 |
Real Estate | Legacy | Non Pass | Real estate - Commercial | Industrial & Warehouse
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 8,442 | 11,640 |
Real Estate | Legacy | Non Pass | Real estate - Commercial | Other
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 18,876 | 21,307 |
Real Estate | Legacy | Non Pass | Real estate - Construction
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 1,714 | 1,848 |
Real Estate | Acquired
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 818,509 | 932,444 |
Real Estate | Acquired | Special Mention | Real estate - Residential
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Special Mention | Real estate - Commercial | Retail
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 13,219 | 11,591 |
Real Estate | Acquired | Special Mention | Real estate - Commercial | Hotel & Motel
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 16,017 | 13,138 |
Real Estate | Acquired | Special Mention | Real estate - Commercial | Gas Station & Car Wash
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 6,383 | 5,665 |
Real Estate | Acquired | Special Mention | Real estate - Commercial | Mixed Use
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 2,354 | 3,532 |
Real Estate | Acquired | Special Mention | Real estate - Commercial | Industrial & Warehouse
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 1,379 | 2,673 |
Real Estate | Acquired | Special Mention | Real estate - Commercial | Other
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,823 | 6,702 |
Real Estate | Acquired | Special Mention | Real estate - Construction
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Substandard | Real estate - Residential
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Substandard | Real estate - Commercial | Retail
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 12,774 | 11,334 |
Real Estate | Acquired | Substandard | Real estate - Commercial | Hotel & Motel
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 22,593 | 16,746 |
Real Estate | Acquired | Substandard | Real estate - Commercial | Gas Station & Car Wash
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 5,803 | 5,760 |
Real Estate | Acquired | Substandard | Real estate - Commercial | Mixed Use
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,026 | 2,829 |
Real Estate | Acquired | Substandard | Real estate - Commercial | Industrial & Warehouse
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 9,184 | 3,770 |
Real Estate | Acquired | Substandard | Real estate - Commercial | Other
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 12,728 | 12,598 |
Real Estate | Acquired | Substandard | Real estate - Construction
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 7,338 | 5,489 |
Real Estate | Acquired | Doubtful/ Loss | Real estate - Residential
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Doubtful/ Loss | Real estate - Commercial | Retail
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Doubtful/ Loss | Real estate - Commercial | Hotel & Motel
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Doubtful/ Loss | Real estate - Commercial | Gas Station & Car Wash
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Doubtful/ Loss | Real estate - Commercial | Mixed Use
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Doubtful/ Loss | Real estate - Commercial | Industrial & Warehouse
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Doubtful/ Loss | Real estate - Commercial | Other
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Doubtful/ Loss | Real estate - Construction
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Non Pass | Real estate - Residential
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Real Estate | Acquired | Non Pass | Real estate - Commercial | Retail
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 25,993 | 22,925 |
Real Estate | Acquired | Non Pass | Real estate - Commercial | Hotel & Motel
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 38,610 | 29,884 |
Real Estate | Acquired | Non Pass | Real estate - Commercial | Gas Station & Car Wash
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 12,186 | 11,425 |
Real Estate | Acquired | Non Pass | Real estate - Commercial | Mixed Use
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 6,380 | 6,361 |
Real Estate | Acquired | Non Pass | Real estate - Commercial | Industrial & Warehouse
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 10,563 | 6,443 |
Real Estate | Acquired | Non Pass | Real estate - Commercial | Other
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 17,551 | 19,300 |
Real Estate | Acquired | Non Pass | Real estate - Construction
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 7,338 | 5,489 |
Commercial business
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 877,405 | 849,576 |
Commercial business | Legacy
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 629,862 | 532,991 |
Commercial business | Legacy | Special Mention
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 16,301 | 11,357 |
Commercial business | Legacy | Substandard
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 26,095 | 30,114 |
Commercial business | Legacy | Doubtful/ Loss
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 5,140 | 5,994 |
Commercial business | Legacy | Non Pass
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 47,536 | 47,465 |
Commercial business | Acquired
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 247,543 | 316,585 |
Commercial business | Acquired | Special Mention
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 16,099 | 16,096 |
Commercial business | Acquired | Substandard
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 31,184 | 39,630 |
Commercial business | Acquired | Doubtful/ Loss
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 174 | 353 |
Commercial business | Acquired | Non Pass
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 47,457 | 56,079 |
Trade Finance
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 175,638 | 146,684 |
Trade Finance | Legacy
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 164,259 | 102,010 |
Trade Finance | Legacy | Special Mention
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 7,802 | 274 |
Trade Finance | Legacy | Substandard
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 5,006 | 4,997 |
Trade Finance | Legacy | Doubtful/ Loss
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Trade Finance | Legacy | Non Pass
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 12,808 | 5,271 |
Trade Finance | Acquired
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 11,379 | 44,674 |
Trade Finance | Acquired | Special Mention
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 248 | 128 |
Trade Finance | Acquired | Substandard
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 491 | 829 |
Trade Finance | Acquired | Doubtful/ Loss
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Trade Finance | Acquired | Non Pass
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 739 | 957 |
Consumer and Other
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 60,732 | 66,631 |
Consumer and Other | Legacy
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 27,494 | 12,810 |
Consumer and Other | Legacy | Special Mention
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Consumer and Other | Legacy | Substandard
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 995 | 1,081 |
Consumer and Other | Legacy | Doubtful/ Loss
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 0 | 0 |
Consumer and Other | Legacy | Non Pass
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 995 | 1,081 |
Consumer and Other | Acquired
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 33,238 | 53,821 |
Consumer and Other | Acquired | Special Mention
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 338 | 1,662 |
Consumer and Other | Acquired | Substandard
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 4,432 | 2,526 |
Consumer and Other | Acquired | Doubtful/ Loss
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | 99 | 0 |
Consumer and Other | Acquired | Non Pass
|
||
Financing Receivable, Recorded Investment [Line Items] | ||
Loans | $ 4,869 | $ 4,188 |
Securities Available for Sale - Proceeds, Gains and Losses (Details) (USD $)
In Thousands, unless otherwise specified |
3 Months Ended | 6 Months Ended | ||
---|---|---|---|---|
Jun. 30, 2012
|
Jun. 30, 2011
|
Jun. 30, 2012
|
Jun. 30, 2011
|
|
Available-for-sale Securities [Abstract] | ||||
Proceeds | $ 0 | $ 0 | $ 1,883 | $ 0 |
Gross gains | 0 | 0 | 816 | 0 |
Gross losses | $ 0 | $ 0 | $ 0 | $ 0 |
Stock-Based Compensation - Stock Option Activity (Details) (Stock Options, USD $)
|
6 Months Ended |
---|---|
Jun. 30, 2012
|
|
Stock Options
|
|
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding [Roll Forward] | |
Outstanding - January 1, 2012 (in shares) | 830,011 |
Granted (in shares) | 0 |
Exercised (in shares) | (28,639) |
Forfeitured (in shares) | 0 |
Outstanding - June 30, 2012 (in shares) | 801,372 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Outstanding, Weighted Average Exercise Price [Roll Forward] | |
Outstanding - January 1, 2012, Weighted-Average Exercise Price Per Share | $ 16.35 |
Granted, Weighted-Average Exercise Price Per Share | $ 0.00 |
Exercised, Weighted-Average Exercise Price Per Share | $ 7.11 |
Forfeited, Weighted-Average Exercise Price Per Share | $ 0.00 |
Outstanding - June 30, 2012, Weighted-Average Exercise Price Per Share | $ 16.68 |
Share-based Compensation Arrangement by Share-based Payment Award, Options, Additional Disclosures [Abstract] | |
Options exercisable - June 30,2012 (in shares) | 791,146 |
Unvested options expected to vest after June 30, 2012 (in shares) | 10,226 |
Options exercisable, Weighted-Average Exercise Price Per Share | $ 16.66 |
Unvested options expected to vest after June 30, 2012, Weighted-Average Exercise Price Per Share | $ 18.63 |
Outstanding, Weighted-Average Remaining Contractual Life (Years) | 5 years 11 months 8 days |
Options exercisable, Weighted-Average Remaining Contractual Life (Years) | 5 years 10 months 20 days |
Unvested options expected to vest after June 30, 2012, Weighted-Average Remaining Contractual Life (Years) | 9 years 5 months 1 day |
Outstanding, Aggregate Intrinsic Value | $ 584,000 |
Options exercisable, Aggregate Intrinsic Value | 584,000 |
Unvested options expected to vest after June 30, 2012, Aggregate Intrinsic Value | $ 0 |
Loans Receivable and Allowance for Loan Losses - Allowance for Loans, by Portfolio Segment and Impairment Method (Details) (USD $)
|
6 Months Ended | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
Jun. 30, 2012
quarter
|
Mar. 31, 2012
|
Dec. 31, 2011
|
Jun. 30, 2012
Real Estate
|
Dec. 31, 2011
Real Estate
|
Jun. 30, 2012
Real Estate
Real estate - Residential
|
Dec. 31, 2011
Real Estate
Real estate - Residential
|
Jun. 30, 2012
Real Estate
Real estate - Commercial
|
Dec. 31, 2011
Real Estate
Real estate - Commercial
|
Jun. 30, 2012
Real Estate
Real estate - Construction
|
Dec. 31, 2011
Real Estate
Real estate - Construction
|
Jun. 30, 2012
Commercial business
|
Dec. 31, 2011
Commercial business
|
Jun. 30, 2012
Trade finance
|
Dec. 31, 2011
Trade finance
|
Jun. 30, 2012
Consumer and Other
|
Dec. 31, 2011
Consumer and Other
|
Jun. 30, 2012
Allowance Quantitative Allocation [Member]
|
Dec. 31, 2011
Allowance Quantitative Allocation [Member]
|
Jun. 30, 2012
Allowance Qualitative Allocation [Member]
|
Dec. 31, 2011
Allowance Qualitative Allocation [Member]
|
Jun. 30, 2011
Legacy
|
Mar. 31, 2011
Legacy
|
Dec. 31, 2010
Legacy
|
Jun. 30, 2012
Legacy
Real Estate
|
Mar. 31, 2012
Legacy
Real Estate
|
Dec. 31, 2011
Legacy
Real Estate
|
Jun. 30, 2011
Legacy
Real Estate
|
Mar. 31, 2011
Legacy
Real Estate
|
Dec. 31, 2010
Legacy
Real Estate
|
Jun. 30, 2012
Legacy
Commercial business
|
Mar. 31, 2012
Legacy
Commercial business
|
Dec. 31, 2011
Legacy
Commercial business
|
Jun. 30, 2011
Legacy
Commercial business
|
Mar. 31, 2011
Legacy
Commercial business
|
Dec. 31, 2010
Legacy
Commercial business
|
Jun. 30, 2012
Legacy
Trade finance
|
Mar. 31, 2012
Legacy
Trade finance
|
Dec. 31, 2011
Legacy
Trade finance
|
Jun. 30, 2011
Legacy
Trade finance
|
Mar. 31, 2011
Legacy
Trade finance
|
Dec. 31, 2010
Legacy
Trade finance
|
Jun. 30, 2012
Legacy
Consumer and Other
|
Mar. 31, 2012
Legacy
Consumer and Other
|
Dec. 31, 2011
Legacy
Consumer and Other
|
Jun. 30, 2011
Legacy
Consumer and Other
|
Mar. 31, 2011
Legacy
Consumer and Other
|
Dec. 31, 2010
Legacy
Consumer and Other
|
Jun. 30, 2012
Legacy
Allowance Quantitative Allocation [Member]
|
Jun. 30, 2012
Acquired
|
Dec. 31, 2011
Acquired
|
Jun. 30, 2012
Acquired
Real Estate
|
Mar. 31, 2012
Acquired
Real Estate
|
Dec. 31, 2011
Acquired
Real Estate
|
Jun. 30, 2012
Acquired
Real Estate
Real estate - Residential
|
Dec. 31, 2011
Acquired
Real Estate
Real estate - Residential
|
Jun. 30, 2012
Acquired
Real Estate
Real estate - Construction
|
Dec. 31, 2011
Acquired
Real Estate
Real estate - Construction
|
Jun. 30, 2012
Acquired
Commercial business
|
Mar. 31, 2012
Acquired
Commercial business
|
Dec. 31, 2011
Acquired
Commercial business
|
Jun. 30, 2012
Acquired
Trade finance
|
Mar. 31, 2012
Acquired
Trade finance
|
Dec. 31, 2011
Acquired
Trade finance
|
Jun. 30, 2012
Acquired
Consumer and Other
|
Mar. 31, 2012
Acquired
Consumer and Other
|
Dec. 31, 2011
Acquired
Consumer and Other
|
Jun. 30, 2012
Acquired
Allowance Quantitative Allocation [Member]
|
||||||
Financing Receivable, Impaired [Line Items] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Historical Loss Migration Experience, Number of Most Recent Quarters | 12 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Positive or Negative Qualitative Adjustment of the Loss Migration Ratio or Individual Specific Reserve Allocations, In Basis Points | 0.50% | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Impaired Financing Receivable Unpaid Principal Balance [Roll Forward] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Impaired Financing Receivable, Recorded Investment | $ 82,049,000 | $ 14,001,000 | $ 82,049,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Increase (Decrease) in Impaired Financing Receivable | 9,700,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Impaired Financing Receivable, Recorded Investment | 91,753,000 | 14,001,000 | 82,049,000 | ||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Loans by Portfolio Segment and Impairment Method [Abstract] | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Impaired Financing Receivable, Gross Carrying Value | 91,368,000 | [1] | 82,102,000 | 0 | 0 | 59,023,000 | 49,994,000 | 1,710,000 | 1,838,000 | 25,529,000 | 25,156,000 | 4,970,000 | 4,964,000 | 136,000 | 150,000 | 13,988,000 | [1] | 82,102,000 | [1] | ||||||||||||||||||||||||||||||||||||||||||||||||||||||
Specific allowance | 13,200,000 | 18,035,000 | 0 | 0 | 6,103,000 | 10,476,000 | 0 | 49,000 | 7,040,000 | 7,168,000 | 57,000 | 342,000 | 0 | 0 | 489,000 | 18,035,000 | 0 | 0 | 0 | 49,000 | 121,000 | 7,168,000 | 0 | 342,000 | 0 | 0 | |||||||||||||||||||||||||||||||||||||||||||||||
Loss coverage ratio | 14.40% | 22.00% | 0.00% | 0.00% | 10.30% | 21.00% | 0.00% | 2.70% | 27.60% | 28.50% | 1.10% | 6.90% | 0.00% | 0.00% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Non-impaired loans | 3,785,627,000 | 3,659,468,000 | 1,931,000 | 2,043,000 | 2,658,901,000 | 2,581,886,000 | 41,655,000 | 42,918,000 | 851,876,000 | 824,420,000 | 170,668,000 | 141,720,000 | 60,596,000 | 66,481,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
General allowance | 52,305,000 | 43,917,000 | 9,000 | 9,000 | 32,891,000 | 27,831,000 | 521,000 | 675,000 | 14,233,000 | 13,513,000 | 3,447,000 | 1,444,000 | 1,204,000 | 445,000 | 21,600,000 | 20,400,000 | 28,800,000 | 23,500,000 | 20,900,000 | 700,000 | |||||||||||||||||||||||||||||||||||||||||||||||||||||
Loss coverage ratio | 1.40% | 1.20% | 0.50% | 0.40% | 1.20% | 1.10% | 1.30% | 1.60% | 1.70% | 1.60% | 2.00% | 1.00% | 2.00% | 0.70% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
Total loans outstanding | 3,876,995,000 | 3,741,570,000 | 2,763,220,000 | 2,678,679,000 | 1,931,000 | 2,043,000 | 2,717,924,000 | 2,631,880,000 | 43,365,000 | 44,756,000 | 877,405,000 | 849,576,000 | 175,638,000 | 146,684,000 | 60,732,000 | 66,631,000 | 1,944,711,000 | 1,746,235,000 | 629,862,000 | 532,991,000 | 164,259,000 | 102,010,000 | 27,494,000 | 12,810,000 | 818,509,000 | 932,444,000 | 247,543,000 | 316,585,000 | 11,379,000 | 44,674,000 | 33,238,000 | 53,821,000 | |||||||||||||||||||||||||||||||||||||||||
Allowance for loan losses - Total | $ 65,505,000 | $ 62,309,000 | $ 61,952,000 | $ 9,000 | $ 9,000 | $ 38,994,000 | $ 38,307,000 | $ 521,000 | $ 724,000 | $ 21,273,000 | $ 20,681,000 | $ 3,504,000 | $ 1,786,000 | $ 1,204,000 | $ 445,000 | $ 59,696,000 | $ 63,340,000 | $ 62,320,000 | $ 37,237,000 | $ 35,809,000 | $ 39,040,000 | $ 39,063,000 | $ 40,910,000 | $ 36,563,000 | $ 20,880,000 | $ 21,591,000 | $ 20,681,000 | $ 20,058,000 | $ 21,771,000 | $ 24,930,000 | $ 3,164,000 | $ 1,823,000 | $ 1,786,000 | $ 188,000 | $ 170,000 | $ 192,000 | $ 1,115,000 | $ 1,010,000 | $ 445,000 | $ 387,000 | $ 489,000 | $ 635,000 | $ 2,283,000 | $ 1,543,000 | $ 0 | $ 397,000 | $ 517,000 | $ 0 | $ 340,000 | $ 16,000 | $ 0 | $ 89,000 | $ 0 | $ 0 | |||||||||||||||||||
Loss coverage ratio | 1.70% | 1.70% | 0.50% | 0.40% | 1.40% | 1.50% | 1.20% | 1.60% | 2.40% | 2.40% | 2.00% | 1.20% | 2.00% | 0.70% | |||||||||||||||||||||||||||||||||||||||||||||||||||||||||||
|
Fair Value Measurements - Assets and Liabilities Measured at Fair Value, Recurring (Details) (USD $)
In Thousands, unless otherwise specified |
6 Months Ended | 12 Months Ended | ||||
---|---|---|---|---|---|---|
Jun. 30, 2012
|
Dec. 31, 2011
|
|||||
Fair Value, Assets and Liabilities Measured on Recurring and Nonrecurring Basis [Line Items] | ||||||
Increase (Decrease) in Fair Value of Derivative Instruments, Not Designated as Hedging Instruments | $ 9 | $ 157 | ||||
Assets: | ||||||
Securities available for sale | 666,852 | 740,920 | ||||
U.S. Treasury
|
||||||
Assets: | ||||||
Securities available for sale | 0 | 300 | ||||
GSE collateralized mortgage obligations
|
||||||
Assets: | ||||||
Securities available for sale | 193,531 | [1] | 227,836 | [1] | ||
GSE mortgage-backed securities
|
||||||
Assets: | ||||||
Securities available for sale | 449,845 | [1] | 487,754 | [1] | ||
Trust preferred security
|
||||||
Assets: | ||||||
Securities available for sale | 3,382 | 4,348 | ||||
Municipal bonds
|
||||||
Assets: | ||||||
Securities available for sale | 5,058 | 5,764 | ||||
Mutual funds
|
||||||
Assets: | ||||||
Securities available for sale | 15,036 | 14,918 | ||||
Recurring basis | Estimate of Fair Value
|
||||||
Assets: | ||||||
Derivatives - Interest rate caps | 9 | |||||
Recurring basis | Estimate of Fair Value | U.S. Treasury
|
||||||
Assets: | ||||||
Securities available for sale | 300 | |||||
Recurring basis | Estimate of Fair Value | GSE collateralized mortgage obligations
|
||||||
Assets: | ||||||
Securities available for sale | 193,531 | 227,836 | ||||
Recurring basis | Estimate of Fair Value | GSE mortgage-backed securities
|
||||||
Assets: | ||||||
Securities available for sale | 449,845 | 487,754 | ||||
Recurring basis | Estimate of Fair Value | Trust preferred security
|
||||||
Assets: | ||||||
Securities available for sale | 3,382 | 4,348 | ||||
Recurring basis | Estimate of Fair Value | Municipal bonds
|
||||||
Assets: | ||||||
Securities available for sale | 5,058 | 5,764 | ||||
Recurring basis | Estimate of Fair Value | Mutual funds
|
||||||
Assets: | ||||||
Securities available for sale | 15,036 | 14,918 | ||||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1)
|
||||||
Assets: | ||||||
Derivatives - Interest rate caps | 0 | |||||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | U.S. Treasury
|
||||||
Assets: | ||||||
Securities available for sale | 0 | |||||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | GSE collateralized mortgage obligations
|
||||||
Assets: | ||||||
Securities available for sale | 0 | 0 | ||||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | GSE mortgage-backed securities
|
||||||
Assets: | ||||||
Securities available for sale | 0 | 0 | ||||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Trust preferred security
|
||||||
Assets: | ||||||
Securities available for sale | 0 | 0 | ||||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Municipal bonds
|
||||||
Assets: | ||||||
Securities available for sale | 0 | 0 | ||||
Recurring basis | Quoted Prices in Active Markets for Identical Assets (Level 1) | Mutual funds
|
||||||
Assets: | ||||||
Securities available for sale | 15,036 | 14,918 | ||||
Recurring basis | Significant Other Observable Inputs (Level 2)
|
||||||
Assets: | ||||||
Derivatives - Interest rate caps | 9 | |||||
Recurring basis | Significant Other Observable Inputs (Level 2) | U.S. Treasury
|
||||||
Assets: | ||||||
Securities available for sale | 300 | |||||
Recurring basis | Significant Other Observable Inputs (Level 2) | GSE collateralized mortgage obligations
|
||||||
Assets: | ||||||
Securities available for sale | 193,531 | 227,836 | ||||
Recurring basis | Significant Other Observable Inputs (Level 2) | GSE mortgage-backed securities
|
||||||
Assets: | ||||||
Securities available for sale | 449,845 | 487,754 | ||||
Recurring basis | Significant Other Observable Inputs (Level 2) | Trust preferred security
|
||||||
Assets: | ||||||
Securities available for sale | 3,382 | 4,348 | ||||
Recurring basis | Significant Other Observable Inputs (Level 2) | Municipal bonds
|
||||||
Assets: | ||||||
Securities available for sale | 5,058 | 5,764 | ||||
Recurring basis | Significant Other Observable Inputs (Level 2) | Mutual funds
|
||||||
Assets: | ||||||
Securities available for sale | 0 | 0 | ||||
Recurring basis | Significant Unobservable Inputs (Level 3)
|
||||||
Assets: | ||||||
Derivatives - Interest rate caps | 0 | |||||
Recurring basis | Significant Unobservable Inputs (Level 3) | U.S. Treasury
|
||||||
Assets: | ||||||
Securities available for sale | 0 | |||||
Recurring basis | Significant Unobservable Inputs (Level 3) | GSE collateralized mortgage obligations
|
||||||
Assets: | ||||||
Securities available for sale | 0 | 0 | ||||
Recurring basis | Significant Unobservable Inputs (Level 3) | GSE mortgage-backed securities
|
||||||
Assets: | ||||||
Securities available for sale | 0 | 0 | ||||
Recurring basis | Significant Unobservable Inputs (Level 3) | Trust preferred security
|
||||||
Assets: | ||||||
Securities available for sale | 0 | 0 | ||||
Recurring basis | Significant Unobservable Inputs (Level 3) | Municipal bonds
|
||||||
Assets: | ||||||
Securities available for sale | 0 | 0 | ||||
Recurring basis | Significant Unobservable Inputs (Level 3) | Mutual funds
|
||||||
Assets: | ||||||
Securities available for sale | $ 0 | $ 0 | ||||
|
Loans Receivable and Allowance for Loan Losses - Allowance for Credit Losses on Financing Receivables (Details) (USD $)
In Thousands, unless otherwise specified |
3 Months Ended | 6 Months Ended | |||
---|---|---|---|---|---|
Jun. 30, 2012
|
Jun. 30, 2011
|
Jun. 30, 2012
|
Jun. 30, 2011
|
Dec. 31, 2011
|
|
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | $ 62,309 | $ 61,952 | |||
Provision (credit) for loan losses | 7,182 | 9,782 | |||
Loans charged off | (5,609) | (8,992) | |||
Recoveries of charged offs | 1,623 | 2,763 | |||
Balance, beginning of period | 65,505 | 65,505 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 13,200 | 13,200 | 18,035 | ||
Allowance for loan losses - Collectively evaluated for impairment | 50,386 | 50,386 | 43,917 | ||
Allowance for loan losses - Loans acquired with credit deterioration | 1,919 | 1,919 | 0 | ||
Allowance for loan losses - Total | 65,505 | 65,505 | |||
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 91,369 | 91,369 | 82,049 | ||
Loans outstanding - Collectively evaluated for impairment | 3,620,667 | 3,620,667 | 3,480,163 | ||
Loans outstanding - Loans acquired with credit deterioration | 164,959 | 164,959 | 179,358 | ||
Total loans outstanding | 3,876,995 | 3,876,995 | 3,741,570 | ||
Loans and Leases Receivable, Other Information | |||||
Loans and Leases Receivable, Impaired, Commitment to Lend | 802 | 802 | 686 | ||
Loans and Leases Receivable, Commitments, Provision for Loan Losses | 116 | 0 | 116 | 0 | |
Legacy
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 63,340 | 62,320 | |||
Provision (credit) for loan losses | 10,047 | 15,309 | |||
Loans charged off | (15,191) | (20,501) | |||
Recoveries of charged offs | 1,500 | 2,568 | |||
Balance, beginning of period | 59,696 | 59,696 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 59,696 | 59,696 | |||
Real Estate
|
|||||
Loans outstsanding: | |||||
Total loans outstanding | 2,763,220 | 2,763,220 | 2,678,679 | ||
Real Estate | Legacy
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 35,809 | 40,910 | 39,040 | 36,563 | |
Provision (credit) for loan losses | 2,650 | 10,394 | 1,333 | 17,589 | |
Loans charged off | (2,330) | (12,752) | (4,264) | (15,834) | |
Recoveries of charged offs | 1,108 | 511 | 1,128 | 745 | |
Balance, beginning of period | 37,237 | 39,063 | 37,237 | 39,063 | |
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 5,735 | 5,735 | 10,525 | ||
Allowance for loan losses - Collectively evaluated for impairment | 31,502 | 31,502 | 28,515 | ||
Allowance for loan losses - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Allowance for loan losses - Total | 37,237 | 39,063 | 37,237 | 39,063 | |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 48,694 | 48,694 | 51,752 | ||
Loans outstanding - Collectively evaluated for impairment | 1,896,017 | 1,896,017 | 1,694,483 | ||
Loans outstanding - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Total loans outstanding | 1,944,711 | 1,944,711 | 1,746,235 | ||
Real Estate | Acquired
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 1,543 | 0 | |||
Provision (credit) for loan losses | 895 | 2,149 | |||
Loans charged off | (155) | (169) | |||
Recoveries of charged offs | 0 | 303 | |||
Balance, beginning of period | 2,283 | 2,283 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 368 | 368 | 0 | ||
Allowance for loan losses - Collectively evaluated for impairment | (4) | (4) | 0 | ||
Allowance for loan losses - Loans acquired with credit deterioration | 1,919 | 1,919 | 0 | ||
Allowance for loan losses - Total | 2,283 | 2,283 | |||
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 12,039 | 12,039 | 0 | ||
Loans outstanding - Collectively evaluated for impairment | 700,593 | 700,593 | 824,786 | ||
Loans outstanding - Loans acquired with credit deterioration | 105,877 | 105,877 | 107,658 | ||
Total loans outstanding | 818,509 | 818,509 | 932,444 | ||
Commercial Business
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 20,681 | ||||
Balance, beginning of period | 21,273 | 21,273 | 20,681 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 21,273 | 21,273 | 20,681 | ||
Loans outstsanding: | |||||
Total loans outstanding | 877,405 | 877,405 | 849,576 | ||
Commercial Business | Legacy
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 21,591 | 21,771 | 20,681 | 24,930 | |
Provision (credit) for loan losses | 588 | (239) | 2,215 | (1,944) | |
Loans charged off | (1,534) | (2,431) | (2,896) | (4,544) | |
Recoveries of charged offs | 235 | 957 | 880 | 1,616 | |
Balance, beginning of period | 20,880 | 20,058 | 20,880 | 20,058 | |
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 6,919 | 6,919 | 7,168 | ||
Allowance for loan losses - Collectively evaluated for impairment | 13,961 | 13,961 | 13,513 | ||
Allowance for loan losses - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Allowance for loan losses - Total | 20,880 | 20,058 | 20,880 | 20,058 | |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 23,581 | 23,581 | 25,150 | ||
Loans outstanding - Collectively evaluated for impairment | 606,281 | 606,281 | 507,841 | ||
Loans outstanding - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Total loans outstanding | 629,862 | 629,862 | 532,991 | ||
Commercial Business | Acquired
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 517 | 0 | |||
Provision (credit) for loan losses | 440 | 917 | |||
Loans charged off | (590) | (637) | |||
Recoveries of charged offs | 30 | 117 | |||
Balance, beginning of period | 397 | 397 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 121 | 121 | 0 | ||
Allowance for loan losses - Collectively evaluated for impairment | 276 | 276 | 0 | ||
Allowance for loan losses - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Allowance for loan losses - Total | 397 | 397 | |||
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 1,949 | 1,949 | 0 | ||
Loans outstanding - Collectively evaluated for impairment | 191,281 | 191,281 | 250,050 | ||
Loans outstanding - Loans acquired with credit deterioration | 54,313 | 54,313 | 66,535 | ||
Total loans outstanding | 247,543 | 247,543 | 316,585 | ||
Trade Finance
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 1,786 | ||||
Balance, beginning of period | 3,504 | 3,504 | 1,786 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 3,504 | 3,504 | 1,786 | ||
Loans outstsanding: | |||||
Total loans outstanding | 175,638 | 175,638 | 146,684 | ||
Trade Finance | Legacy
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 1,823 | 170 | 1,786 | 192 | |
Provision (credit) for loan losses | 1,341 | 18 | 1,318 | (4) | |
Loans charged off | 0 | 0 | 0 | 0 | |
Recoveries of charged offs | 0 | 0 | 60 | 0 | |
Balance, beginning of period | 3,164 | 188 | 3,164 | 188 | |
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 57 | 57 | 342 | ||
Allowance for loan losses - Collectively evaluated for impairment | 3,107 | 3,107 | 1,444 | ||
Allowance for loan losses - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Allowance for loan losses - Total | 3,164 | 188 | 3,164 | 188 | |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 4,970 | 4,970 | 4,997 | ||
Loans outstanding - Collectively evaluated for impairment | 159,289 | 159,289 | 97,013 | ||
Loans outstanding - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Total loans outstanding | 164,259 | 164,259 | 102,010 | ||
Trade Finance | Acquired
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 16 | 0 | |||
Provision (credit) for loan losses | 624 | 640 | |||
Loans charged off | (300) | (300) | |||
Recoveries of charged offs | 0 | 0 | |||
Balance, beginning of period | 340 | 340 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 0 | 0 | 0 | ||
Allowance for loan losses - Collectively evaluated for impairment | 340 | 340 | 0 | ||
Allowance for loan losses - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Allowance for loan losses - Total | 340 | 340 | |||
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 0 | 0 | 0 | ||
Loans outstanding - Collectively evaluated for impairment | 9,783 | 9,783 | 43,327 | ||
Loans outstanding - Loans acquired with credit deterioration | 1,596 | 1,596 | 1,347 | ||
Total loans outstanding | 11,379 | 11,379 | 44,674 | ||
Consumer and Other
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 445 | ||||
Balance, beginning of period | 1,204 | 1,204 | 445 | ||
Allowance for loan losses: | |||||
Allowance for loan losses - Total | 1,204 | 1,204 | 445 | ||
Loans outstsanding: | |||||
Total loans outstanding | 60,732 | 60,732 | 66,631 | ||
Consumer and Other | Legacy
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 1,010 | 489 | 445 | 635 | |
Provision (credit) for loan losses | 569 | (126) | 1,118 | (332) | |
Loans charged off | (482) | (8) | (483) | (123) | |
Recoveries of charged offs | 18 | 32 | 35 | 207 | |
Balance, beginning of period | 1,115 | 387 | 1,115 | 387 | |
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 0 | 0 | 0 | ||
Allowance for loan losses - Collectively evaluated for impairment | 1,115 | 1,115 | 445 | ||
Allowance for loan losses - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Allowance for loan losses - Total | 1,115 | 387 | 1,115 | 387 | |
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 136 | 136 | 150 | ||
Loans outstanding - Collectively evaluated for impairment | 27,358 | 27,358 | 12,660 | ||
Loans outstanding - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Total loans outstanding | 27,494 | 27,494 | 12,810 | ||
Consumer and Other | Acquired
|
|||||
Allowance for Loan Losses by Portfolio Segment | |||||
Balance, beginning of period | 0 | 0 | |||
Provision (credit) for loan losses | 75 | 92 | |||
Loans charged off | (218) | (243) | |||
Recoveries of charged offs | 232 | 240 | |||
Balance, beginning of period | 89 | 89 | |||
Allowance for loan losses: | |||||
Allowance for loan losses - Individually evaluated for impairment | 0 | 0 | 0 | ||
Allowance for loan losses - Collectively evaluated for impairment | 89 | 89 | 0 | ||
Allowance for loan losses - Loans acquired with credit deterioration | 0 | 0 | 0 | ||
Allowance for loan losses - Total | 89 | 89 | |||
Loans outstsanding: | |||||
Loans outstanding - Individually evaluated for impairment | 0 | 0 | 0 | ||
Loans outstanding - Collectively evaluated for impairment | 30,065 | 30,065 | 50,003 | ||
Loans outstanding - Loans acquired with credit deterioration | 3,173 | 3,173 | 3,818 | ||
Total loans outstanding | $ 33,238 | $ 33,238 | $ 53,821 |
Basis of Presentation
|
6 Months Ended |
---|---|
Jun. 30, 2012
|
|
Basis Of Presentation [Abstract] | |
Basis of Presentation | Basis of Presentation Our condensed consolidated financial statements included herein have been prepared without an audit, pursuant to the rules and regulations of the Securities and Exchange Commission (“SEC”). Certain information and footnote disclosures normally included in consolidated financial statements prepared in accordance with accounting principles generally accepted in the United States of America have been condensed or omitted pursuant to such SEC rules and regulations. The condensed consolidated financial statements include the accounts of BBCN Bancorp and its wholly owned subsidiaries, principally BBCN Bank. All intercompany transactions and balances have been eliminated in consolidation. We believe that we have made all adjustments, consisting solely of normal recurring accruals, necessary to fairly present our financial position at June 30, 2012 and the results of our operations for the three and six months then ended. Certain reclassifications have been made to prior period amounts to conform to the current year presentation. The results of operations for the interim periods are not necessarily indicative of results to be anticipated for the full year. The preparation of consolidated financial statements in conformity with U.S. generally accepted accounting principles requires management to make estimates and assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and liabilities at the date of the financial statements and the reported amounts of revenues and expenses during the reporting period. Actual results could differ from those estimates. Material estimates that are susceptible to change in the near term relate to the determination of the allowance and provision for loan losses, the evaluation of other than temporary impairment of investment securities, accounting for derivatives and hedging activities, determining the carrying value for cash surrender value of life insurance, carrying value of goodwill and other intangible assets, accounting for deferred tax assets and related valuation allowances, the determination of the fair values of investment securities and other financial instruments, accounting for lease arrangements, accounting for incentive compensation, profit sharing and bonus payments and the valuation of servicing assets. These unaudited condensed consolidated financial statements should be read along with the audited consolidated financial statements and accompanying notes included in our 2011 Annual Report on Form 10-K. |
Fair Value Measurements - Assets Measured at Fair Value, Non-Recurring (Details) (Non-recurring basis, USD $)
In Thousands, unless otherwise specified |
3 Months Ended | 6 Months Ended | 12 Months Ended |
---|---|---|---|
Jun. 30, 2012
|
Jun. 30, 2012
|
Dec. 31, 2011
|
|
Estimate of Fair Value | Impaired loans at fair value - Real estate loans
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | $ 12,378 | $ 12,221 | $ 15,485 |
Estimate of Fair Value | Impaired loans at fair value - Commercial business
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 1,887 | 6,265 | 6,360 |
Estimate of Fair Value | Loans held for sale, net
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 656 | 656 | 6,901 |
Estimate of Fair Value | Other real estate owned
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 2,634 | 5,379 | 3,471 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Impaired loans at fair value - Real estate loans
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 0 | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Impaired loans at fair value - Commercial business
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 0 | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Loans held for sale, net
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 0 | 0 | 0 |
Quoted Prices in Active Markets for Identical Assets (Level 1) | Other real estate owned
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 0 | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Impaired loans at fair value - Real estate loans
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 0 | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Impaired loans at fair value - Commercial business
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 0 | 0 | 0 |
Significant Other Observable Inputs (Level 2) | Loans held for sale, net
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 656 | 656 | 6,901 |
Significant Other Observable Inputs (Level 2) | Other real estate owned
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 0 | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Impaired loans at fair value - Real estate loans
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 12,378 | 12,221 | 15,485 |
Significant Unobservable Inputs (Level 3) | Impaired loans at fair value - Commercial business
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 1,887 | 6,265 | 6,360 |
Significant Unobservable Inputs (Level 3) | Loans held for sale, net
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 0 | 0 | 0 |
Significant Unobservable Inputs (Level 3) | Other real estate owned
|
|||
Assets: | |||
Assets, Fair Value Disclosure, During Period | 2,634 | 5,379 | 3,471 |
Total Gains (Losses) | Impaired loans at fair value - Real estate loans
|
|||
Assets: | |||
Total Gains (Losses) | (1,050) | (1,863) | (6,018) |
Total Gains (Losses) | Impaired loans at fair value - Commercial business
|
|||
Assets: | |||
Total Gains (Losses) | (28) | 492 | (2,553) |
Total Gains (Losses) | Loans held for sale, net
|
|||
Assets: | |||
Total Gains (Losses) | (156) | (156) | (3,393) |
Total Gains (Losses) | Other real estate owned
|
|||
Assets: | |||
Total Gains (Losses) | $ (560) | $ (922) | $ (1,031) |
Market Approach Valuation Technique [Member] | Significant Unobservable Inputs (Level 3) | Impaired Loans at Fair Value [Member]
|
|||
Fair Value Inputs [Abstract] | |||
Adjustments to External or Internal Appraised Values for Selling Cost | 8.50% | ||
Market Approach Valuation Technique [Member] | Significant Unobservable Inputs (Level 3) | Other real estate owned
|
|||
Fair Value Inputs [Abstract] | |||
Adjustments to External or Internal Appraised Values for Selling Cost | 8.50% | ||
Minimum | Market Approach Valuation Technique [Member] | Significant Unobservable Inputs (Level 3) | Loans held for sale, net
|
|||
Fair Value Inputs [Abstract] | |||
Adjustments to External or Internal Appraised Values for Selling Cost | 0.00% | ||
Maximum | Market Approach Valuation Technique [Member] | Significant Unobservable Inputs (Level 3) | Loans held for sale, net
|
|||
Fair Value Inputs [Abstract] | |||
Adjustments to External or Internal Appraised Values for Selling Cost | 5.00% |