XML 63 R35.htm IDEA: XBRL DOCUMENT v2.4.0.8
Non-Covered Loans and Allowance for Non-Covered Loan Losses (Tables) (Non-covered loans)
9 Months Ended
Sep. 30, 2014
Non-covered loans
 
Non-Covered Loans and Allowance for Non-Covered Loan Losses  
Summary of non-covered loans by portfolio segment

Non-covered loans summarized by portfolio segment are as follows (in thousands).

 

 

 

September 30,

 

December 31,

 

 

 

2014

 

2013

 

Commercial and industrial

 

$

1,677,389

 

$

1,637,266

 

Real estate

 

1,606,718

 

1,457,253

 

Construction and land development

 

429,216

 

364,551

 

Consumer

 

55,520

 

55,576

 

 

 

3,768,843

 

3,514,646

 

Allowance for non-covered loan losses

 

(39,027

)

(33,241

)

Total non-covered loans, net of allowance

 

$

3,729,816

 

$

3,481,405

 

Schedule of carrying values and the outstanding balances of the PCI loans

The following table presents the carrying values and the outstanding balances of the non-covered PCI loans (in thousands).

 

 

 

September 30,

 

December 31,

 

 

 

2014

 

2013

 

Carrying amount

 

$

53,383

 

$

100,392

 

Outstanding balance

 

73,787

 

141,983

 

Schedule of changes in the accretable yield for the PCI loans

Changes in the accretable yield for the non-covered PCI loans were as follows (in thousands).

 

 

 

Three Months Ended September 30,

 

Nine Months Ended September 30,

 

 

 

2014

 

2013

 

2014

 

2013

 

Balance, beginning of period

 

$

11,904

 

$

20,118

 

$

17,601

 

$

17,553

 

Additions

 

 

1,923

 

 

1,923

 

Increases in expected cash flows

 

4,270

 

4,697

 

13,886

 

16,834

 

Disposals of loans

 

(744

)

(441

)

(4,928

)

(2,273

)

Accretion

 

(2,199

)

(4,854

)

(13,328

)

(12,594

)

Balance, end of period

 

$

13,231

 

$

21,443

 

$

13,231

 

$

21,443

 

Summary of impaired loans by class

Non-covered impaired loans are summarized by class in the following tables (in thousands).

 

 

 

Unpaid

 

Recorded

 

Recorded

 

Total

 

 

 

 

 

Contractual

 

Investment with

 

Investment with

 

Recorded

 

Related

 

September 30, 2014

 

Principal Balance

 

No Allowance

 

Allowance

 

Investment

 

Allowance

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

 

 

Secured

 

$

50,070

 

$

12,966

 

$

12,253

 

$

25,219

 

$

3,406

 

Unsecured

 

4,334

 

286

 

 

286

 

 

Real estate:

 

 

 

 

 

 

 

 

 

 

 

Secured by commercial properties

 

30,202

 

4,490

 

18,537

 

23,027

 

1,659

 

Secured by residential properties

 

4,893

 

1,932

 

1,192

 

3,124

 

59

 

Construction and land development:

 

 

 

 

 

 

 

 

 

 

 

Residential construction loans

 

 

 

 

 

 

Commercial construction loans and land development

 

17,163

 

9,032

 

1,450

 

10,482

 

164

 

Consumer

 

6,354

 

317

 

2,338

 

2,655

 

421

 

 

 

$

113,016

 

$

29,023

 

$

35,770

 

$

64,793

 

$

5,709

 

 

 

 

Unpaid

 

Recorded

 

Recorded

 

Total

 

 

 

 

 

Contractual

 

Investment with

 

Investment with

 

Recorded

 

Related

 

December 31, 2013

 

Principal Balance

 

No Allowance

 

Allowance

 

Investment

 

Allowance

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

 

 

Secured

 

$

63,636

 

$

21,540

 

$

17,147

 

$

38,687

 

$

3,126

 

Unsecured

 

11,865

 

336

 

1,204

 

1,540

 

15

 

Real estate:

 

 

 

 

 

 

 

 

 

 

 

Secured by commercial properties

 

49,437

 

20,317

 

16,070

 

36,387

 

339

 

Secured by residential properties

 

5,407

 

1,745

 

1,648

 

3,393

 

39

 

Construction and land development:

 

 

 

 

 

 

 

 

 

 

 

Residential construction loans

 

33

 

 

 

 

 

Commercial construction loans and land development

 

48,628

 

15,337

 

4,592

 

19,929

 

39

 

Consumer

 

7,946

 

4,509

 

 

4,509

 

 

 

 

$

186,952

 

$

63,784

 

$

40,661

 

$

104,445

 

$

3,558

 

Summary of average investment in impaired loans by class

Average investment in non-covered impaired loans is summarized by class in the following table (in thousands).

 

 

 

Three Months Ended September 30,

 

Nine Months Ended September 30,

 

 

 

2014

 

2013

 

2014

 

2013

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

Secured

 

$

24,897

 

$

55,797

 

$

31,953

 

$

62,399

 

Unsecured

 

395

 

1,826

 

913

 

2,548

 

Real estate:

 

 

 

 

 

 

 

 

 

Secured by commercial properties

 

23,715

 

45,114

 

29,707

 

48,798

 

Secured by residential properties

 

3,611

 

5,400

 

3,259

 

5,682

 

Construction and land development:

 

 

 

 

 

 

 

 

 

Residential construction loans

 

 

 

 

354

 

Commercial construction loans and land development

 

10,674

 

25,916

 

15,206

 

28,502

 

Consumer

 

2,872

 

4,715

 

3,582

 

4,720

 

 

 

$

66,164

 

$

138,768

 

$

84,620

 

$

153,003

 

Summary of non-accrual loans by class, excluding those classified as held for sale

Non-covered non-accrual loans, excluding those classified as held for sale, are summarized by class in the following table (in thousands).

 

 

 

September 30,

 

December 31,

 

 

 

2014

 

2013

 

Commercial and industrial:

 

 

 

 

 

Secured

 

$

17,050

 

$

15,430

 

Unsecured

 

286

 

1,300

 

Real estate:

 

 

 

 

 

Secured by commercial properties

 

464

 

2,638

 

Secured by residential properties

 

1,269

 

398

 

Construction and land development:

 

 

 

 

 

Residential construction loans

 

 

 

Commercial construction loans and land development

 

783

 

112

 

Consumer

 

 

 

 

 

$

19,852

 

$

19,878

 

Schedule of information regarding TDRs granted

Information regarding TDRs granted is shown in the following tables (in thousands).

 

 

Recorded Investment in Loans Modified by

 

 

 

 

 

Interest Rate

 

Payment Term

 

Total

 

Nine months ended September 30, 2014

 

A/B Note

 

Adjustment

 

Extension

 

Modification

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

Secured

 

$

 

$

 

$

 

$

 

Unsecured

 

 

 

 

 

Real estate:

 

 

 

 

 

 

 

 

 

Secured by commercial properties

 

 

 

326

 

326

 

Secured by residential properties

 

 

 

253

 

253

 

Construction and land development:

 

 

 

 

 

 

 

 

 

Residential construction loans

 

 

 

 

 

Commercial construction loans and land development

 

 

 

133

 

133

 

Consumer

 

 

 

 

 

 

 

$

 

$

 

$

712

 

$

712

 

 

 

 

Recorded Investment in Loans Modified by

 

 

 

 

 

Interest Rate

 

Payment Term

 

Total

 

Three months ended September 30, 2013

 

A/B Note

 

Adjustment

 

Extension

 

Modification

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

Secured

 

$

 

$

 

$

333

 

$

333

 

Unsecured

 

 

 

 

 

Real estate:

 

 

 

 

 

 

 

 

 

Secured by commercial properties

 

 

 

 

 

Secured by residential properties

 

 

 

 

 

Construction and land development:

 

 

 

 

 

 

 

 

 

Residential construction loans

 

 

 

 

 

Commercial construction loans and land development

 

 

 

 

 

Consumer

 

 

 

 

 

 

 

$

 

$

 

$

333

 

$

333

 

 

 

 

Recorded Investment in Loans Modified by

 

 

 

 

 

Interest Rate

 

Payment Term

 

Total

 

Nine months ended September 30, 2013

 

A/B Note

 

Adjustment

 

Extension

 

Modification

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

Secured

 

$

 

$

 

$

9,764

 

$

9,764

 

Unsecured

 

 

 

 

 

Real estate:

 

 

 

 

 

 

 

 

 

Secured by commercial properties

 

 

 

276

 

276

 

Secured by residential properties

 

 

 

905

 

905

 

Construction and land development:

 

 

 

 

 

 

 

 

 

Residential construction loans

 

 

 

 

 

Commercial construction loans and land development

 

 

 

500

 

500

 

Consumer

 

 

 

 

 

 

 

$

 

$

 

$

11,445

 

$

11,445

 

Schedule of analysis of the aging of the entity's loan portfolio

An analysis of the aging of the Bank’s non-covered loan portfolio is shown in the following tables (in thousands).

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accruing Loans

 

 

 

Loans Past Due

 

Loans Past Due

 

Loans Past Due

 

Total

 

Current

 

PCI

 

Total

 

Past Due

 

September 30, 2014

 

30-59 Days

 

60-89 Days

 

90 Days or More

 

Past Due Loans

 

Loans

 

Loans

 

Loans

 

90 Days or More

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured

 

$

4,285

 

$

868

 

$

7,910

 

$

13,063

 

$

1,541,305

 

$

16,335

 

$

1,570,703

 

$

 

Unsecured

 

155

 

33

 

 

188

 

106,316

 

182

 

106,686

 

 

Real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by commercial properties

 

289

 

 

 

289

 

1,101,362

 

22,563

 

1,124,214

 

 

Secured by residential properties

 

1,396

 

72

 

49

 

1,517

 

479,037

 

1,950

 

482,504

 

 

Construction and land development:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential construction loans

 

 

 

 

 

64,288

 

 

64,288

 

 

Commercial construction loans and land development

 

49

 

 

650

 

699

 

354,531

 

9,698

 

364,928

 

 

Consumer

 

206

 

40

 

 

246

 

52,619

 

2,655

 

55,520

 

 

 

 

$

6,380

 

$

1,013

 

$

8,609

 

$

16,002

 

$

3,699,458

 

$

53,383

 

$

3,768,843

 

$

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Accruing Loans

 

 

 

Loans Past Due

 

Loans Past Due

 

Loans Past Due

 

Total

 

Current

 

PCI

 

Total

 

Past Due

 

December 31, 2013

 

30-59 Days

 

60-89 Days

 

90 Days or More

 

Past Due Loans

 

Loans

 

Loans

 

Loans

 

90 Days or More

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured

 

$

2,171

 

$

277

 

$

1,354

 

$

3,802

 

$

1,492,793

 

$

35,372

 

$

1,531,967

 

$

272

 

Unsecured

 

333

 

9

 

60

 

402

 

103,453

 

1,444

 

105,299

 

59

 

Real estate:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Secured by commercial properties

 

192

 

 

132

 

324

 

1,044,437

 

36,255

 

1,081,016

 

 

Secured by residential properties

 

1,045

 

36

 

203

 

1,284

 

371,958

 

2,995

 

376,237

 

203

 

Construction and land development:

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Residential construction loans

 

415

 

 

 

415

 

64,664

 

 

65,079

 

 

Commercial construction loans and land development

 

41

 

881

 

112

 

1,034

 

278,621

 

19,817

 

299,472

 

 

Consumer

 

201

 

60

 

 

261

 

50,806

 

4,509

 

55,576

 

 

 

 

$

4,398

 

$

1,263

 

$

1,861

 

$

7,522

 

$

3,406,732

 

$

100,392

 

$

3,514,646

 

$

534

 

Schedule of internal risk grades of loans by class

The following tables present the internal risk grades of non-covered loans, as previously described, in the portfolio by class (in thousands).

 

September 30, 2014

 

Pass

 

Special Mention

 

Substandard

 

PCI

 

Total

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

 

 

Secured

 

$

1,518,321

 

$

2,967

 

$

33,080

 

$

16,335

 

$

1,570,703

 

Unsecured

 

106,400

 

 

104

 

182

 

106,686

 

Real estate:

 

 

 

 

 

 

 

 

 

 

 

Secured by commercial properties

 

1,097,637

 

717

 

3,297

 

22,563

 

1,124,214

 

Secured by residential properties

 

475,967

 

 

4,587

 

1,950

 

482,504

 

Construction and land development:

 

 

 

 

 

 

 

 

 

 

 

Residential construction loans

 

64,288

 

 

 

 

64,288

 

Commercial construction loans and land development

 

353,782

 

 

1,448

 

9,698

 

364,928

 

Consumer

 

52,814

 

 

51

 

2,655

 

55,520

 

 

 

$

3,669,209

 

$

3,684

 

$

42,567

 

$

53,383

 

$

3,768,843

 

 

December 31, 2013

 

Pass

 

Special Mention

 

Substandard

 

PCI

 

Total

 

Commercial and industrial:

 

 

 

 

 

 

 

 

 

 

 

Secured

 

$

1,450,734

 

$

16,840

 

$

29,021

 

$

35,372

 

$

1,531,967

 

Unsecured

 

103,674

 

12

 

169

 

1,444

 

105,299

 

Real estate:

 

 

 

 

 

 

 

 

 

 

 

Secured by commercial properties

 

1,038,930

 

4,436

 

1,395

 

36,255

 

1,081,016

 

Secured by residential properties

 

367,758

 

 

5,484

 

2,995

 

376,237

 

Construction and land development:

 

 

 

 

 

 

 

 

 

 

 

Residential construction loans

 

65,079

 

 

 

 

65,079

 

Commercial construction loans and land development

 

275,808

 

3,384

 

463

 

19,817

 

299,472

 

Consumer

 

51,052

 

1

 

14

 

4,509

 

55,576

 

 

 

$

3,353,035

 

$

24,673

 

$

36,546

 

$

100,392

 

$

3,514,646

 

Schedule of changes in the allowance for loan losses by portfolio segment

Changes in the allowance for non-covered loan losses, distributed by portfolio segment, are shown below (in thousands).

 

 

 

Commercial and

 

 

 

Construction and

 

 

 

 

 

Three months ended September 30, 2014

 

Industrial

 

Real Estate

 

Land Development

 

Consumer

 

Total

 

Balance, beginning of period

 

$

18,062

 

$

9,998

 

$

8,086

 

$

285

 

$

36,431

 

Provision charged to operations

 

2,302

 

1,064

 

395

 

425

 

4,186

 

Loans charged off

 

(1,976

)

(28

)

 

(116

)

(2,120

)

Recoveries on charged off loans

 

457

 

31

 

18

 

24

 

530

 

Balance, end of period

 

$

18,845

 

$

11,065

 

$

8,499

 

$

618

 

$

39,027

 

 

 

 

Commercial and

 

 

 

Construction and

 

 

 

 

 

Nine months ended September 30, 2014

 

Industrial

 

Real Estate

 

Land Development

 

Consumer

 

Total

 

Balance, beginning of period

 

$

16,865

 

$

8,331

 

$

7,957

 

$

88

 

$

33,241

 

Provision charged to operations

 

5,876

 

2,689

 

361

 

731

 

9,657

 

Loans charged off

 

(5,707

)

(100

)

 

(275

)

(6,082

)

Recoveries on charged off loans

 

1,811

 

145

 

181

 

74

 

2,211

 

Balance, end of period

 

$

18,845

 

$

11,065

 

$

8,499

 

$

618

 

$

39,027

 

 

 

 

Commercial and

 

 

 

Construction and

 

 

 

 

 

Three months ended September 30, 2013

 

Industrial

 

Real Estate

 

Land Development

 

Consumer

 

Total

 

Balance, beginning of period

 

$

13,806

 

$

5,339

 

$

7,050

 

$

42

 

$

26,237

 

Provision charged to operations

 

8,879

 

1,776

 

6

 

(3

)

10,658

 

Loans charged off

 

(3,220

)

(53

)

(524

)

(3

)

(3,800

)

Recoveries on charged off loans

 

42

 

26

 

2

 

15

 

85

 

Balance, end of period

 

$

19,507

 

$

7,088

 

$

6,534

 

$

51

 

$

33,180

 

 

 

 

Commercial and

 

 

 

Construction and

 

 

 

 

 

Nine months ended September 30, 2013

 

Industrial

 

Real Estate

 

Land Development

 

Consumer

 

Total

 

Balance, beginning of period

 

$

1,845

 

$

977

 

$

582

 

$

5

 

$

3,409

 

Provision charged to operations

 

22,519

 

6,033

 

6,323

 

77

 

34,952

 

Loans charged off

 

(7,314

)

(149

)

(524

)

(74

)

(8,061

)

Recoveries on charged off loans

 

2,457

 

227

 

153

 

43

 

2,880

 

Balance, end of period

 

$

19,507

 

$

7,088

 

$

6,534

 

$

51

 

$

33,180

 

Schedule of loan portfolio distributed by portfolio segment and impairment methodology

The non-covered loan portfolio was distributed by portfolio segment and impairment methodology as shown below (in thousands).

 

 

 

Commercial and

 

 

 

Construction and

 

 

 

 

 

September 30, 2014

 

Industrial

 

Real Estate

 

Land Development

 

Consumer

 

Total

 

Loans individually evaluated for impairment

 

$

8,354

 

$

1,450

 

$

783

 

$

 

$

10,587

 

Loans collectively evaluated for impairment

 

1,652,518

 

1,580,755

 

418,735

 

52,865

 

3,704,873

 

PCI Loans

 

16,517

 

24,513

 

9,698

 

2,655

 

53,383

 

 

 

$

1,677,389

 

$

1,606,718

 

$

429,216

 

$

55,520

 

$

3,768,843

 

 

 

 

Commercial and

 

 

 

Construction and

 

 

 

 

 

December 31, 2013

 

Industrial

 

Real Estate

 

Land Development

 

Consumer

 

Total

 

Loans individually evaluated for impairment

 

$

2,273

 

$

373

 

$

112

 

$

 

$

2,758

 

Loans collectively evaluated for impairment

 

1,598,177

 

1,417,630

 

344,622

 

51,067

 

3,411,496

 

PCI Loans

 

36,816

 

39,250

 

19,817

 

4,509

 

100,392

 

 

 

$

1,637,266

 

$

1,457,253

 

$

364,551

 

$

55,576

 

$

3,514,646

Schedule of allowance for loan losses distributed by portfolio segment and impairment methodology

The allowance for non-covered loan losses was distributed by portfolio segment and impairment methodology as shown below (in thousands).

 

 

 

Commercial and

 

 

 

Construction and

 

 

 

 

 

September 30, 2014

 

Industrial

 

Real Estate

 

Land Development

 

Consumer

 

Total

 

Loans individually evaluated for impairment

 

$

421

 

$

 

$

 

$

 

$

421

 

Loans collectively evaluated for impairment

 

15,439

 

9,347

 

8,335

 

197

 

33,318

 

PCI Loans

 

2,985

 

1,718

 

164

 

421

 

5,288

 

 

 

$

18,845

 

$

11,065

 

$

8,499

 

$

618

 

$

39,027

 

 

 

 

Commercial and

 

 

 

Construction and

 

 

 

 

 

December 31, 2013

 

Industrial

 

Real Estate

 

Land Development

 

Consumer

 

Total

 

Loans individually evaluated for impairment

 

$

421

 

$

 

$

 

$

 

$

421

 

Loans collectively evaluated for impairment

 

13,724

 

7,953

 

7,918

 

88

 

29,683

 

PCI Loans

 

2,720

 

378

 

39

 

 

3,137

 

 

 

$

16,865

 

$

8,331

 

$

7,957

 

$

88

 

$

33,241