Segment Reporting

12 Months Ended

Dec. 31, 2016

Segment Reporting [Abstract]

Segment Reporting

NOTE 21: SEGMENT REPORTING

In 2016, 2015, and 2014 the Company had two reportable business segments: Banking (FFB) and Wealth Management (FFA). The results of FFI and any elimination entries are included in the column labeled Other. The reportable segments are determined by products and services offered and the corporate structure. Business segment earnings before taxes are the primary measure of the segment's performance as evaluated by management. Business segment earnings before taxes include direct revenue and expenses of the segment as well as corporate and inter-company cost allocations. Allocations of corporate expenses, such as finance and accounting, data processing and human resources, are calculated based on estimated activity or usage levels. The management accounting process measures the performance of the operating segments based on the Company's management structure and is not necessarily comparable with similar information for other financial services companies. If the management structures and/or the allocation process changes, allocations, transfers and assignments may change. The following tables show key operating results for each of our business segments used to arrive at our consolidated totals for the years ended December 31:

(dollars in thousands)	Banking		Wealth Management		Other			Total
2016:
Interest income	$	100,642	$	—	$	—		$	100,642
Interest expense		11,193		—		—			11,193
Net interest income		89,449		—		—			89,449
Provision for loan losses		4,681		—		—			4,681
Noninterest income		13,832		21,348		(620	)		34,560
Noninterest expense		58,422		19,232		3,340			80,994
Income (loss) before taxes on income	$	40,178	$	2,116	$	(3,960	)	$	38,334
2015:
Interest income	$	64,471	$	—	$	—		$	64,471
Interest expense		5,607		—		674			6,281
Net interest income		58,864		—		(674	)		58,190
Provision for loan losses		2,673		—		—			2,673
Noninterest income		8,833		20,530		(590	)		28,773
Noninterest expense		39,982		18,352		3,124			61,458
Income (loss) before taxes on income	$	25,042	$	2,178	$	(4,388	)	$	22,832
2014:
Interest income	$	47,398	$	—	$	—		$	47,398
Interest expense		3,844		—		740			4,584
Net interest income		43,554		—		(740	)		42,814
Provision for loan losses		235		—		—			235
Noninterest income		5,866		19,422		(539	)		24,749
Noninterest expense		30,509		17,979		4,019			52,507
Income (loss) before taxes on income	$	18,676	$	1,443	$	(5,298	)	$	14,821

The following tables show the financial position for each of our business segments, and of FFI which is included in the column labeled Other, and the eliminating entries used to arrive at our consolidated totals at December 31:

(dollars in thousands)	Banking		Wealth Management		Other			Eliminations			Total
2016:
Cash and cash equivalents	$	597,795	$	2,576	$	6,318		$	(8,743	)	$	597,946
Securities AFS		509,578		—		—			—			509,578
Loans Held For Sale		250,942		—		—			—			250,942
Loans, net		2,540,309		—		—			—			2,540,309
Premises and equipment		5,603		991		136			—			6,730
FHLB Stock		33,750		—		—			—			33,750
Deferred taxes		16,602		283		(74	)		—			16,811
REO		1,734		—		—			—			1,734
Goodwill and Intangibles		2,177		—		—			—			2,177
Other assets		13,270		445		274,256			(272,545	)		15,426
Total assets	$	3,971,760	$	4,295	$	280,636		$	(281,288	)	$	3,975,403
Deposits	$	2,435,538	$	—	$	—		$	(8,743	)	$	2,426,795
Borrowings		1,250,000		—		—			—			1,250,000
Intercompany balances		3,019		539		(3,558	)		—			—
Other liabilities		11,670		2,744		(70	)		—			14,344
Shareholders’ equity		271,533		1,012		284,264			(272,545	)		284,264
Total liabilities and equity	$	3,971,760	$	4,295	$	280,636		$	(281,288	)	$	3,975,403
2015:
Cash and cash equivalents	$	215,671	$	5,682	$	42,151		$	(47,756	)	$	215,748
Securities AFS		565,135		—		—			—			565,135
Loans, net		1,754,883		—		—			—			1,754,883
Premises and equipment		1,996		545		112			—			2,653
FHLB Stock		21,492		—		—			—			21,492
Deferred taxes		14,466		630		296			—			15,392
REO		4,036		—		—			—			4,036
Goodwill and Intangibles		2,416		—		—			—			2,416
Other assets		8,645		314		217,032			(215,167	)		10,824
Total assets	$	2,588,740	$	7,171	$	259,591		$	(262,923	)	$	2,592,579
Deposits	$	1,569,932	$	—	$	—		$	(47,756	)	$	1,522,176
Borrowings		796,000		—		—			—			796,000
Intercompany balances		2,748		121		(2,869	)		—			—
Other liabilities		9,309		2,634		2,724			—			14,667
Shareholders’ equity		210,751		4,416		259,736			(215,167	)		259,736
Total liabilities and equity	$	2,588,740	$	7,171	$	259,591		$	(262,923	)	$	2,592,579